Report of Foreign Issuer (6-k)
November 18 2014 - 6:11AM
Edgar (US Regulatory)
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Form 6-K
REPORT OF FOREIGN PRIVATE ISSUER PURSUANT TO RULE 13a-16
OR 15d-16 OF THE SECURITIES EXCHANGE ACT OF 1934
For the month of November, 2014
Commission File Number 000-26495
CYREN Ltd.
(Translation of Registrant’s name into English)
1 Sapir Road, 5th Floor, Beit Ampa, P.O. Box 4014, Herzliya 46140, Israel
(Address of Principal Executive Offices)
Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1):___
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7):___
On November 18, 2014, the Registrant issued a press release announcing its third quarter 2014 financial results for the period ending September 30, 2014.
A copy of the press release is annexed hereto as Exhibit 1 and incorporated herein by reference.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
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CYREN Ltd.
(Registrant)
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By:
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/s/ J. Michael Myshrall
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J. Michael Myshrall
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Chief Financial Officer
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Exhibit 1
PRESS RELEASE
CYREN Reports Third Quarter 2014 Results
McLean, VA – November 18, 2014 – CYREN Ltd. (NASDAQ: CYRN), a global provider of cloud-based cybersecurity solutions, today announced its third quarter 2014 financial results for the period ending September 30, 2014.
Third Quarter 2014 Financial Highlights:
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·
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Revenues in accordance with U.S. Generally Accepted Accounting Principles (US GAAP) totaled $7.7 million for the third quarter of 2014 compared to $8.0 million in the third quarter of 2013.
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·
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Non-GAAP revenues totaled $7.8 million for the third quarter of 2014 compared to $8.1 million in the third quarter of 2013. The difference between non-GAAP and GAAP revenue is derived from the fact that deferred revenues consolidated from acquired companies are accounted under GAAP based on fair value.
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·
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GAAP net loss for the third quarter of 2014 was $0.7 million compared to a net loss of $0.9 million in the third quarter of 2013.
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·
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GAAP loss per basic and diluted share for the third quarter of 2014 was $0.02, compared to a loss of $0.03 in the third quarter of 2013.
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·
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Non-GAAP net loss for the third quarter 2014 was $0.7 million compared to non-GAAP net income of $0.3 million in the third quarter of 2013.
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·
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Non-GAAP loss per basic and diluted share for the third quarter 2014 was $0.02, compared to non-GAAP earnings per diluted share of $0.01 in the third quarter of 2013.
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·
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Cash used by operating activities during the quarter was $0.1 million. Net cash provided by financing activities during the quarter was $10.2 million.
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·
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Cash as of September 30, 2014 was $13.1 million, compared to $3.1 million as of June 30, 2014. In addition, the company had drawn $5.3 million under its $7.5 million credit facility. The increase in cash primarily reflects the $10.2 million in net proceeds CYREN raised in a registered direct offering that closed on July 30, 2014.
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“CYREN remains in a strong financial position with the revenue generated from our embedded business and the capital raised in July. We see particularly strong demand from enterprise customers for our embedded solutions and strong interest in our cloud-based CYREN WebSecurity offering,” said Lior Samuelson, CEO and Chairman of the Board at CYREN. “We continue work with our increasing number of channel partners to accelerate the onboarding process and revenue growth. We are also focusing resources on enterprises who are actively seeking to replace or augment their existing security appliances with a next generation SaaS-based solution.”
For information regarding the non-GAAP financial measures discussed in this release, please see “Use of Non-GAAP Financial Information” and “Reconciliation of Selected GAAP Measures to Non GAAP Measures.”
Business Highlights:
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CYREN completed a registered direct offering, which was oversubscribed and brought in $11.5 million in gross proceeds, strengthening the company’s balance sheet and giving it the ability to further execute its growth strategy.
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·
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Tesco, a leading retailer in the United Kingdom, will use the company’s Embedded URL Filtering product in a new version of an Android tablet being released ahead of the holiday season. This is one of the first times CYREN’s URL filtering solutions will be embedded in an Android device.
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·
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CYREN extended its contract with ATOS Germany to provide the company’s EmailSecurity solution to large enterprise customers. The renewed contract will run through mid-2018. CYREN is also working with ATOS Germany to expand their partnership to include reselling the WebSecurity and EmailSecurity SaaS solutions.
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CYREN signed a three-year deal to provide embedded AntiSpam and Outbound AntiSpam solutions to one of the largest security technology companies in the world. This supplements two other CYREN contracts with this company that utilize CYREN’s embedded Antivirus solutions.
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·
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During the third quarter, the company increased the number of CYREN WebSecurity partners to 24 (up from 18 at the end of the second quarter), including distributors and resellers in 18 countries.
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Business Outlook
The company expects fourth quarter revenues to be at similar levels as the third quarter, and full year 2014 revenue to be flat to slightly down compared with 2013. The above outlook is as of the date of this release, and the company undertakes no obligation to update its estimates in the future.
Use of Non-GAAP Measures
Non-GAAP financial measures consist of GAAP financial measures adjusted to exclude: stock-based compensation expenses, amortization and impairment of acquired intangible assets, executive termination costs, deferred taxes and deferred revenues related to acquisitions, acquisition related costs, onetime settlement agreements, reorganization expenses and adjustments to earn-out obligations. The purpose of such adjustments is to give an indication of the company’s performance exclusive of non-cash charges and other items that are considered by management to be outside of the company’s core operating results. The company’s non-GAAP financial measures are not meant to be considered in isolation or as a substitute for comparable GAAP measures, and should be read only in conjunction with the company’s consolidated financial statements prepared in accordance with GAAP. Company management regularly uses supplemental non-GAAP financial measures internally to understand, manage and evaluate the business and make operating decisions.
These non-GAAP measures are among the primary factors management uses in planning for and forecasting future periods. The company believes this adjustment is useful to investors as a measure of the ongoing performance of the business. The company believes these non-GAAP financial measures provide consistent and comparable measures to help investors understand the company’s current and future operating cash flow performance. These non-GAAP financial measures may differ materially from the non-GAAP financial measures used by other companies. Reconciliation between results on a GAAP and non-GAAP basis is provided in a table immediately following the Consolidated Statements of Income. The presentation of this non-GAAP financial information is not intended to be considered in isolation or as a substitute for the financial information prepared and presented in accordance with GAAP. Management uses both GAAP and non-GAAP measures when evaluating the business internally and therefore felt it important to make these non-GAAP adjustments available to investors.
Financial Results Conference Call
The company has scheduled a conference call later today, November 18, 2014, at 10 a.m. Eastern Time (5 p.m. Israel Time) to discuss its third quarter 2014 results.
To participate, please call one of the following teleconferencing numbers by dialing in at least 10 minutes before the conference call commences. If you are unable to connect using the toll-free numbers, please try the international dial-in number.
US Dial-in Number: 1-877-675-4753
Israel Dial-in Number: 1-80-925-8243
International Dial-in Number: 1-719-325-4751
The call will be simultaneously webcast live on the investor relations section of CYREN’s website at http://www.cyren.com/ir.html.
For those unable to listen to the live call, a webcast replay of the call will be available from the day after the call in the investor relations section of CYREN’s corporate website.
About CYREN
CYREN is a leading provider of cloud-based security solutions that deliver powerful protection through global data intelligence. Regardless of the device or its location, CYREN's easily deployed web, email, and anti-malware products deliver uncompromising protection in both embedded and Security as a Service (SecaaS) deployments. Organizations rely on CYREN's cloud-based threat detection and proactive security analytics to provide up-to-date spam classifications, URL categorization and malware detection services. The CYREN GlobalView™ Cloud Platform leverages Recurrent Pattern Detection™ technologies to protect more than 550 million users in 190 countries. CYREN is traded on the NASDAQ Capital Market and the Tel Aviv Stock Exchange (TASE) under the trading symbol "CYRN." Visit the CYREN GlobalView Security Center or go to www.CYREN.com.
Blog: blog.cyren.com
Facebook: www.facebook.com/CyrenWeb
LinkedIn: www.linkedin.com/company/cyren
Twitter: www.twitter.com/CyrenInc
Blog: blog.cyren.com
Facebook: www.facebook.com/CyrenWeb
LinkedIn: www.linkedin.com/company/cyren
Twitter: www.twitter.com/CyrenInc
This press release contains forward-looking statements, including projections about the company’s business, within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. For example, statements in the future tense, and statements including words such as "expect," "plan," "estimate," "anticipate," or "believe" are forward-looking statements. These statements are based on information available at the time of the press release and the company assumes no obligation to update any of them. The statements in this press release are not guarantees of future performance and actual results could differ materially from current expectations as a result of numerous factors, including business conditions and growth or deterioration in the internet security market, technological developments, products offered by competitors, availability of qualified staff, and technological difficulties and resource constraints encountered in developing new products, as well as those risks described in the company's Annual Reports on Form 20-F, reports on Form 6-K and prospectus supplement dated July 24, 2014 and prospectus dated July 3, 2014 filed pursuant to Rule 424(b)(2, which are available through www.sec.gov.
U.S. Investor Contact
Garth Russell
KCSA Strategic Communications
+1 212 896 1250
grussell@kcsa.com
Israel Investor Contact
Iris Lubitch
EffectiveIR
+972 54 2528007
iris@FinCom.co.il
Company Contact:
Mike Myshrall, CFO
CYREN
+1 703 760 3320
mike.myshrall@CYREN.com
Media Contact
Matthew Zintel
Zintel Public Relations
+1 281 444 1590
matthew.zintel@zintelpr.com
CYREN LTD.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands of U.S. dollars, except per share amounts)
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Three months ended
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Nine months ended
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September 30
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September 30
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2014
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2013
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2014
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2013
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Unaudited
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Unaudited
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Unaudited
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Unaudited
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Revenues
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$ |
7,731 |
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$ |
8,019 |
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$ |
24,083 |
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$ |
23,999 |
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Cost of revenues
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2,037 |
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|
1,722 |
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6,124 |
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5,256 |
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Gross profit
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5,694 |
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6,297 |
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17,959 |
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18,743 |
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Operating expenses:
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|
|
|
|
|
|
|
|
|
|
|
|
|
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|
|
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Research and development, net
|
|
|
2,417 |
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|
|
2,079 |
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|
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8,398 |
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|
|
6,525 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
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Sales and marketing
|
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2,821 |
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|
|
2,559 |
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|
|
8,950 |
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|
|
7,861 |
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|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
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General and administrative
|
|
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1,624 |
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|
|
2,112 |
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|
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5,773 |
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6,590 |
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|
|
|
|
|
|
|
|
|
|
|
|
|
|
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|
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Adjustment of earnout obligation
|
|
|
(701 |
) |
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|
- |
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(701 |
) |
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- |
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Total operating expenses
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6,161 |
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6,750 |
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22,420 |
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|
20,976 |
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|
|
|
|
|
|
|
|
|
|
|
|
|
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Operating loss
|
|
|
(467 |
) |
|
|
(453 |
) |
|
|
(4,461 |
) |
|
|
(2,233 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other income
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|
|
- |
|
|
|
- |
|
|
|
200 |
|
|
|
- |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
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Financial expense, net
|
|
|
(249 |
) |
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|
(323 |
) |
|
|
(712 |
) |
|
|
(866 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
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|
Net loss before taxes
|
|
|
(716 |
) |
|
|
(776 |
) |
|
|
(4,973 |
) |
|
|
(3,099 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Tax benefit (expense)
|
|
|
(7 |
) |
|
|
(138 |
) |
|
|
113 |
|
|
|
181 |
|
|
|
|
|
|
|
|
|
|
|
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|
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Net loss
|
|
$ |
(723 |
) |
|
$ |
(914 |
) |
|
$ |
(4,860 |
) |
|
$ |
(2,918 |
) |
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|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loss per share - basic
|
|
$ |
(0.02 |
) |
|
$ |
(0.03 |
) |
|
$ |
(0.18 |
) |
|
$ |
(0.11 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loss per share - diluted
|
|
$ |
(0.02 |
) |
|
$ |
(0.03 |
) |
|
$ |
(0.18 |
) |
|
$ |
(0.11 |
) |
|
|
|
|
|
|
|
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|
|
|
|
|
|
|
|
|
Weighted average number of shares outstanding:
|
|
|
|
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|
|
|
|
|
|
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Basic
|
|
|
29,806 |
|
|
|
26,384 |
|
|
|
27,646 |
|
|
|
26,150 |
|
Diluted
|
|
|
29,806 |
|
|
|
26,384 |
|
|
|
27,646 |
|
|
|
26,150 |
|
RECONCILIATION OF SELECTED GAAP MEASURES TO NON GAAP MEASURES
(in thousands of U.S.dollars, except per share amounts)
|
|
Three months ended
|
|
|
Nine months ended
|
|
|
|
September 30
|
|
|
September 30
|
|
|
|
2014
|
|
|
2013
|
|
|
2014
|
|
|
2013
|
|
|
|
Unaudited
|
|
|
Unaudited
|
|
|
Unaudited
|
|
|
Unaudited
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GAAP operating loss
|
|
$ |
(467 |
) |
|
$ |
(453 |
) |
|
$ |
(4,461 |
) |
|
$ |
(2,233 |
) |
Stock-based compensation (1)
|
|
|
294 |
|
|
|
329 |
|
|
|
955 |
|
|
|
1,003 |
|
Other acquisition related costs (2)
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
142 |
|
Amortization of intangible assets (3)
|
|
|
436 |
|
|
|
542 |
|
|
|
1,327 |
|
|
|
1,307 |
|
Adjustment to earn-out liabilities (4)
|
|
|
(701 |
) |
|
|
- |
|
|
|
(701 |
) |
|
|
(3 |
) |
Executive terminations (6)
|
|
|
- |
|
|
|
- |
|
|
|
208 |
|
|
|
165 |
|
Adjustment to deferred revenues (7)
|
|
|
50 |
|
|
|
74 |
|
|
|
154 |
|
|
|
412 |
|
Settlement agreements (8)
|
|
|
- |
|
|
|
16 |
|
|
|
- |
|
|
|
91 |
|
Re organization expenses (9)
|
|
|
- |
|
|
|
96 |
|
|
|
75 |
|
|
|
96 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP operating profit (loss)
|
|
$ |
(388 |
) |
|
$ |
604 |
|
|
$ |
(2,443 |
) |
|
$ |
980 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GAAP net loss
|
|
$ |
(723 |
) |
|
$ |
(914 |
) |
|
$ |
(4,860 |
) |
|
$ |
(2,918 |
) |
Stock-based compensation (1)
|
|
|
294 |
|
|
|
329 |
|
|
|
955 |
|
|
|
1,003 |
|
Other acquisition related costs (2)
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
142 |
|
Amortization of intangible assets (3)
|
|
|
436 |
|
|
|
542 |
|
|
|
1,327 |
|
|
|
1,307 |
|
Adjustment to earn-out liabilities (4)
|
|
|
(638 |
) |
|
|
271 |
|
|
|
(449 |
) |
|
|
703 |
|
Income taxes (5)
|
|
|
(103 |
) |
|
|
(92 |
) |
|
|
(317 |
) |
|
|
(464 |
) |
Executive terminations (6)
|
|
|
- |
|
|
|
- |
|
|
|
208 |
|
|
|
165 |
|
Adjustment to deferred revenues (7)
|
|
|
50 |
|
|
|
74 |
|
|
|
154 |
|
|
|
412 |
|
Settlement agreements (8)
|
|
|
- |
|
|
|
16 |
|
|
|
(200 |
) |
|
|
91 |
|
Reorganization expenses (9)
|
|
|
- |
|
|
|
96 |
|
|
|
75 |
|
|
|
96 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP net income (loss)
|
|
$ |
(684 |
) |
|
$ |
322 |
|
|
$ |
(3,107 |
) |
|
$ |
537 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GAAP loss per share (dilluted)
|
|
|
(0.02 |
) |
|
|
(0.03 |
) |
|
|
(0.17 |
) |
|
|
(0.11 |
) |
Stock-based compensation (1)
|
|
|
0.01 |
|
|
|
0.01 |
|
|
|
0.03 |
|
|
|
0.04 |
|
Other acquisition related costs (2)
|
|
|
0.00 |
|
|
|
0.00 |
|
|
|
0.00 |
|
|
|
0.01 |
|
Amortization of intangible assets (3)
|
|
|
0.01 |
|
|
|
0.02 |
|
|
|
0.05 |
|
|
|
0.05 |
|
Adjustment to earn-out liabilities (4)
|
|
|
(0.02 |
) |
|
|
0.01 |
|
|
|
(0.02 |
) |
|
|
0.03 |
|
Income taxes (5)
|
|
|
(0.00 |
) |
|
|
(0.00 |
) |
|
|
(0.01 |
) |
|
|
(0.02 |
) |
Executive terminations (6)
|
|
|
0.00 |
|
|
|
0.00 |
|
|
|
0.01 |
|
|
|
0.01 |
|
Adjustment to deferred revenues (7)
|
|
|
0.00 |
|
|
|
0.00 |
|
|
|
0.01 |
|
|
|
0.02 |
|
Settlement agreements (8)
|
|
|
0.00 |
|
|
|
0.00 |
|
|
|
(0.01 |
) |
|
|
0.00 |
|
Reorganization expenses (9)
|
|
|
0.00 |
|
|
|
0.00 |
|
|
|
0.00 |
|
|
|
0.00 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP earnings (loss) per share (diluted)
|
|
|
(0.02 |
) |
|
|
0.01 |
|
|
|
(0.11 |
) |
|
|
0.03 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Numbers of shares used in computing non-GAAP earnings per share (diluted)
|
|
|
29,806 |
|
|
|
26,445 |
|
|
|
27,646 |
|
|
|
26,277 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Stock-based compensation
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost of revenues
|
|
$ |
15 |
|
|
$ |
12 |
|
|
$ |
40 |
|
|
$ |
38 |
|
Research and development
|
|
|
82 |
|
|
|
64 |
|
|
|
229 |
|
|
|
185 |
|
Sales and marketing
|
|
|
72 |
|
|
|
51 |
|
|
|
216 |
|
|
|
186 |
|
General and administrative
|
|
|
125 |
|
|
|
202 |
|
|
|
470 |
|
|
|
594 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
$ |
294 |
|
|
$ |
329 |
|
|
$ |
955 |
|
|
$ |
1,003 |
|
(2) Other acquisition related costs
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
General and administrative
|
|
$ |
- |
|
|
$ |
- |
|
|
$ |
- |
|
|
$ |
142 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
$ |
- |
|
|
$ |
- |
|
|
$ |
- |
|
|
$ |
142 |
|
(3) Amortization of intangible assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost of revenues
|
|
$ |
211 |
|
|
$ |
235 |
|
|
$ |
644 |
|
|
$ |
564 |
|
Sales and marketing
|
|
|
225 |
|
|
|
307 |
|
|
|
683 |
|
|
|
743 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
$ |
436 |
|
|
$ |
542 |
|
|
$ |
1,327 |
|
|
$ |
1,307 |
|
(4) Adjustment to earn-out liabilities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
General and administrative
|
|
$ |
(701 |
) |
|
$ |
- |
|
|
$ |
(701 |
) |
|
$ |
(3 |
) |
Financial expenses, net
|
|
|
63 |
|
|
|
271 |
|
|
|
252 |
|
|
|
706 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
$ |
(638 |
) |
|
$ |
271 |
|
|
$ |
(449 |
) |
|
$ |
703 |
|
(5) Income taxes
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Deferred tax asset - tax benefit
|
|
$ |
(103 |
) |
|
$ |
(92 |
) |
|
$ |
(317 |
) |
|
$ |
(464 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
$ |
(103 |
) |
|
$ |
(92 |
) |
|
$ |
(317 |
) |
|
$ |
(464 |
) |
(6) Executive terminations
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
General and administrative
|
|
$ |
- |
|
|
$ |
- |
|
|
$ |
208 |
|
|
$ |
165 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
$ |
- |
|
|
$ |
- |
|
|
$ |
208 |
|
|
$ |
165 |
|
(7) Adjustment to deferred revenues
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenues
|
|
$ |
50 |
|
|
$ |
74 |
|
|
$ |
154 |
|
|
$ |
412 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
$ |
50 |
|
|
$ |
74 |
|
|
$ |
154 |
|
|
$ |
412 |
|
(8) Settlement agreements
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
General and administrative
|
|
$ |
- |
|
|
$ |
16 |
|
|
$ |
- |
|
|
$ |
91 |
|
Other income
|
|
|
- |
|
|
|
- |
|
|
|
(200 |
) |
|
|
- |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
$ |
- |
|
|
$ |
16 |
|
|
$ |
(200 |
) |
|
$ |
91 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(9) Reorganization expenses
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
General and administrative
|
|
$ |
- |
|
|
$ |
96 |
|
|
$ |
75 |
|
|
$ |
96 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
$ |
- |
|
|
$ |
96 |
|
|
$ |
75 |
|
|
$ |
96 |
|
CYREN LTD.
CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands of U.S. dollars)
|
|
September 30
|
|
|
December 31
|
|
|
|
2014
|
|
|
2013
|
|
|
|
Unaudited
|
|
|
Audited
|
|
|
|
|
|
|
|
|
Assets
|
|
|
|
|
|
|
Current Assets:
|
|
|
|
|
|
|
Cash and cash equivalents
|
|
$ |
13,094 |
|
|
$ |
3,757 |
|
Trade receivables, net
|
|
|
4,085 |
|
|
|
5,178 |
|
Deferred tax assets
|
|
|
- |
|
|
|
48 |
|
Prepaid expenses and other receivables
|
|
|
1,417 |
|
|
|
1,988 |
|
Total current assets
|
|
|
18,596 |
|
|
|
10,971 |
|
|
|
|
|
|
|
|
|
|
Lease deposits
|
|
|
75 |
|
|
|
74 |
|
Severance pay fund
|
|
|
635 |
|
|
|
819 |
|
Property and equipment, net
|
|
|
2,546 |
|
|
|
2,674 |
|
Goodwill and intangible assets, net
|
|
|
33,009 |
|
|
|
36,395 |
|
Total long-term assets
|
|
|
36,265 |
|
|
|
39,962 |
|
|
|
|
|
|
|
|
|
|
Total assets
|
|
$ |
54,861 |
|
|
$ |
50,933 |
|
|
|
|
|
|
|
|
|
|
Liabilities and Shareholders’ Equity
|
|
|
|
|
|
|
|
|
Current Liabilities:
|
|
|
|
|
|
|
|
|
Credit line
|
|
$ |
5,347 |
|
|
$ |
3,245 |
|
Trade payables
|
|
|
638 |
|
|
|
859 |
|
Employees and payroll accruals
|
|
|
2,366 |
|
|
|
3,102 |
|
Deferred tax liability
|
|
|
149 |
|
|
|
- |
|
Accrued expenses and other liabilities
|
|
|
1,233 |
|
|
|
1,366 |
|
Earn-out consideration
|
|
|
2,294 |
|
|
|
1,428 |
|
Deferred revenues
|
|
|
4,407 |
|
|
|
4,499 |
|
Total current liabilities
|
|
|
16,434 |
|
|
|
14,499 |
|
|
|
|
|
|
|
|
|
|
Deferred revenues
|
|
|
1,238 |
|
|
|
1,646 |
|
Deferred tax liability
|
|
|
2,150 |
|
|
|
2,749 |
|
Earn-out consideration
|
|
|
903 |
|
|
|
2,857 |
|
Accrued severance pay
|
|
|
706 |
|
|
|
873 |
|
Total long-term liabilities
|
|
|
4,997 |
|
|
|
8,125 |
|
|
|
|
|
|
|
|
|
|
Shareholders’ equity
|
|
|
33,430 |
|
|
|
28,309 |
|
Total liabilities and shareholders’ equity
|
|
$ |
54,861 |
|
|
$ |
50,933 |
|
CONDENSED CONSOLIDATED CASH FLOW DATA
(in thousands of U.S. dollars)
|
|
Three months ended
|
|
|
Nine months ended
|
|
|
|
September 30
|
|
|
September 30
|
|
|
|
2014
|
|
|
2013
|
|
|
2014
|
|
|
2013
|
|
Cash flows from operating activities:
|
|
Unaudited
|
|
|
Unaudited
|
|
|
Unaudited
|
|
|
Unaudited
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net loss
|
|
$ |
(723 |
) |
|
$ |
(914 |
) |
|
$ |
(4,860 |
) |
|
$ |
(2,918 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjustments to reconcile net loss to net cash provided by (used in) operating activities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loss on disposal of property and equipment
|
|
|
(1 |
) |
|
|
- |
|
|
|
(1 |
) |
|
|
- |
|
Depreciation
|
|
|
313 |
|
|
|
361 |
|
|
|
955 |
|
|
|
858 |
|
Stock based compensation
|
|
|
294 |
|
|
|
329 |
|
|
|
955 |
|
|
|
1,003 |
|
Amortization of intangible assets
|
|
|
436 |
|
|
|
542 |
|
|
|
1,327 |
|
|
|
1,307 |
|
Accrued interest, accretion of discount and exchange rate differences on credit line
|
|
|
46 |
|
|
|
110 |
|
|
|
102 |
|
|
|
108 |
|
Accretion and change in fair value of earn-out consideration, net
|
|
|
(638 |
) |
|
|
271 |
|
|
|
(449 |
) |
|
|
702 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Changes in assets and liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Trade receivables
|
|
|
823 |
|
|
|
(611 |
) |
|
|
1,181 |
|
|
|
201 |
|
Deferred taxes
|
|
|
(65 |
) |
|
|
(92 |
) |
|
|
(184 |
) |
|
|
(464 |
) |
Prepaid expenses and other receivables
|
|
|
(59 |
) |
|
|
67 |
|
|
|
476 |
|
|
|
(935 |
) |
Trade payables
|
|
|
(134 |
) |
|
|
(406 |
) |
|
|
(392 |
) |
|
|
(318 |
) |
Employees and payroll accruals, accrued expenses and other liabilities
|
|
|
(211 |
) |
|
|
37 |
|
|
|
(709 |
) |
|
|
(479 |
) |
Deferred revenues
|
|
|
(121 |
) |
|
|
(624 |
) |
|
|
(531 |
) |
|
|
1,334 |
|
Accrued severance pay, net
|
|
|
(10 |
) |
|
|
(50 |
) |
|
|
17 |
|
|
|
(59 |
) |
Net cash provided by (used in) operating activities
|
|
|
(50 |
) |
|
|
(980 |
) |
|
|
(2,113 |
) |
|
|
340 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash flows from investing activities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Change in long-term lease deposits
|
|
|
2 |
|
|
|
(20 |
) |
|
|
(3 |
) |
|
|
(26 |
) |
Proceeds from sale of fixed assets
|
|
|
- |
|
|
|
4 |
|
|
|
- |
|
|
|
4 |
|
Investment in affiliate
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
(80 |
) |
Purchase of property and equipment
|
|
|
(145 |
) |
|
|
(320 |
) |
|
|
(703 |
) |
|
|
(1,656 |
) |
Net cash used in investing activities
|
|
|
(143 |
) |
|
|
(336 |
) |
|
|
(706 |
) |
|
|
(1,758 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash flows from financing activities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Proceeds from capital issuance, net
|
|
|
10,238 |
|
|
|
- |
|
|
|
10,238 |
|
|
|
- |
|
Proceeds from credit line
|
|
|
- |
|
|
|
- |
|
|
|
2,000 |
|
|
|
3,005 |
|
Payment of earn-out consideration
|
|
|
- |
|
|
|
- |
|
|
|
(351 |
) |
|
|
(3,994 |
) |
Proceeds from options exercised
|
|
|
3 |
|
|
|
297 |
|
|
|
331 |
|
|
|
1,216 |
|
Net cash provided by financing activities
|
|
|
10,241 |
|
|
|
297 |
|
|
|
12,218 |
|
|
|
227 |
|
Effect of exchange rate changes on cash and cash equivalents
|
|
|
(58 |
) |
|
|
40 |
|
|
|
(62 |
) |
|
|
26 |
|
Increase (decrease) in cash and cash equivalents
|
|
|
10,048 |
|
|
|
(1,019 |
) |
|
|
9,399 |
|
|
|
(1,191 |
) |
Cash and cash equivalents at the beginning of the period
|
|
|
3,104 |
|
|
|
4,951 |
|
|
|
3,757 |
|
|
|
5,137 |
|
Cash and cash equivalents at the end of the period
|
|
$ |
13,094 |
|
|
$ |
3,972 |
|
|
$ |
13,094 |
|
|
$ |
3,972 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CYREN (NASDAQ:CYRN)
Historical Stock Chart
From Aug 2024 to Sep 2024
CYREN (NASDAQ:CYRN)
Historical Stock Chart
From Sep 2023 to Sep 2024