XBRL Filings Revenues Increased 219% NEW YORK, Nov. 3 /PRNewswire/
-- EDGAR Online, Inc. (NASDAQ:EDGR) today announced that total
revenues were $5.2 million and adjusted EBITDA was $1.3 million for
the quarter ended September 30, 2009, compared to revenues of $4.7
million and adjusted EBITDA of $156,000 for the quarter ended
September 30, 2008. Total revenues were $14.0 million and adjusted
EBITDA was $1.9 million for the nine months ended September 30,
2009, compared to revenues of $14.6 million and adjusted EBITDA of
$540,000 in the same period in 2008. EDGAR Online is a leader in
the creation of XBRL financial reports and the distribution of
company data and public filings for equities, mutual funds and a
variety of other publicly traded assets. XBRL filings revenues were
$1.5 million for the quarter ended September 30, 2009, a 219%
increase from the same quarter last year. The increase in XBRL
filings revenues and data and solutions revenues in 2009 was
partially offset by decreases in subscriptions revenues. "Our
performance in the third quarter showed improvements in certain key
business metrics as compared to the first two quarters of 2009,
perhaps indicating a slight easing in the very difficult global
economic environment. Results in subscriptions were still lower
versus the third quarter of 2008, but we see more stability in that
business and growth in new data sales. Our filings business grew
substantially this quarter and we believe it has significant
opportunity to broaden. Based on our current leading market share,
our XBRL conversion platform proved to be an efficient and scalable
solution in the market this quarter and we are preparing for both
increased volumes and filing complexity in upcoming quarters," said
Philip Moyer, EDGAR Online CEO and President. Operating income was
$451,000 for the quarter ended September 30, 2009 compared to an
operating loss of ($629,000) for the same quarter last year. The
improved financial results were primarily due to an increase in
XBRL filings revenue and lower operating costs. Net income was
$360,000, or $0.01 per share, for the quarter ended September 30,
2009 compared to a net loss of ($750,000), or ($0.03) per share,
for the same quarter last year. Operating loss was ($828,000) for
the nine months ended September 30, 2009 compared to ($1.8 million)
for the same period last year. Net loss was ($1.1 million), or
($0.04) per share, for the nine months ended September 30, 2009
compared to ($2.1 million), or ($0.08) per share, for the same
period last year. Deferred revenue was $3.7 million at September
30, 2009 compared to $4.2 million at December 31, 2008. Deferred
revenue represents amounts billed to customers that will be
recognized as revenue in future quarters as the company's products
and services are utilized. During the quarter ended September 30,
2009, the company capitalized $236,000 of costs for the development
of internal software related to the XBRL filings business, which
are included in property and equipment. At September 30, 2009,
cash, cash equivalents and short-term investments totaled $1.7
million, compared to $2.3 million at December 31, 2008. At
September 30, 2009, the company has a $2.5 million revolving credit
facility, none of which had been drawn down. The company has a
services agreement with R. R. Donnelley & Sons Company, dated
as of September 30, 2008, under which the company is R.R.
Donnelley's limited exclusive provider of certain XBRL services.
According to the services agreement, fees for the second and third
years of the agreement shall be agreed to prior to October 1, 2009
and 2010, respectively. The second year of the agreement began on
October 1, 2009 without the parties having reached agreement as to
the fees for such period. Currently, the agreement is still active
and in force and the company continues to provide services to R.R.
Donnelley using year one pricing while negotiations continue. KEY
FINANCIAL METRICS (in thousands, except per share amounts) Three
Months Ended Nine Months Ended September 30, September 30,
(unaudited) (unaudited) 2008 2009 2008 2009 Subscriptions $2,127
$1,585 $6,662 $5,122 Data and solutions 2,110 2,179 7,085 6,434
XBRL filings 464 1,478 866 2,488 Total Revenues $4,701 $5,242
$14,613 $14,044 Net income (loss) $ (750) $ 360 $(2,142) $(1,120)
Interest expense, net 121 91 347 292 Operating income (loss) (629)
451 (1,795) (828) Severance costs - - 40 57 Stock compensation 321
273 901 1,050 Amortization and depreciation 464 568 1,394 1,598
Adjusted EBITDA $156 $1,292 $540 $1,877 Net income (loss) per share
$(0.03) $0.01 $(0.08) $(0.04) Adjusted EBITDA per share $ 0.01
$0.05 $0.02 $ 0.07 In addition to disclosing financial results
prepared in accordance with generally accepted accounting
principles ("GAAP"), the company discloses information regarding
adjusted EBITDA. Adjusted EBITDA is a non-GAAP financial measure
defined as earnings before interest, taxes, depreciation and
amortization. Adjusted EBITDA also excludes severance costs and the
non-cash charge for stock compensation expense. As required by the
SEC, the company provides the above reconciliation to net income
(loss), which is the most directly comparable GAAP measure. The
company presents adjusted EBITDA as it is a common alternative
measure of performance that is used by management as well as
investors when analyzing the financial position and operating
performance of the company by excluding certain non-cash expenses,
such as stock compensation expense, as well as non-operating items
that are not indicative of its core operating results. Furthermore,
this non-GAAP financial measure is one of the primary indicators
management uses for planning and forecasting future periods. As
adjusted EBITDA is a non-GAAP financial measure, it should not be
considered in isolation or as a substitute for net income (loss) or
any other GAAP measure. Because not all companies calculate
adjusted EBITDA in the same manner, the company's definition of
adjusted EBITDA might not be consistent with that of other
companies. EDGAR Online will hold its quarterly conference call to
review results for the quarter ended September 30, 2009 today,
Tuesday, November 3, 2009, at 5:00 p.m. EST. Philip Moyer, CEO and
President, and John Ferrara, CFO, will host the call. To
participate, please call (877) 407-8031 (toll-free for domestic
callers), or (201) 689-8031 (international callers). The call will
also be broadcast simultaneously over the Internet at:
http://www.edgar-online.com/investor/. The teleconference replay
will be available for approximately one week beginning at 7:00 p.m.
EST on November 3, 2009 by calling (877) 660-6853 (domestic) or
(201) 612-7415 (international). The account number is 286 and the
conference ID is 335220. About EDGAR Online, Inc. EDGAR Online,
Inc. (NASDAQ:EDGR) is a leader in the distribution of company data
and public filings for equities, mutual funds and a variety of
other publicly traded assets. We deliver our information products
directly to end users via online subscriptions and data licenses,
and to redistributors who embed our content in their own and their
clients' Web sites. Our proprietary automated systems allow for the
rapid conversion of data and we are a pioneer and leader in the
global financial reporting standard -- eXtensible Business
Reporting Language, otherwise known as XBRL. We use our automated
processing platform and our expertise in XBRL to produce both
datasets and tools and to assist organizations with the creation,
management and distribution of XBRL financial reports. For more
detailed information on all of our businesses or to contact us
please visit our Web site at http://www.edgar-online.com/.
"Forward-looking statements" as defined in the Private Securities
Litigation Reform Act of 1995 may be included in this news release.
These statements relate to future events and/or our future
financial performance. These statements are only predictions and
may differ materially from actual future events or results. EDGAR
Online, Inc. disclaims any intention or obligation to revise any
forward-looking statements whether as a result of new information,
future developments or otherwise. Please refer to the documents
filed by EDGAR Online, Inc. with the Securities and Exchange
Commission, which identify important risk factors that could cause
actual results to differ from those contained in forward-looking
statements, including, but not limited to risks associated with (i)
our ability to increase revenues, (ii) our ability to obtain
profitability, (iii) our ability to obtain additional financing,
(iv) changes in general economic and business conditions, including
in the online business and financial information industry, (v)
actions of our competitors, (vi) our relationships with our
customers, including without limitation under our services
agreement with R.R. Donnelley and Sons Company, (vii) the extent to
which we are able to develop new services and markets for our
services, (viii) the time and expense involved in such development
activities, (ix) risks in connection with acquisitions, (x) the
level of demand and market acceptance of our services, and (xi)
changes in our business strategies. EDGAR® is a federally
registered trademark of the U.S. Securities and Exchange
Commission. EDGAR Online is not affiliated with or approved by the
U.S. Securities and Exchange Commission. EDGAR Online, Inc.
Condensed Consolidated Statements of Operations (in thousands,
except per share amounts) Three Months Ended Nine Months Ended
September 30, September 30, (unaudited) (unaudited) 2008 2009 2008
2009 Revenues: Subscriptions $2,127 $1,585 $6,662 $5,122 Data and
solutions 2,110 2,179 7,085 6,434 XBRL filings 464 1,478 866 2,488
Total revenues 4,701 5,242 14,613 14,044 Total cost of sales 645
1,147 2,224 3,479 Gross profit 4,056 4,095 12,389 10,565 Sales and
marketing 1,081 701 3,481 2,450 Product development 1,043 478 3,147
1,491 General and administrative 2,097 1,897 6,122 5,797 Severance
costs - - 40 57 Amortization and depreciation 464 568 1,394 1,598
Total operating expenses 4,685 3,644 14,184 11,393 Operating income
(loss) (629) 451 (1,795) (828) Interest expense, net (121) (91)
(347) (292) Net income (loss) $(750) $360 $(2,142) $(1,120)
Weighted average shares outstanding - basic 26,407 26,775 26,350
26,731 Weighted average shares outstanding - diluted 26,407 27,437
26,350 26,731 Net income (loss) per share - basic and diluted
$(0.03) $0.01 $(0.08) $(0.04) EDGAR Online, Inc. Condensed
Consolidated Balance Sheets (in thousands) December 31, September
30, 2008* 2009 (unaudited) Assets Cash, cash equivalents and
short-term investments $2,282 $1,747 Accounts receivable, net 2,570
2,441 Other assets 254 179 Total current assets 5,106 4,367
Property and equipment, net 1,826 2,444 Goodwill 2,189 2,189
Intangible assets, net 2,952 2,017 Other assets 933 709 Total
assets $13,006 $11,726 Liabilities and Stockholders' Equity
Accounts payable and accrued expenses $2,407 $2,185 Deferred
revenues 4,239 3,651 Current portion of long-term debt 438 500
Total current liabilities 7,084 6,336 Long-term debt 1,885 1,528
Other long-term liabilities 333 206 Total liabilities 9,302 8,070
Stockholders' equity: Common stock 276 278 Treasury stock (1,828)
(1,770) Additional paid-in capital 73,092 74,104 Accumulated
deficit (67,836) (68,956) Total stockholders' equity 3,704 3,656
Total liabilities and stockholders' equity $13,006 $11,726 *
Derived from the company's audited December 31, 2008 financial
statements. DATASOURCE: EDGAR Online, Inc. CONTACT: John C.
Ferrara, Chief Financial Officer of EDGAR Online, Inc.,
+1-203-856-5666, Web Site: http://www.edgar-online.com/
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