SACRAMENTO, CA--(Marketwired - May 3, 2013) - Internet Patents Corporation ("IPC") (NASDAQ: PTNT) today reported financial results for the first quarter ended March 31, 2013.
"We currently have patent infringement lawsuits in progress against six companies, two of which are alleged to infringe our Event Log patent, and four of which are alleged to infringe our Dynamic Tabs patent," said Hussein Enan, Chairman and CEO of Internet Patents Corporation. "While we did not file any additional patent infringement lawsuits during the first quarter, we continue to review and identify other potential infringers of our strong portfolio of e-commerce patents and expect to take additional actions in 2013."
As of the quarter ended March 31, 2013:
The Company reported a net loss for the first quarter of 2013 of $451,000, or $0.06 per share.
Total operating expenses of $456,000 was lower than the Company's target range of $0.6 to $0.8 million. This was due to the Company incurring lower patent litigation costs than anticipated. We expect operating expenses for the foreseeable future to range between $0.5 million and $0.7 million per quarter.
Cash and cash equivalents and short-term investments were $33.0 million, which includes $1.0 million in restricted cash equivalents.
The number of shares of Internet Patents Corporation common stock issued and outstanding was 7,751,952. Options representing a total of 114,560 shares of common stock remain outstanding and exercisable as of that same date.
Net operating loss (NOL) carry forwards were approximately $141.3 million and $63.2 million for federal income tax and state income tax purposes, respectively. Included in these amounts are unrealized federal and state net operating loss deductions resulting from stock option exercises of approximately $6.7 million each. The benefit of these unrealized stock option-related deductions has not been included in deferred tax assets and will be recognized as a credit to additional paid-in capital when realized. Federal and state net operating loss carry forwards begin or have begun expiring in 2019 and 2013 respectively.
About Internet Patents Corporation
Headquartered in Sacramento, CA, Internet Patents Corporation (NASDAQ: PTNT) operates a patent licensing business focused on its e-commerce technologies.www.internetpatentscorporation.net
This news release contains forward-looking statements, which include statements expressing the intent, belief or current expectations of Internet Patents Corporation that are subject to significant risks and uncertainties and are subject to change based on various factors, many of which are beyond our control. The words "may," "could," "should," "would," "believe," "anticipate," "estimate," "expect," "intend," "plan," "target," "goal," and similar expressions are intended to identify forward-looking statements. Actual results might differ materially from those stated or implied by such forward-looking statements due to risks and uncertainties associated with Internet Patent Corporation's business, which include, but are not limited to: the unpredictable nature of patent licensing and patent litigation; potential changes in the laws and regulations relating to patents and patent litigation; the risk that we are not currently engaged in the patent licensing business, and our patent portfolio has never generated revenues; future changes we may make in our patent licensing strategy; and changes in the taxation of income due to the disallowance or expiration of the Company's net operating losses. Unless legally required, Internet Patents Corporation undertakes no obligation to update publicly any forward-looking statements, whether as a result of new information, future events or otherwise. The forward-looking statements should be considered in the context of these and other risk factors disclosed in the Company's filings with the Securities and Exchange Commission.
INTERNET PATENTS CORPORATION
CONDENSED CONSOLIDATED BALANCE SHEETS
Cash and cash equivalents
Restricted cash equivalents and short-term investments
Prepaid expenses and other current assets
Total current assets
Property and equipment, net
Liabilities and stockholders' equity
Total current liabilities
Income tax liability
Unrealized loss on available-for-sale securities
Total stockholders' equity
Total liabilities and stockholders' equity
INTERNET PATENTS CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except per share amounts)
Three Months Ended March 31,
General and administrative
Total operating expenses
Loss from operations
Net loss per share:
Basic and diluted
Shares used in computing net loss per share:
Basic and diluted