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Tix Corporation Reports Positive First Quarter 2019 Results

STUDIO CITY, CA, May 08, 2019 (GLOBE NEWSWIRE) -- Tix Corporation (the “Company”) (TIXC), a leading provider of discount ticketing services, today reported results for the first quarter ended March 31, 2019.

First Quarter 2019 Business Highlights:

  • REVENUE GROWTH - Returned to year-over-year revenue growth.  Revenue improved 3% over the prior year period.

  • OPERATING INCOME GROWTH - Operating income was $97,000 compared to an operating loss of ($721,000) in the prior year period.

  • POSITIVE NET INCOME - Net income was $50,000 compared to a net loss of ($717,000) in the prior year period.

  • POSITIVE CASH FLOW - Cash flows from operations improved to $137,000, compared to cash used in operations of ($639,000) in the prior year period.

Tix Corporation’s Chief Executive Officer, Mitch Francis, commented, “We have aggressively addressed the difficult Las Vegas show ticket market conditions experienced over the past two years.  We developed a new agreement with MGM Resorts and Cirque du Soleil; increased service fees; and we effected significant operating cost savings.  As a result, we are proud to report a return to year-over-year revenue; positive cash flow; and have maintained cash reserves with no debt.”

Mr. Francis continued, “We anticipate these efforts will lead to improved operating results throughout 2019.  However, activist stockholder, Haren Bhakta of HSB Capital Partners continues to pursue his own personal agenda to the detriment of the Company and its stockholders. As he has done in the past two years or so, he continues to force the Company to spend enormous management time and resources and hundreds of thousands of dollars (primarily in legal fees over the past two years) in responding to his consistent attacks on management, directors and employees and his constant threats regarding his desire to control the Company.  Such distractions and expenses may well adversely affect our future results and diminish the positive results described above. Mr. Bhakta has no background in any facet of the ticket business; no background in Las Vegas entertainment; no background as an officer or director of a publicly traded company; and no other experience or qualification that is relevant to Tix and its business.  We urge Tix stockholders to ignore any communications from Mr. Bhakta and to allow the Company to continue its fruitful efforts to improve its operating results for all stockholders.”

About Tix Corporation

Tix Corporation (TIXC) provides discount ticketing services. It currently operates nine discount ticket stores in Las Vegas under its Tix4Tonight marquee and its online ticket sales site, www.tix4tonight.com, which offers up to a 50 percent discount for shows, concerts, attractions, and tours, as well as discount dining and shopping offers. 

Safe Harbor Statement

Except for the historical information contained herein, certain matters discussed in this press release are forward-looking statements which involve risks and uncertainties. Forward-looking statements include, but are not limited to, statements about our future revenues and financial position. These forward-looking statements are based on expectations and assumptions as of the date of this press release and are subject to numerous risks and uncertainties which could cause actual results to differ materially from those described in the forward-looking statements. These risks and uncertainties are discussed in the Company's filings with the OTC Markets. The Company assumes no obligation to update these forward-looking statements. A copy of the Company’s reports for the twelve months ended December 31, 2018, can be found on the Company website at www.tixcorp.com or www.otcmarkets.com.

Investor Contacts:     

Steve Handy, CFO, (818)761-1002





TIX CORPORATION AND SUBSIDIARY
 
CONDENSED CONSOLIDATED BALANCE SHEETS

 
 
          March 31, 2019     December 31, 2018  
          (Unaudited)        
Assets  
Current assets:            
  Cash   $ 3,968,000     $ 3,870,000    
  Prepaid expenses and other current assets   458,000       381,000    
    Total current assets   4,426,000       4,251,000    
             
Property and equipment, net   194,000       186,000    
             
Right of use asset, net   3,317,000       -    
             
Other assets:            
  Deferred tax asset   1,653,000       1,653,000    
  Deposits and other assets   407,000       215,000    
    Total other assets   2,060,000       1,868,000    
      Total assets $ 9,997,000     $ 6,305,000    
                   
Liabilities and Stockholders’ Equity  
Current liabilities:            
  Accounts payable – shows and events $ 781,000     $ 660,000    
  Accounts payable and accrued expenses   598,000       412,000    
  Leases payable, current portion   1,886,000       -    
  Deferred revenue   36,000       59,000    
    Total current liabilities   3,301,000       1,131,000    
                   
Leases payable, net of current portion   1,520,000       -    
Deferred rent obligations         75,000    
Total liabilities   4,821,000       1,206,000    
             
Commitments and contingencies            
                   
Stockholders’ equity:            
  Preferred stock, $.01 par value; 500,000 shares authorized; none issued            
  Common stock, $.08 par value; 100,000,000 shares authorized; 17,342,175
shares net of 16,644,814 treasury shares, and 17,342,175 shares net of
16,644,814 treasury shares issued and outstanding at March 31, 2019 and
December 31, 2018, respectively
  2,720,000       2,720,000    
  Additional paid-in capital   95,140,000       95,113,000    
  Cost of shares held in treasury   (28,164,000 )     (28,164,000 )  
  Accumulated deficit   (64,520,000 )     (64,570,000 )  
    Total stockholders’ equity   5,176,000       5,099,000    
      Total liabilities and stockholders’ equity $ 9,997,000     $ 6,305,000    



TIX CORPORATION AND SUBSIDIARY
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(UNAUDITED)
                 
    Three Months Ended March 31,
      2019   2018
        (Unaudited)
  (Unaudited)
                 
Revenues       $ 3,145,000   $ 3,061,000  
Operating expenses:                
Direct costs of revenues         1,963,000     2,139,000  
Selling, general and administrative expenses         1,054,000     1,603,000  
Depreciation expense         31,000     40,000  
          Total costs and expenses         3,048,000     3,782,000  
Operating income (loss)         97,000     (721,000 )
Other (income) expense         46,000     (5,000 )
Income (loss) before provision for income tax expense         51,000     (716,000 )
Provision for income tax expense         1,000     1,000  
Net income (loss)       $ 50,000   $ (717,000 )
                 
Net loss per common share – basic and diluted       $ 0.00   $ (0.04 )
                 
Weighted average common shares outstanding – basic and diluted         17,342,175     17,342,175