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I think we should see positive pressure on the share price moving forward. I don't think we'll see a significant move until the short position diminishes.
just my opinion,
Andy
I bought it on ARCA, using Fidelity Active Trader Pro. I don't know if it ever made it outside of Fidelity.
Andy
I bought a fistful at $4.39 and $4.20 in after hours.
nice opportunity in my opinion,
Andy
Synacor Reports Fourth Quarter and Fiscal 2012 Results
BY GlobeNewswire
— 4:15 PM ET 02/20/2013
Quarterly revenue of $32.2 million, an increase of 11% year-over-year
Annual revenue of $122.0 million, an increase of 34% year-over-year
Quarterly adjusted EBITDA of $3.5 million vs. $2.7 million in prior year
Annual adjusted EBITDA of $11.6 million vs. $7.6 million in prior year
BUFFALO, N.Y., Feb. 20, 2013 (GLOBE NEWSWIRE) -- Synacor, Inc. (SYNC) , leading provider of next-gen startpages, TV Everywhere solutions, and cloud-based Identity Management (IDM) services across multiple devices for cable, satellite, telecom and consumer electronics companies, today announced its financial results for the fourth quarter and fiscal year 2012.
"We are proud of Synacor's (SYNC) achievements and growth in 2012, as we experienced record numbers of search queries, advertising impressions, and unique visitors. This engagement produced record revenue and adjusted EBITDA for the year," said Synacor (SYNC) CEO Ron Frankel. "Our success was also evident from our many accomplishments in 2012 including our initial public offering, the acquisition of Carbyn, the launch of Cloud ID and Social Login, and major customer wins. We are very proud of our employees, customers and partners. While we remain passionate about our long-term opportunities, we expect 2013 to be transitional.
Q4 2012 Financial Results
Revenue: For the fourth quarter of 2012, total revenue was $32.2 million, an 11% increase over $28.9 million in the fourth quarter of 2011. Search and display advertising revenue was $27.1 million, a 13% increase compared to $24.0 million in the fourth quarter of 2011. Subscription-based revenue was $5.1 million, a 4% increase compared to $4.9 million in the fourth quarter of 2011.
Net Income: For the fourth quarter of 2012, net income was $0.8 million. This compared to $7.7 million in the fourth quarter of 2011, which included a $6.1 million income tax benefit for the reduction of our deferred tax asset valuation allowance. Diluted earnings per share, or EPS, was $0.03. Net income includes stock-based compensation expense of $0.5 million, or $0.02 per share, in the fourth quarter of 2012, as compared to $0.3 million, or $0.01 per share, in the fourth quarter of 2011. The diluted EPS calculation for the fourth quarter of 2012 is based on 28.6 million weighted average fully diluted common shares outstanding. The diluted EPS calculation for the fourth quarter of 2011 was based on 23.0 million shares.
Adjusted EBITDA: For the fourth quarter of 2012, adjusted EBITDA, which excludes stock-based compensation expense, was $3.5 million, or 11% of revenue, compared to $2.7 million, or 9% of revenue, in the fourth quarter of 2011.
Key Business Metrics: For the fourth quarter of 2012, Synacor (SYNC) averaged 20.3 million unique visitors per month, an increase of 8% from 18.7 million unique visitors in the fourth quarter of 2011. Search queries were 225 million for the fourth quarter of 2012, a decrease of 8% from 245 million in the fourth quarter of 2011. Advertising impressions grew 41% to 11.7 billion, compared to 8.3 billion in the fourth quarter of 2011.
Cash: For the fourth quarter of 2012, Synacor (SYNC) generated $4.8 million in cash from operating activities, compared to $4.7 million in the fourth quarter of 2011.
Fiscal 2012 Financial Results
Revenue: For fiscal 2012, total revenue was $122.0 million, a 34% increase over $91.1 million in fiscal 2011. Search and display advertising revenue was $101.6 million, a 41% increase compared to $72.1 million in fiscal 2011. Subscription-based revenue was $20.4 million, an 8% increase compared to $19.0 million in fiscal 2011.
Net Income: For fiscal 2012, net income was $3.8 million. This compared to $9.9 million in fiscal 2011, which included a $6.1 million income tax benefit for the reduction of our deferred tax asset valuation allowance. Diluted earnings per share, or EPS, was $0.14. Net income includes stock-based compensation expense of $2.0 million, or $0.07 per share, in fiscal 2012, as compared to $0.9 million, or $0.04 per share, in fiscal 2011. The diluted EPS calculation for fiscal 2012 is based on 28.1 million weighted average fully diluted common shares outstanding. The diluted EPS calculation for fiscal 2011 was based on 22.0 million shares.
Adjusted EBITDA: For fiscal 2012, adjusted EBITDA, which excludes stock-based compensation expense, was $11.6 million, or 10% of revenue, compared to $7.6 million, or 8% of revenue, in fiscal 2011.
Key Business Metrics: For fiscal 2012, Synacor (SYNC) averaged 20.4 million unique visitors per month, an increase of 40% from 14.6 million unique visitors in fiscal 2011. Search queries were 968 million for the year, an increase of 29% from 749 million in fiscal 2011. Advertising impressions grew 52% to 42.2 billion, compared to 27.7 billion in fiscal 2011.
Cash: For fiscal 2012, Synacor (SYNC) generated $14.7 million in cash from operating activities, compared to $8.7 million in fiscal 2011. The company ended the year with $41.9 million in cash and cash equivalents, compared to $10.9 million at the end of the prior year.
"In 2012, Synacor (SYNC) achieved record financial performance in revenue and adjusted EBITDA," said Synacor CFO Bill Stuart. "In 2013, Synacor (SYNC) will continue to build upon the foundation we have established— investing in our products, employees, customers and partners, as we position Synacor (SYNC) for the long-term."
Business Outlook
Based on information available as of February 20, 2013, the company is providing financial guidance for the first quarter and fiscal 2013 as follows:
Q1 2013 Guidance: Revenue for the first quarter of 2013 is projected to be in the range of $28.5 million to $29.5 million. For the first quarter of 2013, the company expects to report adjusted EBITDA of $1.6 million to $2.0 million.
Fiscal 2013 Guidance: We are forecasting based on our existing customers' activity. Growth may develop as we sign and launch new customers and new products and services. With this in mind, we expect to report revenue of $122.0 to $126.0 million and adjusted EBITDA of $11.6 to $12.6 million for 2013. We believe that we have potential for upside, subject to the performance and timing of the recently announced and future customer wins as well as other strategic initiatives we are currently developing.
Conference Call Details
Synacor (SYNC) will host a conference call today at 5 p.m. ET to discuss the fourth quarter and fiscal 2012 financial results with the investment community. The live webcast of Synacor's (SYNC) earnings conference call can be accessed at http://investor.synacor.com/events.cfm. To participate, please login approximately ten minutes prior to the webcast. For those without access to the Internet, the call may be accessed toll-free via phone at (877) 837-3911, with conference ID 94113666, or callers outside the U.S. may dial (253) 237-1167. Following completion of the call, a recorded webcast replay will be available on Synacor's (SYNC) website through March 6, 2013. To listen to the telephone replay, call toll-free (855) 859-2056, or callers outside the U.S. may dial (404) 537-3406. The conference ID is 94113666.
About Synacor (SYNC)
Synacor's (SYNC) white-label platform enables cable, satellite, telecom and consumer electronics companies to deliver TV Everywhere, digital entertainment, cloud-based services and apps to their end-consumers across multiple devices, strengthening those relationships while monetizing the engagement. Synacor (SYNC) , is headquartered in Buffalo, NY. For more information, visit synacor.com. Integrate. Authenticate. Engage.
The Synacor (SYNC) logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=11609
Non-GAAP Financial Measures
The company uses certain non-GAAP financial measures in this release. Generally, a non-GAAP financial measure is a numerical measure of a company's performance, financial position or cash flows that either excludes or includes amounts that are not normally excluded or included in the most directly comparable measure calculated and presented in accordance with generally accepted accounting principles (GAAP).
We report adjusted EBITDA because it is a key measure used by our management and board of directors to understand and evaluate our core operating performance and trends, to prepare and approve our annual budget and to develop short- and long-term operational plans. In particular, the exclusion of certain expenses in calculating adjusted EBITDA can provide a useful measure for period-to-period comparisons of our core business. Accordingly, we believe that adjusted EBITDA provides useful information to investors and others in understanding and evaluating our operating results in the same manner as our management and board of directors.
For a reconciliation of adjusted EBITDA to net income, the most directly comparable financial measure calculated and presented in accordance with GAAP, please refer to the table "Reconciliation of GAAP to Non-GAAP Measures" in this press release.
Safe Harbor Statement
"Safe Harbor" statement under the Private Securities Litigation Reform Act of 1995: This press release contains forward-looking statements concerning Synacor's (SYNC) expected financial performance (including, without limitation, statements and information in the Business Outlook section and the quotations from management), as well as Synacor's (SYNC) strategic and operational plans. The achievement or success of the matters covered by such forward-looking statements involves risks, uncertainties and assumptions. If any such risks or uncertainties materialize or if any of the assumptions prove incorrect, the company's results could differ materially from the results expressed or implied by the forward-looking statements the company makes.
The risks and uncertainties referred to above include - but are not limited to - risks associated with: execution of our plans and strategies; the loss of a significant customer; expectations regarding consumer taste and user adoption of applications and solutions; general economic conditions; expectations regarding the company's ability to timely expand the breadth of services and products or introduction of new services and products; consolidation within the cable and telecommunications industries; changes in the competitive dynamics in the market for online search and display advertising; the risk that security measures could be breached and unauthorized access to subscriber data could be obtained; potential third party intellectual property infringement claims; and the price volatility of our common stock.
Further information on these and other factors that could affect the company's financial results is included in filings it makes with the Securities and Exchange Commission from time to time, including the section entitled "Risk Factors" in the company's most recent Form 10-Q filed with the SEC on November 14, 2012. These documents are available on the SEC Filings section of the Investor Information section of the company's website at http://investor.synacor.com/. All information provided in this release and in the attachments is available as of February 20, 2013, and Synacor (SYNC) undertakes no duty to update this information.
Synacor, Inc. (SYNC)
Condensed Consolidated Balance Sheets
(In thousands)
(Unaudited)
As of
December 31, As of
December 31,
2011 2012
Assets
Current assets:
Cash and cash equivalents $ 10,925 $ 41,944
Accounts receivable, net 14,336 15,624
Deferred income taxes 3,534 1,999
Prepaid expenses and other current assets 1,811 1,831
Total current assets 30,606 61,398
Property and equipment, net 8,301 11,043
Deferred income taxes, non-current 2,549 2,527
Other long-term assets 1,926 543
Goodwill — 819
Total Assets $ 43,382 $ 76,330
Liabilities and Stockholders' Equity
Current liabilities:
Accounts payable $ 12,498 $ 14,204
Accrued expenses and other current liabilities 5,492 7,328
Current portion of bank financing 250 —
Current portion of capital lease obligations 1,593 2,127
Total current liabilities 19,833 23,659
Long-term portion of capital lease obligation 2,098 1,712
Other long-term liabilities 71 148
Total Liabilities 22,002 25,519
Stockholders' Equity:
Common stock 31 275
Preferred stock 28,432 —
Treasury stock (569) (569)
Additional paid-in capital 45,639 99,449
Accumulated other comprehensive income — (6)
Accumulated deficit (52,153) (48,338)
Total stockholders' equity 21,380 50,811
Total liabilities and stockholders' equity $ 43,382 $ 76,330
Synacor, Inc. (SYNC)
Condensed Consolidated Statements of Operations
(In thousands except share and per share data)
(Unaudited)
Three months ended
December 31, Twelve months ended
December 31,
2011 2012 2011 2012
Revenue $ 28,945 $ 32,178 $ 91,060 $ 121,981
Costs and operating expenses:
Cost of revenue (1) 15,789 17,188 48,661 66,620
Research and development (1)(2) 5,958 6,974 20,228 25,603
Sales and marketing (2) 2,771 2,344 8,582 9,120
General and administrative (1)(2) 1,992 2,627 6,879 11,011
Depreciation 717 1,083 2,667 3,779
Total costs and operating expenses 27,227 30,216 87,017 116,133
Income from operations 1,718 1,962 4,043 5,848
Other income (expense) 1 (6) (17) 1
Interest expense (45) (62) (109) (270)
Income before income taxes 1,674 1,894 3,917 5,579
(Benefit) provision for income taxes (6,070) 1,104 (6,015) 1,764
Net income 7,744 790 9,932 3,815
Undistributed earnings allocated to preferred stockholders 6,692 — 8,583 —
Net income attributable to common stockholders $ 1,052 $ 790 $ 1,349 $ 3,815
Net income per share attributable to common stockholders:
Basic $ 0.35 $ 0.03 $ 0.59 $ 0.16
Diluted $ 0.34 $ 0.03 $ 0.45 $ 0.14
Weighted average shares used to compute net income per share attributable to common stockholders:
Basic 3,005,714 27,132,303 2,303,443 24,411,194
Diluted 22,776,471 28,611,056 21,974,403 28,097,313
Notes:
(1) Exclusive of depreciation shown separately.
(2) Includes stock-based compensation as follows:
Three months ended
December 31, Twelve months ended
December 31,
2011 2012 2011 2012
Research and development $ 90 $ 150 $ 295 $ 523
Sales and marketing 62 112 203 404
General and administrative 128 234 422 1,072
$ 280 $ 496 $ 920 $ 1,999
Synacor, Inc. (SYNC)
Condensed Consolidated Statements of Cash Flows
(In thousands)
(Unaudited)
Twelve months ended
December 31,
2011 2012
Cash Flows from Operating Activities:
Net income $ 9,932 $ 3,815
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation 2,667 3,779
Stock-based compensation expense 920 1,999
Loss on disposal of property and equipment 11 35
Benefit from deferred income taxes (6,083) 1,557
Change in assets and liabilities net of effect of acquisition:
Accounts receivable, net (4,682) (1,288)
Prepaid expenses and other current assets (45) 253
Other long-term assets 164 380
Accounts payable 4,120 2,335
Accrued expenses and other current liabilities 1,709 1,715
Other long-term liabilities (35) 77
Net cash provided by operating activities 8,678 14,657
Cash Flows from Investing Activities:
Purchases of property and equipment (1,848) (4,269)
Cash paid for business acquisition — (600)
Net cash used in investing activities (1,848) (4,869)
Cash Flows from Financing Activities:
Proceeds from sale/leaseback 794 —
Repayment on bank financing (500) (250)
Repayments on capital lease obligations (1,719) (2,336)
Proceeds from exercise of common stock options 372 1,212
Proceeds from initial public offering — 25,364
Initial public offering costs (264) (2,753)
Net cash (used in) provided by financing activities (1,317) 21,237
Effect of exchange rate changes on cash and cash equivalents — (6)
Net (Decrease) Increase in Cash and Cash Equivalents 5,513 31,019
Cash and Cash Equivalents at beginning of period 5,412 10,925
Cash and Cash Equivalents at end of period $ 10,925 $ 41,944
Synacor, Inc. (SYNC)
Reconciliation of GAAP to Non-GAAP Measures
(In thousands except share and per share data)
(Unaudited)
The following table presents a reconciliation of net income to adjusted EBITDA for each of the periods indicated:
Three months ended
December 31, Twelve months ended
December 31,
2011 2012 2011 2012
Reconciliation of Adjusted EBITDA:
Net income $ 7,744 $ 790 $ 9,932 $ 3,815
Provision (benefit) for income taxes (6,070) 1,104 (6,015) 1,764
Interest expense 45 62 109 270
Other (income) expense (1) 6 17 (1)
Depreciation 717 1,083 2,667 3,779
Stock-based compensation 280 496 920 1,999
Adjusted EBITDA $ 2,715 $ 3,541 $ 7,630 $ 11,626
Synacor, Inc. (SYNC)
Key Business Metrics
(Unaudited)
Three months ended
December 31, Twelve months ended
December 31,
2011 2012 2011 2012
Key Business Metrics:
Unique Visitors (1) 18,726,975 20,297,897 14,619,254 20,440,169
Search Queries (2) 245,100,528 225,339,761 748,576,869 968,233,560
Advertising Impressions (3) 8,287,683,124 11,712,643,988 27,749,105,979 42,170,186,571
Notes:
(1) Reflects the number of unique visitors to our customers' websites computed on an average monthly basis during the applicable period, as measured by comScore.
(2) Reflects the total number of search queries during the applicable period, as reported by Google.
(3) Reflects the total number of advertising impressions during the applicable period, as reported by DoubleClick and other partners.
CONTACT: Investor Contact:
Denise Garcia, SVP
ICR
ir@synacor.com
716-362-3309
Press Contact:
Meredith Roth, VP, Corporate Communications
mroth@synacor.com
646-380-5141
Image: Synacor Logo
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MidnightTrader - 4:53 PM ET 02/15/2013
Its starting to look like time to buy...again...I'll wait to see if it breaks $5.00
just my opinion,
Andy
I wouldn't be surprised to see a short attack on that date. It seems too obvious and too easy.
just my opinion,
Andy
my broker is reporting there are now 20.6 million shares of ZNGA availiable to short now.
I'm wondering how things got patched up so quick.
Andy
The chart is looking like things might start heading north again. I will be keeping a close watch on this one.
Andy
From my experience, if a naked short position does not settle with 3 days of the transaction, a buy-in occurs. It's only happened to me once, and I was surprised as hell when it happened. My broker was Fidelity at the time.
Is this a typical practice for brokers? Is this what will happen in the next few days?
just wondering,
Andy
I took some profits today, selling half of my position. I got almost 20% gain since 05-Feb. Not too bad. Also, I wanted to free up some cash if SYNC takes another dip. I might even take another run at ZNGA.
I'm half expecting another short raid on SYNC either before the 20th, or on the 20th (after - hours). I will be ready to buy those dips.
just my opinion,
Andy
so that means big money is buying up ZNGA, right?
Andy
who is Dark Pools?
just wondering,
Andy
is there an announcement coming?
Andy
I think $6.50 to $6.80 is definitely achievable short term (after the 20th).
I wouldn't be surprised if there was a short attack again on this stock after hours on the 20th. I have no knowledge that this will happen, other than historically it has happened.
It could go either way, up 10% or down 10%, it seems very counter-intuitive tradin this stock.
just my opinion,
Andy
JohnCM - I don't understand what you meant by "BAG", can you explain please?
Andy
I caught some falling knives...
I caught 1000 at $3.38
and 1000 more at $3.22
might catch some more tomorrow...
Andy
Where is this thing headed? Chart looks promising
Andy
I might add some in the $3.30's
good luck to all,
Andy
I write my own stock screeners. I subscribe to stockcharts.com and they have an excellent screening tool.
I only wish you could screen using hourly data. Check them out.
Andy
and you can short OTCBB stocks with TD Ameritrade?
I use IB, Fidelity, & Charles Schwab. Only IB will let me short OTCBB stocks, and the price is very high.
Andy
why $4.50
just wondering what your thoughts are on this? for technical reasons or fundamental?
good luck,
Andy
wow, I find that so hard to believe...you gotta thing it has to start going down at some point.
I don't like it at all.
Andy
Is anyone selling before the webcast? or selling before?
Just wondering what everyone's opinions are.
Andy
I picked up 5k shares right after the news came out. been riding this thing ever since... what a ride!!!
Andy
up, up, and away...
to infinity, and beyond...
(I always want to say that)
Andy
If Apple bought NOK, I could retire. Apple, please, please, please, buy NOK!
Andy
Did REED get overheated? Is it time to get back in?
I was hoping to get back in here at a resonable price, but the trend is not being my friend..
Andy
that is what one of my brokers charges to short OTCBB stocks. Hence, I find it cost prohibitive. I use two other brokers, both of which do not allow it at all.
if you know someone who does it cheaper, by all means, let me know.
thanks,
Andy
I never said anything about the company. I know nothing about it. I have no idea about any PRs. My stock screener picked this stock, so I started my DD, and it failed to meet my personal trading rules.
It might be a perfectly legitimate company, but my experience has taught me that pump & dump promos typically go down fast or faster than they went up.
good luck,
Andy
I no longer go long on pinkies, because I got burned. In the last 4 months, I did short FARE & LVVV, but it is very hard to do, costs a lot of money, and I found it to be not really worthwhile. I did go long on FARE prior to the pump & dump, and got out the week before the promo started.
When someone on here posted that they were going short on BMSN, I was definitely interested in what broker they were using, and how much the cost was. Simply because I wanted to find a better broker.
Andy
Look again, BMSN is there.
http://www.pumpsanddumps.com/
You gotta do a little reading...its been on for 32 days, with 6 touts...
Andy
I haven't bashed this stock. I just said it is being promoted by a pump and dump organization. Actually, it looks like it is being promoted by 6 pump and dump organizations.
And so I have adopted trading rules. One of them being, I do not trade in pump & dumps. In the past, I have made mistakes, I am not perfect, but I do learn from my mistakes. That is why I no longer trade pump & dump pinkies.
I have to the right to express my opinion as I see fit. I have, and will continue to do so. If you think that is being righteous, then so mote it be. Your opinion is not important to me.
Andy
I thought what I was asking was pretty clear. One guy claimed to be shorting this stock. I said I would love to short this too, but I cannot afford to.
So I asked the guy who claimed to be shorting, what broker he used and how much they charged, thinking I might find a better broker. But he will not answer those question, probably because this stock is not easy to short and will cost big $$$ to short it.
My opinion,
Andy
If you can afford to short this, then answer the REAL questions. Who is the broker you used to short this stock, and how much do they charge to short it???
Andy.
thanks, I dont do pump & dump pinkies. got burned. I rather like my money, thank you!!!!
Andy
LOL, you can afford to short this? Who is your broker, and how much does he charge to short this stock???
just wondering,
Andy
BMSN is a pump & dump....too bad...I was hoping to ride the momo.
http://www.pumpsanddumps.com/
Andy
this is a pump and dump? who is the promotor?
Andy
we're almost back to $5.70, where it gapped down a week ago Monday. Another $0.10 and then it shoud shoot right back to $5.9 range.
good luck to all,
Andy
this is showing some nice momentum...I'll take 3% a day...
Andy