HOLLYWOOD MEDIA CORP. REPORTS
2010 FOURTH QUARTER AND YEAR END RESULTS
Thursday April 14, 2011
BOCA RATON, FL (April 14, 2011) – Hollywood Media Corp. (Nasdaq: HOLL) today reported financial results for the fourth quarter and year ended December 31, 2010. Results from continuing operations are consistent with preliminary results reported on February 3, 2011 in an 8-K filing with the SEC. As previously announced, the Company completed the sale of its Broadway Ticketing business on December 15, 2010, which has been accounted for as discontinued operations along with the divested Hollywood.com operations.
Note on Forward-Looking Statements
Net income, which includes the impact of discontinued operations, was $5.7 million, or $0.18 per diluted share, in the 2010 fourth quarter versus a loss of $0.4 million, or $0.01 per share, in the prior year period. For the full year 2010, net income was $4.9 million, or $0.16 per diluted share, compared to a loss of $5.6 million, or $0.18 per share, in 2009.
On a continuing operations basis which includes the contribution from the Ad Sales and Intellectual Property divisions, net revenues for the 2010 fourth quarter were $1.0 million compared to $1.1 million in the prior-year period. For the full year 2010, net revenues were $4.0 million versus $4.5 million in 2009.
Loss from continuing operations for the 2010 fourth quarter was $1.6 million, or $0.06 per share, which compares to a loss from continuing operations in the prior year period of $2.3 million, or $0.07 per share. For the full year 2010, loss from continuing operations was $7.1 million, or $0.23 per share, versus a loss from continuing operations in 2009 of $10.9 million, or $0.35 per share.
Mitchell Rubenstein, CEO of Hollywood Media, commented, “With the sale of the Broadway Ticketing business completed, we plan to move forward with our remaining operating businesses. We are also in the process of significantly reducing our corporate overhead in light of our smaller scope of operations.”
Subsequent to the close of the 2010 fourth quarter, the Company announced on February 25, 2011 that it completed its tender offer of 8 million shares at a total cost of $16.4 million. As a result, the Company now has approximately 23.2 million shares outstanding.
Change to Quarterly Conference Call Policy: As a result of its reduced operating scale, the Company will no longer host quarterly conference calls. Management will be available to address any investor questions.
About Hollywood Media Corp.
Hollywood Media Corp. (Nasdaq: HOLL) is comprised primarily of an Ad Sales division including Hollywood Media Corp.’s minority interest in MovieTickets.com, UK Theatres Online (formerly known as CinemasOnline), and an Intellectual Property division.
Statements in this press release may be “forward-looking statements” within the meaning of federal securities laws. The matters discussed herein that are forward-looking statements are based on current management expectations that involve risks and uncertainties that may result in such expectations not being realized. Actual outcomes and results may differ materially from what is expressed or forecasted in such forward-looking statements due to numerous potential risks and uncertainties, including, but not limited to, the need to manage our growth, our ability to realize anticipated revenues and cost efficiencies, the impact of potential future dispositions or other strategic transactions by Hollywood Media Corp., our ability to develop and maintain strategic relationships, technology risks, the volatility of our stock price, changes in facts and circumstances and other uncertainties concerning the completion of the tender offer, and other risks and factors described in Hollywood Media Corp.’s filings with the Securities and Exchange Commission including our Form 10-K for 2009. Such forward-looking statements speak only as of the date on which they are made. Further information about these matters can be found in our Securities and Exchange Commission filings. Except as required by applicable law or regulation, we do not undertake any obligation to update our forward-looking statements to reflect future events or circumstances.
Attached are the following financial tables:
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED STATEMENTS OF OPERATIONS