News Feed Item

Unwired Planet, Inc. Announces Second Quarter Fiscal 2014 Financial Results

Unwired Planet, Inc. (NASDAQ: UPIP) today announced financial results for the second quarter of fiscal year 2014.

“During the second quarter, we pressed forward with our licensing efforts, launched an enforcement action to protect our mobile payment patents, saw key dates set in previously existing litigation, and set the ground work for future licensing options,” said Eric Vetter, president and chief administrative officer of Unwired Planet. “While the licensing environment continues to be difficult, we are encouraged by our progress, as well as external market developments over the past three months. We continue to focus on pursuing a variety of licensing and alternative value creation strategies while closely managing our costs.”

On a GAAP basis, net loss for second fiscal quarter ended December 31, 2013 was $7.3 million, or $0.07 per share, compared with a net loss of $7.2 million, or $0.07 per share, in the prior quarter, and with a net loss of $11.6 million, or $0.13 per share, in the December quarter of the preceding year.

On a non-GAAP basis, net loss for the second fiscal quarter ended December 31, 2013 was $7.1 million, or $0.07 per share, compared with a net loss of $6.6 million, or $0.06 per share, in the prior quarter, and with a net loss of $6.1 million, or $0.07 per share, in the December quarter of the preceding year. Non-GAAP net loss excludes restructuring, stock-based compensation, strategic costs, discontinued operations, and the tax impact of these items.

A reconciliation between net loss and net loss per share on a GAAP basis and a non-GAAP basis is provided below in a table immediately following the Condensed Consolidated Statements of Cash Flows.

Conference Call Information

Unwired Planet has scheduled a conference call for 5:00 p.m. eastern time today to discuss its financial results for its second quarter fiscal 2014. Interested parties may access the conference call over the Internet through the company's website at www.unwiredplanet.com or by telephone at 877-941-8416 or 480-629-9808 (international). A replay of the conference call will be available until February 20, 2014, beginning at 5:00 p.m. PT on January 30, 2014 by calling 800-406-7325. The replay can be accessed internationally by calling 303-590-3030, access code: 4663708#.

A live webcast of the call, together with supplemental financial information, will also be available on the Investors section of Unwired Planet’s website at http://www.unwiredplant.com/investors. A replay will be available on the website for at least three months.

About Unwired Planet

Unwired Planet, Inc. (NASDAQ: UPIP) is the inventor of the Mobile Internet and a premier intellectual property company focused exclusively on the mobile industry. The company's patent portfolio of approximately 2,600 issued and pending US and foreign patents, includes technologies that allow mobile devices to connect to the Internet and enable mobile communications. The portfolio spans 2G, 3G, and 4G technologies, as well as cloud-based mobile applications and services. Unwired Planet's portfolio includes patents related to key mobile technologies, including baseband mobile communications, mobile browsers, mobile advertising, push technology, maps and location based services, mobile application stores, social networking, mobile gaming, mobile payments, and mobile search, among others. Unwired Planet is headquartered in Reno, Nevada.

Cautionary Note Regarding Forward Looking Statements

Any statements in this press release with respect to future events or expectations, including statements regarding the Company’s licensing activities and expectations regarding enhancing shareholder value are forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1943 and Section 27A of the Securities Act of 1933. These forward-looking statements are subject to many risks and uncertainties that could cause actual results to differ materially from those projected. Notwithstanding changes that may occur with respect to matters relating to any forward looking statements, Unwired Planet assumes no obligation to update the forward-looking statements included in this press release.

For a detailed discussion of these and other factors that may cause these forward looking statements not to come true, please refer to the risk factors discussed in Unwired Planet’s filings with the U.S. Securities and Exchange Commission ("SEC"), including the company's Annual Report on Form 10-K for the fiscal year ended June 30, 2013. These documents are available through the SEC's Electronic Data Gathering Analysis and Retrieval system (EDGAR) at www.sec.gov or from Unwired Planet’s website at www.unwiredplanet.com.


(In thousands, except par value)


  December 31,   June 30,
  2013     2013  


Current assets:
Cash and cash equivalents $ 11,063 $ 47,613
Short-term investments 40,038 10,793
Restricted cash and investments - 17,251
Accounts receivable - 88
Prepaid and other current assets   588     420  

Total current assets

51,689 76,165
Property and equipment, net of accumulated depreciation 216 212
Long-term investments 21,831 -
Debt issue costs and other assets   1,876     1,861  
Total assets $ 75,612   $ 78,238  



Current liabilities:
Accounts payable 724 $ 2,317
Accrued liabilities 1,119 2,817
Accrued legal expense 4,018 3,686
Accrued compensation 716 1,057
Accrued restructuring costs   514     594  
Total current liabilities 7,091 10,471
Accrued restructuring costs, net of current portion - 259
Long-term note payable 23,831 22,096
Other long-term liabilities   930     1,485  
Total liabilities   31,852     34,311  
Stockholders' equity
Preferred stock - -
Common stock 109 100
Treasury stock (702 ) (575 )
Additional paid-in-capital 3,239,201 3,224,769
Accumulated other comprehensive income - 2
Accumulated deficit   (3,194,848 )   (3,180,369 )
Total stockholders' equity   43,760     43,927  
Total liabilities and stockholders' equity $ 75,612   $ 78,238  

(In thousands, except per share data)


  Three Months Ended   Six Months Ended
December 31, December 31,
  2013       2012     2013       2012  
License fees $ - $ 3 $ - $ 6
Fee Share   -     -     -     -  
Net revenue   -     3     -     6  
Operating costs and expenses:
Sales and marketing expense - - - 78
Patent licensing expenses 5,743 3,156 10,546 8,715
General and administrative 1,359 4,350 3,143 8,141
Restructuring and other related costs   -     1,349     -     1,806  
Total operating costs and expenses   7,102     8,855     13,689     18,740  
Operating loss from continuing operations (7,102 ) (8,852 ) (13,689 ) (18,734 )
Interest income 27 57 70 135
Interest expense (899 ) - (1,782 ) (3 )
Other income (expense), net   449     (18 )   803     (43 )
Loss from continuing operations   (7,525 )   (8,813 )   (14,598 )   (18,645 )
Discontinued operations:
Loss on sale of discontinued operations - - - (750 )
Discontinued operations, net of tax   232     (2,797 )   119     (7,325 )
(Income) loss from discontinued operations 232 (2,797 ) 119 (8,075 )
Net loss $ (7,293 ) $ (11,610 ) $ (14,479 ) $ (26,720 )
Basic and diluted net loss per share from:
Continuing operations $ (0.07 ) $ (0.10 ) $ (0.14 ) $ (0.21 )
Discontinued operations   -     (0.03 )   -     (0.09 )
Net loss $ (0.07 ) $ (0.13 ) $ (0.14 ) $ (0.30 )

Weighted average shares outstanding basic and diluted

109,141 90,323 105,631 90,147



(In thousands)

  Six Months Ended
December 31,
  2013       2012  
Cash flows from operating activities:
Net loss $ (14,479 ) $ (26,720 )
Loss on sale of discontinued operations - 750
Adjustments to reconcile net loss to net cash provided by (used in) operating activities:
Depreciation and amortization 47 243
Stock-based compensation 910 1,296
Non-cash restructuring charges 2 397
Amortization of premiums/discounts on investments, net 69 537
Realized loss on sale of investments 81 -
Gain on change of fair value on consultant incentive award obligation (795 ) -
In kind interest payments on note payable 1,627 -
Amortization debt discount and issuance costs 155 -
Changes in operating assets and liabilities:
Accounts receivable 88 -
Prepaid assets, deposits, and other assets (231 ) 2,408
Accounts payable (1,593 ) 667
Accrued liabilities (417 ) (2,690 )
Accrued restructuring costs (341 ) (6,285 )
Restricted Cash   17,251     (675 )
Net cash provided by (used in) operating activities   2,374     (30,072 )
Cash flows from investing activities:
Proceeds from sale (Purchases) of property and equipment (51 ) 74
Payments to vendors related to the sale of discontinued operation - (1,893 )
Purchases of short-term investments (29,851 ) (10,014 )
Proceeds from sales and maturities of investments 17,107 26,476
Purchases of long-term investments (38,482 ) (948 )
Proceeds from sales and maturities of long-term investments   -     5  
Net cash provided by (used for) investing activities   (51,277 )   13,700  
Cash flows from financing activities:
Net proceeds from rights offering issuance of common stock 12,500 -
Proceeds from issuance of common stock 1,446 1,272
Payment of debt and equity issuance costs (1,467 ) -
Purchase of treasury stock (126 ) -
Employee stock purchase plan   -     6  
Net cash provided by financing activities   12,353     1,278  
Net decrease in cash and cash equivalents (36,550 ) (15,094 )
Cash and cash equivalents at beginning of period   47,613     39,709  
Cash and cash equivalents at end of period $ 11,063   $ 24,615  

Non-GAAP Measure

The Company’s stated results include the non-GAAP measures: non-GAAP net loss and non-GAAP net loss per share. These non-GAAP measures exclude certain items that generally are non-recurring events or are non-cash items that many other companies exclude, in order to compare Unwired Planet with other companies, such as stock-based compensation. These non-GAAP measures also exclude items which management does not consider in evaluating Unwired Planet’s on-going business, such as restructuring costs and discontinued operations. Unwired Planet considers non-GAAP net income (loss) to be an important metric because it provides a useful measure of the operational performance of Unwired Planet and is used by Unwired Planet's management for that purpose. In addition, investors often use measures such as these to evaluate the financial performance of a company. These non-GAAP measures are presented for supplemental informational purposes only for understanding Unwired Planet's operating results. These non-GAAP results should not be considered a substitute for financial information presented in accordance with generally accepted accounting principles, and may be different from non-GAAP measures used by other companies.



(In thousands, except per share data)

  Three Months Ended   Six Months Ended
December 31, December 31,
2013   2012 2013   2012
Reconciliation between GAAP and Non-GAAP net loss:
Net loss $ (7,293) $ (11,610) $ (14,479) $ (26,720)
Restructuring costs - 1,349 - 1,806
Stock-based compensation 466 298 910 734
Strategic costs - 1,094 - 1,980
Discontinued operations, net of tax (232) 2,797 (119) 8,075
Non-GAAP net loss $ (7,059) $ (6,072) $ (13,688) $ (14,125)
GAAP net loss per share $ (0.07) $ (0.13) $ (0.14) $ (0.30)
Restructuring costs - 0.02 - 0.02
Stock-based compensation - - 0.01 0.01
Post strategic costs - 0.01 - 0.02
Discontinued operations, net of tax - 0.03 - 0.09
Non-GAAP net loss $ (0.07) $ (0.07) $ (0.13) $ (0.16)

Shares used in computing net loss per share GAAP

109,141 90,323 105,631 90,147
Non-GAAP 109,141 90,323 105,631 90,147

More Stories By Business Wire

Copyright © 2009 Business Wire. All rights reserved. Republication or redistribution of Business Wire content is expressly prohibited without the prior written consent of Business Wire. Business Wire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

Latest Stories
More and more brands have jumped on the IoT bandwagon. We have an excess of wearables – activity trackers, smartwatches, smart glasses and sneakers, and more that track seemingly endless datapoints. However, most consumers have no idea what “IoT” means. Creating more wearables that track data shouldn't be the aim of brands; delivering meaningful, tangible relevance to their users should be. We're in a period in which the IoT pendulum is still swinging. Initially, it swung toward "smart for smar...
Governments around the world are adopting Safe Harbor privacy provisions to protect customer data from leaving sovereign territories. Increasingly, global companies are required to create new instances of their server clusters in multiple countries to keep abreast of these new Safe Harbor laws. Is it worth it? In his session at 19th Cloud Expo, Adam Rogers, Managing Director of Anexia, Inc., will discuss how to keep your data legal and still stay in business.
@ThingsExpo has been named the Top 5 Most Influential Internet of Things Brand by Onalytica in the ‘The Internet of Things Landscape 2015: Top 100 Individuals and Brands.' Onalytica analyzed Twitter conversations around the #IoT debate to uncover the most influential brands and individuals driving the conversation. Onalytica captured data from 56,224 users. The PageRank based methodology they use to extract influencers on a particular topic (tweets mentioning #InternetofThings or #IoT in this ...
Successful transition from traditional IT to cloud computing requires three key ingredients: an IT architecture that allows companies to extend their internal best practices to the cloud, a cost point that allows economies of scale, and automated processes that manage risk exposure and maintain regulatory compliance with industry regulations (FFIEC, PCI-DSS, HIPAA, FISMA). The unique combination of VMware, the IBM Cloud, and Cloud Raxak, a 2016 Gartner Cool Vendor in IT Automation, provides a co...
P2P RTC will impact the landscape of communications, shifting from traditional telephony style communications models to OTT (Over-The-Top) cloud assisted & PaaS (Platform as a Service) communication services. The P2P shift will impact many areas of our lives, from mobile communication, human interactive web services, RTC and telephony infrastructure, user federation, security and privacy implications, business costs, and scalability. In his session at @ThingsExpo, Robin Raymond, Chief Architect...
So you think you are a DevOps warrior, huh? Put your money (not really, it’s free) where your metrics are and prove it by taking The Ultimate DevOps Geek Quiz Challenge, sponsored by DevOps Summit. Battle through the set of tough questions created by industry thought leaders to earn your bragging rights and win some cool prizes.
SYS-CON Events announced today that SoftNet Solutions will exhibit at the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. SoftNet Solutions specializes in Enterprise Solutions for Hadoop and Big Data. It offers customers the most open, robust, and value-conscious portfolio of solutions, services, and tools for the shortest route to success with Big Data. The unique differentiator is the ability to architect and ...
SYS-CON Events announced today that Niagara Networks will exhibit at the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. Niagara Networks offers the highest port-density systems, and the most complete Next-Generation Network Visibility systems including Network Packet Brokers, Bypass Switches, and Network TAPs.
SYS-CON Events announced today that Embotics, the cloud automation company, will exhibit at the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. Embotics is the cloud automation company for IT organizations and service providers that need to improve provisioning or enable self-service capabilities. With a relentless focus on delivering a premier user experience and unmatched customer support, Embotics is the fas...
In an era of historic innovation fueled by unprecedented access to data and technology, the low cost and risk of entering new markets has leveled the playing field for business. Today, any ambitious innovator can easily introduce a new application or product that can reinvent business models and transform the client experience. In their Day 2 Keynote at 19th Cloud Expo, Mercer Rowe, IBM Vice President of Strategic Alliances, and Raejeanne Skillern, Intel Vice President of Data Center Group and ...
SYS-CON Events announced today that StarNet Communications will exhibit at the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. StarNet Communications’ FastX is the industry first cloud-based remote X Windows emulator. Using standard Web browsers (FireFox, Chrome, Safari, etc.) users from around the world gain highly secure access to applications and data hosted on Linux-based servers in a central data center. ...
SYS-CON Events announced today that Cemware will exhibit at the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. Use MATLAB functions by just visiting website mathfreeon.com. MATLAB compatible, freely usable, online platform services. As of October 2016, 80,000 users from 180 countries are enjoying our platform service.
Virgil consists of an open-source encryption library, which implements Cryptographic Message Syntax (CMS) and Elliptic Curve Integrated Encryption Scheme (ECIES) (including RSA schema), a Key Management API, and a cloud-based Key Management Service (Virgil Keys). The Virgil Keys Service consists of a public key service and a private key escrow service. 

Data is the fuel that drives the machine learning algorithmic engines and ultimately provides the business value. In his session at Cloud Expo, Ed Featherston, a director and senior enterprise architect at Collaborative Consulting, will discuss the key considerations around quality, volume, timeliness, and pedigree that must be dealt with in order to properly fuel that engine.
All clouds are not equal. To succeed in a DevOps context, organizations should plan to develop/deploy apps across a choice of on-premise and public clouds simultaneously depending on the business needs. This is where the concept of the Lean Cloud comes in - resting on the idea that you often need to relocate your app modules over their life cycles for both innovation and operational efficiency in the cloud. In his session at @DevOpsSummit at19th Cloud Expo, Valentin (Val) Bercovici, CTO of So...