This press release contains "forward-looking statements" that involve risks and uncertainties as well as assumptions that, if they never materialize or prove incorrect, could cause the results of Immersion Corporation and its consolidated subsidiaries to differ materially from those expressed or implied by such forward-looking statements.
All statements, other than the statements of historical fact, are statements that may be deemed forward-looking statements, including any projections of earnings, revenues, profitability targets or other financial matters; any statements of the plans, strategies, and objectives of management for future operations; any statements relating to Immersion's ability to maintain effective internal control over financial reporting and disclosure controls and procedures; any statements regarding consumer or market acceptance of touch feedback products in general; future development of force feedback products; proposed products or services; any statements regarding future economic conditions or performance; and statements of belief or assumptions underlying any of the foregoing. Immersion's actual results might differ materially from those stated or implied by such forward-looking statements due to risks and uncertainties associated with Immersion's business, which include but are not limited to delay in or failure to achieve commercial demand for Immersion's expanded technology offerings; a delay in or failure to achieve the acceptance of force feedback as a critical user experience in new and existing markets for our business segments; and risks and uncertainties associated with ongoing and prospective litigation.
For a more detailed discussion of these factors and other factors that could cause Immersion's actual results to vary materially, interested parties should review the risk factors listed in Immersion's most current Form 10-Q, which is on file with the U.S. Securities and Exchange Commission. The forward-looking statements in this press release reflect Immersion's beliefs and predictions as of the date of this release. Immersion disclaims any obligation to update these forward-looking statements as a result of financial, business, or any other developments occurring after the date of this release.
Immersion, the Immersion logo, and TouchSense are trademarks of Immersion Corporation in the U.S. and other countries.
|Condensed Consolidated Statements of Operations|
|(In thousands, except per share amounts)|
|Three Months||Nine Months|
|Ended September 30,||Ended September 30,|
|Royalty and license||$4,761||$2,904||$11,393||$7,862|
|Development contracts and other||565||1,479||2,164||2,651|
|Costs and expenses:|
|Cost of product sales (exclusive of amortization|
|of intangibles shown separately below)||2,951||2,563||7,607||6,533|
|Sales and marketing||4,296||2,825||11,996||8,558|
|Research and development||3,155||2,482||9,239||7,538|
|General and administrative||4,774||2,781||14,121||9,162|
|Amortization of intangibles||179||243||584||739|
|Litigation settlements, conclusions & patent license||20,750||-||20,750||(134,900||)|
|Total costs and expenses||36,105||10,894||64,297||(102,370||)|
|Operating income (loss)||(26,024||)||(1,091||)||(36,748||)||127,182|
|Interest and other income (expense), net||988||1,645||3,404||3,013|
|Income (loss) before provision for income taxes||(25,036||)||554||(33,344||)||130,195|
|Provision for income taxes||(7,262||)||(61||)||(4,630||)||(13,688||)|
|Net income (loss)||$(32,298||)||$493||$(37,974||)||$116,507|
|Basic net income (loss) per share||$(1.10||)||$0.02||$(1.26||)||$4.35|
|Shares used in calculating basic|
|net income (loss) per share||29,448||28,630||30,092||26,768|
|Diluted net income (loss) per share||$(1.10||)||$0.02||$(1.26||)||$3.73|
|Shares used in calculating diluted|
|net income (loss) per share||29,448||31,399||30,092||31,315|
|(1) Restated to increase income tax provision by $6.6 million|