SOURCE: Hollywood Media Corp.

Hollywood Media Corp.

April 14, 2011 16:00 ET

Hollywood Media Corp. Reports 2010 Fourth Quarter and Year End Results

BOCA RATON, FL--(Marketwire - Apr 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.

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. 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.

Note on Forward-Looking Statements
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, our ability to develop and maintain strategic relationships, technology risks, the volatility of our stock price, and other risks and factors described in Hollywood Media Corp.'s filings with the Securities and Exchange Commission including our Form 10-K for 2010. Such forward-looking statements speak only as of the date on which they are made.

HOLLYWOOD MEDIA CORP. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
December 31,December 31,
20102009
ASSETS
CURRENT ASSETS:
Cash and cash equivalents$29,406,063$8,365,224
Receivables, net465,079604,325
Prepaid expenses1,055,9721,882,444
Other receivables 59,224270,064
Related party receivable299,963335,245
Current assets of discontinued operations-20,940,282
Total current assets31,286,30132,397,584
PROPERTY AND EQUIPMENT, net455,436773,682
INVESTMENTS IN AND ADVANCES TO UNCONSOLIDATED INVESTEES955,065230,097
INTANGIBLE ASSETS, net7,549142,076
GOODWILL14,595,78314,595,783
OTHER ASSETS18,42521,082
LONG TERM ASSETS OF DISCONTINUED OPERATIONS-9,445,875
TOTAL ASSETS$47,318,559$57,606,179
LIABILITIES AND SHAREHOLDERS' EQUITY
CURRENT LIABILITIES:
Accounts payable$802,684$896,909
Accrued expenses and other6,804,066859,075
Deferred revenue980,7861,176,636
Customer deposits654,554616,692
Current portion of capital lease obligations60,031104,254
Current portion of notes payable2,36237,454
Current liabilities of discontinued operations-19,931,745
Total current liabilities9,304,48323,622,765
DEFERRED REVENUE148,002309,190
CAPITAL LEASE OBLIGATIONS, less current portion38,21773,909
OTHER DEFERRED LIABILITY75,120236,258
NOTES PAYABLE, less current portion-2,432
LONG-TERM LIABILITIES OF DISCONTINUED OPERATIONS-871,216
COMMITMENTS AND CONTINGENCIES
SHAREHOLDERS' EQUITY:
Preferred Stock, $.01 par value, 1,000,000 shares authorized; none outstanding--
Common stock, $.01 par value, 100,000,000 shares authorized; 31,179,066 and 31,037,656 shares issued and outstanding at December 31, 2010 and December 31, 2009, respectively311,791310,377
Additional paid-in capital309,898,584309,480,331
Accumulated deficit(272,410,281)(277,315,848)
Total Hollywood Media Corp shareholders' equity37,800,09432,474,860
Non-controlling interest(47,357)15,549
Total shareholders' equity37,752,73732,490,409
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY$47,318,559$57,606,179
HOLLYWOOD MEDIA CORP. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
TWELVE MONTHS ENDEDTHREE MONTHS ENDED
December 31,December 31,
2010200920102009
(unaudited) (unaudited)
NET REVENUES$3,995,177$4,518,548$1,014,084$1,077,148
OPERATING COSTS AND EXPENSES
Editorial, production, development and technology2,641,2052,569,354667,021625,144
Selling, general and administrative3,677,6124,340,061393,9321,061,897
Payroll and benefits4,799,0584,872,3981,205,1781,582,682
Depreciation and amortization541,326743,995101,746177,313
Total operating costs and expenses11,659,20112,525,8082,367,8773,447,036
Loss from operations(7,664,024)(8,007,260)(1,353,793)(2,369,888)
EARNINGS (LOSSES) OF UNCONSOLIDATED INVESTEES
Equity in earnings of unconsolidated investees765,0152,006,498128,17693,592
Impairment loss-(5,000,000)--
Total equity in earnings (losses) of unconsolidated investees765,015(2,993,502)128,17693,592
OTHER INCOME (EXPENSE)
Interest, net64,91616,16154,1797,539
Other, net6,311(35,227)(75,473)(7,324)
Income taxes, net of refunds(283,756)83,286(334,134)16,916
Loss from continuing operations(7,111,538)(10,936,542)(1,581,045)(2,259,165)
Gain on sale of discontinued operations, net of income taxes6,057,421614,5725,550,519142,085
Income of discontinued operations5,909,7634,699,1441,733,0821,696,995
Income from discontinued operations11,967,1845,313,7167,283,6011,839,080
Net income (loss)4,855,646(5,622,826)5,702,556(420,085)
NET LOSS ATTRIBUTABLE TO NON-CONTROLLING INTEREST49,9212,40911,86935,230
Net income (loss) attributable to Hollywood Media Corp$4,905,567$(5,620,417)$5,714,425$(384,855)
Basic and diluted income (loss) per common share
Continuing operations$(0.23)$(0.35)$(0.06)$(0.07)
Discontinued operations0.390.170.240.06
Total basic and diluted net income (loss) per share$0.16$(0.18)$0.18$(0.01)
Weighted average common and common equivalent shares outstanding - basic and diluted30,937,61930,584,90230,988,85130,642,730