NextWave Wireless Files First Quarter Fiscal 2009 Results
SAN DIEGO--(BUSINESS WIRE)--May. 7, 2009-- NextWave Wireless Inc. (NASDAQ:WAVE) today announced that it has filed its Quarterly Report on Form 10Q with the Securities and Exchange Commission for the fiscal quarter of fiscal 2009, ended March 28, 2009.
The Form 10Q is available on the web site maintained by the Securities and Exchange Commission at www.sec.gov and on the NextWave website at www.nextwave.com under the heading "Investor Relations - Financial Information - SEC Filings."
About NextWave: NextWave Wireless Inc. is a wireless technology company that develops, produces and markets mobile multimedia and consumer electronic connectivity products including device-embedded software for mobile handsets, client-server media platforms, media sharing software for consumer electronics and pocket-sized mobile broadcast receivers. The company also manages and maintains worldwide wireless spectrum licenses.
NEXTWAVE WIRELESS INC. CONDENSED CONSOLIDATED BALANCE SHEETS (In thousands, except par value data) (Unaudited) |
||||||||
March 28, 2009 |
Dec. 27, 2008 |
|||||||
| ASSETS | ||||||||
| Current assets: | ||||||||
Cash and cash equivalents |
$ |
18,734 |
$ |
60,848 |
||||
| Restricted cash and marketable securities | 31,184 | 24,870 | ||||||
| Accounts receivable, net of allowance for doubtful accounts of $31 and $95 at March 28, 2009 and December 27, 2008, respectively | 3,200 | 4,530 | ||||||
| Wireless spectrum licenses held for sale | 113,431 | 112,741 | ||||||
| Deferred contract costs, prepaid expenses and other current assets | 4,262 | 5,734 | ||||||
| Current assets of discontinued operations | 19,981 | 24,726 | ||||||
| Total current assets | 190,792 | 233,449 | ||||||
| Wireless spectrum licenses, net | 418,581 | 442,415 | ||||||
| Goodwill | 38,109 | 38,662 | ||||||
| Other intangible assets, net | 17,460 | 18,933 | ||||||
| Property and equipment, net | 3,482 | 4,206 | ||||||
| Other assets, including assets measured at fair value of $2,353 and $4,210 at March 28, 2009 and December 27, 2008, respectively | 15,539 | 19,845 | ||||||
| Total assets | $ | 683,963 | $ | 757,510 | ||||
| LIABILITIES AND STOCKHOLDERS' DEFICIT | ||||||||
| Current liabilities: | ||||||||
| Accounts payable | $ | 4,779 | $ | 7,417 | ||||
| Accrued expenses | 15,374 | 24,887 | ||||||
| Current portion of long-term obligations | 139,570 | 136,567 | ||||||
| Deferred revenue | 9,240 | 17,378 | ||||||
| Other current liabilities | 3,592 | 1,890 | ||||||
| Current liabilities of discontinued operations | 22,217 | 24,094 | ||||||
| Total current liabilities | 194,772 | 212,233 | ||||||
| Deferred income tax liabilities | 89,193 | 89,062 | ||||||
| Long-term obligations, net of current portion | 524,797 | 496,297 | ||||||
| Other liabilities | 16,102 | 16,034 | ||||||
| Commitments and contingencies | ||||||||
| Stockholders' deficit: | ||||||||
| Preferred stock, $0.001 par value; 25,000 shares authorized; 355 shares designated as Series A Senior Convertible Preferred Stock; no other shares issued or outstanding | - | - | ||||||
| Common stock, $0.001 par value; 400,000 shares authorized; 103,092 shares issued and outstanding at March 28, 2009 and December 27, 2008 | 103 | 103 | ||||||
| Additional paid-in-capital | 840,152 | 838,865 | ||||||
| Accumulated other comprehensive income | 1,362 | 5,255 | ||||||
| Accumulated deficit | (982,518 | ) | (900,339 | ) | ||||
| Total stockholders' deficit | (140,901 | ) | (56,116 | ) | ||||
| Total liabilities and stockholders' deficit | $ | 683,963 | $ | 757,510 | ||||
NEXTWAVE WIRELESS INC. CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (In thousands, except per share data) (Unaudited) |
||||||||
| Three Months Ended | ||||||||
March 28, 2009 |
March 29, 2008 |
|||||||
Revenues |
$ |
16,915 |
$ |
14,550 |
||||
| Operating expenses: | ||||||||
| Cost of revenues | 6,208 | 4,629 | ||||||
| Engineering, research and development | 6,095 | 6,144 | ||||||
| Sales and marketing | 2,834 | 4,499 | ||||||
| General and administrative | 12,777 | 21,047 | ||||||
| Asset impairment charges | 16,203 | - | ||||||
| Restructuring charges | 2,758 | - | ||||||
| Total operating expenses | 46,875 | 36,319 | ||||||
| Gain on sale of wireless spectrum licenses | 3 | - | ||||||
| Loss from operations | (29,957 | ) | (21,769 | ) | ||||
| Interest and other expense, net | (38,213 | ) | (14,431 | ) | ||||
| Loss from continuing operations before provision for income taxes | (68,170 | ) | (36,200 | ) | ||||
| Income tax provision | (187 | ) | (187 | ) | ||||
| Net loss from continuing operations | (68,357 | ) | (36,387 | ) | ||||
| Loss from discontinued operations, net of net gain on divestiture of discontinued operations of $53 and $0 and income tax provision of $0 and $44, respectively | (13,822 | ) | (58,631 | ) | ||||
| Net loss | (82,179 | ) | (95,018 | ) | ||||
| Less: Preferred stock imputed dividends | - | (7,125 | ) | |||||
| Accretion of issuance costs on preferred stock | - | (72 | ) | |||||
| Net loss applicable to common shares | $ | (82,179 | ) | $ | (102,215 | ) | ||
| Net loss per common share - basic and diluted: | ||||||||
| Continuing operations, including preferred stock dividends and costs | $ | (0.47 | ) | $ | (0.46 | ) | ||
| Discontinued operations | (0.10 | ) | (0.63 | ) | ||||
| Net loss | $ | (0.57 | ) | $ | (1.09 | ) | ||
| Weighted average shares used in per share calculation | 145,028 | 93,697 | ||||||
NEXTWAVE WIRELESS INC. CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (In thousands) (Unaudited) |
||||||||
| Three Months Ended | ||||||||
March 28, 2009 |
March 29, 2008 |
|||||||
| OPERATING ACTIVITIES | ||||||||
Net loss |
$ |
(82,179 |
) |
$ |
(95,018 |
) |
||
| Loss from discontinued operations, net of taxes | (13,822 | ) | (58,631 | ) | ||||
| Loss from continuing operations | (68,357 | ) | (36,387 | ) | ||||
| Adjustments to reconcile loss from continuing operations to net cash used in operating activities of continuing operations: | ||||||||
| Amortization of intangible assets | 3,617 | 3,578 | ||||||
| Depreciation | 432 | 1,287 | ||||||
| Non-cash share-based compensation | 952 | 1,703 | ||||||
| Non-cash interest expense | 34,383 | 5,439 | ||||||
| Gain on sale of spectrum licenses | (3 | ) | - | |||||
| Asset impairment charges | 16,203 | - | ||||||
| Other non-cash adjustments | 69 | 1,265 | ||||||
| Changes in operating assets and liabilities: | ||||||||
| Accounts receivable | 1,371 | 33 | ||||||
| Deferred contract costs, prepaid expenses and other current assets | 1,446 | 646 | ||||||
| Other assets | 165 | 323 | ||||||
| Accounts payable and accrued liabilities | (16,039 | ) | (10,012 | ) | ||||
| Deferred revenue | (8,399 | ) | 683 | |||||
| Other current liabilities | 1,883 | 455 | ||||||
| Net cash used in operating activities of continuing operations | (32,277 | ) | (30,987 | ) | ||||
| INVESTING ACTIVITIES | ||||||||
| Proceeds from maturities of marketable securities | - | 88,725 | ||||||
| Proceeds from sales of marketable securities | - | 106,989 | ||||||
| Purchases of marketable securities | - | (111,306 | ) | |||||
| Proceeds from the sale of wireless spectrum licenses | 1,740 | - | ||||||
| Proceeds from the sale of other assets | 207 | - | ||||||
| Cash paid for business combinations, net of cash acquired | - | (4,459 | ) | |||||
| Payments for wireless spectrum licenses | - | (31 | ) | |||||
| Purchase of property and equipment | (70 | ) | (1,306 | ) | ||||
| Other, net | (26 | ) | (1,996 | ) | ||||
| Net cash provided by investing activities of continuing operations | 1,851 | 76,616 | ||||||
| FINANCING ACTIVITIES | ||||||||
| Net cash released from restricted cash account securing long-term obligations | - | 25,000 | ||||||
| Payments on long-term obligations | (1,321 | ) | (5,143 | ) | ||||
| Proceeds from the sale of common shares | - | 101 | ||||||
| Net cash provided by (used in) financing activities of continuing operations | (1,321 | ) | 19,958 | |||||
| Cash used by discontinued operations: | ||||||||
| Net cash used in operating activities of discontinued operations | (10,801 | ) | (51,296 | ) | ||||
| Net cash used in investing activities of discontinued operations | (29 | ) | (7,654 | ) | ||||
| Net cash used in financing activities of discontinued operations | (15 | ) | (251 | ) | ||||
| Net cash used by discontinued operations | (10,845 | ) | (59,201 | ) | ||||
| Effect of foreign currency exchange rate changes on cash | (13 | ) | (86 | ) | ||||
| Net increase (decrease) in cash and cash equivalents | (42,605 | ) | 6,300 | |||||
| Cash and cash equivalents, beginning of period | 61,517 | 53,050 | ||||||
| Cash and cash equivalents, end of period | 18,912 | 59,350 | ||||||
| Less cash and cash equivalents of discontinued operations, end of period | (178 | ) | (7,141 | ) | ||||
| Cash and cash equivalents of continuing operations, end of period | $ | 18,734 | $ | 52,209 | ||||
| Noncash investing and financing activities: | ||||||||
| Common stock issued for business acquisitions | $ | - | $ | 44,447 | ||||
| Common stock issued under stock plans | $ | - | $ | 1,920 | ||||
| Wireless spectrum licenses acquired with lease obligations | $ | - | $ | 4,884 | ||||
Source: NextWave Wireless Inc.
NextWave Wireless Investor Relations
Roseann Rustici
Vice President, Investor Relations
NextWave Wireless
203-742-2539
rrustici@nextwave.com