We could not find any results for:
Make sure your spelling is correct or try broadening your search.
Share Name | Share Symbol | Market | Type |
---|---|---|---|
(MM) | NASDAQ:PTEK | NASDAQ | Common Stock |
Price Change | % Change | Share Price | Bid Price | Offer Price | High Price | Low Price | Open Price | Shares Traded | Last Trade | |
---|---|---|---|---|---|---|---|---|---|---|
0.00 | 0.00% | 1.35 | 0 | 01:00:00 |
x
|
ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
|
o
|
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
|
PokerTek, Inc.
|
North Carolina
|
61-1455265
|
|
(State or other jurisdiction of incorporation or organization)
|
(I.R.S. Employer Identification No.)
|
|
1150 Crews Road, Suite F, Matthews, North Carolina 28105
|
||
(Address of principal executive offices) (Zip Code)
|
(Registrant’s telephone number, including area code)
|
Title of each class
|
Name of each exchange on which registered
|
Common Stock, no par value
|
The NASDAQ Stock Market LLC
(NASDAQ Capital Market)
|
o
|
Large accelerated filer
|
o
|
Accelerated filer
|
|
o
|
Non-accelerated filer (do not check if a smaller reporting company)
|
x
|
Smaller reporting company
|
Page
|
||
|
·
|
pay that person any dividend or interest upon our voting securities;
|
|
·
|
allow that person to exercise, directly or indirectly, any voting right conferred through securities held by that person; or
|
|
·
|
give remuneration in any form to that person.
|
|
·
|
pay to the unsuitable person any dividend, interest, or any distribution whatsoever
|
|
·
|
recognize any voting right by such unsuitable person in connection with such securities;
|
|
·
|
pay the unsuitable person remuneration in any form; or
|
|
·
|
make any payment to the unsuitable person by way of principal, redemption, conversion, exchange, liquidation or similar transaction.
|
|
·
|
Nevada Gaming Control Board;
|
|
·
|
Société des Casinos du Québec Inc.;
|
|
·
|
Arkansas Racing Commission;
|
|
·
|
State of California Gambling Control Commission;
|
|
·
|
Indiana Gaming Commission;
|
|
·
|
Mississippi Gaming Commission;
|
|
·
|
Tuolumne Me-Wuk Tribal Gaming Agency;
|
|
·
|
Eastern Band of Cherokee Indians Tribal Gaming Commission;
|
|
·
|
Atlantic Lottery Corporation;
|
|
·
|
Alcohol and Gaming Commission of Ontario;
|
|
·
|
Victorian Commission for Gambling Regulation (Australia); and
|
|
·
|
Ho-Chunk Nation Gaming Commission
|
|
·
|
Conformité Européenne, a mandatory European marking for certain product groups to indicate conformity with the essential health and safety requirements set out in European Directives;
|
|
·
|
The U.S. Federal Communications Commission, which regulates radio emissions of electronic devices;
|
|
·
|
The RoHS Directive, which bans the placing on the European Union market of new electrical and electronic equipment containing more than agreed levels of certain hazardous materials;
|
|
·
|
Underwriters Laboratories, Inc., a product safety compliance testing laboratory; and
|
|
·
|
NOM (Norma Official Mexicana), a product safety compliance testing standard.
|
|
·
|
D512,446 (United States) – Design patent for an electronic poker table top
|
|
·
|
7,556,561 (United States) – A seat request button allowing players seated at an electronic poker table to request a different seat
|
|
·
|
7,618,321 (United States) – System and method for detecting collusion between poker players
|
|
·
|
7,758,411 (United States) – System and method for providing an electronic poker game
|
|
·
|
7,699,695 (United States) – Electronic card table and method with variable rake
|
|
·
|
7,794,324 (United States) – Electronic player interaction area with player customer interaction features (pre-selecting actions)
|
|
·
|
general economic conditions;
|
|
·
|
levels of disposable income of casino patrons;
|
|
·
|
downturn or loss in popularity of the gaming industry in general and table and slot games in particular;
|
|
·
|
the relative popularity of entertainment alternatives to casino gaming;
|
|
·
|
the growth and number of legalized gaming jurisdictions;
|
|
·
|
local conditions in key gaming markets, including seasonal and weather-related factors;
|
|
·
|
increased transportation costs;
|
|
·
|
acts of terrorism and anti-terrorism efforts;
|
|
·
|
changes or proposed changes to tax laws;
|
|
·
|
increases in gaming taxes or fees;
|
|
·
|
legal and regulatory issues affecting the development, operation and licensing of casinos;
|
|
·
|
the availability and cost of capital to construct, expand or renovate new and existing casinos;
|
|
·
|
the level of new casino construction and renovation schedules of existing casinos; and
|
|
·
|
competitive conditions in the gaming industry and in particular gaming markets, including the effect of such conditions on the pricing of our games and products.
|
|
·
|
increase our vulnerability to adverse economic and industry conditions, including interest rate fluctuations, because a portion of our borrowings are at variable rates of interest;
|
|
·
|
require us to dedicate future cash flows to the repayment of debt, reducing the availability of cash to fund working capital, capital expenditures or other general corporate purposes;
|
|
·
|
limit our flexibility in planning for, or reacting to, changes in our business and industry; and
|
|
·
|
limit our ability to obtain additional debt or equity financing due to applicable financial and restrictive covenants contained in our debt agreements.
|
Market Prices of Common Stock
|
||||||||||||||||
2013
|
2012
|
|||||||||||||||
Quarter ended
|
High
|
Low
|
High
|
Low
|
||||||||||||
March 31
|
$ | 1.62 | $ | 1.17 | $ | 1.04 | $ | 0.61 | ||||||||
June 30
|
1.49 | 1.10 | 1.08 | 0.61 | ||||||||||||
September 30
|
1.38 | 1.12 | 1.05 | 0.64 | ||||||||||||
December 31
|
1.21 | 0.96 | 1.40 | 0.70 |
Years Ended December 31,
|
||||||||||||||||||||
2013
(1)
|
2012
(1)
|
2011
(1)
|
2010
(1)
|
2009
(1)
|
||||||||||||||||
(in thousands, except per share amounts and gaming positions)
|
||||||||||||||||||||
Statement of operations data (continuing operations):
|
||||||||||||||||||||
Revenue
|
$ | 5,547 | $ | 5,177 | $ | 6,496 | $ | 5,899 | $ | 5,414 | ||||||||||
Gross profit
|
4,019 | 3,758 | 4,555 | 3,872 | 2,398 | |||||||||||||||
Operating loss
|
(553 | ) | (690 | ) | (1,497 | ) | (2,628 | ) | (4,864 | ) | ||||||||||
EBITDAS
(3)
|
586 | 423 | 456 | (126 | ) | (1,382 | ) | |||||||||||||
Statement of cash flows data (continuing operations):
|
||||||||||||||||||||
Net cash used in operating activities
|
$ | (136 | ) | $ | (843 | ) | $ | (882 | ) | $ | (634 | ) | $ | (2,438 | ) | |||||
Net cash provided by (used in) investing activities
|
(10 | ) | (1 | ) | (19 | ) | (3 | ) | 3,887 | |||||||||||
Net cash provided by (used in) financing activities
|
325 | 405 | 817 | 491 | (2,389 | ) | ||||||||||||||
Loss per common share:
|
||||||||||||||||||||
Net loss per common share from continuing
|
$ | (0.07 | ) | $ | (0.11 | ) | $ | (0.24 | ) | $ | (0.48 | ) | $ | (1.10 | ) | |||||
operations - basic and diluted
|
||||||||||||||||||||
Net loss per common share - basic and diluted
|
$ | (0.07 | ) | $ | (0.10 | ) | $ | (0.27 | ) | $ | (0.69 | ) | $ | (1.19 | ) | |||||
Weighted average common shares outstanding
(2)
|
9,161 | 7,974 | 6,784 | 5,888 | 4,787 | |||||||||||||||
Balance sheet data (at end of period from continuing
|
||||||||||||||||||||
operations):
|
||||||||||||||||||||
Current assets
|
$ | 2,285 | $ | 2,440 | $ | 3,335 | $ | 3,314 | $ | 5,230 | ||||||||||
Total assets
|
4,078 | 4,332 | 4,702 | 6,052 | 8,283 | |||||||||||||||
Current liabilities
|
645 | 946 | 1,198 | 1,959 | 1,970 | |||||||||||||||
Total liabilities
|
982 | 1,406 | 2,166 | 3,246 | 2,783 | |||||||||||||||
Shareholders' equity
|
3,096 | 2,855 | 2,536 | 2,806 | 5,500 | |||||||||||||||
Gaming positions:
|
||||||||||||||||||||
PokerPro
|
2,170 | 2,160 | 1,944 | 2,514 | 2,044 | |||||||||||||||
ProCore
|
102 | 150 | 84 | - | - | |||||||||||||||
Total
|
2,272 | 2,310 | 2,028 | 2,514 | 2,044 |
·
|
During fiscal 2010, we exited our amusement business and our Heads-Up Challenge product. As such, we report our amusement business as a discontinued operation for all periods presented.
|
·
|
On February 25, 2011, we completed a 2.5-to-1 reverse stock split. All share amounts have been restated to reflect the reverse stock split.
|
·
|
In addition to disclosing financial results prepared in accordance with GAAP, we disclose information regarding EBITDAS, which differs from the term EBITDA as it is commonly used. In addition to adjusting net loss to exclude taxes, interest, and depreciation and amortization, EBITDAS also excludes share-based compensation expense. EBITDA and EBITDAS are not measures of performance defined in accordance with GAAP. However, EBITDAS is used internally by our management and by our lenders in evaluating our operating performance. Accordingly, management believes that disclosure of this metric offers investors, lenders and other stakeholders with an additional view of our operations that, when coupled with the GAAP results, provides a more complete understanding of our financial results. EBITDAS should not be considered as an alternative to net loss or to net cash used in operating activities as a measure of operating results or of liquidity. It may not be comparable to similarly titled measures used by other companies, and it excludes financial information that some may consider important in evaluating our performance. A reconciliation of GAAP net loss from continuing operations to EBITDAS is as follows:
|
Years Ended December 31,
|
||||||||||||||||||||
(in thousands)
|
2013
|
2012
|
2011
|
2010
|
2009
|
|||||||||||||||
EBITDAS Reconciliation
|
||||||||||||||||||||
Net loss from continuing operations
|
$ | (634 | ) | $ | (846 | ) | $ | (1,642 | ) | $ | (2,815 | ) | $ | (5,260 | ) | |||||
Interest expense, net
|
38 | 69 | 94 | 132 | 288 | |||||||||||||||
Income tax provision
|
42 | 87 | 51 | 56 | 108 | |||||||||||||||
Other taxes
|
67 | 9 | 22 | 37 | 8 | |||||||||||||||
Depreciation and amortization
|
772 | 752 | 1,245 | 1,807 | 2,729 | |||||||||||||||
Stock-based compensation expense
|
301 | 352 | 686 | 657 | 745 | |||||||||||||||
EBITDAS
|
$ | 586 | $ | 423 | $ | 456 | $ | (126 | ) | $ | 1,382 |
Year Ended December 31,
|
||||||||||||
2013
|
2012
|
Change
|
||||||||||
Revenue
|
||||||||||||
License and service fees
|
$ | 4,850,375 | $ | 4,367,132 | 11.1 | % | ||||||
Sales of systems and equipment
|
696,320 | 810,147 | (14.1 | %) | ||||||||
Total revenue
|
5,546,695 | 5,177,279 | 7.1 | % | ||||||||
Gross profit
|
4,018,955 | 3,757,928 | 6.9 | % | ||||||||
Percentage of revenue
|
72.5 | % | 72.6 | % | ||||||||
Operating expenses
|
4,572,196 | 4,448,060 | 2.8 | % | ||||||||
Interest expense, net
|
38,191 | 69,351 | (44.9 | %) | ||||||||
Income tax provision
|
42,310 | 86,908 | (51.3 | %) | ||||||||
Net loss from continuing operations
|
(633,742 | ) | (846,391 | ) | 25.1 | % | ||||||
Net income from discontinued operations
|
535 | 52,263 | (99.0 | %) | ||||||||
Net loss
|
$ | (633,207 | ) | $ | (794,128 | ) | 20.3 | % |
Year Ended December 31,
|
||||||||||||
2013
|
2012
|
Change
|
||||||||||
Continuing Operations:
|
||||||||||||
Net cash (used in) operating activities
|
$ | (135,898 | ) | $ | (842,870 | ) | $ | 706,972 | ||||
Net cash used in investing activities
|
(10,190 | ) | (1,378 | ) | (8,812 | ) | ||||||
Net cash provided by financing activities
|
325,329 | 405,049 | (79,720 | ) | ||||||||
Net cash provided by (used in) continuing operations
|
179,241 | (439,199 | ) | 618,440 | ||||||||
Net cash provided by operating activities of discontinued operations
|
535 | 68,727 | $ | (68,192 | ) | |||||||
Net increase in cash and cash equivalents
|
179,776 | (370,472 | ) | |||||||||
Cash and cash equivalents, beginning of period
|
235,757 | 606,229 | ||||||||||
Cash and cash equivalents, end of period
|
$ | 415,533 | $ | 235,757 | ||||||||
|
·
|
20,000 with an exercise price of $2.50 and an expiration date of March 31, 2015 issued in connection with a private placement in May 2010; and
|
|
·
|
40,000 with an exercise price of $2.75 and an expiration date of December 29, 2015 issued in connection with the LPC transaction.
|
|
(i)
|
Beginning February 1, 2013 and the first day of each calendar month thereafter until January 1, 2017, we make monthly payments of interest and principal in the amount of $7,465.51, the amount required to fully amortize the remaining principal balance and the accrued interest thereon over 48 months. In the event of a prepayment, the monthly amount would be recalculated.
|
|
(ii)
|
The remaining principal balance of the Founders’ Loan and all accrued but unpaid interest thereon is finally due and payable on December 31, 2016.
|
|
·
|
the pace of growth in our recurring-revenue gaming business, the related investments in inventory and level of spending on development and regulatory efforts;
|
|
·
|
the level of investment in development and approval of new products, entry into new markets, and investments in regulatory approvals;
|
|
·
|
our ability to control growth of operating expenses as we grow the business, expand with new products in new markets;
|
|
·
|
our ability to negotiate and maintain favorable payment terms with our customers and vendors;
|
|
·
|
our ability to access the capital markets and maintain availability under our credit line;
|
|
·
|
demand for our products, and the ability of our customers to pay us on a timely basis; and
|
|
·
|
general economic conditions as well as political events and legal and regulatory changes.
|
Total
|
Less than
1 year
|
1 - 3 years
|
3 - 5 years
|
More than
5 years
|
||||||||||||||||
Debt obligations
(1)
|
$ | 240,429 | $ | 70,822 | $ | 169,607 | $ | - | $ | - | ||||||||||
Operating lease obligations
(2)
|
360,000 | 135,000 | 225,000 | - | - | |||||||||||||||
Purchase obligations
(3)
|
475,587 | 475,587 | - | - | - | |||||||||||||||
Other long-term liabilities
(4)
|
323,598 | 156,075 | 167,523 | - | - | |||||||||||||||
Total
|
$ | 1,399,614 | $ | 837,484 | $ | 562,130 | $ | - | $ | - | ||||||||||
|
(1)
|
Represents the outstanding principal amount and interest on the Founders’ Loan.
|
|
(2)
|
Represents operating lease agreements for office and storage facilities and office equipment.
|
|
(3)
|
Represents open purchase orders with our vendors.
|
|
(4)
|
Represents purchase of gaming inventory from Aristocrat International Pty. Limited and its Affiliates (“Aristocrat”), our former international distribution agent.
|
|
·
|
persuasive evidence of an arrangement exists
|
|
·
|
delivery has occurred
|
|
·
|
the customer’s price is fixed and determinable
|
|
·
|
collectability is reasonably assured.
|
|
·
|
Vendor specific objective evidence (“VSOE”).
When available, VSOE must be used to determine the selling price of a deliverable. We have not been able to establish VSOE for its deliverables as we do not sell our products separately regularly and/or have only a limited sales history.
|
|
·
|
Third-party evidence (“TPE”).
When VSOE is not available, we then determine whether TPE is available. TPE is determined based on competitor prices for similar deliverables when sold separately. We are unable to reliably determine and verify the pricing of similar competitor products on a stand-alone basis and have not been able to establish TPE for its deliverables.
|
|
·
|
Best estimate of selling price (
“
BESP
”
).
When TPE is not available, then the BESP is used. As we have not established VSOE or TPE for our deliverables, it uses BESP in its allocation of the arrangement consideration for contracts.
|
|
·
|
Financial Statements
|
|
·
|
Supplementary Data
|
2013
|
||||||||||||||||
Q1 | Q2 | Q3 | Q4 | |||||||||||||
Revenue
|
||||||||||||||||
License and service fees
|
$ | 1,360,670 | $ | 1,225,353 | $ | 1,129,246 | $ | 1,135,106 | ||||||||
Sales of systems and equipment
|
30,451 | 378,870 | 13,635 | 273,364 | ||||||||||||
Total revenue
|
1,391,121 | 1,604,223 | 1,142,881 | 1,408,470 | ||||||||||||
Cost of revenue
|
353,549 | 365,909 | 313,149 | 495,133 | ||||||||||||
Gross profit
|
1,037,572 | 1,238,314 | 829,732 | 913,337 | ||||||||||||
Operating expenses
|
1,188,308 | 1,268,328 | 1,086,748 | 1,028,812 | ||||||||||||
Net loss from continuing operations before interest and income taxes
|
(150,736 | ) | (30,014 | ) | (257,016 | ) | (115,475 | ) | ||||||||
Interest expense, net
|
(10,543 | ) | (9,470 | ) | (9,204 | ) | (8,974 | ) | ||||||||
Income tax provision
|
(34,081 | ) | (11,939 | ) | - | 3,710 | ||||||||||
Net loss from continuing operations
|
(195,360 | ) | (51,423 | ) | (266,220 | ) | (120,739 | ) | ||||||||
Income (loss) from discontinued operations
|
535 | - | - | - | ||||||||||||
Net loss
|
$ | (194,825 | ) | $ | (51,423 | ) | $ | (266,220 | ) | $ | (120,739 | ) | ||||
Net loss from continuing operations per common share - basic and diluted
|
$ | (0.02 | ) | $ | (0.01 | ) | $ | (0.03 | ) | $ | (0.01 | ) | ||||
Net loss from discontinued operations per common share - basic and diluted
|
- | - | - | - | ||||||||||||
Net loss per common share - basic and diluted
|
(0.02 | ) | (0.01 | ) | (0.03 | ) | (0.01 | ) | ||||||||
Weighted average common shares outstanding - basic and diluted
|
8,491,315 | 9,227,808 | 9,306,222 | 9,160,624 | ||||||||||||
2012 | ||||||||||||||||
Q1 | Q2 | Q3 | Q4 | |||||||||||||
Revenue
|
||||||||||||||||
License and service fees
|
$ | 1,083,414 | $ | 906,929 | $ | 1,097,641 | $ | 1,279,148 | ||||||||
Sales of systems and equipment
|
594,523 | 134,654 | 16,537 | 64,433 | ||||||||||||
Total revenue
|
1,677,937 | 1,041,583 | 1,114,178 | 1,343,581 | ||||||||||||
Cost of revenue
|
385,979 | 301,376 | 324,816 | 407,180 | ||||||||||||
Gross profit
|
1,291,958 | 740,207 | 789,362 | 936,401 | ||||||||||||
Operating expenses
|
1,204,999 | 1,114,746 | 1,045,497 | 1,082,818 | ||||||||||||
Net loss from continuing operations before income taxes
|
86,959 | (374,539 | ) | (256,135 | ) | (146,417 | ) | |||||||||
Interest expense, net
|
(20,855 | ) | (19,810 | ) | (17,752 | ) | (10,934 | ) | ||||||||
Income tax provision
|
(6,727 | ) | (714 | ) | (52,353 | ) | (27,114 | ) | ||||||||
Net loss from continuing operations
|
59,377 | (395,063 | ) | (326,240 | ) | (184,465 | ) | |||||||||
Income (loss) from discontinued operations
|
10,522 | 44,345 | (4,754 | ) | 2,150 | |||||||||||
Net loss
|
$ | 69,899 | $ | (350,718 | ) | $ | (330,994 | ) | $ | (182,315 | ) | |||||
Net loss from continuing operations per common share - basic and diluted
|
$ | 0.01 | $ | (0.05 | ) | $ | (0.04 | ) | $ | (0.02 | ) | |||||
Net loss from discontinued operations per common share - basic and diluted
|
0.00 | 0.01 | (0.00 | ) | 0.00 | |||||||||||
Net loss per common share - basic and diluted
|
0.01 | (0.05 | ) | (0.04 | ) | (0.02 | ) | |||||||||
Weighted average common shares outstanding - basic and diluted
|
7,564,104 | 7,563,120 | 8,130,413 | 8,627,770 |
|
·
|
Report of Independent Registered Public Accounting Firm;
|
|
·
|
Consolidated Statements of Operations for the years ended December 31, 2013 and 2012;
|
|
·
|
Consolidated Balance Sheets as of December 31, 2013 and 2012;
|
|
·
|
Consolidated Statements of Shareholders’ Equity for the years ended December 31, 2013 and 2012;
|
|
·
|
Consolidated Statements of Cash Flows for the years ended December 31, 2013 and 2012; and
|
|
·
|
Notes to Consolidated Financial Statements.
|
|
·
|
Valuation and Qualifying Accounts and Reserves
|
|
·
persuasive evidence of an arrangement exists
|
|
·
delivery has occurred
|
|
·
the customer
’
s price is fixed and determinable; and
|
|
·
collectability is reasonably assured.
|
|
·
|
Vendor specific objective evidence (
“
VSOE
”
).
When available, VSOE must be used to determine the selling price of a deliverable. The Company has not been able to establish VSOE for its deliverables as it does not sell its products separately regularly and/or has only a limited sales history.
|
|
·
|
Third-party evidence (
“
TPE
”
).
When VSOE is not available, the Company then determines whether TPE is available. TPE is determined based on competitor prices for similar deliverables when sold separately. The Company is unable to reliably determine and verify the pricing of similar competitor products on a stand-alone basis and has not been able to establish TPE for its deliverables.
|
|
·
|
Best estimate of selling price (
“
BESP
”
).
When TPE is not available, then the BESP is used. AS the Company has not established VSOE or TPE for its deliverables, it uses BESP in its allocation of the arrangement consideration for contracts.
|
|
·
|
Stock options to purchase 724,703 shares of common stock as of both December 31, 2013 and December 31, 2012;
|
|
·
|
253,312 and 356,000 restricted stock units as of December 31, 2013 and December 31, 2012, respectively; and
|
|
·
|
60,000 common stock purchase warrants as of both December 31, 2013 and December 31, 2012.
|
|
·
|
the level of investment in development and approval of new products, entry into new markets, and investments in regulatory approvals;
|
|
·
|
its ability to control growth of operating expenses as it grows the business and expands with new products in new markets;
|
|
·
|
its ability to negotiate and maintain favorable payment terms with customers and vendors;
|
|
·
|
its ability to access the capital markets and maintain availability under its credit line;
|
|
·
|
demand for its products, and the ability of its customers to pay on a timely basis; and
|
|
·
|
general economic conditions as well as political events and legal and regulatory changes.
|
Years Ended
|
||||||||
December 31,
|
||||||||
2013
|
2012
|
|||||||
Revenue
|
$ | 535 | $ | 151,555 | ||||
Cost of revenue
|
- | 88,312 | ||||||
Gross profit
|
535 | 63,243 | ||||||
Operating expenses
|
- | 10,980 | ||||||
Net income from discontinued operations
|
$ | 535 | $ | 52,263 |
December 31,
|
December 31,
|
|||||||
2013
|
2012
|
|||||||
Accounts receivable
|
$ | 910,920 | $ | 980,438 | ||||
Allowance for doubtful accounts
|
(116,971 | ) | (185,669 | ) | ||||
Accounts receivable, net
|
$ | 793,949 | $ | 794,769 |
December 31,
|
December 31,
|
|||||||
2013
|
2012
|
|||||||
Raw materials and components
|
$ | 1,182,150 | $ | 1,227,914 | ||||
Gaming systems in process
|
331,536 | 193,515 | ||||||
Finished goods
|
116,114 | 100,060 | ||||||
Reserve
|
(215,099 | ) | (178,539 | ) | ||||
Inventory, net
|
$ | 1,414,701 | $ | 1,342,950 |
December 31,
|
December 31,
|
|||||||
2013
|
2012
|
|||||||
Prepaid expenses
|
$ | 62,924 | $ | 37,280 | ||||
Other
|
27,390 | 29,708 | ||||||
Prepaid expenses and other assets
|
$ | 90,314 | $ | 66,988 | ||||
Deferred licensing fees, net
|
$ | 60,560 | $ | 121,318 | ||||
Other
|
50,180 | 50,180 | ||||||
Other assets
|
$ | 110,740 | $ | 171,498 | ||||
December 31,
|
December 31,
|
|||||||
2013
|
2012
|
|||||||
Gaming systems
|
$ | 6,716,864 | $ | 7,210,226 | ||||
Less: accumulated depreciation
|
(5,491,933 | ) | (5,517,175 | ) | ||||
Gaming systems, net
|
$ | 1,224,931 | $ | 1,693,051 |
December 31,
|
December 31,
|
|||||||
2013
|
2012
|
|||||||
Equipment
|
$ | 462,404 | $ | 458,094 | ||||
Leasehold improvements
|
208,387 | 202,508 | ||||||
Capitalized software
|
157,067 | 157,067 | ||||||
827,858 | 817,669 | |||||||
Less: accumulated depreciation
|
(800,134 | ) | (790,702 | ) | ||||
Property and equipment, net
|
$ | 27,724 | $ | 26,967 |
December,
|
December 31,
|
|||||||
2013
|
2012
|
|||||||
Accrued legal settlement
|
$ | - | $ | 175,000 | ||||
Inventory received, not invoiced
|
156,075 | 220,670 | ||||||
Other liabilities and customer deposits
|
154,051 | 173,734 | ||||||
Accrued liabilities
|
$ | 310,126 | $ | 569,404 |
December 31,
|
December 31,
|
|||||||
2013
|
2012
|
|||||||
SVB Credit Facility
|
$ | - | $ | - | ||||
Founders' Loan
|
240,429 | 300,000 | ||||||
Total debt
|
240,429 | 300,000 | ||||||
Current portion of debt
|
70,822 | 59,571 | ||||||
Long-term portion of debt
|
$ | 169,607 | $ | 240,429 |
|
(i)
|
Beginning February 1, 2013 and the first day of each calendar month thereafter until January 1, 2017, the Company will make monthly payments of interest and principal in the amount of $7,465.51, the amount required to fully amortize the remaining principal balance and the accrued interest thereon over 48 months. In the event of a prepayment, the monthly amount would be recalculated.
|
|
(ii)
|
The remaining principal balance of the note and all accrued but unpaid interest thereon is finally due and payable on December 31, 2016.
|
|
·
|
20,000 common stock warrants at an exercise price of $2.50 with an expiration date of March 31, 2015 issued in connection with a private placement in May 2010; and
|
|
·
|
40,000 common stock warrants at an exercise price of $2.75 with an expiration date of December 29, 2015 issued in connection with the LPC transaction.
|
2013
|
2012
|
||||
Expected Volatility
|
94% - 97% | 95% - 97 | |||
Expected Dividends
|
0 | 0 | |||
Expected Term
|
6 yrs
|
6 yrs
|
|||
Risk-free Rate
|
0.82% - 1.60% | 0.67% - 1.02 |
Weighted Average
|
||||||||||||||||
Shares
|
Exercise Price
|
Remaining Contractual Term
|
Aggregate Instrinsic Value
|
|||||||||||||
Stock Options
|
||||||||||||||||
Outstanding at December 31, 2012
|
724,720 | $ | 4.68 | |||||||||||||
Granted
|
- | - | ||||||||||||||
Exercised
|
- | |||||||||||||||
Forfeited
|
- | - | ||||||||||||||
Expired
|
- | - | ||||||||||||||
Outstanding at December 31, 2013
|
724,720 | $ | 4.68 | 5.5 | $ | (2,696,100 | ) | |||||||||
Exercisable at December 31, 2013
|
701,996 | $ | 4.43 | 5.5 | $ | (2,436,600 | ) |
Shares
|
Weighted Average Grant Date Fair Value
|
|||||||
Balance at December 31, 2012
|
70,777 | $ | 1.04 | |||||
Granted
|
- | - | ||||||
Forfeited
|
- | - | ||||||
Vested
|
(48,054 | ) | 1.15 | |||||
Balance at December 31, 2013
|
22,723 | $ | 0.73 |
Weighted Average
|
|||||||||
Restricted Stock
|
Shares
|
Remaining Contractual Term
|
Grant Date Fair Value
|
||||||
Nonvested at December 31, 2012
|
125,000 | $ | 106,250 | ||||||
Granted
|
- | - | |||||||
Vested
|
(125,000 | ) | (106,250 | ) | |||||
Forfeited
|
- | - | |||||||
Nonvested at December 31, 2013
|
- |
-
|
$ | - |
Weighted Average
|
|||||||||
Restricted Stock Units (RSU's)
|
Shares
|
Remaining Contractual Term
|
Grant Date Fair Value
|
||||||
Nonvested at December 31, 2012
|
356,000 | $ | 267,000 | ||||||
Granted
|
85,000 | 63,750 | |||||||
Vested
|
(187,688 | ) | (140,766 | ) | |||||
Forfeited
|
- | - | |||||||
Nonvested at December 31, 2013
|
253,312 |
0.8
|
$ | 189,984 |
2013
|
2012
|
|||||||
Current tax expense:
|
||||||||
Federal
|
$ | - | $ | - | ||||
State
|
- | - | ||||||
Foreign
|
42,310 | 86,908 | ||||||
42,310 | 86,908 | |||||||
Deferred tax expense (benefit):
|
||||||||
Federal
|
- | - | ||||||
State
|
- | - | ||||||
Foreign
|
- | - | ||||||
- | - | |||||||
Total income tax expense (benefit):
|
||||||||
Federal
|
- | - | ||||||
State
|
- | - | ||||||
Foreign
|
42,310 | 86,908 | ||||||
$ | 42,310 | $ | 86,908 |
2013
|
2012
|
|||||||
Federal statutory income tax benefit
|
$ | (102,581 | ) | $ | (270,003 | ) | ||
Increases (reductions) in taxes due to:
|
||||||||
Nondeductible stock-based compensation
|
(48,404 | ) | 55,307 | |||||
State taxes, net of federal benefit
|
159,011 | (69,142 | ) | |||||
Change in valuation allowance
|
(393,282 | ) | (31,330 | ) | ||||
Imputed Interest Income
|
69,205 | |||||||
Other
|
131,882 | (55,718 | ) | |||||
Adjustment to NOL carryovers
|
184,169 | 370,886 | ||||||
Foreign income tax
|
42,310 | 86,908 | ||||||
Income tax expense
|
$ | 42,310 | $ | 86,908 |
2013
|
2012
|
|||||||
Deferred tax asset:
|
||||||||
Start-up costs capitalization
|
$ | 73,210 | $ | 85,592 | ||||
Loss carryforwards
|
11,200,108 | 11,583,968 | ||||||
Depreciation
|
1,516,881 | 1,626,090 | ||||||
Tax credit carryforwards
|
563,358 | 521,048 | ||||||
Share-based compensation expense
|
201,475 | 227,726 | ||||||
Accounts receivable
|
42,222 | 67,907 | ||||||
Inventory
|
761,323 | 646,970 | ||||||
Deferred costs
|
25,127 | |||||||
Other
|
3,176 | 10,029 | ||||||
14,386,880 | 14,769,330 | |||||||
Deferred tax liability:
|
||||||||
Prepaid expenses
|
(16,475 | ) | (5,643 | ) | ||||
(16,475 | ) | (5,643 | ) | |||||
14,370,405 | 14,763,687 | |||||||
Less valuation allowance
|
(14,370,405 | ) | (14,763,687 | ) | ||||
Net deferred tax asset
|
$ | - | $ | - |
2013
|
2012
|
|||||||
Unrecognized tax benefits at January 1
|
$ | 418,907 | $ | 418,907 | ||||
Gross increases—tax positions in prior period
|
- | - | ||||||
Gross decreases—tax positions in prior period
|
- | - | ||||||
Gross increases—tax positions in current period
|
- | - | ||||||
Gross decreases—tax positions in current period
|
- | - | ||||||
Settlements
|
- | - | ||||||
Unrecognized tax benefits at December 31
|
$ | 418,907 | $ | 418,907 |
2013
|
2012
|
|||||||
Revenue:
|
||||||||
United States
|
$ | 3,713,969 | $ | 3,968,865 | ||||
Other Americas
|
1,375,728 | 649,818 | ||||||
Europe
|
191,065 | 399,933 | ||||||
Other International
|
265,933 | 158,663 | ||||||
$ | 5,546,695 | $ | 5,177,279 | |||||
2013 | 2012 | |||||||
Long-lived assets, end of period:
|
||||||||
United States
|
$ | 450,714 | $ | 884,929 | ||||
Other America's
|
718,982 | 824,050 | ||||||
Europe
|
157,035 | 163,218 | ||||||
Other International
|
36,664 | 19,319 | ||||||
$ | 1,363,395 | $ | 1,891,516 |
Year Ending December 31,
|
Contractual Operating Lease Receipts
|
Contractual Operating Lease Payments
|
||||||
2014
|
$ | 19,200 | $ | 135,000 | ||||
2015
|
19,200 | 135,000 | ||||||
2016
|
11,200 | 90,000 | ||||||
$ | 49,600 | $ | 360,000 |
Balance at Beginning of Period
|
Additions Charged to Costs and Expenses
|
Charged to Other Accounts
|
Deductions (Chargeoffs)
|
Balance at End of Period
|
||||||||||||||||
ALLOWANCE FOR DOUBTFUL ACCOUNTS
|
||||||||||||||||||||
Year ended December 31, 2013
|
$ | 185,669 | $ | 160,659 | $ | - | $ | 229,357 | $ | 116,971 | ||||||||||
Year ended December 31, 2012
|
$ | 146,183 | $ | 158,117 | $ | - | $ | 118,631 | $ | 185,669 | ||||||||||
INVENTORY RESERVE
|
||||||||||||||||||||
Year ended December 31, 2013
|
$ | 178,539 | $ | 48,576 | $ | - | $ | 12,016 | $ | 215,099 | ||||||||||
Year ended December 31, 2012
|
$ | 237,297 | $ | 41,424 | $ | - | $ | 100,182 | $ | 178,539 |
PokerTek, Inc.
|
|||
Date: March 21, 2014
|
By:
|
/s/ Mark D. Roberson
|
|
Mark D. Roberson
Chief Executive Officer
|
|||
/s/
|
Mark D. Roberson
|
Date:
|
March 21,2014
|
|||
Name:
|
Mark D. Roberson
|
|||||
Title:
|
Chief Executive Officer and Chief Financial Officer
(Principal Executive and Financial Officer)
|
|||||
/s/
|
Joseph J. Lahti
|
Date:
|
March 21, 2014
|
|||
Name:
|
Joseph J. Lahti
|
|||||
Title:
|
Chairman of the Board of Directors
|
|||||
/s/
|
Gehrig H. White
|
Date:
|
March 21, 2014
|
|||
Name:
|
Gehrig H. White
|
|||||
Title:
|
Vice Chairman of the Board of Directors
|
|||||
/s/
|
James T. Crawford, III
|
Date:
|
March 21, 2014
|
|||
Name:
|
James T. Crawford, III
|
|||||
Title:
|
President, Secretary and Director
|
|||||
/s/
|
Lyle A. Berman
|
Date:
|
March 21, 2014
|
|||
Name:
|
Lyle A. Berman
|
|||||
Title:
|
Director
|
|||||
/s/
|
Arthur L. Lomax
|
Date:
|
March 21, 2014
|
|||
Name:
|
Arthur L. Lomax
|
|||||
Title:
|
Director
|
EXHIBIT INDEX
|
1 Year (MM) Chart |
1 Month (MM) Chart |
It looks like you are not logged in. Click the button below to log in and keep track of your recent history.
Support: +44 (0) 203 8794 460 | support@advfn.com
By accessing the services available at ADVFN you are agreeing to be bound by ADVFN's Terms & Conditions