SANTA MONICA, CA -- (Marketwire) -- 09/10/12 -- Image Metrics, Inc., a leading provider of facial animation technology, today reported selected financial data for the nine months ended June 30, 2012.
The Company held $1.2 million in cash, cash equivalents and short-term investments as of June 30, 2012. During the nine months then ended, the Company successfully converted $9.5 million of senior preferred secured debt into 3.3 million shares of its convertible Series B preferred stock and licensed some of its intellectual property to debt holders in consideration for a reduction of debt. As a result, the balance sheet as of June 30, 2012, had total liabilities of $1.5 million compared to $12.6 million at Sept. 30, 2011. The Company did not have any secured or convertible debt as of June 30, 2012.
Revenue totaled $2.3 million for the nine months ended June 30, 2012, compared with $6.9 million in the same period of the prior year. The decline in revenue is primarily attributable to the reduction of revenue derived from the Company's previously largest customer, Take-Two Interactive. Revenues in the nine-month period ended June 30, 2012, included $1.2 million from the sale of a patent.
Net income was $1.6 million for the nine months ended June 30, 2012, compared with net income of $2.0 million in the same period of the prior year. Lower revenue was offset by other income of $4.9 million, which was principally comprised of gains recognized on the license of rights to its Faceware technology and other intellectual property to former holders of its secured debt.
About Image Metrics Inc.
Founded in 2000, Image Metrics is a pioneer in the field of computer vision with numerous patents held in facial recognition, analysis and animation technologies. The company's proprietary algorithms capture, recognize and analyze nuanced facial expressions and emotions in real-time using nothing more than a standard webcam, allowing companies to add compelling new consumer experiences to their products.
Image Metrics also licenses powerful SDKs, including Live Driver, its real-time facial animation technology, and PortableYou, its avatar creation platform. The company's integrations include Sony Online Entertainment's MMORPG EverQuest II.
Image Metrics is headquartered in Santa Monica, Calif., with a Research Lab in Manchester, U.K. For more information, or to request a demo, please visit www.image-metrics.com.
This press release contains select consolidated financial data through June 30, 2012, which is unaudited and, although the Company believes the financial data accurately reflects the values of each item, no assurance thereof can be given, or that any future independent auditor may not adjust one or more of such values set forth in any future prepared consolidated financial statements of the Company. The information in this release has not been audited or reviewed in accordance with standards established by the American Institute of Certified Public Accountants.