SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
Date of Report (Date of earliest event reported): August 11, 2010
SALARY.COM, INC.
(Exact name of registrant as specified in its charter)
Delaware
(State of incorporation or organization)
001-33312 | 04-3465241 | |
(Commission file number) | (I.R.S. employer identification no.) |
160 Gould Street, Needham, Massachusetts 02494
(Address of Principal Executive Offices) (Zip code)
Registrant’s telephone number, including area code: (781) 851-8000
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
¨ | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
¨ | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
¨ | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
¨ | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
Item 9.01. | Financial Statements and Exhibits. |
(b) | Pro Forma Financial Information |
As disclosed in its Quarterly Report on Form 10-Q for the period ended June 30, 2010, which was filed with the Securities Exchange Commission on August 16, 2010, on August 11, 2010, Salary.com, Inc. completed the sale of all of the outstanding shares of capital stock of its wholly-owned subsidiary, Genesys Software Systems, Inc., to Genesys Acquisition Corp. The pro forma financial information required by this item with respect to this transaction is set forth below.
SALARY.COM, INC.
PRO FORMA CONSOLIDATED STATEMENT OF OPERATIONS
FOR THE YEAR ENDED MARCH 31, 2010
(IN THOUSANDS, EXCEPT PER SHARE DATA)
(unaudited)
Salary.com, Inc. Consolidated As Reported | Genesys Software Systems (a) | Salary.com, Inc. Pro Forma Consolidated | ||||||||||
Revenue: | ||||||||||||
Subscription revenues | $ | 42,685 | $ | (6,532 | ) | $ | 36,153 | |||||
Advertising revenues | 3,065 | — | 3,065 | |||||||||
Total revenues | 45,750 | (6,532 | ) | 39,218 | ||||||||
Cost of revenues | 14,458 | (4,416 | ) | 10,042 | ||||||||
Gross profit | 31,292 | (2,116 | ) | 29,176 | ||||||||
Operating expenses: | ||||||||||||
Research and development | 9,696 | (1,199 | ) | 8,497 | ||||||||
Sales and marketing | 21,788 | (270 | ) | 21,518 | ||||||||
General and administrative | 15,208 | (729 | ) | 14,479 | ||||||||
Amortization of intangible assets | 3,007 | (1,082 | ) | 1,925 | ||||||||
Impairment charges | 5,599 | (5,599 | ) | — | ||||||||
Restructuring charges | 2,039 | (230 | ) | 1,809 | ||||||||
Total operating expenses | 57,337 | (9,109 | ) | 48,228 | ||||||||
Loss from operations | (26,045 | ) | 6,993 | (19,052 | ) | |||||||
Other income (expense): | ||||||||||||
Interest income | 12 | — | 12 | |||||||||
Other income (expense) | (106 | ) | 13 | (93 | ) | |||||||
Total other expense, net | (94 | ) | 13 | (81 | ) | |||||||
Loss before taxes | (26,139 | ) | 7,006 | (19,133 | ) | |||||||
Income tax expense | 97 | 17 | 114 | |||||||||
Net loss | $ | (26,236 | ) | $ | 6,989 | $ | (19,247 | ) | ||||
Net loss per share - basic and diluted | $ | (1.59 | ) | $ | (1.17 | ) | ||||||
Weighted average shares outstanding - basic and diluted | 16,456 | 16,456 |
SALARY.COM, INC.
PRO FORMA CONSOLIDATED STATEMENT OF OPERATIONS
FOR THE YEAR ENDED MARCH 31, 2009
(IN THOUSANDS, EXCEPT PER SHARE DATA)
(unaudited)
Salary.com, Inc. Consolidated As Reported | Genesys Software Systems (a) | Salary.com, Inc. Pro Forma Consolidated | ||||||||||
Revenue: | ||||||||||||
Subscription revenues | $ | 39,630 | $ | (1,884 | ) | $ | 37,746 | |||||
Advertising revenues | 2,825 | — | 2,825 | |||||||||
Total revenues | 42,455 | (1,884 | ) | 40,571 | ||||||||
Cost of revenues | 13,157 | (1,476 | ) | 11,681 | ||||||||
Gross profit | 29,298 | (408 | ) | 28,890 | ||||||||
Operating expenses: | ||||||||||||
Research and development | 8,846 | (312 | ) | 8,534 | ||||||||
Sales and marketing | 26,139 | (218 | ) | 25,921 | ||||||||
General and administrative | 15,723 | (299 | ) | 15,424 | ||||||||
Amortization of intangible assets | 1,988 | (309 | ) | 1,679 | ||||||||
Impairment charges | — | — | — | |||||||||
Restructuring charges | 3,081 | — | 3,081 | |||||||||
Total operating expenses | 55,777 | (1,138 | ) | 54,639 | ||||||||
Loss from operations | (26,479 | ) | 730 | (25,749 | ) | |||||||
Other income (expense): | ||||||||||||
Interest income | 537 | (2 | ) | 535 | ||||||||
Other income (expense) | (308 | ) | (2 | ) | (310 | ) | ||||||
Total other expense, net | 229 | (4 | ) | 225 | ||||||||
Loss before taxes | (26,250 | ) | 726 | (25,524 | ) | |||||||
Income tax expense | 208 | — | 208 | |||||||||
Net loss | $ | (26,458 | ) | $ | 726 | $ | (25,732 | ) | ||||
Net loss per share - basic and diluted | $ | (1.62 | ) | $ | (1.58 | ) | ||||||
Weighted average shares outstanding - basic and diluted | 16,320 | 16,320 |
SALARY.COM, INC.
NOTES TO THE UNAUDITED PRO FORMA CONSOLIDATED FINANCIAL STATEMENTS
(IN THOUSANDS)
(a) Reflects the elimination of the results of operations for the Genesys Software Systems, Inc. business.
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
SALARY.COM, INC. | ||||
Date: August 17, 2010 | By: | /S/ BRYCE CHICOYNE | ||
Bryce Chicoyne | ||||
Senior Vice President and Chief Financial Officer |