| At | At | |||||||
| December 31 | December 31 | |||||||
| 2008 | 2007 | |||||||
| (Unaudited) | ||||||||
ASSETS | ||||||||
Current Assets: | ||||||||
| Cash and cash equivalents | $ | 70,225 | $ | 197,825 | ||||
| Available-for-sale securities | 60,786 | – | ||||||
| Accounts receivable, net | 6,025 | 6,665 | ||||||
| Receivables from sales representatives | 5,574 | 12,303 | ||||||
| Inventory | 1,306 | 1,108 | ||||||
| Prepaid expenses and other current assets | 16,513 | 15,333 | ||||||
| Deferred taxes assets | 28 | 46 | ||||||
Total Current Assets | 160,457 | 233,280 | ||||||
| Property and equipment, net | 82,657 | 35,352 | ||||||
| Long term investments | 100 | 100 | ||||||
| Bonds held to maturity, at amortized cost | – | 99 | ||||||
| Deferred taxes assets — long term | 323 | 196 | ||||||
| Other assets | 1,561 | 2,781 | ||||||
Total Assets | $ | 245,098 | $ | 271,808 | ||||
LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||||
Current Liabilities: | ||||||||
| Accounts payable | $ | 10,117 | $ | 5,577 | ||||
| Deferred income and customer prepayments | 73,636 | 78,141 | ||||||
| Accrued liabilities | 11,579 | 12,546 | ||||||
| Income taxes payable | 261 | 694 | ||||||
Total Current Liabilities | 95,593 | 96,958 | ||||||
| Deferred income and customer prepayments — long term | 3,044 | 4,934 | ||||||
| Deferred tax liability | 318 | 283 | ||||||
Total Liabilities | 98,955 | 102,175 | ||||||
| Non-controlling interest | 4,223 | 4,940 | ||||||
Shareholders’ equity: | ||||||||
| Common shares, US$0.01 par value; 75,000,000 shares authorized; 51,374,682 (2007: 51,229,300) shares issued and 44,499,682 (2007: 51,229,300) shares outstanding | 514 | 512 | ||||||
| Additional paid in capital | 133,922 | 133,941 | ||||||
| Treasury shares, at cost — 6,875,000 (2007: NIL) shares | (50,000 | ) | – | |||||
| Retained earnings | 55,259 | 28,829 | ||||||
| Accumulated other comprehensive income | 2,225 | 1,411 | ||||||
Total Shareholders’ Equity | 141,920 | 164,693 | ||||||
Total Liabilities and Shareholders’ Equity | $ | 245,098 | $ | 271,808 | ||||
| Three months ended December 31, | Year ended December 31, | |||||||||||||||
| 2008 | 2007 | 2008 | 2007 | |||||||||||||
| (Unaudited) | (Unaudited) | (Unaudited) | ||||||||||||||
Revenue: | ||||||||||||||||
| Online and other media services (Note 1) | $ | 36,363 | $ | 33,969 | $ | 142,129 | $ | 125,818 | ||||||||
| Exhibitions | 26,448 | 25,455 | 58,179 | 51,608 | ||||||||||||
| Miscellaneous | 2,230 | 1,360 | 6,584 | 4,633 | ||||||||||||
| $ | 65,041 | $ | 60,784 | $ | 206,892 | $ | 182,059 | |||||||||
Operating Expenses: | ||||||||||||||||
| Sales (Note 2) | 24,716 | 20,641 | 73,625 | 61,773 | ||||||||||||
| Event production | 10,134 | 9,915 | 21,493 | 20,155 | ||||||||||||
| Community (Note 2) | 9,063 | 9,327 | 30,488 | 27,086 | ||||||||||||
| General and administrative (Note 2) | 11,716 | 12,238 | 47,525 | 44,167 | ||||||||||||
| Online services development (Note 2) | 1,462 | 1,503 | 5,992 | 5,703 | ||||||||||||
| Amortization of software costs | 46 | 75 | 193 | 193 | ||||||||||||
Total Operating Expenses | 57,137 | 53,699 | 179,316 | 159,077 | ||||||||||||
Income from Operations | 7,904 | 7,085 | 27,576 | 22,982 | ||||||||||||
| Interest and dividend income | 268 | 1,721 | 2,884 | 6,595 | ||||||||||||
| Gain on sale of available-for-sale securities | – | 2,937 | – | 2,937 | ||||||||||||
| Impairment loss on available-for-sale securities, net | (939 | ) | – | (939 | ) | (1,846 | ) | |||||||||
| Impairment of goodwill and intangible assets | – | (3,101 | ) | – | (3,101 | ) | ||||||||||
| Foreign exchange gains (losses), net | 662 | (455 | ) | (657 | ) | (1,213 | ) | |||||||||
Income before Income Taxes | 7,895 | 8,187 | 28,864 | 26,354 | ||||||||||||
Income Tax Expense | (116 | ) | 318 | (677 | ) | (328 | ) | |||||||||
Net Income before Non-controlling Interest | $ | 7,779 | $ | 8,505 | $ | 28,187 | $ | 26,026 | ||||||||
| Non-controlling interest | (249 | ) | (357 | ) | (1,757 | ) | (2,027 | ) | ||||||||
Net Income | $ | 7,530 | $ | 8,148 | $ | 26,430 | $ | 23,999 | ||||||||
Basic net income per share | $ | 0.15 | $ | 0.16 | $ | 0.51 | $ | 0.47 | ||||||||
Shares used in basic net income per share calculations | 51,374,034 | 51,229,300 | 51,350,288 | 51,216,610 | ||||||||||||
Diluted net income per share | $ | 0.14 | $ | 0.16 | $ | 0.51 | $ | 0.46 | ||||||||
Shares used in diluted net income per share calculations | 52,271,588 | 51,885,933 | 52,228,640 | 51,679,682 | ||||||||||||
| Note : 1. Online and other media services consists of: | ||||||||||||||||
| Three months ended December 31, | Year ended December 31, | |||||||||||||||
| 2008 | 2007 | 2008 | 2007 | |||||||||||||
| (Unaudited) | (Unaudited) | (Unaudited) | ||||||||||||||
| Online services | $ | 24,967 | $ | 20,501 | $ | 94,481 | $ | 75,919 | ||||||||
| Print services | 11,396 | 13,468 | 47,648 | 49,899 | ||||||||||||
| $ | 36,363 | $ | 33,969 | $ | 142,129 | $ | 125,818 | |||||||||
| Note : 2. | Non-cash compensation expenses associated with the several employee equity compensation plans and Directors Purchase Plan included under various categories of expenses are as follows: |
| Three months ended December 31, | Year ended December 31, | |||||||||||||||
| 2008 | 2007 | 2008 | 2007 | |||||||||||||
| (Unaudited) | (Unaudited) | (Unaudited) | ||||||||||||||
| Sales | $ | (664 | ) | $ | 2,417 | $ | (2,054 | ) | $ | 4,286 | ||||||
| Community | (21 | ) | 112 | 173 | 269 | |||||||||||
| General administrative | 206 | 918 | 742 | 2,874 | ||||||||||||
| Online services development | 59 | 122 | 237 | 347 | ||||||||||||
| $ | (420 | ) | $ | 3,569 | $ | (902 | ) | $ | 7,776 | |||||||
