Spark Networks 10-Q 16 May 16 2016 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	3 Months Ended
	Mar. 31, 2016	May. 12, 2016
Document And Entity Information [Abstract]
Entity Registrant Name	SPARK NETWORKS INC
Entity Central Index Key	1,314,475
Document Type	10-Q
Document Period End Date	Mar. 31, 2016
Amendment Flag	false
Document Fiscal Year Focus	2,016
Document Fiscal Period Focus	Q1
Trading Symbol	LOV
Current Fiscal Year End Date	--12-31
Entity Filer Category	Smaller Reporting Company
Entity Common Stock, Shares Outstanding		25,886,444

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($) $ in Thousands	Mar. 31, 2016	Dec. 31, 2015
Current assets:
Cash and cash equivalents	$ 4,083	$ 6,565
Restricted cash	674	747
Accounts receivable (net of allowance for doubtful accounts of $101 and $99 at March 31, 2016, and December 31, 2015, respectively)	502	790
Prepaid expenses and other	795	1,341
Total current assets	6,054	9,443
Property and equipment, net	5,799	5,584
Goodwill	14,668	14,450
Intangible assets, net	3,374	3,451
Deposits and other assets	174	148
Total assets	30,069	33,076
Current liabilities:
Accounts payable	1,874	1,749
Accrued liabilities	3,705	3,854
Deferred revenue	5,983	5,834
Total current liabilities	11,562	11,437
Deferred tax liability - non-current	2,182	2,136
Other liabilities	465	537
Total liabilities	$ 14,209	$ 14,110
Commitments and Contingencies (Note 10)
Stockholders' equity:
10,000,000 shares of Preferred Stock authorized, $0.001 par value, 450,000 of which are designated as Series C Junior Participating Cumulative Preferred Stock, with no shares of Preferred Stock issued or outstanding
100,000,000 shares of Common Stock authorized, $0.001 par value, with 25,845,879 shares of Common Stock issued and outstanding at March 31, 2016 and December 31, 2015:	$ 29	$ 27
Additional paid-in-capital	77,510	77,188
Accumulated other comprehensive income	718	739
Accumulated deficit	(62,397)	(58,988)
Total stockholders' equity	15,860	18,966
Total liabilities and stockholders' equity	$ 30,069	$ 33,076

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Mar. 31, 2016	Dec. 31, 2015
Accounts receivable, allowance for doubtful accounts	$ 101	$ 99
Common stock, par value	$ 0.001	$ 0.001
Common stock, shares authorized	100,000,000	100,000,000
Common stock, shares issued	25,845,879	25,845,879
Common stock, shares outstanding	25,845,879	25,845,879
Preferred stock, shares authorized	10,000,000	10,000,000
Preferred stock, par value	$ 0.001	$ 0.001
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Designated as Series C Junior Participating Cumulative Preferred Stock
Preferred stock, shares authorized	450,000	450,000

Consolidated Statements of Oper

Consolidated Statements of Operations and Comprehensive Income (Loss) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Income Statement [Abstract]
Revenue	$ 9,859	$ 13,486
Cost and expenses:
Cost of revenue (exclusive of depreciation shown separately below)	6,229	7,097
Sales and marketing	1,452	755
Customer service	993	749
Technical operations	297	212
Development	1,030	917
General and administrative	2,511	2,238
Depreciation	712	513
Amortization of intangible assets	78	10
Impairment of long-lived assets	39	69
Total cost and expenses	13,341	12,560
Operating (loss) income	(3,482)	926
Interest (income) expense and other, net	(141)	118
(Loss) income before provision for income taxes	(3,341)	808
Income tax provision	67	85
Net (loss) income	(3,408)	723
Other comprehensive (loss) income, net of tax:
Foreign currency translation adjustment	(21)	2
Comprehensive (loss) income	$ (3,429)	$ 725
Net (loss) earnings per share - basic and diluted	$ (0.13)	$ 0.03
Weighted average shares outstanding - basic	25,846	24,654
Weighted average shares outstanding - diluted	25,846	24,942

Consolidated Statements of Ope5

Consolidated Statements of Operations and Comprehensive Income (Loss) (Parenthetical) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Sales and Marketing
Stock-based compensation
Stock-based compensation	$ 28	$ (2)
Customer service
Stock-based compensation
Stock-based compensation	1
Technical Operations
Stock-based compensation
Stock-based compensation	21
Development
Stock-based compensation
Stock-based compensation	5
General and Administrative
Stock-based compensation
Stock-based compensation	$ 267	$ 84

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Cash flows from operating activities:
Net (loss) income	$ (3,408)	$ 723
Adjustments to reconcile net (loss) income to cash (used in) provided by operating activities:
Depreciation and amortization	790	523
Impairment of long-lived assets	39	69
Stock-based compensation	322	82
Foreign exchange loss (gain) on intercompany loan	(154)	102
Provision for deferred income taxes	46	(13)
Changes in operating assets and liabilities:
Accounts receivable, net	288	35
Bad debt expense	2
Restricted cash	73	106
Prepaid expenses and other assets	425	353
Accounts payable and accrued liabilities	89	(596)
Deferred revenue	149	(73)
Other liabilities	(72)	(71)
Net cash (used in) provided by operating activities	(1,411)	1,240
Cash flows from investing activities:
Purchases of property and equipment	(1,071)	(604)
Net cash used in investing activities	(1,071)	(604)
Cash flows from financing activities:
Proceeds from issuance of stock from exercise of stock options		1,205
Net cash provided by financing activities		1,205
Net (decrease) increase in cash	(2,482)	1,841
Cash and cash equivalents at beginning of year	6,565	11,696
Cash and cash equivalents at end of year	4,083	13,537
Supplemental disclosure of cash flow information:
Cash paid for income taxes		$ 6
Supplemental disclosure of non-cash investing activities:
Purchases of property and equipment recorded in accounts payable and accrued liabilities	$ 114

The Company and Summary of Sign

The Company and Summary of Significant Accounting Policies	3 Months Ended
	Mar. 31, 2016
Accounting Policies [Abstract]
The Company and Summary of Significant Accounting Policies	1. The Company and Summary of Significant Accounting Policies The Company Spark Networks, Inc. (the “Company” or “we”) creates communities that help individuals form life-long relationships with others that share their interests and values. The Company’s core properties, JDate and Christian Mingle, are communities geared towards singles of the Jewish and Christian faiths. Through the Company’s websites and mobile applications, the Company helps members search for and communicate with other like-minded individuals. Our online singles properties provide users with three key services: searching for compatible individuals with whom to potentially form long-term relationships; validating compatibility through profiles, viewing photographs and understanding likes and characteristics; and communicating via one of our numerous communications platforms designed to foster relationships. Membership on our online singles websites or mobile applications is free and allows registered members to post personal profiles and take advantage of our search and validation features. With the exception of JSwipe and CrossPaths, which utilize a “freemium” model, the ability to initiate communication with other members requires payment in the form of a monthly subscription fee. These subscription fees are our primary source of revenue. We typically offer discounted subscription rates to those members who subscribe for periods longer than one month. Subscriptions renew automatically until subscribers terminate them. The common stock of Spark Networks, Inc. is traded on the NYSE MKT under the ticker symbol LOV. Principles of Consolidation The accompanying consolidated financial statements include the accounts of the parent company and all of its wholly-owned subsidiaries. All significant intercompany transactions and balances have been eliminated in consolidation. The accompanying unaudited consolidated interim financial statements reflect all adjustments, consisting of only normal recurring items, which, in the opinion of management, are necessary for a fair presentation of the results of operations for the periods shown. The results of operations for such periods are not necessarily indicative of the results expected for the full year or for any future periods. The consolidated financial statements in this Form 10-Q should be read in conjunction with the consolidated financial statements and related notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2015 (the “2015 Annual Report”). Certain information and footnote disclosures normally included in financial statements prepared in accordance with generally accepted accounting principles in the United States (“US GAAP”) have been condensed or omitted pursuant to such rules and regulations. The consolidated balance sheet as of December 31, 2015 was derived from the Company’s audited consolidated financial statements for the year ended December 31, 2015. There have been no material changes in the Company’s significant accounting policies as compared to the significant accounting policies described in the 2015 Annual Report. Use of Estimates The preparation of consolidated financial statements in conformity with US GAAP requires management to make estimates, judgments and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses and related disclosure of contingent assets and liabilities. On an ongoing basis, management evaluates its estimates, including those related to revenue recognition, cost of revenue, prepaid advertising, website and software development costs, goodwill, intangible and other long-lived assets, legal contingencies, income taxes and stock-based compensation. In addition, management uses assumptions when employing the Black-Scholes option valuation model to calculate the fair value of granted stock-based awards. Management bases its estimates of the carrying value of certain assets and liabilities on historical experience and on various other assumptions that it believes to be reasonable under the circumstances, when these carrying values are not readily available from other sources. Actual results may differ from these estimates. Liquidity and Capital Resources During the three months ended March 31, 2016, the Company generated a net loss of approximately $3.4 million and utilized $1.4 million in cash from operating activities. The operating results and use of cash were partially attributable to an increase in direct marketing costs during the quarter over the three months ended December 31, 2015, due to the seasonality of our business. Management is reducing headcount and other operating expenses in the second quarter of this fiscal year ending December 31, 2016. See Note 14 (Subsequent Events). As of March 31, 2016, the Company had cash and cash equivalents, excluding restricted cash, of $4.1 million. Management believes that its cash and cash equivalents and cash flow from operations will be sufficient to meet its anticipated cash needs for working capital, capital expenditures and contractual obligations for the next 12 months. Management does not anticipate requiring additional capital; however, if required or desirable, management may utilize its revolving credit facility to the extent available, or raise additional debt or issue additional equity in the private or public markets.

Adoption of New Accounting Prin

Adoption of New Accounting Principles	3 Months Ended
	Mar. 31, 2016
New Accounting Pronouncements And Changes In Accounting Principles [Abstract]
Adoption of New Accounting Principles	2. Adoption of New Accounting Principles In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers In July 2015, the FASB deferred the effective date by one year for annual reporting periods beginning after December 15, 2017 (including interim reporting periods within those periods). Early adoption as of the original effective date of December 15, 2016 (including interim reporting periods within those periods) is permitted. The guidance permits two implementation approaches, one requiring retrospective application of the new standard with restatement of prior years, and one requiring prospective application of the new standard with disclosure of results under old standards. In February 2016, the FASB issued ASU 2016-02, L eases . In March 2016, the FASB issued ASU 2016-09, Improvements to Employee Share-Based Payment Accounting Compensation – Stock Compensation

Net (Loss) Earnings Per Share

Net (Loss) Earnings Per Share	3 Months Ended
	Mar. 31, 2016
Earnings Per Share [Abstract]
Net (Loss) Earnings Per Share	3. Net (Loss) Earnings Per Share Basic net (loss) earnings per share is computed by dividing net loss (earnings) available to common stockholders by the weighted average number of shares of common stock outstanding. For the three months ended March 31, 2016, all stock options outstanding during the period have been excluded from the diluted weighted average shares outstanding calculation because they would have been anti-dilutive. For the three months ended March 31, 2015, approximately 743,000 shares related to potentially dilutive securities were excluded from the calculation of diluted earnings per share because their inclusion would have been anti-dilutive. Three Months Ended March 31, (in thousands except per share amounts) 2016 2015 Basic Net (Loss) Earnings Per Share Net (loss) income applicable to common stock $ (3,408 ) $ 723 Weighted average shares outstanding 25,846 24,654 Basic Net (Loss) Earnings Per Share $ (0.13 ) $ 0.03 Diluted Net (Loss) Earnings Per Share Net (loss) income applicable to common stock $ (3,408 ) $ 723 Weighted average shares outstanding 25,846 24,654 Effect of dilutive securities - 288 Weighted average number of shares 25,846 24,942 Diluted Net (Loss) Earnings Per Share $ (0.13 ) $ 0.03

Revolving Credit Facility

Revolving Credit Facility	3 Months Ended
	Mar. 31, 2016
Debt Disclosure [Abstract]
Revolving Credit Facility	4. Revolving Credit Facility On January 22, 2016, the Company entered into a two year Loan and Security Agreement (the “Credit Agreement”) with Western Alliance Bank, as lender (the “Bank”). Under the Credit Agreement, the Company has a revolving line of credit available of up to $10.0 million, with an aggregate sublimit of $500,000 for ancillary services (including letters of credit, cash management services and foreign exchange transaction services). The availability of credit at any given time under the revolving line of credit is limited by reference to a borrowing base formula based upon the eligible GAAP revenue of the borrowers and an advance rate percentage calculated in accordance with the terms of the Credit Agreement. Borrowings under the Credit Agreement bear interest at the prime rate (which shall have a floor of 3.25%) plus 0.25% (3.75% at March 31, 2016). In addition, the Company is required to pay a quarterly unused line fee equal to 0.30% per annum of the unused portion of the revolving line of credit during the applicable quarter. The Credit Agreement provides for interest-only payments during its term, with principal due at maturity. Pursuant to the Credit Agreement and the intellectual property The Credit Agreement contains various restrictive covenants (applicable, in most instances, to both the borrowers and their subsidiaries), including limitations on the ability to sell assets, change the current line of business, merge or consolidate with or into another person, incur additional debt, grant liens, pay dividends or make other distributions, make loans or other investments, enter into transactions with affiliates, make any payment in respect of any subordinated debt and make capital expenditures (without the Bank’s prior written consent) in any fiscal year in excess of $3.75 million, along with other restrictions and limitations typical to credit agreements of this type and size. The financial covenants in the Credit Agreement, which are only tested when there are any outstanding credit extensions thereunder and/or prior to any request for a credit extension, are as follows: the Company, on a consolidated basis, must maintain (i) as of the last day of each fiscal quarter, actual minimum Adjusted EBITDA of at least 80% of the projected Adjusted EBITDA set forth in the annual operating budget and projections of the Company (the “Plan”) delivered to and approved by the Bank, measured on a trailing three month basis; (ii) as of the last day of each fiscal quarter, actual minimum revenue of at least 80% of the projected revenue set forth in the Plan, measured on a trailing three month basis; and (iii) unrestricted cash at the Bank of at least $3.0 million, tested monthly on the last business day of each month. As of March 31, 2016, credit extensions under the Credit Agreement were not available to the Company as a result of the foregoing financial covenants. As of March 31, 2016, there were no outstanding borrowings under the Credit Agreement. In connection with the Credit Agreement, the Company paid deferred financing costs, which are included in prepaid expenses and other, and deposits and other assets. The deferred financing costs are amortized on a straight-line basis to interest (income) expense and other, net in the Consolidated Statements of Operations and Comprehensive Income (Loss) through the maturity of the Credit Agreement on January 22, 2018. Amortization expense for the deferred financing costs for the three months ended March 31, 2016 was $8,000. The unamortized balance of deferred financing costs was $86,000 as of March 31, 2016.

Impairment of Long-lived Assets

Impairment of Long-lived Assets	3 Months Ended
	Mar. 31, 2016
Goodwill And Intangible Assets Disclosure [Abstract]
Impairment of Long-lived Assets	5. Impairment of Long-lived Assets During the three months ended March 31, 2016, the Company impaired $39,000 of long-lived assets primarily related to the unamortized balance of capitalized software development costs associated with certain products that failed to perform to Company standards. During the three months ended March 31, 2015, the Company impaired $69,000 of long-lived assets.

Stockholders' Equity

Stockholders' Equity	3 Months Ended
	Mar. 31, 2016
Equity [Abstract]
Stockholders' Equity	6. Stockholders’ Equity Common Stock Repurchase Plan On December 12, 2013, the Company’s Board of Directors authorized the repurchase of up to $5.0 million of the Company’s common stock. The repurchases may be made from time to time in the open market, in privately negotiated transactions, or otherwise, including pursuant to a Rule 10b5-1 plan, at prices that the Company deems appropriate and subject to market conditions, applicable law, including Rule 10b-18 of the Securities Exchange Act of 1934, as amended, and other factors deemed relevant in the Company’s sole discretion. The Company is not obligated to repurchase any dollar amount or any number of shares of common stock, and the program may be suspended, discontinued or modified at any time, for any reason and without notice. Since December 12, 2013, the Company has repurchased 288,284 shares of common stock for $2.4 million. All stock repurchased has been retired. On April 6, 2016, the Company’s Board of Directors authorized the expansion of the repurchase program to increase the amount available for repurchase by approximately $2.5 million.

Stock-Based Compensation

Stock-Based Compensation	3 Months Ended
	Mar. 31, 2016
Equity [Abstract]
Stock-Based Compensation	7. Stock-Based Compensation Employee Stock Option Plan On July 9, 2007, the Company adopted the 2007 Omnibus Incentive Plan (the “2007 Plan”), which initially authorized and reserved 2.5 million shares of common stock to be issued under the plan. In connection with the Company’s Scheme of Arrangement, the 2004 Share Option Plan was frozen; however, all outstanding shares previously granted thereunder continue in full force and effect. Pursuant to the 2007 Plan’s “evergreen” provision, on the first day of each calendar year beginning in 2009, the number of shares reserved and available for issuance will be increased by an amount equal to the lesser of (i) 2,000,000 shares, (ii) four percent (4%) of the number of outstanding shares of Company common stock on the last day of the immediately preceding fiscal year, or (iii) an amount determined by the Board of Directors. As of March 31, 2016, the 2007 Plan had 6.5 million shares available for issuance. Awards under the 2007 Plan may include incentive stock options, nonqualified stock options, stock appreciation rights (“SARs”), restricted shares of common stock, restricted stock units, performance stock or unit awards, other stock-based awards and cash-based incentive awards. The Compensation Committee may grant an award to a participant. The terms and conditions of the award, including the quantity, price, vesting periods and other conditions on exercise will be determined by the Compensation Committee. The exercise price for stock options will be determined by the Compensation Committee in its discretion, but may not be less than 100% of the closing sale price of one share of the Company’s common stock on the NYSE MKT (or any other applicable exchange on which the stock is listed) on the date when the stock option is granted. Additionally, in the case of incentive stock options granted to a holder of more than 10% of the total combined voting power of all classes of stock of the Company on the date of grant, the exercise price may not be less than 110% of the closing sale price of one share of common stock on the date the stock option is granted. For the three months ended March 31, 2016 and 2015, compensation expense for stock options was $49,000 and $37,000, respectively. As of March 31, 2016, there was $562,000 of unrecognized compensation cost related to unvested stock options. This cost is expected to be recognized over a weighted-average period of 2 years. The following table describes option activity for the three months ended March 31, 2016 (in thousands, except Weighted Average Price per Share): Number of Shares Weighted Average Price Per Share Outstanding at December 31, 2015 1,921 $ 7.67 Granted 540 6.61 Exercised - - Expired - - Forfeited (36 ) 6.49 Outstanding at March 31, 2016 2,425 $ 7.45 Trigger Price Options Trigger price options awarded under the 2007 Plan entitle the shareholder the right to receive common stock or the value thereof in the future subject to restrictions imposed in connection with the award. During the three months ended March 31, 2016, the Company entered into an agreement with an executive officer whereby the Company granted 360,000 trigger price options to the participant with an aggregate fair value of $51,000. These options vest immediately provided that the Company’s per share stock price closed at or above the applicable trigger prices detailed in the table below for twenty (not necessarily consecutive) business days after the grant date and prior to December 31, 2017. The following table details the trigger price options granted during the three month period ended March 31, 2016: Options Granted Trigger Price Exercise price Tranche 1 60,000 $ 6.00 $ 5.25 Tranche 2 120,000 $ 10.00 $ 7.50 Tranche 3 180,000 $ 13.50 $ 10.00 Compensation expense is recognized over a service period of two years. For the three months ended March 31, 2016, compensation expense for trigger price options was $69,000. We have determined the fair value of the options as of the grant date using a Monte Carlo simulation model. The Monte Carlo simulation model utilizes multiple input variables to estimate the probability that market conditions will be achieved. As of March 31, 2016, there was $187,000 of unrecognized compensation cost related to trigger price options which will be fully recognized by August 31, 2017. Restricted Stock Awards Restricted shares awarded under the 2007 Plan entitle the shareholder the right to vote the restricted shares, the right to receive and retain cash dividends paid or distributed with respect to the restricted shares, and all other rights as a holder of outstanding shares of the Company’s common stock. During 2014, the Company awarded 125,000 performance-based restricted shares to an executive officer that vest over a period of two years. In order for these performance awards to vest, certain objectives and conditions must be met. Upon achieving the performance condition, the non-vested performance awards partially vest on the first anniversary as defined in the executive’s employment agreement and the remainder on the second anniversary. The executive does not need to remain employed with the Company for the awards to vest. During 2015, the Company awarded 25,000 performance-based restricted shares to the same executive officer. The Company did not award any performance-based restricted stock during the three months ended March 31, 2016. Compensation expense for restricted stock awards is recognized over the requisite service period of two years and will be adjusted in subsequent reporting periods if the assessed probability or estimated level of achievement of the performance goals changes. For the three months ended March 31, 2016 and 2015, compensation expense was $10,000 and $27,000, respectively. Considerable judgment is required in assessing the probability and estimated level of achievement of the performance goals. Accordingly, use of different assumptions or estimates could result in different compensation expense. The Company recognizes share-based compensation on a graded or straight-line basis depending on the terms of the award. As of March 31, 2016, there was $30,000 of unrecognized compensation cost related to unvested restricted stock awards which will be fully recognized by December 31, 2016. Restricted Stock Units Restricted stock units (“RSUs”) awarded under the 2007 Plan entitle the shareholder the right to receive common stock or the value thereof in the future subject to restrictions imposed in connection with the award. During the three months ended March 31, 2016, the Company entered into agreements with several executive officers and employees whereby the Company may grant up to 267,000 RSUs based upon the achievement of certain performance-based goals at the discretion of our Compensation Committee. In order for these RSUs to be granted, the Company’s annual revenue and adjusted earnings before interest, depreciation, amortization, and income tax expense (“Adjusted EBITDA”) must exceed a minimum amount; depending upon the Company’s actual annual revenue and Adjusted EBITDA, additional restricted stock may be earned up to a maximum amount. Upon achievement of the performance condition, the non-vested performance awards will vest immediately. Compensation expense for restricted stock units is recognized over the requisite service period of five quarters and will be adjusted in subsequent reporting periods if the estimated level of achievement of the performance goals changes. For the three months ended March 31, 2016 and 2015, compensation expense for RSUs was $54,000 and $18,000, respectively, which is based on management’s estimated level of achievement of the performance goals. Achievement of this estimated level of performance would result in the grant of 80,000 restricted stock units. Considerable judgment is required in assessing the estimated level of achievement of the performance goals. Accordingly, use of different assumptions or estimates could result in different compensation expense. As of March 31, 2016, there was $212,000 of unrecognized compensation cost related to RSUs which will be fully recognized by March 31, 2017. During the three months ended March 31, 2016, the Company also granted an executive officer and an employee 52,000 RSUs, which vested immediately. The total compensation cost recognized for these RSUs during this period was $159,000. During the three months ended March 31, 2016, the Company recognized compensation cost of $154,000 related to awards granted to the Board of Directors in 2015, of which 25% of the RSUs subject to the award vest each quarter such that all RSUs are vested by November 30, 2016. During the three months ended March 31, 2015, the Company recognized compensation costs of $18,000. As of March 31, 2016, there was $380,000 of unrecognized compensation cost related to these RSUs, which will be fully recognized by November 30, 2016. Stockholder Rights Plan In July 2007, the Company adopted a stockholder rights plan. The rights accompany each share of common stock of the Company and are evidenced by ownership of common stock. The rights are not exercisable except upon the occurrence of certain takeover-related events. Once triggered, the rights would entitle the stockholders, other than a person qualifying as an “Acquiring Person” pursuant to the rights plan, to purchase additional common stock at a 50% discount to their fair market value. The rights issued under the rights plan may be redeemed by the board of directors at a nominal redemption price of $0.001 per right, and the board of directors may amend the rights in any respect until the rights are triggered.

Accumulated Other Comprehensive

Accumulated Other Comprehensive Income (Loss)	3 Months Ended
	Mar. 31, 2016
Equity [Abstract]
Accumulated Other Comprehensive Income (Loss)	8. Accumulated Other Comprehensive Income (Loss) The following table summarizes the changes in accumulated balances of other comprehensive income (loss) for the three months ended March 31, 2016. (in thousands, net of tax) Foreign Currency Translation Balance at December 31, 2015 739 Other comprehensive income (loss) before reclassifications (21 ) Balance at March 31, 2016 $ 718 There were no reclassifications out of accumulated other comprehensive income for the three months ended March 31, 2016.

Segment Information

Segment Information	3 Months Ended
	Mar. 31, 2016
Segment Reporting [Abstract]
Segment Information	9. Segment Information Segment reporting requires the use of the management approach in determining operating segments. The management approach considers the internal organization and reporting used by our chief operating decision maker for making operating decisions and assessing performance. The Company’s financial reporting includes detailed data on four separate reportable segments: (1) Jewish Networks, which consists of JDate, JDate.co.uk, JDate.fr, JDate.co.il, Cupid.co.il, and JSwipe; (2) Christian Networks, which consists of ChristianMingle, CrossPaths, ChristianMingle.co.uk, ChristianMingle.com.au, Believe.com, ChristianCards.net, DailyBibleVerse.com and Faith.com; (3) Other Networks, which consists of Spark.com and related other general market websites as well as other properties which are primarily composed of sites targeted towards various religious, ethnic, geographic and special interest groups; and (4) Offline & Other Businesses, which consists of revenue generated from offline activities. Three Months Ended March 31, (in thousands) 2016 2015 Revenue Jewish Networks $ 3,995 $ 5,180 Christian Networks 5,405 7,792 Other Networks 438 487 Offline and Other Businesses 21 27 Total Revenue $ 9,859 $ 13,486 Direct Marketing Expenses Jewish Networks $ 533 $ 599 Christian Networks 4,420 5,338 Other Networks 120 115 Offline and Other Businesses 0 - Total Direct Marketing Expenses 5,073 6,052 Unallocated Operating Expenses 8,268 6,508 Operating (Loss) Income $ (3,482 ) $ 926 Due to the Company’s integrated business structure, cost and expenses, other than direct marketing expenses, are not allocated to the individual reporting segments. As such, the Company does not measure operating profit or loss by segment for internal reporting purposes. Assets are not allocated to the different business segments for internal reporting purposes.

Commitments and Contingencies

Commitments and Contingencies	3 Months Ended
	Mar. 31, 2016
Commitments And Contingencies Disclosure [Abstract]
Commitments and Contingencies	10. Commitments and Contingencies Legal Proceedings California Unruh Act Litigation- Werner, et al. v. Spark Networks, Inc. and Spark Networks USA, LLC and Wright, et al. v. Spark Networks, Inc., Spark Networks USA, LLC, et al. On July 19, 2013, Aaron Werner, on behalf of himself and all other similarly situated individuals, filed a putative Class Action Complaint (the “Werner Complaint”) in the Superior Court for the State of California, County of Los Angeles against Spark Networks, Inc. and Spark Networks USA, LLC (collectively “Spark Networks”). The Werner Complaint alleges that Spark Networks’ website ChristianMingle.com violates California’s Unruh Civil Rights Act (the “Unruh Act”) by allegedly discriminating on the basis of sexual orientation. The Werner Complaint requests the following relief: an injunction, statutory, general, compensatory, treble and punitive damages, attorneys’ fees and costs, pre-judgment interest, and an award for any other relief the Court deems just and appropriate. On December 23, 2013, Richard Wright, on behalf of himself and all other similarly situated individuals, filed a putative Class Action Complaint (the “Wright Complaint”) in the Superior Court for the State of California, County of San Francisco against Spark Networks, Inc. The Wright Complaint alleges that Spark Networks, Inc.’s commercial dating services including ChristianMingle.com, LDSSingles.com, CatholicMingle.com, BlackSingles.com, MilitarySinglesConnection.com and AdventistSinglesConnection.com violate the Unruh Act by allegedly intentionally and arbitrarily discriminating on the basis of sexual orientation. The Wright Complaint requests the following relief: a declaratory judgment, a preliminary and permanent injunction, statutory penalties, reasonable attorneys’ fees and costs, pre-judgment interest, and an award for any other relief the Court deems just and appropriate. A motion filed by Spark Networks to coordinate the two matters in Los Angeles Superior Court was granted. The parties have reached a settlement including the following terms: (1) individual settlement payments of $4,000 each in statutory damages and $5,000 each in service awards to plaintiffs Werner and Wright, and (2) $450,000 in attorneys’ fees and costs to compensate Werner and Wright’s counsel for their time and out-of-pocket expenses. In order to become effective, the settlement must be approved by the court. On April 19, 2016, the plaintiffs’ counsel filed a motion for an order granting approval of the settlement. The hearing date will be determined by the court. The Company has recorded an accrual for the probable cost related to resolving this matter of $468,000 as of March 31, 2016. Israeli Consumer Actions Ben-Jacob vs. Spark Networks (Israel) Ltd., Gever vs. Spark Networks (Israel) Ltd. and Korland vs. Spark Networks (Israel) Ltd. Three class action law suits have been filed in Israel alleging inter alia violations of the Israel Consumer Protection Law of 1981. Spark Networks (Israel) Ltd. (“Spark Israel”) was served with a Statement of Claim and a Motion to Certify it as a Class Action in the Ben-Jacob action on January 14, 2014. The plaintiff alleges that Spark Israel refused to cancel her subscription and provide a refund for unused periods and claims that such a refusal is in violation of the Consumer Protection Law. Spark Israel was served with a Statement of Claim and a motion to Certify it as a Class Action in the Gever action on January 21, 2014. The plaintiff alleges that Spark Israel renewed his one month subscription without receiving his positive agreement in advance and claims that such renewal is prohibited under the Consumer Protection Law and its regulations. Spark Israel was served with a Statement of Claim and a Motion to Certify it as a Class Action in the Korland action on February 12, 2014. The plaintiff alleges that Spark Israel refused to give her a full refund and charged her the price of a one month subscription to the JDate website in violation of the Consumer Protection Law. In each of these three cases, the plaintiff is seeking personal damages and damages on behalf of a defined group. On May 8, 2014, the Court granted Spark Israel’s motion to consolidate all three cases. All three cases are now consolidated and will be litigated jointly. Spark Israel’s combined response to these motions to certify the class actions was filed November 1, 2014, and the plaintiffs responded to the combined response. The parties had a hearing before the judge on December 24, 2014. Following the hearing the judge ordered that the pleadings filed by the parties be transferred to the Israel Consumer Council (“ICC”) so that the ICC can provide its position as to the parties’ allegations within 90 days. The ICC issued its opinion on April 1, 2015. Following the filing of the ICC opinion, the parties filed briefs addressing the ICC opinion. On January 7, 2016, the parties advised the Court that they have agreed on the terms of a settlement agreement, and jointly moved to approve the agreement and give it the effect of a judgment. According to the terms of the settlement agreement, clients who bought a subscription to JDate.co.il on October 12, 2008 or later will be entitled to receive certain benefits. The settlement agreement, which provides for compensation and legal fees, will only come into effect if the court approves it. On January 14, 2016 the Court ordered the parties to publish the terms of the proposed settlement agreement. The Court allowed for the Attorney General or any person who wishes to object to the settlement or exclude himself from the class to file their position with the Court through March 10, 2016. On March 10, 2016, the Consumer Council filed an objection to the settlement agreement, arguing inter alia that the benefits offered to the clients are insufficient, and that the Company's new business model does not comply with certain legal requirements. The Company and the plaintiffs filed their responses on March 24, 2016. On April 14, 2016, the Attorney General notified the Court that it has no objection to the settlement agreement. The Company has recorded an accrual for the probable cost related to resolving this matter of $52,000 as of March 31, 2016. Scottsdale Insurance Co. V. Spark Networks, Inc., et al. On January 13, 2016, Scottsdale Insurance Company (“Scottsdale”) filed a complaint for declaratory relief and reimbursement/unjust enrichment against Spark Networks, Inc. in the United States District Court for the Central District of California. In its complaint, Scottsdale alleges that, after the Company was sued in the Werner Complaint, the Company tendered its defense and indemnity to Scottsdale pursuant to the terms of the business and management indemnity insurance policy that Scottsdale had issued to the Company on November 1, 2012. The complaint alleges that, after receiving the demand, Scottsdale accepted the defense of the Company in the Werner Complaint under a reservation of rights, including Scottsdale’s right to seek reimbursement of any amounts paid to defend against non-covered claims. Having made some payments for the Company’s defense costs, and with the Werner Complaint near settlement, Scottsdale contends in its complaint that it did not have a duty to defend the Company in the Werner Complaint, because there allegedly was no potential for coverage of the claims in the Werner Complaint. Scottsdale seeks a determination that it did not have a duty to defend the Company in the Werner Complaint. It also seeks reimbursement of the amounts it paid for the Company’s defense in the Werner Complaint. The Company filed its answer and counterclaims against Scottsdale on March 7, 2016, in which it seeks damages for Scottsdale’s breach of policy and breach of the implied covenant of good faith and fair dealing. The case is scheduled for mediation on May 17, 2016. Please refer to the Company’s 2015 Annual Report for the year ended December 31, 2015 for a description of additional litigation and claims. We have additional existing legal claims and may encounter future legal claims in the normal course of business. In our opinion, the resolutions of the existing legal claims are not expected to have a material impact on our financial position or results of operations. We intend to defend vigorously against each of the above lawsuits. At this time, management does not believe the above matters, either individually or in the aggregate, will have a material adverse effect on the Company’s results of operations or financial condition and believes the recorded legal accruals as of March 31, 2016 are adequate in light of the probable and estimable liabilities. However, no assurance can be given that these matters will be resolved in our favor.

Income Taxes

Income Taxes	3 Months Ended
	Mar. 31, 2016
Income Tax Disclosure [Abstract]
Income Taxes	11. Income Taxes During the three months ended March 31, 2016, the Company recorded a provision for income tax of $67,000, which consists of $79,000 of deferred tax related to an increase in the deferred tax liability associated with tax deductible amortization of goodwill and other indefinite lived intangibles, $59,000 of foreign and state current tax expense, $20,000 related to interest accrued on unrecognized tax benefits, and $(91,000) related to the impact of a tax law change in Israel. During the three months ended March 31, 2015, the Company recorded a provision for income tax of $85,000, which consists of $23,000 of deferred tax related to an increase in the deferred tax liability associated with tax deductible amortization of goodwill and other indefinite lived intangibles, $43,000 of foreign and state current tax and $19,000 related to interest accrued on uncertain tax positions. The Company’s year-to-date March 31, 2016 effective tax rate was less than the U.S. statutory rate of 34% primarily due to an increase in the Company’s valuation allowance. The Company’s year-to-date March 31, 2015 effective tax rate was less than the U.S. statutory rate primarily due to the utilization of tax losses not previously recorded due to the Company’s valuation allowance.

Related Party Transactions

Related Party Transactions	3 Months Ended
	Mar. 31, 2016
Related Party Transactions [Abstract]
Related Party Transactions	12. Related Party Transactions There were no related party transactions during the three months ended March 31, 2016 and 2015.

Business Combinations

Business Combinations	3 Months Ended
	Mar. 31, 2016
Business Combinations [Abstract]
Business Combinations	13. Business Combinations On October 14, 2015, the Company completed the acquisition of all the outstanding shares of Smooch Labs, an unrelated third party and owner of dating app, JSwipe. The purchase agreement with Smooch Labs included contingent earnout consideration up to an additional $10.0 million to be paid with a combination of one-third cash and two-thirds stock based upon Smooch Lab’s performance against certain agreed-upon operating objectives for the years ending December 31, 2016 and 2017. Management has completed an evaluation of the probability of the performance milestones being achieved within the related earnout periods, and determined that the performance milestones would not likely be achieved. As such, management has not recorded any contingent consideration as of the acquisition date or March 31, 2016. Management would classify a contingent consideration liability within Level 3 of the fair value hierarchy, as factors used to develop the estimated fair value are unobservable inputs that are not supported by market activity. The following unaudited pro forma information combines our historical results of operations with Smooch Labs’ historical results of operations and has been prepared as if the acquisition had occurred on January 1, 2015, the beginning of the comparable prior annual reporting period. The historical financial information of the Company and Smooch Labs has been adjusted in the pro forma information to give effect to pro forma events that are (1) directly attributable to the acquisition, (2) factually supportable, and (3) expected to have a continuing impact on the combined results. The unaudited pro forma results include amortization for the acquired intangible assets. The unaudited pro forma information does not reflect any integration activities or cost savings from operating efficiencies, synergies, asset dispositions, or other restructurings that could result from the acquisition. Accordingly, these unaudited pro forma results are presented for informational purposes only and are not necessarily indicative of the actual results of operations that would have occurred had the acquisition been completed on the dates indicated, nor is it indicative of the future operating results of the consolidated company (in thousands). Three Months Ended March 31, 2015 Pro forma revenues $ 13,486 Pro forma net income $ 383

Subsequent Events

Subsequent Events	3 Months Ended
	Mar. 31, 2016
Subsequent Events [Abstract]
Subsequent Events	14. Subsequent Events On May 13, 2016, the Company implemented a workforce and expense reduction initiative to improve operating efficiency and better position the Company for profitable growth. Annualized savings are estimated to be between $4.3 million and $4.8 million. In connection with the workforce reduction, the Company expects to incur pre-tax cash charges of approximately $500,000 for severance benefits and other related expenses. The workforce and expense reductions are expected to be substantially completed by the end of the second quarter of 2016.

The Company and Summary of Si21

The Company and Summary of Significant Accounting Policies (Policies)	3 Months Ended
	Mar. 31, 2016
Accounting Policies [Abstract]
Principles of Consolidation	Principles of Consolidation The accompanying consolidated financial statements include the accounts of the parent company and all of its wholly-owned subsidiaries. All significant intercompany transactions and balances have been eliminated in consolidation. The accompanying unaudited consolidated interim financial statements reflect all adjustments, consisting of only normal recurring items, which, in the opinion of management, are necessary for a fair presentation of the results of operations for the periods shown. The results of operations for such periods are not necessarily indicative of the results expected for the full year or for any future periods. The consolidated financial statements in this Form 10-Q should be read in conjunction with the consolidated financial statements and related notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2015 (the “2015 Annual Report”). Certain information and footnote disclosures normally included in financial statements prepared in accordance with generally accepted accounting principles in the United States (“US GAAP”) have been condensed or omitted pursuant to such rules and regulations. The consolidated balance sheet as of December 31, 2015 was derived from the Company’s audited consolidated financial statements for the year ended December 31, 2015. There have been no material changes in the Company’s significant accounting policies as compared to the significant accounting policies described in the 2015 Annual Report.
Use of Estimates	Use of Estimates The preparation of consolidated financial statements in conformity with US GAAP requires management to make estimates, judgments and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses and related disclosure of contingent assets and liabilities. On an ongoing basis, management evaluates its estimates, including those related to revenue recognition, cost of revenue, prepaid advertising, website and software development costs, goodwill, intangible and other long-lived assets, legal contingencies, income taxes and stock-based compensation. In addition, management uses assumptions when employing the Black-Scholes option valuation model to calculate the fair value of granted stock-based awards. Management bases its estimates of the carrying value of certain assets and liabilities on historical experience and on various other assumptions that it believes to be reasonable under the circumstances, when these carrying values are not readily available from other sources. Actual results may differ from these estimates.
Liquidity and Capital Resources	Liquidity and Capital Resources During the three months ended March 31, 2016, the Company generated a net loss of approximately $3.4 million and utilized $1.4 million in cash from operating activities. The operating results and use of cash were partially attributable to an increase in direct marketing costs during the quarter over the three months ended December 31, 2015, due to the seasonality of our business. Management is reducing headcount and other operating expenses in the second quarter of this fiscal year ending December 31, 2016. See Note 14 (Subsequent Events). As of March 31, 2016, the Company had cash and cash equivalents, excluding restricted cash, of $4.1 million. Management believes that its cash and cash equivalents and cash flow from operations will be sufficient to meet its anticipated cash needs for working capital, capital expenditures and contractual obligations for the next 12 months. Management does not anticipate requiring additional capital; however, if required or desirable, management may utilize its revolving credit facility to the extent available, or raise additional debt or issue additional equity in the private or public markets.

Net (Loss) Earnings Per Share (

Net (Loss) Earnings Per Share (Tables)	3 Months Ended
	Mar. 31, 2016
Earnings Per Share [Abstract]
Summary of Net (Loss) Earnings Per Share on Both Basic and Diluted	Basic net (loss) earnings per share is computed by dividing net loss (earnings) available to common stockholders by the weighted average number of shares of common stock outstanding. Three Months Ended March 31, (in thousands except per share amounts) 2016 2015 Basic Net (Loss) Earnings Per Share Net (loss) income applicable to common stock $ (3,408 ) $ 723 Weighted average shares outstanding 25,846 24,654 Basic Net (Loss) Earnings Per Share $ (0.13 ) $ 0.03 Diluted Net (Loss) Earnings Per Share Net (loss) income applicable to common stock $ (3,408 ) $ 723 Weighted average shares outstanding 25,846 24,654 Effect of dilutive securities - 288 Weighted average number of shares 25,846 24,942 Diluted Net (Loss) Earnings Per Share $ (0.13 ) $ 0.03

Stock-Based Compensation (Table

Stock-Based Compensation (Tables)	3 Months Ended
	Mar. 31, 2016
Equity [Abstract]
Stock Options Activity	The following table describes option activity for the three months ended March 31, 2016 (in thousands, except Weighted Average Price per Share): Number of Shares Weighted Average Price Per Share Outstanding at December 31, 2015 1,921 $ 7.67 Granted 540 6.61 Exercised - - Expired - - Forfeited (36 ) 6.49 Outstanding at March 31, 2016 2,425 $ 7.45
Schedule of Trigger Price Options Granted	The following table details the trigger price options granted during the three month period ended March 31, 2016: Options Granted Trigger Price Exercise price Tranche 1 60,000 $ 6.00 $ 5.25 Tranche 2 120,000 $ 10.00 $ 7.50 Tranche 3 180,000 $ 13.50 $ 10.00

Accumulated Other Comprehensi24

Accumulated Other Comprehensive Income (Loss) (Tables)	3 Months Ended
	Mar. 31, 2016
Equity [Abstract]
Summary of Changes in Accumulated Balances of Other Comprehensive Income (Loss)	The following table summarizes the changes in accumulated balances of other comprehensive income (loss) for the three months ended March 31, 2016. (in thousands, net of tax) Foreign Currency Translation Balance at December 31, 2015 739 Other comprehensive income (loss) before reclassifications (21 ) Balance at March 31, 2016 $ 718

Segment Information (Tables)

Segment Information (Tables)	3 Months Ended
	Mar. 31, 2016
Segment Reporting [Abstract]
Summary of Segment Information	Three Months Ended March 31, (in thousands) 2016 2015 Revenue Jewish Networks $ 3,995 $ 5,180 Christian Networks 5,405 7,792 Other Networks 438 487 Offline and Other Businesses 21 27 Total Revenue $ 9,859 $ 13,486 Direct Marketing Expenses Jewish Networks $ 533 $ 599 Christian Networks 4,420 5,338 Other Networks 120 115 Offline and Other Businesses 0 - Total Direct Marketing Expenses 5,073 6,052 Unallocated Operating Expenses 8,268 6,508 Operating (Loss) Income $ (3,482 ) $ 926

Business Combinations (Tables)

Business Combinations (Tables)	3 Months Ended
	Mar. 31, 2016
Business Combinations [Abstract]
Summary of Unaudited Pro Forma Information	The unaudited pro forma information does not reflect any integration activities or cost savings from operating efficiencies, synergies, asset dispositions, or other restructurings that could result from the acquisition. Accordingly, these unaudited pro forma results are presented for informational purposes only and are not necessarily indicative of the actual results of operations that would have occurred had the acquisition been completed on the dates indicated, nor is it indicative of the future operating results of the consolidated company (in thousands). Three Months Ended March 31, 2015 Pro forma revenues $ 13,486 Pro forma net income $ 383

The Company and Summary of Si27

The Company and Summary of Significant Accounting Policies (Details Textual) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015	Dec. 31, 2015	Dec. 31, 2014
Company and Summary of Significant Accounting Policies
Net (loss) income	$ (3,408)	$ 723
Net cash (used in) provided by operating activities	(1,411)	1,240
Cash and cash equivalents	$ 4,083	$ 13,537	$ 6,565	$ 11,696

Net (Loss) Earnings Per Share28

Net (Loss) Earnings Per Share (Details Textual)	3 Months Ended
	Mar. 31, 2015shares
Earnings Per Share [Abstract]
Potentially dilutive securities	743,000

Net (Loss) Earnings Per Share29

Net (Loss) Earnings Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Basic Net (Loss) Earnings Per Share
Net (loss) income applicable to common stock	$ (3,408)	$ 723
Weighted average shares outstanding	25,846	24,654
Basic Net (Loss) Earnings Per Share	$ (0.13)	$ 0.03
Diluted Net (Loss) Earnings Per Share
Net (loss) income applicable to common stock	$ (3,408)	$ 723
Weighted average shares outstanding	25,846	24,654
Effect of dilutive securities		288
Weighted average number of shares	25,846	24,942
Diluted Net (Loss) Earnings Per Share	$ (0.13)	$ 0.03

Revolving Credit Facility (Deta

Revolving Credit Facility (Details Textual) - USD ($)	Jan. 22, 2016	Mar. 31, 2016
Revolving Credit Facility
Line Of Credit Facility [Line Items]
Line of credit facility, unused fee percentage	0.30%
Outstanding amounts under credit agreement		$ 0
Amortization of Financing Costs		8,000
Unamortized deferred finance costs		$ 86,000
Credit Agreement
Line Of Credit Facility [Line Items]
Debt instrument term	2 years
Credit facility initiation date		Jan. 22, 2016
Limitations on capital expenditures	$ 3,750,000
Line of credit facility, covenant compliance description		The Company, on a consolidated basis, must maintain (i) as of the last day of each fiscal quarter, actual minimum Adjusted EBITDA of at least 80% of the projected Adjusted EBITDA set forth in the annual operating budget and projections of the Company (the “Plan”) delivered to and approved by the Bank, measured on a trailing three month basis; (ii) as of the last day of each fiscal quarter, actual minimum revenue of at least 80% of the projected revenue set forth in the Plan, measured on a trailing three month basis; and (iii) unrestricted cash at the Bank of at least $3.0 million, tested monthly on the last business day of each month.
Minimum consolidated adjusted EBITDA percentage	80.00%
Minimum unrestricted cash	$ 3,000,000
Minimum consolidated revenue percentage	80.00%
Credit Agreement | Prime Rate
Line Of Credit Facility [Line Items]
Credit facility, interest rate description		Borrowings under the Credit Agreement bear interest at the prime rate (which shall have a floor of 3.25%) plus 0.25% (3.75% at March 31, 2016).
Credit facility, stated percentage	3.25%	3.75%
Credit facility, variable percentage	0.25%
Credit Agreement | Revolving Credit Facility
Line Of Credit Facility [Line Items]
Maximum borrowing amount	$ 10,000,000
Aggregate sublimit for ancillary services	$ 500,000

Impairment of Long-lived Asse31

Impairment of Long-lived Assets (Details Textual) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Goodwill And Intangible Assets Disclosure [Abstract]
Impairment of long-lived assets	$ 39	$ 69

Stockholders' Equity (Details T

Stockholders' Equity (Details Textual) - Common Stock - USD ($)	28 Months Ended
	Mar. 31, 2016	Apr. 06, 2016	Dec. 12, 2013
Class Of Stock [Line Items]
Repurchased and retired common stock, shares	288,284
Stock Repurchased and Retired During Period, Value	$ 2,400,000
Maximum
Class Of Stock [Line Items]
Authorized to repurchase of common stock			$ 5,000,000
Subsequent Event
Class Of Stock [Line Items]
Increase in amount authorized to repurchase of common stock		$ 2,500,000

Stock-Based Compensation (Detai

Stock-Based Compensation (Details Textual) - USD ($)	Jul. 09, 2007	Mar. 31, 2016	Mar. 31, 2015	Dec. 31, 2015	Dec. 31, 2014
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Shares authorized and reserved	2,500,000
Exercise Price for stock options		The exercise price for stock options will be determined by the Compensation Committee in its discretion, but may not be less than 100% of the closing sale price of one share of the Company’s common stock on the NYSE MKT (or any other applicable exchange on which the stock is listed) on the date when the stock option is granted. Additionally, in the case of incentive stock options granted to a holder of more than 10% of the total combined voting power of all classes of stock of the Company on the date of grant, the exercise price may not be less than 110% of the closing sale price of one share of common stock on the date the stock option is granted.
Stock-based compensation		$ 322,000	$ 82,000
Unrecognized compensation cost		$ 562,000
Unrecognized compensation cost, weighted-average period of recognition		2 years
Discount on purchase of additional common shares		50.00%
Redemption price per right		$ 0.001
Minimum
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Percentage of closing sale price on grant date		100.00%
Percentage of combined voting power		10.00%
Percentage of market closing sale price		110.00%
Employee Stock Option Plan
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Compensation arrangement terms of award, description		On July 9, 2007, the Company adopted the 2007 Omnibus Incentive Plan (the “2007 Plan”), which initially authorized and reserved 2.5 million shares of common stock to be issued under the plan. In connection with the Company’s Scheme of Arrangement, the 2004 Share Option Plan was frozen; however, all outstanding shares previously granted thereunder continue in full force and effect. Pursuant to the 2007 Plan’s “evergreen” provision, on the first day of each calendar year beginning in 2009, the number of shares reserved and available for issuance will be increased by an amount equal to the lesser of (i) 2,000,000 shares, (ii) four percent (4%) of the number of outstanding shares of Company common stock on the last day of the immediately preceding fiscal year, or (iii) an amount determined by the Board of Directors. As of March 31, 2016, the 2007 Plan had 6.5 million shares available for issuance.
Shares authorized and reserved		6,500,000
Annual other increase in number of shares reserved and available for issuance	2,000,000
Percentage of number of shares outstanding	4.00%
Stock-based compensation		$ 49,000	37,000
Trigger Price Options
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Stock-based compensation		$ 69,000
Share based compensation arrangement options grants		360,000
Share based compensation arrangement options grants, aggregate fair value		$ 51,000
Option vesting, threshold trading business days		20 days
Expiration date		Dec. 31, 2017
Compensation expense is recognized requisite service period		2 years
Unrecognized compensation cost		$ 187,000
Unrecognized compensation cost, recognition date		Aug. 31, 2017
Restricted Stock
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Stock-based compensation		$ 10,000	27,000
Compensation expense is recognized requisite service period		2 years
Performance-based restricted stock awards/units granted		0		25,000	125,000
Performance-based restricted stock, vesting period					2 years
Unrecognized compensation cost		$ 30,000
Unrecognized compensation cost, recognition date		Dec. 31, 2016
Restricted Stock Units
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Stock-based compensation		$ 54,000	18,000
Compensation expense is recognized requisite service period		15 months
Unrecognized compensation cost		$ 212,000
Unrecognized compensation cost, recognition date		Mar. 31, 2017
Performance-based restricted stock awards/units		80,000
Restricted Stock Units | Executive Officer and Employee
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Stock-based compensation		$ 159,000
Performance-based restricted stock awards/units granted		52,000
Restricted Stock Units | Board of Directors
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Stock-based compensation		$ 154,000	$ 18,000
Unrecognized compensation cost		$ 380,000
Unrecognized compensation cost, recognition date		Nov. 30, 2016
Awards granted vesting percentage, each quarter		25.00%
Award vesting date		Nov. 30, 2016
Restricted Stock Units | Maximum
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Performance-based restricted stock awards/units		267,000

Stock-Based Compensation (Det34

Stock-Based Compensation (Details) shares in Thousands	3 Months Ended
	Mar. 31, 2016$ / sharesshares
Stock Options Activity, Number of Shares
Beginning Balance, Number of Shares | shares	1,921
Granted, Number of Shares | shares	540
Forfeited, Number of Shares | shares	(36)
Ending Balance, Number of Shares | shares	2,425
Stock Options Activity, Weighted Average Price per Share
Beginning Balance, Weighted Average Price per Share | $ / shares	$ 7.67
Granted, Weighted Average Price per Share | $ / shares	6.61
Forfeited, Weighted Average Price per Share | $ / shares	6.49
Ending Balance, Weighted Average Price per Share | $ / shares	$ 7.45

Stock-Based Compensation (Det35

Stock-Based Compensation (Details 1)	3 Months Ended
	Mar. 31, 2016$ / sharesshares
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Exercise price	$ 6.61
Trigger Price Options
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Options Granted, shares | shares	360,000
Tranche 1 | Trigger Price Options
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Options Granted, shares | shares	60,000
Trigger Price	$ 6
Exercise price	$ 5.25
Tranche 2 | Trigger Price Options
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Options Granted, shares | shares	120,000
Trigger Price	$ 10
Exercise price	$ 7.50
Tranche 3 | Trigger Price Options
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Options Granted, shares | shares	180,000
Trigger Price	$ 13.50
Exercise price	$ 10

Accumulated Other Comprehensi36

Accumulated Other Comprehensive Income (Loss) (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2016USD ($)
Accumulated Other Comprehensive Income Loss [Line Items]
Beginning Balance	$ 739
Ending Balance	718
Foreign Currency Translation
Accumulated Other Comprehensive Income Loss [Line Items]
Beginning Balance	739
Other comprehensive income (loss) before reclassifications	(21)
Ending Balance	$ 718

Accumulated Other Comprehensi37

Accumulated Other Comprehensive Income (Loss) (Details Textual)	3 Months Ended
	Mar. 31, 2016USD ($)
Accumulated Other Comprehensive Income Loss Net Of Tax [Abstract]
Amounts reclassified from accumulated other comprehensive income	$ 0

Segment Information (Details Te

Segment Information (Details Textual)	3 Months Ended
	Mar. 31, 2016Segments
Segment Information (Textual) [Abstract]
Number of separate reportable segments	4

Segment Information (Details)

Segment Information (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Segment Information (Textual) [Abstract]
Revenue	$ 9,859	$ 13,486
Total Direct Marketing Expenses	5,073	6,052
Operating (loss) income	(3,482)	926
Operating Segments | Jewish Networks
Segment Information (Textual) [Abstract]
Revenue	3,995	5,180
Total Direct Marketing Expenses	533	599
Operating Segments | Christian Networks
Segment Information (Textual) [Abstract]
Revenue	5,405	7,792
Total Direct Marketing Expenses	4,420	5,338
Operating Segments | Other Networks
Segment Information (Textual) [Abstract]
Revenue	438	487
Total Direct Marketing Expenses	120	115
Operating Segments | Offline and Other Businesses
Segment Information (Textual) [Abstract]
Revenue	21	27
Total Direct Marketing Expenses	0
Corporate Non Segment
Segment Information (Textual) [Abstract]
Unallocated Operating Expenses	$ 8,268	$ 6,508

Commitments and Contingencies (

Commitments and Contingencies (Details Textual)	3 Months Ended
	Mar. 31, 2016USD ($)
Commitment And Contingencies [Line Items]
Litigation settlement payment, description	A motion filed by Spark Networks to coordinate the two matters in Los Angeles Superior Court was granted. The parties have reached a settlement including the following terms: (1) individual settlement payments of $4,000 each in statutory damages and $5,000 each in service awards to plaintiffs Werner and Wright, and (2) $450,000 in attorneys’ fees and costs to compensate Werner and Wright’s counsel for their time and out-of-pocket expenses. In order to become effective, the settlement must be approved by the court.
Plaintiffs
Commitment And Contingencies [Line Items]
Attorneys’ fees and costs	$ 450,000
Probable cost related to resolving legal matter	468,000
Plaintiffs | Statutory Damages
Commitment And Contingencies [Line Items]
Litigation settlement	4,000
Plaintiffs | Service Awards
Commitment And Contingencies [Line Items]
Litigation settlement	5,000
ICC
Commitment And Contingencies [Line Items]
Probable cost related to resolving legal matter	$ 52,000

Income Taxes (Details Textual)

Income Taxes (Details Textual) - USD ($)	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Income Tax Disclosure [Abstract]
Provision for income taxes	$ 67,000	$ 85,000
Deferred income tax expense	79,000	23,000
Current income tax expense	59,000	43,000
Interest expense accrued on unrecognized tax benefits	$ 20,000	$ 19,000
U.S. Statutory Rate	34.00%
Israel
Income Tax Disclosure [Abstract]
Impact of tax law change	$ (91,000)

Related Party Transactions (Det

Related Party Transactions (Details Textual) - USD ($)	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Related Party Transactions [Abstract]
Related party transaction, amounts of transaction	$ 0	$ 0

Business Combinations (Details

Business Combinations (Details Textual) - Smooch Labs Inc $ in Millions	Oct. 14, 2015USD ($)
Business Acquisition [Line Items]
Maximum contingent consideration	$ 10
Cash
Business Acquisition [Line Items]
Percentage of contingent consideration	33.33%
Stock
Business Acquisition [Line Items]
Percentage of contingent consideration	66.67%

Business Combinations (Details)

Business Combinations (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2015USD ($)
Business Combinations [Abstract]
Pro forma revenues	$ 13,486
Pro forma net income	$ 383

Subsequent Events (Details Text

Subsequent Events (Details Textual) - Subsequent Event	May. 13, 2016USD ($)
Subsequent Event [Line Items]
Expected pre-tax cash charges for severance benefits and other related expenses	$ 500,000
Minimum
Subsequent Event [Line Items]
Estimated annual savings from workforce and expense reduction	4,300,000
Maximum
Subsequent Event [Line Items]
Estimated annual savings from workforce and expense reduction	$ 4,800,000