EL SEGUNDO, Calif.--(BUSINESS WIRE)--Wizard World, Inc. (OTCBB:WIZD) (the “Company”), leading provider of multiple Comic Cons and pop culture conventions across the world, today announced that the Company has released its 2013 audited financial results on Form 10-K for the year ended December 31, 2013.
Annual revenue for the year ended December 31, 2013 was $11,186,134, an increase of $4,442,632 (or 66%) from $6,743,502 reported in the comparable year ended December 31, 2012. The significant increase in revenue is primarily credited to management running better advertised, social media driven events resulting in an increase in attendance. The Company operated eight conventions in 2013 as compared to seven conventions during 2012. Management continues to focus on delivering an ultimate fan experience.
The Company increased admission prices and the overall size and scope of each event. Average revenue per event increased over 45% year-over-year to $1,398,267.
Operating expenses were $3,921,585, a 77% increase year-over-year, which was the result of increases in salaries and employee headcount to accommodate the larger events, as well as share based payments that were made to the officer, employees and key advisors of the Company.
Income from operations increased 74% year-over-year to $343,506.
Despite the Company reporting a net loss of $(3,637,735) or loss per share of $(0.09), the Company generated cash from operations of $1,731,705 for the year ended December 31, 2013, an increase of $1,488,554 as compared to $243,161 generated during the comparable year ended December 31, 2012. The current year net loss was primarily driven by noncash derivative mark-to-markets adjustments and share-based compensation.
During 2013, the Company was successful in converting all dilutive convertible preferred stock and stock purchase warrants into shares of the Company’s common stock, resulting in the elimination of the derivative liability.
“2013 was an inflection point in our growth strategy as we converted all convertible preferred stock and warrants into shares of common stock, reducing the derivative liability overhang. In addition, with the 16-city tour scheduled for 2014, we expect to continue the current growth rate with a goal to continue to generate cash from operations, increasing our shareholder value. I believe Wizard World has successfully positioned itself as the industry leader in producing year-round Comic Cons across the country,” said John Macaluso, CEO of Wizard World, Inc.
Company encourages shareholders to not rely on this press release and to refer to the Company’s Form 10-K for full disclosure relating to the Year End Financial Report, filed on March 3, 2014, which can be found on www.sec.gov.
About Wizard World, Inc.
Wizard World (WIZD) is the leading provider of multiple Comic Cons and pop culture conventions across the world that celebrate graphic novels, comic books, movies, TV shows, celebrities, gaming, technology, toys and social networking. The events often feature celebrities from movies and TV, artists and writers, and events such as premieres, gaming tournaments, panels, and costume contests.
For more information and full event schedule, visit: www.wizardworld.com.
This press release may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 that involve certain risks and uncertainties. The actual results or outcomes of Wizard World, Inc. may differ materially from those anticipated. Although Wizard World, Inc. believes that the assumptions underlying the forward-looking statements contained herein are reasonable, any such assumptions could prove to be inaccurate. Therefore, Wizard World, Inc. can provide no assurance that any of the forward-looking statements contained in this letter will prove to be accurate.
In light of the significant uncertainties and risks inherent in the forward-looking statements included in this letter, such information should not be regarded as a representation by Wizard World, Inc. that its objectives or plans will be achieved. Included in these uncertainties and risks are, among other things, fluctuations in operating results, general economic conditions, uncertainty regarding the results of certain legal proceedings and competition. Forward-looking statements consist of statements other than a recitation of historical fact and can be identified by the use of forward-looking terminology such as "may," "intend," "expect," "will," "anticipate," "estimate" or "continue" or the negatives thereof or other variations thereon or comparable terminology. Because they are forward-looking, such statements should be evaluated in light of important risk factors and uncertainties. These risk factors and uncertainties are more fully described in Wizard World, Inc.'s most recent Annual and Quarterly Reports filed with the Securities and Exchange Commission, including under the heading entitled "Risk Factors." Wizard World, Inc. does not undertake an obligation to update publicly any of its forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.