Oklahoma
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333-150332
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75-1518725
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(State or Other Jurisdiction
of Incorporation)
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(Commission
File Number)
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(IRS Employer
Identification No.)
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99.01 | Press Release, dated November 13, 2012, issued by MacroSolve, Inc. |
MACROSOLVE, INC.
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Date: November 13, 2012
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By:
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/s/ KENDALL CARPENTER | |
Kendall Carpenter
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Chief Financial Officer
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·
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Profitable sale of all assets relating to Illume Mobile business to DecisionPoint Systems, Inc. for $1,000,000, of which $250,000 was paid in cash and $750,000 was paid in stock on July 31, 2012. In addition, MacroSolve may earn up to an additional $500,000 in cash and stock upon certain net revenue milestones being reached by DecisionPoint relating to the Illume Mobile assets;
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·
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Seventh consecutive quarter of total revenue growth;
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·
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Licensing and royalty revenues increased 29% to $559,000 from $432,000 in the same period of FY 2011;
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·
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Gross profit increased 16% to $297,000 from $257,000 in Q3 of FY 2011; and,
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·
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Streamlined operations to core executive team executing new strategy focused consulting to strategic mobile app ventures while maintaining focus on increasing IP licensing resulting in positive cash flow.
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·
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Company Contact
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MACROSOLVE, INC.
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BALANCE SHEETS
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9/30/2012
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12/31/2011
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ASSETS
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CURRENT ASSETS:
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Cash
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$ | 314,811 | $ | 273,132 | ||||
Accounts receivable - trade
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185,257 | 288,201 | ||||||
Prepaid expenses and other
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537,377 | 240,388 | ||||||
Total current assets
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1,037,445 | 801,721 | ||||||
PROPERTY AND EQUIPMENT, at cost:
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21,650 | 285,976 | ||||||
Less - accumulated depreciation
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(19,350 | ) | (188,016 | ) | ||||
Net property and equipment
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2,300 | 97,960 | ||||||
OTHER ASSETS:
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Investment in DecisionPoint Systems, Inc.
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642,928 | - | ||||||
Note receivable
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- | 135,577 | ||||||
Software development costs, net of accumulated amortization
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of $36,316 as of December 31, 2011
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- | 1,280,903 | ||||||
Other assets
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60,362 | 83,329 | ||||||
Total other assets
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703,290 | 1,499,809 | ||||||
TOTAL ASSETS
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$ | 1,743,035 | $ | 2,399,490 | ||||
LIABILITIES AND STOCKHOLDERS' EQUITY
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CURRENT LIABILITIES:
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Current maturities of long-term debt
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$ | 90,000 | $ | - | ||||
Revolving Line of Credit
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90,000 | 100,000 | ||||||
Note Payable - Shareholders
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- | 169,306 | ||||||
Accounts payable - trade and accrued liabilities
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167,047 | 631,419 | ||||||
Unearned income
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500,000 | 31,400 | ||||||
Total current liabilities
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847,047 | 932,125 | ||||||
LONG-TERM DEBT, less current maturities
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Note Payable - Shareholders
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533,681 | - | ||||||
Oklahoma Technology Commercialization Center
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147,500 | 237,500 | ||||||
Convertible debentures
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150,000 | 2,621,161 | ||||||
Total long-term debt, less current maturities
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831,181 | 2,858,661 | ||||||
COMMITMENTS AND CONTINGENCIES
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STOCKHOLDERS' EQUITY:
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Common stock, $.01 par value; authorized 500,000,000 shares;
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issued and outstanding 178,467,855 and 122,386,894 shares, at
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September 30, 2012 and December 31, 2011, respectively
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1,784,678 | 1,223,869 | ||||||
Additional paid-in capital
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13,226,705 | 10,059,029 | ||||||
Accumulated other comprehensive income
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(107,072 | ) | - | |||||
Accumulated deficit
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(14,839,504 | ) | (12,674,194 | ) | ||||
Total stockholders' (deficit) equity
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64,807 | (1,391,296 | ) | |||||
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY
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$ | 1,743,035 | $ | 2,399,490 | ||||
The accompanying notes are an integral part of these statements.
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MACROSOLVE, INC.
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STATEMENTS OF INCOME AND COMPREHENSIVE INCOME
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For the Quarters Ended
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Year to Date
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For the Periods Ended September 30,
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9/30/2012
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9/30/2011
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2012
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2011
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REVENUES:
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Software products and licensing
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$ | 558,738 | $ | 432,095 | $ | 1,565,579 | $ | 543,835 | ||||||||
Solution services
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- | - | 415,411 | 223,691 | ||||||||||||
Net revenues
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558,738 | 432,095 | 1,980,990 | 767,526 | ||||||||||||
COST OF REVENUES:
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Software products and licensing
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261,444 | 175,358 | 640,808 | 218,993 | ||||||||||||
Solution services
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- | - | 218,837 | 101,779 | ||||||||||||
Total cost of revenues
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261,444 | 175,358 | 859,645 | 320,772 | ||||||||||||
Gross profit
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297,294 | 256,737 | 1,121,345 | 446,754 | ||||||||||||
OPERATING EXPENSES:
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Solution services
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- | - | 323,208 | 286,656 | ||||||||||||
Depreciation and amortization
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293,742 | 744 | 490,361 | 124,471 | ||||||||||||
Marketing and sales
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19,641 | 21,057 | 770,883 | 71,854 | ||||||||||||
General and administrative
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422,221 | 398,336 | 1,288,499 | 1,267,631 | ||||||||||||
Total operating expenses
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735,604 | 420,137 | 2,872,951 | 1,750,612 | ||||||||||||
Loss from operations
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(438,310 | ) | (163,400 | ) | (1,751,606 | ) | (1,303,858 | ) | ||||||||
OTHER INCOME (EXPENSE):
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Interest income
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25 | 18 | 53 | 104 | ||||||||||||
Interest expense
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(21,317 | ) | (57,664 | ) | (138,186 | ) | (94,609 | ) | ||||||||
Loss on disposal of asset
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(3,486 | ) | - | (4,247 | ) | (235 | ) | |||||||||
Stock based compensation
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(17,538 | ) | (21,747 | ) | (79,965 | ) | (74,285 | ) | ||||||||
Total other expense
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(42,316 | ) | (79,393 | ) | (222,345 | ) | (169,025 | ) | ||||||||
LOSS FROM CONTINUING OPERATIONS BEFORE INCOME TAXES
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(480,626 | ) | (242,793 | ) | (1,973,951 | ) | (1,472,883 | ) | ||||||||
INCOME TAXES
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- | - | - | - | ||||||||||||
NET LOSS FROM CONTINUING OPERATIONS
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(480,626 | ) | (242,793 | ) | (1,973,951 | ) | (1,472,883 | ) | ||||||||
DISCONTINUED OPERATIONS
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Loss from operations of discontinued Illume Mobile operations,
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(including loss on disposal of $54,538)
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(197,387 | ) | (371,891 | ) | (197,387 | ) | (371,891 | ) | ||||||||
NET LOSS
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(678,013 | ) | (614,684 | ) | (2,171,338 | ) | (1,844,774 | ) | ||||||||
OTHER COMPREHENSIVE INCOME, net of tax
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Unrealized holding loss arising during the period
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(107,072 | ) | - | (107,072 | ) | - | ||||||||||
COMPREHENSIVE INCOME
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$ | (785,085 | ) | $ | (614,684 | ) | $ | (2,278,410 | ) | $ | (1,844,774 | ) | ||||
LOSS ALLOCABLE TO COMMON STOCKHOLDERS:
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Net loss
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$ | (678,013 | ) | $ | (614,684 | ) | $ | (2,171,338 | ) | $ | (1,844,774 | ) | ||||
Loss allocable to common stockholders
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$ | (678,013 | ) | $ | (614,684 | ) | $ | (2,171,338 | ) | $ | (1,844,774 | ) | ||||
Basic and diluted loss per share
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$ | (0.01 | ) | $ | (0.01 | ) | $ | (0.01 | ) | $ | (0.01 | ) | ||||
The accompanying notes are an integral part of these statements.
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