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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: APRIL 30, 2003
Commission File Number: 0-15235
MITEK SYSTEMS, INC
(Exact name of Registrant as specified in its charter)
DELAWARE 87-0418827
(State or other jurisdiction of (I.R.S. Employer Identification No.)
incorporation or organization)
14145 DANIELSON STREET, SUITE B
POWAY, CA 92064
(Address of principal executive offices)
(858) 513-4600
(Registrant's telephone number, including area code)
NOT APPLICABLE
(Former name or former address, if changed since last report)
ITEM 7(c). EXHIBITS
99.1 Press release dated April 30, 2003.
ITEM 9. REGULATION FD DISCLOSURE
The information in this Form 8-K and the Exhibit attached hereto is
intended to be furnished under Item 12, Results of Operations and Financial
Condition, and is being furnished under Item 9, Regulation FD Disclosure, in
accordance with Securities and Exchange Commission Release No. 33-8216 dated
March 27, 2003.
On April 30, 2003 Mitek Systems, Inc. issued a press release announcing its
financial results for the quarter ended March 31, 2003. A copy of the release is
attached as Exhibit 99.1 and incorporated by reference herein.
The information in this Form 8-K and the Exhibit attached hereto shall not
be deemed "filed" for purposes of Section 18 of the Securities Exchange Act of
1934, as amended (the "Exchange Act") or otherwise subject to the liabilities of
that Section, nor shall it be deemed incorporated by reference in any filing
under the Securities Act of 1933, as amended or the Exchange Act, regardless of
any general incorporation language in such filing.
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, as
amended, the Registrant has duly caused this report to be signed on its behalf
by the undersigned thereunto duly authorized.
MITEK SYSTEMS, INC.
Date: April 30, 2003 By: /s/ John M. Thornton
-------------------------------------
John M. Thornton
Chairman of the Board of Directors, President,
Chief Executive Officer and Chief Financial Officer
INDEX TO EXHIBITS
EXHIBIT
NUMBER DESCRIPTION
- -------------- -----------------------------
99.1 PRESS RELEASE DATED APRIL 30, 2003.
Exhibit 99.1
Mitek Systems Announces Fiscal Second Quarter 2003 Results
POWAY, Calif.--(BUSINESS WIRE)--April 30, 2003---Mitek Systems,
Inc. (Nasdaq:MITK), a developer of automated check imaging and
document processing solutions, today announced financial results for
the fiscal second quarter of 2003 ended March 31, 2003. Mitek reported
net income of $26,000, or breakeven per basic and diluted share.
The Company's net sales grew to $3.9 million for the fiscal second
quarter, a 25 percent increase compared with net sales of $3.1 million
for the fiscal 2002 second quarter. Sequentially, net sales were 30
percent higher than first quarter net sales of $3.0 million.
Fiscal second quarter 2003 total costs and expenses, less cost of
sales of $1.5 million, were $2.4 million, or 61 percent of net sales.
Year-ago second quarter total costs and expenses, less cost of sales
of $924,000, were $2.3 million, or 74 percent of net sales. Compared
to the previous quarter ended December 31, 2002, total costs and
expenses, less cost of sales, were slightly higher.
Mitek reported second quarter net income of $26,000, or breakeven
per basic and diluted share, compared with net loss of $(141,000), or
$(0.01) per basic and diluted share, for the same fiscal quarter of
last year.
For the six months ended March 31, 2003, net sales were $6.8
million, an increase of 6 percent over net sales of $6.5 million for
the comparable period in fiscal 2002. Fiscal year-to-date net income
was $87,000, or $0.01 per basic and diluted share, compared with net
income of $239,000, or $0.02 per basic and diluted share, for the
first six months of fiscal 2002.
As of March 31, 2003, the Company had working capital of
approximately $4.8 million, stockholders' equity of $5.1 million and
no bank borrowings.
Commenting on the second quarter results, Chairman and President
John M. Thornton said, "We are very pleased to have achieved
double-digit revenue growth in light of this protracted economic
downturn. We believe that difficult market conditions and world
political instability continued to delay purchasing commitments.
However, in the face of these challenges, we were able to execute our
business plan, successfully selling our products to new customers,
maintaining profitability and generating positive cash flow in the
second quarter.
"Our balance sheet remains healthy," Mr. Thornton further noted.
"We have no bank debt and have increased our cash position to $1.5
million from $760,000 at the end of fiscal 2002. We remain focused on
the evolving needs of our customers, developing new products and
enhancements to improve their efficiency and lower their costs. During
the second quarter, we unveiled FraudProtect(TM), our award-winning,
image-based fraud detection platform. Both FraudProtect and
CaptureQuest(TM), our integrated data capture and enterprise document
management system launched in late 2002, are garnering positive
feedback from customers.
"During the second quarter, we also announced key management
additions to strengthen our executive team," added Mr. Thornton. "In
early March, James Graybeal assumed the role of Vice President of
Sales. With over 20 years of experience in the banking industry, Jim
is highly qualified to manage our sales operations for all product
lines in North America."
Mr. Thornton concluded, "Near the end of the quarter, we announced
the appointment of James DeBello as President and Chief Executive
Officer effective late May 2003. Jim and I have been working closely
together to facilitate a smooth transition of day-to-day management
responsibilities. We are truly excited about the leadership and
experience that Jim brings. He is well prepared to drive Mitek forward
and to build our success over the long term."
Conference Call and Webcast
Mitek Systems will host a conference call with a simultaneous
Webcast today at 11:00 a.m. Eastern (8:00 a.m. Pacific) to discuss the
Company's fiscal second quarter 2003 operating performance. The
conference call, featuring Chairman and President John M. Thornton,
can be accessed live via the Internet at www.miteksys.com or
www.companyboardroom.com. Please go to either Web site at least
fifteen minutes early to register, download, and install any necessary
audio software. For those who cannot listen to the live broadcast, the
Webcast replays will be available for 90 days, or an audio replay will
be available through May 7, 2003, by calling 888-266-2086
(703-925-2435 for international callers) and entering the passcode
6489126.
About Mitek Systems
Mitek Systems is a leading provider of check imaging software for
financial institutions and an established global supplier of embedded
software recognition engines. These engines process over 8 billion
checks and other documents per year for a variety of OEM and reseller
partners. Mitek helps reduce operating costs by automatically reading,
classifying and processing high volumes of checks and documents. Our
applications also help customers implement new image document Web
services for Internet and intranet configurations. For more
information about Mitek Systems, contact us at 14145 Danielson Street,
Suite B, Poway, CA 92064; 858-513-4600 or visit our Web site at
www.miteksys.com.
Forward-Looking Statement Disclosure
With the exception of historical matters, the matters discussed in
this news release are forward-looking statements that involve risks
and uncertainty. Forward-looking statements include, but are not
limited to, statements relating to the development and pace of sales
of the Company's products, expected trends and growth in the Company's
results of operations, projections concerning the Company's available
cash flow and liquidity, anticipated penetration in new and existing
markets for the Company's products and the size of such markets,
anticipated acceptance of the Company's products by existing and new
customers, the ability of the Company to achieve or sustain any growth
in sales and revenue and the increase in sales representatives and
other personnel. The Company's actual results could differ from such
forward-looking statements. There can be no assurance that the Company
will achieve the results set forth herein. Mitek, Mitek Systems,
FraudProtect and CaptureQuest are trademarks or registered trademarks
of Mitek Systems, Inc. All other product or company names may be
trademarks or registered trademarks of their respective holders.
Mitek Systems, Inc.
Statements of Operations
(Unaudited)
THREE MONTHS ENDED SIX MONTHS ENDED
March 31, March 31,
2003 2002 2003 2002
-----------------------------------------------
NET SALES $3,858,000 $3,077,000 $6,829,000 $6,465,000
OPERATING COSTS AND
EXPENSES
Cost of sales 1,467,000 924,000 2,107,000 1,820,000
Operations 397,000 390,000 860,000 799,000
Selling and Marketing 979,000 846,000 1,807,000 1,602,000
Research and
Development 552,000 508,000 1,124,000 970,000
General and
administrative 434,000 540,000 838,000 1,028,000
----------- ----------- ----------- -----------
Total costs and
expenses 3,829,000 3,208,000 6,736,000 6,219,000
----------- ----------- ----------- -----------
OPERATING INCOME (LOSS) 29,000 (131,000) 93,000 246,000
Interest and other
expense - net 6,000 (13,000) 4,000 (2,000)
----------- ----------- ----------- -----------
INCOME (LOSS) BEFORE
INCOME TAXES 35,000 (144,000) 97,000 244,000
INCOME TAX EXPENSE
(BENEFIT) 9,000 (3,000) 10,000 5,000
----------- ----------- ----------- -----------
NET INCOME (LOSS) $26,000 $(141,000) $87,000 $239,000
=========== =========== =========== ===========
EARNINGS (LOSS) PER
SHARE - BASIC $0.00 ($0.01) $0.01 $0.02
=========== =========== =========== ===========
WEIGHTED AVERAGE NUMBER
OF COMMON SHARES
OUTSTANDING - BASIC 11,138,772 11,135,468 11,138,772 11,128,131
=========== =========== =========== ===========
EARNINGS (LOSS) PER
SHARE - DILUTED $0.00 ($0.01) $0.01 $0.02
=========== =========== =========== ===========
WEIGHTED AVERAGE COMMON
SHARES AND COMMON SHARE
EQUIVALENTS
OUTSTANDING - DILUTED 11,208,258 11,135,468 11,205,143 11,466,566
=========== =========== =========== ===========
Mitek Systems, Inc.
Condensed Balance Sheets
(Unaudited)
March 31, September 30,
2003 2002
------------- -------------
ASSETS
Current assets $7,949,000 $7,381,000
Property and equipment - net 398,000 380,000
Other assets 373,000 470,000
------------- -------------
TOTAL ASSETS $8,720,000 $8,231,000
============= =============
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities $3,154,000 $2,738,000
Long term liabilities 450,000 466,000
------------- -------------
Total liabilities 3,604,000 3,204,000
------------- -------------
Stockholders' equity:
Common stock 11,000 11,000
Additional paid-in capital 9,293,000 9,290,000
(Accumulated deficit) (4,188,000) (4,274,000)
------------- -------------
Total stockholders' equity 5,116,000 5,027,000
------------- -------------
TOTAL LIABILITIES AND
STOCKHOLDERS' EQUITY $8,720,000 $8,231,000
============= =============
CONTACT: Mitek Systems, Inc.
John M. Thornton, 858/513-4600
or
FRB/Weber Shandwick
Linda Chien, 310/407-6547 (General Info.)
Brandi Piacente, 415/248-3430 (Investors)