LiveWorld Reports: Full Year 2022 Financial Results

Company sees third straight year of improved operating results.

CAMPBELL, Calif. & NEW YORK--(BUSINESS WIRE)-- LiveWorld, Inc. (OTC Markets: LVWD) today reported financial results for the fiscal year ending December 31, 2022.

2022 Financial and Business Highlights

• Total revenues of $11.1 million, up 11% year-over-year
• Healthcare revenues of $9.9 million, up 12% year-over-year
• Top four clients grew approximately 15% – 25%
• Net income from operations of $1.0 million, or 9% of revenues
• Cash increased to $3.8 million as of December 31^st
• Closed four new clients at year’s end

Management Commentary

“The 2022 financial results mark the third consecutive year of double-digit revenue growth, improved net income, and positive cash flows from operations,” said David Houston, Chief Financial Officer of LiveWorld. “This highlights our demonstrated ability to grow organically while continuing to invest in our creative and moderation services, our SaaS platform, and our sales and marketing efforts. Each of our top four clients grew approximately 15% - 25%. This, combined with four new client wins at the end of the year, positions us well for 2023.

"As we move into 2023, we expect to see continued growth in revenue and profits from operations. Our strong client relationships and ongoing client acquisitions will drive revenue growth. This will result in continued profits and positive cash flow in 2023. Generally, we see some seasonality in the first quarter, which can have a small impact on revenue and cash flow. However, we expect any impact to be offset over the remainder of 2023.”

Financial Review for the Twelve Months Ended December 31, 2022

Total revenues were approximately $11.1 million for the twelve months, as compared to the approximately $10.1 million in total revenues reported for the same period in 2021. This was an increase of approximately $1.1 million, or 11%, when compared to the twelve months of 2021. Healthcare-related revenues increased from $8.8 million in 2021 to $9.9 million in 2022 for a 12% growth rate.

The company reported net income from operations of approximately $1.0 million, or 9%, of total revenues in 2022. This compares to net income from operations of approximately $796,000, or 8%, of total revenues reported for 2021. This is an increase of 28% year-over-year in net income.

The company finished the year with approximately $3.8 million in cash and cash equivalents, as compared to approximately $3.6 million at the end of 2021.

Detailed financial information may be downloaded at www.liveworld.com/ir (LiveWorld’s Investor Relations page) or at www.otcmarkets.com.

About LiveWorld

LiveWorld is a digital agency with deep social and technology expertise that helps companies spark emotional connections, build stronger customer relationships, and drive behavior change. We live at the intersection of bold creative rooted in strategy that inspires, moderation that activates human interactions, and technology that enriches and scales customer experiences.

With over 26 years of making connections, our integrated team leverages our social media DNA to deliver emotion-driven behavior change through digital campaigns with a human touch. LiveWorld clients include the number one brands in pharmaceuticals, healthcare, and financial-travel services. LiveWorld is headquartered in Campbell, California with an additional office in New York City. Learn more at www.liveworld.com and @LiveWorld.

“Safe Harbor" Statement Under the Private Securities Litigation Reform Act

This press release may contain forward-looking information concerning LiveWorld plans, objectives, future expectations, forecasts, and prospects. These statements may include those regarding LiveWorld’s current or future financial performance including, but not limited to, lists of clients; revenue and profit; use of cash, investments, relationships, and the actual or potential impact of stock option expense; and the results of its product development efforts. Actual results may differ materially from those expressed in the forward-looking statements made as a result of, among other things, final accounting adjustments and results; LiveWorld’s ability to attract new clients and preserve or expand its relationship with existing clients; LiveWorld’s ability to retain and attract high-quality employees, including its management staff; the ability to deliver new innovative products in a timely manner; changing accounting treatments; and other risks applicable to the Company. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof, and the Company undertakes no obligation to update these forward-looking statements to reflect subsequent events or circumstances.

LIVEWORLD, INC.
UNAUDITED CONDENSED BALANCE SHEETS
(In thousands, except share data)
		December 31,				December 31,
		2022				2021
ASSETS
Current assets
Cash and cash equivalent		$	3,801			$	3,551
Accounts receivable, net			2,583				1,773
Prepaid expenses			180				156
Total current assets			6,564				5,480
Property and equipment, net			43				47
Other assets			26				25
Total assets		$	6,633			$	5,552
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities
Accounts payable		$	203			$	231
Accrued employee expenses			791				1,076
Other accrued liabilities			52				14
Deferred revenue			1,326				1,169
Total current liabilities			2,372				2,490
Total liabilities			2,372				2,490
Stockholders' equity
Common stock: $0.001 par value, 100,000,000 shares authorized, 45,633,442 issued and outstanding as of December 31, 2022 and December 31, 2021 respectively			34				34
Additional paid-in capital			143,883				143,701
Accumulated deficit			(139,656	)			(140,673	)
Total stockholders' equity			4,261				3,062
Total liabilities and stockholders' equity		$	6,633			$	5,552

LIVEWORLD, INC.
CONDENSED STATEMENT OF OPERATIONS
(In thousands, except per share data)
		Twelve Months Ended December 31,
		2022				2021
Total revenues		$	11,146			$	10,061
Cost of revenues			5,341				5,051
Gross Margin			5,805				5,010
Operating Expense
Product development			958				866
Sales and marketing			1,356				1,230
General and administrative			2,345				2,109
Total operating expense			4,659				4,205
Income from operations			1,146				805
Income before tax			1,146				805
Other Income			1				17
Provision for income taxes			130				26
Net income from operations			1,017				796
PPP loan forgiveness			------------				1,026
Net income			1,017				1,822
Earnings per share analysis from operations
Basic income per share		$	0.02			$	0.02
Shares used in computing basic loss per share			45,633,442				45,633,442
Diluted net income (loss) per share		$	0.02			$	0.01
Shares used in computing diluted income (loss) per share			62,522,559				64,446,830
Earnings per share analysis after PPP loan forgiveness
Basic income per share		$	------------			$	0.04
Shares used in computing basic loss per share			------------				45,633,442
Diluted net income (loss) per share		$	------------			$	0.03
Shares used in computing diluted income (loss) per share			------------				64,446,830
Departmental allocation of stock-based compensation
Cost of revenues		$	49			$	12
Product development			10				5
Sales and marketing			26				6
General and administrative			97				27
Total stock-based compensation		$	182			$	50

LIVEWORLD, INC.
CONDENSED STATEMENTS OF CASH FLOWS
(In thousands)
		Twelve Months Ended December 31,
		2022				2021
Cash flows from operating activities
Net income (loss)		$	1,017			$	1,822
Adjustments to reconcile net income (loss) provided by (used in) operating activities:
Depreciation of long-lived assets			26				20
Stock-based compensation			182				50
Changes in operating assets and liabilities:
Accounts receivable			(809	)			(595	)
Other assets			(25	)			(59	)
Accounts payable			(28	)			92
Accrued liabilities			(248	)			342
Deferred revenue			157				272
Net cash provided by (used in) operating activities			272				1,944
Cash flows from investing activities
Purchase of property and equipment			(22	)			(24	)
Net cash provided by (used in) investing activities			(22	)			(24	)
Cash flows from financing activities
Loan		------------					(921	)
Proceeds from exercise of stock options		------------				-----------
Net cash provided by (used for) financing activities		------------					(921	)
Change in cash and cash equivalent			250				999
Cash and cash equivalents, beginning of period			3,551				2,552
Cash and cash equivalents, end of period		$	3,801			$	3,551
Supplemental disclosure of non-cash financing and investing activities
Income tax paid		$	130			$	26

 

View source version on businesswire.com: https://www.businesswire.com/news/home/20230131005391/en/

LiveWorld Contacts



IR Contact:

Adam Lowensteiner

Lytham Partners

LVWD@lythampartners.com

(646) 829-9702



PR Contact:

Matthew Hammer

LiveWorld

mhammer@liveworld.com

(737) 212-9739

Source: LiveWorld, Inc.

FAQ

What were LiveWorld's total revenues for 2022?

LiveWorld reported total revenues of $11.1 million for the fiscal year ending December 31, 2022.

How much did LiveWorld's healthcare revenues grow in 2022?

Healthcare revenues increased by 12%, reaching $9.9 million in 2022.

What was LiveWorld's net income for 2022?

The net income from operations for 2022 was approximately $1.0 million, or 9% of total revenues.

How many new clients did LiveWorld acquire by the end of 2022?

LiveWorld acquired four new clients at the end of 2022.

What is the financial outlook for LiveWorld in 2023?

LiveWorld expects continued growth in revenue and profits from operations in 2023.