Autobytel Reports 22% Increase in 2013 Fourth Quarter Revenues; 17% Full Year Improvement

Autobytel Reports 22% Increase in 2013 Fourth Quarter Revenues; 17% Full Year
Improvement

Positive Momentum Reflects High Conversion Rates of Autobytel's Consumer Leads
and Continued Automotive Sector Growth

IRVINE, Calif., Feb. 20, 2014 (GLOBE NEWSWIRE) -- Autobytel Inc.
(Nasdaq:ABTL), pioneer of the automotive Internet and dedicated to connecting
automotive consumers with dealers, today announced improved financial results
for the fourth quarter and full year ended December 31, 2013.

"Our improved year-over-year financial results continue to reflect and benefit
from the high conversion rates of the leads we deliver to our auto
manufacturer and dealer customers," said Jeffrey H. Coats, President and Chief
Executive Officer. "Over the last several quarters we have completed several
strategic acquisitions and investments, which are having a positive impact on
Autobytel.

"AutoUSA is expected to drive meaningful increases in our revenue and cash
flow. Advanced Mobile has provided a platform that allows auto dealers to
connect with consumers using text communication in a privacy protected manner.
SaleMove's virtual showroom and enhanced online car shopping experience have
been well received by the market, and we have opened a new revenue stream
captured from our existing traffic through our investment in AutoWeb," Coats
said. "This business momentum, coupled with an ongoing healthy market for car
sales, gives us continued optimism about Autobytel's ability to capture future
growth opportunities."

Total revenues for the 2013 fourth quarter rose 22% to $20.7 million from
$16.9 million a year ago, and included a $236,000 contribution from Advanced
Mobile, which was acquired by Autobytel in September 2013. The company said
that there was no contribution from AutoUSA, as it was not acquired by
Autobytel until after the end of the 2013 fourth quarter. Revenues generated
from automotive leads advanced 27% to $18.6 million for the 2013 fourth
quarter, up from $14.6 million for last year's fourth quarter. The improvement
primarily reflected strong demand from automotive dealers (retail) and auto
manufacturers (wholesale). Retail revenues grew approximately 16%, and
wholesale revenues increased approximately 36% for the 2013 fourth quarter,
compared with the corresponding prior year period.

Gross profit increased 27% to $8.1 million, or 39.1% of revenues, for the 2013
fourth quarter, up from $6.4 million, or 37.8% of revenues, last year.

Total operating expenses were $7.2 million, or 34.8% of revenues, for the
fourth quarter of 2013, compared with $6.1 million, or 35.9% of revenues, for
the fourth quarter of last year. Fourth quarter 2013 total operating expenses
included approximately $213,000 in costs related to acquisitions.

For the 2013 fourth quarter, in accordance with technical accounting guidance,
Autobytel recorded a one-time benefit of $35.5 million related to the release
of a valuation allowance against its deferred tax assets, resulting from the
achievement of cumulative income for the trailing 12 quarters ending with the
period ended September 30, 2013. Based upon the cumulative income, as well as
other positive factors such as anticipated future profit, the company said it
will now begin recognizing a book tax provision on its pre-tax income
prospectively, commencing with the quarter ending March 31, 2014, and that
there will be no impact on cash.

Net income for the 2013 fourth quarter totaled $36.1 million, or $3.26 per
diluted share, which included the one-time benefit. Excluding the one-time tax
benefit, 2013 fourth quarter net income was $662,000, or $0.06 per diluted
share. Net income for the 2012 fourth quarter was $351,000, or $0.04 per
diluted share. The per share calculations were based on 11.1 million diluted
average weighted shares outstanding for the 2013 fourth quarter and 9.0
million diluted average weighted shares outstanding for last year's fourth
quarter. The increase in share count related to the increase in price of
Autobytel's common stock as well as the impact on the company's convertible
note and warrants outstanding.

EBITDA for the fourth quarter of 2013 rose to $1.2 million, from $1.0 million
for the same quarter last year. Adjusted cash net income for the fourth
quarter of 2013 was $1.3 million, or $0.12 per diluted share, compared with
$1.2 million, or $0.13 per diluted share, for the fourth quarter of 2012. The
adjusted cash net income per diluted share comparison was impacted by the
increase in share count.

2013 Results

For 2013, revenues grew 17% to $78.4 million, up from $66.8 million for 2012.
Auto lead revenues increased 21% for 2013 over last year. Retail revenues grew
12%, and wholesale revenues improved 27% for 2013, versus 2012.

Gross profit increased to $30.4 million, or 38.9% of revenues, for the full
year, compared with $26.3 million, or 39.3% of revenues, last year.

Total operating expenses for 2013 amounted to $27.6 million, or 35.2% of total
revenues, versus $24.7 million, or 36.9% of total revenues, for 2012.

Net income for 2013 was $38.1 million, or $3.61 per diluted share, which
included the one-time, fourth quarter benefit of the $35.5 million valuation
allowance, based on 10.6 million diluted average weighted shares outstanding.
Excluding the one-time tax benefit, 2013 net income was $2.7 million, or
$0.27 per diluted share.Net income last year was $1.4 million, or $0.15 per
diluted share, based on 9.2 million diluted average weighted shares
outstanding.

2013 EBITDA totaled $5.3 million, up from $4.2 million for 2012. Adjusted
cash net income for 2013 increased to $5.7 million, or $0.55 per diluted
share, from $4.8 million, or $0.52 per diluted share, for 2012.

Cash and cash equivalents increased to $18.9 million at December 31, 2013, up
from $15.3 million at December 31, 2012. 

Cash flow provided by operations was $1.6 million for the fourth quarter of
2013, compared with $1.4 million for the same period last year. Cash flow
provided by operations totaled $4.3 million for 2013, versus $5.8 million for
2012. 

Recent Business Developments

Autobytel recently acquired AutoUSA, a Web-based auto leads and services
provider, from AutoNation. The acquisition is expected to expand Autobytel's
industry reach and influence by increasing its national new and used car
dealer network to approximately 5,000 from approximately 3,800, while also
augmenting its business with auto manufacturers. 

Business Outlook

Based on current business trends, Autobytel estimates that 2014 first quarter
organic revenue growth, excluding the impact of the AutoUSA acquisition, will
be in the range of 18% to 22% from the 2013 first quarter.

Conference Call

Autobytel management will host a conference call today at 5 p.m. ET/2 p.m. PT
to discuss its 2013 fourth quarter financial results. Interested parties may
participate in the live call by dialing (877) 852-2929, passcode 55758905.An
audio broadcast will also be available through a live webcast at
www.autobytel.com (click on "Investor Relations" and then click on "Events &
Presentations"). Please visit the website at least 15 minutes prior to the
start of the call to register and download any necessary software. For those
unable to listen to the live broadcast, the call will be archived for one year
on Autobytel's website. A telephone replay of the call will also be available
through February 27, 2014 by dialing (855) 859-2056, passcode 55758905. The
slides that will be referenced during the call will be available on the
company's website at www.autobytel.com (click on "Investor Relations" and then
click on "Events & Presentations"). The slides will contain disclosures of
EBITDA, adjusted cash net income, adjusted cash net income per diluted share,
and cash flow, which are non-GAAP financial measures as defined by SEC
Regulation G. Reconciliations of these non-GAAP financial measures to the
most directly comparable GAAP financial measures will be included in the
slides.

Note about Non-GAAP Financial Measures

Autobytel has disclosed EBITDA, adjusted cash net income and adjusted cash net
income per diluted share, and net income excluding one-time income tax benefit
and net income excluding one-time benefit per basic and diluted share, which
are non-GAAP financial measures as defined by SEC Regulation G, for the 2012
and 2013 fourth quarter and twelve-month period.The company defines EBITDA as
earnings before interest, taxes, depreciation and amortization.The company
defines adjusted cash net income as net income plus depreciation and
amortization and non-cash share-based compensation, plus income taxes and
defines adjusted cash net income per diluted share as adjusted cash net income
divided by weighted average diluted shares outstanding.The company defines
net income excluding one-time income tax benefit as net income plus the
one-time income tax benefit.The company's management believes that presenting
EBITDA, adjusted cash net income and adjusted cash net income per diluted
share and net income excluding one-time income tax benefit and net income
excluding one-time benefit per basic and diluted share, provides useful
information to investors regarding the underlying business trends and
performance of the company's ongoing operations.These non-GAAP financial
measures are used in addition to and in conjunction with results presented in
accordance with GAAP and should not be relied upon to the exclusion of GAAP
financial measures.Management strongly encourages investors to review the
company's consolidated financial statements in their entirety and to not rely
on any single financial measure.A table providing a reconciliation of EBITDA,
adjusted cash net income and adjusted cash net income per diluted share to the
closest GAAP financial measures is included at the end of this press release.


About Autobytel Inc.

Autobytel Inc. provides high quality consumer leads and associated marketing
services to automotive dealers and manufacturers throughout the United States
and offers consumers robust and original online automotive content to help
them make informed car-buying decisions. The company pioneered the automotive
internet in 1995 with its flagship website www.autobytel.com and has since
helped tens of millions of automotive consumers research vehicles; connected
thousands of dealers nationwide with motivated car buyers; and helped every
major automaker market its brand online.Investors and other interested
parties can receive Autobytel news releases and invitations to special events
by accessing the online registration form at
investor.autobytel.com/alerts.cfm.

Forward-Looking Statements Disclaimer

The statements contained in this press release that are not historical facts
are forward-looking statements under the federal securities laws. These
forward-looking statements, including, but not limited to, comments that
AutoUSA is expected to drive meaningful increases in revenue and cash flow;
that business momentum, coupled with an ongoing healthy market for car sales,
gives the company continued optimism about its ability to capture future
growth opportunities; that the AutoUSA acquisition is expected to expand
Autobytel's industry reach and influence by increasing its national new and
used car dealer network to approximately 5,000 from approximately 3,800, while
also augmenting its business with auto manufacturers; and regarding the
company's estimates that first quarter organic revenue growth, excluding the
impact of the AutoUSA acquisition, will grow in the range of 18% to 22% from
the 2013 first quarter, are not guarantees of future performance and involve
assumptions and risks and uncertainties that are difficult to predict. Actual
outcomes and results may differ materially from what is expressed in, or
implied by, these forward-looking statements. Autobytel undertakes no
obligation to update publicly any forward-looking statements, whether as a
result of new information, future events or otherwise. Among the important
factors that could cause actual results to differ materially from those
expressed in, or implied by, the forward-looking statements are changes in
general economic conditions; the financial condition of automobile
manufacturers and dealers; disruptions in automobile production; changes in
fuel prices; the economic impact of terrorist attacks, political revolutions
or military actions; failure of our internet security measures; dealer
attrition; pressure on dealer fees; increased or unexpected competition; the
failure of new products and services to meet expectations; failure to retain
key employees or attract and integrate new employees; actual costs and
expenses exceeding charges taken by Autobytel; changes in laws and
regulations; costs of legal matters, including, defending lawsuits and
undertaking investigations and related matters; and other matters disclosed in
Autobytel's filings with the Securities and Exchange Commission. Investors are
strongly encouraged to review the company's Annual Report on Form 10-K for the
year ended December 31, 2013 and other filings with the Securities and
Exchange Commission for a discussion of risks and uncertainties that could
affect the business, operating results or financial condition of Autobytel and
the market price of the company's stock.

                          (Financial Tables Follow)

AUTOBYTEL INC.
UNAUDITED CONSOLIDATED CONDENSED BALANCE SHEETS
(Amounts in thousands, except share and per-share data)
                                                              
                                                              
                                                December 31, December 31,
                                                2013         2012
Assets                                                         
Current assets:                                                
Cash and cash equivalents                        $18,930      $15,296
Accounts receivable (net of allowances for bad
debts and customer credits of $405 and $426 at   14,178        10,081
December 31, 2013 and December 31, 2012,
respectively)
Deferred tax asset                               3,517         --
Prepaid expenses and other current assets        506           504
Total current assets                             37,131        25,881
Property and equipment, net                      1,548         1,593
Long-term investment                             2,500         --
Intangible assets, net                           1,821         1,539
Goodwill                                         13,602        11,677
Long-term deferred tax asset                     31,135        --
Other assets                                     456           77
Total assets                                     $88,193      $40,767
                                                              
Liabilities and Stockholders' Equity                           
Current liabilities:                                           
Accounts payable                                 $5,267       $3,837
Accrued expenses and other current liabilities   7,649         5,377
Deferred revenues                                (1)           168
Total current liabilities                        12,915        9,382
Convertible note payable                         5,000         5,000
Borrowings under credit facility                 4,250         --
Other non-current liabilities                    1,200         620
Total liabilities                                23,365        15,002
                                                              
Commitments and contingencies                    --           --
                                                              
Stockholders' equity:                                          
Preferred stock, $0.001 par value; 11,445,187    --           --
shares authorized; none outstanding
Common stock, $0.001 par value; 55,000,000
shares authorized;8,909,737 and 8,855,400       9             9
shares issued and outstanding, as of December
31, 2013 and December 31, 2012, respectively
Additional paid-in capital                       307,171       306,252
Accumulated deficit                              (242,352)     (280,496)
Total stockholders' equity                       64,828        25,765
Total liabilities and stockholders' equity       $88,193      $40,767

                                                                 
AUTOBYTEL INC.
UNAUDITED CONSOLIDATED CONDENSED STATEMENTS OF INCOME AND COMPREHENSIVE
INCOME
(Amounts in thousands, except per-share data)
                                                                 
                                                                 
                                                                 
                                      Three Months Ended  Twelve Months Ended
                                      December 31         December 31
                                      2013      2012      2013      2012
                                                                 
Revenues:                                                         
Lead fees                              $19,719 $16,032 $74,732 $63,109
Advertising                            722      854      3,289    3,524
Other revenues                         252      25       340      169
Total revenues                         20,693   16,911   78,361   66,802
Cost of revenues (excludes
depreciation of $6 and $28 for the
three months ended December 31, 2013
and 2012, respectively, and $76 and    12,604   10,526   47,915   40,530
$118 for the twelve months ended
December 31, 2013 and 2012,
respectively)
Gross profit                           8,089    6,385    30,446   26,272
                                                                 
Operating expenses:                                               
Sales and marketing                    2,490    1,888    9,612    8,536
Technology support                     1,975    1,750    7,303    6,848
General and administrative             2,594    2,080    9,554    7,852
Depreciation and amortization          254      422      1,450    1,717
Litigation settlements                 (112)    (68)     (316)    (273)
Total operating expenses               7,201    6,072    27,603   24,680
Operating income                       888      313      2,843    1,592
Interest and other income (expense),   (94)     126      237      139
net
Income tax provision (benefit)         (35,356) 88       (35,064) 344
Net income and comprehensive income    $36,150 $351    $38,144 $1,387
                                                                 
                                                                 
Basic earnings per common share        $4.06   $0.04   $4.29   $0.15
Diluted earnings per common share      $3.26   $0.04   $3.61   $0.15
                                                                 
                                                                 
Shares used in computing earnings per                             
common share (in thousands):
Basic                                8,910    8,854    8,883    8,996
Diluted                              11,105   9,040    10,616   9,204

AUTOBYTEL INC.
RECONCILIATION OF EARNINGS BEFORE INTEREST, TAXES,
DEPRECIATION AND AMORTIZATION
(Amounts in thousands)
                                                                  
                               Three Months Ended         Twelve Months Ended
                               December 31,               December 31,
                                                                  
                               2013         2012          2013       2012
                                                                  
Net income                      $36,150    $351        $38,144  $1,387
                                                                  
Net interest                    92          73           317       281
                                                                  
Income taxes                    (35,356)    88           (35,064)  344
                                                                  
Depreciation and amortization   347         536          1,875     2,162
                                                                  
                                                                  
Earnings before interest,
taxes, depreciation and         $1,233     $1,048      $5,272   $4,174
amortization
                                                                  
                                                                  
                                                                  
AUTOBYTEL INC.
RECONCILIATION OF ADJUSTED CASH NET INCOME
(Amounts in thousands, except per-share data)
                                                                  
                               Three Months Ended         Twelve Months Ended
                               December 31,               December 31,
                                                                  
                               2013         2012          2013       2012
                                                                  
Net income                      $36,150    $351        $38,144  $1,387
                                                                  
Depreciation and amortization   347         536          1,875     2,162
                                                                  
Share-based compensation        148         202          704       910
                                                                  
Income taxes                    (35,356)    88           (35,064)  344
                                                                  
Adjusted cash net income        $1,289     $1,177      $5,659   $4,803
                                                                  
                                                                  
Adjusted cash net income per    $0.12      $0.13       $0.55    $0.52
diluted share
                                                                  
Shares used in calculating
adjusted cash net income per    11,105      9,040        10,616    9,204
diluted share
                                                                  
                                                                  
                                                                  
                                                                    
AUTOBYTEL INC.                                                       
RECONCILIATION OF NET INCOME EXCLUDING                               
ONE-TIME INCOME TAX BENEFIT                                          
(Amounts in thousands, except per-share data)                      
                                                                  
                                                                  
                                Three Months Twelve Months
                               Ended        Ended                   
                                December 31, December 31,
                                2013         2013
                                                                  
Net income                      $36,150    $38,144               
                                                                  
One-time income tax benefit     (35,488)    (35,488)               
                                                                  
Net income excluding one-time   $662       $2,656                
income tax benefit
                                                                  
Basic net income excluding
one-time income tax benefit per $0.07      $0.30                 
share
                                                                  
Diluted net income excluding
one-time income tax benefit per $0.06      $0.27                 
share
                                                                  
Shares used in computing net
income excluding one-time                                          
income tax benefit (in
thousands):
Basic                         8,910       8,883                  
Diluted                       11,105      10,616                 

CONTACT: Investor Relations:
         Autobytel Inc.
         Curtis E. DeWalt
         SVP, Chief Financial Officer
         949-437-4694
         curtisd@autobytel.com

         PondelWilkinson Inc.
         Roger Pondel/Laurie Berman
         310-279-5980
         pwinvestor@pondel.com

Autobytel Inc. logo
 
Press spacebar to pause and continue. Press esc to stop.