HispanicBusiness

HACKENSACK, NJ -- (Marketwire) -- 11/19/12 -- Emerson Radio Corp. (NYSE MKT: MSN) today reported financial results for its second quarter and six month period ended September 30, 2012.

Net revenues for the second quarter of fiscal 2013 were $34.7 million, a decrease of $6.7 million, or 16.1%, as compared to the second quarter of fiscal 2012 net revenues of $41.4 million. The decline in year-over-year net revenues was driven by lower year-over-year net product sales, partly offset by higher year-over-year licensing revenues.

Net product sales for the second quarter of fiscal 2013 were $32.3 million, as compared to $40.2 million for the second quarter of fiscal 2012, a decrease of $7.9 million, or 19.7%. The lower year-over-year net product sales were driven by a $5.9 million, or 15.9%, decline in net sales of houseware products, which was the result of lower year-over-year sales of all product offerings within the category, and a $1.9 million, or 67.5%, decline in net sales of audio products, due to lower year-over-year sales of all product offerings within the category.

Licensing revenue in the second quarter of fiscal 2013 was $2.4 million, as compared to $1.2 million in the second quarter of fiscal 2012, an increase of $1.2 million, or 107.2%. The higher year-over-year licensing revenue was the result of approximately $1.3 million of higher year-over-year licensing revenue earned from the Company's largest licensee because the licensee met its annual minimum royalty payment obligation during the second quarter of the Company's fiscal year 2013, as compared to the prior year, when the licensee met its annual minimum royalty payment obligation during the third quarter or the Company's fiscal year 2012, partly offset by lower aggregate year-over-year licensing revenues earned by the Company from its other active licensees due to a lower year-over-year number of licensees.

Net revenues for the six month period of fiscal 2013 were $80.7 million, a decrease of $12.2 million, or 13.1%, as compared to the six month period of fiscal 2012 net revenues of $92.9 million. The decline in year-over-year net revenues was driven by lower year-over-year net product sales, partly offset by higher year-over-year licensing revenues.

Net product sales for the six month period of fiscal 2013 were $77.2 million, as compared to $90.3 million for the first half period of fiscal 2012, a decrease of $13.1 million, or 14.6%. The lower year-over-year net product sales were driven by a $9.5 million, or 11.2%, decline in net sales of houseware products, which was the result of lower year-over-year sales of all product offerings within the category, and a $3.6 million, or 64.1%, decline in net sales of audio products, due to lower year-over-year sales of all product offerings within the category.

Licensing revenue in the six month period of fiscal 2013 was $3.6 million, as compared to $2.6 million in the six month period of fiscal 2012, an increase of $1.0 million, or 37.2%. The higher year-over-year licensing revenue was the result of approximately $1.3 million of higher year-over-year licensing revenue earned from the Company's largest licensee because the licensee met its annual minimum royalty payment obligation during the second quarter of the Company's fiscal year 2013, as compared to the prior year, when the licensee met its annual minimum royalty payment obligation during the third quarter of the Company's fiscal year 2012, partly offset by lower aggregate year-over-year licensing revenues earned by the Company from its other active licensees due to a lower year-over-year number of licensees.