Marathon Patent Group Reports Third Quarter Financial Results and Highlights Other Recent Events
ALEXANDRIA, VA -- (Marketwired) -- 11/14/13 -- Marathon Patent Group, Inc. (OTCQB: MARA) ("Marathon"), an intellectual property services and patent licensing company, announced today its financial results for the third quarter ended September 30, 2013.
For the three months ended September 30, 2013 ("Q3 2013"), the Company reported gross revenue of $710,500 and for the nine months ending September 30, 2013, it generated gross revenues of $2,235,479. Net cash used in operating activities for Q3 2013 was $253,898 as compared to net cash used in operating activities for the three months ended June 30, 2013 of $460,271, signifying a decrease of approximately 45%.
As of September 30, 2013, the Company reported cash and cash equivalents of approximately $6 million.
Recent Company Highlights:
- Acquired two additional portfolios in Q3 2013 and one additional portfolio in October 2013, bringing the total number of portfolios owned and controlled by Marathon to seven.
- In November 2013, the Company's wholly-owned subsidiary, Vantage Point Technology, Inc. filed a patent infringement lawsuit in the United States District Court for the Eastern District of Texas against 22 named defendants, including Samsung Electronics America, Microsoft Corporation and others
- In November 2013, the Company's wholly-owned subsidiary, Sampo IP, filed a patent infringement lawsuit against Blackboard, Inc. and Salesforce.com in the Eastern District of Virginia
- Grew its patent asset base from 55 to 99 as a result of the three recently acquired portfolios
- Through its wholly-owned subsidiaries, the Company currently has 51 active lawsuits with 57 different defendants
Commenting on the announcement, Doug Croxall, CEO of Marathon Patent Group, stated, "We have completed just two full quarters of patent enforcement activities and have demonstrated the unique scalability of our IP monetization platform through our ability to manage multiple licensing campaigns while actively pursuing the acquisition of additional patent portfolios.
"During this past quarter, our main objective was to acquire high quality patent assets that could set the stage for larger enforcement campaigns, where damage amounts have the potential to significantly increase when compared to that of the existing producing portfolios. We believe we were very successful toward that goal having seen our patent asset base grow from 55 to 99 assets."
Croxall continued, "Roughly a year ago, we set out to build one of the preeminent IP monetization companies. We were focused to build the Company on a strong foundation of proven and producing patent assets that early in our development should take the company to a cash-flow break even position through the realization of consistent settlements. Having secured that foundation of patent assets, our next goal was to amass additional quality IP portfolios that we believe had the potential to drive very material shareholder value through successful monetization. Just last week our Vantage Point subsidiary filed suit against 22 defendants, including Microsoft and Samsung Electronics, in the United States District Court for the Eastern District of Texas."
Since March 2013, Marathon has negotiated 12 licensing settlements from its CyberFone, Relay IP, and Sampo portfolios. Historically, the CyberFone licensing campaign has resulted in 38 settlements with gross awards of over $16 million. Marathon now owns seven patent portfolios, four of which are currently the basis of separate licensing campaigns.
Marathon Patent Group:
Based in Alexandria, VA, Marathon Patent Group is a patent licensing company serving a wide range of patent owners from Fortune 500 companies to independent inventors. Marathon provides its clients advice and services that enable them to realize financial and strategic returns on their intellectual property rights. Marathon's operating subsidiaries acquire patent assets, partner with patent holders, and monetize patent portfolios through actively managed patent licensing campaigns. To learn more about Marathon Patent Group, visit http://www.marathonpg.com/.
Forward Looking Statements:
Certain statements in this press release constitute "forward-looking statements" within the meaning of the federal securities laws. Words such as "may," "might," "will," "should," "believe," "expect," "anticipate," "estimate," "continue," "predict," "forecast," "project," "plan," "intend" or similar expressions, or statements regarding intent, belief, or current expectations, are forward-looking statements. While the Company believes these forward-looking statements are reasonable, undue reliance should not be placed on any such forward-looking statements, which are based on information available to us on the date of this release. These forward looking statements are based upon current estimates and assumptions and are subject to various risks and uncertainties, including without limitation those set forth in the Company's filings with the Securities and Exchange Commission (the "SEC"), not limited to Risk Factors relating to its patent business contained therein. Thus, actual results could be materially different. The Company expressly disclaims any obligation to update or alter statements whether as a result of new information, future events or otherwise, except as required by law.
Source: Marathon Patent Group
Released November 14, 2013