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SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 20549
FORM 12B-25
Commission File Number 0-29098
NOTIFICATION OF LATE FILING
(Check One): [X] Form 10-K [ ] Form 11-K [ ] Form 20-F [ ] Form 10-QSB
[ ] Form N-SAR
For Period Ended: December 31, 1999
[ ] Transition Report on Form 10-K [ ] Transition Report on Form 10-Q
[ ] Transition Report on Form 20-F [ ] Transition Report on Form N-SAR
[ ] Transition Report on Form 11-K
For the Transition Period Ended:
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Nothing in this form shall be construed to imply that the Commission
has verified any information contained herein.
If the notification relates to a portion of the filing checked above,
identify the Item(s) to which the notification relates:
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PART I. REGISTRANT INFORMATION
Full name of registrant: Navidec, Inc.
Former name if applicable
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Address of principal executive office (Street and number)
Fiddler's Green Center, 6399 Fiddler's Green Circle, Suite 300
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City, State and Zip Code Greenwood Village, Colorado 80111
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PART II. RULE 12b-25 (b) AND (c)
If the subject report could not be filed without unreasonable effort or
expense and the registrant seeks relief pursuant to Rule 12b-25(b), the
following should be completed. (Check boxes if appropriate.)
[X] (a) The reasons described in reasonable detail in Part III of this
form could not be eliminated without unreasonable effort or
expense;
[X] (b) The subject annual report, semi-annual report, transition
report on Form 10-K, 20-F, 11-K or Form N-SAR, or portion
thereof will be filed on or before the 15th calendar day
following the prescribed due date; or the subject quarterly
report or transition report on Form 10-Q, or portion thereof
will be filed on or before the fifth calendar day following
the prescribed due date; and
[ ] (c) The accountant's statement or other exhibit required by Rule
12b-25(c) has been attached if applicable.
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PART III. NARRATIVE
State below in reasonable detail the reasons why Form 10-K, 11-K, 20-F,
10-Q, N-SAR or the transition report portion thereof could not be filed within
the prescribed time period. (Attach extra sheets if needed.)
The Company is in the process of completing its audited financial
statements for the year ended December 31, 1999. The Company has been delayed in
completing such financial statements as a result of significant business
transactions that have diverted the attention of the Company's senior
management. The Company intends to file the Form 10-K promptly after such
financial statements are finalized, and in any event by April 14, 1999.
PART IV. OTHER INFORMATION
(1) Name and telephone number of person to contact in regard to this
notification
Patrick R. Mawhinney (303) 222-1000
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(Name) (Area code) (Telephone number)
(2) Have all other periodic reports required under Section 13 or 15(d)
of the Securities Exchange Act of 1934 or Section 30 of the Investment Company
Act of 1940 during the preceding 12 months or for such shorter period that the
registrant was required to file such report(s) been filed? If the answer is no,
identify report(s).
[X] Yes [ ] No
(3) Is it anticipated that any significant change in results of
operations from the corresponding period for the last fiscal year will be
reflected by the earnings statements to be included in the subject report or
portion thereof?
[X] Yes [ ] No
If so: attach an explanation of the anticipated change, both
narratively and quantitatively, and, if appropriate, state the reasons why a
reasonable estimate of the results cannot be made.
Subject to completion of its audited financial statement, the Company's
results from operations for the year ended December 31, 1999 will vary from the
year ended December 31, 1999 as follows:
Revenue for 1999 increased approximately 126.3% over 1998 revenues,
from $8.6 million to approximately $19.4 million. The increase was
primarily a result of increased sales by our e-solutions and online
automotive solutions (DriveOff.com) divisions. E-solutions revenue
increased approximately 16.1% over 1998 revenue, from $5.4 million to
approximately $14.1 million. Online automotive solutions revenue
increased approximately 251.4% over 1998 revenue, from $939,000 to
approximately $3.3 million. The increase in those two areas was
primarily due to increased customer demand and marketing activities.
Product distribution revenue decreased approximately $300,000 or
approximately 13.6%, from $2.2 million in 1998 to approximately $1.9
million in 1999. The decrease in revenues was due to our decision to
discontinue distribution of certain less profitable products.
Gross profit increased approximately $5.9 million, or approximately
220.3%, from $2.7 million in 1998 to approximately $8.6 million in
1999. As a percentage of revenue, gross profit increased from 31.4% to
approximately 44.4%. The increase in our gross margin was a result of
increased revenue in e-solutions and online automotive solutions.
Online automotive solutions had a gross margin of approximately 79.7%
in 1999, while our e-solutions division had a gross margin of
approximately 38.7% and our products distribution division had gross
margin of approximately 26.2% for the same period.
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Product development costs increased approximately $866,000, or
approximately 47.2%, from $1.8 million in 1998 to approximately $2.7
million in 1999. As a percentage of revenue, product development costs
decreased from 21.4% to approximately 13.9% in 1999.
General and administrative expenses increased approximately $2.4
million, or approximately 69.4%, from $3.5 million in 1998 to
approximately $5.9 million in 1999. As a percentage of revenue, general
and administrative expenses decreased from 40.7% in 1998 to
approximately 30.5% in 1999. The increase in expenses was primarily due
to increased personnel expenses and increased overhead expenses related
to the increased personnel 1999.
Selling and marketing expenses increased approximately $6.9 million
from $921,000, or 10.8% of revenue, in 1998 to approximately $7.9
million. As a percentage of revenue, selling and marketing expenses
increased from 10.8% to approximately 40.8% of revenue in 1998 and 1999
respectively. This increase was primarily due to increased marketing
activities related to expansion of e-solutions and marketing for
DriveOff.com.
Net interest income for 1999 increased approximately 193.0% over 1998
net interest expense, from interest expense of $414,000 to interest
income of approximately $385,000. This increase was a result of
interest income earned on the proceeds of a private offering completed
in September 1999 and a public secondary offering completed in October
1999.
The Company expects to record a net loss for the year ended December
31, 1999 of approximately $7.5 million, or an approximately $1.01 loss
per share on weighted average shares outstanding of 7,486,000. This
compared to a net loss of $3.9 million, or a $1.10 loss per share on
weighted average shares outstanding of 3,578,000 for the same period in
1998.
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NAVDEC, INC.
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(Name of registrant as specified in charter)
Has caused this notification to be signed on its behalf by the undersigned
thereunto duly authorized.
Date: March 30, 2000 By: /s/ Kenneth P. Bero
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Kenneth P. Bero, Chief Operating Officer
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