Carbonite, Inc. (NASDAQ: CARB), a global leader in data protection,
today announced financial results for the first quarter ended March 31,
2019.
First Quarter 2019 Highlights:
-
Revenue of $81.2 million increased 27% year-over-year.
-
Non-GAAP revenue of $83.0 million increased 28% year-over-year.1
-
Net income was $2.0 million, compared to net income of $11.9 million
in 2018.
-
Net income per share was $0.06 (basic and diluted), as compared to
$0.42 (basic) and $0.40 (diluted) in 2018.
-
Non-GAAP net income per share was $0.45 (basic) and $0.44 (diluted),
as compared to $0.29 (basic) and $0.27 (diluted) in 2018.2
-
Adjusted EBITDA of $24.9 million, or 30% of non-GAAP revenue, compared
to $12.3 million, or 19% of non-GAAP revenue in 2018.3
“We had a good first quarter and a strong start to 2019, with first
quarter revenue and adjusted EBITDA above the high-end of our guidance,”
said Mohamad Ali, CEO of Carbonite. “We are excited to have closed the
Webroot acquisition as planned and started the integration process.
Together, these leading solutions will provide robust protection of
data, devices and networks for our partners and customers."
The Company uses a variety of operational and financial metrics,
including non-GAAP financial measures, to evaluate its performance and
financial condition. The accompanying financial data includes additional
information regarding these metrics and a reconciliation of non-GAAP
financial information to GAAP. The presentation of non-GAAP financial
information should not be considered in isolation or as a substitute
for, or superior to, the financial information prepared and presented in
accordance with GAAP.
First Quarter 2019 Results:
-
Revenue for the first quarter was $81.2 million, an increase of 27%
from $64.0 million in the first quarter of 2018. Non-GAAP revenue for
the first quarter was $83.0 million, an increase of 28% from $64.9
million in the first quarter of 2018.1
-
Net income for the first quarter was $2.0 million, compared to net
income of $11.9 million in the first quarter of 2018. Non-GAAP net
income for the first quarter was $15.4 million, compared to non-GAAP
net income of $8.1 million in the first quarter of 2018.2
-
Net income per share for the first quarter was $0.06 (basic and
diluted), compared to net income per share of $0.42 (basic) and $0.40
(diluted) in the first quarter of 2018. Non-GAAP net income per share
was $0.45 (basic) and $0.44 (diluted) for the first quarter, compared
to non-GAAP net income per share of $0.29 (basic) and $0.27 (diluted)
in the first quarter of 2018.2
-
Adjusted EBITDA for the first quarter was $24.9 million, compared to
$12.3 million in the first quarter of 2018.3
-
Gross margin for the first quarter was 74.4%, compared to 71.4% in the
first quarter of 2018. Non-GAAP gross margin was 79.5% in the first
quarter, compared to 76.1% in the first quarter of 2018.4
-
Cash flow from operations for the first quarter was $18.7 million,
compared to $3.3 million in the first quarter of 2018. Adjusted free
cash flow for the first quarter was $19.7 million, compared to $2.4
million in the first quarter of 2018.5
1 Non-GAAP revenue excludes the impact of purchase accounting
adjustments for acquisitions.
2 Non-GAAP net income and
non-GAAP net income per share excludes the impact of purchase accounting
adjustments on acquired deferred revenue, amortization expense on
intangible assets, stock-based compensation expense, litigation-related
expense, restructuring-related expense, acquisition-related expense,
non-cash convertible debt interest expense and the income tax effect of
non-GAAP adjustments.
3 Adjusted EBITDA is calculated by
excluding the impact of interest expense, net, income taxes,
depreciation, amortization, purchase accounting adjustments on acquired
deferred revenue, stock-based compensation expense, litigation-related
expense, restructuring-related expense, and acquisition-related expense
from net income (loss).
4 Non-GAAP gross margin excludes
the impact of purchase accounting adjustments on acquired deferred
revenue, amortization expense on intangible assets, stock-based
compensation expense, and acquisition-related expense.
5
Adjusted free cash flow is calculated by subtracting the cash paid for
the purchase of property and equipment and adding the payments related
to acquisitions, restructuring, and litigation to net cash provided by
operating activities.
Business Outlook
Based on the information available as of May 2, 2019, Carbonite expects
the following for the second quarter and full year of 2019:
|
|
|
|
|
Second Quarter 2019:
|
|
|
|
|
|
|
|
|
|
Current Guidance
(5/2/2019)
|
|
GAAP Revenue
|
|
$119 - $123 million
|
|
Non-GAAP Revenue
|
|
$133 - $137 million
|
|
Adjusted EBITDA
|
|
$34 - $36 million
|
|
|
|
|
|
|
|
|
|
Full Year 2019:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Prior Guidance
(2/7/2019)
|
|
|
|
Current Guidance
(5/2/2019)
|
|
GAAP Revenue
|
|
$468 - $482 million
|
|
|
|
$457 - $471 million
|
|
Non-GAAP Revenue
|
|
$488 - $502 million
|
|
|
|
$491 - $505 million
|
|
Non-GAAP Gross Margin
|
|
80.5% - 81.5%
|
|
|
|
80.5% - 81.5%
|
|
Adjusted EBITDA
|
|
$129 - $134 million
|
|
|
|
$132 - $137 million
|
Carbonite’s expectations of adjusted EBITDA for the second quarter and
full year of 2019 excludes the impact of interest expense, net, income
taxes, depreciation, amortization, purchase accounting adjustments on
acquired deferred revenue, stock-based compensation expense,
litigation-related expense, restructuring-related expense and
acquisition-related expense from net income (loss).
The Company is assuming an effective annual tax rate of 22% and 35.8
million shares outstanding for the full year of 2019.
Conference Call and Webcast Information
Carbonite will host a conference call on Thursday, May 2, 2019 at 5:30
p.m. ET to review these results. This call will be webcast live and can
be found in the investor relations section of the Company's website at http://investor.carbonite.com.
The conference call can also be accessed by dialing (877) 303-1393 in
the United States or (315) 625-3228 internationally with the passcode:
5474657.
Following the completion of the call, a recorded replay will be
available on the Company’s website, http://investor.carbonite.com,
under “Events & Presentations”.
Non-GAAP Financial Measures
To supplement our consolidated financial statements presented in
accordance with GAAP, this press release contains non-GAAP financial
measures, including non-GAAP revenue, non-GAAP gross margin, non-GAAP
net income and non-GAAP net income per share, non-GAAP operating
expense, adjusted EBITDA and adjusted free cash flow.
The Company believes that these non-GAAP measures of financial results
provide useful information to management and investors regarding certain
financial and business trends relating to the Company’s financial
condition and ordinary results of operations. The Company’s management
uses these non-GAAP measures to compare the Company’s performance to
that of prior periods and uses these measures in financial reports
prepared for management and the Company’s board of directors. The
Company believes that the use of these non-GAAP financial measures
provides an additional tool for investors to use in evaluating ongoing
operating results and trends and in comparing the Company’s financial
measures with other software-as-a-service companies, many of which
present similar non-GAAP financial measures to investors.
The Company does not consider these non-GAAP measures in isolation or as
an alternative to financial measures determined in accordance with
GAAP. The principal limitation of these non-GAAP financial measures is
that they exclude significant items that are required by GAAP to be
recorded in the Company’s financial statements. In addition, they are
subject to inherent limitations as they reflect the exercise of
judgments by management. The Company urges investors to review the
reconciliation of its non-GAAP financial measures to the comparable GAAP
financial measures provided in the tables at the end of this press
release, and not to rely on any single financial measure to evaluate the
Company’s business.
With respect to our expectations under "Business Outlook" above, the
Company has not reconciled non-GAAP gross margin to gross margin or
adjusted EBITDA to net income (loss) in this press release because we do
not provide guidance for amortization expense on intangible assets,
depreciation expense, stock-based compensation expense,
litigation-related expense, income tax expense, restructuring-related
expense, interest expense, and acquisition-related expense as we are
unable to quantify certain of these amounts that would be required to be
included in the GAAP measure without unreasonable efforts. In addition,
the Company believes such reconciliations would imply a degree of
precision that would be confusing or misleading to investors.
Cautionary Language Concerning Forward-Looking Statements
Certain matters discussed in this press release, including under
“Business Outlook,” have "forward-looking statements" intended to
qualify for the safe harbor from liability established by the Private
Securities Litigation Reform Act of 1995. These forward-looking
statements may generally be identified as such because the context of
such statements will include words such as "anticipate," "believe,"
"could," "estimate," "expect," "intend," "may," "plan," "potential,"
"predict," "project," "should," "will," "would" or words of similar
import. Similarly, statements that describe the Company's future plans,
objectives or goals are also forward-looking statements. Such
forward-looking statements are subject to risks, uncertainties and other
important factors that could cause actual results and the timing of
certain events to differ materially from future results expressed or
implied by such forward-looking statements. Factors that could cause or
contribute to such differences include, but are not limited to, our
ability to integrate the Webroot acquisition and other acquisitions into
our operations and achieve the expected operational and financial
benefits of such acquisitions and the timing of such benefits, our
ability to profitably attract new customers and retain existing
customers, our dependence on the market for cloud backup services, our
ability to manage growth, changes in economic or regulatory conditions
or other trends affecting the Internet and the information technology
industry, and those discussed in the section titled "Risk Factors" in
our Annual Report on Form 10-K for the fiscal year ended December 31,
2018 filed with the Securities and Exchange Commission (the "SEC"),
which is available on www.sec.gov,
and elsewhere in any subsequent periodic or current reports filed by us
with the SEC. Except as required by applicable law, we do not undertake
any obligation to update our forward-looking statements to reflect
future events, new information or circumstances.
About Carbonite
Carbonite provides a robust Data Protection Platform for businesses,
including backup, disaster recovery, high availability and workload
migration technology. The Carbonite Data Protection Platform supports
businesses on a global scale with secure cloud infrastructure. To learn
more, visit www.carbonite.com and
follow us on Twitter at @Carbonite.
Carbonite, Inc. serves customers through three brands: Carbonite data
protection, Webroot cybersecurity, and MailStore email archiving.
|
|
|
|
|
Carbonite, Inc.
Consolidated Statement of Operations
(unaudited)
(In thousands, except share and per share amounts)
|
|
|
|
|
|
|
|
Three Months Ended
March 31,
|
|
|
|
2019
|
|
2018
|
|
Revenue:
|
|
|
|
|
|
Services
|
|
$
|
71,503
|
|
|
$
|
54,574
|
|
|
Product
|
|
9,712
|
|
|
9,452
|
|
|
Total revenue
|
|
81,215
|
|
|
64,026
|
|
|
Cost of revenue:
|
|
|
|
|
|
Services
|
|
17,102
|
|
|
15,330
|
|
|
Product
|
|
383
|
|
|
557
|
|
|
Amortization of intangible assets
|
|
3,294
|
|
|
2,425
|
|
|
Total cost of revenue
|
|
20,779
|
|
|
18,312
|
|
|
Gross profit
|
|
60,436
|
|
|
45,714
|
|
|
Operating expenses:
|
|
|
|
|
|
Research and development
|
|
15,807
|
|
|
12,519
|
|
|
General and administrative
|
|
20,989
|
|
|
14,460
|
|
|
Sales and marketing
|
|
21,765
|
|
|
19,860
|
|
|
Amortization of intangible assets
|
|
4,300
|
|
|
939
|
|
|
Restructuring charges
|
|
—
|
|
|
862
|
|
|
Total operating expenses
|
|
62,861
|
|
|
48,640
|
|
|
Loss from operations
|
|
(2,425
|
)
|
|
(2,926
|
)
|
|
Interest expense
|
|
(4,011
|
)
|
|
(2,601
|
)
|
|
Interest income
|
|
965
|
|
|
244
|
|
|
Other income (expense), net
|
|
212
|
|
|
12
|
|
|
Loss before income taxes
|
|
(5,259
|
)
|
|
(5,271
|
)
|
|
Benefit for income taxes
|
|
(7,262
|
)
|
|
(17,215
|
)
|
|
Net income
|
|
$
|
2,003
|
|
|
$
|
11,944
|
|
|
Net income per share:
|
|
|
|
|
|
Basic
|
|
$
|
0.06
|
|
|
$
|
0.42
|
|
|
Diluted
|
|
$
|
0.06
|
|
|
$
|
0.40
|
|
|
Weighted-average shares outstanding:
|
|
|
|
|
|
Basic
|
|
34,164,957
|
|
|
28,341,633
|
|
|
Diluted
|
|
35,294,015
|
|
|
30,043,783
|
|
|
|
|
|
|
|
|
Carbonite, Inc.
Consolidated Balance Sheets (unaudited)
(In
thousands)
|
|
|
|
|
|
|
|
|
|
March 31, 2019
|
|
December 31, 2018
|
|
Assets
|
|
|
|
|
|
Current assets
|
|
|
|
|
|
Cash and cash equivalents
|
|
$
|
252,602
|
|
|
$
|
198,087
|
|
|
Trade accounts receivable, net
|
|
50,501
|
|
|
31,569
|
|
|
Prepaid expenses and other current assets
|
|
30,742
|
|
|
10,409
|
|
|
Total current assets
|
|
333,845
|
|
|
240,065
|
|
|
Property and equipment, net
|
|
45,446
|
|
|
34,101
|
|
|
Right-of-use lease assets
|
|
55,204
|
|
|
—
|
|
|
Other assets
|
|
26,273
|
|
|
13,876
|
|
|
Acquired intangible assets, net
|
|
430,297
|
|
|
117,963
|
|
|
Goodwill
|
|
541,230
|
|
|
155,086
|
|
|
Total assets
|
|
$
|
1,432,295
|
|
|
$
|
561,091
|
|
|
Liabilities and Stockholders’ Equity
|
|
|
|
|
|
Current liabilities
|
|
|
|
|
|
Accounts payable
|
|
$
|
4,942
|
|
|
$
|
2,114
|
|
|
Accrued compensation
|
|
154,145
|
|
|
11,620
|
|
|
Accrued expenses and other current liabilities
|
|
47,583
|
|
|
15,844
|
|
|
Current portion of deferred revenue
|
|
172,432
|
|
|
121,553
|
|
|
Total current liabilities
|
|
379,102
|
|
|
151,131
|
|
|
Long-term debt
|
|
645,371
|
|
|
118,305
|
|
|
Long-term lease liabilities
|
|
51,798
|
|
|
—
|
|
|
Deferred revenue, net of current portion
|
|
42,418
|
|
|
29,151
|
|
|
Other long-term liabilities
|
|
50,423
|
|
|
5,294
|
|
|
Total liabilities
|
|
1,169,112
|
|
|
303,881
|
|
|
Stockholders’ equity
|
|
|
|
|
|
Common stock
|
|
372
|
|
|
366
|
|
|
Additional paid-in capital
|
|
455,971
|
|
|
451,618
|
|
|
Treasury stock, at cost
|
|
(49,276
|
)
|
|
(48,522
|
)
|
|
Accumulated other comprehensive income
|
|
2,015
|
|
|
1,650
|
|
|
Accumulated deficit
|
|
(145,899
|
)
|
|
(147,902
|
)
|
|
Total stockholders’ equity
|
|
263,183
|
|
|
257,210
|
|
|
Total liabilities and stockholders’ equity
|
|
$
|
1,432,295
|
|
|
$
|
561,091
|
|
|
|
|
|
|
Carbonite, Inc.
Consolidated Statement of Cash Flows
(unaudited)
(In thousands)
|
|
|
|
|
|
|
|
Three Months Ended
March 31,
|
|
|
|
2019
|
|
2018
|
|
Operating activities
|
|
|
|
|
|
Net income
|
|
$
|
2,003
|
|
|
$
|
11,944
|
|
|
Adjustments to reconcile net income to net cash provided by
operating activities:
|
|
|
|
|
|
Depreciation and amortization
|
|
11,149
|
|
|
6,077
|
|
|
Amortization of right-of-use lease assets
|
|
1,291
|
|
|
—
|
|
|
Amortization of deferred costs
|
|
647
|
|
|
424
|
|
|
(Gain) loss on disposal of equipment
|
|
(36
|
)
|
|
58
|
|
|
Impairment of capitalized software
|
|
—
|
|
|
653
|
|
|
Stock-based compensation expense
|
|
4,205
|
|
|
3,737
|
|
|
Benefit for deferred income taxes
|
|
(7,318
|
)
|
|
(17,662
|
)
|
|
Non-cash interest expense related to amortization of debt discount
|
|
1,712
|
|
|
1,543
|
|
|
Other non-cash items, net
|
|
1
|
|
|
66
|
|
|
Changes in assets and liabilities, net of acquisition:
|
|
|
|
|
|
Accounts receivable
|
|
(356
|
)
|
|
(4,616
|
)
|
|
Prepaid expenses and other current assets
|
|
(5,430
|
)
|
|
86
|
|
|
Other assets
|
|
123
|
|
|
(2,211
|
)
|
|
Accounts payable
|
|
(870
|
)
|
|
(4,214
|
)
|
|
Accrued expenses and other current liabilities
|
|
7,349
|
|
|
3,016
|
|
|
Other long-term liabilities
|
|
(1,388
|
)
|
|
252
|
|
|
Deferred revenue
|
|
5,662
|
|
|
4,138
|
|
|
Net cash provided by operating activities
|
|
18,744
|
|
|
3,291
|
|
|
Investing activities
|
|
|
|
|
|
Purchases of property and equipment
|
|
(2,758
|
)
|
|
(3,288
|
)
|
|
Proceeds from sale of property and equipment and businesses
|
|
51
|
|
|
330
|
|
|
Proceeds from maturities of derivatives
|
|
6
|
|
|
—
|
|
|
Purchases of derivatives
|
|
(6
|
)
|
|
(1,403
|
)
|
|
Payment for intangibles
|
|
—
|
|
|
(1,250
|
)
|
|
Payment for acquisition, net of cash acquired1
|
|
(489,640
|
)
|
|
(144,603
|
)
|
|
Net cash used in investing activities
|
|
(492,347
|
)
|
|
(150,214
|
)
|
|
Financing activities
|
|
|
|
|
|
Proceeds from exercise of stock options
|
|
130
|
|
|
726
|
|
|
Payments of withholding taxes in connection with restricted stock
unit vesting
|
|
(754
|
)
|
|
(550
|
)
|
|
Proceeds from long-term borrowings, net of debt issuance costs
|
|
531,893
|
|
|
88,984
|
|
|
Net cash provided by financing activities
|
|
531,269
|
|
|
89,160
|
|
|
Effect of currency exchange rate changes on cash
|
|
(463
|
)
|
|
541
|
|
|
Net increase (decrease) in cash, cash equivalents and restricted cash
|
|
57,203
|
|
|
(57,222
|
)
|
|
Cash, cash equivalents and restricted cash, beginning of period
|
|
198,087
|
|
|
128,231
|
|
|
Cash, cash equivalents and restricted cash, end of period1
|
|
$
|
255,290
|
|
|
$
|
71,009
|
|
(1) The payment for acquisition is net of $126.9 million of cash
acquired, which includes $2.7 million of restricted cash that is
included in the other assets section of the consolidated balance sheet.
|
|
|
|
|
|
|
Carbonite, Inc.
Reconciliation of GAAP to Non-GAAP Measures
(unaudited)
(In thousands, except share and per share amounts)
|
|
|
|
|
|
|
|
Reconciliation of GAAP Revenue to Non-GAAP
Revenue
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
March 31,
|
|
|
|
|
|
2019
|
|
2018
|
|
GAAP revenue
|
|
|
|
$
|
81,215
|
|
|
$
|
64,026
|
|
Add:
|
|
|
|
|
|
|
|
Fair value adjustment of acquired deferred revenue
|
|
|
|
1,753
|
|
|
882
|
|
Non-GAAP revenue
|
|
|
|
$
|
82,968
|
|
|
$
|
64,908
|
|
|
|
|
|
|
|
Reconciliation of GAAP Gross Margin to
Non-GAAP Gross Margin
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
March 31,
|
|
|
|
|
|
2019
|
|
2018
|
|
Gross profit
|
|
|
|
$
|
60,436
|
|
|
$
|
45,714
|
|
|
Gross margin
|
|
|
|
74.4
|
%
|
|
71.4
|
%
|
|
Add:
|
|
|
|
|
|
|
|
Fair value adjustment of acquired deferred revenue
|
|
|
|
1,753
|
|
|
882
|
|
|
Amortization of intangibles
|
|
|
|
3,294
|
|
|
2,425
|
|
|
Stock-based compensation expense
|
|
|
|
424
|
|
|
325
|
|
|
Acquisition-related expense
|
|
|
|
14
|
|
|
54
|
|
|
Non-GAAP gross profit
|
|
|
|
$
|
65,921
|
|
|
$
|
49,400
|
|
|
Non-GAAP gross margin
|
|
|
|
79.5
|
%
|
|
76.1
|
%
|
|
|
|
|
|
Reconciliation of GAAP Net Income and Net
Income per Share to Non-GAAP Net Income and Net Income per Share
|
|
|
|
|
|
|
|
Three Months Ended
March 31,
|
|
|
|
2019
|
|
2018
|
|
GAAP net income
|
|
$
|
2,003
|
|
|
$
|
11,944
|
|
Add:
|
|
|
|
|
|
Fair value adjustment of acquired deferred revenue
|
|
1,753
|
|
|
882
|
|
Amortization of intangibles
|
|
7,594
|
|
|
3,364
|
|
Stock-based compensation expense
|
|
4,205
|
|
|
3,737
|
|
Litigation-related expense
|
|
98
|
|
|
17
|
|
Restructuring-related expense
|
|
—
|
|
|
862
|
|
Acquisition-related expense
|
|
9,863
|
|
|
3,620
|
|
Non-cash debt interest expense
|
|
1,712
|
|
|
1,543
|
|
Less:
|
|
|
|
|
|
Income tax effect of non-GAAP adjustments
|
|
11,791
|
|
|
17,845
|
|
Non-GAAP net income
|
|
$
|
15,437
|
|
|
$
|
8,124
|
|
GAAP net income per share:
|
|
|
|
|
|
Basic
|
|
$
|
0.06
|
|
|
$
|
0.42
|
|
Diluted
|
|
$
|
0.06
|
|
|
$
|
0.40
|
|
Non-GAAP net income per share:
|
|
|
|
|
|
Basic
|
|
$
|
0.45
|
|
|
$
|
0.29
|
|
Diluted
|
|
$
|
0.44
|
|
|
$
|
0.27
|
|
GAAP weighted-average shares outstanding:
|
|
|
|
|
|
Basic
|
|
34,164,957
|
|
|
28,341,633
|
|
Diluted
|
|
35,294,015
|
|
|
30,043,783
|
|
Non-GAAP weighted-average shares outstanding:
|
|
|
|
|
|
Basic
|
|
34,164,957
|
|
|
28,341,633
|
|
Diluted
|
|
35,294,015
|
|
|
30,043,783
|
|
|
|
|
|
Reconciliation of GAAP Operating Expense to
Non-GAAP Operating Expense
|
|
|
|
|
|
|
|
Three Months Ended
March 31,
|
|
|
|
2019
|
|
2018
|
|
Research and development
|
|
$
|
15,807
|
|
|
$
|
12,519
|
|
Less:
|
|
|
|
|
|
Stock-based compensation expense
|
|
946
|
|
|
687
|
|
Acquisition-related expense
|
|
83
|
|
|
35
|
|
Non-GAAP research and development
|
|
$
|
14,778
|
|
|
$
|
11,797
|
|
|
|
|
|
|
|
General and administrative
|
|
$
|
20,989
|
|
|
$
|
14,460
|
|
Less:
|
|
|
|
|
|
Stock-based compensation expense
|
|
1,958
|
|
|
2,124
|
|
Litigation-related expense
|
|
98
|
|
|
17
|
|
Acquisition-related expense
|
|
9,478
|
|
|
3,490
|
|
Non-GAAP general and administrative
|
|
$
|
9,455
|
|
|
$
|
8,829
|
|
|
|
|
|
|
|
Sales and marketing
|
|
$
|
21,765
|
|
|
$
|
19,860
|
|
Less:
|
|
|
|
|
|
Stock-based compensation expense
|
|
877
|
|
|
601
|
|
Acquisition-related expense
|
|
288
|
|
|
41
|
|
Non-GAAP sales and marketing
|
|
$
|
20,600
|
|
|
$
|
19,218
|
|
|
|
|
|
|
|
Amortization of intangible assets
|
|
$
|
4,300
|
|
|
$
|
939
|
|
Less:
|
|
|
|
|
|
Amortization of intangible assets
|
|
4,300
|
|
|
939
|
|
Non-GAAP amortization of intangible assets
|
|
$
|
—
|
|
|
$
|
—
|
|
|
|
|
|
|
|
Restructuring charges
|
|
$
|
—
|
|
|
$
|
862
|
|
Less:
|
|
|
|
|
|
Restructuring-related expense
|
|
—
|
|
|
862
|
|
Non-GAAP restructuring charges
|
|
$
|
—
|
|
|
$
|
—
|
|
|
|
|
|
Calculation of Adjusted Free Cash Flow
|
|
|
|
|
|
|
|
Three Months Ended
March 31,
|
|
|
|
2019
|
|
2018
|
|
Net cash provided by operating activities
|
|
$
|
18,744
|
|
|
$
|
3,291
|
|
Subtract:
|
|
|
|
|
|
Purchases of property and equipment
|
|
2,758
|
|
|
3,288
|
|
Free cash flow
|
|
15,986
|
|
|
3
|
|
|
|
|
|
|
|
Add:
|
|
|
|
|
|
Acquisition-related payments
|
|
3,685
|
|
|
1,647
|
|
Restructuring-related payments
|
|
—
|
|
|
665
|
|
Litigation-related payments
|
|
—
|
|
|
127
|
|
Adjusted free cash flow
|
|
$
|
19,671
|
|
|
$
|
2,442
|
|
|
|
|
|
|
|
Reconciliation of EBITDA and Adjusted EBITDA
to Net Income
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
March 31,
|
|
|
|
|
|
2019
|
|
2018
|
|
Net income
|
|
|
|
$
|
2,003
|
|
|
$
|
11,944
|
|
|
Adjustments:
|
|
|
|
|
|
|
|
Interest expense, net
|
|
|
|
3,046
|
|
|
2,357
|
|
|
Income tax benefit
|
|
|
|
(7,262
|
)
|
|
(17,215
|
)
|
|
Depreciation and amortization
|
|
|
|
11,149
|
|
|
6,077
|
|
|
EBITDA
|
|
|
|
8,936
|
|
|
3,163
|
|
|
|
|
|
|
|
|
|
|
Adjustments to EBITDA:
|
|
|
|
|
|
|
|
Fair value adjustment of acquired deferred revenue
|
|
|
|
1,753
|
|
|
882
|
|
|
Stock-based compensation expense
|
|
|
|
4,205
|
|
|
3,737
|
|
|
Litigation-related expense
|
|
|
|
98
|
|
|
17
|
|
|
Restructuring-related expense
|
|
|
|
—
|
|
|
862
|
|
|
Acquisition-related expense
|
|
|
|
9,863
|
|
|
3,620
|
|
|
Adjusted EBITDA
|
|
|
|
$
|
24,855
|
|
|
$
|
12,281
|
|
View source version on businesswire.com: https://www.businesswire.com/news/home/20190502005892/en/
Copyright Business Wire 2019