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Pegasystems Announces Financial Results for Third Quarter and Nine Months of 2014(Marketwire Via Acquire Media NewsEdge) CAMBRIDGE, MA -- (Marketwired) -- 11/04/14 -- Pegasystems Inc. (NASDAQ: PEGA), the software company powering the digital enterprise, today announced results for its third quarter and nine months ended September 30, 2014. "Our year-to-date results are very solid and reflect the increasing benefits Pega clients are achieving through the use of our technology. For the quarter, we achieved license revenue growth of 8% over last year's exceptional Q3 2013 results, bringing the first three quarters' license revenue to $155 million, or a 21% increase over last year," said Alan Trefler, Founder and CEO of Pegasystems. "This continues what has been a strong performance this year for Pegasystems, and we continue to see significant growth opportunities." "Our business growth is benefiting from customers looking to drive strategic digital transformation initiatives, as well as from those taking pragmatic steps to improve their customer engagement and simplify their operations," said Mr. Trefler. "This quarter, we made significant progress incorporating the technologies we acquired earlier this year to provide more robust product offerings to meet our customers' evolving needs." SELECTED GAAP & NON-GAAP RESULTS (1) Three Months Ended September 30, % Increase ----------------------------------- 2014 2014 2013 2013 (Decrease) -------------- ($ in '000s) Non- GAAP Non-GAAP GAAP Non-GAAP GAAP GAAP -------- -------- -------- -------- ------ ------ Total Revenue $137,631 $138,307 $122,011 $122,011 13% 13% License Revenue $ 48,292 $ 48,814 $ 44,802 $ 44,802 8% 9% Net Income $ 1,882 $ 8,368 $ 8,710 $ 12,951 (78%) (35%) Diluted Earnings per share (2) $ 0.02 $ 0.11 $ 0.11 $ 0.17 (82%) (35%) Nine Months Ended September 30, % Increase ----------------------------------- 2014 2014 2013 2013 (Decrease) -------------- ($ in '000s) Non- GAAP Non-GAAP GAAP Non-GAAP GAAP GAAP -------- -------- -------- -------- ------ ------ Total Revenue $421,080 $424,398 $355,572 $355,572 18% 19% License Revenue $154,918 $156,483 $128,217 $128,217 21% 22% Net Income $ 13,151 $ 32,063 $ 22,482 $ 34,384 (42%) (7%) Diluted Earnings per share (2) $ 0.17 $ 0.41 $ 0.29 $ 0.44 (41%) (7%) (1) See a reconciliation of our GAAP to Non-GAAP measures contained in the financial schedules at the end of this release. (2) The number of common shares and per share amounts have been retroactively restated for all prior periods to reflect the Company's two-for-one common stock split effected in the form of a common stock dividend distributed on April 1, 2014. Cash: Total cash, cash equivalents, and marketable securities at the end of the quarter was $228.6 million, up 46% from 2013 year-end. Cash generated from operations for the nine months of 2014 was $98.3 million, an increase of 18% on a year-over-year basis. Free Cash Flow, which we define as operating cash flow less Cap Ex, was $92.5 million, an increase of 17% on a year-over-year basis. License and Cloud Backlog: The Company computes license backlog by adding billed deferred license and cloud revenue and off-balance sheet license and cloud commitments, which is business that is contracted, unbilled and not recorded on the Company's balance sheet. License and Cloud Backlog (1) September 30, ($ in millions) 2014 2013 Increase ---------- ---------- ---------- Total billed deferred license and cloud revenue 68.6 34.6 98% Total off-balance sheet license and cloud commitments 265.3 248.4 7% TOTAL LICENSE AND CLOUD BACKLOG 333.9 283.0 18% (1) See historical license backlog amounts including cloud in a separate schedule at the end of this release. "We are pleased with our results for the first three quarters of 2014," said Rafe Brown, Pegasystems CFO. "In particular, it has been encouraging that our year-to-date performance has been driven by a high level of expansion within our existing clients, further evidence of the value they have found with Pega." Quarterly Conference Call Pegasystems will host a conference call and live Webcast associated with this announcement at 5:00 p.m. EST today. A live audio webcast of the conference call, together with detailed financial information, can be accessed through the Company's Web site at www.pega.com/about-us/investors. Dial-in information is as follows: 1-877-407-3982 (domestic) or 1-201-493-6780 (international). To listen to the Webcast log onto www.pega.com at least 5 minutes prior to the event's broadcast and click on the Webcast icon in the Investors section. A replay of the call will also be available on www.pega.com in the Investors section Audio Archives link. Discussion of Non-GAAP Financial Measures: To supplement financial results presented in accordance with Generally Accepted Accounting Principles in the U.S. ("GAAP"), the Company provides non-GAAP measures, including in this release. Pegasystems' management utilizes a number of different financial measures, both GAAP and non-GAAP, in analyzing and assessing the overall performance of the business, for making operating decisions, and for forecasting and planning for future periods. The Company's annual financial plan is prepared both on a GAAP and non-GAAP basis, and both are approved by our board of directors. In addition and as a consequence of the importance of these measures in managing the business, the Company uses non-GAAP measures and financial performance results in the evaluation process to establish management's compensation. The non-GAAP measures exclude the effects of certain business combination accounting entries, stock-based compensation expense, amortization of acquired intangibles, acquisition-related costs, and restructuring expenses. The Company believes that these non-GAAP measures are helpful in understanding its past financial performance and its anticipated future results. These non-GAAP financial measures are not meant to be considered in isolation or as a substitute for comparable GAAP measures and should be read only in conjunction with the Company's consolidated financial statements prepared in accordance with GAAP. A reconciliation of the Company's GAAP to non-GAAP measures is included in the financial schedules at the end of this release. Forward-Looking Statements "Safe harbor" statement under the Private Securities Litigation Reform Act of 1995: Certain statements contained in this press release may be construed as "forward-looking statements" as defined in the Private Securities Litigation Reform Act of 1995. The words "anticipate," "project," "expect," "plan," "intend," "believe," "estimate," "should," "target," "forecast," "could," "preliminary," "guidance" and similar expressions, among others, identify forward-looking statements, which speak only as of the date the statement was made. These statements are based on current expectations and assumptions and involve various risks and uncertainties, which could cause the Company's actual results to differ from those expressed in such forward-looking statements. These risks and uncertainties include, among others, variation in demand for our products and services and the difficulty in predicting the completion of product acceptance and other factors affecting the timing of our license revenue recognition, the ongoing consolidation in the financial services and healthcare markets, reliance on third party relationships, the potential loss of vendor specific objective evidence for our professional services, the financial impact of the Antenna acquisition, and management of the Company's growth. Further information regarding these and other factors which could cause the Company's actual results to differ materially from any forward-looking statements contained in this press release is contained in the Company's Annual Report on Form 10-K for the year ended December 31, 2013 and other recent filings with the Securities and Exchange Commission. These documents are available on the Company's website at www.pega.com/about-us/investors/sec-filings. The forward-looking statements contained in this press release represent the Company's views as of November 4, 2014. Investors are cautioned not to place undue reliance on such forward-looking statements and there are no assurances that the matters contained in such statements will be achieved. Although subsequent events may cause the Company's view to change, the Company does not undertake and specifically disclaims any obligation to publicly update or revise these forward-looking statements whether as the result of new information, future events or otherwise. The statements should therefore not be relied upon as representing the Company's view as of any date subsequent to November 4, 2014. RSS Feeds for Pegasystems Press Releases, Pegasystems Media Coverage and Pegasystems Events About Pegasystems Pegasystems Build for Change® Platform is the heart of Better Business Software®. It delivers business agility and empowers leading organizations to rapidly close execution gaps and seize new opportunities. Pegasystems leverages its recognized leadership in Business Process Management (BPM), Multi-Channel Customer Relationship Management (CRM), Business Rules, and Adaptive Analytics to uniquely give its clients the power to engage customers, simplify operations and Build For Change®. For more information, please visit us at www.pega.com. All trademarks are the property of their respective owners. Pegasystems Inc. Unaudited Condensed Consolidated Statements of Operations (In thousands, except per share amounts) Three Months Ended Nine Months Ended September 30, September 30, 2014 2013 2014 2013 --------- --------- --------- --------- Revenue: Software license $ 48,292 $ 44,802 $ 154,918 $ 128,217 Maintenance 47,281 37,979 137,555 112,238 Services 42,058 39,230 128,607 115,117 --------- --------- --------- --------- Total revenue 137,631 122,011 421,080 355,572 --------- --------- --------- --------- Cost of revenue: Software license 1,076 1,592 3,832 4,751 Maintenance 5,385 3,599 15,093 11,106 Services 39,921 32,907 120,061 97,772 --------- --------- --------- --------- Total cost of revenue (1) 46,382 38,098 138,986 113,629 --------- --------- --------- --------- Gross profit 91,249 83,913 282,094 241,943 --------- --------- --------- --------- Operating expenses: Selling and marketing 48,623 42,663 150,772 127,279 Research and development 28,558 19,786 80,490 59,123 General and administrative 8,825 7,130 28,377 21,203 Acquisition-related 54 545 417 545 Restructuring 192 - 192 - --------- --------- --------- --------- Total operating expenses (1) 86,252 70,124 260,248 208,150 --------- --------- --------- --------- Income from operations 4,997 13,789 21,846 33,793 Foreign currency transaction (loss) gain (2,845) 661 (2,527) (1,666) Interest income, net 181 123 468 376 Other income (expense), net 19 (1,163) (507) (418) --------- --------- --------- --------- Income before provision for income taxes 2,352 13,410 19,280 32,085 Provision for income taxes 470 4,700 6,129 9,603 --------- --------- --------- --------- Net income $ 1,882 $ 8,710 $ 13,151 $ 22,482 ========= ========= ========= ========= Earnings per share (2): Basic $ 0.02 $ 0.11 $ 0.17 $ 0.30 ========= ========= ========= ========= Diluted $ 0.02 $ 0.11 $ 0.17 $ 0.29 ========= ========= ========= ========= Weighted-average number of common shares outstanding (2): Basic 76,351 75,910 76,312 75,900 Diluted 78,653 78,158 78,531 77,744 Dividends declared per share (2) $ 0.030 $ 0.015 $ 0.075 $ 0.045 ========= ========= ========= ========= (1) Includes stock-based compensation as follows: Cost of revenue $ 1,418 $ 947 $ 3,816 $ 3,134 Operating expenses $ 3,850 $ 2,053 $ 9,905 $ 6,579 (2) The number of common shares and per share amounts have been retroactively restated for all prior periods to reflect the Company's two- for-one common stock split effected in the form of a common stock dividend distributed on April 1, 2014 PEGASYSTEMS INC. RECONCILIATION OF SELECTED GAAP MEASURES TO NON-GAAP MEASURES (1) ($in thousands, except per share data) Three Months Ended September 30, --------------------------------------------------- 2014 2014 2013 GAAP Adj. Non-GAAP GAAP Adj. --------- ------- --------- --------- ------- TOTAL REVENUE $ 137,631 $ 676 $ 138,307 $ 122,011 $ - Software license 48,292 522 48,814 44,802 - Maintenance (2) 47,281 95 47,376 37,979 - Services (3) 42,058 59 42,117 39,230 - TOTAL COST OF REVENUE $ 46,382 $(2,800) $ 43,582 $ 38,098 $(2,487) Amortization of intangible assets (4) (5) 1,382 (1,382) - 1,540 (1,540) Stock-based compensation (5) 1,418 (1,418) - 947 (947) GROSS MARGIN % 66% 68% 69% TOTAL OPERATING EXPENSES $ 86,252 $(6,171) $ 80,081 $ 70,124 $(3,830) Amortization of intangible assets (4) (5) 2,075 (2,075) - 1,232 (1,232) Stock-based compensation (5) 3,850 (3,850) - 2,053 (2,053) Acquisition-related 54 (54) - 545 (545) Restructuring 192 (192) - - - INCOME FROM OPERATIONS $ 4,997 $ 9,647 $ 14,644 $ 13,789 $ 6,317 OPERATING MARGIN % 4% 11% 11% INCOME TAX EFFECTS (6) $ 470 $ 3,161 $ 3,631 $ 4,700 $ 2,076 NET INCOME $ 1,882 $ 6,486 $ 8,368 $ 8,710 $ 4,241 DILUTED EARNINGS PER SHARE (7) $ 0.02 $ 0.09 $ 0.11 $ 0.11 $ 0.06 DILUTED WEIGHTED-AVERAGE COMMON SHARES OUTSTANDING (7) 78,653 - 78,653 78,158 - Three Months Ended September % Increase 30, (Decrease) --------- --------------------------- 2013 Non-GAAP GAAP Non-GAAP --------- -------- -------- TOTAL REVENUE $ 122,011 13% 13% Software license 44,802 8% 9% Maintenance (2) 37,979 24% 25% Services (3) 39,230 7% 7% TOTAL COST OF REVENUE $ 35,611 22% 22% Amortization of intangible assets (4) (5) - Stock-based compensation (5) - GROSS MARGIN % 71% (248) bp (232) bp TOTAL OPERATING EXPENSES $ 66,294 23% 21% Amortization of intangible assets (4) (5) - Stock-based compensation (5) - Acquisition-related - Restructuring - INCOME FROM OPERATIONS $ 20,106 (64%) (27%) OPERATING MARGIN % 16% (767) bp (589) bp INCOME TAX EFFECTS (6) $ 6,776 (90%) (46%) NET INCOME $ 12,951 (78%) (35%) DILUTED EARNINGS PER SHARE (7) $ 0.17 (82%) (35%) DILUTED WEIGHTED-AVERAGE COMMON SHARES OUTSTANDING (7) 78,158 1% 1% PEGASYSTEMS INC. RECONCILIATION OF SELECTED GAAP MEASURES TO NON-GAAP MEASURES (1) ($ in thousands, except per share data) Nine Months Ended September 30, ---------------------------------------------------------- 2014 2014 2013 2013 GAAP Adj. Non-GAAP GAAP Adj. Non-GAAP -------- -------- -------- -------- -------- -------- TOTAL REVENUE $421,080 $ 3,318 $424,398 $355,572 $ - $355,572 Software license 154,918 1,565 156,483 128,217 - 128,217 Maintenance (2) 137,555 470 138,025 112,238 - 112,238 Services (3) 128,607 1,283 129,890 115,117 - 115,117 TOTAL COST OF REVENUE $138,986 $ (8,482) $130,504 $113,629 $ (7,756) $105,873 Amortization of intangible assets (4) (5) 4,666 (4,666) - 4,622 (4,622) - Stock-based compensation (5) 3,816 (3,816) - 3,134 (3,134) - GROSS MARGIN % 67% 69% 68% 70% TOTAL OPERATING EXPENSES $260,248 $(16,485) $243,763 $208,150 $(10,824) $197,326 Amortization of intangible assets (4) (5) 5,971 (5,971) - 3,700 (3,700) - Stock-based compensation (5) 9,905 (9,905) - 6,579 (6,579) - Acquisition- related 417 (417) - 545 (545) - Restructuring 192 (192) - - - - INCOME FROM OPERATIONS $ 21,846 $ 28,285 $ 50,131 $ 33,793 $ 18,580 $ 52,373 OPERATING MARGIN % 5% 12% 10% 15% INCOME TAX EFFECTS (6) $ 6,129 $ 9,373 $ 15,502 $ 9,603 $ 6,678 $ 16,281 NET INCOME $ 13,151 $ 18,912 $ 32,063 $ 22,482 $ 11,902 $ 34,384 DILUTED EARNINGS PER SHARE (7) $ 0.17 $ 0.24 $ 0.41 $ 0.29 $ 0.15 $ 0.44 DILUTED WEIGHTED- AVERAGE COMMON SHARES OUTSTANDING (7) 78,531 - 78,531 77,744 - 77,744 % Increase (Decrease) ------------------------- Non- GAAP GAAP -------- ------ TOTAL REVENUE 18% 19% Software license 21% 22% Maintenance (2) 23% 23% Services (3) 12% 13% TOTAL COST OF REVENUE 22% 23% Amortization of intangible assets (4) (5) Stock-based compensation (5) GROSS MARGIN % (105) bp (97) bp TOTAL OPERATING EXPENSES 25% 24% Amortization of intangible assets (4) (5) Stock-based compensation (5) Acquisition- related Restructuring INCOME FROM OPERATIONS (35%) (4%) OPERATING MARGIN % (432) bp (292) bp INCOME TAX EFFECTS (6) (36%) (5%) NET INCOME (42%) (7%) DILUTED EARNINGS PER SHARE (7) (41%) (7%) DILUTED WEIGHTED- AVERAGE COMMON SHARES OUTSTANDING (7) 1% 1% PEGASYSTEMS INC. FOOTNOTES FOR RECONCILIATON OF SELECTED GAAP MEASURES TO NON-GAAP MEASURES (1) This presentation includes non-GAAP measures. Our non-GAAP measures are not meant to be considered in isolation or as a substitute for comparable GAAP measures, and should be read only in conjunction with our consolidated financial statements prepared in accordance with GAAP. For a detailed explanation of the adjustments made to comparable GAAP measures, the reasons why management uses these measures, the usefulness of these measures and the material limitations on the usefulness of these measures see disclosure under Discussion of Non-GAAP Financial Measures included earlier in this release and below. Our non-GAAP financial measures reflect adjustments based on the following items, as well as the related income tax effects: Revenue: Business combination accounting rules require that we determine the fair value of the deferred revenue liability for contractual obligations assumed primarily from Antenna. In post-acquisition reporting periods, we recognize revenue for the fair value of these contracts, when all the revenue recognition criteria are satisfied, instead of the revenue that would have been recognized by Antenna as an independent company. We add back the effect of the deferred revenue fair value adjustment in non-GAAP revenue to reflect the full amount of these revenues to provide a more complete comparison of the revenue guidance to peer companies. Amortization of intangible assets: We have excluded the amortization expense of intangible assets from our non-GAAP operating expenses and net earnings measures. Amortization of intangible assets is inconsistent in amount and frequency and is significantly affected by the timing and size of our acquisitions. Investors should note that the use of intangible assets contributed to our revenues earned during the periods presented and will contribute to our future period revenues as well. Amortization of intangible assets will recur in future periods. Stock-based compensation expenses: We have excluded stock-based compensation expense from our non-GAAP operating expenses and net earnings measures. Although stock-based compensation is a key incentive offered to our employees, and we believe such compensation contributed to the revenues earned during the periods presented and will contribute to the generation of future period revenues, we continue to evaluate our business performance excluding stock-based compensation expense. Acquisition-related and restructuring expenses: We have excluded the effect of acquisition-related and restructuring expenses from our non-GAAP operating expenses and net earnings measures. We incurred direct and incremental expenses associated with the Antenna, MeshLabs, and Profeatable acquisitions. These acquisition-related expenses were primarily professional fees to affect the acquisitions. We have also incurred restructuring expenses related to the integration of the Antenna acquisition, which we generally would not have otherwise incurred in the periods presented as a part of our continuing operations. Restructuring expenses consist primarily of lease exit costs. We believe it is useful for investors to understand the effects of these items on our total operating expenses. (2) As of September 30, 2014, approximately $0.1 million in estimated revenues related to assumed software support contracts will not be recognized in the fourth quarter of 2014 due to business combination accounting rules. (3) As of September 30, 2014, approximately $0.1 million in estimated revenues related to assumed hosting and services contracts will not be recognized in the fourth quarter of 2014 due to business combination accounting rules. (4) Estimated future annual amortization expense related to intangible assets as of September 30, 2014 is as follows: Fiscal 2014 $ 3,149 Fiscal 2015 12,073 Fiscal 2016 11,386 Fiscal 2017 9,688 Fiscal 2018 and thereafter 11,584 ---------------- Total intangible assets subject to amortization $ 47,880 ================ (5) Below is a reconciliation of Non-GAAP operating expenses: Three Months Ended September 30, ------------------------------------------------------- 2014 2014 2013 2013 (in '000s) GAAP Adj. Non-GAAP GAAP Adj. Non-GAAP -------- -------- -------- -------- -------- -------- Selling and marketing $ 48,623 $ (2,927) $ 45,696 $ 42,663 $ (2,239) $ 40,424 Amortization of intangible assets 1,501 (1,501) - 1,232 (1,232) - Stock-based compensation 1,426 (1,426) - 1,007 (1,007) - Research and development $ 28,558 $ (1,452) $ 27,106 $ 19,786 $ (585) $ 19,201 Stock-based compensation 1,452 (1,452) - 585 (585) - General and administrative $ 8,825 $ (1,546) $ 7,279 $ 7,130 $ (461) $ 6,669 Amortization of intangible assets 574 (574) - - - - Stock-based compensation 972 (972) - 461 (461) - Acquisition-related $ 54 $ (54) $ - $ 545 $ (545) $ - Restructuring $ 192 $ (192) $ - $ - $ - $ - TOTAL OPERATING EXPENSES $ 86,252 $ (6,171) $ 80,081 $ 70,124 $ (3,830) $ 66,294 Nine Months Ended September 30, ------------------------------------------------------- 2014 2014 2013 2013 (in '000s) GAAP Adj. Non-GAAP GAAP Adj. Non-GAAP -------- -------- -------- -------- -------- -------- Selling and marketing $150,772 $ (8,358) $142,414 $127,279 $ (6,646) $120,633 Amortization of intangible assets 4,496 (4,496) - 3,696 (3,696) - Stock-based compensation 3,862 (3,862) - 2,950 (2,950) - Research and development $ 80,490 $ (3,201) $ 77,289 $ 59,123 $ (1,852) $ 57,271 Stock-based compensation 3,201 (3,201) - 1,852 (1,852) - General and administrative $ 28,377 $ (4,317) $ 24,060 $ 21,203 $ (1,781) $ 19,422 Amortization of intangible assets 1,475 (1,475) - 4 (4) - Stock-based compensation 2,842 (2,842) - 1,777 (1,777) - Acquisition-related $ 417 $ (417) $ - $ 545 $ (545) $ - Restructuring $ 192 $ (192) $ - $ - $ - $ - TOTAL OPERATING EXPENSES $260,248 $(16,485) $243,763 $208,150 $(10,824) $197,326 (6) The GAAP income tax effects were calculated using an effective tax rate of 20% and 32% in the third quarter and nine months of 2014, respectively, and 35% and 30% in the third quarter and nine months of 2013, respectively. The non-GAAP income tax effects were calculated using an effective tax rate of 30% and 33% in the third quarter and nine months of 2014, respectively, and 34% and 32% in the third quarter and nine months of 2013, respectively. The differences between our GAAP and non-GAAP effective tax rates for 2014 and 2013 primarily relates to the impact of higher non-GAAP income subjected to tax in higher tax rate jurisdictions. (7) The number of common shares and per share amounts have been retroactively restated for all prior periods to reflect the Company's two-for-one common stock split effected in the form of a common stock dividend distributed on April 1, 2014. Pegasystems Inc. Unaudited Condensed Consolidated Balance Sheets (in thousands) As of As of September 30, December 31, 2014 2013 -------------- -------------- Current Assets: Cash and cash equivalents $ 136,545 $ 80,231 Marketable securities 92,026 76,461 -------------- -------------- Total cash, cash equivalents, and marketable securities 228,571 156,692 Trade accounts receivable, net 103,439 165,641 Deferred income taxes 12,328 12,336 Income taxes receivable 11,949 4,392 Other current assets 10,096 9,148 -------------- -------------- Total current assets 366,383 348,209 Property and equipment, net 28,881 28,957 Long-term deferred income taxes 58,129 56,745 Long-term other assets 2,882 2,526 Intangible assets, net 47,880 56,574 Goodwill 45,009 43,469 -------------- -------------- Total assets $ 549,164 $ 536,480 ============== ============== Current liabilities: Accounts payable $ 8,060 $ 3,671 Accrued expenses 35,039 31,624 Accrued compensation and related expenses 40,462 44,401 Deferred revenue 128,259 110,690 -------------- -------------- Total current liabilities 211,820 190,386 Income taxes payable 20,951 21,269 Long-term deferred revenue 20,645 34,196 Other long-term liabilities 17,473 18,841 -------------- -------------- Total liabilities 270,889 264,692 Stockholders' equity: 278,275 271,788 -------------- -------------- Total liabilities and stockholders' equity $ 549,164 $ 536,480 ============== ============== Pegasystems Inc. Unaudited Condensed Consolidated Statements of Cash Flows (in thousands) Nine Months Ended September 30, 2014 2013 ------------- ------------- Operating activities: Net income $ 13,151 $ 22,482 Adjustments to reconcile net income to cash provided by operating activities: Excess tax benefits from equity awards and deferred income taxes (5,599) (3,207) Depreciation, amortization, foreign currency transaction loss, and other non- cash items 20,633 18,575 Stock-based compensation expense 13,721 9,713 Change in operating assets and liabilities, net 56,361 35,872 ------------- ------------- Cash provided by operating activities 98,267 83,435 ------------- ------------- Cash used in investing activities (22,485) (39,674) ------------- ------------- Cash used in financing activities (17,403) (11,942) ------------- ------------- Effect of exchange rate on cash and cash equivalents (2,065) (517) ------------- ------------- Net increase in cash and cash equivalents 56,314 31,302 Cash and cash equivalents, beginning of period 80,231 77,525 ------------- ------------- Cash and cash equivalents, end of period $ 136,545 $ 108,827 ============= ============= PEGASYSTEMS INC. Historical License and Cloud Backlog ($ in thousands) -------------------------------------------------------------- 2014 2014 2014 2013 2013 2013 2013 Q3 Q2 Q1 Q4 Q3 Q2 Q1 -------- -------- -------- -------- -------- -------- -------- Total billed deferred license and cloud revenue 68,561 54,938 62,741 64,267 34,644 37,312 31,765 -------- -------- -------- -------- -------- -------- -------- Total off- balance sheet license and cloud commitments 265,309 298,658 270,243 283,099 248,403 246,821 253,623 -------- -------- -------- -------- -------- -------- -------- TOTAL LICENSE AND CLOUD BACKLOG $333,870 $353,596 $332,984 $347,366 $283,047 $284,133 $285,388 ======== ======== ======== ======== ======== ======== ======== Press Contacts: Lisa Pintchman Pegasystems Inc. [email protected] (617) 866-6022 Twitter: https://twitter.com/pega Rosemarie Esposito Hotwire PR [email protected] (646) 738-8964 Investor Contact: Sheila Ennis ICR for Pegasystems [email protected] 617-866-6077 Source: Pegasystems |