| [August 03, 2017] |
 |
Amber Road Announces Second Quarter 2017 Financial Results
Amber Road, Inc. (NYSE: AMBR), a leading provider of global trade
management (GTM) solutions, today announced its financial results for
the second quarter ended June 30, 2017.
Jim Preuninger, Chief Executive Officer of Amber Road, stated, "We are
pleased with the results and the momentum we are achieving in the
subscription portion of our business, new bookings being written
globally, and the pipeline development for very large
opportunities. Much of our success is derived from an expanding software
and trade content footprint that allows us to compete for larger
deals. We are gaining efficiencies through our Quick Start programs and
other means to implement customers much faster and at a lower cost, and
we are focused on translating these savings into expanded subscription
revenue over time. Due to these efforts, combined with the timing of
some project kick-offs, we now expect our services revenue growth to be
in the low single digit range for 2017. Because we can effectively
manage the business for both subscription growth and profit, we are
raising our bottom line guidance for the full year."
Second Quarter 2017 Financial Highlights
Revenue
-
Total revenue was $19.7 million, an increase compared to $18.1 million
for the comparable period of 2016.
-
Subscription revenue was $14.7 million, an increase compared to $12.8
million for the comparable period of 2016.
-
Professional services revenue was $5.0 million compared to $5.3
million for the comparable period of 2016.
Operating Loss
-
GAAP operating loss was $(3.7) million, compared to $(4.4) million for
the comparable period of 2016.
-
Non-GAAP adjusted operating loss(1) was $(2.5) million,
compared to $(2.7) million for the comparable period of 2016.
Net Loss
-
GAAP net loss was $(4.5) million, compared to $(4.7) million for the
comparable period of 2016.
-
GAAP basic and diluted net loss per common share was $(0.16), compared
to $(0.18) for the comparable period of 2016, based on 27.4 million
and 26.6 million basic and diluted weighted average common shares
outstanding, respectively.
-
Non-GAAP adjusted net loss(1) was $(3.3) million, compared
to $(3.0) million for the comparable period of 2016.
-
Non-GAAP adjusted net loss per common share was $(0.12), compared to
$(0.11) for the comparable period of 2016, based on 27.4 million and
26.6 million basic and diluted weighted average common shares
outstanding, respectively.
Adjusted EBITDA
-
Adjusted EBITDA was $(1.0) million for the three months ended June 30,
2017 and $(1.1) million for the comparable period of 2016.
Balance Sheet and Cash Flow
-
Cash and cash equivalents at June 30, 2017 totaled $11.1 million,
compared to $15.4 million at December 31, 2016.
-
Cash used in operating activities was $(1.1) million for the six
months ended June 30, 2017, compared to cash provided by operating
activities of $0.6 million for the six months ended June 30, 2016.
A reconciliation of GAAP operating loss and net loss to Non-GAAP
adjusted operating loss and net loss, of GAAP net loss to Adjusted
EBITDA and of GAAP total revenue to Non-GAAP total revenue has been
provided in the financial statement tables included in this press
release. An explanation of these measures is also included below under
the heading "Non-GAAP Financial Measures."
Second Quarter 2017 Business Highlights
-
Announced that the Renault-Nissan Alliance is partnering with Amber
Road to help it optimize its European preferential trade processes.
The Alliance will use Amber Road's Trade Automation solution to ensure
compliance with free trade agreements and maximize its utilization of
preferential duties.
-
Significantly increased the global coverage of the Free Trade
Agreement (FTA) Management solution, with the addition of 89 global
trade agreements, bringing the total to over 120. FTA identification
and qualification in Amber Road's solution is powered by its Global
Knowledge® database of global trade content, which contains the rules
of origin, product classifications, and duties and taxes for the major
trade agreements.
-
Added advanced Politically Exposed Persons (PEPs) lists to its Global
Knowledge® database. In addition to being the industry's most
comprehensive database of government regulations and international
business rules, Amber Road's Global Knowledge helps automate
Restricted Party Screening (RPS) processes to quickly vet customers,
suppliers and other trading partners against 570+ restricted party
lists sourced from government institutions worldwide.
Business Outlook
Based on information available as of August 3, 2017, Amber Road is
issuing guidance for the third quarter and full year 2017. Refer to the
reconciliation of GAAP guidance to non-GAAP guidance tables at the end
of this release for details on non-GAAP adjustments.
Third Quarter 2017:
-
Total revenue is expected to be in the range of $20.0 million to $20.6
million.
-
Non-GAAP adjusted operating loss(1) is expected to be in
the range of $(2.3) million to $(1.7) million.
-
Non-GAAP adjusted net loss per common share is expected to be in the
range of $(0.10) to $(0.08). This assumes 28.0 million basic and
diluted shares outstanding.
Full Year 2017:
-
Total revenue is expected to be in the range of $79.0 million to $81.0
million.
-
Non-GAAP adjusted operating loss(1) is expected to be in
the range of $(8.8) million to $(6.8) million.
-
Non-GAAP adjusted net loss per common share is expected to be in the
range of $(0.39) to $(0.32). This assumes 28.3 million basic and
diluted shares outstanding.
Endnotes:
(1) For 2017, non-GAAP adjusted operating loss and adjusted net loss
excludes stock-based compensation and change in fair value of contingent
consideration liability. For 2016, non-GAAP adjusted operating loss and
adjusted net loss excludes stock-based compensation, change in fair
value of contingent consideration liability, purchase accounting
deferred revenue adjustment, acquisition compensation costs and
acquisition related costs.
Conference Call Information
Amber Road will host a conference call on Thursday, August 3, 2017 at
5:00 p.m. Eastern Time (ET) to discuss the Company's second quarter
financial results and its business outlook. To access this call, dial
(888)-244-2417 (domestic) or (719) 325-4845 (international). The
conference ID is 8183654. Additionally, a live webcast of the conference
call will be available in the "Investor Relations" section of the
Company's web site at www.AmberRoad.com.
Following the conference call, a replay will be available until August
10, 2017 at (844)-512-2921 (domestic) or (412)-317-6671 (international).
The replay pass code is 8183654. An archived webcast of this conference
call will also be available in the "Investor Relations" section of the
Company's web site at www.AmberRoad.com.
About Amber Road
Amber Road's (NYSE: AMBR) mission is to dramatically transform the way
companies conduct global trade. As a leading provider of cloud-based
global trade management (GTM) software, trade content and training, we
help companies all over the world create value through their global
supply chain by improving margins, achieving greater agility and
lowering risk. We do this by creating a digital model of the global
supply chain that enables collaboration between buyers, sellers and
logistics companies. We replace manual and outdated processes with
comprehensive automation for global trade activities, including
sourcing, supplier management, production tracking, transportation
management, supply chain visibility, import and export compliance, and
duty management. We provide rich data analytics to uncover areas for
optimization and deliver a platform that is responsive and flexible to
adapt to the ever-changing nature of global trade.
Non-GAAP Financial Measures
To provide investors with additional information regarding our financial
results, Amber Road has provided non-GAAP financial measures and
non-GAAP guidance within this press release including non-GAAP adjusted
operating and net loss, adjusted EBITDA and non-GAAP total revenue,
financial measures that are not calculated in accordance with generally
accepted accounting principles, or GAAP. Provided below is a
reconciliation of GAAP operating and net loss to non-GAAP adjusted
operating and net loss, net loss to adjusted EBITDA and GAAP total
revenue to Non-GAAP total revenue. EBITDA consists of net loss plus
depreciation and amortization, interest expense (income) and income tax
expense. Adjusted EBITDA consists of EBITDA plus stock-based
compensation, changes in the fair value of contingent consideration
liability, purchase accounting adjustment to deferred revenue,
acquisition compensation costs and acquisition related costs. Non-GAAP
total revenue is defined as GAAP total revenue before purchase
accounting adjustments as a result of an acquisition. Amber Road has
included these non-GAAP measures in this press release because it
assists in comparing performance on a consistent basis across reporting
periods, as it removes from operating results the impact of the
Company's capital structure. Amber Road believes these non-GAAP measures
are useful to an investor in evaluating its operating performance
because they are often used by the financial community to measure a
company's operating performance without regard to items such as
depreciation and amortization, which can vary depending upon accounting
methods and the book value of assets, and to present a meaningful
measure of performance exclusive of its capital structure and the method
by which assets were acquired.
Amber Road's use of these non-GAAP measures has limitations as an
analytical tool, and you should not consider it in isolation or as a
substitute for analysis of its results as reported under GAAP. Some of
these limitations are:
-
although depreciation and amortization are non-cash charges, the
assets being depreciated and amortized may have to be replaced in the
future, and these non-GAAP measures do not reflect cash capital
expenditure requirements for such replacements or for new capital
expenditure requirements;
-
these non-GAAP measures do not reflect changes in, or cash
requirements for, working capital needs;
-
these non-GAAP measures do not reflect the potentially dilutive impact
of equity-based compensation;
-
these non-GAAP measures do not reflect interest or tax payments that
may represent a reduction in cash available; and
-
other companies, including companies in Amber Road's industry, may
calculate adjusted EBITDA differently, which reduces its usefulness as
a comparative measure.
Because of these and other limitations, you should consider these
non-GAAP measures together with other GAAP-based financial performance
measures, including various cash flow metrics, net loss and other GAAP
results. A reconciliation of GAAP operating and net loss to non-GAAP
adjusted operating and net loss, and adjusted EBITDA, and GAAP total
revenue to non-GAAP total revenue, has been provided in the financial
statement tables included in this press release.
Cautionary Language Concerning Forward-Looking Statements
This press release contains forward-looking statements within the
meaning of the Private Securities Litigation Reform Act of 1995.
Forward-looking statements are not historical facts, but instead
represent only our current expectations and beliefs, and therefore,
contain risks and uncertainties about future events or our future
financial performance, including, but not limited to, achieving revenue
from bookings, closing business from the sales pipeline, new customer
deployments and maintaining these relationships, the ability to reduce
operating losses and use of cash, and attaining profitability. In some
cases, you can identify forward-looking statements by terminology such
as "may," "will," "could," "should," "expect," "intend," "plan,"
"anticipate," "believe," "estimate," "predict," "potential," or
"continue," and similar expressions, whether in the negative or
affirmative. These statements are only predictions and may be
inaccurate. Actual events or results may differ materially. In
evaluating these statements, you should specifically consider various
factors, including the risks outlined in our filings with the Securities
and Exchange Commission (SEC), including, without limitation, our
annual, periodic and current SEC reports. These factors may cause our
actual results to differ materially from any forward-looking statement.
Although we believe that the expectations reflected in the
forward-looking statements are reasonable, our future results, levels of
activity, performance or achievements may differ from our expectations.
Other than as required by law, we do not undertake to update any of the
forward-looking statements after the date of this press release, even
though our situation may change in the future.
|
|
|
AMBER ROAD, INC. AND SUBSIDIARIES
|
|
Condensed Consolidated Balance Sheet
|
|
(Unaudited)
|
|
|
|
|
|
June 30,
2017
|
|
December 31,
2016
|
|
Assets
|
|
|
|
|
|
Current assets:
|
|
|
|
|
|
Cash and cash equivalents
|
|
$
|
11,082,872
|
|
|
$
|
15,408,133
|
|
|
Accounts receivable, net
|
|
13,744,687
|
|
|
19,661,156
|
|
|
Unbilled receivables
|
|
961,844
|
|
|
314,328
|
|
|
Deferred commissions
|
|
4,349,955
|
|
|
4,420,632
|
|
|
Prepaid expenses and other current assets
|
|
1,738,192
|
|
|
1,719,612
|
|
|
Total current assets
|
|
31,877,550
|
|
|
41,523,861
|
|
|
Property and equipment, net
|
|
9,856,574
|
|
|
9,978,255
|
|
|
Goodwill
|
|
43,788,695
|
|
|
43,907,017
|
|
|
Other intangibles, net
|
|
5,527,393
|
|
|
6,148,820
|
|
|
Deferred commissions
|
|
7,312,227
|
|
|
8,046,664
|
|
|
Deposits and other assets
|
|
1,141,314
|
|
|
884,471
|
|
|
Total assets
|
|
$
|
99,503,753
|
|
|
$
|
110,489,088
|
|
|
Liabilities and Stockholders' Equity
|
|
|
|
|
|
Current liabilities:
|
|
|
|
|
|
Accounts payable
|
|
$
|
2,289,869
|
|
|
$
|
2,724,591
|
|
|
Accrued expenses
|
|
8,659,207
|
|
|
14,127,304
|
|
|
Current portion of capital lease obligations
|
|
1,286,365
|
|
|
1,155,964
|
|
|
Deferred revenue
|
|
35,834,778
|
|
|
34,464,264
|
|
|
Current portion of term loan, net of discount
|
|
714,391
|
|
|
593,336
|
|
|
Total current liabilities
|
|
48,784,610
|
|
|
53,065,459
|
|
|
Capital lease obligations, less current portion
|
|
1,684,668
|
|
|
1,276,700
|
|
|
Deferred revenue, less current portion
|
|
2,025,985
|
|
|
2,135,620
|
|
|
Term loan, net of discount, less current portion
|
|
13,196,587
|
|
|
13,614,514
|
|
|
Revolving credit facility
|
|
6,250,000
|
|
|
6,000,000
|
|
|
Other noncurrent liabilities
|
|
1,643,114
|
|
|
1,825,317
|
|
|
Total liabilities
|
|
73,584,964
|
|
|
77,917,610
|
|
|
Stockholders' equity:
|
|
|
|
|
|
Common stock, $0.001 par value; 100,000,000 shares authorized;
issued and outstanding 27,157,250 and 26,926,268 shares at June 30,
2017 and December 31, 2016, respectively
|
|
27,157
|
|
|
26,926
|
|
|
Additional paid-in capital
|
|
191,364,311
|
|
|
188,811,896
|
|
|
Accumulated other comprehensive loss
|
|
(1,611,460
|
)
|
|
(1,336,792
|
)
|
|
Accumulated deficit
|
|
(163,861,219
|
)
|
|
(154,930,552
|
)
|
|
Total stockholders' equity
|
|
25,918,789
|
|
|
32,571,478
|
|
|
Total liabilities and stockholders' equity
|
|
$
|
99,503,753
|
|
|
$
|
110,489,088
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
AMBER ROAD, INC. AND SUBSIDIARIES
|
|
Condensed Consolidated Statement of Operations
|
|
(Unaudited)
|
|
|
|
|
|
|
Three Months Ended
June 30,
|
|
|
Six Months Ended
June 30,
|
|
|
|
|
2017
|
|
2016
|
|
|
2017
|
|
2016
|
|
Revenue:
|
|
|
|
|
|
|
|
|
|
|
|
Subscription
|
|
|
$
|
14,686,744
|
|
|
$
|
12,840,208
|
|
|
|
$
|
28,588,052
|
|
|
$
|
25,279,192
|
|
|
Professional services
|
|
|
4,988,541
|
|
|
5,298,732
|
|
|
|
9,641,789
|
|
|
9,824,420
|
|
|
Total revenue
|
|
|
19,675,285
|
|
|
18,138,940
|
|
|
|
38,229,841
|
|
|
35,103,612
|
|
|
Cost of revenue (1):
|
|
|
|
|
|
|
|
|
|
|
|
Cost of subscription revenue
|
|
|
5,783,131
|
|
|
4,973,849
|
|
|
|
11,163,159
|
|
|
10,023,724
|
|
|
Cost of professional services revenue
|
|
|
4,126,958
|
|
|
4,058,867
|
|
|
|
8,148,704
|
|
|
8,026,568
|
|
|
Total cost of revenue
|
|
|
9,910,089
|
|
|
9,032,716
|
|
|
|
19,311,863
|
|
|
18,050,292
|
|
|
Gross profit
|
|
|
9,765,196
|
|
|
9,106,224
|
|
|
|
18,917,978
|
|
|
17,053,320
|
|
|
Operating expenses (1):
|
|
|
|
|
|
|
|
|
|
|
|
Sales and marketing
|
|
|
5,688,937
|
|
|
5,985,149
|
|
|
|
11,492,323
|
|
|
11,480,690
|
|
|
Research and development
|
|
|
3,835,729
|
|
|
3,999,649
|
|
|
|
7,371,144
|
|
|
7,887,645
|
|
|
General and administrative
|
|
|
3,923,928
|
|
|
3,547,907
|
|
|
|
7,730,635
|
|
|
7,546,543
|
|
|
Total operating expenses
|
|
|
13,448,594
|
|
|
13,532,705
|
|
|
|
26,594,102
|
|
|
26,914,878
|
|
|
Loss from operations
|
|
|
(3,683,398
|
)
|
|
(4,426,481
|
)
|
|
|
(7,676,124
|
)
|
|
(9,861,558
|
)
|
|
Interest income
|
|
|
521
|
|
|
29,420
|
|
|
|
1,326
|
|
|
51,048
|
|
|
Interest expense
|
|
|
(244,183
|
)
|
|
(221,793
|
)
|
|
|
(479,351
|
)
|
|
(422,173
|
)
|
|
Loss before income taxes
|
|
|
(3,927,060
|
)
|
|
(4,618,854
|
)
|
|
|
(8,154,149
|
)
|
|
(10,232,683
|
)
|
|
Income tax expense
|
|
|
590,411
|
|
|
121,531
|
|
|
|
776,518
|
|
|
193,885
|
|
|
Net loss
|
|
|
$
|
(4,517,471
|
)
|
|
$
|
(4,740,385
|
)
|
|
|
$
|
(8,930,667
|
)
|
|
$
|
(10,426,568
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net loss per common share:
|
|
|
|
|
|
|
|
|
|
|
|
Basic and diluted
|
|
|
$
|
(0.16
|
)
|
|
$
|
(0.18
|
)
|
|
|
$
|
(0.33
|
)
|
|
$
|
(0.39
|
)
|
|
Weighted-average common shares outstanding:
|
|
|
|
|
|
|
|
|
|
|
|
Basic and diluted
|
|
|
27,418,487
|
|
|
26,576,290
|
|
|
|
27,329,183
|
|
|
26,508,316
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Includes stock-based compensation as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
June 30,
|
|
|
Six Months Ended
June 30,
|
|
|
|
|
2017
|
|
2016
|
|
|
2017
|
|
2016
|
|
Cost of subscription revenue
|
|
|
$
|
174,660
|
|
|
$
|
211,238
|
|
|
|
$
|
377,932
|
|
|
$
|
418,949
|
|
Cost of professional services revenue
|
|
|
132,008
|
|
|
127,521
|
|
|
|
251,772
|
|
|
249,213
|
|
Sales and marketing
|
|
|
248,682
|
|
|
234,489
|
|
|
|
459,400
|
|
|
436,733
|
|
Research and development
|
|
|
302,222
|
|
|
276,541
|
|
|
|
585,860
|
|
|
542,556
|
|
General and administrative
|
|
|
371,091
|
|
|
553,925
|
|
|
|
779,334
|
|
|
1,104,784
|
|
|
|
|
$
|
1,228,663
|
|
|
$
|
1,403,714
|
|
|
|
$
|
2,454,298
|
|
|
$
|
2,752,235
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
AMBER ROAD, INC. AND SUBSIDIARIES
|
|
Condensed Consolidated Statement of Cash Flows
|
|
(Unaudited)
|
|
|
|
|
|
Six Months Ended
June 30,
|
|
|
|
2017
|
|
2016
|
|
Cash flows from operating activities:
|
|
|
|
|
|
Net loss
|
|
$
|
(8,930,667
|
)
|
|
$
|
(10,426,568
|
)
|
|
Adjustments to reconcile net loss to net cash provided by (used in)
operating activities:
|
|
|
|
|
|
Depreciation and amortization
|
|
3,008,155
|
|
|
3,334,061
|
|
|
Bad debt expense
|
|
478,519
|
|
|
173,426
|
|
|
Stock-based compensation
|
|
2,454,298
|
|
|
2,752,235
|
|
|
Acquisition related deferred compensation
|
|
-
|
|
|
567,954
|
|
|
Changes in fair value of contingent consideration liability
|
|
18,525
|
|
|
469
|
|
|
Accretion of debt discount
|
|
20,079
|
|
|
31,457
|
|
|
Changes in operating assets and liabilities:
|
|
|
|
|
|
Accounts receivable and unbilled receivables
|
|
4,802,249
|
|
|
5,037,522
|
|
|
Prepaid expenses and other assets
|
|
737,378
|
|
|
(675,686
|
)
|
|
Accounts payable
|
|
(515,904
|
)
|
|
(115,646
|
)
|
|
Accrued expenses
|
|
(1,867,288
|
)
|
|
779,676
|
|
|
Settlement of contingent accrued compensation related to former
ecVision founder
|
|
(2,366,469
|
)
|
|
-
|
|
|
Other liabilities
|
|
(184,101
|
)
|
|
(1,966,098
|
)
|
|
Deferred revenue
|
|
1,256,536
|
|
|
1,140,974
|
|
|
Net cash (used in) provided by operating activities
|
|
(1,088,690
|
)
|
|
633,776
|
|
|
Cash flows from investing activities:
|
|
|
|
|
|
Capital expenditures
|
|
(55,579
|
)
|
|
(92,097
|
)
|
|
Addition of capitalized software development costs
|
|
(839,409
|
)
|
|
(1,403,920
|
)
|
|
Addition of intangible assets
|
|
-
|
|
|
(275,000
|
)
|
|
Cash paid for deposits
|
|
(169,140
|
)
|
|
(139,118
|
)
|
|
Decrease (increase) in restricted cash
|
|
(259
|
)
|
|
113,094
|
|
|
Net cash used in investing activities
|
|
(1,064,387
|
)
|
|
(1,797,041
|
)
|
|
Cash flows from financing activities:
|
|
|
|
|
|
Proceeds from revolving line of credit
|
|
12,250,000
|
|
|
8,750,000
|
|
|
Payments on revolving line of credit
|
|
(12,000,000
|
)
|
|
(8,250,000
|
)
|
|
Payments on term loan
|
|
(281,250
|
)
|
|
(187,500
|
)
|
|
Debt financing costs
|
|
(35,701
|
)
|
|
-
|
|
|
Repayments on capital lease obligations
|
|
(845,967
|
)
|
|
(809,182
|
)
|
|
Proceeds from the exercise of stock options
|
|
98,348
|
|
|
398,381
|
|
|
Contingent consideration related to ecVision acquisition
|
|
(1,308,531
|
)
|
|
-
|
|
|
Net cash used in financing activities
|
|
(2,123,101
|
)
|
|
(98,301
|
)
|
|
Effect of exchange rate on cash and cash equivalents
|
|
(49,083
|
)
|
|
(487,667
|
)
|
|
Net decrease in cash and cash equivalents
|
|
(4,325,261
|
)
|
|
(1,749,233
|
)
|
|
Cash and cash equivalents at beginning of period
|
|
15,408,133
|
|
|
17,854,523
|
|
|
Cash and cash equivalents at end of period
|
|
$
|
11,082,872
|
|
|
$
|
16,105,290
|
|
|
|
|
|
|
|
|
Supplemental disclosures of cash flow information:
|
|
|
|
|
|
Cash paid for interest
|
|
$
|
453,666
|
|
|
$
|
390,716
|
|
|
Non-cash property and equipment acquired under capital lease
|
|
1,384,336
|
|
|
-
|
|
|
Non-cash property and equipment purchases in accounts payable
|
|
11,603
|
|
|
16,691
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of Net Loss to Adjusted EBITDA
|
|
(Unaudited)
|
|
|
|
|
|
|
Three Months Ended
June 30,
|
|
|
Six Months Ended
June 30,
|
|
|
|
|
2017
|
|
2016
|
|
|
2017
|
|
2016
|
|
Net loss
|
|
|
$
|
(4,517,471
|
)
|
|
$
|
(4,740,385
|
)
|
|
|
$
|
(8,930,667
|
)
|
|
$
|
(10,426,568
|
)
|
|
Depreciation and amortization expense
|
|
|
1,454,941
|
|
|
1,650,899
|
|
|
|
3,008,155
|
|
|
3,334,061
|
|
|
Interest expense
|
|
|
244,183
|
|
|
221,793
|
|
|
|
479,351
|
|
|
422,173
|
|
|
Interest income
|
|
|
(521
|
)
|
|
(29,420
|
)
|
|
|
(1,326
|
)
|
|
(51,048
|
)
|
|
Income tax expense
|
|
|
590,411
|
|
|
121,531
|
|
|
|
776,518
|
|
|
193,885
|
|
|
EBITDA
|
|
|
(2,228,457
|
)
|
|
(2,775,582
|
)
|
|
|
(4,667,969
|
)
|
|
(6,527,497
|
)
|
|
Stock-based compensation
|
|
|
1,228,663
|
|
|
1,403,714
|
|
|
|
2,454,298
|
|
|
2,752,235
|
|
|
Change in fair value of contingent consideration liability
|
|
|
-
|
|
|
20,469
|
|
|
|
18,525
|
|
|
469
|
|
|
Purchase accounting deferred revenue adjustment
|
|
|
-
|
|
|
-
|
|
|
|
-
|
|
|
69,095
|
|
|
Acquisition compensation costs
|
|
|
-
|
|
|
283,977
|
|
|
|
-
|
|
|
567,954
|
|
|
Acquisition related costs
|
|
|
-
|
|
|
-
|
|
|
|
-
|
|
|
5,420
|
|
|
Adjusted EBITDA
|
|
|
$
|
(999,794
|
)
|
|
$
|
(1,067,422
|
)
|
|
|
$
|
(2,195,146
|
)
|
|
$
|
(3,132,324
|
)
|
|
Reconciliation of Net Loss to Non-GAAP Adjusted Net Loss
|
|
(Unaudited)
|
|
|
|
|
|
|
Three Months Ended
June 30,
|
|
|
Six Months Ended
June 30,
|
|
|
|
|
2017
|
|
2016
|
|
|
2017
|
|
2016
|
|
Net loss
|
|
|
$
|
(4,517,471
|
)
|
|
$
|
(4,740,385
|
)
|
|
|
$
|
(8,930,667
|
)
|
|
$
|
(10,426,568
|
)
|
|
Stock-based compensation
|
|
|
1,228,663
|
|
|
1,403,714
|
|
|
|
2,454,298
|
|
|
2,752,235
|
|
|
Change in fair value of contingent consideration liability
|
|
|
-
|
|
|
20,469
|
|
|
|
18,525
|
|
|
469
|
|
|
Purchase accounting deferred revenue adjustment
|
|
|
-
|
|
|
-
|
|
|
|
-
|
|
|
69,095
|
|
|
Acquisition compensation costs
|
|
|
-
|
|
|
283,977
|
|
|
|
-
|
|
|
567,954
|
|
|
Acquisition related costs
|
|
|
-
|
|
|
-
|
|
|
|
-
|
|
|
5,420
|
|
|
Non-GAAP adjusted net loss
|
|
|
$
|
(3,288,808
|
)
|
|
$
|
(3,032,225
|
)
|
|
|
$
|
(6,457,844
|
)
|
|
$
|
(7,031,395
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted non-GAAP net loss per common share:
|
|
|
|
|
|
|
|
|
|
|
|
Basic and diluted
|
|
|
$
|
(0.12
|
)
|
|
$
|
(0.11
|
)
|
|
|
$
|
(0.24
|
)
|
|
$
|
(0.27
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted-average common shares outstanding:
|
|
|
|
|
|
|
|
|
|
|
|
GAAP weighted average number of common shares outstanding - basic
and diluted
|
|
|
27,418,487
|
|
|
26,576,290
|
|
|
|
27,329,183
|
|
|
26,508,316
|
|
|
Reconciliation of Loss from Operations to Non-GAAP Adjusted
Loss from Operations
|
|
(Unaudited)
|
|
|
|
|
|
|
Three Months Ended
June 30,
|
|
|
Six Months Ended
June 30,
|
|
|
|
|
2017
|
|
2016
|
|
|
2017
|
|
2016
|
|
Loss from operations
|
|
|
$
|
(3,683,398
|
)
|
|
$
|
(4,426,481
|
)
|
|
|
$
|
(7,676,124
|
)
|
|
$
|
(9,861,558
|
)
|
|
Stock-based compensation
|
|
|
1,228,663
|
|
|
1,403,714
|
|
|
|
2,454,298
|
|
|
2,752,235
|
|
|
Change in fair value of contingent consideration liability
|
|
|
-
|
|
|
20,469
|
|
|
|
18,525
|
|
|
469
|
|
|
Purchase accounting deferred revenue adjustment
|
|
|
-
|
|
|
-
|
|
|
|
-
|
|
|
69,095
|
|
|
Acquisition compensation costs
|
|
|
-
|
|
|
283,977
|
|
|
|
-
|
|
|
567,954
|
|
|
Acquisition related costs
|
|
|
-
|
|
|
-
|
|
|
|
-
|
|
|
5,420
|
|
|
Non-GAAP adjusted loss from operations
|
|
|
$
|
(2,454,735
|
)
|
|
$
|
(2,718,321
|
)
|
|
|
$
|
(5,203,301
|
)
|
|
$
|
(6,466,385
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Based on information available as of August 3, 2017, the following
tables show 2017 GAAP guidance reconciled to non-GAAP guidance for the
third quarter and full year 2017 as indicated below (numbers in
millions, except per share data):
|
|
|
Reconciliation of Loss from Operations to Non-GAAP Adjusted
Loss from Operations Guidance
|
|
(Unaudited)
|
|
|
|
|
|
|
Third Quarter 2017
|
|
|
Full Year 2017
|
|
|
|
|
Low
|
|
High
|
|
|
Low
|
|
High
|
|
Loss from operations
|
|
|
$
|
(3.8
|
)
|
|
$
|
(3.2
|
)
|
|
|
$
|
(14.1
|
)
|
|
$
|
(12.1
|
)
|
|
Stock-based compensation
|
|
|
1.5
|
|
|
1.5
|
|
|
|
5.3
|
|
|
5.3
|
|
|
Non-GAAP adjusted loss from operations
|
|
|
$
|
(2.3
|
)
|
|
$
|
(1.7
|
)
|
|
|
$
|
(8.8
|
)
|
|
$
|
(6.8
|
)
|
|
|
|
Reconciliation of Net Loss per Share to Non-GAAP Adjusted Net
Loss per Share Guidance (1)
|
|
(Unaudited)
|
|
|
|
|
|
|
Third Quarter 2017
|
|
|
Full Year 2017
|
|
|
|
|
Low
|
|
High
|
|
|
Low
|
|
High
|
|
Net loss per share, basic and diluted
|
|
|
$
|
(0.15
|
)
|
|
$
|
(0.13
|
)
|
|
|
$
|
(0.58
|
)
|
|
$
|
(0.51
|
)
|
|
Stock-based compensation
|
|
|
0.05
|
|
|
0.05
|
|
|
|
0.19
|
|
|
0.19
|
|
|
Non-GAAP adjusted net loss per share, basic and diluted
|
|
|
$
|
(0.10
|
)
|
|
$
|
(0.08
|
)
|
|
|
$
|
(0.39
|
)
|
|
$
|
(0.32
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) This assumes weighted average shares outstanding -
basic and diluted
|
|
|
28.0
|
|
|
28.0
|
|
|
|
28.3
|
|
|
28.3
|
|
View source version on businesswire.com: http://www.businesswire.com/news/home/20170803006195/en/
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