[July 26, 2018] |
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8x8, Inc. Reports First Quarter Fiscal 2019 Financial Results
8x8, Inc. (NYSE:EGHT), a leading provider of cloud phone, meeting,
collaboration, and contact center solutions, today reported financial
results for the first quarter of fiscal 2019 ended June 30, 2018.
First Quarter Fiscal 2019 Financial Results:
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Service revenue increased 20% year-over-year to $78.1 million.
Adjusting for constant currency and excluding DXI revenue, service
revenue increased 21% year-over-year, compared to a 20% year-over-year
increase in the previous quarter.
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Total revenue increased 20% year-over-year to $83.2 million. Adjusting
for constant currency and excluding DXI revenue, total revenue
increased 21% year-over-year, compared to a 19% year-over-year
increase in the previous quarter.
-
GAAP net loss was $15 million or ($0.16) per diluted share.
-
Non-GAAP net loss was $3.5 million or ($0.04) per diluted share.
"Accelerating bookings growth from our mid-market and enterprise
customers, increasing sales velocity from our channel partners, and
strong customer demand for integrated solutions enabled 8x8 to deliver
solid first quarter results that exceeded both top and bottom line
expectations," said Vik Verma, Chief Executive Officer at 8x8, Inc.
"These results are a great indicator of how well-positioned 8x8 is to
disrupt the $40 billion enterprise communications market with the new X
Series, the industry's first cloud solution to integrate voice,
conferencing, collaboration and contact center on a single platform. Now
available, X Series simplifies overly complex communications and contact
center systems into a unified cloud system of intelligence. X Series
provides enterprises with one set of data, one workflow engine, and one
analytics engine inside an integrated solution for voice, meeting, team
collaboration and contact center. Customers such as Applebee's and large
public sector clients like Brent and Lewisham Councils in the U.K. have
purchased X Series to transform their employee and customer engagement."
Additional Business Metrics and Highlights:
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Margins: GAAP gross margin was 74%, compared with 76% in the same
period last year. Non-GAAP gross margin was 76%, compared with 78% in
the same period last year. GAAP service margin was 81%, compared with
82% in the same period last year. Non-GAAP service margin was 83%,
compared with 84% in the same period last year.
-
Cash generated from operating activities was $0.8 million. Cash,
restricted cash and investments were $153 million at June 30, 2018.
-
Service revenue from mid-market and enterprise customers billing
greater than $1,000 in monthly recurring revenue (MRR) increased 28%
over the prior year and represents 61% of total service revenue
compared with 57% in the year ago quarter.
-
Adjusting for constant currency and excluding DXI revenue, service
revenue from mid-market and enterprise customers billing greater than
$1,000 in monthly recurring revenue (MRR) increased 30% year-over-year
and represents 60% of total service revenue.
-
Adjusting for constant currency and excluding DXI revenue, service
revenue from mid-market and enterprise customers billing greater than
$10,000 in monthly recurring revenue (MRR) increased approximately 58%
year-over-year and represents 27% of total monthly recurring revenue.
-
New monthly recurring revenue (MRR) booked from mid-market and
enterprise customers increased 25% year-over-year and comprised 57% of
total bookings.
-
Average monthly service revenue by business customer (ARPU): ARPU per
mid-market and enterprise customers was $4,953, compared with $4,592
in the same period last year, an 8% year-over-year increase. ARPU per
business customer grew to $480, compared with $432 in the same period
last year, an 11% increase year-over-year.
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8x8 has been awarded a total of 163 patents through June 30, 2018.
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Announced general availability of 8x8 X Series - the industry's first
cloud solution to integrate voice, conferencing, collaboration and
contact center on a single platform - in the U.S. and U.K.
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8x8 was awarded the "Most Revenue Potential in 2018" and "Easiest to
do Business With" at channel partner AVANT Communications Special
Forces Summit Awards.
Financial Outlook:
On April 1, 2018, 8x8 adopted Accounting Standards Codification (ASC)
606 using the modified retrospective transition method. The guidance
below includes the expected impact of the adoption of this new revenue
standard, which replaced ASC 605.
Full Year Fiscal 2019 Financial Outlook under ASC 606:
-
Service revenue in the range of $333 million to $338 million,
representing approximately 19% to 21% year-over-year increase.
-
Excluding DXI revenue, service revenue growth in the range of 21% to
22%.
-
Total revenue in the range of $347 million to $352 million,
representing approximately 17% to 19% year-over-year increase.
-
Non-GAAP pre-tax loss in the range of $13 million to $17 million.
Second Fiscal Quarter 2019 Financial Outlook under ASC 606:
-
Service revenue in the range of $80 million to $81 million,
representing approximately 18% to 19% year-over-year increase.
-
Excluding DXI revenue, service revenue growth in the range of 20% to
21%.
-
Non-GAAP pre-tax loss in the range of $4 million to $5 million.
We do not reconcile our forward-looking estimates of non-GAAP net income
to the corresponding GAAP measures of GAAP net income (loss) due to the
significant variability of, and difficulty in making accurate forecasts
and projections with regards to, the various expenses we exclude. For
example, although future hiring and retention needs may be reasonably
predictable, stock-based compensation expense depends on variables that
are largely not within the control of nor predictable by management,
such as the market price of 8x8 common stock, and may also be
significantly impacted by events like acquisitions, the timing and
nature of which are difficult to predict with accuracy. Similarly,
impairments and other non-recurring items are difficult to predict as
they may depend on future events and external factors outside the
Company's control. The actual amounts of these excluded items could have
a significant impact on the Company's GAAP net income (loss).
Accordingly, management believes that reconciliations of this
forward-looking non-GAAP financial measure to the corresponding GAAP
measure are not available without unreasonable effort.
We also announced today that 8x8 had granted awards of restricted stock
units representing the right to acquire up to 229,629 shares of the
Company's common stock and stock options exercisable for up to 44,656
shares of common stock, to a total of 72 new employees. Of these awards,
a small portion of the RSUs (representing the right to acquire 9,130
shares of common stock) vest in full approximately one year after the
date of grant. The remaining awards have vesting schedules and other
terms and conditions substantially the same as those previously
disclosed for RSU and option awards granted to non-executive employees.
The awards were approved by a majority of the Company's independent
directors, as material inducements to the hiring of new employees, in
accordance with New York Stock Exchange Rule 303A.08 and the Company's
2017 New Employee Inducement Incentive Plan.
Conference Call Information:
Management will host a conference call to discuss earnings results on
July 26, 2018 at 1:30 p.m. Pacific Time (4:30 p.m. Eastern Time). The
call is accessible via the following numbers and webcast links:
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Dial In:
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(866) 393-4306 Domestic or (734) 385-2616 International; Conference
ID #2393019
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Replay:
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(855) 859-2056 Domestic or (404) 537-3406 International; Conference
ID #2393019
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Webcast:
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http://investors.8x8.com
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Participants should plan to dial in or log on ten minutes prior to the
start time. A telephonic replay of the call will be available until
August 16, 2018. The webcast will be archived on 8x8's website for a
period of 30 days. For additional information, visit http://investors.8x8.com.
About 8x8, Inc.
8x8, Inc. (NYSE:EGHT) is a leading
provider of cloud phone, meeting, collaboration and contact center
solutions with over a million business users worldwide. 8x8 helps
enterprises engage at the speed of employee and customer expectations by
putting the collective intelligence of the organization in the hands of
every employee. For additional information, visit www.8x8.com,
or follow 8x8 on LinkedIn,
Twitter, and Facebook.
Non-GAAP Measures:
The Company has provided in this release financial information that has
not been prepared in accordance with Generally Accepted Accounting
Principles (GAAP). Management uses these non-GAAP financial measures
internally in analyzing the Company's financial results and believes
they are useful to investors, as a supplement to GAAP measures, in
evaluating the Company's ongoing operational performance. Management
believes that the use of these non-GAAP financial measures provides an
additional tool for investors to use in evaluating 8x8's ongoing
operating results and trends and in comparing financial results with
other companies in the industry, many of which present similar non-GAAP
financial measures to investors.
The Company has defined non-GAAP net income (loss) as net income (loss)
under GAAP, plus amortization of acquired intangible assets, impairment
charges, stock-based compensation, other income and expenses, and the
provision for or benefit from income taxes. Amortization of acquired
intangible assets are excluded because it is a non-cash expense that
management does not consider part of ongoing operations when assessing
the Company's financial performance. Stock-based compensation expense
has been excluded because it is a non-cash expense and relies on
valuations based on future conditions and events, such as the market
price of 8x8 common stock, that are difficult to predict and/or largely
not within the control of management. Certain other income and expense
items, such as acquisition-related or severance expenses, have been
excluded because management considers them one-time events or otherwise
not indicative of trends in the Company's ongoing operations. For the
first fiscal quarter of fiscal year 2019, the Company has also excluded
non-cash rent expense related to its new headquarter building because
the building remains in the built-out phase.
GAAP tax provision (benefit) for income taxes has been excluded as
management does not consider taxes in its analysis of the performance of
ongoing operations. Due to the Company's history of tax losses and full
valuation allowance against deferred tax assets, future GAAP and
Non-GAAP effective tax rates are limited to current taxes in certain US
state and foreign jurisdictions. The Company reports these current taxes
as reduction from Non-GAAP pretax net income to derive Non-GAAP net
income after taxes.
The Company defines non-GAAP net income (loss) per share as non-GAAP net
income (loss) divided by the weighted-average basic or diluted shares
outstanding which includes the effect of potentially dilutive stock
options and awards. The Company defines non-GAAP net income percentage
of revenue as non-GAAP net income (loss) divided by revenue. Management
believes that such exclusions facilitate comparisons to the Company's
historical operating results and to the results of other companies in
the same industry, and provides investors with information that
management uses in evaluating the Company's performance on a quarterly
and annual basis.
Although these non-GAAP financial measures adjust expenses, they should
not be viewed as a pro forma presentation reflecting the elimination of
the underlying share-based compensation programs, which are an important
element of the Company's compensation structure. GAAP requires that all
forms of share-based payments should be valued and included in the
results of operations.
In addition, this release includes financial measures that have been
adjusted as follows:
-
This release includes revenue figures adjusted to exclude revenue
generated by DXI. As first reported in the third quarter of our 2018
fiscal year, we have de-emphasized the sale of DXI's ContactNow as a
stand-alone product, and management therefore believes it is useful to
exclude this revenue from period-to-period comparisons to better
depict the relative performance of our core business.
-
This release includes revenue figures adjusted for comparison on a
constant currency basis, when management concluded that the
elimination of the impact of currency fluctuations between the periods
being compared would assist with the evaluation of the underlying
business performance.
We disclose these non-GAAP financial measures to the public as an
additional means by which investors can assess our performance. These
non-GAAP financial measures may be calculated differently from, and
therefore may not be comparable to, similarly titled measures used by
other companies. Non-GAAP financial measures should not be considered in
isolation from, or as a substitute for, financial information prepared
in accordance with GAAP. Investors are encouraged to review the
reconciliation of these non-GAAP financial measures to their most
directly comparable GAAP financial measures. This reconciliation has
been provided in the financial statement tables included below in this
press release.
Forward Looking Statements:
This news release contains "forward-looking statements" within the
meaning of the Private Securities Litigation Reform Act of 1995 and
Section 21E of the Securities Exchange Act of 1934. These statements
include, without limitation, information about future events based on
current expectations, potential product development efforts, near and
long-term objectives, potential new business, strategies, organization
changes, changing markets, future business performance and outlook. Such
statements are predictions only, and actual events or results could
differ materially from those made in any forward-looking statements due
to a number of risks and uncertainties. Actual results and trends may
differ materially from historical results or those projected in any such
forward-looking statements depending on a variety of factors.
These factors include, but are not limited to:
-
Customer acceptance and demand for our cloud communication and
collaboration services,
-
changes in the competitive dynamics of the markets in which we compete,
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the quality and reliability of our services,
-
customer cancellations and rate of churn,
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our ability to scale our business,
-
customer acquisition costs,
-
our reliance on infrastructure of third-party network services
providers,
-
risk of failure in our physical infrastructure,
-
risk of failure of our software,
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our ability to maintain the compatibility of our software with
third-party applications and mobile platforms,
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continued compliance with industry standards and regulatory
requirements in the United States and foreign countries in which we
make our software solutions available, and the costs of such
compliance,
-
risks relating to our strategies and objectives for future operations,
including the execution of integration plans and realization of the
expected benefits of our acquisitions,
-
the amount and timing of costs associated with recruiting, training
and integrating new employees,
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timing and extent of improvements in operating results from increased
spending in marketing, sales, and research and development,
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introduction and adoption of our cloud software solutions in markets
outside of the United States,
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risk of cybersecurity breaches and other unauthorized disclosures of
personal data,
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general economic conditions that could adversely affect our business
and operating results,
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implementation and effects of new accounting standards and policies in
our reported financial results, and
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potential future intellectual property infringement claims and other
litigation that could adversely affect our business and operating
results.
For a discussion of such risks and uncertainties, which could cause
actual results to differ from those contained in the forward-looking
statements, see "Risk Factors" in the Company's reports on Forms 10-K
and 10-Q, as well as other reports that 8x8, Inc. files from time to
time with the Securities and Exchange Commission. All forward-looking
statements are qualified in their entirety by this cautionary statement,
and 8x8, Inc. undertakes no obligation to update publicly any
forward-looking statement for any reason, except as required by law,
even as new information becomes available or other events occur in the
future.
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8x8, Inc.
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CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
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(In thousands, except per share amounts; unaudited)
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Three Months Ended
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June 30,
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2018
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2017
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Service revenue
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$
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78,121
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$
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65,091
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Product revenue
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5,104
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4,007
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Total revenue
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83,225
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69,098
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Operating expenses:
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Cost of service revenue
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15,079
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11,662
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Cost of product revenue
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6,281
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4,884
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Research and development
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13,110
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7,943
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Sales and marketing
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53,305
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41,110
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General and administrative
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11,433
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8,956
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Total operating expenses
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99,208
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74,555
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Loss from operations
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(15,983
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)
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(5,457
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)
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Other income, net
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719
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2,052
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Loss before provision (benefit) for income taxes
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(15,264
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)
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(3,405
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)
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Provision (benefit) for income taxes
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91
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(1,236
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)
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Net loss
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$
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(15,355
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)
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$
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(2,169
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)
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Net loss per share:
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Basic
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$
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(0.16
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)
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$
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(0.02
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)
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Diluted
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$
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(0.16
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)
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$
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(0.02
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)
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|
|
|
|
|
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Weighted average number of shares:
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Basic
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93,064
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|
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91,643
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Diluted
|
|
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93,064
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91,643
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8x8, Inc.
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CONDENSED CONSOLIDATED BALANCE SHEETS
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(In thousands, unaudited)
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|
|
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|
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|
|
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June 30,
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March 31,
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2018
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2018
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ASSETS
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Current assets
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Cash and cash equivalents
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$
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34,557
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$
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31,703
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Short-term investments
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109,903
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120,559
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Accounts receivable, net
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17,725
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16,296
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Deferred sales commission costs
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12,706
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-
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Other current assets
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11,131
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|
10,040
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Total current assets
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186,022
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178,598
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Property and equipment, net
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38,100
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35,732
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Intangible assets, net
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13,610
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11,958
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Goodwill
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39,651
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40,054
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Restricted cash
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8,100
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8,100
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Deferred sales commission costs, noncurrent
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27,041
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-
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Other assets
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3,027
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2,767
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Total assets
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$
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315,551
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$
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277,209
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LIABILITIES AND STOCKHOLDERS' EQUITY
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Current liabilities
|
|
|
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Accounts payable
|
|
$
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26,900
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$
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23,899
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Accrued compensation
|
|
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16,366
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17,412
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Accrued taxes
|
|
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7,930
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|
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6,367
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Deferred revenue
|
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2,838
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2,559
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Other accrued liabilities
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|
6,688
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|
|
6,026
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Total current liabilities
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60,722
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56,263
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|
|
|
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Other liabilities
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|
2,987
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|
|
2,172
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Total liabilities
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63,709
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58,435
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Total stockholders' equity
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251,842
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|
218,774
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Total liabilities and stockholders' equity
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$
|
315,551
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$
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277,209
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8x8, Inc.
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CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
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(In thousands, unaudited)
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Three Months Ended
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June 30,
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|
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2018
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|
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2017
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Cash flows from operating activities:
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|
|
|
|
|
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Net loss
|
|
$
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(15,355
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)
|
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$
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(2,169
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)
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Adjustments to reconcile net loss to net cash provided by
operating activities:
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Depreciation
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2,061
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|
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1,897
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Amortization of intangible assets
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1,432
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1,522
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Amortization of capitalized software
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1,685
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308
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Non-cash lease expenses
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|
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1,200
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|
|
-
|
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Stock-based compensation expense
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8,911
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6,351
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Deferred income tax benefit
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|
-
|
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(1,492
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)
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Gain on escrow settlement
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|
|
-
|
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(1,393
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)
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Other
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|
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372
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|
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|
101
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Changes in assets and liabilities:
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Accounts receivable, net
|
|
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(1,497
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)
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|
|
(147
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)
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Deferred sales commission costs
|
|
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(1,799
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)
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|
|
-
|
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Other current and noncurrent assets
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(419
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)
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|
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(1,623
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)
|
Accounts payable and accruals
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|
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3,905
|
|
|
|
2,889
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Deferred revenue
|
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293
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|
|
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(61
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)
|
Net cash provided by operating activities
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|
|
789
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|
|
|
6,183
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|
|
|
|
|
|
|
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Cash flows from investing activities:
|
|
|
|
|
|
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Purchases of property and equipment
|
|
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(1,223
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)
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|
|
(2,293
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)
|
Purchase of business
|
|
|
(2,625
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)
|
|
|
-
|
|
Proceeds from escrow settlement
|
|
|
-
|
|
|
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1,393
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Cost of capitalized software
|
|
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(5,112
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)
|
|
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(2,122
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)
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Proceeds from maturity of investments
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|
|
18,400
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|
|
|
25,450
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Sales of investments
|
|
|
11,914
|
|
|
|
5,252
|
|
Purchase of investments
|
|
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(19,534
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)
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|
|
(21,327
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)
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Net cash provided by investing activities
|
|
|
1,820
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|
|
|
6,353
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|
|
|
|
|
|
|
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Cash flows from financing activities:
|
|
|
|
|
|
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Capital lease payments
|
|
|
(277
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)
|
|
|
(351
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)
|
Repurchase and tax-related withholding of common stock
|
|
|
(229
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)
|
|
|
(1,054
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)
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Proceeds from issuance of common stock under employee stock plans
|
|
|
1,007
|
|
|
|
720
|
|
Net cash provided by (used in) financing activities
|
|
|
501
|
|
|
|
(685
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)
|
|
|
|
|
|
|
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Effect of exchange rate changes on cash
|
|
|
(256
|
)
|
|
|
294
|
|
Net increase in cash and cash equivalents
|
|
|
2,854
|
|
|
|
12,145
|
|
|
|
|
|
|
|
|
Cash, cash equivalents and restricted cash, beginning of period
|
|
|
39,803
|
|
|
|
41,030
|
|
Cash, cash equivalents and restricted cash, end of period
|
|
$
|
42,657
|
|
|
$
|
53,175
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
8x8, Inc.
|
RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES
|
(In thousands, except per share amounts; unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
|
|
|
|
Three Months Ended
|
Reconciliation of GAAP to Non-GAAP
Expenses:
|
June 30, 2018
|
|
|
|
June 30, 2017
|
GAAP cost of service revenue
|
|
$
|
15,079
|
|
|
|
|
|
$
|
11,662
|
|
|
|
Amortization of acquired intangible assets
|
|
|
(1,110
|
)
|
|
|
|
|
|
(797
|
)
|
|
|
Stock-based compensation expense
|
|
|
(458
|
)
|
|
|
|
|
|
(391
|
)
|
|
|
Non-GAAP cost of service revenue
|
|
$
|
13,511
|
|
|
|
|
|
$
|
10,474
|
|
|
|
Non-GAAP service margin (as a percentage of service revenue)
|
|
$
|
64,610
|
|
|
82.7
|
%
|
|
|
$
|
54,617
|
|
|
83.9
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
GAAP and Non-GAAP cost of product revenue
|
|
$
|
6,281
|
|
|
|
|
|
$
|
4,884
|
|
|
|
Non-GAAP product margin (as a percentage of product revenue)
|
$
|
(1,177
|
)
|
|
-23.1
|
%
|
|
|
$
|
(877
|
)
|
|
-21.9
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP gross margin (as a percentage of revenue)
|
|
$
|
63,433
|
|
|
76.2
|
%
|
|
|
$
|
53,740
|
|
|
77.8
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
GAAP research and development
|
|
$
|
13,110
|
|
|
|
|
|
$
|
7,943
|
|
|
|
Stock-based compensation expense
|
|
|
(2,194
|
)
|
|
|
|
|
|
(1,337
|
)
|
|
|
Non-GAAP research and development (as a percentage of revenue)
|
|
$
|
10,916
|
|
|
13.1
|
%
|
|
|
$
|
6,606
|
|
|
9.6
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
GAAP sales and marketing
|
|
$
|
53,305
|
|
|
|
|
|
$
|
41,110
|
|
|
|
Amortization of acquired intangible assets
|
|
|
(322
|
)
|
|
|
|
|
|
(725
|
)
|
|
|
Stock-based compensation expense
|
|
|
(3,845
|
)
|
|
|
|
|
|
(2,647
|
)
|
|
|
Non-GAAP sales and marketing (as a percentage of revenue)
|
|
$
|
49,138
|
|
|
59.0
|
%
|
|
|
$
|
37,738
|
|
|
54.6
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
GAAP general and administrative
|
|
$
|
11,433
|
|
|
|
|
|
$
|
8,956
|
|
|
|
Stock-based compensation expense
|
|
|
(2,414
|
)
|
|
|
|
|
|
(1,976
|
)
|
|
|
Non-recurring items
|
|
|
(1,501
|
)
|
|
|
|
|
|
(260
|
)
|
|
|
Non-GAAP general and administrative (as a percentage of revenue)
|
|
$
|
7,518
|
|
|
9.0
|
%
|
|
|
$
|
6,720
|
|
|
9.7
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of GAAP Net Loss to
Non-GAAP Net Income (Loss):
|
|
|
|
|
|
|
|
|
GAAP net loss
|
|
$
|
(15,355
|
)
|
|
|
|
|
$
|
(2,169
|
)
|
|
|
Amortization of acquired intangible assets
|
|
|
1,432
|
|
|
|
|
|
|
1,522
|
|
|
|
Stock-based compensation expense
|
|
|
8,911
|
|
|
|
|
|
|
6,351
|
|
|
|
Non-recurring items in operating expenses
|
|
|
1,501
|
|
|
|
|
|
|
-
|
|
|
|
Non-recurring items in other income (expenses), net
|
|
|
-
|
|
|
|
|
|
|
(1,133
|
)
|
|
|
Provision (benefit) for income taxes
|
|
|
91
|
|
|
|
|
|
|
(1,236
|
)
|
|
|
Non-GAAP net income (loss) before taxes (as a percentage of revenue)
|
|
$
|
(3,420
|
)
|
|
-4.1
|
%
|
|
|
$
|
3,335
|
|
|
4.8
|
%
|
Non-GAAP tax expense (1)(2)
|
|
|
91
|
|
|
|
|
|
|
100
|
|
|
|
Non-GAAP net income (loss) after taxes (as a percentage of revenue)
|
$
|
(3,511
|
)
|
|
-4.2
|
%
|
|
|
$
|
3,235
|
|
|
4.7
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) The non-GAAP tax provision in fiscal year 2019 does not have a
deferred income tax impact due to the full valuation allowance
applied against deferred tax assets. The non-GAAP effective tax
rate of -3% for the three months ended June 30, 2018, is based on
current taxes for certain states and foreign jurisdictions, and
excludes the impact of the valuation allowance. For the three
months ended June 30, 2017, the total non-GAAP effective tax rate
was 2.9%.
|
|
(2) The amount for the three months ended June 30, 2017 has been
adjusted to conform with current period presentation.
|
|
|
|
|
|
|
|
|
|
|
|
|
Shares used in computing non-GAAP net income (loss) per share:
|
|
|
|
|
|
|
|
|
Basic
|
|
|
93,064
|
|
|
|
|
|
|
91,643
|
|
|
|
Diluted
|
|
|
93,064
|
|
|
|
|
|
|
94,786
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GAAP net loss per share - Diluted
|
|
$
|
(0.16
|
)
|
|
|
|
|
$
|
(0.02
|
)
|
|
|
Non-GAAP net income (loss) before taxes per share - Diluted
|
$
|
(0.04
|
)
|
|
|
|
|
$
|
0.03
|
|
|
|
Non-GAAP net income (loss) after taxes per share - Diluted
|
$
|
(0.04
|
)
|
|
|
|
|
$
|
0.03
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
8x8, Inc.
|
RECONCILIATION OF ASC 605 TO ASC 606 STATEMENTS OF OPERATIONS
|
AND NON-GAAP NET INCOME (LOSS)
|
(In thousands, except per share amounts; unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
|
|
|
June 30, 2018
|
|
|
ASC 605
|
|
Adjustments
|
|
ASC 606
|
Service revenue
|
|
$
|
78,242
|
|
|
$
|
(121
|
)
|
|
$
|
78,121
|
|
Product revenue
|
|
|
5,011
|
|
|
|
93
|
|
|
|
5,104
|
|
Total revenue
|
|
$
|
83,253
|
|
|
$
|
(28
|
)
|
|
$
|
83,225
|
|
Operating expenses:
|
|
|
|
|
|
|
|
|
|
Sales and marketing
|
|
$
|
55,104
|
|
|
$
|
(1,799
|
)
|
|
$
|
53,305
|
|
Loss from operations
|
|
$
|
(17,754
|
)
|
|
$
|
1,771
|
|
|
$
|
(15,983
|
)
|
Net loss
|
|
$
|
(17,126
|
)
|
|
$
|
1,771
|
|
|
$
|
(15,355
|
)
|
|
|
|
|
|
|
|
|
|
|
Net loss per share:
|
|
|
|
|
|
|
|
|
|
Basic and diluted
|
|
$
|
(0.18
|
)
|
|
$
|
0.02
|
|
|
$
|
(0.16
|
)
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP net loss before taxes
|
|
$
|
(5,191
|
)
|
|
$
|
1,771
|
|
|
$
|
(3,420
|
)
|
Non-GAAP net loss after taxes
|
|
$
|
(5,282
|
)
|
|
$
|
1,771
|
|
|
$
|
(3,511
|
)
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP net loss per share:
|
|
|
|
|
|
|
|
|
|
Basic and diluted
|
|
$
|
(0.06
|
)
|
|
$
|
0.02
|
|
|
$
|
(0.04
|
)
|
|
|
|
|
|
|
|
|
|
|
View source version on businesswire.com: https://www.businesswire.com/news/home/20180726005877/en/
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