Exhibit 99.1
Salary.com Announces Third Quarter 2010 Financial Results
Reports 35th Consecutive Quarter of Revenue Growth
NEEDHAM, Mass. – February 8, 2010 – Salary.com, Inc. (NASDAQ: SLRY), a leading provider of on-demand talent management, payroll, and compensation solutions, today announced financial results for its third quarter of fiscal 2010, which ended December 31, 2009.
Revenue in the third quarter of fiscal 2010 was $11.9 million, an increase of 8% over the third quarter of fiscal 2009. Calculated bookings were $13.3 million, a decrease of 7% over the third quarter of fiscal 2009, and an increase of 9% from the second quarter of fiscal 2010. Non-GAAP operating cash flow, which excludes cash payments for severance, was an outflow of $416,000 in the third quarter of fiscal 2010, and an inflow of $476,000 year-to-date. GAAP operating cash flow was an outflow of $530,000 in the third quarter of fiscal 2010.
Kent Plunkett, founder and chief executive officer of Salary.com, stated, “We have recorded our 35th consecutive quarter of revenue growth, with revenue at the upper end of our expected range. Strong revenue and effective cost management helped us achieve GAAP and non-GAAP net losses that were better than the low end of our guided ranges. Despite a smaller than expected net loss, non-GAAP operating cash flow dipped negative in Q3, though on a year-to-date basis, operating cash flow improved by approximately $7 million compared to the same period in fiscal 2009. We remain committed to – and continue to anticipate – delivering positive operating cash flow on a full-year basis, excluding severance payments. Order trends were healthy in the third quarter with momentum increasing toward quarter-end, resulting in calculated bookings that were up 9% from the second quarter of fiscal 2010. We believe our family of SaaS-based human capital management software and data is increasingly competitive in the marketplace and positions us for long-term success.”
Third Quarter 2010 Financial Summary
| • | Third quarter revenue was $11.9 million, an increase of 8% over the third quarter of fiscal 2009. |
| • | On a GAAP basis, for the third quarter of fiscal 2010, Salary.com reported a net loss of $4.0 million, or ($0.24) per diluted share, compared to a net loss of $5.2 million, or ($0.31) per diluted share, in the third quarter of fiscal 2009. |
| • | On a non-GAAP basis, excluding stock-based compensation, amortization of intangibles and restructuring expenses, Salary.com reported a net loss of $1.0 million, or ($0.06) per diluted share, for the third quarter of fiscal 2010, a substantial improvement compared to a net loss of $2.6 million, or ($0.16) per diluted share, in the third quarter of fiscal 2009. |
| • | Cash and cash equivalents as of December 31, 2009 were $11.2 million, compared to $16.1 million as of September 30, 2009. Net cash as of December 31, 2009 was $8.7 million, compared to $10.1 million as of September 30, 2009. |
| • | Current deferred revenue was $28.6 million as of December 31, 2009, compared to $27.3 million as of September 30, 2009. Total deferred revenue grew to $31.3 million as of December 31, 2009, from $29.9 million as of September 30, 2009. |
| • | Excluding cash payments for severance, non-GAAP cash flow from operations was a net outflow of $416,000 in the third quarter of fiscal 2010. Non-GAAP operating cash flow for the three quarters ended December 31, 2009 was an inflow of $476,000. Including the payments for severance, GAAP cash flow from operations was a net outflow of $530,000 in the third quarter of fiscal 2010, a $3.2 million improvement compared to the same period a year ago. |
Additional Third Quarter Business Highlights
| • | During the third quarter, Salary.com added approximately 100 customers, and ended the quarter with approximately 3,600 enterprise customers. |
| • | New customer additions in the third quarter of fiscal 2010 included: ACCO Brands Corporation, Elliot Health Systems, First Citizens Banc Corporation, MDU Resource Group, News Corporation and Pinnacle Airlines. |
| • | Fourteen transactions larger than $100,000 were completed during the third quarter. Four of those transactions were larger than $250,000 in size. |
Bryce Chicoyne, Salary.com’s chief financial officer said, “We delivered results at the top end of our revenue guidance, and a better than expected net loss. Higher accounts receivable, largely due to challenges with a single account, caused our non-GAAP operating cash flow to dip negative in the third quarter. However, management remains committed to driving top-line growth and delivering positive operating cash flow on a full-year basis. Continued trends of posting larger transactions that include multiple products combined with healthy retention rates continue to drive our long-term optimism.”
Business Outlook
For the fourth quarter of fiscal 2010, Salary.com expects total revenue in the range of $11.0 million to $12.0 million. Non-GAAP net loss is expected to be in the range of $1.6 million to $3.0 million. Non-GAAP net loss excludes non-cash stock-based compensation expenses in the range of $1.6 million to $1.8 million, amortization of intangibles in the range of $1.1 million to $1.2 million, and restructuring charges of approximately $300,000. GAAP net loss for the fourth quarter of fiscal 2010 is expected to be in the range of $4.6 million to $6.3 million. Weighted average diluted shares for the quarter are estimated to be approximately 16.6 million shares.
For the full year fiscal 2010, we expect revenue to be in the range of $45.9 million to $46.9 million. Non-GAAP net loss is expected to be in the range of $6.9 million to $8.3 million. Non-GAAP net loss excludes non-cash impact of stock-based compensation in the range of $6.2 million to $6.5 million, amortization of intangibles in the range of $4.6 million to $4.7 million, and restructuring charges of approximately $500,000. On a GAAP basis, net loss for fiscal 2010 is expected to be in the range of $18.4 million to $20.1 million. Non-GAAP cash flow from operations, which excludes the above mentioned restructuring costs, is expected to be in the range of $0.5 million to $1.0 million in fiscal 2010. Weighted average diluted shares for the year are estimated to be approximately 16.5 million shares.
Conference call
| What: | Salary.com third quarter financial results and business overview conference call and webcast | |
| When: | Monday, February 8, 2010 | |
| Time: | 5:00 PM ET | |
| Live Call: | (888) 500-6948, domestic | |
| (719) 325-2364, international | ||
| Replay: | (888) 203-1112, conference ID 7542416, domestic | |
| (719) 457-0820, conference ID 7542416, international | ||
| Webcast: | http://investor.salary.com/events.cfm (live and replay) |
NON-GAAP FINANCIAL MEASURES
The non-GAAP financial measures in the text of this press release and accompanying non-GAAP supplemental information represent financial measures used by Salary.com’s management to evaluate the operating performance of the Company and to conduct its business operations. Non-GAAP financial measures discussed in the press release relate to the Company’s net income (loss) and operating expenses and exclude amortization of intangible assets, stock-based compensation, and restructuring charges. This press release also discusses operating cash flows excluding severance costs. By excluding these items and by providing information on the Company’s non-GAAP financial measure of bookings (which includes the Company’s GAAP revenue and change in its deferred revenue) in addition to its GAAP revenues, Salary.com can evaluate its operations and can compare its results on a more consistent basis to the results of other companies in the industry. Management uses these non-GAAP financial measures for planning purposes, including the preparation of operating budgets and to determine appropriate levels of operating and capital investments. Management also believes that the non-GAAP financial measures provide additional insight for analysts and investors in evaluating the Company’s financial and operational performance and in assisting investors in comparing the Company’s financial performance to those of other companies in the Company’s industry, many of which present similar non-GAAP financial measures to investors. However, these non-GAAP financial measures are not intended to be an alternative to financial measures prepared in accordance with GAAP and should not be considered in isolation from our GAAP results of operations. Pursuant to the requirements of the SEC rules under Regulation G, a detailed reconciliation between the Company’s GAAP and non-GAAP financial results is provided in this press release and investors are advised to carefully review and consider this information as well as the GAAP financial results that are disclosed in the Company’s SEC filings.
About Salary.com, Inc.
Salary.com™ is a leading provider of on-demand talent management, payroll, and compensation solutions helping businesses and individuals manage pay and performance. Salary.com’s highly configurable software applications, proprietary data and consulting services help HR and compensation professionals automate, streamline and optimize critical talent management processes including: payroll, benefits, HR administration, market pricing, compensation planning, performance management, competency management, learning and development, and succession planning. Built with compensation and competency data at the core, Salary.com solutions provide businesses of all sizes with the most productive and cost-effective way to manage and inspire their most important asset — their people. For more information, visitwww.salary.com.
SLRY-F
SOURCE: Salary.com
Media Contact:
Carol Ferrari
Salary.com
(781) 851-8983
press@salary.com
Investor Contact:
Garo Toomajanian
ICR, LLC
(781) 851-8540
ir@salary.com
Safe Harbor Statement
This release contains “forward-looking” statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These are statements that are predictive in nature, that depend upon or refer to future events or conditions, or that include words such as “may,” “will,” “expects,” “projects,” “anticipates,” “estimates,” “believes,” “intends,” “plans,” “should,” “seeks,” and similar expressions. This press release contains forward-looking statements relating to, among other things, Salary.com’s expectations and assumptions concerning future performance and growth, including expectations of financial performance in the fourth quarter of 2010 and the full fiscal year 2010. Forward-looking statements involve known and unknown risks and uncertainties that may cause actual future results to differ materially from those projected or contemplated in the forward-looking statements. The risks and uncertainties referred to above include, but are not limited to, the continued impact of the recent global economic recession and uncertainty in the information technology spending environment, risks associated with possible fluctuations in our operating results and rate of growth, integration and performance of acquired businesses, our history of operating losses, the possibility that we will not achieve GAAP profitability or our expectations for Non-GAAP net loss, our ability to maintain and expand our customer base and product and service offerings, interruptions or delays in our service or our Web hosting, our business model, our ability to continue to obtain compensation data, breach of our security measures, the emerging market in which we operate, our ability to hire, retain and motivate our employees and manage our growth, our ability to generate additional revenues from our investments in sales and marketing, competition, our ability to continue to release and gain customer acceptance of new and improved versions of our service, successful customer deployment and utilization of our services, our ability to effectively protect our intellectual property and not infringe on the intellectual property of others, fluctuations in the number of shares outstanding and general economic factors, as well as those risks and uncertainties described in Salary.com’s filings with the Securities and Exchange Commission, including the Company’s Form 10-K for the year ended March 31, 2009 and Form 10-Q for the quarter ended September 30, 2009. Salary.com expressly disclaims any obligation to update any forward-looking statements.
Exhibit 1
Salary.com, Inc.
Condensed Consolidated Balance Sheets
(in thousands, unaudited)
| December 31, 2009 | March 31, 2009 | |||||
ASSETS | ||||||
Current assets: | ||||||
Cash and cash equivalents | $ | 11,225 | $ | 21,085 | ||
Accounts receivable, net of allowance for doubtful accounts | 8,069 | 6,040 | ||||
Prepaid expenses and other current assets | 1,627 | 1,558 | ||||
Total current assets before funds held for clients | 20,921 | 28,683 | ||||
Funds held for clients | 10,388 | 12,964 | ||||
Total current assets | 31,309 | 41,647 | ||||
Property, equipment and software, net | 2,213 | 3,025 | ||||
Goodwill and intangible assets, net | 32,111 | 32,350 | ||||
Other assets | 1,381 | 1,679 | ||||
Total assets | $ | 67,014 | $ | 78,701 | ||
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||
Current liabilities: | ||||||
Accounts payable and accrued compensation | $ | 3,630 | $ | 2,342 | ||
Accrued expenses and other current liabilities | 5,934 | 3,300 | ||||
Long term debt | 2,525 | 8,125 | ||||
Deferred revenue, current portion | 28,632 | 26,556 | ||||
Total current liabilities before client funds obligations | 40,721 | 40,323 | ||||
Client funds obligations | 10,388 | 12,964 | ||||
Total current liabilities | 51,109 | 53,287 | ||||
Deferred revenue, net of current portion | 2,707 | 1,729 | ||||
Long term liabilities | 1,675 | 1,742 | ||||
Total liabilities | 55,491 | 56,758 | ||||
Total stockholders’ equity | ||||||
Total stockholders’ equity | 11,523 | 21,943 | ||||
Total liabilities and stockholders’ equity | $ | 67,014 | $ | 78,701 | ||
Exhibit 2
Salary.com, Inc.
Consolidated Statements of Operations
(in thousands, unaudited)
| Three Months Ended December 31, | Nine Months Ended December 31, | |||||||||||||||
| 2009 | 2008 | 2009 | 2008 | |||||||||||||
Revenues: | ||||||||||||||||
Subscription revenues | $ | 11,312 | $ | 10,267 | $ | 32,506 | $ | 29,115 | ||||||||
Advertising revenues | 560 | 735 | 2,369 | 2,048 | ||||||||||||
Total revenues | 11,872 | 11,002 | 34,875 | 31,163 | ||||||||||||
Cost of revenues (1) | 3,746 | 2,961 | 11,125 | 9,333 | ||||||||||||
Gross profit | 8,126 | 8,041 | 23,750 | 21,830 | ||||||||||||
Operating expenses: | ||||||||||||||||
Research and development (1) | 2,436 | 2,211 | 7,137 | 6,317 | ||||||||||||
Sales and marketing (1) | 5,249 | 6,715 | 16,525 | 20,357 | ||||||||||||
General and administrative (1) | 3,643 | 3,749 | 11,413 | 11,726 | ||||||||||||
Amortization of intangible assets | 764 | 495 | 2,257 | 1,288 | ||||||||||||
Total operating expenses | 12,092 | 13,170 | 37,332 | 39,688 | ||||||||||||
Loss from operations | (3,966 | ) | (5,129 | ) | (13,582 | ) | (17,858 | ) | ||||||||
Other income: | ||||||||||||||||
Interest income | 1 | 61 | 11 | 518 | ||||||||||||
Other income (expense) | 21 | (52 | ) | (136 | ) | (109 | ) | |||||||||
Total other income | 22 | 9 | (125 | ) | 409 | |||||||||||
Loss before provision for income taxes | (3,944 | ) | (5,120 | ) | (13,707 | ) | (17,449 | ) | ||||||||
Provision for income taxes | 16 | 36 | 62 | 179 | ||||||||||||
Net loss | $ | (3,960 | ) | $ | (5,156 | ) | $ | (13,769 | ) | $ | (17,628 | ) | ||||
Net loss per share - basic and diluted | $ | (0.24 | ) | $ | (0.31 | ) | $ | (0.84 | ) | $ | (1.09 | ) | ||||
Weighted average shares outstanding - basic and diluted | 16,512 | 16,601 | 16,313 | 16,229 | ||||||||||||
(1) Amounts include stock-based compensation expense, as follows: | ||||||||||||||||
| Three Months Ended December 31, | Nine Months Ended December 31, | |||||||||||||||
| 2009 | 2008 | 2009 | 2008 | |||||||||||||
Cost of revenues | $ | 200 | $ | 298 | $ | 630 | $ | 1,105 | ||||||||
Research and development | 288 | 282 | 826 | 1,070 | ||||||||||||
Sales and marketing | 537 | 574 | 1,705 | 2,011 | ||||||||||||
General and administrative | 646 | 523 | 1,491 | 1,956 | ||||||||||||
| $ | 1,671 | $ | 1,677 | $ | 4,652 | $ | 6,142 | |||||||||
Exhibit 3
Salary.com, Inc.
Condensed Consolidated Statements of Cash Flows
(in thousands, unaudited)
| Three Months Ended December 31, | Nine Months Ended December 31, | |||||||||||||||
| 2009 | 2008 | 2009 | 2008 | |||||||||||||
Cash flows from operating activities: | ||||||||||||||||
Net loss | $ | (3,960 | ) | $ | (5,156 | ) | $ | (13,769 | ) | $ | (17,628 | ) | ||||
Adjustments to reconcile net loss to net cash provided by (used in) operating activities: | ||||||||||||||||
Depreciation and amortization | 1,590 | 1,256 | 4,843 | 3,439 | ||||||||||||
Stock-based compensation | 1,671 | 1,677 | 4,652 | 6,142 | ||||||||||||
Other non-cash items | 23 | (93 | ) | 352 | 396 | |||||||||||
Change in operating assets and liabilities | 146 | (1,420 | ) | 3,898 | 847 | |||||||||||
Net cash used in operating activities | (530 | ) | (3,736 | ) | (24 | ) | (6,804 | ) | ||||||||
Cash flows from investing activities: | ||||||||||||||||
Cash paid for acquisition of business | (75 | ) | (7,024 | ) | (121 | ) | (12,661 | ) | ||||||||
Cash paid for intangible assets | (72 | ) | — | (456 | ) | (32 | ) | |||||||||
Increase in restricted cash | — | (5 | ) | (1 | ) | (383 | ) | |||||||||
Purchases of property and equipment | (17 | ) | (985 | ) | (162 | ) | (1,533 | ) | ||||||||
Capitalization of software development costs | (46 | ) | (18 | ) | (219 | ) | (97 | ) | ||||||||
Proceeds on sale of property and equipment | 20 | — | 23 | — | ||||||||||||
Net increase in assets held to satisfy client funds obligations | (987 | ) | (7,509 | ) | 2,576 | (7,509 | ) | |||||||||
Net cash provided by (used in) investing activities | (1,177 | ) | (15,541 | ) | 1,640 | (22,215 | ) | |||||||||
Cash flows from financing activities: | ||||||||||||||||
Net proceeds from exercise (buyback) of common stock options and warrants | (406 | ) | 47 | (2,752 | ) | 142 | ||||||||||
Net proceeds from line of credit and notes payable | (3,575 | ) | 7,235 | (5,802 | ) | 7,171 | ||||||||||
Net increase in client funds obligation | 987 | 7,509 | (2,576 | ) | 7,509 | |||||||||||
Net cash provided by (used in) financing activities | (2,994 | ) | 14,791 | (11,130 | ) | 14,822 | ||||||||||
Effect of exchange rate changes on cash and cash equivalents | (154 | ) | (58 | ) | (346 | ) | (56 | ) | ||||||||
Decrease in cash and cash equivalents | (4,855 | ) | (4,544 | ) | (9,860 | ) | (14,253 | ) | ||||||||
Cash and cash equivalents, beginning of period | 16,080 | 28,018 | 21,085 | 37,727 | ||||||||||||
Cash and cash equivalents, end of period | $ | 11,225 | $ | 23,474 | $ | 11,225 | $ | 23,474 | ||||||||
Exhibit 4
Salary.com, Inc.
Reconciliation of Non-GAAP Measures
(in thousands, unaudited)
| Three Months Ended December 31, | Nine Months Ended December 31, | |||||||||||||||
| 2009 | 2008 | 2009 | 2008 | |||||||||||||
Reconciliation of GAAP loss from operations to non-GAAP loss from operations: | ||||||||||||||||
Loss from operations | $ | (3,966 | ) | $ | (5,129 | ) | $ | (13,582 | ) | $ | (17,858 | ) | ||||
Amortization of intangible assets | 764 | 495 | 2,257 | 1,288 | ||||||||||||
Amortization of intangible assets (included in cost of revenues) | 427 | 403 | 1,269 | 1,226 | ||||||||||||
Restructuring charges | 114 | — | 232 | — | ||||||||||||
Stock-based compensation | 1,671 | 1,677 | 4,652 | 6,142 | ||||||||||||
Non-GAAP loss from operations | $ | (990 | ) | $ | (2,554 | ) | $ | (5,172 | ) | $ | (9,202 | ) | ||||
Reconciliation of GAAP net loss to non-GAAP net loss: | ||||||||||||||||
GAAP net loss | $ | (3,960 | ) | $ | (5,156 | ) | $ | (13,769 | ) | $ | (17,628 | ) | ||||
Amortization of intangible assets | 764 | 495 | 2,257 | 1,288 | ||||||||||||
Amortization of intangible assets (included in cost of revenues) | 427 | 403 | 1,269 | 1,226 | ||||||||||||
Restructuring charges | 114 | — | 232 | — | ||||||||||||
Stock-based compensation | 1,671 | 1,677 | 4,652 | 6,142 | ||||||||||||
Non-GAAP net loss | $ | (984 | ) | $ | (2,581 | ) | $ | (5,359 | ) | $ | (8,972 | ) | ||||
Non-GAAP net loss per share | $ | (0.06 | ) | $ | (0.16 | ) | $ | (0.33 | ) | $ | (0.55 | ) | ||||
Weighted average shares outstanding - basic and diluted | 16,512 | 16,601 | 16,313 | 16,229 | ||||||||||||
Exhibit 5
SALARY.COM
Reconciliation of Certain GAAP to Non-GAAP Financial Measures
(In thousands, unaudited)
| Three months ended December 31, 2009 | ||||||||||||||||||
| US GAAP Results | Amortization of Intangible Assets | Stock-based Compensation Expense | Restructuring Charges | Non-GAAP Results | ||||||||||||||
Cost of revenues | $ | 3,746 | $ | (427 | ) | $ | (200 | ) | $ | — | $ | 3,119 | ||||||
Research and development expenses | 2,436 | — | (288 | ) | — | 2,148 | ||||||||||||
Sales and marketing expenses | 5,249 | — | (537 | ) | — | 4,712 | ||||||||||||
General and administrative expenses | 3,643 | — | (646 | ) | (114 | ) | 2,883 | |||||||||||
Amortization of intangible assets | 764 | (764 | ) | — | — | — | ||||||||||||
Total operating expenses | $ | 12,092 | $ | (764 | ) | $ | (1,471 | ) | $ | (114 | ) | $ | 9,743 | |||||
| Three months ended December 31, 2008 | ||||||||||||||||||
| US GAAP Results | Amortization of Intangible Assets | Stock-based Compensation Expense | Restructuring Charges | Non-GAAP Results | ||||||||||||||
Cost of revenues | $ | 2,961 | $ | (403 | ) | $ | (298 | ) | $ | — | $ | 2,260 | ||||||
Research and development expenses | 2,211 | — | (282 | ) | — | 1,929 | ||||||||||||
Sales and marketing expenses | 6,715 | — | (574 | ) | — | 6,141 | ||||||||||||
General and administrative expenses | 3,749 | — | (523 | ) | — | 3,226 | ||||||||||||
Amortization of intangible assets | 495 | (495 | ) | — | — | — | ||||||||||||
Total operating expenses | $ | 13,170 | $ | (495 | ) | $ | (1,379 | ) | $ | — | $ | 11,296 | ||||||
| Nine months ended December 31, 2009 | ||||||||||||||||||
| US GAAP Results | Amortization of Intangible Assets | Stock-based Compensation Expense | Restructuring Charges | Non-GAAP Results | ||||||||||||||
Cost of revenues | $ | 11,125 | $ | (1,269 | ) | $ | (630 | ) | $ | — | $ | 9,226 | ||||||
Research and development expenses | 7,137 | — | (826 | ) | — | 6,311 | ||||||||||||
Sales and marketing expenses | 16,525 | — | (1,705 | ) | — | 14,820 | ||||||||||||
General and administrative expenses | 11,413 | — | (1,491 | ) | (232 | ) | 9,690 | |||||||||||
Amortization of intangible assets | 2,257 | (2,257 | ) | — | — | — | ||||||||||||
Total operating expenses | $ | 37,332 | $ | (2,257 | ) | $ | (4,022 | ) | $ | (232 | ) | $ | 30,821 | |||||
| Nine months ended December 31, 2008 | ||||||||||||||||||
| US GAAP Results | Amortization of Intangible Assets | Stock-based Compensation Expense | Restructuring Charges | Non-GAAP Results | ||||||||||||||
Cost of revenues | $ | 9,333 | $ | (1,226 | ) | $ | (1,105 | ) | $ | — | $ | 7,002 | ||||||
Research and development expenses | 6,317 | — | (1,070 | ) | — | 5,247 | ||||||||||||
Sales and marketing expenses | 20,357 | — | (2,011 | ) | — | 18,346 | ||||||||||||
General and administrative expenses | 11,726 | — | (1,956 | ) | — | 9,770 | ||||||||||||
Amortization of intangible assets | 1,288 | (1,288 | ) | — | — | — | ||||||||||||
Total operating expenses | $ | 39,688 | $ | (1,288 | ) | $ | (5,037 | ) | $ | — | $ | 33,363 | ||||||
Exhibit 6
Salary.com, Inc.
Reconciliation of Non-GAAP Measures
(in thousands, unaudited)
| Three Months Ended December 31, | Nine Months Ended December 31, | |||||||||||
| 2009 | 2008 | 2009 | 2008 | |||||||||
Calculated bookings: | ||||||||||||
Revenue | $ | 11,872 | $ | 11,002 | $ | 34,875 | $ | 31,163 | ||||
Change in deferred revenue | 1,474 | 3,350 | 3,054 | 5,270 | ||||||||
Calculated bookings | $ | 13,346 | $ | 14,352 | $ | 37,929 | $ | 36,433 | ||||
Exhibit 7
Salary.com, Inc.
Reconciliation of Non-GAAP Measures
(in thousands, unaudited)
| Three Months Ended December 31, | Nine Months Ended December 31, | |||||||||||||||
| 2009 | 2008 | 2009 | 2008 | |||||||||||||
Net cash used in operating activities | $ | (530 | ) | $ | (3,736 | ) | $ | (24 | ) | $ | (6,804 | ) | ||||
Payments of severance related payments | 114 | — | 500 | — | ||||||||||||
Non-GAAP cash provided by operating activities | $ | (416 | ) | $ | (3,736 | ) | $ | 476 | $ | (6,804 | ) | |||||