Exhibit 99.2 |
Q4 2021 FINANCIAL RESULTS AND BUSINESS UPDATES | 2 |
Q4 2021 FINANCIAL RESULTS AND BUSINESS UPDATES | 3 |
Q4 2021 FINANCIAL RESULTS AND BUSINESS UPDATES | 4 |
Q4 2021 FINANCIAL RESULTS AND BUSINESS UPDATES | 5 |
Quotient’s Promotion Amplification greatly expanded the reach and strength of our existing temporary price reduction weeks, which would normally only be communicated on-shelf. This capability allowed us to reach shoppers in a third-party digital environment and notify them of an existing sale when the product might not have made Stop & Shop’s weekly ad or email. This program was even more important as we had to make significant changes to our traditional promotion tactics during a pandemic year. Ultimately, it was an effective optimization of marketing and trade support to drive sales lift and incremental return on ad spend. — David Li, Associate Shopper Marketing Manager, PepsiCo |
Q4 2021 FINANCIAL RESULTS AND BUSINESS UPDATES | 6 |
Q4 2021 FINANCIAL RESULTS AND BUSINESS UPDATES | 7 |
Q4 2021 FINANCIAL RESULTS AND BUSINESS UPDATES | 8 |
Q4 2021 FINANCIAL RESULTS AND BUSINESS UPDATES | 9 |
Steven Boal |
Chief Executive Officer |
Q4 2021 FINANCIAL RESULTS AND BUSINESS UPDATES | 10 |
● | We delivered revenue of $521.5 million, up 17% over FY’20. |
● | GAAP gross margin was $188.8 million and 36.2% of revenue, compared to $168.0 million and 37.7% of revenue in FY’20. |
● | Non-GAAP gross margin was $218.6 million and 41.9% of revenue, compared to $204.2 million and 45.8% of revenue in FY’20. |
● | GAAP operating expenses were $215.4 million and 41.3% of revenue, compared to $219.3 million and 49.2% of revenue in FY’20. |
● | Non-GAAP operating expenses were $185.6 million and 35.6% of revenue, compared to the prior year of $165.4 million and 37.1% of revenue. |
● | We recorded a GAAP net loss for the year of $45.6 million, compared to a net loss of $65.4 million in FY’20. The decrease in GAAP net loss from the prior year is due primarily to an increase in gross profit of $20.8 million resulting from lower expenses. FY’20 included charges related to changes in fair value of contingent consideration and a one-time charge to settle a contract dispute with one of our retailers. In addition, we recorded lower amortization of acquired intangible assets compared to the prior year. Net Loss Per Share was $0.49 compared to $0.72 in FY’20. |
● | Adjusted EBITDA was $40.6 million, representing a 7.8% margin. |
● | We ended the year with cash and cash equivalents of $237.4 million. |
Q4 2021 FINANCIAL RESULTS AND BUSINESS UPDATES | 11 |
● | We delivered revenue of $146.4 million, up 3% over Q4’20. |
● | GAAP gross margin was $54.4 million and 37.2% of revenue, compared to $50.1 million and 35.1% of revenue in Q4 of the prior year. |
● | Non-GAAP gross margin was $57.5 million and 39.3% of revenues, compared to $64.3 million and 45.1% of revenues in Q4 of the prior year. |
● | GAAP operating expenses were $54.7 million and 37.4% of revenue, compared to $71.6 million and 50.3% of revenue in Q4 of the prior year. |
● | Non-GAAP operating expenses were $47.4 million and 32.4% of revenue, compared to the prior year of $48.4 million and 34.0% of revenue. |
● | We recorded a GAAP net loss for the quarter of $7.1 million, compared to a net loss of $25.3 million in Q4’20. The decrease in GAAP net loss from the prior year is due primarily to lower operating expenses. The prior year quarter included charges associated with the change in fair value of contingent consideration and a one-time charge to settle a contract dispute with one of our retailers. In addition, we recorded lower amortization of intangible assets in the current quarter due to a write-down of intangible assets in Q3’21. Net Loss Per Share in the quarter was $0.08 compared to $0.28 in Q4’20. |
● | Adjusted EBITDA was $12.1 million, representing an 8.3% margin. |
Q4 2021 FINANCIAL RESULTS AND BUSINESS UPDATES | 12 |
Q4 2021 FINANCIAL RESULTS AND BUSINESS UPDATES | 13 |
Q4 2021 FINANCIAL RESULTS AND BUSINESS UPDATES | 14 |
Q4 2021 FINANCIAL RESULTS AND BUSINESS UPDATES | 15 |
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Q4 2021 FINANCIAL RESULTS AND BUSINESS UPDATES | 16 |
Q4 2021 FINANCIAL RESULTS AND BUSINESS UPDATES | 17 |
Q4 2021 FINANCIAL RESULTS AND BUSINESS UPDATES | 18 |
Q4 2021 FINANCIAL RESULTS AND BUSINESS UPDATES | 19 |
Q4 2021 FINANCIAL RESULTS AND BUSINESS UPDATES | 20 |
QUOTIENT TECHNOLOGY INC. | |||||||
CONDENSED CONSOLIDATED BALANCE SHEETS | |||||||
(in thousands) | |||||||
December 31, 2021 | December 31, 2020 | ||||||
(unaudited) | |||||||
Assets | |||||||
Current assets: | |||||||
Cash and cash equivalents | $ | 237,417 |
| $ | 222,752 |
| |
Accounts receivable, net |
| 177,216 |
|
| 137,649 |
| |
Prepaid expenses and other current assets |
| 19,312 |
|
| 18,547 |
| |
Total current assets |
| 433,945 |
|
| 378,948 |
| |
Property and equipment, net |
| 22,660 |
|
| 17,268 |
| |
Operating lease right-of-use-assets |
| 23,874 |
|
| 16,222 |
| |
Intangible assets, net |
| 13,003 |
|
| 44,898 |
| |
Goodwill |
| 128,427 |
|
| 128,427 |
| |
Other assets |
| 13,571 |
|
| 1,029 |
| |
Total assets | $ | 635,480 |
| $ | 586,792 |
| |
Liabilities and Stockholders’ Equity | |||||||
Current liabilities: | |||||||
Accounts payable | $ | 18,021 |
| $ | 15,959 |
| |
Accrued compensation and benefits |
| 20,223 |
|
| 14,368 |
| |
Other current liabilities |
| 95,279 |
|
| 70,620 |
| |
Deferred revenues |
| 26,778 |
|
| 12,027 |
| |
Contingent consideration related to acquisitions |
| 22,275 |
|
| 8,524 |
| |
Convertible senior notes, net |
| 188,786 |
|
| — |
| |
Total current liabilities |
| 371,362 |
|
| 121,498 |
| |
Operating lease liabilities |
| 26,903 |
|
| 15,956 |
| |
Other non-current liabilities |
| 522 |
|
| 2,358 |
| |
Contingent consideration related to acquisitions |
| — |
|
| 20,930 |
| |
Convertible senior notes, net |
| — |
|
| 177,168 |
| |
Deferred tax liabilities |
| 1,991 |
|
| 1,853 |
| |
Total liabilities |
| 400,778 |
|
| 339,763 |
| |
Stockholders’ equity: | |||||||
Common stock |
| 1 |
|
| 1 |
| |
Additional paid-in capital |
| 731,672 |
|
| 698,333 |
| |
Accumulated other comprehensive loss |
| (1,099 | ) |
| (1,001 | ) | |
Accumulated deficit |
| (495,872 | ) |
| (450,304 | ) | |
Total stockholders’ equity |
| 234,702 |
|
| 247,029 |
| |
Total liabilities and stockholders’ equity | $ | 635,480 |
| $ | 586,792 |
|
Q4 2021 FINANCIAL RESULTS AND BUSINESS UPDATES | 21 |
QUOTIENT TECHNOLOGY INC. | |||||||||||||||
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS | |||||||||||||||
(Unaudited, in thousands, except per share data) | |||||||||||||||
Three Months Ended December 31, | Year Ended December 31, | ||||||||||||||
2021 | 2020 | 2021 | 2020 | ||||||||||||
Revenues | $ | 146,414 |
| $ | 142,529 |
| $ | 521,494 |
| $ | 445,887 |
| |||
Cost of revenues (1) |
| 91,992 |
|
| 92,469 |
|
| 332,672 |
|
| 277,914 |
| |||
Gross margin |
| 54,422 |
|
| 50,060 |
|
| 188,822 |
|
| 167,973 |
| |||
Operating Expenses: | |||||||||||||||
Sales and marketing (1) |
| 27,030 |
|
| 31,124 |
|
| 112,263 |
|
| 104,527 |
| |||
Research and development (1) |
| 10,400 |
|
| 11,358 |
|
| 44,941 |
|
| 40,316 |
| |||
General and administrative (1) |
| 16,690 |
|
| 14,720 |
|
| 56,776 |
|
| 54,177 |
| |||
Change in fair value of contingent consideration |
| 620 |
|
| 14,446 |
|
| 1,392 |
|
| 20,234 |
| |||
Total operating expenses |
| 54,740 |
|
| 71,648 |
|
| 215,372 |
|
| 219,254 |
| |||
Loss from operations |
| (318 | ) |
| (21,588 | ) |
| (26,550 | ) |
| (51,281 | ) | |||
Interest expense |
| (3,871 | ) |
| (3,691 | ) |
| (15,177 | ) |
| (14,521 | ) | |||
Other income (expense), net |
| (80 | ) |
| 432 |
|
| (210 | ) |
| 1,140 |
| |||
Loss before income taxes |
| (4,269 | ) |
| (24,847 | ) |
| (41,937 | ) |
| (64,662 | ) | |||
Provision for income taxes |
| 2,841 |
|
| 458 |
|
| 3,631 |
|
| 719 |
| |||
Net loss | $ | (7,110 | ) | $ | (25,305 | ) | $ | (45,568 | ) | $ | (65,381 | ) | |||
Net loss per share, basic and diluted | $ | (0.08 | ) | $ | (0.28 | ) | $ | (0.49 | ) | $ | (0.72 | ) | |||
Weighted-average shares used to compute net loss per share, basic and diluted |
| 94,531 |
|
| 91,300 |
|
| 93,686 |
|
| 90,412 |
| |||
(1) The stock-based compensation expense included above was as follows: | |||||||||||||||
Three Months Ended December 31, | Year Ended December 31, | ||||||||||||||
2021 | 2020 | 2021 | 2020 | ||||||||||||
Cost of revenues | $ | 556 |
| $ | 479 |
| $ | 1,905 |
| $ | 1,743 |
| |||
Sales and marketing |
| 1,165 |
|
| 1,399 |
|
| 5,012 |
|
| 5,311 |
| |||
Research and development |
| 851 |
|
| 1,108 |
|
| 3,876 |
|
| 3,831 |
| |||
General and administrative |
| 3,166 |
|
| 4,364 |
|
| 12,019 |
|
| 17,486 |
| |||
Total stock-based compensation | $ | 5,738 |
| $ | 7,350 |
| $ | 22,812 |
| $ | 28,371 |
|
Q4 2021 FINANCIAL RESULTS AND BUSINESS UPDATES | 22 |
QUOTIENT TECHNOLOGY INC. | |||||||
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS | |||||||
(in thousands) | |||||||
Year Ended December 31, | |||||||
2021 | 2020 | ||||||
(Unaudited) | |||||||
Cash flows from operating activities: | |||||||
Net loss | $ | (45,568 | ) | $ | (65,381 | ) | |
Adjustments to reconcile net loss to net cash provided by operating activities: | |||||||
Depreciation and amortization |
| 29,464 |
|
| 36,352 |
| |
Stock-based compensation |
| 22,812 |
|
| 28,371 |
| |
Amortization of debt discount and issuance cost |
| 11,618 |
|
| 11,011 |
| |
Impairment of intangible asset |
| 9,086 |
|
| — |
| |
Allowance for credit losses |
| 568 |
|
| 888 |
| |
Deferred income taxes |
| 138 |
|
| 719 |
| |
Change in fair value of contingent consideration |
| 1,392 |
|
| 20,234 |
| |
Other non-cash expenses |
| 5,465 |
|
| 3,275 |
| |
Changes in operating assets and liabilities: | |||||||
Accounts receivable |
| (40,135 | ) |
| (13,232 | ) | |
Prepaid expenses and other assets |
| (14,326 | ) |
| 3,164 |
| |
Accounts payable and other liabilities |
| 27,576 |
|
| 15,554 |
| |
Payments for contingent consideration and bonuses |
| (2,901 | ) |
| (15,418 | ) | |
Accrued compensation and benefits |
| 6,070 |
|
| (197 | ) | |
Deferred revenues |
| 14,751 |
|
| 1,125 |
| |
Net cash provided by operating activities |
| 26,010 |
|
| 26,465 |
| |
Cash flows from investing activities: | |||||||
Purchases of property and equipment |
| (14,720 | ) |
| (8,351 | ) | |
Purchases of intangible assets |
| — |
|
| (3,018 | ) | |
Net cash used in investing activities |
| (14,720 | ) |
| (11,369 | ) | |
Cash flows from financing activities: | |||||||
Proceeds from issuances of common stock under stock plans |
| 16,219 |
|
| 5,002 |
| |
Payments for taxes related to net share settlement of equity awards |
| (6,333 | ) |
| (7,203 | ) | |
Principal payments on promissory note and finance lease obligations |
| (456 | ) |
| (391 | ) | |
Payments for contingent consideration |
| (6,121 | ) |
| (14,582 | ) | |
Net cash provided by (used in) financing activities |
| 3,309 |
|
| (17,174 | ) | |
Effect of exchange rates on cash and cash equivalents |
| 66 |
|
| 66 |
| |
Net increase (decrease) in cash and cash equivalents |
| 14,665 |
|
| (2,012 | ) | |
Cash and cash equivalents at beginning of period |
| 222,752 |
|
| 224,764 |
| |
Cash and cash equivalents at end of period | $ | 237,417 |
| $ | 222,752 |
|
Q4 2021 FINANCIAL RESULTS AND BUSINESS UPDATES | 23 |
QUOTIENT TECHNOLOGY INC. | ||||||||||||||||||||||||||||
RECONCILIATION OF NET LOSS TO ADJUSTED EBITDA AND ADJUSTED EBITDA MARGIN | ||||||||||||||||||||||||||||
(Unaudited, in thousands) | ||||||||||||||||||||||||||||
Three Months Ended December 31, | Year Ended December 31, | |||||||||||||||||||||||||||
2021 | 2020 | 2021 | 2020 | |||||||||||||||||||||||||
$ | % | $ | % | $ | % | $ | % | |||||||||||||||||||||
Net Loss ($) / Loss Margin (%) (2) | $ | (7,110 | ) | -5 | % | $ | (25,305 | ) | -18 | % | $ | (45,568 | ) | -9 | % | $ | (65,381 | ) | -15 | % | ||||||||
Adjustments: | ||||||||||||||||||||||||||||
Stock-based compensation |
| 5,738 |
| 4 | % |
| 7,350 |
| 5 | % |
| 22,812 |
| 4 | % |
| 28,371 |
| 6 | % | ||||||||
Depreciation and amortization |
| 5,039 |
| 3 | % |
| 9,830 |
| 7 | % |
| 29,464 |
| 6 | % |
| 36,352 |
| 8 | % | ||||||||
Acquisition related costs and other (1) |
| 1,055 |
| 1 | % |
| 7,872 |
| 6 | % |
| 13,508 |
| 3 | % |
| 12,361 |
| 3 | % | ||||||||
Change in fair value of contingent consideration |
| 620 |
| — |
|
| 14,446 |
| 10 | % |
| 1,392 |
| — |
|
| 20,234 |
| 5 | % | ||||||||
Interest expense |
| 3,871 |
| 3 | % |
| 3,691 |
| 3 | % |
| 15,177 |
| 3 | % |
| 14,521 |
| 3 | % | ||||||||
Other income (expense), net |
| 80 |
| — |
|
| (432 | ) | — |
|
| 210 |
| — |
|
| (1,140 | ) | — |
| ||||||||
Provision for income taxes |
| 2,841 |
| 2 | % |
| 458 |
| — |
|
| 3,631 |
| 1 | % |
| 719 |
| — |
| ||||||||
Total adjustments | $ | 19,243 |
| 13 | % | $ | 43,215 |
| 31 | % | $ | 86,193 |
| 17 | % | $ | 111,418 |
| 25 | % | ||||||||
Adjusted EBITDA ($) / Adjusted EBITDA Margin (%) (2) | $ | 12,134 |
| 8 | % | $ | 17,910 |
| 13 | % | $ | 40,626 |
| 8 | % | $ | 46,037 |
| 10 | % |
(1) | For the year ended December 31, 2021, Other includes a charge of $9.1 million related to the impairment of certain intangible assets due to the circumstances surrounding the termination of our partnership with Albertsons, and restructuring charges of $2.7 million. For the year ended December 31, 2020, Other includes a $8.8 million loss contingency/settlement related to a contract dispute with Albertsons associated with a guaranteed distribution fee arrangement and restructuring charges of $1.5 million. For the year ended December 31, 2019, Other includes restructuring charges of $4.3 million. | |
(2) | Profit (Loss) Margin and Adjusted EBITDA Margin is the ratio of Profit (Loss) to Revenues and Adjusted EBITDA to Revenues. |
QUOTIENT TECHNOLOGY INC. | ||||||||||||||||||||
RECONCILIATION OF NET LOSS TO ADJUSTED EBITDA AND ADJUSTED EBITDA MARGIN | ||||||||||||||||||||
(Unaudited, in thousands) | ||||||||||||||||||||
Q4 FY 20 | Q1 FY 21 | Q2 FY 21 | Q3 FY 21 | Q4 FY 21 | ||||||||||||||||
Net loss | $ | (25,305 | ) | $ | (13,414 | ) | $ | (17,201 | ) | $ | (7,843 | ) | $ | (7,110 | ) | |||||
Adjustments: | ||||||||||||||||||||
Stock-based compensation |
| 7,350 |
|
| 5,844 |
|
| 6,540 |
|
| 4,690 |
|
| 5,738 |
| |||||
Depreciation and amortization |
| 9,830 |
|
| 9,431 |
|
| 7,707 |
|
| 7,287 |
|
| 5,039 |
| |||||
Acquisition related costs and other (1) |
| 7,872 |
|
| 482 |
|
| 3,251 |
|
| 8,720 |
|
| 1,055 |
| |||||
Change in fair value of contingent consideration |
| 14,446 |
|
| 285 |
|
| 242 |
|
| 245 |
|
| 620 |
| |||||
Interest expense |
| 3,691 |
|
| 3,730 |
|
| 3,767 |
|
| 3,809 |
|
| 3,871 |
| |||||
Other (income) expense, net |
| (432 | ) |
| 228 |
|
| (194 | ) |
| 96 |
|
| 80 |
| |||||
Provision for income taxes |
| 458 |
|
| 249 |
|
| 218 |
|
| 323 |
|
| 2,841 |
| |||||
Total adjustments | $ | 43,215 |
| $ | 20,249 |
| $ | 21,531 |
| $ | 25,170 |
| $ | 19,243 |
| |||||
Adjusted EBITDA (1) | $ | 17,910 |
| $ | 6,835 |
| $ | 4,330 |
| $ | 17,327 |
| $ | 12,134 |
| |||||
Adjusted EBITDA Margin (2) |
| 13 | % |
| 6 | % |
| 3 | % |
| 13 | % |
| 8 | % |
(1) | Adjusted EBITDA, a non-GAAP financial measure, is net loss adjusted for stock-based compensation, depreciation and amortization, change in fair value of contingent consideration, interest expense, other (income) expense, net, provision for income taxes, and acquisition related costs and other, which includes: a settlement of $6.8 million related to a contract dispute during Q4 FY 20, charge of $2.6 million related to the impairment of a promotion service right and restructuring charges of $0.2 million during Q2 FY21; charge of $6.5 million related to the impairment of certain intangible assets and restructuring charges of $1.8 million during Q3 FY21; restructuring charges of $0.7 million during Q4 FY21. | |
(2) | Adjusted EBITDA margin is the ratio of Adjusted EBITDA and Revenues. |
Q4 2021 FINANCIAL RESULTS AND BUSINESS UPDATES | 24 |
QUOTIENT TECHNOLOGY INC. | ||||||||||||||||||||||
RECONCILIATION OF GROSS MARGIN TO NON-GAAP GROSS MARGIN | ||||||||||||||||||||||
(Unaudited, in thousands) | ||||||||||||||||||||||
Q4 FY 20 | Q3 FY 21 | Q4 FY 21 | FY 2020 | FY 2021 | ||||||||||||||||||
Revenues | $ | 142,529 |
| $ | 135,884 |
| $ | 146,414 |
| $ | 445,887 |
| $ | 521,494 |
| |||||||
Cost of revenues (GAAP) | $ | 92,469 |
| $ | 86,535 |
| $ | 91,992 |
| $ | 277,914 |
| $ | 332,672 |
| |||||||
(less) Stock-based compensation |
| (479 | ) |
| (525 | ) |
| (556 | ) |
| (1,743 | ) |
| (1,905 | ) | |||||||
(less) Amortization of acquired intangible assets |
| (6,930 | ) |
| (4,396 | ) |
| (2,337 | ) |
| (25,560 | ) |
| (18,603 | ) | |||||||
(less) Loss contingency/settlement related to a contract dispute |
| (6,834 | ) |
| — |
|
| — |
|
| (8,834 | ) |
| — |
| |||||||
(less) Impairment of certain intangible assets |
| (6,506 | ) |
| — |
|
| — |
|
| (9,086 | ) | ||||||||||
(less) Restructuring charges |
| — |
|
| (5 | ) |
| (158 | ) |
| (82 | ) |
| (163 | ) | |||||||
Cost of revenues (Non-GAAP) | $ | 78,226 |
| $ | 75,103 |
| $ | 88,941 |
| $ | 241,695 |
| $ | 302,915 |
| |||||||
Gross margin (GAAP) | $ | 50,060 |
| $ | 49,349 |
| $ | 54,422 |
| $ | 167,973 |
| $ | 188,822 |
| |||||||
Gross margin percentage (GAAP) |
| 35.1 | % |
| 36.3 | % |
| 37.2 | % |
| 37.7 | % |
| 36.2 | % | |||||||
Gross margin (Non-GAAP)* | $ | 64,303 |
| $ | 60,781 |
| $ | 57,473 |
| $ | 204,192 |
| $ | 218,579 |
| |||||||
Gross margin percentage (Non-GAAP) |
| 45.1 | % |
| 44.7 | % |
| 39.3 | % |
| 45.8 | % |
| 41.9 | % | |||||||
* Non-GAAP gross margin excludes stock-based compensation, amortization of acquired intangible assets, loss contingency/settlement related to a contract dispute, impairment of certain intangible assets, and restructuring charges. |
Q4 2021 FINANCIAL RESULTS AND BUSINESS UPDATES | 25 |
QUOTIENT TECHNOLOGY INC. | ||||||||||||||||||||||||||||||
RECONCILIATION OF OPERATING EXPENSES TO NON-GAAP OPERATING EXPENSES | ||||||||||||||||||||||||||||||
(Unaudited, in thousands) | ||||||||||||||||||||||||||||||
Q4 FY 20 | Q1 FY 21 | Q2 FY 21 | Q3 FY 21 | Q4 FY 21 | FY 2020 | FY 2021 | ||||||||||||||||||||||||
Revenues | $ | 142,529 |
| $ | 115,316 |
| $ | 123,880 |
| $ | 135,884 |
| $ | 146,414 |
| $ | 445,887 |
| $ | 521,494 |
| |||||||||
Sales and marketing expenses |
| 31,124 |
|
| 27,365 |
|
| 28,467 |
|
| 29,401 |
|
| 27,030 |
|
| 104,527 |
|
| 112,263 |
| |||||||||
(less) Stock-based compensation |
| (1,399 | ) |
| (1,255 | ) |
| (1,181 | ) |
| (1,411 | ) |
| (1,165 | ) |
| (5,311 | ) |
| (5,012 | ) | |||||||||
(less) Amortization of acquired intangible assets |
| (866 | ) |
| (866 | ) |
| (866 | ) |
| (837 | ) |
| (637 | ) |
| (3,562 | ) |
| (3,206 | ) | |||||||||
(less) Restructuring charges |
| — |
|
| — |
|
| (217 | ) |
| (903 | ) |
| (328 | ) |
| (526 | ) |
| (1,448 | ) | |||||||||
Non-GAAP Sales and marketing expenses | $ | 28,859 |
| $ | 25,244 |
| $ | 26,203 |
| $ | 26,250 |
| $ | 24,900 |
| $ | 95,128 |
| $ | 102,597 |
| |||||||||
Non-GAAP Sales and marketing percentage |
| 20 | % |
| 22 | % |
| 21 | % |
| 19 | % |
| 17 | % |
| 21 | % |
| 20 | % | |||||||||
Research and development |
| 11,358 |
|
| 12,056 |
|
| 11,411 |
|
| 11,074 |
|
| 10,400 |
|
| 40,316 |
|
| 44,941 |
| |||||||||
(less) Stock-based compensation |
| (1,108 | ) |
| (972 | ) |
| (977 | ) |
| (1,076 | ) |
| (851 | ) |
| (3,831 | ) |
| (3,876 | ) | |||||||||
(less) Restructuring charges |
| — |
|
| — |
|
| — |
|
| (463 | ) |
| (106 | ) |
| (283 | ) |
| (569 | ) | |||||||||
Non-GAAP Research and development expenses | $ | 10,250 |
| $ | 11,084 |
| $ | 10,434 |
| $ | 9,535 |
| $ | 9,443 |
| $ | 36,202 |
| $ | 40,496 |
| |||||||||
Non-GAAP Research and development percentage |
| 7 | % |
| 10 | % |
| 8 | % |
| 7 | % |
| 6 | % |
| 8 | % |
| 8 | % | |||||||||
General and administrative expenses |
| 14,720 |
|
| 12,833 |
|
| 15,009 |
|
| 12,244 |
|
| 16,690 |
|
| 54,177 |
|
| 56,776 |
| |||||||||
(less) Stock-based compensation |
| (4,364 | ) |
| (3,194 | ) |
| (3,981 | ) |
| (1,678 | ) |
| (3,166 | ) |
| (17,486 | ) |
| (12,019 | ) | |||||||||
(less) Restructuring charges |
| — |
|
| — |
|
| — |
|
| (463 | ) |
| (83 | ) |
| (591 | ) |
| (546 | ) | |||||||||
(less) Acquisition related costs |
| (1,039 | ) |
| (482 | ) |
| (453 | ) |
| (380 | ) |
| (381 | ) |
| (2,045 | ) |
| (1,696 | ) | |||||||||
Non-GAAP General and administrative expenses | $ | 9,317 |
| $ | 9,157 |
| $ | 10,575 |
| $ | 9,723 |
| $ | 13,060 |
| $ | 34,055 |
| $ | 42,515 |
| |||||||||
Non-GAAP General and administrative percentage |
| 7 | % |
| 8 | % |
| 9 | % |
| 7 | % |
| 9 | % |
| 8 | % |
| 8 | % | |||||||||
Non-GAAP Operating expenses* | $ | 48,426 |
| $ | 45,485 |
| $ | 47,212 |
| $ | 45,508 |
| $ | 47,403 |
| $ | 165,385 |
| $ | 185,608 |
| |||||||||
Non-GAAP Operating expense percentage |
| 34 | % |
| 39 | % |
| 38 | % |
| 33 | % |
| 32 | % |
| 37 | % |
| 36 | % | |||||||||
* Non-GAAP operating expenses excludes changes in fair value of contingent consideration, stock-based compensation, amortization of acquired intangible assets, restructuring charges, and acquisition related costs. |
Q4 2021 FINANCIAL RESULTS AND BUSINESS UPDATES | 26 |
QUOTIENT TECHNOLOGY INC. | ||||||||||||||||||
RECONCILIATION OF GROSS MARGIN TO NON-GAAP GROSS MARGIN (FORECASTED) | ||||||||||||||||||
(Unaudited, in thousands) | ||||||||||||||||||
Q1 FY 22 (Forecast) | FY22 (Forecast) | |||||||||||||||||
Low | High | Low | High | |||||||||||||||
Revenues | $ | 69,000 |
| $ | 79,000 |
| $ | 330,000 |
| $ | 345,000 |
| ||||||
Cost of revenues (GAAP) | $ | 44,000 |
| $ | 50,100 |
| $ | 160,300 |
| $ | 165,500 |
| ||||||
(less) Stock-based compensation |
| (400 | ) |
| (500 | ) |
| (1,800 | ) |
| (2,000 | ) | ||||||
(less) Amortization of acquired intangible assets |
| (2,600 | ) |
| (2,600 | ) |
| (8,500 | ) |
| (8,500 | ) | ||||||
Cost of revenues (Non-GAAP) | $ | 41,000 |
| $ | 47,000 |
| $ | 150,000 |
| $ | 155,000 |
| ||||||
Gross margin (GAAP) | $ | 25,000 |
| $ | 28,900 |
| $ | 169,700 |
| $ | 179,500 |
| ||||||
Gross margin (Non-GAAP) | $ | 28,000 |
| $ | 32,000 |
| $ | 180,000 |
| $ | 190,000 |
|
Q4 2021 FINANCIAL RESULTS AND BUSINESS UPDATES | 27 |