Intralinks Announces Fourth Quarter and Full Year 2013 Results
NEW YORK, NY - February 25, 2014 - Intralinks Holdings, Inc. (NYSE: IL), a leading, global SaaS provider of inter-enterprise content management and collaboration solutions, today announced results for its fourth quarter and full year 2013.
“We had a number of key achievements in 2013," said Ron Hovsepian, Intralinks' President and CEO. "We returned the company to growth with an 8% revenue gain for the full year, continued to take share in the M&A market and launched Intralinks VIATM, a major new enterprise collaboration offering. I look forward to continued progress in 2014 on all fronts, with double-digit enterprise backlog growth by the end of the year as a key milestone."
Fourth Quarter 2013
Total revenue was $62.6 million, compared to $57.4 million for the corresponding quarter last year.
| |
| • | M&A revenue was $31.2 million, compared to $26.2 million for the corresponding quarter last year. |
| |
| • | Enterprise revenue was $24.5 million, compared to $24.2 million for the corresponding quarter last year. |
| |
| • | DCM revenue was $7.0 million, compared to $7.0 million for the corresponding quarter last year. |
GAAP gross margin was 72.6%, compared to 73.1% for the corresponding quarter last year. Non-GAAP adjusted gross margin was 76.0%, compared to 76.8% for the corresponding quarter last year.
GAAP operating loss was ($4.8) million, compared to ($1.7) million for the corresponding quarter last year. Non-GAAP adjusted operating income was $3.1 million, compared to $6.2 million for the corresponding quarter last year.
GAAP net loss was ($3.8) million, compared to ($1.5) million for the corresponding quarter last year. GAAP net loss per share was ($0.07) on the basis of 55.4 million shares outstanding. In the corresponding quarter last year, GAAP net loss per share was ($0.03) on the basis of 54.5 million shares outstanding.
Non-GAAP adjusted net income was $1.5 million, compared to $3.2 million for the corresponding quarter last year. Non-GAAP adjusted net income per share was $0.03 on the basis of 57.3 million shares outstanding. In the corresponding quarter last year, non-GAAP adjusted net income per share was $0.06 on the basis of 55.1 million shares outstanding.
Non-GAAP adjusted EBITDA was $8.8 million, compared to $11.2 million for the corresponding quarter last year.
Full Year 2013
Total revenue was $234.5 million, compared to $216.7 million for the prior year.
| |
| • | M&A revenue was $110.5 million, compared to $91.6 million for the prior year. |
| |
| • | Enterprise revenue was $95.2 million, compared to $94.6 million for the prior year. |
| |
| • | DCM revenue was $28.8 million, compared to $30.4 million for the prior year. |
GAAP gross margin was 72.3%, compared to 71.2% for prior year. Non-GAAP adjusted gross margin was 76.1%, compared to 76.2% for the prior year.
GAAP operating loss was ($15.9) million, compared to ($22.3) million in the prior year. Non-GAAP adjusted operating income was $16.0 million, compared to $18.8 million for the prior year.
GAAP net loss was ($15.3) million, compared to ($17.4) million for the prior year. GAAP net loss per share for the year was ($0.28) on the basis of 55.1 million shares outstanding. GAAP net loss per share for the prior year was ($0.32) on the basis of 54.4 million shares outstanding.
Non-GAAP adjusted net income was $7.0 million, compared to $8.4 million for the prior year. Non-GAAP adjusted net income per share was $0.12 on the basis of 56.3 million shares outstanding. Non-GAAP adjusted net income per share for the prior year was $0.15 on the basis of 54.9 million shares outstanding.
Non-GAAP adjusted EBITDA was $36.9 million, compared to non-GAAP adjusted EBITDA of $37.3 million for the prior year.
Cash flow from operations was $42.0 million, compared to $35.2 million for the prior year.
Cash, restricted cash and investments were $87.9 million at December 31, 2013 compared to $75.3 million at the end of 2012.
On February 24, 2014, the Company refinanced its existing term loan credit facility with an $80 million, 5 year term loan B credit facility. The term loan bears interest at LIBOR, with a 2% floor plus 5.25% per annum, for an effective interest rate of 7.25%. There is a 0.25% principal payment due on the last day of each quarter, commencing on June 30, 2014, with a balance due in a final installment on February 24, 2019. In addition, the lenders have provided for a $10 million asset-based revolving line of credit.
Business Outlook:
Based on information available as of February 25, 2014, Intralinks is providing guidance for 2014 as follows:
First Quarter 2014
Revenue: $56 million to $58 million
GAAP operating loss: ($8.6) million to ($7.1) million
Non-GAAP adjusted operating income: ($0.5) million to $1.0 million
Non-GAAP adjusted EBITDA: $5.5 million to $7.0 million
GAAP net loss per share: ($0.12) to ($0.10)
Non-GAAP adjusted net income per share: ($0.02) to ($0.00)
Full Year 2014
Revenue: $238 million to $246 million
GAAP operating loss: ($20.5) million to ($16.5) million
Non-GAAP adjusted operating income: $12.0 million to $16.0 million
Non-GAAP adjusted EBITDA: $38.0 million to $42.0 million
GAAP net loss per share: ($0.31) to ($0.27)
Non-GAAP adjusted net income per share: $0.06 to $0.11
Quarterly Conference Call
Intralinks will host a conference call today at 5:00 p.m. Eastern Time (ET) to discuss the company's fourth quarter and full year 2013 financial results and other corporate developments. To access this call, dial 877-300-8521 (domestic) or 412-317-6026 (international). A passcode is not required. This presentation will also be webcast live on the investor relations section on the Intralinks website at www.Intralinks.com/ir. In conjunction with this call, there will also be accompanying slides with supplemental information available at the same website location.
Following the conference call, a replay will be available until March 4, 2014, at 877-870-5176 (domestic) or 858-384-5517 (international). The passcode for the replay is 10039877. An archived webcast of this conference call will also be available on the investor relations section on the Intralinks website at www.Intralinks.com/ir.
About Intralinks
Intralinks Holdings, Inc. (NYSE: IL) is a leading, global technology provider of inter-enterprise content management and collaboration solutions. Through innovative Software-as-a-Service solutions, Intralinks solutions are designed to enable the secure and compliant exchange, control, and management of information between organizations when working through the firewall. More than 2.7 million professionals, including professionals at 99% of the Fortune 1000 companies, have depended on Intralinks' experience. With a track record of enabling high-stakes transactions and business collaborations valued at more than $23.5 trillion, Intralinks is a trusted provider of easy-to-use, enterprise strength, cloud-based collaboration solutions. For more information, visit www.Intralinks.com.
Non-GAAP Financial Measures
This press release includes information about certain financial measures that are not prepared in accordance with generally accepted accounting principles in the United States (“GAAP” or “U.S. GAAP”), including non-GAAP adjusted gross profit and non-GAAP adjusted gross margin, non-GAAP adjusted operating income, non-GAAP adjusted net income, non-GAAP adjusted net income per share, non-GAAP adjusted EBITDA and non-GAAP adjusted EBITDA margin and free cash flow. These non-GAAP measures
are not based on any standardized methodology prescribed by GAAP and are not necessarily comparable to similar measures presented by other companies.
Management defines its non-GAAP financial measures as follows:
| |
| • | Non-GAAP gross profit represents the corresponding GAAP measure adjusted to exclude, if applicable: (1) amortization of intangible assets, and (2) stock-based compensation expense. |
| |
| • | Non-GAAP adjusted operating income represents the corresponding GAAP measure adjusted to exclude, if applicable: (1) amortization of intangible assets, (2) stock-based compensation expense, (3) impairment charges or asset write-offs and (4) costs related to public stock offerings. |
| |
| • | Non-GAAP adjusted net income represents the corresponding GAAP measure adjusted to exclude, if applicable: (1) amortization of intangible assets, (2) stock-based compensation expense, (3) impairment charges or asset write-offs, (4) costs related to debt repayments and (5) costs related to public stock offerings. The income tax expense included in non-GAAP adjusted net income is calculated using an estimated long-term effective tax rate. |
| |
| • | Non-GAAP adjusted net income per share represents non-GAAP adjusted net income (which is defined above) divided by fully diluted weighted average shares outstanding. |
| |
| • | Non-GAAP adjusted EBITDA represents net loss adjusted to exclude, if applicable: (1) amortization of intangible assets, (2) depreciation and amortization, (3) stock-based compensation expense, (4) impairment charges or asset write-offs, (5) interest expense, (6) amortization of debt issuance costs, (7) other expense (income), net, (8) costs related to public stock offerings and (9) income tax (benefit) expense. |
| |
| • | Free cash flow represents net cash provided by operating activities less capitalized software development costs and capital expenditures. |
Management believes that these non-GAAP financial measures, when viewed with our results under U.S. GAAP and the accompanying reconciliations, provide useful information about our period-over-period growth and provide additional information that is useful for evaluating our operating performance. In addition, free cash flow provides management with useful information for managing the cash needs of our business. Management also believes that these non-GAAP financial measures provide a more meaningful comparison of our operating results against those of other companies in our industry, as well as on a period-over-period basis, because these measures exclude items that are not representative of our operating performance, such as amortization of intangible assets, interest expense and fair value adjustments to the interest rate swap that matured on June 30, 2012. Management believes that including these costs in our results of operations results in a lack of comparability between our operating results and those of our peers in the industry, the majority of which are not highly leveraged and do not have comparable amortization costs related to intangible assets. However, non-GAAP adjusted gross profit, non-GAAP adjusted operating income, non-GAAP adjusted net income, non-GAAP adjusted net income per share, non-GAAP adjusted EBITDA and free cash flow are not measures of financial performance under U.S. GAAP and, accordingly, should not be considered substitutes for or superior to gross profit, loss from operations, net loss, net loss per share and net cash provided by operating activities as indicators of operating performance.
Reconciliations of GAAP to Non-GAAP financial measures are included in this press release.
Forward Looking Statements
This press release contains forward-looking statements that are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. This press release contains expressed or implied forward-looking statements that are not based on historical information relating to, among other things, expectations and assumptions concerning management's forecast of financial performance, future business growth, and management's plans, objectives, and strategies. These statements are neither promises nor guarantees, but are subject to a variety of risks and uncertainties, many of which are beyond our control, which could cause actual results to differ materially from those contemplated in these forward-looking statements. In particular, the risks and uncertainties include, among other things: the uncertainty of our future profitability; our ability to sustain positive cash flow or to attain our enterprise backlog objectives; periodic fluctuations in our operating results; our ability to manage our expected growth; risks related to our substantial debt balances and our ability to generate or obtain sufficient capital to service our debt and fund our business; our ability to maintain the security and integrity of our systems; risks associated with the privacy and protection of information in our possession; our ability to increase our penetration in our principal existing markets and expand into additional markets; our ability to expand into new geographic markets; delays in market adoption and penetration of our products and services; difficulties developing, integrating and introducing new products and services; our dependence on the volume of financial and strategic business transactions; our dependence on customer referrals and relationships; our ability to maintain and expand our direct sales capabilities; our ability to develop and maintain strategic relationships to sell and deliver our solutions; customer renewal rates and attrition; our ability to maintain the compatibility of our services with third-party applications; competition and
our ability to maintain our average sales prices; our ability to adapt to changing technologies; interruptions or delays in our service; international risks; uncertainties surrounding domestic and global economic conditions; our ability to protect our intellectual property; costs of being a public company; and risks related to changes in laws, regulations or governmental policy, including data privacy and tax regulations. Further information on these and other factors that could affect our financial results is contained in our public filings with the Securities and Exchange Commission (the “SEC”) from time to time, including our Annual Report on Form 10-K for the year ended December 31, 2012 and subsequent reports. Existing and prospective investors are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof.
Intralinks undertakes no obligation to update or revise the information contained in this press release, whether as a result of new information, future events or circumstances or otherwise.
"Intralinks" and the Intralinks logo are registered trademarks of Intralinks, Inc. "Intralinks VIA" is a trademark of Intralinks, Inc. © 2014. All rights reserved.
Investor Contact:
David Roy
Intralinks Holdings, Inc.
212-342-7690
droy@intralinks.com
Media Contact:
Ian Bruce
Intralinks Holdings, Inc.
(Cell) 508-574-2016
ibruce@intralinks.com
Intralinks Holdings, Inc.
Consolidated Balance Sheets
(In Thousands, Except Share Data)
(unaudited)
|
| | | | | | | | |
| | | December 31, |
| | | 2013 | | 2012 |
| ASSETS | | |
| | |
|
| Current assets: | | |
| | |
|
| Cash and cash equivalents | | $ | 50,540 |
| | $ | 43,798 |
|
| Accounts receivable, net of allowances of $3,152 and $2,927, respectively | | 38,322 |
| | 37,667 |
|
| Investments | | 34,886 |
| | 31,549 |
|
| Deferred taxes | | 12,148 |
| | 7,469 |
|
| Prepaid expenses | | 6,036 |
| | 5,474 |
|
| Restricted cash | | 2,442 |
| | — |
|
| Other current assets | | 4,576 |
| | 3,518 |
|
| Total current assets | | 148,950 |
|
| 129,475 |
|
| Fixed assets, net | | 14,100 |
| | 10,645 |
|
| Capitalized software, net | | 32,341 |
| | 26,295 |
|
| Goodwill | | 215,869 |
| | 215,478 |
|
| Other intangibles, net | | 83,648 |
| | 106,750 |
|
| Other assets | | 1,054 |
| | 1,111 |
|
| Total assets | | $ | 495,962 |
| | $ | 489,754 |
|
| LIABILITIES AND STOCKHOLDERS' EQUITY | | |
| | |
|
| Current liabilities: | | |
| | |
|
| Accounts Payable | | $ | 11,052 |
| | $ | 4,451 |
|
| Short-term debt | | 209 |
| | 1,030 |
|
| Deferred revenue | | 44,651 |
| | 40,719 |
|
| Accrued expenses and other current liabilities | | 26,667 |
| | 20,320 |
|
| Total current liabilities | | 82,579 |
| | 66,520 |
|
| Long-term debt | | 75,004 |
| | 75,238 |
|
| Deferred taxes | | 16,989 |
| | 21,135 |
|
| Other long-term liabilities | | 5,289 |
| | 4,809 |
|
| Total liabilities | | 179,861 |
| | 167,702 |
|
| Commitments and contingencies (Note 16) | | | | |
| Stockholders' equity: | | |
| | |
|
| Undesignated Preferred Stock, $0.001 par value; 10,000,000 shares authorized; 0 shares issued and outstanding | | — |
| | — |
|
| Common Stock, $0.001 par value; 300,000,000 shares authorized; 56,054,484 and 55,486,651 shares issued and outstanding, respectively | | 56 |
| | 55 |
|
| Additional paid-in capital | | 429,549 |
| | 419,618 |
|
| Accumulated deficit | | (112,714 | ) | | (97,436 | ) |
| Accumulated other comprehensive loss | | (790 | ) | | (185 | ) |
| Total stockholders' equity | | 316,101 |
| | 322,052 |
|
| Total liabilities and stockholders' equity | | $ | 495,962 |
| | $ | 489,754 |
|
Intralinks Holdings, Inc.
Consolidated Statements of Operations
(In Thousands, Except Share Data)
(unaudited)
|
| | | | | | | | | | | | | | | | |
| | | Three Months Ended
December 31, | | Years Ended
December 31, |
| | | 2013 | | 2012 | | 2013 | | 2012 |
| Revenue | | $ | 62,617 |
| | $ | 57,364 |
| | $ | 234,496 |
| | $ | 216,667 |
|
| Cost of revenue | | 17,176 |
| | 15,419 |
| | 64,885 |
| | 62,354 |
|
| Gross profit | | 45,441 |
| | 41,945 |
| | 169,611 |
| | 154,313 |
|
| Operating expenses: | | | | | | |
| | |
|
| Sales and marketing | | 29,118 |
| | 25,539 |
| | 108,428 |
| | 96,198 |
|
| General and administrative | | 15,362 |
| | 11,796 |
| | 57,063 |
| | 50,608 |
|
| Product development | | 5,778 |
| | 6,019 |
| | 20,014 |
| | 21,092 |
|
| Impairment of capitalized software | | — |
| | 338 |
| | — |
| | 8,715 |
|
| Total operating expenses | | 50,258 |
| | 43,692 |
| | 185,505 |
| | 176,613 |
|
| Loss from operations | | (4,817 | ) | | (1,747 | ) | | (15,894 | ) | | (22,300 | ) |
| Interest expense | | 620 |
| | 1,190 |
| | 4,136 |
| | 6,435 |
|
| Amortization of debt issuance costs | | 71 |
| | 149 |
| | 358 |
| | 740 |
|
| Other (income) expense, net | | (67 | ) | | (392 | ) | | 239 |
| | (1,870 | ) |
| Net loss before income tax | | (5,441 | ) |
| (2,694 | ) |
| (20,627 | ) |
| (27,605 | ) |
| Income tax benefit | | (1,592 | ) | | (1,185 | ) | | (5,349 | ) | | (10,225 | ) |
| Net loss | | $ | (3,849 | ) |
| $ | (1,509 | ) |
| $ | (15,278 | ) |
| $ | (17,380 | ) |
| Net loss per common share | | | | | | |
| | |
|
| Basic | | $ | (0.07 | ) | | $ | (0.03 | ) | | $ | (0.28 | ) | | $ | (0.32 | ) |
| Diluted | | $ | (0.07 | ) | | $ | (0.03 | ) | | $ | (0.28 | ) | | $ | (0.32 | ) |
| Weighted average number of shares | | | | | | |
| | |
|
| Basic | | 55,412,671 |
| | 54,533,774 |
| | 55,135,657 |
| | 54,352,536 |
|
| Diluted | | 55,412,671 |
| | 54,533,774 |
| | 55,135,657 |
| | 54,352,536 |
|
Intralinks Holdings, Inc.
Consolidated Statements of Cash Flows
(In Thousands)
(unaudited)
|
| | | | | | | | |
| | | Years Ended December 31, |
| | | 2013 | | 2012 |
| Net loss | | $ | (15,278 | ) | | $ | (17,380 | ) |
| Adjustments to reconcile net loss to net cash provided by operating activities: | | | | |
|
| Amortization of intangible assets | | 23,644 |
| | 25,774 |
|
| Depreciation and amortization | | 20,864 |
| | 18,567 |
|
| Stock-based compensation expense | | 8,286 |
| | 6,561 |
|
| Impairment of capitalized software | | — |
| | 8,715 |
|
| Amortization of deferred costs | | 1,517 |
| | 1,808 |
|
| Provision for bad debt and customer credits | | 1,594 |
| | 1,713 |
|
| Deferred income tax benefit | | (8,338 | ) | | (13,007 | ) |
| Gain on interest rate swap | | — |
| | (1,455 | ) |
| Loss on disposal of fixed assets | | — |
| | 15 |
|
| Currency remeasurement (gain) loss | | (18 | ) | | 388 |
|
| Changes in operating assets and liabilities: | | | | |
| Accounts receivable | | (2,363 | ) | | (690 | ) |
| Prepaid expenses and other assets | | (1,181 | ) | | (873 | ) |
| Accounts payable | | 5,142 |
| | (490 | ) |
| Accrued expenses and other liabilities | | 4,132 |
| | 4,793 |
|
| Deferred revenue | | 4,008 |
| | 747 |
|
| Net cash provided by operating activities | | 42,009 |
| | 35,186 |
|
| Cash flows from investing activities: | | | | |
|
| Capitalized software development costs | | (20,495 | ) | | (18,013 | ) |
| Capital expenditures | | (6,976 | ) | | (8,014 | ) |
| Purchases of investments | | (47,604 | ) | | (37,445 | ) |
| Maturities of investments | | 43,326 |
| | 41,220 |
|
| Restricted cash | | (2,443 | ) | | — |
|
| Acquisitions | | (600 | ) | | (300 | ) |
| Net cash used in investing activities | | (34,792 | ) | | (22,552 | ) |
| Cash flows from financing activities: | | | | |
|
| Proceeds from exercise of stock options and issuance of common stock, net of withholding taxes | | 1,645 |
| | 1,276 |
|
| Repayments of outstanding principal on long-term debt | | (821 | ) | | (15,861 | ) |
| Repayments of outstanding financing arrangements | | (708 | ) | | (641 | ) |
| Payment of financing costs | | (284 | ) | | — |
|
| Net cash used in financing activities | | (168 | ) | | (15,226 | ) |
| Effect of foreign exchange rate changes on cash and cash equivalents | | (307 | ) | | (304 | ) |
| Net increase (decrease) in cash and cash equivalents | | 6,742 |
| | (2,896 | ) |
| Cash and cash equivalents at beginning of period | | 43,798 |
| | 46,694 |
|
| Cash and cash equivalents at end of period | | $ | 50,540 |
| | $ | 43,798 |
|
Intralinks Holdings, Inc.
Reconciliation of GAAP to Non-GAAP Financial Measures
(In Thousands)
(unaudited)
|
| | | | | | | | | | | | | | | | |
| | | Three Months Ended
December 31, | | Years Ended
December 31, |
| | | 2013 | | 2012 | | 2013 | | 2012 |
| Gross profit | | $ | 45,441 |
| | $ | 41,945 |
| | $ | 169,611 |
| | $ | 154,313 |
|
| Gross margin | | 72.6 | % | | 73.1 | % | | 72.3 | % | | 71.2 | % |
| Cost of revenue – amortization of intangible assets | | 1,985 |
| | 1,986 |
| | 8,136 |
| | 10,369 |
|
| Cost of revenue – stock-based compensation expense | | 181 |
| | 124 |
| | 692 |
| | 445 |
|
| Non-GAAP adjusted gross profit | | $ | 47,607 |
| | $ | 44,055 |
| | $ | 178,439 |
| | $ | 165,127 |
|
| Non-GAAP adjusted gross margin | | 76.0 | % | | 76.8 | % | | 76.1 | % | | 76.2 | % |
| | | | | | | | | |
| Loss from operations | | $ | (4,817 | ) | | $ | (1,747 | ) | | $ | (15,894 | ) | | $ | (22,300 | ) |
| Amortization of intangible assets | | 5,866 |
| | 5,846 |
| | 23,644 |
| | 25,774 |
|
| Stock-based compensation expense | | 2,061 |
| | 1,729 |
| | 8,286 |
| | 6,561 |
|
| Impairment of capitalized software | | — |
| | 338 |
| | — |
| | 8,715 |
|
| Non-GAAP adjusted operating income | | $ | 3,110 |
| | $ | 6,166 |
| | $ | 16,036 |
| | $ | 18,750 |
|
| | | | | | | | | |
| Net loss before income tax | | $ | (5,441 | ) | | $ | (2,694 | ) | | $ | (20,627 | ) | | $ | (27,605 | ) |
| Amortization of intangible assets | | 5,866 |
| | 5,846 |
| | 23,644 |
| | 25,774 |
|
| Stock-based compensation expense | | 2,061 |
| | 1,729 |
| | 8,286 |
| | 6,561 |
|
| Impairment of capitalized software | | — |
| | 338 |
| | — |
| | 8,715 |
|
| Costs related to debt repayments | | — |
| | — |
| | — |
| | 47 |
|
| Non-GAAP adjusted net income before tax | | 2,486 |
| | 5,219 |
| | 11,303 |
| | 13,492 |
|
| Non-GAAP income tax expense | | 945 |
| | 1,983 |
| | 4,295 |
| | 5,127 |
|
| Non-GAAP adjusted net income | | $ | 1,541 |
| | $ | 3,236 |
| | $ | 7,008 |
| | $ | 8,365 |
|
| | | | | | | | | |
| Net loss | | $ | (3,849 | ) | | $ | (1,509 | ) | | $ | (15,278 | ) | | $ | (17,380 | ) |
| Amortization of intangible assets | | 5,866 |
| | 5,846 |
| | 23,644 |
| | 25,774 |
|
| Depreciation and amortization | | 5,722 |
| | 5,065 |
| | 20,864 |
| | 18,567 |
|
| Stock-based compensation expense | | 2,061 |
| | 1,729 |
| | 8,286 |
| | 6,561 |
|
| Impairment of capitalized software | | — |
| | 338 |
| | — |
| | 8,715 |
|
| Interest expense | | 620 |
| | 1,190 |
| | 4,136 |
| | 6,435 |
|
| Amortization of debt issuance costs | | 71 |
| | 149 |
| | 358 |
| | 740 |
|
| Other (income) expense, net | | (67 | ) | | (392 | ) | | 239 |
| | (1,870 | ) |
| Income tax benefit | | (1,592 | ) | | (1,185 | ) | | (5,349 | ) | | (10,225 | ) |
| Non-GAAP adjusted EBITDA | | $ | 8,832 |
| | $ | 11,231 |
| | $ | 36,900 |
| | $ | 37,317 |
|
| Non-GAAP adjusted EBITDA margin | | 14.1 | % | | 19.6 | % | | 15.7 | % | | 17.2 | % |
| | | | | | | | | |
| Net cash provided by operating activities | | $ | 11,876 |
| | $ | 14,004 |
| | $ | 42,009 |
| | $ | 35,186 |
|
| Capitalized software development costs | | (3,920 | ) | | (3,337 | ) | | (20,495 | ) | | (18,013 | ) |
| Capital expenditures | | (1,544 | ) | | (1,132 | ) | | (6,976 | ) | | (8,014 | ) |
| Free cash flow | | $ | 6,412 |
| | $ | 9,535 |
| | $ | 14,538 |
| | $ | 9,159 |
|
Intralinks Holdings, Inc.
Reconciliation of GAAP to Non-GAAP Financial Measures - Guidance
(In Thousands)
(unaudited)
|
| | | | | | | | |
| | | Three Months Ending March 31, 2014 | | Year Ending December 31, 2014 |
| Gross profit | | $ | 39,793 |
| | $ | 173,207 |
|
| Gross margin | | 69.8 | % | | 71.6 | % |
| Cost of revenue - amortization of intangible assets | | 2,019 |
| | 8,077 |
|
| Cost of revenue - stock-based compensation expense | | 188 |
| | 716 |
|
| Non-GAAP adjusted gross profit | | $ | 42,000 |
| | $ | 182,000 |
|
| Non-GAAP adjusted gross margin | | 73.7 | % | | 75.2 | % |
| | | | | |
| Loss from operations | | $ | (7,867 | ) | | $ | (18,470 | ) |
| Amortization of intangible assets | | 5,867 |
| | 23,470 |
|
| Stock-based compensation expense | | 2,250 |
| | 9,000 |
|
| Non-GAAP adjusted operating income | | $ | 250 |
| | $ | 14,000 |
|
| | | | | |
| Net loss before income tax | | $ | (9,154 | ) | | $ | (24,393 | ) |
| Amortization of intangible assets | | 5,867 |
| | 23,470 |
|
| Stock-based compensation expense | | 2,250 |
| | 9,000 |
|
| Non-GAAP adjusted net income before tax | | (1,037 | ) | | 8,077 |
|
| Non-GAAP income tax expense | | (394 | ) | | 3,069 |
|
| Non-GAAP adjusted net income | | $ | (643 | ) | | $ | 5,008 |
|
| | | | | |
| Net loss | | $ | (6,063 | ) | | $ | (16,155 | ) |
| Amortization of intangible assets | | 5,867 |
| | 23,470 |
|
| Depreciation and amortization | | 6,000 |
| | 26,000 |
|
| Stock-based compensation expense | | 2,250 |
| | 9,000 |
|
| Interest expense | | 1,124 |
| | 5,302 |
|
| Amortization of debt issuance costs | | 163 |
| | 621 |
|
| Income tax benefit | | (3,091 | ) | | (8,238 | ) |
| Non-GAAP adjusted EBITDA | | $ | 6,250 |
| | $ | 40,000 |
|
| Non-GAAP adjusted EBITDA margin | | 11.0 | % | | 16.5 | % |
Note: All forward-looking figures presented in these tables are stated at the mid-point of the estimated range.
