Attached files
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8-K - FORM 8-K - DOT HILL SYSTEMS CORP | d316474d8k.htm |
EX-99.1 - PRESS RELEASE - DOT HILL SYSTEMS CORP | d316474dex991.htm |
NASDAQ: HILL
NASDAQ: HILL
Dot Hill Systems: 2007
2011
Key Financial Metrics
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0
Exhibit 99.2 |
NASDAQ: HILL
NASDAQ: HILL
Cautionary Language and Forward-Looking Statements
This presentation contains forward-looking statements
and forward-looking information, which may include, but is
not limited to, statements with respect to the future financial or
operating performance of Dot Hill, estimated operating expenses, Dot
Hills future prospects and the implementation of Dot Hills transition strategy. Often, but not always, forward-looking
information can be identified by the use of words such as plans,
expects, is expected, is expecting, budget,
scheduled, estimates, forecasts,
intends, anticipates, or believes, or variations (including negative variations) of such
words and phrases, or state that certain actions, events or results
may, could, would, might, or will
be taken, occur or
be achieved. The purpose of forward-looking information is to provide the
reader with information about managements expectations and plans
for Dot Hill. Readers are cautioned that forward-looking information involves known and unknown
risks, uncertainties and other factors which may cause the actual results,
performance or achievements of Dot Hill to be materially different
from any future results, performance or achievements expressed or implied by the forward-looking
information. Such factors include, among others, the risk that Dot
Hills next-generation products may not achieve market
acceptance, Dot Hills expense reduction and resource allocation plans
may not continue to have the anticipated positive effects on Dot
Hills financial results, the risks associated with macroeconomic factors that are outside of Dot Hills control, the
fact that no Dot Hill customer agreements provide for mandatory minimum
purchase requirements, the risk that one or more of Dot Hills
OEM or other customers may cancel or reduce orders, not order as forecasted or terminate their agreements with
Dot Hill, the risk that Dot Hills new products may not prove to be
popular, the risk that one or more of Dot Hills suppliers or
subcontractors may fail to perform or may terminate their agreements
with Dot Hill, unforeseen technological, intellectual property,
personnel or engineering issues, and the additional risks set forth in the Forms 10-K and 10-Q most recently filed with
the Securities and Exchange Commission by Dot Hill. Although Dot
Hill has attempted to identify statements containing
important factors that could cause actual actions, event or results to differ
materially from those described in forward-looking information,
there may be other factors that cause actions, events or results to differ from those anticipated, estimated or
intended. Forward-looking information contained herein are made as of the
date of this document based on the opinions and estimates of
management on the date statements containing such forward looking information are made, and Dot Hill
disclaims any obligation to update any forward-looking information,
whether as a result of new information, estimates or opinions, future
events or results or otherwise. There can be no assurance that
forward-looking information will prove to be accurate, as actual
results and future events could differ materially from those anticipated in such information. Accordingly,
readers should not place undue reliance on forward looking information.
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1
Safe Harbor
Safe Harbor
March 14, 2012
March 14, 2012 |
NASDAQ: HILL
NASDAQ: HILL
About Non-GAAP Financial Measures
About Non-GAAP Financial Measures
2
2
The Companys non-GAAP financial measures exclude the impact of
stock-based compensation expense, intangible asset amortization,
restructuring and severance charges, legal settlement gains or losses,
charges or credits for contingent consideration adjustments, charges
for impairment of goodwill and long-lived assets, contra-revenue
charges from the grant or extension of customer warrants, specific and
significant warranty claims arising from a suppliers defective
products, charges and acquisition costs for Cloverleaf and
Cipricos assets, and effects of foreign currency gains or losses.
In
addition,
as
a
result
of
exiting
our
relationship
with
NetApp
on
or
about
November
30,
2010, the Company will also be presenting standalone non-GAAP revenue and
gross margin
metrics
excluding
the
historical
revenue
and
gross
margin
attributable
to
NetApp
in order to better compare revenue from its continuing business.
The Company believes
that these non-GAAP financial measures provide meaningful supplemental
information to both management and investors that is indicative of the
Companys core operating results and facilitates comparison of
operating results across reporting periods. The Company used these
non-GAAP measures when evaluating its financial results as well as
for internal resource management, planning and forecasting purposes. These
non-GAAP measures should not be viewed in isolation from or as a
substitute for the Companys financial results in accordance with
GAAP. A reconciliation of GAAP to non-GAAP measures is attached to
this presentation. |
NASDAQ: HILL
NASDAQ: HILL
3
3
Non-GAAP Revenue -
Non-GAAP Revenue -
2007-2011
2007-2011
March 14, 2012
March 14, 2012
Note: NetApp Revenue ($K) + Revenue ($K) excl. NetApp = Total non-GAAP Revenue
($K) |
NASDAQ: HILL
NASDAQ: HILL
4
4
March 14, 2012
March 14, 2012
Non-GAAP Gross Margin $ -
Non-GAAP Gross Margin $ -
2007-2011
2007-2011
Note: NetApp Gross Margin ($K) + Gross Margin ($K) excl. NetApp = Total
non-GAAP Gross Margin ($K) |
NASDAQ: HILL
NASDAQ: HILL
5
5
March 14, 2012
March 14, 2012
Non-GAAP Gross Margin % -
Non-GAAP Gross Margin % -
2007-2011
2007-2011 |
NASDAQ: HILL
NASDAQ: HILL
6
6
Non-GAAP EBITDA ($K) -
Non-GAAP EBITDA ($K) -
2007-2011
2007-2011 |
NASDAQ: HILL
NASDAQ: HILL
7
7
March 14, 2012
March 14, 2012
Cash ($K) -
Cash ($K) -
2007-2011
2007-2011 |
NASDAQ: HILL
NASDAQ: HILL
GAAP to non-GAAP Reconciliation
8
8 |
NASDAQ: HILL
NASDAQ: HILL
9
9
March 14, 2012
March 14, 2012
GAAP to non-GAAP Reconciliation
GAAP to non-GAAP Reconciliation
2007
2008
2009
2010
2011
Net revenue, as reported
207,095
$
272,879
$
234,383
$
252,494
$
197,461
$
Effect of warrants
-
(2,282)
-
-
(1,007)
Non-GAAP net revenue
207,095
$
275,161
$
234,383
$
252,494
$
198,468
$
Gross profit, as reported
26,433
$
30,388
$
37,827
$
42,830
$
41,633
$
Effect of stock-based compensation
365
377
382
489
828
Effect of severance costs
50
246
-
37
13
Effect of warrants
-
2,282
-
-
1,007
Effect of gain from insurance recovery
-
-
-
-
(555)
Effect of power supply component failures
-
-
-
-
4,270
Effect of long-lived asset impairment
-
-
-
-
2,928
Effect of intangible asset amortization
1,625
-
-
2,004
2,054
Non-GAAP gross profit
28,473
$
33,293
$
38,209
$
45,360
$
52,178
$
Net loss, as reported
(60,228)
$
(25,765)
$
(13,625)
$
(13,251)
$
(22,024)
$
Effect of currency (gain) loss
(2,220)
(586)
148
(189)
(254)
Effect of stock-based compensation
2,351
2,884
2,825
3,003
5,385
Effect of goodwill impairment
40,725
5,432
-
-
4,140
Effect of contingent consideration
-
-
(649)
(144)
21
Effect of restructuring charge
-
813
2,430
2,196
668
Effect of intangible asset amortization
2,102
1,559
1,136
2,004
2,054
Effect of gain from insurance recovery
-
-
-
-
(555)
Effect of power supply component failures
-
-
-
-
4,270
Effect of long-lived asset impairment
-
-
-
-
2,928
Effect of legal settlement
-
(3,836)
-
-
-
Effect of warrants
-
2,282
-
-
1,007
Effect of severance costs
974
533
-
95
126
Effect of Cloverleaf acquisition costs
-
-
469
314
-
Non-GAAP net income (loss)
(16,296)
$
(16,684)
$
(7,267)
$
(5,972)
$
(2,234)
$
Non-GAAP net income (loss)
(16,296)
$
(16,686)
$
(7,269)
$
(5,972)
$
(2,234)
$
Interest expense
(3)
57
57
36
44
Income tax expense
(177)
191
(40)
213
129
Depreciation
4,428
4,274
1,735
2,028
2,701
Non-GAAP EBITDA
(12,048)
$
(12,164)
$
(5,517)
$
(3,695)
$
640
$
DOT HILL SYSTEMS CORP.
UNAUDITED RECONCILIATION OF CONSOLIDATED NON-GAAP MEASURES
(In thousands, except per share amounts) |
NASDAQ: HILL
NASDAQ: HILL
10
10
March 14, 2012
March 14, 2012
GAAP to non-GAAP Reconciliation
GAAP to non-GAAP Reconciliation
excl. NetApp
excl. NetApp
2007
2008
2009
2010
2011
Net revenue, as reported
207,095
$
272,879
$
234,383
$
252,494
$
197,461
$
Effect of warrants
-
(2,282)
-
-
(1,007)
Removal of NetApp
(25,857)
(63,184)
(57,966)
(65,603)
-
Non-GAAP net revenue
181,238
$
211,977
$
176,417
$
186,891
$
198,468
$
Gross profit, as reported
26,433
$
30,388
$
37,827
$
42,830
$
41,633
$
Effect of stock-based compensation
365
377
382
489
828
Effect of severance costs
50
246
-
37
13
Effect of warrants
-
2,282
-
-
1,007
Effect of gain from insurance recovery
-
-
-
-
(555)
Effect of power supply component failures
-
-
-
-
4,270
Effect of long-lived asset impairment
-
-
-
-
2,928
Effect of intangible asset amortization
1,625
-
-
2,004
2,054
Removal of NetApp
(1,216)
(5,019)
(7,604)
(8,540)
-
Non-GAAP gross profit
27,257
$
28,274
$
30,605
$
36,820
$
52,178
$
DOT HILL SYSTEMS CORP.
UNAUDITED RECONCILIATION OF CONSOLIDATED NON-GAAP MEASURES
(In thousands, except per share amounts) |