Attached files
| file | filename |
|---|---|
| 8-K - 8-K - SYNCHRONOSS TECHNOLOGIES INC | a13-4698_18k.htm |
Exhibit 99.1
200 Crossing Boulevard, Bridgewater, NJ 08807
Press Release:
SYNCHRONOSS TECHNOLOGIES, INC. ANNOUNCES
FOURTH QUARTER AND FULL YEAR 2012 FINANCIAL RESULTS
· Non-GAAP total revenue of $73.9 million increases 19% year-over-year
· Non-GAAP operating income of $18.7 million represents 25% operating margin
· Non-GAAP EPS of $0.29 exceeds the high-end of our expectations
BRIDGEWATER, NJ — February 7, 2013 — Synchronoss Technologies, Inc. (NASDAQ: SNCR), the mobile innovation company that provides personal cloud solutions and software-based activation for connected devices across the globe, today announced financial results for the fourth quarter and full year 2012.
“The company’s strong business momentum contributed to revenue and profitability that were above the high end of our expectations for the fourth quarter,” said Stephen G. Waldis, Founder and Chief Executive Officer of Synchronoss. “2012 was a transformational year for Synchronoss. Mobile operators began to solidify their cloud strategies, and we achieved our goal of winning cloud services engagements with several of the largest mobile operators around the globe. In addition, our recent acquisition of NewBay further expands our market share, our Personal Cloud platform functionality and our customer relationships.”
Waldis added, “As we look ahead, we are very optimistic about Synchronoss’ future as we are positioned to take advantage of certain powerful industry drivers such as the growth in connected devices and cloud services. We remain on track to deploy our Personal Cloud platform with multiple major operators over the course of 2013, and we believe Synchronoss is poised to deliver strong growth on a sustained basis as our customers launch, scale and expand their cloud services.”
On a GAAP basis, Synchronoss reported net revenues of $73.2 million, representing an increase of 18% compared to the fourth quarter of 2011. Gross profit was $41.9 million and income from operations was $6.6 million in the fourth quarter of 2012. Net income applicable to common stock was $3.4 million, leading to diluted earnings per share of $0.09, compared to $0.21 for the fourth quarter of 2011.
On a non-GAAP basis, Synchronoss reported net revenues, which adds back the purchase accounting adjustment related to revenues for certain acquisitions, of $73.9 million, an increase of 19% compared to the fourth quarter of 2011. Gross profit for the fourth quarter of 2012 was $44.2 million, representing a gross margin of 60%. Income from operations was $18.7 million in the fourth quarter of 2012, representing a year-over-year increase of 18% and an operating margin of 25%. Net income was $11.1 million in the fourth quarter of 2012, down from $13.3 million in the year ago period due to a higher tax rate in the fourth quarter of 2012 caused by the delayed renewal of federal research and development tax credits in the United States. Diluted earnings per share were $0.29 for the fourth quarter of 2012, above the high-end of our expectations and compared to $0.34 for the fourth quarter of 2011.
A reconciliation of GAAP to non-GAAP results has been provided in the financial statement tables included in this press release. An explanation of these measures is also included below under the heading “Non-GAAP Financial Measures.”
“We are pleased with the leverage displayed in Synchronoss’ business model during 2012. While we invested heavily in the company’s Personal Cloud platform and global distribution, Synchronoss delivered a record annual non-GAAP gross margin of 60% along with 200 basis points of non-GAAP operating margin expansion,” said Lawrence R. Irving, Chief Financial Officer and Treasurer. “We believe there is additional, leverage in our financial model over time as our Tier 1 carrier customers deploy and scale our higher
margin cloud platform.”
Other Fourth Quarter and Recent Business Highlights:
· Business outside of the AT&T relationship accounted for approximately $43.6 million of non-GAAP revenue, representing approximately 59% of total revenue. Verizon Wireless remained the largest contributor to Synchronoss’ business outside of AT&T, representing over 10% of Synchronoss’ revenue for the quarter. Business related to AT&T accounted for approximately $30.3 million of non-GAAP revenue, representing the other 41% of total revenue.
· During December 2012, Synchronoss acquired NewBay, a wholly owned subsidiary of Blackberry (formerly Research in Motion), for $55.5 million in cash. NewBay’s technology assets and millions of worldwide subscribers further establish Synchronoss as the leader in providing cloud based mobile content services for mobile operators around the world. NewBay also bolsters Synchronoss’ international presence, including its relationship with several mobile operators in Europe.
Full Year 2012 Summary Financial Results
· On a GAAP basis: Revenues for the full year 2012 were $273.7 million, an increase of 19% compared to $229.1 million in the prior year. Gross profit was $158.0 million for the full year 2012. Income from operations was $41.5 million and net income was $27.1 million, leading to full year 2012 diluted earnings per share of $0.69.
· On a Non-GAAP basis: Revenues for the full year 2012 were $275.2 million, an increase of 19% compared to $230.5 million in the prior year. Gross profit for the full year 2012 was $164.3 million, representing a gross margin of 60%. Income from operations was $69.8 million for the full year 2012 and represented an operating margin of 25%. Net income was $43.2 million for the full year 2012, leading to diluted earnings per share of $1.10, an increase from $0.98 in the prior year.
Conference Call Details
In conjunction with this announcement, Synchronoss will host a conference call on Thursday, February 7, 2013, at 4:30 p.m. (ET) to discuss the company’s financial results. To access this call, dial 866-700-7101 (domestic) or 617-213-8837 (international). The pass code for the call is 44264651. Additionally, a live web cast of the conference call will be available on the “Investor Relations” page on the company’s web site www.synchronoss.com.
Following the conference call, a replay will be available at 888-286-8010 (domestic) or 617-801-6888 (international). The replay pass code is 55365997. An archived web cast of this conference call will also be available on the “Investor Relations” page of the company’s web site, www.synchronoss.com.
Non-GAAP Financial Measures
Synchronoss has provided in this release selected financial information that has not been prepared in accordance with GAAP. This information includes historical non-GAAP revenues, gross profit, operating income, net income, effective tax rate, earnings per share and cash flows from operating activities. Synchronoss uses these non-GAAP financial measures internally in analyzing its financial results and believes they are useful to investors, as a supplement to GAAP measures, in evaluating Synchronoss’ ongoing operational performance. Synchronoss believes that the use of these non-GAAP financial measures provides an additional tool for investors to use in evaluating ongoing operating results and trends, and in comparing its financial results with other companies in Synchronoss’ industry, many of which present similar non-GAAP financial measures to investors. As noted, the non-GAAP financial results discussed above add back the deferred revenue write-down associated with acquisitions, fair value stock-based compensation expense, acquisition-related costs, changes in the contingent consideration obligation, deferred compensation expense related to earn outs and amortization of intangibles associated with acquisitions.
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 measures to their most directly comparable GAAP financial measures as detailed above. As previously mentioned, a reconciliation of GAAP to non-GAAP results has been provided in the financial statement tables included in this press release.
About Synchronoss Technologies, Inc.
Synchronoss Technologies (NASDAQ: SNCR) is the mobile innovation company that provides personal cloud solutions and software-based activation for connected devices across the globe. The company’s proven and scalable technology solutions allow customers to connect, synchronize and activate connected devices and services that empower enterprises and consumers to live in a connected world. For more information visit us at:
Web: www.synchronoss.com
Blog: http://blog.synchronoss.com
Twitter: http://twitter.com/synchronoss
Forward-looking Statements
This document may include certain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements include, but are not limited to, plans, objectives, expectations and intentions and other statements contained in this press release that are not historical facts and statements identified by words such as “expects,” “anticipates,” “intends,” “plans,” “believes,” “seeks,” “estimates,” “outlook” or words of similar meanings. These statements are based on our current beliefs or expectations and are inherently subject to various risks and uncertainties, including those set forth under the caption “Risk Factors” in Synchronoss’ Annual Report on Form 10-K for the year ended December 31, 2011 and other documents filed with the U.S. Securities and Exchange Commission. Actual results may differ materially from these expectations due to changes in global political, economic, business, competitive, market and regulatory factors. Synchronoss does not undertake any obligation to update any forward-looking statements contained in this document as a result of new information, future events or otherwise.
The Synchronoss logo, Synchronoss, ConvergenceNow, InterconnectNow, ConvergenceNow Plus+ and SmartMobility are trademarks of Synchronoss Technologies, Inc. All other trademarks are property of their respective owners.
SYNCHRONOSS TECHNOLOGIES, INC.
BALANCE SHEETS
(in thousands, except per share data)
(Unaudited)
|
|
|
December 31, |
| ||||
|
|
|
2012 |
|
2011 |
| ||
|
|
|
|
|
|
| ||
|
ASSETS |
|
|
|
|
| ||
|
Current assets: |
|
|
|
|
| ||
|
Cash and cash equivalents |
|
$ |
36,028 |
|
$ |
69,430 |
|
|
Marketable securities |
|
20,188 |
|
51,504 |
| ||
|
Accounts receivable, net of allowance for doubtful accounts of $258 and $356 at December 31, 2012 and 2011, respectively |
|
77,565 |
|
57,387 |
| ||
|
Prepaid expenses and other assets |
|
19,009 |
|
16,061 |
| ||
|
Deferred tax assets |
|
4,114 |
|
3,938 |
| ||
|
|
|
|
|
|
| ||
|
Total current assets |
|
156,904 |
|
198,320 |
| ||
|
Marketable securities |
|
653 |
|
31,642 |
| ||
|
Property and equipment, net |
|
58,162 |
|
34,969 |
| ||
|
Goodwill |
|
115,517 |
|
54,617 |
| ||
|
Intangible assets, net |
|
110,760 |
|
63,969 |
| ||
|
Deferred tax assets |
|
6,961 |
|
12,606 |
| ||
|
Other assets |
|
3,482 |
|
2,495 |
| ||
|
|
|
|
|
|
| ||
|
Total assets |
|
$ |
452,439 |
|
$ |
398,618 |
|
|
|
|
|
|
|
| ||
|
LIABILITIES AND STOCKHOLDERS’ EQUITY |
|
|
|
|
| ||
|
Current liabilities: |
|
|
|
|
| ||
|
Accounts payable |
|
$ |
8,980 |
|
$ |
7,712 |
|
|
Accrued expenses |
|
37,069 |
|
24,153 |
| ||
|
Deferred revenues |
|
11,320 |
|
8,834 |
| ||
|
Contingent consideration obligation |
|
3,279 |
|
4,735 |
| ||
|
|
|
|
|
|
| ||
|
Total current liabilities |
|
60,648 |
|
45,434 |
| ||
|
Lease financing obligation - long term |
|
9,540 |
|
9,241 |
| ||
|
Contingent consideration obligation - long-term |
|
5,100 |
|
8,432 |
| ||
|
Other liabilities |
|
2,494 |
|
948 |
| ||
|
Stockholders’ equity: |
|
|
|
|
| ||
|
Preferred stock, $0.0001 par value; 10,000 shares authorized, 0 shares issued and outstanding at December 31, 2012 and 2011 |
|
— |
|
— |
| ||
|
Common stock, $0.0001 par value; 100,000 shares authorized, 42,533 and 41,063 shares issued; 38,674 and 38,394 outstanding at December 31, 2012 and 2011, respectively |
|
4 |
|
4 |
| ||
|
Treasury stock, at cost (3,859 and 2,669 shares at December 31, 2012 and 2011, respectively |
|
(67,918 |
) |
(43,712 |
) | ||
|
Additional paid-in capital |
|
344,469 |
|
307,586 |
| ||
|
Accumulated other comprehensive loss |
|
(365 |
) |
(699 |
) | ||
|
Retained earnings |
|
98,467 |
|
71,384 |
| ||
|
|
|
|
|
|
| ||
|
Total stockholders’ equity |
|
374,657 |
|
334,563 |
| ||
|
|
|
|
|
|
| ||
|
Total liabilities and stockholders’ equity |
|
$ |
452,439 |
|
$ |
398,618 |
|
SYNCHRONOSS TECHNOLOGIES, INC.
STATEMENT OF INCOME
(in thousands, except per share data)
(Unaudited)
|
|
|
Three Months Ended December 31, |
|
Twelve Months Ended December 31, |
| ||||||||
|
|
|
2012 |
|
2011 |
|
2012 |
|
2011 |
| ||||
|
|
|
|
|
|
|
|
|
|
| ||||
|
Net revenues |
|
$ |
73,181 |
|
$ |
62,151 |
|
$ |
273,692 |
|
$ |
229,084 |
|
|
Costs and expenses: |
|
|
|
|
|
|
|
|
| ||||
|
Cost of services (2)(3)(4)* |
|
31,282 |
|
28,325 |
|
115,670 |
|
106,595 |
| ||||
|
Research and development (2)(3)(4) |
|
14,216 |
|
10,504 |
|
52,307 |
|
41,541 |
| ||||
|
Selling, general and administrative (2)(3)(4) |
|
14,952 |
|
12,973 |
|
46,680 |
|
44,886 |
| ||||
|
Net change in contingent consideration obligation |
|
(500 |
) |
(357 |
) |
(6,235 |
) |
2,954 |
| ||||
|
Depreciation and amortization |
|
6,611 |
|
3,710 |
|
23,812 |
|
14,739 |
| ||||
|
|
|
|
|
|
|
|
|
|
| ||||
|
Total costs and expenses |
|
66,561 |
|
55,155 |
|
232,234 |
|
210,715 |
| ||||
|
|
|
|
|
|
|
|
|
|
| ||||
|
Income from operations |
|
6,620 |
|
6,996 |
|
41,458 |
|
18,369 |
| ||||
|
Interest income |
|
292 |
|
349 |
|
1,315 |
|
821 |
| ||||
|
Interest expense |
|
(296 |
) |
(255 |
) |
(998 |
) |
(928 |
) | ||||
|
Other income (expense) (5) |
|
303 |
|
(43 |
) |
889 |
|
97 |
| ||||
|
|
|
|
|
|
|
|
|
|
| ||||
|
Income before income tax expense |
|
6,919 |
|
7,047 |
|
42,664 |
|
18,359 |
| ||||
|
Income tax expense (benefit) |
|
(3,470 |
) |
1,161 |
|
(15,581 |
) |
(3,233 |
) | ||||
|
|
|
|
|
|
|
|
|
|
| ||||
|
Net income |
|
$ |
3,449 |
|
$ |
8,208 |
|
$ |
27,083 |
|
$ |
15,126 |
|
|
|
|
|
|
|
|
|
|
|
| ||||
|
Net income per common share: |
|
|
|
|
|
|
|
|
| ||||
|
Basic (1) |
|
$ |
0.09 |
|
$ |
0.22 |
|
$ |
0.71 |
|
$ |
0.44 |
|
|
|
|
|
|
|
|
|
|
|
| ||||
|
Diluted (1) |
|
$ |
0.09 |
|
$ |
0.21 |
|
$ |
0.69 |
|
$ |
0.43 |
|
|
|
|
|
|
|
|
|
|
|
| ||||
|
Weighted-average common shares outstanding: |
|
|
|
|
|
|
|
|
| ||||
|
Basic |
|
37,894 |
|
37,683 |
|
38,195 |
|
37,372 |
| ||||
|
|
|
|
|
|
|
|
|
|
| ||||
|
Diluted |
|
38,631 |
|
38,755 |
|
39,126 |
|
38,619 |
| ||||
|
* Cost of services excludes depreciation which is shown separately. |
|
|
|
|
|
|
|
|
| ||||
|
|
|
|
|
|
|
|
|
|
| ||||
|
(1) Adjustment to net income for equity mark-to-market on contingent consideration obligation: |
|
|
|
|
|
|
|
|
| ||||
|
Net income |
|
$ |
3,449 |
|
$ |
8,208 |
|
$ |
27,083 |
|
$ |
15,126 |
|
|
Income effect for equity mark-to-market on contingent consideration obligation, net of tax |
|
— |
|
— |
|
— |
|
1,466 |
| ||||
|
|
|
|
|
|
|
|
|
|
| ||||
|
Net income applicable to shares of common stock for earnings per share |
|
$ |
3,449 |
|
$ |
8,208 |
|
$ |
27,083 |
|
$ |
16,592 |
|
|
|
|
|
|
|
|
|
|
|
| ||||
|
(2) Amounts include fair value stock-based compensation as follows: |
|
|
|
|
|
|
|
|
| ||||
|
Cost of services |
|
$ |
1,183 |
|
$ |
1,308 |
|
$ |
4,244 |
|
$ |
4,981 |
|
|
Research and development |
|
1,585 |
|
1,579 |
|
5,441 |
|
4,510 |
| ||||
|
Selling, general and administrative |
|
3,270 |
|
2,725 |
|
10,740 |
|
11,236 |
| ||||
|
|
|
|
|
|
|
|
|
|
| ||||
|
Total fair value stock-based compensation expense |
|
$ |
6,038 |
|
$ |
5,612 |
|
$ |
20,425 |
|
$ |
20,727 |
|
|
|
|
|
|
|
|
|
|
|
| ||||
|
(3) Amounts include acquisition and restructuring costs as follows: |
|
|
|
|
|
|
|
|
| ||||
|
Cost of services |
|
$ |
73 |
|
$ |
— |
|
$ |
73 |
|
$ |
15 |
|
|
Research and development |
|
76 |
|
— |
|
285 |
|
253 |
| ||||
|
Selling, general and administrative |
|
2,886 |
|
2,149 |
|
3,310 |
|
2,491 |
| ||||
|
|
|
|
|
|
|
|
|
|
| ||||
|
Total acquisition and restructuring costs |
|
$ |
3,035 |
|
$ |
2,149 |
|
$ |
3,668 |
|
$ |
2,759 |
|
|
|
|
|
|
|
|
|
|
|
| ||||
|
(4) Amounts include fair value earn-out cash and stock compensation as follows: |
|
|
|
|
|
|
|
|
| ||||
|
Cost of services |
|
$ |
283 |
|
$ |
82 |
|
$ |
482 |
|
$ |
432 |
|
|
Research and development |
|
161 |
|
264 |
|
630 |
|
1,023 |
| ||||
|
Selling, general and administrative |
|
227 |
|
303 |
|
546 |
|
2,448 |
| ||||
|
|
|
|
|
|
|
|
|
|
| ||||
|
Total fair value earn-out cash and stock compensation expense |
|
$ |
671 |
|
$ |
649 |
|
$ |
1,658 |
|
$ |
3,903 |
|
|
|
|
|
|
|
|
|
|
|
| ||||
|
(5) Amounts include Fx change of the contingent consideration obligation as follows: |
|
|
|
|
|
|
|
|
| ||||
|
Other (expense) income |
|
$ |
(62 |
) |
$ |
— |
|
$ |
20 |
|
$ |
— |
|
SYNCHRONOSS TECHNOLOGIES, INC.
Reconciliation of GAAP to Non-GAAP Financial Measures
(in thousands, except per share data)
(Unaudited)
|
|
|
Three Months Ended December 31, |
|
Twelve Months Ended December 31, |
| ||||||||
|
|
|
2012 |
|
2011 |
|
2012 |
|
2011 |
| ||||
|
|
|
|
|
|
|
|
|
|
| ||||
|
Non-GAAP financial measures and reconciliation: |
|
|
|
|
|
|
|
|
| ||||
|
|
|
|
|
|
|
|
|
|
| ||||
|
GAAP Revenue |
|
$ |
73,181 |
|
$ |
62,151 |
|
$ |
273,692 |
|
$ |
229,084 |
|
|
Add: Deferred Revenue Write-Down |
|
736 |
|
150 |
|
1,484 |
|
1,387 |
| ||||
|
Non-GAAP Revenue |
|
$ |
73,917 |
|
$ |
62,301 |
|
$ |
275,176 |
|
$ |
230,471 |
|
|
|
|
|
|
|
|
|
|
|
| ||||
|
GAAP Revenue |
|
$ |
73,181 |
|
$ |
62,151 |
|
$ |
273,692 |
|
$ |
229,084 |
|
|
Less: Cost of Services |
|
31,282 |
|
28,325 |
|
115,670 |
|
106,595 |
| ||||
|
GAAP Gross Margin |
|
41,899 |
|
33,826 |
|
158,022 |
|
122,489 |
| ||||
|
Add: Deferred revenue write-down |
|
736 |
|
150 |
|
1,484 |
|
1,387 |
| ||||
|
Add: Fair value stock-based compensation |
|
1,183 |
|
1,308 |
|
4,244 |
|
4,981 |
| ||||
|
Add: Acquisition and restructuring costs |
|
73 |
|
— |
|
73 |
|
15 |
| ||||
|
Add: Deferred compensation expense - earn-out |
|
283 |
|
82 |
|
482 |
|
432 |
| ||||
|
Non-GAAP Gross Margin |
|
$ |
44,174 |
|
$ |
35,366 |
|
$ |
164,305 |
|
$ |
129,304 |
|
|
Non-GAAP Gross Margin % |
|
60 |
% |
57 |
% |
60 |
% |
56 |
% | ||||
|
|
|
|
|
|
|
|
|
|
| ||||
|
GAAP income from operations |
|
$ |
6,620 |
|
$ |
6,996 |
|
$ |
41,458 |
|
$ |
18,369 |
|
|
Add: Deferred revenue write-down |
|
736 |
|
150 |
|
1,484 |
|
1,387 |
| ||||
|
Add: Fair value stock-based compensation |
|
6,038 |
|
5,612 |
|
20,425 |
|
20,727 |
| ||||
|
Add: Acquisition and restructuring costs |
|
3,035 |
|
2,149 |
|
3,668 |
|
2,759 |
| ||||
|
Add: Net change in contingent consideration obligation |
|
(500 |
) |
(357 |
) |
(6,235 |
) |
2,954 |
| ||||
|
Add: Deferred compensation expense - earn-out |
|
671 |
|
649 |
|
1,658 |
|
3,903 |
| ||||
|
Add: Amortization expense |
|
2,110 |
|
660 |
|
7,360 |
|
2,640 |
| ||||
|
Non-GAAP income from operations |
|
$ |
18,710 |
|
$ |
15,859 |
|
$ |
69,818 |
|
$ |
52,739 |
|
|
|
|
|
|
|
|
|
|
|
| ||||
|
GAAP net income attributable to common stockholders |
|
$ |
3,449 |
|
$ |
8,208 |
|
$ |
27,083 |
|
$ |
15,126 |
|
|
Add: Deferred revenue write-down, net of tax |
|
473 |
|
61 |
|
959 |
|
922 |
| ||||
|
Add: Fair value stock-based compensation, net of tax |
|
3,865 |
|
3,253 |
|
13,199 |
|
13,773 |
| ||||
|
Add: Acquisition and restructuring costs, net of taxes |
|
1,956 |
|
1,409 |
|
2,370 |
|
1,833 |
| ||||
|
Add: Net change in contingent consideration obligation, net of Fx change, net of tax |
|
(438 |
) |
(341 |
) |
(6,255 |
) |
1,963 |
| ||||
|
Add: Deferred compensation expense - earn-out, net of tax |
|
430 |
|
330 |
|
1,071 |
|
2,594 |
| ||||
|
Add: Amortization expense, net of tax |
|
1,348 |
|
376 |
|
4,756 |
|
1,754 |
| ||||
|
Non-GAAP net income |
|
$ |
11,083 |
|
$ |
13,296 |
|
$ |
43,183 |
|
$ |
37,965 |
|
|
Diluted non-GAAP net income per share |
|
$ |
0.29 |
|
$ |
0.34 |
|
$ |
1.10 |
|
$ |
0.98 |
|
|
Weighted shares outstanding - Diluted |
|
38,631 |
|
38,755 |
|
39,126 |
|
38,619 |
| ||||
SYNCHRONOSS TECHNOLOGIES, INC.
STATEMENT OF CASH FLOWS
(in thousands)
(Unaudited)
|
|
|
Year Ended December 31, |
| ||||
|
|
|
2012 |
|
2011 |
| ||
|
Operating activities: |
|
|
|
|
| ||
|
Net income |
|
$ |
27,083 |
|
$ |
15,126 |
|
|
Adjustments to reconcile net income to net cash provided by operating activities: |
|
|
|
|
| ||
|
Depreciation and amortization expense |
|
23,812 |
|
14,739 |
| ||
|
Loss on disposal of asset |
|
230 |
|
— |
| ||
|
Amortization of bond premium |
|
1,216 |
|
622 |
| ||
|
Proceeds from insurance claim |
|
— |
|
(199 |
) | ||
|
Deferred income taxes |
|
1,475 |
|
(642 |
) | ||
|
Non-cash interest on leased facility |
|
921 |
|
918 |
| ||
|
Stock-based compensation |
|
20,425 |
|
22,051 |
| ||
|
Changes in operating assets and liabilities: |
|
|
|
|
| ||
|
Accounts receivable, net of allowance for doubtful accounts |
|
(11,611 |
) |
(19,409 |
) | ||
|
Prepaid expenses and other current assets |
|
8,129 |
|
597 |
| ||
|
Other assets |
|
(496 |
) |
(349 |
) | ||
|
Accounts payable and accrued expenses |
|
(631 |
) |
7,695 |
| ||
|
Contingent consideration obligation |
|
(8,211 |
) |
2,188 |
| ||
|
Excess tax benefit from the exercise of stock options |
|
(6,920 |
) |
(3,575 |
) | ||
|
Other liabilities |
|
(497 |
) |
(183 |
) | ||
|
Deferred revenues |
|
949 |
|
3,006 |
| ||
|
Net cash provided by operating activities |
|
55,874 |
|
42,585 |
| ||
|
|
|
|
|
|
| ||
|
Investing activities: |
|
|
|
|
| ||
|
Purchases of fixed assets |
|
(33,234 |
) |
(14,732 |
) | ||
|
Proceeds from insurance claim |
|
— |
|
199 |
| ||
|
Purchases of marketable securities available-for-sale |
|
(13,146 |
) |
(82,098 |
) | ||
|
Sales and maturities of marketable securities available-for-sale |
|
74,334 |
|
7,259 |
| ||
|
Business acquired, net of cash |
|
(105,177 |
) |
(55,752 |
) | ||
|
Net cash used in investing activities |
|
(77,223 |
) |
(145,124 |
) | ||
|
|
|
|
|
|
| ||
|
Financing activities: |
|
|
|
|
| ||
|
Proceeds from the exercise of stock options |
|
7,949 |
|
17,707 |
| ||
|
Payments on contingent consideration obligation |
|
(2,268 |
) |
(8,533 |
) | ||
|
Excess tax benefit from the exercise of stock options |
|
6,920 |
|
3,576 |
| ||
|
Repurchase of common stock |
|
(24,615 |
) |
(19,999 |
) | ||
|
Proceeds from the sale of Treasury Stock in connection with an employee stock purchase plan |
|
612 |
|
— |
| ||
|
Payments on capital obligations |
|
(1,015 |
) |
(945 |
) | ||
|
Net cash (used in) provided by financing activities |
|
(12,417 |
) |
(8,194 |
) | ||
|
Effect of exchange rate changes on cash |
|
364 |
|
(204 |
) | ||
|
Net decrease in cash and cash equivalents |
|
(33,402 |
) |
(110,937 |
) | ||
|
Cash and cash equivalents at beginning of year |
|
69,430 |
|
180,367 |
| ||
|
Cash and cash equivalents at end of period |
|
$ |
36,028 |
|
$ |
69,430 |
|
SYNCHRONOSS TECHNOLOGIES, INC.
Reconciliation of GAAP to Non-GAAP Cash Provided by Operating Activities
(in thousands)
(Unaudited)
|
|
|
Year Ended December 31, |
| ||||
|
|
|
2012 |
|
2011 |
| ||
|
|
|
|
|
|
| ||
|
Non-GAAP cash provided by operating activities and reconciliation: |
|
|
|
|
| ||
|
|
|
|
|
|
| ||
|
Net cash provided by operating activities (GAAP) |
|
$ |
55,874 |
|
$ |
42,585 |
|
|
Add: Tax benefits from stock options exercised |
|
6,920 |
|
3,575 |
| ||
|
Add: Cash payments on settlement of Earn-out |
|
3,533 |
|
3,026 |
| ||
|
Adjusted cash flow provided by operating activities (Non-GAAP) |
|
$ |
66,327 |
|
$ |
49,186 |
|
SOURCE: Synchronoss Technologies, Inc.
Synchronoss Technologies, Inc.
Investor:
Brian Denyeau, 646-277-1251
investor@synchronoss.com
or
Media:
Stacie Hiras, 908-547-1260
stacie.hiras@synchronoss.com