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8-K - 8-K - MOBILEIRON, INC.a15-4008_18k.htm

Exhibit 99.1

 

MobileIron Announces Fiscal Fourth Quarter and Full Year 2014 Financial Results

 

Full Year Gross Billings Grew 45%

 

MOUNTAIN VIEW, Calif., February 12, 2015 - MobileIron (NASDAQ: MOBL), the leader in Mobile IT, today announced results for its fourth fiscal quarter and year ended December 31, 2014.

 

Fourth Quarter 2014 Financial Highlights

 

·                  Gross billings were $42.2 million, up 32% year-over-year

·                  GAAP revenue was $37.7 million, up 34% year-over-year

·                  Non-GAAP revenue was $36.7 million, up 47% year-over-year

·                  GAAP net loss per share was $0.20; non-GAAP net loss per share was $0.15

·                  Surpassed 8,000 cumulative customers who have purchased our platform since 2009

·                  Over 450 of the Forbes Global 2000 companies have purchased our solutions

 

Full Year 2014 Financial Highlights

 

·                  Gross billings were $145.7 million, up 45% year-over-year

·                  GAAP revenue was $132.3 million, up 25% year-over-year

·                  Non-GAAP revenue was $127.1 million, up 50% year-over-year

·                  GAAP net loss per share was $1.30; non-GAAP net loss per share was $1.03

 

“2014 was a banner year for MobileIron. We achieved our goal of becoming a public company, won a record number of new customers and Forbes Global 2000 companies, generated strong billings and revenue, and exited the year with solid business momentum,” said Bob Tinker, CEO, MobileIron. “In the fourth quarter, we had our highest international billings; had more customers buy MobileIron Cloud than ever before; and closed a record number of large deals. We thank our global customers for their business and our employees for their exceptional dedication.”

 

Fourth Quarter 2014 Business Highlights

 

Platform

 

·                  Released software enhancements to MobileIron Core, Cloud, Sentry, Tunnel, and AppConnect, including same-day support for Android 5.0 and expanded support for iOS and Windows Phone

·                  Launched Docs@Work as an innovative standalone application, enabling global access, search, and editing for internal and cloud-based content solutions

·                  Integrated with Google to enable secure mobile access to Google Apps

·                  Expanded ecosystem with new AppConnect and Technology Alliance partners including Amazon Web Services, Dell, Hitachi Data Systems, and Lookout. Finished 2014 with 246 AppConnect enabled applications that were launched or in development and 71 Technology Alliance integrations completed or in development*

 

Channels

 

·                  Grew channel with new partners: China Telecom (China), MobileMentor (New Zealand), and Optus (Australia)

·                  First Enterprise Mobility Management vendor to announce partnership with Samsung 360 Services for Business

·                  Drove global growth through worldwide network of VAR and operator channels, with our largest reseller AT&T representing approximately 18% of GAAP revenue for the quarter

 



 

Milestones and Recognition

 

·                  Surpassed 4,000 MobileIron University accreditations, up over 250% year-over-year

·                  Granted seven additional patents:

 

·                 Patent 8,862,105: Management of mobile applications

·                  Patent 8,863,297; Patent 8,863,298; Patent 8,863,299: Secure virtual file management system

·                  Patent 8,869,307: Mobile posture-based policy, remediation and access control for enterprise resources

·                  Patent 8,898,748: Remote Verification for Configuration

·                  Patent 8,918,529: Messaging gateway

 

Financial Outlook

 

The company is providing the following outlook for its fiscal first quarter 2015 (ending March 31, 2015):

 

·                  Total billings are expected to be between $40 million and $42 million

 

·                  Total non-GAAP revenue is expected to be between $34 million and $37 million, and GAAP revenue is expected to be between $34.8 million and $37.8 million

 

·                  Non-GAAP operating expenses are expected to be between $43.5 million and $44.5 million

 

The company is providing the following outlook for its fiscal year 2015 (ending December 31, 2015):

 

·                  Total billings are expected to be between $190 million and $200 million

 

·                  Total non-GAAP revenue is expected to be between $165 million and $175 million, and GAAP revenue is expected to be between $167 million and $177 million

 

Additionally, the company is providing the following outlook for its fiscal fourth quarter 2015 (ending December 31, 2015) and fiscal fourth quarter 2016 (ending December 31, 2016):

 

·      Non-GAAP Operating Margin is expected to be between -18% and -22% for the fiscal fourth quarter of 2015

 

·                  Non-GAAP Operating Margin is expected to be between -8% and -12% for the fiscal fourth quarter of 2016

 

·                  Cash from Operations is expected to be positive for the fiscal fourth quarter of 2016.

 

All forward-looking non-GAAP financial measures contained in this section “Financial Outlook” exclude estimates for stock-based compensation expenses, amortization of intangible assets, and perpetual license revenue recognized from licenses delivered prior to 2013.

 

While a reconciliation of non-GAAP guidance measures to corresponding GAAP measures is not available on a forward-looking basis, the company has provided a reconciliation of GAAP to non-GAAP financial measures in the financial statement tables for its fiscal fourth quarter 2013 and 2014, and full year, and non-GAAP results included in this press release.

 

Conference Call and Webcast

 

MobileIron will host a conference call and live webcast at 1:30 p.m. Pacific Standard Time (4:30 p.m. EST) to discuss the company’s financial results and business highlights. Interested parties may access the call by dialing 1-855-327-6837 in the U.S. or 1-778-327-3988 from international locations. The live webcast will be available on the MobileIron Investor Relations website at http://investors.mobileiron.com/. A replay will be available through the same link or by dialing (858) 384-5517 and referencing conference ID#110072 through March 31, 2015.

 



 

Safe Harbor Statement

 

This press release contains forward-looking statements that involve risks and uncertainties, including statements regarding MobileIron’s revenue and other GAAP and non-GAAP financial metrics and other statements regarding trends in the company’s business, including statements regarding MobileIron’s GAAP and non-GAAP revenue and operating expense targets, operating margin targets, operating cash flow, growth in our customer base, increasing customer adoption, and expected benefits from new product offerings. There are a significant number of factors that could cause actual results to differ materially from statements made in this press release, including MobileIron’s limited operating history, quarterly fluctuations in MobileIron’s operating results, MobileIron’s need to develop new solutions and enhancements to compete in rapidly evolving markets, product defects, competitive pressures, customer adoption, changes by operating system providers and mobile device manufacturers, MobileIron’s inability to manage growth, the quality of MobileIron support, and MobileIron’s reliance on channel partners.

 

Additional information on potential factors that could affect MobileIron’s financial results is included in our SEC filings, including our reports on Forms 10-Q and 8-K and other filings that we make with the SEC from time to time. MobileIron does not assume any obligation to update the forward-looking statements provided to reflect events that occur or circumstances that exist after the date on which they were made.

 


* This is a change from the past when we reported number of partnership companies. There are cases where one company is doing multiple apps or integrations.

 

About MobileIron

 

MobileIron provides the foundation for companies around the world to transform into Mobile First organizations. For more information, please visit www.mobileiron.com.

 

“MobileIron” and the MobileIron Planet M logo are registered trademarks of MobileIron, Inc. in the United States and other countries. Trade names, trademarks, and service marks of other companies that are used in this press release belong to their respective owners. © 2014 MobileIron, Inc. All rights reserved.

 



 

Financial Results

 

MOBILEIRON, INC.

CONSOLIDATED BALANCE SHEETS

AS OF DECEMBER 31, 2013 AND 2014

(Amounts in thousands)

(Unaudited)

 

 

 

December 31, 2013

 

December 31, 2014

 

Assets

 

 

 

 

 

Current Assets:

 

 

 

 

 

Cash and cash equivalents

 

$

73,573

 

$

104,287

 

Short-term investments

 

 

13,869

 

Accounts receivable - net

 

24,125

 

34,676

 

Prepaid expenses and other current assets

 

3,712

 

4,018

 

Total current assets

 

101,410

 

156,850

 

Long-term investments

 

 

22,220

 

Property and equipment - net

 

3,095

 

3,978

 

Intangible assets - net

 

1,311

 

2,132

 

Goodwill

 

4,799

 

5,475

 

Other assets

 

644

 

1,187

 

Total Assets

 

$

111,259

 

$

191,842

 

 

 

 

 

 

 

Liabilities, Convertible Preferred Stock and Stockholders’ (Deficit) Equity

 

 

 

 

 

Current Liabilities:

 

 

 

 

 

Accounts payable

 

$

836

 

$

1,137

 

Accrued expenses

 

14,798

 

21,169

 

Short-term borrowings

 

4,300

 

 

Deferred revenue - current

 

32,422

 

44,096

 

Total current liabilities

 

52,356

 

66,402

 

Deferred revenue - noncurrent

 

8,329

 

10,078

 

Other long-term liabilities

 

140

 

268

 

Total liabilities

 

60,825

 

76,748

 

Convertible Preferred Stock

 

160,259

 

 

Stockholders’ (Deficit) Equity:

 

 

 

 

 

Common stock

 

2

 

8

 

Additional paid-in capital

 

19,007

 

305,809

 

Accumulated deficit

 

(128,834

)

(190,723

)

Total stockholders’ (deficit) equity

 

(109,825

)

115,094

 

 

 

 

 

 

 

Total Liabilities, Convertible Preferred Stock and Stockholders’ (Deficit) Equity

 

$

111,259

 

$

191,842

 

 



 

MOBILEIRON, INC.

CONSOLIDATED STATEMENTS OF OPERATIONS

FOR THE THREE MONTHS ENDED DECEMBER 31, 2013 AND 2014

(Amounts in thousands, except for per share data)

(Unaudited)

 

 

 

Three Months Ended

 

 

December 31, 2013

 

December 31, 2014

 

Revenue:

 

 

 

 

 

Perpetual license

 

$

16,441

 

$

18,658

 

Subscription

 

5,017

 

9,126

 

Software support and services

 

6,666

 

9,914

 

Total revenue (1)

 

28,124

 

37,698

 

Cost of revenue:

 

 

 

 

 

Perpetual license (2)

 

930

 

1,056

 

Subscription (1)

 

1,040

 

1,574

 

Software support and services (1)

 

2,744

 

3,811

 

Total cost of revenue

 

4,714

 

6,441

 

Gross profit

 

23,410

 

31,257

 

Operating expenses:

 

 

 

 

 

Research and development (1)

 

9,775

 

12,495

 

Sales and marketing (1)

 

21,336

 

27,426

 

General and administrative (1)

 

3,167

 

6,442

 

Amortization of intangible assets (2)

 

52

 

 

Total operating expenses

 

34,330

 

46,363

 

Operating loss

 

(10,920

)

(15,106

)

Other expense - net

 

96

 

44

 

Loss before income taxes

 

(11,016

)

(15,150

)

Income tax expense

 

82

 

153

 

Net loss

 

$

(11,098

)

$

(15,303

)

Net loss per share, basic and diluted

 

$

(1.03

)

$

(0.20

)

Weighted-average shares used to compute net loss per share, basic and diluted

 

10,735

 

76,034

 

 


(1)  Includes stock-based compensation expense as follows:

 

 

 

 

 

Contra-revenue

 

$

28

 

$

 

Cost of revenue

 

 

 

 

 

Subscription

 

13

 

46

 

Software support and services

 

77

 

410

 

Research and development

 

1,140

 

1,606

 

Sales and marketing

 

490

 

1,859

 

General and administrative

 

279

 

1,017

 

 

 

$

2,027

 

$

4,938

 

 

 

 

 

 

 

(2)  Includes amortization of intangible assets as follows:

 

 

 

 

 

Cost of revenue

 

 

 

 

 

Perpetual license

 

$

69

 

$

241

 

Operating expenses

 

52

 

 

 

 

$

121

 

$

241

 

 



 

MOBILEIRON, INC.

CONSOLIDATED STATEMENTS OF OPERATIONS

FOR THE YEAR ENDED DECEMBER 31, 2013 and 2014

(Amounts in thousands, except for per share data)

(Unaudited)

 

 

 

Year Ended

 

 

 

December 31, 2013

 

December 31, 2014

 

Revenue:

 

 

 

 

 

Perpetual license

 

$

69,810

 

$

66,816

 

Subscription

 

15,085

 

30,227

 

Software support and services

 

20,679

 

35,252

 

Total revenue (1)

 

105,574

 

132,295

 

Cost of revenue:

 

 

 

 

 

Perpetual license (2)

 

3,327

 

4,448

 

Subscription (1)

 

3,684

 

5,719

 

Software support and services (1)

 

9,489

 

13,868

 

Total cost of revenue

 

16,500

 

24,035

 

Gross profit

 

89,074

 

108,260

 

Operating expenses:

 

 

 

 

 

Research and development (1)

 

36,400

 

46,278

 

Sales and marketing (1)

 

68,309

 

99,870

 

General and administrative (1)

 

12,081

 

22,400

 

Amortization of intangible assets (2)

 

208

 

782

 

Impairment of in-process research and development (2)

 

3,925

 

 

Total operating expenses

 

120,923

 

169,330

 

Operating loss

 

(31,849

)

(61,070

)

Other expense - net

 

396

 

302

 

Loss before income taxes

 

(32,245

)

(61,372

)

Income tax expense

 

252

 

517

 

Net loss

 

$

(32,497

)

$

(61,889

)

Net loss per share, basic and diluted

 

$

(3.27

)

$

(1.30

)

Weighted-average shares used to compute net loss per share, basic and diluted

 

9,953

 

47,517

 

 


(1)  Includes stock-based compensation expense as follows:

 

 

 

 

 

Contra-revenue

 

$

78

 

$

123

 

Cost of revenue

 

 

 

 

 

Subscription

 

47

 

131

 

Software support and services

 

280

 

1,222

 

Research and development

 

5,238

 

5,980

 

Sales and marketing

 

1,893

 

5,930

 

General and administrative

 

931

 

3,363

 

 

 

$

8,467

 

$

16,749

 

 

 

 

 

 

 

(2)  Includes amortization of intangible assets and impairment of IPR&D as follows:

 

 

 

 

 

Cost of revenue

 

 

 

 

 

Perpetual license

 

$

277

 

$

648

 

Operating expenses

 

4,133

 

782

 

 

 

$

4,410

 

$

1,430

 

 



 

MOBILEIRON, INC.

CONSOLIDATED STATEMENTS OF CASH FLOWS

FOR THE YEAR ENDED DECEMBER 31, 2013 and 2014

(Amounts in thousands)

(Unaudited)

 

 

 

Year Ended

 

 

 

December 31, 2013

 

December 31, 2014

 

 

 

 

 

 

 

Cash flows from operating activities:

 

 

 

 

 

Net loss

 

$

(32,497

)

$

(61,889

)

Adjustments to reconcile net loss to net cash used in operating activities:

 

 

 

 

 

Stock-based compensation expense

 

8,467

 

16,749

 

Depreciation

 

1,563

 

2,215

 

Amortization of intangible assets

 

485

 

1,430

 

Provision for doubtful accounts

 

(67

)

54

 

Impairment of in-process research and development

 

3,925

 

 

Loss on disposal of equipment

 

 

21

 

Changes in current assets and liabilities:

 

 

 

 

 

Accounts receivable

 

(5,996

)

(10,605

)

Other current and noncurrent assets

 

(2,713

)

(835

)

Accounts payable

 

147

 

(12

)

Accrued expenses and other long-term liabilities

 

5,884

 

2,881

 

Deferred revenue

 

(4,748

)

13,422

 

Net cash used in operating activities

 

(25,550

)

(36,569

)

 

 

 

 

 

 

Cash flows from investing activities:

 

 

 

 

 

Purchase of property and equipment

 

(2,244

)

(3,119

)

Purchases of investment securities

 

 

(36,104

)

Purchase of Push Computing, Inc.—net of cash acquired

 

(333

)

 

Purchase of intellectual property

 

(30

)

(650

)

Net cash used in investing activities

 

(2,607

)

(39,873

)

 

 

 

 

 

 

Cash flows from financing activities:

 

 

 

 

 

Amount drawn from revolving line of credit

 

4,300

 

3,300

 

Repayments of revolving line of credit

 

 

(7,600

)

Proceeds from initial public offering

 

 

106,950

 

Payments of offering costs related to initial public offering

 

 

(4,076

)

Proceeds from employee stock purchase plan

 

 

4,280

 

Net proceeds from issuance of preferred stock

 

57,707

 

1,994

 

Proceeds from exercise of stock options

 

1,031

 

2,308

 

Net cash provided by financing activities

 

63,038

 

107,156

 

 

 

 

 

 

 

Net increase in cash and cash equivalents

 

34,881

 

30,714

 

Cash and cash equivalents at beginning of period

 

38,692

 

73,573

 

Cash and cash equivalents at end of period

 

$

73,573

 

$

104,287

 

 



 

Non-GAAP financial measures and reconciliations

 

To supplement our financial results presented on a GAAP basis, we provide investors with certain non-GAAP financial measures, including gross billings, recurring billings, non-GAAP revenue, non-GAAP gross profit, non-GAAP gross margin, non-GAAP operating loss, non-GAAP operating margin, non-GAAP net loss, and non-GAAP net loss per share. These non-GAAP financial measures exclude stock-based compensation, the amortization of intangible assets, the impairment of in-process research and development, and perpetual license revenue recognized from licenses delivered prior to 2013:

 

Perpetual license revenue recognized from licenses delivered prior to 2013: We have excluded the effect of perpetual license revenue recognized from licenses delivered prior to 2013 from revenue, gross profit, gross margin, operating loss, operating margin, net loss, and net loss per share. Because we had not established vendor specific objective evidence, or VSOE, of fair value of software support and services prior to January 1, 2013, we recognized perpetual license revenue ratably over the term of the related software support agreement. Upon establishing VSOE on January 1, 2013, we began to recognize perpetual license revenue upon delivery assuming all other revenue recognition criteria are met. As a result, our perpetual license revenue includes amounts related to licenses delivered prior to 2013. Revenue from these perpetual licenses delivered prior to 2013 has declined over each quarter since the quarter ended March 31, 2013 and will continue to decline sequentially until it is fully amortized.

 

Stock-based compensation expenses: We have excluded the effect of stock-based compensation expenses from our gross profit, gross margin, operating loss, operating margin, net loss, and net loss per share. Stock-based compensation expenses will recur in future periods.

 

Amortization of intangible assets: We have excluded the effect of amortization of intangible assets from our gross profit, gross margin, operating loss, operating margin, net loss, and net loss per share. Amortization of intangible assets is significantly affected by the timing and size of our acquisitions. Amortization of intangible assets will recur in future periods.

 

Impairment of in-process research and development: We have excluded the effect of the impairment of in-process research and development from our operating loss, operating margin, net loss, and net loss per share.  This impairment expense is not expected to recur.

 

Non-GAAP revenue, non-GAAP gross profit, non-GAAP gross margin, non-GAAP operating loss, non-GAAP operating margin, non-GAAP net loss, and non-GAAP net loss per share: We believe that the exclusion of perpetual license revenue recognized from licenses delivered prior to 2013, stock-based compensation expense, amortization of intangible assets and the impairment of in-process research and development, as relevant, from revenue, gross profit, gross margin, operating loss, operating margin, net loss, and net loss per share provides useful measures for management and investors because revenue recognized from licenses delivered prior to 2013 has and will continue to significantly decline over time until it is fully amortized and stock-based compensation, the amortization of intangible assets and the impairment of in-process research and development have been and can continue to be inconsistent in amount from period to period. We believe the inclusion of these items makes it difficult to compare periods and understand the growth and performance of our business. In addition, we evaluate our business performance and compensate management based on these non-GAAP measures. There are limitations in using non-GAAP financial measures because the non-GAAP financial measures are not prepared in accordance with GAAP, may be different from non-GAAP financial measures used by our competitors and exclude expenses that may have a material impact upon our reported financial results. Further, stock-based compensation expense has been and will continue to be for the foreseeable future a significant recurring expense in our business and an important part of the compensation provided to our employees. Similarly, amortization of intangible assets has been and will continue to be a recurring expense and has and will continue to contribute to our revenue earned.

 



 

Gross and recurring billings and free cash flow:  Our non-GAAP financial measures also include:  gross billings, which we define as total revenue plus the change in deferred revenue in a period; recurring billings, which we define as total revenue less perpetual license, hardware, and professional services revenue plus the change in deferred revenue for subscription and software support arrangements in a period, adjusted for nonrecurring perpetual license billings; and free cash flow, which we define as cash used in operating activities less the amount of the purchase of property and equipment. We consider gross billings to be a useful metric for management and investors because gross billings drive deferred revenue, which is an important indicator of the health and visibility of our business. Similarly, we consider recurring billings to be a useful metric because recurring billings drive software support and subscription deferred revenue, which is an important indicator of the portion of our business that we would expect to recur each year. There are a number of limitations related to the use of gross and recurring billings versus revenue calculated in accordance with GAAP. First, gross and recurring billings include amounts that have not yet been recognized as revenue. Second, our calculation of gross and recurring billings may be different from other companies that report similar financial measures. We compensate for these limitations by providing specific information regarding GAAP revenue and evaluating gross and recurring billings together with revenue calculated in accordance with GAAP. Management believes that information regarding free cash flow provides investors with an important perspective on the cash available to invest in our business and fund ongoing operations. However, our calculation of free cash flow may not be comparable to similar measures used by other companies.

 

We believe these non-GAAP financial measures are helpful in understanding our past financial performance and our future results. Our non-GAAP financial measures are not meant to be considered in isolation or as a substitute for comparable GAAP measures and should be read only in conjunction with our consolidated financial statements prepared in accordance with GAAP. Our management regularly uses our supplemental non-GAAP financial measures internally to understand, manage and evaluate our business, and make operating decisions. These non-GAAP measures are among the primary factors management uses in planning for and forecasting future periods. Compensation of our executives is based in part on the performance of our business based on certain of these non-GAAP measures.



 

MOBILEIRON, INC.

Reconciliation of GAAP to Non-GAAP Financial Measures

(Amounts in thousands except per share data and percentages)

(Unaudited)

 

 

 

Three Months Ended

 

 

 

December 31, 2013

 

December 31, 2014

 

 

 

 

 

 

 

Non-GAAP total revenue reconciliation:

 

 

 

 

 

GAAP total revenue

 

$

28,124

 

$

37,698

 

Perpetual license revenue recognized from licenses delivered prior to 2013

 

(3,094

)

(1,016

)

Non-GAAP total revenue

 

$

25,030

 

$

36,682

 

 

 

 

 

 

 

Non-GAAP gross profit reconciliation:

 

 

 

 

 

GAAP gross profit

 

$

23,410

 

$

31,257

 

Perpetual license revenue recognized from licenses delivered prior to 2013

 

(3,094

)

(1,016

)

Stock-based compensation expenses

 

90

 

456

 

Amortization of intangible assets

 

69

 

241

 

Non-GAAP gross profit

 

$

20,475

 

$

30,938

 

 

 

 

 

 

 

Non-GAAP gross margin reconciliation:

 

 

 

 

 

GAAP gross margin: GAAP gross profit over GAAP total revenue

 

83.2

%

82.9

%

GAAP to non-GAAP gross margin adjustments

 

(1.4

)%

1.4

%

Non-GAAP gross margin: non-GAAP gross profit over non-GAAP total revenue

 

81.8

%

84.3

%

 

 

 

 

 

 

Non-GAAP operating loss reconciliation:

 

 

 

 

 

GAAP operating loss

 

$

(10,920

)

$

(15,106

)

Perpetual license revenue recognized from licenses delivered prior to 2013

 

(3,094

)

(1,016

)

Stock-based compensation expenses

 

1,999

 

4,938

 

Amortization of intangible assets and impairment of IPR&D

 

121

 

241

 

Non-GAAP operating loss

 

$

(11,894

)

$

(10,943

)

 

 

 

 

 

 

Non-GAAP operating margin reconciliation:

 

 

 

 

 

GAAP operating margin: GAAP operating loss over GAAP total revenue

 

(38.8

)%

(40.1

)%

GAAP to non-GAAP operating margin adjustments

 

(8.7

)%

10.3

%

Non-GAAP operating margin: non-GAAP operating loss over non-GAAP total revenue

 

(47.5

)%

(29.8

)%

 

 

 

 

 

 

Non-GAAP net loss reconciliation:

 

 

 

 

 

GAAP net loss

 

$

(11,098

)

$

(15,303

)

Perpetual license revenue recognized from licenses delivered prior to 2013

 

(3,094

)

(1,016

)

Stock-based compensation expenses

 

1,999

 

4,938

 

Amortization of intangible assets and impairment of IPR&D

 

121

 

241

 

Non-GAAP net loss

 

$

(12,072

)

$

(11,140

)

 



 

MOBILEIRON, INC.

Reconciliation of GAAP to Non-GAAP Financial Measures

(Amounts in thousands except per share data and percentages)

(Unaudited)

 

 

 

Three Months Ended

 

 

 

December 31, 2013

 

December 31, 2014

 

Non-GAAP net loss per share reconciliation:

 

 

 

 

 

GAAP net loss per share

 

$

(1.03

)

$

(0.20

)

Perpetual license revenue recognized from licenses delivered prior to 2013

 

(0.29

)

(0.01

)

Stock-based compensation expenses

 

0.19

 

0.06

 

Amortization of intangible assets and impairment of IPR&D

 

0.01

 

0.00

 

Non-GAAP net loss per share

 

$

(1.12

)

$

(0.15

)

 

 

 

 

 

 

Gross billings reconciliation:

 

 

 

 

 

Total revenue

 

$

28,124

 

$

37,698

 

Total deferred revenue, end of period

 

40,751

 

54,174

 

Less: Total deferred revenue, beginning of period

 

(36,808

)

(49,633

)

Total change in deferred revenue

 

3,943

 

4,541

 

Gross billings

 

$

32,067

 

$

42,239

 

 

 

 

 

 

 

Recurring billings reconciliation:

 

 

 

 

 

Total revenue

 

$

28,124

 

$

37,698

 

Less: Perpetual license revenue

 

(16,441

)

(18,658

)

Less: Professional services revenue

 

(431

)

(394

)

Subscription and software support deferred revenue, end of period

 

30,468

 

49,194

 

Less: Subscription and software support deferred revenue, beginning of period

 

(23,204

)

(42,535

)

Total change in subscription and software support deferred revenue

 

7,264

 

6,659

 

Less: Adjustments

 

(2,859

)

(1,141

)

Recurring billings

 

$

15,657

 

$

24,164

 

 

 

 

 

 

 

Free cash flow reconciliation:

 

 

 

 

 

Cash used in operating activities

 

$

(8,579

)

$

(7,155

)

Purchase of property and equipment

 

(634

)

(1,194

)

Free cash flow

 

$

(9,213

)

$

(8,349

)

 



 

MOBILEIRON, INC.

Reconciliation of GAAP to Non-GAAP Financial Measures

(Amounts in thousands except per share data and percentages)

(Unaudited)

 

 

 

Year Ended

 

 

 

December 31, 2013

 

December 31, 2014

 

 

 

 

 

 

 

Non-GAAP total revenue reconciliation:

 

 

 

 

 

GAAP total revenue

 

$

105,574

 

$

132,295

 

Perpetual license revenue recognized from licenses delivered prior to 2013

 

(21,049

)

(5,214

)

Non-GAAP total revenue

 

$

84,525

 

$

127,081

 

 

 

 

 

 

 

Non-GAAP gross profit reconciliation:

 

 

 

 

 

GAAP gross profit

 

$

89,074

 

$

108,260

 

Perpetual license revenue recognized from licenses delivered prior to 2013

 

(21,049

)

(5,214

)

Stock-based compensation expenses

 

327

 

1,353

 

Amortization of intangible assets

 

277

 

648

 

Non-GAAP gross profit

 

$

68,629

 

$

105,047

 

 

 

 

 

 

 

Non-GAAP gross margin reconciliation:

 

 

 

 

 

GAAP gross margin: GAAP gross profit over GAAP total revenue

 

84.4

%

81.8

%

GAAP to non-GAAP gross margin adjustments

 

(3.2

)%

0.9

%

Non-GAAP gross margin: non-GAAP gross profit over non-GAAP total revenue

 

81.2

%

82.7

%

 

 

 

 

 

 

Non-GAAP operating loss reconciliation:

 

 

 

 

 

GAAP operating loss

 

$

(31,849

)

$

(61,070

)

Perpetual license revenue recognized from licenses delivered prior to 2013

 

(21,049

)

(5,214

)

Stock-based compensation expenses

 

8,389

 

16,626

 

Amortization of intangible assets and impairment of IPR&D

 

4,410

 

1,430

 

Non-GAAP operating loss

 

$

(40,099

)

$

(48,228

)

 

 

 

 

 

 

Non-GAAP operating margin reconciliation:

 

 

 

 

 

GAAP operating margin: GAAP operating loss over GAAP total revenue

 

(30.2

)%

(46.2

)%

GAAP to non-GAAP operating margin adjustments

 

(17.2

)%

8.2

%

Non-GAAP operating margin: non-GAAP operating loss over non-GAAP total revenue

 

(47.4

)%

(38.0

)%

 

 

 

 

 

 

Non-GAAP net loss reconciliation:

 

 

 

 

 

GAAP net loss

 

$

(32,497

)

$

(61,889

)

Perpetual license revenue recognized from licenses delivered prior to 2013

 

(21,049

)

(5,214

)

Stock-based compensation expenses

 

8,389

 

16,626

 

Amortization of intangible assets and impairment of IPR&D

 

4,410

 

1,430

 

Non-GAAP net loss

 

$

(40,747

)

$

(49,047

)

 



 

MOBILEIRON, INC.

Reconciliation of GAAP to Non-GAAP Financial Measures

(Amounts in thousands except per share data and percentages)

(Unaudited)

 

 

 

Year Ended

 

 

 

December 31, 2013

 

December 31, 2014

 

Non-GAAP net loss per share reconciliation:

 

 

 

 

 

GAAP net loss per share

 

$

(3.27

)

$

(1.30

)

Perpetual license revenue recognized from licenses delivered prior to 2013

 

(2.11

)

(0.11

)

Stock-based compensation expenses

 

0.85

 

0.35

 

Amortization of intangible assets and impairment of IPR&D

 

0.44

 

0.03

 

Non-GAAP net loss per share

 

$

(4.09

)

$

(1.03

)

 

 

 

 

 

 

Gross billings reconciliation:

 

 

 

 

 

Total revenue

 

$

105,574

 

$

132,295

 

Total deferred revenue, end of period

 

40,751

 

54,174

 

Less: Total deferred revenue, beginning of period

 

(45,500

)

(40,751

)

Total change in deferred revenue

 

(4,749

)

13,423

 

Gross billings

 

$

100,825

 

$

145,718

 

 

 

 

 

 

 

Recurring billings reconciliation:

 

 

 

 

 

Total revenue

 

$

105,574

 

$

132,295

 

Less: Perpetual license revenue

 

(69,810

)

(66,816

)

Less: Professional services revenue

 

(1,483

)

(2,404

)

Subscription and software support deferred revenue, end of period

 

30,468

 

49,194

 

Less: Subscription and software support deferred revenue, beginning of period

 

(14,712

)

(30,468

)

Total change in subscription and software support deferred revenue

 

15,756

 

18,726

 

Less: Adjustments

 

(4,642

)

(3,200

)

Recurring billings

 

$

45,395

 

$

78,601

 

 

 

 

 

 

 

Free cash flow reconciliation:

 

 

 

 

 

Cash used in operating activities

 

$

(25,550

)

$

(36,569

)

Purchase of property and equipment

 

(2,244

)

(3,119

)

Free cash flow

 

$

(27,794

)

$

(39,688

)

 



 

MOBILEIRON, INC.

SUPPLEMENTAL INFORMATION

(Amounts in thousands)

(Unaudited)

 

 

 

31-Dec-13

 

31-Mar-14

 

30-Jun-14

 

30-Sep-14

 

31-Dec-14

 

GAAP Revenue

 

 

 

 

 

 

 

 

 

 

 

United States

 

$

16,398

 

$

16,363

 

$

17,621

 

$

20,457

 

$

17,683

 

International

 

11,726

 

11,850

 

13,846

 

14,460

 

20,015

 

Total

 

28,124

 

28,213

 

31,467

 

34,917

 

37,698

 

 

 

 

 

 

 

 

 

 

 

 

 

Gross billings

 

$

32,067

 

$

30,298

 

$

34,941

 

$

38,240

 

$

42,239

 

Recurring billings

 

15,657

 

15,758

 

18,509

 

20,170

 

24,164

 

Non-GAAP gross profit

 

20,475

 

21,588

 

24,628

 

27,893

 

30,938

 

Non-GAAP operating loss

 

(11,894

)

(12,783

)

(13,391

)

(11,111

)

(10,943

)

Free cash flow

 

(9,213

)

(10,833

)

(10,678

)

(9,828

)

(8,349

)

 

 

 

 

 

 

 

 

 

 

 

 

Components of Deferred Revenue

 

 

 

 

 

 

 

 

 

 

 

Software support

 

$

19,868

 

$

21,571

 

$

23,544

 

$

25,322

 

$

29,213

 

Subscription

 

10,600

 

12,376

 

14,682

 

17,213

 

19,981

 

Other deferred revenue

 

10,283

 

8,889

 

8,084

 

7,098

 

4,980

 

Total

 

$

40,751

 

$

42,836

 

$

46,310

 

$

49,633

 

$

54,174

 

 

Investor Contact:

Samuel Wilson

MobileIron

ir@mobileiron.com

650-282-7555

 

Media Contact:

Clarissa Horowitz

MobileIron

clarissa@mobileiron.com

415-608-6825