Attached files
| file | filename |
|---|---|
| 8-K - 8-K - Care.com Inc | q42014earningsrelease8-k.htm |
| EX-99.2 - EXHIBIT 99.2 CFO OFFER LETTER - Care.com Inc | exhibit992meofferletter.htm |
| EX-99.3 - EXHIBIT 99.3 CFO PRESS RELEASE - Care.com Inc | exhibit993cfopressrelease.htm |
Exhibit 99.1
Care.com Announces Fourth Quarter and Full Year 2014 Financial Results
Strong Revenue Growth and Operating Leverage Drive Fourth Quarter Profitability
Waltham, MA - March 19, 2015 - Care.com, Inc. (NYSE: CRCM), the world's largest online destination for finding and managing family care, today announced financial results for the fourth quarter and fiscal year ended on December 27, 2014.
“We are very pleased with our progress in 2014, our first year as a public company. We continued to show robust growth through our investments in our products, while continuing to optimize our marketing channels across the Care.com platform” said Sheila Lirio Marcelo, Founder, Chairwoman, and CEO of Care.com. “We became profitable on an adjusted EBITDA basis in the fourth quarter, as expected, as we continued to leverage our investments in sales and marketing, with increased efficiencies in both paid and unpaid channels. As we continue to drive operating leverage, and given the seasonality of our business, we anticipate reaching consistent quarterly adjusted EBITDA profitability by mid-2016.”
Highlights
• | Fourth quarter consolidated revenue was $33.6 million, an increase of 49% over the fourth quarter of 2013. Organic revenue, which excludes revenue from Citrus Lane, a company that we acquired in July 2014, was $30.0 million in the fourth quarter, an increase of 33% over the same period in 2013. Full year 2014 consolidated revenue was $116.7 million, an increase of 43% over 2013. Organic revenue was $110.7 million for the full year 2014, an increase of 36% over 2013. |
• | Revenue growth and sales and marketing leverage drove profitability improvements, due largely to gains in unpaid marketing, optimizing paid marketing channels, and continuing to drive increases in member engagement and reuse of the service. Fourth quarter organic sales and marketing investments totaled $13.3 million, an increase of just 17% over the fourth quarter of 2013, as compared to 33% organic revenue growth over the fourth quarter of 2013. Full year sales and marketing investments totaled $73.8 million on an organic basis, an increase of 34% over 2013, as compared to 36% organic revenue growth over 2013. |
• | Fourth quarter net loss was $40.4 million, including $36.2 million in non-cash impairment charges related to reduced expectations for Citrus Lane. Fourth quarter consolidated adjusted EBITDA was a profit of $0.5 million, and a profit of $2.2 million on an organic basis, compared to an adjusted EBITDA loss of $1.1 million in the same period of 2013. Full year 2014 net loss was $80.3 million, including $36.2 million in non-cash impairment charges related to reduced expectations for Citrus Lane. Full year 2014 consolidated adjusted EBITDA was a loss of $24.3 million, and a loss of $21.1 million on an organic basis, compared to an adjusted EBITDA loss of $17.2 million in 2013, representing 200 basis point improvement on a percentage of revenue basis. |
• | The Company recorded non-cash impairment charges of $36.2 million related to reduced expectations for Citrus Lane. This was driven by lower than expected new subscribers during the integration period, as a result of transitioning marketing strategies and tactics to align with the broader Care.com platform. |
Financial Results
• | Revenue for the fourth quarter was $33.6 million on a consolidated basis, and $30.0 million on an organic basis. Organic revenue grew 33% over $22.5 million in the fourth quarter of 2013. Full year revenue was $116.7 million on a consolidated basis, and $110.7 million on an organic basis. Organic revenue grew 36% over $81.5 million in 2013. |
◦ | US Matching revenue totaled $22.7 million in the fourth quarter, a 31% increase from $17.3 million in the fourth quarter 2013. Full year US Matching revenue totaled $82.0 million, an increase of 33% from $61.6 million in 2013. |
◦ | Payments revenue totaled $3.5 million in the fourth quarter, a 33% increase from $2.6 million in the fourth quarter of 2013. Full year Payments revenue totaled $14.5 million, a 35% increase over $10.8 million in 2013. |
◦ | Other revenue totaled $7.4 million in the fourth quarter, including $3.6 million from Citrus Lane. Other revenue excluding Citrus Lane totaled $3.8 million, a 49% increase from $2.6 million in the fourth quarter of 2013. Full year Other revenue totaled $20.2 million, including $6.0 million from Citrus Lane. Full year Other revenue excluding revenue from Citrus Lane totaled $14.2 million, a 56% increase from $9.1 million in 2013. |
• | GAAP net loss for the fourth quarter 2014 was $40.4 million, including $36.2 million in non-cash impairment charges related to Citrus Lane. Net loss excluding the impact of Citrus Lane’s operations and impairment charges was $1.5 million, compared to a net loss of $3.6 million in the fourth quarter of 2013. Full year 2014 net loss was $80.3 million, including $36.2 million in non-cash impairment charges related to Citrus Lane. Net loss excluding the impact of Citrus Lane’s operations and impairment charges was $37.3 million, compared to $28.4 million in 2013. |
• | Adjusted EBITDA was $0.5 million in the fourth quarter 2014. Adjusted EBITDA excluding the results of Citrus Lane was $2.2 million, compared to an adjusted EBITDA loss of $1.1 million in the fourth quarter of 2013. Full year 2014 adjusted EBITDA was a loss of $24.3 million, including a loss of $3.2 million from Citrus Lane. Full year adjusted EBITDA excluding the impact of Citrus Lane was a loss of $21.1 million, compared to an adjusted EBITDA loss of $17.2 million in 2013. |
• | GAAP EPS was $(1.28) in the fourth quarter, including $(1.23) impact related to Citrus Lane’s operations and impairment charges. Q4 GAAP EPS was based on 31.5 million weighted average basic shares outstanding. GAAP EPS was $(2.77) for the full year 2014, including $(1.49) impact from Citrus Lane’s operations and impairment charges, based on 28.9 million weighted average basic shares outstanding. |
• | Non-GAAP EPS was $(0.04) in the fourth quarter. For the full year, non-GAAP EPS was $(1.05). Non-GAAP EPS excludes the impact of non-cash stock based compensation and non-recurring items, such as M&A and the Citrus Lane impairment charges. |
• | The Company ended the year with $71.9 million in cash and cash equivalents. |
Business Highlights
• | Our total members grew 45% to 14.1 million at year end 2014, including approximately 300,000 added via our acquisition of Citrus Lane, compared to 9.7 million at year end 2013. |
◦ | Total families grew to 7.9 million at year end 2014, a 50% increase over last year, and total caregivers grew to 6.2 million at year end 2014, an increase of 38% over last year. |
◦ | End of year 2014 US Matching paying members increased 28% over 2013 to 208,000. |
◦ | End of year 2014 Payment members grew to 13,900, a 28% increase over last year. |
• | We delivered strong organic revenue growth of 33% in Q4 while increasing sales and marketing expenses just 17%, excluding the impact of Citrus Lane. Direct marketing for core US matching and payments businesses increased just 10% in the fourth quarter, and TV spend declined 4%. We leveraged organic sales and marketing as a percentage of revenue by 600 basis points over the fourth quarter of 2013. |
• | Cross sell between our US Matching and high-ROI Payments businesses was robust, with 42% of new Payments members in 2014 coming from Care.com, as compared to 33% in 2013. |
• | Average US monthly unique visitors grew to 6.2 million in Q4, a 28% increase over Q4 2013, with 62% of visitors via mobile device. |
• | Unpaid SEO traffic continued strong growth, resulting in a 61% increase over the fourth quarter of 2013, and a 66% increase for the year 2014. |
Financial Expectations
Financial Expectations | ||||||||||||||||
Q1 2015 | Full Year 2015 | |||||||||||||||
Revenue | ||||||||||||||||
Organic (ex. Citrus Lane) | $ | 31.3 | - | $ | 31.9 | $ | 133.0 | - | $ | 141.0 | ||||||
Citrus Lane | $2.6 | $ | 12.0 | - | $ | 14.0 | ||||||||||
Total | $ | 33.9 | - | $ | 34.5 | $ | 145.0 | - | $ | 155.0 | ||||||
Adjusted EBITDA | ||||||||||||||||
Organic (ex. Citrus Lane) | $ | (6.6 | ) | - | $ | (6 | ) | $ | (11.0 | ) | - | $ | (7.0 | ) | ||
Citrus Lane | $(1.6) | $ | (4.0 | ) | - | $ | (2.0 | ) | ||||||||
Total | $ | (8.2 | ) | - | $ | (7.6 | ) | $ | (15.0 | ) | - | $ | (9.0 | ) | ||
Non GAAP EPS | (0.33 | ) | - | (0.31 | ) | (0.72 | ) | - | (0.53 | ) | ||||||
Weighted average basic shares | 31.8 | - | 31.8 | 32.1 | - | 32.1 | ||||||||||
Figures in millions except for Non-GAAP EPS | ||||||||||||||||
Non-GAAP EPS based on weighted average diluted shares | ||||||||||||||||
Earnings Teleconference Information
The Company will discuss its fourth quarter and full year 2014 financial results during a teleconference today, March 19, 2015, at 8:00 AM ET. The conference call can be accessed at (877) 407-4018 or (201) 689-8471 (international), conference ID# 13600443. The call will also be broadcast simultaneously at http://investors.care.com. Following the completion of the call, a recorded replay of the webcast will be available on Care.com’s website. To listen to the telephone replay, call toll-free (877) 870-5176 or (858) 384-5517 (international), conference ID # 13600443. The
telephone replay will be available from 11:00 AM ET March 19 through 11:59 PM ET March 26, 2015. Additional investor information can be accessed at http://www.care.com.
About Care.com
Since launching in 2007, Care.com (NYSE: CRCM) has been committed to solving the complex care challenges that impact families, caregivers, employers, and care service companies. Today, Care.com is the world’s largest online destination for finding and managing family care, with 14.1 million member consumers* across 16 countries, including the US, UK, Canada and parts of Western Europe, and approximately half a million employees of corporate clients having access to our services. Spanning child care to senior care, pet care, housekeeping and more, Care.com provides a sweeping array of services for families and caregivers to find, manage and pay for care or find employment. These include: a comprehensive suite of safety tools and resources members may use to help make more informed hiring decisions - such as third-party background check services, monitored messaging, and tips on hiring best practices; easy ways for caregivers to be paid online or via mobile app; and household payroll and tax services provided by Care.com HomePay. Care.com builds employers customized benefits packages covering child care, back up care and senior care consulting services through its Global Workplace Solutions, and serves care businesses with marketing and recruiting support. To further connect families, Care.com has expanded its consumer service with its 2014 acquisition of Citrus Lane, the leading social commerce site for moms, and its 2013 acquisition of Big Tent, a community platform with more than 1 million active members. Headquartered in Waltham, Massachusetts, Care.com has offices in Berlin, Austin, New York City and Silicon Valley.
*As of December 2014
Cautionary Language Concerning Forward-Looking Statements:
This press release contains "forward-looking statements" within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995, including but not limited to, statements regarding projected membership growth and platform monetization opportunities, the anticipated profitability of our business in 2016 on an adjusted EBITDA basis, and the Company’s financial guidance for the first quarter of 2015 and full year 2015.
These forward-looking statements are made as of the date they were first issued and were based on current expectations, estimates, forecasts and projections as well as the beliefs and assumptions of management. Words such as "expect," "anticipate," "should," "believe," "hope," "target," "project," "goals," "estimate," "potential," "predict," "may," "will," "might," "could," "intend," variations of these terms or the negative of these terms and similar expressions are intended to identify these forward-looking statements. Forward-looking statements are subject to a number of risks and uncertainties, many of which involve factors or circumstances that are beyond the Company's control. The Company's actual results could differ materially from those stated or implied in forward-looking statements due to a number of factors, including but not limited to: our ability to grow our membership while leveraging our investment in sales and marketing, our success in converting non-paying members to paying members, our ability to cross-sell new and existing products and services to our members and to develop new products and services that members consider valuable, , and our ability to protect our brand and maintain our reputation among our members, and other risks detailed in the Company's other publicly available filings with the Securities and Exchange Commission. Past performance is not necessarily indicative of future results. The forward-looking statements included in this press release represent the Company's views as of the date of this press release. The Company anticipates that subsequent events and developments will cause its views to change. The Company undertakes no intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. These forward-looking statements should not be relied upon as representing the Company's views as of any date subsequent to the date of this press release.
Use of Non-GAAP Financial Measures
To supplement the financial measures presented in the Company’s press release and related conference call or webcast in accordance with accounting principles generally accepted in the United States ("GAAP"), we also present the following non-GAAP measures of financial performance: organic revenue and revenue growth; adjusted EBITDA, organic marketing investments; non-GAAP net loss and non-GAAP earnings per share (“EPS”).
A “non-GAAP financial measure” refers to a numerical measure of the Company’s historical or future financial performance, financial position, or cash flows that excludes (or includes) amounts that are included in (or excluded from) the most directly comparable measure calculated and presented in accordance with GAAP in the Company’s financial statements. The Company provides certain non-GAAP measures as additional information relating to its operating results as a complement to results provided in accordance with GAAP. The non-GAAP financial information presented here should be considered in conjunction with, and not as a substitute for or superior to, the financial information presented in accordance with GAAP and should not be considered a measure of the Company’s liquidity. There are significant limitations associated with the use of non-GAAP financial measures. Further, these measures may differ from the non-GAAP information, even where similarly titled, used by other companies and therefore should not be used to compare the Company’s performance to that of other companies.
The Company has presented: organic revenue and revenue growth, adjusted EBITDA, organic marketing investments, non-GAAP net loss and non-GAAP EPS as non-GAAP financial measures in this press release. We define organic revenue as total revenue excluding Citrus Lane revenue. We define organic revenue growth as revenue growth excluding Citrus Lane. We define adjusted EBITDA as net loss, plus: federal, state and franchise taxes, other expense (income), net, depreciation and amortization, stock-based compensation, accretion of contingent consideration, merger and acquisition related costs and other unusual or non-cash significant adjustments. Adjusted EBITDA eliminates the effects of financing, income taxes and the accounting effects of capital spending, which is based on the Company's estimate of the useful life of tangible and intangible assets. We define organic marketing investment as marketing investment excluding Citrus Lane. We define non-GAAP net loss as net loss, plus stock-based compensation, accretion of contingent consideration, merger and acquisition related costs and other unusual or non-cash significant adjustments. We define non-GAAP EPS as non-GAAP net loss divided by weighted basic shares outstanding.
The Company believes the use of non-GAAP financial measures, as a supplement to GAAP measures, is useful to investors in that they eliminate items that are either not part of the Company's core operations or do not require a cash outlay, such as stock-based compensation. Care.com’s management uses these non-GAAP financial measures when evaluating the Company’s operating performance and for internal planning and forecasting purposes. The Company believes that these non-GAAP financial measures help indicate underlying trends in the Company’s business, are important in comparing current results with prior period results, and are useful to investors and financial analysts in assessing the Company’s operating performance.
###
Contacts:
Investor Relations:
Denise Garcia
ICR, Inc.
(781) 795-7244
investors@care.com
Care.com, Inc. | |||||||
Consolidated Balance Sheets | |||||||
(in thousands) | |||||||
December 27, 2014 | December 28, 2013 | ||||||
(unaudited) | |||||||
Assets | |||||||
Current assets: | |||||||
Cash and cash equivalents | $ | 71,881 | $ | 29,959 | |||
Restricted cash | 85 | 246 | |||||
Accounts receivable (net of allowance of $0 and $56, respectively) | 2,592 | 1,609 | |||||
Unbilled accounts receivable | 3,541 | 2,477 | |||||
Prepaid expenses and other current assets | 7,961 | 1,731 | |||||
Total current assets | 86,060 | 36,022 | |||||
Property and equipment, net | 6,323 | 1,553 | |||||
Intangible assets, net | 8,965 | 11,418 | |||||
Goodwill | 68,685 | 62,686 | |||||
Other non-current assets | 3,071 | 2,150 | |||||
Total assets | $ | 173,104 | $ | 113,829 | |||
Liabilities, redeemable convertible preferred stock and stockholders' equity (deficit) | |||||||
Current liabilities: | |||||||
Accounts payable | $ | 5,463 | $ | 2,031 | |||
Accrued expenses and other current liabilities | 12,732 | 7,023 | |||||
Current contingent acquisition consideration | 10,685 | 5,463 | |||||
Deferred revenue | 13,346 | 8,304 | |||||
Total current liabilities | 42,226 | 22,821 | |||||
Contingent acquisition consideration | 7,267 | 5,166 | |||||
Deferred tax liability | 2,119 | 1,112 | |||||
Other non-current liabilities | 3,442 | 785 | |||||
Total liabilities | 55,054 | 29,884 | |||||
Redeemable convertible preferred stock | — | 152,251 | |||||
Stockholders' equity (deficit) | |||||||
Preferred stock, $0.001 par value; 5,000 shares authorized; no shares issued and outstanding | — | — | |||||
Common stock, $0.001 par value; 300,000 shares authorized; 31,614 and 3,197 shares issued and outstanding as of December 27, 2014 and December 28, 2013, respectively | 32 | 3 | |||||
Additional paid-in capital | 277,583 | 9,311 | |||||
Accumulated deficit | (159,859 | ) | (79,563 | ) | |||
Accumulated other comprehensive income | 294 | 1,943 | |||||
Total stockholders' equity (deficit) | 118,050 | (68,306 | ) | ||||
Total liabilities, redeemable convertible preferred stock and stockholders' equity (deficit) | $ | 173,104 | $ | 113,829 | |||
Care.com, Inc. | |||||||||||||||
Consolidated Statement of Operations | |||||||||||||||
(in thousands, except per share data) | |||||||||||||||
Three Months Ended | Year Ended | ||||||||||||||
December 27, 2014 | December 28, 2013 | December 27, 2014 | December 28, 2013 | ||||||||||||
(unaudited) | (unaudited) | ||||||||||||||
Revenue | $ | 33,552 | $ | 22,511 | $ | 116,713 | $ | 81,487 | |||||||
Cost of revenue | 9,729 | 4,852 | 30,345 | 18,844 | |||||||||||
Operating expenses: | |||||||||||||||
Selling and marketing | 14,446 | 11,398 | 75,817 | 55,250 | |||||||||||
Research and development | 4,425 | 3,397 | 16,984 | 11,816 | |||||||||||
General and administrative | 7,789 | 5,534 | 30,088 | 18,841 | |||||||||||
Depreciation and amortization | 1,191 | 1,221 | 4,440 | 4,387 | |||||||||||
Impairment of goodwill and intangible assets | 36,227 | — | 36,227 | — | |||||||||||
Total operating expenses | 64,078 | 21,550 | 163,556 | 90,294 | |||||||||||
Operating loss | (40,255 | ) | (3,891 | ) | (77,188 | ) | (27,651 | ) | |||||||
Other (expense) income, net | (533 | ) | 27 | (3,856 | ) | (291 | ) | ||||||||
Loss before income taxes | (40,788 | ) | (3,864 | ) | (81,044 | ) | (27,942 | ) | |||||||
(Benefit from) provision for income taxes | (368 | ) | (233 | ) | (752 | ) | 354 | ||||||||
Net loss | (40,420 | ) | (3,631 | ) | (80,292 | ) | (28,296 | ) | |||||||
Accretion of preferred stock | — | (15 | ) | (4 | ) | (57 | ) | ||||||||
Net loss attributable to common stockholders | $ | (40,420 | ) | $ | (3,646 | ) | $ | (80,296 | ) | $ | (28,353 | ) | |||
Net loss per share attributable to common stockholders: | |||||||||||||||
Basic and diluted | $ | (1.28 | ) | $ | (1.16 | ) | $ | (2.77 | ) | $ | (9.45 | ) | |||
Weighted-average shares used to compute net loss per share attributable to common stockholders: | |||||||||||||||
Basic and diluted | 31,507 | 3,130 | 28,941 | 3,000 | |||||||||||
Care.com, Inc. | |||||||
Consolidated Statement of Cash Flows | |||||||
(in thousands) | |||||||
Year Ended | |||||||
December 27, 2014 | December 28, 2013 | ||||||
Cash flows from operating activities | (unaudited) | ||||||
Net loss | $ | (80,292 | ) | $ | (28,296 | ) | |
Adjustments to reconcile net loss to net cash used in operating activities: | |||||||
Stock-based compensation | 5,805 | 1,862 | |||||
Depreciation and amortization | 5,401 | 6,702 | |||||
Deferred taxes | (893 | ) | 284 | ||||
Contingent consideration expense | 900 | 1,342 | |||||
Change in fair value of contingent consideration payable in preferred stock | 2,258 | — | |||||
Change in fair value of stock warrants | 606 | 115 | |||||
Impairment of goodwill and intangible assets | 36,227 | — | |||||
Other non-operating expenses | (89 | ) | — | ||||
Changes in operating assets and liabilities, net of effects from acquisitions: | |||||||
Restricted cash | 4 | 23 | |||||
Accounts receivable | (892 | ) | (46 | ) | |||
Unbilled accounts receivable | (1,066 | ) | (458 | ) | |||
Prepaid expenses and other current assets | (432 | ) | (462 | ) | |||
Other non-current assets | 353 | (109 | ) | ||||
Accounts payable | 1,057 | 706 | |||||
Accrued expenses and other current liabilities | 2,479 | 2,870 | |||||
Deferred revenue | 3,422 | 2,821 | |||||
Other non-current liabilities | 868 | (15 | ) | ||||
Net cash used in operating activities | (24,284 | ) | (12,661 | ) | |||
Cash flows from investing activities | |||||||
Purchases of property and equipment | (3,038 | ) | (1,420 | ) | |||
Payments for acquisitions, net of cash acquired | (23,333 | ) | (398 | ) | |||
Cash withheld for purchase consideration | (73 | ) | — | ||||
Payments for security deposits | (2,825 | ) | — | ||||
Net cash used in investing activities | (29,269 | ) | (1,818 | ) | |||
Cash flows from financing activities | |||||||
Proceeds from initial public offering net of offering costs | 96,007 | — | |||||
Proceeds from exercise of common stock options | 787 | 821 | |||||
Payments for deferred offering costs | — | (1,074 | ) | ||||
Payments of contingent consideration previously established in purchase accounting | (2,209 | ) | — | ||||
Net cash provided by (used in) financing activities | 94,585 | (253 | ) | ||||
Effect of exchange rate changes on cash and cash equivalents | 890 | (85 | ) | ||||
Net increase (decrease) in cash and cash equivalents | 41,922 | (14,817 | ) | ||||
Cash and cash equivalents, beginning of the period | 29,959 | 44,776 | |||||
Cash and cash equivalents, end of the period | $ | 71,881 | $ | 29,959 | |||
Care.com, Inc. | |||||||||||||||||
Reconciliation of Adjusted EBITDA | |||||||||||||||||
(in thousands) | |||||||||||||||||
Three Months Ended | Year Ended | ||||||||||||||||
December 27, 2014 | December 28, 2013 | December 27, 2014 | December 28, 2013 | ||||||||||||||
(unaudited) | (unaudited) | ||||||||||||||||
Net loss | $ | (40,420 | ) | $ | (3,631 | ) | $ | (80,292 | ) | $ | (28,296 | ) | |||||
Federal, state and franchise taxes | (311 | ) | (266 | ) | (468 | ) | 376 | ||||||||||
Other expense (income), net | 533 | (27 | ) | 3,856 | 291 | ||||||||||||
Depreciation and amortization | 1,487 | 1,535 | 5,401 | 6,702 | |||||||||||||
EBITDA | (38,711 | ) | (2,389 | ) | (71,503 | ) | (20,927 | ) | |||||||||
Stock-based compensation | 976 | 666 | 5,805 | 1,862 | |||||||||||||
Accretion of contingent consideration | 496 | 138 | 900 | 561 | |||||||||||||
Non-cash rent expense | 550 | — | 948 | — | |||||||||||||
Merger and acquisition related costs | 1,005 | — | 3,114 | — | |||||||||||||
Impairment of goodwill and intangible assets | 36,227 | — | 36,227 | — | |||||||||||||
IPO related costs | — | 467 | 164 | 1,305 | |||||||||||||
Adjusted EBITDA | $ | 543 | $ | (1,118 | ) | $ | (24,345 | ) | $ | (17,199 | ) | ||||||
Care.com, Inc. | |||||||||||||||
Reconciliation of Non-GAAP Net Loss | |||||||||||||||
(in thousands, except per share data) | |||||||||||||||
Three Months Ended | Year Ended | ||||||||||||||
December 27, 2014 | December 28, 2013 | December 27, 2014 | December 28, 2013 | ||||||||||||
(unaudited) | (unaudited) | ||||||||||||||
Net loss | $ | (40,420 | ) | $ | (3,631 | ) | $ | (80,292 | ) | $ | (28,296 | ) | |||
Stock-based compensation | 976 | 666 | 5,805 | 1,862 | |||||||||||
Accretion of contingent consideration | 496 | 138 | 900 | 561 | |||||||||||
Non-cash rent expense | 550 | — | 948 | — | |||||||||||
Merger and acquisition related costs | 1,005 | — | 3,114 | — | |||||||||||
Impairment of goodwill and intangible assets | 36,227 | — | 36,227 | — | |||||||||||
IPO related costs | — | 467 | 164 | 1,305 | |||||||||||
Preferred stock and warrant valuation adjustments | — | 87 | 2,864 | 115 | |||||||||||
Non-GAAP net loss | $ | (1,166 | ) | $ | (2,273 | ) | $ | (30,270 | ) | $ | (24,453 | ) | |||
Non-GAAP net loss per share attributable to common stockholders: | |||||||||||||||
Basic and diluted | $ | (0.04 | ) | $ | (0.73 | ) | $ | (1.05 | ) | $ | (8.15 | ) | |||
Weighted-average shares used to compute non-GAAP net loss per share attributable to common stockholders: | |||||||||||||||
Basic and diluted | 31,507 | 3,130 | 28,941 | 3,000 | |||||||||||
Care.com, Inc. | |||||||||||||||
Reconciliation of Non-GAAP Organic Revenue | |||||||||||||||
Three Months Ended | Year Ended | ||||||||||||||
(in thousands) | December 27, 2014 | December 28, 2013 | December 27, 2014 | December 28, 2013 | |||||||||||
(unaudited) | (unaudited) | ||||||||||||||
Revenue | $ | 33,552 | $ | 22,511 | $ | 116,713 | $ | 81,487 | |||||||
Citrus Lane revenue | 3,551 | — | 6,001 | — | |||||||||||
Organic revenue | $ | 30,001 | $ | 22,511 | $ | 110,712 | $ | 81,487 | |||||||
Reconciliation of Non-GAAP Organic Sales and Marketing | |||||||||||||||
Three Months Ended | Year Ended | ||||||||||||||
(in thousands) | December 27, 2014 | December 28, 2013 | December 27, 2014 | December 28, 2013 | |||||||||||
(unaudited) | (unaudited) | ||||||||||||||
Selling and marketing | $ | 14,446 | $ | 11,398 | $ | 75,817 | $ | 55,250 | |||||||
Citrus Lane selling and marketing | 1,133 | — | 2,017 | — | |||||||||||
Organic selling and marketing | $ | 13,313 | $ | 11,398 | $ | 73,800 | $ | 55,250 | |||||||
Reconciliation of Organic Adjusted EBITDA | |||||||||||||||
Three Months Ended | Year Ended | ||||||||||||||
(in thousands) | December 27, 2014 | December 28, 2013 | December 27, 2014 | December 28, 2013 | |||||||||||
(unaudited) | (unaudited) | ||||||||||||||
Adjusted EBITDA | $ | 543 | $ | (1,118 | ) | $ | (24,345 | ) | $ | (17,199 | ) | ||||
Citrus Lane adjusted EBITDA | (1,628 | ) | — | (3,236 | ) | — | |||||||||
Organic adjusted EBITDA | $ | 2,171 | $ | (1,118 | ) | $ | (21,109 | ) | $ | (17,199 | ) | ||||
Care.com, Inc. | |||||||||
Supplemental Data | |||||||||
(in thousands) | |||||||||
December 27, 2014 | December 28, 2013 | ||||||||
Total members** | 14,118 | 9,744 | |||||||
Total families** | 7,942 | 5,281 | |||||||
Total caregivers* | 6,176 | 4,463 | |||||||
Paying members - US Matching | 208 | 163 | |||||||
Paying members - Payments | 14 | 11 | |||||||
** data is cumulative as of the end of the respective period and includes approximately 300k members via our acquisition of Citrus Lane | |||||||||
* data is cumulative as of the end of the respective period | |||||||||
Year Ended | |||||||||
December 27, 2014 | December 28, 2013 | ||||||||
Monthly Average Revenue per Member | |||||||||
US Matching | $ | 37 | $ | 36 | |||||
Payments | $ | 97 | $ | 93 | |||||