Attached files
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| 8-K - 8-K - MaxPoint Interactive, Inc. | mxpt03092016-8k.htm |
Exhibit 99.1
MaxPoint Interactive Announces Fourth Quarter and Full Year 2015 Earnings Results
Fourth Quarter Revenue increases 6% and Revenue ex-TAC increases 17% from Fourth Quarter 2014
Full Year 2015 Revenue increases 32% and Revenue ex-TAC increases 39% from Full Year 2014
RALEIGH, N.C. – March 9, 2016—MaxPoint (NYSE: MXPT), the company that helps manufacturers and retailers generate in-store sales with its innovative Digital Zip® technology, today announced its financial results for the fourth quarter and full year ended December 31, 2015.
Fourth Quarter 2015 Financial Highlights:
• | Revenue of $41.0 million increased 6% in the fourth quarter of 2015, compared to $38.6 million for the fourth quarter of 2014. |
• | Revenue ex-TAC1 of $25.2 million increased 17% in the fourth quarter of 2015, compared to $21.6 million for the fourth quarter of 2014. |
• | Net loss of $4.6 million in the fourth quarter of 2015 compared to $1.5 million for the fourth quarter of 2014. |
• | Adjusted EBITDA1 of $(1.5) million in the fourth quarter of 2015 compared to $1.5 million for the fourth quarter of 2014. |
• | Net loss per basic and diluted share of $0.18 in the fourth quarter of 2015 compared to $0.37 for the fourth quarter of 2014. |
• | Non-GAAP net loss per basic and diluted share1 of $0.14 in the fourth quarter of 2015 compared to $0.03 for the fourth quarter of 2014. |
Full Year 2015 Financial Highlights:
• | Revenue of $140.1 million increased 32% in 2015, compared to $106.5 million for 2014. |
• | Revenue ex-TAC1 of $86.3 million increased 39% in 2015, compared to $61.9 million for 2014. |
• | Net loss of $22.5 million in 2015 compared to $13.0 million for 2014. |
• | Adjusted EBITDA1 of $(10.4) million in 2015 compared to $(5.4) million for 2014. |
• | Net loss per basic and diluted share of $1.03 in 2015 compared to $3.31 for 2014. |
• | Non-GAAP net loss per basic and diluted share1 of $0.75 in 2015 compared to $0.57 for 2014. |
“2015 was a transformational year for MaxPoint, laying the foundation for 2016 and years to come,” said Joe Epperson, MaxPoint’s co-founder and CEO. "We continued to innovate, particularly in location analytics, mobile and measurement while also expanding internationally. We learned how important data utilization is to customer growth and we have a clear set of objectives for 2016 to increase our data utilization rates and return to growth.”
Fourth Quarter 2015 Operating Highlights:
• | Our total number of enterprise customers1 increased to 709 in the fourth quarter, up 48% from 479 for the fourth quarter of 2014. |
• | During the quarter, non-display advertising, which includes mobile, video and social, accounted for 37% of revenue, up from 23% of revenue in the fourth quarter of 2014. |
• | During the quarter, revenue from mobile advertising on phones and tablets accounted for 32% of revenue, up from 17% of revenue in the fourth quarter of 2014. |
Full Year 2015 Operating Highlights:
• | During the year, non-display advertising, which includes mobile, video and social, accounted for 32% of revenue, up from 21% of revenue in 2014. |
• | During the year, revenue from mobile advertising on phones and tablets accounted for 26% of revenue, up from 15% of revenue in 2014. |
Stock Repurchase Program
On March 4, 2016, our board of directors approved a stock repurchase program of up to $4.0 million. The timing and actual number of shares repurchased will depend on a variety of factors including price, corporate and regulatory requirements, an assessment by management and our board of directors of cash availability and other market conditions.
Revolving Line of Credit Amendment
On March 8, 2016, we amended our revolving line of credit. This amendment changed the terms and conditions to the revolving line of credit by: (1) extending the maturity date to June 11, 2017; (2) removing the $5.0 million minimum cash and availability requirement (defined as cash held at the lender plus the unused credit line availability amount); and (3) changing the applicable interest rate on outstanding amounts under the revolving line of credit to a floating rate per annum equal to the prime referenced rate plus a potential applicable margin ranging from 0.00% to 1.50%. In addition, with this amendment, we are now required to comply with certain financial covenants, including maintaining specified quarterly Adjusted EBITDA and a minimum monthly Adjusted Quick Ratio, as defined. This amendment will be filed as an exhibit to our Annual Report on Form 10-K for the year ended December 31, 2015.
Business Outlook
The following forward-looking statements reflect MaxPoint’s expectations as of March 9, 2016.
First Quarter 2016 Guidance:
• | Revenue ex-TAC1 for the first quarter ending March 31, 2016 is expected to be between $17.0 million and $18.0 million. |
• | Adjusted EBITDA1 for the first quarter ending March 31, 2016 is expected to be between $(8.0) million and $(7.0) million. |
Fiscal Year 2016 Guidance:
• | Revenue ex-TAC1 for the fiscal year ending December 31, 2016 is expected to be between $91.0 million and $95.0 million. |
• | Adjusted EBITDA1 for the fiscal year ending December 31, 2016 is expected to be between $(10.0) million and $(8.0) million. |
1 Represents a Non-GAAP financial measure or operating performance metric. Please see the discussion below under the heading “Non-GAAP Financial Measures and Operating Performance Metrics” and the reconciliations that follow within this release.
Conference Call
The Company will host a conference call today, Wednesday, March 9, 2016 at 5:00PM ET to discuss these results.
The conference call can be accessed at (877) 201-0168, conference ID #24127159. The call will also be webcast simultaneously at http://ir.maxpoint.com.
Forward-Looking Statements
This press release contains forward-looking statements, including the quotations from management and the statements in "Stock Repurchase Program," and "Business Outlook," that are subject to a number of risks, uncertainties, assumptions and other factors that could cause actual results and the timing of certain events to differ materially from future results expressed or implied by such statements including, but not limited to: our limited operating history, particularly as a newly public company, which makes it difficult to evaluate our current business and future prospects; our ability to achieve or sustain profitability; our ability to attract new customers or increase the allocation of our existing customers' marketing spend to us; our ability to develop new products and services or enhance our existing products and services; our ability to expand our business internationally; the effects of increased competition in our market and our ability to compete effectively; our ability to comply with, and the effect on our business of, evolving legal standards and regulations, particularly concerning privacy and data protection; the seasonality of our business; changes in our customers' advertising budget allocations, agency affiliations or marketing strategies; our dependence on the continued growth of the digital advertising market; our ability to maintain a supply of media inventory or impressions; our ability to retain key employees and attract additional key employees; our ability to maintain effective internal controls; our recognition of revenue from customer subscriptions over the term of the customer agreements and general market, political, economic and business conditions. Additional factors that could cause actual results to differ materially from those anticipated by our forward-looking statements are described under “Risk Factors” in our Quarterly Report on Form 10-Q for the quarter ended September 30, 2015. Additional information will also be provided in our Annual Report on Form 10-K for the year ended December 31, 2015.
You should not rely upon forward-looking statements as predictions of future events. Furthermore, such forward-looking statements are only as of the date of this press release. Except as required by law, we disclaim any obligation to update these forward-looking statements publicly, or to update the reasons actual results could differ materially from those anticipated in these forward-looking statements, even if new information becomes available in the future.
Non-GAAP Financial Measures and Operating Performance Metrics
To supplement our consolidated financial statements, which are prepared and presented in accordance with U.S. Generally Accepted Accounting Principles (GAAP), we use the following Non-GAAP financial measures: Revenue ex-TAC, Adjusted EBITDA, Non-GAAP net loss and Non-GAAP net loss per basic and diluted share. We also use number of enterprise customers, which is an operating performance metric. The presentation of this financial information is not intended to be considered in isolation or as a substitute for, or superior to, the financial information prepared and presented in accordance with GAAP.
We use these Non-GAAP financial measures for financial and operational decision-making and as a means to evaluate period-to-period performance. Our management believes that these Non-GAAP financial measures provide meaningful supplemental information regarding our results by (1) excluding certain expenses and charges that may not be indicative of our recurring core business activities; and (2) providing information for comparable periods that help both management and investors assess our operating performance. We believe these Non-GAAP financial measures are useful to investors both because they allow for greater transparency with respect to key metrics used by management in its financial and operational decision-making and because they help our institutional investors and the analyst community analyze our business.
For more information on these Non-GAAP financial measures, see the following descriptions and the tables below captioned "Supplemental Information Including Reconciliations of Non-GAAP Measures to the Nearest Comparable GAAP Measure."
Revenue ex-TAC
Revenue ex-TAC is a Non-GAAP financial measure defined by us as revenue less traffic acquisition costs. Traffic acquisition costs consist of purchases of advertising impressions from real-time bidding exchanges. We believe that Revenue ex-TAC is a meaningful measure of operating performance because it is frequently used for internal management purposes, indicates the effectiveness of delivering results to advertisers and facilitates a more complete period-to-period understanding of factors and trends affecting our underlying revenue performance. A limitation of Revenue ex-TAC is that it is a measure that other companies, including companies in our industry that have similar business arrangements, either may not use or may calculate differently, which reduces its usefulness as a comparative measure. Because of these and other limitations, we consider, and you should consider, Revenue ex-TAC alongside other GAAP financial measures, such as revenue, gross profit and total operating expenses.
Adjusted EBITDA
To provide investors with additional information regarding our financial results, we provide Adjusted EBITDA, a Non-GAAP financial measure. We define Adjusted EBITDA as net loss before income taxes, interest expense, amortization and write-off of debt discount, amortization and write-off of deferred financing costs and depreciation and amortization, adjusted to eliminate stock-based compensation expense and change in fair value of common stock warrant liabilities.
We have presented Adjusted EBITDA because it is a key measure used by our management and board of directors to understand and evaluate our core operating performance and trends, to prepare and approve our annual budget and to develop short- and long-term operating plans. In particular, we believe the exclusion of certain items in calculating Adjusted EBITDA can provide a useful measure for period-to-period comparisons of our business. Accordingly, we believe that Adjusted EBITDA provides useful information to investors in understanding and evaluating our operating results.
Our use of Adjusted EBITDA has limitations as an analytical tool, and you should not consider it in isolation or as a substitute for analysis of our results as reported under GAAP. Some of these limitations are:
• Although depreciation and amortization are non-cash charges, the assets being depreciated and amortized may have to be replaced in the future, and Adjusted EBITDA does not reflect cash capital expenditure requirements for such replacements or for new capital expenditure requirements;
• Adjusted EBITDA does not reflect changes in, or cash requirements for, our working capital needs;
• Adjusted EBITDA does not reflect the potentially dilutive impact of equity-based compensation;
• Adjusted EBITDA does not reflect interest or tax payments that may represent a reduction in cash available to us; and
• Other companies, including companies in our industry, may calculate Adjusted EBITDA differently, which reduces its usefulness as a comparative measure.
Because of these and other limitations, we consider, and you should consider, Adjusted EBITDA together with other GAAP-based financial performance measures, including various cash flow metrics, net loss and our other GAAP results.
Number of Enterprise Customers
Our number of enterprise customers is a key operating metric. We believe our ability to increase the revenue we generate from existing customers and attract new customers is an important component of our growth strategy. We also believe that those customers from which we have generated more than $10,000 of revenue during any trailing twelve-month period best identifies customers that are actively using our solution and contribute more meaningfully to revenue. We refer to these customers as our enterprise customers. Our ability to generate additional revenue from our enterprise customers is an important indicator of our ability to grow revenue over time.
In those cases where we work with multiple brands or divisions within the same company or where the company runs marketing campaigns in multiple geographies, even though multiple insertion orders may be involved, we count that company as a single customer. When an insertion order is with an advertising agency, we consider the company on behalf of which the marketing campaign is conducted as our enterprise customer. If a company has its marketing spend with us managed by multiple advertising agencies, that company is counted as a single enterprise customer.
While the number of our enterprise customers has increased over time, this number can also fluctuate from quarter to quarter due to the seasonal trends in the advertising spend of our enterprise and other customers, which can impact the timing and amount of revenue we generate from them. Therefore, there is not necessarily a direct correlation between a change in the number of enterprise customers for a particular period and an increase or decrease in our revenue during that period.
Non-GAAP Net Loss
We define Non-GAAP net loss as net loss less non-cash stock-based compensation expense. We believe the exclusion of this non-cash charge can provide a useful measure for period-to-period comparisons of our business. A limitation of Non-GAAP net loss is that it is a measure that other companies, including companies in our industry that have similar business arrangements, either may not use or may calculate differently, which reduces its usefulness as a comparative measure. Because of these and other limitations, we consider, and you should consider, Non-GAAP net loss together with other GAAP-based financial performance measures, including various cash flow metrics, net loss and our other GAAP results.
Non-GAAP Net Loss per Basic and Diluted Share
We define Non-GAAP net loss per basic and diluted share as net loss less non-cash stock-based compensation expense per basic and diluted share as adjusted for the conversion of preferred stock in periods presented to assume the conversion of all outstanding shares of convertible preferred stock into common stock, as of the beginning of the period. We consider, and you should consider, Non-GAAP net loss per basic and diluted share together with other GAAP-based financial performance measures, including net loss per basic and diluted share, weighted-average shares used to compute net loss per basic and diluted share, net loss and our other GAAP results.
MaxPoint is not able to provide a reconciliation to GAAP revenue or GAAP net loss for its first quarter and full year 2016 Revenue ex-TAC and Adjusted EBITDA guidance at this time because of the difficulty of estimating certain items that are excluded from Revenue ex-TAC and Adjusted EBITDA guidance, such as traffic acquisition costs and the items excluded from net loss to calculate Adjusted EBITDA, the effect of which may be significant.
About MaxPoint
MaxPoint is a marketing technology company that generates hyperlocal intelligence to optimize brand and retail performance. We provide a platform for brands to connect the digital world with the physical world through hyperlocal execution, measurement, and consumer insights.
The company’s proprietary Digital Zip® technology and the MaxPoint Intelligence Platform™ predict the most likely buyers of a specific product at a particular retail location and then execute cross-channel digital marketing programs to reach these buyers. For more information, visit maxpoint.com.
Contacts
Public Relations Contact:
Patrick Foarde
patrick.foarde@ketchum.com
404-879-9254
Investor Relations Contact:
Michael Purcell
ir@maxpoint.com
800-916-9960
MaxPoint Interactive, Inc. and Subsidiary
Condensed Consolidated Balance Sheets
(Unaudited)
(in thousands, except share data)
As of December 31, | |||||||
2014 | 2015 | ||||||
Assets | |||||||
Current assets: | |||||||
Cash and cash equivalents | $ | 12,949 | $ | 41,143 | |||
Accounts receivable, net | 41,303 | 43,336 | |||||
Prepaid expenses and other current assets | 879 | 1,246 | |||||
Restricted cash, short-term | — | 1,861 | |||||
Total current assets | 55,131 | 87,586 | |||||
Property, equipment and software, net | 10,653 | 19,385 | |||||
Deferred offering costs | 2,845 | — | |||||
Restricted cash, long-term | 4,900 | — | |||||
Other long-term assets | 168 | 315 | |||||
Total assets | $ | 73,697 | $ | 107,286 | |||
Liabilities, Convertible preferred stock and Stockholders’ (deficit) equity | |||||||
Current liabilities: | |||||||
Accounts payable | $ | 18,141 | $ | 14,987 | |||
Accrued expenses and other current liabilities | 7,796 | 8,386 | |||||
Short-term debt | — | 31,225 | |||||
Total current liabilities | 25,937 | 54,598 | |||||
Long-term debt, net | 44,127 | — | |||||
Other long-term liabilities | 2,316 | 955 | |||||
Total liabilities | 72,380 | 55,553 | |||||
Commitments and contingencies | |||||||
Convertible preferred stock: | |||||||
Convertible Series A preferred stock, $0.00005 par value; 2,486,507 shares authorized, 2,383,745 shares issued and outstanding as of December 31, 2014; no shares authorized, issued and outstanding as of December 31, 2015; liquidation preference of $1,387 as of December 31, 2014 | 1,387 | — | |||||
Convertible Series B preferred stock, $0.00005 par value; 3,649,368 shares authorized, 3,649,368 shares issued and outstanding as of December 31, 2014; no shares authorized, issued and outstanding as of December 31, 2015; liquidation preference of $3,089 as of December 31, 2014 | 3,089 | — | |||||
Convertible Series C preferred stock, $0.00005 par value; 5,406,501 shares authorized, 5,406,501 shares issued and outstanding as of December 31, 2014; no shares authorized, issued and outstanding as of December 31, 2015; liquidation preference of $8,000 as of December 31, 2014 | 8,000 | — | |||||
Convertible Series D preferred stock, $0.00005 par value; 3,409,250 shares authorized, 3,409,210 shares issued and outstanding as of December 31, 2014; no shares authorized, issued and outstanding as of December 31, 2015; liquidation preference of $13,000 as of December 31, 2014 | 13,000 | — | |||||
Total convertible preferred stock | 25,476 | — | |||||
Stockholders’ (deficit) equity: | |||||||
Common stock, $0.00005 par value; 22,000,000 shares authorized, 4,217,419 shares issued and outstanding as of December 31, 2014; 500,000,000 shares authorized, 26,243,950 shares issued and outstanding as of December 31, 2015 | — | 1 | |||||
Additional paid-in capital | 4,732 | 103,114 | |||||
Accumulated other comprehensive loss | (44 | ) | (82 | ) | |||
Accumulated deficit | (28,847 | ) | (51,300 | ) | |||
Total stockholders’ (deficit) equity | (24,159 | ) | 51,733 | ||||
Total liabilities, convertible preferred stock and stockholders’ (deficit) equity | $ | 73,697 | $ | 107,286 | |||
MaxPoint Interactive, Inc. and Subsidiary
Condensed Consolidated Statements of Operations
(Unaudited)
(in thousands, except share and per share data)
Three Months Ended December 31, | Year Ended December 31, | ||||||||||||||
2014 | 2015 | 2014 | 2015 | ||||||||||||
Revenue, net | $ | 38,596 | $ | 40,992 | $ | 106,460 | $ | 140,127 | |||||||
Traffic acquisition costs | 16,982 | 15,746 | 44,534 | 53,799 | |||||||||||
Other cost of revenue | 2,923 | 4,018 | 8,283 | 14,881 | |||||||||||
Gross profit | 18,691 | 21,228 | 53,643 | 71,447 | |||||||||||
Operating expenses: | |||||||||||||||
Sales and marketing | 11,567 | 14,197 | 38,472 | 52,718 | |||||||||||
Research and development | 4,554 | 7,238 | 14,656 | 23,444 | |||||||||||
General and administrative | 2,878 | 4,224 | 11,318 | 15,666 | |||||||||||
Total operating expenses | 18,999 | 25,659 | 64,446 | 91,828 | |||||||||||
Loss from operations | (308 | ) | (4,431 | ) | (10,803 | ) | (20,381 | ) | |||||||
Other expense (income): | |||||||||||||||
Interest expense | 490 | 190 | 1,315 | 1,250 | |||||||||||
Amortization and write-off of debt discount | 78 | — | 170 | 1,108 | |||||||||||
Amortization and write-off of deferred financing costs | 15 | 8 | 32 | 197 | |||||||||||
Derivative fair value adjustment related to common stock warrants | 600 | — | 671 | (482 | ) | ||||||||||
Other income | — | (1 | ) | (2 | ) | (1 | ) | ||||||||
Total other expense | 1,183 | 197 | 2,186 | 2,072 | |||||||||||
Loss before income taxes | (1,491 | ) | (4,628 | ) | (12,989 | ) | (22,453 | ) | |||||||
Provision for income taxes | — | — | — | — | |||||||||||
Net loss | $ | (1,491 | ) | $ | (4,628 | ) | $ | (12,989 | ) | $ | (22,453 | ) | |||
Net loss per basic and diluted share of common stock | $ | (0.37 | ) | $ | (0.18 | ) | $ | (3.31 | ) | $ | (1.03 | ) | |||
Weighted-average shares used to compute net loss per basic and diluted share of common stock | 4,080,758 | 26,118,851 | 3,921,634 | 21,808,974 | |||||||||||
MaxPoint Interactive, Inc. and Subsidiary
Condensed Consolidated Statements of Cash Flows
(Unaudited)
(in thousands)
Year Ended December 31, | |||||||
2014 | 2015 | ||||||
Cash flows from operating activities: | |||||||
Net loss | $ | (12,989 | ) | $ | (22,453 | ) | |
Adjustments to reconcile net loss to net cash used in operating activities: | |||||||
Depreciation and amortization | 3,071 | 6,074 | |||||
Stock-based compensation expense | 2,339 | 3,522 | |||||
Change in fair value of warrants | 671 | (482 | ) | ||||
Bad debt expense | (211 | ) | 205 | ||||
Amortization and write-off of debt discount | 170 | 1,108 | |||||
Amortization and write-off of deferred financing costs | 32 | 197 | |||||
Changes in operating assets and liabilities: | |||||||
Accounts receivable | (16,880 | ) | (2,259 | ) | |||
Prepaid expenses and other current assets | (400 | ) | (429 | ) | |||
Security deposits | (6 | ) | (229 | ) | |||
Accounts payable | 8,236 | (2,544 | ) | ||||
Accrued expenses and other current liabilities | 2,671 | 1,897 | |||||
Other long-term liabilities | 239 | 714 | |||||
Net cash used in operating activities | (13,057 | ) | (14,679 | ) | |||
Cash flows from investing activities: | |||||||
Purchases of property, equipment and software | (3,822 | ) | (8,764 | ) | |||
Capitalized internal-use software costs | (3,992 | ) | (6,195 | ) | |||
Changes to restricted cash | (1,100 | ) | 3,039 | ||||
Net cash used in investing activities | (8,914 | ) | (11,920 | ) | |||
Cash flows from financing activities: | |||||||
Proceeds from the issuance of common stock in initial public offering, net of underwriting discounts and commissions | — | 69,518 | |||||
Payments of costs related to initial public offering | (1,478 | ) | (2,304 | ) | |||
Proceeds from debt | 58,316 | 13,825 | |||||
Repayment of debt | (31,177 | ) | (27,500 | ) | |||
Proceeds from stock option exercises | 606 | 781 | |||||
Proceeds from issuance of common stock under employee stock purchase plan | — | 548 | |||||
Payments of issuance costs related to debt | (189 | ) | (57 | ) | |||
Proceeds from unvested stock option exercises | 57 | — | |||||
Net cash provided by financing activities | 26,135 | 54,811 | |||||
Effect of exchange rate changes on cash and cash equivalents | (20 | ) | (18 | ) | |||
Net increase in cash and cash equivalents | 4,144 | 28,194 | |||||
Cash and cash equivalents at beginning of period | 8,805 | 12,949 | |||||
Cash and cash equivalents at end of period | $ | 12,949 | $ | 41,143 | |||
MaxPoint Interactive, Inc. and Subsidiary
Condensed Consolidated Statements of Cash Flows (continued)
(in thousands)
Year Ended December 31, | |||||||
2014 | 2015 | ||||||
Supplemental disclosures of other cash flow information: | |||||||
Cash paid for interest | $ | 1,249 | $ | 1,481 | |||
Supplemental disclosures of non-cash investing and financing activities: | |||||||
Purchases of property, equipment and software included in accounts payable and accruals | $ | 536 | $ | 59 | |||
Vesting of restricted stock subject to repurchase | $ | 2 | $ | 57 | |||
Issuance of lender warrants allocated to debt discount | $ | 943 | $ | 335 | |||
Conversion of convertible preferred stock to common stock | $ | — | $ | 25,476 | |||
Warrant derivative liability reclassified to additional paid-in capital | $ | — | $ | 1,132 | |||
Liability-based option awards reclassified to additional paid-in capital | $ | — | $ | 288 | |||
Deferred offering costs included in accounts payable and accruals | $ | 1,367 | $ | — | |||
Deferred offering costs reclassified to additional paid-in capital | $ | — | $ | 3,782 | |||
Stock-based compensation capitalized in internal-use software costs | $ | — | $ | 335 | |||
MaxPoint Interactive, Inc. and Subsidiary
Supplemental Information Including Reconciliations of Non-GAAP Measures
to the Nearest Comparable GAAP Measure
Unaudited Key Financial and Operating Performance Metrics
(in thousands, except number of enterprise customers)
Three Months Ended December 31, | Year Ended December 31, | ||||||||||||||
2014 | 2015 | 2014 | 2015 | ||||||||||||
(in thousands, except number of enterprise customers) | |||||||||||||||
Revenue | $ | 38,596 | $ | 40,992 | $ | 106,460 | $ | 140,127 | |||||||
Revenue ex-TAC | $ | 21,614 | $ | 25,246 | $ | 61,926 | $ | 86,328 | |||||||
Adjusted EBITDA | $ | 1,468 | $ | (1,525 | ) | $ | (5,391 | ) | $ | (10,449 | ) | ||||
Number of enterprise customers | 479 | 709 | 479 | 709 | |||||||||||
Unaudited Reconciliation from GAAP Revenue to Non-GAAP Revenue ex-TAC
(in thousands)
Three Months Ended December 31, | Year Ended December 31, | ||||||||||||||
2014 | 2015 | 2014 | 2015 | ||||||||||||
(in thousands) | |||||||||||||||
Revenue | $ | 38,596 | $ | 40,992 | $ | 106,460 | $ | 140,127 | |||||||
Less: traffic acquisition costs | (16,982 | ) | (15,746 | ) | (44,534 | ) | (53,799 | ) | |||||||
Revenue ex-TAC | $ | 21,614 | $ | 25,246 | $ | 61,926 | $ | 86,328 | |||||||
Unaudited Reconciliation from GAAP Net Loss to Non-GAAP Adjusted EBITDA
(in thousands)
Three Months Ended December 31, | Year Ended December 31, | ||||||||||||||
2014 | 2015 | 2014 | 2015 | ||||||||||||
(in thousands) | |||||||||||||||
Net loss | $ | (1,491 | ) | $ | (4,628 | ) | $ | (12,989 | ) | $ | (22,453 | ) | |||
Adjustments: | |||||||||||||||
Interest expense | 490 | 190 | 1,315 | 1,250 | |||||||||||
Amortization and write-off of debt discount | 78 | — | 170 | 1,108 | |||||||||||
Amortization and write-off of deferred financing costs | 15 | 8 | 32 | 197 | |||||||||||
Provision for income taxes | — | — | — | — | |||||||||||
Depreciation and amortization | 891 | 1,804 | 3,071 | 6,074 | |||||||||||
Stock-based compensation | 885 | 1,101 | 2,339 | 3,857 | |||||||||||
Change in fair value of warrants | 600 | — | 671 | (482 | ) | ||||||||||
Adjusted EBITDA | $ | 1,468 | $ | (1,525 | ) | $ | (5,391 | ) | $ | (10,449 | ) | ||||
Unaudited Depreciation and Amortization included in GAAP Net Loss
(in thousands)
Three Months Ended December 31, | Year Ended December 31, | ||||||||||||||
2014 | 2015 | 2014 | 2015 | ||||||||||||
(in thousands) | |||||||||||||||
Other cost of revenue | $ | 568 | $ | 1,320 | $ | 1,708 | $ | 4,262 | |||||||
Sales and marketing | 79 | 110 | 387 | 410 | |||||||||||
Research and development | 227 | 348 | 900 | 1,314 | |||||||||||
General and administrative | 17 | 26 | 76 | 88 | |||||||||||
Total depreciation and amortization | $ | 891 | $ | 1,804 | $ | 3,071 | $ | 6,074 | |||||||
Unaudited Stock-Based Compensation included in GAAP Net Loss
(in thousands)
Three Months Ended December 31, | Year Ended December 31, | ||||||||||||||
2014 | 2015 | 2014 | 2015 | ||||||||||||
(in thousands) | |||||||||||||||
Other cost of revenue | $ | 9 | $ | 24 | $ | 20 | $ | 92 | |||||||
Sales and marketing | 174 | 241 | 505 | 897 | |||||||||||
Research and development | 295 | 428 | 756 | 1,358 | |||||||||||
General and administrative | 407 | 408 | 1,058 | 1,510 | |||||||||||
Total stock-based compensation | $ | 885 | $ | 1,101 | $ | 2,339 | $ | 3,857 | |||||||
Unaudited Reconciliation from GAAP Net Loss to Non-GAAP Net Loss
(in thousands)
Three Months Ended December 31, | Year Ended December 31, | ||||||||||||||
2014 | 2015 | 2014 | 2015 | ||||||||||||
(in thousands) | |||||||||||||||
Net loss | $ | (1,491 | ) | $ | (4,628 | ) | $ | (12,989 | ) | $ | (22,453 | ) | |||
Stock-based compensation | 885 | 1,101 | 2,339 | 3,857 | |||||||||||
Non-GAAP net loss | $ | (606 | ) | $ | (3,527 | ) | $ | (10,650 | ) | $ | (18,596 | ) | |||
Unaudited Reconciliation from GAAP Net Loss per Basic and Diluted Share to
Non-GAAP Net Loss per Basic and Diluted Share
(in thousands, except share and per share data)
Three Months Ended December 31, | Year Ended December 31, | ||||||||||||||
2014 | 2015 | 2014 | 2015 | ||||||||||||
(in thousands, except share and per share data) | |||||||||||||||
Net loss | $ | (1,491 | ) | $ | (4,628 | ) | $ | (12,989 | ) | $ | (22,453 | ) | |||
Weighted-average shares used to compute net loss per basic and diluted share of common stock | 4,080,758 | 26,118,851 | 3,921,634 | 21,808,974 | |||||||||||
Net loss per basic and diluted share of common stock | $ | (0.37 | ) | $ | (0.18 | ) | $ | (3.31 | ) | $ | (1.03 | ) | |||
Non-GAAP net loss | $ | (606 | ) | $ | (3,527 | ) | $ | (10,650 | ) | $ | (18,596 | ) | |||
Weighted-average shares used to compute net loss per basic and diluted share of common stock | 4,080,758 | 26,118,851 | 3,921,634 | 21,808,974 | |||||||||||
Weighted-average share impact based on actual conversion of convertible preferred stock | — | — | — | (12,001,104 | ) | ||||||||||
Non-GAAP adjustment for convertible preferred stock | 14,848,824 | — | 14,848,824 | 14,848,824 | |||||||||||
Non-GAAP shares used to compute Non-GAAP net loss per basic and diluted share of common stock | 18,929,582 | 26,118,851 | 18,770,458 | 24,656,694 | |||||||||||
Non-GAAP net loss per basic and diluted share of common stock | $ | (0.03 | ) | $ | (0.14 | ) | $ | (0.57 | ) | $ | (0.75 | ) | |||