RealPage, Inc. - FORM 8-K - EX-99.2 - EXHIBIT 99.2 - February 27, 2017

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EX-99.1 - EXHIBIT 99.1 - RealPage, Inc.a51516415ex99_1.htm
8-K - REALPAGE, INC. 8-K - RealPage, Inc.a51516415.htm

Exhibit 99.2

RealPage, Inc.
IR Fact Sheet (as of 2/27/2017)
 
*Please read in conjunction with the Company's Quarterly Report on Form 10-Q previously filed with the Securities and Exchange Commission on November 8, 2016 as well as the "Explanation of Non-GAAP Financial Measures" posted to the Company's IR website.
                     
 
FY 2014 Q1 2015 Q2 2015 Q3 2015 Q4 2015 FY 2015 Q1 2016 Q2 2016 Q3 2016 Q4 2016 FY 2016
Revenue ($000's)
Total GAAP Revenue $ 404,551 $ 110,470 $ 114,762 $ 121,588 $ 121,700 $ 468,520 $ 128,383 $ 142,719 $ 147,955 $ 149,071 $ 568,128
Growth % 7 % 10 % 21 % 16 % 16 % 16 % 16 % 24 % 22 % 22 % 21 %
 
Acquisition-related and other deferred revenue   435     (466 )   (532 )   (614 )   (545 )   (2,157 )   (343 )   (258 )   (161 )   (187 )   (949 )
Total Non-GAAP Revenue $ 404,986 $ 110,004 $ 114,230 $ 120,974 $ 121,155 $ 466,363 $ 128,040 $ 142,461 $ 147,794 $ 148,884 $ 567,179
Growth % 7 % 8 % 21 % 16 % 16 % 15 % 16 % 25 % 22 % 23 % 22 %

 

GAAP On Demand Revenue $ 390,622 $ 106,460 $ 110,640 $ 116,772 $ 117,090 $ 450,962 $ 123,411 $ 136,610 $ 140,883 $ 141,627 $ 542,531
Growth % 8 % 10 % 21 % 16 % 16 % 15 % 16 % 23 % 21 % 21 % 20 %
 
Acquisition-related and other deferred revenue   435     (466 )   (532 )   (614 )   (545 )   (2,157 )   (343 )   (258 )   (161 )   (187 )   (949 )
Non-GAAP On Demand Revenue $ 391,057 $ 105,994 $ 110,108 $ 116,158 $ 116,545 $ 448,805 $ 123,068 $ 136,352 $ 140,722 $ 141,440 $ 541,582
Growth % 7 % 8 % 20 % 16 % 15 % 15 % 16 % 24 % 21 % 21 % 21 %
 
On Premise Revenue $ 3,094 $ 741 $ 726 $ 834 $ 669 $ 2,970 $ 772 $ 687 $ 682 $ 695 $ 2,836
Professional & Other Revenue $ 10,835 $ 3,269 $ 3,396 $ 3,982 $ 3,941 $ 14,588 $ 4,200 $ 5,422 $ 6,390 $ 6,749 $ 22,761
 
Expenses ($000's)
Cost of Revenue
GAAP View $ 174,871 $ 47,562 $ 48,493 $ 51,740 $ 50,818 $ 198,613 $ 54,748 $ 62,078 $ 64,111 $ 61,364 $ 242,301
Stock-based expense (3,826 ) (1,234 ) (1,216 ) (817 ) (779 ) (4,046 ) (751 ) (826 ) (929 ) (804 ) (3,310 )
Amortization of intangible assets (10,712 ) (2,814 ) (3,276 ) (4,052 ) (4,071 ) (14,213 ) (4,165 ) (4,141 ) (4,296 ) (4,159 ) (16,761 )
Headquarters relocation costs   -     -     -     -     -     -     (584 )   (679 )   (760 )   -     (2,023 )
Non-GAAP View $ 160,333 $ 43,514 $ 44,001 $ 46,871 $ 45,968 $ 180,354 $ 49,248 $ 56,432 $ 58,126 $ 56,401 $ 220,207
Depreciation   (8,512 )   (2,405 )   (2,433 )   (2,431 )   (2,533 )   (9,802 )   (2,692 )   (3,054 )   (2,834 )   (2,825 )   (11,405 )
Adjusted EBITDA View $ 151,821 $ 41,109 $ 41,568 $ 44,440 $ 43,435 $ 170,552 $ 46,556 $ 53,378 $ 55,292 $ 53,576 $ 208,802
 
Product Development
GAAP View $ 64,418 $ 17,977 $ 18,084 $ 16,858 $ 15,880 $ 68,799 $ 17,272 $ 18,878 $ 18,743 $ 18,714 $ 73,607
Stock-based expense (8,637 ) (2,719 ) (2,572 ) (1,759 ) (1,535 ) (8,585 ) (1,449 ) (1,897 ) (1,900 ) (1,825 ) (7,071 )
Asset impairment and loss on disposal of assets - (599 ) (202 ) (532 ) (85 ) (1,418 ) - - - - -
Headquarters relocation costs   -     -     -     -     -     -     (154 )   (176 )   (211 )   -     (541 )
Non-GAAP View $ 55,781 $ 14,659 $ 15,310 $ 14,567 $ 14,260 $ 58,796 $ 15,669 $ 16,805 $ 16,632 $ 16,889 $ 65,995
Depreciation   (4,908 )   (1,256 )   (1,415 )   (1,201 )   (1,407 )   (5,279 )   (1,200 )   (1,462 )   (1,502 )   (1,572 )   (5,736 )
Adjusted EBITDA View $ 50,873 $ 13,403 $ 13,895 $ 13,366 $ 12,853 $ 53,517 $ 14,469 $ 15,343 $ 15,130 $ 15,317 $ 60,259
 
Sales & Marketing
GAAP View $ 111,563 $ 29,113 $ 30,887 $ 32,698 $ 30,410 $ 123,108 $ 32,199 $ 35,129 $ 33,860 $ 34,025 $ 135,213
Stock-based expense (12,966 ) (3,789 ) (3,843 ) (3,118 ) (2,246 ) (12,996 ) (2,974 ) (3,799 ) (1,406 ) (3,185 ) (11,364 )
Amortization of intangible assets (11,500 ) (2,766 ) (2,803 ) (2,875 ) (2,720 ) (11,164 ) (2,946 ) (3,596 ) (3,551 ) (3,414 ) (13,507 )
Headquarters relocation costs   -     -     -     -     -     -     (170 )   (184 )   (220 )   -     (574 )
Non-GAAP View $ 87,097 $ 22,558 $ 24,241 $ 26,705 $ 25,444 $ 98,948 $ 26,109 $ 27,550 $ 28,683 $ 27,426 $ 109,768
Depreciation   (1,919 )   (499 )   (556 )   (538 )   (577 )   (2,170 )   (606 )   (615 )   (593 )   (586 )   (2,400 )
Adjusted EBITDA View $ 85,178 $ 22,059 $ 23,685 $ 26,167 $ 24,867 $ 96,778 $ 25,503 $ 26,935 $ 28,090 $ 26,840 $ 107,368
 
General & Administrative
GAAP View $ 69,202 $ 18,336 $ 20,037 $ 13,424 $ 17,017 $ 68,814 $ 18,346 $ 21,932 $ 21,677 $ 23,058 $ 85,013
Stock-based expense (11,621 ) (3,005 ) (3,619 ) (2,975 ) (2,896 ) (12,495 ) (3,217 ) (4,215 ) (4,020 ) (3,655 ) (15,107 )
Amortization of intangible assets (192 ) - - - - - - - - - -
Asset impairment and loss on disposal of assets (386 ) 7 (1,482 ) (160 ) (17 ) (1,652 ) - (85 ) (164 ) (248 ) (497 )
Acquisition-related income (expense) (1,987 ) (1,092 ) (565 ) 3,310 188 1,841 57 9 266 (695 ) (363 )
Headquarters relocation costs - - - - - - (117 ) (135 ) (162 ) - (414 )
Litigation-related expense   (4,915 )   (2 )   -     -     -     (2 )   -     -     -     -     -  
Non-GAAP View $ 50,101 $ 14,244 $ 14,371 $ 13,599 $ 14,292 $ 56,506 $ 15,069 $ 17,506 $ 17,597 $ 18,460 $ 68,632
Depreciation (3,561 ) (871 ) (780 ) (816 ) (796 ) (3,263 ) (998 ) (1,347 ) (1,276 ) (1,404 ) (5,025 )
Other (income) expense   (15 )   -     82     -     -     82     (11 )   (16 )   (15 )   (25 )   (67 )
Adjusted EBITDA View $ 46,525 $ 13,373 $ 13,673 $ 12,783 $ 13,496 $ 53,325 $ 14,060 $ 16,143 $ 16,306 $ 17,031 $ 63,540
 
Profitability ($000's)
GAAP Net Income (Loss) $ (10,274 ) $ (1,608 ) $ (3,318 ) $ (8,192 ) $ 3,900 $ (9,218 ) $ 2,996 $ 2,083 $ 4,210 $ 7,361 $ 16,650
Acquisition-related and other deferred revenue 435 (466 ) (532 ) (614 ) (545 ) (2,157 ) (343 ) (258 ) (161 ) (187 ) (949 )
Depreciation, asset impairment, and loss on disposal of assets 19,288 6,150 6,868 25,952 5,415 44,385 5,496 6,563 7,119 6,635 25,813
Amortization of intangible assets 22,404 5,580 6,079 6,927 6,791 25,377 7,111 7,737 7,847 7,573 30,268
Acquisition-related expense (income) 1,987 1,092 565 (3,310 ) (188 ) (1,841 ) (57 ) (9 ) (266 ) 695 363
Interest expense, net 1,117 267 308 391 401 1,367 719 1,090 1,079 937 3,825
Income tax (benefit) expense (6,333 ) (1,704 ) 189 (5,605 ) 3,274 (3,846 ) 2,114 1,545 3,540 3,637 10,836
Litigation-related expense 4,915 2 - - - 2 - - - - -
Headquarters relocation costs - - - - - - 1,025 1,174 1,353 - 3,552
Stock-based expense   37,050     10,747     11,250     8,669     7,456     38,122     8,391     10,737     8,255     9,469     36,852  
Adjusted EBITDA $ 70,589 $ 20,060 $ 21,409 $ 24,218 $ 26,504 $ 92,191 $ 27,452 $ 30,662 $ 32,976 $ 36,120 $ 127,210
Margin 17 % 18 % 19 % 20 % 22 % 20 % 21 % 22 % 22 % 24 % 22 %
 
Non-GAAP On Demand Revenue Detail ($000's)
Property Management $ 121,433 $ 32,731 $ 33,736 $ 35,224 $ 35,548 $ 137,239 $ 36,282 $ 38,467 $ 39,023 $ 39,117 $ 152,889
% of Total 31 % 31 % 30 % 30 % 31 % 31 % 29 % 28 % 28 %

28

% 28 %
Y-O-Y growth 12 % 13 % 14 % 13 % 12 % 13 % 11 % 14 % 11 % 10 %

11

%
 
Resident Services $ 110,106 $ 33,064 $ 34,037 $ 38,775 $ 40,262 $ 146,138 $ 45,071 $ 54,613 $ 58,351 $ 60,062 $ 218,097
% of Total 28 % 31 % 31 % 33 % 35 % 33 % 37 % 40 % 41 %

42

% 40 %
Y-O-Y growth 15 % 23 % 50 % 34 % 27 % 33 % 36 % 60 % 50 % 49 %

49

%
 
Lease Management $ 118,183 $ 29,369 $ 30,690 $ 30,115 $ 28,523 $ 118,697 $ 28,925 $ 29,618 $ 29,451 $ 27,562 $ 115,556
% of Total 30 % 28 % 28 % 26 % 24 % 26 % 24 % 22 % 21 % 20 % 22 %
Y-O-Y growth -5 % -9 % 6 % 1 % 6 % 0 % -2 % -3 % -2 % -3 %

-3

%
 
Asset Optimization $ 41,335 $ 10,830 $ 11,645 $ 12,044 $ 12,212 $ 46,731 $ 12,790 $ 13,654 $ 13,897 $ 14,698 $ 55,039
% of Total 11 % 10 % 11 % 11 % 10 % 10 % 10 % 10 % 10 %

10

% 10 %
Y-O-Y growth 13 % 7 % 14 % 16 % 15 % 13 % 18 % 17 % 15 % 20 %

18

%
Non-GAAP On Demand Revenue Detail ($000's)
Subscription $ 343,884 $ 93,984 $ 97,256 $ 102,946 $ 105,025 $ 399,211 $ 110,464 $ 123,404 $ 127,155 $ 128,455 $ 489,478
% of Total 88 % 89 % 88 % 89 % 90 % 89 % 90 % 91 % 90 % 91 % 90 %
Y-O-Y growth 15 % 14 % 18 % 18 % 14 % 16 % 18 % 27 % 24 % 22 %

23

%
 
Transactional $ 47,173 $ 12,010 $ 12,852 $ 13,212 $ 11,520 $ 49,594 $ 12,604 $ 12,948 $ 13,567 $ 12,985 $ 52,104
% of Total 12 % 11 % 12 % 11 % 10 % 11 % 10 % 9 % 10 % 9 % 10 %
Y-O-Y growth -29 % -26 % 43 % -1 % 33 % 5 % 5 % 1 % 3 % 13 %

5

%
 
Annual Contract Value ($000's)
Non-GAAP On Demand Annual Customer Value $ 427,091 $ 453,700 $ 466,917 $ 469,748 $ 529,052 $ 548,917 $ 565,700 $ 566,263
Total ACV Growth (QTD) 7 % 24 % 16 % 16 % 24 % 21 % 21 % 21 %
Organic ACV Growth (QTD) 6 % 19 % 13 % 13 % 10 % 11 % 10 % 13 %
Unit Trend (000's)
On Demand Units - Ending 9,700 10,302 10,406 10,568 10,999 11,141 11,251 10,989
Average Unit Renewal Rate
Average Renewal Rate (8 quarters) 95.6 % 95.8 % 96.3 % 96.6 % 96.9 % 97.0 % 97.0 % 96.9 %
RPU
Non-GAAP On Demand RPU (QTD) (whole $) $ 44.03 $ 44.04 $ 44.87 $ 44.45 $ 48.10 $ 49.27 $ 50.28 $ 51.53
Top ACV / RPU
Top 100 ACV ($000's) $ 187,650 $ 197,036 $ 202,882 $ 204,175 $ 232,031 $ 240,850 $ 245,947 $ 253,206
 
Top 100 ACV RPU $ 59.99 $ 60.07 $ 62.17 $ 62.96 $ 71.02 $ 69.68 $ 72.63 $ 78.32
 
Top 50 RPU Clients RPU $ 150.03 $ 157.46 $ 161.12 $ 162.25 $ 168.58 $ 172.32 $ 177.21 $ 186.47
 
Industry Data (1)
Occupancy 95.5 % 96.0 % 96.2 % 95.9 % 95.8 % 96.2 % 96.5 % 96.1 %
 
Annual Change in effective rents 4.5 % 4.9 % 5.6 % 4.8 % 5.0 % 4.5 % 4.0 % 3.7 %
 
Ongoing construction (thousands of units) 524.1 562.9 567.6 582.4 598.8 605.7 592.4 539.4
 
Supply 276.3 255.3 249.4 241.4 244.0 265.4 267.1 289.3
 
Headcount
Total Ending RP Headcount 3,898 3,936 4,051 4,122 4,445 4,707 4,413 4,410
 
Total International Headcount (included above) 1,393 1,425 1,585 1,647 1,694 1,938 1,845 1,880
% International Headcount 36 % 36 % 39 % 40 % 38 % 41 % 42 % 43 %
 
(1) Based on information from MPF Research. Numbers can fluctuate based on data revisions/reclassifications as well as shifts in construction start or finish dates.

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