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8-K - FORM 8-K - PRGX GLOBAL, INC.d259373d8k.htm

Exhibit 99.1

 

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Press Release

PRGX Global, Inc. Announces Fourth Quarter

and Full Year 2016 Financial Results

ATLANTA, February 28, 2017 — PRGX Global, Inc. (Nasdaq:PRGX), a global leader in Recovery Audit and Spend Analytics services, today announced its unaudited financial results for the fourth quarter and year ended December 31, 2016.

“I am pleased to report a very solid quarter, with revenue from continuing operations growing 15.0% and adjusted EBITDA increasing 13.8% on a constant dollar basis compared to the same period in 2015. Our largest business, retail recovery audit, grew 17.3%, which is the third consecutive quarter of year over year constant dollar revenue growth,” said Ron Stewart, president and chief executive officer.

“2016 was a watershed year for the company, with 5.5% top line growth on a constant dollar basis in our continuing operations, the first year over year organic growth in more than ten years. This growth was led by improvements in processes and technology in our core recovery audit business, reversing the long term trend of revenue decline,” continued Stewart.

“We believe that this momentum, coupled with the successful closing of the Cost & Compliance Associates and Lavante acquisitions, positions us well for further growth in 2017,” concluded Stewart.

Consolidated Results from Continuing Operations for the Three Months Ended December 31, 2016

Consolidated revenue from continuing operations for the fourth quarter of 2016 was $39.2 million, compared to $35.0 million for the same period last year. On a constant dollar basis adjusted for changes in foreign exchange rates, revenue increased by 15.0% in 2016, compared to the same period in 2015. On a constant dollar basis, revenue from the Recovery Audit Services - Americas segment increased 10.4% in the fourth quarter of 2016 compared to the same period in 2015. On a constant dollar basis, revenue from the Recovery Audit Services – Europe/Asia-Pacific segment increased 29.0% for the fourth quarter of 2016 compared to the same period in 2015. On a constant dollar basis, revenue from the Adjacent Services segment, including the Lavante SIM business, increased 15.1% for the fourth quarter of 2016 compared to the same period in 2015.

Total cost of revenue from continuing operations for the fourth quarter of 2016 was $23.8 million, or 60.9% of revenue, compared to $22.4 million, or 64.0% of revenue, in the same period last year, for a 4.8% improvement as a percentage of revenue.

SG&A expenses from continuing operations for the fourth quarter of 2016 were $11.0 million, compared to $6.9 million in the prior year period. The increase in SG&A expenses was primarily attributable to investments in sales personnel, increased incentive compensation related to the higher year over year revenue, increased stock compensation, Lavante operating costs that were not in the prior year, and US healthcare insurance benefit costs.

 

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Consolidated net income from continuing operations for the fourth quarter of 2016 was $0.2 million, or $0.01 per basic and diluted share, compared to a net income of $4.8 million, or $0.19 per basic and diluted share, for the same period in 2015.

Adjusted Earnings Before Interest, Taxes, Depreciation and Amortization (Adjusted EBITDA) from continuing operations for the fourth quarter of 2016 was $6.3 million, or 16.2% of revenue, compared to Adjusted EBITDA of $5.5 million, or 15.7% of revenue, in the fourth quarter 2015. Schedule 3 attached to this press release provides a reconciliation of net income (loss) to each of EBIT (Earnings Before Interest and Taxes), EBITDA and Adjusted EBITDA.

Consolidated Results from Continuing Operations for the Year Ended December 31, 2016

Consolidated revenue from continuing operations for the year ended December 31, 2016, was $140.8 million, compared to $138.3 million for the prior year. On a constant dollar basis, revenue increased 4.5%, compared to the prior year. On a constant dollar basis, revenue from the Recovery Audit Services - Americas segment increased 3.9% in the year ended December 31, 2016, compared to the prior year results. On a constant dollar basis, revenue from the Recovery Audit Services – Europe/Asia-Pacific segment increased 9.6% for 2016 compared to the prior year. As reported, revenue from the Adjacent Services segment declined $1.4 million for 2016 compared to the prior year.

Total cost of revenue from continuing operations for the year ended December 31, 2016, was $91.3 million, or 64.8% of revenue, compared to $93.2 million, or 67.4% of revenue, in the prior year, representing a 3.8% improvement as a percentage of revenue.

SG&A expenses from continuing operations for the year ended December 31, 2016, were $39.4 million, compared to $32.3 million in the prior year. The increase in SG&A expenses was primarily attributable to investments in sales personnel, increased incentive compensation related to the higher year over year revenue, increased stock compensation, costs associated with acquisitions, Lavante operating costs that were not in the prior year, and US healthcare insurance benefit costs.

Consolidated net income from continuing operations for the year ended December 31, 2016, was $2.2 million, or $0.10 per basic and diluted share, compared to net income of $1.5 million, or $0.06 per basic and diluted share, for the prior year.

Adjusted EBITDA from continuing operations for the year ended December 31, 2016, was $16.6 million, or 11.8% of revenue, compared to Adjusted EBITDA from continuing operations of $18.0 million, or 13.0% of revenue, for the prior year. Schedule 3 attached to this press release provides a reconciliation of net income (loss) to each of EBIT, EBITDA and Adjusted EBITDA.

 

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Cash Flow and Liquidity

Net cash provided by operating activities for the fourth quarter of 2016 was $3.9 million, compared to $1.1 million in the fourth quarter of the prior year. Net cash provided by operating activities for the year ended December 31, 2016, was $10.1 million, compared to $13.4 million for the prior year.

At December 31, 2016, the Company had unrestricted cash and cash equivalents of $15.7 million, and borrowings of $3.6 million against its $20.0 million revolving credit facility.

Stock Repurchase Program

Since the February 2014 announcement of the Company’s stock repurchase program, as of December 31, 2016, the Company has repurchased 8.6 million shares, or 28.7% of its common stock outstanding on the date of the announcement. In December 2016, the Company’s Board of Directors approved a $10 million increase (to $60 million) in the program and extended the duration of the program to December 31, 2017. The Company repurchased approximately 0.9 million shares of its outstanding common stock for an aggregate cost of $3.8 million in the year ended December 31, 2016. As of February 24, 2017, the Company had approximately 21.9 million shares of common stock outstanding.

Fourth Quarter Earnings Call

As previously announced, management will hold a conference call later this morning at 8:30 AM (Eastern time) to discuss the Company’s fourth quarter and annual 2016 financial results. To access the conference call, listeners in the U.S. and Canada should dial (877) 755-7423 at least 5 minutes prior to the start of the conference. Listeners outside the U.S. and Canada should dial (678) 894-3069. To be admitted to the call, listeners should use passcode 76562548.

This teleconference will also be audiocast on the Internet at www.prgx.com (click on “Events & Presentations” under “Investors”). A replay of the audiocast will be available at the same location on www.prgx.com beginning approximately two hours after the conclusion of the live audiocast, extending through March 31, 2017. Please note that the Internet audiocast is “listen-only.” Microsoft Windows Media Player is required to access the live audiocast and the replay and can be downloaded from www.microsoft.com/windows/mediaplayer.

About PRGX

PRGX Global, Inc. is a global leader in Recovery Audit and Spend Analytics services. With over 1,400 employees, the Company serves clients in more than 30 countries and provides its services to 75% of the top 20 global retailers and over 20% of the top 50 companies in the Fortune 500. PRGX delivers more than $1 billion in cash

 

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flow improvement for its clients each year. The creator of the recovery audit industry more than 40 years ago, PRGX continues to innovate through technology and expanded service offerings. In addition to Recovery Audit, the Company provides Contract Compliance, Spend Analytics and Supplier Information Management services to improve clients’ financial performance and manage risk. For additional information on PRGX, please visit www.prgx.com

Forward-Looking Statements

In addition to historical information, this press release includes certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements include both implied and express statements regarding the Company’s overall condition and growth prospects, the Company’s execution of its business strategy, the Company’s expectations regarding the anticipated benefits from its recently announced acquisitions, and the Company’s investments and improvements in processes and technology in its core recovery audit business. Such forward-looking statements are not guarantees of future performance and are subject to risks, uncertainties and other factors that may cause the actual results, performance or achievements of the Company to differ materially from the historical results or from any results expressed or implied by such forward-looking statements. Risks that could affect the Company’s future performance include revenue that does not meet expectations or justify costs incurred, the Company’s ability to develop material sources of new revenue in addition to revenue from its core recovery audit services, changes in the market for the Company’s services, the Company’s ability to retain and attract qualified personnel, the Company’s ability to integrate recent and future acquisitions, uncertainty in the credit markets, the Company’s ability to maintain compliance with its financial covenants, client bankruptcies, loss of major clients, and other risks generally applicable to the Company’s business. For a discussion of other risk factors that may impact the Company’s business, please see the Company’s filings with the Securities and Exchange Commission, including its Form 10-K filed on March 15, 2016. The Company disclaims any obligation or duty to update or modify these forward-looking statements

Non-GAAP Financial Measures

EBIT, EBITDA and Adjusted EBITDA are all “non-GAAP financial measures” presented as supplemental measures of the Company’s performance. They are not presented in accordance with accounting principles generally accepted in the United States, or GAAP. The Company believes these measures provide additional meaningful information in evaluating its performance over time, and that the rating agencies and a number of lenders use EBITDA and similar measures for similar purposes. In addition, a measure similar to Adjusted EBITDA is used in the restrictive covenants contained in the Company’s secured credit facility. However, EBIT, EBITDA and Adjusted EBITDA have limitations as analytical tools, and you should not consider them in isolation, or as substitutes for analysis of the Company’s results as reported under GAAP. In addition, in evaluating EBIT, EBITDA and Adjusted EBITDA, you should be aware that, as described above, the adjustments may vary from period to period and in the future the Company will incur expenses such as those used in calculating these measures. The Company’s presentation of these measures should not be construed as an inference that future results will be unaffected by unusual or nonrecurring items. Schedule 3 to this press release provides a reconciliation of net income (loss) to each of EBIT, EBITDA and Adjusted EBITDA.

 

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This news release was distributed by GlobeNewswire, www.globenewswire.com

SOURCE: PRGX Global, Inc.

CONTACT: PRGX Global, Inc.

investor-relations@prgx.com

Phone: 770-779-3011

 

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SCHEDULE 1

PRGX Global, Inc. and Subsidiaries

Condensed Consolidated Statements of Operations

(Amounts in thousands, except per share data)

(Unaudited)

 

     Three Months     Twelve Months  
     Ended December 31,     Ended December 31,  
     2016     2015     2016     2015  

Revenue

   $ 39,183     $ 34,957     $ 140,844     $ 138,302  

Operating expenses:

        

Cost of revenue

     23,855       22,384       91,299       93,169  

Selling, general and administrative expenses

     11,048       6,871       39,399       32,284  

Depreciation of property and equipment

     1,209       1,489       5,033       5,317  

Amortization of intangible assets

     650       441       1,832       2,458  
  

 

 

   

 

 

   

 

 

   

 

 

 

Total operating expenses

     36,762       31,185       137,563       133,228  
  

 

 

   

 

 

   

 

 

   

 

 

 

Operating income (loss)

     2,421       3,772       3,281       5,074  

Foreign currency transaction (gains) losses on short-term intercompany balances

     1,060       235       84       2,165  

Interest expense (income), net

     (98     (87     (153     (190

Other (income) loss

     19       (421     (121     1,191  
  

 

 

   

 

 

   

 

 

   

 

 

 

Income (loss) from continuing operations before income taxes

     1,440       4,045       3,471       1,908  
  

 

 

   

 

 

   

 

 

   

 

 

 

Income tax expense(benefit)

     1,263       (803     1,242       369  
  

 

 

   

 

 

   

 

 

   

 

 

 

Net income (loss) from continuing operations

   $ 177       4,848     $ 2,229     $ 1,539  
  

 

 

   

 

 

   

 

 

   

 

 

 

Discontinued operations:

        

Income (loss) from discontinued operations

     (410     (2,804     (1,324     (4,765

Other (income) loss

     —         —         —         —    

Income tax expense (benefit)

     —         —         —         —    
  

 

 

   

 

 

   

 

 

   

 

 

 

Net income (loss) from discontinued operations

     (410     (2,804     (1,324     (4,765

Net income (loss)

   $ (233   $ 2,044     $ 905     $ (3,226
  

 

 

   

 

 

   

 

 

   

 

 

 

Basic earnings (loss) per common share:

        

Basic from continuing operations

   $ 0.01     $ 0.19     $ 0.10     $ 0.06  

Basic from discontinued operations

   $ (0.02   $ (0.11   $ (0.06   $ (0.18
  

 

 

   

 

 

   

 

 

   

 

 

 

Total basic earnings (loss) per common share

   $ (0.01   $ 0.08     $ 0.04     $ (0.12
  

 

 

   

 

 

   

 

 

   

 

 

 

Diluted earnings (loss) per common share:

        

Diluted from continuing operations

   $ 0.01     $ 0.19     $ 0.10     $ 0.06  

Diluted from discontinued operations

   $ (0.02   $ (0.11   $ (0.06   $ (0.18
  

 

 

   

 

 

   

 

 

   

 

 

 

Total diluted earnings (loss) per common share

   $ (0.01   $ 0.08     $ 0.04     $ (0.12
  

 

 

   

 

 

   

 

 

   

 

 

 

Weighted average common shares outstanding:

        

Basic

     21,857       25,433       21,969       25,868  
  

 

 

   

 

 

   

 

 

   

 

 

 

Diluted

     21,924       25,458       22,016       25,904  
  

 

 

   

 

 

   

 

 

   

 

 

 

 

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SCHEDULE 2

PRGX Global, Inc. and Subsidiaries

Condensed Consolidated Balance Sheets

(Amounts in thousands)

(Unaudited)

 

     December 31,     December 31,  
     2016     2015  
ASSETS     

Current assets:

    

Cash and cash equivalents

   $ 15,723     $ 15,122  

Restricted cash

     47       48  

Receivables:

    

Contract receivables, net

     31,464       28,543  

Employee advances and miscellaneous receivables, net

     2,184       1,740  
  

 

 

   

 

 

 

Total receivables

     33,648       30,283  

Prepaid expenses and other current assets

     3,363       2,323  
  

 

 

   

 

 

 

Total current assets

     52,781       47,776  

Property and equipment, net

     12,236       11,580  

Goodwill

     13,823       11,810  

Intangible assets, net

     10,998       6,684  

Deferred income taxes

     2,269       1,361  

Other assets

     1,367       1,180  
  

 

 

   

 

 

 

Total assets

   $ 93,474     $ 80,391  
  

 

 

   

 

 

 
LIABILITIES AND SHAREHOLDERS’ EQUITY     

Current liabilities:

    

Accounts payable and accrued expenses

   $ 7,299     $ 6,005  

Accrued payroll and related expenses

     13,868       11,278  

Refund liabilities and deferred revenue

     9,230       8,852  

Short-term debt

     3,600       —    

Other current liabilities

     2,078       —    
  

 

 

   

 

 

 

Total current liabilities

     36,075       26,135  

Other long-term liabilities

     5,009       1,841  
  

 

 

   

 

 

 

Total liabilities

     41,084       27,976  
  

 

 

   

 

 

 

Shareholders’ equity:

    

Common stock

     218       227  

Additional paid-in capital

     575,118       575,532  

Accumulated deficit

     (523,233     (524,138

Accumulated other comprehensive income

     287       794  
  

 

 

   

 

 

 

Total shareholders’ equity

     52,390       52,415  
  

 

 

   

 

 

 

Total liabilities and shareholders’ equity

   $ 93,474     $ 80,391  
  

 

 

   

 

 

 

 

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SCHEDULE 3

PRGX Global, Inc. and Subsidiaries

Reconciliation of Net Income (Loss) to EBIT, EBITDA and Adjusted EBITDA

(Amounts in thousands)

(Unaudited)

 

     Three Months     Twelve Months  
     Ended December 31,     Ended December 31,  
     2016     2015     2016     2015  

Reconciliation of net loss to EBIT, EBITDA and Adjusted EBITDA:

        

Net income (loss)

   $ (233   $ 2,044     $ 905     $ (3,226

Income tax expense (benefit)

     1,263       (803     1,242       369  

Interest expense (income), net

     (98     (87     (153     (190
  

 

 

   

 

 

   

 

 

   

 

 

 

EBIT

     932       1,154       1,994       (3,047

Depreciation of property and equipment

     1,210       1,494       5,047       5,352  

Amortization of intangible assets

     650       441       1,832       2,458  
  

 

 

   

 

 

   

 

 

   

 

 

 

EBITDA

     2,791       3,089       8,873       4,763  

Foreign currency transaction (gains) losses on short-term intercompany balances

     1,060       235       84       2,165  

Transformation severance and related expenses

     149       745       1,383       2,299  

Loss on sale/disposal of assets

     —         (421     —         1,191  

Other income/loss

     19       —         (121     —    

Stock-based compensation

     1,900       (604     5,123       3,926  
  

 

 

   

 

 

   

 

 

   

 

 

 

Adjusted EBITDA

   $ 5,920     $ 3,044     $ 15,342     $ 14,344  
  

 

 

   

 

 

   

 

 

   

 

 

 

Adjusted EBITDA from continuing operations

   $ 6,329     $ 5,476     $ 16,598     $ 18,024  
  

 

 

   

 

 

   

 

 

   

 

 

 

Adjusted EBITDA from discontinued operations

   $ (409   $ (2,432   $ (1,256   $ (3,680
  

 

 

   

 

 

   

 

 

   

 

 

 

EBIT, EBITDA and Adjusted EBITDA are all “non-GAAP financial measures” presented as supplemental measures of our performance. They are not presented in accordance with accounting principles generally accepted in the United States, or GAAP. The Company believes these measures provide additional meaningful information in evaluating the Company’s performance over time, and that the rating agencies and a number of lenders use EBIT, EBITDA and similar measures for similar purposes. In addition, a measure similar to Adjusted EBITDA is used in the restrictive covenants contained in the Company’s secured credit facility. However, EBIT, EBITDA and Adjusted EBITDA have limitations as analytical tools, and you should not consider them in isolation, or as substitutes for analysis of our results as reported under GAAP. In addition, in evaluating EBIT, EBITDA and Adjusted EBITDA, you should be aware that in the future we will incur expenses such as those used in calculating these measures. Our presentation of these measures should not be construed as an inference that our future results will be unaffected by unusual or nonrecurring items.

 

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SCHEDULE 4

PRGX Global, Inc. and Subsidiaries

Condensed Consolidated Statements of Cash Flows

(Amounts in thousands)

(Unaudited)

 

     Three Months     Twelve Months  
     Ended December 31,     Ended December 31,  
     2016     2015     2016     2015  

Cash flows from operating activities:

        

Net loss

   $ (233   $ 2,044     $ 905     $ (3,226

Adjustments to reconcile net loss to net cash provided by operating activities:

        

Depreciation and amortization

     1,862       1,935       6,879       7,810  

Amortization of deferred debt costs

     60       120       60       20  

Loss on sale of assets

     8       (381     22       1,191  

Deferred income taxes

     614       (1,173     (861     (1,112

Stock-based compensation expense

     1,899       (604     5,123       3,926  

Foreign currency transaction (gains) losses on short-term intercompany balances

     1,060       235       84       2,165  

(Increase) decrease in receivables

     (3,379     (3,023     (3,848     5,635  

Increase (decrease) in accounts payable, accrued payroll and other accrued expenses

     2,571       (1,860     3,823       (5,543

Other, primarily changes in assets and liabilities

     (518     3,797       (2,069     2,587  
  

 

 

   

 

 

   

 

 

   

 

 

 

Net cash provided by operating activities

     3,944       1,090       10,118       13,453  
  

 

 

   

 

 

   

 

 

   

 

 

 

Cash flows from investing activities:

        

Business (acquisitions) divestitures, net

     (3,669     263       (3,669     263  

Purchases of property and equipment, net of disposals

     (1,239     (1,313     (5,887     (4,482
  

 

 

   

 

 

   

 

 

   

 

 

 

Net cash used in investing activities

     (4,908     (1,050     (9,556     (4,219
  

 

 

   

 

 

   

 

 

   

 

 

 

Cash flows from financing activities:

        

Borrowings under Line of Credit

     3,600       —         3,600       —    

Repurchase of common stock

     (10     (810     (3,772     (18,071

Other, net

     194       (55     108       (321
  

 

 

   

 

 

   

 

 

   

 

 

 

Net cash used in financing activities

     3,784       (865     (64     (18,392
  

 

 

   

 

 

   

 

 

   

 

 

 

Effect of exchange rates on cash and cash equivalents

     (267     274       103       (1,455
  

 

 

   

 

 

   

 

 

   

 

 

 

Net increase (decrease) in cash and cash equivalents

     2,553       (551     601       (10,613

Cash and cash equivalents at beginning of period

     13,170       15,673       15,122       25,735  
  

 

 

   

 

 

   

 

 

   

 

 

 

Cash and cash equivalents at end of period

   $ 15,723     $ 15,122     $ 15,723     $ 15,122  
  

 

 

   

 

 

   

 

 

   

 

 

 

 

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SCHEDULE 5

PRGX Global, Inc. and Subsidiaries

Results by Operating Segment *

(Amounts in thousands)

(Unaudited)

 

     Three Months Ended     Twelve Months Ended  
     December 31,     December 31,  
     2016     2015     Change     2016     2015     Change  

Revenue

            

Recovery Audit Services - Americas

   $ 27,453     $ 25,261     $ 2,192     $ 99,861     $ 97,009     $ 2,852  

Recovery Audit Services - Europe/Asia-Pacific

     10,652       8,957       1,695       37,335       36,264       1,071  

Adjacent Services

     1,078       739       339       3,648       5,029       (1,381
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total

   $ 39,183     $ 34,957     $ 4,226     $ 140,844     $ 138,302     $ 2,542  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Cost of revenue

            

Recovery Audit Services - Americas

   $ 15,969     $ 14,942     $ 1,027     $ 60,706     $ 60,214     $ 492  

Recovery Audit Services - Europe/Asia-Pacific

     6,145       6,497       (352     24,802       25,424       (622

Adjacent Services

     1,741       945       796       5,791       7,531       (1,740
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total

   $ 23,855     $ 22,384     $ 1,471     $ 91,299     $ 93,169     $ (1,870
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Selling, general and administrative expenses

            

Recovery Audit Services - Americas

   $ 1,987     $ 1,912     $ 75     $ 8,421     $ 7,685     $ 736  

Recovery Audit Services - Europe/Asia-Pacific

     1,040       1,239       (199     5,442       5,487       (45

Adjacent Services

     803       135       668       1,469       662       807  

Corporate

     7,218       3,585       3,633       24,067       18,450       5,617  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total

   $ 11,048     $ 6,871     $ 4,177     $ 39,399     $ 32,284     $ 7,115  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Depreciation of property and equipment

            

Recovery Audit Services - Americas

   $ 887     $ 1,141     $ (254   $ 3,750     $ 4,036     $ (286

Recovery Audit Services - Europe/Asia-Pacific

     150       193       (43     529       647       (118

Adjacent Services

     171       155       16       755       634       121  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total

   $ 1,209     $ 1,489     $ (280   $ 5,033     $ 5,317     $ (284
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Amortization of intangible assets

            

Recovery Audit Services - Americas

   $ 359     $ 409     $ (50   $ 1,477     $ 1,728     $ (251

Recovery Audit Services - Europe/Asia-Pacific

     —         —         —         —         600       (600

Adjacent Services

     291       32       259       355       130       225  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total

   $ 650     $ 441     $ 209     $ 1,832     $ 2,458     $ (626
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Operating income (loss)

            

Recovery Audit Services - Americas

   $ 8,252     $ 6,857     $ 1,395     $ 25,507     $ 23,346     $ 2,161  

Recovery Audit Services - Europe/Asia-Pacific

     3,316       1,028       2,288       6,562       4,106       2,456  

Adjacent Services

     (1,928     (528     (1,400     (4,721     (3,928     (793

Corporate

     (7,218     (3,585     (3,633     (24,067     (18,450     (5,617
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total

   $ 2,421     $ 3,772     $ (1,351   $ 3,281     $ 5,074     $ (1,793
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Adjusted EBITDA

            

Recovery Audit Services - Americas

   $ 9,497     $ 8,463     $ 1,034     $ 31,251     $ 29,431     $ 1,820  

Recovery Audit Services - Europe/Asia-Pacific

     3,495       1,542       1,953       7,403       5,942       1,461  

Adjacent Services

     (1,346     (341     (1,005     (3,354     (3,134     (220

Corporate

     (5,318     (4,188     (1,130     (18,702     (14,215     (4,487
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total

   $ 6,329     $ 5,476     $ 853     $ 16,598     $ 18,024     $ (1,426
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

 

* The Recovery Audit Services - Americas segment represents recovery audit services provided in the United States, Canada and Latin America. The Recovery Audit Services - Europe/Asia-Pacific segment represents recovery audit services provided in Europe, Asia and the Pacific region. The Adjacent Services segment represents spend analytics and supplier information management services.

 

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