Total second quarter revenue of $47.6 million, up 32 percent
year-over-year
AUSTIN, Texas--(BUSINESS WIRE)--
Q2
Holdings, Inc. (NYSE:QTWO), a leading provider of secure,
cloud-based digital banking solutions for community-focused financial
institutions, today announced results for its second quarter ending June
30, 2017.
Second Quarter 2017 Results
-
Revenue for the second quarter of $47.6 million, up 32 percent
year-over-year and up 7 percent sequentially.
-
GAAP gross margin for the second quarter of 48.9 percent, up from 47.6
percent one year ago. Non-GAAP gross margin for the second quarter of
52.6 percent, up from 51.1 percent one year ago.
-
GAAP net loss for the second quarter of $7.8 million, which compares
to a GAAP net loss of $9.7 million for the second quarter of 2016.
Adjusted EBITDA for the second quarter of positive $1.4 million, an
improvement from negative $2.3 million one year ago.
“We executed well across the organization in the second quarter,” said
Matt Flake, CEO of Q2. “I was particularly pleased with the uptick in
bank activity in the quarter and continued strength across credit
unions. I am encouraged by our Tier 1 pipeline and optimistic that we
should convert multiple opportunities in the second half of 2017.”
Second Quarter 2017 Highlights
-
Exited the second quarter with approximately 9.6 million registered
users on the Q2 Platform, representing 7 percent sequential and 25
percent year-over-year growth.
-
Launched Q2 Open with early adopter Qapital, a leading, mobile-first
fintech company whose personal finance app has more than 300,000
active users.
-
Received the NAFCU Services Innovation Award for Q2 SMART. The NAFCU
Services annual Innovation Awards are the credit union industry’s most
recognized awards competition for groundbreaking solutions.
Financial Outlook
Q2 Holdings is providing guidance for its third quarter 2017 as follows:
-
Total revenue of $49.8 to $50.2 million, which would represent
year-over-year growth of 30 percent to 31 percent.
-
Adjusted EBITDA of positive $2.2 million to $2.6 million. GAAP net
loss is the most comparable GAAP measure to adjusted EBITDA. Adjusted
EBITDA differs from GAAP net loss in that it excludes depreciation and
amortization, stock based compensation, acquisition-related costs,
interest, and income taxes. Q2 Holdings is unable to predict with
reasonable certainty the ultimate outcome of these exclusions without
unreasonable effort. Therefore, Q2 Holdings has not provided guidance
for GAAP net loss or a reconciliation of the foregoing forward-looking
adjusted EBITDA guidance to GAAP net loss.
Q2 Holdings is providing guidance for the full-year 2017 as follows:
-
Total revenue of $193.8 to $195.0 million, which would represent
year-over-year growth of 29 percent to 30 percent.
-
Adjusted EBITDA of positive $7.8 million to $8.8 million. Adjusted
EBITDA differs from GAAP net loss in that it excludes depreciation and
amortization, stock based compensation, acquisition-related costs,
interest, and income taxes. Q2 Holdings is unable to predict with
reasonable certainty the ultimate outcome of these exclusions without
unreasonable effort. Therefore, Q2 Holdings has not provided guidance
for GAAP net loss or a reconciliation of the foregoing forward-looking
adjusted EBITDA guidance to GAAP net loss.
Conference Call Details
Date:
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Aug. 3, 2017
|
Time:
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8:30 a.m. EDT
|
Hosts:
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Matt Flake, CEO / Jennifer Harris, CFO
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Dial in:
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US toll free: 1-877-201-0168
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International: 1-647-788-4901
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Conference ID:
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51913770
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Please join the conference call at least 10 minutes before start time to
ensure the line is connected. A live webcast of the conference call will
be accessible from the investor services section of the Q2 Holdings,
Inc. website at http://investors.q2ebanking.com/.
A replay of the webcast will also be available at this website on a
temporary basis shortly after the call.
About Q2 Holdings, Inc.
Q2 Holdings, Inc. (Q2) is a leading provider of secure,
cloud-based digital banking solutions headquartered in Austin, Texas. Q2
is driven by a culture of partnership and dedication to empowering
community-focused banks and credit unions with digital banking
solutions that help them stand apart, scale smart and grow beyond with
retail and commercial account holders. Q2’s solutions are designed to
deliver a compelling, secure and consistent user experience on any
device and enable customers to improve account holder retention and
to create incremental sales opportunities. To learn more about Q2, visit www.q2ebanking.com.
Use of Non-GAAP Measures
Q2 uses the following non-GAAP financial measures: adjusted EBITDA;
non-GAAP gross margin; non-GAAP gross profit; non-GAAP sales and
marketing expense; non-GAAP research and development expense; non-GAAP
general and administrative expense; non-GAAP operating loss; and,
non-GAAP net loss. Management believes that these non-GAAP financial
measures are useful measures of operating performance because they
exclude items that Q2 does not consider indicative of its core
performance.
In the case of adjusted EBITDA, Q2 adjusts net loss for such things as
interest, taxes, depreciation and amortization, stock-based
compensation, acquisition-related costs, amortization of technology and
intangibles, and unoccupied lease charges. In the case of non-GAAP gross
margin and non-GAAP gross profit, Q2 adjusts gross profit and gross
margin for stock-based compensation and amortization of acquired
technology. In the case of non-GAAP sales and marketing expense,
non-GAAP research and development expense, and non-GAAP general and
administrative expense, Q2 adjusts the corresponding GAAP expense to
exclude stock-based compensation. In the case of non-GAAP operating loss
and non-GAAP net loss, Q2 adjusts operating loss and net loss,
respectively, for stock-based compensation, acquisition related-costs,
amortization of acquired technology, amortization of acquired
intangibles, and unoccupied lease charges.
These non-GAAP measures should be considered in addition to, not as a
substitute for or superior to, the closest GAAP measures, or other
financial measures prepared in accordance with GAAP. A reconciliation to
the closest GAAP measures of these non-GAAP measures is contained in
tabular form on the attached unaudited condensed consolidated financial
statements.
Q2’s management uses these non-GAAP measures as measures of operating
performance; to prepare Q2’s annual operating budget; to allocate
resources to enhance the financial performance of Q2’s business; to
evaluate the effectiveness of Q2’s business strategies; to provide
consistency and comparability with past financial performance; to
facilitate a comparison of Q2’s results with those of other companies,
many of which use similar non-GAAP financial measures to supplement
their GAAP results; and in communication with our board of directors
concerning Q2’s financial performance.
Forward-looking Statements
This press release contains forward-looking statements, including
statements about positive sales momentum, increased purchasing activity
among credit unions and banks, optimism about our Tier 1 pipeline, and
Q2’s quarterly and annual financial guidance. The forward-looking
statements contained in this press release are based upon Q2’s
historical performance and its current plans, estimates and expectations
and are not a representation that such plans, estimates or expectations
will be achieved. Factors that could cause actual results to differ
materially from those described herein include risks related to: (a) the
risk of increased competition in its existing markets and as it enters
new sections of the market with Tier 1 customers and new products and
services; (b) the risk that the market for Q2’s solutions does not grow
as anticipated, in particular with respect to Tier 1 customers; (c) the
risk that Q2’s increased focus on selling to larger Tier 1 customers may
result in greater uncertainty and variability in Q2’s business and sales
results; (d) the risk that changes in Q2’s market, business or sales
organization negatively impacts its ability to sell its products and
services; (e) the challenges and costs associated with selling,
implementing and supporting Q2’s solutions, particularly for larger
customers with more complex requirements and longer implementation
processes; (f) the risk that errors, interruptions or delays in Q2’s
products or services or Web hosting negatively impacts Q2’s business and
sales; (g) risks associated with data breaches and breaches of security
measures within Q2’s products, systems and infrastructure and the
resultant harm to Q2’s business and its ability to sell its products and
services; (h) the impact that a slowdown in the economy, financial
markets, and credit markets has on Q2’s customers and Q2’s business
sales cycles, prospects and customers’ spending decisions and timing of
implementation decisions, particularly in regions where a significant
number of Q2’s customers are concentrated; (i) the difficulties and
risks associated with developing and selling complex new solutions and
enhancements with the technical and regulatory specifications and
functionality required by customers and governmental authorities; (j)
the risks inherent in technology and implementation partnerships that
could cause harm to Q2’s business; (k) the difficulties and costs Q2 may
encounter with complex implementations of its solutions and the
resulting impact on reputation and the timing of its revenue from any
delayed implementations; (l) the risk that Q2 will not be able to
maintain historical contract terms such as pricing and duration; (m) the
risks associated with managing growth and the challenges associated with
improving operations and hiring, retaining and motivating employees to
support such growth; (n) the risk that modifications or negotiations of
contractual arrangements will be necessary during Q2’s implementations
of its solutions or the general risks associated with the complexity of
Q2’s customer arrangements; (o) the risks associated with integrating
acquired companies and successfully selling and maintaining their
solutions; (p) litigation related to intellectual property and other
matters and any related claims, negotiations and settlements; and (q)
the risks associated with further consolidation in the financial
services industry.
Additional information relating to the uncertainty affecting the Q2
business are contained in Q2’s filings with the Securities and Exchange
Commission. These documents are available on the SEC Filings section of
the Investor Services section of Q2’s website at http://investors.q2ebanking.com/.
These forward-looking statements represent Q2’s expectations as of the
date of this press release. Subsequent events may cause these
expectations to change, and Q2 disclaims any obligations to update or
alter these forward-looking statements in the future, whether as a
result of new information, future events or otherwise.
|
|
|
|
|
Q2 Holdings, Inc.
|
Condensed Consolidated Balance Sheets
|
(in thousands)
|
|
|
|
|
|
|
|
|
|
June 30,
|
|
December 31,
|
|
|
|
|
2017
|
|
|
|
2016
|
|
|
|
|
(unaudited)
|
|
(unaudited)
|
Assets
|
|
|
|
|
Current assets:
|
|
|
|
|
|
Cash and cash equivalents
|
|
$
|
34,471
|
|
|
$
|
54,873
|
|
|
Restricted cash
|
|
|
2,915
|
|
|
|
1,315
|
|
|
Investments
|
|
|
44,185
|
|
|
|
42,249
|
|
|
Accounts receivable, net
|
|
|
15,012
|
|
|
|
12,240
|
|
|
Prepaid expenses and other current assets
|
|
|
4,074
|
|
|
|
3,215
|
|
|
Deferred solution and other costs, current portion
|
|
|
8,182
|
|
|
|
8,839
|
|
|
Deferred implementation costs, current portion
|
|
|
3,400
|
|
|
|
2,938
|
|
Total current assets
|
|
|
112,239
|
|
|
|
125,669
|
|
Property and equipment, net
|
|
|
31,565
|
|
|
|
27,480
|
|
Deferred solution and other costs, net of current portion
|
|
|
13,213
|
|
|
|
11,125
|
|
Deferred implementation costs, net of current portion
|
|
|
8,276
|
|
|
|
8,096
|
|
Intangible assets, net
|
|
|
14,718
|
|
|
|
15,208
|
|
Goodwill
|
|
|
12,876
|
|
|
|
12,876
|
|
Other long-term assets
|
|
|
513
|
|
|
|
526
|
|
Total assets
|
|
$
|
193,400
|
|
|
$
|
200,980
|
|
|
|
|
|
|
|
Liabilities and stockholders' equity
|
|
|
|
|
Current liabilities:
|
|
|
|
|
|
Accounts payable and accrued liabilities
|
|
$
|
19,900
|
|
|
$
|
29,088
|
|
|
Deferred revenues, current portion
|
|
|
32,057
|
|
|
|
30,123
|
|
Total current liabilities
|
|
|
51,957
|
|
|
|
59,211
|
|
Deferred revenues, net of current portion
|
|
|
30,500
|
|
|
|
31,707
|
|
Deferred rent, net of current portion
|
|
|
10,010
|
|
|
|
9,466
|
|
Other long-term liabilities
|
|
|
586
|
|
|
|
361
|
|
Total liabilities
|
|
|
93,053
|
|
|
|
100,745
|
|
Stockholders' equity:
|
|
|
|
|
|
Common stock
|
|
|
4
|
|
|
|
4
|
|
|
Treasury stock
|
|
|
(597
|
)
|
|
|
(417
|
)
|
|
Additional paid-in capital
|
|
|
241,835
|
|
|
|
226,485
|
|
|
Accumulated other comprehensive loss
|
|
|
(84
|
)
|
|
|
(54
|
)
|
|
Accumulated deficit
|
|
|
(140,811
|
)
|
|
|
(125,783
|
)
|
Total stockholders' equity
|
|
|
100,347
|
|
|
|
100,235
|
|
Total liabilities and stockholders' equity
|
|
$
|
193,400
|
|
|
$
|
200,980
|
|
|
|
|
|
|
|
|
|
|
Q2 Holdings, Inc.
|
Condensed Consolidated Statements of Comprehensive Loss
|
(in thousands, except per share data)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended June 30,
|
|
Six Months Ended June 30,
|
|
|
|
|
2017
|
|
|
|
2016
|
|
|
|
2017
|
|
|
|
2016
|
|
|
|
|
(unaudited)
|
|
(unaudited)
|
|
(unaudited)
|
|
(unaudited)
|
|
|
|
|
|
|
|
|
|
|
Revenues
|
|
$
|
47,625
|
|
|
$
|
36,005
|
|
|
$
|
92,159
|
|
|
$
|
69,764
|
|
Cost of revenues (1) (2)
|
|
|
24,328
|
|
|
|
18,870
|
|
|
|
47,100
|
|
|
|
36,684
|
|
Gross profit
|
|
|
23,297
|
|
|
|
17,135
|
|
|
|
45,059
|
|
|
|
33,080
|
|
|
|
|
|
|
|
|
|
|
|
Operating expenses:
|
|
|
|
|
|
|
|
|
|
Sales and marketing (1)
|
|
|
11,096
|
|
|
|
9,611
|
|
|
|
20,974
|
|
|
|
17,818
|
|
|
Research and development (1)
|
|
|
9,922
|
|
|
|
7,830
|
|
|
|
19,573
|
|
|
|
15,733
|
|
|
General and administrative (1)
|
|
|
9,268
|
|
|
|
7,437
|
|
|
|
17,720
|
|
|
|
14,858
|
|
|
Acquisition related costs
|
|
|
351
|
|
|
|
1,476
|
|
|
|
699
|
|
|
|
2,958
|
|
|
Amortization of acquired intangibles
|
|
|
373
|
|
|
|
368
|
|
|
|
744
|
|
|
|
736
|
|
|
Unoccupied lease charges
|
|
|
-
|
|
|
|
33
|
|
|
|
-
|
|
|
|
33
|
|
Total operating expenses
|
|
|
31,010
|
|
|
|
26,755
|
|
|
|
59,710
|
|
|
|
52,136
|
|
Loss from operations
|
|
|
(7,713
|
)
|
|
|
(9,620
|
)
|
|
|
(14,651
|
)
|
|
|
(19,056
|
)
|
Other income (expense), net
|
|
|
109
|
|
|
|
(85
|
)
|
|
|
143
|
|
|
|
(71
|
)
|
Loss before income taxes
|
|
|
(7,604
|
)
|
|
|
(9,705
|
)
|
|
|
(14,508
|
)
|
|
|
(19,127
|
)
|
Provision for income taxes
|
|
|
(217
|
)
|
|
|
(3
|
)
|
|
|
(353
|
)
|
|
|
(233
|
)
|
Net loss
|
|
$
|
(7,821
|
)
|
|
$
|
(9,708
|
)
|
|
$
|
(14,861
|
)
|
|
$
|
(19,360
|
)
|
Other comprehensive loss
|
|
|
|
|
|
|
|
|
|
Unrealized gain (loss) on available-for-sale investments
|
|
|
(29
|
)
|
|
|
16
|
|
|
|
(30
|
)
|
|
|
105
|
|
Comprehensive loss
|
|
$
|
(7,850
|
)
|
|
$
|
(9,692
|
)
|
|
$
|
(14,891
|
)
|
|
$
|
(19,255
|
)
|
Net loss per common share:
|
|
|
|
|
|
|
|
|
|
Net loss per common share, basic and diluted
|
|
$
|
(0.19
|
)
|
|
$
|
(0.25
|
)
|
|
$
|
(0.36
|
)
|
|
$
|
(0.49
|
)
|
Weighted average common shares outstanding, basic and diluted
|
|
|
41,064
|
|
|
|
39,434
|
|
|
|
40,848
|
|
|
|
39,229
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
Includes stock-based compensation expenses as follows:
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended June 30,
|
|
Six Months Ended June 30,
|
|
|
|
|
2017
|
|
|
|
2016
|
|
|
|
2017
|
|
|
|
2016
|
|
Cost of revenues
|
|
$
|
819
|
|
|
$
|
455
|
|
|
$
|
1,543
|
|
|
$
|
861
|
|
Sales and marketing
|
|
|
812
|
|
|
|
492
|
|
|
|
1,443
|
|
|
|
927
|
|
Research and development
|
|
|
1,033
|
|
|
|
652
|
|
|
|
1,978
|
|
|
|
1,284
|
|
General and administrative
|
|
|
2,358
|
|
|
|
1,258
|
|
|
|
4,255
|
|
|
|
2,390
|
|
|
Total stock-based compensation expenses
|
|
$
|
5,022
|
|
|
$
|
2,857
|
|
|
$
|
9,219
|
|
|
$
|
5,462
|
|
|
|
(2)
|
Includes amortization of acquired technology of $0.9 million and
$0.8 million for the three months ended June 30, 2017 and 2016,
respectively,
|
|
and $1.8 million and $1.6 million for the six months ended June 30,
2017 and 2016, respectively.
|
|
Q2 Holdings, Inc.
|
Condensed Consolidated Statements of Cash Flows
|
(in thousands)
|
|
|
|
|
|
|
|
|
|
Six Months Ended June 30,
|
|
|
|
|
2017
|
|
|
|
2016
|
|
|
|
|
(unaudited)
|
|
(unaudited)
|
Cash flows from operating activities:
|
|
|
|
|
Net loss
|
|
$
|
(14,861
|
)
|
|
$
|
(19,360
|
)
|
Adjustments to reconcile net loss to net cash
|
|
|
|
|
used in operating activities:
|
|
|
|
|
|
Amortization of deferred implementation, solution and other costs
|
|
|
3,514
|
|
|
|
3,192
|
|
|
Depreciation and amortization
|
|
|
7,227
|
|
|
|
5,871
|
|
|
Amortization of debt issuance costs
|
|
|
28
|
|
|
|
48
|
|
|
Amortization of premiums on investments
|
|
|
151
|
|
|
|
221
|
|
|
Stock-based compensation expenses
|
|
|
9,219
|
|
|
|
5,462
|
|
|
Deferred income taxes
|
|
|
234
|
|
|
|
139
|
|
|
Other non-cash charges
|
|
|
38
|
|
|
|
178
|
|
|
Changes in operating assets and liabilities
|
|
|
(15,810
|
)
|
|
|
1,860
|
|
Cash used in operating activities
|
|
|
(10,260
|
)
|
|
|
(2,389
|
)
|
Cash flows from investing activities:
|
|
|
|
|
|
Net redemptions (purchases) of investments
|
|
|
(2,119
|
)
|
|
|
341
|
|
|
Purchases of property and equipment
|
|
|
(7,625
|
)
|
|
|
(8,745
|
)
|
|
Business combinations and asset acquisitions, net of cash acquired
|
|
|
(3,816
|
)
|
|
|
(95
|
)
|
|
Capitalization of software development costs
|
|
|
(762
|
)
|
|
|
(1,190
|
)
|
|
Purchases of intangible assets
|
|
|
-
|
|
|
|
(138
|
)
|
|
Increase in restricted cash
|
|
|
(1,600
|
)
|
|
|
-
|
|
Cash used in investing activities
|
|
|
(15,922
|
)
|
|
|
(9,827
|
)
|
Cash flows from financing activities:
|
|
|
|
|
|
Payments on financing obligations and capital leases, net
|
|
|
-
|
|
|
|
(5,051
|
)
|
|
Proceeds from issuance of common stock
|
|
|
5,780
|
|
|
|
2,744
|
|
Net cash provided by (used in) financing activities
|
|
|
5,780
|
|
|
|
(2,307
|
)
|
Net decrease in cash and cash equivalents
|
|
|
(20,402
|
)
|
|
|
(14,523
|
)
|
Cash and cash equivalents, beginning of period
|
|
|
54,873
|
|
|
|
67,049
|
|
Cash and cash equivalents, end of period
|
|
$
|
34,471
|
|
|
$
|
52,526
|
|
|
|
|
|
|
|
|
|
|
Q2 Holdings, Inc.
|
Reconciliation of GAAP to Non-GAAP Measures
|
(in thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended June 30,
|
|
Six Months Ended June 30,
|
|
|
|
|
2017
|
|
|
|
2016
|
|
|
|
2017
|
|
|
|
2016
|
|
|
|
|
(unaudited)
|
|
(unaudited)
|
|
(unaudited)
|
|
(unaudited)
|
GAAP gross profit
|
|
$
|
23,297
|
|
|
$
|
17,135
|
|
|
$
|
45,059
|
|
|
$
|
33,080
|
|
|
Stock-based compensation
|
|
|
819
|
|
|
|
455
|
|
|
|
1,543
|
|
|
|
861
|
|
|
Amortization of acquired technology
|
|
|
912
|
|
|
|
797
|
|
|
|
1,798
|
|
|
|
1,595
|
|
Non-GAAP gross profit
|
|
$
|
25,028
|
|
|
$
|
18,387
|
|
|
$
|
48,400
|
|
|
$
|
35,536
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP gross margin:
|
|
|
|
|
|
|
|
|
|
Non-GAAP gross profit
|
|
$
|
25,028
|
|
|
$
|
18,387
|
|
|
$
|
48,400
|
|
|
$
|
35,536
|
|
|
GAAP revenue
|
|
|
47,625
|
|
|
|
36,005
|
|
|
|
92,159
|
|
|
|
69,764
|
|
Non-GAAP gross margin
|
|
|
52.6
|
%
|
|
|
51.1
|
%
|
|
|
52.5
|
%
|
|
|
50.9
|
%
|
|
|
|
|
|
|
|
|
|
|
GAAP sales and marketing expense
|
|
$
|
11,096
|
|
|
$
|
9,611
|
|
|
$
|
20,974
|
|
|
$
|
17,818
|
|
|
Stock-based compensation
|
|
|
(812
|
)
|
|
|
(492
|
)
|
|
|
(1,443
|
)
|
|
|
(927
|
)
|
Non-GAAP sales and marketing expense
|
|
$
|
10,284
|
|
|
$
|
9,119
|
|
|
$
|
19,531
|
|
|
$
|
16,891
|
|
|
|
|
|
|
|
|
|
|
|
GAAP research and development expense
|
|
$
|
9,922
|
|
|
$
|
7,830
|
|
|
$
|
19,573
|
|
|
$
|
15,733
|
|
|
Stock-based compensation
|
|
|
(1,033
|
)
|
|
|
(652
|
)
|
|
|
(1,978
|
)
|
|
|
(1,284
|
)
|
Non-GAAP research and development expense
|
|
$
|
8,889
|
|
|
$
|
7,178
|
|
|
$
|
17,595
|
|
|
$
|
14,449
|
|
|
|
|
|
|
|
|
|
|
|
GAAP general and administrative expense
|
|
$
|
9,268
|
|
|
$
|
7,437
|
|
|
$
|
17,720
|
|
|
$
|
14,858
|
|
|
Stock-based compensation
|
|
|
(2,358
|
)
|
|
|
(1,258
|
)
|
|
|
(4,255
|
)
|
|
|
(2,390
|
)
|
Non-GAAP general and administrative expense
|
|
$
|
6,910
|
|
|
$
|
6,179
|
|
|
$
|
13,465
|
|
|
$
|
12,468
|
|
|
|
|
|
|
|
|
|
|
|
GAAP operating loss
|
|
$
|
(7,713
|
)
|
|
$
|
(9,620
|
)
|
|
$
|
(14,651
|
)
|
|
$
|
(19,056
|
)
|
|
Stock-based compensation
|
|
|
5,022
|
|
|
|
2,857
|
|
|
|
9,219
|
|
|
|
5,462
|
|
|
Acquisition related costs
|
|
|
351
|
|
|
|
1,476
|
|
|
|
699
|
|
|
|
2,958
|
|
|
Amortization of acquired technology
|
|
|
912
|
|
|
|
797
|
|
|
|
1,798
|
|
|
|
1,595
|
|
|
Amortization of acquired intangibles
|
|
|
373
|
|
|
|
368
|
|
|
|
744
|
|
|
|
736
|
|
|
Unoccupied lease charges
|
|
|
-
|
|
|
|
33
|
|
|
|
-
|
|
|
|
33
|
|
Non-GAAP operating loss
|
|
$
|
(1,055
|
)
|
|
$
|
(4,089
|
)
|
|
$
|
(2,191
|
)
|
|
$
|
(8,272
|
)
|
|
|
|
|
|
|
|
|
|
|
GAAP net loss
|
|
$
|
(7,821
|
)
|
|
$
|
(9,708
|
)
|
|
$
|
(14,861
|
)
|
|
$
|
(19,360
|
)
|
|
Stock-based compensation
|
|
|
5,022
|
|
|
|
2,857
|
|
|
|
9,219
|
|
|
|
5,462
|
|
|
Acquisition related costs
|
|
|
351
|
|
|
|
1,476
|
|
|
|
699
|
|
|
|
2,958
|
|
|
Amortization of acquired technology
|
|
|
912
|
|
|
|
797
|
|
|
|
1,798
|
|
|
|
1,595
|
|
|
Amortization of acquired intangibles
|
|
|
373
|
|
|
|
368
|
|
|
|
744
|
|
|
|
736
|
|
|
Unoccupied lease charges
|
|
|
-
|
|
|
|
33
|
|
|
|
-
|
|
|
|
33
|
|
Non-GAAP net loss
|
|
$
|
(1,163
|
)
|
|
$
|
(4,177
|
)
|
|
$
|
(2,401
|
)
|
|
$
|
(8,576
|
)
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of GAAP net loss to adjusted EBITDA:
|
|
|
|
|
|
|
|
|
|
GAAP net loss
|
|
$
|
(7,821
|
)
|
|
$
|
(9,708
|
)
|
|
$
|
(14,861
|
)
|
|
$
|
(19,360
|
)
|
|
Depreciation and amortization
|
|
|
3,702
|
|
|
|
2,944
|
|
|
|
7,227
|
|
|
|
5,871
|
|
|
Stock-based compensation
|
|
|
5,022
|
|
|
|
2,857
|
|
|
|
9,219
|
|
|
|
5,462
|
|
|
Provision for income taxes
|
|
|
217
|
|
|
|
3
|
|
|
|
353
|
|
|
|
233
|
|
|
Interest (income) expense, net
|
|
|
(109
|
)
|
|
|
85
|
|
|
|
(143
|
)
|
|
|
71
|
|
|
Acquisition related costs
|
|
|
351
|
|
|
|
1,476
|
|
|
|
699
|
|
|
|
2,958
|
|
|
Unoccupied lease charges
|
|
|
-
|
|
|
|
33
|
|
|
|
-
|
|
|
|
33
|
|
Adjusted EBITDA
|
|
$
|
1,362
|
|
|
$
|
(2,310
|
)
|
|
$
|
2,494
|
|
|
$
|
(4,732
|
)
|
View source version on businesswire.com: http://www.businesswire.com/news/home/20170802006022/en/
Source: Q2 Holdings, Inc.