Book Online or Call 1-855-SAUSALITO

Sign In  |  Register  |  About Sausalito  |  Contact Us

Sausalito, CA
September 01, 2020 1:41pm
7-Day Forecast | Traffic
  • Search Hotels in Sausalito

  • CHECK-IN:
  • CHECK-OUT:
  • ROOMS:

Procore Announces Third Quarter 2021 Financial Results

Revenue Accelerates to 30% Year-Over-Year Growth

Procore Technologies, Inc. (NYSE: PCOR), a leading provider of construction management software, today announced financial results for the third quarter ended September 30, 2021.

“Over the last 90 days, we continued to reduce risk and unlock growth for our customers as we advanced both our short and long term objectives,” said Tooey Courtemanche, Founder, President and CEO of Procore. “We recently acquired Levelset and LaborChart, to better tackle two of construction’s greatest challenges — getting paid faster and optimizing labor.”

“We are pleased with our third quarter performance and remain excited about our long-term opportunity to digitize construction,” said Paul Lyandres, CFO of Procore. “Our recent acquisitions to combine project data, workforce data and risk intelligence will ultimately enable us to solve more of our customers’ challenges over time.”

Third Quarter 2021 Financial Highlights:

  • Revenue was $132 million, an increase of 30% year-over-year.
  • GAAP gross margin was 83% and non-GAAP gross margin was 84%.
  • GAAP operating margin was (38%) and non-GAAP operating margin was (4%).
  • Operating cash flow for the third quarter was $15.1 million.
  • Free cash flow for the third quarter was $6.5 million.

A reconciliation of GAAP to non-GAAP financial measures has been provided in the tables included in this press release. An explanation of these measures is also included below under the heading “Non-GAAP Financial Measures.”

Third Quarter 2021 Business Highlights:

  • Added 456 net new customers in the third quarter, ending with a total of 11,605 customers.
  • Announced a number of innovations to the Procore platform related to our global focus and enhancements within preconstruction.
  • In the G2 2021 Fall Report, we maintained our leadership status across construction management, construction project management, bid management, construction ERP, construction drawing management, and construction accounting.
  • Announced our entry into a definitive agreement to acquire Levelset (acquisition closed in Q4).

Fourth Quarter and Full Year 2021 Outlook:

Procore is providing the following guidance for the fourth quarter and full year 2021:

  • Fourth Quarter 2021 Outlook:
    • Revenue is expected to be in the range of $136 million to $138 million.
      • Including $1 million from Levelset
      • LaborChart not expected to provide material revenue contribution
    • Non-GAAP operating margin is expected to be in the range of (14%) to (15%).
      • Including 400 basis points of headwind from acquisitions of Levelset and LaborChart
  • Full Year 2021 Outlook:
    • Revenue is expected to be in the range of $505 million to $507 million.
      • Including $1 million from Levelset
      • LaborChart not expected to provide material revenue contribution
    • Non-GAAP operating margin is expected to be in the range of (6%) to (7%).
      • Including 100 basis points of headwind from acquisitions of Levelset and LaborChart

A reconciliation of non-GAAP guidance measures to corresponding GAAP measures is not available on a forward-looking basis without unreasonable effort due to the uncertainty of expenses that may be incurred in the future and cannot be reasonably determined or predicted at this time, although it is important to note that these factors could be material to Procore’s future GAAP financial results.

Quarterly Conference Call

Procore Technologies, Inc. will hold a conference call to discuss its third quarter results at 2:00 p.m., Pacific Time, on Thursday, November 4, 2021. A live audio webcast will be accessible on Procore's investor relations website at http://investors.procore.com.

Forward-Looking Statements

Statements Procore makes in this press release may include statements which are not historical facts and are considered forward-looking within the meaning of the Private Securities Litigation Reform Act of 1995, which are usually identified by the use of words such as “anticipates,” “believes,” “estimates,” “expects,” “intends,” “may,” “plans,” “projects,” "outlook", “seeks,” “should,” “will,” and variations of such words or similar expressions.

Procore intends these forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and are making this statement for purposes of complying with those safe harbor provisions.

This press release contains forward-looking statements about Procore and its industry that involve substantial risks and uncertainties. All statements other than statements of historical facts contained in this press release, including, but not limited to, statements regarding the expected performance of Procore’s business and objectives of management for future operations, are forward-looking statements. Procore has based the forward-looking statements contained in this press release primarily on its current expectations and projections about future events and trends that Procore believes may affect its business, financial condition, and operating results. The outcome of the events described in these forward-looking statements is subject to risks, uncertainties, and other factors that could cause results to differ materially from Procore’s current expectations. You should not place undue reliance on Procore’s forward-looking statements. Procore assumes no obligation to update any forward-looking statements to reflect events or circumstances that exist or change after the date on which they were made, except as required by law.

Non-GAAP Financial Measures

Procore believes that the use of certain non-GAAP financial measures as described below, when taken collectively, is helpful to investors because it provides consistency and comparability with past financial performance, and may assist in comparisons with other companies, some of which use similar non-GAAP financial information to supplement their GAAP results. These non-GAAP financial measures are not prepared in accordance with U.S. generally accepted accounting principles, or GAAP.

Non-GAAP Gross Profit, Non-GAAP Gross Margin, Non-GAAP Operating Expenses, Non-GAAP Loss from Operations, Non-GAAP Operating Margin, Non-GAAP Net Loss and Non-GAAP Net Loss per Share: Procore defines these non-GAAP financial measures as the respective GAAP measures, excluding stock-based compensation expense, amortization of acquired technology intangible assets, employer payroll tax related to employee stock transactions, acquisition-related expenses, and restructuring-related charges. Non-GAAP gross margin is the ratio calculated by dividing non-GAAP gross profit by total revenue. Non-GAAP operating margin is the ratio calculated by dividing non-GAAP loss from operations by total revenue.

Because of varying available valuation methodologies, subjective assumptions, and the variety of equity instruments that can impact a company's non-cash expenses, Procore believes that providing non-GAAP financial measures that exclude stock-based compensation expense allow for meaningful comparisons between its operating results from period to period. The expense related to amortization of acquired intangible assets is dependent upon estimates and assumptions, which can vary significantly and are unique to each asset acquired; therefore, Procore believes non-GAAP measures that adjust for the amortization of acquired intangible assets provide investors a consistent basis for comparison across accounting periods. The amount of employer payroll tax-related items on employee stock transactions is dependent on restricted stock unit settlements, option exercises, related stock price, and other factors that are beyond Procore’s control and that do not correlate to the operation of the business. When evaluating the performance of its business and making operating plans, Procore does not consider these items (for example, when considering the impact of equity award grants, the company places a greater emphasis on overall stockholder dilution than the accounting charges associated with such grants). Additionally, acquisition-related expenses, such as transaction costs and retention payments, are expenses that are not necessarily reflective of operational performance during a period. Procore believes that the exclusion of acquisition-related expenses provides for a useful comparison of our operating results to prior periods and to its peer companies, which commonly exclude these expenses. Overall, Procore believes it is useful to exclude these expenses in order to better understand the long-term performance of its core business and to facilitate comparison of its results period-over-period and to those of peer companies. All of these non-GAAP financial measures are important tools for financial and operational decision-making and for evaluating Procore's own operating results over different periods of time.

Non-GAAP financial measures may not provide information that is directly comparable to information provided by other companies in Procore's industry, as other companies in the industry may calculate non-GAAP financial measures differently. In addition, there are limitations in using non-GAAP financial measures because non-GAAP financial measures are not prepared in accordance with GAAP, may be different from non-GAAP financial measures used by other companies, and exclude expenses that may have a material impact on Procore's reported financial results. Further, stock-based compensation expense has been, and will continue to be for the foreseeable future, a significant recurring expense in Procore's business and an important part of the compensation provided to its employees. The presentation of non-GAAP financial information is not meant to be considered in isolation or as a substitute for the directly comparable financial measures prepared in accordance with GAAP. Investors should review the reconciliation of non-GAAP financial measures to the comparable GAAP financial measures included below, and not rely on any single financial measure to evaluate Procore's business.

Free Cash Flow: Procore defines free cash flow as net cash provided by operating activities, less purchases of property and equipment and capitalized software development costs. Procore believes free cash flow is an important liquidity measure of the cash (if any) that is available, after our operating activities and capital expenditures. Procore uses free cash flow in conjunction with traditional GAAP measures to assess its liquidity and evaluate the effectiveness of its business strategies. Once Procore’s business needs and obligations are met, cash can be used to maintain a strong balance sheet and invest in future growth.

About Procore

Procore is a leading provider of construction management software. Over 1 million projects and more than $1 trillion USD in construction volume have run on Procore's platform. Procore’s platform connects key project stakeholders to solutions Procore has built specifically for the construction industry—for the owner, the general contractor, and the specialty contractor. Procore's App Marketplace has a multitude of partner solutions that integrate seamlessly with Procore’s platform, giving construction professionals the freedom to connect with what works best for them. Headquartered in Carpinteria, California, Procore has offices around the globe. Learn more at Procore.com.

PROCORE-IR

Procore Technologies, Inc.

Condensed Consolidated Statements of Operations

(unaudited)

 

 

 

Three Months Ended

September 30,

 

 

Nine Months Ended

September 30,

 

(in thousands, except share and per share amounts)

 

2020

 

 

2021

 

 

2020

 

 

2021

 

Revenue

 

$

101,891

 

 

$

131,990

 

 

$

290,781

 

 

$

368,718

 

Cost of revenue (1)(2)(3)(5)

 

 

18,063

 

 

 

22,693

 

 

 

52,589

 

 

 

68,545

 

Gross profit

 

 

83,828

 

 

 

109,297

 

 

 

238,192

 

 

 

300,173

 

Operating expenses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Sales and marketing (1)(2)(3)(4)(5)

 

 

47,410

 

 

 

70,356

 

 

 

138,110

 

 

 

224,226

 

Research and development (1)(2)(3)(4)(5)

 

 

34,504

 

 

 

53,447

 

 

 

89,255

 

 

 

176,619

 

General and administrative (1)(3)(4)(5)

 

 

18,320

 

 

 

35,051

 

 

 

47,770

 

 

 

110,805

 

Total operating expenses

 

 

100,234

 

 

 

158,854

 

 

 

275,135

 

 

 

511,650

 

Loss from operations

 

 

(16,406

)

 

 

(49,557

)

 

 

(36,943

)

 

 

(211,477

)

Interest expense, net

 

 

(573

)

 

 

(521

)

 

 

(1,493

)

 

 

(1,659

)

Change in fair value of Series I redeemable convertible preferred stock warrant liability

 

 

1,002

 

 

 

 

 

 

(9,603

)

 

 

 

Other income (expense), net

 

 

248

 

 

 

(653

)

 

 

(229

)

 

 

(880

)

Loss before provision for income taxes

 

 

(15,729

)

 

 

(50,731

)

 

 

(48,268

)

 

 

(214,016

)

Provision for income taxes

 

 

224

 

 

 

11

 

 

 

468

 

 

 

177

 

Net loss

 

$

(15,953

)

 

$

(50,742

)

 

$

(48,736

)

 

$

(214,193

)

Less: Recognition of beneficial conversion feature on preferred stock as a deemed dividend

 

 

(547

)

 

 

 

 

 

(547

)

 

 

 

Net loss attributable to common stockholders

 

$

(16,500

)

 

$

(50,742

)

 

$

(49,283

)

 

$

(214,193

)

Net loss per share attributable to common stockholders, basic and diluted

 

$

(0.58

)

 

$

(0.39

)

 

$

(1.80

)

 

$

(2.71

)

Weighted-average shares used in computing net loss per share attributable to common stockholders, basic and diluted

 

 

28,231,857

 

 

 

131,438,987

 

 

 

27,342,923

 

 

 

79,145,139

 

(1) Includes stock-based compensation expense as follows:

 

 

Three Months Ended

September 30,

 

 

Nine Months Ended

September 30,

 

 

 

2020

 

 

2021

 

 

2020

 

 

2021

 

 

 

(in thousands)

 

Cost of revenue

 

$

633

 

 

$

679

 

 

$

1,168

 

 

$

6,758

 

Sales and marketing

 

 

3,410

 

 

 

11,178

 

 

 

8,644

 

 

 

57,285

 

Research and development

 

 

2,898

 

 

 

15,064

 

 

 

6,747

 

 

 

69,627

 

General and administrative

 

 

3,074

 

 

 

11,262

 

 

 

5,782

 

 

 

52,259

 

Total stock-based compensation expense

 

$

10,015

 

 

$

38,183

 

 

$

22,341

 

 

$

185,929

 

(2) Includes amortization of acquired intangible assets as follows:

 

 

Three Months Ended

September 30,

 

 

Nine Months Ended

September 30,

 

 

 

2020

 

 

2021

 

 

2020

 

 

2021

 

 

 

 

 

 

 

(in thousands)

 

 

 

 

 

Cost of revenue

 

$

761

 

 

$

1,086

 

 

$

2,283

 

 

$

3,258

 

Sales and marketing

 

 

404

 

 

 

404

 

 

 

1,212

 

 

 

1,349

 

Research and development

 

 

183

 

 

 

907

 

 

 

488

 

 

 

1,770

 

Total amortization of acquired intangible assets

 

$

1,348

 

 

$

2,397

 

 

$

3,983

 

 

$

6,377

 

(3) Includes employer payroll tax on employee stock transactions as follows:

 

 

Three Months Ended

September 30,

 

 

Nine Months Ended

September 30,

 

 

 

2020

 

 

2021

 

 

2020

 

 

2021

 

 

 

(in thousands)

 

Cost of revenue

 

$

 

 

$

66

 

 

$

 

 

$

400

 

Sales and marketing

 

 

36

 

 

 

473

 

 

 

112

 

 

 

1,830

 

Research and development

 

 

8

 

 

 

386

 

 

 

43

 

 

 

2,208

 

General and administrative

 

 

58

 

 

 

170

 

 

 

85

 

 

 

885

 

Total employer payroll tax on employee stock transactions

 

$

102

 

 

$

1,095

 

 

$

240

 

 

$

5,323

 

(4) Includes acquisition-related expenses as follows:

 

 

Three Months Ended

September 30,

 

 

Nine Months Ended

September 30,

 

 

 

2020

 

 

2021

 

 

2020

 

 

2021

 

 

 

 

 

 

 

(in thousands)

 

 

 

 

 

Sales and marketing

 

$

 

 

$

 

 

$

 

 

$

110

 

Research and development

 

 

 

 

 

251

 

 

 

 

 

 

442

 

General and administrative

 

 

51

 

 

 

2,472

 

 

 

659

 

 

 

2,914

 

Total acquisition-related expenses

 

$

51

 

 

$

2,723

 

 

$

659

 

 

$

3,466

 

(5) Includes restructuring-related charges as follows:

 

 

Three Months Ended

September 30,

 

 

Nine Months Ended

September 30,

 

 

 

2020

 

 

2021

 

 

2020

 

 

2021

 

 

 

(in thousands)

 

Cost of revenue

 

$

127

 

 

$

 

 

$

127

 

 

$

 

Sales and marketing

 

 

1,763

 

 

 

 

 

 

1,763

 

 

 

 

Research and development

 

 

1,681

 

 

 

 

 

 

1,681

 

 

 

 

General and administrative

 

 

801

 

 

 

 

 

 

801

 

 

 

 

Total restructuring-related charges

 

$

4,372

$

 

 

$

4,372

 

$

 

Procore Technologies, Inc.

Condensed Consolidated Balance Sheets

(unaudited)

 

(in thousands)

 

December 31,

2020

 

 

September 30,

2021

 

Assets

 

 

 

 

 

 

 

 

Current assets

 

 

 

 

 

 

 

 

Cash and cash equivalents

 

$

379,907

 

 

$

1,072,098

 

Accounts receivable, net

 

 

77,692

 

 

 

74,472

 

Contract cost asset, current

 

 

13,598

 

 

 

15,992

 

Prepaid expenses and other current assets

 

 

16,772

 

 

 

23,882

 

Total current assets

 

 

487,969

 

 

 

1,186,444

 

Capitalized software development costs, net

 

 

18,538

 

 

 

22,543

 

Property and equipment, net

 

 

30,252

 

 

 

32,989

 

Right of use assets - finance leases

 

 

42,108

 

 

 

40,298

 

Right of use assets - operating leases

 

 

49,756

 

 

 

44,307

 

Contract cost asset, non-current

 

 

19,454

 

 

 

23,787

 

Intangibles, net

 

 

33,241

 

 

 

41,189

 

Goodwill

 

 

125,966

 

 

 

137,375

 

Restricted cash, non-current

 

 

3,104

 

 

 

3,104

 

Other assets

 

 

10,379

 

 

 

9,027

 

Total assets

 

$

820,767

 

 

$

1,541,063

 

Liabilities, Redeemable Convertible Preferred Stock and Stockholders’ (Deficit) Equity

 

 

 

 

 

 

 

 

Current liabilities

 

 

 

 

 

 

 

 

Accounts payable

 

$

9,012

 

 

$

8,913

 

Accrued expenses

 

 

28,492

 

 

 

56,063

 

Deferred revenue, current

 

 

213,438

 

 

 

240,085

 

Other current liabilities

 

 

10,768

 

 

 

12,438

 

Total current liabilities

 

 

261,710

 

 

 

317,499

 

Deferred revenue, non-current

 

 

6,373

 

 

 

4,418

 

Finance lease liabilities, non-current

 

 

48,835

 

 

 

47,704

 

Operating lease liabilities, non-current

 

 

46,558

 

 

 

41,898

 

Other liabilities, non-current

 

 

1,919

 

 

 

7,959

 

Total liabilities

 

 

365,395

 

 

 

419,478

 

Redeemable convertible preferred stock

 

 

727,474

 

 

 

 

Stockholders’ (deficit) equity

 

 

 

 

 

 

 

 

Common stock

 

3

 

 

13

 

Additional paid-in capital

 

 

124,755

 

 

 

1,733,411

 

Accumulated other comprehensive income (loss)

 

 

187

 

 

 

(599

)

Accumulated deficit

 

 

(397,047

)

 

 

(611,240

)

Total stockholders’ (deficit) equity

 

 

(272,102

)

 

 

1,121,585

 

Total liabilities, redeemable convertible preferred stock and stockholders’ (deficit) equity

 

$

820,767

 

 

$

1,541,063

 

Remaining performance obligation:

The remaining performance obligation was $497.3 million as of September 30, 2021, approximately 72% of which is expected to be recognized as revenue within 12 months. The remaining performance obligation was $387.9 million as of September 30, 2020, approximately 72% of which was expected to be recognized as revenue within 12 months.

Procore Technologies, Inc.

Condensed Consolidated Statements of Cash Flows

(unaudited)

 

 

 

Three Months Ended

September 30,

 

 

Nine Months Ended

September 30,

 

(in thousands)

 

2020

 

 

2021

 

 

2020

 

 

2021

 

Operating activities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net loss

 

$

(15,953

)

 

$

(50,742

)

 

$

(48,736

)

 

$

(214,193

)

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

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Stock-based compensation

 

 

10,015

 

 

 

38,183

 

 

 

22,341

 

 

 

185,929

 

Depreciation and amortization

 

 

6,501

 

 

 

8,149

 

 

 

18,898

 

 

 

23,269

 

Change in fair value of Series I redeemable convertible preferred stock warrant liability

 

 

(1,002

)

 

 

 

 

 

9,603

 

 

 

 

Abandonment of long-lived assets

 

 

1,885

 

 

 

 

 

 

2,851

 

 

 

554

 

Noncash lease expense

 

 

1,657

 

 

 

1,865

 

 

 

4,807

 

 

 

5,600

 

Unrealized foreign currency loss (gain), net

 

 

32

 

 

 

184

 

 

 

(338

)

 

 

875

 

Deferred income taxes

 

 

(28

)

 

 

192

 

 

 

(28

)

 

 

93

 

Changes in operating assets and liabilities, net of effect of business combinations

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Accounts receivable

 

 

(3,121

)

 

 

(7,730

)

 

 

3,363

 

 

 

3,383

 

Deferred contract cost assets

 

 

(204

)

 

 

(2,011

)

 

 

592

 

 

 

(7,073

)

Prepaid expenses and other assets

 

 

(1,430

)

 

 

(2,032

)

 

 

(1,553

)

 

 

(7,755

)

Accounts payable

 

 

(2,363

)

 

 

2,780

 

 

 

(2,451

)

 

 

(128

)

Accrued expenses and other liabilities

 

 

12,599

 

 

 

14,149

 

 

 

1,101

 

 

 

28,684

 

Deferred revenue

 

 

4,113

 

 

 

13,876

 

 

 

3,337

 

 

 

24,721

 

Operating lease liabilities

 

 

(1,669

)

 

 

(1,725

)

 

 

(3,715

)

 

 

(3,654

)

Net cash flow provided by operating activities

 

 

11,032

 

 

 

15,138

 

 

 

10,072

 

 

 

40,305

 

Investing activities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Purchases of property and equipment

 

 

(1,407

)

 

 

(4,211

)

 

 

(6,718

)

 

 

(8,405

)

Capitalized software development costs

 

 

(2,473

)

 

 

(4,459

)

 

 

(9,403

)

 

 

(10,175

)

Strategic investments

 

 

 

 

 

 

 

 

 

 

 

(3,450

)

Acquisition of businesses, net of cash acquired

 

 

 

 

 

(8

)

 

 

(3,325

)

 

 

(19,990

)

Net cash flow used in investing activities

 

 

(3,880

)

 

 

(8,678

)

 

 

(19,446

)

 

 

(42,020

)

Financing activities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Proceeds from issuance of redeemable convertible preferred stock, net of issuance costs

 

 

9,989

 

 

 

 

 

 

167,931

 

 

 

 

Proceeds from issuance of Series I redeemable convertible preferred stock warrant

 

 

 

 

 

 

 

 

11,923

 

 

 

 

Proceeds from initial public offering, net of underwriting commissions and discounts

 

 

 

 

 

 

 

 

 

 

 

665,129

 

Proceeds from stock option exercises

 

 

5,601

 

 

 

6,187

 

 

 

15,660

 

 

 

35,313

 

Payment of debt issuance costs

 

 

(13

)

 

 

 

 

 

(93

)

 

 

 

Payments of deferred offering costs

 

 

(64

)

 

 

(319

)

 

 

(2,280

)

 

 

(3,846

)

Payment of deferred business acquisition consideration

 

 

 

 

 

 

 

 

 

 

 

(475

)

Principal payments under finance lease agreements, net of proceeds from lease incentives

 

 

(392

)

 

 

(433

)

 

 

(1,050

)

 

 

(1,175

)

Net cash flow provided by financing activities

 

 

15,121

 

 

 

5,435

 

 

 

192,091

 

 

 

694,946

 

Net increase in cash, cash equivalents and restricted cash

 

 

22,273

 

 

 

11,895

 

 

 

182,717

 

 

 

693,231

 

Effect of exchange rate changes on cash

 

 

51

 

 

 

(309

)

 

 

387

 

 

 

(1,040

)

Cash, cash equivalents and restricted cash, beginning of period

 

 

282,608

 

 

 

1,063,858

 

 

 

121,828

 

 

 

383,253

 

Cash, cash equivalents and restricted cash, end of period

 

$

304,932

 

 

$

1,075,444

 

 

$

304,932

 

 

$

1,075,444

 

Procore Technologies, Inc.

Reconciliation of GAAP to Non-GAAP Financial Measures

(unaudited)

 

Reconciliation of gross profit and gross margin to non-GAAP gross profit and non-GAAP gross margin:

 

 

 

Three Months Ended

September 30,

 

 

Nine Months Ended

September 30,

 

 

 

2020

 

 

2021

 

 

2020

 

 

2021

 

 

 

(dollars in thousands)

 

Revenue

 

$

101,891

 

 

$

131,990

 

 

$

290,781

 

 

$

368,718

 

Gross profit

 

 

83,828

 

 

 

109,297

 

 

 

238,192

 

 

 

300,173

 

Stock-based compensation expense

 

 

633

 

 

 

679

 

 

 

1,168

 

 

 

6,758

 

Amortization of acquired technology intangible assets

 

 

761

 

 

 

1,086

 

 

 

2,283

 

 

 

3,258

 

Employer payroll tax on employee stock transactions

 

 

 

 

 

66

 

 

 

 

 

 

400

 

Restructuring-related charges

 

 

127

 

 

 

 

 

 

127

 

 

 

 

Non-GAAP gross profit

 

$

85,349

 

 

$

111,128

 

 

$

241,770

 

 

$

310,589

 

Gross margin

 

 

82

%

 

 

83

%

 

 

82

%

 

 

81

%

Non-GAAP gross margin

 

 

84

%

 

 

84

%

 

 

83

%

 

 

84

%

Reconciliation of operating expenses to non-GAAP operating expenses:

 

 

Three Months Ended

September 30,

 

 

Nine Months Ended

September 30,

 

 

 

2020

 

 

2021

 

 

2020

 

 

2021

 

 

 

(dollars in thousands)

 

Revenue

 

$

101,891

 

 

$

131,990

 

 

$

290,781

 

 

$

368,718

 

GAAP sales and marketing

 

 

47,410

 

 

 

70,356

 

 

 

138,110

 

 

 

224,226

 

Stock-based compensation expense

 

 

(3,410

)

 

 

(11,178

)

 

 

(8,644

)

 

 

(57,285

)

Amortization of acquired intangible assets

 

 

(404

)

 

 

(404

)

 

 

(1,212

)

 

 

(1,349

)

Employer payroll tax on employee stock transactions

 

 

(36

)

 

 

(473

)

 

 

(112

)

 

 

(1,830

)

Acquisition-related expenses

 

 

 

 

 

 

 

 

 

 

 

(110

)

Restructuring-related charges

 

 

(1,763

)

 

 

 

 

 

(1,763

)

 

 

 

Non-GAAP sales and marketing

 

$

41,797

 

 

$

58,301

 

 

$

126,379

 

 

$

163,652

 

GAAP sales and marketing as a percentage of revenue

 

 

47

%

 

 

53

%

 

 

47

%

 

 

61

%

Non-GAAP sales and marketing as a percentage of revenue

 

 

41

%

 

 

44

%

 

 

43

%

 

 

44

%

GAAP research and development

 

 

34,504

 

 

 

53,447

 

 

 

89,255

 

 

 

176,619

 

Stock-based compensation expense

 

 

(2,898

)

 

 

(15,064

)

 

 

(6,747

)

 

 

(69,627

)

Amortization of acquired intangible assets

 

 

(183

)

 

 

(907

)

 

 

(488

)

 

 

(1,770

)

Employer payroll tax on employee stock transactions

 

 

(8

)

 

 

(386

)

 

 

(43

)

 

 

(2,208

)

Acquisition-related expenses

 

 

 

 

 

(251

)

 

 

 

 

 

(442

)

Restructuring-related charges

 

 

(1,681

)

 

 

 

 

 

(1,681

)

 

 

 

Non-GAAP research and development

 

$

29,734

 

 

$

36,839

 

 

$

80,296

 

 

$

102,572

 

GAAP research and development as a percentage of revenue

 

 

34

%

 

 

40

%

 

 

31

%

 

 

48

%

Non-GAAP research and development as a percentage of revenue

 

 

29

%

 

 

28

%

 

 

28

%

 

 

28

%

GAAP general and administrative

 

 

18,320

 

 

 

35,051

 

 

 

47,770

 

 

 

110,805

 

Stock-based compensation expense

 

 

(3,074

)

 

 

(11,262

)

 

 

(5,782

)

 

 

(52,259

)

Employer payroll tax on employee stock transactions

 

 

(58

)

 

 

(170

)

 

 

(85

)

 

 

(885

)

Acquisition-related expenses

 

 

(51

)

 

 

(2,472

)

 

 

(659

)

 

 

(2,914

)

Restructuring-related charges

 

 

(801

)

 

 

 

 

 

(801

)

 

 

 

Non-GAAP general and administrative

 

$

14,336

 

 

$

21,147

 

 

$

40,443

 

 

$

54,747

 

GAAP general and administrative as a percentage of revenue

 

 

18

%

 

 

27

%

 

 

16

%

 

 

30

%

Non-GAAP general and administrative as a percentage of revenue

 

 

14

%

 

 

16

%

 

 

14

%

 

 

15

%

Reconciliation of loss from operations and operating margin to non-GAAP loss from operations and non-GAAP operating margin:

 

 

 

Three Months Ended

September 30,

 

 

Nine Months Ended

September 30,

 

 

 

2020

 

 

2021

 

 

2020

 

 

2021

 

 

 

(dollars in thousands)

 

Revenue

 

$

101,891

 

 

$

131,990

 

 

$

290,781

 

 

$

368,718

 

Loss from operations

 

 

(16,406

)

 

 

(49,557

)

 

 

(36,943

)

 

 

(211,477

)

Stock-based compensation expense

 

 

10,015

 

 

 

38,183

 

 

 

22,341

 

 

 

185,929

 

Amortization of acquired intangible assets

 

 

1,348

 

 

 

2,397

 

 

 

3,983

 

 

 

6,377

 

Employer payroll tax on employee stock transactions

 

 

102

 

 

 

1,095

 

 

 

240

 

 

 

5,323

 

Acquisition-related expenses

 

 

51

 

 

 

2,723

 

 

 

659

 

 

 

3,466

 

Restructuring-related charges

 

 

4,372

 

 

 

 

 

 

4,372

 

 

 

 

Non-GAAP loss from operations

 

$

(518

)

 

$

(5,159

)

 

$

(5,348

)

 

$

(10,382

)

Operating margin

 

 

(16

%)

 

 

(38

%)

 

 

(13

%)

 

 

(57

%)

Non-GAAP operating margin

 

 

(1

%)

 

 

(4

%)

 

 

(2

%)

 

 

(3

%)

Reconciliation of net loss and net loss per share to non-GAAP net loss and non-GAAP net loss per share:

 

 

 

Three Months Ended

September 30,

 

 

Nine Months Ended

September 30,

 

 

 

2020

 

 

2021

 

 

2020

 

 

2021

 

 

 

(dollars in thousands)

 

Revenue

 

$

101,891

 

 

$

131,990

 

 

$

290,781

 

 

$

368,718

 

Net loss

 

 

(15,953

)

 

 

(50,742

)

 

 

(48,736

)

 

 

(214,193

)

Stock-based compensation expense

 

 

10,015

 

 

 

38,183

 

 

 

22,341

 

 

 

185,929

 

Amortization of acquired intangible assets

 

 

1,348

 

 

 

2,397

 

 

 

3,983

 

 

 

6,377

 

Employer payroll tax on employee stock transactions

 

 

102

 

 

 

1,095

 

 

 

240

 

 

 

5,323

 

Acquisition-related expenses

 

 

51

 

 

 

2,723

 

 

 

659

 

 

 

3,466

 

Restructuring-related charges

 

 

4,372

 

 

 

 

 

 

4,372

 

 

 

 

Non-GAAP net loss

 

$

(65

)

 

$

(6,344

)

 

$

(17,141

)

 

$

(13,098

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Numerator:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Non-GAAP net loss

 

$

(65

)

 

$

(6,344

)

 

$

(17,141

)

 

$

(13,098

)

Less: Recognition of beneficial conversion feature on preferred stock as a deemed dividend

 

 

(547

)

 

 

 

 

 

(547

)

 

 

 

Non-GAAP net loss attributable to common stockholders

 

$

(612

)

 

$

(6,344

)

 

$

(17,688

)

 

$

(13,098

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Denominator:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Weighted-average shares used in computing net loss per share attributable to common stockholders, basic and diluted

 

 

28,231,857

 

 

 

131,438,987

 

 

 

27,342,923

 

 

 

79,145,139

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

GAAP net loss per share, basic and diluted

 

$

(0.58

)

 

$

(0.39

)

 

$

(1.80

)

 

$

(2.71

)

Non-GAAP net loss per share, basic and diluted

 

$

(0.02

)

 

$

(0.05

)

 

$

(0.65

)

 

$

(0.17

)

Computation of free cash flow:

 

 

 

Three Months Ended

September 30,

 

 

Nine Months Ended

September 30,

 

 

 

2020

 

 

2021

 

 

2020

 

 

2021

 

 

 

(dollars in thousands)

 

Net cash provided by operating activities

 

$

11,032

 

 

$

15,138

 

 

$

10,072

 

 

$

40,305

 

Purchases of property and equipment

 

 

(1,407

)

 

 

(4,211

)

 

 

(6,718

)

 

 

(8,405

)

Capitalized software development costs

 

 

(2,473

)

 

 

(4,459

)

 

 

(9,403

)

 

 

(10,175

)

Non-GAAP free cash flow

 

$

7,152

 

 

$

6,468

 

 

$

(6,049

)

 

$

21,725

 

 

Contacts

Data & News supplied by www.cloudquote.io
Stock quotes supplied by Barchart
Quotes delayed at least 20 minutes.
By accessing this page, you agree to the following
Privacy Policy and Terms and Conditions.
 
 
Photos copyright by Jay Graham Photographer
Copyright © 2010-2020 Sausalito.com & California Media Partners, LLC. All rights reserved.