Financial News

Similarweb Announces Strong Third Quarter 2022 Results

Third quarter 2022 revenue grew 41% year-over-year to $50.0 million

Non-GAAP operating margin improved by over 12 percentage points

Remaining performance obligations increased 39% year-over-year to $158.0 million

Similarweb Ltd. (NYSE: SMWB) ("Similarweb" or the "Company"), a leading digital intelligence company, today announced financial results for its third quarter ended September 30, 2022. The Company published a letter to shareholders from management discussing these results, which can be accessed at the link: https://ir.similarweb.com/financials/quarterly-results, located on the Company's investor relations website.

“We delivered solid results in the third quarter despite the challenging demand environment,” said Or Offer, Founder and Chief Executive Office of Similarweb. “We saw both new customer growth and expansion from existing customers. Interest in our products remains high, even as customers are carefully scrutinizing their spending, because the return on investment is measurable. Our digital intelligence solutions provide visibility to company decision-makers when they need it most.”

Third Quarter 2022 Financial Highlights

  • Total revenue was $50.0 million, an increase of 41% compared to $35.6 million for the third quarter of 2021.
  • GAAP operating loss was $(20.6) million or (41)% of revenue, compared to $(16.7) million or (47)% of revenue for the third quarter of 2021.
  • GAAP net loss per share was $(0.28), compared to $(0.23) for the third quarter of 2021.
  • Non-GAAP operating loss was $(13.3) million or (27)% of revenue, compared to $(13.9) million or (39)% of revenue for the third quarter of 2021.
  • Non-GAAP operating loss per share was $(0.18), compared to $(0.19) for the third quarter of 2021.
  • Cash and cash equivalents totaled $90.6 million as of September 30, 2022, compared to $128.9 million as of December 31, 2021.
  • Net cash used in operating activities was $(21.7) million, compared to $(16.6) million for the third quarter of 2021.
  • Free cash flow was $(29.5) million, compared to $(17.1) million for the third quarter of 2021.
  • Normalized free cash flow was $(25.1) million, compared to $(17.1) million for the third quarter of 2021.

Recent Business Highlights

  • Grew number of customers to 3,911 as of September 30, 2022, an increase of 21% compared to September 30, 2021.
  • Grew average annual revenue per customer to approximately $51,570 in the third quarter of 2022, an increase of 15% compared to the third quarter of 2021.
  • Grew number of customers with ARR of $100,000 or more to 322 as of September 30, 2022, an increase of 31% compared to September 30, 2021.
  • Customers with ARR of $100,000 or more contributed 53% of the total ARR as of September 30, 2022, compared to 51% as of September 30, 2021.
  • Dollar-based net retention rate for customers with ARR of $100,000 or more increased to 123% in the third quarter of 2022 as compared to 122% in the third quarter of 2021.
  • Overall dollar-based net retention rate increased to 112% in the third quarter of 2022 as compared to 110% in the third quarter of 2021.
  • Multi-year subscriptions now comprise 37% of our overall ARR as of September 30, 2022, as compared to 31% as of September 30, 2021.
  • Remaining performance obligations increased 39% year-over-year, to $158.0 million as of September 30, 2022, as compared to $114.0 million as of September 30, 2021.

Organizational Changes

The Company also announced organizational changes today. “Over the course of 2022, while our business has continued to grow, we have also seen substantial economic shifts around the globe,” said Mr. Offer. “As a result of these shifts, we have made the very difficult decision to reduce our headcount in preparation for prolonged changes in demand. This is part of an ongoing plan to accelerate our path to cash flow profitability during 2023. We are balancing our resources to align with this strategy, and to enhance our flexibility.”

The headcount reduction represents approximately 10% of the Company’s global workforce.

Financial Outlook

“While we are pleased with our third quarter results, we are seeing signs of changes ahead as we end the year,” said Jason Schwartz, Chief Financial Officer of Similarweb. “We are adjusting our revenue outlook and improving our operating loss outlook for the full year 2022.” Mr. Schwartz added, “We are aligning our strategic priorities to balance our revenue growth with profitability. As part of this optimization process we are implementing cost-saving measures across the company. Our continued focus on disciplined execution in this challenging environment will be critical to accelerating our plans to achieve positive free cash flow during 2023.”

  • Q4 2022 Guidance
    • Total revenue between $50.5 million and $50.9 million, representing 26% growth year-over-year at the mid-point of the range.
    • Non-GAAP operating loss between $(14.5) million and $(15.0) million. This includes non-GAAP gross margin anticipated in the range of 75% to 76%.
  • FY 2022 Guidance
    • Total revenue between $192.4 million and $192.8 million, representing 40% growth year-over-year at the mid-point of the range.
    • Non-GAAP operating loss between $(67.4) million and $(67.9) million, which includes non-GAAP gross margin anticipated at approximately 75%, reflecting continued investment to further expand our data moats through the previously reported acquisitions of Embee Mobile and SimilarTech, and the data licensing agreement with data.ai (formerly App Annie), as well as increased investment in research and development.

The Company’s fourth quarter and full year 2022 financial outlook is based upon a number of assumptions and trends observed from prior quarters that are subject to change and many of which are outside the Company’s control. Actual results may vary from these assumptions and trends from prior quarters, and the Company’s expectations may change. There can be no assurance that the Company will achieve these results.

The Company does not provide guidance for operating loss and gross margin, the most directly comparable GAAP measures to non-GAAP operating loss and non-GAAP gross margin, respectively, and similarly cannot provide a reconciliation to these measures to their closest GAAP equivalents without unreasonable effort due to the unavailability of reliable estimates for certain items, such as share-based compensation. These items are not within the Company’s control and may vary greatly between periods and could significantly impact future financial results.

Conference Call Information

The financial results and business highlights will be discussed on a conference call and webcast scheduled at 8:30 a.m. Eastern Time on Wednesday, November 16, 2022. A live webcast of the call can be accessed from Similarweb’s Investor Relations website at https://ir.similarweb.com. An archived webcast of the conference call will also be made available on the Similarweb website following the call. The live call may also be accessed via telephone at (877) 407-0726 toll-free and at (201) 689-7806 internationally.

About Similarweb: As a trusted platform for understanding online behavior, millions of people rely on Similarweb insights to strengthen their knowledge of the digital world. We empower anyone — from the curious individual to the enterprise business leader — to make smarter decisions by understanding why things happen across the digital ecosystem.

Forward-Looking Statements

This press release contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, or the Securities Act, and Section 21E of the Securities Exchange Act of 1934, as amended, including statements relating to our guidance for the fourth quarter and full year of 2022 described under "Financial Outlook". Forward-looking statements include all statements that are not historical facts. Such statements may be preceded by the words “intends,” “may,” “will,” “plans,” “expects,” “anticipates,” “projects,” “predicts,” “estimates,” “aims,” “believes,” “hopes,” “potential” or similar words. These forward-looking statements reflect our current views regarding our intentions, products, services, plans, expectations, strategies and prospects, which are based on information currently available to us and assumptions we have made. Actual results may differ materially from those described in such forward-looking statements and are subject to a variety of assumptions, uncertainties, risks and factors that are beyond our control. Such risks and uncertainties include, without limitation, risks and uncertainties associated with (i) challenges associated with forecasting our revenue given our recent growth and rapid technological development, particularly in light of current macroeconomic uncertainty, (ii) our history of net losses and desire to increase operating expenses, thereby limiting our ability to achieve profitability, (iii) challenges related to effectively managing our growth, including as result of macroeconomic factors, (iv) intense competition in the market and services categories in which we participate, (v) potential reductions in participation in our contributory network and/or increase in the volume of opt-out requests from individuals with respect to our collection of their data, or a decrease in our direct measurement dataset, which could lead to a deterioration in the depth, breadth or accuracy of our data, (vi) our inability to attract new customers and expand subscriptions of current customers, (vii) changes in laws, regulations, and public perception concerning data privacy or change in the patterns of enforcement of existing laws and regulations, (viii) our inability to introduce new features or solutions and make enhancements to our existing solutions, (ix) real or perceived errors, failures, vulnerabilities or bugs in our platform, (x) potential security breaches to our systems or to the systems of our third-party service providers, (xi) our inability to obtain and maintain comprehensive and reliable data to generate our insights, (xii) changes in laws and regulations related to the Internet or changes in the internet infrastructure itself that may diminish the demand for our solutions, (xiii) failure to effectively develop and expand our direct sales capabilities, which could harm our ability to increase the number of organizations using our platform and achieve broader market acceptance for our solutions and (xiv) the impact that current worldwide geopolitical and macroeconomic uncertainty, including uncertainty resulting from the COVID-19 pandemic or other public health crises and the Russian military operations in Ukraine, and any related economic downturn could have on our or our customers' businesses, financial condition and results of operations.

These risks and uncertainties are more fully described in our filings with the Securities and Exchange Commission, including in the section entitled “Risk Factors” in our Form 20-F filed with the Securities and Exchange Commission on March 25, 2022, and subsequent reports that we file with the Securities and Exchange Commission. Moreover, we operate in a very competitive and rapidly changing environment. New risks emerge from time to time. It is not possible for our management to predict all risks, nor can we assess the impact of all factors on our business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements we may make. In light of these risks, uncertainties and assumptions, we cannot guarantee future results, levels of activity, performance, achievements, or events and circumstances reflected in the forward-looking statements will occur.

Forward-looking statements represent our beliefs and assumptions only as of the date of this press release. Except as required by law, we undertake no duty to update any forward-looking statements contained in this release as a result of new information, future events, changes in expectations or otherwise.

Non-GAAP Financial Measures

This press release contains certain financial measures that are expressed on a non-GAAP basis. We use these non-GAAP financial measures internally to facilitate analysis of our financial and business trends and for internal planning and forecasting purposes. We believe these non-GAAP financial measures, when taken collectively, may be helpful to investors because they provide consistency and comparability with past financial performance by excluding certain items that may not be indicative of our business, results of operations, or outlook. However, non-GAAP financial measures have limitations as an analytical tool and are presented for supplemental informational purposes only. They should not be considered in isolation from, or as a substitute for, financial information prepared in accordance with GAAP. Free cash flow represents net cash provided by (used in) operating activities less capital expenditures and capitalized internal-use software costs. Normalized free cash flow represents free cash flow less capital investments related to the Company's new headquarters, payments received in connection with these capital investments and deferred payments related to business combinations. Non-GAAP operating income (loss), non-GAAP gross profit, Non-GAAP research and development expenses, non-GAAP sales and marketing expenses and non-GAAP general and administrative expenses represent the comparable GAAP financial figure operating income (loss) or expense, less share-based compensation, adjustments and payments related to business combinations, amortization of intangible assets and certain other non-recurring items, as applicable and indicated in the above tables.

Other Metrics

Customer acquisition costs (CAC) represent the portion of sales and marketing expenses allocated to acquire new customers. Customer retention costs (CRC) represent the portion of sales and marketing expenses allocated to retain existing customers and to increase existing customers’ subscriptions. Annual recurring revenue (ARR) represents the annualized subscription revenue we would contractually expect to receive from customers assuming no increases or reductions in their subscriptions. CAC payback period is the estimated time in months to recover CAC in terms of incremental gross profit that newly acquired customers generate. Net retention rate (NRR) represents the comparison of our ARR from the same set of customers as of a certain point in time, relative to the same point in time in the previous year ago period, expressed as a percentage.

Similarweb Ltd.

Consolidated Balance Sheets

U.S. dollars in thousands (except share and per share data)

   

 

 

December 31,

 

September 30,

 

 

2021

 

2022

 

 

 

 

(Unaudited)

Assets

 

 

 

 

Current assets:

 

 

 

 

Cash and cash equivalents

 

$

128,879

 

 

$

90,633

 

Restricted deposits

 

 

11,474

 

 

 

10,321

 

Accounts receivable, net

 

 

31,017

 

 

 

25,050

 

Deferred contract costs

 

 

8,470

 

 

 

10,397

 

Prepaid expenses and other current assets

 

 

7,847

 

 

 

6,891

 

Total current assets

 

 

187,687

 

 

 

143,292

 

Property and equipment, net

 

 

6,356

 

 

 

31,382

 

Deferred contract costs, non-current

 

 

9,208

 

 

 

9,410

 

Operating lease right-of-use assets

 

 

 

 

 

42,708

 

Intangible assets, net

 

 

11,617

 

 

 

10,762

 

Goodwill

 

 

11,318

 

 

 

13,072

 

Other non-current assets

 

 

813

 

 

 

944

 

Total assets

 

$

226,999

 

 

$

251,570

 

Liabilities and shareholders' equity

 

 

 

 

Current liabilities:

 

 

 

 

Borrowings under credit facility

 

$

 

 

$

25,000

 

Accounts payable

 

 

11,303

 

 

 

9,242

 

Payroll and benefit related liabilities

 

 

17,969

 

 

 

19,648

 

Deferred revenues

 

 

76,676

 

 

 

83,503

 

Other payables and accrued expenses

 

 

28,199

 

 

 

27,819

 

Operating lease liabilities

 

 

 

 

 

9,122

 

Total current liabilities

 

 

134,147

 

 

 

174,334

 

Deferred revenues, non-current

 

 

2,074

 

 

 

1,044

 

Operating lease liabilities, non-current

 

 

 

 

 

41,458

 

Deferred rent

 

 

2,602

 

 

 

 

Other non-current liabilities

 

 

3,262

 

 

 

3,049

 

Total liabilities

 

 

142,085

 

 

 

219,885

 

Shareholders' equity

 

 

 

 

Ordinary Shares, NIS 0.01 par value 500,000,000 shares authorized as of December 31, 2021 and September 30, 2022 (unaudited); 74,847,609 and 76,023,878 shares issued as of December 31, 2021 and September 30, 2022 (unaudited); 74,845,441 and 76,021,710 outstanding as of December 31, 2021 and September 30, 2022 (unaudited), respectively

 

 

205

 

 

 

208

 

Additional paid-in capital

 

 

324,614

 

 

 

341,164

 

Accumulated other comprehensive income

 

 

160

 

 

 

(959

)

Accumulated deficit

 

 

(240,065

)

 

 

(308,728

)

Total shareholders' equity

 

 

84,914

 

 

 

31,685

 

Total liabilities and shareholders' equity

 

$

226,999

 

 

$

251,570

 

Similarweb Ltd.

Consolidated Statements of Comprehensive Income (Loss)

U.S. dollars in thousands (except share and per share data)

   

 

 

Nine months Ended

September 30,

 

Three Months Ended

September 30,

 

 

2021

 

2022

 

2021

 

2022

 

 

(Unaudited)

 

(Unaudited)

Revenues

 

$

97,517

 

 

$

141,888

 

 

$

35,597

 

 

$

50,022

 

Cost of revenues

 

 

21,061

 

 

 

40,848

 

 

 

7,795

 

 

 

13,749

 

Gross profit

 

 

76,456

 

 

 

101,040

 

 

 

27,802

 

 

 

36,273

 

Operating expenses:

 

 

 

 

 

 

 

 

Research and development

 

 

30,100

 

 

 

45,927

 

 

 

11,422

 

 

 

15,156

 

Sales and marketing

 

 

65,862

 

 

 

92,539

 

 

 

24,150

 

 

 

30,051

 

General and administrative

 

 

23,698

 

 

 

35,836

 

 

 

8,951

 

 

 

11,681

 

Total operating expenses

 

 

119,660

 

 

 

174,302

 

 

 

44,523

 

 

 

56,888

 

Loss from operations

 

 

(43,204

)

 

 

(73,262

)

 

 

(16,721

)

 

 

(20,615

)

Finance (expenses) income, net

 

 

(1,158

)

 

 

4,796

 

 

 

(294

)

 

 

(627

)

Loss before income taxes

 

 

(44,362

)

 

 

(68,466

)

 

 

(17,015

)

 

 

(21,242

)

Provision for (benefit from) income taxes

 

 

807

 

 

 

197

 

 

 

319

 

 

 

(249

)

Net loss

 

$

(45,169

)

 

$

(68,663

)

 

$

(17,334

)

 

$

(20,993

)

Net loss per share attributable to ordinary shareholders, basic and diluted

 

$

(0.98

)

 

$

(0.91

)

 

$

(0.23

)

 

$

(0.28

)

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

 

 

45,961,751

 

 

 

75,557,954

 

 

 

74,506,187

 

 

 

75,975,356

 

Net loss

 

 

(45,169

)

 

 

(68,663

)

 

 

(17,334

)

 

 

(20,993

)

Other comprehensive (loss) income, net of tax

 

 

 

 

 

 

 

 

Change in unrealized (loss) gain on cashflow hedges

 

 

(53

)

 

 

(1,119

)

 

 

16

 

 

 

209

 

Total other comprehensive (loss) income, net of tax

 

 

(53

)

 

 

(1,119

)

 

 

16

 

 

 

209

 

Total comprehensive loss

 

$

(45,222

)

 

$

(69,782

)

 

$

(17,318

)

 

$

(20,784

)

Share-based compensation costs included above:

U.S. dollars in thousands

   

 

 

Nine months Ended

September 30,

 

Three Months Ended

September 30,

 

 

2021

 

2022

 

2021

 

2022

 

 

(in thousands)

(in thousands)

Cost of revenues

 

$

121

 

$

463

 

$

55

 

$

143

Research and development

 

 

2,915

 

 

4,094

 

 

874

 

 

1,463

Sales and marketing

 

 

2,304

 

 

4,908

 

 

966

 

 

1,747

General and administrative

 

 

2,516

 

 

3,950

 

 

834

 

 

1,496

Total

 

$

7,856

 

$

13,415

 

$

2,729

 

$

4,849

Similarweb Ltd.

Consolidated Statements of Cash Flows

U.S. dollars in thousands

   

 

 

Nine months Ended

September 30,

 

Three Months Ended

September 30,

 

 

2021

 

2022

 

2021

 

2022

 

 

(Unaudited)

 

(Unaudited)

Cash flows from operating activities:

 

 

 

 

 

 

 

 

Net loss

 

$

(45,169

)

 

$

(68,663

)

 

$

(17,334

)

 

$

(20,993

)

Adjustments to reconcile net loss to net cash used in operating activities:

 

 

 

 

 

 

 

 

Depreciation and amortization

 

 

1,628

 

 

 

8,112

 

 

 

573

 

 

 

2,354

 

Finance (income) expense

 

 

(204

)

 

 

1,419

 

 

 

(112

)

 

 

282

 

Unrealized (gain) loss from hedging future transactions

 

 

(18

)

 

 

473

 

 

 

4

 

 

 

126

 

Share-based compensation

 

 

7,856

 

 

 

13,415

 

 

 

2,729

 

 

 

4,849

 

Gain on sale of equipment

 

 

 

 

 

(132

)

 

 

 

 

 

(5

)

Provision for accrued interest on Credit Facility

 

 

(53

)

 

 

 

 

 

 

 

 

 

Changes in operating assets and liabilities:

 

 

 

 

 

 

 

 

 

 

Operating lease right-of-use assets and liabilities, net

 

 

 

 

 

5,269

 

 

 

 

 

 

3,174

 

Decrease (increase) in accounts receivable, net

 

 

854

 

 

 

6,198

 

 

 

(4,560

)

 

 

1,865

 

(Increase) decrease in deferred contract costs

 

 

(4,057

)

 

 

(2,129

)

 

 

(1,532

)

 

 

229

 

(Increase) decrease in prepaid expenses and other current assets

 

 

(2,712

)

 

 

886

 

 

 

(2,496

)

 

 

1,265

 

Decrease (increase) in other non-current assets

 

 

71

 

 

 

(131

)

 

 

1

 

 

 

(46

)

Increase (decrease) in accounts payable

 

 

4,837

 

 

 

(2,840

)

 

 

886

 

 

 

(4,242

)

Increase (decrease) in deferred revenue

 

 

12,245

 

 

 

5,433

 

 

 

409

 

 

 

(6,900

)

Decrease in deferred rent

 

 

(335

)

 

 

 

 

 

(108

)

 

 

 

Increase (decrease) in other non-current liabilities

 

 

628

 

 

 

(561

)

 

 

272

 

 

 

(133

)

Increase (decrease) in other liabilities and accrued expenses

 

 

7,173

 

 

 

(554

)

 

 

4,676

 

 

 

(3,494

)

Net cash used in operating activities

 

 

(17,256

)

 

 

(33,805

)

 

 

(16,592

)

 

 

(21,669

)

Cash flows from investing activities:

 

 

 

 

 

 

 

 

Purchases of property and equipment, net

 

 

(1,415

)

 

 

(26,325

)

 

 

(395

)

 

 

(6,705

)

Capitalized internal-use software costs

 

 

(228

)

 

 

(2,495

)

 

 

(115

)

 

 

(1,120

)

(Increase) decrease in restricted deposits

 

 

(262

)

 

 

1,153

 

 

 

249

 

 

 

1,047

 

Decrease in short-term investments

 

 

30,000

 

 

 

 

 

 

 

 

 

 

Cash paid in relation to business combinations (Schedule A)

 

 

(500

)

 

 

(3,787

)

 

 

 

 

 

 

Cash received in relation to business combinations

 

 

 

 

 

294

 

 

 

 

 

 

294

 

Acquisitions of intangible assets

 

 

(300

)

 

 

 

 

 

 

 

 

 

Net cash provided by (used in) investing activities

 

 

27,295

 

 

 

(31,160

)

 

 

(261

)

 

 

(6,484

)

Cash flows from financing activities:

 

 

 

 

 

 

 

 

Proceeds from exercise of share options

 

 

730

 

 

 

1,904

 

 

 

302

 

 

 

143

 

Proceeds from employee share purchase plan

 

 

 

 

 

1,234

 

 

 

 

 

 

 

Borrowings under Credit Facility

 

 

30,000

 

 

 

25,000

 

 

 

 

 

 

25,000

 

Repayment of Credit Facility

 

 

(56,800

)

 

 

 

 

 

 

 

 

 

Proceeds from initial public offering, net of underwriting fees and commissions and other issuance costs

 

 

150,936

 

 

 

 

 

 

(1,475

)

 

 

 

Net cash provided by (used in) financing activities

 

 

124,866

 

 

 

28,138

 

 

 

(1,173

)

 

 

25,143

 

Effect of exchange rates on cash and cash equivalents

 

 

204

 

 

 

(1,419

)

 

 

112

 

 

 

(282

)

Net increase (decrease) in cash and cash equivalents

 

 

135,109

 

 

 

(38,246

)

 

 

(17,914

)

 

 

(3,292

)

Cash and cash equivalents, beginning of period

 

 

23,943

 

 

 

128,879

 

 

 

176,966

 

 

 

93,925

 

Cash and cash equivalents, end of period

 

$

159,052

 

 

$

90,633

 

 

$

159,052

 

 

$

90,633

 

Supplemental disclosure of cash flow information:

 

 

 

 

 

 

 

 

Interest paid (received)

 

$

528

 

 

$

(16

)

 

$

 

 

$

 

Taxes paid

 

$

465

 

 

$

417

 

 

$

212

 

 

$

176

 

Supplemental disclosure of non-cash operating, investing and financing activities:

 

 

 

 

 

 

 

 

Offering costs incurred during the period included in accounts payable and accrued expenses

 

$

270

 

 

$

 

 

$

 

 

$

 

Additions to operating lease right-of-use assets and liabilities

 

$

 

 

$

9,435

 

 

$

 

 

$

457

 

Deferred proceeds from exercise of share options included in other current assets

 

$

 

 

$

 

 

$

 

 

$

 

Deferred costs of property and equipment incurred during the period included in accounts payable

 

$

 

 

$

770

 

 

$

 

 

$

(2,684

)

 

 

 

 

 

 

 

 

 

Schedule A : Business combinations

 

 

 

 

 

 

 

 

Working capital (deficit), net (excluding cash and cash equivalents)

 

 

 

 

(668

)

 

 

 

 

Property, plant and equipment

 

 

 

 

43

 

 

 

 

 

Goodwill and other intangible assets

 

 

 

 

4,565

 

 

 

 

 

Deferred taxes, net

 

 

 

 

(153

)

 

 

 

 

 

 

 

 

$

3,787

 

 

 

 

 

Reconciliation of Non-GAAP Financial Measures to the Most Directly Comparable GAAP Financial Measures

 

Reconciliation of GAAP gross profit to non-GAAP gross profit

 

 

 

Nine months Ended

September 30,

 

Three Months Ended

September 30,

 

 

2021

 

2022

 

2021

 

2022

 

 

(In thousands)

(In thousands)

GAAP gross profit

 

$

76,456

 

 

$

101,040

 

 

$

27,802

 

 

$

36,273

 

Add:

 

 

 

 

 

 

 

 

Share-based compensation expenses

 

 

121

 

 

 

463

 

 

 

55

 

 

 

143

 

Retention payments related to business combinations

 

 

 

 

 

1,656

 

 

 

 

 

 

511

 

Amortization of intangible assets related to business combinations

 

 

 

 

 

3,319

 

 

 

 

 

 

1,168

 

Non-recurring expenses related to termination of lease agreement and others

 

 

 

 

 

35

 

 

 

 

 

 

 

Non-GAAP gross profit

 

$

76,577

 

 

$

106,513

 

 

$

27,857

 

 

$

38,095

 

Non-GAAP gross margin

 

 

79

%

 

 

75

%

 

 

78

%

 

 

76

%

Reconciliation of Loss from operations (GAAP) to Non-GAAP operating loss

 

 

 

Nine months Ended

September 30,

 

Three Months Ended

September 30,

 

 

2021

 

2022

 

2021

 

2022

 

 

(In thousands)

(In thousands)

Loss from operations

 

$

(43,204

)

 

$

(73,262

)

 

$

(16,721

)

 

$

(20,615

)

Add:

 

 

 

 

 

 

 

 

Share-based compensation expenses

 

 

7,856

 

 

 

13,415

 

 

 

2,729

 

 

 

4,849

 

Retention payments related to business combinations

 

 

814

 

 

 

1,991

 

 

 

118

 

 

 

737

 

Amortization of intangible assets related to business combinations

 

 

 

 

 

3,371

 

 

 

 

 

 

1,201

 

Adjustment of fair value of contingent consideration related to business combinations

 

 

 

 

 

744

 

 

 

 

 

 

62

 

Non-recurring expenses related to termination of lease agreement and others

 

 

 

 

 

977

 

 

 

 

 

 

418

 

Non-recurring fees related to initial public offering

 

 

1,214

 

 

 

 

 

 

 

 

 

 

Capital gain related to sale of operating equipment

 

 

 

 

 

(127

)

 

 

 

 

 

 

Non-GAAP operating loss

 

$

(33,320

)

 

$

(52,891

)

 

$

(13,874

)

 

$

(13,348

)

Non-GAAP operating margin

 

 

(34

)%

 

 

(37

)%

 

 

(39

)%

 

 

(27

)%

Reconciliation of GAAP operating expenses to non-GAAP operating expenses

   

 

 

Nine months Ended

September 30,

 

Three Months Ended

September 30,

 

 

2021

 

2022

 

2021

 

2022

 

 

(In thousands)

(In thousands)

GAAP research and development

 

$

30,100

 

$

45,927

 

 

$

11,422

 

$

15,156

Less:

 

 

 

 

 

 

 

 

Share-based compensation expenses

 

 

2,915

 

 

4,094

 

 

 

874

 

 

1,463

Retention payments related to business combinations

 

 

814

 

 

 

 

 

118

 

 

Non-recurring expenses related to termination of lease agreement and others

 

 

 

 

87

 

 

 

 

 

Non-GAAP research and development

 

$

26,371

 

$

41,746

 

 

$

10,430

 

$

13,693

 

 

 

 

 

 

 

 

 

GAAP sales and marketing

 

$

65,862

 

$

92,539

 

 

$

24,150

 

$

30,051

Less:

 

 

 

 

 

 

 

 

Share-based compensation expenses

 

 

2,304

 

 

4,908

 

 

 

966

 

 

1,747

Retention payments related to business combinations

 

 

 

 

335

 

 

 

 

 

226

Amortization of intangible assets related to business combinations

 

 

 

 

52

 

 

 

 

 

33

Non-recurring expenses related to termination of lease agreement and others

 

 

 

 

799

 

 

 

 

 

418

Non-GAAP sales and marketing

 

$

63,558

 

$

86,445

 

 

$

23,184

 

$

27,627

 

 

 

 

 

 

 

 

 

GAAP general and administrative

 

$

23,698

 

$

35,836

 

 

$

8,951

 

$

11,681

Less:

 

 

 

 

 

 

 

 

Share-based compensation expenses

 

 

2,516

 

 

3,950

 

 

 

834

 

 

1,496

Adjustment of fair value of contingent consideration related to business combinations

 

 

 

 

744

 

 

 

 

 

62

Non-recurring fees related to initial public offering

 

 

1,214

 

 

 

 

 

 

 

Non-recurring expenses related to termination of lease agreement and others

 

 

 

 

56

 

 

 

 

 

Capital gain related to sale of operating equipment

 

 

 

 

(127

)

 

 

 

 

Non-GAAP general and administrative

 

$

19,968

 

$

31,213

 

 

$

8,117

 

$

10,123

Reconciliation of Net cash used in operating activities (GAAP) to Free cash flow and Normalized free cash flow

   

 

 

Nine months Ended

September 30,

 

Three Months Ended

September 30,

 

 

2021

 

2022

 

2021

 

2022

 

 

(In thousands)

(In thousands)

Net cash used in operating activities

 

$

(17,256

)

 

$

(33,805

)

 

$

(16,592

)

 

$

(21,669

)

Purchases of property and equipment, net

 

 

(1,415

)

 

 

(26,325

)

 

 

(395

)

 

 

(6,705

)

Capitalized internal use software costs

 

 

(228

)

 

 

(2,495

)

 

 

(115

)

 

 

(1,120

)

Free cash flow

 

$

(18,899

)

 

$

(62,625

)

 

$

(17,102

)

 

$

(29,494

)

 

 

 

 

 

 

 

 

Cash payments related to the new headquarters

 

 

 

 

 

25,440

 

 

 

 

 

 

7,161

 

Cash received in connection with purchases of property and equipment

 

 

 

 

 

(11,192

)

 

 

 

 

 

(3,174

)

Deferred payments in relation to business combinations

 

 

 

 

 

413

 

 

 

 

 

 

413

 

Normalized free cash flow

 

$

(18,899

)

 

$

(47,964

)

 

$

(17,102

)

 

$

(25,094

)

 

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.

Use the myMotherLode.com Keyword Search to go straight to a specific page

Popular Pages

  • Local News
  • US News
  • Weather
  • State News
  • Events
  • Traffic
  • Sports
  • Dining Guide
  • Real Estate
  • Classifieds
  • Financial News
  • Fire Info
Feedback