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eGain Reports 21% SaaS Revenue Growth for Fiscal 2022 Driven by Increased Demand for Knowledge Powered Digital Customer Engagement Solutions

·16 min read
eGain Corporation
eGain Corporation

eGain to Host Analyst/Investor Day on October 11th at its Annual User Group Meeting in Las Vegas

SUNNYVALE, Calif., Sept. 08, 2022 (GLOBE NEWSWIRE) -- eGain (Nasdaq: EGAN), the leading AI knowledge platform for customer engagement automation, today announced financial results for its fiscal 2022 fourth quarter and full year ended June 30, 2022.

“We finished the year strong, delivering top and bottom-line results ahead of our guidance and street consensus,” said Ashu Roy, eGain’s CEO. “Demand for our knowledge powered customer engagement offering is robust and we are well positioned to continue our positive momentum and grow our market share in our new fiscal year. During the year, we generated over $8 million in cash from operations, strengthening our balance sheet while also investing in product, sales and marketing to drive continued revenue growth.”

Fiscal 2022 Fourth Quarter Financial Highlights

  • Total revenue was $23.5 million, up 16% year over year (20% in constant currency).

  • SaaS revenue was $20.6 million, up 15% year over year (18% in constant currency).

  • GAAP net loss was $1.6 million, or $0.05 per share on a basic and diluted basis, compared to GAAP net income of $2.0 million, or $0.07 per share on a basic basis and $0.06 per share on a diluted basis, in Q4 2021.

  • Non-GAAP net income was $893,000, or $0.03 per share on a basic and diluted basis, compared to non-GAAP net income of $2.5 million, or $0.08 per share on a basic and diluted basis, in Q4 2021.

  • Cash provided by operations was $2.3 million, or 10% operating cash flow margin.

Fiscal 2022 Full Year Financial Highlights

  • Total revenue was $92.0 million, up 17% year over year (18% in constant currency).

  • SaaS revenue was $80.9 million, up 21% year over year (21% in constant currency).

  • GAAP net loss was $2.4 million, or $0.08 per share on a basic and diluted basis, compared to GAAP net income of $7.0 million, or $0.22 per share on a basic basis and $0.21 per share on a diluted basis, in fiscal year 2021.

  • Non-GAAP net income was $8.9 million, or $0.28 per share on a basic basis and $0.27 per share on a diluted basis, compared to non-GAAP net income of $8.7 million, or $0.28 per share on a basic basis and $0.27 per share on a diluted basis, in fiscal 2021.

  • Cash provided by operations for fiscal 2022 was $8.1 million, or 9% operating cash flow margin.

  • Total cash and cash equivalents, as of June 30, 2022, was $72.2 million, up 14% compared to $63.2 million as of June 30, 2021.

Fiscal 2023 First Quarter Financial Guidance

For the first quarter of fiscal 2023 ending September 30, 2022, eGain expects:

  • Total revenue of between $24.0 million to $24.5 million, representing growth of 12% to 14% year over year.

  • Non-GAAP total revenue, adjusted for constant currency, of between $25.1 million to $25.6 million, representing growth of 17% to 19%.

  • GAAP net loss of $2.1 million to $2.3 million, or $0.07 per share.

    • Includes stock-based compensation expense of approximately $2.5 million.

    • Includes depreciation and amortization of approximately $120,000.

  • Non-GAAP net income of $200,000 to $400,000, or $0.01 per share.

Fiscal 2023 Financial Guidance

For the fiscal 2023 full year ending June 30, 2023, eGain expects:

  • Total revenue of between $101.0 million to $103.0 million, representing growth of 10% to 12% year over year.

  • Non-GAAP total revenue, adjusted for constant currency, of between $103.2 million to $105.3 million, representing growth of 12% to 15%.

  • GAAP net loss of $3.7 million to $4.7 million, or $0.12 to $0.15 per share.

    • Includes stock-based compensation expense of approximately $8.5 million.

    • Includes depreciation and amortization of approximately $500,000.

  • Non-GAAP net income of $3.8 million to $4.8 million, or $0.12 to $0.15 per share.

Guidance Assumption:

  • Weighted average shares outstanding are expected to be approximately 31.9 million for the first quarter of fiscal 2023 and 32.0 million for fiscal year 2023.

Non-GAAP Financial Measures

This press release includes certain non-GAAP financial measures as supplemental information relating to our operating results, including non-GAAP total revenue that is only adjusted for constant currency to provide better visibility into the underlying business trends and non-GAAP net income. The non-GAAP net income measures are adjusted for stock-based compensation expense and amortization of acquired intangible assets. eGain’s management has analyzed the effect of these non-GAAP adjustments on our income tax provision and believes the change in our income tax provision would be minimal due to these non-GAAP adjustments being attributed to the U.S. jurisdiction where it has recorded full valuation allowance against the deferred taxes. Non-GAAP results are presented for supplemental informational purposes only and should not be considered a substitute for financial information presented in accordance with generally accepted accounting principles, or GAAP, and may be different from non-GAAP measures used by other companies. eGain’s management uses these non-GAAP measures to compare our performance to that of prior periods for trend analysis and for budgeting and planning purposes. eGain believes that the use of these non-GAAP financial measures provides an additional tool for investors to use in evaluating ongoing operating results and trends and in comparing our financial measures with other software companies, many of which present similar non-GAAP financial measures to investors, and that it allows for greater transparency with respect to key metrics used by management in our financial and operational decision-making. Reconciliation tables of the most comparable GAAP financial measures to the non-GAAP financial measures used in this press release are included with the financial tables at the end of this release. eGain urges investors to review the reconciliation and not to rely on any single financial measure to evaluate our business.

Conference Call Information

eGain will discuss its fiscal 2022 fourth quarter and full year results today via teleconference at 2:00 p.m. Pacific Time. To access the live call, dial 877-270-2148 (U.S. toll free) or +1 412-902-6510 (International) and ask to join the eGain earnings call. A live and archived webcast of the call will also be accessible on the “Investor relations” section of our website at www.egain.com. In addition, a phone replay of the conference call will be available starting two hours after the call and remain in effect for one week. To access the phone replay, dial 877-344-7529 (U.S. toll free) or 412-317-0088 (International). The replay access code is 2970911.

Analyst/Investor Day

eGain will host an analyst/investor day event on October 11th at its annual user group meeting, eGain Solve 22, in Las Vegas. To learn more about this event and to register visit: https://www.egain.com/solve/#agenda

About eGain

Infused with AI, our knowledge-powered software automates digital-first experiences for enterprises and government agencies. Pre-connected with leading CRM and contact center systems, the eGain platform delivers quick value and easy innovation with virtual assistance, customer self-service, and modern agent desktop tools. Visit www.egain.com for more information.

Cautionary Note Regarding Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995, including without limitation our financial guidance for the first quarter of fiscal 2023 ending September 30, 2022 and fiscal 2023 full year ending June 30, 2023; our market opportunity; and expectations regarding our growth prospects for fiscal 2023 year ending June 30, 2023. The achievement or success of the matters covered by such forward-looking statements, including future financial guidance, involves risks, uncertainties and assumptions, many of which involve factors or circumstances that are beyond our control. If any such risks or uncertainties materialize or if any of the assumptions prove incorrect, our actual results could differ materially from the results expressed or implied by the forward-looking statements we make, including our ability to achieve our targets for the first quarter of fiscal 2023 and fiscal 2023 year ending June 30, 2023. The risks and uncertainties referred to above include, but are not limited to: risks to our business, operating results, financial condition, and prospects from the COVID-19 pandemic and related economic downturns, including but not limited to, its effect on customer demand for our products and services and the impact of potential delays in customer payments; risks associated with new product releases and new services and products features; risks that customer demand may fluctuate or decrease; risks that we are unable to collect unbilled contractual commitments, particularly in the current economic environment; risks that our lengthy sales cycles may negatively affect our operating results; currency risks; our ability to capitalize on customer engagement; risks related to our reliance on a relatively small number of customers for a substantial portion of our revenue; our ability to compete successfully and manage growth; our ability to develop and expand strategic and third party distribution channels; risks related to our international operations; our ability to continue to innovate; our strategy of making investments in sales to drive growth; general political or destabilizing events, including war, intensified international hostilities, conflict or acts of terrorism; the effect of legislative initiatives or proposals, statutory changes, governmental or other applicable regulations and/or changes in industry requirements, including those addressing data privacy, cyber-security and cross-border data transfers; and other risks detailed from time to time in eGain’s public filings, including eGain’s annual report on Form 10-K filed on September 10, 2021 and subsequent reports filed with the Securities and Exchange Commission, which are available on the Securities and Exchange Commission’s web site at www.sec.gov. These forward-looking statements are based on current expectations and speak only as of the date hereof. We assume no obligation and do not intend to update these forward-looking statements, except as required by law.

eGain, the eGain logo, and all other eGain product names and slogans are trademarks or registered trademarks of eGain Corporation in the United States and/or other countries. All other company names and products mentioned in this release may be trademarks or registered trademarks of the respective companies.

MKR Investor Relations
Todd Kehrli or Jim Byers
Phone: 323-468-2300
Email: egan@mkr-group.com

eGain Corporation
Condensed Consolidated Balance Sheets
(in thousands)
(unaudited)

 

 

June 30,

 

June 30,

 

 

2022

 

 

2021

 

ASSETS

 

 

 

 

 

 

Current assets:

 

 

 

 

 

 

Cash and cash equivalents

 

$

72,173

 

 

$

63,231

 

Restricted cash

 

 

7

 

 

 

7

 

Accounts receivable, less allowance for doubtful accounts of $123 and $434 as of June 30, 2022 and 2021, respectively

 

 

26,961

 

 

 

26,311

 

Costs capitalized to obtain revenue contracts, net

 

 

1,487

 

 

 

1,323

 

Prepaid expenses

 

 

2,612

 

 

 

3,028

 

Other current assets

 

 

895

 

 

 

778

 

Total current assets

 

 

104,135

 

 

 

94,678

 

Property and equipment, net

 

 

831

 

 

 

705

 

Operating lease right-of-use assets

 

 

3,850

 

 

 

2,191

 

Costs capitalized to obtain revenue contracts, net of current portion

 

 

3,136

 

 

 

2,612

 

Goodwill

 

 

13,186

 

 

 

13,186

 

Other assets, net

 

 

871

 

 

 

1,191

 

Total assets

 

$

126,009

 

 

$

114,563

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

LIABILITIES AND STOCKHOLDERS’ EQUITY

 

 

 

 

 

 

Current liabilities:

 

 

 

 

 

 

Accounts payable

 

$

1,706

 

 

$

3,068

 

Accrued compensation

 

 

8,708

 

 

 

8,444

 

Accrued liabilities

 

 

4,926

 

 

 

4,352

 

Operating lease liabilities

 

 

1,044

 

 

 

1,466

 

Deferred revenue

 

 

45,638

 

 

 

46,211

 

Total current liabilities

 

 

62,022

 

 

 

63,541

 

Deferred revenue, net of current portion

 

 

3,785

 

 

 

3,332

 

Operating lease liabilities, net of current portion

 

 

2,537

 

 

 

797

 

Other long-term liabilities

 

 

808

 

 

 

832

 

Total liabilities

 

 

69,152

 

 

 

68,502

 

Stockholders’ equity:

 

 

 

 

 

 

Common stock, $0.001 par value – authorized: 60,000 and 50,000 shares; outstanding: 31,930 and 31,231 shares as of June 30, 2022 and 2021, respectively

 

 

32

 

 

 

31

 

Additional paid-in capital

 

 

393,157

 

 

 

378,451

 

Notes receivable from stockholders

 

 

(95

)

 

 

(92

)

Accumulated other comprehensive loss

 

 

(2,687

)

 

 

(1,220

)

Accumulated deficit

 

 

(333,550

)

 

 

(331,109

)

Total stockholders’ equity

 

 

56,857

 

 

 

46,061

 

Total liabilities and stockholders’ equity

 

$

126,009

 

 

$

114,563

 

 

 

 

 

 

 

 

eGain Corporation
Condensed Consolidated Statements of Operations
(in thousands, except per share data)
(unaudited)

 

 

Three Months Ended

 

Year Ended

 

 

June 30,

 

June 30,

 

 

2022

 

 

2021

 

2022

 

 

2021

 

Revenue:

 

 

 

 

 

 

 

 

 

 

 

 

Subscription

 

$

21,378

 

 

$

18,846

 

$

84,557

 

 

$

72,371

 

Professional services

 

 

2,126

 

 

 

1,402

 

 

7,394

 

 

 

5,916

 

Total revenue

 

 

23,504

 

 

 

20,248

 

 

91,951

 

 

 

78,287

 

Cost of revenue:

 

 

 

 

 

 

 

 

 

 

 

 

Cost of subscription

 

 

3,969

 

 

 

3,696

 

 

14,780

 

 

 

13,507

 

Cost of professional services

 

 

2,632

 

 

 

1,383

 

 

9,757

 

 

 

5,760

 

Total cost of revenue

 

 

6,601

 

 

 

5,079

 

 

24,537

 

 

 

19,267

 

Gross profit

 

 

16,903

 

 

 

15,169

 

 

67,414

 

 

 

59,020

 

Operating expenses:

 

 

 

 

 

 

 

 

 

 

 

 

Research and development

 

 

6,399

 

 

 

4,549

 

 

24,387

 

 

 

17,933

 

Sales and marketing

 

 

9,494

 

 

 

7,176

 

 

33,746

 

 

 

25,999

 

General and administrative

 

 

2,732

 

 

 

1,930

 

 

11,419

 

 

 

7,749

 

Total operating expenses

 

 

18,625

 

 

 

13,655

 

 

69,552

 

 

 

51,681

 

(Loss) Income from operations

 

 

(1,722

)

 

 

1,514

 

 

(2,138

)

 

 

7,339

 

Interest income

 

 

87

 

 

 

2

 

 

94

 

 

 

13

 

Other income (expense), net

 

 

656

 

 

 

144

 

 

838

 

 

 

(559

)

(Loss) Income before income tax provision

 

 

(979

)

 

 

1,660

 

 

(1,206

)

 

 

6,793

 

Income tax (provision) benefit

 

 

(572

)

 

 

388

 

 

(1,235

)

 

 

166

 

Net (loss) income

 

$

(1,551

)

 

$

2,048

 

$

(2,441

)

 

$

6,959

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Per share information:

 

 

 

 

 

 

 

 

 

 

 

 

(Loss) Earnings per share:

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

$

(0.05

)

 

$

0.07

 

$

(0.08

)

 

$

0.22

 

Diluted

 

$

(0.05

)

 

$

0.06

 

$

(0.08

)

 

$

0.21

 

Weighted-average shares used in computation:

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

 

31,861

 

 

 

31,144

 

 

31,553

 

 

 

31,007

 

Diluted

 

 

31,861

 

 

 

32,561

 

 

31,553

 

 

 

32,597

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Summary of stock-based compensation included in the costs and expenses above:

 

 

 

 

 

 

 

 

 

 

 

 

Cost of revenue

 

$

707

 

 

$

83

 

$

3,056

 

 

$

326

 

Research and development

 

 

625

 

 

 

115

 

 

2,935

 

 

 

509

 

Sales and marketing

 

 

527

 

 

 

182

 

 

2,367

 

 

 

657

 

General and administrative

 

 

585

 

 

 

56

 

 

3,022

 

 

 

208

 

Total stock-based compensation

 

$

2,444

 

 

$

436

 

$

11,380

 

 

$

1,700

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Summary of amortization of purchased intangibles from business combinations in the costs and expenses above:

 

 

 

 

 

 

 

 

 

 

 

 

Cost of revenue

 

$

 

 

$

 

$

 

 

$

26

 

Total amortization of intangible assets

 

$

 

 

$

 

$

 

 

$

26

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

eGain Corporation
GAAP to Non-GAAP Reconciliation Table
(in thousands, except per share data)
(unaudited)

 

 

Three Months Ended

 

Year Ended

 

 

June 30,

 

June 30,

 

 

2022

 

 

2021

 

2022

 

 

2021

(Loss) Income from operations

 

$

(1,722

)

 

$

1,514

 

$

(2,138

)

 

$

7,339

Add:

 

 

 

 

 

 

 

 

 

 

 

 

Stock-based compensation

 

 

2,444

 

 

 

436

 

 

11,380

 

 

 

1,700

Amortization of intangible assets

 

 

 

 

 

 

 

 

 

 

26

Non-GAAP income from operations

 

$

722

 

 

$

1,950

 

$

9,242

 

 

$

9,065

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended

 

Year Ended

 

 

June 30,

 

June 30,

 

 

2022

 

 

2021

 

2022

 

 

2021

Net (loss) income

 

$

(1,551

)

 

$

2,048

 

$

(2,441

)

 

$

6,959

Add:

 

 

 

 

 

 

 

 

 

 

 

 

Stock-based compensation

 

 

2,444

 

 

 

436

 

 

11,380

 

 

 

1,700

Amortization of intangible assets

 

 

 

 

 

 

 

 

 

 

26

Non-GAAP net income

 

$

893

 

 

$

2,484

 

$

8,939

 

 

$

8,685

Per share information:

 

 

 

 

 

 

 

 

 

 

 

 

Non-GAAP earnings per share:

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

$

0.03

 

 

$

0.08

 

$

0.28

 

 

$

0.28

Diluted

 

$

0.03

 

 

$

0.08

 

$

0.27

 

 

$

0.27

Weighted-average shares used in computation:

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

 

31,861

 

 

 

31,144

 

 

31,553

 

 

 

31,007

Diluted

 

 

32,906

 

 

 

32,561

 

 

32,803

 

 

 

32,597

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

eGain Corporation
Other GAAP to Non-GAAP Supplemental Financial Information
(in thousands)
(unaudited)

 

 

Three Months Ended
June 30,

 

Growth Rates

 

Constant Currency
Growth Rates [1]

 

 

2022

 

 

2021

 

 

 

 

 

Revenue:

    

 

 

 

 

 

 

 

 

 

SaaS revenue

 

$

20,573

 

 

$

17,906

 

 

15%

 

18%

Legacy revenue

 

 

805

 

 

 

940

 

 

(14%)

 

(10%)

GAAP subscription

 

 

21,378

 

 

 

18,846

 

 

13%

 

17%

GAAP professional services

 

 

2,126

 

 

 

1,402

 

 

52%

 

56%

Total GAAP revenue

 

$

23,504

 

 

$

20,248

 

 

16%

 

20%

 

 

 

 

 

 

 

 

 

 

 

SaaS and professional services revenue:

 

 

 

 

 

 

 

 

 

 

SaaS revenue

 

$

20,573

 

 

$

17,906

 

 

15%

 

18%

Professional Services

 

 

2,126

 

 

 

1,402

 

 

52%

 

56%

Total SaaS and professional services revenue

 

$

22,699

 

 

$

19,308

 

 

18%

 

21%

 

 

 

 

 

 

 

 

 

 

 

Cost of Revenue:

    

 

 

 

 

 

 

 

 

 

GAAP subscription

 

$

3,969

 

 

$

3,696

 

 

 

 

 

Add back:

 

 

 

 

 

 

 

 

 

 

Non-GAAP subscription

 

$

3,969

 

 

$

3,696

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

GAAP professional services

 

$

2,632

 

 

$

1,383

 

 

 

 

 

Add back:

 

 

 

 

 

 

 

 

 

 

Stock-based compensation

 

 

(707

)

 

 

(83

)

 

 

 

 

Non-GAAP professional services

 

$

1,925

 

 

$

1,300

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

GAAP total cost of revenue

 

$

6,601

 

 

$

5,079

 

 

 

 

 

Add back:

 

 

 

 

 

 

 

 

 

 

Stock-based compensation

 

 

(707

)

 

 

(83

)

 

 

 

 

Non-GAAP total cost of revenue

 

$

5,894

 

 

$

4,996

 

 

18%

 

20%

 

 

 

 

 

 

 

 

 

 

 

Gross Profit:

 

 

 

 

 

 

 

 

 

 

Non-GAAP subscription

 

$

17,409

 

 

$

15,150

 

 

 

 

 

Non-GAAP professional services

 

 

201

 

 

 

102

 

 

 

 

 

Non-GAAP gross profit

 

$

17,610

 

 

$

15,252

 

 

15%

 

19%

 

 

 

 

 

 

 

 

 

 

 

Operating expenses:

 

 

 

 

 

 

 

 

 

 

GAAP research and development

 

$

6,399

 

 

$

4,549

 

 

 

 

 

Add back:

 

 

 

 

 

 

 

 

 

 

Stock-based compensation expense

 

 

(625

)

 

 

(115

)

 

 

 

 

Non-GAAP research and development

 

$

5,774

 

 

$

4,434

 

 

30%

 

33%

 

 

 

 

 

 

 

 

 

 

 

GAAP sales and marketing

 

$

9,494

 

 

$

7,176

 

 

 

 

 

Add back:

 

 

 

 

 

 

 

 

 

 

Stock-based compensation expense

 

 

(527

)

 

 

(182

)

 

 

 

 

Non-GAAP sales and marketing

 

$

8,967

 

 

$

6,994

 

 

28%

 

32%

 

 

 

 

 

 

 

 

 

 

 

GAAP general and administrative

 

$

2,732

 

 

$

1,930

 

 

 

 

 

Add back:

 

 

 

 

 

 

 

 

 

 

Stock-based compensation expense

 

 

(585

)

 

 

(56

)

 

 

 

 

Non-GAAP general and administrative

 

$

2,147

 

 

$

1,874

 

 

15%

 

17%

 

 

 

 

 

 

 

 

 

 

 

GAAP operating expenses

 

$

18,625

 

 

$

13,655

 

 

 

 

 

Add back:

 

 

 

 

 

 

 

 

 

 

Stock-based compensation expense

 

 

(1,737

)

 

 

(353

)

 

 

 

 

Non-GAAP operating expenses

 

$

16,888

 

 

$

13,302

 

 

27%

 

30%

 

 

 

 

 

 

 

 

 

 

 

 

 

[1] Constant currency growth rates presented are derived from converting the current period results for entities reporting in currencies other than U.S. Dollars into U.S. Dollars at the exchange rates in effect during the prior period presented rather than the actual exchange rates in effect during the current period.

eGain Corporation
Other GAAP to Non-GAAP Supplemental Financial Information
(in thousands)
(unaudited)

 

 

Year Ended
June 30,

 

Growth Rates

 

Constant Currency
Growth Rates [1]

 

 

2022

 

 

2021

 

 

 

 

 

Revenue:

    

 

 

 

 

 

 

 

 

 

SaaS revenue

 

$

80,904

 

 

$

66,929

 

 

21%

 

21%

Legacy revenue

 

 

3,653

 

 

 

5,442

 

 

(33%)

 

(33%)

GAAP subscription

 

 

84,557

 

 

 

72,371

 

 

17%

 

17%

GAAP professional services

 

 

7,394

 

 

 

5,916

 

 

25%

 

26%

Total GAAP revenue

 

$

91,951

 

 

$

78,287

 

 

17%

 

18%

 

 

 

 

 

 

 

 

 

 

 

SaaS and professional services revenue:

 

 

 

 

 

 

 

 

 

 

SaaS revenue

 

$

80,904

 

 

$

66,929

 

 

21%

 

21%

Professional Services

 

 

7,394

 

 

 

5,916

 

 

25%

 

26%

Total SaaS and professional services revenue

 

$

88,298

 

 

$

72,845

 

 

21%

 

22%

 

 

 

 

 

 

 

 

 

 

 

Cost of Revenue:

    

 

 

 

 

 

 

 

 

 

GAAP subscription

 

$

14,780

 

 

$

13,507

 

 

 

 

 

Add back:

 

 

 

 

 

 

 

 

 

 

Amortization of intangible assets

 

 

 

 

 

(26

)

 

 

 

 

Non-GAAP subscription

 

$

14,780

 

 

$

13,481

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

GAAP professional services

 

$

9,757

 

 

$

5,760

 

 

 

 

 

Add back:

 

 

 

 

 

 

 

 

 

 

Stock-based compensation

 

 

(3,056

)

 

 

(326

)

 

 

 

 

Non-GAAP professional services

 

$

6,701

 

 

$

5,434

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

GAAP total cost of revenue

 

$

24,537

 

 

$

19,267

 

 

 

 

 

Add back:

 

 

 

 

 

 

 

 

 

 

Stock-based compensation

 

 

(3,056

)

 

 

(326

)

 

 

 

 

Amortization of intangible assets

 

 

 

 

 

(26

)

 

 

 

 

Non-GAAP total cost of revenue

 

$

21,481

 

 

$

18,915

 

 

14%

 

14%

 

 

 

 

 

 

 

 

 

 

 

Gross Profit:

 

 

 

 

 

 

 

 

 

 

Non-GAAP subscription

 

$

69,777

 

 

$

58,890

 

 

 

 

 

Non-GAAP professional services

 

 

693

 

 

 

482

 

 

 

 

 

Non-GAAP gross profit

 

$

70,470

 

 

$

59,372

 

 

19%

 

19%

 

 

 

 

 

 

 

 

 

 

 

Operating expenses:

 

 

 

 

 

 

 

 

 

 

GAAP research and development

 

$

24,387

 

 

$

17,933

 

 

 

 

 

Add back:

 

 

 

 

 

 

 

 

 

 

Stock-based compensation expense

 

 

(2,935

)

 

 

(509

)

 

 

 

 

Non-GAAP research and development

 

$

21,452

 

 

$

17,424

 

 

23%

 

24%

 

 

 

 

 

 

 

 

 

 

 

GAAP sales and marketing

 

$

33,746

 

 

$

25,999

 

 

 

 

 

Add back:

 

 

 

 

 

 

 

 

 

 

Stock-based compensation expense

 

 

(2,367

)

 

 

(657

)

 

 

 

 

Non-GAAP sales and marketing

 

$

31,379

 

 

$

25,342

 

 

24%

 

24%

 

 

 

 

 

 

 

 

 

 

 

GAAP general and administrative

 

$

11,419

 

 

$

7,749

 

 

 

 

 

Add back:

 

 

 

 

 

 

 

 

 

 

Stock-based compensation expense

 

 

(3,022

)

 

 

(208

)

 

 

 

 

Non-GAAP general and administrative

 

$

8,397

 

 

$

7,541

 

 

11%

 

12%

 

 

 

 

 

 

 

 

 

 

 

GAAP operating expenses

 

$

69,552

 

 

$

51,681

 

 

 

 

 

Add back:

 

 

 

 

 

 

 

 

 

 

Stock-based compensation expense

 

 

(8,324

)

 

 

(1,374

)

 

 

 

 

Non-GAAP operating expenses

 

$

61,228

 

 

$

50,307

 

 

22%

 

22%

 

 

 

 

 

 

 

 

 

 

 

 

 

[1] Constant currency growth rates presented are derived from converting the current period results for entities reporting in currencies other than U.S. Dollars into U.S. Dollars at the exchange rates in effect during the prior period presented rather than the actual exchange rates in effect during the current period.