SOURCE: Callidus Software Inc.

Callidus Software Inc.

February 05, 2015 16:05 ET

CallidusCloud Reports Record Q4 Revenue of $38.1 Million; 42% Year-Over-Year Increase in SaaS Revenue

PLEASANTON, CA--(Marketwired - Feb 5, 2015) - Callidus Software Inc. (NASDAQ: CALD), a global leader in cloud-based sales, marketing and learning solutions, today announced financial results for the fourth quarter and fiscal year ended December 31, 2014.

"Q4 2014 was another strong quarter. We broke our SaaS bookings record, had record total revenue and accelerated our SaaS revenue growth again off of a higher base whilst we made money," said Leslie Stretch president and CEO of CallidusCloud. "In 2015 we are focused on a fabulous customer experience, best in class SaaS revenue growth and profitability."

Financial Highlights for the Fourth Quarter 2014
Total revenue was $38.1 million for the fourth quarter, an increase of 26%. Total recurring revenue was $28.3 million, which includes SaaS revenue of $24.4 million and maintenance revenue of $3.9 million. SaaS revenue increased 42% over the same quarter in the prior year, benefiting from success in our Lead to-Money solution, and the recent Clicktools acquisition. Services and license revenue was $9.8 million, consisting of $9.7 million in services revenue and $0.1 million in license revenue, increased 11% compared to the same quarter in the prior year. Cash and short-term investments were $37.0 million.

GAAP Performance

  • Recurring revenue gross margin was 73%, compared to 67% for the same quarter in the prior year.
  • Operating loss was $3.5 million compared to $1.6 million for the same quarter in the prior year.
  • Net loss was $4.1 million, or ($0.08) on a per share basis, compared to a net loss of $7.0 million, or ($0.17) per share, for the same quarter in the prior year.
  • Cash used in operations was $965 thousand in the current quarter compared to $6.1 million cash provided by operations for the same quarter in the prior year.

Non-GAAP Performance
The following non-GAAP measures are described below and are reconciled to the corresponding GAAP measures at the end of this release.

  • Recurring revenue gross margin was 76%, compared to 70% for the same quarter in the prior year.
  • Operating income was $2.9 million compared to $1.8 million for the same quarter in the prior year.
  • Net income was $2.3 million, or $0.05 per fully diluted share, compared to $1.7 million, or $0.04 per fully diluted share for the same quarter in the prior year.

Financial Highlights for the Full Fiscal 2014
Total revenue was $136.6 million for the full fiscal year, an increase of 22%. Total recurring revenue was $99.8 million, which includes SaaS revenue of $83.7 million and maintenance revenue of $16.1 million. SaaS revenue increased 27% over the prior year. Services and license revenue of $36.8 million consisted of $32.4 million in services revenue and $4.4 million in license revenue, which increased 20% compared to the prior year.

GAAP Performance

  • Recurring revenue gross margin was 69%, compared to 65% in the prior year.
  • Operating loss was $13.5 million compared to $11.7 million in the prior year.
  • Net loss was $11.6 million, or ($0.24) on a per share basis, compared to a net loss of $21.4 million, or ($0.55) per share in the prior year.

Non-GAAP Performance
The following non-GAAP measures are described below and are reconciled to the corresponding GAAP measures at the end of this release.

  • Recurring revenue gross margin was 73% compared to 68% in the prior year.
  • Operating income was $8.7 million compared to $5.2 million in the prior year.
  • Net income was $7.1 million, or $0.14 per fully diluted share, compared to $3.3 million, or $0.07 per fully diluted share in the prior year.

Business Highlights for the Fourth Quarter 2014

  • CallidusCloud executed its largest conversion deal in its history. The three-year irrevocable agreement is approximately $7 million in total contract value.
  • CallidusCloud announced the availability of its industry-leading Commissions and Configure Price Quote solutions for the Salesforce 1 Mobile App that enable customers to accelerate sales cycles and drive higher close rates from their mobile devices.
  • CallidusCloud released a new component of Thunderbridge which provides customers with powerful out-of-the-box insights into key sales performance metrics. The self service reports require no-coding and will greatly accelerate the time to value for customers.
  • CallidusCloud's Lead to Money suite was awarded a 2014 Best in Biz award for enterprise product of the year and received TMC's Cloud Computing Product of the Year award.

Financial Outlook for 2015 - First Quarter and Full Year
For the first quarter of 2015, the Company expects total revenue to be between $38.0 million and $39.0 million. GAAP operating loss is expected to be between $2.6 million and $3.4 million with GAAP net loss per share between ($0.05) to ($0.07). Non-GAAP operating income is expected to be between $2.5 million and $3.0 million with non-GAAP income per diluted share between $0.04 and $0.06.

For the full year of 2015, the Company is raising previous guidance to the range of $161.0 million to $166.0 million. GAAP operating loss is expected to be between $4.5 million and $7.0 million with GAAP net loss per share between ($0.15) to ($0.19). Non-GAAP operating income is expected to be between $14.5 million and $16.5 million with non-GAAP income per diluted share between $0.23 and $0.27.

Conference Call
In conjunction with this announcement CallidusCloud will host a conference call at 1:30 p.m. Pacific Standard Time (PST) today to discuss the fourth quarter and fiscal 2014 results and outlook for the first quarter 2015 and full year 2015. The conference call will be available via live webcast at the Investor Relations section of CallidusCloud's website.

Webcast site: http://www.calliduscloud.com/about-us/investor-relations/
Dial-in: 877-280-4960 (International callers: 857-244-7317)
Passcode: 66768068
Replay information: A webcast replay will be available on the Investor Relations section of our website under Calendar of Events.

For more information, please visit: http://www.calliduscloud.com/about-us/investor-relations/

About CallidusCloud
Callidus Software Inc. (NASDAQ: CALD), doing business as CallidusCloud®, is the global leader in cloud based sales, marketing and learning solutions. CallidusCloud enables organizations to accelerate and maximize their lead to money process with a complete suite of solutions that identify the right leads, ensure proper territory and quota distribution, enable sales forces, automate configure price quote, and streamline sales compensation -- driving bigger deals, faster. Over 3,500 leading organizations, across all industries, rely on CallidusCloud to optimize the lead to money process to close more deals for more money in record time.

For more information, please visit www.calliduscloud.com.

Non-GAAP Financial Measures
In this release, CallidusCloud has provided additional financial information that has not been prepared in accordance with GAAP. This information includes non-GAAP gross margin, non-GAAP recurring revenue gross margin, non-GAAP operating expenses, non-GAAP operating income, non-GAAP net income, and non-GAAP net income per diluted share. CallidusCloud uses non-GAAP measures internally in analyzing its financial results and believes that they are useful to investors as a supplement to GAAP measures in evaluating CallidusCloud's operating performance. CallidusCloud believes that the use of these non-GAAP measures provides additional insight for investors to use in evaluation of ongoing operating results and trends and in comparing its financial measures with other companies in CallidusCloud's industry, many of which present non-GAAP financial measures that may resemble our non-GAAP financial measures. Non-GAAP financial measures should not be considered in isolation from, or as a substitute for, financial information prepared in accordance with GAAP.

Our non-GAAP measures reflect adjustments based on the following items:

Stock-based compensation expense: We have excluded the effect of stock-based compensation expense from our non-GAAP gross profit, recurring revenue gross profit, operating expenses, operating income, net income and net income per diluted share. We believe the exclusion of stock-based compensation expense provides a useful comparison of our operating results to our peers.

Restructuring and other expense: We have excluded the effect of restructuring and other expense from our non-GAAP operating expenses, operating income, net income and net income per diluted share. Restructuring and other expense consists of employee severance, facility exit costs and incremental depreciation expense as a result of the change in the estimated useful life of assets to be abandoned. We feel it is useful to investors to understand the effects of these items on our financial results.

Patent litigation and settlement costs and patent litigation estimates: We have excluded the effect of patent infringement and litigation defense costs, settlement costs and patent litigation estimates from our non-GAAP gross profit, recurring revenue gross profit, operating expenses, operating income, net income and net income per diluted share. We believe patent defense costs and settlement costs and patent litigation estimates are not indicative of our ongoing business operations, and are inconsistent in amount and frequency; as such we exclude patent litigation defense costs during our evaluation of our business performance.

Convertible note interest expense, conversion costs and amortization of convertible note issuance costs: We have excluded the costs of convertible note interest expense, redemption inducement and issuance costs from our non-GAAP net income and net income per diluted share. We believe that these costs are not indicative of our continuing operations or meaningful in evaluating current versus past business results.

Amortization and gain on sale of acquired intangible assets: We have excluded the effect of amortization and gain on sale of acquired intangibles which include developed technology, customer relationships, trade names, domain names, patents and licenses from our non-GAAP gross profit, recurring revenue gross profit, operating expenses, operating income, other income and expense, net income and net income per diluted share. Amortization and gain on sale of acquired intangibles are significantly affected by timing, and as such, can be inconsistent in amount and nature.

Acquisition-Related Costs: We have excluded the costs related to acquisitions from our non-GAAP operating expenses, operating income, net income and net income per diluted share. These costs include legal and transactional costs associated with acquisition activities that we would not have otherwise incurred in the periods presented as part of our continuing operations. We believe the exclusion of acquisition-related costs provides a useful comparison of our operating results to our peers.

Note on Forward-Looking Statements
The forward-looking statements included in this press release, including for example discussion of our commercial prospects, estimates of future revenues, operating income/loss and expenses, earnings per share, stock-based compensation expenses, amortization of acquired intangible assets, restructuring expenses, and patent litigation costs and estimates reflect management's best judgment based on factors currently known and involve risks and uncertainties. These risks and uncertainties include, but are not limited to, potential disruption of customer purchase decisions resulting from global economic conditions, timing and size of orders, relative growth of our recurring revenue, potential decreases in customer spending, uncertainty regarding purchasing trends in the cloud software market, customer cancellations or non-renewal of maintenance contracts or on-demand services, our potential inability to manage effectively any growth we experience, our ability to develop new products and services, increased competition or new entrants in the marketplace, potential impact of acquisitions and investments, changes in staffing levels, and other risks detailed in periodic reports we file with the Securities and Exchange Commission, including our most recent Annual Report on Form 10-K which may be obtained by contacting CallidusCloud's Investor Relations department at 415-445-3238, or from the Investor Relations section of CallidusCloud's website (http://www.calliduscloud.com/about-us/investor-relations/). Actual results may differ materially from those presently reported. We assume no obligation to update the information contained in this release.

©2015. Callidus Software Inc. All rights reserved. Callidus, Callidus Software, the Callidus Software logo, CallidusCloud, the CallidusCloud logo, TrueComp Manager, ActekSoft, ACom3, iCentera, Webcom, Litmos, the Litmos logo, LeadFormix, Rapid Intake, 6FigureJobs, Clicktools and LeadRocket are trademarks, service marks, or registered trademarks of Callidus Software Inc. and its affiliates in the United States and other countries. All other brand, service or product names are trademarks or registered trademarks of their respective companies or owners.

   
CALLIDUS SOFTWARE INC.  
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS  
(In thousands, except for per share data)  
(unaudited)  
                         
    Three Months Ended December 31,     Twelve Months Ended December 31,  
    2014     2013     2014     2013  
Revenue:                                
  Recurring   $ 28,326     $ 21,375     $ 99,807     $ 81,734  
  Services and license     9,800       8,812       36,811       30,603  
    Total revenue     38,126       30,187       136,618       112,337  
Cost of revenue:                                
  Recurring     7,576       7,054       31,282       28,741  
  Services and license     7,288       4,612       24,756       19,048  
    Total cost of revenue     14,864       11,666       56,038       47,789  
Gross profit     23,262       18,521       80,580       64,548  
                                 
Operating expenses:                                
  Sales and marketing     13,352       10,400       47,040       34,916  
  Research and development     5,469       4,159       20,307       17,143  
  General and administrative     7,642       6,062       25,755       22,951  
  Income from settlement and patent licensing     -       (500 )     -       (500 )
  Restructuring and other     316       -       1,025       1,699  
    Total operating expenses     26,779       20,121       94,127       76,209  
                                 
Operating loss     (3,517 )     (1,600 )     (13,547 )     (11,661 )
Interest income (expense) and other income (expense)     (521 )     (5,025 )     2,998       (7,695 )
                                 
Loss before provision for income taxes     (4,038 )     (6,625 )     (10,549 )     (19,356 )
Provision for income taxes     71       355       1,012       2,055  
                                 
Net loss   $ (4,109 )   $ (6,980 )   $ (11,561 )   $ (21,411 )
                                 
Net loss per share                                
  Basic   $ (0.08 )   $ (0.17 )   $ (0.24 )   $ (0.55 )
  Diluted   $ (0.08 )   $ (0.17 )   $ (0.24 )   $ (0.55 )
                                 
Weighted average shares used in computing net loss per share                                
  Basic     48,987       41,778       47,547       38,858  
  Diluted     48,987       41,778       47,547       38,858  
                                 
Includes stock-based compensation, amortization of acquired intangible assets, patent litigation and settlement costs and estimates, interest expense on convertible notes, amortization of convertible note issuance costs, debt conversion expense, restrucuring and other expenses, acquisition-related costs and gain on sale of domain names and trademarks as follows:  
   
    Three Months Ended December 31,     Twelve Months Ended December 31,  
    2014     2013     2014     2013  
Cost of revenues:                                
  Recurring   $ 724     $ 691     $ 4,234     $ 2,851  
  Services and license     302       214       1,073       1,111  
Operating expenses:                                
  Sales and marketing     1,526       729       4,594       3,346  
  Research and development     619       480       2,012       1,797  
  General and administrative     2,953       1,253       9,278       6,064  
  Restructuring and other     316       -       1,025       1,699  
Interest income and other income (expense)     -       5,353       (3,508 )     7,865  
    Total   $ 6,440     $ 8,720     $ 18,708     $ 24,733  
                                     
                                     
                                     
CALLIDUS SOFTWARE INC.  
CONSOLIDATED BALANCE SHEETS  
             
(In thousands)  
             
    December 31,     December 31,  
    2014     2013  
ASSETS  
Current assets:                
  Cash and cash equivalents   $ 34,200     $ 28,295  
  Short-term investments     2,766       7,866  
  Accounts receivable, net     41,623       29,216  
  Deferred income taxes     177       -  
  Prepaid and other current assets     10,207       6,232  
    Total current assets     88,973       71,609  
                 
Property and equipment, net     18,755       11,351  
Goodwill     46,970       31,207  
Intangible assets, net     17,757       16,995  
Deferred income taxes, noncurrent     440       405  
Deposits and noncurrent assets     3,403       2,626  
    Total assets   $ 176,298     $ 134,193  
                 
   
LIABILITIES AND STOCKHOLDERS' EQUITY  
Current liabilities:                
  Accounts payable   $ 2,056     $ 2,987  
  Accrued payroll and related expenses     9,051       7,377  
  Accrued expenses     16,868       5,395  
  Deferred income taxes     1,475       1,159  
  Deferred revenue     61,427       46,222  
  Capital lease obligations     1,001       1,308  
    Total current liabilities     91,878       64,448  
                 
Deferred revenue, noncurrent     10,195       10,432  
Deferred income taxes, noncurrent     561       155  
Capital lease obligations, noncurrent     -       987  
Convertible notes     -       14,197  
Revolving line of credit     10,481       -  
Other noncurrent liabilities     4,709       1,921  
    Total liabilities     117,824       92,140  
                 
Stockholders' equity:                
  Common stock     49       45  
  Additional paid-in capital     344,312       315,430  
  Treasury stock     (14,430 )     (14,430 )
  Accumulated other comprehensive income     (739 )     165  
  Accumulated deficit     (270,718 )     (259,157 )
    Total stockholders' equity     58,474       42,053  
    Total liabilities and stockholders' equity   $ 176,298     $ 134,193  
                     
                     
   
CALLIDUS SOFTWARE INC.  
CONSOLIDATED STATEMENTS OF CASH FLOWS  
(In thousands)  
             
    Twleve Months Ended December 31,  
    2014     2013  
Cash flows from operating activities:                
  Net loss   $ (11,561 )   $ (21,411 )
  Adjustments to reconcile net loss to net cash provided by operating activities:                
    Depreciation expense     5,503       4,458  
    Amortization of intangible assets     4,971       4,825  
    Gain on sale of intangible assets     (3,862 )     -  
    Provision for doubtful accounts     852       999  
    Stock-based compensation     11,813       10,395  
    Release of valuation allowance     (265 )     -  
    Loss on disposal of property and equipment     43       3  
    Amortization of convertible notes issuance cost     58       485  
    Net amortization on investments     27       79  
    Debt conversion expense     -       4,776  
    Changes in operating assets and liabilities:                
      Accounts receivable     (11,746 )     (7,648 )
      Prepaid and other current assets     (3,749 )     486  
      Other noncurrent assets     (1,088 )     (1,276 )
      Accounts payable     (794 )     (1,702 )
      Accrued expenses     6,696       106  
      Accrued payroll and related expenses     1,149       1,971  
      Accrued restructuring and other expenses     (181 )     (503 )
      Deferred revenue     11,371       17,469  
      Deferred income taxes     (86 )     237  
Net cash provided by operating activities     9,151       13,749  
                 
Cash flows from investing activities:                
  Purchases of investments     (2,784 )     (7,434 )
  Proceeds from maturities and sale of investments     7,850       12,250  
  Purchases of property and equipment     (7,121 )     (1,704 )
  Purchases of intangible assets     (1,112 )     (638 )
  Proceeds from sale of intangible assets, net of expenses     4,651       -  
  Acquisitions, net of cash acquired     (15,488 )     -  
Net cash (used in) provided by investing activities     (14,004 )     2,474  
                 
Cash flows from financing activities:                
  Proceeds from issuance of common stock     4,852       6,629  
  Repurchase of common stock from employees for payment                
  of taxes on vesting of restricted stock units     (1,723 )     (1,297 )
  Proceeds from line of credit     10,481       -  
  Payment of consideration related to acquisitions     (630 )     (2,903 )
  Payment on debt conversion     (645 )     (4,374 )
  Payment of principal under capital leases     (1,294 )     (2,319 )
Net cash provided by (used in) financing activities     11,041       (4,264 )
Effect of exchange rates on cash and cash equivalents     (283 )     (64 )
Net increase in cash and cash equivalents     5,905       11,895  
Cash and cash equivalents at beginning of period     28,295       16,400  
Cash and cash equivalents at end of period   $ 34,200     $ 28,295  
                 
                 
                 
   
RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES  
(In thousands, except for percentages and per share data)  
(unaudited)  
                         
    Three months ended     Twelve months ended  
    December 31,     December 31,  
    2014     2013     2014     2013  
                                 
Non-GAAP gross profit reconciliation                                
                                 
Gross profit   $ 23,262     $ 18,521     $ 80,580     $ 64,548  
                                 
  Gross margin     61 %     61 %     59 %     57 %
Add back:                                
  Non-cash stock-based compensation     603       371       1,938       1,843  
  Non-cash amortization of acquired intangible assets     657       534       2,413       2,119  
  Patent litigation estimate     (234 )     -       956       -  
Non-GAAP gross profit   $ 24,288     $ 19,426     $ 85,887     $ 68,510  
                                 
  Gross margin     64 %     64 %     63 %     61 %
                                 
                                 
Non-GAAP recurring revenue gross profit reconciliation                                
                                 
Recurring revenue gross profit   $ 20,750     $ 14,321     $ 68,525     $ 52,993  
                                 
  Recurring revenue gross margin     73 %     67 %     69 %     65 %
Add back:                                
  Non-cash stock-based compensation     312       171       912       783  
  Non-cash amortization of acquired intangible assets     646       520       2,366       2,068  
  Patent litigation estimate     (234 )     -       956       -  
Non-GAAP recurring revenue gross profit   $ 21,474     $ 15,012     $ 72,759     $ 55,844  
                                 
  Recurring revenue gross margin     76 %     70 %     73 %     68 %
                                 
                                 
Non-GAAP operating expense reconciliation:                                
                                 
Operating expenses   $ 26,779     $ 20,121     $ 94,127     $ 76,209  
Subtract:                                
  Non-cash stock-based compensation     (3,294 )     (1,679 )     (9,875 )     (8,552 )
  Non-cash amortization of acquired intangible assets     (434 )     (281 )     (1,387 )     (1,151 )
  Patent litigation and settlement costs     (753 )     (502 )     (1,925 )     (1,504 )
  Acquisition-related costs     (449 )     -       (708 )     -  
  Restructuring and other     (316 )     -       (1,025 )     (1,699 )
  Patent litigation estimate     (168 )     -       (1,989 )     -  
Non-GAAP operating expenses   $ 21,365     $ 17,659     $ 77,218     $ 63,303  
                                 
                                 
Non-GAAP operating income (loss) reconciliation:                                
                                 
Operating loss   $ (3,517 )   $ (1,600 )   $ (13,547 )   $ (11,661 )
Add back:                                
  Non-cash stock-based compensation     3,897       2,050       11,813       10,395  
  Non-cash amortization of acquired intangible assets     1,091       815       3,800       3,270  
  Patent litigation and settlement costs     753       502       1,925       1,504  
  Acquisition-related costs     449       -       708       -  
  Restructuring and other     316       -       1,025       1,699  
  Patent litigation estimate     (66 )     -       2,945       -  
Non-GAAP operating income   $ 2,923     $ 1,767     $ 8,669     $ 5,207  
                                 
                                 
                                 
CALLIDUS SOFTWARE INC.  
RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES  
(In thousands, except for percentages and per share data)  
(unaudited)  
                         
    Three months ended     Twelve months ended  
    December 31,     December 31,  
    2014     2013     2014     2013  
                                 
Non-GAAP net loss reconciliation:                                
                                 
Net loss   $ (4,109 )   $ (6,980 )   $ (11,561 )   $ (21,411 )
Add back:                                
  Non-cash stock-based compensation     3,897       2,050       11,813       10,395  
  Non-cash amortization of acquired intangible assets     1,091       815       3,800       3,270  
  Patent litigation and settlement costs     753       502       1,925       1,504  
  Acquisition-related costs     449       -       727       -  
  Restructuring and other     316       -       1,025       1,699  
  Patent litigation estimate     (66 )     -       2,945       -  
  Interest expense on convertible notes     -       494       277       2,604  
  Amortization of convertible note issuance cost     -       83       58       485  
  Debt conversion expense     -       4,776       -       4,776  
  Gain on sale of domain names and trademarks     -       -       (3,862 )     -  
Non-GAAP net income   $ 2,331     $ 1,740     $ 7,147     $ 3,322  
                                 
                                 
Non-GAAP net income (loss) per share reconciliation:                                
                                 
Net loss per basic share   $ (0.08 )   $ (0.17 )   $ (0.24 )   $ (0.55 )
Add back:                                
  Non-cash stock-based compensation     0.08       0.05       0.25       0.27  
  Non-cash amortization of acquired intangible assets     0.02       0.02       0.08       0.08  
  Patent litigation and settlement costs     0.02       0.01       0.03       0.04  
  Acquisition-related costs     0.01       -       0.02       -  
  Restructuring and other     -       -       0.02       0.04  
  Patent litigation estimate     -       -       0.06       -  
  Interest expense on convertible notes     -       0.01       0.01       0.07  
  Amorization of convertible note issuance cost     -       -       (0.01 )     0.01  
  Debt conversion expense     -       0.11       -       0.12  
  Gain on sale of domain names and trademarks     -       -       (0.08 )     -  
  Diluted shares impact on non-GAAP basis             0.01       -       (0.01 )
Non-GAAP net income per diluted share   $ 0.05     $ 0.04     $ 0.14     $ 0.07  
                                 
                                 
Basic and fully diluted shares reconciliation:                                
                                 
GAAP Basic shares     48,987       41,778       47,547       38,858  
Add back:                                
  Non-GAAP weighted average shares adjustment     1,909       7,382       2,575       8,910  
Shares used in calculation of diluted net income per share -Non-GAAP (a)     50,896       49,160       50,122       47,768  
 
(a) Shares used in the per share calculation for reconciling items between GAAP and Non-GAAP financial measures.
 
 
 
 
CALLIDUS SOFTWARE INC.
FINANCIAL OUTLOOK
(In thousands)
(unaudited)
 

The guidance figures provided below and elsewhere in this press release are forward-looking statements, reflect a number of estimates, assumptions and other uncertainties, and are approximate in nature because the Company's future performance is difficult to predict. Such guidance is based on information available on the date of this press release, and the company assumes no obligation to update it.

         
    Three months ended
    March 31, 2015
    GAAP   Non-GAAP
         
Total revenue   $38,000 - $39,000   $38,000 - $39,000
Operating income (a)   ($2,600) - ($3,400)   $2,500 - $3,000
Net income (loss) per diluted share (c)   ($0.05) - ($0.07)   $0.04 - $0.06
         
         
         
    Twelve months ended
    December 31, 2015
    GAAP   Non-GAAP
         
Total revenue   $161,000 - $166,000   $161,000 - $166,000
Operating income (b)   ($4,500) - ($7,000)   $14,500 - $16,500
Net income (loss) per diluted share (c)   ($0.15) - ($0.19)   $0.23 to $0.27
         
(a)   Estimated non-GAAP amounts above for the three months ending March 31, 2015 reflect adjustments that exclude the estimated amortization of acquired intangible assets of approximately $1.0 - $1.2 million, estimated stock-based compensation expense of approximately $4.0 - $4.3 million, and patent litigation costs of approximately $100 - $500 thousand.
     
(b)   Estimated non-GAAP amounts above for the twelve months ending December 31, 2015 reflect adjustments that exclude the estimated amortization of acquired intangible assets of approximately $3.7 - $4.4 million, estimated stock-based compensation expense of approximately $15.0 - $17.0 million, and patent litigation costs of approximately $0.3 - $1.5 million.
     
(c)   Non-GAAP fully diluted share count is between 51.5 million and 53.0 million. GAAP share count is between 49.5 million to 51.0 million.
     

Contact Information