Instructure Reports Second Quarter 2016 Financial Results
SALT LAKE CITY, Aug. 1, 2016 /PRNewswire/ -- Instructure, Inc. (NYSE: INST), a leading software-as-a-service (SaaS) technology company that makes software that makes people smarter, today announced its financial results for the second quarter ended June 30, 2016.
"Our growth strategy is simple - increase our customer base, extend our relationships with existing customers, expand internationally and continue to extend our product offerings," said Josh Coates, CEO at Instructure. "In Q2, we successfully executed against this strategy and delivered 63% year-over-year top line growth while at the same time drove substantial margin improvements. Our continued innovation in delivering solutions that provide a new way for people to learn is fueling our business momentum and further driving long-term growth prospects for the company."
|
Second Quarter Financial Summary | |||||||||
|
(in thousands, except per share data) | |||||||||
|
Three MonthsEnded June 30 |
|||||||||
|
2016 |
2015 |
||||||||
|
Revenue |
$ |
25,890 |
$ |
15,877 |
|||||
|
Gross Margin |
|||||||||
|
GAAP |
70.5 |
% |
65.2 |
% |
|||||
|
Non-GAAP(1) |
71.6 |
% |
65.6 |
% |
|||||
|
Operating Loss |
|||||||||
|
GAAP |
$ |
(14,516) |
$ |
(13,273) |
|||||
|
Non-GAAP(1) |
$ |
(12,069) |
$ |
(12,513) |
|||||
|
Net loss |
|||||||||
|
GAAP |
$ |
(14,590) |
$ |
(13,966) |
|||||
|
Non-GAAP(1) |
$ |
(12,143) |
$ |
(12,535) |
|||||
|
EPS |
|||||||||
|
GAAP(2) |
$ |
(0.53) |
$ |
(2.21) |
|||||
|
Non-GAAP(1)(2) |
$ |
(0.44) |
$ |
(0.59) |
|||||
|
(1) |
Non-GAAP financial measures exclude stock-based compensation, accrual or reversal of payroll taxes related to secondary stock purchase transactions, amortization of acquisition related intangibles, and the change in fair value of the warrant liability. | ||||||
|
(2) |
Q2 2016 and Q2 2015 GAAP share count was 27.6M and 6.3M, respectively, due to the conversion of redeemable convertible preferred shares into common stock, which occurred on the closing of Instructure's IPO on November 18, 2015. Non-GAAP share count assumes the conversion of the redeemable convertible preferred shares to common stock occurred at the beginning of the annual period. | ||||||
Second Quarter 2016 Business Highlights
- Instructure continued to grow its customer base in the second quarter. A few highlights include:
- Higher Education – Canvas was selected as the primary learning management system by Ohio State University and University of North Carolina at Charlotte.
- K-12 Schools – Canvas was chosen by the Broward County Public Schools in Florida with its more than 200,000 students, and the San Diego Unified School District which has 100,000 in its student body.
- International – Canvas was selected by the University of Wolverhampton in the UK, Oslo National Academy of Arts in Norway and Melbourne High School in Australia.
- Corporate – Bridge was chosen by Starz Entertainment because of its easy integration with their existing talent management system; Jet.com for the training of their 1,000 employees; by the Better Business Bureau to train employees across their more than 100 locations in the US and Canada and Yale School of Medicine for their employee training.
Business Outlook
Today, Instructure issued financial guidance for the third quarter and full year 2016. The financial guidance discussed below is on a non-GAAP basis, except for revenues, and excludes stock-based compensation expense, reversal of payroll tax expense on secondary stock purchase transactions, amortization of acquisition related intangibles, and the change in fair value of the warrant liability (see table below which reconciles these non-GAAP financial measures to the related GAAP measures).
For the third quarter ending September 30, 2016, Instructure expects revenue of approximately $29.9 million to $30.5 million, a non-GAAP net loss of ($11.9) million to ($11.4) million, and non-GAAP net loss per share of ($0.42) to ($0.40).
For the full year ending December 31, 2016, Instructure expects revenue of approximately $110.8 million to $112 million, up from previously stated guidance of $108 million to $110 million, a non-GAAP net loss of ($49) million to ($47.5) million, up from ($52) million to ($50) million, and non-GAAP net loss per share of ($1.75) to ($1.70), up from ($1.87) to ($1.81).
Conference Call Details:
Instructure will discuss its second quarter 2016 results today, August 1, 2016, via teleconference at 3:00 p.m. Mountain Time / 5:00 p.m. Eastern Time. The call may be accessed at (877) 604-9673 or (719) 325-4750, passcode 4052315. A live webcast, as well as replay, of the conference call will be accessible at Instructure's investor relations website, http://ir.instructure.com.
Non-GAAP Financial Measures
In this release, Instructure's non-GAAP gross margin, non-GAAP operating expenses, non-GAAP operating loss, non-GAAP operating margin, non-GAAP net loss, and 12-month billings are not presented in accordance with GAAP and are not intended to be used in lieu of GAAP presentations of results of operations.
Management presents these non-GAAP financial measures because it considers them to be important supplemental measures of performance. Management uses the non-GAAP financial measures for planning purposes, including analysis of the company's performance against prior periods, the preparation of operating budgets and to determine appropriate levels of operating and capital investments. Management also believes that the non-GAAP financial measures provide additional insight for analysts and investors in evaluating the company's financial and operational performance. However, these non-GAAP financial measures have limitations as an analytical tool and are not intended to be an alternative to financial measures prepared in accordance with GAAP. We intend to provide these non-GAAP financial measures as part of our future earnings discussions and, therefore, the inclusion of these non-GAAP financial measures will provide consistency in our financial reporting. Investors are encouraged to review the reconciliation of these non-GAAP measures to their most directly comparable GAAP financial measures. A reconciliation of our non-GAAP financial measures to their most directly comparable GAAP measures has been provided in the financial statement tables included below in this press release. Our definitions may differ from the definitions used by other companies and therefore comparability may be limited. In addition, other companies may not publish these or similar metrics.
These non-GAAP measures exclude stock-based compensation, payroll taxes related to secondary stock purchase transactions or the reversal of such expense due to the retirement of the liability, amortization of acquisition related intangibles, and the change in fair value of the warrant liability. We believe investors may want to exclude the effects of these items in order to compare our financial performance between time periods:
- Stock-based compensation - Although stock-based compensation is an important aspect of the compensation of our employees and executives, management believes it is useful to exclude stock-based compensation in order to better understand the long-term performance of our core business. Unlike cash compensation, the value of equity awards is determined using a complex formula that incorporates factors, such as market volatility and forfeiture rates that are beyond our control. Stock-based compensation from the employee sale of securities to investors, prior to our IPO, at a price above the current fair market value was dependent on our fair value assumptions and other factors that were beyond our control.
- Accrual or reversal of payroll taxes related to secondary stock purchase transactions - In prior periods, operating expenses included employer payroll tax-related items on employee sales of securities to investors prior to our IPO. The amount of employer payroll tax-related items on these transactions was dependent on the fair market value of our stock. In the current period, operating expenses included the reversal of such payroll tax expense due to the reduction of the estimated liability.
- Amortization of acquisition related intangibles - Expense for the amortization of acquisition related intangibles is a non-cash item, and we believe that the exclusion of this expense provides for a useful comparison of our operating results to prior periods.
- Change in fair value of the warrant liability - Under GAAP, we are required to record mark-to-market adjustments for the change in fair value of the liability for warrants issued in connection with term debt and our credit facility. This expense or gain is excluded from management's assessment of our operating performance because management believes that these non-cash items are not indicative of ongoing operating performance.
Forward-Looking Statements
This press release contains, and statements made during the above referenced conference call will contain, "forward-looking" statements, which are subject to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, including statements regarding the company's financial guidance for the third quarter of 2016 and full year 2016, the company's growth, customer demand and application adoption, the company's research and development efforts and future application releases, and the company's expectations regarding future revenue, expenses and net income or loss. These statements are not guarantees of future performance, but are based on management's expectations as of the date of this press release and assumptions that are inherently subject to uncertainties, risks and changes in circumstances that are difficult to predict. Forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievements to be materially different from any future results, performance or achievements. Important factors that could cause actual results to differ materially from those expressed or implied by these forward-looking statements include the following: risks associated with anticipated growth in Instructure's addressable market; competitive factors, including changes in the competitive environment, pricing changes, sales cycle time and increased competition; Instructure's ability to build and expand its sales efforts; general economic and industry conditions; new application introductions and Instructure's ability to develop and deliver innovative applications and features; Instructure's ability to provide high-quality service and support offerings; risks associated with international operations; and macroeconomic conditions. These and other important risk factors are described more fully in the Quarterly Report for the quarter ended March 31, 2016, which was filed with the Securities and Exchange Commission (the "SEC") on May 6, 2016 and other documents filed with the SEC and could cause actual results to vary from expectations. All information provided in this release and in the conference call is as of the date hereof and Instructure undertakes no duty to update this information except as required by law.
About Instructure
Instructure, Inc. is a leading software-as-a-service (SaaS) technology company that makes software that makes people smarter. With a vision to help maximize the potential of people through technology, Instructure created Canvas and Bridge to enable organizations everywhere to easily develop, deliver and manage engaging face-to-face and online learning experiences. To date, Instructure has connected millions of instructors and learners at more than 2,000 educational institutions and corporations throughout the world. Learn more about Canvas for higher ed and K-12, and Bridge for the corporate market at www.Instructure.com.
Contacts:
Lisa LaukkanenThe Blueshirt Group(415) 217-4967[email protected]
Heather EricksonVP, Global CommunicationsInstructure(866) 574-3127[email protected]
|
INSTRUCTURE, INC. |
||||||||
|
CONSOLIDATED BALANCE SHEETS |
||||||||
|
(in thousands) |
||||||||
|
June 30,2016 |
December 31,2015 |
|||||||
|
(unaudited) |
||||||||
|
Assets |
||||||||
|
Current assets: |
||||||||
|
Cash and cash equivalents |
$ |
62,027 |
$ |
90,471 |
||||
|
Short term marketable securities |
— |
325 |
||||||
|
Accounts receivable—net of allowances of $199 and $225 at June 30, 2016 and December 31, 2015, respectively |
41,327 |
9,523 |
||||||
|
Prepaid expenses |
4,983 |
5,010 |
||||||
|
Other current assets |
583 |
614 |
||||||
|
Total current assets |
108,920 |
105,943 |
||||||
|
Property and equipment, net |
13,242 |
11,732 |
||||||
|
Goodwill |
989 |
989 |
||||||
|
Intangible assets, net |
576 |
444 |
||||||
|
Noncurrent prepaid expenses |
785 |
749 |
||||||
|
Other assets |
1,069 |
1,203 |
||||||
|
Total assets |
$ |
125,581 |
$ |
121,060 |
||||
|
Liabilities and stockholders' equity |
||||||||
|
Current liabilities: |
||||||||
|
Accounts payable |
$ |
3,816 |
$ |
3,912 |
||||
|
Accrued liabilities |
10,428 |
8,852 |
||||||
|
Deferred rent |
658 |
541 |
||||||
|
Deferred revenue |
72,983 |
49,384 |
||||||
|
Total current liabilities |
87,885 |
62,689 |
||||||
|
Deferred revenue, net of current portion |
3,136 |
2,941 |
||||||
|
Deferred rent, net of current portion |
8,721 |
9,078 |
||||||
|
Warrant liability |
25 |
331 |
||||||
|
Other long term liabilities |
65 |
402 |
||||||
|
Total liabilities |
99,832 |
75,441 |
||||||
|
Commitments and contingencies |
||||||||
|
Stockholders' equity: |
||||||||
|
Common stock |
3 |
4 |
||||||
|
Treasury stock |
— |
(1) |
||||||
|
Additional paid-in capital |
196,976 |
188,517 |
||||||
|
Accumulated other comprehensive income |
— |
— |
||||||
|
Accumulated deficit |
(171,230) |
(142,901) |
||||||
|
Total stockholders' equity |
25,749 |
45,619 |
||||||
|
Total liabilities and stockholders' equity |
$ |
125,581 |
$ |
121,060 |
||||
|
INSTRUCTURE, INC. |
||||||||||||||||
|
CONSOLIDATED STATEMENTS OF OPERATIONS |
||||||||||||||||
|
(in thousands, except per share data) |
||||||||||||||||
|
(unaudited) |
||||||||||||||||
|
Three Months Ended June 30, |
Six Months Ended June 30, |
|||||||||||||||
|
2016 |
2015 |
2016 |
2015 |
|||||||||||||
|
Revenue: |
||||||||||||||||
|
Subscription and support |
$ |
22,416 |
$ |
13,347 |
$ |
42,993 |
$ |
25,948 |
||||||||
|
Professional services and other |
3,474 |
2,530 |
6,196 |
4,554 |
||||||||||||
|
Total Net revenue |
25,890 |
15,877 |
49,189 |
30,502 |
||||||||||||
|
Cost of Revenue: |
||||||||||||||||
|
Subscription and support |
5,586 |
3,937 |
11,023 |
7,613 |
||||||||||||
|
Professional services and other |
2,049 |
1,595 |
3,961 |
2,830 |
||||||||||||
|
Total cost of revenue |
7,635 |
5,532 |
14,984 |
10,443 |
||||||||||||
|
Gross profit |
18,255 |
10,345 |
34,205 |
20,059 |
||||||||||||
|
Operating expenses: |
||||||||||||||||
|
Sales and marketing |
18,038 |
14,050 |
34,201 |
25,131 |
||||||||||||
|
Research and development |
8,730 |
5,645 |
16,535 |
10,916 |
||||||||||||
|
General and administrative |
6,003 |
3,923 |
11,739 |
13,969 |
||||||||||||
|
Total operating expenses |
32,771 |
23,618 |
62,475 |
50,016 |
||||||||||||
|
Loss from operations |
(14,516) |
(13,273) |
(28,270) |
(29,957) |
||||||||||||
|
Other income (expense): |
||||||||||||||||
|
Interest income |
61 |
4 |
132 |
7 |
||||||||||||
|
Interest expense |
(12) |
(22) |
(23) |
(44) |
||||||||||||
|
Change in fair value of warrant liability |
— |
(39) |
62 |
(527) |
||||||||||||
|
Other income (expense), net |
(56) |
10 |
(131) |
(109) |
||||||||||||
|
Total other income (expense) |
(7) |
(47) |
40 |
(673) |
||||||||||||
|
Loss before income taxes |
(14,523) |
(13,320) |
(28,230) |
(30,630) |
||||||||||||
|
Income tax expense |
(67) |
(14) |
(99) |
(14) |
||||||||||||
|
Net loss |
$ |
(14,590) |
$ |
(13,334) |
$ |
(28,329) |
$ |
(30,644) |
||||||||
|
Deemed dividend to investors |
— |
(632) |
— |
(632) |
||||||||||||
|
Net loss attributable to common stockholders |
$ |
(14,590) |
$ |
(13,966) |
$ |
(28,329) |
$ |
(31,276) |
||||||||
|
Net loss per common share attributable to common stockholders, basic and diluted |
$ |
(0.53) |
$ |
(2.21) |
$ |
(1.03) |
$ |
(5.00) |
||||||||
|
Weighted average shares used to compute net loss per share, basic and diluted |
27,610 |
6,316 |
27,456 |
6,261 |
||||||||||||
|
INSTRUCTURE, INC. |
||||||||||||||||
|
CONSOLIDATED STATEMENTS OF CASH FLOWS |
||||||||||||||||
|
(in thousands) |
||||||||||||||||
|
(unaudited) |
||||||||||||||||
|
Three MonthsEnded June 30, |
Six MonthsEnded June 30, |
|||||||||||||||
|
2016 |
2015 |
2016 |
2015 |
|||||||||||||
|
Operating Activities: |
||||||||||||||||
|
Net loss |
$ |
(14,590) |
$ |
(13,334) |
$ |
(28,329) |
$ |
(30,644) |
||||||||
|
Adjustments to reconcile net loss to net cash used in operating activities: |
||||||||||||||||
|
Depreciation of property and equipment |
974 |
613 |
1,886 |
1,136 |
||||||||||||
|
Amortization of intangible assets |
87 |
78 |
164 |
155 |
||||||||||||
|
Amortization of deferred financing costs |
11 |
17 |
23 |
32 |
||||||||||||
|
Change in fair value of warrant liability |
— |
39 |
(62) |
527 |
||||||||||||
|
Stock-based compensation |
2,662 |
758 |
4,897 |
6,687 |
||||||||||||
|
Other |
(75) |
84 |
(47) |
111 |
||||||||||||
|
Changes in assets and liabilities: |
||||||||||||||||
|
Accounts receivable, net |
(34,579) |
(23,302) |
(31,978) |
(20,167) |
||||||||||||
|
Prepaid expenses and other assets |
(2) |
(1,863) |
133 |
(2,451) |
||||||||||||
|
Accounts payable and accrued liabilities |
1,182 |
3,263 |
1,697 |
3,945 |
||||||||||||
|
Deferred revenue |
35,296 |
20,633 |
23,794 |
13,839 |
||||||||||||
|
Deferred rent |
(205) |
454 |
(240) |
379 |
||||||||||||
|
Other liabilities |
(303) |
(237) |
(330) |
(261) |
||||||||||||
|
Net cash used in operating activities |
(9,542) |
(12,797) |
(28,392) |
(26,712) |
||||||||||||
|
Investing Activities: |
||||||||||||||||
|
Purchases of property and equipment |
(1,142) |
(2,212) |
(3,410) |
(3,139) |
||||||||||||
|
Purchases of intangible assets |
(145) |
— |
(296) |
— |
||||||||||||
|
Proceeds from disposal of property and equipment |
10 |
9 |
18 |
18 |
||||||||||||
|
Purchases of marketable securities |
— |
(1,153) |
— |
(1,153) |
||||||||||||
|
Maturities of marketable securities |
— |
— |
325 |
500 |
||||||||||||
|
Net cash used in investing activities |
(1,277) |
(3,356) |
(3,363) |
(3,774) |
||||||||||||
|
Financing Activities: |
||||||||||||||||
|
Proceeds from exercise of redeemable convertible preferred stock warrants |
— |
— |
— |
250 |
||||||||||||
|
Proceeds from issuance of common stock from employee equity plans |
3,188 |
46 |
3,311 |
111 |
||||||||||||
|
Payments of line of credit financing costs |
— |
(32) |
— |
(32) |
||||||||||||
|
Repayment of capital lease obligations |
— |
(76) |
— |
(150) |
||||||||||||
|
Net cash provided by financing activities |
3,188 |
(62) |
3,311 |
179 |
||||||||||||
|
Net decrease in cash |
(7,631) |
(16,215) |
(28,444) |
(30,307) |
||||||||||||
|
Cash, beginning of period |
69,658 |
29,823 |
90,471 |
43,915 |
||||||||||||
|
Cash, end of period |
$ |
62,027 |
$ |
13,608 |
$ |
62,027 |
$ |
13,608 |
||||||||
|
INSTRUCTURE, INC. |
||||||||||||||||
|
RECONCILIATION OF NON-GAAP GROSS MARGIN |
||||||||||||||||
|
(in thousands, except percentages) |
||||||||||||||||
|
(unaudited) |
||||||||||||||||
|
Three Months Ended June 30, |
Six Months Ended June 30, |
|||||||||||||||
|
2016 |
2015 |
2016 |
2015 |
|||||||||||||
|
GAAP gross profit |
$ |
18,255 |
$ |
10,345 |
$ |
34,205 |
$ |
20,059 |
||||||||
|
Stock-based compensation |
273 |
67 |
466 |
115 |
||||||||||||
|
Non-GAAP gross margin |
$ |
18,528 |
$ |
10,412 |
$ |
34,671 |
$ |
20,174 |
||||||||
|
GAAP gross margin % |
70.5 |
% |
65.2 |
% |
69.5 |
% |
65.8 |
% | ||||||||
|
Non-GAAP gross margin % |
71.6 |
% |
65.6 |
% |
70.5 |
% |
66.1 |
% | ||||||||
|
INSTRUCTURE, INC. |
||||||||||||||||
|
RECONCILIATION OF NON-GAAP OPERATING LOSS |
||||||||||||||||
|
(in thousands) |
||||||||||||||||
|
(unaudited) |
||||||||||||||||
|
Three Months EndedJune 30, |
Six Months EndedJune 30, |
|||||||||||||||
|
2016 |
2015 |
2016 |
2015 |
|||||||||||||
|
Loss from operations |
$ |
(14,516) |
$ |
(13,273) |
$ |
(28,270) |
$ |
(29,957) |
||||||||
|
Stock-based compensation |
2,662 |
758 |
4,897 |
6,687 |
||||||||||||
|
Payroll tax expense on secondary stock purchase transactions |
— |
— |
— |
1,327 |
||||||||||||
|
Reversal of payroll tax expense on secondary stock purchase transactions |
(217) |
— |
(217) |
— |
||||||||||||
|
Amortization of acquisition related intangibles |
2 |
2 |
4 |
4 |
||||||||||||
|
Non-GAAP operating loss |
$ |
(12,069) |
$ |
(12,513) |
$ |
(23,586) |
$ |
(21,939) |
||||||||
|
GAAP operating margin |
-56 |
% |
-84 |
% |
-57 |
% |
-98 |
% | ||||||||
|
Non-GAAP operating margin |
-47 |
% |
-79 |
% |
-48 |
% |
-72 |
% | ||||||||
|
INSTRUCTURE, INC. |
||||||||||||||||
|
RECONCILIATION OF NON-GAAP NET LOSS |
||||||||||||||||
|
(in thousands) |
||||||||||||||||
|
(unaudited) |
||||||||||||||||
|
Three Months EndedJune 30, |
Six Months EndedJune 30, |
|||||||||||||||
|
2016 |
2015 |
2016 |
2015 |
|||||||||||||
|
Net Loss |
$ |
(14,590) |
$ |
(13,334) |
$ |
(28,329) |
$ |
(30,644) |
||||||||
|
Stock-based compensation |
2,662 |
758 |
4,897 |
6,687 |
||||||||||||
|
Payroll tax expense on secondary stock purchase transactions |
— |
— |
— |
1,327 |
||||||||||||
|
Reversal of payroll tax expense on secondary stock purchase transactions |
(217) |
— |
(217) |
— |
||||||||||||
|
Amortization of acquisition related intangibles |
2 |
2 |
4 |
4 |
||||||||||||
|
Change in fair value of warrant liability |
— |
39 |
(62) |
527 |
||||||||||||
|
Non-GAAP net loss |
$ |
(12,143) |
$ |
(12,535) |
$ |
(23,707) |
$ |
(22,099) |
||||||||
|
Non-GAAP net loss per common share, basic and diluted |
$ |
(0.44) |
$ |
(0.59) |
$ |
(0.86) |
$ |
(1.04) |
||||||||
|
Non-GAAP weighted average common shares used in computing basic and diluted net loss per common share(1) |
27,610 |
21,293 |
27,456 |
21,238 |
||||||||||||
|
(1) |
Non-GAAP weighted average common shares used in computing basic and diluted net loss per common share on a non-GAAP basis assumes that the redeemable convertible preferred shares that converted to common shares upon execution of our IPO were outstanding for the full year. | ||||||||||||||||
|
INSTRUCTURE, INC. |
||||||||||||||||
|
RECONCILIATION OF NON-GAAP WEIGHTED AVERAGE SHARES OUTSTANDING |
||||||||||||||||
|
(in thousands) |
||||||||||||||||
|
(unaudited) |
||||||||||||||||
|
Three Months EndedJune 30, |
Six Months EndedJune 30, |
|||||||||||||||
|
2016 |
2015 |
2016 |
2015 |
|||||||||||||
|
GAAP weighted average common shares, basic and diluted |
27,610 |
6,316 |
27,456 |
6,261 |
||||||||||||
|
Effect of redeemable convertible preferred stock conversion (assuming converted shares were outstanding for the full year) |
— |
14,977 |
— |
14,977 |
||||||||||||
|
Non-GAAP weighted average common shares used in computing basic and diluted non-GAAP net loss per common share |
27,610 |
21,293 |
27,456 |
21,238 |
||||||||||||
|
INSTRUCTURE, INC. |
||||||||
|
RECONCILIATION OF 12-MONTH BILLINGS |
||||||||
|
(in thousands) |
||||||||
|
(unaudited) |
||||||||
|
Trailing Twelve Months EndedJune 30, |
||||||||
|
2016 |
2015 |
|||||||
|
Total net revenue |
$ |
91,880 |
$ |
56,678 |
||||
|
Current deferred revenue |
||||||||
|
Beginning balance |
42,978 |
29,483 |
||||||
|
Ending balance |
72,983 |
42,978 |
||||||
|
Net change in current deferred revenue |
30,005 |
13,495 |
||||||
|
Long term deferred revenue |
||||||||
|
Beginning balance |
2,815 |
2,559 |
||||||
|
Ending balance |
3,136 |
2,815 |
||||||
|
Net change in long term deferred revenue |
321 |
256 |
||||||
|
Total 12-month billings |
$ |
122,206 |
$ |
70,429 |
||||
|
INSTRUCTURE, INC. |
||||||||||||||||||||
|
RECONCILIATION OF NON-GAAP OPERATING EXPENSES |
||||||||||||||||||||
|
Three Months Ended June 30, 2016 |
||||||||||||||||||||
|
(in thousands) |
||||||||||||||||||||
|
(unaudited) |
||||||||||||||||||||
|
GAAP |
Stock-basedCompensationExpense |
Payroll TaxAssociatedwith EquityTransactions |
Amortizationof acquiredintangibles |
NON-GAAP |
||||||||||||||||
|
Operating expenses: |
||||||||||||||||||||
|
Sales and marketing |
$ |
18,038 |
(789) |
57 |
— |
$ |
17,306 |
|||||||||||||
|
Research and development |
8,730 |
(935) |
57 |
(2) |
7,850 |
|||||||||||||||
|
General and administrative |
6,003 |
(665) |
103 |
— |
5,441 |
|||||||||||||||
|
Total operating expenses |
$ |
32,771 |
(2,389) |
217 |
(2) |
$ |
30,597 |
|||||||||||||
|
INSTRUCTURE, INC. |
||||||||||||||||||||
|
RECONCILIATION OF NON-GAAP OPERATING EXPENSES |
||||||||||||||||||||
|
Three Months Ended June 30, 2015 |
||||||||||||||||||||
|
(in thousands) |
||||||||||||||||||||
|
(unaudited) |
||||||||||||||||||||
|
GAAP |
Stock-basedCompensationExpense |
Payroll TaxAssociatedwith EquityTransactions |
Amortizationof acquiredintangibles |
NON-GAAP |
||||||||||||||||
|
Operating expenses: |
||||||||||||||||||||
|
Sales and marketing |
$ |
14,050 |
(241) |
— |
— |
$ |
13,809 |
|||||||||||||
|
Research and development |
5,645 |
(287) |
— |
(2) |
5,356 |
|||||||||||||||
|
General and administrative |
3,923 |
(163) |
— |
— |
3,760 |
|||||||||||||||
|
Total operating expenses |
$ |
23,618 |
(691) |
— |
(2) |
$ |
22,925 |
|||||||||||||
|
INSTRUCTURE, INC. |
||||||||||||||||||||
|
RECONCILIATION OF NON-GAAP OPERATING EXPENSES |
||||||||||||||||||||
|
Six Months Ended June 30, 2016 |
||||||||||||||||||||
|
(in thousands) |
||||||||||||||||||||
|
(unaudited) |
||||||||||||||||||||
|
GAAP |
Stock-basedCompensationExpense |
Payroll TaxAssociatedwith EquityTransactions |
Amortizationof acquiredintangibles |
NON-GAAP |
||||||||||||||||
|
Operating expenses: |
||||||||||||||||||||
|
Sales and marketing |
$ |
34,201 |
(1,444) |
57 |
— |
$ |
32,814 |
|||||||||||||
|
Research and development |
16,535 |
(1,720) |
57 |
(4) |
14,868 |
|||||||||||||||
|
General and administrative |
11,739 |
(1,267) |
103 |
— |
10,575 |
|||||||||||||||
|
Total operating expenses |
$ |
62,475 |
(4,431) |
217 |
(4) |
$ |
58,257 |
|||||||||||||
|
INSTRUCTURE, INC. |
||||||||||||||||||||
|
RECONCILIATION OF NON-GAAP OPERATING EXPENSES |
||||||||||||||||||||
|
Six Months Ended June 30, 2015 |
||||||||||||||||||||
|
(in thousands) |
||||||||||||||||||||
|
(unaudited) |
||||||||||||||||||||
|
GAAP |
Stock-basedCompensationExpense |
Payroll TaxAssociatedwith EquityTransactions |
Amortizationof acquiredintangibles |
NON-GAAP |
||||||||||||||||
|
Operating expenses: |
||||||||||||||||||||
|
Sales and marketing |
$ |
25,131 |
(422) |
— |
— |
$ |
24,709 |
|||||||||||||
|
Research and development |
10,916 |
(527) |
— |
(4) |
10,385 |
|||||||||||||||
|
General and administrative |
13,969 |
(5,623) |
(1,327) |
— |
7,019 |
|||||||||||||||
|
Total operating expenses |
$ |
50,016 |
(6,572) |
(1,327) |
(4) |
$ |
42,113 |
|||||||||||||
|
INSTRUCTURE, INC. |
||||||||||||||||
|
RECONCILIATION OF NON-GAAP GUIDANCE - NET LOSS |
||||||||||||||||
|
(in thousands) |
||||||||||||||||
|
(unaudited) |
||||||||||||||||
|
Three Months EndingSeptember 30, |
Full Year EndingDecember 31, |
|||||||||||||||
|
2016 |
2016 |
2016 |
2016 |
|||||||||||||
|
LOW |
HIGH |
LOW |
HIGH |
|||||||||||||
|
Net loss |
$ |
(14,623) |
$ |
(14,123) |
$ |
(59,287) |
$ |
(57,787) |
||||||||
|
Stock-based compensation |
2,721 |
2,721 |
10,557 |
10,557 |
||||||||||||
|
Reversal of payroll tax expense on secondary stock purchase transactions |
- |
- |
(217) |
(217) |
||||||||||||
|
Amortization of acquisition related intangibles |
2 |
2 |
9 |
9 |
||||||||||||
|
Change in fair value of warrant liability |
- |
- |
(62) |
(62) |
||||||||||||
|
Non-GAAP net loss |
$ |
(11,900) |
$ |
(11,400) |
$ |
(49,000) |
$ |
(47,500) |
||||||||
|
INSTRUCTURE, INC. |
||||||||||||||||
|
RECONCILIATION OF NON-GAAP GUIDANCE - NET LOSS PER COMMON SHARE |
||||||||||||||||
|
(unaudited) |
||||||||||||||||
|
Three Months EndingSeptember 30, |
Full Year EndingDecember 31, |
|||||||||||||||
|
2016 |
2016 |
2016 |
2016 |
|||||||||||||
|
LOW |
HIGH |
LOW |
HIGH |
|||||||||||||
|
Net loss per common share |
$ |
(0.52) |
$ |
(0.50) |
$ |
(2.12) |
$ |
(2.07) |
||||||||
|
Stock-based compensation |
0.10 |
0.10 |
0.38 |
0.38 |
||||||||||||
|
Reversal of payroll tax expense on secondary stock purchase transactions |
- |
- |
(0.01) |
(0.01) |
||||||||||||
|
Amortization of acquisition related intangibles |
0.00 |
0.00 |
0.00 |
0.00 |
||||||||||||
|
Change in fair value of warrant liability |
- |
- |
(0.00) |
(0.00) |
||||||||||||
|
Non-GAAP net loss per common share, basic and diluted |
$ |
(0.42) |
$ |
(0.40) |
$ |
(1.75) |
$ |
(1.70) |
||||||||
|
Projected weighted average common shares used in computing basic and diluted net loss per common share |
28,100 |
28,100 |
27,900 |
27,900 |
||||||||||||
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SOURCE Instructure