LiveRamp (NYSE: RAMP) reported Q3 EPS of ($0.03), $0.06 better than the analyst estimate of ($0.09). Revenue for the quarter came in at $102 million versus the consensus estimate of $102.27 million.

Financial Highlights:

• Total revenue was $102 million, up 28% compared to the prior year period.
• Subscription revenue was $82 million, up 25%, and contributed 80% of total revenue.
• Marketplace & Other revenue was $21 million, up 38%.
• GAAP gross profit was $64 million, up 42% compared to the prior year period. GAAP gross margin of 63% expanded 6 percentage points. Non-GAAP gross profit was $71 million, up 38% compared to the prior year period. Non-GAAP gross margin of 69% expanded 5 percentage points.
• GAAP operating loss was $41 million compared to a GAAP operating loss of $48 million in the prior year period. Non-GAAP operating loss was $6 million compared to a non-GAAP operating loss of $11 million in the prior year period.
• GAAP loss per share from continuing operations was $0.56, and non-GAAP loss per share from continuing operations was $0.03.
• Net cash provided by operating activities was $16 million compared to net cash used in operating activities of $11 million during the third quarter of fiscal 2019.
• LiveRamp has repurchased 2.6 million shares for $121 million under the current stock repurchase program since March 31, 2019. Since August 2011, the Company has returned over $1 billion in capital to shareholders.
• Cash and cash equivalents totaled $767 million with no debt at quarter end.

“LiveRamp has emerged as the safe and neutral choice for using data effectively,” said LiveRamp CEO Scott Howe. “Leading brands, agencies and publishers around the world are relying on us to provide the foundational infrastructure for navigating a complex ecosystem of evolving regulations and technologies. In addition, our Authenticated Traffic Solution continues to gain global acceptance as the ecosystem welcomes a simple and unbiased standard.”

“Our business model demonstrated its strong potential this quarter,” said LiveRamp President and CFO Warren Jenson. “We reported our first $100 million revenue quarter, our non-GAAP gross margin expanded to 69%, and we were operating cash flow positive.”

GUIDANCE:

LiveRamp sees FY2020 revenue of $376-381 million, versus the consensus of $377.54 million.

LiveRamp’s non-GAAP guidance excludes the impact of non-cash stock compensation, purchased intangible asset amortization, and restructuring charges.

For fiscal 2020, LiveRamp expects to report:

• Revenue of between $376 million and $381 million, an increase of 32% to 33% year-over-year.
• GAAP operating loss from continuing operations of between $186 million and $184 million.
• Non-GAAP operating loss of between $63 million and $61 million.

For earnings history and earnings-related data on LiveRamp (RAMP) click here.