Exhibit 99.1
Press Release
PRGX Global, Inc. Announces Second Quarter 2017 Financial Results
ATLANTA, August 1, 2017 — PRGX Global, Inc. (Nasdaq:PRGX), a global leader in Recovery Audit and Spend Analytics services, today announced its unaudited financial results for the second quarter and six months ended June 30, 2017.
“We are pleased to report our fourth consecutive quarter of growth in revenue from continuing operations, delivering 10.4% growth on a year-over-year constant dollar basis. We also continue to successfully execute on our long-term strategy of growing our core recovery audit business while expanding our client value proposition into analytics and supplier information management services. We are starting to see positive client response to our Lavante SIM™ services and signed several contracts during the quarter. In addition, after announcing the PRGX OPTIX™ analytics suite in February, we experienced positive client traction with five active engagements in Q2. We are encouraged by the growing pipeline of opportunities with new and existing clients in our adjacent services business,” said Ron Stewart, president and chief executive officer of PRGX.
“Our global recovery audit business also delivered another solid quarter, led by our global commercial recovery audit business, which achieved year-over-year organic growth of 52.4% driven by growth in every region of the world,” continued Stewart.
“Based on our Q2 results and continued momentum, we remain confident that we will meet our 2017 guidance of year-over-year double digit revenue and Adjusted EBITDA growth on a constant dollar basis,” concluded Stewart.
Consolidated Results from Continuing Operations for the Three Months Ended June 30, 2017
Consolidated revenue from continuing operations for the second quarter of 2017 was $38.5 million, compared to $35.3 million for the same period last year, an increase of 9.1%. On a constant dollar basis adjusted for changes in foreign exchange rates, revenue increased by 10.4% in the second quarter of 2017, compared to the same period in the prior year. On a constant dollar basis, revenue from the Recovery Audit Services segments increased 11.6% in the second quarter of 2017 compared to the same period in 2016. Second quarter 2017 revenue from the Adjacent Services segment was $1.2 million compared to $1.5 million in 2016.
Total cost of revenue from continuing operations for the second quarter of 2017 was $25.6 million, or 66.5% of revenue, compared to $23.4 million, or 66.4% of revenue, in the same period last year.
SG&A expenses from continuing operations for the second quarter of 2017 were $11.4 million, compared to $9.6 million in the prior year period. The increase in SG&A expenses was primarily attributable to Lavante and C&CA operating costs that were not in the prior year, and increased stock-based compensation.
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Consolidated net loss from continuing operations for the second quarter of 2017 was $0.3 million, or $0.01 per basic and diluted share, compared to a net loss of less than $0.1 million, or $0.00 per basic and diluted share, for the same period in 2016.
Adjusted Earnings Before Interest, Taxes, Depreciation and Amortization (Adjusted EBITDA) from continuing operations for the second quarter of 2017 was $3.5 million, or 9.0% of revenue, compared to Adjusted EBITDA of $3.5 million, or 9.9% of revenue, in the second quarter 2016. Schedule 3 attached to this press release provides a reconciliation of net income (loss) to each of EBIT (Earnings Before Interest and Taxes), EBITDA and Adjusted EBITDA.
Consolidated Results from Continuing Operations for the Six Months Ended June 30, 2017
Consolidated revenue from continuing operations for the six months ended June 30, 2017 was $72.1 million, compared to $66.5 million for the same period last year, an increase of 8.4%. On a constant dollar basis adjusted for changes in foreign exchange rates, revenue increased by 9.8% in the six months ended June 30, 2017, compared to the same period in the prior year. On a constant dollar basis, revenue from the Recovery Audit Services segments increased 8.9% in the six months ended June 30, 2017 compared to the same period in 2016. On a constant dollar basis, revenue from the Adjacent Services segment increased 39.4% for the six months ended June 30, 2017 compared to the same period in 2016.
Total cost of revenue from continuing operations for the six months ended June 30, 2017 was $48.6 million, or 67.5% of revenue, compared to $45.1 million, or 67.8% of revenue, in the same period last year.
SG&A expenses from continuing operations for the six months ended June 30, 2017 were $22.0 million, compared to $18.5 million in the prior year period. The increase in SG&A expenses was primarily attributable to Lavante and C&CA operating costs that were not in the prior year, and increased stock-based compensation.
Consolidated net loss from continuing operations for the six months ended June 30, 2017 was $2.2 million, or $0.10 per basic and diluted share, compared to a net loss of $0.1 million, or $0.00 per basic and diluted share, for the same period in 2016.
Adjusted Earnings Before Interest, Taxes, Depreciation and Amortization (Adjusted EBITDA) from continuing operations for the six months ended June 30, 2017 was $5.6 million, or 7.8% of revenue, compared to Adjusted EBITDA of $5.5 million, or 8.3% of revenue, for the same period in the prior year. Schedule 3 attached to this press release provides a reconciliation of net income (loss) to each of EBIT (Earnings Before Interest and Taxes), EBITDA and Adjusted EBITDA.
Cash Flow and Liquidity
Net cash provided by operating activities for the second quarter of 2017 was $4.6 million compared to $0.5 million in the second quarter of the prior year, and $1.3 million for the six months ended June 30, 2017 compared to $5.5 million in the same period in the prior year.
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At June 30, 2017, the Company had unrestricted cash and cash equivalents of $12.9 million, and borrowings of $13.6 million against its $35.0 million revolving credit facility.
As of July 21, 2017, the Company had approximately 22.4 million shares of common stock outstanding.
Second Quarter Earnings Call
As previously announced, management will hold a conference call later today at 5:00 PM (Eastern time) to discuss the Company’s second quarter 2017 financial results. To access the conference call, listeners in the U.S. and Canada should dial (877) 755-7423 at least 5 minutes prior to the start of the conference. Listeners outside the U.S. and Canada should dial (678) 894-3069. To be admitted to the call, listeners should use passcode 36852087.
This teleconference will also be audiocast on the Internet at www.prgx.com (click on “Events & Presentations” under “Investors”). A replay of the audiocast will be available at the same location on www.prgx.com beginning approximately two hours after the conclusion of the live audiocast, extending through September 30, 2017. Please note that the Internet audiocast is “listen-only.” Microsoft Windows Media Player is required to access the live audiocast and the replay and can be downloaded from www.microsoft.com/windows/mediaplayer.
About PRGX
PRGX Global, Inc. is a global leader in Recovery Audit and Spend Analytics services. With over 1,400 employees, the Company serves clients in more than 30 countries and provides its services to 75% of the top 20 global retailers and over 30% of the top 50 companies in the Fortune 500. PRGX delivers more than $1 billion in cash flow improvement for its clients each year. The creator of the recovery audit industry more than 40 years ago, PRGX continues to innovate through technology and expanded service offerings. In addition to Recovery Audit, PRGX provides Contract Compliance, Spend Analytics and Supplier Information Management services to improve clients’ financial performance and manage risk. For additional information on PRGX, please visit www.prgx.com.
Forward-Looking Statements
In addition to historical information, this press release includes certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements include both implied and express statements regarding the Company’s overall condition and growth prospects, the Company’s execution of its business strategy, the Company’s progress in integrating recent acquisitions, the level of client interest in the PRGX OPTIX analytics suite and Lavante SIM solution, and the Company’s expectations regarding its ability to achieve its 2017 guidance. Such forward-looking statements are not guarantees of future performance and are subject to risks, uncertainties and other factors that may cause the actual results, performance or achievements of the Company to differ materially from the historical results or from any results expressed or implied by such forward-looking statements. Risks that could affect the Company’s future performance include revenue that does not meet expectations or justify costs incurred, the Company’s ability to develop material sources of new revenue in addition to revenue from its core recovery audit services, changes in the market for the Company’s services, the Company’s ability to retain and attract qualified personnel, the Company’s ability to integrate recent and future acquisitions, uncertainty in the credit markets, the Company’s ability to maintain compliance
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with its financial covenants, client bankruptcies, loss of major clients, and other risks generally applicable to the Company’s business. For a discussion of other risk factors that may impact the Company’s business, please see the Company’s filings with the Securities and Exchange Commission, including its Form 10-K filed on March 16, 2017. The Company disclaims any obligation or duty to update or modify these forward-looking statements.
Non-GAAP Financial Measures
EBIT, EBITDA and Adjusted EBITDA are all “non-GAAP financial measures” presented as supplemental measures of the Company’s performance. They are not presented in accordance with accounting principles generally accepted in the United States, or GAAP. The Company believes these measures provide additional meaningful information in evaluating its performance over time, and that the rating agencies and a number of lenders use EBITDA and similar measures for similar purposes. In addition, a measure similar to Adjusted EBITDA is used in the restrictive covenants contained in the Company’s secured credit facility. However, EBIT, EBITDA and Adjusted EBITDA have limitations as analytical tools, and you should not consider them in isolation, or as substitutes for analysis of the Company’s results as reported under GAAP. In addition, in evaluating EBIT, EBITDA and Adjusted EBITDA, you should be aware that, as described above, the adjustments may vary from period to period and in the future the Company will incur expenses such as those used in calculating these measures. The Company’s presentation of these measures should not be construed as an inference that future results will be unaffected by unusual or nonrecurring items. Schedule 3 to this press release provides a reconciliation of net income (loss) to each of EBIT, EBITDA and Adjusted EBITDA.
This news release was distributed by GlobeNewswire, www.globenewswire.com
SOURCE: PRGX Global, Inc.
CONTACT: PRGX Global, Inc.
investor-relations@prgx.com
Phone: 770-779-3011
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SCHEDULE 1
PRGX Global, Inc. and Subsidiaries
Condensed Consolidated Statements of Operations
(Amounts in thousands, except per share data)
(Unaudited)
| Three Months | Six Months | |||||||||||||||
| Ended June 30, | Ended June 30, | |||||||||||||||
| 2017 | 2016 | 2017 | 2016 | |||||||||||||
| Revenue |
$ | 38,510 | $ | 35,291 | $ | 72,079 | $ | 66,524 | ||||||||
| Operating expenses: |
||||||||||||||||
| Cost of revenue |
25,605 | 23,431 | 48,631 | 45,077 | ||||||||||||
| Selling, general and administrative expenses |
11,424 | 9,620 | 21,960 | 18,468 | ||||||||||||
| Depreciation of property and equipment |
1,109 | 1,216 | 2,329 | 2,448 | ||||||||||||
| Amortization of intangible assets |
722 | 395 | 1,444 | 789 | ||||||||||||
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|
|
|
|
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|
|
|||||||||
| Total operating expenses |
38,860 | 34,662 | 74,364 | 66,782 | ||||||||||||
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|
|
|
|
|
|||||||||
| Operating income (loss) |
(350 | ) | 629 | (2,285 | ) | (258 | ) | |||||||||
| Foreign currency transaction (gains) losses on short-term intercompany balances |
(957 | ) | 196 | (1,509 | ) | (811 | ) | |||||||||
| Interest expense (income), net |
48 | (12 | ) | 85 | (41 | ) | ||||||||||
| Other (income) loss |
5 | 18 | (194 | ) | 28 | |||||||||||
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|||||||||
| Income (loss) from continuing operations before income taxes |
554 | 427 | (667 | ) | 566 | |||||||||||
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|
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|
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|
|||||||||
| Income tax expense |
879 | 460 | 1,506 | 664 | ||||||||||||
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|
|
|
|
|
|
|
|
|||||||||
| Net income (loss) from continuing operations |
$ | (325 | ) | $ | (33 | ) | $ | (2,173 | ) | $ | (98 | ) | ||||
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| Discontinued operations: |
||||||||||||||||
| Income (loss) from discontinued operations |
$ | (349 | ) | $ | (559 | ) | $ | (685 | ) | $ | (1,046 | ) | ||||
| Other (income) loss |
— | — | — | — | ||||||||||||
| Income tax expense (benefit) |
— | — | — | — | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Net income (loss) from discontinued operations |
(349 | ) | (559 | ) | (685 | ) | (1,046 | ) | ||||||||
| Net income (loss) |
$ | (674 | ) | $ | (592 | ) | $ | (2,858 | ) | $ | (1,144 | ) | ||||
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| Basic earnings (loss) per common share: |
||||||||||||||||
| Basic from continuing operations |
$ | (0.01 | ) | $ | (0.00 | ) | $ | (0.10 | ) | $ | (0.00 | ) | ||||
| Basic from discontinued operations |
(0.02 | ) | (0.03 | ) | (0.03 | ) | (0.05 | ) | ||||||||
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|
|
|
|
|
|
|
|
|||||||||
| Total basic earnings (loss) per common share |
$ | (0.03 | ) | $ | (0.03 | ) | $ | (0.13 | ) | $ | (0.05 | ) | ||||
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| Diluted earnings (loss) per common share: |
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| Diluted from continuing operations |
$ | (0.01 | ) | $ | (0.00 | ) | $ | (0.10 | ) | $ | (0.00 | ) | ||||
| Diluted from discontinued operations |
(0.02 | ) | (0.03 | ) | (0.03 | ) | (0.05 | ) | ||||||||
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|
|
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|
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| Total diluted earnings (loss) per common share |
$ | (0.03 | ) | $ | (0.03 | ) | $ | (0.13 | ) | $ | (0.05 | ) | ||||
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| Weighted average common shares outstanding: |
||||||||||||||||
| Basic |
22,227 | 21,969 | 22,087 | 22,202 | ||||||||||||
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| Diluted |
22,227 | 21,969 | 22,087 | 22,202 | ||||||||||||
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SCHEDULE 2
PRGX Global, Inc. and Subsidiaries
Condensed Consolidated Balance Sheets
(Amounts in thousands)
(Unaudited)
| June 30, 2017 |
December 31, 2016 |
|||||||
| ASSETS | ||||||||
| Current assets: |
||||||||
| Cash and cash equivalents |
$ | 12,870 | $ | 15,723 | ||||
| Restricted cash |
161 | 47 | ||||||
| Receivables: |
||||||||
| Contract receivables, net |
31,770 | 31,464 | ||||||
| Employee advances and miscellaneous receivables, net |
2,097 | 2,184 | ||||||
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|
|||||
| Total receivables |
33,867 | 33,648 | ||||||
| Prepaid expenses and other current assets |
4,563 | 3,363 | ||||||
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|
|
|
|||||
| Total current assets |
51,461 | 52,781 | ||||||
| Property and equipment, net |
14,376 | 12,236 | ||||||
| Goodwill |
22,803 | 13,823 | ||||||
| Intangible assets, net |
9,560 | 10,998 | ||||||
| Deferred income taxes |
2,228 | 2,269 | ||||||
| Other assets |
1,140 | 1,367 | ||||||
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|
|
|
|||||
| Total assets |
$ | 101,568 | $ | 93,474 | ||||
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|
|||||
| LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||||
| Current liabilities: |
||||||||
| Accounts payable and accrued expenses |
$ | 8,917 | $ | 7,299 | ||||
| Accrued payroll and related expenses |
12,688 | 13,868 | ||||||
| Refund liabilities and deferred revenue |
9,297 | 9,230 | ||||||
| Short-term debt |
— | 3,600 | ||||||
| Other current liabilities |
2,079 | 2,078 | ||||||
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|
|
|
|
|||||
| Total current liabilities |
32,981 | 36,075 | ||||||
| Refund liabilities |
714 | 804 | ||||||
| Long-term debt |
13,600 | — | ||||||
| Other long-term liabilities |
2,393 | 4,205 | ||||||
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|
|
|
|
|||||
| Total liabilities |
49,688 | 41,084 | ||||||
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|
|||||
| Shareholders’ equity: |
||||||||
| Common stock |
224 | 218 | ||||||
| Additional paid-in capital |
577,754 | 575,118 | ||||||
| Accumulated deficit |
(526,091 | ) | (523,233 | ) | ||||
| Accumulated other comprehensive income (loss) |
(7 | ) | 287 | |||||
|
|
|
|
|
|||||
| Total shareholders’ equity |
51,880 | 52,390 | ||||||
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|
|||||
| Total liabilities and shareholders’ equity |
$ | 101,568 | $ | 93,474 | ||||
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|
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SCHEDULE 3
PRGX Global, Inc. and Subsidiaries
Reconciliation of Net Income (Loss) to EBIT, EBITDA and Adjusted EBITDA
(Amounts in thousands)
(Unaudited)
| Three Months | Six Months | |||||||||||||||
| Ended June 30, | Ended June 30, | |||||||||||||||
| 2017 | 2016 | 2017 | 2016 | |||||||||||||
| Reconciliation of net loss to EBIT, EBITDA and Adjusted EBITDA: |
||||||||||||||||
| Net income (loss) |
$ | (674 | ) | $ | (592 | ) | $ | (2,858 | ) | $ | (1,144 | ) | ||||
| Income tax expense |
879 | 460 | 1,506 | 664 | ||||||||||||
| Interest expense (income), net |
48 | (12 | ) | 85 | (41 | ) | ||||||||||
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|
|
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|
|
|
|||||||||
| EBIT |
253 | (144 | ) | (1,267 | ) | (521 | ) | |||||||||
| Depreciation of property and equipment |
1,113 | 1,219 | 2,333 | 2,455 | ||||||||||||
| Amortization of intangible assets |
722 | 395 | 1,444 | 789 | ||||||||||||
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|
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|
|
|||||||||
| EBITDA |
2,088 | 1,470 | 2,510 | 2,723 | ||||||||||||
| Foreign currency transaction (gains) losses on short-term intercompany balances |
(957 | ) | 196 | (1,509 | ) | (811 | ) | |||||||||
| Other gains and losses |
5 | 18 | (194 | ) | 28 | |||||||||||
| Transformation severance and related expenses |
314 | 557 | 899 | 1,095 | ||||||||||||
| Stock-based compensation |
1,688 | 1,035 | 3,254 | 1,799 | ||||||||||||
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| Adjusted EBITDA |
$ | 3,138 | $ | 3,276 | $ | 4,960 | $ | 4,834 | ||||||||
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| Adjusted EBITDA from continuing operations |
$ | 3,484 | $ | 3,500 | $ | 5,641 | $ | 5,537 | ||||||||
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| Adjusted EBITDA from discontinued operations |
$ | (346 | ) | $ | (224 | ) | $ | (681 | ) | $ | (703 | ) | ||||
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EBIT, EBITDA and Adjusted EBITDA are all “non-GAAP financial measures” presented as supplemental measures of our performance. They are not presented in accordance with accounting principles generally accepted in the United States, or GAAP. The Company believes these measures provide additional meaningful information in evaluating the Company’s performance over time, and that the rating agencies and a number of lenders use EBIT, EBITDA and similar measures for similar purposes. In addition, a measure similar to Adjusted EBITDA is used in the restrictive covenants contained in the Company’s secured credit facility. However, EBIT, EBITDA and Adjusted EBITDA have limitations as analytical tools, and you should not consider them in isolation, or as substitutes for analysis of our results as reported under GAAP. In addition, in evaluating EBIT, EBITDA and Adjusted EBITDA, you should be aware that in the future we will incur expenses such as those used in calculating these measures. Our presentation of these measures should not be construed as an inference that our future results will be unaffected by unusual or nonrecurring items.
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SCHEDULE 4
PRGX Global, Inc. and Subsidiaries
Condensed Consolidated Statements of Cash Flows
(Amounts in thousands)
(Unaudited)
| Three Months | Six Months | |||||||||||||||
| Ended June 30, | Ended June 30, | |||||||||||||||
| 2017 | 2016 | 2017 | 2016 | |||||||||||||
| Cash flows from operating activities: |
||||||||||||||||
| Net Income (loss) |
$ | (674 | ) | $ | (592 | ) | $ | (2,858 | ) | $ | (1,144 | ) | ||||
| Adjustments to reconcile net loss to net cash provided by operating activities: |
||||||||||||||||
| Depreciation and amortization |
1,833 | 1,600 | 3,777 | 3,244 | ||||||||||||
| Stock-based compensation expense |
1,688 | 1,026 | 3,254 | 1,799 | ||||||||||||
| Foreign currency transaction (gains) losses on short-term intercompany balances |
(957 | ) | 196 | (1,509 | ) | (811 | ) | |||||||||
| (Increase)/Decrease in receivables |
116 | (816 | ) | 2,153 | 2,267 | |||||||||||
| Increase (decrease) in accounts payable, accrued payroll and other accrued expenses |
4,436 | (692 | ) | 282 | 663 | |||||||||||
| Other, primarily changes in assets and liabilities |
(1,825 | ) | (178 | ) | (3,823 | ) | (556 | ) | ||||||||
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| Net cash provided by operating activities |
4,617 | 544 | 1,276 | 5,462 | ||||||||||||
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| Cash flows from investing activities: |
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| Purchases of property and equipment, net of disposals |
(2,549 | ) | (1,115 | ) | (4,049 | ) | (2,138 | ) | ||||||||
| Business Acquisition |
12 | — | (10,128 | ) | — | |||||||||||
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| Net cash used in investing activities |
(2,537 | ) | (1,115 | ) | (14,177 | ) | (2,138 | ) | ||||||||
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| Cash flows from financing activities: |
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| Repurchase of common stock |
— | (1,034 | ) | — | (3,658 | ) | ||||||||||
| Borrowing under line of credit |
— | — | 10,000 | |||||||||||||
| Other, net |
222 | (95 | ) | 604 | (11 | ) | ||||||||||
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| Net cash (used in) provided by financing activities |
222 | (1,129 | ) | 10,604 | (3,669 | ) | ||||||||||
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| Effect of exchange rates on cash and cash equivalents |
(967 | ) | 1,175 | (556 | ) | 397 | ||||||||||
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| Net (decrease) increase in cash and cash equivalents |
1,335 | (525 | ) | (2,853 | ) | 52 | ||||||||||
| Cash and cash equivalents at beginning of period |
11,535 | 15,699 | 15,723 | 15,122 | ||||||||||||
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| Cash and cash equivalents at end of period |
$ | 12,870 | $ | 15,174 | $ | 12,870 | $ | 15,174 | ||||||||
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8
SCHEDULE 5
PRGX Global, Inc. and Subsidiaries
Results by Operating Segment *
(Amounts in thousands)
(Unaudited)
| Three Months Ended | Six Months Ended | |||||||||||||||||||||||
| June 30, | June 30, | |||||||||||||||||||||||
| 2017 | 2016 | Change | 2017 | 2016 | Change | |||||||||||||||||||
| Revenue |
||||||||||||||||||||||||
| Recovery Audit Services - Americas |
$ | 26,553 | $ | 25,122 | $ | 1,431 | $ | 50,936 | $ | 46,689 | $ | 4,247 | ||||||||||||
| Recovery Audit Services - Europe/Asia-Pacific |
10,773 | 8,698 | 2,075 | 18,604 | 17,947 | 657 | ||||||||||||||||||
| Adjacent Services |
1,184 | 1,471 | (287 | ) | 2,539 | 1,888 | 651 | |||||||||||||||||
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| Total |
$ | 38,510 | $ | 35,291 | $ | 3,219 | $ | 72,079 | $ | 66,524 | $ | 5,555 | ||||||||||||
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| Cost of revenue |
||||||||||||||||||||||||
| Recovery Audit Services - Americas |
$ | 17,324 | $ | 15,614 | $ | 1,710 | $ | 32,602 | $ | 29,938 | $ | 2,664 | ||||||||||||
| Recovery Audit Services - Europe/Asia-Pacific |
6,717 | 6,261 | 456 | 12,903 | 12,373 | 530 | ||||||||||||||||||
| Adjacent Services |
1,564 | 1,556 | 8 | 3,126 | 2,766 | 360 | ||||||||||||||||||
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|
|
|
|
|||||||||||||
| Total |
$ | 25,605 | $ | 23,431 | $ | 2,174 | $ | 48,631 | $ | 45,077 | $ | 3,554 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
| Selling, general and administrative expenses |
||||||||||||||||||||||||
| Recovery Audit Services - Americas |
$ | 2,615 | $ | 2,171 | $ | 444 | $ | 4,658 | $ | 4,310 | $ | 348 | ||||||||||||
| Recovery Audit Services - Europe/Asia-Pacific |
1,786 | 1,608 | 178 | 3,133 | 3,138 | (5 | ) | |||||||||||||||||
| Adjacent Services |
959 | 216 | 743 | 2,130 | 336 | 1,794 | ||||||||||||||||||
| Corporate Support |
6,064 | 5,625 | 438 | 12,039 | 10,684 | 1,355 | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
| Total |
$ | 11,424 | $ | 9,620 | $ | 1,803 | $ | 21,960 | $ | 18,468 | $ | 3,492 | ||||||||||||
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|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
| Depreciation of property and equipment |
||||||||||||||||||||||||
| Recovery Audit Services - Americas |
$ | 779 | $ | 936 | $ | (157 | ) | $ | 1,689 | $ | 1,928 | $ | (239 | ) | ||||||||||
| Recovery Audit Services - Europe/Asia-Pacific |
152 | 140 | 12 | 292 | 238 | 54 | ||||||||||||||||||
| Adjacent Services |
178 | 140 | 38 | 348 | 282 | 66 | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
| Total |
$ | 1,109 | $ | 1,216 | $ | (107 | ) | $ | 2,329 | $ | 2,448 | $ | (119 | ) | ||||||||||
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|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
| Amortization of intangible assets |
||||||||||||||||||||||||
| Recovery Audit Services - Americas |
$ | 328 | $ | 373 | $ | (45 | ) | $ | 657 | $ | 745 | $ | (88 | ) | ||||||||||
| Recovery Audit Services - Europe/Asia-Pacific |
— | — | — | — | — | — | ||||||||||||||||||
| Adjacent Services |
394 | 22 | 372 | 787 | 44 | 743 | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
| Total |
$ | 722 | $ | 395 | $ | 327 | $ | 1,444 | $ | 789 | $ | 655 | ||||||||||||
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|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
| Operating income (loss) |
||||||||||||||||||||||||
| Recovery Audit Services - Americas |
$ | 5,507 | $ | 6,028 | $ | (521 | ) | $ | 11,330 | $ | 9,768 | $ | 1,562 | |||||||||||
| Recovery Audit Services - Europe/Asia-Pacific |
2,118 | 689 | 1,429 | 2,276 | 2,198 | 78 | ||||||||||||||||||
| Adjacent Services |
(1,911 | ) | (463 | ) | (1,448 | ) | (3,852 | ) | (1,540 | ) | (2,312 | ) | ||||||||||||
| Corporate Support |
(6,064 | ) | (5,625 | ) | (438 | ) | (12,039 | ) | (10,684 | ) | (1,355 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
| Total |
$ | (350 | ) | $ | 629 | $ | (978 | ) | $ | (2,285 | ) | $ | (258 | ) | $ | (2,027 | ) | |||||||
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|
|||||||||||||
| Adjusted EBITDA |
||||||||||||||||||||||||
| Recovery Audit Services - Americas |
$ | 6,802 | $ | 7,613 | $ | (811 | ) | $ | 13,940 | $ | 12,861 | $ | 1,079 | |||||||||||
| Recovery Audit Services - Europe/Asia-Pacific |
2,354 | 855 | 1,499 | 2,790 | 2,532 | 258 | ||||||||||||||||||
| Adjacent Services |
(1,293 | ) | (301 | ) | (992 | ) | (2,672 | ) | (1,214 | ) | (1,458 | ) | ||||||||||||
| Corporate Support |
(4,379 | ) | (4,667 | ) | 288 | (8,417 | ) | (8,642 | ) | 225 | ||||||||||||||
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|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
| Total |
$ | 3,484 | $ | 3,500 | $ | (16 | ) | $ | 5,641 | $ | 5,537 | $ | 104 | |||||||||||
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| * | The Recovery Audit Services - Americas segment represents retail, commercial and contract compliance recovery audit services provided in the United States, Canada and Latin America. The Recovery Audit Services - Europe/Asia-Pacific segment represents retail, commercial and contract compliance recovery audit services provided in Europe, Asia and the Pacific region. The Adjacent Services segment represents spend analytics and supplier information management services. |
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