UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d)
of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): December 4, 2013
Mavenir Systems, Inc.
(Exact name of registrant as specified in its charter)
Delaware | 001- 36171 | 61-1489105 | ||
(State or other jurisdiction of incorporation) |
(Commission File Number) |
(IRS Employer Identification Number) |
1700 International Place, Suite 200
Richardson, Texas 75081
(Address of principal executive offices, including zip code)
(469) 916-4393
(Registrants telephone number, including area code)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
¨ | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
¨ | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
¨ | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
¨ | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
Item 2.02 Results of Operations and Financial Condition.
On December 4, 2013, Mavenir Systems, Inc. issued a press release announcing its results for its fiscal third quarter ended September 30, 2013. A copy of the press release is attached hereto as Exhibit 99.1 and is incorporated herein by reference.
The information in this current report on Form 8-K and the exhibit attached hereto shall not be deemed filed for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the Exchange Act), or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, regardless of any general incorporation language in such filing.
Item 9.01 Financial Statements and Exhibits.
(d) Exhibits.
Exhibit No. |
Description | |
99.1 | Press Release, dated December 4, 2013 |
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
MAVENIR SYSTEMS, INC. | ||||
Date: December 4, 2013 |
By: | /s/ Terry Hungle | ||
Name: Terry Hungle | ||||
Title: Chief Financial Officer |
EXHIBIT INDEX
Exhibit No. |
Description | |
99.1 | Press Release, dated December 4, 2013 |
Exhibit 99.1
Mavenir Systems Reports Third Quarter 2013 Financial Results
| Record quarterly revenue of $26.0 million, an increase of 52% year-over-year |
| Won 5 new customer contracts for VoLTE and RCS products |
| Performance at the high end of our expectations as provided in the prospectus for our recent public offering |
| GAAP operating loss was $(3.4) million compared to $(4.4) million year-over-year |
| Non-GAAP operating loss narrowed to $(1.5) million from $(4.1) million year-over-year |
Richardson, TX December 4, 2013 Mavenir Systems (NYSE: MVNR), today reported financial results for the third quarter of 2013 and provided its outlook for the fourth quarter of 2013.
Total revenue for the third quarter of 2013 was $26.0 million, an increase of 52% year-over-year. GAAP net loss for the third quarter of 2013 was $(4.5) million, compared with $(3.4) million in the third quarter of 2012. Non-GAAP net loss for the third quarter of 2013 was $(2.9) million, compared with $(4.1) million in the third quarter of 2012. GAAP operating loss for the third quarter of 2013 was $(3.4) million, compared with $(4.4) million in the third quarter of 2012. Non-GAAP operating loss which excludes stock-based compensation, depreciation and amortization was $(1.5) million, or 6% of revenue, in Q3 2013 versus $(4.1) million, or 24% of revenue, for the third quarter of 2012.
GAAP gross profit margin of 47.9% in the quarter was at the high end of the expected range provided in the prospectus for our recent initial public offering. Non-GAAP gross profit margin was 49.0%.
Net loss per share was $(3.35) for the third quarter of 2013 compared with $(2.61) for the third quarter of 2012, based on net loss attributable to common shares outstanding in the third quarter of 2013. As outlined in the accompanying table entitled Reconciliation of Non-GAAP Earnings Per Share included in this press release, the Non-GAAP pro forma net loss per share was $(0.16) for the third quarter of 2013 compared with $(0.23) for the third quarter of 2012.
A description of the Non-GAAP and pro forma calculations and reconciliation to comparable GAAP measures is provided in the accompanying table entitled Reconciliation of GAAP Financial Measures to Non-GAAP Financial Measures.
Mavenir delivered another solid quarter, reporting revenue at the high end of our expectations. Our business momentum continued to strengthen with record quarterly revenue and an expanded customer base, both of which are a direct result of our highly differentiated technology, said Pardeep Kohli, president and chief executive officer, Mavenir Systems. Migration to 4G LTE is accelerating, increasing the demand for our Voice over LTE (VoLTE) and Rich Communication Services (RCS) products and we see a substantial market opportunity ahead of us.
Mavenir Business and Financial Highlights
| We experienced 52% year-over-year revenue growth in the third quarter of 2013; our revenue in the Americas region grew 81% year-over-year and our revenue in the Europe, Middle East and Africa region grew 75% year-over-year; |
| We added 5 mobile operators as our customers using our VoLTE and RCS products, now giving us a total of 8 customers in the Americas, 14 customers in Europe, Middle East and Africa and 2 customers in Asia that are using our VoLTE and RCS products; |
| We completed our initial public offering, and our common stock began trading on the New York Stock Exchange on November 7, 2013; |
| We introduced a significant new product, a Session Border Controller designed for 4G LTE mobile networks. |
Guidance
Mavenir is providing the following fourth quarter 2013 guidance with respect to anticipated total revenue, Non-GAAP gross margin, Non-GAAP operating loss, Non-GAAP net loss and Non-GAAP pro forma net loss per share.
| Revenue to range from $26.0 million to $27.0 million, reflecting growth of 55% to 61% over the fourth quarter of 2012; |
| Non-GAAP gross margin from 56% to 58%; |
| Non-GAAP operating loss to range from $(1.5) million to $(0.5) million; |
| Non-GAAP net loss to range from $(2.9) million to $(1.9) million; |
| Non-GAAP pro forma net loss per share ranging from $(0.14) to $(0.09) (based on a forecasted weighted average number of shares outstanding of 20,723,298). |
Conference Call
Mavenir will discuss its third quarter 2013 results and its business outlook via teleconference today at 5:00 p.m. Eastern Time. To access this call, investors can dial the toll free number 1-855-302-8830 (domestic) or 1-330-871-6073 with the ID#12353810, or access a live webcast of the conference call at Mavenirs website http://investor.mavenir.com.
A replay will be available following the call on Mavenir Systems Investor Relations website or for one week at the following numbers: 1-855-859-2056 (domestic) or 1-404-537-3406 (international) with ID# 12353810.
Non-GAAP Financial Measures & Definitions
In addition to disclosing financial results that are determined in accordance with U.S. GAAP, Mavenir discloses non-GAAP operating loss, non-GAAP net loss and non-GAAP net loss per share, which are non-GAAP financial measures, as supplemental measures. Non-GAAP operating loss represents operating loss before depreciation, amortization and stock-based compensation, which metric our prospectus dated November 6, 2013 referred to as adjusted EBITDA. Non-GAAP net loss represents non-GAAP operating loss after interest and taxes. Non-GAAP net loss per share represents non-GAAP net loss divided by our weighted average common shares outstanding. These measures are used by management to evaluate our business and that management believes may help investors evaluate the Companys fundamental operational performance. Management believes these non-GAAP measures facilitate operating performance comparisons from period to period by excluding potential differences caused by variations in capital structures, tax position, depreciation, amortization, stock-based compensation expense and certain other expenses. These measures are not measures of our financial performance under U.S. GAAP and should not be considered in isolation or a substitute for net loss, operating loss or other performance measures as determined in accordance with U.S. GAAP. These measures should be read only in conjunction with our consolidated financial statements prepared in accordance with U.S. GAAP. Please refer to the accompanying tables entitled Reconciliation of GAAP Financial Measures to Non-GAAP Financial Measures and Reconciliation of Non-GAAP Earnings Per Share for a reconciliation of consolidated GAAP operating loss to non-GAAP operating loss, consolidated GAAP net loss to non-GAAP net loss.
In determining our guidance for the fourth quarter of 2013 set forth in Guidance, we have chosen to use non-GAAP measures for all metrics other than revenue. The non-GAAP metrics exclude the effects of foreign exchange translation and stock-based compensation. The effects of these two items are difficult to forecast in advance as they relate to future foreign exchange rates and future stock prices, which are subject to external factors that are difficult to predict. As a result, Mavenir does not give guidance on GAAP metrics other than revenue.
Forward-Looking Statements
Statements in this press release that are not purely historical facts constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include the statements under 2013 Outlook above as well as statements regarding Mavenirs expectations with respect to revenue, non-GAAP gross margin, non-GAAP operating loss, non-GAAP net loss and non-GAAP pro forma net loss per share, as well as statements about the migration to 4G technology by mobile service providers and Mavenirs views about its market opportunity. Forward-looking statements can generally be identified by words such as anticipates, may, can, believes, expects, projects, intends, likely, target, will, to be and other expressions that are predictions or indicate future events, trends or prospects, although not all forward-looking statements
contain these identifying words. These forward-looking statements represent managements current expectations and involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance or achievements of Mavenir to differ materially from any future results, performance or achievements expressed or implied by such forward-looking statements. Accordingly, investors should not place undue reliance on these forward-looking statements.
Factors that could cause actual results to differ materially from those indicated by the forward-looking statements include risks regarding the timing of the adoption of 4G by mobile service providers around the world; mobile service providers investment in next-generation communications technology; our ability to sell solutions to mobile service providers, particularly those serving large numbers of customers; the length and variability of the sales cycles for our solutions; actions taken by our competitors; our ability to negotiate acceptable financial terms with our mobile service provider customers; the performance of our solutions when implemented in mobile service provider networks; managements ability to accurately forecast Mavenirs financial results; the timing of revenues and the application of complex revenue recognition rules to such revenues; prolonged negative economic conditions in domestic and global markets; and other factors described in our filings with the Securities and Exchange Commission (the SEC), including under the caption Risk Factors and elsewhere in our prospectus filed with the SEC on November 7, 2013. Additional information will also be set forth in Mavenirs quarterly report on Form 10-Q for the quarter ended September 30, 2013, as well as its annual reports on Form 10-K and other future SEC filings. There is no assurance that Mavenirs expectations will be realized. If one or more of these risks or uncertainties materialize, or if Mavenirs underlying assumptions prove incorrect, actual results may vary materially from those expected, estimated or projected. The statements in this press release are made as of the date of this press release, even though this press release is made available on Mavenirs website or otherwise. Mavenir does not assume any obligation to update the forward-looking statements provided herein to reflect events that occur or circumstances that exist after the date on which the forward-looking statements were made, except as required by law.
About Mavenir:
Mavenir is a leading provider of software-based networking solutions that enable mobile service providers to deliver high-quality internet protocol (IP)-based voice, video, rich communication and enhanced messaging services to their subscribers globally. Mavenirs mOne® software platform has enabled leading mobile service providers to introduce the industrys first live network deployment of Voice over LTE (VoLTE) and the industrys first live deployment of next-generation Rich Communication Services 5.0 (RCS). Our solutions deliver next-generation services such as RCS, VoLTE and Voice over Wi-Fi (VoWi-Fi) over existing 2G and 3G networks and next-generation 4G LTE networks. www.mavenir.com
© 2013 Mavenir Systems, Inc. All rights reserved.
mOne® , mStore and mCloud are trademarks and registered trademarks of Mavenir Systems, Inc.
Mavenir Systems, Inc. and Subsidiaries
Consolidated Statements of Operations
(In thousands, except per share data)
(Unaudited)
Three months ended September 30, |
Nine months ended September 30, |
|||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
Revenues |
||||||||||||||||
Software products |
$ | 20,788 | $ | 11,848 | $ | 58,052 | $ | 41,181 | ||||||||
Maintenance |
5,183 | 5,260 | 16,109 | 15,877 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
25,971 | 17,108 | 74,161 | 57,058 | |||||||||||||
|
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|
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Cost of revenues |
||||||||||||||||
Software products |
10,806 | 6,068 | 28,220 | 17,314 | ||||||||||||
Maintenance |
2,716 | 1,900 | 5,543 | 5,744 | ||||||||||||
|
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|
|
|
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|
|||||||||
13,522 | 7,968 | 33,763 | 23,058 | |||||||||||||
|
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|
|
|
|
|||||||||
Gross profit |
12,449 | 9,140 | 40,398 | 34,000 | ||||||||||||
Operating expenses: |
||||||||||||||||
Research and development |
5,436 | 5,552 | 16,934 | 18,401 | ||||||||||||
Sales and marketing |
4,675 | 4,025 | 14,331 | 12,633 | ||||||||||||
General and administrative |
5,745 | 3,995 | 15,106 | 11,942 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Total operating expenses |
15,856 | 13,572 | 46,371 | 42,976 | ||||||||||||
|
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|
|
|
|
|
|
|||||||||
Operating loss |
(3,407 | ) | (4,432 | ) | (5,973 | ) | (8,976 | ) | ||||||||
Other expense (income): |
||||||||||||||||
Interest income |
(4 | ) | (6 | ) | (12 | ) | (10 | ) | ||||||||
Interest expense |
1,072 | 44 | 2,187 | 73 | ||||||||||||
Foreign exchange loss (gain) |
(316 | ) | (1,095 | ) | 2,328 | (225 | ) | |||||||||
|
|
|
|
|
|
|
|
|||||||||
Total other expense (income), net |
752 | (1,057 | ) | 4,503 | (162 | ) | ||||||||||
|
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|
|
|
|
|
|||||||||
Loss before income tax |
(4,159 | ) | (3,375 | ) | (10,476 | ) | (8,814 | ) | ||||||||
Income tax expense |
354 | 43 | 1,972 | 254 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Net loss |
(4,513 | ) | (3,418 | ) | (12,448 | ) | (9,068 | ) | ||||||||
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|
|
|
|
|
|||||||||
Net loss per common share: |
||||||||||||||||
Basic |
$ | (3.35 | ) | $ | (2.61 | ) | $ | (9.28 | ) | $ | (7.14 | ) | ||||
|
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|
|||||||||
Diluted |
$ | (3.35 | ) | $ | (2.61 | ) | $ | (9.28 | ) | $ | (7.14 | ) | ||||
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|
|
|
|
|
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|
|||||||||
Weighted average common shares outstanding: |
||||||||||||||||
Basic and diluted |
1,348 | 1,310 | 1,342 | 1,270 | ||||||||||||
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|
|
|
|
Mavenir Systems, Inc. and Subsidiaries
Consolidated Balance Sheets
(in thousands, except share and per share amounts)
Pro forma at | ||||||||||||
September 30, | September 30, (1) | December 31, | ||||||||||
2013 | 2013 | 2012 | ||||||||||
(unaudited) | (unaudited) | |||||||||||
Assets |
||||||||||||
Current assets: |
||||||||||||
Cash and cash equivalents |
$ | 7,968 | $ | 7,968 | $ | 7,402 | ||||||
Accounts receivable, net of allowance of $670 and $382 at September 30, 2013, and December 31, 2012 respectively |
16,929 | 16,929 | 15,159 | |||||||||
Unbilled revenue |
8,728 | 8,728 | 9,782 | |||||||||
Inventories |
4,847 | 4,847 | 2,255 | |||||||||
Prepaid expenses and other current assets |
6,804 | 6,804 | 6,484 | |||||||||
Deferred contract costs |
6,761 | 6,761 | 5,288 | |||||||||
|
|
|
|
|
|
|||||||
Total current assets |
52,037 | 52,037 | 46,370 | |||||||||
Non-current assets: |
||||||||||||
Property and equipment, net |
5,297 | 5,297 | 5,919 | |||||||||
Intangible assets, net |
5,289 | 5,289 | 5,714 | |||||||||
Deposits and other assets |
1,373 | 1,373 | 1,555 | |||||||||
Goodwill |
895 | 895 | 923 | |||||||||
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|
|||||||
Total assets |
$ | 64,891 | $ | 64,891 | $ | 60,481 | ||||||
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Liabilities and shareholders deficit: |
||||||||||||
Current liabilities: |
||||||||||||
Trade accounts payable |
$ | 4,221 | $ | 4,221 | $ | 6,087 | ||||||
Accrued liabilities |
14,771 | 14,771 | 14,067 | |||||||||
Deferred revenue |
9,360 | 9,360 | 12,927 | |||||||||
Income tax payable |
554 | 554 | 27 | |||||||||
Deferred income tax |
| | 34 | |||||||||
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|
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|
|||||||
Total current liabilities |
28,906 | 28,906 | 33,142 | |||||||||
Non-current liabilities: |
||||||||||||
Other long-term liabilities |
626 | 626 | 876 | |||||||||
Long-term debt |
33,282 | 33,282 | 14,700 | |||||||||
|
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|
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Total liabilities |
62,814 | 62,814 | 48,718 | |||||||||
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Series A redeemable convertible preferred stock, $0.001 par value. |
13,005 | | 13,005 | |||||||||
Series B redeemable convertible preferred stock, $0.001 par value. |
20,500 | | 20,500 | |||||||||
Series C redeemable convertible preferred stock, $0.001 par value. |
17,478 | | 17,478 | |||||||||
Series D redeemable convertible preferred stock, $0.001 par value. |
13,575 | | 13,575 | |||||||||
Series E redeemable convertible preferred stock, $0.001 par value. |
40,000 | | 40,000 | |||||||||
Commitments and contingencies |
||||||||||||
Shareholders deficit: |
||||||||||||
Common stock, $0.001 par value. 22,171,986 shares authorized; 2,106,635 and 2,087,281 shares issued at September 30, 2013, and December 31, 2012, respectively; 1,357,219 and 1,337,906 shares outstanding at September 30, 2013, and December 31, 2012, respectively: 17,809,686 shares outstanding, pro forma |
1 | 18 | 1 | |||||||||
Additional paid-in capital |
4,027 | 4,010 | 1,215 | |||||||||
Accumulated deficit |
(108,025 | ) | (3,467 | ) | (95,577 | ) | ||||||
Accumulated other comprehensive income |
1,516 | 1,516 | 1,566 | |||||||||
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Total shareholders deficit |
(102,481 | ) | 2,077 | (92,795 | ) | |||||||
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|
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Total liabilities and shareholders deficit |
$ | 64,891 | $ | 64,891 | $ | 60,481 | ||||||
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|
(1) | The unaudited pro forma balance sheet gives effect to the conversion of all outstanding redeemable convertible preferred stock into 16,452,467 shares of common stock upon the completion of an initial public offering. |
Mavenir Systems, Inc. and Subsidiaries
Consolidated Statements of Cash Flows
(in thousands)
(Unaudited)
Nine Months Ended September 30, |
||||||||
2013 | 2012 | |||||||
Operating activities: |
||||||||
Net loss |
$ | (12,448 | ) | $ | (9,068 | ) | ||
Adjustments to reconcile net loss to net cash used in operating activities: |
||||||||
Depreciation of property and equipment |
1,769 | 1,008 | ||||||
Amortization of intangible assets |
1,080 | 964 | ||||||
Amortization of debt discount |
216 | | ||||||
Provision for bad debts and doubtful accounts |
388 | 111 | ||||||
Stock-based compensation expense |
1,161 | 203 | ||||||
Unrealized foreign currency loss |
662 | 1,696 | ||||||
Loss on sale of assets |
1 | | ||||||
Changes in operating assets and liabilities: |
||||||||
Accounts receivable |
(1,686 | ) | 1,259 | |||||
Unbilled revenue |
925 | (3,850 | ) | |||||
Deposits and other current assets |
(465 | ) | 44 | |||||
Inventories |
(2,592 | ) | (578 | ) | ||||
Prepaid expenses |
(527 | ) | (1,728 | ) | ||||
Deferred contract costs |
(1,399 | ) | (944 | ) | ||||
Deferred revenue |
(3,325 | ) | (6,678 | ) | ||||
Accounts payable and accrued liabilities |
(738 | ) | 3,569 | |||||
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|
|
|
|||||
Net cash used in operating activities |
(16,978 | ) | (13,992 | ) | ||||
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|
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Investing activities: |
||||||||
Purchases of property and equipment |
(1,962 | ) | (2,465 | ) | ||||
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|
|
|
|||||
Net cash used in investing activities |
(1,962 | ) | (2,465 | ) | ||||
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|
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|
|||||
Financing activities: |
||||||||
Borrowing from long-term debt |
27,000 | | ||||||
Borrowing from line of credit |
| 3,000 | ||||||
Repayments of long-term debt |
(7,000 | ) | | |||||
Repayments of line of credit borrowing |
| (122 | ) | |||||
Exercise of options to purchase common stock |
17 | 61 | ||||||
|
|
|
|
|||||
Net cash provided by financing activities |
20,017 | 2,939 | ||||||
|
|
|
|
|||||
Effect of foreign currency exchange rate changes on cash and cash equivalents |
(511 | ) | (500 | ) | ||||
|
|
|
|
|||||
Net increase (decrease) in cash and cash equivalents |
566 | (14,018 | ) | |||||
Cash and cash equivalents at beginning of period |
7,402 | 19,466 | ||||||
|
|
|
|
|||||
Cash and cash equivalents at end of period |
$ | 7,968 | $ | 5,448 | ||||
|
|
|
|
|||||
Supplemental cash flow information: |
||||||||
Cash paid for interest |
$ | 1,627 | $ | 72 | ||||
|
|
|
|
|||||
Income tax payments, net |
$ | 254 | $ | 256 | ||||
|
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|
Mavenir Systems, Inc. and Subsidiaries
Revenue Metrics
(in thousands)
(Unaudited)
Three Months Ended September 30, |
Nine Months Ended September 30, |
|||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
Revenue by type: |
||||||||||||||||
Software products |
$ | 20,788 | $ | 11,848 | $ | 58,052 | $ | 41,181 | ||||||||
Maintenance |
5,183 | 5,260 | 16,109 | 15,877 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Total |
$ | 25,971 | $ | 17,108 | $ | 74,161 | $ | 57,058 | ||||||||
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|
|||||||||
Revenue by Product Group: |
||||||||||||||||
Enhanced Messaging |
$ | 16,108 | $ | 10,622 | $ | 49,458 | $ | 38,786 | ||||||||
Video/Voice |
9,863 | 6,486 | 24,703 | 18,272 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Total |
$ | 25,971 | $ | 17,108 | $ | 74,161 | $ | 57,058 | ||||||||
|
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|
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|
|
|
|||||||||
Revenue by Geographic Area: |
||||||||||||||||
Americas |
$ | 15,678 | $ | 8,666 | $ | 37,041 | $ | 28,952 | ||||||||
EMEA |
7,325 | 4,177 | 24,994 | 16,661 | ||||||||||||
APAC |
2,968 | 4,265 | 12,126 | 11,445 | ||||||||||||
|
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|
|
|
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|
|
|||||||||
Total |
$ | 25,971 | $ | 17,108 | $ | 74,161 | $ | 57,058 | ||||||||
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|
Mavenir Systems, Inc. and Subsidiaries
Reconciliation of GAAP Financial Measures to Non-GAAP Financial Measures
(in thousands)
(Unaudited)
Three Months Ended September 30, |
Nine Months Ended September 30, |
|||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
Software Products |
||||||||||||||||
Revenue |
$ | 20,788 | $ | 11,848 | $ | 58,052 | $ | 41,181 | ||||||||
Cost of Revenue |
10,806 | 6,068 | 28,220 | 17,314 | ||||||||||||
Amortization and Depreciation |
134 | 37 | 375 | 256 | ||||||||||||
Stock Based Compensation |
131 | | 131 | | ||||||||||||
Gross Profit (GAAP) |
9,982 | 5,780 | 29,832 | 23,867 | ||||||||||||
Gross Profit (Non-GAAP) |
10,247 | 5,817 | 30,338 | 24,123 | ||||||||||||
Maintenance |
||||||||||||||||
Revenue |
5,183 | 5,260 | 16,109 | 15,877 | ||||||||||||
Cost of Revenue |
2,716 | 1,900 | 5,543 | 5,744 | ||||||||||||
Gross Profit (GAAP) |
2,467 | 3,360 | 10,566 | 10,133 | ||||||||||||
Gross Profit (Non-GAAP) |
2,467 | 3,360 | 10,566 | 10,133 | ||||||||||||
Total Revenue |
25,971 | 17,108 | 74,161 | 57,058 | ||||||||||||
Total Gross Profit (GAAP) |
12,449 | 9,140 | 40,398 | 34,000 | ||||||||||||
Gross Profit Margin % (GAAP) |
47.9 | % | 53.4 | % | 54.5 | % | 59.6 | % | ||||||||
Gross Profit (Non-GAAP) |
12,714 | 9,177 | 40,904 | 34,256 | ||||||||||||
Gross Profit Margin % (Non-GAAP) |
49.0 | % | 53.6 | % | 55.2 | % | 60.0 | % | ||||||||
Operations Expenses |
||||||||||||||||
R&D (GAAP) |
5,436 | 5,552 | 16,934 | 18,401 | ||||||||||||
Amortization and Depreciation |
284 | 78 | 778 | 533 | ||||||||||||
Stock Based Compensation |
209 | | 209 | | ||||||||||||
R&D (Non-GAAP) |
4,943 | 5,474 | 15,947 | 17,868 | ||||||||||||
S&M (GAAP) |
4,675 | 4,025 | 14,331 | 12,633 | ||||||||||||
Amortization and Depreciation |
| | | | ||||||||||||
Stock Based Compensation |
400 | | 400 | | ||||||||||||
S&M (Non-GAAP) |
4,275 | 4,025 | 13,931 | 12,633 | ||||||||||||
G&A (GAAP) |
5,745 | 3,995 | 15,106 | 11,942 | ||||||||||||
Amortization and Depreciation |
632 | 172 | 1,696 | 1,183 | ||||||||||||
Stock Based Compensation |
120 | 87 | 421 | 203 | ||||||||||||
G&A (Non-GAAP) |
4,993 | 3,736 | 12,989 | 10,556 | ||||||||||||
Total Operating Expenses (GAAP) |
15,856 | 13,572 | 46,371 | 42,976 | ||||||||||||
Operating Expenses (Non-GAAP) |
14,211 | 13,235 | 42,867 | 41,057 | ||||||||||||
Operating Loss (GAAP) |
$ | (3,407 | ) | $ | (4,432 | ) | $ | (5,973 | ) | $ | (8,976 | ) | ||||
Net Interest |
1,068 | 38 | 2,175 | 63 | ||||||||||||
Foreign exchange (gain)/loss |
(316 | ) | (1,095 | ) | 2,328 | (225 | ) | |||||||||
Taxes |
354 | 43 | 1,972 | 254 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Net Loss (GAAP) |
$ | (4,513 | ) | $ | (3,418 | ) | $ | (12,448 | ) | $ | (9,068 | ) | ||||
Operating Loss (Non-GAAP)* |
$ | (1,497 | ) | $ | (4,058 | ) | $ | (1,963 | ) | $ | (6,801 | ) | ||||
Net Interest |
1,068 | 38 | 2,175 | 63 | ||||||||||||
Taxes |
354 | 43 | 1,972 | 254 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Net Loss (Non-GAAP) |
$ | (2,919 | ) | $ | (4,139 | ) | $ | (6,110 | ) | $ | (7,118 | ) |
* | Non-GAAP Operating Income is Mavenir Adjusted EBITDA as reported in the Company prospectus. |
Mavenir Systems, Inc. and Subsidiaries
Reconciliation of Non-GAAP Earnings Per Share
(all shares are weighted average outstanding for period presented)
( In thousands, except share and per share data)
(Unaudited)
Three Months Ended September 30, |
||||||||||||
2013 | 2012 | |||||||||||
GAAP weighted average common shares outstanding |
1,348,151 | 1,309,581 | ||||||||||
Conversion of preferred shares |
* | 16,452,467 | 16,452,467 | |||||||||
|
|
|
|
|||||||||
Proforma weighted average common shares outstanding |
17,800,618 | 17,762,048 | ||||||||||
Non-GAAP net loss |
$ | (2,919 | ) | $ | (4,139 | ) | ||||||
Proforma non-GAAP net loss per share |
$ | (0.16 | ) | $ | (0.23 | ) | ||||||
Q4 2013 Forecast |
||||||||||||
Beginning shares outstanding |
1,357,219 | |||||||||||
Conversion of preferred shares |
16,452,467 | |||||||||||
Shares issued at initial public offering |
* | * | 2,906,667 | |||||||||
Options exercised |
* | ** | 6,945 | |||||||||
|
|
|||||||||||
Proforma weighted average common shares outstanding |
20,723,298 | |||||||||||
Non-GAAP net loss range |
$ | (2,900 | ) | $ | (1,900 | ) | ||||||
Proforma non-GAAP net loss per share |
$ | (0.14 | ) | $ | (0.09 | ) |
* | Assumes conversion of preferred shares at beginning of period |
** | Represents weighted average of 5,450,000 shares issued, which includes 129,708 shares from certain selling stockholders. |
*** | Options exercised as of December 3, 2013 |
CONTACTS:
Investor Contact:
Doug Patterson
Mavenir Systems, Inc.
IR@mavenir.com
469-916-4393 x 5090
Press Contact:
Maryvonne Tubb
Mavenir Systems, Inc.
PR@mavenir.com
469-916-4393 x 5080
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