Delaware (State or other jurisdiction of incorporation) | 001-35335 (Commission File Number) | 27-0903295 (I.R.S. Employer Identification No.) |
600 West Chicago Avenue Suite 400 Chicago, Illinois (Address of principal executive offices) | 60654 (Zip Code) |
Item 2.02 | Results of Operations and Financial Condition.* |
Item 9.01 | Financial Statements and Exhibits. | |||
(d) | Exhibits: | |||
Exhibit No. | Description | |||
99.1* | Press Release dated February 27, 2013 |
GROUPON, INC. | ||
February 27, 2013 | By: | /s/ Jason E. Child |
Name: | Jason E. Child | |
Title: | Chief Financial Officer |
Exhibit No. | Description | |
99.1* | Press Release dated February 27, 2013. |
• | Fourth quarter consolidated gross billings of $1.52 billion, up 24% year-over-year |
• | Fourth quarter consolidated revenue of $638.3 million, up 30% year-over-year |
• | Fourth quarter operating loss of $12.9 million, compared with an operating loss of $15.0 million in fourth quarter 2011 |
• | Fourth quarter GAAP loss per share of $0.12, including $0.07 loss per share from a non-operating item, compared with a loss per share of $0.12 in fourth quarter 2011 |
• | Full year 2012 gross billings grew 35% to $5.38 billion, revenue increased 45% to $2.33 billion, and operating income of $98.7 million compared to a loss of $233.4 million in 2011 |
Three Months Ended December 31, | Y/Y % Growth | Year Ended December 31, | Y/Y % Growth | |||||||||||||||||||||||||||||||||||||
2012 | 2011 | Y/Y % Growth | FX Effect(2) | excluding FX (2) | 2012 | 2011 | Y/Y % Growth | FX Effect(2) | excluding FX (2) | |||||||||||||||||||||||||||||||
Gross Billings (1) | ||||||||||||||||||||||||||||||||||||||||
North America | $ | 718,952 | $ | 475,807 | 51.1 | % | $ | (2,569 | ) | 51.6 | % | $ | 2,373,153 | $ | 1,561,927 | 51.9 | % | $ | (2,780 | ) | 52.1 | % | ||||||||||||||||||
International | 801,500 | 755,061 | 6.2 | % | (18,451 | ) | 8.6 | % | 3,007,031 | 2,423,574 | 24.1 | % | (180,739 | ) | 31.5 | % | ||||||||||||||||||||||||
Consolidated billings | $ | 1,520,452 | $ | 1,230,868 | 23.5 | % | $ | (21,020 | ) | 25.2 | % | $ | 5,380,184 | $ | 3,985,501 | 35.0 | % | $ | (183,519 | ) | 39.6 | % | ||||||||||||||||||
Revenue: | ||||||||||||||||||||||||||||||||||||||||
North America | $ | 375,351 | $ | 179,638 | 108.9 | % | $ | (1,082 | ) | 109.6 | % | $ | 1,165,700 | $ | 634,980 | 83.6 | % | $ | (1,156 | ) | 83.8 | % | ||||||||||||||||||
International | 262,951 | 312,526 | (15.9 | ) | % | (6,629 | ) | (13.7 | ) | % | 1,168,772 | 975,450 | 19.8 | % | (72,960 | ) | 27.3 | % | ||||||||||||||||||||||
Consolidated revenue | $ | 638,302 | $ | 492,164 | 29.7 | % | $ | (7,711 | ) | 31.3 | % | $ | 2,334,472 | $ | 1,610,430 | 45.0 | % | $ | (74,116 | ) | 49.6 | % | ||||||||||||||||||
Operating (loss) income | $ | (12,861 | ) | $ | (14,972 | ) | 14.1 | % | $ | 135 | 13.2 | % | $ | 98,701 | $ | (233,386 | ) | N/A | $ | (7,401 | ) | N/A | ||||||||||||||||||
Net loss attributable to common stockholders | $ | (81,089 | ) | $ | (65,379 | ) | (24.0 | ) | % | $ | 1,102 | (25.7 | ) | % | $ | (67,377 | ) | $ | (373,494 | ) | 82.0 | % | $ | (9,283 | ) | 84.4 | % | |||||||||||||
Net loss per share | ||||||||||||||||||||||||||||||||||||||||
Basic | $(0.12) | $(0.12) | $(0.10) | $(1.03) | ||||||||||||||||||||||||||||||||||||
Diluted | $(0.12) | $(0.12) | $(0.10) | $(1.03) | ||||||||||||||||||||||||||||||||||||
Weighted average basic shares outstanding | 655,678,123 | 528,421,712 | 650,214,119 | 362,261,324 | ||||||||||||||||||||||||||||||||||||
Weighted average diluted shares outstanding | 655,678,123 | 528,421,712 | 650,214,119 | 362,261,324 |
(1) | Represents the total dollar value of customer purchases of goods and services, excluding applicable taxes and net of estimated refunds. Includes direct billings and third party and other billings. |
(2) | Represents change in financial measures that would have resulted had average exchange rates in the reporting period been the same as those in effect in the three months and year ended December 31, 2011. |
• | Largest sequential gross billings increase in Groupon history. All categories contributed to the biggest sequential increase in platform growth on an absolute dollar basis in Groupon's history. |
• | Unit milestone. The Company surpassed the 50 million unit mark for the first time in the fourth quarter 2012. Consolidated units, defined as vouchers and products ordered before cancellations and refunds, grew 21% year-over-year. |
• | Seasonal strength in Groupon Goods. After a successful holiday season, Goods has now reached an annual run rate of about $2.0 billion in global billings, just five quarters after its launch. |
• | Growing merchant selection and quality. As of the end of the fourth quarter, the number of active deals in North America increased almost 300% year-over-year to nearly 37,000. |
• | Continued customer acquisition efficiencies. Marketing expense per new customer improved 61% year-over-year in the fourth quarter 2012, enabling the reduction of overall marketing spend by 61% compared with the fourth quarter 2011. As of December 31, 2012, Groupon had 41.0 million active customers, an increase of 22% year-over-year, with gross customer additions partially offset by higher customer inactivations. |
• | Substantial growth in mobile transaction activity. In January 2013, nearly 40% of North American transactions were completed on mobile devices, an increase of 44% compared with January 2012. This compares with about one third of transactions completed on mobile devices in October 2012. |
• | Launch of merchant services in 2012. Groupon launched a number of services in 2012 to strengthen relationships with local businesses, including Breadcrumb and Payments. |
Three Months Ended December 31, | Year Ended December 31, | ||||||||||||||
2012 | 2011 | 2012 | 2011 | ||||||||||||
Operating activities | |||||||||||||||
Net loss | $ | (80,047 | ) | $ | (59,679 | ) | $ | (51,031 | ) | $ | (297,762 | ) | |||
Adjustments to reconcile net loss to net cash provided by operating activities: | |||||||||||||||
Depreciation and amortization | 15,965 | 9,301 | 55,801 | 32,055 | |||||||||||
Stock-based compensation | 26,411 | 32,668 | 104,117 | 93,590 | |||||||||||
Deferred income taxes | (17,259 | ) | 31,601 | (7,651 | ) | 32,203 | |||||||||
Excess tax benefits on stock-based compensation | (2,403 | ) | 1,145 | (27,023 | ) | (10,178 | ) | ||||||||
Loss on equity method investees | 1,231 | 6,678 | 9,925 | 26,652 | |||||||||||
Acquisition-related expense (benefit), net | 153 | 256 | 897 | (4,537 | ) | ||||||||||
Gain on return of common stock | — | — | — | (4,916 | ) | ||||||||||
Gain on E-Commerce transaction | — | — | (56,032 | ) | — | ||||||||||
Impairment of cost method investment | 50,553 | — | 50,553 | — | |||||||||||
Change in assets and liabilities, net of acquisitions: | |||||||||||||||
Restricted cash | (2,517 | ) | (4,378 | ) | (4,372 | ) | (12,519 | ) | |||||||
Accounts receivable | 12,723 | (686 | ) | 10,534 | (70,376 | ) | |||||||||
Prepaid expenses and other current assets | (45,922 | ) | 4,731 | (70,859 | ) | (36,292 | ) | ||||||||
Accounts payable | 5,537 | 927 | 18,711 | (20,997 | ) | ||||||||||
Accrued merchant and supplier payables | 96,029 | 65,236 | 149,918 | 380,108 | |||||||||||
Accrued expenses and other current liabilities | (20,268 | ) | 80,164 | 47,742 | 189,127 | ||||||||||
Other, net | 25,531 | 1,113 | 35,604 | (5,711 | ) | ||||||||||
Net cash provided by operating activities | 65,717 | 169,077 | 266,834 | 290,447 | |||||||||||
Net cash used in investing activities | (52,753 | ) | (34,907 | ) | (194,979 | ) | (147,433 | ) | |||||||
Net cash (used in) provided by financing activities | (6,495 | ) | 746,913 | 12,095 | 867,205 | ||||||||||
Effect of exchange rate changes on cash and cash equivalents | 1,809 | (2,083 | ) | 2,404 | (6,117 | ) | |||||||||
Net increase in cash and cash equivalents | 8,278 | 879,000 | 86,354 | 1,004,102 | |||||||||||
Cash and cash equivalents, beginning of period | 1,201,011 | 243,935 | 1,122,935 | 118,833 | |||||||||||
Cash and cash equivalents, end of the period | $ | 1,209,289 | $ | 1,122,935 | $ | 1,209,289 | $ | 1,122,935 |
Three Months Ended December 31, | Year Ended December 31, | |||||||||||||||
2012 | 2011 | 2012 | 2011 | |||||||||||||
Revenue: | ||||||||||||||||
Third party and other revenue | $ | 413,127 | $ | 478,510 | $ | 1,879,729 | $ | 1,589,604 | ||||||||
Direct revenue | 225,175 | 13,654 | 454,743 | 20,826 | ||||||||||||
Total revenue | 638,302 | 492,164 | 2,334,472 | 1,610,430 | ||||||||||||
Cost of revenue: | ||||||||||||||||
Third party and other revenue | 63,905 | 86,882 | 297,739 | 243,789 | ||||||||||||
Direct revenue | 218,567 | 9,383 | 421,201 | 15,090 | ||||||||||||
Total cost of revenue | 282,472 | 96,265 | 718,940 | 258,879 | ||||||||||||
Gross profit | 355,830 | 395,899 | 1,615,532 | 1,351,551 | ||||||||||||
Operating expenses: | ||||||||||||||||
Marketing | 60,913 | 155,299 | 336,854 | 768,472 | ||||||||||||
Selling, general and administrative | 307,625 | 255,316 | 1,179,080 | 821,002 | ||||||||||||
Acquisition-related expense (benefit), net | 153 | 256 | 897 | (4,537 | ) | |||||||||||
Total operating expenses | 368,691 | 410,871 | 1,516,831 | 1,584,937 | ||||||||||||
(Loss) income from operations | (12,861 | ) | (14,972 | ) | 98,701 | (233,386 | ) | |||||||||
Interest and other (expense) income, net | (48,279 | ) | (3,835 | ) | 6,166 | 5,973 | ||||||||||
Loss on equity method investees | (1,231 | ) | (6,678 | ) | (9,925 | ) | (26,652 | ) | ||||||||
(Loss) income before provision for income taxes | (62,371 | ) | (25,485 | ) | 94,942 | (254,065 | ) | |||||||||
Provision for income taxes | 17,676 | 34,194 | 145,973 | 43,697 | ||||||||||||
Net loss | (80,047 | ) | (59,679 | ) | (51,031 | ) | (297,762 | ) | ||||||||
Less: Net (income) loss attributable to noncontrolling interests | (936 | ) | (5,267 | ) | (3,742 | ) | 18,335 | |||||||||
Net loss attributable to Groupon, Inc. | (80,983 | ) | (64,946 | ) | (54,773 | ) | (279,427 | ) | ||||||||
Redemption of preferred stock in excess of carrying value | — | — | — | (34,327 | ) | |||||||||||
Adjustment of redeemable noncontrolling interests to redemption value | (106 | ) | (433 | ) | (12,604 | ) | (59,740 | ) | ||||||||
Net loss attributable to common stockholders | $ | (81,089 | ) | $ | (65,379 | ) | $ | (67,377 | ) | $ | (373,494 | ) | ||||
Net loss per share | ||||||||||||||||
Basic | $(0.12) | $(0.12) | $(0.10) | $(1.03) | ||||||||||||
Diluted | $(0.12) | $(0.12) | $(0.10) | $(1.03) | ||||||||||||
Weighted average number of shares outstanding | ||||||||||||||||
Basic | 655,678,123 | 528,421,712 | 650,214,119 | 362,261,324 | ||||||||||||
Diluted | 655,678,123 | 528,421,712 | 650,214,119 | 362,261,324 |
December 31, | ||||||||
2012 | 2011 | |||||||
Assets | ||||||||
Current assets: | ||||||||
Cash and cash equivalents | $ | 1,209,289 | $ | 1,122,935 | ||||
Accounts receivable, net | 96,713 | 108,747 | ||||||
Deferred income taxes | 31,211 | 19,243 | ||||||
Prepaid expenses and other current assets | 150,573 | 72,402 | ||||||
Total current assets | 1,487,786 | 1,323,327 | ||||||
Property, equipment and software, net | 121,072 | 51,800 | ||||||
Goodwill | 206,684 | 166,903 | ||||||
Intangible assets, net | 42,597 | 45,667 | ||||||
Investments | 84,209 | 50,604 | ||||||
Deferred income taxes, non-current | 29,916 | 46,104 | ||||||
Other non-current assets | 59,210 | 90,071 | ||||||
Total Assets | $ | 2,031,474 | $ | 1,774,476 | ||||
Liabilities and Stockholders' Equity | ||||||||
Current liabilities: | ||||||||
Accounts payable | $ | 59,865 | $ | 40,918 | ||||
Accrued merchant and supplier payables | 671,305 | 520,723 | ||||||
Accrued expenses | 246,924 | 212,007 | ||||||
Deferred income taxes | 53,700 | 76,841 | ||||||
Other current liabilities | 136,647 | 144,673 | ||||||
Total current liabilities | 1,168,441 | 995,162 | ||||||
Deferred income taxes, non-current | 20,860 | 7,428 | ||||||
Other non-current liabilities | 100,072 | 70,766 | ||||||
Total Liabilities | 1,289,373 | 1,073,356 | ||||||
Commitments and contingencies | ||||||||
Redeemable noncontrolling interests | — | 1,653 | ||||||
Stockholders' Equity | ||||||||
Class A common stock, par value $0.0001 per share, 2,000,000,000 shares authorized, 654,523,706 and 641,745,225 shares issued and outstanding at December 31, 2012 and 2011, respectively | 65 | 64 | ||||||
Class B common stock, par value $0.0001 per share, 10,000,000 shares authorized, 2,399,976 shares issued and outstanding at December 31, 2012 and 2011 | — | — | ||||||
Common stock, par value $0.0001 per share, 2,010,000,000 shares authorized, no shares issued and outstanding at December 31, 2012 and 2011 | — | — | ||||||
Additional paid-in capital | 1,485,006 | 1,388,253 | ||||||
Accumulated deficit | (753,477 | ) | (698,704 | ) | ||||
Accumulated other comprehensive income | 12,446 | 12,928 | ||||||
Total Groupon, Inc. Stockholders' Equity | 744,040 | 702,541 | ||||||
Noncontrolling interests | (1,939 | ) | (3,074 | ) | ||||
Total Equity | 742,101 | 699,467 | ||||||
Total Liabilities and Equity | $ | 2,031,474 | $ | 1,774,476 |
Three Months Ended December 31, | Year Ended December 31, | ||||||||||||||||
2012 | 2011 | 2012 | 2011 | ||||||||||||||
North America | |||||||||||||||||
Gross Billings (1) | $ | 718,952 | $ | 475,807 | $ | 2,373,153 | $ | 1,561,927 | |||||||||
Revenue | $ | 375,351 | $ | 179,638 | $ | 1,165,700 | $ | 634,980 | |||||||||
Segment cost of revenue and operating expenses (2)(3) | 358,319 | 161,399 | 1,025,974 | 630,184 | |||||||||||||
Segment operating income (3) | $ | 17,032 | $ | 18,239 | $ | 139,726 | $ | 4,796 | |||||||||
Segment income as a percent of segment revenue | 4.5 | % | 10.2 | % | 12.0 | % | 0.8 | % | |||||||||
International | |||||||||||||||||
Gross Billings (1) | $ | 801,500 | $ | 755,061 | $ | 3,007,031 | $ | 2,423,574 | |||||||||
Revenue | $ | 262,951 | $ | 312,526 | $ | 1,168,772 | $ | 975,450 | |||||||||
Segment cost of revenue and operating expenses (2)(3) | 266,280 | 312,813 | 1,104,783 | 1,124,579 | |||||||||||||
Segment operating (loss) income (3) | $ | (3,329 | ) | $ | (287 | ) | $ | 63,989 | $ | (149,129 | ) | ||||||
Segment (loss) income as a percent of segment revenue | (1.3 | ) | % | (0.1 | ) | % | 5.5 | % | (15.3 | ) | % | ||||||
Consolidated | |||||||||||||||||
Gross Billings (1) | $ | 1,520,452 | $ | 1,230,868 | $ | 5,380,184 | $ | 3,985,501 | |||||||||
Revenue | $ | 638,302 | $ | 492,164 | $ | 2,334,472 | $ | 1,610,430 | |||||||||
Segment cost of revenue and operating expenses (2) | 624,599 | 474,212 | 2,130,757 | 1,754,763 | |||||||||||||
Segment operating income (loss) | $ | 13,703 | $ | 17,952 | $ | 203,715 | $ | (144,333 | ) | ||||||||
Segment income (loss) as a percent of segment revenue | 2.1 | % | 3.6 | % | 8.7 | % | (9.0 | ) | % | ||||||||
Stock-based compensation | 26,411 | 32,668 | 104,117 | 93,590 | |||||||||||||
Acquisition-related expense (benefit), net | 153 | 256 | 897 | (4,537 | ) | ||||||||||||
Operating (loss) income | (12,861 | ) | (14,972 | ) | 98,701 | (233,386 | ) | ||||||||||
Interest and other expense (income), net | 48,279 | 3,835 | (6,166 | ) | (5,973 | ) | |||||||||||
Loss on equity method investees | 1,231 | 6,678 | 9,925 | 26,652 | |||||||||||||
(Loss) income before provision for income taxes | (62,371 | ) | (25,485 | ) | 94,942 | (254,065 | ) | ||||||||||
Provision for income taxes | 17,676 | 34,194 | 145,973 | 43,697 | |||||||||||||
Net loss | $ | (80,047 | ) | $ | (59,679 | ) | $ | (51,031 | ) | $ | (297,762 | ) |
(1) | Represents the total dollar value of customer purchases of goods and services, excluding any applicable taxes and net of estimated refunds. Includes direct billings and third party and other billings. |
(2) | Represents cost of revenue and operating expenses, excluding stock-based compensation and acquisition-related expense (benefit), net. |
(3) | We record intercompany cross-charges every period for services provided by the United States to our international subsidiaries. We updated our intercompany allocations for those charges during the fourth quarter of 2012, which resulted in a one-time $8.5 million decrease to International Segment operating expenses (reduction to International Segment operating loss) and a corresponding increase to North America Segment operating expenses (reduction to North America Segment operating income). |
Three Months Ended December 31, | Year Ended December 31, | |||||||||||||||
2012 | 2011 | 2012 | 2011 | |||||||||||||
Net cash provided by operating activities | $ | 65,717 | $ | 169,077 | $ | 266,834 | $ | 290,447 | ||||||||
Purchases of property and equipment and capitalized software | (40,034 | ) | (13,986 | ) | (95,836 | ) | (43,811 | ) | ||||||||
Free cash flow | $ | 25,683 | $ | 155,091 | $ | 170,998 | $ | 246,636 | ||||||||
Net cash used in investing activities | $ | (52,753 | ) | $ | (34,907 | ) | $ | (194,979 | ) | $ | (147,433 | ) | ||||
Net cash (used in) provided by financing activities | $ | (6,495 | ) | $ | 746,913 | $ | 12,095 | $ | 867,205 |
Three Months Ended December 31, 2012 | Three Months Ended December 31, 2012 | |||||||||||||||||||||||
At Avg. Q4 2011 Rates(1) | Exchange Rate Effect(2) | As Reported | At Avg. Q3 2012 Rates(3) | Exchange Rate Effect(2) | As Reported | |||||||||||||||||||
Revenue | $ | 646,013 | $ | (7,711 | ) | $ | 638,302 | $ | 634,734 | $ | 3,568 | $ | 638,302 | |||||||||||
Loss from operations | $ | (12,996 | ) | $ | 135 | $ | (12,861 | ) | $ | (12,075 | ) | $ | (786 | ) | $ | (12,861 | ) |
Year Ended December 31, 2012 | Year Ended December 31, 2012 | |||||||||||||||||||||||
At Avg. 2011 Rates(1) | Exchange Rate Effect(2) | As Reported | At Avg. Q4'11 - Q3'12 Rates(3) | Exchange Rate Effect(2) | As Reported | |||||||||||||||||||
Revenue | $ | 2,408,588 | $ | (74,116 | ) | $ | 2,334,472 | $ | 2,344,952 | $ | (10,480 | ) | $ | 2,334,472 | ||||||||||
Income from operations | $ | 106,102 | $ | (7,401 | ) | $ | 98,701 | $ | 105,467 | $ | (6,766 | ) | $ | 98,701 |
(1) | Represents the outcome that would have resulted had average exchange rates in the reported period been the same as those in effect during the three months and year ended December 31, 2011. |
(2) | Represents the increase or decrease in reported amounts resulting from changes in exchange rates from those in effect in the comparable period. |
(3) | Represents the outcome that would have resulted had average exchange rates in the reported period been the same as those in effect during the three and twelve months ended September 30, 2012. |
Q1 2011 (8) | Q2 2011 | Q3 2011 | Q4 2011 | Q1 2012 | Q2 2012 | Q3 2012 | Q4 2012 | ||||||||||||||||||||||||||
Segments | |||||||||||||||||||||||||||||||||
North America Segment: | |||||||||||||||||||||||||||||||||
Gross Billings(1) | $ | 315,152 | $ | 369,990 | $ | 400,978 | $ | 475,807 | $ | 553,557 | $ | 548,275 | $ | 552,369 | $ | 718,952 | |||||||||||||||||
Year-over-year growth | 610 | % | 359 | % | 204 | % | 118 | % | 76 | % | 48 | % | 38 | % | 51 | % | |||||||||||||||||
% of Consolidated Gross Billings | 47 | % | 40 | % | 35 | % | 39 | % | 41 | % | 43 | % | 45 | % | 47 | % | |||||||||||||||||
Gross Billings(1) Trailing Twelve Months (TTM) | $ | 745,772 | $ | 1,035,183 | $ | 1,304,128 | $ | 1,561,927 | $ | 1,800,332 | $ | 1,978,617 | $ | 2,130,008 | $ | 2,373,153 | |||||||||||||||||
Revenue: | |||||||||||||||||||||||||||||||||
Third Party and Other Revenue(2) | $ | 136,612 | $ | 157,205 | $ | 161,525 | $ | 179,638 | $ | 230,984 | $ | 207,119 | $ | 158,545 | $ | 165,776 | |||||||||||||||||
Direct Revenue(2) | — | — | — | — | 7,581 | 53,062 | 133,058 | 209,575 | |||||||||||||||||||||||||
Total Revenue | $ | 136,612 | $ | 157,205 | $ | 161,525 | $ | 179,638 | $ | 238,565 | $ | 260,181 | $ | 291,603 | $ | 375,351 | |||||||||||||||||
Year-over-year growth | 574 | % | 341 | % | 188 | % | 103 | % | 75 | % | 66 | % | 81 | % | 109 | % | |||||||||||||||||
% of Consolidated Revenue | 46 | % | 40 | % | 38 | % | 36 | % | 43 | % | 46 | % | 51 | % | 59 | % | |||||||||||||||||
Revenue TTM | $ | 316,752 | $ | 438,305 | $ | 543,705 | $ | 634,980 | $ | 736,933 | $ | 839,909 | $ | 969,987 | $ | 1,165,700 | |||||||||||||||||
Cost of Revenue: | |||||||||||||||||||||||||||||||||
Third Party and Other Cost of Revenue(3) | $ | 25,050 | $ | 32,169 | $ | 31,316 | $ | 51,419 | $ | 62,580 | $ | 40,155 | $ | 15,475 | $ | 27,002 | |||||||||||||||||
Direct Cost of Revenue(3) | — | — | — | — | 6,671 | 46,159 | 115,560 | 196,789 | |||||||||||||||||||||||||
Total Cost of Revenue | $ | 25,050 | $ | 32,169 | $ | 31,316 | $ | 51,419 | $ | 69,251 | $ | 86,314 | $ | 131,035 | $ | 223,791 | |||||||||||||||||
% of North America Total Revenue | 18 | % | 20 | % | 19 | % | 29 | % | 29 | % | 33 | % | 45 | % | 60 | % | |||||||||||||||||
Gross Profit: | |||||||||||||||||||||||||||||||||
Third Party and Other | $ | 111,562 | $ | 125,036 | $ | 130,209 | $ | 128,219 | $ | 168,404 | $ | 166,964 | $ | 143,070 | $ | 138,774 | |||||||||||||||||
Direct | — | — | — | — | 910 | 6,903 | 17,498 | 12,786 | |||||||||||||||||||||||||
Total | $ | 111,562 | $ | 125,036 | $ | 130,209 | $ | 128,219 | $ | 169,314 | $ | 173,867 | $ | 160,568 | $ | 151,560 | |||||||||||||||||
% of North America Total Revenue | 82 | % | 80 | % | 81 | % | 71 | % | 71 | % | 67 | % | 55 | % | 40 | % | |||||||||||||||||
Operating (Loss) Income Excl Stock-Based Compensation (SBC), Acquisition-Related Expenses | $ | (21,778 | ) | $ | (10,501 | ) | $ | 18,836 | $ | 18,239 | $ | 40,172 | $ | 43,429 | $ | 39,093 | $ | 17,032 | |||||||||||||||
Year-over-year growth | N/A | (2,678 | ) | % | 496 | % | N/A | N/A | N/A | 108 | % | (7 | ) | % | |||||||||||||||||||
% of Consolidated Operating Income (Loss) Excl SBC, Acq-Related | 22 | % | 17 | % | 1,113 | % | 102 | % | 59 | % | 60 | % | 77 | % | 124 | % | |||||||||||||||||
Operating Margin Excl SBC, Acq-Related (% of North America Total revenue) | (15.9 | ) | % | (6.7 | ) | % | 11.7 | % | 10.2 | % | 16.8 | % | 16.7 | % | 13.4 | % | 4.5 | % | |||||||||||||||
Year-over-year growth (bps) | (5,879 | ) | (562 | ) | 603 | 3,494 | 3,278 | 2,337 | 170 | (570 | ) | ||||||||||||||||||||||
Operating (Loss) Income TTM Excl SBC, Acq-Related | $ | (40,901 | ) | $ | (51,024 | ) | $ | (35,348 | ) | $ | 4,796 | $ | 66,746 | $ | 120,676 | $ | 140,933 | $ | 139,726 | ||||||||||||||
Operating Margin TTM Excl SBC, Acq-Related (% of North America Total TTM revenue) | (12.9 | ) | % | (11.6 | ) | % | (6.5 | ) | % | 0.8 | % | 9.1 | % | 14.4 | % | 14.5 | % | 12.0 | % | ||||||||||||||
Year-over-year growth (bps) | (3,604 | ) | (2,266 | ) | (1,467 | ) | 596 | 2,197 | 2,601 | 2,100 | 1,120 | ||||||||||||||||||||||
International Segment: | |||||||||||||||||||||||||||||||||
Gross Billings(1) | $ | 353,022 | $ | 559,259 | $ | 756,232 | $ | 755,061 | $ | 801,243 | $ | 738,401 | $ | 665,887 | $ | 801,500 | |||||||||||||||||
Year-over-year growth | N/A | 5,057 | % | 1,115 | % | 283 | % | 127 | % | 32 | % | (12 | ) | % | 6 | % | |||||||||||||||||
Year-over-year growth, excluding FX(4) | N/A | 4,587 | % | 1,021 | % | 287 | % | 138 | % | 45 | % | (4 | ) | % | 9 | % | |||||||||||||||||
% of Consolidated Gross Billings | 53 | % | 60 | % | 65 | % | 61 | % | 59 | % | 57 | % | 55 | % | 53 | % | |||||||||||||||||
Gross Billings(1) TTM | $ | 623,367 | $ | 1,171,781 | $ | 1,865,774 | $ | 2,423,574 | $ | 2,871,795 | $ | 3,050,937 | $ | 2,960,592 | $ | 3,007,031 | |||||||||||||||||
Revenue: | |||||||||||||||||||||||||||||||||
Third Party and Other Revenue(2) | $ | 158,911 | $ | 235,377 | $ | 261,464 | $ | 298,872 | $ | 309,069 | $ | 295,866 | $ | 265,019 | $ | 247,351 | |||||||||||||||||
Direct Revenue(2) | — | — | 7,172 | 13,654 | 11,649 | 12,288 | 11,930 | 15,600 | |||||||||||||||||||||||||
Total Revenue | $ | 158,911 | $ | 235,377 | $ | 268,636 | $ | 312,526 | $ | 320,718 | $ | 308,154 | $ | 276,949 | $ | 262,951 | |||||||||||||||||
Year-over-year growth | N/A | 7,709 | % | 947 | % | 273 | % | 102 | % | 31 | % | 3 | % | (16 | ) | % | |||||||||||||||||
Year-over-year growth, excluding FX(4) | N/A | 7,013 | % | 868 | % | 276 | % | 112 | % | 44 | % | 13 | % | (14 | ) | % | |||||||||||||||||
% of Consolidated Revenue | 54 | % | 60 | % | 62 | % | 64 | % | 57 | % | 54 | % | 49 | % | 41 | % | |||||||||||||||||
Revenue TTM | $ | 271,440 | $ | 503,803 | $ | 746,785 | $ | 975,450 | $ | 1,137,257 | $ | 1,210,034 | $ | 1,218,347 | $ | 1,168,772 | |||||||||||||||||
Cost of Revenue: | |||||||||||||||||||||||||||||||||
Third Party and Other Cost of Revenue(3) | $ | 14,715 | $ | 22,634 | $ | 31,023 | $ | 35,463 | $ | 40,049 | $ | 36,877 | $ | 38,698 | $ | 36,903 | |||||||||||||||||
Direct Cost of Revenue(3) | — | — | 5,707 | 9,383 | 10,198 | 11,993 | 12,053 | 21,778 | |||||||||||||||||||||||||
Total Cost of Revenue | $ | 14,715 | $ | 22,634 | $ | 36,730 | $ | 44,846 | $ | 50,247 | $ | 48,870 | $ | 50,751 | $ | 58,681 | |||||||||||||||||
% of International Total Revenue | 9 | % | 10 | % | 14 | % | 14 | % | 16 | % | 16 | % | 18 | % | 22 | % | |||||||||||||||||
Gross Profit: | |||||||||||||||||||||||||||||||||
Third Party and Other | $ | 144,196 | $ | 212,743 | $ | 230,441 | $ | 263,409 | $ | 269,020 | $ | 258,989 | $ | 226,321 | $ | 210,448 | |||||||||||||||||
Direct | — | — | 1,465 | 4,271 | 1,451 | 295 | (123 | ) | (6,178 | ) | |||||||||||||||||||||||
Total | $ | 144,196 | $ | 212,743 | $ | 231,906 | $ | 267,680 | $ | 270,471 | $ | 259,284 | $ | 226,198 | $ | 204,270 | |||||||||||||||||
% of International Total Revenue | 91 | % | 90 | % | 86 | % | 86 | % | 84 | % | 84 | % | 82 | % | 78 | % | |||||||||||||||||
Operating (Loss) Income Excl SBC, Acq-Related | $ | (76,506 | ) | $ | (51,808 | ) | $ | (20,528 | ) | $ | (287 | ) | $ | 27,418 | $ | 28,505 | $ | 11,395 | $ | (3,329 | ) | ||||||||||||
Year-over-year growth | N/A | (125 | ) | % | 21 | % | 100 | % | N/A | 155 | % | N/A | (1,060 | ) | % | ||||||||||||||||||
% of Consolidated Operating (Loss) Income Excl SBC, Acq-Related | 78 | % | 83 | % | (1,213 | ) | % | (2 | ) | % | 41 | % | 40 | % | 23 | % | (24 | ) | % | ||||||||||||||
Operating Margin Excl SBC, Acq-Related (% of International Total revenue) | (48.1 | ) | % | (22.0 | ) | % | (7.6 | ) | % | (0.1 | ) | % | 8.5 | % | 9.3 | % | 4.1 | % | (1.3 | ) | % | ||||||||||||
Year-over-year growth (bps) | N/A | 74,265 | 9,392 | 14,474 | 5,669 | 3,126 | 1,170 | (120 | ) | ||||||||||||||||||||||||
Operating (Loss) Income TTM Excl SBC, Acq-Related | $ | (247,063 | ) | $ | (275,824 | ) | $ | (270,298 | ) | $ | (149,129 | ) | $ | (45,205 | ) | $ | 35,108 | $ | 67,031 | $ | 63,989 | ||||||||||||
Operating Margin TTM Excl SBC, Acq-Related (% of International Total TTM revenue) | (91.0 | ) | % | (54.7 | ) | % | (36.2 | ) | % | (15.3 | ) | % | (4.0 | ) | % | 2.9 | % | 5.5 | % | 5.5 | % | ||||||||||||
Year-over-year growth (bps) | N/A | 70,992 | 13,508 | 13,628 | 8,704 | 5,765 | 4,170 | 2,080 | |||||||||||||||||||||||||
Consolidated Results of Operations | |||||||||||||||||||||||||||||||||
Gross Billings(1) | $ | 668,174 | $ | 929,249 | $ | 1,157,210 | $ | 1,230,868 | $ | 1,354,800 | $ | 1,286,676 | $ | 1,218,256 | $ | 1,520,452 | |||||||||||||||||
Year-over-year growth | 1,405 | % | 916 | % | 496 | % | 196 | % | 103 | % | 38 | % | 5 | % | 24 | % | |||||||||||||||||
Year-over-year growth, excluding FX(4) | 1,378 | % | 859 | % | 465 | % | 198 | % | 108 | % | 47 | % | 11 | % | 25 | % | |||||||||||||||||
Gross Billings(1) (TTM) | $ | 1,369,139 | $ | 2,206,964 | $ | 3,169,902 | $ | 3,985,501 | $ | 4,672,127 | $ | 5,029,554 | $ | 5,090,600 | $ | 5,380,184 | |||||||||||||||||
Year-over-year growth | 1,651 | % | 1,227 | % | 804 | % | 435 | % | 241 | % | 128 | % | 61 | % | 35 | % | |||||||||||||||||
Revenue: | |||||||||||||||||||||||||||||||||
Third Party and Other Revenue(2) | $ | 295,523 | $ | 392,582 | $ | 422,989 | $ | 478,510 | $ | 540,053 | $ | 502,985 | $ | 423,564 | $ | 413,127 | |||||||||||||||||
Direct Revenue(2) | — | — | 7,172 | 13,654 | 19,230 | 65,350 | 144,988 | 225,175 | |||||||||||||||||||||||||
Total Consolidated Revenue | $ | 295,523 | $ | 392,582 | $ | 430,161 | $ | 492,164 | $ | 559,283 | $ | 568,335 | $ | 568,552 | $ | 638,302 | |||||||||||||||||
Year-over-year growth | 1,358 | % | 915 | % | 426 | % | 186 | % | 89 | % | 45 | % | 32 | % | 30 | % | |||||||||||||||||
Year-over-year growth, excluding FX(4) | 1,332 | % | 858 | % | 401 | % | 188 | % | 95 | % | 53 | % | 38 | % | 31 | % | |||||||||||||||||
Total Consolidated Revenue TTM | $ | 588,192 | $ | 942,108 | $ | 1,290,490 | $ | 1,610,430 | $ | 1,874,190 | $ | 2,049,943 | $ | 2,188,334 | $ | 2,334,472 | |||||||||||||||||
Year-over-year growth | 1,594 | % | 1,205 | % | 761 | % | 415 | % | 219 | % | 118 | % | 70 | % | 45 | % | |||||||||||||||||
Cost of Revenue: | |||||||||||||||||||||||||||||||||
Third Party and Other Cost of Revenue(3) | $ | 39,765 | $ | 54,803 | $ | 62,339 | $ | 86,882 | $ | 102,629 | $ | 77,032 | $ | 54,173 | $ | 63,905 | |||||||||||||||||
Direct Cost of Revenue(3) | — | — | 5,707 | 9,383 | 16,869 | 58,152 | 127,613 | 218,567 | |||||||||||||||||||||||||
Total Consolidated Cost of Revenue | $ | 39,765 | $ | 54,803 | $ | 68,046 | $ | 96,265 | $ | 119,498 | $ | 135,184 | $ | 181,786 | $ | 282,472 | |||||||||||||||||
% of Total Consolidated Revenue | 13 | % | 14 | % | 16 | % | 20 | % | 21 | % | 24 | % | 32 | % | 44 | % | |||||||||||||||||
Gross Profit: | |||||||||||||||||||||||||||||||||
Third Party and Other | $ | 255,758 | $ | 337,779 | $ | 360,650 | $ | 391,628 | $ | 437,424 | $ | 425,953 | $ | 369,391 | $ | 349,222 | |||||||||||||||||
Direct | — | — | 1,465 | 4,271 | 2,361 | 7,198 | 17,375 | 6,608 | |||||||||||||||||||||||||
Total | $ | 255,758 | $ | 337,779 | $ | 362,115 | $ | 395,899 | $ | 439,785 | $ | 433,151 | $ | 386,766 | $ | 355,830 | |||||||||||||||||
% of Total Consolidated Revenue | 87 | % | 86 | % | 84 | % | 80 | % | 79 | % | 76 | % | 68 | % | 56 | % | |||||||||||||||||
Operating (Loss) Income Excl SBC, Acq-Related | $ | (98,284 | ) | $ | (62,309 | ) | $ | (1,692 | ) | $ | 17,952 | $ | 67,590 | $ | 71,934 | $ | 50,488 | $ | 13,703 | ||||||||||||||
Year-over-year growth | N/A | (166 | ) | % | 93 | % | N/A | N/A | N/A | N/A | (24 | ) | % | ||||||||||||||||||||
Operating Margin Excl SBC, Acq-Related (% of Total Consolidated revenue) | (33.3 | ) | % | (15.9 | ) | % | (0.4 | ) | % | 3.6 | % | 12.1 | % | 12.7 | % | 8.9 | % | 2.1 | % | ||||||||||||||
Year-over-year growth (bps) | (7,611 | ) | 4,471 | 2,760 | 8,689 | 4,534 | 2,853 | 930 | (150 | ) | |||||||||||||||||||||||
Operating (Loss) Income TTM Excl SBC, Acq-Related | $ | (287,964 | ) | $ | (326,848 | ) | $ | (305,646 | ) | $ | (144,333 | ) | $ | 21,541 | $ | 155,784 | $ | 207,964 | $ | 203,715 | |||||||||||||
Operating Margin TTM Excl SBC, Acq-Related (% of Total Consolidated TTM revenue) | (49.0 | ) | % | (34.7 | ) | % | (23.7 | ) | % | (9.0 | ) | % | 1.1 | % | 7.6 | % | 9.5 | % | 8.7 | % | |||||||||||||
Year-over-year growth (bps) | (7,208 | ) | (1,333 | ) | 245 | 4,887 | 5,011 | 4,229 | 3,320 | 1,770 | |||||||||||||||||||||||
Operating (Loss) Income | $ | (117,148 | ) | $ | (101,027 | ) | $ | (239 | ) | $ | (14,972 | ) | $ | 39,639 | $ | 46,485 | $ | 25,438 | $ | (12,861 | ) | ||||||||||||
Year-over-year growth | N/A | (174 | ) | % | 100 | % | 96 | % | N/A | N/A | N/A | 14 | % | ||||||||||||||||||||
Operating Margin (% of Total Consolidated revenue) | (39.6 | ) | % | (25.7 | ) | % | (0.1 | ) | % | (3.0 | ) | % | 7.1 | % | 8.2 | % | 4.5 | % | (2.0 | ) | % | ||||||||||||
Year-over-year growth (bps) | (8,192 | ) | 6,949 | 6,838 | 19,213 | 4,673 | 3,391 | 457 | 100 | ||||||||||||||||||||||||
Operating (Loss) Income TTM | $ | (546,064 | ) | $ | (610,272 | ) | $ | (554,543 | ) | $ | (233,386 | ) | $ | (76,599 | ) | $ | 70,913 | $ | 96,590 | $ | 98,701 | ||||||||||||
Operating Margin TTM (% of Total Consolidated TTM revenue) | (92.8 | ) | % | (64.8 | ) | % | (43.0 | ) | % | (14.5 | ) | % | (4.1 | ) | % | 3.5 | % | 4.4 | % | 4.2 | % | ||||||||||||
Year-over-year growth (bps) | (11,533 | ) | (2,457 | ) | 1,427 | 11,983 | 8,875 | 6,824 | 4,740 | 1,870 | |||||||||||||||||||||||
Net (Loss) Income Attributable to Common Stockholders | $ | (146,480 | ) | $ | (107,406 | ) | $ | (54,229 | ) | $ | (65,379 | ) | $ | (11,695 | ) | $ | 28,386 | $ | (2,979 | ) | $ | (81,089 | ) | ||||||||||
Weighted Average Basic Shares Outstanding | 307,849 | 303,415 | 307,605 | 528,422 | 644,097 | 647,150 | 653,224 | 655,678 | |||||||||||||||||||||||||
Weighted Average Diluted Shares Outstanding(5) | 307,849 | 303,415 | 307,605 | 528,422 | 644,097 | 663,123 | 653,224 | 655,678 | |||||||||||||||||||||||||
Net (Loss) Earnings per Share | |||||||||||||||||||||||||||||||||
Basic | $(0.48) | $(0.35) | $(0.18) | $(0.12) | $(0.02) | $0.04 | $(0.00) | $(0.12) | |||||||||||||||||||||||||
Diluted | $(0.48) | $(0.35) | $(0.18) | $(0.12) | $(0.02) | $0.04 | $(0.00) | $(0.12) | |||||||||||||||||||||||||
Depreciation and Amortization | |||||||||||||||||||||||||||||||||
North America | $ | 1,273 | $ | 1,910 | $ | 2,817 | $ | 4,515 | $ | 5,004 | $ | 6,669 | $ | 8,153 | $ | 10,754 | |||||||||||||||||
International | 6,325 | 6,188 | 4,241 | 4,786 | 6,712 | 6,141 | 7,157 | 5,211 | |||||||||||||||||||||||||
Consolidated | $ | 7,598 | $ | 8,098 | $ | 7,058 | $ | 9,301 | $ | 11,716 | $ | 12,810 | $ | 15,310 | $ | 15,965 |
Q1 2011 | Q2 2011 | Q3 2011 | Q4 2011 | Q1 2012 | Q2 2012 | Q3 2012 | Q4 2012 | ||||||||||||||||||||||||||
Operating (Loss) Income, excluding stock-based compensation and acquisition-related expense | $ | (98,284 | ) | $ | (62,309 | ) | $ | (1,692 | ) | $ | 17,952 | $ | 67,590 | $ | 71,934 | $ | 50,488 | $ | 13,703 | ||||||||||||||
Stock-based Compensation | (18,864 | ) | (38,718 | ) | (3,340 | ) | (32,668 | ) | (28,003 | ) | (27,084 | ) | (22,619 | ) | (26,411 | ) | |||||||||||||||||
Acquisition-related benefit (expense), net | — | — | 4,793 | (256 | ) | 52 | 1,635 | (2,431 | ) | (153 | ) | ||||||||||||||||||||||
Operating (Loss) Income | $ | (117,148 | ) | $ | (101,027 | ) | $ | (239 | ) | $ | (14,972 | ) | $ | 39,639 | $ | 46,485 | $ | 25,438 | $ | (12,861 | ) |
Q1 2011 | Q2 2011 | Q3 2011 | Q4 2011 | Q1 2012 | Q2 2012 | Q3 2012 | Q4 2012 | ||||||||||||||||||||||||||
Operating (Loss) Income, excluding stock-based compensation and acquisition-related expense | $ | (287,964 | ) | $ | (326,848 | ) | $ | (305,646 | ) | $ | (144,333 | ) | $ | 21,541 | $ | 155,784 | $ | 207,964 | $ | 203,715 | |||||||||||||
Stock-based Compensation | (54,916 | ) | (89,674 | ) | (88,351 | ) | (93,590 | ) | (102,729 | ) | (91,095 | ) | (110,374 | ) | (104,117 | ) | |||||||||||||||||
Acquisition-related (expense) benefit, net | (203,184 | ) | (193,750 | ) | (160,546 | ) | 4,537 | 4,589 | 6,224 | (1,000 | ) | (897 | ) | ||||||||||||||||||||
Operating (Loss) Income TTM | $ | (546,064 | ) | $ | (610,272 | ) | $ | (554,543 | ) | $ | (233,386 | ) | $ | (76,599 | ) | $ | 70,913 | $ | 96,590 | $ | 98,701 |
Q1 2011 | Q2 2011 | Q3 2011 | Q4 2011 | Q1 2012 | Q2 2012 | Q3 2012 | Q4 2012 | ||||||||||||||||||
International Gross Billings growth, excluding FX | N/A | 4,587 | % | 1,021 | % | 287 | % | 138 | % | 45 | % | (4 | ) | % | 9 | % | |||||||||
FX Effect | N/A | 470 | % | 94 | % | (4 | ) | % | (11 | ) | % | (13 | ) | % | (8 | ) | % | (3 | ) | % | |||||
International Gross Billings growth | N/A | 5,057 | % | 1,115 | % | 283 | % | 127 | % | 32 | % | (12 | ) | % | 6 | % | |||||||||
Consolidated Gross Billings growth, excluding FX | 1,378 | % | 859 | % | 465 | % | 198 | % | 108 | % | 47 | % | 11 | % | 25 | % | |||||||||
FX Effect | 27 | % | 57 | % | 31 | % | (2 | ) | % | (5 | ) | % | (9 | ) | % | (6 | ) | % | (1 | ) | % | ||||
Consolidated Gross Billings growth | 1,405 | % | 916 | % | 496 | % | 196 | % | 103 | % | 38 | % | 5 | % | 24 | % |
Q1 2011 | Q2 2011 | Q3 2011 | Q4 2011 | Q1 2012 | Q2 2012 | Q3 2012 | Q4 2012 | ||||||||||||||||||
International Revenue growth, excluding FX | N/A | 7,013 | % | 868 | % | 276 | % | 112 | % | 44 | % | 13 | % | (14 | ) | % | |||||||||
FX Effect | N/A | 696 | % | 79 | % | (3 | ) | % | (10 | ) | % | (13 | ) | % | (10 | ) | % | (2 | ) | % | |||||
International Revenue growth | N/A | 7,709 | % | 947 | % | 273 | % | 102 | % | 31 | % | 3 | % | (16 | ) | % | |||||||||
Consolidated Revenue growth, excluding FX | 1,332 | % | 858 | % | 401 | % | 188 | % | 95 | % | 53 | % | 38 | % | 31 | % | |||||||||
FX Effect | 26 | % | 57 | % | 25 | % | (2 | ) | % | (6 | ) | % | (8 | ) | % | (6 | ) | % | (1 | ) | % | ||||
Consolidated Revenue growth | 1,358 | % | 915 | % | 426 | % | 186 | % | 89 | % | 45 | % | 32 | % | 30 | % |
Q1 2011 | Q2 2011 | Q3 2011 | Q4 2011 | Q1 2012 | Q2 2012 | Q3 2012 | Q4 2012 | ||||||||||||||||||||||||||
Cash Flow | |||||||||||||||||||||||||||||||||
Operating cash flow (TTM) | $ | 91,928 | $ | 128,316 | $ | 173,291 | $ | 290,447 | $ | 356,221 | $ | 392,517 | $ | 370,194 | $ | 266,834 | |||||||||||||||||
Purchases of property and equipment and capitalized software (TTM) | (24,780 | ) | (31,949 | ) | (38,414 | ) | (43,811 | ) | (45,932 | ) | (62,401 | ) | (69,788 | ) | (95,836 | ) | |||||||||||||||||
Free cash flow (TTM)(9) | $ | 67,148 | $ | 96,367 | $ | 134,877 | $ | 246,636 | $ | 310,289 | $ | 330,116 | $ | 300,406 | $ | 170,998 | |||||||||||||||||
Net cash (used in) provided by investing activities (TTM) | $ | (55,510 | ) | $ | (83,226 | ) | $ | (124,301 | ) | $ | (147,433 | ) | $ | (149,583 | ) | $ | (184,552 | ) | $ | (177,133 | ) | $ | (194,979 | ) | |||||||||
Net cash provided by (used in) financing activities (TTM) | $ | 142,549 | $ | 125,404 | $ | 130,593 | $ | 867,205 | $ | 746,824 | $ | 771,404 | $ | 765,503 | $ | 12,095 | |||||||||||||||||
Other Metrics: | |||||||||||||||||||||||||||||||||
Active Customers (10) | |||||||||||||||||||||||||||||||||
North America | 8,213 | 11,039 | 12,823 | 14,084 | 14,876 | 15,121 | 15,983 | 17,215 | |||||||||||||||||||||||||
International | 7,163 | 11,998 | 16,083 | 19,658 | 21,974 | 22,925 | 23,542 | 23,834 | |||||||||||||||||||||||||
Total Active Customers | 15,376 | 23,037 | 28,906 | 33,742 | 36,850 | 38,046 | 39,525 | 41,049 | |||||||||||||||||||||||||
TTM Gross Billings / Average Active Customer(11) | $ | 169 | $ | 174 | $ | 189 | $ | 187 | $ | 179 | $ | 165 | $ | 149 | $ | 144 | |||||||||||||||||
Headcount | |||||||||||||||||||||||||||||||||
Sales(12) | 3,556 | 4,850 | 4,853 | 5,196 | 5,735 | 5,587 | 5,087 | 4,677 | |||||||||||||||||||||||||
% North America | 19 | % | 20 | % | 21 | % | 20 | % | 21 | % | 20 | % | 24 | % | 25 | % | |||||||||||||||||
% International | 81 | % | 80 | % | 79 | % | 80 | % | 79 | % | 80 | % | 76 | % | 75 | % | |||||||||||||||||
Other | 3,551 | 4,775 | 5,565 | 6,275 | 6,813 | 7,233 | 6,779 | 6,717 | |||||||||||||||||||||||||
Total Headcount | 7,107 | 9,625 | 10,418 | 11,471 | 12,548 | 12,820 | 11,866 | 11,394 |
(1) | Represents the total dollar value of customer purchases of goods and services, excluding applicable taxes and net of estimated refunds. Includes direct billings and third party and other billings. |
(2) | Third party revenue is related to sales for which the company acts as a marketing agent for the merchant. This revenue is recorded on a net basis. Direct revenue is related to the sale of products for which the Company is the merchant of record. These revenues are accounted for on a gross basis, with the cost of inventory included in cost of revenue. |
(3) | Cost of revenue is comprised of direct and indirect costs incurred to generate revenue. Direct cost of revenue includes the purchase price of consumer products, warehousing, shipping costs and inventory markdowns. Third party cost of revenue includes estimated refunds for which the merchant's share is not recoverable. Other costs incurred to generate revenue are allocated to cost of third party revenue, direct revenue and other revenue in proportion to relative gross billings during the period. |
(4) | Represents change in financial measures that would have resulted had average exchange rates in the reported period been the same as those in effect in the prior year period. |
(5) | The weighted-average diluted shares outstanding is calculated using the weighted-average number of common shares and, if dilutive, potential common shares outstanding during the period. Potential common shares consist of the incremental common shares issuable upon the exercise of stock options and vesting of restricted stock units and restricted shares, as calculated using the treasury stock method. |
(6) | Operating income excluding stock-based compensation and acquisition-related activities is a non-GAAP financial measure. The Company reconciles this measure to the most comparable U.S. GAAP measure, "Operating Income," for the periods presented. |
(7) | Foreign Exchange Rate neutral operating results are non-GAAP financial measures. The Company reconciles these measures to the most comparable U.S. GAAP measures, "Gross Billings" and "Revenue," for the periods presented. |
(8) | Year-over-year growth is unavailable for select international growth measures as Groupon did not commence international operations until the second quarter of 2010. |
(9) | Free cash flow is a non-GAAP financial measure. The Company reconciles this measure to the most comparable U.S. GAAP measure, ‘‘Net cash provided by operating activities,” for the periods presented. See "Reconciliation of Free Cash Flow to Net Cash Provided by Operating Activities." |
(10) | Reflects the total number of unique accounts who have purchased Groupons during the trailing twelve months. |
(11) | Reflects the total gross billings generated in the trailing twelve months per average active customer over that period. |
(12) | Includes inside and outside merchant sales representatives, as well as sales support. |
(13) | The definition, methodology and appropriateness of each of our supplemental metrics is reviewed periodically. As a result, metrics are subject to removal and/or change. |