Oregon | 0-26844 | 93-0945232 |
(State or Other Jurisdiction of Incorporation) | (Commission File Number) | (IRS Employer Identification No.) |
5435 NE Dawson Creek Drive | |
Hillsboro, Oregon | 97124 |
(Address of Principal Executive Offices) | (Zip Code) |
Exhibit Number | Description | |
10.1 | Amendment No. 3 to the Third Amended and Restated Loan and Security Agreement, dated February 8, 2016, between Radisys Corporation and Silicon Valley Bank. | |
99.1 | Fourth Quarter 2015 Earnings Release, dated February 9, 2016 |
RADISYS CORPORATION | ||||
Date: | February 9, 2016 | By: | /s/ Jonathan Wilson | |
Jonathan Wilson | ||||
Chief Financial Officer and Vice President of Finance (Principal Financial and Accounting Officer) |
Exhibit Number | Description | |
10.1 | Amendment No. 3 to the Third Amended and Restated Loan and Security Agreement, dated February 8, 2016, between Radisys Corporation and Silicon Valley Bank. | |
99.1 | Fourth Quarter 2015 Earnings Release, dated February 9, 2016. |
12 Month Period Ended: | Restructuring Costs |
3/31/2016 | $1,700,000 |
6/30/2016 | $1,140,000 |
9/30/2016 | $1,000,000 |
12/31/16 and thereafter | $— |
BORROWER: | ||
RADISYS CORPORATION | ||
By: | /s/ Jon Wilson | |
Printed Name: | Jon Wilson | |
Title: | Chief Financial Officer |
BANK: | ||
SILICON VALLEY BANK | ||
By: | /s/ Jayson Davis | |
Printed Name: | Jayson Davis | |
Title: | Vice President |
WHEREAS, | Guarantor executed and delivered to SVB an Unconditional Secured Guaranty dated as of August 8, 2011 (the “Guaranty”) with respect to the obligations of RadiSys Corporation, an Oregon corporation (“Borrower”), under that certain Loan and Security Agreement dated as of August 7, 2008, by and between Borrower and SVB; |
WHEREAS, | Guarantor executed and delivered to SVB that certain Reaffirmation of Unconditional Secured Guaranty dated as of July 29, 2013 with respect to the obligations of Borrower, under that certain Second Amended and Restated Loan and Security Agreement dated as of July 29, 2013 , by and between Borrower and SVB. |
WHEREAS, | Guarantor executed and delivered to SVB that certain Reaffirmation of Unconditional Secured Guaranty dated as of March 14, 2014 with respect to the obligations of Borrower, under that certain Third Amended and Restated Loan and Security Agreement dated March 14, 2014 (as may be amended, restated, or otherwise modified, the “Loan Agreement”),by and between Borrower and SVB; |
WHEREAS, | Guarantor executed and delivered to SVB that certain Reaffirmation of Unconditional Secured Guaranty dated as of May 30, 2014 with respect to the obligations of Borrower under that certain Amendment No. 1 to Third Amended and Restated Loan and Security Agreement dated as of May 30, 2014; |
WHEREAS, | Guarantor executed and delivered to SVB that certain Reaffirmation of Unconditional Secured Guaranty dated as of April 23, 2015 with respect to the obligations of Borrower under that certain Amendment No. 2 to Third Amended and Restated Loan and Security Agreement dated as of April 23, 2015; and |
WHEREAS, | Borrower and SVB are amending the Loan Agreement pursuant to that certain Amendment No. 3 the Third Amended and Restated Load and Security Agreement dated as of the date hereof (the "Amendment"). |
1. | Capitalized Terms. Unless otherwise defined in this Reaffirmation of Unconditional Secured Guaranty, all capitalized terms shall have the meaning given to them in the Guaranty or, if not specified there, the Amendment. |
2. | Reaffirmation of Guaranty. Guarantor has reviewed the Amendment. Guarantor hereby ratifies and reaffirms its obligations under the Guaranty and agrees that none of the amendments or modifications to the Third A&R Loan Agreement as set forth in the Amendment, shall impair such Guarantor’s obligations under the Guaranty or SVB’s rights under the Guaranty. |
3. | Continuing Effect and Absence of Defenses. Guarantor acknowledges that the Guaranty is still in full force and effect and that Guarantor has no defenses, other than actual payment of the guaranteed obligations, to enforcement of the Guaranty. Guarantor waives any and all defenses to enforcement of the Guaranty that might otherwise be available as a result of the amendment of the Third A&R Loan Agreement. |
RADISYS INTERNATIONAL LLC, a Delaware | ||
limited liability company formerly known as | ||
CONTINUOUS COMPUTING CORPORATION, a | ||
Delaware corporation | ||
By: | /s/ Jon Wilson | |
Printed Name: | Jon Wilson | |
Title: | Chief Financial Officer |
Please indicate compliance status by circling Yes/No under “Complies” column. |
Reporting Covenant | Required | Complies | |||
Monthly consolidating financial statements | Monthly within 15 days if Advances or Letters of Credit are outstanding at month-end | Yes No | |||
Monthly cash flow statements evidencing Borrower’s compliance with terms of Section 6.8(b) | Monthly within 15 days | Yes No | |||
Quarterly consolidating financial statements + Compliance Certificate Quarterly and annual financial statement requirement may be met by delivery of 10Q and 10K reports in accordance with the provisions of Section 6.2. Compliance Certificate required with every delivery of a 10Q and 10K. | Quarterly within 45 days | Yes No | |||
Annual financial statement + Compliance Certificate1 | FYE audited within 90 days | Yes No | |||
10Q, 10K and 8K + Compliance Certificate1 | Within 5 days after filing with SEC, but, (i) in case of 10Qs, no later than within 45 days of the last day of the first three fiscal quarter ends of each fiscal year, and (2) in case of 10Ks, no later than 90 days of the last day of each fiscal year | Yes No | |||
Monthly Compliance Certificate showing compliance with covenants | Monthly within 15 days if Advances or Letters of Credit are outstanding at month-end | Yes No | |||
Transaction Report (and schedules attached thereto) | (i) with each request for an Advance, (ii) no later than 5:00 p.m. Pacific time Monday of each week immediately following a week when Liquidity is less than the Liquidity Threshold, and (iii) within twenty (20) days after the end of each month when Liquidity is greater than or equal to the Liquidity Threshold. | Yes No | |||
Material Litigation report | Promptly | Yes* No |
Annual board approved financial projections | Annually within 60 days of fiscal year end | Yes No | |||
*If yes, attached is a summary of the Material Litigation not previously disclosed by Borrower or any of its Subsidiaries. | |||||
Financial Covenant | Required | Actual | Complies | ||
Liquidity (tested monthly as of the last Business Day of each month) | Not less than $10,000,000 as of the last Business Day of each month | $______ | Yes No | ||
Minimum Adjusted EBITDA | On a TTM basis as of the last day of each quarter: (i) if either (1) the trailing 3-month average outstanding principal balance or (2) the outstanding principal balance at quarter end, is greater than $15,000,000, then Adjusted EBITDA shall be greater than or equal to $10,000,000; or (ii) if either (1) the trailing 3-month average outstanding principal balance or (2) the outstanding principal balance at quarter end is less than or equal to $15,000,000, then Adjusted EBITDA shall be greater than or equal to $7,500,000. | $______ | Yes No | ||
Pricing - Liquidity Threshold | Actual | Applies | |||
Liquidity Threshold Pricing: If Borrower’s Liquidity is greater than $15,000,000 as of the last Business Day of each month (excluding the last Business Day of the Last month of any fiscal quarter) - Prime Rate plus 75 basis points If Borrower’s Liquidity is greater than $20,000,000 as of the last Business Day of the last month of any fiscal quarter - Prime Rate plus 75 basis points If Borrower’s Liquidity is equal to or less than $15,000,000 as of the last Business Day of each month (excluding the last Business Day of the Last month of any fiscal quarter) - Prime Rate plus 225 basis points If Borrower’s Liquidity is equal to or less than $20,000,000 as of the last Business Day of the last month of any fiscal quarter - Prime Rate plus 225 basis points | $______ | Yes No Yes No Yes No Yes No |
RADISYS CORPORATION | BANK USE ONLY | |
By: | Received by: | |
Name: | AUTHORIZED SIGNER | |
Title: | Date: | |
Verified: | ||
AUTHORIZED SIGNER | ||
Date: | ||
Compliance Status | Yes No |
Required: | Liquidity of not less than Ten Million Dollars ($10,000,000) as of the last Business Day of each month. |
A. | Borrower’s unrestricted cash and Cash Equivalents | $_______ |
B. | the unused portion of the Revolving Line | $_______ |
C. | Sum of lines A through B | $_______ |
Company Contact | Investor Contact | |
Jon Wilson | Brett L. Perry | |
Chief Financial Officer | Shelton Group | |
503-615-1685 | 214-272-0070 | |
jon.wilson@radisys.com | bperry@sheltongroup.com |
• | Software-Systems revenue of $15.7 million, representing over 50% year-on-year growth, with gross margin of 61.5%; |
• | Received orders totaling approximately $19 million for the Company’s next-generation datacenter infrastructure product, targeted at telecom and cable operators, from a tier-one North American carrier; and |
• | GAAP loss per share improved $0.08 year-on-year. Non-GAAP earnings were $0.08 per diluted share, an increase of $0.07 per share year-on-year. |
• | Software-Systems revenue of $55.0 million, representing over 35% year-on-year growth; |
• | Shipped over $14 million of MediaEngine products in support of a greenfield LTE rollout by a large Asian carrier; |
• | Secured and shipped orders for initial commercial deployment of FlowEngine products with a tier-one North American carrier; |
• | GAAP loss per share improved $0.39 year-on-year. Non-GAAP earnings were $0.21 per diluted share, an increase of $0.37 per share year-on-year; and |
• | Generated $9.7 million of operating income from the Embedded Products segment, compared to $2.5 million in 2014. |
• | Revenue is expected between $49 million to $52 million. This guidance range includes the expected recognition of the approximately $19 million order for next-generation datacenter products. The balance of revenue guidance assumes year-on-year growth in Software-Systems and a greater than seasonal decline in core Embedded Products. |
• | Non-GAAP gross margin is expected between 27% to 30%, and non-GAAP R&D and SG&A expenses are expected to approximate $13 million. |
• | Non-GAAP earnings are expected to range from $0.01 to $0.05 per diluted share. |
• | Revenue is expected between $180 million to $200 million. Software-Systems revenue is expected to grow approximately 10% year-on-year, which represents approximately 20% compound annual growth over 2014, while Embedded Products revenue is expected to grow modestly over 2015. |
• | Non-GAAP gross margin is expected between 33% to 34%, with year-on-year improvement in Software-Systems segment gross margins offset by a reduction in Embedded Products segment gross margins tied to our new telecom datacenter product initiative. |
• | Non-GAAP R&D and SG&A expenses are expected between $51 million and $55 million. |
• | Non-GAAP earnings are expected to range from $0.22 to $0.28 per diluted share. |
Three Months Ended | Year Ended | ||||||||||||||
December 31, | December 31, | ||||||||||||||
2015 | 2014 | 2015 | 2014 | ||||||||||||
Revenues | $ | 44,077 | $ | 48,174 | $ | 184,593 | $ | 192,742 | |||||||
Cost of sales: | |||||||||||||||
Cost of sales | 28,232 | 32,179 | 124,579 | 132,730 | |||||||||||
Amortization of purchased technology | 1,927 | 2,045 | 7,862 | 8,210 | |||||||||||
Gross margin | 13,918 | 13,950 | 52,152 | 51,802 | |||||||||||
Operating expenses: | |||||||||||||||
Research and development | 5,911 | 7,474 | 25,529 | 31,958 | |||||||||||
Selling, general and administrative | 8,092 | 8,759 | 30,628 | 35,862 | |||||||||||
Intangible assets amortization | 1,260 | 1,260 | 5,040 | 5,077 | |||||||||||
Restructuring and other charges, net | 178 | 761 | 5,020 | 4,205 | |||||||||||
Loss from operations | (1,523 | ) | (4,304 | ) | (14,065 | ) | (25,300 | ) | |||||||
Interest expense | (98 | ) | (293 | ) | (515 | ) | (1,242 | ) | |||||||
Other income, net | 518 | 654 | 1,644 | 1,453 | |||||||||||
Loss before income tax expense | (1,103 | ) | (3,943 | ) | (12,936 | ) | (25,089 | ) | |||||||
Income tax expense | 337 | 524 | 1,742 | 2,492 | |||||||||||
Net loss | $ | (1,440 | ) | $ | (4,467 | ) | $ | (14,678 | ) | $ | (27,581 | ) | |||
Net loss per share: | |||||||||||||||
Basic | $ | (0.04 | ) | $ | (0.12 | ) | $ | (0.40 | ) | $ | (0.79 | ) | |||
Diluted | $ | (0.04 | ) | $ | (0.12 | ) | $ | (0.40 | ) | $ | (0.79 | ) | |||
Weighted average shares outstanding | |||||||||||||||
Basic | 36,936 | 36,504 | 36,789 | 34,699 | |||||||||||
Diluted | 36,936 | 36,504 | 36,789 | 34,699 |
December 31, 2015 | December 31, 2014 | ||||||
ASSETS | |||||||
Current assets: | |||||||
Cash and cash equivalents | $ | 20,764 | $ | 31,242 | |||
Accounts receivable, net | 60,942 | 43,845 | |||||
Deferred cost of sales | 14,113 | 176 | |||||
Inventories and inventory deposit, net | 16,812 | 18,475 | |||||
Other current assets | 14,098 | 9,600 | |||||
Total current assets | 126,729 | 103,338 | |||||
Property and equipment, net | 6,134 | 9,786 | |||||
Intangible assets, net | 30,322 | 43,224 | |||||
Other assets, net | 3,884 | 4,548 | |||||
Total assets | $ | 167,069 | $ | 160,896 | |||
LIABILITIES AND SHAREHOLDERS' EQUITY | |||||||
Current liabilities: | |||||||
Accounts payable | $ | 43,451 | $ | 33,679 | |||
Deferred revenue | 23,062 | 6,380 | |||||
Other accrued liabilities | 16,654 | 12,261 | |||||
Line of credit | 15,000 | 10,000 | |||||
Convertible senior notes | — | 18,000 | |||||
Total current liabilities | 98,167 | 80,320 | |||||
Other long-term liabilities | 2,985 | 2,800 | |||||
Total liabilities | 101,152 | 83,120 | |||||
Shareholders' equity: | |||||||
Common stock | 338,165 | 334,024 | |||||
Accumulated deficit | (271,349 | ) | (256,671 | ) | |||
Accumulated other comprehensive income | (899 | ) | 423 | ||||
Total shareholders’ equity | 65,917 | 77,776 | |||||
Total liabilities and shareholders’ equity | $ | 167,069 | $ | 160,896 |
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (In thousands, unaudited) | |||||||||||||||
Three Months Ended | Year Ended | ||||||||||||||
December 31, | December, 31 | ||||||||||||||
2015 | 2014 | 2015 | 2014 | ||||||||||||
Cash flows from operating activities: | |||||||||||||||
Net loss | $ | (1,440 | ) | $ | (4,467 | ) | $ | (14,678 | ) | $ | (27,581 | ) | |||
Adjustments to reconcile net loss to net cash | |||||||||||||||
provided by (used in) operating activities: | |||||||||||||||
Depreciation and amortization | 4,422 | 4,883 | 18,478 | 20,240 | |||||||||||
Stock-based compensation expense | 981 | 738 | 3,952 | 4,097 | |||||||||||
Other | 186 | 2,150 | 1,336 | 5,766 | |||||||||||
Changes in operating assets and liabilities: | |||||||||||||||
Accounts receivable | (17,096 | ) | 70 | (17,121 | ) | (2,262 | ) | ||||||||
Inventories and deferred cost of sales | (15,546 | ) | (1,778 | ) | (13,801 | ) | 4,313 | ||||||||
Other receivables | (7,914 | ) | (377 | ) | (5,040 | ) | (3,689 | ) | |||||||
Accounts payable | 15,763 | 1,857 | 9,853 | (1,534 | ) | ||||||||||
Deferred revenue | 15,534 | 80 | 16,682 | (1,875 | ) | ||||||||||
Other operating assets and liabilities | 3,065 | (2,981 | ) | 5,396 | (4,272 | ) | |||||||||
Net cash provided by (used in) operating activities | (2,045 | ) | 175 | 5,057 | (6,797 | ) | |||||||||
Cash flows from investing activities: | |||||||||||||||
Capital expenditures | (571 | ) | (535 | ) | (2,224 | ) | (2,396 | ) | |||||||
Proceeds from sale of assets | — | 200 | — | 200 | |||||||||||
Net cash used in investing activities | (571 | ) | (335 | ) | (2,224 | ) | (2,196 | ) | |||||||
Cash flows from financing activities: | |||||||||||||||
Borrowings on line of credit | 5,000 | — | 13,500 | — | |||||||||||
Payments on line of credit | — | — | (8,500 | ) | (5,000 | ) | |||||||||
Repayment of convertible senior notes | — | — | (18,000 | ) | — | ||||||||||
Proceeds from issuance of common stock | 81 | 105 | 331 | 21,186 | |||||||||||
Other financing activities, net | (40 | ) | (331 | ) | (142 | ) | (882 | ) | |||||||
Net cash provided by (used in) financing activities | 5,041 | (226 | ) | (12,811 | ) | 15,304 | |||||||||
Effect of exchange rate changes on cash and cash equivalents | (37 | ) | (310 | ) | (500 | ) | (551 | ) | |||||||
Net increase (decrease) in cash and cash equivalents | 2,388 | (696 | ) | (10,478 | ) | 5,760 | |||||||||
Cash and cash equivalents, beginning of period | 18,376 | 31,938 | 31,242 | 25,482 | |||||||||||
Cash and cash equivalents, end of period | $ | 20,764 | $ | 31,242 | $ | 20,764 | $ | 31,242 |
Three Months Ended | Year Ended | |||||||||||||||
December 31, | December 31, | |||||||||||||||
2015 | 2014 | 2015 | 2014 | |||||||||||||
Revenue | ||||||||||||||||
Software-Systems | $ | 15,670 | $ | 10,420 | $ | 55,006 | $ | 40,281 | ||||||||
Embedded Products and Hardware Services | 28,407 | 37,754 | 129,587 | 152,461 | ||||||||||||
Total revenues | $ | 44,077 | $ | 48,174 | $ | 184,593 | $ | 192,742 |
Three Months Ended | Year Ended | |||||||||||||||
December 31, | December 31, | |||||||||||||||
2015 | 2014 | 2015 | 2014 | |||||||||||||
Gross margin | ||||||||||||||||
Software-Systems | $ | 9,643 | $ | 6,078 | $ | 31,997 | $ | 24,949 | ||||||||
Embedded Products and Hardware Services | 6,268 | 9,977 | 28,311 | 35,449 | ||||||||||||
Corporate and other | (1,993 | ) | (2,105 | ) | (8,156 | ) | (8,596 | ) | ||||||||
Total gross margin | $ | 13,918 | $ | 13,950 | $ | 52,152 | $ | 51,802 |
Three Months Ended | Year Ended | |||||||||||||||
December 31, | December 31, | |||||||||||||||
2015 | 2014 | 2015 | 2014 | |||||||||||||
Income (loss) from operations | ||||||||||||||||
Software-Systems | $ | 1,226 | $ | (1,470 | ) | $ | (1,900 | ) | $ | (6,169 | ) | |||||
Embedded Products and Hardware Services | 1,597 | 1,969 | 9,709 | 2,457 | ||||||||||||
Corporate and other | (4,346 | ) | (4,803 | ) | (21,874 | ) | (21,588 | ) | ||||||||
Total loss from operations | $ | (1,523 | ) | $ | (4,304 | ) | $ | (14,065 | ) | $ | (25,300 | ) |
Three Months Ended | Year Ended | ||||||||||||||||||||||
December 31, | December 31, | ||||||||||||||||||||||
2015 | 2014 | 2015 | 2014 | ||||||||||||||||||||
North America | $ | 24,094 | 54.6 | % | $ | 22,545 | 46.8 | % | $ | 82,564 | 44.7 | % | $ | 76,709 | 39.8 | % | |||||||
Asia Pacific | 12,639 | 28.7 | 18,754 | 38.9 | 70,655 | 38.3 | 73,152 | 38.0 | |||||||||||||||
Europe, the Middle East and Africa | 7,344 | 16.7 | 6,875 | 14.3 | 31,374 | 17.0 | 42,881 | 22.2 | |||||||||||||||
Total | $ | 44,077 | 100.0 | % | $ | 48,174 | 100.0 | % | $ | 184,593 | 100.0 | % | $ | 192,742 | 100.0 | % |
Three Months Ended | Year Ended | ||||||||||||||||||||||
December 31, | December 31, | ||||||||||||||||||||||
2015 | 2014 | 2015 | 2014 | ||||||||||||||||||||
GROSS MARGIN: | |||||||||||||||||||||||
GAAP gross margin | $ | 13,918 | 31.6 | % | $ | 13,950 | 29.0 | % | $ | 52,152 | 28.3 | % | $ | 51,802 | 26.9 | % | |||||||
(a) Amortization of acquired intangible assets | 1,927 | 2,045 | 7,862 | 8,210 | |||||||||||||||||||
(b) Stock-based compensation | 66 | 60 | 294 | 386 | |||||||||||||||||||
Non-GAAP gross margin | $ | 15,911 | 36.1 | % | $ | 16,055 | 33.3 | % | $ | 60,308 | 32.7 | % | $ | 60,398 | 31.3 | % | |||||||
RESEARCH AND DEVELOPMENT: | |||||||||||||||||||||||
GAAP research and development | $ | 5,911 | 13.4 | % | $ | 7,474 | 15.5 | % | $ | 25,529 | 13.8 | % | $ | 31,958 | 16.6 | % | |||||||
(b) Stock-based compensation | 227 | 135 | 868 | 818 | |||||||||||||||||||
Non-GAAP research and development | $ | 5,684 | 12.9 | % | $ | 7,339 | 15.2 | % | $ | 24,661 | 13.4 | % | $ | 31,140 | 16.2 | % | |||||||
SELLING, GENERAL AND ADMINISTRATIVE: | |||||||||||||||||||||||
GAAP selling, general and administrative | $ | 8,092 | 18.4 | % | $ | 8,759 | 18.2 | % | $ | 30,628 | 16.6 | % | $ | 35,862 | 18.6 | % | |||||||
(b) Stock-based compensation | 689 | 543 | 2,791 | 2,893 | |||||||||||||||||||
Non-GAAP selling, general and administrative | $ | 7,403 | 16.8 | % | $ | 8,216 | 17.1 | % | $ | 27,837 | 15.1 | % | $ | 32,969 | 17.1 | % | |||||||
INCOME (LOSS) FROM OPERATIONS: | |||||||||||||||||||||||
GAAP loss from operations | $ | (1,523 | ) | (3.5 | )% | $ | (4,304 | ) | (8.9 | )% | $ | (14,065 | ) | (7.6 | )% | $ | (25,300 | ) | (13.1 | )% | |||
(a) Amortization of acquired intangible assets | 3,187 | 3,304 | 12,902 | 13,286 | |||||||||||||||||||
(b) Stock-based compensation | 981 | 738 | 3,952 | 4,097 | |||||||||||||||||||
(c) Restructuring and acquisition-related charges, net | 178 | 761 | 5,020 | 4,205 | |||||||||||||||||||
Non-GAAP income (loss) from operations | $ | 2,823 | 6.4 | % | $ | 499 | 1.0 | % | $ | 7,809 | 4.2 | % | $ | (3,712 | ) | (1.9 | )% | ||||||
NET INCOME (LOSS): | |||||||||||||||||||||||
GAAP net loss | $ | (1,440 | ) | (3.3 | )% | $ | (4,467 | ) | (9.3 | )% | $ | (14,678 | ) | (8.0 | )% | $ | (27,581 | ) | (14.3 | )% | |||
(a) Amortization of acquired intangible assets | 3,187 | 3,304 | 12,902 | 13,286 | |||||||||||||||||||
(b) Stock-based compensation | 981 | 738 | 3,952 | 4,097 | |||||||||||||||||||
(c) Restructuring and acquisition-related charges, net | 178 | 761 | 5,020 | 4,205 | |||||||||||||||||||
(d) Income taxes | (72 | ) | 73 | 562 | 762 | ||||||||||||||||||
(e) Gain on Life Insurance asset | — | — | — | (361 | ) | ||||||||||||||||||
Non-GAAP net income (loss) | $ | 2,834 | 6.4 | % | $ | 409 | 0.8 | % | $ | 7,758 | 4.2 | % | $ | (5,592 | ) | (2.9 | )% | ||||||
GAAP weighted average diluted shares | 36,936 | 36,504 | 36,789 | 34,699 | |||||||||||||||||||
Dilutive equity awards included in | |||||||||||||||||||||||
non-GAAP earnings per share | 137 | 270 | 151 | — | |||||||||||||||||||
Non-GAAP weighted average diluted shares | 37,073 | 36,774 | 36,940 | 34,699 | |||||||||||||||||||
GAAP net loss per share (diluted) | $ | (0.04 | ) | $ | (0.12 | ) | $ | (0.40 | ) | $ | (0.79 | ) | |||||||||||
Non-GAAP adjustments detailed above | 0.12 | 0.13 | 0.61 | 0.63 | |||||||||||||||||||
Non-GAAP net income (loss) per share (diluted) | $ | 0.08 | $ | 0.01 | $ | 0.21 | $ | (0.16 | ) |
Three Months Ended | For the year Ended | |||||||||||||||
March 31, 2016 | December 31, 2016 | |||||||||||||||
Low End | High End | Low End | High End | |||||||||||||
GAAP net loss | (5.1 | ) | (3.3 | ) | (10.6 | ) | (9.0 | ) | ||||||||
(a) Amortization of acquired intangible assets | 3.2 | 3.2 | 12.7 | 12.7 | ||||||||||||
(b) Stock-based compensation | 1.0 | 1.2 | 4.0 | 5.0 | ||||||||||||
(c) Restructuring and acquisition-related charges, net | 1.0 | 0.5 | 1.5 | 0.8 | ||||||||||||
(d) Income taxes | 0.2 | 0.4 | 0.8 | 1.2 | ||||||||||||
Total adjustments | 5.4 | 5.3 | 19.0 | 19.7 | ||||||||||||
Non-GAAP net income | $ | 0.3 | $ | 2.0 | $ | 8.4 | $ | 10.7 | ||||||||
GAAP weighted average shares | 37,000 | 37,000 | 37,600 | 37,600 | ||||||||||||
Non-GAAP adjustments | 300 | 300 | 300 | 900 | ||||||||||||
Non-GAAP weighted average shares (diluted) | 37,300 | 37,300 | 37,900 | 38,500 | ||||||||||||
GAAP net loss per share | (0.14 | ) | (0.09 | ) | (0.28 | ) | (0.24 | ) | ||||||||
Non-GAAP adjustments detailed above | 0.15 | 0.14 | 0.50 | 0.52 | ||||||||||||
Non-GAAP net income per share (diluted) | $ | 0.01 | $ | 0.05 | $ | 0.22 | $ | 0.28 |
Estimates at the midpoint of the guidance range | |||||
Three Months Ended | For the Year Ended | ||||
March 31, 2016 | December 31, 2016 | ||||
GAAP | 24.5 | % | 29.2 | % | |
(a) Amortization of acquired intangible assets | 3.8 | 4.1 | |||
(b) Stock-based compensation | 0.2 | 0.2 | |||
Non-GAAP | 28.5 | % | 33.5 | % |
Estimates at the midpoint of the guidance range | |||||||
Three Months Ended | For the Year Ended | ||||||
March 31, 2016 | December 31, 2016 | ||||||
GAAP | $ | 14.0 | $ | 57.0 | |||
(b) Stock-based compensation | 1.0 | 4.0 | |||||
Non-GAAP | $ | 13.0 | $ | 53.0 |
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