SAN FRANCISCO, May 7, 2020 /PRNewswire/ -- Marin Software
Incorporated (NASDAQ: MRIN), a leading provider of digital
marketing software for performance-driven advertisers and agencies,
today announced financial results for the first quarter ended
March 31, 2020.
"Q1 was a challenging environment for all businesses, but our
customers were able to leverage the flexibility, transparency and
control provided by our solutions to help them respond effectively.
Our budget planning tools and automated bidding, combined with
features released this quarter like Amazon Dayparting and Automated
Rules for social campaigns, helped advertisers to deliver better
performance from their search, social and eCommerce campaigns,"
said Chief Executive Officer Chris
Lien.
First Quarter 2020 Business and Product Release
Highlights:
- Launched Social Pacing Dashboards that enable advertisers to
track how their campaigns are performing against a KPI. Customers
are able to gain insight into their current results alongside daily
expected data based on their target and project's expected
timeframe, allowing them to shift more money into better performing
campaigns.
- Expanded Automated Rules for Social campaigns in MarinOne,
allowing advertisers to offload tasks they perform regularly
throughout the day, such as checking that they are within budget or
that their CPAs, ROIs, or ROAS are within their target KPIs.
- Added support for additional Facebook Placements in Marin
Social, including Marketplace, Search, and Instagram Explore. As
more people spend time on social media during the Covid-19
lockdowns, these new placements offer advertisers new placement
options in areas of Facebook that are not overly dominated with
competitor advertising.
- Launched Dayparting for Amazon Sponsored Products campaigns.
Dayparting enables advertisers to bid higher or lower throughout
the day, down to 15-minute intervals if desired. In addition,
advertisers can daypart campaign schedules by day of week, for
example, to bid more aggressively on weekdays versus weekends.
- Introduced full campaign management for Amazon Sponsored Brands
and Sponsored Display campaigns. Amazon advertisers can now use
Marin bulk and automated bidding
functionality for each of the Amazon Advertising campaign
types.
- Added reporting for Google Smart Shopping campaigns and
improved display of product information, including Product
Title.
- Added dimensions, custom columns, support for Prominence
Metrics, and additional historical data to the Devices grid.
- Released several enhancements to MarinOne, including Custom
Columns, a complete Bid Strategy Side Panel, and MarinOne Linking
Wizard for Google.
- Upgraded Marin Tracker offering to support Chrome's latest
privacy updates, requiring advertisers to label third-party cookies
with "SameSite." This means that Marin Tracker customers can
continue to measure cross-site (across multiple domains) where
required, with minimal disruption to their current solution.
First Quarter 2020 Financial Updates:
- Net revenues totaled $8.7
million, a year-over-year decrease of 36% when compared to
$13.4 million in the first quarter of
2019.
- GAAP loss from operations was ($4.4)
million, resulting in a GAAP operating margin of (51%), as
compared to a GAAP loss from operations of ($5.1) million and a GAAP operating margin of
(38%) for the first quarter of 2019.
- Non-GAAP loss from operations was ($3.5)
million, resulting in a non-GAAP operating margin of (40%),
as compared to a non-GAAP loss from operations of ($3.5) million and a non-GAAP operating margin of
(26%) for the first quarter of 2019.
Reconciliations of GAAP to non-GAAP financial measures have been
provided in the financial statement tables included in this press
release. An explanation of these measures is also included below,
under the heading "Non-GAAP Financial Measures."
Financial Outlook:
Marin is providing guidance for
its second quarter of 2020 as follows:
Forward-Looking
Guidance
|
In
millions
|
|
|
|
|
|
|
|
|
|
|
|
|
Range of
Estimate
|
|
|
|
|
From
|
|
|
To
|
|
|
Three Months Ended
June 30, 2020
|
|
|
|
|
|
|
|
|
|
Revenues,
net
|
|
$
|
6.0
|
|
|
$
|
6.5
|
|
|
Non-GAAP loss from
operations
|
|
|
(5.3)
|
|
|
|
(4.8)
|
|
|
Non-GAAP loss from operations excludes the effects of
stock-based compensation, amortization of internally developed
software and intangible assets, impairment of goodwill and
long-lived assets, capitalization of internally developed software
and non-recurring costs associated with restructurings and
divestitures.
Additionally, the Company does not reconcile its forward-looking
non-GAAP loss from operations, due to variability between revenues
and non-cash items such as stock-based compensation. The GAAP loss
from operations includes stock-based compensation expense, which is
affected by hiring and retention needs, as well as the future price
of Marin's stock. As a result, a
reconciliation of the forward-looking non-GAAP financial measures
to the corresponding GAAP measures cannot be made without
unreasonable effort.
Quarterly Results Conference Call
Marin Software will host a conference call today at 2:00 PM Pacific Time (5:00
PM Eastern Time) to review the Company's financial results
for the quarter ended March 31, 2020,
and its outlook for the future. To access the call, please dial
(877) 300-8521 in the United
States or (412) 317-6026 internationally with reference to
the company name and conference title. A live webcast of the
conference call will be accessible
at http://public.viavid.com/index.php?id=139281. Following the
completion of the call through 11:59 p.m.
Eastern Time on May 14, 2020,
a recorded replay will be available on the Company's website
at http://investor.marinsoftware.com/ and a telephone replay
will be available by dialing (844) 512-2921 in the United States or (412) 317-6671
internationally with the recording access code 10142865.
About Marin Software
Marin Software Incorporated's (NASDAQ: MRIN) mission is to
give advertisers the power to drive higher efficiency and
transparency in their paid marketing programs that run on the
world's largest publishers. Marin Software provides enterprise
marketing software for advertisers and agencies to integrate,
align, and amplify their digital advertising spend across the web
and mobile devices. Marin Software offers a unified
SaaS advertising management platform for search,
social, and eCommerce advertising. The Company helps
digital marketers convert precise audiences, improve financial
performance, and make better decisions. Headquartered in San
Francisco with offices worldwide, Marin Software's
technology powers marketing campaigns around the globe. For
more information about Marin Software, please visit
www.marinsoftware.com.
Non-GAAP Financial Measures
Marin uses certain non-GAAP
financial measures in this release. Marin uses these non-GAAP financial measures
internally in analyzing its financial results and believes they are
useful to investors, as a supplement to GAAP measures, in
evaluating its ongoing operational performance. Marin believes that the use of these non-GAAP
financial measures provides an additional tool for investors to use
in evaluating ongoing operating results and trends and in comparing
our financial results with other companies in our industry, many of
which present similar non-GAAP financial measures to investors.
Non-GAAP financial measures that Marin uses may differ from measures that other
companies may use.
Non-GAAP financial measures should not be considered in
isolation from, or as a substitute for, financial information
prepared in accordance with GAAP. A reconciliation of the non-GAAP
financial measures to their most directly comparable GAAP measures
has been provided in the financial statement tables included below
in this press release. Investors are encouraged to review the
reconciliation of these non-GAAP financial measures to their most
directly comparable GAAP financial measures.
Non-GAAP expenses, measures and net loss per
share. Marin defines non-GAAP sales and marketing,
non-GAAP research and development, non-GAAP general and
administrative, non-GAAP gross profit, non-GAAP operating loss and
non-GAAP net loss as the respective GAAP balances, adjusted for
stock-based compensation, amortization of internally developed
software and intangible assets, impairment of goodwill
and long-lived assets, non-cash expenses related to debt
agreements, capitalization of internally developed software and
non-recurring costs associated with restructurings and
divestitures. Non-GAAP net loss per share is calculated as non-GAAP
net loss divided by the weighted average shares outstanding.
Adjusted EBITDA. Marin defines Adjusted EBITDA as
net loss, adjusted for stock-based compensation expense,
depreciation, amortization of internally developed software
and intangible assets, capitalization of internally developed
software, impairment of goodwill and long-lived assets, benefit
from or provision for income taxes, other income, net and
non-recurring costs associated with restructurings and
divestitures. These amounts are often excluded by other companies
to help investors understand the operational performance of their
business. The Company uses Adjusted EBITDA as a measurement of its
operating performance because it assists in comparing the operating
performance on a consistent basis by removing the impact of certain
non-cash and non-operating items. Adjusted EBITDA reflects an
additional way of viewing aspects of the operations that
Marin believes, when viewed with
the GAAP results and the accompanying reconciliations to
corresponding GAAP financial measures, provide a more complete
understanding of factors and trends affecting its business.
Forward-Looking Statements
This press release contains forward-looking statements
including, among other things, statements regarding Marin's business, expectations about our
ability to return to growth, impact of investments in product and
technology on future operating results, progress on product
development efforts, product capabilities and future financial
results, including its outlook for the second quarter of 2020.
These forward-looking statements are subject to the safe harbor
provisions created by the Private Securities Litigation Reform Act
of 1995. Actual results could differ materially from those
projected in the forward-looking statements as a result of certain
risk factors, including but not limited to the effects of the
recent global outbreak of COVID-19 on demand for our products and
services and the amount of digital advertising spend managed by our
customers using our products, our ability to maintain or grow sales
to new and existing customers; any adverse changes in our
relationships with and access to publishers and advertising
agencies and strategic business partners; our ability to manage
expenses and liquidity and raise additional capital; our ability to
maintain or expand our sales and marketing capabilities; our
ability to retain and attract qualified management and technical
personnel or implement any planned personnel reductions; delays in
the release of updates to our product platform or new features or
delays in customer deployment of any such updates or features;
competitive factors, including but not limited to pricing
pressures, entry of new competitors and new applications; quarterly
fluctuations in our operating results due to a number of factors;
inability to adequately forecast our future revenues, expenses,
Adjusted EBITDA, cash flows or other financial metrics; delays,
reductions or slower growth in the amount spent on online and
mobile advertising and the development of the market for
cloud-based software; progress in our efforts to update our
software platform; level of usage and advertising spend managed on
our platform; our ability to maintain or expand sales of our
solutions in channels other than search advertising; any slow-down
in the search advertising market generally; any shift in customer
digital advertising budgets from search to segments in which we are
not as deeply penetrated; the development of the market for digital
advertising; acceptance and continued usage of our platform and
services by customers and our ability to provide high-quality
technical support to our customers; material defects in our
platform including those resulting from any updates we introduce to
our platform, service interruptions at our single third-party data
center or breaches in our security measures; our ability to develop
enhancements to our platform; our ability to protect our
intellectual property; our ability to manage risks associated with
international operations; the impact of fluctuations in currency
exchange rates, particularly an increase in the value of the
dollar; near term changes in sales of our software services or
spend under management may not be immediately reflected in our
results due to our subscription business model; adverse changes in
general economic or market conditions; and our ability to acquire
and integrate other businesses or sell business assets. These
forward-looking statements are based on current expectations and
are subject to uncertainties and changes in condition,
significance, value and effect as well as other risks detailed in
documents filed with the Securities and Exchange Commission,
including our most recent report on Form 10-K, recent reports on
Form 10-Q and current reports on Form 8-K, which we may file from
time to time, and all of which are available free of charge at the
SEC's website at www.sec.gov. Any of these risks could cause actual
results to differ materially from expectations set forth in the
forward-looking statements. All forward-looking statements in this
press release reflect Marin's
expectations as of May 7, 2020.
Marin assumes no obligation to,
and expressly disclaims any obligation to update any such
forward-looking statements after the date of this release.
Marin Software
Incorporated
|
|
|
|
|
|
|
|
|
Condensed
Consolidated Balance Sheets
|
|
|
|
|
|
|
|
|
(On a GAAP
basis)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
March
31,
|
|
|
December
31,
|
|
(Unaudited; in
thousands, except par value)
|
|
2020
|
|
|
2019
|
|
Assets:
|
|
|
|
|
|
|
|
|
Current
assets:
|
|
|
|
|
|
|
|
|
Cash and cash
equivalents
|
|
$
|
8,583
|
|
|
$
|
11,134
|
|
Restricted
cash
|
|
|
972
|
|
|
|
971
|
|
Accounts receivable,
net
|
|
|
7,081
|
|
|
|
8,939
|
|
Prepaid expenses and
other current assets
|
|
|
3,085
|
|
|
|
3,522
|
|
Total current
assets
|
|
|
19,721
|
|
|
|
24,566
|
|
Property and
equipment, net
|
|
|
7,306
|
|
|
|
8,524
|
|
Right-of-use assets,
operating leases
|
|
|
12,685
|
|
|
|
7,705
|
|
Intangible assets,
net
|
|
|
—
|
|
|
|
95
|
|
Other non-current
assets
|
|
|
967
|
|
|
|
1,403
|
|
Total
assets
|
|
$
|
40,679
|
|
|
$
|
42,293
|
|
Liabilities and
Stockholders' Equity:
|
|
|
|
|
|
|
|
|
Current
liabilities:
|
|
|
|
|
|
|
|
|
Accounts
payable
|
|
$
|
1,293
|
|
|
$
|
1,679
|
|
Accrued expenses and
other current liabilities
|
|
|
6,677
|
|
|
|
9,010
|
|
Operating lease
liabilities
|
|
|
6,970
|
|
|
|
3,786
|
|
Total current
liabilities
|
|
|
14,940
|
|
|
|
14,475
|
|
Operating lease
liabilities, non-current
|
|
|
6,865
|
|
|
|
5,181
|
|
Other long-term
liabilities
|
|
|
1,276
|
|
|
|
1,577
|
|
Total
liabilities
|
|
|
23,081
|
|
|
|
21,233
|
|
Stockholders' equity:
|
|
|
|
|
|
|
|
|
Common stock, $0.001
par value
|
|
|
7
|
|
|
|
7
|
|
Additional paid-in
capital
|
|
|
299,689
|
|
|
|
299,263
|
|
Accumulated
deficit
|
|
|
(281,083)
|
|
|
|
(277,112)
|
|
Accumulated other
comprehensive loss
|
|
|
(1,015)
|
|
|
|
(1,098)
|
|
Total
stockholders' equity
|
|
|
17,598
|
|
|
|
21,060
|
|
Total liabilities and
stockholders' equity
|
|
$
|
40,679
|
|
|
$
|
42,293
|
|
|
|
|
|
|
|
|
|
|
Marin Software
Incorporated
|
|
|
|
|
|
|
|
|
Condensed
Consolidated Statements of Operations
|
|
|
|
|
|
|
|
|
(On a GAAP
basis)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
March 31,
|
|
(Unaudited; in
thousands, except per share data)
|
|
2020
|
|
|
2019
|
|
Revenues,
net
|
|
$
|
8,660
|
|
|
$
|
13,448
|
|
Cost of
revenues
|
|
|
5,345
|
|
|
|
5,811
|
|
Gross
profit
|
|
|
3,315
|
|
|
|
7,637
|
|
Operating
expenses:
|
|
|
|
|
|
|
|
|
Sales and
marketing
|
|
|
2,312
|
|
|
|
4,634
|
|
Research and
development
|
|
|
3,437
|
|
|
|
4,895
|
|
General and
administrative
|
|
|
1,981
|
|
|
|
3,221
|
|
Total operating
expenses
|
|
|
7,730
|
|
|
|
12,750
|
|
Loss from
operations
|
|
|
(4,415)
|
|
|
|
(5,113)
|
|
Other income,
net
|
|
|
469
|
|
|
|
540
|
|
Loss before provision
for income taxes
|
|
|
(3,946)
|
|
|
|
(4,573)
|
|
Provision for income
taxes
|
|
|
25
|
|
|
|
33
|
|
Net loss
|
|
$
|
(3,971)
|
|
|
$
|
(4,606)
|
|
Net loss per common
share, basic and diluted
|
|
$
|
(0.58)
|
|
|
$
|
(0.77)
|
|
Weighted-average
shares outstanding, basic and diluted
|
|
|
6,819
|
|
|
|
5,945
|
|
|
|
|
|
|
|
|
|
|
Marin Software
Incorporated
|
|
|
|
|
|
|
|
|
Condensed
Consolidated Statements of Cash Flows
|
|
|
|
|
|
|
|
|
(On a GAAP
basis)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
March 31,
|
|
(Unaudited; in
thousands)
|
|
2020
|
|
|
2019
|
|
Operating
activities:
|
|
|
|
|
|
|
|
|
Net loss
|
|
$
|
(3,971)
|
|
|
$
|
(4,606)
|
|
Adjustments to
reconcile net loss to net cash used in operating
activities:
|
|
|
|
|
|
|
|
|
Depreciation
|
|
|
893
|
|
|
|
499
|
|
Amortization of
internally developed software
|
|
|
864
|
|
|
|
750
|
|
Amortization of
intangible assets
|
|
|
95
|
|
|
|
532
|
|
Amortization of
deferred costs to obtain and fulfill contracts
|
|
|
258
|
|
|
|
364
|
|
Loss on disposals of
property and equipment and right-of-use assets
|
|
|
1
|
|
|
|
14
|
|
Unrealized foreign
currency losses (gains)
|
|
|
24
|
|
|
|
(11)
|
|
Stock-based
compensation expense related to equity awards
|
|
|
446
|
|
|
|
685
|
|
Provision for bad
debts
|
|
|
(144)
|
|
|
|
180
|
|
Net change in
operating leases
|
|
|
(110)
|
|
|
|
(116)
|
|
Changes in operating
assets and liabilities:
|
|
|
|
|
|
|
|
|
Accounts
receivable
|
|
|
2,032
|
|
|
|
2,175
|
|
Prepaid expenses and
other assets
|
|
|
623
|
|
|
|
(679)
|
|
Accounts
payable
|
|
|
(380)
|
|
|
|
(424)
|
|
Accrued expenses and
other liabilities
|
|
|
(2,391)
|
|
|
|
(1,079)
|
|
Net cash used in
operating activities
|
|
|
(1,760)
|
|
|
|
(1,716)
|
|
Investing
activities:
|
|
|
|
|
|
|
|
|
Purchases of property
and equipment
|
|
|
—
|
|
|
|
(46)
|
|
Capitalization of
internally developed software
|
|
|
(540)
|
|
|
|
(482)
|
|
Net cash used in
investing activities
|
|
|
(540)
|
|
|
|
(528)
|
|
Financing
activities:
|
|
|
|
|
|
|
|
|
Payment of principal
on finance lease liabilities
|
|
|
(191)
|
|
|
|
(338)
|
|
Employee taxes paid
for withheld shares upon equity award settlement
|
|
|
(57)
|
|
|
|
(91)
|
|
Proceeds from
employee stock purchase plan, net
|
|
|
17
|
|
|
|
55
|
|
Net cash used in
financing activities
|
|
|
(231)
|
|
|
|
(374)
|
|
Effect of foreign
exchange rate changes on cash and cash equivalents and restricted
cash
|
|
|
(19)
|
|
|
|
(19)
|
|
Net decrease in cash
and cash equivalents and restricted cash
|
|
|
(2,550)
|
|
|
|
(2,637)
|
|
Cash and cash
equivalents and restricted cash:
|
|
|
|
|
|
|
|
|
Beginning of
period
|
|
|
12,105
|
|
|
|
11,503
|
|
End of
period
|
|
$
|
9,555
|
|
|
$
|
8,866
|
|
|
|
|
|
|
|
|
|
|
Marin Software
Incorporated
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of
GAAP to Non-GAAP Expenses
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three
Months
|
|
|
|
Three Months
Ended
|
|
|
|
Year
Ended
|
|
|
|
Ended
|
|
|
|
March
31,
2019
|
|
|
June
30,
2019
|
|
|
September
30,
2019
|
|
|
December
31,
2019
|
|
|
|
December
31,
|
|
|
|
March
31,
|
|
(Unaudited; in
thousands)
|
|
|
|
|
|
|
|
|
|
|
2019
|
|
|
|
2020
|
|
Sales and Marketing
(GAAP)
|
|
$
|
4,634
|
|
|
$
|
4,087
|
|
|
$
|
3,732
|
|
|
$
|
3,383
|
|
|
|
$
|
15,836
|
|
|
|
$
|
2,312
|
|
Less Stock-based
compensation
|
|
|
(180)
|
|
|
|
(205)
|
|
|
|
(155)
|
|
|
|
(141)
|
|
|
|
|
(681)
|
|
|
|
|
(110)
|
|
Less Amortization of
intangible assets
|
|
|
(64)
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
|
(64)
|
|
|
|
|
—
|
|
Less Restructuring
related expenses
|
|
|
(157)
|
|
|
|
(66)
|
|
|
|
—
|
|
|
|
(178)
|
|
|
|
|
(401)
|
|
|
|
|
(50)
|
|
Sales and Marketing
(Non-GAAP)
|
|
$
|
4,233
|
|
|
$
|
3,816
|
|
|
$
|
3,577
|
|
|
$
|
3,064
|
|
|
|
$
|
14,690
|
|
|
|
$
|
2,152
|
|
Research and
Development (GAAP)
|
|
$
|
4,895
|
|
|
$
|
4,660
|
|
|
$
|
3,872
|
|
|
$
|
4,418
|
|
|
|
$
|
17,845
|
|
|
|
$
|
3,437
|
|
Less Stock-based
compensation
|
|
|
(281)
|
|
|
|
(269)
|
|
|
|
(266)
|
|
|
|
(209)
|
|
|
|
|
(1,025)
|
|
|
|
|
(167)
|
|
Less Amortization of
intangible assets
|
|
|
(234)
|
|
|
|
(234)
|
|
|
|
(234)
|
|
|
|
(173)
|
|
|
|
|
(875)
|
|
|
|
|
(48)
|
|
Plus Capitalization of
internally developed software
|
|
|
482
|
|
|
|
388
|
|
|
|
1,004
|
|
|
|
182
|
|
|
|
|
2,056
|
|
|
|
|
540
|
|
Research and
Development (Non-GAAP)
|
|
$
|
4,862
|
|
|
$
|
4,545
|
|
|
$
|
4,376
|
|
|
$
|
4,218
|
|
|
|
$
|
18,001
|
|
|
|
$
|
3,762
|
|
General and
Administrative (GAAP)
|
|
$
|
3,221
|
|
|
$
|
2,277
|
|
|
$
|
2,631
|
|
|
$
|
2,317
|
|
|
|
$
|
10,446
|
|
|
|
$
|
1,981
|
|
Less Stock-based
compensation
|
|
|
(99)
|
|
|
|
(146)
|
|
|
|
(105)
|
|
|
|
(75)
|
|
|
|
|
(425)
|
|
|
|
|
(75)
|
|
General and
Administrative (Non-GAAP)
|
|
$
|
3,122
|
|
|
$
|
2,131
|
|
|
$
|
2,526
|
|
|
$
|
2,242
|
|
|
|
$
|
10,021
|
|
|
|
$
|
1,906
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Marin Software
Incorporated
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of
GAAP to Non-GAAP Measures
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three
Months
Ended
|
|
|
|
Three Months
Ended
|
|
|
|
Year
Ended
|
|
|
|
Three
Months
Ended
|
|
|
|
March
31,
2019
|
|
|
June
30,
2019
|
|
|
September
30,
2019
|
|
|
December31,
2019
|
|
|
|
December
31,
2019
|
|
|
|
March
31,
2020
|
|
(Unaudited; in
thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gross Profit
(GAAP)
|
|
$
|
7,637
|
|
|
$
|
6,547
|
|
|
$
|
6,161
|
|
|
$
|
5,848
|
|
|
|
$
|
26,193
|
|
|
|
$
|
3,315
|
|
Plus Stock-based
compensation
|
|
|
125
|
|
|
|
142
|
|
|
|
127
|
|
|
|
139
|
|
|
|
|
533
|
|
|
|
|
94
|
|
Plus Amortization of
internally developed software
|
|
|
750
|
|
|
|
955
|
|
|
|
1,057
|
|
|
|
1,142
|
|
|
|
|
3,904
|
|
|
|
|
864
|
|
Plus Amortization of
intangible assets
|
|
|
234
|
|
|
|
234
|
|
|
|
234
|
|
|
|
173
|
|
|
|
|
875
|
|
|
|
|
47
|
|
Plus Restructuring
related expenses
|
|
|
6
|
|
|
|
—
|
|
|
|
—
|
|
|
|
90
|
|
|
|
|
96
|
|
|
|
|
(7)
|
|
Gross Profit
(Non-GAAP)
|
|
$
|
8,752
|
|
|
$
|
7,878
|
|
|
$
|
7,579
|
|
|
$
|
7,392
|
|
|
|
$
|
31,601
|
|
|
|
$
|
4,313
|
|
Operating Loss
(GAAP)
|
|
$
|
(5,113)
|
|
|
$
|
(4,477)
|
|
|
$
|
(4,074)
|
|
|
$
|
(6,180)
|
|
|
|
$
|
(19,844)
|
|
|
|
$
|
(4,415)
|
|
Plus Impairment of
goodwill
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
1,910
|
|
|
|
|
1,910
|
|
|
|
|
—
|
|
Plus Stock-based
compensation
|
|
|
685
|
|
|
|
762
|
|
|
|
653
|
|
|
|
564
|
|
|
|
|
2,664
|
|
|
|
|
446
|
|
Plus Amortization of
internally developed software
|
|
|
750
|
|
|
|
955
|
|
|
|
1,057
|
|
|
|
1,142
|
|
|
|
|
3,904
|
|
|
|
|
864
|
|
Plus Amortization of
intangible assets
|
|
|
532
|
|
|
|
468
|
|
|
|
468
|
|
|
|
346
|
|
|
|
|
1,814
|
|
|
|
|
95
|
|
Plus Restructuring
related expenses
|
|
|
163
|
|
|
|
66
|
|
|
|
—
|
|
|
|
268
|
|
|
|
|
497
|
|
|
|
|
43
|
|
Less Capitalization of
internally developed software
|
|
|
(482)
|
|
|
|
(388)
|
|
|
|
(1,004)
|
|
|
|
(182)
|
|
|
|
|
(2,056)
|
|
|
|
|
(540)
|
|
Operating Loss
(Non-GAAP)
|
|
$
|
(3,465)
|
|
|
$
|
(2,614)
|
|
|
$
|
(2,900)
|
|
|
$
|
(2,132)
|
|
|
|
$
|
(11,111)
|
|
|
|
$
|
(3,507)
|
|
Net Loss
(GAAP)
|
|
$
|
(4,606)
|
|
|
$
|
(4,003)
|
|
|
$
|
(3,273)
|
|
|
$
|
(526)
|
|
|
|
$
|
(12,408)
|
|
|
|
$
|
(3,971)
|
|
Plus Impairment of
goodwill
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
1,910
|
|
|
|
|
1,910
|
|
|
|
|
—
|
|
Plus Stock-based
compensation
|
|
|
685
|
|
|
|
762
|
|
|
|
653
|
|
|
|
564
|
|
|
|
|
2,664
|
|
|
|
|
446
|
|
Plus Amortization of
internally developed software
|
|
|
750
|
|
|
|
955
|
|
|
|
1,057
|
|
|
|
1,142
|
|
|
|
|
3,904
|
|
|
|
|
864
|
|
Plus Amortization of
intangible assets
|
|
|
532
|
|
|
|
468
|
|
|
|
468
|
|
|
|
346
|
|
|
|
|
1,814
|
|
|
|
|
95
|
|
Plus Restructuring
related expenses
|
|
|
163
|
|
|
|
66
|
|
|
|
—
|
|
|
|
268
|
|
|
|
|
497
|
|
|
|
|
43
|
|
Less Capitalization of
internally developed software
|
|
|
(482)
|
|
|
|
(388)
|
|
|
|
(1,004)
|
|
|
|
(182)
|
|
|
|
|
(2,056)
|
|
|
|
|
(540)
|
|
Less Gain on
divestiture of Perfect Audience
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
(5,064)
|
|
|
|
|
(5,064)
|
|
|
|
|
—
|
|
Net Loss
(Non-GAAP)
|
|
$
|
(2,958)
|
|
|
$
|
(2,140)
|
|
|
$
|
(2,099)
|
|
|
$
|
(1,542)
|
|
|
|
$
|
(8,739)
|
|
|
|
$
|
(3,063)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Marin Software
Incorporated
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Calculation of
Non-GAAP Earnings Per Share
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three
Months
Ended
|
|
|
|
|
Three Months
Ended
|
|
|
|
Year
Ended
|
|
|
|
Three
Months
Ended
|
|
|
|
|
March
31,
2019
|
|
|
June
30,
2019
|
|
|
September
30,
2019
|
|
|
December31,
2019
|
|
|
|
December
31,
2019
|
|
|
|
March
31,
2020
|
|
(Unaudited; in
thousands, except per share data)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Loss
(Non-GAAP)
|
|
|
$
|
(2,958)
|
|
|
$
|
(2,140)
|
|
|
$
|
(2,099)
|
|
|
$
|
(1,542)
|
|
|
|
$
|
(8,739)
|
|
|
|
$
|
(3,063)
|
|
Weighted-average
shares outstanding, basic and diluted
|
|
|
|
5,945
|
|
|
|
6,201
|
|
|
|
6,631
|
|
|
|
6,705
|
|
|
|
|
6,373
|
|
|
|
|
6,819
|
|
Non-GAAP net loss per
common share, basic and diluted
|
|
|
$
|
(0.50)
|
|
|
$
|
(0.35)
|
|
|
$
|
(0.32)
|
|
|
$
|
(0.23)
|
|
|
|
$
|
(1.37)
|
|
|
|
$
|
(0.45)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Marin Software
Incorporated
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of
Net Loss to Adjusted EBITDA
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
|
|
Year
Ended
|
|
|
|
|
|
|
|
|
|
March
31,
2019
|
|
|
June
30,
2019
|
|
|
September30,
2019
|
|
|
December
31,
2019
|
|
|
|
December
31,
2019
|
|
|
|
March
31,
2020
|
|
(Unaudited; in
thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Loss
|
|
|
$
|
(4,606)
|
|
|
$
|
(4,003)
|
|
|
$
|
(3,273)
|
|
|
$
|
(526)
|
|
|
|
$
|
(12,408)
|
|
|
|
$
|
(3,971)
|
|
Depreciation
|
|
|
|
499
|
|
|
|
482
|
|
|
|
494
|
|
|
|
459
|
|
|
|
|
1,934
|
|
|
|
|
893
|
|
Amortization of
internally developed software
|
|
|
|
750
|
|
|
|
955
|
|
|
|
1,057
|
|
|
|
1,142
|
|
|
|
|
3,904
|
|
|
|
|
864
|
|
Amortization of
intangible assets
|
|
|
|
532
|
|
|
|
468
|
|
|
|
468
|
|
|
|
346
|
|
|
|
|
1,814
|
|
|
|
|
95
|
|
Provision for (benefit
from) income taxes
|
|
|
|
33
|
|
|
|
58
|
|
|
|
(161)
|
|
|
|
(50)
|
|
|
|
|
(120)
|
|
|
|
|
25
|
|
Impairment of
goodwill
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
1,910
|
|
|
|
|
1,910
|
|
|
|
|
—
|
|
Stock-based
compensation
|
|
|
|
685
|
|
|
|
762
|
|
|
|
653
|
|
|
|
564
|
|
|
|
|
2,664
|
|
|
|
|
446
|
|
Capitalization of
internally developed software
|
|
|
|
(482)
|
|
|
|
(388)
|
|
|
|
(1,004)
|
|
|
|
(182)
|
|
|
|
|
(2,056)
|
|
|
|
|
(540)
|
|
Gain on divestiture of
Perfect Audience
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
(5,064)
|
|
|
|
|
(5,064)
|
|
|
|
|
—
|
|
Restructuring related
expenses
|
|
|
|
163
|
|
|
|
66
|
|
|
|
—
|
|
|
|
268
|
|
|
|
|
497
|
|
|
|
|
43
|
|
Other income,
net
|
|
|
|
(540)
|
|
|
|
(532)
|
|
|
|
(640)
|
|
|
|
(540)
|
|
|
|
|
(2,252)
|
|
|
|
|
(469)
|
|
Adjusted
EBITDA
|
|
|
$
|
(2,966)
|
|
|
$
|
(2,132)
|
|
|
$
|
(2,406)
|
|
|
$
|
(1,673)
|
|
|
|
$
|
(9,177)
|
|
|
|
$
|
(2,614)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
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View original
content:http://www.prnewswire.com/news-releases/marin-software-announces-first-quarter-financial-results-301055262.html
SOURCE Marin Software