Cimpress Reports Fourth Quarter and Fiscal Year 2015 Financial Results
-
Fourth quarter 2015 results:
-
Revenue grew 13 percent year over year to
$380.5 million - Revenue grew 13 percent year over year excluding the impact of currency exchange rate fluctuations and revenue from businesses acquired during the past twelve months
-
GAAP net loss per diluted share was
$(0.11) in the fourth quarter of 2015 versus GAAP net income per diluted share of$0.03 in the year ago period -
Non-GAAP adjusted net income per diluted share decreased 12
percent year over year to
$0.66
-
Revenue grew 13 percent year over year to
-
Fiscal year 2015 results:
-
Revenue grew 18 percent year over year to
$1.5 billion - Revenue grew 9 percent year over year excluding the impact of currency exchange rate fluctuations and revenue from businesses acquired during the past twelve months
-
GAAP net income per diluted share was
$2.73 in fiscal 2015 versus$1.28 in the year ago period -
Non-GAAP adjusted net income per diluted share increased 46
percent year over year to
$4.31
-
Revenue grew 18 percent year over year to
VENLO,
"Our fourth quarter and full year fiscal 2015 performance reflects the
great strides made in service of the strategy we communicated at our
Keane added, "As we begin the next fiscal year, we reiterate our strategic objective of being the world leader in mass customization, and our financial objective of maximizing our intrinsic value per share."
Acquisitions Completed During the Fourth Quarter
-
Exagroup SAS, a leading web-to-print business in
Europe that focuses on serving French graphic arts professionals and printers -
druck.at Druck- und Handelsgesellschaft mbH (druck.at), a leading
web-to-print business in
Austria -
FL Print SAS, which does business as Easyflyer in
France , a small but rapidly growing French web-to-print start-up company
Our fourth quarter consolidated results include a partial quarter of the operations of these businesses.
Consolidated Financial Metrics:
-
Revenue for the fourth quarter of fiscal year 2015 was
$380.5 million , a 13 percent increase compared to revenue of$338.2 million reported in the same quarter a year ago. The year-over-year strengthening of the U.S. Dollar has negatively impacted the U.S. Dollar value of our revenues generated from countries other thanthe United States . Excluding the estimated impact from currency exchange rate fluctuations and revenue from businesses acquired during the past twelve months, total revenue grew 13 percent year over year in the fourth quarter, in line with our expectations. For the full year, total consolidated revenue grew 18 percent year over year and 23 percent in constant currencies. Excluding the estimated impact from currency exchange rate fluctuations and revenue from businesses acquired during the past twelve months, revenue for the full year grew 9 percent. - Gross margin (revenue minus the cost of revenue as a percent of total revenue) in the fourth quarter was 58.9 percent, down from 60.5 percent in the same quarter a year ago. For the full fiscal year, gross margin was 61.9 percent compared to 64.5 percent in fiscal year 2014. The year-over-year reduction in gross margin was primarily due to the mix effect of our acquisitions in the upload and print space that have lower gross margins than our Vistaprint business unit.
-
Operating income in the fourth quarter was
$15.2 million , or 4.0 percent of revenue, a decrease in both absolute dollars and as a percent of revenue compared to$19.7 million , or 5.8 percent of revenue, in the same quarter a year ago. For the full fiscal year, operating income was$96.3 million , or 6.4 percent of revenue, a 12 percent increase compared to operating income of$85.9 million , or 6.8 percent of revenue, in the prior fiscal year. Operating income in the fourth quarter and year was negatively impacted by currency fluctuations that were offset by realized hedging gains below the line in Other income (expense), net. -
GAAP net loss for the fourth quarter was
$(3.7) million , or (1.0) percent of revenue, compared to GAAP net income of$1.0 million , or 0.3 percent of revenue in the same quarter a year ago. This was influenced by additional interest expense related to the senior unsecured notes offering completed in the third quarter, as well as non-operational, non-cash currency impacts. For the full fiscal year, GAAP net income attributable toCimpress was$92.2 million , or 6.2 percent of revenue, a 111 percent increase compared to GAAP net income of$43.7 million , or 3.4 percent of revenue, in the prior fiscal year. -
GAAP net loss per diluted share for the fourth quarter was
$(0.11) , versus GAAP net income per diluted share of$0.03 in the same quarter a year ago. For the full fiscal year, GAAP net income per diluted share was$2.73 , versus$1.28 in the prior full fiscal year. -
Non-GAAP adjusted net income for the fourth quarter, which is defined
at the end of this press release, was
$22.8 million , or 6.0 percent of revenue, down 10.4 percent compared to$25.5 million , or 7.6 percent of revenue, in the same quarter a year ago. For the full fiscal year, non-GAAP adjusted net income was$147.7 million , or 9.9 percent of revenue, a 44 percent increase compared to non-GAAP adjusted net income of$102.5 million , or 8.1 percent of revenue, in the prior fiscal year. -
Non-GAAP adjusted net income per diluted share for the fourth quarter,
as defined at the end of this press release, was
$0.66 , versus$0.75 in the same quarter a year ago. For the 2015 full fiscal year, non-GAAP adjusted net income per diluted share was$4.31 , versus$2.95 in the prior fiscal year. -
Capital expenditures in the fourth quarter were
$25.7 million , or 6.8 percent of revenue. During the full fiscal year capital expenditures were$75.8 million or 5.1 percent of revenue. -
During the fourth quarter, the company generated
$36.5 million of cash from operations and$12.7 million in free cash flow, which is defined at the end of this press release. During the full fiscal year, the company generated$228.9 million of cash from operations and$143.5 million in free cash flow. -
As of June 30, 2015, the company had
$103.6 million in cash and cash equivalents and$522.5 million of debt. After considering debt covenant limitations, as of June 30, 2015 the company had$589.6 million available for borrowing under its committed credit facility.
Operating metrics are provided as a table-based supplement to this press
release. The acquisitions of Printdeal, Pixartprinting, FotoKnudsen,
Exagroup, Easyflyer, and druck.at, and the investment in Printi and the
Digipri contribution to our joint venture in
As described in
Important Reminder of Cimpress’ Priorities
We ask investors and potential investors in
Our priorities are:
- Strategic Objective: To be the world leader in mass customization. By mass customization, we mean producing, with the reliability, quality and affordability of mass production, small individual orders where each and every one embodies the personal relevance inherent to customized physical products.
- Financial Objective: To maximize intrinsic value per share, defined as (a) the unlevered free cash flow per share that, in our best judgment, will occur between now and the long-term future, appropriately discounted to reflect our cost of capital, minus (b) net debt per share.
To understand these objectives and their implications,
About non-GAAP financial measures
To supplement Cimpress’ consolidated financial statements presented in
accordance with U.S. generally accepted accounting principles, or GAAP,
The presentation of non-GAAP financial information is not intended to be considered in isolation or as a substitute for the financial information prepared and presented in accordance with GAAP. For more information on these non-GAAP financial measures, please see the tables captioned “Reconciliations of Non-GAAP Financial Measures” included at the end of this release. The tables have more details on the GAAP financial measures that are most directly comparable to non-GAAP financial measures and the related reconciliation between these financial measures.
Cimpress’ management believes that these non-GAAP financial measures provide meaningful supplemental information in assessing our performance and liquidity by excluding certain items that may not be indicative of our recurring core business operating results, which could be non-cash charges or discrete cash charges that are infrequent in nature. These non-GAAP financial measures also have facilitated management’s internal comparisons to Cimpress’ historical performance and our competitors’ operating results.
About
This press release contains statements about our future expectations,
plans, and prospects of our business that constitute forward-looking
statements for purposes of the safe harbor provisions under the Private
Securities Litigation Reform Act of 1995, including but not limited to
our expectations for the growth and development of our business.
Forward-looking projections and expectations are inherently uncertain,
are based on assumptions and judgments by management, and may turn out
to be wrong. Our actual results may differ materially from those
indicated by these forward-looking statements as a result of various
important factors, including but not limited to flaws in the assumptions
and judgments upon which our forecasts are based; our failure to execute
our strategy; our inability to make the investments in our business that
we plan to make; our failure to manage the growth and complexity of our
business and expand our operations; our failure to develop our mass
customization platform or to realize the anticipated benefits of such a
platform; costs and disruptions caused by acquisitions and strategic
investments; the failure of the businesses we acquire or invest in to
perform as expected; the willingness of purchasers of marketing services
and products to shop online; unanticipated changes in our markets,
customers, or business; competitive pressures; our failure to maintain
compliance with the covenants in our revolving credit facility and
senior notes or to pay our debts when due; general economic conditions;
and other factors described in our Form 10-Q for the fiscal quarter
ended March 31, 2015 and the other documents we periodically file with
the
In addition, the statements and projections in this press release represent our expectations and beliefs as of the date of this press release, and subsequent events and developments may cause these expectations, beliefs, and projections to change. We specifically disclaim any obligation to update any forward-looking statements. These forward-looking statements should not be relied upon as representing our expectations or beliefs as of any date subsequent to the date of this press release.
Operational Metrics & Financial Tables to Follow
CIMPRESS N.V. CONSOLIDATED BALANCE SHEETS (in thousands, except share and per share data) |
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June 30, |
June 30, |
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Assets | |||||||||
Current assets: | |||||||||
Cash and cash equivalents | $ | 103,584 | $ | 62,508 | |||||
Marketable securities | 6,910 | 13,857 | |||||||
Accounts receivable, net of allowances of $372 and $212, respectively | 32,145 | 23,515 | |||||||
Inventory | 18,356 | 12,138 | |||||||
Prepaid expenses and other current assets | 56,648 | 45,923 | |||||||
Total current assets | 217,643 | 157,941 | |||||||
Property, plant and equipment, net | 467,511 | 352,221 | |||||||
Software and web site development costs, net | 22,109 | 14,016 | |||||||
Deferred tax assets | 17,172 | 8,762 | |||||||
Goodwill | 400,629 | 317,187 | |||||||
Intangible assets, net | 151,063 | 110,214 | |||||||
Other assets | 32,115 | 28,644 | |||||||
Total assets | $ | 1,308,242 | $ | 988,985 | |||||
Liabilities, noncontrolling interests and shareholders’ equity | |||||||||
Current liabilities: | |||||||||
Accounts payable | $ | 65,875 | $ | 52,770 | |||||
Accrued expenses | 172,826 | 121,177 | |||||||
Deferred revenue | 23,407 | 26,913 | |||||||
Deferred tax liabilities | 1,043 | 2,178 | |||||||
Short-term debt | 22,602 | 37,575 | |||||||
Other current liabilities | 21,470 | 888 | |||||||
Total current liabilities | 307,223 | 241,501 | |||||||
Deferred tax liabilities | 48,007 | 30,846 | |||||||
Lease financing obligation | 93,841 | 18,117 | |||||||
Long-term debt | 499,941 | 410,484 | |||||||
Other liabilities | 52,073 | 44,420 | |||||||
Total liabilities | 1,001,085 | 745,368 | |||||||
Redeemable noncontrolling interests | 57,738 | 11,160 | |||||||
Shareholders’ equity: | |||||||||
Preferred shares, par value €0.01 per share, 100,000,000 shares authorized; none issued and outstanding | — | — | |||||||
Ordinary shares, par value €0.01 per share, 100,000,000 shares authorized; 44,080,627 shares issued; and 33,203,065 and 32,329,244 shares outstanding, respectively | 615 | 615 | |||||||
Treasury shares, at cost, 10,877,562 and 11,751,383 shares, respectively | (412,132 | ) | (423,101 | ) | |||||
Additional paid-in capital | 324,281 | 309,990 | |||||||
Retained earnings | 435,052 | 342,840 | |||||||
Accumulated other comprehensive (loss) income | (98,909 | ) | 2,113 | ||||||
Total shareholders’ equity attributable to Cimpress N.V. | 248,907 | 232,457 | |||||||
Noncontrolling interest | 512 | — | |||||||
Total shareholders' equity | 249,419 | 232,457 | |||||||
Total liabilities, noncontrolling interests and shareholders’ equity | $ | 1,308,242 | $ | 988,985 |
CIMPRESS N.V. |
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CONSOLIDATED STATEMENTS OF OPERATIONS (in thousands, except share and per share data) |
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Three Months Ended
June 30, |
Year Ended |
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2015 | 2014 | 2015 | 2014 | |||||||||||||||||||
Revenue | $ | 380,468 | $ | 338,156 | $ | 1,494,206 | $ | 1,270,236 | ||||||||||||||
Cost of revenue (1) | 156,218 | 133,611 | 568,599 | 451,093 | ||||||||||||||||||
Technology and development expense (1) | 55,519 | 48,790 | 194,360 | 176,344 | ||||||||||||||||||
Marketing and selling expense (1) | 118,063 | 104,632 | 489,743 | 440,311 | ||||||||||||||||||
General and administrative expense (1) | 35,432 | 31,379 | 145,180 | 116,574 | ||||||||||||||||||
Income from operations | 15,236 | 19,744 | 96,324 | 85,914 | ||||||||||||||||||
Other income (expense), net | (10,148 | ) | (13,478 | ) | 20,134 | (21,630 | ) | |||||||||||||||
Interest expense, net | (7,197 | ) | (2,807 | ) | (16,705 | ) | (7,674 | ) | ||||||||||||||
Income before income taxes and loss in equity interests | (2,109 | ) | 3,459 | 99,753 | 56,610 | |||||||||||||||||
Income tax provision | 2,783 | 2,771 | 10,441 | 10,590 | ||||||||||||||||||
Loss in equity interests | — | — | — | 2,704 | ||||||||||||||||||
Net income (loss) | (4,892 | ) | 688 | 89,312 | 43,316 | |||||||||||||||||
Add: Net loss attributable to noncontrolling interests | 1,190 | 346 | 2,900 | 380 | ||||||||||||||||||
Net income (loss) attributable to Cimpress N.V. | $ | (3,702 | ) | $ | 1,034 | $ | 92,212 | $ | 43,696 | |||||||||||||
Basic net income (loss) per share attributable to Cimpress N.V. | $ | (0.11 | ) | $ | 0.03 | $ | 2.82 | $ | 1.33 | |||||||||||||
Diluted net income (loss) per share attributable to Cimpress N.V. | $ | (0.11 | ) | $ | 0.03 | $ | 2.73 | $ | 1.28 | |||||||||||||
Weighted average shares outstanding — basic | 32,966,832 | 32,728,581 | 32,644,870 | 32,873,234 | ||||||||||||||||||
Weighted average shares outstanding — diluted | 32,966,832 | 33,682,468 | 33,816,498 | 34,239,909 |
____________________________________________
(1) Share-based compensation is allocated as follows:
Three Months Ended |
Year Ended |
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2015 | 2014 | 2015 | 2014 | ||||||||||||||||
Cost of revenue | $ | 16 | $ | 58 | $ | 78 | $ | 251 | |||||||||||
Technology and development expense | 1,178 | 1,142 | 4,139 | 7,041 | |||||||||||||||
Marketing and selling expense | 515 | 929 | 1,952 | 5,082 | |||||||||||||||
General and administrative expense | 3,602 | 3,807 | 17,906 | 15,412 |
CIMPRESS N.V. CONSOLIDATED STATEMENTS OF CASH FLOWS (in thousands) |
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Three Months Ended |
Year Ended |
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2015 | 2014 | 2015 | 2014 | |||||||||||||||||||||
Operating activities | ||||||||||||||||||||||||
Net (loss) income | $ | (4,892 | ) | $ | 688 | $ | 89,312 | $ | 43,316 | |||||||||||||||
Adjustments to reconcile net income to net cash provided by operating activities: | ||||||||||||||||||||||||
Depreciation and amortization | 27,744 | 22,936 | 97,500 | 72,282 | ||||||||||||||||||||
Share-based compensation expense | 5,311 | 5,936 | 24,075 | 27,786 | ||||||||||||||||||||
Excess tax benefits derived from share-based compensation awards | (10,460 | ) | 308 | (13,146 | ) | (5,159 | ) | |||||||||||||||||
Deferred taxes | (6,274 | ) | (1,853 | ) | (14,940 | ) | (12,807 | ) | ||||||||||||||||
Loss on sale of equity method investment | — | 12,681 | — | 12,681 | ||||||||||||||||||||
Loss in equity interests | — | — | — | 2,704 | ||||||||||||||||||||
Unrealized (gain) loss on derivative instruments included in net income | 5,567 | (2,230 | ) | (1,868 | ) | 425 | ||||||||||||||||||
Change in fair value of contingent consideration | — | 2,197 | 14,890 | 2,192 | ||||||||||||||||||||
Payment of contingent consideration in excess of acquisition date fair value | (6,806 | ) | — | (8,055 | ) | — | ||||||||||||||||||
Effect of exchange rate changes on monetary assets and liabilities denominated in non-functional currency | 9,477 | (240 | ) | (6,455 | ) | 748 | ||||||||||||||||||
Other non-cash items | 1,004 | 606 | 4,130 | 1,335 | ||||||||||||||||||||
Changes in operating assets and liabilities excluding the effect of business acquisitions: | ||||||||||||||||||||||||
Accounts receivable | 2,912 | 1,715 | 2,057 | 4,008 | ||||||||||||||||||||
Inventory | (2,290 | ) | (1,407 | ) | (4,491 | ) | (1,055 | ) | ||||||||||||||||
Prepaid expenses and other assets | (9,467 | ) | (3,804 | ) | 8,597 | (15,336 | ) | |||||||||||||||||
Accounts payable | 1,023 | 6,966 | (4,026 | ) | 14,945 | |||||||||||||||||||
Accrued expenses and other liabilities | 23,613 | 6,035 | 41,296 | 515 | ||||||||||||||||||||
Net cash provided by operating activities | 36,462 | 50,534 | 228,876 | 148,580 | ||||||||||||||||||||
Investing activities | ||||||||||||||||||||||||
Purchases of property, plant and equipment | (25,708 | ) | (18,123 | ) | (75,813 | ) | (72,122 | ) | ||||||||||||||||
Business acquisitions, net of cash acquired | (100,807 | ) | (216,384 | ) | (123,804 | ) | (216,384 | ) | ||||||||||||||||
Purchases of intangible assets, net | (49 | ) | (51 | ) | (250 | ) | (116 | ) | ||||||||||||||||
Purchase of available-for-sale securities | — | — | — | (4,629 | ) | |||||||||||||||||||
Capitalization of software and website development costs | (4,806 | ) | (2,410 | ) | (17,323 | ) | (9,749 | ) | ||||||||||||||||
Investment in equity interests | — | — | — | (4,994 | ) | |||||||||||||||||||
Other financing activities | — | 1,010 | — | 1,010 | ||||||||||||||||||||
Net cash used in investing activities | (131,370 | ) | (235,958 | ) | (217,190 | ) | (306,984 | ) | ||||||||||||||||
Financing activities | ||||||||||||||||||||||||
Proceeds from borrowings of debt | 149,000 | 373,800 | 367,500 | 482,800 | ||||||||||||||||||||
Proceeds from issuance of senior notes | — | — | 275,000 | — | ||||||||||||||||||||
Payments of debt | (69,669 | ) | (127,694 | ) | (581,920 | ) | (273,491 | ) | ||||||||||||||||
Payments of debt issuance costs | — | (10 | ) | (6,373 | ) | (1,363 | ) | |||||||||||||||||
Payment of contingent consideration included in acquisition-date fair value | (4,084 | ) | — | (11,105 | ) | — | ||||||||||||||||||
Payments of withholding taxes in connection with equity awards | (25,054 | ) | (1,030 | ) | (29,351 | ) | (9,430 | ) | ||||||||||||||||
Payments of capital lease obligations | (1,435 | ) | (1,297 | ) | (5,750 | ) | (1,297 | ) | ||||||||||||||||
Excess tax benefits derived from share-based compensation awards | 10,460 | (308 | ) | 13,146 | 5,159 | |||||||||||||||||||
Purchase of ordinary shares | — | (42,016 | ) | — | (42,016 | ) | ||||||||||||||||||
Proceeds from issuance of ordinary shares | 2,156 | 151 | 13,123 | 4,425 | ||||||||||||||||||||
Capital contribution from noncontrolling interest | — | — | 4,160 | 4,821 | ||||||||||||||||||||
Issuance of dividend to noncontrolling interest | — | — | (118 | ) | — | |||||||||||||||||||
Net cash provided by (used in) financing activities | 61,374 | 201,596 | 38,312 | 169,608 | ||||||||||||||||||||
Effect of exchange rate changes on cash and cash equivalents | 2,906 | (209 | ) | (8,922 | ) | 1,239 | ||||||||||||||||||
Net increase (decrease) in cash and cash equivalents | (30,628 | ) | 15,963 | 41,076 | 12,443 | |||||||||||||||||||
Cash and cash equivalents at beginning of period | 134,212 | 46,545 | 62,508 | 50,065 | ||||||||||||||||||||
Cash and cash equivalents at end of period | $ | 103,584 | $ | 62,508 | $ | 103,584 | $ | 62,508 |
CIMPRESS N.V. RECONCILIATIONS OF NON-GAAP FINANCIAL MEASURES (Unaudited in thousands, except share and per share data) |
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Three Months Ended June 30, |
Year Ended
June 30, |
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2015 | 2014 | 2015 | 2014 | ||||||||||||||||||||
Non-GAAP adjusted net income reconciliation: | |||||||||||||||||||||||
Net (loss) income attributable to Cimpress N.V. | $ | (3,702 | ) | $ | 1,034 | $ | 92,212 | $ | 43,696 | ||||||||||||||
Add back inclusive of tax effect: | |||||||||||||||||||||||
Share-based compensation expense | 4,970 | 6,109 | 22,141 | 28,520 | |||||||||||||||||||
Amortization of acquisition-related intangible assets | 6,794 | 5,510 | 23,358 | 12,187 | |||||||||||||||||||
Tax cost of transfer of intellectual property | 195 | 477 | 2,250 | 2,320 | |||||||||||||||||||
Loss on disposal of Namex investment | — | 12,681 | — | 12,681 | |||||||||||||||||||
Earn-out related charges (1) | 421 | 2,192 | 15,311 | 2,192 | |||||||||||||||||||
Currency loss (gain) on contingent consideration liability (2) | 270 | (86 | ) | (2,008 | ) | (86 | ) | ||||||||||||||||
Changes in unrealized loss (gain) on derivative instruments included in net income | 5,567 | (2,145 | ) | (1,868 | ) | 425 | |||||||||||||||||
Non-cash currency loss (gain) on intercompany loans | 8,310 | (295 | ) | (3,703 | ) | 585 | |||||||||||||||||
Non-GAAP adjusted net income | $ | 22,825 | $ | 25,477 | $ | 147,693 | $ | 102,520 | |||||||||||||||
Non-GAAP adjusted net income per diluted share reconciliation: | |||||||||||||||||||||||
Net (loss) income per diluted share attributable to Cimpress N.V. | $ | (0.11 | ) | $ | 0.03 | $ | 2.73 | $ | 1.28 | ||||||||||||||
Add back inclusive of tax effect: | |||||||||||||||||||||||
Share-based compensation expense | 0.14 | 0.18 | 0.64 | 0.82 | |||||||||||||||||||
Amortization of acquisition-related intangible assets | 0.20 | 0.16 | 0.67 | 0.35 | |||||||||||||||||||
Tax cost of transfer of intellectual property | 0.01 | 0.01 | 0.06 | 0.06 | |||||||||||||||||||
Loss on disposal of Namex investment | — | 0.37 | — | 0.36 | |||||||||||||||||||
Earn-out related charges (1) | 0.01 | 0.07 | 0.44 | 0.06 | |||||||||||||||||||
Currency loss (gain) on contingent consideration liability (2) | 0.01 | — | (0.06 | ) | — | ||||||||||||||||||
Changes in unrealized loss (gain) on derivative instruments included in net income | 0.16 | (0.06 | ) | (0.06 | ) | 0.01 | |||||||||||||||||
Non-cash currency loss (gain) on intercompany loans | 0.24 | (0.01 | ) | (0.11 | ) | 0.01 | |||||||||||||||||
Non-GAAP adjusted net income per diluted share | $ | 0.66 | $ | 0.75 | $ | 4.31 | $ | 2.95 | |||||||||||||||
Non-GAAP adjusted weighted average shares reconciliation: | |||||||||||||||||||||||
GAAP weighted average shares outstanding - diluted | 32,966,832 | 33,682,468 | 33,816,498 | 34,239,909 | |||||||||||||||||||
Add: | |||||||||||||||||||||||
Additional shares due to unamortized share-based compensation | 443,216 | 512,796 | 464,643 | 552,733 | |||||||||||||||||||
Impact of GAAP dilutive shares due to GAAP loss | 1,387,638 | — | — | — | |||||||||||||||||||
Non-GAAP adjusted weighted average shares outstanding - diluted | 34,797,686 | 34,195,264 | 34,281,141 | 34,792,642 |
(1) Includes expense recognized for the change in fair value of contingent consideration and compensation expense related to earn-out mechanisms dependent upon continued employment.
(2) Our non-GAAP results for the three months and year ended
CIMPRESS N.V. RECONCILIATIONS OF NON-GAAP FINANCIAL MEASURES (CONTINUED) (Unaudited in thousands, except share and per share data) |
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Three Months Ended June 30, |
Year Ended
June 30, |
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2015 | 2014 | 2015 | 2014 | ||||||||||||||||||||
Free cash flow reconciliation: | |||||||||||||||||||||||
Net cash provided by operating activities | $ | 36,462 | $ | 50,534 | $ | 228,876 | $ | 148,580 | |||||||||||||||
Purchases of property, plant and equipment | (25,708 | ) | (18,123 | ) | (75,813 | ) | (72,122 | ) | |||||||||||||||
Purchases of intangible assets not related to acquisitions | (49 | ) | (51 | ) | (250 | ) | (253 | ) | |||||||||||||||
Capitalization of software and website development costs | (4,806 | ) | (2,410 | ) | (17,323 | ) | (9,749 | ) | |||||||||||||||
Payment of contingent consideration in excess of acquisition-date fair value | 6,806 | — | 8,055 | — | |||||||||||||||||||
Free cash flow | $ | 12,705 | $ | 29,950 | $ | 143,545 | $ | 66,456 |
GAAP Revenue |
Constant - |
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Three Months Ended |
Currency |
Constant- |
Impact of |
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2015 | 2014 | % Change |
(Favorable)/ |
Revenue |
(Favorable)/ |
Revenue |
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Revenue growth reconciliation by region: | ||||||||||||||||||||||||
North America | $ | 199,987 | $ | 179,858 | 11% | 1% | 12% | —% | 12% | |||||||||||||||
Europe | 164,238 | 142,179 | 16% | 19% | 35% | (21)% | 14% | |||||||||||||||||
Other | 16,243 | 16,119 | 1% | 20% | 21% | (7)% | 14% | |||||||||||||||||
Total revenue | $ | 380,468 | $ | 338,156 | 13% | 9% | 22% | (9)% | 13% |
GAAP Revenue |
Constant- |
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Year Ended |
Currency |
Constant- |
Impact of |
|||||||||||||||||||||||
2015 | 2014 | % Change |
(Favorable)/ |
Revenue |
(Favorable)/ |
Excluding |
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Revenue growth reconciliation by region: | ||||||||||||||||||||||||||
North America | $ | 773,986 | $ | 700,197 | 11% | —% | 11% | —% | 11% | |||||||||||||||||
Europe | 644,447 | 502,090 | 28% | 11% | 39% | (33)% | 6% | |||||||||||||||||||
Other | 75,773 | 67,949 | 12% | 11% | 23% | (10)% | 13% | |||||||||||||||||||
Total revenue | $ | 1,494,206 | $ | 1,270,236 | 18% | 5% | 23% | (14)% | 9% |
GAAP Revenue |
Constant- |
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Three Months Ended June 30, |
Currency |
Constant- |
Impact of |
||||||||||||||||||||||||||||
2015 | 2014 |
% Change |
(Favorable)/ |
Revenue |
(Favorable)/ |
Excluding |
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Revenue growth reconciliation by reportable segment: | |||||||||||||||||||||||||||||||
Vistaprint Business Unit | $ | 285,872 | $ | 275,679 | 4 | % | 6 | % | 10 | % | — | % | 10 | % | |||||||||||||||||
All Other Business Units | 94,596 | 62,477 | 51 | % | 25 | % | 76 | % | (52 | )% | 24 | % | |||||||||||||||||||
Total revenue | $ | 380,468 | $ | 338,156 | 13 | % | 9 | % | 22 | % | (9 | )% | 13 | % |
GAAP Revenue |
Constant- |
|||||||||||||||||||||||||
Year Ended |
Currency Impact: |
Constant- Currency |
Impact of |
|||||||||||||||||||||||
2015 | 2014 |
% Change |
(Favorable)/ |
Revenue |
(Favorable)/ |
Excluding |
||||||||||||||||||||
Revenue growth reconciliation by reportable segment: | ||||||||||||||||||||||||||
Vistaprint Business Unit | $ | 1,194,393 | $ | 1,144,030 | 4% | 5% | 9% | —% | 9% | |||||||||||||||||
All Other Business Units | 299,813 | 126,206 | 138% | 17% | 155% | (139)% | 16% | |||||||||||||||||||
Total revenue | $ | 1,494,206 | $ | 1,270,236 | 18% | 5% | 23% | (14)% | 9% |
For the three months ended
CIMPRESS N.V. | ||||||||||||||||||||||||||||||||||
Supplemental Financial Information and Operating Metrics | ||||||||||||||||||||||||||||||||||
Q4 |
FY2014 |
Q1 |
Q2 |
Q3 |
Q4 |
FY2015 | ||||||||||||||||||||||||||||
1 | New Customer Orders* (millions) | 2.2 | 9.7 | 2.1 | 2.7 | 2.2 | 2.1 | 9.1 | ||||||||||||||||||||||||||
y/y growth | — | % | (8 | )% | (5 | )% | (7 | )% | (8 | )% | (5 | )% | (6 | )% | ||||||||||||||||||||
2 | Total Order Volume* (millions) | 7.0 | 30.5 | 6.8 | 8.8 | 7.2 | 7.0 | $ | 29.8 | |||||||||||||||||||||||||
y/y growth | (1 | )% | (4 | )% | (4 | )% | (3 | )% | (1 | )% | — | % | (2 | )% | ||||||||||||||||||||
3 | Average Order Value* ($USD) | $ | 42.50 | $ | 40.74 | $ | 43.32 | $ | 43.55 | $ | 42.08 | $ | 42.89 | $ | 42.99 | |||||||||||||||||||
y/y growth | 9 | % | 10 | % | 10 | % | 6 | % | 5 | % | 1 | % | 6 | % | ||||||||||||||||||||
4 | TTM Unique Active Customer Count* (millions) | 16.7 | 16.7 | 16.6 | 16.7 | 16.6 | ||||||||||||||||||||||||||||
y/y growth | (2 | )% | (2 | )% | (2 | )% | (1 | )% | (1 | )% | ||||||||||||||||||||||||
TTM new customer count (millions) | 9.7 | 9.6 | 9.4 | 9.3 | 9.2 | |||||||||||||||||||||||||||||
TTM repeat customer count (millions) | 7.0 | 7.1 | 7.2 | 7.4 | 7.4 | |||||||||||||||||||||||||||||
5 | TTM Average Bookings per Unique Active Customer* | $ | 74 | $ | 75 | $ | 76 | $ | 77 | $ | 77 | |||||||||||||||||||||||
y/y growth | 7 | % | 7 | % | 6 | % | 5 | % | 4 | % | ||||||||||||||||||||||||
TTM average bookings per new customer (approx.) | $ | 54 | $ | 55 | $ | 56 | $ | 56 | $ | 56 | ||||||||||||||||||||||||
TTM average bookings per repeat customer (approx.) | $ | 102 | $ | 103 | $ | 103 | $ | 103 | $ | 103 | ||||||||||||||||||||||||
6 | Advertising & Commissions Expense - (millions) Vistaprint business unit and Albumprinter only | $ | 55.7 | $ | 266.4 | $ | 62.2 | $ | 83.1 | $ | 70.5 | $ | 61.8 | $ | 277.6 | |||||||||||||||||||
as % of revenue | 18.9 | % | 21.7 | % | 21.3 | % | 21.8 | % | 23.7 | % | 20.7 | % | 22.0 | % | ||||||||||||||||||||
7 | Advertising & Commissions Expense - Consolidated (millions) | $ | 57.1 | $ | 267.7 | $ | 63.9 | $ | 85.6 | $ | 72.1 | $ | 64.8 | $ | 286.4 | |||||||||||||||||||
as % of revenue | 16.9 | % | 21.1 | % | 19.1 | % | 19.5 | % | 21.2 | % | 17.0 | % | 19.2 | % | ||||||||||||||||||||
Revenue - Consolidated as Reported ($ millions) | $ | 338.2 | $ | 1,270.2 | $ | 333.9 | $ | 439.9 | $ | 339.9 | $ | 380.5 | $ | 1,494.2 | ||||||||||||||||||||
y/y growth | 21 | % | 9 | % | 21 | % | 19 | % | 19 | % | 13 | % | 18 | % | ||||||||||||||||||||
y/y growth in constant currency | 19 | % | 8 | % | 21 | % | 23 | % | 26 | % | 22 | % | 23 | % | ||||||||||||||||||||
North America ($ millions) | $ | 179.9 | $ | 700.2 | $ | 177.7 | $ | 206.5 | $ | 189.8 | $ | 200.0 | $ | 774.0 | ||||||||||||||||||||
y/y growth | 6 | % | 9 | % | 8 | % | 9 | % | 14 | % | 11 | % | 11 | % | ||||||||||||||||||||
y/y growth in constant currency | 7 | % | 9 | % | 8 | % | 10 | % | 15 | % | 12 | % | 11 | % | ||||||||||||||||||||
as % of revenue | 53 | % | 55 | % | 53 | % | 47 | % | 56 | % | 53 | % | 52 | % | ||||||||||||||||||||
Europe ($ millions) | $ | 142.2 | $ | 502.1 | $ | 138.4 | $ | 208.6 | $ | 133.2 | $ | 164.2 | $ | 644.4 | ||||||||||||||||||||
y/y growth | 50 | % | 11 | % | 46 | % | 30 | % | 28 | % | 16 | % | 28 | % | ||||||||||||||||||||
y/y growth in constant currency | 43 | % | 7 | % | 45 | % | 41 | % | 44 | % | 35 | % | 39 | % | ||||||||||||||||||||
as % of revenue | 42 | % | 40 | % | 42 | % | 47 | % | 39 | % | 43 | % | 43 | % | ||||||||||||||||||||
Other Regions ($ millions) | $ | 16.1 | $ | 67.9 | $ | 17.8 | $ | 24.8 | $ | 16.9 | $ | 16.2 | $ | 75.8 | ||||||||||||||||||||
y/y growth | 3 | % | (4 | )% | 14 | % | 22 | % | 6 | % | 1 | % | 12 | % | ||||||||||||||||||||
y/y growth in constant currency | 8 | % | 6 | % | 13 | % | 27 | % | 21 | % | 21 | % | 23 | % | ||||||||||||||||||||
as % of revenue | 5 | % | 5 | % | 5 | % | 6 | % | 5 | % | 4 | % | 5 | % | ||||||||||||||||||||
8 | Physical printed products and other ($ millions) | $ | 318.7 | $ | 1,189.9 | $ | 315.1 | $ | 422.1 | $ | 322.6 | $ | 363.3 | $ | 1,423.1 | |||||||||||||||||||
Digital products/services ($ millions) | $ | 19.5 | $ | 80.3 | $ | 18.8 | $ | 17.8 | $ | 17.3 | $ | 17.2 | $ | 71.1 | ||||||||||||||||||||
Headcount at end of period | 5,127 | 5,336 | 5,859 | 5,839 | 6,552 | |||||||||||||||||||||||||||||
Full-time employees | 4,901 | 5,040 | 5,203 | 5,534 | 6,168 | |||||||||||||||||||||||||||||
Temporary employees | 226 | 296 | 656 | 305 | 384 | |||||||||||||||||||||||||||||
Notes: Some numbers may not add due to rounding. Metrics are unaudited and where noted, approximate. |
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*Customer metrics above are inclusive of the Vistaprint Business Unit and Albumprinter only and do not include Printi, Printdeal, Pixartprinting, FotoKnudsen, Exagroup, Easyflyer (FL Print), druck.at, or Digipri. | ||||||||||||||||||||||||||||||||||
1 | Orders from first-time customers in period, Vistaprint business unit and Albumprinter only. | |||||||||||||||||||||||||||||||||
2 | Total order volume in period, Vistaprint business unit and Albumprinter only. | |||||||||||||||||||||||||||||||||
3 | Total bookings, including shipping and processing, divided by total orders, Vistaprint business unit and Albumprinter only. | |||||||||||||||||||||||||||||||||
4 | Number of individual customers who purchased from us in a given period, with no regard to frequency of purchase, Vistaprint business unit and Albumprinter only. | |||||||||||||||||||||||||||||||||
5 | Total bookings for a trailing twelve month period, including shipping and processing, divided by number of unique customers in the same period, Vistaprint business unit and Albumprinter only. | |||||||||||||||||||||||||||||||||
6 | External advertising and commissions expense for the Vistaprint business unit and Albumprinter only. | |||||||||||||||||||||||||||||||||
7 | External advertising and commissions expense for the consolidated business | |||||||||||||||||||||||||||||||||
8 | Other revenue includes miscellaneous items which account for less than 1% of revenue |
View source version on businesswire.com: http://www.businesswire.com/news/home/20150729006678/en/
Source:
Cimpress N.V.
Investor Relations:
Meredith Burns,
+1-781-652-6480
ir@cimpress.com
or
Media
Relations:
Cheryl Wadsworth
mediarelations@cimpress.com