Determine Cloud Platform Technology Continues to Attract New Customers in US and Europe and Increase Customer Migration and Expansion
CARMEL, Ind., Nov. 13, 2018 (GLOBE NEWSWIRE) — Determine, Inc. (NASDAQ: DTRM), a pioneering leader in global Source-to-Pay and Enterprise Contract Lifecycle Management (ECLM) Cloud Platform solutions, announced financial results for its second quarter ended September 30th, 2018.
Q2 FY2019 GAAP Financial Highlights:
- GAAP Revenue was $5.7 million in Q2 FY2019, compared to $6.0 million in Q1 FY19, representing a 5.1% decrease quarter-over-quarter, and compared to $6.9 million in Q2 FY2018 GAAP Revenue, representing a 16.8% decrease year-over-year.
- GAAP gross profit percentage was 48.1% in Q2 FY2019, compared to 43.5% in Q1 FY2019, representing a 4.6 point increase quarter-over-quarter, and compared to 49.8% in Q2 FY2018, representing a 1.7 point decrease year-over-year.
- Deferred revenues decreased to $8.0 million from $9.3 million in Q1 FY2019.
- GAAP net loss was $3.6 million, or $0.24 per share in Q2 FY2019, compared to $4.1 million or $0.27 per share in Q1 FY2019, representing a gain of $0.03 per share quarter-over-quarter; in Q2 FY2018, the GAAP net loss was $2.7 million or $0.18 per share.
| (in thousands, except per share amounts) | ||||||||||||||||
| GAAP Financial Measures | Q2 | Q1 | Q2 | Change | Change | |||||||||||
| FY 2019 | FY 2019 | FY 2018 | Q/Q | Y/Y | ||||||||||||
| Revenue – total | $ | 5,734 | $ | 6,040 | $ | 6,888 | (5.1 | %) | (16.8 | %) | ||||||
| Revenue – recurring | $ | 5,044 | $ | 5,251 | $ | 5,545 | (3.9 | %) | (9.0 | %) | ||||||
| Revenue – non-recurring | $ | 690 | $ | 789 | $ | 1,343 | (12.5 | %) | (48.6 | %) | ||||||
| Gross profit – total | $ | 2,759 | $ | 2,627 | $ | 3,432 | 5.0 | % | (19.6 | %) | ||||||
| Gross profit – recurring | $ | 3,115 | $ | 3,145 | $ | 3,371 | (1.0 | %) | (7.6 | %) | ||||||
| Gross (loss)/profit – non-recurring | $ | (356 | ) | $ | (518 | ) | $ | 61 | (31.3 | %) | (683.6 | %) | ||||
| Gross margin – total | 48.1 | % | 43.5 | % | 49.8 | % | 4.6 pts | (1.7 pts) | ||||||||
| Gross margin – recurring | 61.8 | % | 59.9 | % | 60.8 | % | 1.9 pts | 1.0 pts | ||||||||
| Gross margin – non recurring | (51.6 | %) | (65.7 | %) | 4.5 | % | 14.1 pts | (56.1 pts) | ||||||||
| Net loss | $ | (3,583 | ) | $ | (4,069 | ) | $ | (2,671 | ) | (11.9 | %) | 34.1 | % | |||
| EPS | $ | (0.24 | ) | $ | (0.27 | ) | $ | (0.18 | ) | $ | 0.03 | $ | (0.06 | ) | ||
Q2 FY2019 Non-GAAP Financial Highlights:
- Non-GAAP revenue was $5.7 million in Q2 FY2019, compared to $6.0 million in Q1 FY2019, representing a 5.1% decrease quarter-over-quarter, and compared to $6.9 million in Q2 FY2018, representing a 16.8% decrease year-over-year.
- Non-GAAP gross profit percentage was 52.8% in Q2 FY2019, compared to 48.5% in Q1 FY2019, representing a 4.4% increase quarter-over-quarter, and 54.9% in Q2 FY2018, representing a 2.1% decrease year-over-year.
- Non-GAAP net loss was $2.6 million in Q2 FY2019, compared to a net loss of $2.9 million in Q1 FY2019, resulting in the loss per share remaining flat quarter-over-quarter at $0.20 per share for both periods. Q2 FY2018 had a non-GAAP net loss of $1.5 million or $0.10 per share, representing a $0.10 decrease year-over-year.
- Billings decreased 25.4% to $4.5 million in Q2 FY2019 from $6.0 million in Q2 FY2019. Billings, a non-GAAP measure, are defined as revenue plus the change in deferred revenues.
- Non-GAAP EBITDA was a $1.5 million loss in Q2 FY2019, compared to a loss of $0.6 million in Q2 FY2018, representing a decrease of $0.9 million year-over-year.
| (in thousands, except per share amounts) | ||||||||||||||||
| Non-GAAP Financial Measures | Q2 | Q1 | Q2 | Change | Change | |||||||||||
| FY 2019 | FY 2019 | FY 2018 | Q/Q | Y/Y | ||||||||||||
| Revenue – total | $ | 5,734 | $ | 6,040 | $ | 6,888 | (5.1 | %) | (16.8 | %) | ||||||
| Revenue – recurring | $ | 5,044 | $ | 5,251 | $ | 5,545 | (3.9 | %) | (9.0 | %) | ||||||
| Revenue – non-recurring | $ | 690 | $ | 789 | $ | 1,343 | (12.5 | %) | (48.6 | %) | ||||||
| Gross profit – total | $ | 3,030 | $ | 2,929 | $ | 3,784 | 3.5 | % | (19.9 | %) | ||||||
| Gross profit – recurring | $ | 3,372 | $ | 3,434 | $ | 3,675 | (1.8 | %) | (8.2 | %) | ||||||
| Gross (loss)/profit – non-recurring | $ | (342 | ) | $ | (505 | ) | $ | 109 | 32.3 | % | (413.8 | %) | ||||
| Gross margin – total | 52.8 | % | 48.5 | % | 54.9 | % | 4.4 pts | (2.1 pts) | ||||||||
| Gross margin – recurring | 66.9 | % | 65.4 | % | 66.3 | % | 1.5 pts | 0.6 pts | ||||||||
| Gross margin – non recurring | (49.6 | %) | (64.0 | %) | 8.1 | % | 14.4 pts | (57.7 pts) | ||||||||
| Net loss | $ | (2,557 | ) | $ | (2,944 | ) | $ | (1,506 | ) | 13.2 | % | (69.8 | %) | |||
| EPS | $ | (0.20 | ) | $ | (0.20 | ) | $ | (0.10 | ) | $ | – | $ | (0.10 | ) | ||
| Billings | $ | 4,468 | $ | 5,743 | $ | 5,991 | (22.2 | %) | (25.4 | %) | ||||||
“Helping companies – and entire industries – work smarter and more efficiently is the guiding principle on which Determine was founded. We are now aggressively expanding the application of those two concepts across the company as we position for increased success, most notably in our customer acquisition and management teams.
Recently, Determine announced that Gérard Dahan has taken over leadership of worldwide marketing, sales and customer management as Determine’s newly named Global Chief Revenue and Marketing Officer. This is one part of our diligence in reshaping and streamlining our ecosystem of stakeholders, roles, responsibilities, KPIs and compensation. While it’s still early in the process, the entire company is rallying around the new Sales, Marketing and Customer Management structure to support its success.
In terms of fiscal efficiency, Determine has been vigorously eliminating costs, including over $2 million in annual expenses across the board since mid-year. The company will continue to make additional cost management adjustments opportunistically.
We are continuing to efficiently and effectively deliver the Determine message to prospects and customers who seek to derive bottom-line value from our best-in-class modular Source-to-Pay and Enterprise Contract Management Solutions.”
— Patrick Stakenas, President and CEO and Director, Determine, Inc.
Determine Business Highlights:
- Customer Satisfaction and Vendor Reference Scores Drive Outstanding Results for Determine, Inc. on its Third Consecutive Gartner Magic Quadrant for Procure-to-Pay: Source-to-pay and contract management innovator ranks in the top quartile among all vendors.
- Determine, Inc. Scores its Sixth Gartner Magic Quadrant for Strategic Sourcing Since 2010, Ranking High in Support and Services Sourcing: Source-to-pay and contract management powerhouse continues to achieve outstanding innovation and customer satisfaction scores.
- Determine, Inc. Earns High Marks with Spend Matters: Solidifies Position in Top Analyst Firm Spend Matters Q3 2018 SolutionMap Rankings: Innovation excellence lands firmly in five procurement, invoicing, contract management and sourcing categories.
- Determine Launches Determine CLM App on Salesforce AppExchange: The Determine CLM app, available with all CLM deployments and stand-alone, integrates sell-side contracts with Determine Contract Management.
- Determine, Inc. Drives Advanced Levels of Innovation With New Determine Cloud Platform Release 18.3: Release 18.3 streamlines process efficiency with innovative features that enhance user flexibility, simplicity and configurability.
- Q2 FY2019 Customer Announcements: During Q2 FY2019, Determine announced new customer accounts and cloud platform adoption by existing customers in the US and Europe across its Determine Cloud Platform Source-to-Pay and Enterprise Contract Lifecycle Management solutions.
- Leading French Group SQLI Selects the Determine Cloud Platform for Procure-to-Pay and Contract Management: SQLI, the world’s leading partner for defining, implementing and managing digital transformations, chooses Determine for ease of use and configurability.
- LegalZoom Maximizes Contract Management Capabilities with Determine Cloud Platform: Long-time customer LegalZoom, the leading provider of legal solutions for businesses and families migrates to Determine Contract Management on the Determine Cloud Platform.
- One of the World’s Largest Multinational Entertainment Conglomerates Expands Global Footprint on the Determine Cloud Platform: Leveraging the complete source-to-pay spectrum to drive market and revenue opportunities
- Annualized Bookings: In Q2 FY2019, the revenue team delivered approximately $456K in annualized bookings. Banking, Chemicals, Electronics, Healthcare, Manufacturing, Pharmaceutical, Retail, Technology, and Transportation were particularly standout industry verticals.
- Determine Continues Thought Leadership: In Q2 FY2019, Determine continued to provide meaningful educational resources to inform customers and prospects on the ever-changing Source-to-Pay and Enterprise Contract Lifecycle Management landscape:
- Determine, Inc. Showcases Advanced Source-to-Pay and Procurement Innovation at eWorld Procurement & Supply in London: Event highlights include demonstrations and speaker presentation by Chief Product Officer Julien Nadaud.
- Source-to-Pay Pioneer Determine, Inc. and Customer Watermark Retirement Communities Bring Agile Best Practices to ProcureCon Indirect West: Presenting how modular solutions accelerate time-to-efficiency.
- Determine, Inc. and PayStream Advisors Present Latest Trends in Sourcing and CLM in Live Webinar: 2018 Sourcing and Contract Management Strategies to Watch explores research insights, use cases and provide action items to improve processes and strategies.
Conference Call and Webcast: Tuesday, November 13, 2018 at 5:00 PM (Eastern Time)
Participant Conference Call Numbers:
Toll-Free: 1-877-407-0789
Toll/International: 1-201-689-8562
Participant Webcast Link: http://public.viavid.com/index.php?id=132114
Replay Dial-in Information:
Toll-Free: 1-844-512-2921
Toll/International: 1-412-317-6671
From: 11/13/18 at 8:00 pm Eastern Time
To: 11/20/18 at 11:59 pm Eastern Time
Replay Pin Number: 13684754
Related: http://investor.determine.com
Non-GAAP Financial Measures
To supplement our financial results presented in accordance with Generally Accepted Accounting Principles (GAAP), this press release and the accompanying tables contain certain non-GAAP financial measures, including non-GAAP revenue, non-GAAP gross profit, non-GAAP net income and non-GAAP earnings per share, which we believe are helpful in understanding our past financial performance and future results. For reconciliations of these non-GAAP financial measures to the most directly comparable GAAP financial measures, please see the section of the accompanying tables titled, “GAAP to Non-GAAP Reconciliations”. Our non-GAAP financial measures are not meant to be considered in isolation or as a substitute for comparable GAAP measures and should be read in conjunction with our consolidated financial statements prepared in accordance with GAAP.
The difference between GAAP and non-GAAP gross profit is the elimination of the amortization of acquisition related intangibles, stock based compensation and severance expense from the costs of revenue. Non-GAAP net loss excludes the non-GAAP gross profit items as well as acquisition related costs.
Our management regularly uses our supplemental non-GAAP financial measures internally to understand and manage our business and forecast future periods; as such, we believe it is useful for investors to understand the effects of these items on our total operations. Further, please note that our non-GAAP revenue is intended to reflect the full amount of revenues that would have been otherwise recorded by the acquired entities of Iasta and b-pack, while our non-GAAP gross profit also excludes the amortization of intangibles that occurred due to the acquisition of the entities of Iasta and b-pack.
Annualized Bookings is an operating measure not derived from the company’s revenues or any other amounts presented in accordance with GAAP in the company’s statement of income, balance sheet or statement of cash flows or other equivalent statements.
Forward-looking Statements
Certain statements in this release and elsewhere by Determine are forward-looking statements within the meaning of the federal securities laws and the Private Securities Litigation Reform Act of 1995. Such statements may include, without limitation, statements regarding business outlook, assessment of market conditions, anticipated financial and operating results, strategies, product and channel development, future plans, contingencies and contemplated transactions of the company. Such forward-looking statements are not guarantees of future performance and are subject to known and unknown risks, uncertainties and other factors which may cause or contribute to actual results of company operations, or the performance or achievements of the company or industry results, to differ materially from those expressed, or implied by the forward-looking statements. In addition to any such risks, uncertainties and other factors discussed elsewhere herein, risks, uncertainties and other factors that could cause or contribute to actual results differing materially from those expressed or implied for the forward-looking statements include, but are not limited to fluctuations in demand for Determine’s products and services, risks of losing key personnel or customers, protection of the company’s intellectual property and government policies and regulations, including, but not limited to those affecting the company’s industry. Determine undertakes no obligation to publicly update any forward-looking statements, whether as a result of new information, future events or otherwise. Additional risk factors concerning the company can be found in the company’s most recent Form 10-K as filed by the company with the Securities and Exchange Commission.
Supporting Resources
Determine blog
Determine on LinkedIn
Determine on Twitter
Determine Resources
About Determine, Inc.
Determine, Inc. (NASDAQ: DTRM) is a leading global provider of SaaS Source-to-Pay and Enterprise Contract Lifecycle Management (ECLM) solutions. The Determine Cloud Platform provides procurement, legal and finance professionals analytics of their supplier, contract and financial performance. Our technologies empower customers to drive new revenue, identify savings, improve compliance and mitigate risk.
The Determine Cloud Platform seamlessly integrates with major ERP or third-party systems such as SAP, Oracle, Sage, QAD and Microsoft. Modular solutions can be configured to add more as needed to provide additional value beyond spend management. Our unified master database and business process approach empower users at every level to make more informed and smarter decisions.
For more information, please visit: determine.com.
Contact
Media Relations:
Mike Mitchell
Determine, Inc.
+1.650.532.1590
[email protected]
| Determine, Inc. | |||||||||||||||||||
| Condensed Consolidated Statements of Operations and Comprehensive Loss | |||||||||||||||||||
| (In thousands, except per share amounts) | |||||||||||||||||||
| (Unaudited) | |||||||||||||||||||
| Three Months Ended | Six Months Ended | ||||||||||||||||||
| 9/30/2018 | 9/30/2017 | 9/30/2018 | 9/30/2017 | ||||||||||||||||
| Revenues: | |||||||||||||||||||
| Recurring revenues | $ | 5,044 | $ | 5,545 | $ | 10,295 | $ | 10,845 | |||||||||||
| Non-recurring revenues | 690 | 1,343 | 1,479 | 3,031 | |||||||||||||||
| Total revenues | 5,734 | 6,888 | 11,774 | 13,876 | |||||||||||||||
| Cost of revenues: | |||||||||||||||||||
| Cost of recurring revenues | 1,929 | 2,174 | 4,035 | 3,960 | |||||||||||||||
| Cost of non-recurring revenues | 1,046 | 1,282 | 2,353 | 2,799 | |||||||||||||||
| Total cost of revenues | 2,975 | 3,456 | 6,388 | 6,759 | |||||||||||||||
| Gross profit: | |||||||||||||||||||
| Recurring gross profit | 3,115 | 3,371 | 6,260 | 6,885 | |||||||||||||||
| Non-recurring gross (loss) profit | (356 | ) | 61 | (874 | ) | 232 | |||||||||||||
| Total gross profit | 2,759 | 3,432 | 5,386 | 7,117 | |||||||||||||||
| Operating expenses: | |||||||||||||||||||
| Research and development | 1,195 | 1,008 | 2,371 | 2,074 | |||||||||||||||
| Sales and marketing | 2,491 | 2,694 | 5,582 | 5,190 | |||||||||||||||
| General and administrative | 2,225 | 1,805 | 4,230 | 3,877 | |||||||||||||||
| Total operating expenses | 5,911 | 5,507 | 12,183 | 11,141 | |||||||||||||||
| Loss from operations | (3,152 | ) | (2,075 | ) | (6,797 | ) | (4,024 | ) | |||||||||||
| Other expense, net | (419 | ) | (568 | ) | (755 | ) | (746 | ) | |||||||||||
| Net loss before income tax | (3,571 | ) | (2,643 | ) | (7,552 | ) | (4,770 | ) | |||||||||||
| Provision for benefit from income taxes | (12 | ) | (28 | ) | (100 | ) | (11 | ) | |||||||||||
| Net loss | $ | (3,583 | ) | $ | (2,671 | ) | $ | (7,652 | ) | $ | (4,781 | ) | |||||||
| Basic and diluted net loss per share | $ | (0.24 | ) | $ | (0.18 | ) | $ | (0.50 | ) | $ | (0.35 | ) | |||||||
| Determine, Inc. | |||||||||||||||||||
| GAAP to Non-GAAP Reconciliations | |||||||||||||||||||
| (In thousands) | |||||||||||||||||||
| (Unaudited) | |||||||||||||||||||
| Three Months Ended | Six Months Ended | ||||||||||||||||||
| 9/30/2018 | 9/30/2017 | 9/30/2018 | 9/30/2017 | ||||||||||||||||
| Reconciliation of total revenue: | |||||||||||||||||||
| U.S. GAAP as reported | $ | 5,734 | $ | 6,888 | $ | 11,774 | $ | 13,876 | |||||||||||
| Non-GAAP revenue | $ | 5,734 | $ | 6,888 | $ | 11,774 | $ | 13,876 | |||||||||||
| Reconciliation of gross profit: | |||||||||||||||||||
| U.S. GAAP as reported | $ | 2,759 | $ | 3,432 | $ | 5,386 | $ | 7,117 | |||||||||||
| Adjustments: | |||||||||||||||||||
| Amortizaton of acquisition | 250 | 260 | 503 | 511 | |||||||||||||||
| Stock based compensation | 17 | 92 | 58 | 121 | |||||||||||||||
| Severance | 4 | – | 12 | 38 | |||||||||||||||
| Non-GAAP gross profit | $ | 3,030 | $ | 3,784 | $ | 5,959 | $ | 7,787 | |||||||||||
| Reconciliation to non-GAAP net loss: | |||||||||||||||||||
| Net loss | $ | (3,583 | ) | $ | (2,671 | ) | $ | (7,652 | ) | $ | (4,781 | ) | |||||||
| Stock-based compensation expense | 534 | 621 | 1,071 | 1,206 | |||||||||||||||
| Amortization on intangibles | 457 | 542 | 1,000 | 1,074 | |||||||||||||||
| Severance costs | 35 | 2 | 80 | 43 | |||||||||||||||
| Non-GAAP net loss | $ | (2,557 | ) | $ | (1,506 | ) | $ | (5,501 | ) | $ | (2,458 | ) | |||||||
| Non-GAAP basic and diluted net loss per share | $ | (0.20 | ) | $ | (0.10 | ) | $ | (0.36 | ) | $ | (0.18 | ) | |||||||
| Weighted-average shares of common stock used in computing basic and diluted net loss per share attributable to common shareholders |
|||||||||||||||||||
| 15,101 | 14,784 | 15,154 | 13,545 | ||||||||||||||||
| Determine, Inc. | |||||||||||||||||||
| Condensed Consolidated Statements of Operations and Comprehensive Loss | |||||||||||||||||||
| (In thousands) | |||||||||||||||||||
| (Unaudited) | |||||||||||||||||||
| Three Months Ended | Six Months Ended | ||||||||||||||||||
| September 30, | September 30, | September 30, | September 30, | ||||||||||||||||
| 2018 | 2017 | 2018 | 2017 | ||||||||||||||||
| Statements of comprehensive loss: | |||||||||||||||||||
| Consolidated net loss | $ | (3,583 | ) | $ | (2,671 | ) | $ | (7,652 | ) | $ | (4,781 | ) | |||||||
| Foreign currency translation adjustments, net | (60 | ) | 460 | (457 | ) | 771 | |||||||||||||
| Other comprehensive income | – | 103 | – | (11 | ) | ||||||||||||||
| Comprehensive loss | $ | (3,643 | ) | $ | (2,108 | ) | $ | (8,109 | ) | $ | (4,021 | ) | |||||||
| Determine, Inc. | |||||||||||||||||||
| Condensed Consolidated Balance Sheets | |||||||||||||||||||
| (In thousands) | |||||||||||||||||||
| September 30, | March 31, | ||||||||||||||||||
| 2018 | 2018 | ||||||||||||||||||
| (Unaudited) | (Audited) | ||||||||||||||||||
| ASSETS | |||||||||||||||||||
| Current assets | |||||||||||||||||||
| Cash and cash equivalents | $ | 7,532 | $ | 9,928 | |||||||||||||||
| Accounts receivable, net of allowance for doubtful accounts | 3,880 | 6,605 | |||||||||||||||||
| Restricted cash | 26 | 28 | |||||||||||||||||
| Prepaid expenses and other current assets | 2,185 | 1,542 | |||||||||||||||||
| Total current assets | 13,623 | 18,103 | |||||||||||||||||
| Property and equipment, net | 120 | 90 | |||||||||||||||||
| Capitalized software development costs, net | 3,343 | 2,994 | |||||||||||||||||
| Goodwill | 15,026 | 15,458 | |||||||||||||||||
| Other intangibles, net | 2,824 | 3,952 | |||||||||||||||||
| Other assets | 1,646 | 1,467 | |||||||||||||||||
| Total assets | $ | 36,582 | $ | 42,064 | |||||||||||||||
| LIABILITIES AND STOCKHOLDERS’ EQUITY (DEFICIT) | |||||||||||||||||||
| Current liabilities | |||||||||||||||||||
| Credit facility | $ | 13,805 | $ | 12,128 | |||||||||||||||
| Accounts payable | 2,453 | 2,371 | |||||||||||||||||
| Accrued payroll and related liabilities | 1,950 | 1,986 | |||||||||||||||||
| Other accrued liabilities | 2,749 | 2,239 | |||||||||||||||||
| Deferred revenue | 7,957 | 9,487 | |||||||||||||||||
| Income tax payable | 52 | 48 | |||||||||||||||||
| Total current liabilities | 28,966 | 28,259 | |||||||||||||||||
| Long-term deferred revenue | 51 | 84 | |||||||||||||||||
| Convertible note, net of debt discount | 7,922 | 7,475 | |||||||||||||||||
| Other long-term liabilities | 1,739 | 1,306 | |||||||||||||||||
| Total liabilities | 38,678 | 37,124 | |||||||||||||||||
| Total stockholders’ equity (deficit) | (2,096 | ) | 4,940 | ||||||||||||||||
| Total liabilities and stockholders’ equity (deficit) | $ | 36,582 | $ | 42,064 | |||||||||||||||
| Determine, Inc. | |||||||||||||||||||
| Condensed Consolidated Statements of Cash Flows | |||||||||||||||||||
| (In thousands) | |||||||||||||||||||
| (Unaudited) | |||||||||||||||||||
| Three Months Ended | |||||||||||||||||||
| September 30, 2018 | September 30, 2017 | ||||||||||||||||||
| Operating activities | |||||||||||||||||||
| Net loss | $ | (7,652 | ) | $ | (4,781 | ) | |||||||||||||
| Adjustments to reconcile net loss to net cash used in operating activities: | |||||||||||||||||||
| Depreciation and amortization | 2,142 | 1,993 | |||||||||||||||||
| Stock-based compensation expense | 1,000 | 1,206 | |||||||||||||||||
| Interest expense paid in kind as convertible note debt | 447 | 394 | |||||||||||||||||
| Income tax expense (benefit) | 101 | 13 | |||||||||||||||||
| Unrealized currency translation losses (gains) | 199 | (357 | ) | ||||||||||||||||
| Changes in assets and liabilities: | |||||||||||||||||||
| Accounts receivable, net | 1,952 | 438 | |||||||||||||||||
| Prepaid expenses and other current assets | 128 | (51 | ) | ||||||||||||||||
| Other assets | 60 | 571 | |||||||||||||||||
| Accounts payable | 82 | (272 | ) | ||||||||||||||||
| Accrued payroll and related liabilities | (36 | ) | 220 | ||||||||||||||||
| Other accrued liabilities and other long-term liabilities | 584 | 187 | |||||||||||||||||
| Deferred revenue | (1,563 | ) | (1,113 | ) | |||||||||||||||
| Net cash used in operating activities | (2,556 | ) | (1,552 | ) | |||||||||||||||
| Investing activities | |||||||||||||||||||
| Purchase of property and equipment | (58 | ) | (17 | ) | |||||||||||||||
| Capitalized software development costs, net | (1,379 | ) | (1,162 | ) | |||||||||||||||
| Net cash used in investing activities | (1,437 | ) | (1,179 | ) | |||||||||||||||
| Financing activities | |||||||||||||||||||
| Credit facility borrowing | 21,822 | 17,002 | |||||||||||||||||
| Credit facility payment | (20,156 | ) | (16,893 | ) | |||||||||||||||
| Proceeds from issuance of stock, net of issuance costs | – | 4,909 | |||||||||||||||||
| Issuance of stock under employee stock purchase plan | 72 | 73 | |||||||||||||||||
| Net employee withholding taxes paid in connection to issuance of restricted stock | (7 | ) | (41 | ) | |||||||||||||||
| Repayment of loan | – | (97 | ) | ||||||||||||||||
| Proceeds from exercise of stock options | – | 1 | |||||||||||||||||
| Net cash provided by financing activities | 1,731 | 4,954 | |||||||||||||||||
| Effect of exchange rate changes on cash | (136 | ) | 102 | ||||||||||||||||
| Net (decrease) increase in cash, cash equivalents and restricted cash | (2,398 | ) | 2,325 | ||||||||||||||||
| Cash, cash equivalents and restricted cash at beginning of the period | 9,956 | 9,463 | |||||||||||||||||
| Cash, cash equivalents and restricted cash at end of the period | $ | 7,558 | $ | 11,788 | |||||||||||||||
| Reconciliation of cash, cash equivalents and restricted cash to the condensed consolidated balance sheets: | |||||||||||||||||||
| Cash and cash equivalents | $ | 7,532 | $ | 9,429 | |||||||||||||||
| Restricted cash | 26 | 34 | |||||||||||||||||
| Total cash, cash equivalents and restricted cash | $ | 7,558 | $ | 9,463 | |||||||||||||||
| Determine, Inc. | |||||||||||||||||||
| Billings Reconciliation | |||||||||||||||||||
| (In thousands) | |||||||||||||||||||
| (Unaudited) | |||||||||||||||||||
| Three Months Ended | Six Months Ended | ||||||||||||||||||
| 9/30/2018 | 9/30/2017 | 9/30/2018 | 9/30/2017 | ||||||||||||||||
| Total revenues | $ | 5,734 | $ | 6,888 | $ | 11,774 | $ | 13,876 | |||||||||||
| Deferred revenue: | |||||||||||||||||||
| End of period | 8,008 | 8,967 | 8,008 | 8,967 | |||||||||||||||
| Beginning of period | 9,274 | 9,864 | 9,571 | 10,080 | |||||||||||||||
| Change in deferred revenue | (1,266 | ) | (897 | ) | (1,563 | ) | (1,113 | ) | |||||||||||
| Total billings (total revenues plus the change in deferred revenue) | $ | 4,468 | $ | 5,991 | $ | 10,211 | $ | 12,763 | |||||||||||
| Determine, Inc. | |||||||||||||||||||
| Non-GAAP EBITDA Reconciliation | |||||||||||||||||||
| (In thousands) | |||||||||||||||||||
| (unaudited) | |||||||||||||||||||
| Three Months Ended | Six Months Ended | ||||||||||||||||||
| 9/30/2018 | 9/30/2017 | 9/30/2018 | 9/30/2017 | ||||||||||||||||
| Reconciliation to non-GAAP EBITDA net loss: | |||||||||||||||||||
| Non-GAAP net loss | $ | (2,557 | ) | $ | (1,506 | ) | $ | (5,501 | ) | $ | (2,458 | ) | |||||||
| Interest | 459 | 453 | 794 | 893 | |||||||||||||||
| Depreciation | 538 | 424 | 1,043 | 771 | |||||||||||||||
| Income tax expense (benefit) | 11 | 27 | 100 | 10 | |||||||||||||||
| Non-GAAP EBITDA net loss | $ | (1,549 | ) | $ | (602 | ) | $ | (3,564 | ) | $ | (784 | ) | |||||||
