BOSTON, Feb. 13, 2020 (GLOBE NEWSWIRE) — LogMeIn, Inc. (NASDAQ: LOGM), a leading provider of cloud-based connectivity, today announced its results for the fourth quarter and fiscal year ended December 31, 2019.
Fourth quarter 2019 highlights include:GAAP revenue was $322.7 million and non-GAAP revenue was $322.9 millionGAAP net loss was $4.1 million or ($0.08) per share and non-GAAP net income was $69.8 million or $1.43 per diluted shareEBITDA was $79.4 million or 24.6% of GAAP revenue and Adjusted EBITDA was $111.1 million or 34.4% of non-GAAP revenueCash flow from operations was $74.5 million or 23.1% of non-GAAP revenue, and adjusted free cash flow was $62.6 million or 19.4% of non-GAAP revenueTotal GAAP deferred revenue was $408.2 millionThe Company closed the quarter with cash and cash equivalents of $128.0 million and $200.0 million of borrowings under its existing credit agreementFiscal year 2019 highlights include:GAAP revenue was $1.260 billion and non-GAAP revenue was $1.262 billionGAAP net loss was $14.6 million or ($0.29) per share and non-GAAP net income was $256.9 million or $5.15 per diluted shareEBITDA was $302.9 million or 24.0% of GAAP revenue and Adjusted EBITDA was $412.7 million or 32.7% of non-GAAP revenueCash flow from operations was $360.8 million or 28.6% of non-GAAP revenue and adjusted free cash flow was $308.9 million or 24.5% of non-GAAP revenue$273.1 million returned to stockholders with $208.5 million of share repurchases and $64.6 million of dividendsConference Call and Financial Outlook
LogMeIn will not be holding a conference call or be providing a financial outlook due to the Company’s previously announced proposed transaction with affiliates of Francisco Partners and Evergreen Coast Capital Corp., the private equity affiliate of Elliott Management Corporation. Additional information about the proposed transaction can be found in the definitive proxy statement which was filed with the Securities and Exchange Commission (the “SEC”) on February 7, 2020. Where to Find Additional Business and Financial Information
Additional information regarding the Company’s fourth quarter and fiscal year 2019 results, financial condition and operations, including details regarding a global restructuring plan initiated by the Company in the first quarter of 2020 to help fund its strategic initiatives, can be found in the Form 8-K filed in connection with this press release as well as the Company’s Annual Report on Form 10-K to be filed on February 14, 2020, both of which will be available on the SEC’s website, http://www.sec.gov, and the Company’s investor relations website.
Non-GAAP Financial Measures
This press release contains non-GAAP financial measures including non-GAAP revenue, EBITDA, EBITDA margin, adjusted EBITDA, adjusted EBITDA margin, non-GAAP operating income, non-GAAP income before provision for income taxes, non-GAAP provision for income taxes, non-GAAP net income, non-GAAP net income per diluted share, adjusted cash flow from operations, and adjusted free cash flow.Non-GAAP revenue excludes the impact of the fair value acquisition accounting adjustment on acquired deferred revenue. EBITDA is GAAP net income (loss) excluding interest, income taxes, other (expense) income, net, and depreciation and amortization expense. EBITDA margin is calculated by dividing EBITDA by revenue. Adjusted EBITDA is EBITDA excluding the impact of the fair value acquisition accounting adjustment on acquired deferred revenue, acquisition-related costs, merger-related costs, gain on disposition of non-core assets, stock-based compensation expense, restructuring charges, and litigation-related expense. Adjusted EBITDA margin is calculated by dividing adjusted EBITDA by non-GAAP revenue, or GAAP revenue if not different. Non-GAAP operating income excludes the impact of the fair value acquisition accounting adjustment on acquired deferred revenue, acquisition related costs and amortization, merger-related costs, gain on disposition of non-core assets, stock-based compensation expense, restructuring charges, and litigation-related expense and includes amortization expense for acquired company internally capitalized software development costs that were adjusted in acquisition accounting.Non-GAAP provision for income taxes excludes the tax impact of the fair value acquisition accounting adjustment on acquired deferred revenue, acquisition-related costs and amortization, merger-related costs, gain on disposition of non-core assets, stock-based compensation expense, restructuring charges, litigation-related expense, discrete integration related tax impacts, and the tax impact related to the enactment of the U.S. Tax Cuts and Jobs Act of 2017, and includes the tax impact of amortization expense for acquired company internally capitalized software development costs that were adjusted in acquisition accounting.Non-GAAP net income and non-GAAP net income per diluted share reflects the adjustments noted in non-GAAP operating income and non-GAAP provision for income taxes above.Adjusted cash flow from operations excludes acquisition retention-based bonus, litigation, restructuring, acquisition-related payments and transaction and transition-related tax payments.Adjusted free cash flow is adjusted cash flow from operations excluding purchases of property and equipment and intangible asset additions.The exclusion of certain expenses in the calculation of non-GAAP financial measures should not be construed as an inference that these costs are unusual or infrequent. We anticipate excluding these expenses in the future presentation of our non-GAAP financial measures. The Company believes that these non-GAAP measures of financial results provide useful information to management and investors regarding certain financial and business trends relating to the Company’s financial condition and results of operations. The Company’s management uses these non-GAAP measures to compare the Company’s performance to that of prior periods and uses these measures in financial reports prepared for management and the Company’s board of directors. The Company 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 the Company’s financial measures with other software-as-a-service companies, many of which present similar non-GAAP financial measures to investors. The Company does not consider these non-GAAP measures in isolation or as an alternative to financial measures determined in accordance with GAAP. The principal limitation of these non-GAAP financial measures is that they exclude significant elements that are required by GAAP to be recorded in the Company’s financial statements. In addition, they are subject to inherent limitations as they reflect the exercise of judgment by management in determining these non-GAAP financial measures. In order to compensate for these limitations, management of the Company presents its non-GAAP financial measures in connection with its GAAP results. The Company urges investors to review the reconciliation of its non-GAAP financial measures to the comparable GAAP financial measures, which it includes in press releases announcing quarterly financial results, and not to rely on any single financial measure to evaluate the Company’s business. Reconciliation tables of the most comparable GAAP financial measures to the non-GAAP measures used in this press release are included in this release.About LogMeIn, Inc.
LogMeIn, Inc. (NASDAQ: LOGM) simplifies how people connect with each other and the world around them to drive meaningful interactions, deepen relationships, and create better outcomes for individuals and businesses. One of the world’s top 10 public SaaS companies, and a market leader in unified communications and collaboration, identity and access management, and customer engagement and support solutions, LogMeIn has millions of customers spanning virtually every country across the globe. LogMeIn is headquartered in Boston, Massachusetts with additional locations in North America, South America, Europe, Asia and Australia.LogMeIn is a registered trademark of LogMeIn, Inc. in the US and other countries around the world.Contact Information:
Investors
Rob Bradley
LogMeIn, Inc.
781-897-1301
rbradley@LogMeIn.comPress
Craig VerColen
LogMeIn, Inc.
781-897-0696
Press@LogMeIn.com
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