SPS Commerce, Inc. (Nasdaq: SPSC), a leader in retail cloud
services, today announced financial results for the fourth quarter
and full year ended December 31, 2021.
Revenue was $102.8 million in the fourth quarter of 2021,
compared to $83.3 million in the fourth quarter of 2020, reflecting
23% growth in revenue from the fourth quarter of 2020. Recurring
revenue grew 21% from the fourth quarter of 2020.
Net income in the fourth quarter of 2021 was $12.8 million or
$0.34 per diluted share, compared to net income of $13.5 million or
$0.37 per diluted share, in the fourth quarter of 2020. Non-GAAP
net income per diluted share was $0.46, compared to non-GAAP net
income per diluted share of $0.40 in the fourth quarter of 2020.
Adjusted EBITDA for the fourth quarter of 2021 increased 21% to
$27.7 million compared to the fourth quarter of 2020.
“Our competitive differentiation and ability to expedite trading
partner onboarding is rooted in the size of the SPS Commerce
network, our world class products and people, and the strategic
acquisitions we made over the years to facilitate integration of
the SPS solution to our customers’ ERP systems,” said Archie Black,
CEO of SPS Commerce. “Our investments are accelerating our growth,
while expanding our addressable market.”
Revenue for the full year ended December 31, 2021 was $385.3
million compared to $312.6 million for the full year ended December
31, 2020, reflecting 23% growth. Recurring revenue grew 20% from
the year ended December 31, 2020.
Net income for the year ended December 31, 2021 was $44.6
million or $1.21 per diluted share, compared to net income of $45.6
million or $1.26 per diluted share, for the comparable period in
2020. Non-GAAP net income per diluted share for the year ended
December 31, 2021 was $1.82, compared to non-GAAP net income per
diluted share of $1.53 for the comparable period in 2020. Adjusted
EBITDA for the full year ended December 31, 2021 increased 23% to
$107.0 million, compared to the full year ended December 31,
2020.
“SPS Commerce delivered another year of strong execution and
profitable growth,” said Kim Nelson, CFO of SPS Commerce.
“Fulfillment automation and the need for supply chain efficiencies
continue to drive demand for EDI, and SPS is well positioned to
capitalize on evolving retail dynamics with our growing portfolio
of solutions.”
Guidance
First quarter 2022 revenue is expected to be in the range of
$103.8 million to $104.8 million. Full year 2022 revenue is
expected to be in the range of $442.5 million to $445.5 million,
representing approximately 15% to 16% growth over 2021.
First quarter 2022 net income per diluted share is expected to
be in the range of $0.24 to $0.25 with fully diluted weighted
average shares outstanding of approximately 37.3 million shares.
Full year 2022 net income per diluted share is expected to be in
the range of $1.15 to $1.18 with fully diluted weighted average
shares outstanding of approximately 37.5 million shares.
First quarter 2022 non-GAAP net income per diluted share is
expected to be in the range of $0.46 to $0.47. Full year 2022
non-GAAP net income per diluted share is expected to be in the
range of $1.99 to $2.02.
First quarter 2022 Adjusted EBITDA is expected to be in the
range of $28.8 to $29.3 million. Full year 2022 Adjusted EBITDA is
expected to be in the range of $125.0 million to $126.5 million,
representing approximately 17% to 18% growth over 2021.
First quarter 2022 non-cash, share-based compensation expense is
expected to be approximately $9.2 million. Depreciation expense is
expected to be approximately $4.0 million and amortization expense
is expected to be approximately $2.5 million.
Full year 2022 non-cash, share-based compensation expense is
expected to be approximately $35.0 million. Depreciation expense is
expected to be approximately $18.1 million and amortization expense
is expected to be approximately $10.0 million.
For 2022, we expect an annual effective tax rate of
approximately 30%.
Quarterly Conference Call
SPS Commerce will discuss its quarterly and annual results today
via teleconference at 3:30 p.m. CT (4:30 p.m. ET). To access the
call, please dial (877) 312-7508, or outside the U.S. (253)
237-1184, with Conference ID #3897068 at least five minutes prior
to the 3:30 p.m. CT start time. A live webcast of the call will
also be available at http://investors.spscommerce.com under the
Events and Presentations menu. The replay will also be available on
our website at http://investors.spscommerce.com.
About SPS Commerce
SPS Commerce is the world’s leading retail network, connecting
trading partners around the globe to optimize supply chain
operations for all retail partners. We support data-driven
partnerships with innovative cloud technology, customer-obsessed
service and accessible experts so our customers can focus on what
they do best. To date, more than 105,000 companies in retail,
distribution, grocery and e-commerce have chosen SPS as their
retail network. SPS has achieved 84 consecutive quarters of revenue
growth and is headquartered in Minneapolis. For additional
information, contact SPS at 866-245-8100 or visit
www.spscommerce.com.
SPS COMMERCE, SPS, SPS logo, 1=INFINITY logo, AS THE NETWORK
GROWS, SO DOES YOUR OPPORTUNITY, INFINITE RETAIL POWER, MASTERING
THE RETAIL GAME and RSX are marks of SPS Commerce,
Inc. and Registered in the U.S. Patent and Trademark
Office. IN:FLUENCE, and others are further marks of SPS
Commerce, Inc. These marks may be registered or otherwise
protected in other countries.
SPS-F
Use of Non-GAAP Financial Measures
To supplement its financial statements, SPS Commerce also
provides investors with Adjusted EBITDA, Adjusted EBITDA Margin,
and non-GAAP net income per share, which are non-GAAP financial
measures. SPS Commerce believes that these non-GAAP measures
provide useful information to management, our board of directors,
and investors regarding certain financial and business trends
relating to its financial condition and results of operations. SPS
Commerce's management uses these non-GAAP measures to compare the
Company's performance to that of prior periods for trend analyses
and planning purposes. Adjusted EBITDA is also used for purposes of
determining executive and senior management incentive
compensation.
Adjusted EBITDA consists of net income adjusted for income tax
expense, depreciation and amortization expense, stock-based
compensation expense, realized gain or loss from foreign currency
on cash and investments held, investment income or loss, and other
adjustments as necessary for a fair presentation.
Adjusted EBITDA Margin consists of Adjusted EBITDA divided by
revenue. Margin, the comparable GAAP measure of financial
performance, consists of net income divided by revenue.
SPS Commerce uses Adjusted EBITDA and Adjusted EBITDA Margin as
measures of operating performance because they assist the Company
in comparing performance on a consistent basis, as they remove from
operating results the impact of the Company's capital structure.
SPS Commerce believes Adjusted EBITDA and Adjusted EBITDA Margin
are useful to an investor in evaluating the Company's operating
performance because they are widely used to measure a company's
operating performance without regard to items such as depreciation
and amortization, which can vary depending upon accounting methods
and the book value of assets, and to present a meaningful measure
of corporate performance exclusive of the Company's capital
structure and the method by which assets were acquired.
Non-GAAP income per share consists of net income adjusted for
stock-based compensation expense, amortization expense related to
intangible assets, realized gain or loss from foreign currency on
cash and investments held, and other adjustments as necessary for a
fair presentation, divided by the weighted average number of shares
of common stock outstanding during each period. SPS Commerce
believes non-GAAP income per share is useful to an investor because
it is widely used to measure a company's operating performance.
SPS Commerce includes an adjustment to non-GAAP income to
reflect the income tax effects of the adjustments to GAAP net
income, as discussed above. To quantify these tax effects, SPS
Commerce recalculates income tax expense excluding the direct book
and tax effects of the specific items constituting the non-GAAP
adjustments (e.g., stock-based compensation expense). The
difference between this recalculated income tax expense and GAAP
income tax expense is presented as the income tax effect of the
non-GAAP adjustments.
These non-GAAP measures should not be considered a substitute
for, or superior to, financial measures calculated in accordance
with generally accepted accounting principles in the United States.
These non-GAAP financial measures exclude significant expenses and
income that are required by GAAP to be recorded in the Company's
financial statements and are subject to inherent limitations. SPS
Commerce urges investors to review the reconciliation of its
non-GAAP financial measures to the comparable GAAP financial
measures that are included in this press release.
Forward-Looking Statements
This press release may contain forward-looking statements,
including information about management's view of SPS Commerce's
future expectations, plans and prospects, including our views
regarding future execution within our business, the opportunity we
see in the retail supply chain world and our performance for the
first quarter and full year of 2022, within the safe harbor
provisions under The Private Securities Litigation Reform Act of
1995. These statements involve known and unknown risks,
uncertainties and other factors which may cause the results of SPS
Commerce to be materially different than those expressed or implied
in such statements. Certain of these risk factors and others are
included in documents SPS Commerce files with the Securities and
Exchange Commission, including but not limited to, SPS Commerce's
Annual Report on Form 10-K for the year ended December 31, 2020, as
well as subsequent reports filed with the Securities and Exchange
Commission. Other unknown or unpredictable factors also could have
material adverse effects on SPS Commerce's future results. The
forward-looking statements included in this press release are made
only as of the date hereof. SPS Commerce cannot guarantee future
results, levels of activity, performance or achievements.
Accordingly, you should not place undue reliance on these
forward-looking statements. Finally, SPS Commerce expressly
disclaims any intent or obligation to update or revise any
forward-looking statements, whether as a result of new information,
future events, or otherwise.
|
|
SPS COMMERCE, INC. |
|
CONDENSED CONSOLIDATED BALANCE SHEETS |
|
(Unaudited; in thousands, except shares) |
|
|
|
|
|
|
|
|
|
|
|
|
December 31, |
|
|
|
2021 |
|
|
2020 |
|
ASSETS |
|
|
|
|
|
|
|
|
Current assets |
|
|
|
|
|
|
|
|
Cash and cash equivalents |
|
$ |
207,552 |
|
|
$ |
149,692 |
|
Short-term investments |
|
|
49,758 |
|
|
|
37,786 |
|
Accounts receivable |
|
|
38,811 |
|
|
|
37,811 |
|
Allowance for credit losses |
|
|
(4,249 |
) |
|
|
(4,233 |
) |
Accounts receivable, net |
|
|
34,562 |
|
|
|
33,578 |
|
Deferred costs |
|
|
44,529 |
|
|
|
37,988 |
|
Other assets |
|
|
16,042 |
|
|
|
12,312 |
|
Total current assets |
|
|
352,443 |
|
|
|
271,356 |
|
Property and equipment,
net |
|
|
31,901 |
|
|
|
26,432 |
|
Operating lease right-of-use
assets |
|
|
10,851 |
|
|
|
15,581 |
|
Goodwill |
|
|
143,663 |
|
|
|
134,853 |
|
Intangible assets, net |
|
|
58,587 |
|
|
|
60,230 |
|
Investments, non-current |
|
|
— |
|
|
|
2,500 |
|
Other assets |
|
|
|
|
|
|
|
|
Deferred costs, non-current |
|
|
15,191 |
|
|
|
12,607 |
|
Deferred income tax assets |
|
|
182 |
|
|
|
194 |
|
Other assets, non-current |
|
|
3,028 |
|
|
|
2,705 |
|
Total assets |
|
$ |
615,846 |
|
|
$ |
526,458 |
|
LIABILITIES AND STOCKHOLDERS’ EQUITY |
|
|
|
|
|
|
|
|
Current liabilities |
|
|
|
|
|
|
|
|
Accounts payable |
|
$ |
8,330 |
|
|
$ |
5,354 |
|
Accrued compensation |
|
|
31,661 |
|
|
|
22,872 |
|
Accrued expenses |
|
|
8,345 |
|
|
|
11,161 |
|
Deferred revenue |
|
|
50,428 |
|
|
|
37,947 |
|
Operating lease liabilities |
|
|
4,108 |
|
|
|
2,798 |
|
Total current liabilities |
|
|
102,872 |
|
|
|
80,132 |
|
Other liabilities |
|
|
|
|
|
|
|
|
Deferred revenue, non-current |
|
|
5,144 |
|
|
|
2,996 |
|
Operating lease liabilities, non-current |
|
|
16,426 |
|
|
|
19,672 |
|
Deferred income tax liabilities |
|
|
7,145 |
|
|
|
2,937 |
|
Total liabilities |
|
|
131,587 |
|
|
|
105,737 |
|
Commitments and
contingencies |
|
|
|
|
|
|
|
|
Stockholders' equity |
|
|
|
|
|
|
|
|
Preferred stock, $0.001 par value; 5,000,000 shares authorized; 0
shares issued and outstanding |
|
|
— |
|
|
|
— |
|
Common stock, $0.001 par value; 110,000,000 shares authorized;
37,798,610 and 37,100,467 shares issued; and 36,009,257 and
35,487,217 shares outstanding, respectively |
|
|
38 |
|
|
|
37 |
|
Treasury Stock, at cost; 1,789,353 and 1,613,250 shares,
respectively |
|
|
(85,677 |
) |
|
|
(65,247 |
) |
Additional paid-in capital |
|
|
433,258 |
|
|
|
393,462 |
|
Retained earnings |
|
|
138,087 |
|
|
|
93,490 |
|
Accumulated other comprehensive loss |
|
|
(1,447 |
) |
|
|
(1,021 |
) |
Total stockholders’ equity |
|
|
484,259 |
|
|
|
420,721 |
|
Total liabilities and stockholders’ equity |
|
$ |
615,846 |
|
|
$ |
526,458 |
|
|
|
|
|
|
|
|
|
|
Results presented
are unaudited and thus, are subject to adjustment. Audited results
will be included within the 10-K filing. |
|
|
|
SPS COMMERCE, INC. |
|
CONDENSED CONSOLIDATED STATEMENTS OF INCOME |
|
(Unaudited; in thousands, except per share amounts) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended |
|
|
Year Ended |
|
|
|
December 31, |
|
|
December 31, |
|
|
|
2021 |
|
|
2020 |
|
|
2021 |
|
|
2020 |
|
Revenues |
|
$ |
102,756 |
|
|
$ |
83,308 |
|
|
$ |
385,276 |
|
|
$ |
312,630 |
|
Cost of revenues |
|
|
35,635 |
|
|
|
26,921 |
|
|
|
131,678 |
|
|
|
99,836 |
|
Gross profit |
|
|
67,121 |
|
|
|
56,387 |
|
|
|
253,598 |
|
|
|
212,794 |
|
Operating expenses |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sales and marketing |
|
|
22,658 |
|
|
|
19,812 |
|
|
|
88,044 |
|
|
|
75,955 |
|
Research and development |
|
|
10,579 |
|
|
|
7,937 |
|
|
|
39,038 |
|
|
|
31,024 |
|
General and administrative |
|
|
16,119 |
|
|
|
13,528 |
|
|
|
61,305 |
|
|
|
50,119 |
|
Amortization of intangible assets |
|
|
2,392 |
|
|
|
1,553 |
|
|
|
10,126 |
|
|
|
5,538 |
|
Total operating expenses |
|
|
51,748 |
|
|
|
42,830 |
|
|
|
198,513 |
|
|
|
162,636 |
|
Income from operations |
|
|
15,373 |
|
|
|
13,557 |
|
|
|
55,085 |
|
|
|
50,158 |
|
Other income (expense), net |
|
|
(120 |
) |
|
1,304 |
|
|
|
(1,544 |
) |
|
|
2,522 |
|
Income before income taxes |
|
|
15,253 |
|
|
|
14,861 |
|
|
|
53,541 |
|
|
|
52,680 |
|
Income tax expense |
|
|
2,488 |
|
|
|
1,391 |
|
|
|
8,944 |
|
|
|
7,094 |
|
Net income |
|
$ |
12,765 |
|
|
$ |
13,470 |
|
|
$ |
44,597 |
|
|
$ |
45,586 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income per share |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
$ |
0.35 |
|
|
$ |
0.38 |
|
|
$ |
1.24 |
|
|
$ |
1.29 |
|
Diluted |
|
$ |
0.34 |
|
|
$ |
0.37 |
|
|
$ |
1.21 |
|
|
$ |
1.26 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average common shares
used to compute net income per share |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
|
36,091 |
|
|
|
35,504 |
|
|
|
35,928 |
|
|
|
35,226 |
|
Diluted |
|
|
37,135 |
|
|
|
36,624 |
|
|
|
36,962 |
|
|
|
36,285 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Results presented are unaudited and thus, are subject to
adjustment. Audited results will be included within the 10-K
filing.
|
|
SPS COMMERCE, INC. |
|
CONDENSED CONSOLIDATED STATEMENTS OF CASH
FLOWS |
|
(Unaudited; in thousands) |
|
|
|
Year Ended |
|
|
|
December 31, |
|
|
|
2021 |
|
|
2020 |
|
Cash flows from operating activities |
|
|
|
|
|
|
|
|
Net income |
|
$ |
44,597 |
|
|
$ |
45,586 |
|
Reconciliation of net income to net cash provided by operating
activities |
|
|
|
|
|
|
|
|
Deferred income taxes |
|
|
3,881 |
|
|
|
4,241 |
|
Change in earn-out liability |
|
|
— |
|
|
|
(85 |
) |
Depreciation and amortization of property and equipment |
|
|
14,788 |
|
|
|
13,127 |
|
Amortization of intangible assets |
|
|
10,126 |
|
|
|
5,538 |
|
Provision for credit losses |
|
|
4,717 |
|
|
|
5,660 |
|
Stock-based compensation |
|
|
27,574 |
|
|
|
18,936 |
|
Other, net |
|
|
323 |
|
|
|
(24 |
) |
Changes in assets and liabilities, net of effects of
acquisition |
|
|
|
|
|
|
|
|
Accounts receivable |
|
|
(4,959 |
) |
|
|
(5,922 |
) |
Deferred costs |
|
|
(9,299 |
) |
|
|
(3,414 |
) |
Other current and non-current assets |
|
|
(6,181 |
) |
|
|
1,201 |
|
Accounts payable |
|
|
2,259 |
|
|
|
1,214 |
|
Accrued compensation |
|
|
6,775 |
|
|
|
(1,257 |
) |
Accrued expenses |
|
|
1,017 |
|
|
|
563 |
|
Deferred revenue |
|
|
14,483 |
|
|
|
4,432 |
|
Operating leases |
|
|
2,792 |
|
|
|
(1,234 |
) |
Net cash provided by operating
activities |
|
|
112,893 |
|
|
|
88,562 |
|
Cash flows from investing
activities |
|
|
|
|
|
|
|
|
Purchases of property and equipment |
|
|
(19,588 |
) |
|
|
(16,467 |
) |
Purchases of investments |
|
|
(114,014 |
) |
|
|
(74,797 |
) |
Maturities of investments |
|
|
103,965 |
|
|
|
69,461 |
|
Acquisition of business and intangible assets, net |
|
|
(17,066 |
) |
|
|
(98,666 |
) |
Net cash used in investing activities |
|
|
(46,703 |
) |
|
|
(120,469 |
) |
Cash flows from financing
activities |
|
|
|
|
|
|
|
|
Repurchases of common stock |
|
|
(20,430 |
) |
|
|
(18,950 |
) |
Net proceeds from exercise of options to purchase common stock |
|
|
9,374 |
|
|
|
18,592 |
|
Net proceeds from employee stock purchase plan activity |
|
|
4,737 |
|
|
|
3,374 |
|
Payment for contingent consideration |
|
|
(2,042 |
) |
|
|
(688 |
) |
Net cash provided by (used in) financing activities |
|
|
(8,361 |
) |
|
|
2,328 |
|
Effect of foreign currency
exchange rate changes |
|
|
31 |
|
|
|
19 |
|
Net increase (decrease) in
cash and cash equivalents |
|
|
57,860 |
|
|
|
(29,560 |
) |
Cash and cash equivalents at
beginning of year |
|
|
149,692 |
|
|
|
179,252 |
|
Cash and cash equivalents at
end of year |
|
$ |
207,552 |
|
|
$ |
149,692 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Results presented are unaudited and thus, are subject to
adjustment. Audited results will be included within the 10-K
filing.
|
|
SPS COMMERCE, INC. |
|
NON-GAAP RECONCILIATION |
|
(Unaudited; in thousands, except share and per share amounts) |
|
|
|
|
|
|
|
|
|
|
|
|
Year Ended |
|
|
|
December 31, |
|
|
|
2021 |
|
|
2020 |
|
|
|
|
|
|
|
|
|
|
Adjusted EBITDA |
|
Net income |
|
$ |
44,597 |
|
|
$ |
45,586 |
|
Income tax expense |
|
|
8,944 |
|
|
|
7,094 |
|
Depreciation and amortization of property and equipment |
|
|
14,788 |
|
|
|
13,127 |
|
Amortization of intangible assets |
|
|
10,126 |
|
|
|
5,538 |
|
Stock-based compensation expense |
|
|
27,574 |
|
|
|
18,936 |
|
Realized (gain) loss from foreign currency on cash and investments
held |
|
|
1,456 |
|
|
|
(1,753 |
) |
Investment income |
|
|
(278 |
) |
|
|
(1,208 |
) |
Other |
|
|
(192 |
) |
|
|
(326 |
) |
Adjusted EBITDA |
|
$ |
107,015 |
|
|
$ |
86,994 |
|
|
|
|
|
|
|
|
|
|
Adjusted EBITDA Margin |
|
Revenue |
|
$ |
385,276 |
|
|
$ |
312,630 |
|
Net income |
|
|
44,597 |
|
|
|
45,586 |
|
Net Income Margin |
|
|
12 |
% |
|
|
15 |
% |
|
|
|
|
|
|
|
|
|
Adjusted EBITDA |
|
$ |
107,015 |
|
|
$ |
86,994 |
|
Adjusted EBITDA Margin |
|
|
28 |
% |
|
|
28 |
% |
|
|
|
|
|
|
|
|
|
Non-GAAP Income |
|
Net income |
|
$ |
44,597 |
|
|
$ |
45,586 |
|
Stock-based compensation expense |
|
|
27,574 |
|
|
|
18,936 |
|
Amortization of intangible assets |
|
|
10,126 |
|
|
|
5,538 |
|
Realized (gain) loss from foreign currency on cash and investments
held |
|
|
1,456 |
|
|
|
(1,753 |
) |
Other |
|
|
(192 |
) |
|
|
(326 |
) |
Income tax effects of adjustments |
|
|
(16,454 |
) |
|
|
(12,285 |
) |
Non-GAAP income |
|
$ |
67,107 |
|
|
$ |
55,696 |
|
|
|
|
|
|
|
|
|
|
Shares used to compute non-GAAP
income per share |
|
|
|
|
|
|
|
|
Basic |
|
|
35,928 |
|
|
|
35,226 |
|
Diluted |
|
|
36,962 |
|
|
|
36,285 |
|
|
|
|
|
|
|
|
|
|
Non-GAAP income per share |
|
|
|
|
|
|
|
|
Basic |
|
|
1.87 |
|
|
|
1.58 |
|
Diluted |
|
|
1.82 |
|
|
|
1.53 |
|
|
|
|
|
|
|
|
|
|
Contact:Investor RelationsThe Blueshirt GroupIrmina
BlaszczykLisa LaukkanenSPSC@blueshirtgroup.com415-217-4962
SPS Commerce (NASDAQ:SPSC)
Gráfico Histórico do Ativo
De Mar 2024 até Abr 2024
SPS Commerce (NASDAQ:SPSC)
Gráfico Histórico do Ativo
De Abr 2023 até Abr 2024