QUINSTREET, INC. QuinStreet Supplemental Financial Data and Metrics
Revenue | Q1 20 | Q2 20 | Q3 20 | Q4 20 | Q1 21 | Q2 21 | Q3 21 | Q4 21 | Q1 22 | ||||||||||||||||||
Financial Services | $ | 90,865 | $ | 88,150 | $ | 98,789 | $ | 88,486 | $ | 94,213 | $ | 104,154 | $ | 116,284 | $ | 112,168 | $ | 117,912 | |||||||||
Home Services | 13,011 | 11,016 | 11,544 | 14,360 | 33,373 | 29,190 | 35,037 | 36,937 | 39,986 | ||||||||||||||||||
Other Revenue | - | - | - | - | - | 1,624 | 1,731 | 2,093 | 1,710 | ||||||||||||||||||
Divested Businesses (1) | 22,738 | 18,935 | 18,330 | 14,115 | 11,683 | - | - | - | - | ||||||||||||||||||
Total | $ | 126,614 | $ | 118,101 | $ | 128,663 | $ | 116,961 | $ | 139,269 | $ | 134,968 | $ | 153,052 | $ | 151,198 | $ | 159,608 | |||||||||
Revenue Y/Y Growth | Q1 20 | Q2 20 | Q3 20 | Q4 20 | Q1 21 | Q2 21 | Q3 21 | Q4 21 | Q1 22 | ||||||||||||||||||
Financial Services | 32 | % | 27 | % | 22 | % | (1) | % | 4 | % | 18 | % | 18 | % | 27 | % | 25 | % | |||||||||
Home Services | 38 | 21 | 8 | 29 | 156 | 165 | 204 | 157 | 20 | ||||||||||||||||||
Other Revenue | na | na | na | na | na | na | na | na | na | ||||||||||||||||||
Divested Businesses (1) | (34) | (26) | (25) | (35) | (49) | na | na | na | na | ||||||||||||||||||
Total | 12 | % | 13 | % | 11 | % | (4) | % | 10 | % | 14 | % | 19 | % | 29 | % | 15 | % | |||||||||
Revenue Mix | Q1 20 | Q2 20 | Q3 20 | Q4 20 | Q1 21 | Q2 21 | Q3 21 | Q4 21 | Q1 22 | ||||||||||||||||||
Financial Services | 72 | % | 75 | % | 77 | % | 76 | % | 68 | % | 77 | % | 76 | % | 75 | % | 74 | % | |||||||||
Home Services | 10 | 9 | 9 | 12 | 24 | 22 | 23 | 24 | 25 | ||||||||||||||||||
Other Revenue | - | - | - | - | - | 1 | 1 | 1 | 1 | ||||||||||||||||||
Divested Businesses (1) | 18 | 16 | 14 | 12 | 8 | - | - | - | - | ||||||||||||||||||
Total | 100 | % | 100 | % | 100 | % | 100 | % | 100 | % | 100 | % | 100 | % | 100 | % | 100 | % | |||||||||
Key Operational Metrics | Q1 20 | Q2 20 | Q3 20 | Q4 20 | Q1 21 | Q2 21 | Q3 21 | Q4 21 | Q1 22 | ||||||||||||||||||
Adjusted net income (2) | $ | 6,244 | $ | 6,336 | $ | 6,957 | $ | 7,361 | $ | 8,845 | $ | 7,047 | $ | 10,936 | $ | 9,281 | $ | 9,409 | |||||||||
Adjusted EBITDA (3) | 9,436 | 9,063 | 9,332 | 8,398 | 12,503 | 10,032 | 15,411 | 14,242 | 13,439 | ||||||||||||||||||
Free cash flow (4) | 8,490 | 8,927 | 14,221 | 11,715 | 16,425 | 4,272 | 11,801 | 13,017 | 4,379 | ||||||||||||||||||
Normalized free cash flow (5) | 7,822 | 8,085 | 10,956 | 6,345 | 10,446 | 7,532 | 13,101 | 11,587 | 11,434 | ||||||||||||||||||
Net cash provided by operating activities | $ | 9,541 | $ | 9,938 | $ | 15,155 | $ | 12,972 | $ | 17,558 | $ | 5,579 | $ | 13,066 | $ | 14,412 | $ | 5,753 | |||||||||
Key Operational Metrics as a % of Revenue | Q1 20 | Q2 20 | Q3 20 | Q4 20 | Q1 21 | Q2 21 | Q3 21 | Q4 21 | Q1 22 | ||||||||||||||||||
Adjusted net income (2) | 5 | % | 5 | % | 5 | % | 6 | % | 6 | % | 5 | % | 7 | % | 6 | % | 6 % | ||||||||||
Adjusted EBITDA (3) | 7 | 8 | 7 | 7 | 9 | 7 | 10 | 9 | 8 | ||||||||||||||||||
Free cash flow (4) | 7 | 8 | 11 | 10 | 12 | 3 | 8 | 9 | 3 | ||||||||||||||||||
Normalized free cash flow (5) | 6 | 7 | 9 | 5 | 8 | 6 | 9 | 8 | 7 | ||||||||||||||||||
Net cash provided by operating activities | 8 | % | 8 | % | 12 | % | 11 | % | 13 | % | 4 | % | 9 | % | 10 | % | 4 % |
- Represents revenue recognized from the businesses divested in fiscal years 2021 and 2020 (including our former education client vertical, business-to-business technology client vertical, mortgage business, and Brazil businesses)
- Adjusted net income is defined as net income adjusted for amortization expense, stock-based compensation expense, acquisition and divestiture costs, gain on divestitures of businesses, net, strategic review costs, contingent consideration adjustment, litigation settlement expense, tax settlement expense, restructuring costs, release of deferred tax valuation allowance, net of estimated taxes
- Adjusted EBITDA is defined as net income less interest and other expense, net, benefit from (provision for) income taxes, depreciation, amortization, stock-based compensation, acquisition and divestiture costs, gain on divestitures of businesses, net, strategic review costs, litigation settlement expense, tax settlement expense, restructuring costs and contingent consideration adjustment
- Free cash flow is defined as net cash provided by operating activities less capital expenditures and internal software development costs
- Normalized free cash flow is defined as free cash flow less changes in operating assets and liabilities
QuinStreet Metric Reconciliation
Reconciliation of Net Income to | ||||||||||||||||||
Adjusted Net Income | Q1 20 | Q2 20 | Q3 20 | Q4 20 | Q1 21 | Q2 21 | Q3 21 | Q4 21 | Q1 22 | |||||||||
Net income | $ | 1,132 | $ | 1,549 | $ | 13,919 | $ | 1,502 | $ | 14,681 | $ | 466 | $ | 5,037 | $ | 3,371 | $ | 3,093 |
Amortization of intangible assets | 1,933 | 1,932 | 2,011 | 3,128 | 3,128 | 2,929 | 2,789 | 3,024 | 3,016 | |||||||||
Stock-based compensation | 4,648 | 4,700 | 1,869 | 5,500 | 4,780 | 5,555 | 4,856 | 4,442 | 4,906 | |||||||||
Acquisition and divestiture costs | 295 | 16 | 40 | 634 | 276 | 330 | 160 | 45 | 362 | |||||||||
Gain on divestitures of businesses, net | - | - | (10,819) | (2,759) | (16,615) | - | - | - | - | |||||||||
Strategic review costs | - | 199 | 63 | 68 | - | - | - | - | - | |||||||||
Contingent consideration adjustment | - | - | - | - | - | - | - | - | - | |||||||||
Litigation settlement expense | - | - | 80 | 15 | - | - | - | 231 | - | |||||||||
Tax settlement expense | - | - | - | - | - | - | - | 310 | - | |||||||||
Restructuring costs | - | - | 418 | 3 | 391 | 375 | 267 | 43 | 33 | |||||||||
Tax impact after non-GAAP items | (1,766) | (2,061) | (545) | 387 | 2,204 | (2,608) | (2,173) | (2,185) | (2,001) | |||||||||
Adjusted net income | $ | 6,242 | $ | 6,335 | $ | 7,036 | $ | 7,361 | $ | 8,845 | $ | 7,047 | $ | 10,936 | $ | 9,281 | $ | 9,409 |
Adjusted diluted net income per share | $ | 0.12 | $ | 0.12 | $ | 0.13 | $ | 0.14 | $ | 0.16 | $ | 0.13 | $ | 0.20 | $ | 0.17 | $ | 0.17 |
Weighted average shares used in computing adjusted diluted net income per | 53,326 | 53,489 | 53,439 | 53,301 | 54,269 | 55,163 | 55,623 | 55,473 | 55,789 | |||||||||
Reconciliation of Net Income to | ||||||||||||||||||
Adjusted EBITDA | Q1 20 | Q2 20 | Q3 20 | Q4 20 | Q1 21 | Q2 21 | Q3 21 | Q4 21 | Q1 22 | |||||||||
Net income | $ | 1,132 | $ | 1,549 | $ | 13,919 | $ | 1,502 | $ | 14,681 | $ | 466 | $ | 5,037 | $ | 3,371 | $ | 3,093 |
Interest and other expense, net | 397 | 132 | 462 | 106 | 243 | 261 | 324 | 384 | 269 | |||||||||
Provision for (Benefit from) income taxes | 152 | (387) | 449 | 370 | 4,614 | (958) | 893 | 1,225 | 576 | |||||||||
Depreciation and amortization | 2,812 | 2,854 | 2,851 | 2,959 | 4,133 | 4,003 | 3,874 | 4,191 | 4,200 | |||||||||
Stock-based compensation | 4,648 | 4,700 | 1,869 | 5,500 | 4,780 | 5,555 | 4,856 | 4,442 | 4,906 | |||||||||
Acquisition and divestiture costs | 295 | 16 | 40 | 634 | 276 | 330 | 160 | 45 | 362 | |||||||||
Gain on divestitures of businesses, net | - | - | (10,819) | (2,759) | (16,615) | - | - | - | - | |||||||||
Strategic review costs | - | 199 | 63 | 68 | - | - | - | - | - | |||||||||
Litigation settlement expense | - | - | 80 | 15 | - | - | - | 231 | - | |||||||||
Tax settlement expense | - | - | - | - | - | - | - | 310 | - | |||||||||
Restructuring costs | - | - | 418 | 3 | 391 | 375 | 267 | 43 | 33 | |||||||||
Contingent consideration adjustment | - | - | - | - | - | - | - | - | - | |||||||||
Adjusted EBITDA | $ | 9,436 | $ | 9,063 | $ | 9,332 | $ | 8,398 | $ | 12,503 | $ | 10,032 | $ | 15,411 | $ | 14,242 | $ | 13,439 |
Reconciliation of Net Cash Provided By Operating Activities to Free Cash | ||||||||||||||||||
Flow | Q1 20 | Q2 20 | Q3 20 | Q4 20 | Q1 21 | Q2 21 | Q3 21 | Q4 21 | Q1 22 | |||||||||
Net cash provided by operating activities | $ | 9,541 | $ | 9,938 | $ | 15,155 | $ | 12,972 | $ | 17,558 | $ | 5,579 | $ | 13,066 | $ | 14,412 | $ | 5,753 |
Capital expenditures | (544) | (404) | (373) | (641) | (437) | (604) | (326) | (602) | (409) | |||||||||
Internal software development costs | (507) | (607) | (561) | (616) | (696) | (703) | (939) | (793) | (965) | |||||||||
Free cash flow | $ | 8,490 | $ | 8,927 | $ | 14,221 | $ | 11,715 | $ | 16,425 | $ | 4,272 | $ | 11,801 | $ | 13,017 | $ | 4,379 |
Reconciliation of Free Cash Flow to Normalized Free Cash Flow | Q1 20 | Q2 20 | Q3 20 | Q4 20 | Q1 21 | Q2 21 | Q3 21 | Q4 21 | Q1 22 | |||||||||
Free cash flow | $ | 8,490 | $ | 8,927 | $ | 14,221 | $ | 11,715 | $ | 16,425 | $ | 4,272 | $ | 11,801 | $ | 13,017 | $ | 4,379 |
Changes in operating assets and liabilities | (668) | (842) | (3,265) | (5,370) | (5,979) | 3,260 | 1,300 | (1,430) | 7,055 | |||||||||
Normalized free cash flow | $ | 7,822 | $ | 8,085 | $ | 10,956 | $ | 6,345 | $ | 10,446 | $ | 7,532 | $ | 13,101 | $ | 11,587 | $ | 11,434 |
QuinStreet Depreciation, Amortization of Intangible Assets and Stock-Based Compensation
by Expense Category
Depreciation | Q1 20 | Q2 20 | Q3 20 | Q4 20 | Q1 21 | Q2 21 | Q3 21 | Q4 21 | Q1 22 | |||||||||
Cost of revenue | $ | 772 | $ | 802 | $ | 801 | $ | 827 | $ | 867 | $ | 923 | $ | 922 | $ | 1,000 | $ | 1,010 |
Product development | 50 | 53 | 56 | 65 | 72 | 79 | 87 | 86 | 89 | |||||||||
Sales and marketing | 28 | 36 | 31 | 22 | 35 | 38 | 40 | 43 | 44 | |||||||||
General and administrative | 27 | 30 | 31 | 35 | 31 | 34 | 36 | 38 | 41 | |||||||||
Total | $ | 877 | $ | 921 | $ | 919 | $ | 949 | $ | 1,005 | $ | 1,074 | $ | 1,085 | $ | 1,167 | $ | 1,184 |
Amortization of Intangible Assets | Q1 20 | Q2 20 | Q3 20 | Q4 20 | Q1 21 | Q2 21 | Q3 21 | Q4 21 | Q1 22 | |||||||||
Product development | - | - | - | - | - | - | - | - | - | |||||||||
Sales and marketing | - | - | - | - | - | - | - | - | - | |||||||||
General and administrative | - | - | - | - | - | - | - | - | - | |||||||||
Total | $ | 1,935 | $ | 1,933 | $ | 1,932 | $ | 2,011 | $ | 3,128 | $ | 2,929 | $ | 2,789 | $ | 3,024 | $ | 3,016 |
Stock-Based Compensation | Q1 20 | Q2 20 | Q3 20 | Q4 20 | Q1 21 | Q2 21 | Q3 21 | Q4 21 | Q1 22 | |||||||||
Cost of revenue | $ | 2,490 | $ | 2,347 | $ | 978 | $ | 2,754 | $ | 2,201 | $ | 2,544 | $ | 2,261 | $ | 1,991 | $ | 1,821 |
Product development | 484 | 518 | 185 | 632 | 549 | 643 | 576 | 571 | 606 | |||||||||
Sales and marketing | 421 | 558 | 152 | 570 | 547 | 765 | 584 | 563 | 732 | |||||||||
General and administrative | 1,253 | 1,277 | 554 | 1,544 | 1,483 | 1,603 | 1,435 | 1,317 | 1,747 | |||||||||
Total | $ | 4,648 | $ | 4,700 | $ | 1,869 | $ | 5,500 | $ | 4,780 | $ | 5,555 | $ | 4,856 | $ | 4,442 | $ | 4,906 |
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QuinStreet Inc. published this content on 03 November 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 03 November 2021 20:32:26 UTC.
