Medidata (NASDAQ:MDSO), the leading global provider of cloud-based solutions and data analytics for clinical research, today announced its financial results for the second quarter of 2017.
"As our second quarter and first half year results show, our investments in innovation and talent are paying off, creating value and establishing Medidata as the trusted partner of choice for life sciences," said Tarek Sherif, Medidata's chairman and chief executive officer. "Clinical research continues to grow more complex, and our ability to deliver the leading end-to-end cloud platform, apply advanced analytics and augment this technology with our deep life sciences expertise, empowers our customers to meet this challenge, pursue opportunities, and ultimately improve patient outcomes."
Second Quarter 2017 Results
- Total revenue for the second quarter of 2017 was $137.4 million, an increase of $22.8 million, or 20%, compared with $114.6 million in the second quarter of 2016. Subscription revenue was $114.3 million, an increase of $17.5 million, or 18%, compared with the same period last year.
- Professional services revenue for the second quarter of 2017 was $23.1 million, an increase of $5.3 million, or 30%, compared with $17.9 million in the second quarter of 2016.
- GAAP operating income for the quarter was $13.7 million, up 23%, compared with $11.1 million in the second quarter of 2016. Non-GAAP operating income1 for the second quarter of 2017 increased to $32.1 million, up 27%, compared with $25.4 million a year ago.
- GAAP net income for the second quarter of 2017 was $8.3 million, or $0.14 per diluted share, up 33%, compared with $6.2 million, or $0.11 per diluted share, in the second quarter of 2016. Adjusted non-GAAP net income1 for the second quarter of 2017 was $18.8 million, or $0.31 per diluted share, up 27%, compared with $14.8 million, or $0.26 per diluted share, in the second quarter of 2016. See the non-GAAP reconciliation included in this release for full details of the non-GAAP adjustments.
- Cash flow from operations was $38.2 million in the second quarter of 2017, an increase of $9.0 million, or 31%, compared with $29.2 million a year ago. For the six-month period ending June 30, cash flow from operations was $60.7 million in 2017, an increase of $17.7 million, or 41%, compared with $43.0 million in 2016.
- Total cash, cash equivalents, and marketable securities were $535.0 million at the end of the second quarter, compared with $515.2 million on December 31, 2016.
Additional Highlights
- Remaining adjusted subscription backlog2 as of June 30, 2017 was $223 million, an increase of $34 million, or 18%, compared with $189 million a year ago.
- The Medidata Clinical Cloud® expanded through general availability of two new regulated content management (RCM) solutions - standard operating procedure (SOP) management and electronic trial master file (eTMF) archive. Customers have already begun to adopt these solutions, including the recently announced agreement with Theracos to deploy eTMF and eTMF archive.
- Medidata became the first technology vendor selected by the American Society of Clinical Oncology (ASCO) to present its scientific innovation at their annual conference, the premier cancer-focused scientific meeting. ASCO published two separate scientific findings, which highlight Medidata's ability to help clients accelerate clinical research, providing them unique value derived from our rich data assets and advanced data analytics. Medidata collaborated with Roche and Professor Don Berry, from The University of Texas MD Anderson Cancer Center, around our Synthetic Control Arm (SCA) offering for new findings in acute myeloid leukemia. Medidata partnered with Jason Mezey, associate professor at Cornell University and Weill Cornell Medical College, to present findings in breast cancer, with our Clinical Trial Genomics (CTG) offering.
- Medidata’s revenue retention rate3 was nearly 100%.
“Building upon a very strong first quarter, our business momentum continued in Q2, highlighted by 20% total revenue growth, 31% operating cash flow growth, and 120 bps of EBITDAO margin expansion,” said Rouven Bergmann, Medidata’s chief financial officer. “As evident in our financial results, customers are increasingly adopting Medidata’s integrated platform to drive digital innovation enabling high-powered data discovery, benchmarking, adaptive trial designs, predictive analytics and machine learning.”
Financial Outlook
For the full-year 2017, the Company is maintaining its previously stated total revenue and profitability guidance ranges, as follows:
- Total revenue between $538 and $562 million, representing up to 21% year-over-year growth at constant currency.
- Professional services revenue is now expected to be in the low $80 million dollar range, compared with the prior expectation of approximately $75 million. This reflects strong demand across many customers implementing the platform, data analytics, and strategic services.
- GAAP operating income between $61 and $69 million. Non-GAAP operating income4, which excludes the impact of depreciation, amortization of intangible assets, and stock-based compensation expense, between $131 and $139 million.
- GAAP net income between $31 and $36 million. Adjusted non-GAAP net income4, which excludes the impact of stock-based compensation, non-cash interest expense associated with convertible senior notes, and amortization, tax-effected at a 40% rate, between $69 and $74 million.
- While changes in the stock price could change the fully diluted share count, the Company is assuming 59.5 million fully diluted shares.
The operating and net income measures above reflect the Company’s non-GAAP financial guidance and the corresponding GAAP equivalents to its guidance.
Conference Call
The Company plans to host its investor conference call today at 8:00 a.m. Eastern time. The investor conference call will be available via live webcast on the “Investor” section of Medidata’s website at http://investor.mdsol.com. To participate by telephone, domestic participants may dial 877-303-2528 and international participants may dial 847-829-0023. Those interested in participating in the conference call should dial in at least 10 minutes prior to the call to register. Participants can also join the call via a simultaneous live audio webcast, which will be made available on the “Investor” section of Medidata’s website at http://investor.mdsol.com. A replay of the conference call can be accessed until Tuesday, August 1, 2017 by dialing 800-585-8367 domestically or 404-537-3406 internationally, with the passcode 46890165. An archive of the call will also be hosted on the “Investor” section of Medidata’s website, http://investor.mdsol.com, for a limited period of time.
About Medidata
Medidata is reinventing global drug and medical device development by creating the industry's leading cloud-based solutions for clinical research. Through our advanced applications and intelligent data analytics, Medidata helps advance the scientific goals of life sciences customers worldwide, including over 850 global pharmaceutical companies, biotech, diagnostic and device firms, leading academic medical centers, and contract research organizations.
The Medidata Clinical Cloud® brings a new level of quality and efficiency to clinical trials that empower our customers to make more informed decisions earlier and faster. Our unparalleled clinical trial data assets provide deep insights that pave the way for future growth. The Medidata Clinical Cloud is the primary technology solution powering clinical trials for 18 of the world's top 25 global pharmaceutical companies and is used by 18 of the top 25 medical device developers—from study design and planning through execution, management and reporting.
Cautionary Statement
Certain statements made in this press release are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995 that involve significant risks and uncertainties about Medidata Solutions, Inc. (“Medidata”), including, but not limited to, statements about Medidata’s forecast of financial performance, products and services, business model, strategy and growth opportunities, and competitive position. Such statements are subject to risks and uncertainties that could cause actual performance or results to differ materially from those expressed in these statements. In particular, the risks and uncertainties include, among other things, risks associated with possible fluctuations in our financial and operating results; errors, interruptions or delays in our service or our web hosting; integration activities, performance and financial impact of acquired companies; our ability to continue to release, and gain customer acceptance of, new and improved versions of our products; changes in our sales and implementation cycles; competition; our ability to retain and expand our customer base or increase new business from those customers; our ability to hire, retain, and motivate our employees and manage our growth; regulatory developments; litigation; and general developments in the economy. For additional disclosure regarding these and other risks faced by the Company, see disclosures contained in Medidata’s public filings with the Securities and Exchange Commission, including the “Risk Factors” section of Medidata’s Annual Report on Form 10-K for the year ended December 31, 2016. You should consider these factors in evaluating the forward-looking statements included in this press release and not place undue reliance on such statements. The forward-looking statements are made as of the date hereof, and Medidata undertakes no obligation to update such statements as a result of new information.
(1) Non-GAAP Financial Information
Medidata provides non-GAAP
operating income, net income, and net income per share applicable to
common stockholders data as additional information for its operating
results. These measures are not in accordance with, or an alternative
for, generally accepted accounting principles and may be different from
non-GAAP measures used by other companies. Non-GAAP operating income
excludes the impact of depreciation, amortization of intangible assets
associated with acquisitions, stock-based compensation expense, and
adjustments to the fair value of contingent consideration. Adjusted
non-GAAP net income excludes the tax-effected impact of amortization of
intangible assets associated with acquisitions, stock-based compensation
expense, non-cash interest expense on convertible senior notes, and
adjustments to the fair value of contingent consideration. Management
uses these non-GAAP measures to evaluate its financial results, develop
budgets, manage expenditures, and as an important factor in determining
variable compensation. In addition, investors frequently have requested
information from management regarding depreciation, amortization, and
other non-cash charges, such as share-based compensation, and management
believes, based on discussions with investors, that these non-GAAP
measures enhance investors’ ability to assess Medidata’s historical and
projected future financial performance. While management believes these
non-GAAP financial measures provide useful supplemental information to
investors, there are limitations associated with the use of non-GAAP
financial measures. One limitation of non-GAAP operating income is that
it excludes depreciation and amortization, which represents the periodic
costs of certain capitalized tangible and intangible assets used in
generating revenues in our business. Medidata compensates for these
limitations by using these non-GAAP financial measures as supplements to
GAAP financial measures and by reviewing the reconciliations of the
non-GAAP financial measures to their most comparable GAAP financial
measures. Investors are encouraged to review the reconciliations of
these non-GAAP financial measures to the comparable GAAP results, which
are attached to this press release.
(2) Adjusted subscription backlog equals subscription backlog plus
outstanding intra-year renewals valued at an amount equal to the
contracts to be renewed.
(3) Revenue retention rate is calculated
as the percentage of prior year revenue attributable to customers
retained in the current year.
(4) A tabular reconciliation of
forward-looking non-GAAP financial measures to the most comparable
forward-looking GAAP measures is attached to this press release.
| MEDIDATA SOLUTIONS, INC. | ||||||||||||||||||||
| CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) | ||||||||||||||||||||
| (Amounts in thousands, except per share data) | ||||||||||||||||||||
| Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||||||
| 2017 | 2016 | 2017 | 2016 | |||||||||||||||||
| Revenues | ||||||||||||||||||||
| Subscription | $ | 114,291 | $ | 96,760 | $ | 221,361 | $ | 186,728 | ||||||||||||
| Professional services | 23,123 | 17,850 | 42,874 | 32,120 | ||||||||||||||||
| Total revenues | 137,414 | 114,610 | 264,235 | 218,848 | ||||||||||||||||
| Cost of revenues (1)(2) | ||||||||||||||||||||
| Subscription | 17,017 | 15,600 | 34,146 | 29,929 | ||||||||||||||||
| Professional services | 14,903 | 13,457 | 28,388 | 23,796 | ||||||||||||||||
| Total cost of revenues | 31,920 | 29,057 | 62,534 | 53,725 | ||||||||||||||||
| Gross profit | 105,494 | 85,553 | 201,701 | 165,123 | ||||||||||||||||
| Operating costs and expenses | ||||||||||||||||||||
| Research and development (1) | 35,884 | 28,267 | 65,821 | 56,495 | ||||||||||||||||
| Sales and marketing (1)(2) | 32,784 | 27,609 | 62,893 | 53,067 | ||||||||||||||||
| General and administrative (1) | 23,083 | 18,531 | 47,071 | 37,777 | ||||||||||||||||
| Total operating costs and expenses | 91,751 | 74,407 | 175,785 | 147,339 | ||||||||||||||||
| Operating income | 13,743 | 11,146 | 25,916 | 17,784 | ||||||||||||||||
| Interest and other income (expense) | ||||||||||||||||||||
| Interest expense | (4,383 | ) | (4,183 | ) | (8,710 | ) | (8,310 | ) | ||||||||||||
| Interest income | 1,328 | 932 | 2,499 | 1,804 | ||||||||||||||||
| Other income (expense), net | — | 3 | — | (1 | ) | |||||||||||||||
| Total interest and other expense, net | (3,055 | ) | (3,248 | ) | (6,211 | ) | (6,507 | ) | ||||||||||||
| Income before income taxes | 10,688 | 7,898 | 19,705 | 11,277 | ||||||||||||||||
| Provision for income taxes | 2,438 | 1,688 | (3 | ) | 1,937 | 492 | (3 | ) | ||||||||||||
| Net income | $ | 8,250 | $ | 6,210 | (3 | ) | $ | 17,768 | $ | 10,785 | (3 | ) | ||||||||
| Earnings per share | ||||||||||||||||||||
| Basic | $ | 0.15 | $ | 0.11 | (3 | ) | $ | 0.32 | $ | 0.20 | (3 | ) | ||||||||
| Diluted | $ | 0.14 | $ | 0.11 | (3 | ) | $ | 0.30 | $ | 0.19 | (3 | ) | ||||||||
| Weighted average common shares outstanding | ||||||||||||||||||||
| Basic | 56,433 | 55,392 | 56,254 | 55,255 | ||||||||||||||||
| Diluted | 59,835 | 56,875 | (3 | ) | 59,051 | 56,813 | (3 | ) | ||||||||||||
| (1) Stock-based compensation expense included in cost of revenues and operating costs and expenses is as follows: | ||||||||||||||||||||
| Cost of revenues | $ | 1,246 | $ | 1,239 | $ | 2,415 | $ | 2,449 | ||||||||||||
| Research and development | 3,427 | 2,323 | 6,262 | 4,517 | ||||||||||||||||
| Sales and marketing | 1,836 | 1,839 | 3,011 | 3,716 | ||||||||||||||||
| General and administrative | 6,183 | 5,046 | 11,325 | 10,015 | ||||||||||||||||
| Total stock-based compensation | $ | 12,692 | $ | 10,447 | $ | 23,013 | $ | 20,697 | ||||||||||||
| (2) Amortization of intangible assets included in costs of revenues and operating costs and expenses is as follows: | ||||||||||||||||||||
| Cost of revenues | $ | 1,022 | $ | 314 | $ | 1,476 | $ | 393 | ||||||||||||
| Sales and marketing | 119 | 85 | 202 | 109 | ||||||||||||||||
| Total amortization of intangible assets | $ | 1,141 | $ | 399 | $ | 1,678 | $ | 502 | ||||||||||||
(3) The three and six months ended June 30, 2016 have been recast to reflect our early adoption of Accounting Standards Update (ASU) No. 2016-09, Improvements to Share-Based Payment Accounting, consistent with the quarterly information presented in our Annual Report on Form 10-K for the year ended December 31, 2016. |
| MEDIDATA SOLUTIONS, INC. | ||||||||||||||||||||
Reconciliation of GAAP Operating Income and GAAP Net Income to | ||||||||||||||||||||
| (Amounts in thousands, except per share data) | ||||||||||||||||||||
| Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||||||
| 2017 | 2016 | 2017 | 2016 | |||||||||||||||||
| Operating income: | ||||||||||||||||||||
| GAAP operating income | $ | 13,743 | $ | 11,146 | $ | 25,916 | $ | 17,784 | ||||||||||||
| GAAP operating margins | 10.0 | % | 9.7 | % | 9.8 | % | 8.1 | % | ||||||||||||
| Stock-based compensation | 12,692 | 10,447 | 23,013 | 20,697 | ||||||||||||||||
| Depreciation and amortization | 5,589 | 3,766 | 10,065 | 6,983 | ||||||||||||||||
| Contingent consideration adjustment (1) | 58 | — | 58 | — | ||||||||||||||||
| Non-GAAP operating income | $ | 32,082 | $ | 25,359 | $ | 59,052 | $ | 45,464 | ||||||||||||
| Non-GAAP operating margins | 23.3 | % | 22.1 | % | 22.3 | % | 20.8 | % | ||||||||||||
| Net income: | ||||||||||||||||||||
| GAAP net income | $ | 8,250 | $ | 6,210 | (4 | ) | $ | 17,768 | $ | 10,785 | (4 | ) | ||||||||
| Stock-based compensation | 12,692 | 10,447 | 23,013 | 20,697 | ||||||||||||||||
| Amortization | 1,141 | 399 | 1,678 | 502 | ||||||||||||||||
| Non-cash interest expense on convertible senior notes (2) | 3,648 | 3,455 | 7,246 | 6,863 | ||||||||||||||||
| Contingent consideration adjustment (1) | 58 | — | 58 | — | ||||||||||||||||
| Tax impact on add-back items (3) | (7,016 | ) | (5,721 | ) | (12,798 | ) | (11,225 | ) | ||||||||||||
| Adjusted non-GAAP net income | $ | 18,773 | $ | 14,790 | (4 | ) | $ | 36,965 | $ | 27,622 | (4 | ) | ||||||||
| GAAP basic earnings per share | $ | 0.15 | $ | 0.11 | (4 | ) | $ | 0.32 | $ | 0.20 | (4 | ) | ||||||||
| GAAP diluted earnings per share | $ | 0.14 | $ | 0.11 | (4 | ) | $ | 0.30 | $ | 0.19 | (4 | ) | ||||||||
| Adjusted Non-GAAP basic earnings per share | $ | 0.33 | $ | 0.27 | (4 | ) | $ | 0.66 | $ | 0.50 | (4 | ) | ||||||||
| Adjusted Non-GAAP diluted earnings per share | $ | 0.31 | $ | 0.26 | (4 | ) | $ | 0.63 | $ | 0.49 | (4 | ) | ||||||||
| (1) Amount represents the change in fair value of acquisition-related contingent consideration liabilities. |
| (2) Amount represents non-cash interest expense, including amortization of debt discount and issuance costs, on our 1.00% convertible senior notes issued during the third quarter of 2013. We exclude this incremental non-cash interest expense for purposes of calculating adjusted non-GAAP net income. We believe that excluding these expenses from our non-GAAP measures is useful to investors because such incremental non-cash interest expense does not generate a cash outflow for the Company and the debt issuance costs do not represent a cash outflow for the Company except in the period the notes were issued; therefore both are not indicative of our continuing operations. |
| (3) Tax impact calculated using a 40% tax rate. |
| (4) The three and six months ended June 30, 2016 have been recast to reflect our early adoption of ASU No. 2016-09, consistent with the quarterly information presented in our Annual Report on Form 10-K for the year ended December 31, 2016. |
The table above presents a reconciliation of GAAP to non-GAAP operating income, net income, and net income per share applicable to common stockholders for the three and six months ended June 30, 2017 and 2016. Non-GAAP operating income excludes the impact of depreciation, amortization of intangible assets associated with acquisitions, stock-based compensation expense, and adjustments to the fair value of contingent consideration. Adjusted non-GAAP net income excludes the tax-affected impact of amortization of intangible assets associated with acquisitions, stock-based compensation expense, non-cash interest expense on convertible senior notes, and adjustments to the fair value of contingent consideration. |
| MEDIDATA SOLUTIONS, INC. | |||||||||
| CONSOLIDATED BALANCE SHEETS (Unaudited) | |||||||||
| (Amounts in thousands, except per share data) | |||||||||
| June 30, 2017 | December 31, | ||||||||
| ASSETS | |||||||||
| Current assets: | |||||||||
| Cash and cash equivalents | $ | 110,708 | $ | 93,519 | |||||
| Marketable securities | 256,401 | 281,285 | |||||||
| Accounts receivable, net of allowance for doubtful accounts of $1,298 and $1,041, respectively | 111,233 | 115,216 | |||||||
| Prepaid commission expense | 3,511 | 1,842 | |||||||
| Prepaid expenses and other current assets | 30,846 | 20,382 | |||||||
| Deferred income taxes | — | 6,536 | |||||||
| Total current assets | 512,699 | 518,780 | |||||||
| Restricted cash | 5,513 | 5,760 | |||||||
| Furniture, fixtures and equipment, net | 71,162 | 58,461 | |||||||
| Marketable securities, long-term | 167,896 | 140,418 | |||||||
| Goodwill | 47,678 | 30,780 | |||||||
| Intangible assets, net | 20,014 | 5,090 | |||||||
| Deferred income taxes, long-term | 41,268 | 40,415 | |||||||
| Other assets | 22,625 | 18,181 | |||||||
| Total assets | $ | 888,855 | $ | 817,885 | |||||
| LIABILITIES AND STOCKHOLDERS' EQUITY | |||||||||
| Current liabilities: | |||||||||
| Accounts payable | $ | 12,257 | $ | 6,202 | |||||
| Accrued payroll and other compensation | 19,630 | 29,260 | |||||||
| Accrued expenses and other | 34,120 | 20,958 | |||||||
| Deferred revenue | 86,314 | 75,911 | |||||||
| Total current liabilities | 152,321 | 132,331 | |||||||
| Noncurrent liabilities: | |||||||||
| 1.00% convertible senior notes, net | 270,647 | 263,401 | |||||||
| Deferred revenue, less current portion | 2,159 | 1,703 | |||||||
| Deferred tax liabilities | 124 | 322 | |||||||
| Other long-term liabilities | 20,812 | 18,138 | |||||||
| Total noncurrent liabilities | 293,742 | 283,564 | |||||||
| Total liabilities | 446,063 | 415,895 | |||||||
| Commitments and contingencies | |||||||||
| Stockholders' equity: | |||||||||
| Preferred stock, par value $0.01 per share; 5,000 shares authorized, none issued and outstanding | — | — | |||||||
| Common stock, par value $0.01 per share; 200,000 shares authorized; 62,578 and 61,393 shares issued; 58,503 and 57,733 shares outstanding, respectively | 626 | 614 | |||||||
| Additional paid-in capital | 454,856 | 418,497 | |||||||
| Treasury stock, 4,075 and 3,660 shares, respectively | (128,991 | ) | (114,204 | ) | |||||
| Accumulated other comprehensive loss | (3,826 | ) | (5,276 | ) | |||||
| Retained earnings | 120,127 | 102,359 | |||||||
| Total stockholders' equity | 442,792 | 401,990 | |||||||
| Total liabilities and stockholders' equity | $ | 888,855 | $ | 817,885 | |||||
| MEDIDATA SOLUTIONS, INC. | |||||||||||
| CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) | |||||||||||
| (Amounts in thousands) | |||||||||||
| Six Months Ended June 30, | |||||||||||
| 2017 | 2016 | ||||||||||
| Cash flows from operating activities | |||||||||||
| Net income | $ | 17,768 | $ | 10,785 | |||||||
| Adjustments to reconcile net income to net cash provided by operating activities: | |||||||||||
| Depreciation and amortization | 10,065 | 6,983 | |||||||||
| Stock-based compensation | 23,013 | 20,697 | |||||||||
| Amortization of discounts or premiums on marketable securities | 757 | 1,700 | |||||||||
| Deferred income taxes | 2,535 | (1,164 | ) | ||||||||
| Amortization of debt issuance costs | 639 | 639 | |||||||||
| Amortization of debt discount | 6,607 | 6,224 | |||||||||
| Provision for doubtful accounts | 526 | 508 | |||||||||
| (Gain) loss on fixed asset disposal | (2 | ) | 4 | ||||||||
| Change in fair value of contingent consideration | 58 | — | |||||||||
| Changes in operating assets and liabilities: | |||||||||||
| Accounts receivable | 4,058 | (7,729 | ) | ||||||||
| Prepaid commission expense | (4,661 | ) | (2,931 | ) | |||||||
| Prepaid expenses and other current assets | (13,031 | ) | 3,040 | ||||||||
| Other assets | 1,171 | (3,583 | ) | ||||||||
| Accounts payable | 4,490 | (1,932 | ) | ||||||||
| Accrued payroll and other compensation | (10,122 | ) | (4,302 | ) | |||||||
| Accrued expenses and other | 5,313 | 7,715 | |||||||||
| Deferred revenue | 10,634 | 9,206 | |||||||||
| Other long-term liabilities | 884 | (2,814 | ) | ||||||||
| Net cash provided by operating activities | 60,702 | 43,046 | (1 | ) | |||||||
| Cash flows from investing activities | |||||||||||
| Purchase of furniture, fixtures and equipment | (16,642 | ) | (13,425 | ) | |||||||
| Purchase of available-for-sale securities | (157,228 | ) | (144,136 | ) | |||||||
| Proceeds from sale of available-for-sale securities | 154,117 | 154,784 | |||||||||
| Acquisition of businesses, net of cash acquired | (22,941 | ) | (17,142 | ) | |||||||
Net cash used in investing activities | (42,694 | ) | (19,919 | ) | |||||||
| Cash flows from financing activities | |||||||||||
| Proceeds from exercise of stock options | 9,057 | 1,691 | |||||||||
| Proceeds from employee stock purchase plan | 4,248 | 3,385 | |||||||||
| Acquisition of treasury stock | (14,785 | ) | (13,797 | ) | |||||||
| Repayment of notes payable | — | (100 | ) | ||||||||
| Net cash used in financing activities | (1,480 | ) | (8,821 | ) | (1 | ) | |||||
| Effect of exchange rate changes on cash, cash equivalents and restricted cash | 414 | 397 | |||||||||
| Net increase in cash, cash equivalents and restricted cash | 16,942 | 14,703 | |||||||||
| Cash, cash equivalents and restricted cash – Beginning of period | 99,279 | 55,472 | (2 | ) | |||||||
| Cash, cash equivalents and restricted cash – End of period | $ | 116,221 | $ | 70,175 | (2 | ) | |||||
| (1) The consolidated statement of cash flows for the six months ended June 30, 2016 has been adjusted to reflect our early adoption of ASU No. 2016-09 during the third quarter of 2016, resulting in an offsetting increase of $5,048 thousand to net cash provided by operating activities and net cash used in financing activities. |
| (2) As a result of our early adoption of ASU. No. 2016-18 during the first quarter of 2017, the consolidated statement of cash flows for the six months ended June 30, 2016 has been adjusted to include restricted cash in beginning- and end-of-period cash. |
| MEDIDATA SOLUTIONS, INC. | |||
Reconciliation of Forward-Looking GAAP Operating Income
Guidance and GAAP Net Income Guidance to | |||
| (Amounts in millions, except per share data) | |||
Estimated Full-Year | |||
| GAAP operating income: | $61 - $69 | ||
| Stock-based compensation (1) | 47 | ||
| Depreciation and amortization (1) | 23 | ||
| Non-GAAP operating income | $131 - $139 | ||
| GAAP net income: | $31 - $36 | ||
| Stock-based compensation (1) | 47 | ||
| Amortization (1) | 2 | ||
| Non-cash interest expense on convertible senior notes (1) | 15 | ||
| Tax impact on add-back items (2) | (26) | ||
| Adjusted non-GAAP net income | $69 - $74 | ||
| (1) | Represents the estimated midpoint of our guidance range. | |
| (2) | Tax impact estimated using a 40% rate. |
View source version on businesswire.com: http://www.businesswire.com/news/home/20170718005497/en/
Contacts:
Medidata Solutions
Anthony D’Amico, 732-767-4331
adamico@mdsol.com
or
Media:
Medidata
Solutions
Erik Snider, 646-362-2997
esnider@mdsol.com
