PLEASANTON, CA — (Marketwired) — 02/05/15 — Callidus Software Inc. (NASDAQ: CALD), a global leader in cloud-based sales, marketing and learning solutions, today announced financial results for the fourth quarter and fiscal year ended December 31, 2014.
“Q4 2014 was another strong quarter. We broke our SaaS bookings record, had record total revenue and accelerated our SaaS revenue growth again off of a higher base whilst we made money,” said Leslie Stretch president and CEO of CallidusCloud. “In 2015 we are focused on a fabulous customer experience, best in class SaaS revenue growth and profitability.”
Total revenue was $38.1 million for the fourth quarter, an increase of 26%. Total recurring revenue was $28.3 million, which includes SaaS revenue of $24.4 million and maintenance revenue of $3.9 million. SaaS revenue increased 42% over the same quarter in the prior year, benefiting from success in our Lead to-Money solution, and the recent Clicktools acquisition. Services and license revenue was $9.8 million, consisting of $9.7 million in services revenue and $0.1 million in license revenue, increased 11% compared to the same quarter in the prior year. Cash and short-term investments were $37.0 million.
GAAP Performance
Recurring revenue gross margin was 73%, compared to 67% for the same quarter in the prior year.
Operating loss was $3.5 million compared to $1.6 million for the same quarter in the prior year.
Net loss was $4.1 million, or ($0.08) on a per share basis, compared to a net loss of $7.0 million, or ($0.17) per share, for the same quarter in the prior year.
Cash used in operations was $965 thousand in the current quarter compared to $6.1 million cash provided by operations for the same quarter in the prior year.
Non-GAAP Performance
The following non-GAAP measures are described below and are reconciled to the corresponding GAAP measures at the end of this release.
Recurring revenue gross margin was 76%, compared to 70% for the same quarter in the prior year.
Operating income was $2.9 million compared to $1.8 million for the same quarter in the prior year.
Net income was $2.3 million, or $0.05 per fully diluted share, compared to $1.7 million, or $0.04 per fully diluted share for the same quarter in the prior year.
Total revenue was $136.6 million for the full fiscal year, an increase of 22%. Total recurring revenue was $99.8 million, which includes SaaS revenue of $83.7 million and maintenance revenue of $16.1 million. SaaS revenue increased 27% over the prior year. Services and license revenue of $36.8 million consisted of $32.4 million in services revenue and $4.4 million in license revenue, which increased 20% compared to the prior year.
GAAP Performance
Recurring revenue gross margin was 69%, compared to 65% in the prior year.
Operating loss was $13.5 million compared to $11.7 million in the prior year.
Net loss was $11.6 million, or ($0.24) on a per share basis, compared to a net loss of $21.4 million, or ($0.55) per share in the prior year.
Non-GAAP Performance
The following non-GAAP measures are described below and are reconciled to the corresponding GAAP measures at the end of this release.
Recurring revenue gross margin was 73% compared to 68% in the prior year.
Operating income was $8.7 million compared to $5.2 million in the prior year.
Net income was $7.1 million, or $0.14 per fully diluted share, compared to $3.3 million, or $0.07 per fully diluted share in the prior year.
CallidusCloud executed its largest conversion deal in its history. The three-year irrevocable agreement is approximately $7 million in total contract value.
CallidusCloud announced the availability of its industry-leading Commissions and Configure Price Quote solutions for the Salesforce 1 Mobile App that enable customers to accelerate sales cycles and drive higher close rates from their mobile devices.
CallidusCloud released a new component of Thunderbridge which provides customers with powerful out-of-the-box insights into key sales performance metrics. The self service reports require no-coding and will greatly accelerate the time to value for customers.
CallidusCloud–s Lead to Money suite was awarded a 2014 Best in Biz award for enterprise product of the year and received TMC–s Cloud Computing Product of the Year award.
For the first quarter of 2015, the Company expects total revenue to be between $38.0 million and $39.0 million. GAAP operating loss is expected to be between $2.6 million and $3.4 million with GAAP net loss per share between ($0.05) to ($0.07). Non-GAAP operating income is expected to be between $2.5 million and $3.0 million with non-GAAP income per diluted share between $0.04 and $0.06.
For the full year of 2015, the Company is raising previous guidance to the range of $161.0 million to $166.0 million. GAAP operating loss is expected to be between $4.5 million and $7.0 million with GAAP net loss per share between ($0.15) to ($0.19). Non-GAAP operating income is expected to be between $14.5 million and $16.5 million with non-GAAP income per diluted share between $0.23 and $0.27.
In conjunction with this announcement CallidusCloud will host a conference call at 1:30 p.m. Pacific Standard Time (PST) today to discuss the fourth quarter and fiscal 2014 results and outlook for the first quarter 2015 and full year 2015. The conference call will be available via live webcast at the Investor Relations section of CallidusCloud–s website.
877-280-4960 (International callers: 857-244-7317)
66768068
A webcast replay will be available on the Investor Relations section of our website under Calendar of Events.
For more information, please visit:
Callidus Software Inc. (NASDAQ: CALD), doing business as CallidusCloud®, is the global leader in cloud based sales, marketing and learning solutions. CallidusCloud enables organizations to accelerate and maximize their lead to money process with a complete suite of solutions that identify the right leads, ensure proper territory and quota distribution, enable sales forces, automate configure price quote, and streamline sales compensation — driving bigger deals, faster. Over 3,500 leading organizations, across all industries, rely on CallidusCloud to optimize the lead to money process to close more deals for more money in record time.
For more information, please visit .
In this release, CallidusCloud has provided additional financial information that has not been prepared in accordance with GAAP. This information includes non-GAAP gross margin, non-GAAP recurring revenue gross margin, non-GAAP operating expenses, non-GAAP operating income, non-GAAP net income, and non-GAAP net income per diluted share. CallidusCloud uses non-GAAP measures internally in analyzing its financial results and believes that they are useful to investors as a supplement to GAAP measures in evaluating CallidusCloud–s operating performance. CallidusCloud believes that the use of these non-GAAP measures provides additional insight for investors to use in evaluation of ongoing operating results and trends and in comparing its financial measures with other companies in CallidusCloud–s industry, many of which present non-GAAP financial measures that may resemble our non-GAAP financial measures. Non-GAAP financial measures should not be considered in isolation from, or as a substitute for, financial information prepared in accordance with GAAP.
Our non-GAAP measures reflect adjustments based on the following items:
Stock-based compensation expense: We have excluded the effect of stock-based compensation expense from our non-GAAP gross profit, recurring revenue gross profit, operating expenses, operating income, net income and net income per diluted share. We believe the exclusion of stock-based compensation expense provides a useful comparison of our operating results to our peers.
Restructuring and other expense: We have excluded the effect of restructuring and other expense from our non-GAAP operating expenses, operating income, net income and net income per diluted share. Restructuring and other expense consists of employee severance, facility exit costs and incremental depreciation expense as a result of the change in the estimated useful life of assets to be abandoned. We feel it is useful to investors to understand the effects of these items on our financial results.
Patent litigation and settlement costs and patent litigation estimates: We have excluded the effect of patent infringement and litigation defense costs, settlement costs and patent litigation estimates from our non-GAAP gross profit, recurring revenue gross profit, operating expenses, operating income, net income and net income per diluted share. We believe patent defense costs and settlement costs and patent litigation estimates are not indicative of our ongoing business operations, and are inconsistent in amount and frequency; as such we exclude patent litigation defense costs during our evaluation of our business performance.
Convertible note interest expense, conversion costs and amortization of convertible note issuance costs: We have excluded the costs of convertible note interest expense, redemption inducement and issuance costs from our non-GAAP net income and net income per diluted share. We believe that these costs are not indicative of our continuing operations or meaningful in evaluating current versus past business results.
Amortization and gain on sale of acquired intangible assets: We have excluded the effect of amortization and gain on sale of acquired intangibles which include developed technology, customer relationships, trade names, domain names, patents and licenses from our non-GAAP gross profit, recurring revenue gross profit, operating expenses, operating income, other income and expense, net income and net income per diluted share. Amortization and gain on sale of acquired intangibles are significantly affected by timing, and as such, can be inconsistent in amount and nature.
Acquisition-Related Costs: We have excluded the costs related to acquisitions from our non-GAAP operating expenses, operating income, net income and net income per diluted share. These costs include legal and transactional costs associated with acquisition activities that we would not have otherwise incurred in the periods presented as part of our continuing operations. We believe the exclusion of acquisition-related costs provides a useful comparison of our operating results to our peers.
The forward-looking statements included in this press release, including for example discussion of our commercial prospects, estimates of future revenues, operating income/loss and expenses, earnings per share, stock-based compensation expenses, amortization of acquired intangible assets, restructuring expenses, and patent litigation costs and estimates reflect management–s best judgment based on factors currently known and involve risks and uncertainties. These risks and uncertainties include, but are not limited to, potential disruption of customer purchase decisions resulting from global economic conditions, timing and size of orders, relative growth of our recurring revenue, potential decreases in customer spending, uncertainty regarding purchasing trends in the cloud software market, customer cancellations or non-renewal of maintenance contracts or on-demand services, our potential inability to manage effectively any growth we experience, our ability to develop new products and services, increased competition or new entrants in the marketplace, potential impact of acquisitions and investments, changes in staffing levels, and other risks detailed in periodic reports we file with the Securities and Exchange Commission, including our most recent Annual Report on Form 10-K which may be obtained by contacting CallidusCloud–s Investor Relations department at 415-445-3238, or from the Investor Relations section of CallidusCloud–s website (). Actual results may differ materially from those presently reported. We assume no obligation to update the information contained in this release.
©2015. Callidus Software Inc. All rights reserved. Callidus, Callidus Software, the Callidus Software logo, CallidusCloud, the CallidusCloud logo, TrueComp Manager, ActekSoft, ACom3, iCentera, Webcom, Litmos, the Litmos logo, LeadFormix, Rapid Intake, 6FigureJobs, Clicktools and LeadRocket are trademarks, service marks, or registered trademarks of Callidus Software Inc. and its affiliates in the United States and other countries. All other brand, service or product names are trademarks or registered trademarks of their respective companies or owners.
The guidance figures provided below and elsewhere in this press release are forward-looking statements, reflect a number of estimates, assumptions and other uncertainties, and are approximate in nature because the Company–s future performance is difficult to predict. Such guidance is based on information available on the date of this press release, and the company assumes no obligation to update it.
Ed Keaney
Market Street Partners
(415) 445-3238
You must be logged in to post a comment Login