ForgeRock Announces Strong Fourth Quarter and Full Year 2021 Financial Results
ForgeRock, Inc. (NYSE: FORG) reported strong financial results for Q4 and fiscal year 2021, with total revenue of $176.9 million, marking a 39% year-over-year increase. Annualized Recurring Revenue (ARR) reached $183.1 million, growing 35% year-over-year. The company achieved record customer growth, adding numerous customers with substantial ARR. However, it reported a GAAP net loss of $12.4 million in Q4, worsening from a net income of $2.0 million a year ago. Looking ahead, ForgeRock expects ARR growth of 31% for both Q1 and the full year 2022.
- Total revenue of $176.9 million for FY 2021, a 39% increase year-over-year.
- ARR increased to $183.1 million, representing 35% year-over-year growth.
- Record customer growth with 394 customers generating $100K ARR or greater.
- ForgeRock Identity Cloud now accounts for 12% of total ARR.
- GAAP net loss of $12.4 million in Q4 2021 compared to a net income of $2.0 million in Q4 2020.
- Non-GAAP operating loss of $6.1 million in Q4, worsening from a negligible loss the previous year.
- Free cash flow of ($6.1) million in Q4, worse than ($4.9) million in Q4 2020.
-
ARR accelerated to a record
35% year-over-year growth -
Fiscal year 2021 revenue totaled
and grew$176.9 million 39% year-over-year
“It was a momentous year for
“Our record fourth quarter results outperformed our guidance across all metrics and we’re entering 2022 with tremendous momentum,” said
Fourth Quarter 2021 Financial Highlights:
-
ARR: Annualized Recurring Revenue was
, an increase of$183.1 million 35% year-over-year. -
Revenue: Total revenue was
, an increase of$47.9 million 19% year-over-year. -
Operating Loss: GAAP operating loss was
, or (22)% of total revenue, compared to$10.4 million , or (4)% of total revenue, in the fourth quarter of 2020. Non-GAAP operating loss was$1.6 million , or (13)% of total revenue, compared to$6.1 million , or (0.1)% of total revenue, in the fourth quarter of 2020.$0.1 million -
Net Loss/Income: GAAP net loss was
, compared to net income of$12.4 million in the fourth quarter of 2020. GAAP net loss per share was$2.0 million compared to diluted net income per share of$0.15 in the fourth quarter of 2020. Non-GAAP net loss was$0.06 , compared to non-GAAP net income of$8.0 million in the fourth quarter of 2020. Non-GAAP net loss per share was$3.5 million compared to non-GAAP diluted net income per share of$0.10 in the fourth quarter of 2020.$0.10 -
Cash Flow: Net cash used in operations was
compared to$5.4 million in the fourth quarter of 2020. Free cash flow was$4.8 million ( , or (13)% of total revenue, compared to$6.1) million ( , or (12)% of total revenue, in the fourth quarter of 2020.$4.9) million -
Cash, cash equivalents and short-term investments were
as of$369.8 million December 31, 2021 .
Full Year 2021 Financial Highlights:
-
Revenue: Total revenue was
, an increase of$176.9 million 39% year-over-year. -
Operating Loss: GAAP operating loss was
, or (16)% of total revenue, compared to$28.4 million , or (25)% of total revenue, in 2020. Non-GAAP operating loss was$32.1 million , or (10)% of total revenue, compared to$17.8 million , or (20)% of total revenue in 2020.$25.3 million -
Net Loss: GAAP net loss was
, compared to$47.8 million in 2020. GAAP net loss per share was$41.8 million compared to$1.14 in 2020. Non-GAAP net loss was$1.74 , compared to$37.0 million in 2020. Non-GAAP net loss per share was$34.9 million compared to$0.89 in 2020.$1.46 -
Cash Flow: Net cash used in operations was
compared to$36.8 million in 2020. Free cash flow was$29.6 million ( , or (21)% of total revenue, compared to$37.9) million ( , or (24)% of total revenue in 2020.$30.4) million
Financial Outlook:
For the first quarter of 2022,
-
Total ARR of
to$187.0 million , representing$188.0 million 31% year-over-year growth; -
Total revenue of
to$46.0 million ;$47.0 million -
Non-GAAP operating loss of
to$13.5 million ; and$12.5 million -
Non-GAAP net loss per share of
to$0.18 , assuming weighted-average shares outstanding of approximately 83.3 million.$0.16
For the full year 2022,
-
Total ARR of
to$238.0 million , representing$241.0 million 31% year-over-year growth; -
Total revenue of
to$212.0 million ;$215.0 million -
Non-GAAP operating loss of
to$27.0 million ; and$24.0 million -
Non-GAAP net loss per share of
to$0.38 , assuming weighted-average shares outstanding of approximately 86.0 million.$0.34
These statements are forward-looking and actual results may differ materially. Refer to the Forward-Looking Statements safe harbor below for information on the factors that could cause our actual results to differ materially from these forward-looking statements.
Conference Call Information:
Supplemental Financial and Other Information:
Supplemental financial and other information can be accessed through
Non-GAAP Financial Measures and Key Metrics:
The non-GAAP financial information is presented for supplemental informational purposes only and should not be considered a substitute for financial information presented in accordance with GAAP and may be different from similarly-titled non-GAAP measures used by other companies. The principal limitation of these non-GAAP financial measures is that they exclude expenses that are required by GAAP to be recorded in our consolidated financial statements. In addition, they are subject to inherent limitations as they reflect the exercise of judgment by our management about which expenses are excluded or included in determining these non-GAAP financial measures. A reconciliation is provided below for each non-GAAP financial measure to the most directly comparable financial measure stated in accordance with GAAP. Investors are encouraged to review the related GAAP financial measures and the reconciliation of these non-GAAP financial measures to their most directly comparable GAAP financial measures.
ARR does not have a standardized meaning and, therefore, may not be comparable to similarly titled measures presented by other companies. ARR should be viewed independently of revenue, deferred revenue and remaining performance obligations computed and/or disclosed in accordance with GAAP and is not intended to be combined with or to replace any of those items. Specifically, ARR, as calculated under the definition herein, has the effect of normalizing the impact of revenue recognition for term-based subscription license agreements. ARR is calculated based upon annualized contract value and not actual GAAP revenue. Under ASC 606, for term-based subscription license agreements, we recognize approximately half of the total contract value upfront as license revenue, with the remainder attributable to maintenance and support that is recognized ratably over the license term. Annualizing actual GAAP revenue for any particular period could result in a meaningful difference from our ARR calculation, particularly when we are experiencing increases or decreases in the mix of multi-year term licenses. ARR is not a forecast and the active contracts at the date used in calculating ARR may or may not be extended by our customers.
Forward-Looking Statements:
This press release contains forward-looking statements within the meaning of the federal securities laws, including but not limited to the quotations of management, the section titled “Financial Outlook,” and statements regarding our strategy and the market for our products and services. Forward-looking statements are subject to a number of risks and uncertainties, many of which involve factors or circumstances that are beyond our control. Our actual results could differ materially from those stated or implied in forward-looking statements due to a number of factors, including but not limited to our ability to attract new customers and retain and sell additional functionality and services to our existing customers, our ability to sustain and manage our growth, our ability to successfully add new features and functionality to our platform, our ability to compete effectively in an increasingly competitive market, and general market, political, economic, and business conditions, including the impact of COVID-19, and other risks detailed in our filings with the
Past performance is not necessarily indicative of future results. The forward-looking statements included in this press release represent our views as of the date of this press release. These forward-looking statements should not be relied upon as representing our views as of any date subsequent to the date of this press release. We anticipate that subsequent events and developments could cause our views to change. We undertake no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.
About
ForgeRock®, a global leader in digital identity, delivers modern identity and access management solutions for consumers, employees and things to simply and safely access the connected world. Using
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (In thousands, except per share amounts) (Unaudited) |
|||||||||||||||
|
Three months ended |
|
Year ended |
||||||||||||
|
|
2021 |
|
|
|
2020 |
|
|
|
2021 |
|
|
|
2020 |
|
Revenue: |
|
|
|
|
|
|
|
||||||||
Subscription term licenses |
$ |
21,662 |
|
|
$ |
22,114 |
|
|
$ |
84,611 |
|
|
$ |
64,318 |
|
Subscription SaaS, support & maintenance |
|
23,891 |
|
|
|
16,146 |
|
|
|
85,434 |
|
|
|
57,833 |
|
Perpetual licenses |
|
810 |
|
|
|
486 |
|
|
|
1,695 |
|
|
|
1,225 |
|
Total subscriptions and perpetual licenses |
|
46,363 |
|
|
|
38,746 |
|
|
|
171,740 |
|
|
|
123,376 |
|
Professional services |
|
1,541 |
|
|
|
1,393 |
|
|
|
5,193 |
|
|
|
4,258 |
|
Total revenue |
|
47,904 |
|
|
|
40,139 |
|
|
|
176,933 |
|
|
|
127,634 |
|
Cost of revenue: |
|
|
|
|
|
|
|
||||||||
Subscriptions and perpetual licenses |
|
5,223 |
|
|
|
3,246 |
|
|
|
17,535 |
|
|
|
12,249 |
|
Professional services |
|
4,735 |
|
|
|
2,645 |
|
|
|
15,393 |
|
|
|
9,079 |
|
Total cost of revenue(1) |
|
9,958 |
|
|
|
5,891 |
|
|
|
32,928 |
|
|
|
21,328 |
|
Gross profit |
|
37,946 |
|
|
|
34,248 |
|
|
|
144,005 |
|
|
|
106,306 |
|
Operating expenses: |
|
|
|
|
|
|
|
||||||||
Research and development(1) |
|
12,283 |
|
|
|
9,109 |
|
|
|
43,497 |
|
|
|
35,901 |
|
Sales and marketing(1) |
|
23,825 |
|
|
|
19,442 |
|
|
|
88,620 |
|
|
|
75,768 |
|
General and administrative(1) |
|
12,237 |
|
|
|
7,249 |
|
|
|
40,329 |
|
|
|
26,729 |
|
Total operating expenses |
|
48,345 |
|
|
|
35,800 |
|
|
|
172,446 |
|
|
|
138,398 |
|
Operating loss |
|
(10,399 |
) |
|
|
(1,552 |
) |
|
|
(28,441 |
) |
|
|
(32,092 |
) |
Foreign currency gain (loss) |
|
(816 |
) |
|
|
8,206 |
|
|
|
(3,819 |
) |
|
|
3,064 |
|
Fair value adjustment on warrants and preferred stock tranche option |
|
— |
|
|
|
(3,148 |
) |
|
|
(10,068 |
) |
|
|
(7,344 |
) |
Interest expense |
|
(945 |
) |
|
|
(1,194 |
) |
|
|
(4,516 |
) |
|
|
(4,512 |
) |
Other, net |
|
24 |
|
|
|
(82 |
) |
|
|
(40 |
) |
|
|
(345 |
) |
Interest and other expense, net |
|
(1,737 |
) |
|
|
3,782 |
|
|
|
(18,443 |
) |
|
|
(9,137 |
) |
Profit (loss) before income taxes |
|
(12,136 |
) |
|
|
2,230 |
|
|
|
(46,884 |
) |
|
|
(41,229 |
) |
Provision for income taxes |
|
223 |
|
|
|
262 |
|
|
|
884 |
|
|
|
565 |
|
Net income (loss) |
$ |
(12,359 |
) |
|
$ |
1,968 |
|
|
$ |
(47,768 |
) |
|
$ |
(41,794 |
) |
|
|
|
|
|
|
|
|
||||||||
Net income (loss) per share attributable to common stockholders: |
|
|
|
|
|
|
|
||||||||
Basic |
$ |
(0.15 |
) |
|
$ |
0.08 |
|
|
$ |
(1.14 |
) |
|
$ |
(1.74 |
) |
Diluted |
$ |
(0.15 |
) |
|
$ |
0.06 |
|
|
$ |
(1.14 |
) |
|
$ |
(1.74 |
) |
Weighted-average shares used in computing net income (loss) per share attributable to common stockholders: |
|
|
|
|
|
|
|
||||||||
Basic |
|
81,979 |
|
|
|
24,130 |
|
|
|
41,742 |
|
|
|
23,989 |
|
Diluted |
|
81,979 |
|
|
|
34,590 |
|
|
|
41,742 |
|
|
|
23,989 |
|
|
|
|
|
|
|
|
|
||||||||
(1) Includes stock-based compensation as follows (in thousands): |
|||||||||||||||
|
Three months ended |
|
Year ended |
||||||||||||
|
|
2021 |
|
|
|
2020 |
|
|
|
2021 |
|
|
|
2020 |
|
Cost of revenue |
$ |
424 |
|
|
$ |
54 |
|
|
$ |
617 |
|
|
$ |
166 |
|
Research and development |
|
867 |
|
|
|
223 |
|
|
|
1,924 |
|
|
|
1,307 |
|
Sales and marketing |
|
1,449 |
|
|
|
255 |
|
|
|
3,495 |
|
|
|
1,794 |
|
General and administrative |
|
1,530 |
|
|
|
702 |
|
|
|
4,630 |
|
|
|
2,917 |
|
Total stock-based compensation expense |
$ |
4,270 |
|
|
$ |
1,234 |
|
|
$ |
10,666 |
|
|
$ |
6,184 |
|
|
|
|
|
|
|
|
|
CONDENSED CONSOLIDATED BALANCE SHEETS (In thousands, except share and per share data) (Unaudited) |
|||||||
|
|
||||||
|
|
2021 |
|
|
|
2020 |
|
Assets |
|
|
|
||||
Cash and cash equivalents |
$ |
128,381 |
|
|
$ |
99,953 |
|
Short-term investments |
|
241,411 |
|
|
|
— |
|
Accounts receivable, net of allowances of |
|
55,999 |
|
|
|
35,372 |
|
Contract assets |
|
19,670 |
|
|
|
11,167 |
|
Deferred commissions |
|
8,457 |
|
|
|
5,923 |
|
Prepaid expenses and other assets |
|
9,787 |
|
|
|
3,802 |
|
Total current assets |
|
463,705 |
|
|
|
156,217 |
|
Deferred commissions |
|
15,601 |
|
|
|
8,825 |
|
Property and equipment, net |
|
2,463 |
|
|
|
2,535 |
|
Operating lease right-of-use assets |
|
12,626 |
|
|
|
— |
|
Contract and other assets |
|
2,783 |
|
|
|
817 |
|
Total assets |
$ |
497,178 |
|
|
$ |
168,394 |
|
|
|
|
|
||||
Liabilities, redeemable convertible preferred stock and stockholders’ equity (deficit) |
|
|
|
||||
Accounts payable |
$ |
2,039 |
|
|
$ |
1,370 |
|
Accrued expenses |
|
27,375 |
|
|
|
18,444 |
|
Current portion of long-term debt |
|
— |
|
|
|
58 |
|
Current portion of operating lease liability |
|
1,820 |
|
|
|
— |
|
Deferred revenue |
|
67,222 |
|
|
|
50,341 |
|
Other liabilities |
|
2,258 |
|
|
|
8,818 |
|
Total current liabilities |
|
100,714 |
|
|
|
79,031 |
|
Long-term debt |
|
39,483 |
|
|
|
39,338 |
|
Long-term operating lease liability |
|
11,037 |
|
|
|
— |
|
Deferred revenue |
|
8,172 |
|
|
|
5,162 |
|
Other liabilities |
|
1,646 |
|
|
|
3,538 |
|
Total liabilities |
|
161,052 |
|
|
|
127,069 |
|
|
|
|
|
||||
Redeemable convertible preferred stock |
|
— |
|
|
|
231,503 |
|
|
|
|
|
||||
Stockholders’ equity (deficit): |
|
|
|
||||
Common stock |
|
83 |
|
|
|
24 |
|
Additional paid-in capital |
|
593,196 |
|
|
|
20,602 |
|
Accumulated other comprehensive income |
|
6,672 |
|
|
|
5,253 |
|
Accumulated deficit |
|
(263,825 |
) |
|
|
(216,057 |
) |
Total stockholders’ equity (deficit) |
|
336,126 |
|
|
|
(190,178 |
) |
Total liabilities, redeemable convertible preferred stock and stockholders’ equity (deficit) |
$ |
497,178 |
|
|
$ |
168,394 |
|
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (In thousands) (Unaudited) |
|||||||
|
Year ended |
||||||
|
|
2021 |
|
|
|
2020 |
|
Operating activities: |
|
|
|
||||
Net loss |
$ |
(47,768 |
) |
|
$ |
(41,794 |
) |
Adjustments to reconcile net loss to net cash used in operating activities: |
|
|
|
||||
Depreciation |
|
1,061 |
|
|
|
1,155 |
|
Noncash operating lease expense |
|
1,931 |
|
|
|
— |
|
Restructuring and impairment charges |
|
— |
|
|
|
530 |
|
Stock-based compensation expense |
|
10,666 |
|
|
|
6,184 |
|
Amortization of deferred commissions |
|
13,964 |
|
|
|
13,423 |
|
Foreign currency remeasurement loss (gain) |
|
3,032 |
|
|
|
(3,079 |
) |
Change in fair value of redeemable convertible preferred stock warrant liability |
|
5,871 |
|
|
|
1,218 |
|
Change in fair value of preferred stock tranche option liability |
|
4,157 |
|
|
|
6,146 |
|
Accretion of short-term investments |
|
1,330 |
|
|
|
— |
|
Other |
|
266 |
|
|
|
371 |
|
Changes in operating assets and liabilities: |
|
|
|
||||
Deferred commissions |
|
(23,273 |
) |
|
|
(18,005 |
) |
Accounts receivable |
|
(20,669 |
) |
|
|
(797 |
) |
Contract and other non-current assets |
|
(10,505 |
) |
|
|
(4,819 |
) |
Prepaid expenses and other current assets |
|
(6,025 |
) |
|
|
1,390 |
|
Operating lease liabilities |
|
(2,377 |
) |
|
|
— |
|
Accounts payable |
|
701 |
|
|
|
(398 |
) |
Accrued expenses and other liabilities |
|
10,863 |
|
|
|
3,576 |
|
Deferred revenue |
|
19,992 |
|
|
|
5,305 |
|
Net cash used in operating activities |
|
(36,783 |
) |
|
|
(29,594 |
) |
Investing activities: |
|
|
|
||||
Purchases of property and equipment |
|
(1,113 |
) |
|
|
(854 |
) |
Purchases of short-term investments |
|
(277,126 |
) |
|
|
(2,992 |
) |
Maturities of marketable securities |
|
31,860 |
|
|
|
— |
|
Sales of short-term investments |
|
1,933 |
|
|
|
3,000 |
|
Net cash used in investing activities |
|
(244,446 |
) |
|
|
(846 |
) |
Financing activities: |
|
|
|
||||
Proceeds from initial public offering, net of underwriting discounts and commissions |
|
295,694 |
|
|
|
— |
|
Payment of initial public offering costs |
|
(6,038 |
) |
|
|
— |
|
Proceeds from exercises of employee stock options |
|
4,902 |
|
|
|
566 |
|
Proceeds from issuance of redeemable convertible preferred stock |
|
19,951 |
|
|
|
93,532 |
|
Redeemable convertible preferred stock issuance costs |
|
— |
|
|
|
(343 |
) |
Employee payroll taxes paid for net share settlement of restricted stock units |
|
(3,877 |
) |
|
|
— |
|
Repurchase of common stock from employees |
|
— |
|
|
|
(2,307 |
) |
Proceeds from issuance of debt, net of issuance costs |
|
— |
|
|
|
9,914 |
|
Principal repayments on debt |
|
(120 |
) |
|
|
(211 |
) |
Net cash provided by financing activities |
|
310,512 |
|
|
|
101,151 |
|
Effect of exchange rates on cash, cash equivalents and restricted cash |
|
(888 |
) |
|
|
546 |
|
Net increase in cash, cash equivalents and restricted cash |
|
28,395 |
|
|
|
71,257 |
|
Cash, cash equivalents and restricted cash, beginning of year |
|
100,042 |
|
|
|
28,785 |
|
Cash, cash equivalents and restricted cash, end of year |
$ |
128,437 |
|
|
$ |
100,042 |
|
Supplementary cash flow disclosure: |
|
|
|
||||
Cash paid for interest |
$ |
3,629 |
|
|
$ |
3,914 |
|
Cash paid for income taxes |
|
769 |
|
|
|
270 |
|
Offering costs accrued but not yet paid |
|
(145 |
) |
|
|
— |
|
Conversion of redeemable convertible preferred stock to common stock |
|
263,178 |
|
|
|
— |
|
|
|
|
|
||||
Reconciliation of cash, cash equivalents and restricted cash: |
|
|
|
||||
Cash and cash equivalents |
$ |
128,381 |
|
|
$ |
99,953 |
|
Restricted cash included in prepaids and other current assets |
|
56 |
|
|
|
89 |
|
Total cash, cash equivalents and restricted cash |
$ |
128,437 |
|
|
$ |
100,042 |
|
NON-GAAP FINANCIAL MEASURES AND RECONCILIATIONS TO GAAP RESULTS |
|||||||||||||||
Non-GAAP Gross Profit and Non-GAAP Gross Margin |
|||||||||||||||
|
|
|
|
|
|
|
|
||||||||
Gross profit is defined as GAAP revenue less cost of revenue and gross margin is GAAP gross profit as a percentage of total revenue. We define non-GAAP gross profit and non-GAAP gross margin as GAAP gross profit and GAAP gross margin adjusted to exclude stock-based compensation expense, and restructuring and impairment charges (if applicable) as presented below (in thousands, except percentages): |
|||||||||||||||
|
|
|
|
|
|
|
|
||||||||
|
Three months ended |
|
Year ended |
||||||||||||
|
|
2021 |
|
|
|
2020 |
|
|
|
2021 |
|
|
|
2020 |
|
Gross profit |
$ |
37,946 |
|
|
$ |
34,248 |
|
|
$ |
144,005 |
|
|
$ |
106,306 |
|
Add: |
|
|
|
|
|
|
|
||||||||
Stock-based compensation expense |
|
424 |
|
|
|
54 |
|
|
|
617 |
|
|
|
166 |
|
Non-GAAP gross profit |
$ |
38,370 |
|
|
$ |
34,302 |
|
|
$ |
144,622 |
|
|
$ |
106,472 |
|
|
|
|
|
|
|
|
|
||||||||
Gross margin |
|
79 |
% |
|
|
85 |
% |
|
|
81 |
% |
|
|
83 |
% |
Non-GAAP gross margin |
|
80 |
% |
|
|
85 |
% |
|
|
82 |
% |
|
|
83 |
% |
|
|
|
|
|
|
|
|
||||||||
|
|||||||||||||||
|
|
|
|
|
|
|
|
||||||||
We define non-GAAP research and development as GAAP research and development adjusted to exclude stock-based compensation expense, and restructuring and impairment charges (if applicable) as presented below (in thousands): |
|||||||||||||||
|
|
|
|
|
|
|
|
||||||||
|
Three months ended |
|
Year ended |
||||||||||||
|
|
2021 |
|
|
|
2020 |
|
|
|
2021 |
|
|
|
2020 |
|
Research and development |
$ |
12,283 |
|
|
$ |
9,109 |
|
|
$ |
43,497 |
|
|
$ |
35,901 |
|
Less: stock-based compensation |
|
867 |
|
|
|
223 |
|
|
|
1,924 |
|
|
|
1,307 |
|
Non-GAAP research and development |
$ |
11,416 |
|
|
$ |
8,886 |
|
|
$ |
41,573 |
|
|
$ |
34,594 |
|
|
|
|
|
|
|
|
|
||||||||
Non-GAAP Sales and Marketing |
|||||||||||||||
|
|
|
|
|
|
|
|
||||||||
We define non-GAAP sales and marketing as GAAP sales and marketing adjusted to exclude stock-based compensation expense, and restructuring and impairment charges (if applicable) as presented below (in thousands): |
|||||||||||||||
|
|
|
|
|
|
|
|
||||||||
|
Three months ended |
|
Year ended |
||||||||||||
|
|
2021 |
|
|
|
2020 |
|
|
|
2021 |
|
|
|
2020 |
|
Sales and marketing |
$ |
23,825 |
|
|
$ |
19,442 |
|
|
$ |
88,620 |
|
|
$ |
75,768 |
|
Less: stock-based compensation |
|
1,449 |
|
|
|
255 |
|
|
|
3,495 |
|
|
|
1,794 |
|
Non-GAAP sales and marketing |
$ |
22,376 |
|
|
$ |
19,187 |
|
|
$ |
85,125 |
|
|
$ |
73,974 |
|
|
|
|
|
|
|
|
|
Non-GAAP General and Administrative |
|||||||||||||||
|
|
|
|
|
|
|
|
||||||||
We define non-GAAP general and administrative as GAAP general and administrative adjusted to exclude stock-based compensation expense, and restructuring and impairment charges (if applicable) as presented below (in thousands): |
|||||||||||||||
|
|
|
|
|
|
|
|
||||||||
|
Three months ended |
|
Year ended |
||||||||||||
|
|
2021 |
|
|
|
2020 |
|
|
|
2021 |
|
|
|
2020 |
|
General and administrative |
$ |
12,237 |
|
|
$ |
7,249 |
|
|
$ |
40,329 |
|
|
$ |
26,729 |
|
Less: stock-based compensation |
|
1,530 |
|
|
|
702 |
|
|
|
4,630 |
|
|
|
2,917 |
|
Less: restructuring and impairment charges |
|
— |
|
|
|
277 |
|
|
|
— |
|
|
|
633 |
|
Non-GAAP general and administrative |
$ |
10,707 |
|
|
$ |
6,270 |
|
|
$ |
35,699 |
|
|
$ |
23,179 |
|
|
|
|
|
|
|
|
|
||||||||
Non-GAAP Operating Loss and Non-GAAP Operating Margin |
|||||||||||||||
|
|
|
|
|
|
|
|
||||||||
We define non-GAAP operating loss and non-GAAP operating margin as GAAP operating loss and GAAP operating margin adjusted to exclude stock-based compensation expense, and restructuring and impairment charges (if applicable) as presented below (in thousands, except percentages): |
|||||||||||||||
|
|
|
|
|
|
|
|
||||||||
|
Three months ended |
|
Year ended |
||||||||||||
|
|
2021 |
|
|
|
2020 |
|
|
|
2021 |
|
|
|
2020 |
|
Operating loss |
$ |
(10,399 |
) |
|
$ |
(1,552 |
) |
|
$ |
(28,441 |
) |
|
$ |
(32,092 |
) |
Add: stock-based compensation |
|
4,270 |
|
|
|
1,234 |
|
|
|
10,666 |
|
|
|
6,184 |
|
Add: restructuring and impairment charges |
|
— |
|
|
|
277 |
|
|
|
— |
|
|
|
633 |
|
Non-GAAP operating loss |
$ |
(6,129 |
) |
|
$ |
(41 |
) |
|
$ |
(17,775 |
) |
|
$ |
(25,275 |
) |
Operating margin |
|
(22 |
) % |
|
|
(4 |
) % |
|
|
(16 |
) % |
|
|
(25 |
) % |
Non-GAAP operating margin |
|
(13 |
) % |
|
|
0 |
% |
|
|
(10 |
) % |
|
|
(20 |
) % |
|
|
|
|
|
|
|
|
||||||||
Adjusted EBITDA |
|
|
|
|
|||||||||||
|
|
|
|
|
|
|
|
||||||||
We define adjusted EBITDA as operating loss adjusted to exclude depreciation, stock-based compensation expense, and restructuring and impairment charges (if applicable) as presented below (in thousands): |
|||||||||||||||
|
|
|
|
|
|
|
|
||||||||
|
Three months ended |
|
Year ended |
||||||||||||
|
|
2021 |
|
|
|
2020 |
|
|
|
2021 |
|
|
|
2020 |
|
Operating loss |
$ |
(10,399 |
) |
|
$ |
(1,552 |
) |
|
$ |
(28,441 |
) |
|
$ |
(32,092 |
) |
Add: depreciation |
|
266 |
|
|
|
272 |
|
|
|
1,061 |
|
|
|
1,155 |
|
Add: stock-based compensation |
|
4,270 |
|
|
|
1,234 |
|
|
|
10,666 |
|
|
|
6,184 |
|
Add: restructuring and impairment charges |
|
— |
|
|
|
277 |
|
|
|
— |
|
|
|
633 |
|
Adjusted EBITDA |
$ |
(5,863 |
) |
|
$ |
231 |
|
|
$ |
(16,714 |
) |
|
$ |
(24,120 |
) |
|
|
|
|
|
|
|
|
||||||||
|
|
|
|
|
|
|
|
||||||||
Non-GAAP Net Income (Loss) and Non-GAAP Net Income (Loss) per Share, Basic and Diluted |
|||||||||||||||
|
|
|
|
|
|
|
|
||||||||
We define non-GAAP net income (loss) as GAAP net income (loss) adjusted to exclude stock-based compensation expense, including the tax effect of stock-based compensation expense on the provision for (benefit from) income taxes as presented below (in thousands, except per share amounts): |
|||||||||||||||
|
|
|
|
|
|
|
|
||||||||
We define non-GAAP net income (loss) per share, basic, as non-GAAP net income (loss) divided by GAAP weighted-average shares used to compute net income (loss) per share, basic. |
|||||||||||||||
|
|
|
|
|
|
|
|
||||||||
We define non-GAAP net income (loss) per share, diluted, as non-GAAP net income (loss) divided by GAAP weighted average shares used to compute net income (loss) per share, basic, adjusted for (i) the dilutive effect of employee equity awards, excluding the impact of unrecognized stock-based compensation expense and (ii) warrants; unless these adjustments are anti-dilutive. |
|||||||||||||||
|
|
|
|
|
|
|
|
||||||||
|
Three months ended |
|
Year ended |
||||||||||||
|
|
2021 |
|
|
|
2020 |
|
|
|
2021 |
|
|
|
2020 |
|
|
|
|
|
|
|
|
|
||||||||
Net income (loss) |
$ |
(12,359 |
) |
|
$ |
1,968 |
|
|
$ |
(47,768 |
) |
|
$ |
(41,794 |
) |
Add: stock-based compensation |
|
4,270 |
|
|
|
1,234 |
|
|
|
10,666 |
|
|
|
6,184 |
|
Add: restructuring and impairment charges |
|
— |
|
|
|
277 |
|
|
|
— |
|
|
|
633 |
|
Add: tax effect on the provision for (benefit from) income taxes |
|
40 |
|
|
|
11 |
|
|
|
76 |
|
|
|
33 |
|
Non-GAAP net income (loss) |
$ |
(8,049 |
) |
|
$ |
3,490 |
|
|
$ |
(37,026 |
) |
|
$ |
(34,944 |
) |
|
|
|
|
|
|
|
|
||||||||
Net income (loss) per share attributable to common stockholders: |
|
|
|
|
|
|
|
||||||||
Basic |
$ |
(0.15 |
) |
|
$ |
0.08 |
|
|
$ |
(1.14 |
) |
|
$ |
(1.74 |
) |
Diluted |
$ |
(0.15 |
) |
|
$ |
0.06 |
|
|
$ |
(1.14 |
) |
|
$ |
(1.74 |
) |
|
|
|
|
|
|
|
|
||||||||
Weighted-average shares used in computing net income (loss) per share attributable to common stockholders: |
|
|
|
|
|
|
|
||||||||
Basic |
|
81,979 |
|
|
|
24,130 |
|
|
|
41,742 |
|
|
|
23,989 |
|
Diluted |
|
81,979 |
|
|
|
34,590 |
|
|
|
41,742 |
|
|
|
23,989 |
|
|
|
|
|
|
|
|
|
||||||||
Non-GAAP net income (loss) per share attributable to common stockholders: |
|
|
|
|
|
|
|
||||||||
Basic |
$ |
(0.10 |
) |
|
$ |
0.14 |
|
|
$ |
(0.89 |
) |
|
$ |
(1.46 |
) |
Diluted |
$ |
(0.10 |
) |
|
$ |
0.10 |
|
|
$ |
(0.89 |
) |
|
$ |
(1.46 |
) |
|
|
|
|
|
|
|
|
||||||||
Weighted-average shares used in computing non-GAAP net income (loss) per share attributable to common stockholders: |
|
|
|
|
|
|
|
||||||||
Basic |
|
81,979 |
|
|
|
24,130 |
|
|
|
41,742 |
|
|
|
23,989 |
|
Diluted |
|
81,979 |
|
|
|
34,590 |
|
|
|
41,742 |
|
|
|
23,989 |
|
|
|
|
|
|
|
|
|
||||||||
|
|
|
|
|
|
|
|
||||||||
Free Cash Flow |
|||||||||||||||
|
|
|
|
|
|
|
|
||||||||
We define free cash flow as net cash provided by (used in) operating activities less cash used for purchases of property and equipment as presented below (in thousands): |
|||||||||||||||
|
|
|
|
|
|
|
|
||||||||
|
Three months ended |
|
Year ended |
||||||||||||
|
|
2021 |
|
|
|
2020 |
|
|
|
2021 |
|
|
|
2020 |
|
Net cash used in operating activities |
$ |
(5,427 |
) |
|
$ |
(4,776 |
) |
|
$ |
(36,783 |
) |
|
$ |
(29,594 |
) |
Purchases of property and equipment |
|
(654 |
) |
|
|
(86 |
) |
|
|
(1,113 |
) |
|
|
(854 |
) |
Free cash flow |
$ |
(6,081 |
) |
|
$ |
(4,862 |
) |
|
$ |
(37,896 |
) |
|
$ |
(30,448 |
) |
|
|
|
|
|
|
|
|
View source version on businesswire.com: https://www.businesswire.com/news/home/20220301005957/en/
Investor Relations Contacts:
investors@forgerock.com
Media Contacts:
kristen.batch@forgerock.com
stacey.hurwitz@forgerock.com
Evgenia Sinopidou,
evgenia.sinopidou@edelman.com
Source:
FAQ
What is ForgeRock's total revenue for the fiscal year 2021?
What are ForgeRock's projections for ARR growth in 2022?
What was the GAAP net loss for ForgeRock in Q4 2021?
How did ForgeRock perform in terms of customer growth in Q4 2021?