Marin Software Announces Third Quarter 2024 Financial Results
Marin Software (NASDAQ: MRIN) reported Q3 2024 financial results with net revenue of $4.3 million, down 4% year-over-year. The company posted a GAAP loss from operations of ($2.1) million with a -50% operating margin, improved from ($5.1) million loss and -115% margin in Q3 2023.
Key developments include launching Advisor, an OpenAI-powered virtual assistant, upgrading Reddit integration, and renewing a three-year Search Ads Innovation Agreement with Google. The company announced a restructuring plan in October 2024, reducing workforce by 27 employees (26% of total), expecting annual cost savings of $3.5-3.7 million.
Marin Software (NASDAQ: MRIN) ha annunciato i risultati finanziari del terzo trimestre del 2024, con un fatturato netto di $4,3 milioni, in calo del 4% rispetto all’anno precedente. L’azienda ha registrato una perdita operativa GAAP di ($2,1) milioni con un margine operativo del -50%, migliorato rispetto alla perdita di ($5,1) milioni e un margine del -115% del terzo trimestre del 2023.
Tra gli sviluppi principali ci sono il lancio di Advisor, un assistente virtuale basato su OpenAI, l’aggiornamento dell’integrazione con Reddit e il rinnovo di un accordo triennale per l’innovazione degli annunci di ricerca con Google. L’azienda ha annunciato un piano di ristrutturazione a ottobre 2024, riducendo il personale di 27 dipendenti (26% del totale), prevedendo un risparmio annuale dei costi di $3,5-3,7 milioni.
Marin Software (NASDAQ: MRIN) informó los resultados financieros del tercer trimestre de 2024, con ingresos netos de $4.3 millones, una disminución del 4% en comparación con el año anterior. La empresa reportó una pérdida operativa GAAP de ($2.1) millones con un margen operativo del -50%, mejorando desde una pérdida de ($5.1) millones y un margen del -115% en el tercer trimestre de 2023.
Los desarrollos clave incluyen el lanzamiento de Advisor, un asistente virtual impulsado por OpenAI, la actualización de la integración con Reddit y la renovación de un acuerdo de innovación en anuncios de búsqueda de tres años con Google. La empresa anunció un plan de reestructuración en octubre de 2024, reduciendo la fuerza laboral en 27 empleados (26% del total), esperando ahorros anuales de costos de $3.5-3.7 millones.
Marin Software (NASDAQ: MRIN)는 2024년 3분기 재무 결과를 보고했으며, 순수익이 $4.3 백만으로 전년 대비 4% 감소했습니다. 이 회사는 GAAP 운영 손실이 ($2.1) 백만이며 운영 마진이 -50%로, 2023년 3분기에는 ($5.1) 백만 손실과 -115% 마진에서 개선되었습니다.
주요 개발 사항으로는 Advisor라는 OpenAI 기반의 가상 비서 출시, Reddit 통합업그레이드 및 Google과의 3년 검색 광고 혁신 계약 갱신이 포함됩니다. 이 회사는 2024년 10월에 27명의 직원(전체의 26%)을 감원하는 구조조정 계획을 발표하였으며, 연간 비용 절감 예상액은 $3.5-3.7 백만입니다.
Marin Software (NASDAQ: MRIN) a annoncé les résultats financiers du troisième trimestre 2024, avec un chiffre d'affaires net de $4,3 millions, en baisse de 4 % par rapport à l'année précédente. L'entreprise a enregistré une perte d'exploitation GAAP de ($2,1) millions avec une marge d'exploitation de -50 %, s'améliorant par rapport à une perte de ($5,1) millions et une marge de -115 % au troisième trimestre 2023.
Les développements clés incluent le lancement de Advisor, un assistant virtuel alimenté par OpenAI, la mise à jour de l'intégration avec Reddit et le renouvellement d'un accord de trois ans sur l'innovation des annonces de recherche avec Google. L'entreprise a annoncé un plan de restructuration en octobre 2024, réduisant la main-d'œuvre de 27 employés (26 % du total), prévoyant des économies annuelles de coûts de 3,5 à 3,7 millions de dollars.
Marin Software (NASDAQ: MRIN) hat die finanziellen Ergebnisse für das 3. Quartal 2024 bekannt gegeben, mit einem Nettoumsatz von $4,3 Millionen, was einem Rückgang von 4% im Vergleich zum Vorjahr entspricht. Das Unternehmen verzeichnete einen GAAP-Betriebsverlust von ($2,1) Millionen mit einer Betriebsgewinngrenze von -50%, verbessert von einem Verlust von ($5,1) Millionen und einer Marge von -115% im 3. Quartal 2023.
Wichtige Entwicklungen umfassen den Start von Advisor, einem von OpenAI betriebenen virtuellen Assistenten, die Upgrade-Integration mit Reddit und die Erneuerung eines dreijährigen Innovationsvertrags für Suchanzeigen mit Google. Das Unternehmen gab im Oktober 2024 einen Umstrukturierungsplan bekannt, bei dem 27 Mitarbeiter (26% der Gesamtzahl) abgebaut werden, wobei jährliche Kosteneinsparungen von $3,5-3,7 Millionen erwartet werden.
- Improved GAAP operating margin from -115% to -50% year-over-year
- Renewed three-year Search Ads Innovation Agreement with Google
- Expected annual cost savings of $3.5-3.7 million from restructuring
- Enhanced product offerings with AI-powered Advisor launch
- Net revenue decreased 4% year-over-year to $4.3 million
- GAAP loss from operations of $2.1 million
- Cash position declined to $5.6 million
- 26% workforce reduction through restructuring plan
- Expected restructuring costs of $0.6-0.8 million in Q4 2024
Insights
The Q3 results reveal concerning financial metrics with
The announced restructuring, cutting
The AI initiatives and platform improvements, while promising, haven't translated to revenue growth. With a market cap of just
“Marin is excited to deliver the next generation of AI-powered performance marketing tools with our latest enhancement, Advisor,” said Chris Lien, Marin Software’s CEO. “With this OpenAI-powered virtual teammate, Marin users can interact with the platform in an entirely new way – unlocking the collective knowledge of digital marketing thought leaders and putting their best practices to work with a simple prompt. This is another example of Marin delivering innovations to help performance marketers save time and sell more.”
Third Quarter 2024 Product and Business Highlights:
- Launched Advisor, An AI-Powered Virtual Assistant: Our new AI-powered virtual assistant allows marketers to streamline their workflow by automating tasks and receiving actionable insights. Powered by OpenAI and integrated with Marin’s entire Knowledge Center, Advisor provides real-time performance analysis, recommended actions, and step-by-step guidance, helping users optimize their campaigns directly within Marin’s platform.
- Upgraded Reddit Integration: Our enhanced Reddit integration now supports full campaign management, including budgeting, forecasting, and automation—on top of our existing omni-channel reporting capabilities. Marketers can manage their Reddit campaigns with the same precision and ease they apply across other platforms in Marin.
- Launched the Completed Episode Report: The new Completed Episode report offers greater transparency by showcasing results from the latest completed episode. This feature gives brands deeper insights into the performance of their campaigns and highlights the value delivered by the Marin platform.
- Improved Budget Management Controls: We’ve introduced new budget floor controls, ensuring campaigns maintain a minimum spend to maximize impact and avoid underperformance due to budget shortfalls. These enhancements provide users with automated budget management that adheres to both maximum and minimum thresholds across all campaigns and publishers.
- Enhanced Client Grid Reporting: Marin’s in-app client grid now offers expanded reporting options, including conversion types and custom columns across publishers. This update gives marketers more flexibility and deeper insights into their campaign performance.
- Amazon S3 Integration: Users can now connect their Amazon S3 buckets as a data source, enabling near real-time access to critical campaign data such as revenue and conversions. This integration ensures seamless cross-channel insights, particularly for those leveraging Amazon’s data solutions.
- Launched Free Media Allocation Audit: For the first time, we’re offering a complimentary media allocation audit. With our decades of expertise and industry-leading analytics, this audit helps performance marketers assess if their digital marketing budgets are being invested optimally, providing valuable recommendations to deliver growth and efficiency improvements.
- Search Ads Innovation Agreement with Google: In July 2024, we entered into a new three-year Search Ads Innovation Agreement with Google that commenced on October 1, 2024, which is substantially similar to the Revenue Share Agreement with Google that expired on September 30, 2024, including the same minimum quarterly payments.
Third Quarter 2024 Notable Client Achievements:
-
Fusion 92: Fusion 92, one of the Midwest’s largest independent media agencies, utilized Marin’s budgeting platform to transform budget compliance for their client, a dental services organization with over 1,500 offices nationwide. In just under two months, they improved budget compliance from
9% to96% , saving over 15 hours of manual work per week.
Third Quarter 2024 Financial Updates:
-
Net revenue totaled
, a year-over-year decrease of$4.3 million 4% when compared to for the third quarter of 2023.$4.4 million -
GAAP loss from operations was
( , resulting in a GAAP operating margin of ($2.1) million 50% ), as compared to a GAAP loss from operations of( and a GAAP operating margin of ($5.1) million 115% ) for the third quarter of 2023. -
Non-GAAP loss from operations was
( , resulting in a non-GAAP operating margin of ($1.8) million 43% ), as compared to a non-GAAP loss from operations of( and a non-GAAP operating margin of ($2.9) million 65% ) for the third quarter of 2023. -
Cash and cash equivalents were
as of September 30, 2024.$5.6 million
Reconciliations of GAAP to non-GAAP financial measures have been provided in the financial statement tables included in this press release. An explanation of these measures is also included below, under the heading “Non-GAAP Financial Measures.”
In October 2024, after the third quarter of September 30, 2024, we commenced the implementation of an organizational restructuring and reduction-in-force plan to reduce the Company’s operating costs (the “2024 Restructuring Plan”), which is expected to result in the reduction of our global employees by approximately 27 employees, representing approximately
Financial Outlook:
Marin is providing guidance for its fourth quarter of 2024, as follows:
Forward-Looking Guidance |
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In millions |
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Range of Estimate |
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From |
To |
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Three Months Ending December 31, 2024 |
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|
|
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Revenue, net |
$ |
4.0 |
|
$ |
4.2 |
|
||
Operating loss (Non-GAAP) |
$ |
(1.4 |
) |
$ |
(1.1 |
) |
Non-GAAP loss from operations excludes the effects of stock-based compensation expense, amortization of internally developed software, impairment of long-lived assets, capitalization of internally developed software, non-recurring costs associated with restructurings, and certain professional fees that the Company has incurred in responding to third-party subpoenas that the Company has received related to governmental investigations of Google and Meta.
Additionally, the Company does not reconcile its forward-looking non-GAAP loss from operations, due to variability between revenue and non-cash items such as stock-based compensation. The GAAP loss from operations includes stock-based compensation expense, which is affected by hiring and retention needs, as well as the future price of Marin’s stock. As a result, a reconciliation of the forward-looking non-GAAP financial measures to the corresponding GAAP measures cannot be made without unreasonable effort.
Quarterly Results Conference Call
Marin Software will host a conference call today at 2:00 PM Pacific Time (5:00 PM Eastern Time) to review the Company’s financial results for the quarter ended September 30, 2024, and its outlook for the future. To access the call, please dial (800) 954-0684 in
About Marin Software
Marin Software Incorporated’s (NASDAQ: MRIN) mission is to give advertisers the power to drive higher efficiency and transparency in their paid marketing programs that run on the world’s largest publishers. Marin Software provides enterprise marketing software for advertisers and agencies to integrate, align, and amplify their digital advertising spend across the web and mobile devices. Marin Software offers a unified SaaS advertising management platform for search, social, and eCommerce advertising. The Company helps digital marketers convert precise audiences, improve financial performance, and make better decisions. Headquartered in
Non-GAAP Financial Measures
Marin uses certain non-GAAP financial measures in this release. Marin uses these non-GAAP financial measures internally in analyzing its financial results and believes they are useful to investors, as a supplement to GAAP measures, in evaluating its ongoing operational performance. Marin believes that the use of these non-GAAP financial measures provides an additional tool for investors to use in evaluating ongoing operating results and trends and in comparing our financial results with other companies in our industry, many of which present similar non-GAAP financial measures to investors. Non-GAAP financial measures that Marin uses may differ from measures that other companies may use.
Non-GAAP financial measures should not be considered in isolation from, or as a substitute for, financial information prepared in accordance with GAAP. A reconciliation of the non-GAAP financial measures to their most directly comparable GAAP measures has been provided in the financial statement tables included below in this press release. Investors are encouraged to review the reconciliation of these non-GAAP financial measures to their most directly comparable GAAP financial measures.
Non-GAAP expenses, measures and net loss per share. Marin defines non-GAAP sales and marketing, non-GAAP research and development, non-GAAP general and administrative, non-GAAP gross profit, non-GAAP operating loss and non-GAAP net loss as the respective GAAP balances, adjusted for stock-based compensation expense, amortization of internally developed software and intangible assets, capitalization of internally developed software, non-recurring costs associated with restructurings, and certain professional fees that the Company has incurred in responding to third-party subpoenas that the Company has received related to governmental investigations of Google and Meta. Non-GAAP net loss per share is calculated as non-GAAP net loss divided by the weighted average shares outstanding.
Adjusted EBITDA. Marin defines Adjusted EBITDA as net loss, adjusted for stock-based compensation expense, depreciation, amortization of internally developed software and intangible assets, capitalization of internally developed software, benefit from or provision for income taxes, other income, net, non-recurring costs associated with restructurings, and certain professional fees that the Company has incurred in responding to third-party subpoenas that the Company has received related to governmental investigations of Google and Meta. These amounts are often excluded by other companies to help investors understand the operational performance of their business. The Company uses Adjusted EBITDA as a measurement of its operating performance because it assists in comparing the operating performance on a consistent basis by removing the impact of certain non-cash and non-operating items. Adjusted EBITDA reflects an additional way of viewing aspects of the operations that Marin believes, when viewed with the GAAP results and the accompanying reconciliations to corresponding GAAP financial measures, provide a more complete understanding of factors and trends affecting its business.
Forward-Looking Statements
This press release contains forward-looking statements including, among other things, statements regarding Marin’s business, impact of investments in product and technology on future operating results, the increasing complexity in marketing, progress on product development efforts, product capabilities, advertiser and customer behavior, and future financial results, including its outlook for the fourth quarter of 2024. These forward-looking statements are subject to the safe harbor provisions created by the Private Securities Litigation Reform Act of 1995. Actual results could differ materially from those projected in the forward-looking statements as a result of certain risk factors, including but not limited to, our ability to reduce our expenses or raise additional capital to meet our obligations as a going concern; our ability to successfully implement a restructuring plan that we commenced in October 2024 and the expected costs and savings from the restructuring plan; the amount of digital advertising spend managed by our customers using our products; the extent of customer acceptance, adoption and usage of our MarinOne platform; the productivity of our personnel and other aspects of our business; our ability to maintain or grow sales to new and existing customers; any adverse changes in our relationships with and access to publishers and advertising agencies and strategic business partners, including any adverse changes in our revenue sharing agreement with Google; our ability to retain and attract qualified management, technical and sales and marketing personnel; any delays in the release of updates to our product platform or new features or delays in customer deployment of any such updates or features; competitive factors, including but not limited to pricing pressures, entry of new competitors and new applications; quarterly fluctuations in our operating results due to a number of factors; inability to adequately forecast our future revenue, expenses, Adjusted EBITDA, cash flows or other financial metrics; delays, reductions or slower growth in the amount spent on online and mobile advertising and the development of the market for cloud-based software; progress in our efforts to update our software platform; our ability to maintain or expand sales of our solutions in channels other than search advertising; any slow-down in the search advertising market generally; any shift in customer digital advertising budgets from search to segments in which we are not as deeply penetrated; the development of the market for digital advertising; our ability to provide high-quality technical support to our customers; material defects in our platform including those resulting from any updates we introduce to our platform, service interruptions at our single third-party data center or breaches in our security measures; our ability to develop enhancements to our platform; our ability to protect our intellectual property; our ability to manage risks associated with international operations; the impact of fluctuations in currency exchange rates, particularly an increase in the value of the dollar; near term changes in sales of our software services or spend under management may not be immediately reflected in our results due to our subscription business model; our ability to maintain the listing of our common stock on the Nasdaq; and adverse changes in general economic or market conditions. These forward-looking statements are based on current expectations and are subject to uncertainties and changes in condition, significance, value and effect as well as other risks detailed in documents filed with the Securities and Exchange Commission, including our most recent report on Form 10-K, recent reports on Form 10-Q and current reports on Form 8-K, which we may file from time to time, and all of which are available free of charge at the SEC’s website at www.sec.gov. Any of these risks could cause actual results to differ materially from expectations set forth in the forward-looking statements. All forward-looking statements in this press release reflect Marin’s expectations as of October 31, 2024. Marin assumes no obligation to, and expressly disclaims any obligation to update any such forward-looking statements after the date of this release.
Marin Software Incorporated |
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Condensed Consolidated Balance Sheets |
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(On a GAAP basis) |
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|
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|
||||||
|
|
September 30, |
|
December 31, |
||||
(Unaudited; in thousands, except par value) |
|
2024 |
|
2023 |
||||
Assets: |
|
|
|
|
|
|
||
Current assets: |
|
|
|
|
|
|
||
Cash and cash equivalents |
|
$ |
5,588 |
|
|
$ |
11,363 |
|
Accounts receivable, net |
|
|
3,661 |
|
|
|
3,864 |
|
Prepaid expenses and other current assets |
|
|
1,479 |
|
|
|
1,548 |
|
Total current assets |
|
|
10,728 |
|
|
|
16,775 |
|
Property and equipment, net |
|
|
115 |
|
|
|
120 |
|
Right-of-use assets, operating leases |
|
|
819 |
|
|
|
1,912 |
|
Other non-current assets |
|
|
518 |
|
|
|
508 |
|
Total assets |
|
$ |
12,180 |
|
|
$ |
19,315 |
|
Liabilities and Stockholders' Equity: |
|
|
|
|
|
|
||
Current liabilities: |
|
|
|
|
|
|
||
Accounts payable |
|
$ |
579 |
|
|
$ |
664 |
|
Accrued expenses and other current liabilities |
|
|
2,089 |
|
|
|
2,099 |
|
Operating lease liabilities |
|
|
819 |
|
|
|
1,518 |
|
Total current liabilities |
|
|
3,487 |
|
|
|
4,281 |
|
Operating lease liabilities, non-current |
|
|
— |
|
|
|
394 |
|
Other long-term liabilities |
|
|
1,015 |
|
|
|
1,001 |
|
Total liabilities |
|
|
4,502 |
|
|
|
5,676 |
|
|
|
|
|
|
|
|
||
Stockholders’ equity: |
|
|
|
|
|
|
||
Convertible preferred stock, |
|
|
— |
|
|
|
— |
|
Common stock, |
|
|
3 |
|
|
|
3 |
|
Additional paid-in capital |
|
|
359,718 |
|
|
|
358,884 |
|
Accumulated deficit |
|
|
(351,006 |
) |
|
|
(344,251 |
) |
Accumulated other comprehensive loss |
|
|
(1,037 |
) |
|
|
(997 |
) |
Total stockholders’ equity |
|
|
7,678 |
|
|
|
13,639 |
|
Total liabilities and stockholders’ equity |
|
$ |
12,180 |
|
|
$ |
19,315 |
|
Marin Software Incorporated |
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Condensed Consolidated Statements of Operations |
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|
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(On a GAAP basis) |
|
|
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Three Months Ended September 30, |
|
Nine Months Ended September 30, |
||||||||||||
(Unaudited; in thousands, except per share data) |
|
2024 |
|
2023 |
|
2024 |
|
2023 |
||||||||
Revenue, net |
|
$ |
4,282 |
|
|
$ |
4,438 |
|
|
$ |
12,358 |
|
|
$ |
13,381 |
|
Cost of revenue |
|
|
1,703 |
|
|
|
3,087 |
|
|
|
5,136 |
|
|
|
9,501 |
|
Gross profit |
|
|
2,579 |
|
|
|
1,351 |
|
|
|
7,222 |
|
|
|
3,880 |
|
Operating expenses: |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Sales and marketing |
|
|
1,091 |
|
|
|
1,482 |
|
|
|
3,384 |
|
|
|
5,442 |
|
Research and development |
|
|
1,760 |
|
|
|
2,860 |
|
|
|
5,440 |
|
|
|
8,599 |
|
General and administrative |
|
|
1,860 |
|
|
|
2,119 |
|
|
|
5,144 |
|
|
|
6,897 |
|
Total operating expenses |
|
|
4,711 |
|
|
|
6,461 |
|
|
|
13,968 |
|
|
|
20,938 |
|
Loss from operations |
|
|
(2,132 |
) |
|
|
(5,110 |
) |
|
|
(6,746 |
) |
|
|
(17,058 |
) |
Other income, net |
|
|
(176 |
) |
|
|
158 |
|
|
|
66 |
|
|
|
598 |
|
Loss before income taxes |
|
|
(2,308 |
) |
|
|
(4,952 |
) |
|
|
(6,680 |
) |
|
|
(16,460 |
) |
Provision for income taxes |
|
|
18 |
|
|
|
2 |
|
|
|
75 |
|
|
|
194 |
|
Net loss |
|
$ |
(2,326 |
) |
|
$ |
(4,954 |
) |
|
$ |
(6,755 |
) |
|
$ |
(16,654 |
) |
Net loss per common share, basic and diluted |
|
$ |
(0.74 |
) |
|
$ |
(1.66 |
) |
|
$ |
(2.19 |
) |
|
$ |
(5.70 |
) |
Weighted-average shares outstanding, basic and diluted |
|
|
3,135 |
|
|
|
2,985 |
|
|
|
3,089 |
|
|
|
2,920 |
|
Marin Software Incorporated |
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Condensed Consolidated Statements of Cash Flows |
|
|
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(On a GAAP basis) |
|
|
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|
|
|
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|
|
Nine Months Ended September 30, |
||||||
(Unaudited; in thousands) |
|
2024 |
|
2023 |
||||
Operating activities: |
|
|
|
|
|
|
||
Net loss |
|
$ |
(6,755 |
) |
|
$ |
(16,654 |
) |
Adjustments to reconcile net loss to net cash used in operating activities |
|
|
|
|
|
|
||
Depreciation |
|
|
5 |
|
|
|
17 |
|
Amortization of internally developed software |
|
|
— |
|
|
|
1,278 |
|
Amortization of right-of-use assets |
|
|
1,165 |
|
|
|
1,162 |
|
Amortization of deferred costs to obtain and fulfill contracts |
|
|
267 |
|
|
|
277 |
|
Loss on disposals of property and equipment |
|
|
— |
|
|
|
2 |
|
Unrealized foreign currency losses |
|
|
199 |
|
|
|
43 |
|
Stock-based compensation related to equity awards |
|
|
957 |
|
|
|
2,594 |
|
Provision for credit losses |
|
|
(7 |
) |
|
|
(388 |
) |
Deferred income tax benefits |
|
|
(3 |
) |
|
|
— |
|
Changes in operating assets and liabilities |
|
|
|
|
|
|
||
Accounts receivable |
|
|
113 |
|
|
|
872 |
|
Prepaid expenses and other assets |
|
|
(235 |
) |
|
|
345 |
|
Accounts payable |
|
|
(102 |
) |
|
|
21 |
|
Accrued expenses and other liabilities |
|
|
(85 |
) |
|
|
(1,041 |
) |
Operating lease liabilities |
|
|
(1,165 |
) |
|
|
(1,162 |
) |
Net cash used in operating activities |
|
|
(5,646 |
) |
|
|
(12,634 |
) |
Investing activities: |
|
|
|
|
|
|
||
Capitalization of internally developed software |
|
|
— |
|
|
|
(1,511 |
) |
Net cash used in investing activities |
|
|
— |
|
|
|
(1,511 |
) |
Financing activities: |
|
|
|
|
|
|
||
Employee taxes paid for withheld shares upon equity award settlement |
|
|
(116 |
) |
|
|
(199 |
) |
Proceeds from employee stock purchase plan, net |
|
|
— |
|
|
|
(3 |
) |
Net cash provided by (used in) financing activities |
|
|
(116 |
) |
|
|
(202 |
) |
Effect of foreign exchange rate changes on cash and cash equivalents |
|
|
(13 |
) |
|
|
(13 |
) |
Net decrease in cash and cash equivalents |
|
|
(5,775 |
) |
|
|
(14,360 |
) |
Cash and cash equivalents: |
|
|
|
|
|
|
||
Beginning of period |
|
|
11,363 |
|
|
|
27,957 |
|
End of the period |
|
$ |
5,588 |
|
|
$ |
13,597 |
|
Marin Software Incorporated |
|
|
||||||||||||||||||||||||||||||||
Reconciliation of GAAP to Non-GAAP Expenses |
|
|
||||||||||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||||||||||
|
|
Three Months Ended |
|
|
Year Ended |
|
|
Three Months Ended |
||||||||||||||||||||||||||
|
|
Mar 31, |
|
Jun 30, |
|
Sep 30 |
|
Dec 31, |
|
|
Dec 31, |
|
|
Mar 31, |
|
Jun 30, |
|
Sep 30 |
||||||||||||||||
(Unaudited; in thousands) |
|
2023 |
|
2023 |
|
2023 |
|
2023 |
|
|
2023 |
|
|
2024 |
|
2024 |
|
2024 |
||||||||||||||||
Sales and marketing |
|
$ |
2,025 |
|
|
$ |
1,935 |
|
|
$ |
1,482 |
|
|
$ |
1,078 |
|
|
|
$ |
6,520 |
|
|
|
$ |
1,250 |
|
|
$ |
1,043 |
|
|
$ |
1,091 |
|
Stock-based compensation |
|
|
(165 |
) |
|
|
(184 |
) |
|
|
(88 |
) |
|
|
(65 |
) |
|
|
|
(502 |
) |
|
|
|
(64 |
) |
|
|
(60 |
) |
|
|
(38 |
) |
Restructuring related expenses |
|
|
— |
|
|
|
— |
|
|
|
(122 |
) |
|
|
— |
|
|
|
|
(122 |
) |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Sales and marketing (Non-GAAP) |
|
$ |
1,860 |
|
|
$ |
1,751 |
|
|
$ |
1,272 |
|
|
$ |
1,013 |
|
|
|
$ |
5,896 |
|
|
|
$ |
1,186 |
|
|
$ |
983 |
|
|
$ |
1,053 |
|
Research and development |
|
$ |
2,942 |
|
|
$ |
2,797 |
|
|
$ |
2,860 |
|
|
$ |
1,636 |
|
|
|
$ |
10,235 |
|
|
|
$ |
1,881 |
|
|
$ |
1,799 |
|
|
$ |
1,760 |
|
Stock-based compensation |
|
|
(270 |
) |
|
|
(305 |
) |
|
|
(131 |
) |
|
|
(119 |
) |
|
|
|
(825 |
) |
|
|
|
(127 |
) |
|
|
(124 |
) |
|
|
(86 |
) |
Restructuring related expenses |
|
|
— |
|
|
|
— |
|
|
|
(815 |
) |
|
|
(22 |
) |
|
|
|
(837 |
) |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Capitalization of internally developed software |
|
|
579 |
|
|
|
578 |
|
|
|
354 |
|
|
|
296 |
|
|
|
|
1,807 |
|
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Research and development (Non-GAAP) |
|
$ |
3,251 |
|
|
$ |
3,070 |
|
|
$ |
2,268 |
|
|
$ |
1,791 |
|
|
|
$ |
10,380 |
|
|
|
$ |
1,754 |
|
|
$ |
1,675 |
|
|
$ |
1,674 |
|
General and administrative |
|
$ |
2,336 |
|
|
$ |
2,442 |
|
|
$ |
2,119 |
|
|
$ |
1,974 |
|
|
|
$ |
8,871 |
|
|
|
$ |
1,684 |
|
|
$ |
1,600 |
|
|
$ |
1,860 |
|
Stock-based compensation |
|
|
(473 |
) |
|
|
(627 |
) |
|
|
(85 |
) |
|
|
(187 |
) |
|
|
|
(1,372 |
) |
|
|
|
(183 |
) |
|
|
(109 |
) |
|
|
(57 |
) |
Restructuring related expenses |
|
|
— |
|
|
|
— |
|
|
|
(189 |
) |
|
|
— |
|
|
|
|
(189 |
) |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Third-party subpoena-related expenses |
|
|
(84 |
) |
|
|
(45 |
) |
|
|
(36 |
) |
|
|
(30 |
) |
|
|
|
(195 |
) |
|
|
|
(60 |
) |
|
|
(81 |
) |
|
|
(93 |
) |
General and administrative (Non-GAAP) |
|
$ |
1,779 |
|
|
$ |
1,770 |
|
|
$ |
1,809 |
|
|
$ |
1,757 |
|
|
|
$ |
7,115 |
|
|
|
$ |
1,441 |
|
|
$ |
1,410 |
|
|
$ |
1,710 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Marin Software Incorporated |
|
|
||||||||||||||||||||||||||||||||
Reconciliation of GAAP to Non-GAAP Measures |
|
|
||||||||||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||||||||||
|
|
Three Months Ended |
|
|
Year Ended |
|
|
Three Months Ended |
||||||||||||||||||||||||||
|
|
Mar 31, |
|
Jun 30, |
|
Sep 30, |
|
Dec 31, |
|
|
Dec 31, |
|
|
Mar 31, |
|
Jun 30, |
|
Sep 30, |
||||||||||||||||
(Unaudited; in thousands) |
|
2023 |
|
2023 |
|
2023 |
|
2023 |
|
|
2023 |
|
|
2024 |
|
2024 |
|
2024 |
||||||||||||||||
Gross profit |
|
$ |
1,343 |
|
|
$ |
1,186 |
|
|
$ |
1,351 |
|
|
$ |
2,216 |
|
|
|
$ |
6,096 |
|
|
|
$ |
2,288 |
|
|
$ |
2,355 |
|
|
$ |
2,579 |
|
Stock-based compensation |
|
|
124 |
|
|
|
137 |
|
|
|
5 |
|
|
|
41 |
|
|
|
|
307 |
|
|
|
|
39 |
|
|
|
38 |
|
|
|
32 |
|
Amortization of internally developed software |
|
|
419 |
|
|
|
426 |
|
|
|
433 |
|
|
|
423 |
|
|
|
|
1,701 |
|
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Restructuring related expenses |
|
|
— |
|
|
|
— |
|
|
|
671 |
|
|
|
2 |
|
|
|
|
673 |
|
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Gross profit (Non-GAAP) |
|
$ |
1,886 |
|
|
$ |
1,749 |
|
|
$ |
2,460 |
|
|
$ |
2,682 |
|
|
|
$ |
8,777 |
|
|
|
$ |
2,327 |
|
|
$ |
2,393 |
|
|
$ |
2,611 |
|
Operating loss |
|
$ |
(5,960 |
) |
|
$ |
(5,988 |
) |
|
$ |
(5,110 |
) |
|
$ |
(5,748 |
) |
|
|
$ |
(22,806 |
) |
|
|
$ |
(2,527 |
) |
|
$ |
(2,087 |
) |
|
$ |
(2,132 |
) |
Stock-based compensation |
|
|
1,032 |
|
|
|
1,253 |
|
|
|
309 |
|
|
|
412 |
|
|
|
|
3,006 |
|
|
|
|
413 |
|
|
|
331 |
|
|
|
213 |
|
Amortization of internally developed software |
|
|
419 |
|
|
|
426 |
|
|
|
433 |
|
|
|
423 |
|
|
|
|
1,701 |
|
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Restructuring related expenses |
|
|
— |
|
|
|
— |
|
|
|
1,797 |
|
|
|
24 |
|
|
|
|
1,821 |
|
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Capitalization of internally developed software |
|
|
(579 |
) |
|
|
(578 |
) |
|
|
(354 |
) |
|
|
(296 |
) |
|
|
|
(1,807 |
) |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Third-party subpoena-related expenses |
|
|
84 |
|
|
|
45 |
|
|
|
36 |
|
|
|
30 |
|
|
|
|
195 |
|
|
|
|
60 |
|
|
|
81 |
|
|
|
93 |
|
Impairment loss on long-lived assets |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
3,276 |
|
|
|
|
3,276 |
|
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Operating loss (Non-GAAP) |
|
$ |
(5,004 |
) |
|
$ |
(4,842 |
) |
|
$ |
(2,889 |
) |
|
$ |
(1,879 |
) |
|
|
$ |
(14,614 |
) |
|
|
$ |
(2,054 |
) |
|
$ |
(1,675 |
) |
|
$ |
(1,826 |
) |
Net loss |
|
$ |
(5,783 |
) |
|
$ |
(5,917 |
) |
|
$ |
(4,954 |
) |
|
$ |
(5,263 |
) |
|
|
$ |
(21,917 |
) |
|
|
$ |
(2,411 |
) |
|
$ |
(2,018 |
) |
|
$ |
(2,326 |
) |
Stock-based compensation |
|
|
1,032 |
|
|
|
1,253 |
|
|
|
309 |
|
|
|
412 |
|
|
|
|
3,006 |
|
|
|
|
413 |
|
|
|
331 |
|
|
|
213 |
|
Amortization of internally developed software |
|
|
419 |
|
|
|
426 |
|
|
|
433 |
|
|
|
423 |
|
|
|
|
1,701 |
|
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Restructuring related expenses |
|
|
— |
|
|
|
— |
|
|
|
1,797 |
|
|
|
24 |
|
|
|
|
1,821 |
|
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Capitalization of internally developed software |
|
|
(579 |
) |
|
|
(578 |
) |
|
|
(354 |
) |
|
|
(296 |
) |
|
|
|
(1,807 |
) |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Third-party subpoena-related expenses |
|
|
84 |
|
|
|
45 |
|
|
|
36 |
|
|
|
30 |
|
|
|
|
195 |
|
|
|
|
60 |
|
|
|
81 |
|
|
|
93 |
|
Impairment loss on long-lived assets |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
3,276 |
|
|
|
|
3,276 |
|
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Net loss (Non-GAAP) |
|
$ |
(4,827 |
) |
|
$ |
(4,771 |
) |
|
$ |
(2,733 |
) |
|
$ |
(1,394 |
) |
|
|
$ |
(13,725 |
) |
|
|
$ |
(1,938 |
) |
|
$ |
(1,606 |
) |
|
$ |
(2,020 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Marin Software Incorporated |
|
|
||||||||||||||||||||||||||||||||
Calculation of Non-GAAP Earnings Per Share |
|
|
||||||||||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||||||||||
|
|
Three Months Ended |
|
|
Year Ended |
|
|
Three Months Ended |
||||||||||||||||||||||||||
|
|
Mar 31, |
|
Jun 30, |
|
Sep 30, |
|
Dec 31, |
|
|
Dec 31, |
|
|
Mar 31, |
|
Jun 30, |
|
Sep 30, |
||||||||||||||||
(Unaudited; in thousands, except per share data) |
|
2023 |
|
2023 |
|
2023 |
|
2023 |
|
|
2023 |
|
|
2024 |
|
2024 |
|
2024 |
||||||||||||||||
Net loss (Non-GAAP) |
|
$ |
(4,827 |
) |
|
$ |
(4,771 |
) |
|
$ |
(2,733 |
) |
|
$ |
(1,394 |
) |
|
|
$ |
(13,725 |
) |
|
|
$ |
(1,938 |
) |
|
$ |
(1,606 |
) |
|
$ |
(2,020 |
) |
Weighted-average shares outstanding, basic and diluted |
|
|
2,873 |
|
|
|
2,902 |
|
|
|
2,985 |
|
|
|
3,009 |
|
|
|
|
2,943 |
|
|
|
|
3,024 |
|
|
|
3,108 |
|
|
|
3,135 |
|
Net loss per share, basic and diluted (Non-GAAP) |
|
$ |
(1.68 |
) |
|
$ |
(1.64 |
) |
|
$ |
(0.92 |
) |
|
$ |
(0.46 |
) |
|
|
$ |
(4.66 |
) |
|
|
$ |
(0.64 |
) |
|
$ |
(0.52 |
) |
|
$ |
(0.64 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Marin Software Incorporated |
|
|
||||||||||||||||||||||||||||||||
Reconciliation of Net Loss to Adjusted EBITDA |
|
|
||||||||||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||||||||||
|
|
Three Months Ended |
|
|
Year Ended |
|
|
Three Months Ended |
||||||||||||||||||||||||||
|
|
Mar 31, |
|
Jun 30, |
|
Sep 30, |
|
Dec 31, |
|
|
Dec 31, |
|
|
Mar 31, |
|
Jun 30, |
|
Sep 30, |
||||||||||||||||
(Unaudited; in thousands) |
|
2023 |
|
2023 |
|
2023 |
|
2023 |
|
|
2023 |
|
|
2024 |
|
2024 |
|
2024 |
||||||||||||||||
Net loss |
|
$ |
(5,783 |
) |
|
$ |
(5,917 |
) |
|
$ |
(4,954 |
) |
|
$ |
(5,263 |
) |
|
|
$ |
(21,917 |
) |
|
|
$ |
(2,411 |
) |
|
$ |
(2,018 |
) |
|
$ |
(2,326 |
) |
Depreciation |
|
|
11 |
|
|
|
3 |
|
|
|
3 |
|
|
|
2 |
|
|
|
|
19 |
|
|
|
|
2 |
|
|
|
2 |
|
|
|
1 |
|
Amortization of internally developed software |
|
|
419 |
|
|
|
426 |
|
|
|
433 |
|
|
|
423 |
|
|
|
|
1,701 |
|
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Provision for (benefit from) income taxes |
|
|
48 |
|
|
|
144 |
|
|
|
2 |
|
|
|
(344 |
) |
|
|
|
(150 |
) |
|
|
|
(12 |
) |
|
|
69 |
|
|
|
18 |
|
Stock-based compensation |
|
|
1,032 |
|
|
|
1,253 |
|
|
|
309 |
|
|
|
412 |
|
|
|
|
3,006 |
|
|
|
|
413 |
|
|
|
331 |
|
|
|
213 |
|
Capitalization of internally developed software |
|
|
(579 |
) |
|
|
(578 |
) |
|
|
(354 |
) |
|
|
(296 |
) |
|
|
|
(1,807 |
) |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Restructuring related expenses |
|
|
— |
|
|
|
— |
|
|
|
1,797 |
|
|
|
24 |
|
|
|
|
1,821 |
|
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Impairment loss on long-lived assets |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
3,276 |
|
|
|
|
3,276 |
|
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Other income, net |
|
|
(225 |
) |
|
|
(215 |
) |
|
|
(158 |
) |
|
|
(141 |
) |
|
|
|
(739 |
) |
|
|
|
(104 |
) |
|
|
(138 |
) |
|
|
176 |
|
Third-party subpoena-related expenses |
|
|
84 |
|
|
|
45 |
|
|
|
36 |
|
|
|
30 |
|
|
|
|
195 |
|
|
|
|
60 |
|
|
|
81 |
|
|
|
93 |
|
Adjusted EBITDA |
|
$ |
(4,993 |
) |
|
$ |
(4,839 |
) |
|
$ |
(2,886 |
) |
|
$ |
(1,877 |
) |
|
|
$ |
(14,595 |
) |
|
|
$ |
(2,052 |
) |
|
$ |
(1,673 |
) |
|
$ |
(1,825 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
View source version on businesswire.com: https://www.businesswire.com/news/home/20241031446878/en/
Investor Relations, Marin Software
ir@marinsoftware.com
Media Contact
Wesley MacLaggan
Marketing, Marin Software
(415) 399-2580
press@marinsoftware.com
Source: Marin Software Incorporated
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