Thryv Grows SaaS Revenue 25% Year-Over-Year in Fourth Quarter 2022
Thryv Holdings, Inc. (NASDAQ:THRY) reported robust year-over-year growth in its fourth quarter of 2022, with SaaS revenue rising 25% to $59.3 million and a consolidated total revenue increase of 14.3% to $279.4 million. The company surpassed all guidance metrics, with total SaaS clients growing 13% and monthly active users up 37%. However, a non-cash goodwill impairment charge impacted the net income, resulting in a net loss of $50.4 million. Looking ahead, Thryv is optimistic about maintaining SaaS revenue growth and has issued revenue guidance for 2023, projecting SaaS revenue between $257 million and $259 million.
- SaaS revenue increased 25% year-over-year in Q4 2022.
- Total SaaS clients rose 13% year-over-year to 52,000.
- SaaS monthly active users increased 37% year-over-year.
- Consolidated total revenue grew 14.3% year-over-year to $279.4 million.
- Consolidated net loss of $50.4 million due to a $102 million non-cash goodwill impairment charge.
– Company exceeds all guidance metrics
– Fourth quarter total SaaS clients increased
“We delivered strong fourth quarter results, closing out a record year at Thryv,” said
“As we begin 2023, we are focused on our strategic initiatives - increasing engagement and usage - because these lead to increased renewal and spend," Walsh continued. "In support of our goal of driving engagement, we recently announced the move to a multiple-center platform. By offering multiple centers, we can solve additional problems small to medium businesses (SMBs) face.”
Marketing Center,
“I am confident that in 2023, we will sustain durable SaaS revenue growth and will continue to generate strong EBITDA margins from a consolidated standpoint,” said
Fourth Quarter 2022 Financial Highlights:
Revenue
-
Total SaaS1 revenue was
$59.3 million 24.9% increase year-over-year -
Total Marketing Services 2 revenue was$220.1 million 11.7% increase year-over-year -
Consolidated total revenue was
$279.4 million 14.3% year-over-year -
Consolidated net loss was
$50.4 million $(1.47) $102.0 million $2.98 $5.1 million $0.13 -
Consolidated Adjusted EBITDA was
$68.2 million 24.4% -
Total SaaS Adjusted EBITDA loss was
$2.2 million -
Total Marketing Services Adjusted EBITDA was
$70.4 million 32.0% -
Consolidated Gross Profit was
$178.9 million 18.2% year-over-year -
Consolidated Adjusted Gross Profit was
$188.6 million -
SaaS Gross Profit was
$35.7 million 60.2% -
SaaS Adjusted Gross Profit was
$37.3 million 62.8%
Full-Year 2022 Financial Highlights
-
Total SaaS revenue was
$216.3 million 26.5% increase year-over-year -
Total Marketing Services revenue was$986.0 million 4.6% increase year-over-year -
Consolidated total revenue was
$1,202.4 million 8.0% year-over-year -
Consolidated net income was
$54.3 million $1.49 $102.0 million $101.6 million $2.78 -
Consolidated Adjusted EBITDA was
$333.3 million 27.7% -
Total SaaS Adjusted EBITDA loss was
$13.4 million -
Total Marketing Services Adjusted EBITDA was
$346.7 million 35.2% -
Consolidated Gross Profit was
$780.4 million 11% year-over-year -
Consolidated Adjusted Gross Profit was
$819.2 million -
SaaS Gross Profit was
$132.3 million 61.2% -
SaaS Adjusted Gross Profit was
$137.6 million 63.6%
SaaS Metrics
-
SaaS monthly Average Revenue per Unit (“ARPU”)3 increased to
$387 $351 -
Total SaaS clients increased
13% year-over-year to 52 thousand for the fourth quarter of 2022 -
Seasoned Net Dollar Retention4 was
91% at the end of the fourth quarter of 2022 -
SaaS monthly active users5 increased
37% year-over-year to 41 thousand active users for the fourth quarter of 2022 -
ThryvPay total payment volume increased
114% year-over-year
Outlook
Based on information available as of
|
|
|
1st Quarter |
|
Full Year |
(in millions) |
|
|
2023 |
|
2023 |
SaaS Revenue |
|
|
|
|
|
SaaS Adjusted EBITDA |
|
|
( |
|
Turns Profitable |
|
1st Quarter |
|
2nd Quarter |
|
3rd Quarter |
|
4th Quarter |
|
Full Year |
(in millions) |
2023 |
|
2023 |
|
2023 |
|
2023 |
|
2023 |
Marketing Services Revenue |
|
|
|
|
|
|
|
|
|
Marketing Services Adjusted EBITDA |
|
|
|
|
|
|
|
|
|
____________________________
1 Total SaaS revenue in the
2
3 Defined as total client billings by month divided by the number of clients that have revenue-generating solutions during the month.
4 Seasoned Net Dollar Retention is defined as net dollar retention excluding clients acquired over the previous 12 months.
5 Defined as a client with one or more users who log into our SaaS solutions at least once during the calendar month.
6 These statements are forward-looking and actual results may materially differ. Refer to the “Forward-Looking Statements” section below for information on the factors that could cause our actual results to materially differ from these forward-looking statements.
Earnings Conference Call Information
For analysts to register for this conference call, please use this link. To listen to the webcast, please use this link or visit
If you are unable to participate in the conference call, a replay will be available. To access the replay, please dial (800) 770-2030 or (647) 362-9199 and enter “87769.”
Final Results
Consolidated Statements of Operations and Comprehensive Income (Loss) |
|||||||||||||||
|
Three Months Ended |
|
Years Ended |
||||||||||||
|
|
|
|
||||||||||||
(in thousands, except share and per share data) |
|
2022 |
|
|
|
2021 |
|
|
|
2022 |
|
|
|
2021 |
|
Revenue |
$ |
279,368 |
|
|
$ |
244,439 |
|
|
$ |
1,202,388 |
|
|
$ |
1,113,382 |
|
Cost of services |
|
100,463 |
|
|
|
93,109 |
|
|
|
422,006 |
|
|
|
408,043 |
|
Gross profit |
|
178,905 |
|
|
|
151,330 |
|
|
|
780,382 |
|
|
|
705,339 |
|
|
|
|
|
|
|
|
|
||||||||
Operating expenses: |
|
|
|
|
|
|
|
||||||||
Sales and marketing |
|
86,773 |
|
|
|
99,536 |
|
|
|
362,432 |
|
|
|
357,813 |
|
General and administrative |
|
56,892 |
|
|
|
46,540 |
|
|
|
216,406 |
|
|
|
153,902 |
|
Impairment charges |
|
102,000 |
|
|
|
— |
|
|
|
102,222 |
|
|
|
3,611 |
|
Total operating expenses |
|
245,665 |
|
|
|
146,076 |
|
|
|
681,060 |
|
|
|
515,326 |
|
|
|
|
|
|
|
|
|
||||||||
Operating (loss) income |
|
(66,760 |
) |
|
|
5,254 |
|
|
|
99,322 |
|
|
|
190,013 |
|
Other income (expense): |
|
|
|
|
|
|
|
||||||||
Interest expense |
|
(16,318 |
) |
|
|
(10,708 |
) |
|
|
(56,902 |
) |
|
|
(48,867 |
) |
Interest expense, related party |
|
— |
|
|
|
(4,278 |
) |
|
|
(3,505 |
) |
|
|
(17,507 |
) |
Other components of net periodic pension benefit |
|
39,317 |
|
|
|
13,831 |
|
|
|
44,612 |
|
|
|
14,829 |
|
Other income (expense) |
|
(119 |
) |
|
|
3 |
|
|
|
15,448 |
|
|
|
(4,154 |
) |
(Loss) income before income tax (expense) benefit |
|
(43,880 |
) |
|
|
4,102 |
|
|
|
98,975 |
|
|
|
134,314 |
|
Income tax (expense) benefit |
|
(6,565 |
) |
|
|
986 |
|
|
|
(44,627 |
) |
|
|
(32,737 |
) |
Net (loss) income |
$ |
(50,445 |
) |
|
$ |
5,088 |
|
|
$ |
54,348 |
|
|
$ |
101,577 |
|
Other comprehensive income (loss): |
|
|
|
|
|
|
|
||||||||
Foreign currency translation adjustment, net of tax |
|
4,397 |
|
|
|
498 |
|
|
|
(8,214 |
) |
|
|
(8,047 |
) |
Comprehensive (loss) income |
$ |
(46,048 |
) |
|
$ |
5,586 |
|
|
$ |
46,134 |
|
|
$ |
93,530 |
|
|
|
|
|
|
|
|
|
||||||||
Net (loss) income per common share: |
|
|
|
|
|
|
|
||||||||
Basic |
$ |
(1.47 |
) |
|
$ |
0.15 |
|
|
$ |
1.58 |
|
|
$ |
3.02 |
|
Diluted |
$ |
(1.47 |
) |
|
$ |
0.13 |
|
|
$ |
1.49 |
|
|
$ |
2.78 |
|
|
|
|
|
|
|
|
|
||||||||
Weighted-average shares used in computing basic and diluted net (loss) income per common share: |
|
|
|
|
|
|
|
||||||||
Basic |
|
34,270,520 |
|
|
|
34,006,358 |
|
|
|
34,336,493 |
|
|
|
33,607,446 |
|
Diluted |
|
34,270,520 |
|
|
|
37,983,847 |
|
|
|
36,506,095 |
|
|
|
36,495,746 |
|
Consolidated Balance Sheets |
|||||||
(in thousands, except share data) |
|
|
|
||||
Assets |
|
|
|
||||
Current assets |
|
|
|
||||
Cash and cash equivalents |
$ |
16,031 |
|
|
$ |
11,262 |
|
Accounts receivable, net of allowance of |
|
284,698 |
|
|
|
279,053 |
|
Contract assets, net of allowance of |
|
2,583 |
|
|
|
5,259 |
|
Taxes receivable |
|
11,553 |
|
|
|
14,711 |
|
Prepaid expenses |
|
25,092 |
|
|
|
22,418 |
|
Indemnification asset |
|
26,495 |
|
|
|
24,346 |
|
Other current assets |
|
11,864 |
|
|
|
13,596 |
|
Total current assets |
|
378,316 |
|
|
|
370,645 |
|
Fixed assets and capitalized software, net |
|
42,334 |
|
|
|
50,938 |
|
|
|
566,004 |
|
|
|
671,886 |
|
Intangible assets, net |
|
34,715 |
|
|
|
82,577 |
|
Deferred tax assets |
|
113,859 |
|
|
|
90,565 |
|
Other assets |
|
42,649 |
|
|
|
33,891 |
|
Total assets |
$ |
1,177,877 |
|
|
$ |
1,300,502 |
|
|
|
|
|
||||
Liabilities and Stockholders' Equity |
|
|
|
||||
Current liabilities |
|
|
|
||||
Accounts payable |
$ |
18,972 |
|
|
$ |
8,610 |
|
Accrued liabilities |
|
126,810 |
|
|
|
131,813 |
|
Current portion of unrecognized tax benefits |
|
31,919 |
|
|
|
29,771 |
|
Contract liabilities |
|
41,854 |
|
|
|
51,726 |
|
Current portion of long-term debt |
|
70,000 |
|
|
|
70,000 |
|
Other current liabilities |
|
10,937 |
|
|
|
15,214 |
|
Total current liabilities |
|
300,492 |
|
|
|
307,134 |
|
Term Loan, net |
|
345,256 |
|
|
|
309,672 |
|
Term Loan, related party |
|
— |
|
|
|
142,875 |
|
ABL Facility |
|
54,554 |
|
|
|
39,929 |
|
Pension obligations, net |
|
72,590 |
|
|
|
140,167 |
|
Deferred tax liabilities |
|
513 |
|
|
|
10,798 |
|
Other liabilities |
|
22,205 |
|
|
|
35,212 |
|
Total long-term liabilities |
|
495,118 |
|
|
|
678,653 |
|
Commitments and contingencies |
|
|
|
||||
Stockholders' equity |
|
|
|
||||
Common stock - |
|
613 |
|
|
|
608 |
|
Additional paid-in capital |
|
1,105,701 |
|
|
|
1,084,288 |
|
|
|
(468,879 |
) |
|
|
(468,879 |
) |
Accumulated other comprehensive income (loss) |
|
(16,261 |
) |
|
|
(8,047 |
) |
Accumulated deficit |
|
(238,907 |
) |
|
|
(293,255 |
) |
Total stockholders' equity |
|
382,267 |
|
|
|
314,715 |
|
Total liabilities and stockholders' equity |
$ |
1,177,877 |
|
|
$ |
1,300,502 |
|
Consolidated Statements of Cash Flows |
|||||||
|
Years Ended |
||||||
(in thousands) |
|
2022 |
|
|
|
2021 |
|
Cash Flows from Operating Activities |
|
|
|
||||
Net income |
$ |
54,348 |
|
|
$ |
101,577 |
|
Adjustments to reconcile net income to net cash provided by operating activities: |
|
|
|
||||
Depreciation and amortization |
|
88,392 |
|
|
|
105,473 |
|
Amortization of debt issuance costs |
|
5,749 |
|
|
|
4,919 |
|
Deferred income taxes |
|
(15,119 |
) |
|
|
(20,438 |
) |
Provision for credit losses and service credits |
|
25,971 |
|
|
|
19,394 |
|
Stock-based compensation expense |
|
14,628 |
|
|
|
8,094 |
|
Other components of net periodic pension (benefit) |
|
(44,612 |
) |
|
|
(14,829 |
) |
Impairment charges |
|
102,222 |
|
|
|
3,611 |
|
(Gain) loss on foreign currency exchange rates |
|
(1,591 |
) |
|
|
745 |
|
Bargain purchase gain |
|
(10,883 |
) |
|
|
— |
|
Other |
|
(2,866 |
) |
|
|
(2,569 |
) |
Changes in working capital items, excluding acquisitions: |
|
|
|
||||
Accounts receivable |
|
(5,242 |
) |
|
|
74,368 |
|
Contract assets |
|
2,764 |
|
|
|
5,628 |
|
Prepaid expenses and other assets |
|
2,518 |
|
|
|
6,084 |
|
Accounts payable and accrued liabilities |
|
(41,105 |
) |
|
|
(125,883 |
) |
Other liabilities |
|
(26,601 |
) |
|
|
4,397 |
|
Net cash provided by operating activities |
|
148,573 |
|
|
|
170,571 |
|
|
|
|
|
||||
Cash Flows from Investing Activities |
|
|
|
||||
Additions to fixed assets and capitalized software |
|
(29,233 |
) |
|
|
(26,849 |
) |
Proceeds from the sale of fixed assets |
|
— |
|
|
|
6,836 |
|
Acquisition of a business, net of cash acquired |
|
(22,793 |
) |
|
|
(175,370 |
) |
Other |
|
— |
|
|
|
(1,192 |
) |
Net cash (used in) investing activities |
|
(52,026 |
) |
|
|
(196,575 |
) |
|
|
|
|
||||
Cash Flows from Financing Activities |
|
|
|
||||
Proceeds from Term Loan |
|
— |
|
|
|
418,070 |
|
Proceeds from Term Loan, related party |
|
— |
|
|
|
260,930 |
|
Payments of Term Loan |
|
(104,165 |
) |
|
|
(110,215 |
) |
Payments of Term Loan, related party |
|
(8,347 |
) |
|
|
(47,785 |
) |
Payments of Senior Term Loan |
|
— |
|
|
|
(335,821 |
) |
Payments of Senior Term Loan, related party |
|
— |
|
|
|
(113,789 |
) |
Proceeds from ABL Facility |
|
976,296 |
|
|
|
1,046,249 |
|
Payments of ABL Facility |
|
(961,670 |
) |
|
|
(1,085,558 |
) |
Proceeds from exercises of stock options and stock warrants |
|
6,789 |
|
|
|
20,967 |
|
Other |
|
— |
|
|
|
(13,960 |
) |
Net cash (used in) provided by financing activities |
|
(91,097 |
) |
|
|
39,088 |
|
|
|
|
|
||||
Effect of exchange rate changes on cash and cash equivalents |
|
(827 |
) |
|
|
(1,933 |
) |
Increase in cash and cash equivalents and restricted cash |
|
4,623 |
|
|
|
11,151 |
|
Cash and cash equivalents and restricted cash, beginning of period |
|
13,557 |
|
|
|
2,406 |
|
Cash and cash equivalents and restricted cash, end of period |
$ |
18,180 |
|
|
$ |
13,557 |
|
|
|
|
|
||||
Supplemental Information |
|
|
|
||||
Cash paid for interest |
$ |
57,084 |
|
|
$ |
66,737 |
|
Cash paid for income taxes, net |
$ |
58,259 |
|
|
$ |
63,893 |
|
The following tables summarize the operating results of the Company's reportable segments:
|
Three Months Ended |
|
Change |
|||||||||||
(in thousands of $) |
|
2022 |
|
|
|
2021 |
|
|
Amount |
|
% |
|||
Revenue |
|
|
|
|
|
|
|
|||||||
Thryv |
|
|
|
|
|
|
|
|||||||
Marketing Services |
$ |
187,755 |
|
|
$ |
153,555 |
|
|
$ |
34,200 |
|
|
22.3 |
% |
SaaS |
|
57,938 |
|
|
|
47,061 |
|
|
|
10,877 |
|
|
23.1 |
% |
|
|
|
|
|
|
|
|
|||||||
Marketing Services |
|
32,295 |
|
|
|
43,409 |
|
|
|
(11,114 |
) |
|
(25.6 |
)% |
SaaS |
|
1,380 |
|
|
|
414 |
|
|
|
966 |
|
|
NM |
|
Consolidated Revenue |
$ |
279,368 |
|
|
$ |
244,439 |
|
|
$ |
34,929 |
|
|
14.3 |
% |
|
|
|
|
|
|
|
|
|||||||
Segment Gross Profit |
|
|
|
|
|
|
|
|||||||
Thryv |
|
|
|
|
|
|
|
|||||||
Marketing Services |
$ |
124,413 |
|
|
$ |
97,622 |
|
|
$ |
26,791 |
|
|
27.4 |
% |
SaaS |
|
34,944 |
|
|
|
28,710 |
|
|
|
6,234 |
|
|
21.7 |
% |
|
|
|
|
|
|
|
|
|||||||
Marketing Services |
|
18,802 |
|
|
|
25,006 |
|
|
|
(6,204 |
) |
|
(24.8 |
)% |
SaaS |
|
746 |
|
|
|
(8 |
) |
|
|
754 |
|
|
NM |
|
Consolidated Segment Gross Profit |
$ |
178,905 |
|
|
$ |
151,330 |
|
|
$ |
27,575 |
|
|
18.2 |
% |
|
|
|
|
|
|
|
|
|||||||
Segment EBITDA |
|
|
|
|
|
|
|
|||||||
Thryv |
|
|
|
|
|
|
|
|||||||
Marketing Services |
$ |
59,758 |
|
|
$ |
40,684 |
|
|
$ |
19,074 |
|
|
46.9 |
% |
SaaS |
|
83 |
|
|
|
(6,693 |
) |
|
|
6,776 |
|
|
101.2 |
% |
|
|
|
|
|
|
|
|
|||||||
Marketing Services |
|
10,657 |
|
|
|
16,968 |
|
|
|
(6,311 |
) |
|
(37.2 |
)% |
SaaS |
|
(2,305 |
) |
|
|
(4,481 |
) |
|
|
2,176 |
|
|
(48.6 |
)% |
Consolidated Adjusted EBITDA |
$ |
68,193 |
|
|
$ |
46,478 |
|
|
$ |
21,715 |
|
|
46.7 |
% |
(1) |
Thryv |
|
(2) |
|
|
Years Ended |
|
Change |
|||||||||||
(in thousands of $) |
|
2022 |
|
|
|
2021 |
|
|
Amount |
|
% |
|||
Revenue |
|
|
|
|
|
|
|
|||||||
Thryv |
|
|
|
|
|
|
|
|||||||
Marketing Services |
$ |
820,032 |
|
|
$ |
797,493 |
|
|
$ |
22,539 |
|
|
2.8 |
% |
SaaS |
|
211,801 |
|
|
|
170,498 |
|
|
|
41,303 |
|
|
24.2 |
% |
|
|
|
|
|
|
|
|
|||||||
Marketing Services |
|
166,010 |
|
|
|
144,837 |
|
|
|
21,173 |
|
|
14.6 |
% |
SaaS |
|
4,545 |
|
|
|
554 |
|
|
|
3,991 |
|
|
NM |
|
Consolidated Revenue |
$ |
1,202,388 |
|
|
$ |
1,113,382 |
|
|
$ |
89,006 |
|
|
8.0 |
% |
|
|
|
|
|
|
|
|
|||||||
Segment Gross Profit |
|
|
|
|
|
|
|
|||||||
Thryv |
|
|
|
|
|
|
|
|||||||
Marketing Services |
$ |
539,543 |
|
|
$ |
539,866 |
|
|
$ |
(323 |
) |
|
(0.1 |
)% |
SaaS |
|
130,272 |
|
|
|
104,944 |
|
|
|
25,328 |
|
|
24.1 |
% |
|
|
|
|
|
|
|
|
|||||||
Marketing Services |
|
108,496 |
|
|
|
60,761 |
|
|
|
47,735 |
|
|
78.6 |
% |
SaaS |
|
2,071 |
|
|
|
(232 |
) |
|
|
2,303 |
|
|
NM |
|
Consolidated Segment Gross Profit |
$ |
780,382 |
|
|
$ |
705,339 |
|
|
$ |
75,043 |
|
|
10.6 |
% |
|
|
|
|
|
|
|
|
|||||||
Segment EBITDA |
|
|
|
|
|
|
|
|||||||
Thryv |
|
|
|
|
|
|
|
|||||||
Marketing Services |
$ |
271,629 |
|
|
$ |
318,230 |
|
|
$ |
(46,601 |
) |
|
(14.6 |
)% |
SaaS |
|
(3,686 |
) |
|
|
(14,004 |
) |
|
|
10,318 |
|
|
73.7 |
% |
|
|
|
|
|
|
|
|
|||||||
Marketing Services |
|
75,106 |
|
|
|
53,150 |
|
|
|
21,956 |
|
|
41.3 |
% |
SaaS |
|
(9,707 |
) |
|
|
(6,853 |
) |
|
|
(2,854 |
) |
|
41.6 |
% |
Consolidated Adjusted EBITDA |
$ |
333,342 |
|
|
$ |
350,523 |
|
|
$ |
(17,181 |
) |
|
(4.9 |
)% |
(1) |
Thryv |
|
(2) |
|
Non-GAAP Measures
Our results included in this press release include Adjusted EBITDA, Adjusted EBITDA margin and Adjusted Gross Profit, which are not presented in accordance with
We believe that these non-GAAP financial measures provide useful information about our financial performance, enhance the overall understanding of our past performance and allow for greater transparency with respect to important metrics used by our management for financial and operational decision-making. We believe that these measures provide additional tools for investors to use in comparing our core financial performance over multiple periods with other companies in our industry. However, it is important to note that the particular items we exclude from, or include in, our non-GAAP financial measures may differ from the items excluded from, or included in, similar non-GAAP financial measures used by other companies in the same industry.
The following is a reconciliation of Adjusted EBITDA to its most directly comparable GAAP measure, Net income:
|
Three Months Ended |
|
Years Ended |
||||||||||||
(in thousands) |
|
2022 |
|
|
|
2021 |
|
|
|
2022 |
|
|
|
2021 |
|
Reconciliation of Adjusted EBITDA |
|
|
|
|
|
|
|
||||||||
Net (loss) income |
$ |
(50,445 |
) |
|
$ |
5,088 |
|
|
$ |
54,348 |
|
|
$ |
101,577 |
|
Impairment charges |
|
102,000 |
|
|
|
— |
|
|
|
102,222 |
|
|
|
3,611 |
|
Depreciation and amortization expense |
|
22,438 |
|
|
|
24,798 |
|
|
|
88,392 |
|
|
|
105,473 |
|
Interest expense |
|
16,318 |
|
|
|
14,986 |
|
|
|
60,407 |
|
|
|
66,374 |
|
Income tax expense (benefit) |
|
6,565 |
|
|
|
(986 |
) |
|
|
44,627 |
|
|
|
32,737 |
|
Restructuring and integration expenses (1) |
|
3,365 |
|
|
|
3,109 |
|
|
|
17,804 |
|
|
|
18,145 |
|
Stock-based compensation expense (2) |
|
4,488 |
|
|
|
1,862 |
|
|
|
14,628 |
|
|
|
8,094 |
|
Transaction costs (3) |
|
1,322 |
|
|
|
5,086 |
|
|
|
6,119 |
|
|
|
25,059 |
|
Other components of net periodic pension (benefit) (4) |
|
(39,317 |
) |
|
|
(13,831 |
) |
|
|
(44,612 |
) |
|
|
(14,829 |
) |
Non-cash (gain) loss from remeasurement of indemnification asset (5) |
|
(676 |
) |
|
|
1,247 |
|
|
|
(2,148 |
) |
|
|
(1 |
) |
Other (6) |
|
2,135 |
|
|
|
5,119 |
|
|
|
(8,445 |
) |
|
|
4,283 |
|
Adjusted EBITDA |
$ |
68,193 |
|
|
$ |
46,478 |
|
|
$ |
333,342 |
|
|
$ |
350,523 |
|
| (1) |
For the years ended |
|
| (2) | We record stock-based compensation expense related to the amortization of grant date fair value of the Company’s stock-based compensation awards. |
|
| (3) | Expenses related to the Thryv Australia and Vivial acquisitions and other transaction costs. |
|
| (4) | Other components of net periodic pension (benefit) is from our non-contributory defined benefit pension plans that are currently frozen and incur no additional service costs. The most significant component of Other components of net periodic pension (benefit) relates to the mark-to-market pension remeasurement. |
|
| (5) | In connection with the YP Acquisition, the seller indemnified us for future potential losses associated with certain federal and state tax positions taken in tax returns filed by the seller prior to the acquisition date. |
|
| (6) |
During the year ended |
The following tables set forth reconciliations of Adjusted Gross Profit and Adjusted Gross Margin, to their most directly comparable GAAP measures, Gross profit and Gross margin:
|
Three Months Ended |
||||||||||||||||||
|
Thryv |
|
|
|
|
||||||||||||||
(in thousands) |
Marketing
|
|
SaaS |
|
Marketing
|
|
SaaS |
|
Total |
||||||||||
Reconciliation of Adjusted Gross Profit |
|
|
|
|
|
|
|
|
|
||||||||||
Gross profit |
$ |
124,413 |
|
|
$ |
34,944 |
|
|
$ |
18,802 |
|
|
$ |
746 |
|
|
$ |
178,905 |
|
Plus: |
|
|
|
|
|
|
|
|
|
||||||||||
Depreciation and amortization expense |
|
4,419 |
|
|
|
1,379 |
|
|
|
3,614 |
|
|
|
168 |
|
|
|
9,580 |
|
Stock-based compensation expense |
|
81 |
|
|
|
26 |
|
|
|
— |
|
|
|
— |
|
|
|
107 |
|
Adjusted Gross Profit |
$ |
128,913 |
|
|
$ |
36,349 |
|
|
$ |
22,416 |
|
|
$ |
914 |
|
|
$ |
188,592 |
|
Gross Margin |
|
66.3 |
% |
|
|
60.3 |
% |
|
|
58.2 |
% |
|
|
54.1 |
% |
|
|
64.0 |
% |
Adjusted Gross Margin |
|
68.7 |
% |
|
|
62.7 |
% |
|
|
69.4 |
% |
|
|
66.2 |
% |
|
|
67.5 |
% |
|
Three Months Ended |
||||||||||||||||||
|
Thryv |
|
|
|
|
||||||||||||||
(in thousands) |
Marketing
|
|
SaaS |
|
Marketing
|
|
SaaS |
|
Total |
||||||||||
Reconciliation of Adjusted Gross Profit |
|
|
|
|
|
|
|
|
|
||||||||||
Gross profit |
$ |
97,622 |
|
|
$ |
28,710 |
|
|
$ |
25,006 |
|
|
$ |
(8 |
) |
|
$ |
151,330 |
|
Plus: |
|
|
|
|
|
|
|
|
|
||||||||||
Depreciation and amortization expense |
|
3,493 |
|
|
|
1,102 |
|
|
|
5,594 |
|
|
|
53 |
|
|
|
10,242 |
|
Stock-based compensation expense |
|
44 |
|
|
|
16 |
|
|
|
— |
|
|
|
— |
|
|
|
60 |
|
Adjusted Gross Profit |
$ |
101,159 |
|
|
$ |
29,828 |
|
|
$ |
30,600 |
|
|
$ |
45 |
|
|
$ |
161,632 |
|
Gross Margin |
|
63.6 |
% |
|
|
61.0 |
% |
|
|
57.6 |
% |
|
|
(1.9 |
)% |
|
|
61.9 |
% |
Adjusted Gross Margin |
|
65.9 |
% |
|
|
63.4 |
% |
|
|
70.5 |
% |
|
|
10.9 |
% |
|
|
66.1 |
% |
|
Year Ended |
||||||||||||||||||
|
Thryv |
|
|
|
|
||||||||||||||
(in thousands) |
Marketing
|
|
SaaS |
|
Marketing
|
|
SaaS |
|
Total |
||||||||||
Reconciliation of Adjusted Gross Profit |
|
|
|
|
|
|
|
|
|
||||||||||
Gross profit |
$ |
539,543 |
|
|
$ |
130,272 |
|
|
$ |
108,496 |
|
|
$ |
2,071 |
|
|
$ |
780,382 |
|
Plus: |
|
|
|
|
|
|
|
|
|
||||||||||
Depreciation and amortization expense |
|
17,800 |
|
|
|
4,657 |
|
|
|
15,385 |
|
|
|
505 |
|
|
|
38,347 |
|
Stock-based compensation expense |
|
332 |
|
|
|
89 |
|
|
|
— |
|
|
|
— |
|
|
|
421 |
|
Adjusted Gross Profit |
$ |
557,675 |
|
|
$ |
135,018 |
|
|
$ |
123,881 |
|
|
$ |
2,576 |
|
|
$ |
819,150 |
|
Gross Margin |
|
65.8 |
% |
|
|
61.5 |
% |
|
|
65.4 |
% |
|
|
45.6 |
% |
|
|
64.9 |
% |
Adjusted Gross Margin |
|
68.0 |
% |
|
|
63.7 |
% |
|
|
74.6 |
% |
|
|
56.7 |
% |
|
|
68.1 |
% |
|
Year Ended |
||||||||||||||||||
|
Thryv |
|
|
|
|
||||||||||||||
(in thousands) |
Marketing
|
|
SaaS |
|
Marketing
|
|
SaaS |
|
Total |
||||||||||
Reconciliation of Adjusted Gross Profit |
|
|
|
|
|
|
|
|
|
||||||||||
Gross profit |
$ |
539,866 |
|
|
$ |
104,944 |
|
|
$ |
60,761 |
|
|
$ |
(232 |
) |
|
$ |
705,339 |
|
Plus: |
|
|
|
|
|
|
|
|
|
||||||||||
Depreciation and amortization expense |
|
16,978 |
|
|
|
3,700 |
|
|
|
32,463 |
|
|
|
92 |
|
|
|
53,233 |
|
Stock-based compensation expense |
|
309 |
|
|
|
71 |
|
|
|
— |
|
|
|
— |
|
|
|
380 |
|
Adjusted Gross Profit |
$ |
557,153 |
|
|
$ |
108,715 |
|
|
$ |
93,224 |
|
|
$ |
(140 |
) |
|
$ |
758,952 |
|
Gross Margin |
|
67.7 |
% |
|
|
61.6 |
% |
|
|
42.0 |
% |
|
|
(41.9 |
)% |
|
|
63.4 |
% |
Adjusted Gross Margin |
|
69.9 |
% |
|
|
63.8 |
% |
|
|
64.4 |
% |
|
|
(25.3 |
)% |
|
|
68.2 |
% |
Supplemental Financial Information
The following supplemental financial information provides Revenue, Adjusted EBITDA and Adjusted EBITDA Margin by (i) Marketing Services businesses in the
We believe that these non-GAAP financial measures provide useful information about our global SaaS and Marketing Services financial performance, enhance the overall understanding of our global SaaS and Marketing Services past financial performance and allow for greater transparency with respect to important metrics used by our management for financial and operational decision-making. We believe that these measures provide additional tools for investors to use in comparing our core financial performance over multiple periods.
|
Three Months Ended |
||||||||||||||||||||||
(in thousands) |
Marketing Services |
|
SaaS |
||||||||||||||||||||
|
|
|
International |
|
Total |
|
|
|
International |
|
Total |
||||||||||||
Revenue |
$ |
187,755 |
|
|
$ |
32,295 |
|
|
$ |
220,050 |
|
|
$ |
57,938 |
|
|
$ |
1,380 |
|
|
$ |
59,318 |
|
Adjusted EBITDA |
|
59,758 |
|
|
|
10,657 |
|
|
|
70,415 |
|
|
|
83 |
|
|
|
(2,305 |
) |
|
|
(2,222 |
) |
Adjusted EBITDA Margin |
|
31.8 |
% |
|
|
33.0 |
% |
|
|
32.0 |
% |
|
|
0.1 |
% |
|
|
(167.0 |
)% |
|
|
(3.7 |
)% |
|
Three Months Ended |
||||||||||||||||||||||
(in thousands) |
Marketing Services |
|
SaaS |
||||||||||||||||||||
|
|
|
International |
|
Total |
|
|
|
International |
|
Total |
||||||||||||
Revenue |
$ |
153,555 |
|
|
$ |
43,409 |
|
|
$ |
196,964 |
|
|
$ |
47,061 |
|
|
$ |
414 |
|
|
$ |
47,475 |
|
Adjusted EBITDA |
|
40,684 |
|
|
|
16,968 |
|
|
|
57,652 |
|
|
|
(6,693 |
) |
|
|
(4,481 |
) |
|
|
(11,174 |
) |
Adjusted EBITDA Margin |
|
26.5 |
% |
|
|
39.1 |
% |
|
|
29.3 |
% |
|
|
(14.2 |
)% |
|
|
NM |
|
|
|
(23.5 |
)% |
|
Year Ended |
||||||||||||||||||||||
(in thousands) |
Marketing Services |
|
SaaS |
||||||||||||||||||||
|
|
|
International |
|
Total |
|
|
|
International |
|
Total |
||||||||||||
Revenue |
$ |
820,032 |
|
|
$ |
166,010 |
|
|
$ |
986,042 |
|
|
$ |
211,801 |
|
|
$ |
4,545 |
|
|
$ |
216,346 |
|
Adjusted EBITDA |
|
271,629 |
|
|
|
75,106 |
|
|
|
346,735 |
|
|
|
(3,686 |
) |
|
|
(9,707 |
) |
|
|
(13,393 |
) |
Adjusted EBITDA Margin |
|
33.1 |
% |
|
|
45.2 |
% |
|
|
35.2 |
% |
|
|
(1.7 |
)% |
|
|
(213.6 |
)% |
|
|
(6.2 |
)% |
|
Year Ended |
||||||||||||||||||||||
(in thousands) |
Marketing Services |
|
SaaS |
||||||||||||||||||||
|
|
|
International |
|
Total |
|
|
|
International |
|
Total |
||||||||||||
Revenue |
$ |
797,493 |
|
|
$ |
144,837 |
|
|
$ |
942,330 |
|
|
$ |
170,498 |
|
|
$ |
554 |
|
|
$ |
171,052 |
|
Adjusted EBITDA |
|
318,230 |
|
|
|
53,150 |
|
|
|
371,380 |
|
|
|
(14,004 |
) |
|
|
(6,853 |
) |
|
|
(20,857 |
) |
Adjusted EBITDA Margin |
|
39.9 |
% |
|
|
36.7 |
% |
|
|
39.4 |
% |
|
|
(8.2 |
)% |
|
|
NM |
|
|
|
(12.2 |
)% |
Forward-Looking Statements
Certain statements contained herein are not historical facts, constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995 and involve a number of risks and uncertainties. Statements that include the words “may”, “will”, “could”, “should”, “would”, “believe”, “anticipate”, “forecast”, “estimate”, “expect”, “preliminary”, “intend”, “plan”, “target”, “project”, “outlook”, “future”, “forward”, “guidance” and similar statements of a future or forward-looking nature identify forward-looking statements. These statements are not guarantees of future performance. These forward-looking statements are based on our current expectations and beliefs concerning future developments and their potential effect on us. While management believes that these forward-looking statements are reasonable as and when made, there can be no assurance that future developments affecting us will be those that we anticipate. Accordingly, there are or will be important factors that could cause our actual results to differ materially from those indicated in these statements. We believe that these factors include, but are not limited to, the risks related to the following: risks related to the ongoing COVID-19 pandemic, the Company’s ability to maintain adequate liquidity to fund operations; the Company’s future operating and financial performance; the Company’s ability to consummate acquisitions, or, if consummated, to successfully integrate acquired businesses into the Company’s operations, the Company’s ability to recognize the benefits of acquisitions, or the failure of an acquired company to achieve its plans and objectives; limitations on our operating and strategic flexibility and the ability to operate our business, finance our capital needs or expand business strategies under the terms of our credit facilities; our ability to retain existing business and obtain and retain new business; general economic or business conditions affecting the markets we serve; declining use of print yellow page directories by consumers; our ability to collect trade receivables from clients to whom we extend credit; credit risk associated with our reliance on small and medium sized businesses as clients; our ability to attract and retain key managers; increased competition in our markets; our ability to obtain future financing due to changes in the lending markets or our financial position; our ability to maintain agreements with major Internet search and local media companies; reduced advertising spending and increased contract cancellations by our clients, which causes reduced revenue; and our ability to anticipate or respond effectively to changes in technology and consumer preferences as well as the risks and uncertainties set forth in the Company's most recent Annual Report on Form 10-K and subsequent Quarterly Reports on From 10-Q filed with the
If one or more events related to these or other risks or uncertainties materialize, or if our underlying assumptions prove to be incorrect, actual results may differ materially from what we anticipate. For these reasons, we caution you against relying on forward-looking statements. All forward-looking statements included in this press release are expressly qualified in their entirety by the foregoing cautionary statements. These forward-looking statements speak only as of the date hereof and, other than as required by law, we undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
About
View source version on businesswire.com: https://www.businesswire.com/news/home/20230223005351/en/
Media Contact:
214-392-9609
paige.blankenship@thryv.com
Investor Contact:
214.773.7022
cameron.lessard@thryv.com
Source:
FAQ
What were Thryv's SaaS revenue figures for Q4 2022?
How many SaaS clients does Thryv have as of Q4 2022?
What was Thryv's consolidated total revenue for 2022?
What is Thryv's guidance for SaaS revenue in 2023?
What caused Thryv's net loss in Q4 2022?
