|

Investor Relations

marinsoftware.com

Investor Relations

Marin Software Announces First Quarter 2023 Financial Results

May 04, 2023

Marin Software Incorporated (NASDAQ: MRIN), a leading provider of digital marketing software for performance-driven advertisers and agencies, today announced financial results for the first quarter ended March 31, 2023.

“Marketing faces increasing complexity and the only way to excel is with automation,” said Chris Lien, Marin Software’s Chairman and CEO. “The new Scripts tools complement our powerful no-code solutions to give advertisers a competitive edge.”

First Quarter 2023 Product Highlights:

  • Introduced MarinOne Scripts, enabling users to leverage the power of Python to create customized solutions for reporting, management, and optimization to boost performance and save time. With Scripts, advertisers can change an object’s status, set campaign budgets, set bids, tag dimensions, and much more.
  • Launched MarinConnect, a reporting-focused solution for advertisers looking to collect their performance marketing data from a variety of sources and send to data warehouses, BI Tools, and spreadsheets.
  • Added support for Google Analytics 4 in order to prepare for the upcoming migration away from Universal Analytics.
  • Introduced Priority Campaigns to Budget Optimizer, allowing advertisers to allocate fixed budgets to specific campaigns, making it easier to prioritize spend for specific initiatives like Branded campaigns.
  • Launched Find and Replace for Ads, giving advertisers another tool to edit ads at scale across accounts. This functionality can save time and effort when adjusting seasonal or promotional messaging on large campaigns or ads with many different assets, such as RSAs.
  • Added the Copy tool to MarinOne, giving users the ability to copy objects, including campaigns, groups, keywords, and placements.
  • Simplified audience targeting on Meta campaigns with customizable Interest Clusters that allow advertisers to reuse groups of Interests across Ad Sets and Campaigns.
  • Added Impression Share and Impression Rank data for Amazon Campaigns, allowing advertisers to optimize based on these share of voice metrics.
  • Added the ability to white label MarinOne, enabling customers to upload their own logo for improved client or management reporting.
  • Enhanced URL builder to work across publishers and enhanced customer parameters to simplify and reduce errors in URL tagging.
  • Expanded charting options to include stacked bar charts. Stacked bar charts allow users to stack metrics to see how allocations across objects have changed over time.
  • Streamlined View Builder to show only the columns relevant to the publishers that have been linked to a specific account.

First Quarter 2023 Financial Updates:

  • Net revenues totaled $4.6 million, a year-over-year decrease of 11% when compared to $5.2 million in the first quarter of 2022.
  • GAAP loss from operations was ($6.0) million, resulting in a GAAP operating margin of (130%), as compared to a GAAP loss from operations of ($5.3) million and a GAAP operating margin of (103%) for the first quarter of 2022.
  • Non-GAAP loss from operations was ($5.0) million, resulting in a non-GAAP operating margin of (109%), as compared to a non-GAAP loss from operations of ($4.3) million and a non-GAAP operating margin of (84%) for the first quarter of 2022.
  • Cash and cash equivalents were $23.7 million in the aggregate at March 31, 2023.

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.”

Financial Outlook:

Marin is providing guidance for its second quarter of 2023 as follows:

Forward-Looking Guidance

In millions

 

 

 

 

 

 

 

 

 

 

Range of Estimate

 

 

 

 

From

 

 

To

 

 

Three Months Ending June 30, 2023

 

 

 

 

 

 

 

Revenues, net

 

$

4.0

 

 

$

4.3

 

 

Non-GAAP loss from operations

 

 

(5.6

)

 

 

(5.3

)

 

Non-GAAP loss from operations excludes the effects of stock-based compensation, 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 Facebook.

Additionally, the Company does not reconcile its forward-looking non-GAAP loss from operations, due to variability between revenues 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 March 31, 2023, and its outlook for the future. To access the call, please dial (800) 954-0684 in the United States or (212) 231-2929 internationally with reference to conference ID 22026664. A live webcast of the conference call will be accessible at https://viavid.webcasts.com/starthere.jsp?ei=1609434&tp_key=f0beb41e28. Following the completion of the call through 11:59 p.m. Eastern Time on May 11, 2023, a recorded replay will be available on the Company’s website at http://investor.marinsoftware.com/ and a telephone replay will be available by dialing (844) 512-2921 in the United States or (412) 317-6671 internationally with the recording access code 22026664.

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 San Francisco with offices worldwide, Marin Software’s technology powers marketing campaigns around the globe. For more information about Marin Software, please visit www.marinsoftware.com.

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, amortization of internally developed software and intangible assets, impairment of goodwill and long-lived assets, non-cash expenses related to debt agreements, capitalization of internally developed software, CARES Act employee retention credit, 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 Facebook. 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, impairment of goodwill and long-lived assets, benefit from or provision for income taxes, CARES Act employee retention credit, 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 Facebook. 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 second quarter of 2023. 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 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 raise additional capital; our ability to manage expenses; the success of any investments that we may make in our engineering and sales and marketing teams; any lingering effects of the global outbreak of COVID-19 on demand for our products and services; 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 revenues, 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 May 4, 2023. 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

 

 

 

 

 

 

Condensed Consolidated Balance Sheets

 

 

 

 

 

 

(On a GAAP basis)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

March 31,

 

 

December 31,

 

(Unaudited; in thousands, except par value)

 

2023

 

 

2022

 

Assets:

 

 

 

 

 

 

Current assets:

 

 

 

 

 

 

Cash and cash equivalents

 

$

23,716

 

 

$

27,957

 

Accounts receivable, net

 

 

4,054

 

 

 

4,521

 

Prepaid expenses and other current assets

 

 

1,653

 

 

 

2,016

 

Total current assets

 

 

29,423

 

 

 

34,494

 

Property and equipment, net

 

 

3,398

 

 

 

3,213

 

Right-of-use assets, operating leases

 

 

3,606

 

 

 

3,844

 

Other non-current assets

 

 

567

 

 

 

533

 

Total assets

 

$

36,994

 

 

$

42,084

 

Liabilities and Stockholders' Equity:

 

 

 

 

 

 

Current liabilities:

 

 

 

 

 

 

Accounts payable

 

$

1,208

 

 

$

1,011

 

Accrued expenses and other current liabilities

 

 

3,178

 

 

 

3,513

 

Operating lease liabilities

 

 

1,749

 

 

 

1,645

 

Total current liabilities

 

 

6,135

 

 

 

6,169

 

Operating lease liabilities, non-current

 

 

1,857

 

 

 

2,199

 

Other long-term liabilities

 

 

1,017

 

 

 

1,002

 

Total liabilities

 

 

9,009

 

 

 

9,370

 

Stockholders’ equity:

 

 

 

 

 

 

Common stock, $0.001 par value

 

 

17

 

 

 

17

 

Additional paid-in capital

 

 

357,055

 

 

 

355,996

 

Accumulated deficit

 

 

(328,117

)

 

 

(322,334

)

Accumulated other comprehensive loss

 

 

(970

)

 

 

(965

)

Total stockholders’ equity

 

 

27,985

 

 

 

32,714

 

Total liabilities and stockholders’ equity

 

$

36,994

 

 

$

42,084

 

Marin Software Incorporated

 

 

 

 

 

 

 

Condensed Consolidated Statements of Operations

 

 

 

 

 

 

 

(On a GAAP basis)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended March 31,

 

 

(Unaudited; in thousands, except per share data)

 

2023

 

 

2022

 

 

Revenues, net

 

$

4,583

 

 

$

5,161

 

 

Cost of revenues

 

 

3,240

 

 

 

3,328

 

 

Gross profit

 

 

1,343

 

 

 

1,833

 

 

Operating expenses:

 

 

 

 

 

 

 

Sales and marketing

 

 

2,025

 

 

 

1,787

 

 

Research and development

 

 

2,942

 

 

 

2,917

 

 

General and administrative

 

 

2,336

 

 

 

2,469

 

 

Total operating expenses

 

 

7,303

 

 

 

7,173

 

 

Loss from operations

 

 

(5,960

)

 

 

(5,340

)

 

Other income, net

 

 

225

 

 

 

3,402

 

 

Loss before income taxes

 

 

(5,735

)

 

 

(1,938

)

 

Provision for income taxes

 

 

48

 

 

 

61

 

 

Net loss

 

$

(5,783

)

 

$

(1,999

)

 

Net loss per common share, basic and diluted

 

$

(0.34

)

 

$

(0.13

)

 

Weighted-average shares outstanding, basic and diluted

 

 

17,235

 

 

 

15,537

 

 

Marin Software Incorporated

 

 

 

 

 

 

Condensed Consolidated Statements of Cash Flows

 

 

 

 

 

 

(On a GAAP basis)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended March 31,

 

(Unaudited; in thousands)

 

2023

 

 

2022

 

Operating activities:

 

 

 

 

 

 

Net loss

 

$

(5,783

)

 

$

(1,999

)

Adjustments to reconcile net loss to net cash used in operating activities

 

 

 

 

 

 

Depreciation

 

 

11

 

 

 

179

 

Amortization of internally developed software

 

 

419

 

 

 

542

 

Amortization of deferred costs to obtain and fulfill contracts

 

 

94

 

 

 

83

 

Forgiveness of Paycheck Protection Program loan

 

 

 

 

 

(3,117

)

Interest expense

 

 

 

 

 

3

 

Loss on disposals of property and equipment and right-of-use assets

 

 

 

 

 

1

 

Unrealized foreign currency losses

 

 

4

 

 

 

26

 

Stock-based compensation related to equity awards

 

 

1,032

 

 

 

857

 

Provision for bad debts

 

 

(279

)

 

 

20

 

Net change in operating leases

 

 

 

 

 

(134

)

Deferred income tax benefits

 

 

 

 

 

(83

)

Changes in operating assets and liabilities

 

 

 

 

 

 

Accounts receivable

 

 

734

 

 

 

291

 

Prepaid expenses and other assets

 

 

232

 

 

 

616

 

Accounts payable

 

 

194

 

 

 

(238

)

Accrued expenses and other liabilities

 

 

(350

)

 

 

(1,629

)

Net cash used in operating activities

 

 

(3,692

)

 

 

(4,582

)

Investing activities:

 

 

 

 

 

 

Purchases of property and equipment

 

 

 

 

 

(12

)

Capitalization of internally developed software

 

 

(579

)

 

 

(486

)

Net cash used in investing activities

 

 

(579

)

 

 

(498

)

Financing activities:

 

 

 

 

 

 

Repayment of Paycheck Protection Program loan

 

 

 

 

 

(203

)

Employee taxes paid for withheld shares upon equity award settlement

 

 

(10

)

 

 

(12

)

Proceeds from employee stock purchase plan, net

 

 

18

 

 

 

21

 

Net cash provided by (used in) financing activities

 

 

8

 

 

 

(194

)

Effect of foreign exchange rate changes on cash and cash equivalents and restricted cash

 

 

22

 

 

 

(27

)

Net decrease in cash and cash equivalents and restricted cash

 

 

(4,241

)

 

 

(5,301

)

Cash and cash equivalents and restricted cash:

 

 

 

 

 

 

Beginning of period

 

 

27,957

 

 

 

47,057

 

End of the period

 

$

23,716

 

 

$

41,756

 

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,

 

 

(Unaudited; in thousands)

 

2022

 

 

2022

 

 

2022

 

 

2022

 

 

 

2022

 

 

 

2023

 

 

Sales and Marketing (GAAP)

 

$

1,787

 

 

$

1,588

 

 

$

1,660

 

 

$

1,962

 

 

 

$

6,997

 

 

 

$

2,025

 

 

Less Stock-based compensation

 

 

(175

)

 

 

(157

)

 

 

(99

)

 

 

(165

)

 

 

 

(596

)

 

 

 

(165

)

 

Less Restructuring related expenses

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Sales and Marketing (Non-GAAP)

 

$

1,612

 

 

$

1,431

 

 

$

1,561

 

 

$

1,797

 

 

 

$

6,401

 

 

 

$

1,860

 

 

Research and Development (GAAP)

 

$

2,917

 

 

$

2,980

 

 

$

3,034

 

 

$

2,901

 

 

 

$

11,832

 

 

 

$

2,942

 

 

Less Stock-based compensation

 

 

(224

)

 

 

(213

)

 

 

(303

)

 

 

(256

)

 

 

 

(996

)

 

 

 

(270

)

 

Less Restructuring related expenses

 

 

(36

)

 

 

(59

)

 

 

(76

)

 

 

 

 

 

 

(171

)

 

 

 

 

 

Plus Capitalization of internally developed software

 

 

512

 

 

 

408

 

 

 

449

 

 

 

397

 

 

 

 

1,766

 

 

 

 

579

 

 

Research and Development (Non-GAAP)

 

$

3,169

 

 

$

3,116

 

 

$

3,104

 

 

$

3,042

 

 

 

$

12,431

 

 

 

$

3,251

 

 

General and Administrative (GAAP)

 

$

2,469

 

 

$

2,545

 

 

$

2,923

 

 

$

2,459

 

 

 

$

10,396

 

 

 

$

2,336

 

 

Less Stock-based compensation

 

 

(334

)

 

 

(340

)

 

 

(405

)

 

 

(403

)

 

 

 

(1,482

)

 

 

 

(473

)

 

Less Restructuring related expenses

 

 

 

 

 

 

 

 

(78

)

 

 

 

 

 

 

(78

)

 

 

 

 

 

Less Third-party subpoena-related expenses

 

 

(72

)

 

 

(99

)

 

 

(198

)

 

 

(72

)

 

 

 

(441

)

 

 

 

(84

)

 

General and Administrative (Non-GAAP)

 

$

2,063

 

 

$

2,106

 

 

$

2,242

 

 

$

1,984

 

 

 

$

8,395

 

 

 

$

1,779

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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,

 

 

(Unaudited; in thousands)

 

2022

 

 

2022

 

 

2022

 

 

2022

 

 

 

2022

 

 

 

2023

 

 

Gross Profit (GAAP)

 

$

1,833

 

 

$

1,517

 

 

$

1,796

 

 

$

2,078

 

 

 

$

7,224

 

 

 

$

1,343

 

 

Plus Stock-based compensation

 

 

124

 

 

 

90

 

 

 

148

 

 

 

119

 

 

 

 

481

 

 

 

 

124

 

 

Plus Amortization of internally developed software

 

 

542

 

 

 

431

 

 

 

419

 

 

 

418

 

 

 

 

1,810

 

 

 

 

419

 

 

Plus Restructuring related expenses

 

 

17

 

 

 

 

 

 

 

 

 

 

 

 

 

17

 

 

 

 

 

 

Gross Profit (Non-GAAP)

 

$

2,516

 

 

$

2,038

 

 

$

2,363

 

 

$

2,615

 

 

 

$

9,532

 

 

 

$

1,886

 

 

Operating Loss (GAAP)

 

$

(5,340

)

 

$

(5,596

)

 

$

(5,821

)

 

$

(5,244

)

 

 

$

(22,001

)

 

 

$

(5,960

)

 

Plus Stock-based compensation

 

 

857

 

 

 

800

 

 

 

955

 

 

 

943

 

 

 

 

3,555

 

 

 

 

1,032

 

 

Plus Amortization of internally developed software

 

 

542

 

 

 

431

 

 

 

419

 

 

 

418

 

 

 

 

1,810

 

 

 

 

419

 

 

Plus Restructuring related expenses

 

 

53

 

 

 

59

 

 

 

154

 

 

 

 

 

 

 

266

 

 

 

 

 

 

Less Capitalization of internally developed software

 

 

(512

)

 

 

(408

)

 

 

(449

)

 

 

(397

)

 

 

 

(1,766

)

 

 

 

(579

)

 

Plus Third-party subpoena-related expenses

 

 

72

 

 

 

99

 

 

 

198

 

 

 

72

 

 

 

 

441

 

 

 

 

84

 

 

Operating Loss (Non-GAAP)

 

$

(4,328

)

 

$

(4,615

)

 

$

(4,544

)

 

$

(4,208

)

 

 

$

(17,695

)

 

 

$

(5,004

)

 

Net Loss (GAAP)

 

$

(1,999

)

 

$

(5,374

)

 

$

(5,736

)

 

$

(5,118

)

 

 

$

(18,227

)

 

 

$

(5,783

)

 

Plus Stock-based compensation

 

 

857

 

 

 

800

 

 

 

955

 

 

 

943

 

 

 

 

3,555

 

 

 

 

1,032

 

 

Plus Amortization of internally developed software

 

 

542

 

 

 

431

 

 

 

419

 

 

 

418

 

 

 

 

1,810

 

 

 

 

419

 

 

Plus Restructuring related expenses

 

 

53

 

 

 

59

 

 

 

154

 

 

 

 

 

 

 

266

 

 

 

 

 

 

Less Capitalization of internally developed software

 

 

(512

)

 

 

(408

)

 

 

(449

)

 

 

(397

)

 

 

 

(1,766

)

 

 

 

(579

)

 

Plus Third-party subpoena-related expenses

 

 

72

 

 

 

99

 

 

 

198

 

 

 

72

 

 

 

 

441

 

 

 

 

84

 

 

Less Forgiveness and repayment of Paycheck Protection Program loan

 

 

(3,320

)

 

 

 

 

 

 

 

 

 

 

 

 

(3,320

)

 

 

 

 

 

Net Loss (Non-GAAP)

 

$

(4,307

)

 

$

(4,393

)

 

$

(4,459

)

 

$

(4,082

)

 

 

$

(17,241

)

 

 

$

(4,827

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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,

 

(Unaudited; in thousands, except per share data)

 

2022

 

 

2022

 

 

2022

 

 

2022

 

 

 

2022

 

 

 

2023

 

Net Loss (Non-GAAP)

 

$

(4,307

)

 

$

(4,393

)

 

$

(4,459

)

 

$

(4,082

)

 

 

$

(17,241

)

 

 

$

(4,827

)

Weighted-average shares outstanding, basic and diluted

 

 

15,537

 

 

 

15,651

 

 

 

16,030

 

 

 

16,337

 

 

 

 

15,891

 

 

 

 

17,235

 

Non-GAAP net loss per common share, basic and diluted

 

$

(0.28

)

 

$

(0.28

)

 

$

(0.28

)

 

$

(0.25

)

 

 

$

(1.08

)

 

 

$

(0.28

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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,

 

(Unaudited; in thousands)

 

2022

 

 

2022

 

 

2022

 

 

2022

 

 

 

2022

 

 

 

2023

 

Net Loss

 

$

(1,999

)

 

$

(5,374

)

 

$

(5,736

)

 

$

(5,118

)

 

 

$

(18,227

)

 

 

$

(5,783

)

Depreciation

 

 

179

 

 

 

199

 

 

 

57

 

 

 

12

 

 

 

 

447

 

 

 

 

11

 

Amortization of internally developed software

 

 

542

 

 

 

431

 

 

 

419

 

 

 

418

 

 

 

 

1,810

 

 

 

 

419

 

Provision for (benefit from) income taxes

 

 

61

 

 

 

75

 

 

 

105

 

 

 

64

 

 

 

 

305

 

 

 

 

48

 

Stock-based compensation

 

 

857

 

 

 

800

 

 

 

955

 

 

 

943

 

 

 

 

3,555

 

 

 

 

1,032

 

Capitalization of internally developed software

 

 

(512

)

 

 

(408

)

 

 

(449

)

 

 

(397

)

 

 

 

(1,766

)

 

 

 

(579

)

Restructuring related expenses

 

 

53

 

 

 

59

 

 

 

154

 

 

 

 

 

 

 

266

 

 

 

 

 

Other income, net

 

 

(3,402

)

 

 

(297

)

 

 

(190

)

 

 

(190

)

 

 

 

(4,079

)

 

 

 

(225

)

Third-party subpoena-related expenses

 

 

72

 

 

 

99

 

 

 

198

 

 

 

72

 

 

 

 

441

 

 

 

 

84

 

Adjusted EBITDA

 

$

(4,149

)

 

$

(4,416

)

 

$

(4,487

)

 

$

(4,196

)

 

 

$

(17,248

)

 

 

$

(4,993

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Investor Relations, Marin Software
ir@marinsoftware.com

Media Contact
Wesley MacLaggan
Marketing, Marin Software
(415) 399-2580
press@marinsoftware.com

Source: Marin Software Incorporated