Attached files
file | filename |
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8-K - FORM 8-K - MONSTER WORLDWIDE, INC. | c99885e8vk.htm |
EX-99.1 - EXHIBIT 99.1 - MONSTER WORLDWIDE, INC. | c99885exv99w1.htm |
EX-99.3 - EXHIBIT 99.3 - MONSTER WORLDWIDE, INC. | c99885exv99w3.htm |
Exhibit 99.2
FINANCIAL SUPPLEMENT
March 31, 2010
Monster Worldwide, Inc. (together with its consolidated subsidiaries, the Company, Monster,
we, our or us) provides this supplement to assist investors in evaluating the Companys
financial and operating metrics. We suggest that the notes to this supplement be read in
conjunction with the financial tables. The financial information included in this supplement
contains certain non-GAAP financial measures. These measures should be considered in addition to
results prepared in accordance with generally accepted accounting principles (GAAP), but are not
a substitute for, or superior to, GAAP results. The non-GAAP measures included in this supplement
have been reconciled to the most comparable GAAP measure. The Company intends to update the
financial supplement on a quarterly basis.
1
Notes to Financial Supplement
Presentation
Severance Charges
For the three months ended March 31, 2010, the Company incurred $6.4 million of severance costs
relating to targeted global headcount reductions. These global headcount reductions were
introduced to reduce operating expenses and provide funding for investments to further position the
Company for sustainable long-term growth in the global online recruitment and advertising industry.
Agreement to Acquire HotJobs Business From Yahoo! Inc.
On February 3, 2010, the Company entered into an Asset Purchase Agreement (the Asset Purchase
Agreement) with Yahoo! Inc. (Yahoo!), pursuant to which the Company has agreed to acquire from
Yahoo! certain assets exclusive to Yahoo! HotJobs (the HotJobs Assets) for a purchase price of
$225 million in cash payable at the closing of the transaction. The closing is subject to customary
conditions to closing, including the receipt of requisite antitrust approvals. Either party may
terminate the Asset Purchase Agreement, subject to certain exceptions, (i) in the event of an
uncured breach of the Asset Purchase Agreement by the other party, (ii) if the closing has not
occurred by August 25, 2010 (the Termination Date), provided that the Termination Date may be
extended by up to nine additional months in Yahoo!s sole discretion in connection with any
antitrust related regulatory action or proceeding, (iii) if a legal restraint would prevent the
consummation of the closing or (iv) if either party is compelled by a government authority to sell,
hold separate or otherwise dispose of all or any portion of the HotJobs Assets or limit the
operation of the HotJobs business.
In connection with the transaction, the Company and Yahoo! entered into certain other ancillary
agreements to be effective as of the closing of the acquisition, including (i) a license agreement,
pursuant to which Yahoo! will grant to the Company a license of certain patents and trade secrets
for use by the Company, and the Company will agree to grant back to Yahoo! a license of the
technology, trade secrets and patents assigned to the Company under the Asset Purchase Agreement,
(ii) a transition services agreement to ensure the Companys ability to operate the HotJobs
business for a period of six months following the closing (as such time period may be extended at
the Companys discretion by up to three additional months) and (iii) a commercial traffic
agreement, pursuant to which Yahoo! has agreed to place hyperlinks on Yahoo!s homepages in the
United States and Canada and certain other Yahoo! properties designed to direct user traffic to
Monster.com and Monster.ca.
On April 7, 2010, the Company received a request for additional information from the U.S. Federal
Trade Commission (FTC) with respect to the proposed acquisition of the HotJobs Assets. The
request for information from the FTC is part of the regulatory process under the Hart-Scott-Rodino
Antitrust Improvements Act of 1976 (HSR Act). The Company intends to respond expeditiously to
this request and continue to work cooperatively with the FTC in connection with their review.
Completion of the transaction remains subject to the expiration or termination of the waiting
period under the HSR Act and other customary closing conditions. The Company continues to expect
the transaction to close during the third quarter of 2010.
In the three months ended March 31, 2010, the Company incurred $4.4 million of acquisition related
costs relating to the agreement to acquire the HotJobs Assets. These costs primarily relate to
legal fees, professional fees and other costs associated with the acquisition. We expect to
continue to incur significant fees in 2010 relating to the acquisition of the HotJobs Assets.
2
Restructuring Actions
On July 30, 2007, we announced a strategic restructuring plan intended to position the Company for
sustainable long-term growth in the rapidly evolving global online recruitment and advertising
industry.
The restructuring plan was originally designed to reduce the Companys workforce by approximately
800 associates. Subsequent to the announcement of this plan, the Company made a strategic decision
to in-source customer service and identified 100 associates who will be staying with the Company.
Through June 30, 2009, when all the initiatives relating to the 2007 restructuring plan were
complete, the Company had notified or terminated approximately 700 associates and approximately 140
associates had voluntarily left the Company. The plan also included fixed asset write-offs,
accelerated depreciation for assets to be phased out, costs relating to the consolidation of
certain office facilities, contract termination costs, relocation costs and professional fees. The
restructuring plan arose out of a review commencing in the second quarter of 2007 by our current
executive management team of our cost structure and organizational structure. The restructuring was
intended to realign the structure to permit investment in key areas that will improve the customer
experience and foster revenue growth and long-term operating margin expansion. Since the inception
of the 2007 restructuring program through the completion of the program in the second quarter of
2009, the Company has incurred $49.1 million of restructuring expenses. The Company will not incur
any new charges relating to this program.
For the three months ended March 31, 2009, we recorded $11.0 of restructuring costs, primarily
related to severance, fixed asset write-offs and office consolidations.
Auction Rate Securities
In the three months ended March 31, 2010, the Company received at par value $2.5 million from an
issuers redemption of auction rate securities, resulting in a $0.2 million benefit which was
recorded in interest and other, net in the consolidated statement of operations for the three
months ended March 31, 2010.
Deferred revenue related to acquisitions
During the fourth quarter of 2008, we completed the acquisition of ChinaHR.com Holdings Ltd.
(ChinaHR). In accordance with existing purchase accounting rules, we are required to write down
a portion of ChinaHRs deferred revenue to its fair value. Consequently, in post acquisition
periods, we do not recognize the full amount of this deferred revenue. When measuring the
performance of our business, however, we add back the revenue resulting from this fair value
adjustment as we believe that the inclusion of this revenue provides useful information to our
management, as well as to investors. For the three months ended March 31, 2009, the fair value
adjustment to ChinaHRs deferred revenue was $1.0 million.
Professional Fees
For the three months ended March 31, 2009, we recorded approximately $3.0 million of professional
fees relating to our historical stock option granting practices. These costs primarily related to
legal fees and are a component of office and general in our consolidated statement of operations.
In addition, we have incurred costs related to litigation, an informal investigation by the SEC and
an investigation by the United States Attorney for the Southern District of New York.
As a consequence of the Companys entry into the settlement agreement with respect to the ERISA
class action and settlement of the Companys claims against a former member of senior management,
we do not expect to continue to incur significant professional fees or legal fees paid on behalf of
former employees and former members of senior management related to or in connection with matters
relating to our historical stock option grant practices.
Reclassifications
Certain reclassifications of prior year amounts have been made for consistent presentation.
3
Non-GAAP financial measures
The Company has provided certain non-GAAP financial information as additional information for its
operating results. These measures are not in accordance with, or an alternative for, GAAP and may
be different from non-GAAP measures reported by other companies. The Company believes that its
presentation of non-GAAP measures provides useful information to management and investors regarding
certain financial and business trends relating to its financial condition and results of
operations.
Non-GAAP revenue, operating expenses, operating income, operating margin, income from continuing
operations and diluted earnings per share all exclude certain pro forma adjustments including: net
costs associated with the Companys historical stock option grant practices, related litigation and
potential fines or settlements; severance costs for former executive officers incurred in the
second quarter of 2007; costs related to the measures taken by the Company in response to a
security breach in August 2007; the strategic restructuring actions initiated in the third quarter
of 2007; severance and facility charges primarily related to the product and technology global
reorganization; the fair value adjustment to deferred revenue in connection with the acquisition of
ChinaHR; realized and unrealized gains and losses on marketable securities; transaction costs
related to the proposed acquisition of Yahoo! HotJobs; and a net non-cash benefit relating to the
reversal of an income tax liability for uncertain tax positions. The Company uses these non-GAAP
measures for reviewing the ongoing results of the Companys core business operations and in certain
instances, for measuring performance under certain of the Companys incentive compensation plans.
These non-GAAP measures may not be comparable to similarly titled measures reported by other
companies.
Operating income before depreciation and amortization (OIBDA) is defined as income from
operations before depreciation, amortization of intangible assets, amortization of stock based
compensation and non-cash costs incurred in connection with the Companys restructuring program.
The Company considers OIBDA to be an important indicator of its operational strength. This measure
eliminates the effects of depreciation, amortization of intangible assets, amortization of stock
based compensation and non-cash restructuring costs from period to period, which the Company
believes is useful to management and investors in evaluating its operating performance. OIBDA is a
non-GAAP measure and may not be comparable to similarly titled measures reported by other
companies.
Bookings represent the dollar value of contractual orders received in a quarter.
Free cash flow is defined as cash flow from operating activities less capital expenditures. Free
cash flow is considered a liquidity measure and provides useful information about the Companys
ability to generate cash after investments in property and equipment. Free cash flow reflected
herein is a non-GAAP measure and may not be comparable to similarly titled measures reported by
other companies. Free cash flow does not reflect the total change in the Companys cash position
for the period and should not be considered a substitute for such a measure.
Net cash and securities are defined as cash and cash equivalents plus short-term and long-term
marketable securities, less total debt. Total available liquidity is defined as cash and cash
equivalents, plus short-term and long-term marketable securities, plus unused borrowings under our
credit facility. The Company considers net cash and securities and total available liquidity to be
important measures of liquidity and indicators of its ability to meet its ongoing obligations. The
Company also uses net cash and securities and total available liquidity, among other measures, in
evaluating its choices for capital deployment. Net cash and securities and total available
liquidity are presented herein as non-GAAP measures and may not be comparable to similarly titled
measures used by other companies.
4
Selected financial ratios
We have included selected financial ratios in this financial supplement in order to assist
investors to further evaluate our business. Our definitions and calculations are as follows:
Annualized return on equity
Annualized return on equity measures our effectiveness and ability to generate future profitability
on the earnings that we retain. In addition, the ratio is a strong indicator of how well we
utilize shareholders investments in our business. We calculate annualized return on equity as
follows:
Annualized net income / Average stockholders equity
Book value per share
Book value per share is a market value indicator that we utilize when analyzing our stockholders
equity. We calculate book value per share as follows:
Stockholders equity / Total shares outstanding
Cash and marketable securities per share
We calculate cash and marketable securities per share as follows:
(Cash and cash equivalents + Current marketable securities + Non-current marketable securities) /
Total shares outstanding
5
Monster Worldwide, Inc.
Statements of Operations
(unaudited, in thousands, except per share amounts)
Statements of Operations
(unaudited, in thousands, except per share amounts)
Trended Quarterly Data
Summary P&L Information | Q1 2008 | Q2 2008 | Q3 2008 | Q4 2008 | Q1 2009 | Q2 2009 | Q3 2009 | Q4 2009 | Q1 2010 | |||||||||||||||||||||||||||
Monster Careers |
$ | 336,810 | $ | 320,953 | $ | 297,606 | $ | 257,931 | $ | 222,849 | $ | 190,397 | $ | 179,941 | $ | 179,409 | $ | 182,582 | ||||||||||||||||||
Internet Advertising & Fees |
29,662 | 33,341 | 34,583 | 32,741 | 31,554 | 32,660 | 34,592 | 33,740 | 32,723 | |||||||||||||||||||||||||||
Revenue |
366,472 | 354,294 | 332,189 | 290,672 | 254,403 | 223,057 | 214,533 | 213,149 | 215,305 | |||||||||||||||||||||||||||
Salary and related |
135,115 | 127,346 | 128,904 | 123,211 | 112,037 | 103,564 | 102,752 | 105,475 | 118,183 | |||||||||||||||||||||||||||
Office and general |
61,710 | 61,754 | 57,124 | 44,091 | 45,793 | 42,917 | 42,422 | 31,623 | 45,544 | |||||||||||||||||||||||||||
Marketing and promotion |
111,854 | 68,976 | 57,684 | 52,684 | 73,691 | 44,953 | 45,757 | 45,260 | 59,581 | |||||||||||||||||||||||||||
Provision for (reversal of) legal settlements, net |
| 40,100 | | | | | (6,850 | ) | | | ||||||||||||||||||||||||||
Restructuring and other special charges |
6,927 | 2,732 | 3,592 | 3,156 | 11,008 | 5,097 | | | | |||||||||||||||||||||||||||
Depreciation expense |
10,803 | 12,330 | 13,336 | 14,761 | 13,769 | 14,479 | 15,230 | 15,639 | 14,521 | |||||||||||||||||||||||||||
Amortization of restricted stock and RSU Plan |
5,206 | 8,351 | 7,437 | 7,046 | 10,149 | 9,816 | 9,924 | 9,417 | 10,124 | |||||||||||||||||||||||||||
Non-cash stock option expense |
127 | 182 | 165 | 178 | 199 | 104 | 157 | 155 | 143 | |||||||||||||||||||||||||||
Amortization of intangibles |
1,386 | 1,274 | 1,374 | 2,756 | 2,551 | 2,466 | 2,189 | 2,210 | 2,083 | |||||||||||||||||||||||||||
Operating expenses |
333,128 | 323,045 | 269,616 | 247,883 | 269,197 | 223,396 | 211,581 | 209,779 | 250,179 | |||||||||||||||||||||||||||
Operating income (loss) |
33,344 | 31,249 | 62,573 | 42,789 | (14,794 | ) | (339 | ) | 2,952 | 3,370 | (34,874 | ) | ||||||||||||||||||||||||
Interest and other, net |
7,383 | 3,057 | 5,283 | 1,560 | 1,203 | 76 | (48 | ) | (7,059 | ) | (653 | ) | ||||||||||||||||||||||||
Income (loss) from cont. operations, pre-tax |
40,727 | 34,306 | 67,856 | 44,349 | (13,591 | ) | (263 | ) | 2,904 | (3,689 | ) | (35,527 | ) | |||||||||||||||||||||||
Provison for (benefit from) Income taxes |
15,143 | 12,153 | 22,734 | 14,880 | (4,489 | ) | (83 | ) | (30,891 | ) | (2,420 | ) | (12,179 | ) | ||||||||||||||||||||||
Losses in equity interests, net |
(1,822 | ) | (3,592 | ) | (2,086 | ) | (339 | ) | (1,239 | ) | (1,190 | ) | (1,044 | ) | (844 | ) | (831 | ) | ||||||||||||||||||
Income (loss) from continuing operations |
23,762 | 18,561 | 43,036 | 29,130 | (10,341 | ) | (1,370 | ) | 32,751 | (2,113 | ) | (24,179 | ) | |||||||||||||||||||||||
(Loss) income from disc. operations, net of tax (1) |
(1,171 | ) | 12,269 | (258 | ) | (536 | ) | | | | | | ||||||||||||||||||||||||
Net income (loss) |
$ | 22,591 | $ | 30,830 | $ | 42,778 | $ | 28,594 | $ | (10,341 | ) | $ | (1,370 | ) | $ | 32,751 | $ | (2,113 | ) | $ | (24,179 | ) | ||||||||||||||
Basic earnings (loss) per share: |
||||||||||||||||||||||||||||||||||||
Income (loss) from continuing operations |
$ | 0.19 | $ | 0.15 | $ | 0.36 | $ | 0.25 | $ | (0.09 | ) | $ | (0.01 | ) | $ | 0.27 | $ | (0.02 | ) | $ | (0.20 | ) | ||||||||||||||
Net income (loss) |
$ | 0.18 | $ | 0.26 | $ | 0.36 | $ | 0.24 | $ | (0.09 | ) | $ | (0.01 | ) | $ | 0.27 | $ | (0.02 | ) | $ | (0.20 | ) | ||||||||||||||
Diluted earnings (loss) per share: |
||||||||||||||||||||||||||||||||||||
Income (loss) from continuing operations |
$ | 0.19 | $ | 0.15 | $ | 0.36 | $ | 0.24 | $ | (0.09 | ) | $ | (0.01 | ) | $ | 0.27 | $ | (0.02 | ) | $ | (0.20 | ) | ||||||||||||||
Net income (loss) |
$ | 0.18 | $ | 0.25 | $ | 0.35 | $ | 0.24 | $ | (0.09 | ) | $ | (0.01 | ) | $ | 0.27 | $ | (0.02 | ) | $ | (0.20 | ) | ||||||||||||||
Weighted avg. shares outstanding: |
||||||||||||||||||||||||||||||||||||
Basic shares |
122,711 | 120,885 | 120,057 | 118,601 | 118,855 | 119,274 | 119,473 | 119,575 | 120,032 | |||||||||||||||||||||||||||
Diluted shares |
123,332 | 121,541 | 120,722 | 119,380 | 118,855 | 119,274 | 121,676 | 119,575 | 120,032 | |||||||||||||||||||||||||||
Global employees (ones) |
5,164 | 5,396 | 5,669 | 6,961 | 6,295 | 5,999 | 5,779 | 5,687 | 5,518 | |||||||||||||||||||||||||||
Annualized revenue per average employee |
$ | 285.3 | $ | 268.4 | $ | 240.2 | $ | 184.1 | $ | 153.5 | $ | 145.1 | $ | 145.7 | $ | 148.7 | $ | 153.7 | ||||||||||||||||||
Bookings |
$ | 345,768 | $ | 306,259 | $ | 279,989 | $ | 289,650 | $ | 186,899 | $ | 175,468 | $ | 185,920 | $ | 258,620 | $ | 219,054 |
(1) | - Gain from discontinued operations, net of tax in the second quarter of 2008 includes tax benefits of $29.4 million and long-lived asset write-offs of $13.1 million related to the wind-down of the Tickle business included in our Internet Advertising & Fees business segment. |
Monster Worldwide, Inc.
Trailing Twelve Months Statistics Statements of Operations
(unaudited, in thousands, except per share amounts)
Trailing Twelve Months Statistics Statements of Operations
(unaudited, in thousands, except per share amounts)
Summary P&L Information | Q1 2008 | Q2 2008 | Q3 2008 | Q4 2008 | Q1 2009 | Q2 2009 | Q3 2009 | Q4 2009 | Q1 2010 | |||||||||||||||||||||||||||
Monster Careers |
$ | 1,242,009 | $ | 1,271,636 | $ | 1,272,246 | $ | 1,213,300 | $ | 1,099,339 | $ | 968,783 | $ | 851,118 | $ | 772,596 | $ | 732,329 | ||||||||||||||||||
Internet Advertising & Fees |
126,437 | 127,119 | 128,556 | 130,327 | 132,219 | 131,538 | 131,547 | 132,546 | 133,715 | |||||||||||||||||||||||||||
Revenue |
1,368,446 | 1,398,755 | 1,400,802 | 1,343,627 | 1,231,558 | 1,100,321 | 982,665 | 905,142 | 866,044 | |||||||||||||||||||||||||||
Salary and related |
514,585 | 514,092 | 519,031 | 514,576 | 491,498 | 467,716 | 441,564 | 423,828 | 429,974 | |||||||||||||||||||||||||||
Office and general |
227,895 | 237,793 | 237,296 | 224,679 | 208,762 | 189,925 | 175,223 | 162,755 | 162,506 | |||||||||||||||||||||||||||
Marketing and promotion |
333,824 | 329,232 | 315,332 | 291,198 | 253,035 | 229,012 | 217,085 | 209,661 | 195,551 | |||||||||||||||||||||||||||
Provision for (reversal of) legal settlements, net |
| 40,100 | 40,100 | 40,100 | 40,100 | | (6,850 | ) | (6,850 | ) | (6,850 | ) | ||||||||||||||||||||||||
Restructuring and other special charges |
23,524 | 26,256 | 18,693 | 16,407 | 20,488 | 22,853 | 19,261 | 16,105 | 5,097 | |||||||||||||||||||||||||||
Depreciation expense |
41,150 | 44,130 | 47,058 | 51,230 | 54,196 | 56,345 | 58,239 | 59,117 | 59,869 | |||||||||||||||||||||||||||
Amortization of restricted stock and RSU Plan |
28,769 | 20,051 | 24,617 | 28,040 | 32,983 | 34,448 | 36,935 | 39,306 | 39,281 | |||||||||||||||||||||||||||
Non-cash stock option expense |
383 | 518 | 579 | 652 | 724 | 646 | 638 | 615 | 559 | |||||||||||||||||||||||||||
Amortization of intangibles |
5,693 | 5,554 | 5,491 | 6,790 | 7,955 | 9,147 | 9,962 | 9,416 | 8,948 | |||||||||||||||||||||||||||
Operating expenses |
1,175,823 | 1,217,726 | 1,208,197 | 1,173,672 | 1,109,741 | 1,010,092 | 952,057 | 913,953 | 894,935 | |||||||||||||||||||||||||||
Operating income (loss) |
192,623 | 181,029 | 192,605 | 169,955 | 121,817 | 90,229 | 30,608 | (8,811 | ) | (28,891 | ) | |||||||||||||||||||||||||
Interest and other, net |
27,592 | 23,746 | 22,522 | 17,283 | 11,103 | 8,122 | 2,791 | (5,828 | ) | (7,684 | ) | |||||||||||||||||||||||||
Income (loss) from continuing operations, pre-tax |
220,215 | 204,775 | 215,127 | 187,238 | 132,920 | 98,351 | 33,399 | (14,639 | ) | (36,575 | ) | |||||||||||||||||||||||||
Provison for (benefit from) Income taxes |
78,514 | 73,080 | 75,340 | 64,910 | 45,278 | 33,042 | (20,583 | ) | (37,883 | ) | (45,573 | ) | ||||||||||||||||||||||||
Losses in equity interests, net |
(8,700 | ) | (9,326 | ) | (8,338 | ) | (7,839 | ) | (7,256 | ) | (4,854 | ) | (3,812 | ) | (4,317 | ) | (3,909 | ) | ||||||||||||||||||
Income from continuing operations |
133,001 | 122,369 | 131,449 | 114,489 | 80,386 | 60,455 | 50,170 | 18,927 | 5,089 | |||||||||||||||||||||||||||
Income (loss) from disc. operations, net of tax |
(3,493 | ) | 9,353 | 9,750 | 10,304 | 11,475 | (794 | ) | (536 | ) | | | ||||||||||||||||||||||||
Net income |
$ | 129,508 | $ | 131,722 | $ | 141,199 | $ | 124,793 | $ | 91,861 | $ | 59,661 | $ | 49,634 | $ | 18,927 | $ | 5,089 | ||||||||||||||||||
Basic earnings per share: |
||||||||||||||||||||||||||||||||||||
Income from continuing operations |
$ | 1.05 | $ | 0.98 | $ | 1.07 | $ | 0.95 | $ | 0.67 | $ | 0.51 | $ | 0.42 | $ | 0.16 | $ | 0.04 | ||||||||||||||||||
Net income |
$ | 1.02 | $ | 1.06 | $ | 1.15 | $ | 1.04 | $ | 0.77 | $ | 0.50 | $ | 0.42 | $ | 0.16 | $ | 0.04 | ||||||||||||||||||
Diluted earnings per share: |
||||||||||||||||||||||||||||||||||||
Income from continuing operations |
$ | 1.04 | $ | 0.97 | $ | 1.07 | $ | 0.94 | $ | 0.67 | $ | 0.51 | $ | 0.42 | $ | 0.16 | $ | 0.04 | ||||||||||||||||||
Net income |
$ | 1.01 | $ | 1.05 | $ | 1.15 | $ | 1.03 | $ | 0.76 | $ | 0.50 | $ | 0.41 | $ | 0.16 | $ | 0.04 | ||||||||||||||||||
Weighted avg. shares outstanding: |
||||||||||||||||||||||||||||||||||||
Basic shares |
127,064 | 124,650 | 122,289 | 120,557 | 119,600 | 119,197 | 119,051 | 119,294 | 119,588 | |||||||||||||||||||||||||||
Diluted shares |
128,479 | 125,584 | 123,075 | 121,167 | 120,125 | 119,558 | 119,796 | 119,845 | 120,139 |
Monster Worldwide, Inc.
Statements of Cash Flows
(unaudited, in thousands, except per share amounts)
Statements of Cash Flows
(unaudited, in thousands, except per share amounts)
Trended Quarterly Data
Q1 2008 | Q2 2008 | Q3 2008 | Q4 2008 | Q1 2009 | Q2 2009 | Q3 2009 | Q4 2009 | Q1 2010 | ||||||||||||||||||||||||||||
Cash flows provided by (used for) operating activities: |
||||||||||||||||||||||||||||||||||||
Net income (loss) |
$ | 22,591 | $ | 30,830 | $ | 42,778 | $ | 28,594 | $ | (10,341 | ) | $ | (1,370 | ) | $ | 32,751 | $ | (2,113 | ) | $ | (24,179 | ) | ||||||||||||||
Adjustments to reconcile net income (loss) to cash provided by (used for) operating activities: |
||||||||||||||||||||||||||||||||||||
Loss (income) from discontinued operations, net of tax |
1,171 | (12,269 | ) | 258 | 536 | | | | | | ||||||||||||||||||||||||||
Depreciation and amortization |
12,189 | 13,604 | 14,710 | 17,517 | 16,320 | 16,945 | 17,419 | 17,849 | 16,604 | |||||||||||||||||||||||||||
Provision for (reversal of) legal settlements, net |
| 40,100 | | | | | (6,850 | ) | | | ||||||||||||||||||||||||||
Receipts and (payments) for legal settlements, net |
| | 5,700 | (35,587 | ) | | | | | | ||||||||||||||||||||||||||
Provision for doubtful accounts |
3,564 | 3,207 | 4,403 | 5,057 | 4,072 | 2,812 | 1,682 | 1,588 | 1,149 | |||||||||||||||||||||||||||
Non-cash compensation |
6,495 | 8,533 | 7,602 | 7,223 | 10,348 | 9,920 | 10,081 | 9,572 | 10,267 | |||||||||||||||||||||||||||
Deferred income taxes |
(7,319 | ) | (12,263 | ) | 12,440 | 14,572 | (2,488 | ) | (3,933 | ) | 12,160 | (4,550 | ) | (14,713 | ) | |||||||||||||||||||||
Non-cash restructuring write-offs, accelerated amortization, and other |
1,649 | 436 | 924 | 924 | 3,690 | 1,051 | 3 | 4,216 | | |||||||||||||||||||||||||||
Loss in equity interests |
1,822 | 3,592 | 2,086 | 339 | 1,239 | 1,190 | 1,044 | 844 | 831 | |||||||||||||||||||||||||||
Changes in assets and liabilities, net of acquisitions: |
||||||||||||||||||||||||||||||||||||
Accounts receivable |
37,848 | 44,812 | 49,231 | (19,371 | ) | 72,347 | 47,892 | 7,284 | (47,061 | ) | 17,631 | |||||||||||||||||||||||||
Prepaid and other |
1,025 | 18,073 | 2,522 | 1,548 | 3,246 | 13,615 | (16,005 | ) | (3,525 | ) | 1,389 | |||||||||||||||||||||||||
Deferred revenue |
(2,458 | ) | (51,465 | ) | (58,644 | ) | (5,732 | ) | (63,383 | ) | (61,153 | ) | (28,152 | ) | 41,054 | 4,668 | ||||||||||||||||||||
Accounts payable, accrued expenses and other liabilities |
(289 | ) | (13,308 | ) | 8,673 | (27,790 | ) | (21,237 | ) | (40,657 | ) | (19,574 | ) | 14,883 | 22,569 | |||||||||||||||||||||
Net cash (used for) provided by operating activities of discontinued operations |
(560 | ) | (2,569 | ) | (962 | ) | (2,758 | ) | (77 | ) | 77 | | | | ||||||||||||||||||||||
Total adjustments |
55,137 | 40,483 | 48,943 | (43,522 | ) | 24,077 | (12,241 | ) | (20,908 | ) | 34,870 | 60,395 | ||||||||||||||||||||||||
Net cash provided by (used for) operating activities |
77,728 | 71,313 | 91,721 | (14,928 | ) | 13,736 | (13,611 | ) | 11,843 | 32,757 | 36,216 | |||||||||||||||||||||||||
Cash flows provided by (used for) investing activities: |
||||||||||||||||||||||||||||||||||||
Capital expenditures |
(20,559 | ) | (29,654 | ) | (21,011 | ) | (22,403 | ) | (14,922 | ) | (11,457 | ) | (12,285 | ) | (10,013 | ) | (8,536 | ) | ||||||||||||||||||
Purchase of marketable securities |
(149,249 | ) | (7,633 | ) | (25,265 | ) | (1,785 | ) | (992 | ) | (6,484 | ) | | (1,109 | ) | | ||||||||||||||||||||
Sale and maturities of marketable securities |
414,453 | 21,852 | 66,000 | 36,981 | 1,425 | 1,892 | | 67,660 | 3,414 | |||||||||||||||||||||||||||
Payments for acquisitions and intangible assets, net of cash acquired |
(61,567 | ) | | (64,628 | ) | (166,641 | ) | | | (300 | ) | | | |||||||||||||||||||||||
Dividends received from unconsolidated investee |
| 1,011 | | | | 763 | | | 220 | |||||||||||||||||||||||||||
Cash funded to equity investee |
(5,000 | ) | | | (1,402 | ) | (1,428 | ) | (1,886 | ) | (1,639 | ) | (1,346 | ) | (1,345 | ) | ||||||||||||||||||||
Net cash used for investing activities of discontinued operations |
| | | | | | | | | |||||||||||||||||||||||||||
Net cash provided by (used for) investing activities |
178,078 | (14,424 | ) | (44,904 | ) | (155,250 | ) | (15,917 | ) | (17,172 | ) | (14,224 | ) | 55,192 | (6,247 | ) | ||||||||||||||||||||
Cash flows (used for) provided by financing activities: |
||||||||||||||||||||||||||||||||||||
Proceeds from borrowings on credit facilities short-term |
| | 247,000 | 4,971 | 199,203 | | | | | |||||||||||||||||||||||||||
Payments on borrowings on credit facilities short-term |
| | | (197,893 | ) | | (157,173 | ) | (99,023 | ) | | | ||||||||||||||||||||||||
Repurchase of common stock |
(79,469 | ) | (6,858 | ) | (41,806 | ) | (32 | ) | (1,907 | ) | (528 | ) | (1,869 | ) | (267 | ) | (6,359 | ) | ||||||||||||||||||
Net borrowings (payments) under capital lease obligations and other debt |
(80 | ) | (67 | ) | (9 | ) | (15 | ) | (5 | ) | (1 | ) | 50,006 | | | |||||||||||||||||||||
Cash received from the exercise of employee stock options |
418 | 628 | 110 | 305 | 9 | | 46 | 12 | 27 | |||||||||||||||||||||||||||
Excess tax benefits from (provisions for) stock-based compensation |
61 | 59 | 861 | 22 | 4 | | 8 | 67 | | |||||||||||||||||||||||||||
Net cash (used for) provided by financing activities |
(79,070 | ) | (6,238 | ) | 206,156 | (192,642 | ) | 197,304 | (157,702 | ) | (50,832 | ) | (188 | ) | (6,332 | ) | ||||||||||||||||||||
Effects of exchange rates on cash |
10,256 | (1,933 | ) | (13,303 | ) | (20,044 | ) | (6,327 | ) | 13,681 | 4,438 | 209 | (7,932 | ) | ||||||||||||||||||||||
Net increase (decrease) in cash and cash equivalents |
186,992 | 48,718 | 239,670 | (382,864 | ) | 188,796 | (174,804 | ) | (48,775 | ) | 87,970 | 15,705 | ||||||||||||||||||||||||
Cash and cash equivalents, beginning of period |
129,744 | 316,736 | 365,454 | 605,124 | 222,260 | 411,056 | 236,252 | 187,477 | 275,447 | |||||||||||||||||||||||||||
Cash and cash equivalents, end of period |
$ | 316,736 | $ | 365,454 | $ | 605,124 | $ | 222,260 | $ | 411,056 | $ | 236,252 | $ | 187,477 | $ | 275,447 | $ | 291,152 | ||||||||||||||||||
Non GAAP Free cash flow (1): |
||||||||||||||||||||||||||||||||||||
Net cash provided by (used for) operating activities |
$ | 77,728 | $ | 71,313 | $ | 91,721 | $ | (14,928 | ) | $ | 13,736 | $ | (13,611 | ) | $ | 11,843 | $ | 32,757 | $ | 36,216 | ||||||||||||||||
Less: Capital expenditures |
(20,559 | ) | (29,654 | ) | (21,011 | ) | (22,403 | ) | (14,922 | ) | (11,457 | ) | (12,285 | ) | (10,013 | ) | (8,536 | ) | ||||||||||||||||||
Free cash flow |
$ | 57,169 | $ | 41,659 | $ | 70,710 | $ | (37,331 | ) | $ | (1,186 | ) | $ | (25,068 | ) | $ | (442 | ) | $ | 22,744 | $ | 27,680 | ||||||||||||||
(1) | - See notes to financial supplement for further explanation of non-GAAP measures. |
Monster Worldwide, Inc.
Consolidated Condensed Balance Sheets
(unaudited, in thousands, except selected financial ratios)
Consolidated Condensed Balance Sheets
(unaudited, in thousands, except selected financial ratios)
Trended Quarterly Data
Q1 2008 | Q2 2008 | Q3 2008 | Q4 2008 | Q1 2009 | Q2 2009 | Q3 2009 | Q4 2009 | Q1 2010 | ||||||||||||||||||||||||||||
ASSETS | ||||||||||||||||||||||||||||||||||||
Current assets: |
||||||||||||||||||||||||||||||||||||
Cash and cash equivalents |
$ | 316,736 | $ | 365,454 | $ | 605,124 | $ | 222,260 | $ | 411,056 | $ | 236,252 | $ | 187,477 | $ | 275,447 | $ | 291,152 | ||||||||||||||||||
Marketable securities, current |
79,236 | 68,579 | 33,823 | 1,425 | 992 | 14,533 | 20,482 | 9,259 | 8,150 | |||||||||||||||||||||||||||
Accounts Receivable, net |
458,447 | 410,427 | 358,214 | 376,720 | 294,449 | 249,004 | 243,033 | 287,698 | 263,589 | |||||||||||||||||||||||||||
Prepaid and other |
97,929 | 121,093 | 111,754 | 82,416 | 82,710 | 73,866 | 87,058 | 73,089 | 70,229 | |||||||||||||||||||||||||||
Total current assets |
952,348 | 965,553 | 1,108,915 | 682,821 | 789,207 | 573,655 | 538,050 | 645,493 | 633,120 | |||||||||||||||||||||||||||
Marketable securities, non-current |
102,716 | 99,330 | 93,728 | 90,347 | 89,196 | 81,272 | 75,953 | 15,410 | 13,110 | |||||||||||||||||||||||||||
Property and equipment, net |
138,182 | 149,048 | 152,352 | 161,282 | 154,559 | 153,942 | 150,963 | 143,727 | 136,487 | |||||||||||||||||||||||||||
Goodwill |
702,598 | 690,161 | 707,164 | 894,546 | 886,970 | 897,561 | 930,231 | 925,758 | 917,187 | |||||||||||||||||||||||||||
Intangibles, net |
34,308 | 32,696 | 36,694 | 52,335 | 49,533 | 47,420 | 45,893 | 43,863 | 41,173 | |||||||||||||||||||||||||||
Investment in unconsolidated affiliates |
49,049 | 44,446 | 42,360 | 1,843 | 1,315 | 517 | 525 | 546 | 330 | |||||||||||||||||||||||||||
Other assets |
67,218 | 70,475 | 61,761 | 33,416 | 33,314 | 35,100 | 32,617 | 52,393 | 50,884 | |||||||||||||||||||||||||||
Non-current assets of discontinued operations |
13,959 | | | | | | | | | |||||||||||||||||||||||||||
Total assets |
$ | 2,060,378 | $ | 2,051,709 | $ | 2,202,974 | $ | 1,916,590 | $ | 2,004,094 | $ | 1,789,467 | $ | 1,774,232 | $ | 1,827,190 | $ | 1,792,291 | ||||||||||||||||||
LIABILITIES AND STOCKHOLDERS EQUITY | ||||||||||||||||||||||||||||||||||||
Current liabilities: |
||||||||||||||||||||||||||||||||||||
Accounts payable, accrued expenses and other |
$ | 297,932 | $ | 321,077 | $ | 328,546 | $ | 254,407 | $ | 225,630 | $ | 192,266 | $ | 204,402 | $ | 196,248 | $ | 217,671 | ||||||||||||||||||
Deferred revenue |
521,873 | 470,408 | 411,764 | 414,312 | 344,905 | 289,818 | 265,573 | 305,898 | 304,993 | |||||||||||||||||||||||||||
Borrowings on credit facility short-term |
| | 247,000 | 54,971 | 254,174 | 97,000 | | | | |||||||||||||||||||||||||||
Current portion of long-term debt |
158 | 142 | 26 | 18 | 27 | 23 | 5,017 | 5,010 | 5,003 | |||||||||||||||||||||||||||
Total current liabilities |
819,963 | 791,627 | 987,336 | 723,708 | 824,736 | 579,107 | 474,992 | 507,156 | 527,667 | |||||||||||||||||||||||||||
Non-current income taxes payable |
116,376 | 119,360 | 115,318 | 119,951 | 123,385 | 125,991 | 82,963 | 87,343 | 89,101 | |||||||||||||||||||||||||||
Long-term debt |
| | | | | | 45,000 | 45,000 | 45,000 | |||||||||||||||||||||||||||
Other liabilities |
16,254 | 17,449 | 23,699 | 25,658 | 29,838 | 30,971 | 36,394 | 54,527 | 38,288 | |||||||||||||||||||||||||||
Non-current liabilities of discontinued operations |
4,067 | | | | | | | | | |||||||||||||||||||||||||||
Total liabilities |
956,660 | 928,436 | 1,126,353 | 869,317 | 977,959 | 736,069 | 639,349 | 694,026 | 700,056 | |||||||||||||||||||||||||||
Common stock and class B common stock |
133 | 134 | 134 | 133 | 134 | 134 | 134 | 134 | 135 | |||||||||||||||||||||||||||
Additional paid-in capital |
1,395,991 | 1,397,281 | 1,363,655 | 1,367,373 | 1,374,049 | 1,382,649 | 1,388,609 | 1,395,969 | 1,394,915 | |||||||||||||||||||||||||||
Accumulated other comprehensive income |
155,830 | 143,264 | 87,460 | 25,801 | 8,327 | 28,360 | 71,133 | 64,167 | 48,470 | |||||||||||||||||||||||||||
Accumulated deficit |
(448,236 | ) | (417,406 | ) | (374,628 | ) | (346,034 | ) | (356,375 | ) | (357,745 | ) | (324,993 | ) | (327,106 | ) | (351,285 | ) | ||||||||||||||||||
Total stockholders equity |
1,103,718 | 1,123,273 | 1,076,621 | 1,047,273 | 1,026,135 | 1,053,398 | 1,134,883 | 1,133,164 | 1,092,235 | |||||||||||||||||||||||||||
Total liabilities and stockholders equity |
$ | 2,060,378 | $ | 2,051,709 | $ | 2,202,974 | $ | 1,916,590 | $ | 2,004,094 | $ | 1,789,467 | $ | 1,774,232 | $ | 1,827,190 | $ | 1,792,291 | ||||||||||||||||||
Selected Financial Ratios(1) |
||||||||||||||||||||||||||||||||||||
Annualized return on equity |
8.1 | % | 11.1 | % | 15.6 | % | 10.8 | % | -4.0 | % | -0.5 | % | 12.0 | % | -0.7 | % | -8.7 | % | ||||||||||||||||||
Book value per share |
$ | 9.13 | $ | 9.30 | $ | 9.08 | $ | 8.83 | $ | 8.61 | $ | 8.83 | $ | 9.49 | $ | 9.48 | $ | 9.05 | ||||||||||||||||||
Cash and marketable securities per share |
$ | 4.13 | $ | 4.42 | $ | 6.18 | $ | 2.65 | $ | 4.20 | $ | 2.78 | $ | 2.37 | $ | 2.51 | $ | 2.59 | ||||||||||||||||||
Net cash and securities |
$ | 498,353 | $ | 533,095 | $ | 485,632 | $ | 259,033 | $ | 247,038 | $ | 235,034 | $ | 233,895 | $ | 250,106 | $ | 262,409 |
(1) | - See notes to financial supplement for definitions and calculations of selected financial ratios. |
Monster Worldwide, Inc.
Segment Information and Margin Analysis Non-GAAP
(unaudited, in thousands)
Segment Information and Margin Analysis Non-GAAP
(unaudited, in thousands)
Trended Quarterly Data
Q1 2008 | Q2 2008 | Q3 2008 | Q4 2008 | Q1 2009 | Q2 2009 | Q3 2009 | Q4 2009 | Q1 2010 | ||||||||||||||||||||||||||||
Segment OIBDA (1): |
||||||||||||||||||||||||||||||||||||
Careers North America |
$ | 47,602 | $ | 67,636 | $ | 52,516 | $ | 44,138 | $ | 12,272 | $ | 22,066 | $ | 16,902 | $ | 12,988 | $ | 5,671 | ||||||||||||||||||
Careers International |
16,662 | 40,361 | 39,060 | 23,833 | 10,749 | 8,386 | 8,154 | 9,024 | (3,089 | ) | ||||||||||||||||||||||||||
Careers OIBDA (1) |
64,264 | 107,997 | 91,576 | 67,971 | 23,021 | 30,452 | 25,056 | 22,012 | 2,582 | |||||||||||||||||||||||||||
Internet Advertising & Fees OIBDA (1) |
792 | 7,508 | 7,425 | 6,293 | 6,364 | 7,939 | 8,247 | 7,573 | 4,764 | |||||||||||||||||||||||||||
Total Monster OIBDA (1) |
$ | 65,056 | $ | 115,505 | $ | 99,001 | $ | 74,264 | $ | 29,385 | $ | 38,391 | $ | 33,303 | $ | 29,585 | $ | 7,346 | ||||||||||||||||||
Corporate expenses before D&A (1) |
$ | (12,104 | ) | $ | (61,196 | ) | $ | (13,192 | ) | $ | (5,810 | ) | $ | (13,843 | ) | $ | (10,810 | ) | $ | (2,851 | ) | $ | 1,206 | $ | (15,349 | ) | ||||||||||
Proforma operating income (loss) (1): |
||||||||||||||||||||||||||||||||||||
Careers North America |
$ | 42,955 | $ | 59,335 | $ | 43,771 | $ | 34,314 | $ | 3,100 | $ | 12,405 | $ | 9,519 | $ | 4,226 | $ | (491 | ) | |||||||||||||||||
Careers International |
12,945 | 33,316 | 32,467 | 17,711 | 7,413 | 1,983 | 782 | 297 | (11,269 | ) | ||||||||||||||||||||||||||
Careers Proforma operating income (loss) (1) |
55,900 | 92,651 | 76,238 | 52,025 | 10,513 | 14,388 | 10,301 | 4,523 | (11,760 | ) | ||||||||||||||||||||||||||
Internet Advertising & Fees ProForma operating income (loss) (1) |
(609 | ) | 4,994 | 4,977 | 3,745 | 4,003 | 5,096 | 6,506 | 4,993 | 2,145 | ||||||||||||||||||||||||||
Total Monster Proforma income (loss) (1) |
$ | 55,291 | $ | 97,645 | $ | 81,215 | $ | 55,770 | $ | 14,516 | $ | 19,484 | $ | 16,807 | $ | 9,516 | $ | (9,615 | ) | |||||||||||||||||
Corporate Proforma expenses (1) |
$ | (11,586 | ) | $ | (19,308 | ) | $ | (11,175 | ) | $ | (14,294 | ) | $ | (14,288 | ) | $ | (11,756 | ) | $ | (12,913 | ) | $ | (9,567 | ) | $ | (14,528 | ) | |||||||||
Segment operating income (loss): (1) |
||||||||||||||||||||||||||||||||||||
Careers North America |
$ | 39,701 | $ | 58,409 | $ | 43,120 | $ | 34,025 | $ | 828 | $ | 10,919 | $ | 6,057 | $ | 1,866 | $ | (3,772 | ) | |||||||||||||||||
Careers International |
9,643 | 31,916 | 30,230 | 12,938 | (671 | ) | (2,019 | ) | (2,181 | ) | (1,412 | ) | (13,412 | ) | ||||||||||||||||||||||
Careers operating income (loss) |
49,344 | 90,325 | 73,350 | 46,963 | 157 | 8,900 | 3,876 | 454 | (17,184 | ) | ||||||||||||||||||||||||||
Internet Advertising & Fees operating income (loss) |
(1,431 | ) | 4,656 | 4,726 | 3,715 | 3,557 | 4,926 | 5,091 | 4,540 | 1,236 | ||||||||||||||||||||||||||
Total Monster operating income (loss) |
$ | 47,913 | $ | 94,981 | $ | 78,076 | $ | 50,678 | $ | 3,714 | $ | 13,826 | $ | 8,967 | $ | 4,994 | $ | (15,948 | ) | |||||||||||||||||
Corporate expenses |
$ | (14,569 | ) | $ | (63,732 | ) | $ | (15,503 | ) | $ | (7,889 | ) | $ | (18,508 | ) | $ | (14,165 | ) | $ | (6,015 | ) | $ | (1,624 | ) | $ | (18,926 | ) | |||||||||
Margin Analysis: |
||||||||||||||||||||||||||||||||||||
Careers North America OIBDA margin |
25.9 | % | 41.2 | % | 33.8 | % | 32.7 | % | 10.3 | % | 21.7 | % | 17.8 | % | 14.3 | % | 5.8 | % | ||||||||||||||||||
Careers North America Proforma operating margin |
23.4 | % | 36.1 | % | 28.2 | % | 25.4 | % | 2.6 | % | 12.2 | % | 10.0 | % | 4.6 | % | -0.5 | % | ||||||||||||||||||
Careers North America operating margin |
21.6 | % | 35.6 | % | 27.8 | % | 25.2 | % | 0.7 | % | 10.7 | % | 6.4 | % | 2.1 | % | -3.9 | % | ||||||||||||||||||
Careers International OIBDA margin |
10.9 | % | 25.8 | % | 27.4 | % | 19.4 | % | 10.4 | % | 9.5 | % | 9.6 | % | 10.2 | % | -3.6 | % | ||||||||||||||||||
Careers International Proforma operating margin |
8.4 | % | 21.3 | % | 22.8 | % | 14.2 | % | 7.1 | % | 2.2 | % | 0.9 | % | 0.3 | % | -13.2 | % | ||||||||||||||||||
Careers International operating margin |
6.3 | % | 20.4 | % | 21.2 | % | 10.5 | % | -0.6 | % | -2.3 | % | -2.6 | % | -1.6 | % | -15.7 | % | ||||||||||||||||||
Careers OIBDA margin |
19.1 | % | 33.6 | % | 30.8 | % | 26.4 | % | 10.3 | % | 16.0 | % | 13.9 | % | 12.3 | % | 1.4 | % | ||||||||||||||||||
Careers Proforma operating margin |
16.6 | % | 28.9 | % | 25.6 | % | 20.0 | % | 4.7 | % | 7.5 | % | 5.7 | % | 2.5 | % | -6.4 | % | ||||||||||||||||||
Careers operating margin |
14.7 | % | 28.1 | % | 24.6 | % | 18.2 | % | 0.1 | % | 4.7 | % | 2.2 | % | 0.3 | % | -9.4 | % | ||||||||||||||||||
Internet Advertising & Fees OIBDA margin |
2.7 | % | 22.5 | % | 21.5 | % | 19.2 | % | 20.2 | % | 24.3 | % | 23.8 | % | 22.4 | % | 14.6 | % | ||||||||||||||||||
Internet Advertising & Fees Proforma operating margin |
-2.1 | % | 15.0 | % | 14.4 | % | 11.4 | % | 12.7 | % | 15.6 | % | 18.8 | % | 14.8 | % | 6.6 | % | ||||||||||||||||||
Internet Advertising & Fees operating margin |
-4.8 | % | 14.0 | % | 13.7 | % | 11.3 | % | 11.3 | % | 15.1 | % | 14.7 | % | 13.5 | % | 3.8 | % |
(1) | - See notes to financial supplement for further explanation of non-GAAP measures. |
Monster Worldwide, Inc.
Statements of Operations
(unaudited)
Statements of Operations
(unaudited)
Trended Quarterly Data
Summary P&L Information | Q1 2008 | Q2 2008 | Q3 2008 | Q4 2008 | Q1 2009 | Q2 2009 | Q3 2009 | Q4 2009 | Q1 2010 | |||||||||||||||||||||||||||
Monster Careers |
91.9 | % | 90.6 | % | 89.6 | % | 88.7 | % | 87.6 | % | 85.4 | % | 83.9 | % | 84.2 | % | 84.8 | % | ||||||||||||||||||
Internet Advertising & Fees |
8.1 | % | 9.4 | % | 10.4 | % | 11.3 | % | 12.4 | % | 14.6 | % | 16.1 | % | 15.8 | % | 15.2 | % | ||||||||||||||||||
Revenue |
100.0 | % | 100.0 | % | 100.0 | % | 100.0 | % | 100.0 | % | 100.0 | % | 100.0 | % | 100.0 | % | 100.0 | % | ||||||||||||||||||
Salary and related |
36.9 | % | 35.9 | % | 38.8 | % | 42.4 | % | 44.0 | % | 46.4 | % | 47.9 | % | 49.5 | % | 54.9 | % | ||||||||||||||||||
Office and general |
16.8 | % | 17.4 | % | 17.2 | % | 15.2 | % | 18.0 | % | 19.2 | % | 19.8 | % | 14.8 | % | 21.2 | % | ||||||||||||||||||
Marketing and promotion |
30.5 | % | 19.5 | % | 17.4 | % | 18.1 | % | 29.0 | % | 20.2 | % | 21.3 | % | 21.2 | % | 27.7 | % | ||||||||||||||||||
Provision for (reversal of) legal settlements, net |
0.0 | % | 11.3 | % | 0.0 | % | 0.0 | % | 0.0 | % | 0.0 | % | -3.2 | % | 0.0 | % | 0.0 | % | ||||||||||||||||||
Restructuring and other special charges |
1.9 | % | 0.8 | % | 1.1 | % | 1.1 | % | 4.3 | % | 2.3 | % | 0.0 | % | 0.0 | % | 0.0 | % | ||||||||||||||||||
Depreciation expense |
2.9 | % | 3.5 | % | 4.0 | % | 5.1 | % | 5.4 | % | 6.5 | % | 7.1 | % | 7.3 | % | 6.7 | % | ||||||||||||||||||
Amortization of restricted stock and RSU Plan |
1.4 | % | 2.4 | % | 2.2 | % | 2.4 | % | 4.0 | % | 4.4 | % | 4.6 | % | 4.4 | % | 4.7 | % | ||||||||||||||||||
Non-cash stock option expense |
0.0 | % | 0.1 | % | 0.0 | % | 0.1 | % | 0.1 | % | 0.0 | % | 0.1 | % | 0.1 | % | 0.1 | % | ||||||||||||||||||
Amortization of intangibles |
0.4 | % | 0.4 | % | 0.4 | % | 0.9 | % | 1.0 | % | 1.1 | % | 1.0 | % | 1.0 | % | 1.0 | % | ||||||||||||||||||
Operating expenses |
90.9 | % | 91.2 | % | 81.2 | % | 85.3 | % | 105.8 | % | 100.2 | % | 98.6 | % | 98.4 | % | 116.2 | % | ||||||||||||||||||
Operating income (loss) |
9.1 | % | 8.8 | % | 18.8 | % | 14.7 | % | -5.8 | % | -0.2 | % | 1.4 | % | 1.6 | % | -16.2 | % | ||||||||||||||||||
Interest and other, net |
2.0 | % | 0.9 | % | 1.6 | % | 0.5 | % | 0.5 | % | 0.0 | % | 0.0 | % | -3.3 | % | -0.3 | % | ||||||||||||||||||
Income (loss) from continuing operations, pre-tax |
11.1 | % | 9.7 | % | 20.4 | % | 15.3 | % | -5.3 | % | -0.1 | % | 1.4 | % | -1.7 | % | -16.5 | % | ||||||||||||||||||
Income taxes (benefit from) |
4.1 | % | 3.4 | % | 6.8 | % | 5.1 | % | -1.8 | % | 0.0 | % | -14.4 | % | -1.1 | % | -5.7 | % | ||||||||||||||||||
Losses in equity interests, net |
-0.5 | % | -1.0 | % | -0.6 | % | -0.1 | % | -0.5 | % | -0.5 | % | -0.5 | % | -0.4 | % | -0.4 | % | ||||||||||||||||||
Income from continuing operations |
6.5 | % | 5.2 | % | 13.0 | % | 10.0 | % | -4.1 | % | -0.6 | % | 15.3 | % | -1.0 | % | -11.2 | % | ||||||||||||||||||
(Loss) income from disc. operations, net of tax |
-0.3 | % | 3.5 | % | -0.1 | % | -0.2 | % | 0.0 | % | 0.0 | % | 0.0 | % | 0.0 | % | 0.0 | % | ||||||||||||||||||
Net income (loss) |
6.2 | % | 8.7 | % | 12.9 | % | 9.8 | % | -4.1 | % | -0.6 | % | 15.3 | % | -1.0 | % | -11.2 | % | ||||||||||||||||||
Monster Worldwide, Inc.
Statements of Operations Reconciliation of Non-GAAP Measures
(unaudited, in thousands, except per share amounts)
Statements of Operations Reconciliation of Non-GAAP Measures
(unaudited, in thousands, except per share amounts)
Trended Quarterly Data
Summary P&L Information | Q1 2008 | Q2 2008 | Q3 2008 | Q4 2008 | Q1 2009 | Q2 2009 | Q3 2009 | Q4 2009 | Q1 2010 | |||||||||||||||||||||||||||
Proforma revenue (1) |
$ | 366,472 | $ | 354,294 | $ | 332,189 | $ | 292,885 | $ | 255,397 | $ | 223,782 | $ | 215,085 | $ | 213,149 | $ | 215,305 | ||||||||||||||||||
Deferred revenue related to acquisitions |
| | | 2,213 | 994 | 725 | 552 | | | |||||||||||||||||||||||||||
Revenue |
$ | 366,472 | $ | 354,294 | $ | 332,189 | $ | 290,672 | $ | 254,403 | $ | 223,057 | $ | 214,533 | $ | 213,149 | $ | 215,305 | ||||||||||||||||||
OIBDA (1) |
$ | 52,952 | $ | 54,309 | $ | 85,809 | $ | 68,454 | $ | 15,542 | $ | 27,581 | $ | 30,452 | $ | 30,791 | $ | (8,003 | ) | |||||||||||||||||
Depreciation expense |
10,803 | 12,330 | 13,336 | 14,761 | 13,769 | 14,479 | 15,230 | 15,639 | 14,521 | |||||||||||||||||||||||||||
Amortization of restricted stock and RSU Plan |
5,206 | 8,351 | 7,437 | 7,046 | 10,149 | 9,816 | 9,924 | 9,417 | 10,124 | |||||||||||||||||||||||||||
Non-cash stock option expense |
127 | 182 | 165 | 178 | 199 | 104 | 157 | 155 | 143 | |||||||||||||||||||||||||||
Restructuring non-cash compensation expense |
1,162 | | | | | | | | | |||||||||||||||||||||||||||
Restructuring non-cash write-offs |
924 | 923 | 924 | 924 | 3,668 | 1,055 | | | | |||||||||||||||||||||||||||
Amortization of intangibles |
1,386 | 1,274 | 1,374 | 2,756 | 2,551 | 2,466 | 2,189 | 2,210 | 2,083 | |||||||||||||||||||||||||||
Operating income (loss) |
$ | 33,344 | $ | 31,249 | $ | 62,573 | $ | 42,789 | $ | (14,794 | ) | $ | (339 | ) | $ | 2,952 | $ | 3,370 | $ | (34,874 | ) | |||||||||||||||
Proforma operating income (loss) (1) |
$ | 43,705 | $ | 78,337 | $ | 70,040 | $ | 41,476 | $ | 228 | $ | 7,728 | $ | 3,894 | $ | (51 | ) | $ | (24,143 | ) | ||||||||||||||||
Provision for (reversal of) legal settlements, net |
| 40,100 | | | | | (6,850 | ) | | | ||||||||||||||||||||||||||
Stock option investigation |
2,983 | 4,256 | 3,875 | (6,682 | ) | 3,020 | 2,245 | (474 | ) | (8,037 | ) | | ||||||||||||||||||||||||
Security breach |
451 | | | | | | | | | |||||||||||||||||||||||||||
Non-Gaap severance |
| | | | | | 5,907 | 2,866 | 6,360 | |||||||||||||||||||||||||||
Non-Gaap facilities |
| | | | | | 1,807 | 1,750 | | |||||||||||||||||||||||||||
Non-Gaap acquisition related fees |
| | | | | | | | 4,371 | |||||||||||||||||||||||||||
Deferred revenue related to acquisitions |
| | | 2,213 | 994 | 725 | 552 | | | |||||||||||||||||||||||||||
Restructuring non-cash compensation expense |
1,162 | | | | | | | | | |||||||||||||||||||||||||||
Restructuring program non-cash write-offs |
924 | 923 | 924 | 924 | 3,668 | 1,055 | | | | |||||||||||||||||||||||||||
Restructuring expenses, less non-cash items |
4,841 | 1,809 | 2,668 | 2,232 | 7,340 | 4,042 | | | | |||||||||||||||||||||||||||
Operating income (loss) |
$ | 33,344 | $ | 31,249 | $ | 62,573 | $ | 42,789 | $ | (14,794 | ) | $ | (339 | ) | $ | 2,952 | $ | 3,370 | $ | (34,874 | ) | |||||||||||||||
(1) | - See notes to financial supplement for further explanation of non-GAAP measures. |