LiveRamp Holdings, Inc. - FORM 8-K - EX-99.1 - 2ND QUARTER FY14 EARNINGS RELEASE & FINANCIALS

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8-K - FORM 8-K (2ND QUARTER FY14 EARNINGS) - LiveRamp Holdings, Inc.	f8kq2fy14.htm

For more information, contact:

Katharine Boyce

Acxiom Investor Relations

501-342-1321

investor.relations@acxiom.com

EACXM

ACXIOM ANNOUNCES SECOND QUARTER RESULTS

Successfully Launches Acxiom Audience Operating System™

LITTLE ROCK, Ark. – November 6, 2013 Acxiom® (Nasdaq: ACXM), an enterprise data, analytics and software-as-a-service company, today announced financial results for its second quarter ended September 30, 2013.

Revenue was $276 million, down slightly compared to $277 million for the prior-year period. Income from operations decreased to $20 million in the current quarter, compared to $30 million in the prior year. Excluding unusual items, operating income for the quarter decreased 7 percent to $28 million as compared to $30 million in the prior year. Marketing and Data Services revenue increased 1 percent to $201 million in the quarter, compared to $199 million; IT Infrastructure Management revenue decreased 5 percent to $67 million in the current quarter compared to $70 million. Earnings per diluted share attributable to Acxiom stockholders were $0.13 in the current quarter compared to $0.21 in the prior-year quarter. Excluding unusual items, diluted earnings per share of $0.20 decreased slightly as compared to $0.21.

Operating cash flow was $170 million for the trailing twelve months, down 4 percent compared to $176 million for the comparable period a year ago. Free cash flow to equity was $69 million for the trailing twelve-month period, compared to $159 million for the comparable period. Free cash flow to equity for the prior-year trailing twelve-month period included $73 million in proceeds from the sale of the company’s background screening business. Free cash flow to equity is a non-GAAP financial measure. A reconciliation to the comparable GAAP measure, operating cash flow, is attached.

A schedule is attached to this release outlining the impact of the unusual items on the current and prior- year results.

“We are at an inflection point and starting the next chapter in our journey,” said Acxiom CEO Scott Howe. “We are a new company. Over the past two years we have worked to build a better business and to drive innovation. While it’s early, we are pleased with our launch of the Acxiom Audience Operating System and the resulting customer reaction and support.”

Second Quarter Highlights:

·	The company launched the Acxiom AOS™ during AdWeek in New York City on September 24. The AOS presents marketers with a comprehensive view of their audiences and allows one-to-one marketing capabilities at scale across all channels and devices.

·	Acxiom launched a new consumer portal. AboutTheData.com™ is the first online consumer portal which allows individuals to view and update marketing data that Acxiom’s clients use for digital marketing.

·	The company expects over the next 6 to 12 months to reduce its annual cost base by roughly $20 to $30 million. These reductions will not impact the company’s ongoing investment in the Audience Operating System or the continued investment in innovation.

Acxiom repurchased approximately 900,000 shares for $22.7 million during the quarter. Since inception of the share repurchase program in August 2011, the company has repurchased 12 million shares, or approximately 14.6 percent of the outstanding common stock, for $179 million. The company’s total share repurchase authorization is $200 million.

Acxiom announced a $600 million refinancing. Subsequent to the end of the quarter, Acxiom announced a refinancing of its credit facilities, consisting of a $300 million term loan and a $300 million undrawn revolving credit facility both maturing in October 2018. The proceeds of the term loan were used to repay the company’s existing $215 million term loan and for other general corporate purposes.

Segment Results:

Marketing and Data Services: Revenue for the second quarter increased slightly to $201 million, as compared to $199 million for the same period a year ago. U.S. revenue of $173 million increased 2 percent compared to $170 million in the prior period. Income from operations for the second quarter was $16 million, compared to $22 million in the prior period. Operating margin was 8 percent, compared to 11 percent in the previous year.

IT Infrastructure Management: Revenue for the second quarter decreased 5 percent to $67 million, compared to $70 million for the same period a year ago. Income from operations for the quarter was $12 million compared to $9 million in the comparable period. Operating margin was approximately 18 percent, compared to 12 percent.

·	Other Services: Revenue was $8 million, slightly down as compared to $9 million in the prior-year period. Operating margin was approximately 3 percent compared to a loss in the prior period.

Financial Guidance

The following projections are forward looking and are subject to certain risks and uncertainties that could cause actual results to differ materially as detailed in the Forward-Looking Statements section of this press release. Our guidance excludes unusual items. Acxiom’s estimates for fiscal 2014 are as follows:

·	We now expect revenue for the fiscal year to be down slightly as compared to $1.099 billion in fiscal 2013. The slight revenue decrease is driven principally by an expected decline in IT Infrastructure Management.

·	We continue to expect earnings per diluted share attributable to Acxiom shareholders to be roughly flat.

Conference Call

Acxiom will hold a conference call at 4:00 p.m. CST today to further discuss this information. Interested parties are invited to listen to the call, which will be broadcast via the Internet at www.acxiom.com. A slide presentation will be referenced during the call and can be accessed here.

Web Link to Financials

You may link to http://www.acxiom.com/FY14_Q2_Financials for the detailed financial information we typically attach to our earnings releases.

About Acxiom

Acxiom is an enterprise data, analytics and software-as-a-service company that uniquely fuses trust, experience and scale to fuel data-driven results. For over 40 years, Acxiom has been an innovator in harnessing the most important sources and uses of data to strengthen connections between people, businesses and their partners. Utilizing a channel and media neutral approach, we leverage cutting-edge, data-oriented products and services to maximize customer value. Every week, Acxiom powers more than a trillion transactions that enable better living for people and better results for our 7,000+ global clients. For more information about Acxiom, visit Acxiom.com.

Forward-Looking Statements

This release and today’s conference call may contain forward-looking statements including, without limitation, statements regarding expected levels of revenue and earnings per share for fiscal 2014, statements regarding cost base reductions, and statements regarding future investments, new customers and new product launches and capabilities. Such forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially. The following are factors, among others, that could cause actual results to differ materially from these forward-looking statements: the possibility that certain contracts may not generate the anticipated revenue or profitability or may not be closed within the anticipated time frames; the possibility that significant customers may experience extreme, severe economic difficulty or otherwise reduce the amount of business they do with us; the possibility that we will not successfully complete customer contract requirements on time or meet the service levels specified in the contracts, which may result in contract penalties or lost revenue; the possibility that data suppliers might withdraw data from us, leading to our inability to provide certain products and services to our clients, which could lead to decreases in our operating results; the possibility that we may not be able to attract, retain or motivate qualified technical, sales and leadership associates, or that we may lose key associates; the possibility that we may not be able to adequately adapt to rapidly changing computing environments, technologies and marketing practices;

the possibility that we will not be able to continue to receive credit upon satisfactory terms and conditions; the possibility that negative changes in economic conditions in general or other conditions might lead to a reduction in demand for our products and services; the possibility that there will be changes in consumer or business information industries and markets that negatively impact the company; the possibility that the historical seasonality of our business may change; the possibility that we will not be able to achieve cost reductions and avoid unanticipated costs; the possibility that the fair value of certain of our assets may not be equal to the carrying value of those assets now or in future time periods; the possibility that unusual charges may be incurred; the possibility that changes in accounting pronouncements may occur and may impact these forward-looking statements; the possibility that we may encounter difficulties when entering new markets or industries; the possibility that we could experience loss of data center capacity or interruption of telecommunication links; the possibility that new laws may be enacted which limit our ability to provide services to our clients and/or which limit the use of data; and other risks and uncertainties, including those detailed from time to time in our periodic reports filed with the Securities and Exchange Commission, including our current reports on Form 8-K, quarterly reports on Form 10-Q and annual reports on Form 10-K, particularly the discussion under the caption “Item 1A, RISK FACTORS” in our Annual Report on Form 10-K for the year ended March 31, 2013, which was filed with the Securities and Exchange Commission on May 29, 2013.

With respect to the provision of products or services outside our primary base of operations in the United States, all of the above factors apply, along with the difficulty of doing business in numerous sovereign jurisdictions due to differences in scale, competition, culture, laws and regulations.

We undertake no obligation to update the information contained in this press release or any other forward-looking statement.

Acxiom is a registered trademark of Acxiom Corporation.

To automatically receive Acxiom Corporation financial news by email, please visit www.acxiom.com and subscribe to email alerts.


ACXIOM CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
(Dollars in thousands, except earnings per share)


	For the Three Months Ended
	September 30,
							$				%
	2013			2012			Variance			Variance

Revenue:
Marketing and data services		200,952			198,602			2,350			1.2	%
IT Infrastructure management services		66,825			70,061			(3,236	)		(4.6	%)
Other services		8,494			8,804			(310	)		(3.5	%)
Total revenue		276,271			277,467			(1,196	)		(0.4	%)

Operating costs and expenses:
Cost of revenue		207,394			209,164			(1,770	)		(0.8	%)
Selling, general and administrative		42,859			38,063			4,796			12.6	%
Gains, losses and other items, net		6,387			32			6,355			19859.4	%

Total operating costs and expenses		256,640			247,259			9,381			3.8	%

Income from operations		19,631			30,208			(10,577	)		(35.0	%)
% Margin		7.1	%		10.9	%
Other expense:
Interest expense		(2,980	)		(3,317	)		337			10.2	%
Other, net		(350	)		(54	)		(296	)		(548.1	%)

Total other expense		(3,330	)		(3,371	)		41			1.2	%

Earnings before income taxes		16,301			26,837			(10,536	)		(39.3	%)

Income taxes		6,437			10,465			(4,028	)		(38.5	%)

Net earnings		9,864			16,372			(6,508	)		(39.8	%)

Less: Net gain (loss) attributable to noncontrolling interest		25			(139	)		164			118.0	%

Net earnings attributable to Acxiom		9,839			16,511			(6,672	)		(40.4	%)

Basic earnings per share:
Net earnings		0.13			0.22			(0.09	)		(40.9	%)
Net earnings attributable to Acxiom stockholders		0.13			0.22			(0.09	)		(40.9	%)


Diluted earnings per share:
Net earnings		0.13			0.21			(0.08	)		(38.1	%)
Net earnings attributable to Acxiom stockholders		0.13			0.21			(0.08	)		(38.1	%)


ACXIOM CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
(Dollars in thousands, except earnings per share)


	For the Six Months Ended
	September 30,
							$				%
	2013			2012			Variance			Variance

Revenue:
Marketing and data services		388,745			391,084			(2,339	)		(0.6	%)
IT Infrastructure management services		136,210			140,351			(4,141	)		(3.0	%)
Other services		17,509			17,691			(182	)		(1.0	%)
Total revenue		542,464			549,126			(6,662	)		(1.2	%)

Operating costs and expenses:
Cost of revenue		411,900			418,475			(6,575	)		(1.6	%)
Selling, general and administrative		80,474			74,827			5,647			7.5	%
Gains, losses and other items, net		6,387			192			6,195			3226.6	%

Total operating costs and expenses		498,761			493,494			5,267			1.1	%

Income from operations		43,703			55,632			(11,929	)		(21.4	%)
% Margin		8.1	%		10.1	%
Other expense:
Interest expense		(5,999	)		(6,557	)		558			8.5	%
Other, net		(246	)		(601	)		355			59.1	%

Total other expense		(6,245	)		(7,158	)		913			12.8	%

Earnings before income taxes		37,458			48,474			(11,016	)		(22.7	%)

Income taxes		14,499			18,903			(4,404	)		(23.3	%)

Net earnings		22,959			29,571			(6,612	)		(22.4	%)

Less: Net loss attributable to noncontrolling interest		(60	)		(273	)		213			78.0	%

Net earnings attributable to Acxiom		23,019			29,844			(6,825	)		(22.9	%)

Basic earnings per share:
Net earnings		0.31			0.39			(0.08	)		(20.5	%)
Net earnings attributable to Acxiom stockholders		0.31			0.39			(0.08	)		(20.5	%)


Diluted earnings per share:
Net earnings		0.30			0.38			(0.08	)		(21.1	%)
Net earnings attributable to Acxiom stockholders		0.30			0.38			(0.08	)		(21.1	%)


ACXIOM CORPORATION AND SUBSIDIARIES
RECONCILIATION OF GAAP TO NON-GAAP EPS
(Unaudited)
(Dollars in thousands, except earnings per share)

	For the Three Months Ended					For the Six Months Ended
	September 30,					September 30,
	2013		2012			2013			2012


Earnings before income taxes		16,301		26,837			37,458			48,474

Income taxes		6,437		10,465			14,499			18,903

Net earnings		9,864		16,372			22,959			29,571

Less: Net gain (loss) attributable to noncontrolling interest		25		(139	)		(60	)		(273	)

Net earnings attributable to Acxiom		9,839		16,511			23,019			29,844

Earnings per share attributable to Acxiom stockholders:

Basic		0.13		0.22			0.31			0.39

Diluted		0.13		0.21			0.30			0.38

Unusual items:
Business separation expenses		2,186		-			2,186			-
Legal settlement accruals		3,200		-			3,200			-
Restructuring charges and other adjustments		3,187		32			3,187			192

Total unusual items		8,573		32			8,573			192

Earnings before income taxes and excluding unusual items		24,874		26,869			46,031			48,666

Income taxes		9,823		10,477			17,885			18,978

Non-GAAP net earnings		15,051		16,392			28,146			29,688

Less: Net gain (loss) attributable to noncontrolling interest		25		(139	)		(60	)		(273	)

Non-GAAP net earnings attributable to Acxiom		15,026		16,531			28,206			29,961

Non-GAAP earnings per share attributable to Acxiom stockholders:

Basic		0.20		0.22			0.38			0.40

Diluted		0.20		0.21			0.37			0.39

Diluted weighted average shares		76,036		77,025			75,764			77,541


ACXIOM CORPORATION AND SUBSIDIARIES
RECONCILIATION OF GAAP TO NON-GAAP INCOME FROM OPERATIONS
(Unaudited)
(Dollars in thousands, except earnings per share)

	For the Three Months Ended				For the Six Months Ended
	September 30,				September 30,
	2013		2012		2013		2012

Income from operations		19,631		30,208		43,703		55,632

Unusual items		8,573		32		8,573		192

Income from operations before unusual items		28,204		30,240		52,276		55,824


ACXIOM CORPORATION AND SUBSIDIARIES
CALCULATION OF EARNINGS PER SHARE
(Unaudited)
(In thousands, except earnings per share)


	For the Three Months Ended

	September 30,		September 30,
	2013		2012

Basic earnings per share:
Numerator - net earnings		9,864		16,372
Denominator - weighted-average shares outstanding		73,778		75,009
Basic earnings per share		0.13		0.22

Basic earnings per share - net earnings attributable to Acxiom stockholders:
Numerator - net earnings attributable to Acxiom		9,839		16,511
Denominator - weighted-average shares outstanding		73,778		75,009
Basic earnings per share - net earnings attributable to Acxiom stockholders		0.13		0.22

Diluted earnings per share:
Numerator - net earnings		9,864		16,372
Denominator - weighted-average shares outstanding		73,778		75,009
Dilutive effect of common stock options, warrants and restricted stock		2,258		2,016
		76,036		77,025

Diluted earnings per share		0.13		0.21

Diluted earnings per share - net earnings attributable to Acxiom stockholders:
Numerator - net earnings attributable to Acxiom		9,839		16,511
Denominator - weighted-average shares outstanding		73,778		75,009
Dilutive effect of common stock options, warrants, and restricted stock		2,258		2,016
		76,036		77,025

Diluted earnings per share - net earnings attributable to Acxiom stockholders		0.13		0.21


ACXIOM CORPORATION AND SUBSIDIARIES
CALCULATION OF EARNINGS PER SHARE
(Unaudited)
(In thousands, except earnings per share)


	For the Six Months Ended

	September 30,		September 30,
	2013		2012

Basic earnings per share:
Numerator - net earnings		22,959		29,571
Denominator - weighted-average shares outstanding		73,728		75,741
Basic earnings per share		0.31		0.39

Basic earnings per share - net earnings attributable to Acxiom stockholders:
Numerator - net earnings attributable to Acxiom		23,019		29,844
Denominator - weighted-average shares outstanding		73,728		75,741
Basic earnings per share - net earnings attributable to Acxiom stockholders		0.31		0.39

Diluted earnings per share:
Numerator - net earnings		22,959		29,571
Denominator - weighted-average shares outstanding		73,728		75,741
Dilutive effect of common stock options, warrants and restricted stock		2,036		1,800
		75,764		77,541

Diluted earnings per share from continuing operations		0.30		0.38

Diluted earnings per share - net earnings attributable to Acxiom stockholders:
Numerator - net earnings attributable to Acxiom		23,019		29,844
Denominator - weighted-average shares outstanding		73,728		75,741
Dilutive effect of common stock options, warrants, and restricted stock		2,036		1,800
		75,764		77,541

Diluted earnings per share - net earningsattributable to Acxiom stockholders		0.30		0.38


ACXIOM CORPORATION AND SUBSIDIARIES
RESULTS BY SEGMENT
(Unaudited)
(Dollars in thousands)


	For the Three Months Ended

	September 30,			September 30,
Revenue:	2013			2012

Marketing and data services		200,952			198,602
IT Infrastructure management services		66,825			70,061
Other services		8,494			8,804

Total revenue		276,271			277,467


Income from operations:

Marketing and data services		16,014			22,262
IT Infrastructure management services		11,967			8,520
Other services		223			(542	)
Corporate		(8,573	)		(32	)

Total income from operations		19,631			30,208

Margin:

Marketing and data services		8.0	%		11.2	%
IT Infrastructure management services		17.9	%		12.2	%
Other services		2.6	%		-6.2	%

Total margin		7.1	%		10.9	%


ACXIOM CORPORATION AND SUBSIDIARIES
RESULTS BY SEGMENT
(Unaudited)
(Dollars in thousands)


	For the Six Months Ended

	September 30,			September 30,
Revenue:	2013			2012

Marketing and data services		388,745			391,084
IT Infrastructure management services		136,210			140,351
Other services		17,509			17,691

Total revenue		542,464			549,126


Income from operations:

Marketing and data services		28,671			40,965
IT Infrastructure management services		22,728			17,351
Other services		877			(2,492	)
Corporate		(8,573	)		(192	)

Total income from operations		43,703			55,632

Margin:

Marketing and data services		7.4	%		10.5	%
IT Infrastructure management services		16.7	%		12.4	%
Other services		5.0	%		-14.1	%

Total margin		8.1	%		10.1	%


ACXIOM CORPORATION AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(Unaudited)
(Dollars in thousands)

	September 30,			March 31,			$				%
	2013			2013			Variance			Variance
Assets
Current assets:
Cash and cash equivalents		216,616			222,974			(6,358	)		(2.9	%)
Trade accounts receivable, net		167,979			159,882			8,097			5.1	%
Deferred income taxes		13,944			13,496			448			3.3	%
Refundable income taxes		1,881			5,809			(3,928	)		(67.6	%)
Other current assets		60,052			58,935			1,117			1.9	%

Total current assets		460,472			461,096			(624	)		(0.1	%)

Property and equipment		839,828			822,439			17,389			2.1	%
Less - accumulated depreciation and amortization		617,492			591,687			25,805			4.4	%

Property and equipment, net		222,336			230,752			(8,416	)		(3.6	%)

Software, net of accumulated amortization		34,385			24,471			9,914			40.5	%
Goodwill		380,963			381,129			(166	)		(0.0	%)
Purchased software licenses, net of accumulated amortization		21,795			23,604			(1,809	)		(7.7	%)
Deferred costs, net		32,834			42,971			(10,137	)		(23.6	%)
Data acquisition costs		8,607			10,631			(2,024	)		(19.0	%)
Other assets, net		12,819			13,052			(233	)		(1.8	%)

		1,174,211			1,187,706			(13,495	)		(1.1	%)

Liabilities and Stockholders' Equity
Current liabilities:
Current installments of long-term debt		13,560			16,105			(2,545	)		(15.8	%)
Trade accounts payable		28,628			35,786			(7,158	)		(20.0	%)
Accrued payroll and related expenses		37,803			62,390			(24,587	)		(39.4	%)
Other accrued expenses		77,822			68,270			9,552			14.0	%
Deferred revenue		47,401			41,388			6,013			14.5	%
Income taxes		567			637			(70	)		(11.0	%)

Total current liabilities		205,781			224,576			(18,795	)		(8.4	%)

Long-term debt		230,713			237,400			(6,687	)		(2.8	%)

Deferred income taxes		94,634			94,918			(284	)		(0.3	%)

Other liabilities		12,814			11,444			1,370			12.0	%

Stockholders' equity:
Common stock		12,295			12,134			161			1.3	%
Additional paid-in capital		912,446			885,184			27,262			3.1	%
Retained earnings		616,985			593,966			23,019			3.9	%
Accumulated other comprehensive income		12,754			11,423			1,331			11.7	%
Treasury stock, at cost		(923,771	)		(882,959	)		(40,812	)		(4.6	%)
Total Acxiom stockholders' equity		630,709			619,748			10,961			1.8	%
Noncontrolling interest		(440	)		(380	)		(60	)		(15.8	%)

Total equity		630,269			619,368			10,901			1.8	%

		1,174,211			1,187,706			(13,495	)		(1.1	%)


ACXIOM CORPORATION AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
(Dollars in thousands)

	For the Three Months Ended

	September 30,

	2013			2012

Cash flows from operating activities:
Net earnings		9,864			16,372
Non-cash operating activities:
Depreciation and amortization		25,334			29,236
Loss on disposal or impairment of assets		-			1
Deferred income taxes		60			(2,063	)
Non-cash stock compensation expense		3,709			3,150
Changes in operating assets and liabilities:
Accounts receivable		(7,004	)		6,551
Other assets		(733	)		(3,339	)
Deferred costs		-			(627	)
Accounts payable and other liabilities		6,641			(4,668	)
Deferred revenue		2,650			(5,378	)
Net cash provided by operating activities		40,521			39,235
Cash flows from investing activities:
Capitalized software		(7,660	)		(4,074	)
Capital expenditures		(9,269	)		(8,178	)
Data acquisition costs		(913	)		(1,396	)
Net cash used by investing activities		(17,842	)		(13,648	)
Cash flows from financing activities:
Payments of debt		(4,343	)		(6,682	)
Sale of common stock		12,804			3,974
Acquisition of treasury stock		(22,698	)		(14,003	)
Net cash used by financing activities		(14,237	)		(16,711	)
Effect of exchange rate changes on cash		544			246

Net change in cash and cash equivalents		8,986			9,122
Cash and cash equivalents at beginning of period		207,630			179,282
Cash and cash equivalents at end of period		216,616			188,404

Supplemental cash flow information:
Cash paid during the period for:
Interest		2,975			3,277
Income taxes		9,924			19,971
Payments on capital leases and installment payment arrangements		2,339			4,384
Other debt payments		2,004			2,298


ACXIOM CORPORATION AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
(Dollars in thousands)

	For the Six Months Ended

	September 30,

	2013			2012

Cash flows from operating activities:
Net earnings		22,959			29,571
Non-cash operating activities:
Depreciation and amortization		50,519			60,231
Loss on disposal or impairment of assets		-			25
Deferred income taxes		(528	)		(3,466	)
Non-cash stock compensation expense		6,889			5,803
Changes in operating assets and liabilities:
Accounts receivable		(5,864	)		1,942
Other assets		145			(4,736	)
Deferred costs		-			(1,274	)
Accounts payable and other liabilities		(20,667	)		(38,132	)
Deferred revenue		3,917			(12,596	)
Net cash provided by operating activities		57,370			37,368
Cash flows from investing activities:
Capitalized software		(13,614	)		(7,747	)
Capital expenditures		(18,189	)		(11,716	)
Data acquisition costs		(2,874	)		(3,698	)
Net cash used by investing activities		(34,677	)		(23,161	)
Cash flows from financing activities:
Payments of debt		(9,233	)		(13,538	)
Sale of common stock		18,559			5,735
Acquisition of treasury stock		(38,837	)		(47,100	)
Contingent consideration paid for prior acquisitions		-			(287	)
Net cash used by financing activities		(29,511	)		(55,190	)
Effect of exchange rate changes on cash		460			(261	)

Net change in cash and cash equivalents		(6,358	)		(41,244	)
Cash and cash equivalents at beginning of period		222,974			229,648
Cash and cash equivalents at end of period		216,616			188,404

Supplemental cash flow information:
Cash paid during the period for:
Interest		5,986			6,500
Income taxes		11,008			36,134
Payments on capital leases and installment payment arrangements		5,239			8,946
Other debt payments		3,994			4,592
Noncash investing and financing activities:
Acquisition of property and equipment under capital lease
and installment payment arrangements		-			2,157


ACXIOM CORPORATION AND SUBSIDIARIES
CALCULATION OF FREE CASH FLOW AVAILABLE TO EQUITY
AND RECONCILIATION TO OPERATING CASH FLOW
(Unaudited)
(Dollars in thousands)


	06/30/12			09/30/12			12/31/12			03/31/13			YTD FY2013			06/30/13			09/30/13			YTD FY2014			TTM 9/30/12			TTM 9/30/13

Net cash provided (used) by operating activities		(1,867	)		39,235			38,543			74,221			150,132			16,849			40,521			57,370			176,351			170,134

Less:
Disposition of operations		-			-			-			-			-			-			-			-			73,468			-
Capitalized software		(3,673	)		(4,074	)		(5,443	)		(6,689	)		(19,879	)		(5,954	)		(7,660	)		(13,614	)		(11,489	)		(25,746	)
Capital expenditures		(3,538	)		(8,178	)		(10,260	)		(16,515	)		(38,491	)		(8,920	)		(9,269	)		(18,189	)		(38,596	)		(44,964	)
Data acquisition costs		(2,302	)		(1,396	)		(2,766	)		(2,106	)		(8,570	)		(1,961	)		(913	)		(2,874	)		(11,460	)		(7,746	)
Payments on capital leases and installment payment arrangements		(4,562	)		(4,384	)		(4,002	)		(3,566	)		(16,514	)		(2,900	)		(2,339	)		(5,239	)		(18,299	)		(12,807	)
Other required debt payments		(2,294	)		(2,298	)		(2,250	)		(3,515	)		(10,357	)		(1,990	)		(2,004	)		(3,994	)		(11,340	)		(9,759	)

Total		(18,236	)		18,905			13,822			41,830			56,321			(4,876	)		18,336			13,460			158,635			69,112


CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
(Dollars in thousands, except earnings per share)

																									Q2 FY14 to Q2 FY13
	06/30/12			09/30/12			12/31/12			03/31/13			YTD FY2013			06/30/13			09/30/13			YTD FY2014			%			$
Revenue:
Marketing and data services		192,482			198,602			195,146			202,510			788,740			187,793			200,952			388,745			1.2	%	2,350
IT Infrastructure management services		70,290			70,061			69,916			65,202			275,469			69,385			66,825			136,210			-4.6	%	(3,236	)
Other services		8,887			8,804			8,040			9,419			35,150			9,015			8,494			17,509			-3.5	%	(310	)
Total revenue		271,659			277,467			273,102			277,131			1,099,359			266,193			276,271			542,464			-0.4	%	(1,196	)

Operating costs and expenses:
Cost of revenue		209,311			209,164			208,848			213,317			840,640			204,506			207,394			411,900			-0.8	%	(1,770	)
Selling, general and administrative		36,764			38,063			37,482			41,681			153,990			37,615			42,859			80,474			12.6	%	4,796
Gains, losses and other items, net		160			32			(126	)		1,944			2,010			-			6,387			6,387			19859.4	%	6,355

Total operating costs and expenses		246,235			247,259			246,204			256,942			996,640			242,121			256,640			498,761			3.8	%	9,381

Income from operations		25,424			30,208			26,898			20,189			102,719			24,072			19,631			43,703			-35.0	%	(10,577	)
% Margin		9.4	%		10.9	%		9.8	%		7.3	%		9.3	%		9.0	%		7.1	%		8.1	%
Other expense
Interest expense		(3,240	)		(3,317	)		(3,178	)		(2,959	)		(12,694	)		(3,019	)		(2,980	)		(5,999	)		10.2	%	337
Other, net		(547	)		(54	)		565			188			152			104			(350	)		(246	)		-548.1	%	(296	)
Total other expense		(3,787	)		(3,371	)		(2,613	)		(2,771	)		(12,542	)		(2,915	)		(3,330	)		(6,245	)		1.2	%	41

Earnings before income taxes		21,637			26,837			24,285			17,418			90,177			21,157			16,301			37,458			-39.3	%	(10,536	)
Income taxes		8,438			10,465			9,836			4,319			33,058			8,062			6,437			14,499			-38.5	%	(4,028	)

Net earnings		13,199			16,372			14,449			13,099			57,119			13,095			9,864			22,959			-39.8	%	(6,508	)

Less: Net gain (loss) attributable
to noncontrolling interest		(134	)		(139	)		(76	)		(139	)		(488	)		(85	)		25			(60	)		118.0	%	164

Net earnings attributable to Acxiom		13,333			16,511			14,525			13,238			57,607			13,180			9,839			23,019			-40.4	%	(6,672	)

Diluted earnings per share - net earnings attributable
to Acxiom stockholders		0.17			0.21			0.19			0.18			0.75			0.17			0.13			0.30			-38.1	%	(0.08	)

ACXIOM CORPORATION AND SUBSIDIARIES
RESULTS BY SEGMENT
(Unaudited)
(Dollars in thousands)

																									Q2 FY14 to Q2 FY13
	06/30/12			09/30/12			12/31/12			03/31/13			YTD FY2013			06/30/13			09/30/13			YTD FY2014			%			$

Revenue:

Marketing and data services		192,482			198,602			195,146			202,510			788,740			187,793			200,952			388,745			1	%	2,350
IT Infrastructure management services		70,290			70,061			69,916			65,202			275,469			69,385			66,825			136,210			-5	%	(3,236	)
Other services		8,887			8,804			8,040			9,419			35,150			9,015			8,494			17,509			-4	%	(310	)

Total revenue		271,659			277,467			273,102			277,131			1,099,359			266,193			276,271			542,464			0	%	(1,196	)


Marketing and data services		18,703			22,262			18,186			20,866			80,017			12,657			16,014			28,671			-28	%	(6,248	)
IT Infrastructure management services		8,831			8,520			9,622			2,357			29,330			10,761			11,967			22,728			40	%	3,447
Other services		(1,950	)		(542	)		(1,036	)		(1,090	)		(4,618	)		654			223			877			141	%	765
Corporate		(160	)		(32	)		126			(1,944	)		(2,010	)		-			(8,573	)		(8,573	)		-26691	%	(8,541	)

Total income from operations		25,424			30,208			26,898			20,189			102,719			24,072			19,631			43,703			-35	%	(10,577	)

Margin:

Marketing and data services		9.7	%		11.2	%		9.3	%		10.3	%		10.1	%		6.7	%		8.0	%		7.4	%
IT Infrastructure management services		12.6	%		12.2	%		13.8	%		3.6	%		10.6	%		15.5	%		17.9	%		16.7	%
Other services		-21.9	%		-6.2	%		-12.9	%		-11.6	%		-13.1	%		7.3	%		2.6	%		5.0	%

Total		9.4	%		10.9	%		9.8	%		7.3	%		9.3	%		9.0	%		7.1	%		8.1	%

LiveRamp Holdings, Inc. - FORM 8-K - EX-99.1 - 2ND QUARTER FY14 EARNINGS RELEASE & FINANCIALS - November 6, 2013

Attached files

LiveRamp Holdings, Inc. Reports