QlikTech Announces Fourth Quarter and Full Year 2012 Financial Results.
* Total revenue of $137.5 million increases 27% compared to fourth
quarter of 2011
* License revenue of $93.5 million increases 24% compared to fourth
quarter of 2011
* Total revenue in the
increases 41% compared to the fourth
quarter of 2011
, Pa. — Qlik Technologies Inc. (”
(Nasdaq: QLIK), a leader in Business Discovery — user-driven Business
Intelligence (BI), today announced financial results for the fourth
quarter and full year ended
Lars Bjork, Chief Executive Officer of QlikTech, stated, “I am
pleased with our strong fourth quarter results with revenue increasing
27% year-over-year driven by enterprise sales. As we look ahead to 2013,
we continue to see strong demand for our products and we are focused on
tr. & intr.v. broad·ened, broad·en·ing, broad·ens
To make or become broad or broader.
our service offerings, further improving our customer
driving significant levels of growth, while also targeting modest
improvements in our profit margins.”
Financial Highlights for the Fourth Quarter Ended December 31, 2012
* Total revenue for the fourth quarter of 2012 was $137.5 million,
an increase of 27% from $108.1 million in the fourth quarter of 2011.
License revenue was $93.5 million, an increase of 24% from $75.7 million
in the fourth quarter of 2011. The impact of foreign exchange rate
fluctuations from the prior year reduced total revenue by less than
See generally accepted accounting principles (GAAP).
income from operations for the fourth quarter of 2012 was
$26.5 million, compared to $26.2 million for the fourth quarter of 2011.
GAAP net income was $13.3 million, or $0.15 per
tr.v. di·lut·ed, di·lut·ing, di·lutes
1. To make thinner or less concentrated by adding a liquid such as water.
2. To lessen the force, strength, purity, or brilliance of, especially by admixture.
compared to $15.6 million, or $0.18 per diluted common share, in the
fourth quarter of 2011.
* Non-GAAP income from operations was $32.3 million for the fourth
quarter of 2012, compared to $30.6 million for the fourth quarter of
2011. Non-GAAP net income was $22.0 million for the fourth quarter of
2012, or $0.25 per diluted common share, compared to $20.4 million, or
$0.23 per diluted common share, for the fourth quarter of 2011.
Financial Highlights for the Full Year Ended December 31, 2012
* Total revenue for the full year 2012 was $388.5 million, an
increase of 21% from the full year 2011 and 26% on a constant currency
basis. License revenue was $238.7 million, an increase of 17% over the
prior year and 21% on a constant currency basis.
* GAAP income from operations for the full year 2012 was $14.6
million, compared to $19.7 million for the full year 2011. GAAP net
income was $3.8 million, or $0.04 per diluted common share, compared to
$9.0 million, or $0.11 per diluted common share, for the full year
* Non-GAAP income from operations was $36.6 million for the full
year 2012, compared to $34.7 million for the full year 2011. Non-GAAP
net income was $22.9 million, or $0.26 per diluted common share, for the
full year 2012, compared to $23.1 million, or $0.27 per diluted common
share, for the full year 2011.
* Cash and cash equivalents as of December 31, 2012 were $195.8
million. Net cash provided by operating activities was $27.7 million in
2012, as compared to $16.7 million in 2011.
The tables at the end of this press release include a reconciliation
of GAAP to non-GAAP income from operations and net income for the three
and twelve months ended December 31, 2012 and 2011. An explanation of
these measures is also included below under the heading “Non-GAAP
Announces CFO Transition
QlikTech today announced Bill Sorenson’s intention to resign as
Chief Financial Officer for personal reasons. The company has initiated
a search to identify a Chief Financial Officer and expects to conclude
the search process
Acting or done with speed and efficiency. See Synonyms at fast1.
. Mr. Sorenson plans to continue as
Chief Financial Officer of QlikTech until a
is named in order
to facilitate an
/or·der·ly/ () an attendant in a hospital who works under the direction of a nurse.
An attendant in a hospital.
transition of his responsibilities.
Mr. Bjork said, “On behalf of the Board of Directors and the
QlikTech management team, I want to thank Bill for his many years of
service to the company. Since joining QlikTech in 2008, Bill has played
an integral role in the company’s growth, including taking us
and building a strong global finance and IT team. I am
confident that our team is well prepared to support the continued
execution of our strategic vision and growth goals and I appreciate
Bill’s commitment to ensuring a smooth transition. We wish him all
* For the fourth quarter of 2012, on a constant currency basis,
revenue in the Americas increased 42% over the prior year period,
, 6th largest continent, c.4,000,000 sq mi (10,360,000 sq km) including adjacent islands (1992 est. pop. 512,000,000).
increased 20% over the prior year period, and
revenue from Rest of World increased 34% over the prior year period.
* Added new customers during the fourth quarter of 2012 including
Alliance Healthcare France,
, Infrastructure Development Finance
officially Republic of India, republic (2005 est pop. 1,080,264,000), 1,261,810 sq mi (3,268,090 sq km), S Asia. The second most populous country in the world, it is also sometimes called Bharat, its ancient name. India’s land frontier (c.
London Borough of Camden
industrial city (1990 pop. 139,426), seat of Winnebago co., N Ill., on the Rock River near the Wis. line; inc. 1839 with the merger of two settlements on opposite sides of the river.
Health System and Toyota Motor Corporation
, smallest continent, between the Indian and Pacific oceans. With the island state of Tasmania to the south, the continent makes up the Commonwealth of Australia, a federal parliamentary state (2005 est. pop.
* Expanded numerous customer engagements globally through our land
and expand strategy including
, Walter Percy 1875-1940.
American automobile manufacturer who founded the Chrysler Corporation (1925).
Global Insurance Solutions, Fiat Italia S.p.A,
, Multiplan, The
, city (1990 pop. 16,192), Jefferson co., SE Tex.; founded by Dutch settlers as a rice-farming community in 1897, inc. 1940.
BV, SodaStream, SunTrust Bank, Telecom Italia S.p.A., Telstra
Corporation Limited and
* Completed 177 deals with license and first year maintenance over
$100,000 in the fourth quarter of 2012, including 52 deals over
$250,000, compared to 159 deals over $100,000 and 35 deals over $250,000
in the same period last year.
* Continued success with land and expand strategy with 67% of
license and first year maintenance
city (1990 pop. 81,151), seat of Yellowstone co., S Mont., on the Yellowstone River, in a valley surrounded by seven mountain ranges; inc. as a city 1885.
in the fourth quarter of
2012 from existing customers.
* Generated 51% of license and first year maintenance billings from
our indirect partner channel and 49% from our direct channel in the
fourth quarter of 2012.
Based on information available as of
14, 2013, QlikTech is
issuing guidance for the first quarter and full year 2013 as
(1) Expectations of non-GAAP income (loss) from operations exclude
stock-based compensation expense, employer
taxes on stock
transactions, and amortization of intangible assets. (2) Assumes an
estimated long-term effective tax rate of 30% and weighted average
shares outstanding of 86 million. (3) Assumes an estimated long-term
effective tax rate of 30% and weighted average shares outstanding of 89
QlikTech’s first quarter 2013 guidance reflects seasonal
revenue patterns as well as costs related to the company’s annual
employee summit which was held in
2013, along with higher
overall personnel expenses and related costs as a result of continued
hiring, and seasonal increases in employer payroll taxes and benefit
QlikTech’s expectations of total revenue, non-GAAP income
(loss) from operations and non-GAAP income (loss) per diluted common
share for the first quarter and full year 2013 assume that foreign
currency exchange rates for the first quarter and full year 2013 will
To bring together, as cut edges of tissue.
1. Relating to the contact surfaces, either proximal or distal, of two adjacent teeth; proximate.
2. Close together.
current exchange rates.
QlikTech currently intends to publish, in each quarterly earnings
release, certain expectations with respect to future financial
performance. Those statements, including the guidance provided above,
are forward looking, and actual results may differ materially.
Conference Call and Webcast Information
QlikTech will host a conference call on
, February 14, 2013
at 5:00 p.m. Eastern Time (ET) to discuss the company’s fourth
quarter and full year financial results and its business outlook. To
access this call, dial (877) 312-5507 (domestic) or (253) 237-1134
(international). The presentation will be webcast live and available
under the “Events & Presentations” section on
http://investor.qlikview.com/. Following the conference call, a replay
will be available until February 19, 2013 at (855) 859-2056 (domestic)
or (404) 537-3406 (international). The replay pass code is 86090013. An
archived webcast of this conference call will also be available under
the “Events & Presentations” section on QlikTech’s
Non-GAAP Financial Measures
To supplement the
consolidated financial statements
officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world’s third largest country in population and the fourth largest country in area.
, or GAAP, QlikTech uses measures of non-GAAP income (loss) from
operations, non-GAAP net income (loss), non-GAAP net income (loss) per
basic and diluted common share and constant currency. A reconciliation
of these non-GAAP financial measures to the closest GAAP financial
measure, is presented in the financial tables below under the headings
“Reconciliation of Non-GAAP Measures to GAAP” and
“Reconciliation of Non-GAAP Revenue to GAAP Revenue.” QlikTech
believes that the non-GAAP financial information provided in this
release can assist investors in understanding and assessing
QlikTech’s on-going core operations and prospects for the future
and provides an additional tool for investors to use in comparing
QlikTech’s financial results with other companies in
QlikTech’s industry, many of which present similar non-GAAP
financial measures to investors. In addition, QlikTech believes that
these non-GAAP financial measures are useful to investors because they
allow for greater
into the indicators used by management as
a basis for its internal budgeting and operational decision making.
For the three months and full year ended December 31, 2012 and 2011,
non-GAAP income from operations is determined by taking income from
operations and adding back stock-based compensation expense, employer
payroll taxes on stock transactions, amortization of intangible assets,
consideration adjustment and lease
Non-GAAP net income is determined by taking GAAP net income before
provision for income taxes and adding back stock-based compensation
expense, employer payroll taxes on stock transactions, amortization of
intangible assets, contingent consideration adjustment and lease
termination costs and the result is tax affected at an estimated
long-term effective tax rate of 32%. QlikTech believes these adjustments
provide useful information to both management and investors due to the
* Stock-based compensation. Although stock-based compensation is an
important aspect of the compensation of QlikTech’s employees and
executives, determining the fair value of the stock-based instruments
involves a high degree of judgment and
and the expense
recorded may bear little
to the actual value realized upon
the future exercise or termination of the related stock-based awards.
Furthermore, unlike cash compensation, the value of stock-based
compensation is determined using a complex formula that incorporates
factors, such as market
, that are beyond QlikTech’s
control. Management believes it is useful to exclude stock-based
compensation in order to better understand the long-term performance of
QlikTech’s core business and to facilitate comparison of its
results to those of peer companies.
* Employer payroll taxes on stock transactions. The amount of
employer payroll taxes on stock transactions is dependent on
QlikTech’s stock price and other factors that are beyond
QlikTech’s control and do not correlate to the operation of its
* Amortization of intangible assets. A portion of the purchase price
of QlikTech’s acquisitions is generally allocated to intangible
assets, such as intellectual property, and is subject to amortization.
However, QlikTech does not acquire businesses on a predictable cycle.
Additionally, the amount of an acquisition’s purchase price
allocated to intangible assets and the term of its related amortization
can vary significantly and are unique to each acquisition. Therefore,
management believes that the presentation of non-GAAP financial measures
that adjust for the amortization of intangible assets provides investors
and others with a consistent basis for comparison across accounting
* Contingent consideration adjustment. In January 2010, QlikTech
acquired Syllogic Corporation, a
of QlikView software in Japan.
The purchase price included contingent cash consideration of up to $0.8
million. At each reporting date, management remeasures the contingent
consideration at fair value until the
n. an event that might not occur.
is resolved. During
the three months ended December 31, 2011, a charge of $0.3 million was
recorded related to changes in fair value of contingent consideration
liabilities and is included in QlikTech’s
v. con·sol·i·dat·ed, con·sol·i·dat·ing, con·sol·i·dates
1. To unite into one system or whole; combine:
income. Management believes that these costs are generally non-recurring
and do not correlate to the ongoing operation of its business.
* Lease termination costs. Lease termination costs include
termination costs to settle lease obligations related to facilities that
are no longer occupied as well as the
improvements related to those facilities that are no longer in use.
Management believes that these costs are generally non-recurring and do
not correlate to the ongoing operation of its business.
To determine the revenue
on a constant currency basis
for the three months and full year ended December 31, 2012, revenue from
entities reporting in foreign currencies was translated into U.S.
dollars using the comparable prior year period’s foreign currency
This press release includes forward-looking non-GAAP financial
measures under the heading “Business Outlook”. These non-GAAP
financial measures were determined by excluding stock-based compensation
expense, employer payroll taxes on stock transactions, and amortization
of intangible assets and assuming an estimated long-term tax rate of
30%. QlikTech’s expectations of its estimated long-term effective
tax rate are being revised for 2013 from 32% to 30% as a result of
reductions in the corporate tax rates in several foreign jurisdictions
where it operates. We are unable to reconcile this non-GAAP guidance to
GAAP because it is difficult to predict the future impact of these
adjustments. In addition, these forward-looking non-GAAP financial
measures assume that foreign currency exchange rates for the first
quarter and full year 2013 will approximate current foreign currency
The presentation of these non-GAAP financial measures is not
intended to be considered in isolation or as a substitute for results
prepared in accordance with GAAP. The principal limitation of these
non-GAAP financial measures is that they exclude significant elements
that are required by GAAP to be recorded in QlikTech’s financial
statements. In addition, they are subject to inherent limitations as
they reflect the exercise of judgments by management in determining
these non-GAAP financial measures. In order to compensate for these
limitations, management of QlikTech presents its non-GAAP financial
measures in connection with its GAAP results. Investors are encouraged
to review the reconciliation of our non-GAAP financial measures to their
most directly comparable GAAP financial measure. As previously
mentioned, a reconciliation of our historic non-GAAP financial measures
to their most directly comparable GAAP measures has been provided
QlikTech (NASDAQ: QLIK) is a leader in Business
Discovery–user-driven Business Intelligence (BI). Its QlikView Business
Discovery solution bridges the gap between traditional BI solutions and
applications. The in-memory
1. Of, characterized by, resulting from, or causing association.
2. Mathematics Independent of the grouping of elements.
technology QlikTech pioneered created the self-service BI category,
allowing users to explore information freely rather than being
v. con·fined, con·fin·ing, con·fines
1. To keep within bounds; restrict: See Synonyms at limit.
to a predefined path of questions. Appropriate from
to the largest
global enterprise, QlikView’s self-service analysis can be deployed
in days or weeks. The QlikView Business Discovery
platform’s app-driven model works with existing BI solutions,
offering an immersive mobile and social,
intr.v. col·lab·o·rat·ed, col·lab·o·rat·ing, col·lab·o·rates
1. To work together, especially in a joint intellectual effort.
, QlikTech has offices around the
1. Almost exact or correct:
27,000 customers in over 100 countries.
for Forward-Looking Statements
This press release contains forward-looking statements, including,
but not limited to, the guidance provided under the heading
“Business Outlook” above, statements regarding the value and
effectiveness of QlikTech’s products, the introduction of product
enhancements or additional products and QlikTech’s growth,
expansion and market leadership, that involve risks, uncertainties,
assumptions and other factors which, if they do not
v. ma·te·ri·al·ized, ma·te·ri·al·iz·ing, ma·te·ri·al·iz·es
1. To cause to become real or actual:
correct, could cause QlikTech’s results to differ materially from
those expressed or
by such forward-looking statements. All
statements, other than statements of historical fact, are statements
that could be deemed forward-looking statements, including statements
containing the words “predicts,” “plan,”
“expects,” “focus,” “anticipates,”
“believes,” “goal,” “target,”
“estimate,” “potential,” “may,”
“will,” “might,” “momentum,”
“could,” “seek,” and similar words. QlikTech intends
all such forward-looking statements to be covered by the safe harbor
provisions for forward-looking statements contained in Section 21E of
the Exchange Act and the
Private Securities Litigation Reform Act
1995. Actual results may differ materially from those projected in such
statements due to various factors, including but not limited to: risks
and uncertainties inherent in our business; our ability to attract new
customers and retain existing customers; our ability to effectively
sell, service and support our products; our ability to manage our
; our ability to compete effectively; our
ability to develop and introduce new products and add-ons or
enhancements to existing products; our ability to continue to promote
and maintain our brand in a cost-effective manner; our ability to manage
growth; our ability to attract and retain key personnel; currency
fluctuations that affect our revenues and costs; the scope and validity
of intellectual property rights applicable to our products; adverse
economic conditions in general and adverse economic conditions
specifically affecting the markets in which we operate; and other risks
more fully described in QlikTech’s publicly available filings with
the Securities and Exchange Commission. Past performance is not
of future results. The forward-looking statements
included in this press release represent QlikTech’s views as of the
date of this press release. QlikTech anticipates that subsequent events
and developments will cause its views to change. QlikTech undertakes no
intention or obligation to update or revise any forward-looking
statements, whether as a result of new information, future events or
otherwise. These forward-looking statements should not be relied upon as
representing QlikTech’s views as of any date subsequent to the date
of this press release.
QlikTech and QlikView are trademarks or registered trademarks of
QlikTech or its subsidiaries in the U.S. and other countries. Other
company names, product names and company logos mentioned herein are the
trademarks, or registered trademarks of their respective owners.
*Income tax adjustment is used to adjust the GAAP benefit or
provision for income taxes to a non-GAAP benefit or provision for income
taxes utilizing an estimated long- term effective tax rate of 32%.