Procore Announces Fourth Quarter and Full Year 2021 Financial Results

Non-GAAP Gross Profit, Non-GAAP Gross Margin, Non-GAAP Operating Expenses, Non-GAAP Loss from Operations, Non-GAAP Operating Margin, Non-GAAP Net Loss and Non-GAAP Net Loss per Share: Procore defines these non-GAAP financial measures as the respective GAAP measures, excluding stock-based compensation expense, amortization of acquired intangible assets, employer payroll tax related to employee stock transactions, acquisition-related expenses, restructuring-related charges, and the income tax effect of non-GAAP items. Non-GAAP gross margin is the ratio calculated by dividing non-GAAP gross profit by total revenue. Non-GAAP operating margin is the ratio calculated by dividing non-GAAP loss from operations by total revenue.

Because of varying available valuation methodologies, subjective assumptions, and the variety of equity instruments that can impact a company's non-cash expenses, Procore believes that providing non-GAAP financial measures that exclude stock-based compensation expense allow for meaningful comparisons between its operating results from period to period. The expense related to amortization of acquired intangible assets is dependent upon estimates and assumptions, which can vary significantly and are unique to each asset acquired; therefore, Procore believes non-GAAP measures that adjust for the amortization of acquired intangible assets provide investors a consistent basis for comparison across accounting periods. The amount of employer payroll tax-related items on employee stock transactions is dependent on restricted stock unit settlements, option exercises, related stock price, and other factors that are beyond Procore’s control and that do not correlate to the operation of the business. When evaluating the performance of its business and making operating plans, Procore does not consider these items (for example, when considering the impact of equity award grants, the company places a greater emphasis on overall stockholder dilution than the accounting charges associated with such grants). Additionally, acquisition-related expenses, such as transaction costs and retention payments, are expenses that are not necessarily reflective of operational performance during a period. Procore believes that the exclusion of acquisition-related expenses provides for a useful comparison of our operating results to prior periods and to its peer companies, which commonly exclude these expenses. Income tax benefits relate to the release of a portion of our valuation allowance as a result of deferred tax liabilities recorded related to acquisitions that are available sources of income to realize our deferred tax assets. We exclude the income tax effect associated with our acquisitions from certain of our non-GAAP financial measures because we believe that excluding this provides meaningful supplemental information regarding our operational performance. Lastly, we exclude the restructuring-related charges because these charges are not reflective of ongoing business and operating results. We believe it is useful for investors to understand its effects on our total operating expenses. Overall, Procore believes it is useful to exclude these expenses in order to better understand the long-term performance of its core business and to facilitate comparison of its results period-over-period and to those of peer companies. All of these non-GAAP financial measures are important tools for financial and operational decision-making and for evaluating Procore's own operating results over different periods of time.

Non-GAAP financial measures may not provide information that is directly comparable to information provided by other companies in Procore's industry, as other companies in the industry may calculate non-GAAP financial measures differently. In addition, there are limitations in using non-GAAP financial measures because non-GAAP financial measures are not prepared in accordance with GAAP, may be different from non-GAAP financial measures used by other companies, and exclude expenses that may have a material impact on Procore's reported financial results. Further, stock-based compensation expense has been, and will continue to be for the foreseeable future, a significant recurring expense in Procore's business and an important part of the compensation provided to its employees. The presentation of non-GAAP financial information is not meant to be considered in isolation or as a substitute for the directly comparable financial measures prepared in accordance with GAAP. Investors should review the reconciliation of non-GAAP financial measures to the comparable GAAP financial measures included below, and not rely on any single financial measure to evaluate Procore's business.

Free Cash Flow: Procore defines free cash flow as net cash provided by operating activities, less purchases of property and equipment and capitalized software development costs. Procore believes free cash flow is an important liquidity measure of the cash (if any) that is available, after our operating activities and capital expenditures. Procore uses free cash flow in conjunction with traditional GAAP measures to assess its liquidity and evaluate the effectiveness of its business strategies. Once Procore’s business needs and obligations are met, cash can be used to maintain a strong balance sheet and invest in future growth.

About Procore

Procore is a leading global provider of construction management software. Over 1 million projects and more than $1 trillion USD in construction volume have run on Procore's platform. Procore’s platform connects key project stakeholders to solutions Procore has built specifically for the construction industry—for the owner, the general contractor, and the specialty contractor. Procore's App Marketplace has a multitude of partner solutions that integrate seamlessly with Procore’s platform, giving construction professionals the freedom to connect with what works best for them. Headquartered in Carpinteria, California, Procore has offices around the globe. Learn more at Procore.com.

PROCORE-IR

Procore Technologies, Inc.

Condensed Consolidated Statements of Operations

(unaudited)

 
 

 

Three Months Ended
December 31,

 

 

Year Ended
December 31,

 

(in thousands, except share and per share amounts)

2021

 

 

2020

 

 

2021

 

 

2020

 

Revenue

$

146,103

 

 

$

109,510

 

 

$

514,821

 

 

$

400,291

 

Cost of revenue (1)(2)(3)(4)(5)

 

29,767

 

 

 

19,074

 

 

 

98,312

 

 

 

71,663

 

Gross profit

 

116,336

 

 

 

90,436

 

 

 

416,509

 

 

 

328,628

 

Operating expenses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Sales and marketing (1)(2)(3)(4)(5)

 

84,285

 

 

 

50,922

 

 

 

308,511

 

 

 

189,032

 

Research and development (1)(2)(3)(4)(5)

 

60,671

 

 

 

35,406

 

 

 

237,290

 

 

 

124,661

 

General and administrative (1)(3)(4)(5)

 

45,830

 

 

 

25,695

 

 

 

156,635

 

 

 

73,465

 

Total operating expenses

 

190,786

 

 

 

112,023

 

 

 

702,436

 

 

 

387,158

 

Loss from operations

 

(74,450

)

 

 

(21,587

)

 

 

(285,927

)

 

 

(58,530

)

Interest expense, net

 

(494

)

 

 

(567

)

 

 

(2,153

)

 

 

(2,060

)

Change in fair value of Series I redeemable convertible

convertible preferred stock warrant liability

 

-

 

 

 

(27,387

)

 

 

-

 

 

 

(36,990

)

Other income (expense), net

 

37

 

 

 

649

 

 

 

(843

)

 

 

420

 

Loss before benefit from income taxes

 

(74,907

)

 

 

(48,892

)

 

 

(288,923

)

 

 

(97,160

)

Benefit from income taxes

 

(23,935

)

 

 

(1,461

)

 

 

(23,758

)

 

 

(993

)

Net loss

$

(50,972

)

 

$

(47,431

)

 

$

(265,165

)

 

$

(96,167

)

Less: Recognition of beneficial conversion feature on

preferred stock as a deemed dividend

 

-

 

 

 

(2,477

)

 

 

-

 

 

 

(3,024

)

Net loss attributable to common stockholders

$

(50,972

)

 

$

(49,908

)

 

$

(265,165

)

 

$

(99,191

)

Net loss per share attributable to common stockholders,

basic and diluted

$

(0.38

)

 

$

(1.72

)

 

$

(2.86

)

 

$

(3.56

)

Weighted-average shares used in computing net loss

per share attributable to common stockholders, basic

and diluted

 

132,892,072

 

 

 

29,074,828

 

 

 

92,673,453

 

 

 

27,895,546

 

 


« Previous Page 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8  Next Page »



© 2024 Internet Business Systems, Inc.
670 Aberdeen Way, Milpitas, CA 95035
+1 (408) 882-6554 — Contact Us
ShareCG™ is a trademark of Internet Business Systems, Inc.

Report a Bug Report Abuse Make a Suggestion About Privacy Policy Contact Us User Agreement Advertise