CHICAGO, April 29, 2015 /PRNewswire/ -- GrubHub Inc.
(NYSE: GRUB), the leading takeout marketplace, today announced
financial results for the quarter ended March 31, 2015.
"Positive seasonal tailwinds and good organic growth propelled
GrubHub to record top line and bottom line results in the first
quarter," commented Matt Maloney,
CEO. "We continue to broaden and deepen our reach, with 5.6 million
diners generating more than 21 million orders for our 35,000
restaurant partners in the first three months of the year. Due to
our strong growth in diners, Daily Average Grubs grew 30 percent
compared to the first quarter last year."
First Quarter 2015 Highlights
The following results reflect the financial performance and key
operating metrics of our business for the three months ended
March 31, 2015 as compared to the
same period in 2014.
First Quarter Financial Highlights
- Revenues: $88.2 million, a 51%
year-over-year increase from $58.6
million in the first quarter of 2014.
- Non-GAAP Adjusted EBITDA: $28.3
million, a 72% year-over-year increase from $16.4 million in the first quarter of 2014.
- Net Income: $10.6 million, a 143%
year-over-year increase from $4.4
million in the first quarter of 2014.
First Quarter Key Business Metrics Highlights
- Active Diners were 5.60 million, a 46% year-over-year increase
from 3.85 million Active Diners in the first quarter of 2014.
- Daily Average Grubs were 234,700, a 30% year-over-year increase
from 181,200 Daily Average Grubs in the first quarter of 2014.
- Gross Food Sales were $590
million, a 36% year-over-year increase from $433 million processed in the first quarter of
2014.
"As previously announced, in addition to the DiningIn
acquisition we closed in early February, we completed our
acquisition of Restaurants on the Run later in the month and
continue to be excited about providing delivery as part of an
integrated suite of products for our independent restaurant
partners," noted Maloney. "We believe that by providing the last
mile, we can improve the diner experience, increase the total
market and potentially lower the cost of delivery by leveraging our
unequaled scale."
Second Quarter and Full Year 2015 Guidance
Based on information available as of April 29, 2015, the company is providing the
following financial guidance for the second quarter and full year
of 2015:
|
Second Quarter
2015
|
|
Full Year
2015
|
|
(in
millions)
|
|
Expected revenue
range
|
$83.5 -
$85.5
|
|
$346 -
$361
|
|
Expected Adjusted
EBITDA range
|
$23.0 -
$25.0
|
|
$101 -
$109
|
First Quarter 2015 Financial Results Conference
Call: GrubHub will webcast a conference call today at
9 a.m. CT to discuss the first
quarter 2015 financial results. The webcast can be accessed on the
GrubHub Investor Relations website at http://investors.grubhub.com,
along with the company's earnings press release and financial
tables. A replay of the webcast will be available at the same
website until May 5th, 2015.
About GrubHub
GrubHub (NYSE: GRUB) is one of the
nation's largest portfolios of online and mobile takeout food
ordering and delivery services. Connecting diners to more than
35,000 restaurants in more than 900 U.S. cities and London, the company's platforms and services
strive to make takeout better through innovative restaurant
technology, easy-to-use platforms and an improved delivery
experience. The GrubHub Inc. portfolio of brands includes GrubHub,
Seamless, AllMenus, MenuPages, Restaurants on the Run and
DiningIn.
Use of Forward Looking Statements:
This press release
contains forward-looking statements regarding our management's
future expectations, beliefs, intentions, goals, strategies, plans
and prospects, including the expected financial performance of
GrubHub following its recent acquisitions. Such statements
constitute "forward-looking" statements, which are
subject to the safe harbor provisions of the U.S. Private
Securities Litigation Reform Act of 1995. Forward-looking
statements involve known and unknown risks, uncertainties and
assumptions that could cause actual results, performance or
achievements to differ materially from any future results,
performance or achievements expressed or implied by the
forward-looking statements. Such risks and uncertainties include,
but are not limited to, the matters set forth in the filings that
we make with the Securities and Exchange Commission from time to
time, including those set forth in the section entitled "Risk
Factors" in our Annual Report on Form 10-K filed on
March 5, 2015, which are on file with
the SEC and are available on the Investor Relations section of our
website at http://investors.grubhub.com/. Additional information
will be set forth in our Quarterly Report on Form 10-Q that will be
filed for the quarter ended March 31,
2015, which should be read in conjunction with these
financial results. Please also note that forward-looking statements
represent our management's beliefs and assumptions only as of the
date of this press release. Except as required by law, we assume no
obligation to publicly update these forward-looking statements, or
to update the reasons actual results could differ materially from
those anticipated in the forward-looking statements, even if new
information, becomes available in the future.
Use of Non-GAAP Financial Measures
Adjusted EBITDA is
a financial measure that is not calculated in accordance with
accounting principles generally accepted in the United States, or GAAP.
We define Adjusted EBITDA as net income adjusted to exclude
merger and restructuring costs, income taxes, depreciation and
amortization and stock-based compensation expense. We use Adjusted
EBITDA as a key performance measure because we believe it
facilitates operating performance comparisons from period to period
by excluding potential differences primarily caused by variations
in capital structures, tax positions, the impact of acquisitions
and restructuring, the impact of depreciation and amortization
expense on our fixed assets and the impact of stock-based
compensation expense. Adjusted EBITDA is not a measurement of our
financial performance under GAAP and should not be considered as an
alternative to performance measures derived in accordance with
GAAP.
See "Schedule of Non-GAAP Adjusted EBITDA
Reconciliation" below for a reconciliation of net income to
Adjusted EBITDA.
|
Contacts:
|
|
|
Anan
Kashyap
|
Abby Hunt
|
|
Corporate Finance
& Investor Relations
|
Press
|
|
ir@grubhub.com
|
press@grubhub.com
|
|
|
|
GRUBHUB
INC.
CONDENSED
STATEMENTS OF OPERATIONS – UNAUDITED
(in thousands,
except per share data)
|
|
|
Three Months Ended
March 31,
|
|
|
2015
|
|
|
2014
|
|
|
Revenues
|
$
|
88,249
|
|
|
$
|
58,613
|
|
|
Costs and
expenses:
|
|
|
|
|
|
|
|
|
Sales and
marketing
|
|
24,107
|
|
|
|
16,117
|
|
|
Operations and
support
|
|
22,701
|
|
|
|
15,107
|
|
|
Technology (exclusive
of amortization)
|
|
7,666
|
|
|
|
5,347
|
|
|
General and
administrative
|
|
9,101
|
|
|
|
8,324
|
|
|
Depreciation and
amortization
|
|
6,249
|
|
|
|
5,515
|
|
|
Total costs and
expenses
|
|
69,824
|
|
|
|
50,410
|
|
|
Income before
provision for income taxes
|
|
18,425
|
|
|
|
8,203
|
|
|
Provision for income
taxes
|
|
7,855
|
|
|
|
3,850
|
|
|
Net income
attributable to common stockholders
|
$
|
10,570
|
|
|
$
|
4,353
|
|
|
Net income per share
attributable to common stockholders:
|
|
|
|
|
|
|
|
|
Basic
|
$
|
0.13
|
|
|
$
|
0.08
|
|
|
Diluted
|
$
|
0.12
|
|
|
$
|
0.06
|
|
|
Weighted average
shares used to compute net income per share attributable to common
stockholders:
|
|
|
|
|
|
|
|
|
Basic
|
|
82,783
|
|
|
|
55,210
|
|
|
Diluted
|
|
85,098
|
|
|
|
77,365
|
|
|
|
KEY OPERATING
METRICS
|
|
|
Three Months Ended
March 31,
|
|
|
2015
|
|
|
2014
|
|
|
Active Diners
(000s)
|
|
5,604
|
|
|
|
3,851
|
|
|
Daily Average
Grubs
|
|
234,700
|
|
|
|
181,200
|
|
|
Gross Food Sales
(millions)
|
$
|
589.9
|
|
|
$
|
433.0
|
|
|
|
|
GRUBHUB
INC.
|
|
|
CONDENSED
CONSOLIDATED BALANCE SHEETS - UNAUDITED
|
|
|
(in thousands,
except share data)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
March 31,
2015
|
|
|
December 31,
2014
|
|
|
ASSETS
|
|
|
|
|
|
|
|
|
CURRENT
ASSETS:
|
|
|
|
|
|
|
|
|
Cash and cash
equivalents
|
$
|
188,155
|
|
|
$
|
201,796
|
|
|
Short term
investments
|
|
110,069
|
|
|
|
111,341
|
|
|
Accounts receivable,
less allowances for doubtful accounts
|
|
49,614
|
|
|
|
36,127
|
|
|
Deferred taxes,
current
|
|
792
|
|
|
|
825
|
|
|
Prepaid
expenses
|
|
2,915
|
|
|
|
2,940
|
|
|
Total current
assets
|
|
351,545
|
|
|
|
353,029
|
|
|
PROPERTY AND
EQUIPMENT:
|
|
|
|
|
|
|
|
|
Property and
equipment, net of depreciation and amortization
|
|
16,102
|
|
|
|
16,003
|
|
|
OTHER
ASSETS:
|
|
|
|
|
|
|
|
|
Other
assets
|
|
3,507
|
|
|
|
3,543
|
|
|
Goodwill
|
|
387,385
|
|
|
|
352,788
|
|
|
Acquired intangible
assets, net of amortization
|
|
289,495
|
|
|
|
254,339
|
|
|
Total other
assets
|
|
680,387
|
|
|
|
610,670
|
|
|
TOTAL
ASSETS
|
$
|
1,048,034
|
|
|
$
|
979,702
|
|
|
LIABILITIES AND
STOCKHOLDERS' EQUITY
|
|
|
|
|
|
|
|
|
CURRENT
LIABILITIES:
|
|
|
|
|
|
|
|
|
Restaurant food
liability
|
$
|
115,892
|
|
|
$
|
91,575
|
|
|
Accounts
payable
|
|
4,060
|
|
|
|
3,371
|
|
|
Accrued
payroll
|
|
3,695
|
|
|
|
5,958
|
|
|
Taxes
payable
|
|
707
|
|
|
|
1,660
|
|
|
Other
accruals
|
|
12,211
|
|
|
|
8,441
|
|
|
Total current
liabilities
|
|
136,565
|
|
|
|
111,005
|
|
|
LONG TERM
LIABILITIES:
|
|
|
|
|
|
|
|
|
Deferred taxes,
non-current
|
|
93,430
|
|
|
|
92,244
|
|
|
Other
accruals
|
|
5,826
|
|
|
|
5,931
|
|
|
Total long term
liabilities
|
|
99,256
|
|
|
|
98,175
|
|
|
Commitments and
Contingencies
|
|
|
|
|
|
|
|
|
STOCKHOLDERS'
EQUITY:
|
|
|
|
|
|
|
|
|
Common stock, $0.0001
par value
|
|
8
|
|
|
|
8
|
|
|
Accumulated other
comprehensive loss
|
|
(555)
|
|
|
|
(262)
|
|
|
Additional paid-in
capital
|
|
721,366
|
|
|
|
689,953
|
|
|
Retained
earnings
|
|
91,394
|
|
|
|
80,823
|
|
|
Total Stockholders'
Equity
|
$
|
812,213
|
|
|
$
|
770,522
|
|
|
TOTAL LIABILITIES AND
STOCKHOLDERS' EQUITY
|
$
|
1,048,034
|
|
|
$
|
979,702
|
|
|
|
|
GRUBHUB
INC.
|
|
|
CONSOLIDATED
STATEMENTS OF CASH FLOWS - UNAUDITED
|
|
|
(in
thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
March 31,
|
|
|
|
2015
|
|
|
2014
|
|
|
CASH FLOWS FROM
OPERATING ACTIVITIES
|
|
|
|
|
|
|
|
|
|
Net income
|
|
$
|
10,570
|
|
|
$
|
4,353
|
|
|
Adjustments to
reconcile net income to net cash from operating
activities:
|
|
|
|
|
|
|
|
|
|
Depreciation
|
|
|
1,215
|
|
|
|
1,168
|
|
|
Provision for doubtful
accounts
|
|
|
93
|
|
|
|
361
|
|
|
Deferred
taxes
|
|
|
1,219
|
|
|
|
3,208
|
|
|
Intangible asset
amortization
|
|
|
5,034
|
|
|
|
4,347
|
|
|
Tenant allowance
amortization
|
|
|
(40)
|
|
|
|
(40)
|
|
|
Stock-based
compensation
|
|
|
3,007
|
|
|
|
2,403
|
|
|
Deferred
rent
|
|
|
(1)
|
|
|
|
(21)
|
|
|
Investment premium
amortization
|
|
|
280
|
|
|
|
—
|
|
|
Change in assets and
liabilities, net of the effects of business
acquisitions:
|
|
|
|
|
|
|
|
|
|
Accounts
receivable
|
|
|
(11,862)
|
|
|
|
(10,994)
|
|
|
Prepaid expenses and
other assets
|
|
|
255
|
|
|
|
626
|
|
|
Restaurant food
liability
|
|
|
24,376
|
|
|
|
18,678
|
|
|
Accounts
payable
|
|
|
(1,826)
|
|
|
|
(56)
|
|
|
Accrued
payroll
|
|
|
(3,146)
|
|
|
|
943
|
|
|
Other
accruals
|
|
|
1,248
|
|
|
|
2,860
|
|
|
Net cash provided by
operating activities
|
|
|
30,422
|
|
|
|
27,836
|
|
|
CASH FLOWS FROM
INVESTING ACTIVITIES
|
|
|
|
|
|
|
|
|
|
Purchases of
investments
|
|
|
(37,068)
|
|
|
|
—
|
|
|
Proceeds from maturity
of investments
|
|
|
38,060
|
|
|
|
—
|
|
|
Capitalized website
and development costs
|
|
|
(1,213)
|
|
|
|
(449)
|
|
|
Purchases of property
and equipment
|
|
|
(441)
|
|
|
|
(1,776)
|
|
|
Acquisitions of
businesses, net of cash acquired
|
|
|
(55,506)
|
|
|
|
-
|
|
|
Net cash used in
investing activities
|
|
|
(56,168)
|
|
|
|
(2,225)
|
|
|
CASH FLOWS FROM
FINANCING ACTIVITIES
|
|
|
|
|
|
|
|
|
|
Repurchases of common
stock
|
|
|
—
|
|
|
|
(116)
|
|
|
Proceeds from exercise
of stock options
|
|
|
5,823
|
|
|
|
1,036
|
|
|
Excess tax benefit
related to stock-based compensation
|
|
|
6,492
|
|
|
|
—
|
|
|
Taxes paid related to
net settlement of stock-based compensation awards
|
|
|
—
|
|
|
|
(362)
|
|
|
Net cash provided by
financing activities
|
|
|
12,315
|
|
|
|
558
|
|
|
Net change in cash
and cash equivalents
|
|
|
(13,431)
|
|
|
|
26,169
|
|
|
Effect of exchange
rates on cash
|
|
|
(210)
|
|
|
|
49
|
|
|
Cash and cash
equivalents at beginning of year
|
|
|
201,796
|
|
|
|
86,542
|
|
|
Cash and cash
equivalents at end of the period
|
|
$
|
188,155
|
|
|
$
|
112,760
|
|
|
SUPPLEMENTAL
DISCLOSURE OF NON CASH ITEMS
|
|
|
|
|
|
|
|
|
|
Fair value of common
stock issued for acquisitions
|
|
|
15,980
|
|
|
|
—
|
|
|
Cash paid for income
taxes
|
|
|
—
|
|
|
|
395
|
|
|
|
NON-GAAP ADJUSTED
EBITDA RECONCILATION
|
|
|
Three Months
Ended
March
31,
|
|
|
2015
|
|
|
2014
|
|
|
(in
thousands)
|
|
|
Net income
|
$
|
10,570
|
|
|
$
|
4,353
|
|
|
Income
taxes
|
|
7,855
|
|
|
|
3,850
|
|
|
Depreciation and
amortization
|
|
6,249
|
|
|
|
5,515
|
|
|
EBITDA
|
|
24,674
|
|
|
|
13,718
|
|
|
Acquisition and
restructuring costs
|
|
569
|
|
|
|
285
|
|
|
Stock-based
compensation
|
|
3,007
|
|
|
|
2,403
|
|
|
Adjusted
EBITDA
|
$
|
28,250
|
|
|
$
|
16,406
|
|
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/grubhub-reports-record-first-quarter-results-300074194.html
SOURCE GrubHub Inc.