Shutterstock, Inc. · NYSE:SSTK
Shutterstock — FY2016 Earnings Presentation
12 slides from Shutterstock's earnings presentation, Feb 27, 2017
Slide 1: Fourth Quarter & Full Year 2016 Summary
Fourth Quarter & Full Year 2016 Summary February 27, 2017
Slide 2: Safe Harbor Statement
2 This presentation contains “forward-looking” statements within the meaning of the Private Securities Litigation Reform Act of 1995 that are based on our management’s beliefs and assumptions and on information currently available to management. Forward-looking statements include information concern
Slide 3: Non-GAAP Financial Measures
3 In addition to reporting financial results in accordance with GAAP, we also refer to adjusted EBITDA, adjusted net income and free cash flow. We define adjusted EBITDA as net income adjusted for foreign currency transaction gains and losses, changes in fair value of contingent consideration relate
Slide 4: The Leading Global Marketplace for Stock Content
4 The Leading Global Marketplace for Stock Content Contributors Photographers Illustrators Videographers Musicians Customers Designers Businesses Marketing Agencies Media Organizations
Slide 5: FY'16 Financial Highlights
5 - Revenue increased 16% to $494.3 million primarily driven by new customers, an increase in paid downloads and increased activity from enterprise clients - Revenue increased 18% on a constant currency basis - Income from Operations increased 12% to $45.8 million driven by revenue growth offset by
Slide 6: Q4'16 Financial Highlights
6 - Revenue increased 12% to $130.2 million primarily driven by new customers, an increase in paid downloads and increased activity from enterprise clients - Revenue increased 14% on a constant currency basis - Income from Operations decreased 12% to $13.2 million driven by higher royalty costs asso
Slide 7: Q4'16 & FY'16 Operating Highlights
7 Q4’16 & FY’16 Operating Highlights Q4’16 Operating Highlights: - Launched Shutterstock Editor out of beta with new features & functionality - Signed distribution deals with AM Stock-Cameo & European Pressphoto Agency B.V. FY’16 Operating Highlights: - Image library expanded to 116.2 million images
Slide 8: Consolidated Financial Results
Consolidated Financial Results ($ in millions) Three Months Ended December 31, Twelve Months Ended December 31, 2016 2015 % Δ 2016 2015 % Δ Total Revenues $130.2 $116.0 12% $494.3 $425.1 16% Total Expenses 120.3 109.1 10% 461.7 405.6 14% Net Income 9.9 6.9 43% 32.6 19.6 67% Plus: Depreciation & Amor
Slide 9: Free Cash Flow
Free Cash Flow 9 ($ in millions) Three Months Ended December 31, Twelve Months Ended December 31, 2016 2015 2016 2015 Net Cash From Operations $24.4 $25.9 $101.1 $85.3 Less: Capital Expenditures (13.2) (4.1) (40.0) (14.0) Less: Content Acquisitions (1.8) (0.8) (8.0) (3.0) Free Cash Flow $9.4 $21.0 $
Slide 10: Adjusted Net Income
Adjusted Net Income 10 ($ in millions, except per share data) Three Months Ended December 31, Twelve Months Ended December 31, 2016 2015 2016 2015 GAAP Net Income $9.9 $6.9 $32.6 $19.6 Add: Non-Cash Equity-Based Comp 7.0 6.1 28.1 28.9 Add: Acquisition-Related Amortization 1.0 1.2 4.3 4.5 Add: Change
Slide 11: Share Repurchase Activity
Share Repurchase Activity 11 Note: Share repurchase plan implemented in Nov’15. To date activity through 12/31/16. Note: % of shares acquired calculated as % of shares outstanding at beginning of each period. Note: Total repurchase activity % calculated as % of shares outstanding at 9/30/15. Q4 2015
Slide 12: 2017 Guidance
2017 Guidance 2017 Guidance Revenue $545 - $560 million Income from Operations $47 - $52 million Adjusted EBITDA $105 - $110 million Non-Cash Equity Based Comp. ~$30 million Capital Expenditures ~$45 million Capitalized Labor (included in total Capital Expenditures) ~$20 million Effective Tax Rate M