Shutterstock, Inc. · NYSE:SSTK
Shutterstock — Q1 2017 Earnings Presentation
11 slides from Shutterstock's earnings presentation, May 3, 2017
Slide 1: First Quarter 2017 Summary
First Quarter 2017 Summary May 3, 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, revenue growth on a constant currency basis, adjusted EBITDA margin and adjusted EBITDA growth on a constant currency basis and free cash flow. We define adjusted EBITDA as ne
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: Q1'17 Financial Highlights
5 - 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 5% to $10.3 million driven by higher royalty costs assoc
Slide 6: Q1'17 Operating Highlights
6 Q1’17 Operating Highlights - Image library expanded to 132.0 million images, up 63% vs. Q1’16 - Video library expanded to 6.9 million video clips, up 64% vs. Q1’16 - More than 190,000 contributors made their images, video clips & music tracks available - Paid downloads of 43.5 million increased 6%
Slide 7: Consolidated Financial Results
Consolidated Financial Results ($ in millions) Three Months Ended March 31, 2017 2016 % Δ Total Revenues $130.2 $116.7 12% Total Expenses 123.6 110.5 12% Net Income 6.6 6.1 8% Plus: Depreciation & Amortization 7.0 4.2 65% Plus: Equity-Based Compensation 6.0 7.4 (19%) Plus: Other Adjustments (0.5) 1.
Slide 8: Free Cash Flow
Free Cash Flow 8 ($ in millions) Three Months Ended March 31, 2017 2016 Net Cash From Operations $17.2 $21.5 Less: Capital Expenditures (13.5) (7.8) Less: Content Acquisitions (0.8) (0.6) Free Cash Flow $3.0 $13.0 Note: Totals may not sum exactly due to rounding.
Slide 9: Adjusted Net Income
Adjusted Net Income 9 ($ in millions, except per share data) Three Months Ended March 31, 2017 2016 Net Income $6.6 $6.1 Add: Non-Cash Equity-Based Comp 6.0 7.4 Add: Acquisition-Related Amortization 1.0 1.2 Add: Change in Fair Value of Contingent Consideration - 2.4 Less: Tax Effect of Adjustments (
Slide 10: Share Repurchase Activity
Share Repurchase Activity 10 Note: Share repurchase plan implemented in Nov’15. Activity to date through 3/31/2017. Note: Total repurchase activity % and % of shares acquired calculated on shares outstanding at 9/30/15. Q4 2015 Q1 2016 Q2 2016 Q3 2016 Q4 2016 Q1 2017 Total Activity Share Repurchase
Slide 11: 2017 Guidance
2017 Guidance 2017 Guidance Implied Y/Y Growth Revenue $545 - $560 million 10% - 13% Income from Operations $47 - $52 million 3% – 14% Adjusted EBITDA $105 - $110 million 10% - 15% Non-Cash Equity Based Comp. ~$30 million Capital Expenditures ~$45 million Capitalized Labor (included in total Capital