Ziff Davis, Inc. · NASDAQ:ZD
Ziff Davis — j2 Global — Q3 2018 Earnings Presentation
20 slides from Ziff Davis's earnings presentation, Nov 6, 2018
Slide 1: Third Quarter 2018 Results
THIRD QUARTER 2018 RESULTSNovember 6, 2018
Slide 2: Safe Harbor for Forward-Looking Statements
Safe Harbor for Forward-Looking Statements 2 Certain statements in this presentation are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, particularly those regarding our 2018 Financial Guidance. Such forward-looking statements are subject to n
Slide 3: Risk Factors
Risk Factors 3 Inability to sustain growth or profitability, and any related impact of US. Or worldwide economic issues on customer acquisition, retention and usage levels, advertising spend and credit and debit card payment declinesReduced use of fax services due to increased use of email, scanning
Slide 4: Q3 Consolidated Financial Snapshot
4 Q3 Consolidated Financial Snapshot(1) See slides 14-19 for a GAAP reconciliation of adjusted non-GAAP gross profit, adjusted EBITDA and adjusted earnings per diluted share for the Company as a whole and by segment.
Slide 5: Free Cash Flow
5 Free Cash Flow(1) See slide 16 for a GAAP reconciliation of Free Cash flow
Slide 6: Healthy Subscription Growth
6 Healthy Subscription Growth Subscription revenues have grown by 14% YoY, driven by 94% growth in Digital Media revenues
Slide 7: Q3 Financial Snapshot By Business Segments
7 Q3 Financial Snapshot By Business Segments(1) See slides 14-19 for a GAAP reconciliation of adjusted EBITDA for the Company as a whole and by segment. Includes ($1.5MM) reclass from j2 Inc. Includes ($1.5MM) reclass from j2 Inc.
Slide 8: Financial Summary 3Q18
8 Financial Summary 3Q18(1) See slides 14-19 for a GAAP reconciliation of adjusted non-GAAP gross profit, adjusted EBITDA, adjusted EPS, and Free Cash Flow for the Company as a whole and by segment.
Slide 9: 2018 Financial Guidance
2018FINANCIAL GUIDANCE
Slide 10: Reaffirming 2018 Guidance
10 Reaffirming 2018 Guidance (Forward-Looking Statements) Figures are adjusted Non-GAAP.Adjusted earnings per diluted share excludes share-based compensation, amortization of acquired intangibles and the impact of any currently anticipated items, in each case net of tax.
Slide 11: Supplemental Information
— SUPPLEMENTAL INFORMATION
Slide 12: Consolidated Metrics
Consolidated Metrics 12 See slide 14-15 for a reconciliation of Non-GAAP earnings and EPS to GAAP net income and diluted GAAP EPSSee slide 16 for a definition of Free Cash Flow and reconciliation to net cash provided by operating activitiesSee slide 17 for a definition of adjusted EBITDA and reconci
Slide 13: Cloud Services & Digital Media Metrics
Cloud Services & Digital Media Metrics 13 Cloud Services revenue includes IP Licensing revenueCloud Services Customers are defined as paying DIDs for Fax & Voice services and direct and resellers’ accounts for other servicesQuarterly Average Revenue per Customer is calculated using our standard conv
Slide 14: Q3 2018 Reconciliation of GAAP to Adjusted Non-GAAP Earnings & EPS
Q3 2018 Reconciliation of GAAP to Adjusted Non-GAAP Earnings & EPS 14 Adjusted Non-GAAP net income is not meant as a substitute for GAAP, and is defined as GAAP net income with the following modifications: 1) Elimination of shared-based compensation expense and associated payroll taxes 2) Eliminatio
Slide 15: Q3 2018 Reconciliation of GAAP to Adjusted Non-GAAP Earnings & EPS Continued
15 Adjusted Non-GAAP net income is not meant as a substitute for GAAP, and is defined as GAAP net income with the following modifications: 1) Elimination of shared-based compensation expense and associated payroll taxes 2) Elimination of certain acquisition-related integration costs 3) Elimination o
Slide 16: GAAP Reconciliation Free Cash Flow
GAAP Reconciliation Free Cash Flow(1) 16 Free Cash Flow is defined as net cash provided by operating activities, less purchases of property, plant and equipment, less patent settlement, plus excess tax benefits (deficits) from share based compensation, plus IRS settlement, plus contingent considerat
Slide 17: GAAP Reconciliation Adjusted EBITDA
GAAP Reconciliation Adjusted EBITDA(1) 17 Adjusted EBITDA is defined as net income plus interest and other expense, net; income tax expense; depreciation and amortization and the items used to reconcile GAAP to Adjusted Non-GAAP EPS. Adjusted EBITDA amounts are not meant as a substitute for GAAP, bu
Slide 18: Q3 2018 Reconciliation of GAAP to Adjusted EBITDA
Q3 2018 Reconciliation of GAAP to Adjusted EBITDA 18 Adjusted Non-GAAP operating income is not meant as a substitute for GAAP, and is defined as GAAP net income with the following modifications: 1) Elimination of shared-based compensation expense and associated payroll taxes 2) Elimination of certai
Slide 19: Q3 2017 Reconciliation of GAAP to Adjusted EBITDA
Q3 2017 Reconciliation of GAAP to Adjusted EBITDA 19 Adjusted Non-GAAP net income is not meant as a substitute for GAAP, and is defined as GAAP net income with the following modifications: 1) Elimination of shared-based compensation expense and associated payroll taxes 2) Elimination of amortization
Slide 20: j2 Global
j2 Global