Slide 1: First Quarter 2016 Summary
First Quarter 2016 Summary May 4, 2016
Slide 2: Forward-looking statements and non-GAAP disclosure
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: The Leading Global Marketplace for Stock Content
3 The Leading Global Marketplace for Stock Content Contributors Photographers Illustrators Videographers Musicians Customers Designers Businesses Marketing Agencies Media Organizations
Slide 4: Q1 2016 Key Financial Highlights
4 - Revenue increased 20% to $116.7 million - Revenue increased approximately 24% excluding the impact of currency primarily driven by new customers, an increase in paid downloads and higher activity from enterprise clients - Adjusted EBITDA increased 28% to $24.0 million - Adjusted EBITDA increased
Slide 5: Q1 2016 Key Operating Highlights
5 - Image library expanded 57% to 81.0 million images - Video library expanded 62% to 4.2 million video clips - Paid downloads grew 23% to 41.2 million - Revenue per download of $2.77 - 1.5 million customers contributed to revenue in the prior 12 months - Launched visually similar and reverse image
Slide 6: Consolidated Financial Results
Consolidated Financial Results ($ in millions) Three Months Ended March 31, 2016 2015 % Revenues $116.7 $97.5 20% Operating Expenses 105.8 89.3 19% Income from Operations 10.8 8.2 31% Add: Dep. & Amort. 4.2 3.0 40% Add: Stock Based Comp. 7.4 7.5 (1%) Add: Other Adjustments 1.6 -- -- Adjusted EBITDA
Slide 7: Key Financial Results
Key Financial Results Q1 2016 Y/Y Change Reported Adjusted Revenue Growth 20% 24% Adjusted EBITDA Growth 28% 36% Revenue per Download Growth (3%) 0% Paid Downloads 23% 23% Adjusted EBITDA Margin 21% 24% Note: Adjusted growth excludes the impact of foreign currency where applicable 7
Slide 8: Free Cash Flow
Free Cash Flow 8 ($ in millions) Three Months Ended March 31, 2016 2015 Net Cash From Operations $23.0 $21.5 CapEx and Content Acquisitions (8.4) (3.0) Free Cash Flow $14.6 $18.4 Note: Totals may not sum exactly due to rounding.
Slide 9: Non-GAAP Net Income
Non-GAAP Net Income 9 ($ in millions) Three Months Ended March 31, 2016 2015 GAAP Net Income $6.1 $3.2 Add: Non-Cash Equity-Based Comp 4.8 4.8 Add: Acquisition-Related Amortization 0.7 0.6 Add: Change in Fair Value of Contingent Consideration 1.5 0.3 Non-GAAP Net Income $13.1 $9.0 Non-GAAP Net Incom
Slide 10: Share Repurchase Activity
Share Repurchase Activity 10 Note: Share repurchase plan implemented in Nov’15. To date activity through 5/2/16. Note: % of shares acquired calculated as % of shares outstanding at beginning of period. 2015 Q1 2016 Q2 2016 To Date Total Repurchase Activity Share Repurchase Activity (in millions) $15
Slide 11: 2016 Guidance
2016 Guidance 2016 Guidance Implied Y/Y Growth Revenue $495 - $510 million 17% - 20% Adjusted EBITDA $95 - $100 million 12% - 18% Non-Cash Equity Based Comp. $35 million Capital Expenditures $25 million 11 2016 Guidance Numbers Assume Current FX Rates Through the Remainder of the Year