• Press Release
  • March 2, 2022

Clearwater Analytics Announces Fourth Quarter and Full Year 2021 Financial Results

Q4 2021 Revenue of $69.8 million, up 27% year-over-year
Full Year 2021 Revenue of $252.0 million, up 24% year-over-year
Q4 2021 Gross Revenue Retention Rate of 98%; Net Revenue Retention Rate of 111%

BOISE, Idaho — March 2, 2022 — Clearwater Analytics Holdings, Inc. (NYSE: CWAN) (“Clearwater Analytics” or the “Company”), an industry-leading SaaS solution for automated investment data aggregation, reconciliation, accounting, and reporting, announced today its financial results for the quarter and year ended December 31, 2021.

Fourth
Quarter 2021

Full Year 2021
Revenue $69.8 million $252.0 million
Year-over-Year Revenue Growth % 27.4% 24.0%
Annualized Recurring Revenue (ARR)1 $277.8 million
Year-over-Year ARR Growth % 26.3%
Net Income/(Loss)2 $0.1 million $(8.1) million
Net Income/(Loss) Margin % 0.2% (3.2%)
Adjusted EBITDA $20.1 million $72.7 million
Adjusted EBITDA Margin % 28.8% 28.8%
1ARR is a point in time metric, therefore fourth quarter 2021 and full year 2021 results are the same.
2Net loss in full year 2021 included a $10.3 million loss on debt extinguishment in third quarter 2021.

“Clearwater Analytics had an extremely strong quarter as we continue to enable our clients to grow faster. Clients are choosing our SaaS platform to provide them with the freedom to invest in new asset classes and geographies and to acquire new books of business, all without dramatically increasing operational expenses,” said Sandeep Sahai, Chief Executive Officer, Clearwater Analytics. “We are pleased that our fourth quarter and full year 2021 results continue the consistent, reliable, and durable growth trend we have achieved over the last several years. We continue to expand into international markets, as evidenced by the signing of Athora, an acquisitive global insurance company. Of the more than 100 new clients added in 2021, nearly 45% left a legacy competitor, further demonstrating the differentiation of our single instance, multi-tenant cloud-native platform in the market.”

Fourth Quarter 2021 Financial Results Summary

  • Revenue: Total revenue for the fourth quarter of 2021 reached $69.8 million, an increase of 27.4%, from $54.8 million in the fourth quarter of 2020.
  • Gross Profit: Gross profit for the fourth quarter of 2021 was $49.6 million compared with $40.7 million in the fourth quarter of 2020. Gross margin was 71.1%, versus 74.3% in the fourth quarter of 2020. Gross margin decreased primarily due to increased equity-based compensation expense related to equity grant activity and the increase in grant date fair value and modification of equity awards in connection with the Company’s recent IPO. On an adjusted basis, the Company continues to maintain a strong stable gross margin. Non-GAAP gross profit for the fourth quarter of 2021 was $52.7 million, which equates to 75.5%, consistent with full year 2021 non-GAAP gross margin of 75.6%.
  • Income/(Loss) from Operations: Income from operations for the fourth quarter of 2021 was $0.7 million compared with loss from operations of $61.5 million in the fourth quarter of 2020. Loss from operations in the fourth quarter of 2020 included $49.0 million of recapitalization compensation expenses and $9.1 million of accrued sales tax liability.
  • Net Income/(Loss): Net income for the fourth quarter of 2021 was $0.1 million compared with net loss of $69.4 million in the fourth quarter of 2020. Non-GAAP net income for the fourth quarter of 2021 was $13.9 million compared with non-GAAP net loss of $1.1 million in the fourth quarter of 2020.
  • Net Income/(Loss) Per Share and Non-GAAP Net Income/(Loss) Per Share attributable to Clearwater Analytics Holdings, Inc.: Net income per basic and diluted share was $0.00 in the fourth quarter of 2021. Non-GAAP net income per diluted share was $0.06 in the fourth quarter of 2021.
  • Adjusted EBITDA: Adjusted EBITDA for the fourth quarter of 2021 was $20.1 million, compared with $6.7 million in the fourth quarter of 2020. Adjusted EBITDA margin for the fourth quarter of 2021 was 28.8% and includes a benefit of $2.0 million from the release of accrued sales tax liability. Excluding that impact, adjusted EBITDA margin would have been 25.9% in the fourth quarter of 2021.
  • Cash: Cash and cash equivalents were $254.6 million as of December 31, 2021.

Fourth Quarter and Full Year 2021 Key Metrics Summary

  • Annualized Recurring Revenue: As of December 31, 2021, annualized recurring revenue (“ARR”) reached $277.8 million, an increase of 26.3% from $219.9 million as of December 31, 2020. 

ARR is calculated at the end of a period by dividing the recurring revenue in the last month of such period by the number of days in the month and multiplying by 365.

  • Gross Revenue Retention Rate: As of December 31, 2021, the gross revenue retention rate was 98%. The Company has reported a gross revenue retention rate of 98% for twelve consecutive quarters.

Gross revenue retention rate represents annual contract value (“ACV”) at the beginning of the 12-month period ended on the reporting date less client attrition over the prior 12-month period, divided by ACV at the beginning of the 12-month period, expressed as a percentage. ACV is comprised of annualized recurring revenue plus contracted-not-billed revenue, which represents the estimated annual contracted revenue for new and existing client opportunities prior to revenue recognition.

  • Net Revenue Retention Rate: As of December 31, 2021, the net revenue retention rate was 111%, which represents a 210 basis point improvement over 109% at December 31, 2020. The Company saw year-over-year increases in net retention in North America as well as internationally. Asset Management clients were a particular standout, showing notable increases throughout the year.

Net revenue retention rate is the percentage of recurring revenue from clients on the platform for 12 months and includes changes from the addition, removal, or value of assets on our platform, contractual changes that have an impact to annualized recurring revenues and lost revenue from client attrition. 

  • Clients: As of December 31, 2021, the Company had 1,130 clients, and 59 clients that contributed at least $1 million in ARR, representing a 22.9% year-over-year increase. 
  • Assets Under Management (AUM): As of December 31, 2021, the platform processes and reports on $5.9 trillion assets daily.    

Recent Business Highlights

  • Significant client wins in North America included several large asset managers, insurers, and state, county, and city governments, including American Century Life Insurance, Carlisle Companies Inc, Circle, City and County of San Francisco, Highmark Health, Madison Re, Sprinklr, and many more.
  • Extensive product enhancements most notably include the release of Clearwater Prism’s external accounting book of record (ABOR) integration with a real estate property management solution and automated client data integration for historical performance which allows asset managers to maintain performance history. Other functionality released includes accounting and regulatory updates such as the release of Dutch GAAP, enriched asset class reporting, and upgraded user experience and reporting. 
  • Successfully onboarded well over 100 new clients during 2021, including Chimera Investment Corporation, Gilead Foundation, Global Atlantic, Fastly, Inc., and many more.

First Quarter and Full-Year 2022 Guidance

First Quarter 2022

Full Year 2022

Revenue

~$70 million

$302 million to $304 million

Year-over-Year Growth %

~23%

~20%

Adjusted EBITDA

$17 million to $18 million

$80 million to $82 million

Equity-based compensation

~$66 million

Depreciation and Amortization

~$5 million

Interest expense

~$2 million

Non-GAAP effective tax rate

29%

Diluted share count

~255 million

Certain components of the guidance given above are provided on a non-GAAP basis only without providing a reconciliation to guidance provided on a GAAP basis. Information is presented in this manner, consistent with Securities and Exchange Commission (the “SEC”) rules, because the preparation of such a reconciliation could not be accomplished without “unreasonable efforts.” The Company does not have access to certain information that would be necessary to provide such a reconciliation, including non-recurring items that are not indicative of the Company’s ongoing operations. The Company does not believe that this information is likely to be significant to an assessment of the Company’s ongoing operations.

Conference Call Details

Clearwater Analytics will hold a conference call and webcast on March 2, 2022, at 5:00 p.m. Eastern time to discuss fourth quarter and full year financial results for 2021, provide a general business update, and respond to analyst questions.

A live webcast of the call will also be available on the Company’s investor relations website. Please visit investors.clearwateranalytics.com at least fifteen minutes prior to the start of the event to register, download and install any necessary audio software.

If you are unable to participate live, a replay of the webcast will be available following the conference call on the Company’s investor relations website, along with the earnings press release, and related financial tables.

About Clearwater Analytics

Clearwater Analytics is a global industry-leading SaaS solution for automated investment data aggregation, reconciliation, accounting, compliance, risk, performance, and reporting. Each day, the Clearwater Analytics solution reports on more than $5.9 trillion in assets for clients that include leading insurers, asset managers, corporations, pension plans, governments, and nonprofit organizations – helping them make the most of their investment portfolio data with a world-class product and client-centric servicing. Investment professionals around the globe trust Clearwater Analytics to deliver timely, validated investment data and analytics.

###

Investor Contact:
J.R. Ritchie | +1 312-632-9779 | investors@clearwateranalytics.com

Media Contact:
Gail Marold | +1 919-229-9141 | press@clearwateranalytics.com

Use of non-GAAP Information

This press release contains certain non-GAAP measures, including non-GAAP gross profit, non-GAAP gross margin, adjusted EBITDA, adjusted EBITDA margin, non-GAAP net income, and non-GAAP diluted earnings per share.

The non-GAAP measures are not based on any standardized methodology prescribed by GAAP and are not necessarily comparable to similar measures presented by other companies. However, the Company believes that this non-GAAP information is useful as an additional means for investors to evaluate its operating performance, when reviewed in conjunction with its GAAP financial statements. These measures should not be considered in isolation or as a substitute for measures prepared in accordance with GAAP, and because these amounts are not determined in accordance with GAAP, they should not be used exclusively in evaluating the Company’s business and operations. In addition, undue reliance should not be placed upon non-GAAP or operating information because this information is neither standardized across companies nor subjected to the same control activities and audit procedures that produce the Company’s GAAP financial results.

The Company’s non-GAAP statement of operations measures, including non-GAAP gross profit, non-GAAP gross margin, adjusted EBITDA, adjusted EBITDA margin, non-GAAP net income, and non-GAAP diluted earnings per share, are adjusted to exclude the impact of certain costs, expenses, gains and losses and other specified items that management believes are not indicative of its ongoing operations. These adjusted measures exclude the impact of share-based compensation and eliminate potential differences in results of operations between periods caused by factors such financing and capital structures, taxation positions or regimes, restructuring, impairment and other charges. Please refer to the reconciliations of these measures below to what the Company believes are the most directly comparable measures evaluated in accordance with GAAP.

Use of Forward-Looking Statements

This press release contains “forward-looking statements” within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are based on management’s beliefs and assumptions and on information currently available to management. Forward-looking statements include information concerning the Company’s possible or assumed future results of operations, business strategies, technology developments, financing and investment plans, dividend policy, competitive position, industry and regulatory environment, potential growth opportunities and the effects of competition. Forward-looking statements include statements that are not historical facts and can be identified by terms such as “anticipate,” “believe,” “could,” “estimate,” “expect,” “intend,” “may,” “plan,” “potential,” “predict,” “project,” “seek,” “should,” “will,” “would” or similar expressions and the negatives of those terms, but are not the exclusive means of identifying such statements.

Forward-looking statements involve known and unknown risks, uncertainties, and other factors, many of which are beyond Clearwater Analytics’ control, that may cause the Company’s actual results, performance, or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. These risks and uncertainties may cause actual results to differ materially from Clearwater Analytics’ current expectations and include, but are not limited to, the Company’s ability to keep pace with rapid technological change and competitors in its industry, the Company’s ability to manage growth, the Company’s ability to attract and retain skilled employees, the possibility that the Company’s solutions fail to perform properly, disruptions and failures in the Company’s and third parties’ computer equipment, cloud-based services, electronic delivery systems, networks and telecommunications systems and infrastructure, the failure to protect the Company, its customers’ and/or its vendors’ confidential information and/or intellectual property, claims of infringement of others’ intellectual property, factors related to the Company’s ownership structure and status as a “controlled company” as well as other risks and uncertainties detailed in Clearwater Analytics’ periodic public filings with the SEC, including but not limited to those discussed under “Risk Factors” in the Company’s Registration Statement on Form S-1, declared effective on September 23, 2021, in the Annual Report on Form 10-K for the year ended December 31, 2021 that will be filed following this earnings release and in other periodic reports filed by Clearwater Analytics with the SEC. These filings are available at www.sec.gov and on Clearwater Analytics’ website.

Given these uncertainties, you should not place undue reliance on forward-looking statements. Also, forward-looking statements represent management’s beliefs and assumptions only as of the date of this press release. and should not be relied upon as representing Clearwater Analytics’ expectations or beliefs as of any date subsequent to the time they are made. Clearwater Analytics does not undertake to and specifically declines any obligation to update any forward-looking statements that may be made from time to time by or on behalf of Clearwater Analytics.

###

 

Clearwater Analytics Holdings, Inc.
Consolidated Balance Sheets
(In thousands, except per share amounts, unaudited)

December 31,
2021 2020
Assets
Current assets:
Cash and cash equivalents $ 254,597 $ 61,088
Accounts receivable, net 50,190 32,882
Prepaid expenses and other current assets 16,551 7,550
Total current assets 321,338 101,520
Property and equipment, net 10,738 8,849
Deferred contract costs, non-current 5,687 4,580
Debt issuance costs – line of credit 922 420
Other non-current assets 5,670 190
Total assets $ 344,355 $ 115,559
Liabilities and Stockholders’ Equity/ Members’ Deficit
Current liabilities:
Accounts payable $ 1,416 $ 1,340
Accrued expenses and other current liabilities 26,819 33,789
Notes payable, current portion 2,750 3,077
Total current liabilities 30,985 38,206
Notes payable, less current maturities and unamortized debt issuance costs 51,157 421,827
Other long-term liabilities 132 134
Total liabilities 82,274 460,167
Commitments and contingencies
Stockholders’ Equity/ Members’ Deficit
Members’ deficit (245,806 )
Class A common stock, par value $0.001 per share; 1,500,000,000 shares authorized, 47,948,888 shares issued and outstanding 48
Class B common stock, par value $0.001 per share; 500,000,000 shares authorized, 11,151,110 shares issued and outstanding 11
Class C common stock, par value $0.001 per share; 500,000,000 shares authorized, 47,377,587 shares issued and outstanding 47
Class D common stock, par value $0.001 per share; 500,000,000 shares authorized, 130,083,755 shares issued and outstanding 130
Additional paid-in-capital 388,751 (98,860 )
Accumulated other comprehensive income (loss) (34 ) 58
Accumulated Deficit (191,926 )
Total stockholders’ equity/ members’ deficit attributable to Clearwater Analytics Holdings, Inc. 197,027 (344,608 )
Noncontrolling interests 65,054
Total stockholders’ equity/ members’ deficit 262,081 (344,608 )
Total liabilities and Stockholders’ Equity/ Members’ Deficit $ 344,355 $ 115,559

 

Clearwater Analytics Holdings, Inc.
Consolidated Statements of Operations
(In thousands, except per share amounts, unaudited)

Three Months Ended
December 31,
Year Ended
December 31,
2021 2020 2021 2020
Revenue $ 69,762 $ 54,758 $ 252,022 $ 203,222
Cost of revenue(2) 20,180 14,047 67,864 53,263
Gross profit 49,582 40,711 184,158 149,959
Operating expenses:
Research and development(2) 21,699 16,433 72,690 55,262
Sales and marketing(2) 12,914 8,982 39,065 22,243
General and administrative(2) 14,316 27,796 43,942 43,874
Recapitalization compensation expenses 48,998 48,998
Total operating expenses 48,929 102,209 155,697 170,377
Income (loss) from operations 653 (61,498 ) 28,461 (20,418 )
Interest expense, net 421 7,430 25,682 22,854
Loss on debt extinguishment 10,303
Other (income) expense, net 147 (157 ) 83 56
Income (loss) before provision for income taxes 85 (68,771 ) (7,607 ) (43,328 )
Provision for income tax expense (benefit) (49 ) 593 487 902
Net income (loss) 134 (69,364 ) (8,094 ) (44,230 )
Less: Net income (loss) attributable to noncontrolling interests 33 119
Net income (loss) attributable to Clearwater Analytics
Holdings, Inc.
$ 101 $ $ (8,213 ) $
Net income (loss) per share attributable to Class A and Class D common stock(1):
Basic and diluted $ 0.00 NMF $ (0.05 ) NMF
Weighted average shares of Class A and Class D common stock
outstanding:
Basic 177,695,551 NMF 177,680,507 NMF
Diluted 252,300,560 NMF 236,209,204 NMF
NMF – not meaningful
(1) Basic and diluted net loss per share of Class A and Class D common stock is applicable only for the period from September 24, 2021 to December 31, 2021, which is the period following our initial public offering and related transactions.
(2) Amounts include equity-based compensation as follows:
Cost of revenue $ 2,614 $ 946 $ 4,786 $ 1,669
Operating expenses:
Research and development 4,497 2,342 10,409 4,208
Sales and marketing 3,278 2,967 7,059 3,911
General and administrative 7,068 11,645 14,441 14,814
Total equity-based compensation expense $ 17,457 $ 17,900 $ 36,695 $ 24,602

 

Clearwater Analytics Holdings, Inc.
Consolidated Statements of Cash Flows
(In thousands, unaudited)

Three Months Ended December 31, Year Ended December 31,
2021 2020 2021 2020
OPERATING ACTIVITIES
Net income (loss) $ 134 $ (69,364 ) $ (8,094 ) $ (44,230 )
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
Depreciation and amortization 1,289 668 3,493 2,271
Equity-based compensation 17,457 17,900 36,695 24,602
Amortization of deferred contract acquisition costs 981 774 3,385 2,340
Amortization of debt issuance costs, included in interest expense 71 562 1,545 2,506
Debt extinguishment costs 10,303
Deferred tax benefit (648 ) (648 )
Changes in operating assets and liabilities:
Accounts receivable, net (1,191 ) (1,656 ) (17,308 ) (6,325 )
Prepaid expenses and other assets (4,446 ) (611 ) (13,163 ) (767 )
Accounts payable 167 463 361 67
Accrued expenses and other liabilities 2,345 9,920 2,779 9,746
Deferred commissions (2,238 ) (2,191 ) (5,161 ) (4,092 )
Accrued sales tax liability (2,301 ) 9,102 (8,550 ) 9,102
Deferred revenue 801 366 18 (5 )
Accrued interest on debt (4 ) 1,470 (2,297 ) (1,776 )
Other long-term liabilities 76 75
Net cash provided by (used in) operating activities 12,417 (32,521 ) 3,358 (6,486 )
INVESTING ACTIVITIES
Purchases of property and equipment (1,526 ) (661 ) (5,025 ) (3,806 )
Net cash used in investing activities (1,526 ) (661 ) (5,025 ) (3,806 )
FINANCING ACTIVITIES
Contributions from selling unitholders 48,998 48,998
Proceeds from issuance of common unit options 1,560
Proceeds from exercise of options 2,571 2,830 424
Minimum tax withholding paid on behalf of employees for net unit settlement (2,185 )
Dividend distributed to unitholders (163,258 ) (163,258 )
Distributions to unitholders for taxes (9,926 ) (9,926 )
Repurchase of common units (626 ) (567 )
Repayments of borrowings (688 ) (770 ) (434,919 ) (21,557 )
Payments of costs associated with early repayment of debt (2,029 )
Proceeds from borrowings 202,688 55,000 202,688
Payment of debt issuance costs (5,761 ) (1,400 ) (5,761 )
Proceeds from initial public offering, net of underwriting discounts 582,188
Payment of costs associated with offering (3,281 ) (5,131 )
Net cash provided by (used in) financing activities (1,398 ) 71,971 195,288 51,041
Effect of exchange rate changes on cash and cash equivalents 10 156 (112 ) 85
Net increase in cash and cash equivalents during the period 9,503 38,945 193,509 40,834
Cash and cash equivalents, beginning of period 245,094 22,143 61,088 20,254
Cash and cash equivalents, end of period $ 254,597 $ 61,088 $ 254,597 $ 61,088
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION
Cash paid for interest $ 266 $ 5,402 $ 26,113 $ 22,182
Cash paid for income taxes $ 501 $ 247 $ 802 $ 429
NON-CASH INVESTING AND FINANCING ACTIVITES
Purchase of property and equipment included in accounts payable and accrued expense $ 322 $ 489 $ 322 $ 489
Tax distributions included in accrued expenses $ 169 $ $ 169 $
Tax liability related to organizational transaction included in accrued expenses $ 793 $ $ 793 $

 

Clearwater Analytics Holdings, Inc.
Reconciliation of Net Income to Adjusted EBITDA
(In thousands, unaudited)

Three Months Ended December 31,
2021 2020
Net income (loss) $ 134 0 % $ (69,364 ) (127 %)
Adjustments:
Interest expense, net 421 1 % 7,430 14 %
Depreciation and amortization 1,289 2 % 668 1 %
Equity-based compensation 17,457 25 % 17,900 33 %
Recapitalization compensation expenses 48,998 89 %
Other expenses(1) 763 1 % 1,116 2 %
Adjusted EBITDA 20,064 29 % 6,748 12 %
Revenue $ 69,762 100 % $ 54,758 100 %
Year Ended December 31,
2021 2020
Net loss $ (8,094 ) (3 %) $ (44,230 ) (22 %)
Adjustments:
Interest expense, net 25,682 10 % 22,854 11 %
Loss on debt extinguishment 10,303 4 %
Depreciation and amortization 3,493 1 % 2,271 1 %
Equity-based compensation 36,695 15 % 24,602 12 %
Recapitalization compensation expenses 48,998 24 %
Other expenses(1) 4,597 2 % 2,555 1 %
Adjusted EBITDA 72,676 29 % 57,050 28 %
Revenue $ 252,022 100 % $ 203,222 100 %
(1) Other expenses includes management fees to our investors, income taxes, foreign exchange gains and losses and other expenses that are not reflective of our core operating performance including the costs to set up our Up-C structure and Tax Receivable Agreement.
Three Months Ended December 31, Year Ended December 31,
2021 2020 2021 2020
Up-C structure expenses $ $ $ 1,660 $
Management fees and reimbursed expenses 665 680 2,367 1,597
Provision for income tax expense (benefit) (49 ) 593 487 902
Miscellaneous 147 (157 ) 83 56
Total other expenses $ 763 $ 1,116 $ 4,597 $ 2,555

 

Clearwater Analytics Holdings, Inc.
Reconciliation of Free Cash Flow
(In thousands, unaudited)

Three Months Ended December 31, Year Ended December 31,
2021 2020 2021 2020
Net cash provided by (used in) operating activities $ 12,417 $ (32,521 ) $ 3,358 $ (6,486 )
Less: Purchases of property and equipment 1,526 661 5,025 3,806
Free Cash Flow $ 10,891 $ (33,182 ) $ (1,667 ) $ (10,292 )

 

Clearwater Analytics Holdings, Inc.
Reconciliation of Non-GAAP Information
(In thousands, except per share amounts, unaudited)

Three Months Ended December 31, Year Ended December 31,
2021 2020 2021 2020
Revenue $ 69,762 $ 54,758 $ 252,022 $ 203,222
Gross profit $ 49,582 $ 40,711 $ 184,158 $ 149,959
Adjustments:
Equity-based compensation 2,614 946 4,786 1,669
Depreciation and amortization 473 296 1,701 1,070
Gross profit, non-GAAP $ 52,669 $ 41,953 $ 190,645 $ 152,698
As a percentage of revenue, non-GAAP 75 % 77 % 76 % 75 %
Cost of Revenue $ 20,180 $ 14,047 $ 67,864 $ 53,263
Adjustments:
Equity-based compensation 2,614 946 4,786 1,669
Depreciation and amortization 473 296 1,701 1,070
Cost of revenue, non-GAAP $ 17,093 $ 12,805 $ 61,377 $ 50,524
As a percentage of revenue, non-GAAP 25 % 23 % 24 % 25 %
Research and development $ 21,699 $ 16,433 $ 72,690 $ 55,262
Adjustments:
Equity-based compensation 4,497 2,342 10,409 4,208
Depreciation and amortization 693 190 1,337 761
Research and development, non-GAAP $ 16,509 $ 13,901 $ 60,944 $ 50,293
As a percentage of revenue, non-GAAP 24 % 25 % 24 % 25 %
Sales and marketing $ 12,914 $ 8,982 $ 39,065 $ 22,243
Adjustments:
Equity-based compensation 3,278 2,967 7,059 3,911
Depreciation and amortization 67 48 249 181
Sales and marketing, non-GAAP $ 9,569 $ 5,967 $ 31,757 $ 18,151
As a percentage of revenue, non-GAAP 14 % 11 % 13 % 9 %
General and administrative $ 14,316 $ 27,796 $ 43,942 $ 43,874
Adjustments:
Equity-based compensation 7,068 11,645 14,441 14,814
Depreciation and amortization 56 134 206 259
Management fees and reimbursed expenses 665 680 2,367 1,597
Up-C structure expenses 1,652
General and administrative, non-GAAP $ 6,527 $ 15,337 $ 25,276 $ 27,204
As a percentage of revenue, non-GAAP 9 % 28 % 10 % 13 %
Income (loss) from operations $ 653 $ (61,498 ) $ 28,461 $ (20,418 )
Adjustments:
Equity-based compensation 17,457 17,900 36,695 24,602
Depreciation and amortization 1,289 668 3,493 2,271
Management fees and reimbursed expenses 665 680 2,367 1,597
Up-C structure expenses 1,660
Recapitalization compensation expenses 48,998 48,998
Income (loss) from operations, non-GAAP $ 20,064 $ 6,748 $ 72,676 $ 57,050
As a percentage of revenue, non-GAAP 29 % 12 % 29 % 28 %
Net income (loss) $ 134 $ (69,364 ) $ (8,094 ) $ (44,230 )
Adjustments:
Equity-based compensation 17,457 17,900 36,695 24,602
Depreciation and amortization 1,289 668 3,493 2,271
Management fees and reimbursed expenses 665 680 2,367 1,597
Up-C structure expenses 1,660
Loss on extinguishment of debt 10,303
Recapitalization compensation expenses 48,998 48,998
Tax impacts of adjustments to net income (loss)(1) (5,654 ) (13,604 )
Net income (loss), non-GAAP $ 13,891 $ (1,118 ) $ 32,820 $ 33,238
As a percentage of revenue, non-GAAP 20 % (2 %) 13 % 16 %
Net income (loss) per basic share(2) – basic, non-GAAP $ 0.08 NMF $ 0.18 NMF
Net income (loss) per basic share(2) – diluted, non-GAAP $ 0.06 NMF $ 0.13 NMF
Weighted-average common shares outstanding – basic 177,695,551 NMF 177,680,507 NMF
Weighted-average common shares outstanding – diluted 252,300,560 NMF 252,298,649 NMF
NMF – not meaningful
(1) The estimated non-GAAP effective tax rate was 29% for the three months ended December 31, 2021 and year ended December 31, 2021, respectively, and has been used to adjust the provision for income taxes for non-GAAP net income and non-GAAP basic and diluted net income per share.
(2) Basic and diluted net income (loss) per share of Class A and Class D common stock is applicable only for the period from September 24, 2021 to December 31, 2021, which is the period following the initial public offering and related transactions.