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Exhibit 99.1
Endurance International Group Reports 2018 First Quarter Results
| GAAP revenue of $291.4 million |
| Net loss of $7.1 million |
| Adjusted EBITDA of $86.2 million |
| Cash flow from operations of $52.4 million |
| Free cash flow of $44.9 million |
| Total subscribers on platform were approximately 5.011 million at March 31, 2018 |
BURLINGTON, MA (May 1, 2018) Endurance International Group Holdings, Inc. (NASDAQ: EIGI), a leading provider of cloud-based platform solutions designed to help small and medium-sized businesses succeed online, today reported financial results for its first quarter ended March 31, 2018.
We are pleased with our financial and operating progress in the first quarter, commented Jeffrey H. Fox, president and chief executive officer of Endurance International Group. With a majority of the year still ahead of us, we remain focused on executing our integrated operating plan. In 2018 we are investing to deliver increased customer value in our market-leading assets and simplify our operations to execute more effectively at scale.
First Quarter 2018 Financial Highlights
| Revenue for the first quarter of 2018 was $291.4 million, a decrease of 1 percent compared to $295.1 million for the first quarter of 2017. |
| Net loss for the first quarter of 2018 was $7.1 million compared to net loss of $31.6 million for the first quarter of 2017. |
| Net loss attributable to Endurance International Group Holdings, Inc. for the first quarter of 2018 was $7.1 million, or $(0.05) per diluted share, compared to net loss of $35.4 million, or $(0.26) per diluted share, for the first quarter of 2017. |
| Adjusted EBITDA for the first quarter of 2018 was $86.2 million, an increase of 8 percent compared to $80.1 million for the first quarter of 2017. First quarter 2018 adjusted EBITDA excludes the impact of a total of $8.5 million of accrued expense reserved in connection with our ongoing efforts to resolve two shareholder lawsuits, each brought as a class action against either Endurance or Constant Contact. Any final settlement agreement reached with the plaintiffs in each case would be |
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This decrease is primarily related to a $4.7 million decrease in stock-based compensation expense, a $2.5 million decrease in amortization expense, a $2.2 million decrease in income tax expense, and a $1.3 million reduction in restructuring costs.
This decrease was primarily due to the following factors: lower amortization expense of $2.5 million lower support costs of $2.0 million, primarily due to cost savings from the consolidation of our U.S. support centers and lower data center costs of $1.0 million, primarily due to vendor pricing concessions.
These factors were partially offset by lower support and data center labor costs of $2.8 million, lower marketing costs of $2.1 million, and lower general and administrative expense of $2.0 million, primarily due to our efforts to integrate and streamline our organization.
This decrease was primarily due to lower amortization of $5.3 million and reduced restructuring costs of $1.2 million, with the balance relating primarily to lower data center costs.
This increase in net loss was due to a $2.0 million increase in interest expense,a $1.3 million allocated reserve for shareholder litigation matters, and a $0.3 million increase in restructuring charges.
Net loss decreased from $31.6...Read more
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Financial Statements, Disclosures and Schedules
Inside this 10-Q Quarterly Report
Material Contracts, Statements, Certifications & more
Endurance International Group Holdings, Inc. provided additional information to their SEC Filing as exhibits
Ticker: EIGI
CIK: 1237746
Form Type: 10-Q Quarterly Report
Accession Number: 0001628280-18-005988
Submitted to the SEC: Fri May 04 2018 5:06:43 PM EST
Accepted by the SEC: Fri May 04 2018
Period: Saturday, March 31, 2018
Industry: Prepackaged Software