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Exhibit 99.1
Endurance International Group Reports 2018 Second Quarter Results
| GAAP revenue of $287.8 million |
| Net loss of $2.0 million |
| Adjusted EBITDA of $85.0 million |
| Cash flow from operations of $29.9 million |
| Free cash flow of $20.1 million |
| Total subscribers on platform were approximately 4.918 million at June 30, 2018 |
BURLINGTON, MA (July 26, 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 second quarter ended June 30, 2018.
We are pleased with our year to date results, and the team remains focused on executing our 2018 integrated operating plan, commented Jeffrey H. Fox, president and chief executive officer of Endurance International Group. Our second quarter results reflect our focus on meeting our financial and operating goals while simplifying our business and investing to deliver increased value to our customers.
Second Quarter 2018 Financial Highlights
| Revenue for the second quarter of 2018 was $287.8 million, a decrease of 2 percent compared to $292.3 million for the second quarter of 2017. |
| Net loss for the second quarter of 2018 was $2.0 million compared to net loss of $35.4 million for the second quarter of 2017. |
| Net loss attributable to Endurance International Group Holdings, Inc. for the second quarter of 2018 was $2.0 million, or $(0.01) per diluted share, compared to net loss of $39.1 million, or $(0.29) per diluted share, for the second quarter of 2017. |
| Adjusted EBITDA for the second quarter of 2018 was $85.0 million, an increase of 3 percent compared to $82.5 million for the second quarter of 2017. |
| Cash flow from operations for the second quarter of 2018 was $29.9 million, a decrease of 39 percent compared to $48.7 million for the second quarter of 2017. |
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This decrease was primarily due to a $2.5 million reduction in labor costs a $2.3 million reduction in stock-based compensation expense a $1.3 million reduction in marketing program spend a $0.7 million reduction in restructuring charges and a $0.4 million net reduction of other marketing costs.
This decrease was primarily due to a reduction in amortization expense of $10.6 million, lower data center costs of $2.0 million and lower restructuring costs of $0.7 million.
This decrease in net loss is primarily related to a $7.3 million decrease in stock-based compensation expense, a $3.1 million decrease in amortization expense, a $2.6 million reduction in restructuring costs, a $2.5 million decrease in income tax expense, a $1.4 million decrease in interest expense and a $1.2 million decrease in depreciation expense.
This decrease in net loss is primarily related to a $12.0 million decrease in stock-based compensation expense, a $5.7 million decrease in amortization expense, a $4.6 million decrease in income tax expense, a $3.9 million reduction in restructuring costs, a $1.6 million decrease in depreciation expense and a $0.8 million decrease in net interest expense.
General and administrative expense for our domain segment decreased by $1.5 million, or 14%, from $10.7 million for the six months ended June 30, 2017 to $9.2 million for the six months ended June 30, 2018, primarily due to a reduction in stock-based compensation expense of $1.7 million and a $1.0 million reduction in labor costs, partially offset by a $1.2 million shareholder litigation reserve allocated to the domain segment.
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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: 0001628280-18-010336
Submitted to the SEC: Thu Aug 02 2018 4:08:45 PM EST
Accepted by the SEC: Thu Aug 02 2018
Period: Saturday, June 30, 2018
Industry: Prepackaged Software