Company makes progress on recently announced strategic business plan
Announces conclusion of thorough strategic alternatives review process; Spok’s Board remains open to all pathways to maximize shareholder value
Spok Holdings, Inc. (NASDAQ: SPOK), a global leader in healthcare communications, today announced results for the first quarter ended March 31, 2022. In addition, the Company’s Board of Directors declared a regular quarterly dividend of $0.3125 per share, payable on June 24, 2022, to stockholders of record on May 25, 2022.
2022 First Quarter Highlights:
- Announced new strategic business plan prioritizing maximizing free cash flow and returning capital to shareholders
- Reduced size of Board of Directors to better align the Board's size and composition with the Company's recently announced business strategy
- Capital returned to stockholders in the first quarter of 2022 totaled $6.5 million in the form of the Company's regular quarterly dividend
- Cash, cash equivalents and short-term investments balance of $46.3 million at March 31, 2022, and no debt
- University of Rochester Medical Center (URMC) selected Spok Care Connect® to replace URMC's existing operator console and to support its clinical communication needs at its flagship Strong Memorial Hospital
"We have made great progress on our recently announced strategic business plan while also continuing to provide critical communications services to our healthcare customers," said Vincent D. Kelly, president and chief executive officer of Spok Holdings, Inc. "We are on target with our previously announced financial objectives, and our focus remains on creating significant value for our shareholders by maximizing revenue and cash flow generation from our established communication solutions. We continue to believe that we are on the best path forward, and we are optimistic about our prospects for the remainder of 2022 and beyond."
Strategic Review Update:
Spok has concluded the strategic alternatives review process it publicly commenced on September 3, 2021. At this time, Spok has no actionable options for a sale of the Company and the Board has determined it is in the best interests of all shareholders for Spok to focus on executing its strategic plan as a standalone company.
Since initiating the strategic review, the Board, along with its financial and legal advisors, conducted an exceptionally thorough process and reached out to and engaged with a wide range of strategic and financial parties.
Spok’s Board is fully committed to maximizing value for all shareholders.
2022 First Quarter Results:
Consolidated revenue for the first quarter of 2022 under Generally Accepted Accounting Principles (“GAAP”) was $33.8 million, compared to $36.0 million in the first quarter of 2021.
|
For the Three Months Ended March 31, |
||||||||
(Dollars in thousands) |
2022 |
|
2021 |
|
Change (%) |
||||
Wireless revenue |
|
|
|
|
|
||||
Paging revenue |
$ |
18,313 |
|
$ |
19,353 |
|
(5.4 |
) % |
|
Product and other revenue |
|
533 |
|
|
767 |
|
(30.5 |
) % |
|
Total wireless revenue |
$ |
18,846 |
|
$ |
20,120 |
|
(6.3 |
) % |
|
|
|
|
|
|
|
||||
Software revenue |
|
|
|
|
|
||||
License |
$ |
1,824 |
|
$ |
1,552 |
|
17.5 |
% |
|
Professional services |
|
3,336 |
|
|
4,354 |
|
(23.4 |
) % |
|
Hardware |
|
589 |
|
|
616 |
|
(4.4 |
) % |
|
Maintenance |
|
9,230 |
|
|
9,394 |
|
(1.7 |
) % |
|
Total software revenue |
|
14,979 |
|
|
15,916 |
|
(5.9 |
) % |
|
Total revenue |
$ |
33,825 |
|
$ |
36,036 |
|
(6.1 |
) % |
|
Operating expenses in the first quarter of 2022 totaled $42.5 million and included $4.5 million in restructuring costs, compared to $37.8 million in operating expenses in the first quarter of 2021.
Adjusted operating expenses (which excludes depreciation, amortization and accretion, and restructuring costs, and includes capitalized software development costs) totaled $37.1 million in the first quarter of 2022. Adjusted operating expenses for the first quarter of 2021 totaled $38.0 million.
|
For the Three Months Ended March 31, |
||||||||
(Dollars in thousands) |
2022 |
|
2021 |
|
Change (%) |
||||
Operating expenses |
$ |
42,493 |
|
$ |
37,776 |
|
(12.5 |
) % |
|
Adjusted operating expenses |
$ |
37,064 |
|
$ |
37,969 |
|
2.4 |
% |
|
GAAP net loss for the first quarter of 2022 was $7.2 million, or a loss of $0.37 per diluted share, compared to net loss of $2.3 million, or $0.12 per diluted share, in the first quarter of 2021. For the first quarter of 2022, adjusted EBITDA loss totaled $2.1 million compared to adjusted EBITDA of $0.3 million in the first quarter of 2021.
|
For the three months ended March 31, |
||||||||||
(Dollars in thousands) |
2022 |
|
2021 |
|
Change (%) |
||||||
Net loss |
$ |
(7,214 |
) |
|
$ |
(2,297 |
) |
|
(214.1 |
) % |
|
Basic and diluted net loss per common share |
$ |
(0.37 |
) |
|
$ |
(0.12 |
) |
|
(208.3 |
) % |
|
Adjusted EBITDA |
$ |
(2,124 |
) |
|
$ |
306 |
|
|
(794.1 |
) % |
|
Financial Outlook:
Regarding financial guidance, the Company expects the following for fiscal year 2022, which is unchanged from the previously provided 2022 financial guidance:
(Unaudited and in millions) |
|
Current Guidance
|
||||
|
|
From |
|
To |
||
Revenue |
|
|
|
|
||
Wireless |
|
$ |
71.6 |
|
$ |
77.0 |
Software |
|
$ |
54.4 |
|
$ |
62.2 |
Total Revenue |
|
$ |
126.0 |
|
$ |
139.2 |
|
|
|
|
|
||
Adjusted Operating Expenses |
|
$ |
118.8 |
|
$ |
128.6 |
|
|
|
|
|
||
Capital Expenditures |
|
$ |
3.4 |
|
$ |
4.2 |
2022 First Quarter Call:
Management will host a conference call and webcast to discuss these financial results today at 8:30 a.m. Eastern Daylight Time. The presentation is open to all interested parties and may include forward-looking information.
Conference Call Details
Date/Time: |
Thursday, April 28, 2022, at 8:30 a.m. EDT |
Webcast: |
|
U.S. Toll-Free Dial In: |
877-407-0890 |
International Dial In: |
+1-201-389-0918 |
To access the call, please dial in approximately ten minutes before the start of the call. After the event the OnDemand version of the webcast will be available under the URL as well.
* * * * * * * * *
About Spok
Spok, Inc., a wholly owned subsidiary of Spok Holdings, Inc. (NASDAQ: SPOK), headquartered in Alexandria, Virginia, is proud to be a global leader in healthcare communications. We deliver clinical information to care teams when and where it matters most to improve patient outcomes. Top hospitals rely on Spok Care Connect® platforms to enhance workflows for clinicians and support administrative compliance. Our customers send over 100 million messages each month through their Spok® solutions. When seconds count and patients' lives are at stake, Spok enables smarter, faster clinical communication. For more information, visit spok.com or follow @spoktweets on Twitter.
Spok is a trademark of Spok Holdings, Inc. Spok Care Connect and Spok Mobile are trademarks of Spok, Inc.
Non-GAAP Financial Measures
This press release contains the following non-GAAP financial measures: adjusted operating expenses and adjusted EBITDA. Adjusted operating expenses excludes depreciation, amortization and accretion, goodwill and restructuring costs, and includes capitalized software development costs. Adjusted EBITDA represents net income/(loss) before interest income/expense, income tax expense/benefit, depreciation, amortization and accretion expense restructuring costs, and stock-based compensation expense and includes capitalized software development costs.
We believe that these non-GAAP financial measures provide useful information to management and investors regarding certain financial and business trends relating to Spok's financial condition and results of operations. We use these non-GAAP measures for financial, operational, and budgetary decision-making purposes, to understand and evaluate our core operating performance and trends, and to generate future operating plans. We believe that these non-GAAP financial measures permit us to more thoroughly analyze key financial metrics used to make operational decisions and allow us to assess our core operating results. We believe that the use of these non-GAAP financial measures provides an additional tool for investors to use in evaluating ongoing operating results and trends and in comparing our financial measures with other software companies who present similar non-GAAP financial measures. We adjust for certain items because we do not regard these costs as reflective of normal costs related to the ongoing operation of the business in the ordinary course. In general, these items possess one or more of the following characteristics: non-cash expenses, factors outside of our control, items that are non-operational in nature, and unusual items not expected to occur in the normal course of business.
We do not consider these non-GAAP measures in isolation or as an alternative to financial measures determined in accordance with GAAP. The principal of these non-GAAP financial measures is that they exclude significant expenses and income that are required by GAAP to be recorded in the Company's financial statements. In addition, they are subject to inherent limitations as they reflect the exercise of judgment by management about which expenses and income are excluded or included in determining these non-GAAP financial measures. In order to compensate for these limitations, management presents non-GAAP financial measures in connection with GAAP results. We urge investors to review the reconciliation of our non-GAAP financial measures to the comparable GAAP financial measures, which are included in this press release, and not to rely on any single financial measure to evaluate our business.
Safe Harbor Statement under the Private Securities Litigation Reform Act
Statements contained herein or in prior press releases which are not historical fact, such as statements regarding Spok’s future operating and financial performance, are forward-looking statements for purposes of the safe harbor provisions under the Private Securities Litigation Reform Act of 1995. These forward-looking statements involve risks and uncertainties that may cause Spok’s actual results to be materially different from the future results expressed or implied by such forward-looking statements. Factors that could cause actual results to differ materially from those expectations include, but are not limited to, risks related to Spok's new strategic business plan, including its ability to maximize revenue and cash generation from its established businesses and return capital to shareholders, risks related to the COVID-19 pandemic and its effect on our business and the economy, other economic conditions such as recessionary economic cycles, higher interest rates, inflation and higher levels of unemployment, declining demand for paging products and services, continued demand for our software products and services, our dependence on the U.S. healthcare industry, our ability to develop additional software solutions for our customers and manage our development as a global organization, the ability to manage operating expenses, particularly third-party consulting services and research and development costs, future capital needs, competitive pricing pressures, competition from traditional paging services, other wireless communications services and other software providers, many of which are substantially larger and have much greater financial and human capital resources, changes in customer purchasing priorities or capital expenditures, government regulation of our products and services and the healthcare and health insurance industries, reliance upon third-party providers for certain equipment and services, unauthorized breaches or failures in cybersecurity measures adopted by us and/or included in our products and services, the effects of changes in accounting policies or practices, our ability to realize the benefits associated with our deferred tax assets, future impairments of our long-lived assets, amortizable intangible assets and goodwill, the effects of our limited-duration shareholder rights plan, and the outcome of Spok's strategic alternatives review, as well as other risks described from time to time in our periodic reports and other filings with the Securities and Exchange Commission. Although Spok believes the expectations reflected in the forward-looking statements are based on reasonable assumptions, it can give no assurance that its expectations will be attained. Spok disclaims any intent or obligation to update any forward-looking statements.
Tables to Follow
SPOK HOLDINGS, INC. |
||||||||
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (a)(b) |
||||||||
(Unaudited and in thousands except share, per share amounts and ARPU) |
||||||||
|
|
|
|
|
||||
|
|
For the three months ended |
||||||
|
|
3/31/2022 |
|
3/31/2021 |
||||
Revenue: |
|
|
|
|
||||
Wireless |
|
$ |
18,846 |
|
|
$ |
20,120 |
|
Software |
|
|
14,979 |
|
|
|
15,916 |
|
Total revenue |
|
|
33,825 |
|
|
|
36,036 |
|
Operating expenses: |
|
|
|
|
||||
Cost of revenue (exclusive of items shown separately below) |
|
|
7,804 |
|
|
|
7,982 |
|
Research and development |
|
|
6,497 |
|
|
|
4,444 |
|
Technology operations |
|
|
7,013 |
|
|
|
7,204 |
|
Selling and marketing |
|
|
5,315 |
|
|
|
5,139 |
|
General and administrative |
|
|
10,435 |
|
|
|
10,280 |
|
Depreciation, amortization and accretion |
|
|
934 |
|
|
|
2,727 |
|
Severance and restructuring |
|
|
4,495 |
|
|
|
— |
|
Total operating expenses |
|
|
42,493 |
|
|
|
37,776 |
|
% of total revenue |
|
|
125.6 |
% |
|
|
104.8 |
% |
Operating loss |
|
|
(8,668 |
) |
|
|
(1,740 |
) |
% of total revenue |
|
|
(25.6 |
) % |
|
|
(4.8 |
) % |
Interest income |
|
|
67 |
|
|
|
61 |
|
Other expense |
|
|
(13 |
) |
|
|
(27 |
) |
Loss before income taxes |
|
|
(8,614 |
) |
|
|
(1,706 |
) |
Benefit from (provision for) income taxes |
|
|
1,400 |
|
|
|
(591 |
) |
Net loss |
|
$ |
(7,214 |
) |
|
$ |
(2,297 |
) |
Basic and diluted net loss per common share |
|
$ |
(0.37 |
) |
|
$ |
(0.12 |
) |
Basic weighted average common shares outstanding |
|
|
19,599,526 |
|
|
|
19,272,786 |
|
Cash dividends declared per common share |
|
|
0.3125 |
|
|
|
0.125 |
|
Key statistics: |
|
|
|
|
||||
Units in service |
|
|
838 |
|
|
|
874 |
|
Average revenue per unit (ARPU) |
|
$ |
7.24 |
|
|
$ |
7.34 |
|
Bookings |
|
$ |
14,317 |
|
|
$ |
14,597 |
|
Backlog |
|
$ |
40,532 |
|
|
$ |
48,849 |
|
|
|
|
|
|
||||
(a) Slight variations in totals are due to rounding. |
||||||||
(b) Certain prior period amounts have been reclassified to conform to the current period's presentation. These reclassifications had no effect on the reported results of operations |
||||||||
SPOK HOLDINGS, INC. |
||||||||||||||||||||||||||||||||
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (a)(b) |
||||||||||||||||||||||||||||||||
(Unaudited and in thousands except share, per share amounts and ARPU) |
||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
|
|
For the three months ended |
||||||||||||||||||||||||||||||
|
|
3/31/2022 |
|
12/31/2021 |
|
9/30/2021 |
|
6/30/2021 |
|
3/31/2021 |
|
12/31/2020 |
|
9/30/2020 |
|
6/30/2020 |
||||||||||||||||
Revenue: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Wireless |
|
$ |
18,846 |
|
|
$ |
19,203 |
|
|
$ |
19,644 |
|
|
$ |
19,859 |
|
|
$ |
20,120 |
|
|
$ |
20,300 |
|
|
$ |
20,828 |
|
|
$ |
21,078 |
|
Software |
|
|
14,979 |
|
|
|
15,341 |
|
|
|
16,207 |
|
|
|
15,864 |
|
|
|
15,916 |
|
|
|
17,180 |
|
|
|
16,865 |
|
|
|
14,661 |
|
Total revenue |
|
|
33,825 |
|
|
|
34,544 |
|
|
|
35,851 |
|
|
|
35,723 |
|
|
|
36,036 |
|
|
|
37,480 |
|
|
|
37,693 |
|
|
|
35,739 |
|
Operating expenses: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Cost of revenue (exclusive of items shown separately below) |
|
|
7,804 |
|
|
|
8,290 |
|
|
|
8,340 |
|
|
|
7,859 |
|
|
|
7,982 |
|
|
|
8,588 |
|
|
|
7,223 |
|
|
|
6,372 |
|
Research and development |
|
|
6,497 |
|
|
|
4,851 |
|
|
|
4,063 |
|
|
|
4,156 |
|
|
|
4,444 |
|
|
|
4,122 |
|
|
|
3,445 |
|
|
|
2,740 |
|
Technology operations |
|
|
7,013 |
|
|
|
7,331 |
|
|
|
7,287 |
|
|
|
7,022 |
|
|
|
7,204 |
|
|
|
7,253 |
|
|
|
7,269 |
|
|
|
7,174 |
|
Selling and marketing |
|
|
5,315 |
|
|
|
5,356 |
|
|
|
5,404 |
|
|
|
5,184 |
|
|
|
5,139 |
|
|
|
5,209 |
|
|
|
4,483 |
|
|
|
4,015 |
|
General and administrative |
|
|
10,435 |
|
|
|
11,099 |
|
|
|
11,664 |
|
|
|
10,481 |
|
|
|
10,280 |
|
|
|
8,882 |
|
|
|
10,206 |
|
|
|
10,162 |
|
Depreciation, amortization and accretion |
|
|
934 |
|
|
|
2,694 |
|
|
|
2,568 |
|
|
|
2,457 |
|
|
|
2,727 |
|
|
|
2,503 |
|
|
|
2,335 |
|
|
|
2,072 |
|
Severance and restructuring |
|
|
4,495 |
|
|
|
71 |
|
|
|
82 |
|
|
|
173 |
|
|
|
— |
|
|
|
366 |
|
|
|
— |
|
|
|
45 |
|
Goodwill and capitalized software development impairment |
|
|
— |
|
|
|
15,663 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
25,007 |
|
|
|
— |
|
|
|
— |
|
Total operating expenses |
|
|
42,493 |
|
|
|
55,355 |
|
|
|
39,408 |
|
|
|
37,332 |
|
|
|
37,776 |
|
|
|
61,930 |
|
|
|
34,961 |
|
|
|
32,580 |
|
% of total revenue |
|
|
125.6 |
% |
|
|
160.2 |
% |
|
|
109.9 |
% |
|
|
104.5 |
% |
|
|
104.8 |
% |
|
|
165.2 |
% |
|
|
92.8 |
% |
|
|
91.2 |
% |
Operating (loss) income |
|
|
(8,668 |
) |
|
|
(20,811 |
) |
|
|
(3,557 |
) |
|
|
(1,609 |
) |
|
|
(1,740 |
) |
|
|
(24,450 |
) |
|
|
2,732 |
|
|
|
3,159 |
|
% of total revenue |
|
|
(25.6 |
) % |
|
|
(60.2 |
) % |
|
|
(9.9 |
) % |
|
|
(4.5 |
) % |
|
|
(4.8 |
) % |
|
|
(65.2 |
) % |
|
|
7.2 |
% |
|
|
8.8 |
% |
Interest income |
|
|
67 |
|
|
|
56 |
|
|
|
141 |
|
|
|
61 |
|
|
|
61 |
|
|
|
51 |
|
|
|
127 |
|
|
|
146 |
|
Other (expense) income |
|
|
(13 |
) |
|
|
54 |
|
|
|
10 |
|
|
|
29 |
|
|
|
(27 |
) |
|
|
95 |
|
|
|
151 |
|
|
|
101 |
|
(Loss) income before income taxes |
|
|
(8,614 |
) |
|
|
(20,701 |
) |
|
|
(3,406 |
) |
|
|
(1,519 |
) |
|
|
(1,706 |
) |
|
|
(24,304 |
) |
|
|
3,010 |
|
|
|
3,406 |
|
Benefit from (provision for) income taxes |
|
|
1,400 |
|
|
|
4,032 |
|
|
|
912 |
|
|
|
800 |
|
|
|
(591 |
) |
|
|
(22,306 |
) |
|
|
155 |
|
|
|
353 |
|
Net (loss) income |
|
$ |
(7,214 |
) |
|
$ |
(16,669 |
) |
|
$ |
(2,494 |
) |
|
$ |
(719 |
) |
|
$ |
(2,297 |
) |
|
$ |
(46,610 |
) |
|
$ |
3,165 |
|
|
$ |
3,759 |
|
Basic net (loss) income per common share |
|
$ |
(0.37 |
) |
|
$ |
(0.86 |
) |
|
$ |
(0.13 |
) |
|
$ |
(0.04 |
) |
|
$ |
(0.12 |
) |
|
$ |
(2.44 |
) |
|
$ |
0.17 |
|
|
$ |
0.20 |
|
Diluted net (loss) income per common share |
|
|
(0.37 |
) |
|
|
(0.86 |
) |
|
|
(0.13 |
) |
|
|
(0.04 |
) |
|
|
(0.12 |
) |
|
|
(2.44 |
) |
|
|
0.16 |
|
|
|
0.20 |
|
Basic weighted average common shares outstanding |
|
|
19,599,526 |
|
|
|
19,483,004 |
|
|
|
19,464,893 |
|
|
|
19,395,364 |
|
|
|
19,272,786 |
|
|
|
19,088,329 |
|
|
|
19,051,502 |
|
|
|
19,016,853 |
|
Diluted weighted average common shares outstanding |
|
|
19,599,526 |
|
|
|
19,483,004 |
|
|
|
19,464,893 |
|
|
|
19,395,364 |
|
|
|
19,272,786 |
|
|
|
19,088,329 |
|
|
|
19,208,452 |
|
|
|
19,115,148 |
|
Key statistics: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Units in service |
|
|
838 |
|
|
|
847 |
|
|
|
853 |
|
|
|
869 |
|
|
|
874 |
|
|
|
885 |
|
|
|
898 |
|
|
|
915 |
|
Average revenue per unit (ARPU) |
|
$ |
7.24 |
|
|
$ |
7.26 |
|
|
$ |
7.29 |
|
|
$ |
7.32 |
|
|
$ |
7.34 |
|
|
$ |
7.30 |
|
|
$ |
7.34 |
|
|
$ |
7.24 |
|
Bookings |
|
$ |
14,317 |
|
|
$ |
14,793 |
|
|
$ |
17,116 |
|
|
$ |
13,037 |
|
|
$ |
14,597 |
|
|
$ |
16,528 |
|
|
$ |
21,414 |
|
|
$ |
15,411 |
|
Backlog |
|
$ |
40,532 |
|
|
$ |
43,361 |
|
|
$ |
45,584 |
|
|
$ |
45,632 |
|
|
$ |
48,849 |
|
|
$ |
50,504 |
|
|
$ |
51,708 |
|
|
$ |
48,441 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
(a) Slight variations in totals are due to rounding. |
||||||||||||||||||||||||||||||||
(b) Certain prior period amounts have been reclassified to conform to the current period's presentation. These reclassifications had no effect on the reported results of operations |
||||||||||||||||||||||||||||||||
SPOK HOLDINGS, INC. |
||||||||
CONDENSED CONSOLIDATED BALANCE SHEETS (a) |
||||||||
(In thousands) |
||||||||
|
|
|
|
|
||||
|
|
3/31/2022 |
|
12/31/2021 |
||||
|
|
|
|
|
||||
ASSETS |
|
(Unaudited) |
|
|
||||
|
|
|
|
|
||||
Current assets: |
|
|
|
|
||||
Cash and cash equivalents |
|
$ |
31,350 |
|
|
$ |
44,583 |
|
Short-term investments |
|
|
14,978 |
|
|
|
14,999 |
|
Accounts receivable, net |
|
|
23,373 |
|
|
|
26,908 |
|
Prepaid expenses |
|
|
8,095 |
|
|
|
6,641 |
|
Other current assets |
|
|
878 |
|
|
|
922 |
|
Total current assets |
|
|
78,674 |
|
|
|
94,053 |
|
Non-current assets: |
|
|
|
|
||||
Property and equipment, net |
|
|
6,642 |
|
|
|
6,746 |
|
Operating lease right-of-use assets |
|
|
14,993 |
|
|
|
15,821 |
|
Capitalized software development, net |
|
|
— |
|
|
|
— |
|
Goodwill |
|
|
99,175 |
|
|
|
99,175 |
|
Intangible assets, net |
|
|
— |
|
|
|
— |
|
Deferred income tax assets, net |
|
|
32,684 |
|
|
|
31,653 |
|
Other non-current assets |
|
|
707 |
|
|
|
706 |
|
Total non-current assets |
|
|
154,201 |
|
|
|
154,101 |
|
Total assets |
|
$ |
232,875 |
|
|
$ |
248,154 |
|
|
|
|
|
|
||||
LIABILITIES AND STOCKHOLDERS’ EQUITY |
|
|
|
|
||||
|
|
|
|
|
||||
Current liabilities: |
|
|
|
|
||||
Accounts payable |
|
$ |
3,863 |
|
|
$ |
5,292 |
|
Accrued compensation and benefits |
|
|
15,769 |
|
|
|
13,948 |
|
Deferred revenue |
|
|
24,223 |
|
|
|
25,608 |
|
Operating lease liabilities |
|
|
5,112 |
|
|
|
5,405 |
|
Other current liabilities |
|
|
5,147 |
|
|
|
4,745 |
|
Total current liabilities |
|
|
54,114 |
|
|
|
54,998 |
|
Non-current liabilities: |
|
|
|
|
||||
Asset retirement obligations |
|
|
6,372 |
|
|
|
6,355 |
|
Operating lease liabilities |
|
|
11,256 |
|
|
|
11,883 |
|
Other non-current liabilities |
|
|
1,238 |
|
|
|
1,227 |
|
Total non-current liabilities |
|
|
18,866 |
|
|
|
19,465 |
|
Total liabilities |
|
|
72,980 |
|
|
|
74,463 |
|
Commitments and contingencies |
|
|
|
|
||||
Stockholders' equity: |
|
|
|
|
||||
Preferred stock |
|
$ |
— |
|
|
$ |
— |
|
Common stock |
|
|
2 |
|
|
|
2 |
|
Additional paid-in capital |
|
|
97,197 |
|
|
|
97,291 |
|
Accumulated other comprehensive loss |
|
|
(1,563 |
) |
|
|
(1,588 |
) |
Retained earnings |
|
|
64,259 |
|
|
|
77,986 |
|
Total stockholders' equity |
|
|
159,895 |
|
|
|
173,691 |
|
Total liabilities and stockholders' equity |
|
$ |
232,875 |
|
|
$ |
248,154 |
|
|
|
|
|
|
||||
(a) Slight variations in totals are due to rounding. |
||||||||
SPOK HOLDINGS, INC. |
||||||||
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (a) |
||||||||
(Unaudited and in thousands) |
||||||||
|
|
|
|
|||||
|
For the three months ended |
|||||||
|
3/31/2022 |
|
3/31/2021 |
|||||
Operating activities: |
|
|
|
|||||
Net loss |
$ |
(7,214 |
) |
|
$ |
(2,297 |
) |
|
Adjustments to reconcile net loss to net cash net (used ) provided by operating activities: |
|
|
|
|||||
Depreciation, amortization and accretion |
|
934 |
|
|
|
2,727 |
|
|
Deferred income tax (benefit) expense |
|
(1,024 |
) |
|
|
510 |
|
|
Stock-based compensation |
|
1,115 |
|
|
|
2,239 |
|
|
Provisions for credit losses, service credits and other |
|
594 |
|
|
|
215 |
|
|
Changes in assets and liabilities: |
|
|
|
|||||
Accounts receivable |
|
2,951 |
|
|
|
1,039 |
|
|
Prepaid expenses and other assets |
|
(1,421 |
) |
|
|
457 |
|
|
Net operating lease liabilities |
|
(91 |
) |
|
|
338 |
|
|
Accounts payable, accrued liabilities and other |
|
879 |
|
|
|
(3,038 |
) |
|
Deferred revenue |
|
(1,602 |
) |
|
|
(1,471 |
) |
|
Net cash (used in) provided by operating activities |
|
(4,879 |
) |
|
|
719 |
|
|
Investing activities: |
|
|
|
|||||
Purchases of property and equipment |
|
(679 |
) |
|
|
(727 |
) |
|
Capitalized software development |
|
— |
|
|
|
(2,920 |
) |
|
Purchase of short-term investments |
|
(14,967 |
) |
|
|
(14,995 |
) |
|
Maturity of short-term investments |
|
15,000 |
|
|
|
15,000 |
|
|
Net cash used in investing activities |
|
(646 |
) |
|
|
(3,642 |
) |
|
Financing activities: |
|
|
|
|||||
Cash distributions to stockholders |
|
(6,524 |
) |
|
|
(2,730 |
) |
|
Purchase of common stock for tax withholding on vested equity awards |
|
(1,209 |
) |
|
|
(1,444 |
) |
|
Net cash used in financing activities |
|
(7,733 |
) |
|
|
(4,174 |
) |
|
Effect of exchange rate on cash and cash equivalents |
|
25 |
|
|
|
14 |
|
|
Net decrease in cash and cash equivalents |
|
(13,233 |
) |
|
|
(7,083 |
) |
|
Cash and cash equivalents, beginning of period |
|
44,583 |
|
|
|
48,729 |
|
|
Cash and cash equivalents, end of period |
$ |
31,350 |
|
|
$ |
41,646 |
|
|
Supplemental disclosure: |
|
|
|
|||||
Income tax refunds received |
$ |
(39 |
) |
|
$ |
(118 |
) |
|
|
|
|
|
|||||
(a) Slight variations in totals are due to rounding. |
||||||||
SPOK HOLDINGS, INC. |
||||||||||||||||||||||||
CONSOLIDATED REVENUE |
||||||||||||||||||||||||
SUPPLEMENTAL INFORMATION (a) |
||||||||||||||||||||||||
(Unaudited and in thousands) |
||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
|
|
For the three months ended |
||||||||||||||||||||||
|
|
3/31/2022 |
|
12/31/2021 |
|
9/30/2021 |
|
6/30/2021 |
|
3/31/2021 |
|
12/31/2020 |
|
9/30/2020 |
|
6/30/2020 |
||||||||
Revenue |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Paging |
|
$ |
18,313 |
|
$ |
18,513 |
|
$ |
18,844 |
|
$ |
19,135 |
|
$ |
19,353 |
|
$ |
19,513 |
|
$ |
19,961 |
|
$ |
19,990 |
Non-paging |
|
$ |
533 |
|
$ |
690 |
|
$ |
800 |
|
$ |
724 |
|
$ |
767 |
|
$ |
787 |
|
$ |
867 |
|
$ |
1,088 |
Total wireless revenue |
|
$ |
18,846 |
|
$ |
19,203 |
|
$ |
19,644 |
|
$ |
19,859 |
|
$ |
20,120 |
|
$ |
20,300 |
|
$ |
20,828 |
|
$ |
21,078 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
License |
|
$ |
1,824 |
|
$ |
1,650 |
|
$ |
1,807 |
|
$ |
908 |
|
$ |
1,552 |
|
$ |
1,528 |
|
$ |
2,012 |
|
$ |
749 |
Services |
|
$ |
3,336 |
|
$ |
3,783 |
|
$ |
4,159 |
|
$ |
4,865 |
|
$ |
4,354 |
|
$ |
4,778 |
|
$ |
4,772 |
|
$ |
3,812 |
Equipment |
|
$ |
589 |
|
$ |
573 |
|
$ |
596 |
|
$ |
482 |
|
$ |
616 |
|
$ |
961 |
|
$ |
554 |
|
$ |
601 |
Operations revenue |
|
$ |
5,749 |
|
$ |
6,006 |
|
$ |
6,562 |
|
$ |
6,255 |
|
$ |
6,522 |
|
$ |
7,267 |
|
$ |
7,338 |
|
$ |
5,162 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Maintenance revenue |
|
$ |
9,230 |
|
$ |
9,335 |
|
$ |
9,645 |
|
$ |
9,609 |
|
$ |
9,394 |
|
$ |
9,913 |
|
$ |
9,527 |
|
$ |
9,499 |
Total software revenue |
|
$ |
14,979 |
|
$ |
15,341 |
|
$ |
16,207 |
|
$ |
15,864 |
|
$ |
15,916 |
|
$ |
17,180 |
|
$ |
16,865 |
|
$ |
14,661 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Total revenue |
|
$ |
33,825 |
|
$ |
34,544 |
|
$ |
35,851 |
|
$ |
35,723 |
|
$ |
36,036 |
|
$ |
37,480 |
|
$ |
37,693 |
|
$ |
35,739 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
(a) Slight variations in totals are due to rounding. |
||||||||||||||||||||||||
SPOK HOLDINGS, INC. |
||||||||||||||||||||||||||||||||
CONSOLIDATED OPERATING EXPENSES |
||||||||||||||||||||||||||||||||
SUPPLEMENTAL INFORMATION (a)(b) |
||||||||||||||||||||||||||||||||
(Unaudited and in thousands) |
||||||||||||||||||||||||||||||||
|
||||||||||||||||||||||||||||||||
|
|
For the three months ended |
||||||||||||||||||||||||||||||
|
|
3/31/2022 |
|
12/31/2021 |
|
9/30/2021 |
|
6/30/2021 |
|
3/31/2021 |
|
12/31/2020 |
|
9/30/2020 |
|
6/30/2020 |
||||||||||||||||
Cost of revenue |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Payroll and related |
|
$ |
5,110 |
|
|
$ |
5,268 |
|
|
$ |
5,208 |
|
|
$ |
4,720 |
|
|
$ |
5,139 |
|
|
$ |
5,244 |
|
|
$ |
4,743 |
|
|
$ |
4,158 |
|
Cost of sales |
|
|
1,557 |
|
|
|
1,713 |
|
|
|
1,699 |
|
|
|
1,633 |
|
|
|
1,386 |
|
|
|
1,924 |
|
|
|
1,165 |
|
|
|
1,193 |
|
Recoverable taxes and fees |
|
|
712 |
|
|
|
781 |
|
|
|
792 |
|
|
|
903 |
|
|
|
867 |
|
|
|
798 |
|
|
|
803 |
|
|
|
591 |
|
Stock-based compensation |
|
|
109 |
|
|
|
127 |
|
|
|
220 |
|
|
|
262 |
|
|
|
291 |
|
|
|
112 |
|
|
|
121 |
|
|
|
111 |
|
Other |
|
|
316 |
|
|
|
401 |
|
|
|
421 |
|
|
|
341 |
|
|
|
299 |
|
|
|
510 |
|
|
|
391 |
|
|
|
319 |
|
Total cost of revenue |
|
|
7,804 |
|
|
|
8,290 |
|
|
|
8,340 |
|
|
|
7,859 |
|
|
|
7,982 |
|
|
|
8,588 |
|
|
|
7,223 |
|
|
|
6,372 |
|
Research and development |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Payroll and related |
|
|
4,305 |
|
|
|
4,329 |
|
|
|
4,291 |
|
|
|
4,333 |
|
|
|
4,475 |
|
|
|
4,358 |
|
|
|
4,147 |
|
|
|
4,115 |
|
Outside services |
|
|
1,899 |
|
|
|
1,760 |
|
|
|
1,759 |
|
|
|
2,060 |
|
|
|
2,277 |
|
|
|
2,358 |
|
|
|
2,113 |
|
|
|
1,803 |
|
Capitalized software development |
|
|
— |
|
|
|
(2,603 |
) |
|
|
(2,621 |
) |
|
|
(2,698 |
) |
|
|
(2,920 |
) |
|
|
(3,046 |
) |
|
|
(2,906 |
) |
|
|
(3,596 |
) |
Stock-based compensation |
|
|
130 |
|
|
|
234 |
|
|
|
435 |
|
|
|
305 |
|
|
|
475 |
|
|
|
246 |
|
|
|
240 |
|
|
|
243 |
|
Other |
|
|
163 |
|
|
|
1,131 |
|
|
|
199 |
|
|
|
156 |
|
|
|
137 |
|
|
|
206 |
|
|
|
(149 |
) |
|
|
175 |
|
Total research and development |
|
|
6,497 |
|
|
|
4,851 |
|
|
|
4,063 |
|
|
|
4,156 |
|
|
|
4,444 |
|
|
|
4,122 |
|
|
|
3,445 |
|
|
|
2,740 |
|
Technology operations |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Payroll and related |
|
|
2,509 |
|
|
|
2,584 |
|
|
|
2,585 |
|
|
|
2,323 |
|
|
|
2,467 |
|
|
|
2,467 |
|
|
|
2,246 |
|
|
|
2,213 |
|
Site rent |
|
|
3,067 |
|
|
|
3,104 |
|
|
|
3,122 |
|
|
|
3,143 |
|
|
|
3,196 |
|
|
|
3,313 |
|
|
|
3,467 |
|
|
|
3,399 |
|
Telecommunications |
|
|
771 |
|
|
|
826 |
|
|
|
828 |
|
|
|
825 |
|
|
|
837 |
|
|
|
857 |
|
|
|
949 |
|
|
|
961 |
|
Stock-based compensation |
|
|
55 |
|
|
|
53 |
|
|
|
139 |
|
|
|
131 |
|
|
|
137 |
|
|
|
48 |
|
|
|
52 |
|
|
|
47 |
|
Other |
|
|
611 |
|
|
|
764 |
|
|
|
613 |
|
|
|
600 |
|
|
|
567 |
|
|
|
568 |
|
|
|
555 |
|
|
|
554 |
|
Total technology operations |
|
|
7,013 |
|
|
|
7,331 |
|
|
|
7,287 |
|
|
|
7,022 |
|
|
|
7,204 |
|
|
|
7,253 |
|
|
|
7,269 |
|
|
|
7,174 |
|
Selling and marketing |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Payroll and related |
|
|
3,468 |
|
|
|
3,383 |
|
|
|
3,592 |
|
|
|
3,361 |
|
|
|
3,365 |
|
|
|
3,115 |
|
|
|
2,971 |
|
|
|
2,730 |
|
Commissions |
|
|
1,024 |
|
|
|
1,153 |
|
|
|
924 |
|
|
|
1,244 |
|
|
|
1,105 |
|
|
|
1,178 |
|
|
|
1,059 |
|
|
|
852 |
|
Stock-based compensation |
|
|
79 |
|
|
|
114 |
|
|
|
264 |
|
|
|
277 |
|
|
|
350 |
|
|
|
216 |
|
|
|
235 |
|
|
|
217 |
|
Advertising and events |
|
|
568 |
|
|
|
630 |
|
|
|
527 |
|
|
|
247 |
|
|
|
161 |
|
|
|
539 |
|
|
|
151 |
|
|
|
160 |
|
Other |
|
|
176 |
|
|
|
76 |
|
|
|
97 |
|
|
|
55 |
|
|
|
158 |
|
|
|
161 |
|
|
|
67 |
|
|
|
56 |
|
Total selling and marketing |
|
|
5,315 |
|
|
|
5,356 |
|
|
|
5,404 |
|
|
|
5,184 |
|
|
|
5,139 |
|
|
|
5,209 |
|
|
|
4,483 |
|
|
|
4,015 |
|
General and administrative |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Payroll and related |
|
|
4,051 |
|
|
|
4,040 |
|
|
|
3,911 |
|
|
|
3,564 |
|
|
|
3,818 |
|
|
|
3,373 |
|
|
|
3,476 |
|
|
|
3,355 |
|
Stock-based compensation |
|
|
742 |
|
|
|
675 |
|
|
|
958 |
|
|
|
806 |
|
|
|
986 |
|
|
|
726 |
|
|
|
968 |
|
|
|
744 |
|
Facility rent, office, and technology costs |
|
|
2,680 |
|
|
|
2,579 |
|
|
|
2,692 |
|
|
|
2,484 |
|
|
|
2,480 |
|
|
|
2,412 |
|
|
|
2,260 |
|
|
|
2,276 |
|
Outside services |
|
|
1,900 |
|
|
|
2,392 |
|
|
|
3,078 |
|
|
|
2,219 |
|
|
|
1,825 |
|
|
|
1,584 |
|
|
|
2,148 |
|
|
|
2,043 |
|
Taxes, licenses and permits (b) |
|
|
265 |
|
|
|
408 |
|
|
|
211 |
|
|
|
214 |
|
|
|
214 |
|
|
|
(314 |
) |
|
|
190 |
|
|
|
213 |
|
Bad debt |
|
|
(14 |
) |
|
|
255 |
|
|
|
(29 |
) |
|
|
328 |
|
|
|
106 |
|
|
|
202 |
|
|
|
178 |
|
|
|
628 |
|
Other |
|
|
811 |
|
|
|
750 |
|
|
|
843 |
|
|
|
866 |
|
|
|
851 |
|
|
|
899 |
|
|
|
986 |
|
|
|
903 |
|
Total general and administrative |
|
|
10,435 |
|
|
|
11,099 |
|
|
|
11,664 |
|
|
|
10,481 |
|
|
|
10,280 |
|
|
|
8,882 |
|
|
|
10,206 |
|
|
|
10,162 |
|
Depreciation, amortization and accretion |
|
|
934 |
|
|
|
2,694 |
|
|
|
2,568 |
|
|
|
2,457 |
|
|
|
2,727 |
|
|
|
2,503 |
|
|
|
2,335 |
|
|
|
2,072 |
|
Severance and restructuring |
|
|
4,495 |
|
|
|
71 |
|
|
|
82 |
|
|
|
173 |
|
|
|
— |
|
|
|
366 |
|
|
|
— |
|
|
|
45 |
|
Goodwill and capitalized software development impairment |
|
|
— |
|
|
|
15,663 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
25,007 |
|
|
|
— |
|
|
|
— |
|
Operating expenses |
|
$ |
42,493 |
|
|
$ |
55,355 |
|
|
$ |
39,408 |
|
|
$ |
37,332 |
|
|
$ |
37,776 |
|
|
$ |
61,930 |
|
|
$ |
34,961 |
|
|
$ |
32,580 |
|
Capital expenditures |
|
$ |
684 |
|
|
$ |
1,295 |
|
|
$ |
905 |
|
|
$ |
1,480 |
|
|
$ |
727 |
|
|
$ |
638 |
|
|
$ |
934 |
|
|
$ |
846 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
(a) Slight variations in totals are due to rounding. |
||||||||||||||||||||||||||||||||
(b) Certain prior period amounts have been reclassified to conform to the current period's presentation. These reclassifications had no effect on the reported results of operations |
||||||||||||||||||||||||||||||||
SPOK HOLDINGS, INC. |
||||||||||||||||||||||||||||||||
UNITS IN SERVICE ACTIVITY, MARKET SEGMENT, CHURN |
||||||||||||||||||||||||||||||||
AND AVERAGE REVENUE PER UNIT (ARPU) (a) |
||||||||||||||||||||||||||||||||
(Unaudited and in thousands) |
||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
|
|
For the three months ended |
||||||||||||||||||||||||||||||
|
|
3/31/2022 |
|
12/31/2021 |
|
9/30/2021 |
|
6/30/2021 |
|
3/31/2021 |
|
12/31/2020 |
|
9/30/2020 |
|
6/30/2020 |
||||||||||||||||
Paging units in service |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Beginning units in service (000's) |
|
|
847 |
|
|
|
853 |
|
|
|
869 |
|
|
|
874 |
|
|
|
885 |
|
|
|
898 |
|
|
|
915 |
|
|
|
926 |
|
Gross placements |
|
|
19 |
|
|
|
19 |
|
|
|
23 |
|
|
|
31 |
|
|
|
20 |
|
|
|
20 |
|
|
|
25 |
|
|
|
35 |
|
Gross disconnects |
|
|
(28 |
) |
|
|
(25 |
) |
|
|
(39 |
) |
|
|
(36 |
) |
|
|
(31 |
) |
|
|
(33 |
) |
|
|
(42 |
) |
|
|
(46 |
) |
Net change |
|
|
(9 |
) |
|
|
(6 |
) |
|
|
(16 |
) |
|
|
(5 |
) |
|
|
(11 |
) |
|
|
(13 |
) |
|
|
(17 |
) |
|
|
(11 |
) |
Ending units in service |
|
|
838 |
|
|
|
847 |
|
|
|
853 |
|
|
|
869 |
|
|
|
874 |
|
|
|
885 |
|
|
|
898 |
|
|
|
915 |
|
End of period units in service % of total (b) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Healthcare |
|
|
84.7 |
% |
|
|
84.7 |
% |
|
|
84.6 |
% |
|
|
84.5 |
% |
|
|
84.1 |
% |
|
|
83.6 |
% |
|
|
83.7 |
% |
|
|
83.6 |
% |
Government |
|
|
4.7 |
% |
|
|
4.8 |
% |
|
|
4.8 |
% |
|
|
4.9 |
% |
|
|
4.8 |
% |
|
|
5.3 |
% |
|
|
5.3 |
% |
|
|
5.5 |
% |
Large enterprise |
|
|
3.9 |
% |
|
|
3.9 |
% |
|
|
4.1 |
% |
|
|
4.1 |
% |
|
|
4.3 |
% |
|
|
4.3 |
% |
|
|
4.3 |
% |
|
|
4.4 |
% |
Other(b) |
|
|
6.7 |
% |
|
|
6.6 |
% |
|
|
6.4 |
% |
|
|
6.4 |
% |
|
|
6.8 |
% |
|
|
6.8 |
% |
|
|
6.6 |
% |
|
|
6.6 |
% |
Total |
|
|
100.0 |
% |
|
|
100.0 |
% |
|
|
100.0 |
% |
|
|
100.0 |
% |
|
|
100.0 |
% |
|
|
100.0 |
% |
|
|
100.0 |
% |
|
|
100.0 |
% |
Account size ending units in service (000's) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
1 to 100 units |
|
|
54 |
|
|
|
55 |
|
|
|
57 |
|
|
|
58 |
|
|
|
59 |
|
|
|
61 |
|
|
|
63 |
|
|
|
65 |
|
101 to 1,000 units |
|
|
150 |
|
|
|
154 |
|
|
|
154 |
|
|
|
155 |
|
|
|
163 |
|
|
|
167 |
|
|
|
167 |
|
|
|
165 |
|
>1,000 units |
|
|
634 |
|
|
|
638 |
|
|
|
642 |
|
|
|
656 |
|
|
|
652 |
|
|
|
657 |
|
|
|
668 |
|
|
|
685 |
|
Total |
|
|
838 |
|
|
|
847 |
|
|
|
853 |
|
|
|
869 |
|
|
|
874 |
|
|
|
885 |
|
|
|
898 |
|
|
|
915 |
|
Account size net loss rate (c) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
1 to 100 units |
|
|
(1.8 |
) % |
|
|
(3.5 |
) % |
|
|
(1.1 |
) % |
|
|
(1.7 |
) % |
|
|
(3.3 |
) % |
|
|
(3.2 |
) % |
|
|
(2.9 |
) % |
|
|
(3.1 |
) % |
101 to 1,000 units |
|
|
(2.6 |
) % |
|
|
— |
% |
|
|
(0.9 |
) % |
|
|
(4.9 |
) % |
|
|
(2.4 |
) % |
|
|
— |
% |
|
|
1.5 |
% |
|
|
(4.2 |
) % |
>1,000 units |
|
|
(0.6 |
) % |
|
|
(0.6 |
) % |
|
|
(2.2 |
) % |
|
|
0.6 |
% |
|
|
(0.8 |
) % |
|
|
(1.6 |
) % |
|
|
(2.5 |
) % |
|
|
(0.4 |
) % |
Total |
|
|
(1.1 |
) % |
|
|
(0.7 |
) % |
|
|
(1.8 |
) % |
|
|
(0.6 |
) % |
|
|
(1.2 |
) % |
|
|
(1.4 |
) % |
|
|
(1.9 |
) % |
|
|
(1.3 |
) % |
Account size ARPU |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
1 to 100 units |
|
$ |
11.52 |
|
|
$ |
11.58 |
|
|
$ |
11.67 |
|
|
$ |
11.69 |
|
|
$ |
11.72 |
|
|
$ |
11.62 |
|
|
$ |
11.80 |
|
|
$ |
11.65 |
|
101 to 1,000 units |
|
|
8.24 |
|
|
|
8.30 |
|
|
|
8.38 |
|
|
|
8.35 |
|
|
|
8.33 |
|
|
|
8.35 |
|
|
|
8.37 |
|
|
|
8.24 |
|
>1,000 units |
|
|
6.64 |
|
|
|
6.63 |
|
|
|
6.65 |
|
|
|
6.68 |
|
|
|
6.68 |
|
|
|
6.62 |
|
|
|
6.67 |
|
|
|
6.57 |
|
Total |
|
$ |
7.24 |
|
|
$ |
7.26 |
|
|
$ |
7.29 |
|
|
$ |
7.32 |
|
|
$ |
7.34 |
|
|
$ |
7.30 |
|
|
$ |
7.34 |
|
|
$ |
7.24 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
(a) Slight variations in totals are due to rounding. |
||||||||||||||||||||||||||||||||
(b) Other includes hospitality, resort and indirect units |
||||||||||||||||||||||||||||||||
(c) Net loss rate is net current period placements and disconnected units in service divided by prior period ending units in service. |
|
|
||||||||||||||||||||||||||||||
SPOK HOLDINGS, INC. |
||||||||
RECONCILIATION OF NET LOSS TO EBITDA AND ADJUSTED EBITDA (a) |
||||||||
(Unaudited and in thousands) |
||||||||
|
|
|
|
|
||||
|
|
For the three months ended |
||||||
|
|
3/31/2022 |
|
3/31/2021 |
||||
Net loss |
|
$ |
(7,214 |
) |
|
$ |
(2,297 |
) |
Add back: |
|
|
|
|
||||
(Benefit from) provision for income taxes |
|
|
(1,400 |
) |
|
|
591 |
|
Other expenses |
|
|
13 |
|
|
|
27 |
|
Interest income |
|
|
(67 |
) |
|
|
(61 |
) |
Operating loss |
|
|
(8,668 |
) |
|
|
(1,740 |
) |
Depreciation, amortization and accretion |
|
|
934 |
|
|
|
2,727 |
|
EBITDA |
|
$ |
(7,734 |
) |
|
$ |
987 |
|
Capitalized software development costs |
|
|
— |
|
|
|
(2,920 |
) |
Stock-based compensation |
|
|
1,115 |
|
|
|
2,239 |
|
Severance and restructuring |
|
|
4,495 |
|
|
|
— |
|
Adjusted EBITDA |
|
$ |
(2,124 |
) |
|
$ |
306 |
|
|
||||||||
(a) Slight variations in totals are due to rounding. |
||||||||
RECONCILIATION OF OPERATING EXPENSES TO ADJUSTED OPERATING EXPENSES (a) |
||||||||
(Unaudited and in thousands) |
||||||||
|
|
|
|
|
||||
|
|
For the three months ended |
||||||
|
|
3/31/2022 |
|
3/31/2021 |
||||
Operating expenses |
|
$ |
42,493 |
|
|
$ |
37,776 |
|
Add back: |
|
|
|
|
||||
Depreciation, amortization and accretion |
|
|
(934 |
) |
|
|
(2,727 |
) |
Capitalized software development costs |
|
|
— |
|
|
|
2,920 |
|
Severance and restructuring |
|
|
(4,495 |
) |
|
|
— |
|
Adjusted operating expenses |
|
$ |
37,064 |
|
|
$ |
37,969 |
|
|
||||||||
(a) Slight variations in totals are due to rounding. |
||||||||
SPOK HOLDINGS, INC. |
||||||||
2022 FINANCIAL OUTLOOK |
||||||||
(Unaudited and in millions) |
||||||||
|
||||||||
|
|
Guidance Range |
||||||
|
|
From |
|
To |
||||
Revenues |
|
|
|
|
||||
Wireless |
|
$ |
71.6 |
|
|
$ |
77.0 |
|
Software |
|
|
54.4 |
|
|
|
62.2 |
|
Total Revenues |
|
$ |
126.0 |
|
|
$ |
139.2 |
|
|
|
|
|
|
||||
Adjusted Operating Expenses (a) |
|
$ |
118.8 |
|
|
$ |
128.6 |
|
|
|
|
|
|
||||
Capital Expenditures |
|
$ |
3.4 |
|
|
$ |
4.2 |
|
|
|
|
|
|
||||
|
|
|
|
|
||||
|
|
|
|
|
||||
RECONCILIATION OF OPERATING EXPENSES TO ADJUSTED OPERATING EXPENSES (a) |
||||||||
(Unaudited and in millions) |
||||||||
|
||||||||
|
|
Guidance Range |
||||||
|
|
From |
|
To |
||||
Operating expenses |
|
$ |
128.7 |
|
|
$ |
142.3 |
|
Add back: |
|
|
|
|
||||
Depreciation, amortization and accretion |
|
|
(3.5 |
) |
|
|
(3.5 |
) |
Severance and restructuring |
|
$ |
(6.4 |
) |
|
$ |
(10.2 |
) |
Adjusted operating expenses |
|
$ |
118.8 |
|
|
$ |
128.6 |
|
|
|
|
|
|
||||
(a) Adjusted operating expenses exclude depreciation, amortization and accretion, goodwill and capitalized software development impairment costs, and severance and restructuring costs, and includes capitalized software development costs. |
||||||||
View source version on businesswire.com: https://www.businesswire.com/news/home/20220428005372/en/
Contacts
Lisa Fortuna or Mike Cummings
312-445-2866
spok@alpha-ir.com
