Q1 2015 Results
(PRNewswire) — Textura Corporation (NYSE: TXTR), a leading provider of collaboration solutions for the construction industry, today announced financial results for the quarter ended March 31, 2015. In addition, the Company announced that Patrick Allin, Chairman and CEO, will transition to a new role as Executive Chairman. Dave Habiger, an investor and director of Textura, will assume the role of interim CEO.
"We had a solid first quarter with increasing revenue, improving gross margins, accelerating cash generation from operations and positive adjusted EBITDA," said Allin. "We are seeing growing interest in our EPP solution domestically and are making inroads into the international markets as well. All in all, we are encouraged by the positive trends in our markets and we plan to leverage our ongoing investment in existing and new solutions to transform the construction industry."
"With another solid quarter of revenue growth and positive cash flow generation and a strong outlook for 2015, the Board and I have decided that now is the right time to transition from CEO to Executive Chairman," continued Allin. "Having overseen significant growth and market expansion since our founding in 2004, my passion and commitment to Textura remain unchanged. I am excited to move to this new role and partner with Dave Habiger to position Textura for its next stage of growth. I look forward to continuing my significant role as visionary leader of the Company, focusing on clients and our platform strategy."
Q1 2015 Key Business Highlights
- Turner Construction continued its nation-wide rollout of Textura's CPM solution. The vast majority of Turner's 1,200 ongoing projects having a construction value in excess of $20 billion are expected to be added to CPM over the remainder of 2015 and into 2016.
- The Early Payment Program (EPP) was officially launched in April. Turner Construction is the first customer that has begun to implement EPP. With a growing pipeline and large market opportunity, EPP has significant long-term potential to drive revenue and profitability.
- The Company announced a new 23,000 square foot office space in downtown Chicago. The office will provide a productive and collaborative environment for current employees who prefer to live and work in downtown Chicago and allow the Company to tap into the growing technology employment market, expanding the pool of available talent.
First Quarter Results
- Revenue: Revenue was $19.2 million, a year-over-year increase of 39%. Activity-driven revenue increased 41% to $15.0 million and organization-driven revenue increased 34% to $4.2 million. Billings of $21.5 million increased 36% year over year.
- Gross Margin: Adjusted gross margin improved to 82.3% and GAAP gross margin was 81.4% for the quarter, compared with 80.2% and 79.1%, respectively, in the quarter ended March 31, 2014.
- Adjusted EBITDA and Net Loss: Adjusted EBITDA was positive $0.9 million, compared with a loss of $3.3 million in the quarter ended March 31, 2014. GAAP net loss was $3.1 million, an improvement from a loss of $7.3 million in the prior-year period. Adjusted EPS was breakeven compared with a loss of $0.16 in the quarter ended March 31, 2014. GAAP net loss per share was $0.12 compared with a loss of $0.30 in the prior-year period.
- Operating Metrics: Total active construction projects increased 20% year over year to 8,469, representing approximately $167 billion of construction value. New projects added totaled 1,794, representing $24.1 billion in construction value, which increased 24% from the prior-year period. The increase was primarily due to large general contractor implementations and larger-scale projects. Total number of organizations increased 32% to 18,662.
- Total Cash and Cash Equivalents: As of March 31, 2015, total cash and cash equivalents was $67.5 million. Cash generated by operations during the quarter was $3.2 million and resulted in positive free cash flow.
- Deferred Revenue: Deferred revenue at March 31, 2015 was $37.9 million, up 7% from $35.6 million at December 31, 2014 and up 36% from $27.8 million at March 31, 2014.
For the quarter ending June 30, 2015
- Revenue in the range of $20.5 million to $21.5 million
- Year-over-year revenue growth in the range of 37 - 44%
- Adjusted EPS in the range of $0.02 - $0.04, excluding stock-based compensation expenses of $2.6 million and amortization of acquired intangible assets of $1.1 million, and assuming approximately 25.8 million weighted-average common shares outstanding
- GAAP net loss per share in the range of $(0.12) - $(0.10)
For the full year ending December 31, 2015
- Revenue in the range of $88 to $92 million
- Year-over-year revenue growth in the range of 40 - 46%
- Adjusted EPS in the range of $0.15 - $0.20, excluding stock-based compensation expenses of $9.7 million and amortization of acquired intangible assets of $4.2 million, and assuming approximately 25.9 million weighted-average common shares outstanding
- GAAP net loss per share in the range of $(0.38) - $(0.33)
- Cash flow from operations in the range of $16 to $20 million
Conference Call and Webcast Information
Textura plans to host a conference call today at 4:00 p.m. Central Time / 5:00 p.m. Eastern Time to review its financial results for the quarter ended March 31, 2015 and to discuss its financial outlook. Interested parties are invited to listen to the conference call by dialing 1-877-407-9039, or for international callers, 1-201-689-8470. Replays of the entire call will be available through May 7, 2015 at 1-877-870-5176, or for international callers, 1-858-384-5517, conference ID #13607609. A webcast of the conference call will also be available on the Investor Relations page of Textura's website at investors.texturacorp.com.
Textura is a leading provider of collaboration and productivity tools for the construction industry. Our solutions serve all construction industry professionals across the project lifecycle - from takeoff, estimating, design, pre-qualification and bid management to submittals, field management, LEED® management and payment. Textura's collaboration platform and online product suite represent the first time the industry has all the tools needed to manage their business in an integrated fashion to save time and money and reduce exposure to risks. With award winning technology, world-class customer support and consistent growth, Textura is leading the construction industry's technology transformation.
Use of Non-GAAP Financial Measures
Reconciliations of non-GAAP financial measures to Textura's financial results as determined in accordance with GAAP are included at the end of this press release following the accompanying financial data. For a description of these non-GAAP financial measures, including the reasons management uses each measure, please see the section titled "Adjusted EBITDA, Adjusted EPS, Adjusted Operating Expenses, Adjusted Gross Margin and Free Cash Flow Definitions."
Adjusted EBITDA, Adjusted EPS, Adjusted Operating Expenses, Adjusted Gross Margin and Free Cash Flow Definitions
Adjusted EBITDA represents loss before interest, taxes, depreciation and amortization, share-based compensation expense, and acquisition-related and other expenses. Adjusted EBITDA is not determined in accordance with accounting principles generally accepted in the United States ("GAAP"), and is a performance measure used by management in conjunction with traditional GAAP operating performance measures as part of the overall assessment of our performance including: