Tyler Technologies Reports Earnings for Second Quarter 2018 |
Double-digit revenue growth fueled by subscription and software
license revenue increases Tyler
Technologies, Inc. (NYSE: TYL) today announced financial results for
the second quarter ended June 30, 2018.
Second Quarter 2018 Financial Highlights: -
Total revenues were $236.1 million, up 13.1 percent from $208.8
million for the second quarter of 2017. Organic growth was 11.2
percent.
-
Recurring revenues from maintenance and subscriptions were $149.1
million, an increase of 15.3 percent compared to the second quarter of
2017, and comprised 63.2 percent of second quarter 2018 revenue.
-
Operating income was $37.1 million, down 0.4 percent from $37.3
million for the second quarter of 2017.
-
Net income was $39.2 million, or $0.97 per diluted share, up 23.3
percent compared to $31.8 million, or $0.81 per diluted share, for the
second quarter of 2017.
-
Cash flows from operations were $22.6 million compared to $1.4 million
for the second quarter of 2017.
-
Non-GAAP total revenues were $237.7 million, up 13.7 percent from
$209.1 million for the second quarter of 2017. Non-GAAP organic growth
was 11.8 percent.
-
Non-GAAP operating income was $62.1 million, up 12.3 percent from
$55.3 million for the second quarter of 2017.
-
Non-GAAP net income was $47.6 million, or $1.18 per diluted share, up
33.7 percent compared to $35.6 million, or $0.91 per diluted share,
for the second quarter of 2017.
-
Adjusted EBITDA was $67.6 million, up 13.4 percent compared to $59.6
million for the second quarter of 2017.
-
Total backlog was $1.2 billion, up 10.9 percent from $1.1 billion at
June 30, 2017.
-
Subscription bookings in the second quarter added $6.6 million in new
annual recurring revenue.
-
Tyler completed the acquisitions of Socrata, Inc. and Sage Data
Security, LLC on April 30, 2018, and their results are included in
Tyler's consolidated results from the date of acquisition.
-
Effective January 1, 2018, Tyler adopted the requirements of ASU No.
2014-09, Revenue from Contracts with Customers (Topic 606), utilizing
the full retrospective method of transition. Prior year amounts have
been restated from previously reported amounts to reflect the impact
of the full retrospective adoption of Topic 606.
"We delivered very strong results for the second quarter with respect to
revenues, earnings and cash flows," said Lynn Moore Jr., Tyler's
president and chief executive officer. "Total revenues grew more than 13
percent, with greater than 11 percent organic growth - our 27th
consecutive quarter with double-digit revenue growth. Revenues from both
subscriptions and software licenses were robust, growing 31 percent and
16 percent, respectively. Our non-GAAP operating margin declined 40
basis points due to the expected dilution from acquisitions, as well as
our increased investment in research and development.
"We faced a difficult comparison with last year's second quarter
bookings, which included the $35 million courts contract with Cook
County, Illinois. Bookings for the current quarter declined 8 percent
compared to the record high in last year's second quarter, but grew
sequentially 34 percent over the first quarter of 2018, led by strong
signings for our public safety and ERP products. Our backlog at the end
of the quarter was $1.2 billion, up 11 percent over last year.
"We are pleased with the results of both Socrata and Sage during their
first 60 days as a part of Tyler. The integrations of their operations
and products into Tyler are well underway, and we remain excited about
the opportunities for the future. With our strong second quarter results
and positive outlook for the second half of the year, we have also
increased our full-year earnings guidance," said Moore.
Guidance for 2018
As of July 26, 2018, Tyler Technologies is providing the following
guidance for the full year 2018:
-
GAAP total revenues are expected to be in the range of $934 million to
$948 million.
-
Non-GAAP total revenues are expected to be in the range of $940
million to $954 million.
-
GAAP diluted earnings per share are expected to be in the range of
$3.50 to $3.58 and may vary significantly due to the impact of stock
option exercises on the GAAP effective tax rate.
-
Non-GAAP diluted earnings per share are expected to be in the range of
$4.76 to $4.84.
-
Pretax non-cash, share-based compensation expense is expected to be
approximately $54 million.
-
Research and development expense is expected to be in the range of $62
million to $64 million.
-
Fully diluted shares for the year are expected to be in the range of
40.0 million to 40.5 million shares.
-
GAAP earnings per share assumes an estimated annual effective tax rate
of approximately 10 percent after discrete tax items and includes
approximately $26 million of assumed discrete tax benefits related to
share-based compensation.
-
The non-GAAP annual effective tax rate is expected to be 24 percent.
-
Capital expenditures are expected to be in the range of $23 million to
$26 million, including approximately $2 million related to real
estate. Total depreciation and amortization expense is expected to be
approximately $62 million, including approximately $40 million from
amortization of acquisition intangibles.
GAAP to non-GAAP guidance reconciliation
Non-GAAP total revenues is derived from adding back the estimated full
year impact of write-downs of acquisition-related deferred revenue and
amortization of acquired leases of approximately $5 million. Non-GAAP
diluted earnings per share is derived by adding back the estimated full
year impact of non-cash share-based compensation expense and employer
portion of payroll tax related to employee stock transactions of
approximately $54 million, and amortization of acquired software and
intangible assets of approximately $40 million. Additionally, the
non-GAAP tax rate of 24 percent is estimated periodically as described
below under "Non-GAAP Financial Measures" and excludes approximately $26
million of estimated discrete tax benefits related to share-based
compensation that are included in the GAAP estimated annual effective
tax rate.
Conference Call
Tyler Technologies will hold a conference call on Friday, July 27, at
10:00 a.m. EDT to discuss the company's results. The company is offering
participants the opportunity to register in advance for the conference
through the following link: http://dpregister.com/10121185.
Registered participants will receive an email with a calendar reminder
and a dial-in number and PIN that will allow them immediate access to
the call on July 27.
Participants who do not wish to pre-register for the call may dial in
using 844-861-5506 (U.S. callers) or 412-317-6587 (international
callers) or 866-450-4696 (Canada callers) and ask for the "Tyler
Technologies" call. A replay will be available two hours after
completion of the call through August 3, 2018. To access the replay,
please dial 877-344-7529 (U.S. callers), 412-317-0088 (international
callers) and 855-669-9658 (Canada callers) and reference passcode
10121185.
The live webcast and archived replay can also be accessed at http://investors.tylertech.com/presentations.
About Tyler Technologies, Inc.
Tyler Technologies (NYSE: TYL) is a leading provider of end-to-end
information management solutions and services for local governments.
Tyler partners with clients to empower the public sector - cities,
counties, schools and other government entities - to become more
efficient, more accessible and more responsive to the needs of their
constituents. Tyler's client base includes more than 15,000 local
government offices in all 50 states, Canada, the Caribbean, Australia,
and other international locations. In 2017, Forbes ranked Tyler on its
"Most Innovative Growth Companies" list, and Fortune included Tyler on
its "100 Fastest-Growing Companies" list. More information about Tyler
Technologies, headquartered in Plano, Texas, can be found at tylertech.com.
Non-GAAP Financial Measures
Tyler Technologies has provided in this press release financial measures
that have not been prepared in accordance with generally accepted
accounting principles (GAAP) and are therefore considered non-GAAP
financial measures. This information includes non-GAAP revenues,
non-GAAP gross profit, non-GAAP gross margin, non-GAAP operating income,
non-GAAP operating margin, non-GAAP net income, non-GAAP earnings per
diluted share, EBITDA, and adjusted EBITDA. We use these non-GAAP
financial measures internally in analyzing our financial results and
believe they are useful to investors, as a supplement to GAAP measures,
in evaluating Tyler's ongoing operational performance because they
provide additional insight in comparing results from period to period.
Tyler believes 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 results with other
companies in our industry, many of which present similar non-GAAP
financial measures. Non-GAAP financial measures discussed above exclude
write-downs of acquisition-related deferred revenue and acquired leases,
share-based compensation expense, employer portion of payroll taxes on
employee stock transactions, and expenses associated with amortization
of intangibles arising from business combinations.
Tyler currently uses a non-GAAP tax rate of 24 percent. This rate is
based on Tyler's estimated annual GAAP income tax rate forecast,
adjusted to account for items excluded from GAAP income in calculating
Tyler's non-GAAP income, as well as significant non-recurring tax
adjustments. The non-GAAP tax rate used in future periods will be
reviewed periodically to determine whether it remains appropriate in
consideration of factors including Tyler's periodic effective tax rate
calculated in accordance with GAAP, changes resulting from tax
legislation, changes in the geographic mix of revenues and expenses, and
other factors deemed significant. Due to differences in tax treatment of
items excluded from non-GAAP earnings, as well as the methodology
applied to Tyler's estimated annual tax rate as described above, the
estimated tax rate on non-GAAP income may differ from the GAAP tax rate
and from Tyler's actual tax liabilities.
Non-GAAP financial measures should be considered in addition to, and not
as a substitute for, or superior to, financial information prepared in
accordance with GAAP. The non-GAAP measures used by Tyler Technologies
may be different from non-GAAP measures used by other companies.
Investors are encouraged to review the reconciliation of these non-GAAP
measures to their most directly comparable GAAP financial measures,
which has been provided in the financial statement tables included below
in this press release.
Forward-looking Statements
This document contains "forward-looking statements" within the meaning
of Section 27A of the Securities Act of 1933 and Section 21E of the
Securities Exchange Act of 1934 that are not historical in nature and
typically address future or anticipated events, trends, expectations or
beliefs with respect to our financial condition, results of operations
or business. Forward-looking statements often contain words such as
"believes," "expects," "anticipates," "foresees," "forecasts,"
"estimates," "plans," "intends," "continues," "may," "will," "should,"
"projects," "might," "could" or other similar words or phrases.
Similarly, statements that describe our business strategy, outlook,
objectives, plans, intentions or goals also are forward-looking
statements. We believe there is a reasonable basis for our
forward-looking statements, but they are inherently subject to risks and
uncertainties and actual results could differ materially from the
expectations and beliefs reflected in the forward-looking statements. We
presently consider the following to be among the important factors that
could cause actual results to differ materially from our expectations
and beliefs: (1) changes in the budgets or regulatory environments of
our clients, primarily local and state governments, that could
negatively impact information technology spending; (2) our ability to
protect client information from security breaches and provide
uninterrupted operations of data centers; (3) our ability to achieve
growth or operational synergies through the integration of acquired
businesses, while avoiding unanticipated costs and disruptions to
existing operations; (4) material portions of our business require the
Internet infrastructure to be adequately maintained; (5) our ability to
achieve our financial forecasts due to various factors, including
project delays by our clients, reductions in transaction size, fewer
transactions, delays in delivery of new products or releases or a
decline in our renewal rates for service agreements; (6) general
economic, political and market conditions; (7) technological and market
risks associated with the development of new products or services or of
new versions of existing or acquired products or services; (8)
competition in the industry in which we conduct business and the impact
of competition on pricing, client retention and pressure for new
products or services; (9) the ability to attract and retain qualified
personnel and dealing with the loss or retirement of key members of
management or other key personnel; and (10) costs of compliance and any
failure to comply with government and stock exchange regulations. A
detailed discussion of these factors and other risks that affect our
business are described in our filings with the Securities and Exchange
Commission, including the detailed "Risk Factors" contained in our most
recent annual report on Form 10-K. We expressly disclaim any obligation
to publicly update or revise our forward-looking statements.
|
| TYLER TECHNOLOGIES, INC. | CONDENSED CONSOLIDATED STATEMENTS OF INCOME | (Amounts in thousands, except per share data) | (Unaudited) |
| |
|
|
Three Months Ended
|
|
|
Six Months Ended
| | | |
June 30,
| | |
June 30,
| | | | 2018 |
|
|
2017
| | | 2018 |
|
|
2017
| | | |
| | |
As Adjusted
| | |
| | |
As Adjusted
|
Revenues:
| | | | | | | | | | | | |
Software licenses and royalties
| | | $ | 22,400 | | | |
$
|
19,306
| | | | $ | 45,176 | | |
$
|
41,064
| |
Subscriptions
| | | | 53,009 | | | | |
40,517
| | | | | 102,037 | | | |
80,379
| |
Software services
| | | | 50,674 | | | | |
45,860
| | | | | 96,613 | | | |
88,356
| |
Maintenance
| | | | 96,076 | | | | |
88,811
| | | | | 189,973 | | | |
175,118
| |
Appraisal services
| | | | 5,532 | | | | |
6,366
| | | | | 10,926 | | | |
12,978
| |
Hardware and other
| | |
| 8,369 |
| | |
|
7,903
|
| | |
| 12,509 | | |
|
10,597
|
|
Total revenues
| | | | 236,060 | | | | |
208,763
| | | | | 457,234 | | | |
408,492
| | | | | | | | | | | | | |
|
Cost of revenues:
| | | | | | | | | | | | |
Software licenses and royalties
| | | | 1,204 | | | | |
647
| | | | | 1,982 | | | |
1,378
| |
Acquired software
| | | | 5,724 | | | | |
5,360
| | | | | 11,106 | | | |
10,770
| |
Software services, maintenance and subscriptions
| | | | 109,487 | | | | |
96,172
| | | | | 215,572 | | | |
189,712
| |
Appraisal services
| | | | 3,568 | | | | |
4,282
| | | | | 7,349 | | | |
8,479
| |
Hardware and other
| | |
| 6,801 |
| | |
|
6,799
|
| | |
| 9,144 | | |
|
8,115
|
|
Total cost of revenues
| | | | 126,784 | | | | |
113,260
| | | | | 245,153 | | | |
218,454
| | | | | | | | | | | | | |
|
Gross profit
| | | | 109,276 | | | | |
95,503
| | | | | 212,081 | | | |
190,038
| | | | | | | | | | | | | |
|
Selling, general and administrative expenses
| | | | 52,262 | | | | |
43,000
| | | | | 99,866 | | | |
85,780
| |
Research and development expense
| | | | 15,831 | | | | |
11,874
| | | | | 28,879 | | | |
23,473
| |
Amortization of customer and trade name intangibles
| | |
| 4,041 |
| | |
|
3,331
|
| | |
| 7,356 | | |
|
6,656
|
|
Operating income
| | | | 37,142 | | | | |
37,298
| | | | | 75,980 | | | |
74,129
| |
Other income (expense), net
| | |
| 558 |
| | |
|
(101
|
)
| | |
| 1,157 | | |
|
(291
|
)
|
Income before income taxes
| | | | 37,700 | | | | |
37,197
| | | | | 77,137 | | | |
73,838
| |
Income tax (benefit) provision
| | |
| (1,461 | ) | | |
|
5,427
|
| | |
| 151 | | |
|
9,299
|
|
Net income
| | | $ | 39,161 |
| | |
$
|
31,770
|
| | | $ | 76,986 | | |
$
|
64,539
|
| | | | | | | | | | | | |
| | | | | | | | | | | | |
|
Earnings per common share:
| | | | | | | | | | | | |
Basic
| | | $ | 1.02 |
| | |
$
|
0.86
|
| | | $ | 2.00 | | |
$
|
1.74
|
|
Diluted
| | | $ | 0.97 |
| | |
$
|
0.81
|
| | | $ | 1.91 | | |
$
|
1.65
|
| | | | | | | | | | | | |
|
Weighted average common shares outstanding:
| | | | | | | | | | | | |
Basic
| | | | 38,390 | | | | |
37,154
| | | | | 38,416 | | | |
37,144
| |
Diluted
| | | | 40,224 | | | | |
39,201
| | | | | 40,250 | | | |
39,211
| |
|
| TYLER TECHNOLOGIES, INC. | RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES | (Amounts in thousands, except per share data) | (Unaudited) |
| |
|
|
Three Months Ended June 30,
|
|
|
Six Months Ended June 30,
| | | |
| 2018 |
|
|
|
|
2017
|
| | |
| 2018 |
|
|
|
|
2017
|
| | | |
| | |
As Adjusted
| | |
| | |
As Adjusted
| Reconciliation of non-GAAP total revenues | | | | | | | | | | | | |
GAAP total revenues
| | | $ | 236,060 | | | |
$
|
208,763
| | | | $ | 457,234 | | | |
$
|
408,492
| |
Non-GAAP adjustments:
| | | | | | | | | | | | |
Add: Write-downs of acquisition-related deferred revenue
| | | | 1,551 | | | | |
184
| | | | | 1,651 | | | | |
388
| |
Add: Amortization of acquired leases
| | |
| 111 |
| | |
|
111
|
| | |
| 222 |
| | |
|
222
|
|
Non-GAAP total revenues
| | | $ | 237,722 |
| | |
$
|
209,058
|
| | | $ | 459,107 |
| | |
$
|
409,102
|
| | | | | | | | | | | | |
| Reconciliation of non-GAAP gross profit and
margin | | | | | | | | | | | | |
GAAP gross profit
| | | $ | 109,276 | | | |
$
|
95,503
| | | | $ | 212,081 | | | |
$
|
190,038
| |
Non-GAAP adjustments:
| | | | | | | | | | | | |
Add: Write-downs of acquisition-related deferred revenue
| | | | 1,551 | | | | |
184
| | | | | 1,651 | | | | |
388
| |
Add: Amortization of acquired leases
| | | | 111 | | | | |
111
| | | | | 222 | | | | |
222
| |
Add: Share-based compensation expense included in cost of revenues
| | | | 2,955 | | | | |
2,253
| | | | | 5,731 | | | | |
4,350
| |
Add: Amortization of acquired software
| | |
| 5,724 |
| | |
|
5,360
|
| | |
| 11,106 |
| | |
|
10,770
|
|
Non-GAAP gross profit
| | | $ | 119,617 |
| | |
$
|
103,411
|
| | | $ | 230,791 |
| | |
$
|
205,768
|
|
GAAP gross margin
| | |
| 46.3 | % | | |
|
45.7
|
%
| | |
| 46.4 | % | | |
|
46.5
|
%
|
Non-GAAP gross margin
| | |
| 50.3 | % | | |
|
49.5
|
%
| | |
| 50.3 | % | | |
|
50.3
|
%
| | | | | | | | | | | | |
| Reconciliation of non-GAAP operating income
and margin | | | | | | | | | | | | |
GAAP operating income
| | | $ | 37,142 | | | |
$
|
37,298
| | | | $ | 75,980 | | | |
$
|
74,129
| |
Non-GAAP adjustments:
| | | | | | | | | | | | |
Add: Write-downs of acquisition-related deferred revenue
| | | | 1,551 | | | | |
184
| | | | | 1,651 | | | | |
388
| |
Add: Amortization of acquired leases
| | | | 111 | | | | |
111
| | | | | 222 | | | | |
222
| |
Add: Share-based compensation expense
| | | | 12,933 | | | | |
8,901
| | | | | 23,490 | | | | |
17,577
| |
Add: Employer portion of payroll tax related to employee stock
transactions
| | | | 604 | | | | |
128
| | | | | 924 | | | | |
511
| |
Add: Amortization of acquired software
| | | | 5,724 | | | | |
5,360
| | | | | 11,106 | | | | |
10,770
| |
Add: Amortization of customer and trade name intangibles
| | |
| 4,041 |
| | |
|
3,331
|
| | |
| 7,356 |
| | |
|
6,656
|
|
Non-GAAP adjustments subtotal
| | | $ | 24,964 |
| | |
$
|
18,015
|
| | | $ | 44,749 |
| | |
$
|
36,124
|
|
Non-GAAP operating income
| | | $ | 62,106 |
| | |
$
|
55,313
|
| | | $ | 120,729 |
| | |
$
|
110,253
|
|
GAAP operating margin
| | |
| 15.7 | % | | |
|
17.9
|
%
| | |
| 16.6 | % | | |
|
18.1
|
%
|
Non-GAAP operating margin
| | |
| 26.1 | % | | |
|
26.5
|
%
| | |
| 26.3 | % | | |
|
27.0
|
%
|
|
| TYLER TECHNOLOGIES, INC. | RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES | (Amounts in thousands, except per share data) | (Unaudited) |
| |
|
|
Three Months Ended June 30,
|
|
|
Six Months Ended June 30,
| | | |
| 2018 |
|
|
|
|
2017
|
| | |
| 2018 |
|
|
|
|
2017
|
| | | |
| | |
As Adjusted
| | |
| | |
As Adjusted
| Reconciliation of non-GAAP net income and
earnings per share | | | | | | | | | | | | |
GAAP net income
| | | $ | 39,161 | | | |
$
|
31,770
| | | | $ | 76,986 | | | |
$
|
64,539
| |
Non-GAAP adjustments:
| | | | | | | | | | | | |
Add: Total non-GAAP adjustments to operating income
| | | | 24,964 | | | | |
18,015
| | | | | 44,749 | | | | |
36,124
| |
Less: Tax impact related to non-GAAP adjustments
| | |
| (16,500 | ) | | |
|
(14,173
|
)
| | |
| (29,101 | ) | | |
|
(29,737
|
)
|
Non-GAAP net income
| | | $ | 47,625 |
| | |
$
|
35,612
|
| | | $ | 92,634 |
| | |
$
|
70,926
|
|
GAAP earnings per diluted share
| | | $ | 0.97 |
| | |
$
|
0.81
|
| | | $ | 1.91 |
| | |
$
|
1.65
|
|
Non-GAAP earnings per diluted share
| | | $ | 1.18 |
| | |
$
|
0.91
|
| | | $ | 2.30 |
| | |
$
|
1.81
|
| | | | | | | | | | | | |
| Detail of share-based compensation expense | | | | | | | | | | | | |
Cost of software services, maintenance and subscriptions
| | | $ | 2,955 | | | |
$
|
2,253
| | | | $ | 5,731 | | | |
$
|
4,350
| |
Selling, general and administrative expenses
| | |
| 9,978 |
| | |
|
6,648
|
| | |
| 17,759 |
| | |
|
13,227
|
|
Total share-based compensation expense
| | | $ | 12,933 |
| | |
$
|
8,901
|
| | | $ | 23,490 |
| | |
$
|
17,577
|
| | | | | | | | | | | | |
| | | | | | | | | | | | |
| Reconciliation of EBITDA and adjusted EBITDA | | | | | | | | | | | | |
GAAP net income
| | | $ | 39,161 | | | |
$
|
31,770
| | | | $ | 76,986 | | | |
$
|
64,539
| |
Amortization of customer and trade name intangibles
| | | | 4,041 | | | | |
3,331
| | | | | 7,356 | | | | |
6,656
| |
Depreciation and other amortization included in
| | | | | | | | | | | | |
cost of revenues, SG&A and other expenses
| | | | 11,209 | | | | |
9,804
| | | | | 22,006 | | | | |
19,446
| |
Interest expense included in other expense, net
| | | | 189 | | | | |
189
| | | | | 378 | | | | |
380
| |
Income tax (benefit) provision
| | |
| (1,461 | ) | | |
|
5,427
|
| | |
| 151 |
| | |
|
9,299
|
|
EBITDA
| | | $ | 53,139 | | | |
$
|
50,521
| | | | $ | 106,877 | | | |
$
|
100,320
| |
Write-downs of acquisition-related deferred revenue
| | | | 1,551 | | | | |
184
| | | | | 1,651 | | | | |
388
| |
Share-based compensation expense
| | |
| 12,933 |
| | |
|
8,901
|
| | |
| 23,490 |
| | |
|
17,577
|
|
Adjusted EBITDA
| | | $ | 67,623 |
| | |
$
|
59,606
|
| | | $ | 132,018 |
| | |
$
|
118,285
|
|
|
| TYLER TECHNOLOGIES, INC. | CONDENSED CONSOLIDATED BALANCE SHEETS | (Amounts in thousands) | (Unaudited) |
| |
|
| June 30, 2018 |
|
|
December 31, 2017
| | | |
| | |
As Adjusted
|
ASSETS
| | | | | | | | | | | | |
|
Current assets:
| | | | | | |
Cash and cash equivalents
| | | $ | 93,247 | | |
$
|
185,926
|
Accounts receivable, net
| | | | 299,253 | | | |
246,188
|
Current investments and other assets
| | | | 96,388 | | | |
77,362
|
Income tax receivable
| | |
| 13,100 | | |
|
11,339
|
Total current assets
| | | | 501,988 | | | |
520,815
| | | | | | |
|
Accounts receivable, long-term portion
| | | | 12,387 | | | |
12,107
|
Property and equipment, net
| | | | 154,464 | | | |
152,315
| | | | | | |
|
Other assets:
| | | | | | |
Goodwill
| | | | 740,146 | | | |
657,987
|
Other intangibles, net
| | | | 293,194 | | | |
229,617
|
Non-current investments and other assets
| | |
| 57,580 | | |
|
38,510
| | | | | | |
|
Total assets
| | | $ | 1,759,759 | | |
$
|
1,611,351
| | | | | | |
| | | | | | |
|
LIABILITIES AND SHAREHOLDERS' EQUITY
| | | | | | | | | | | | |
|
Current liabilities:
| | | | | | |
Accounts payable and accrued liabilities
| | | $ | 57,798 | | |
$
|
72,849
|
Deferred revenue
| | |
| 316,084 | | |
|
298,613
|
Total current liabilities
| | | | 373,882 | | | |
371,462
| | | | | | |
|
Deferred revenue, long-term
| | | | 785 | | | |
1,274
|
Deferred income taxes
| | | | 44,803 | | | |
46,879
|
Shareholders' equity
| | |
| 1,340,289 | | |
|
1,191,736
| | | | | | |
|
Total liabilities and shareholders' equity
| | | $ | 1,759,759 | | |
$
|
1,611,351
|
|
| TYLER TECHNOLOGIES, INC. | CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS | (Amounts in thousands) | (Unaudited) |
| |
|
|
Three Months Ended
|
|
|
Six Months Ended
| | | |
June 30,
| | |
June 30,
| | | |
| 2018 |
|
|
|
|
2017
|
| | |
| 2018 |
|
|
|
|
2017
|
| | | |
| | |
As Adjusted
| | |
| | |
As Adjusted
|
Cash flows from operating activities:
| | | | | | | | | | | | |
Net income
| | | $ | 39,161 | | | |
$
|
31,770
| | | | $ | 76,986 | | | |
$
|
64,539
| |
Adjustments to reconcile net income to cash
| | | | | | | | | | | | |
provided by operations:
| | | | | | | | | | | | |
Depreciation and amortization
| | | | 15,537 | | | | |
13,135
| | | | | 29,649 | | | | |
26,102
| |
Share-based compensation expense
| | | | 12,933 | | | | |
8,901
| | | | | 23,490 | | | | |
17,577
| |
Deferred income tax benefit
| | | | (2,538 | ) | | | |
(4,977
|
)
| | | | (5,196 | ) | | | |
(8,847
|
)
|
Changes in operating assets and liabilities,
| | | | | | | | | | | | |
exclusive of effects of acquired companies
| | |
| (42,494 | ) | | |
|
(47,433
|
)
| | |
| (57,699 | ) | | |
|
(49,796
|
)
|
Net cash provided by operating activities
| | |
| 22,599 |
| | |
|
1,396
|
| | |
| 67,230 |
| | |
|
49,575
|
| | | | | | | | | | | | |
|
Cash flows from investing activities:
| | | | | | | | | | | | |
Additions to property and equipment
| | | | (6,057 | ) | | | |
(10,303
|
)
| | | | (14,952 | ) | | | |
(30,123
|
)
|
Purchase of marketable security investments
| | | | (30,888 | ) | | | |
(14,264
|
)
| | | | (74,850 | ) | | | |
(21,392
|
)
|
Proceeds from marketable security investments
| | | | 28,077 | | | | |
10,133
| | | | | 39,154 | | | | |
17,029
| |
Cost of acquisitions. net of cash acquired
| | | | (157,152 | ) | | | |
(5,855
|
)
| | | | (157,152 | ) | | | |
(5,855
|
)
|
Increase in other
| | |
| (929 | ) | | |
|
(52
|
)
| | |
| (186 | ) | | |
|
(68
|
)
|
Net cash used by investing activities
| | |
| (166,949 | ) | | |
|
(20,341
|
)
| | |
| (207,986 | ) | | |
|
(40,409
|
)
| | | | | | | | | | | | |
|
Cash flows from financing activities:
| | | | | | | | | | | | |
Decrease in net borrowings on revolving line of credit
| | | | - | | | | |
-
| | | | | - | | | | |
(10,000
|
)
|
Purchase of treasury shares
| | | | - | | | | |
-
| | | | | - | | | | |
(7,032
|
)
|
Proceeds from exercise of stock options
| | | | 25,019 | | | | |
8,509
| | | | | 44,317 | | | | |
23,360
| |
Contributions from employee stock purchase plan
| | |
| 1,962 |
| | |
|
1,777
|
| | |
| 3,760 |
| | |
|
3,427
|
|
Net cash provided by financing activities
| | |
| 26,981 |
| | |
|
10,286
|
| | |
| 48,077 |
| | |
|
9,755
|
| | | | | | | | | | | | |
|
Net (decrease) increase in cash and cash equivalents
| | | | (117,369 | ) | | | |
(8,659
|
)
| | | | (92,679 | ) | | | |
18,921
| |
Cash and cash equivalents at beginning of period
| | |
| 210,616 |
| | |
|
63,731
|
| | |
| 185,926 |
| | |
|
36,151
|
| | | | | | | | | | | | |
|
Cash and cash equivalents at end of period
| | | $ | 93,247 |
| | |
$
|
55,072
|
| | | $ | 93,247 |
| | |
$
|
55,072
|
| | | | | | | | | | | | | | | | | | | | |
|
View source version on businesswire.com: https://www.businesswire.com/news/home/20180726005791/en/
Tyler Technologies, Inc. Brian K. Miller, 972-713-3720 Executive
Vice President & CFO brian.miller@tylertech.com |
Jul 26, 2018 |
|