Year 2021-2022 Quarterly Results - Unaudited | |||||||||||||||||||||||||||||
(in millions, except per share data) | |||||||||||||||||||||||||||||
2021 | 2022 | ||||||||||||||||||||||||||||
Q1 | Q2 | Q3 | Q4 | Q1 | Q2 | Q3 | Q4 | ||||||||||||||||||||||
Revenues | $458 | $480 | $499 | $507 | $516 | $536 | $557 | $573 | |||||||||||||||||||||
Net income | 74 | 61 | 64 | 93 | 89 | 83 | 72 | 124 | |||||||||||||||||||||
Net income per share - diluted(1) | 0.19 | 0.16 | 0.16 | 0.24 | 0.23 | 0.21 | 0.18 | 0.31 | |||||||||||||||||||||
Weighted average outstanding shares - diluted(1) | 394 | 394 | 394 | 395 | 394 | 394 | 396 | 406 | |||||||||||||||||||||
EBITDA | 136 | 133 | 123 | 173 | 158 | 140 | 129 | 155 | |||||||||||||||||||||
Adjusted EBITDA | 160 | 150 | 144 | 193 | 178 | 159 | 153 | 182 | |||||||||||||||||||||
Non-GAAP net income | 108 | 103 | 99 | 138 | 123 | 112 | 118 | 153 | |||||||||||||||||||||
Non-GAAP net income per share - diluted(1) | 0.27 | 0.26 | 0.25 | 0.35 | 0.31 | 0.28 | 0.30 | 0.38 | |||||||||||||||||||||
__________________________ |
CoStar Group, Inc. | ||||||||||||||||||||||||||
Condensed Consolidated Statements of Operations - Unaudited | ||||||||||||||||||||||||||
(in thousands, except per share data) | ||||||||||||||||||||||||||
Three Months Ended December 31, | Year Ended December 31, | |||||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | |||||||||||||||||||||||
Revenues | $ | 573,345 | $ | 506,786 | $ | 2,182,399 | $ | 1,944,135 | ||||||||||||||||||
Cost of revenues | 109,194 | 86,330 | 414,008 | 357,241 | ||||||||||||||||||||||
Gross profit | 464,151 | 420,456 | 1,768,391 | 1,586,894 | ||||||||||||||||||||||
Operating expenses: | ||||||||||||||||||||||||||
Selling and marketing (excluding customer base amortization) | 173,486 | 138,653 | 684,222 | 622,007 | ||||||||||||||||||||||
Software development | 58,403 | 52,522 | 220,923 | 201,022 | ||||||||||||||||||||||
General and administrative | 92,161 | 69,964 | 338,737 | 256,711 | ||||||||||||||||||||||
Customer base amortization | 12,939 | 18,932 | 73,560 | 74,817 | ||||||||||||||||||||||
336,989 | 280,071 | 1,317,442 | 1,154,557 | |||||||||||||||||||||||
Income from operations | 127,162 | 140,385 | 450,949 | 432,337 | ||||||||||||||||||||||
Interest income (expense), net | 32,586 | (7,923) | 32,125 | (31,621) | ||||||||||||||||||||||
Other income (expense), net | (213) | 909 | 3,383 | 3,252 | ||||||||||||||||||||||
Income before income taxes | 159,535 | 133,371 | 486,457 | 403,968 | ||||||||||||||||||||||
Income tax expense | 35,163 | 40,471 | 117,004 | 111,404 | ||||||||||||||||||||||
Net income | $ | 124,372 | $ | 92,900 | $ | 369,453 | $ | 292,564 | ||||||||||||||||||
Net income per share - basic | $ | 0.31 | $ | 0.24 | $ | 0.93 | $ | 0.75 | ||||||||||||||||||
Net income per share - diluted | $ | 0.31 | $ | 0.24 | $ | 0.93 | $ | 0.74 | ||||||||||||||||||
Weighted-average outstanding shares - basic | 404,185 | 392,538 | 396,284 | 392,210 | ||||||||||||||||||||||
Weighted-average outstanding shares - diluted | 406,087 | 394,532 | 397,752 | 394,160 | ||||||||||||||||||||||
CoStar Group, Inc. | ||||||||||||||||||||||||||
Reconciliation of Non-GAAP Financial Measures - Unaudited | ||||||||||||||||||||||||||
(in thousands, except per share data) | ||||||||||||||||||||||||||
Reconciliation of Net Income to Non-GAAP Net Income | ||||||||||||||||||||||||||
Three Months Ended December 31, | Year Ended December 31, | |||||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | |||||||||||||||||||||||
Net income | $ | 124,372 | $ | 92,900 | $ | 369,453 | $ | 292,564 | ||||||||||||||||||
Income tax expense | 35,163 | 40,471 | 117,004 | 111,404 | ||||||||||||||||||||||
Income before income taxes | 159,535 | 133,371 | 486,457 | 403,968 | ||||||||||||||||||||||
Amortization of acquired intangible assets | 19,978 | 26,176 | 102,579 | 103,626 | ||||||||||||||||||||||
Stock-based compensation expense | 21,110 | 16,721 | 75,207 | 63,709 | ||||||||||||||||||||||
Acquisition and integration related costs | 2,167 | 3,243 | 5,405 | 18,718 | ||||||||||||||||||||||
Restructuring and related costs | 1,984 | — | 2,175 | — | ||||||||||||||||||||||
Settlements and impairments | 1,969 | — | 6,069 | — | ||||||||||||||||||||||
Other expense, net | — | 4,112 | 6,162 | 6,903 | ||||||||||||||||||||||
Non-GAAP income before income taxes | 206,743 | 183,623 | 684,054 | 596,924 | ||||||||||||||||||||||
Assumed rate for income tax expense(1) | 26 | % | 25 | % | 26 | % | 25 | % | ||||||||||||||||||
Assumed provision for income tax expense | (53,753) | (45,906) | (177,854) | (149,231) | ||||||||||||||||||||||
Non-GAAP net income | $ | 152,990 | $ | 137,717 | $ | 506,200 | $ | 447,693 | ||||||||||||||||||
Net income per share - diluted | $ | 0.31 | $ | 0.24 | $ | 0.93 | $ | 0.74 | ||||||||||||||||||
Non-GAAP net income per share - diluted | $ | 0.38 | $ | 0.35 | $ | 1.27 | $ | 1.14 | ||||||||||||||||||
Weighted average outstanding shares - basic | 404,185 | 392,538 | 396,284 | 392,210 | ||||||||||||||||||||||
Weighted average outstanding shares - diluted | 406,087 | 394,532 | 397,752 | 394,160 | ||||||||||||||||||||||
__________________________ | ||||||||||||||||||||||||||
(1) The assumed tax rate approximates our statutory federal and state corporate tax rate for the applicable period. | ||||||||||||||||||||||||||
Reconciliation of Net Income to EBITDA and Adjusted EBITDA | ||||||||||||||||||||||||||
Three Months Ended December 31, | Year Ended December 31, | |||||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | |||||||||||||||||||||||
Net income | $ | 124,372 | $ | 92,900 | $ | 369,453 | $ | 292,564 | ||||||||||||||||||
Amortization of acquired intangible assets in cost of revenues | 7,039 | 7,244 | 29,019 | 28,809 | ||||||||||||||||||||||
Amortization of acquired intangible assets in operating expenses | 12,939 | 18,932 | 73,560 | 74,817 | ||||||||||||||||||||||
Depreciation and other amortization | 7,928 | 6,880 | 29,127 | 29,018 | ||||||||||||||||||||||
Interest (income) expense, net | (32,586) | 7,923 | (32,125) | 31,621 | ||||||||||||||||||||||
Other (income) expense, net | 213 | (909) | (3,383) | (3,252) | ||||||||||||||||||||||
Income tax expense | 35,163 | 40,471 | 117,004 | 111,404 | ||||||||||||||||||||||
EBITDA | $ | 155,068 | $ | 173,441 | $ | 582,655 | $ | 564,981 | ||||||||||||||||||
Stock-based compensation expense | 21,110 | 16,721 | 75,207 | 63,709 | ||||||||||||||||||||||
Acquisition and integration related costs | 2,167 | 3,243 | 5,405 | 18,718 | ||||||||||||||||||||||
Restructuring and related costs | 1,984 | — | 2,175 | — | ||||||||||||||||||||||
Settlements and impairments | 1,969 | — | 6,069 | — | ||||||||||||||||||||||
Adjusted EBITDA | $ | 182,298 | $ | 193,405 | $ | 671,511 | $ | 647,408 | ||||||||||||||||||
CoStar Group, Inc. | ||||||||||||||
Condensed Consolidated Balance Sheets - Unaudited | ||||||||||||||
(in thousands) | ||||||||||||||
December 31, 2022 | December 31, 2021 | |||||||||||||
ASSETS | ||||||||||||||
Current assets: | ||||||||||||||
Cash and cash equivalents | $ | 4,967,970 | $ | 3,827,126 | ||||||||||
Accounts receivable | 166,140 | 138,191 | ||||||||||||
Less: Allowance for credit losses | (12,195) | (13,374) | ||||||||||||
Accounts receivable, net | 153,945 | 124,817 | ||||||||||||
Prepaid expenses and other current assets | 63,952 | 36,182 | ||||||||||||
Total current assets | 5,185,867 | 3,988,125 | ||||||||||||
Deferred income taxes, net | 9,722 | 5,034 | ||||||||||||
Lease right-of-use assets | 80,392 | 100,680 | ||||||||||||
Property and equipment, net | 321,250 | 271,431 | ||||||||||||
Goodwill | 2,314,759 | 2,321,015 | ||||||||||||
Intangible assets, net | 329,306 | 435,662 | ||||||||||||
Deferred commission costs, net | 142,482 | 101,879 | ||||||||||||
Deposits and other assets | 16,687 | 21,762 | ||||||||||||
Income tax receivable | 2,005 | 11,283 | ||||||||||||
Total assets | $ | 8,402,470 | $ | 7,256,871 | ||||||||||
LIABILITIES AND STOCKHOLDERS' EQUITY | ||||||||||||||
Current liabilities: | ||||||||||||||
Accounts payable | $ | 28,460 | $ | 22,244 | ||||||||||
Accrued wages and commissions | 104,988 | 81,794 | ||||||||||||
Accrued expenses | 89,113 | 81,676 | ||||||||||||
Income taxes payable | 10,438 | 31,236 | ||||||||||||
Lease liabilities | 36,049 | 26,268 | ||||||||||||
Deferred revenue | 103,567 | 95,471 | ||||||||||||
Total current liabilities | 372,615 | 338,689 | ||||||||||||
Long-term debt, net | 989,210 | 987,944 | ||||||||||||
Deferred income taxes, net | 76,202 | 98,656 | ||||||||||||
Income taxes payable | 14,001 | 12,496 | ||||||||||||
Lease and other long-term liabilities | 80,321 | 107,414 | ||||||||||||
Total liabilities | $ | 1,532,349 | $ | 1,545,199 | ||||||||||
Total stockholders' equity | 6,870,121 | 5,711,672 | ||||||||||||
Total liabilities and stockholders' equity | $ | 8,402,470 | $ | 7,256,871 |
CoStar Group, Inc. | |||||||||||
Condensed Consolidated Statements of Cash Flows - Unaudited | |||||||||||
(in thousands) | |||||||||||
Year Ended December 31, | |||||||||||
2022 | 2021 | ||||||||||
Operating activities: | |||||||||||
Net income | $ | 369,453 | $ | 292,564 | |||||||
Adjustments to reconcile net income to net cash provided by operating activities: | |||||||||||
Depreciation and amortization | 137,885 | 139,558 | |||||||||
Amortization of deferred commissions costs | 76,082 | 63,391 | |||||||||
Amortization of Senior Notes discount and issuance costs | 2,365 | 2,327 | |||||||||
Non-cash lease expense | 38,489 | 28,485 | |||||||||
Stock-based compensation expense | 75,207 | 63,709 | |||||||||
Deferred income taxes, net | (31,203) | 24,165 | |||||||||
Credit loss expense | 18,309 | 10,928 | |||||||||
Other operating activities, net | (2,439) | (654) | |||||||||
Changes in operating assets and liabilities, net of acquisitions: | |||||||||||
Accounts receivable | (46,403) | (29,630) | |||||||||
Prepaid expenses and other current assets | (17,910) | (14,873) | |||||||||
Deferred commissions | (116,796) | (72,038) | |||||||||
Accounts payable and other liabilities | 23,234 | (30,051) | |||||||||
Lease liabilities | (37,396) | (30,904) | |||||||||
Income taxes payable | (19,259) | 5,860 | |||||||||
Deferred revenue | 6,785 | 17,396 | |||||||||
Other assets | 2,217 | (502) | |||||||||
Other assets | — | — | |||||||||
Net cash provided by operating activities | 478,620 | 469,731 | |||||||||
Investing activities: | |||||||||||
Proceeds from sale and settlement of investments | 864 | — | |||||||||
Proceeds from sale of property and equipment and other assets | 30,097 | 612 | |||||||||
Purchase of Richmond assets | (35,169) | (123,764) | |||||||||
Purchases of property and equipment and other assets | (58,574) | (65,220) | |||||||||
Cash paid for acquisitions, net of cash acquired | (6,273) | (192,971) | |||||||||
Net cash used in investing activities | (69,055) | (381,343) | |||||||||
Financing activities: | |||||||||||
Proceeds from long-term debt | — | — | |||||||||
Payments of debt issuance costs | — | — | |||||||||
Payments of long-term debt | (2,155) | — | |||||||||
Repurchase of restricted stock to satisfy tax withholding obligations | (23,108) | (33,314) | |||||||||
Proceeds from equity offering, net of transaction costs | 745,700 | — | |||||||||
Proceeds from exercise of stock options and employee stock purchase plan | 13,540 | 18,046 | |||||||||
Other financing activities | — | (411) | |||||||||
Net cash provided by (used in) financing activities | 733,977 | (15,679) | |||||||||
Effect of foreign currency exchange rates on cash and cash equivalents | (2,698) | (1,495) | |||||||||
Net increase in cash and cash equivalents | 1,140,844 | 71,214 | |||||||||
Cash and cash equivalents at beginning of year | 3,827,126 | 3,755,912 | |||||||||
Cash and cash equivalents at end of year | $ | 4,967,970 | $ | 3,827,126 |
CoStar Group, Inc. | |||||||||||||||||||||||||||||||||||
Disaggregated Revenues - Unaudited | |||||||||||||||||||||||||||||||||||
(in thousands) | |||||||||||||||||||||||||||||||||||
Three Months Ended December 31, | |||||||||||||||||||||||||||||||||||
2022 | 2021 | ||||||||||||||||||||||||||||||||||
North America | International | Total | North America | International | Total | ||||||||||||||||||||||||||||||
CoStar | $ | 210,042 | $ | 9,033 | $ | 219,075 | $ | 181,478 | $ | 8,915 | $ | 190,393 | |||||||||||||||||||||||
Information Services | 31,645 | 9,007 | 40,652 | 28,764 | 7,112 | 35,876 | |||||||||||||||||||||||||||||
Multifamily | 198,016 | — | 198,016 | 170,051 | — | 170,051 | |||||||||||||||||||||||||||||
LoopNet | 59,341 | 1,955 | 61,296 | 53,046 | 1,613 | 54,659 | |||||||||||||||||||||||||||||
Residential | 16,182 | — | 16,182 | 20,644 | — | 20,644 | |||||||||||||||||||||||||||||
Other Marketplaces | 38,124 | — | 38,124 | 35,163 | — | 35,163 | |||||||||||||||||||||||||||||
Total revenues | $ | 553,350 | $ | 19,995 | $ | 573,345 | $ | 489,146 | $ | 17,640 | $ | 506,786 | |||||||||||||||||||||||
Year Ended December 31, | |||||||||||||||||||||||||||||||||||
2022 | 2021 | ||||||||||||||||||||||||||||||||||
North America | International | Total | North America | International | Total | ||||||||||||||||||||||||||||||
CoStar | $ | 800,183 | $ | 36,797 | $ | 836,980 | $ | 686,948 | $ | 35,873 | $ | 722,821 | |||||||||||||||||||||||
Information Services | 124,951 | 32,431 | 157,382 | 113,723 | 27,932 | 141,655 | |||||||||||||||||||||||||||||
Multifamily | 745,388 | — | 745,388 | 678,680 | — | 678,680 | |||||||||||||||||||||||||||||
LoopNet | 223,758 | 7,183 | 230,941 | 204,816 | 2,695 | 207,511 | |||||||||||||||||||||||||||||
Residential | 73,747 | — | 73,747 | 74,583 | — | 74,583 | |||||||||||||||||||||||||||||
Other Marketplaces | 137,961 | — | 137,961 | 118,885 | — | 118,885 | |||||||||||||||||||||||||||||
Total revenues | $ | 2,105,988 | $ | 76,411 | $ | 2,182,399 | $ | 1,877,635 | $ | 66,500 | $ | 1,944,135 | |||||||||||||||||||||||
CoStar Group, Inc. | |||||||||||||||||||||||
Results of Segments - Unaudited | |||||||||||||||||||||||
(in thousands) | |||||||||||||||||||||||
Three Months Ended December 31, | Year Ended December 31, | ||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | ||||||||||||||||||||
EBITDA | |||||||||||||||||||||||
North America | $ | 154,788 | $ | 171,268 | $ | 577,242 | $ | 557,125 | |||||||||||||||
International | 280 | 2,173 | 5,413 | 7,856 | |||||||||||||||||||
Total EBITDA | $ | 155,068 | $ | 173,441 | $ | 582,655 | $ | 564,981 | |||||||||||||||
CoStar Group, Inc. | ||||||||||||||||||||||||||||||||
Reconciliation of Non-GAAP Financial Measures with Quarterly Results - Unaudited | ||||||||||||||||||||||||||||||||
(in millions, except per share data) | ||||||||||||||||||||||||||||||||
Reconciliation of Net Income to Non-GAAP Net Income | ||||||||||||||||||||||||||||||||
2021 | 2022 | |||||||||||||||||||||||||||||||
Q1 | Q2 | Q3 | Q4 | Q1 | Q2 | Q3 | Q4 | |||||||||||||||||||||||||
Net income | $74.2 | $61.1 | $64.3 | $92.9 | $89.3 | $83.5 | $72.3 | $124.4 | ||||||||||||||||||||||||
Income tax expense | 19.1 | 32.8 | 19.0 | 40.5 | 32.1 | 24.7 | 25.1 | 35.2 | ||||||||||||||||||||||||
Income before income taxes | 93.3 | 93.9 | 83.3 | 133.4 | 121.4 | 108.1 | 97.4 | 159.5 | ||||||||||||||||||||||||
Amortization of acquired intangible assets | 25.8 | 25.3 | 26.3 | 26.2 | 23.2 | 22.8 | 36.6 | 20.0 | ||||||||||||||||||||||||
Stock-based compensation expense | 15.5 | 15.1 | 16.3 | 16.7 | 17.8 | 18.1 | 18.1 | 21.1 | ||||||||||||||||||||||||
Acquisition and integration related costs | 8.5 | 2.0 | 5.0 | 3.2 | 1.6 | 0.5 | 1.1 | 2.2 | ||||||||||||||||||||||||
Restructuring and related costs | — | — | — | — | — | — | 0.2 | 2.0 | ||||||||||||||||||||||||
Settlements and impairments | — | — | — | — | — | — | 4.1 | 2.0 | ||||||||||||||||||||||||
Other expense, net | 1.1 | 0.8 | 0.9 | 4.1 | 2.0 | 2.1 | 2.1 | — | ||||||||||||||||||||||||
Non-GAAP income before income taxes(1) | 144.2 | 137.1 | 131.8 | 183.6 | 166.1 | 151.6 | 159.6 | 206.7 | ||||||||||||||||||||||||
Assumed rate for income tax expense (2) | 25% | 25% | 25% | 25% | 26% | 26% | 26% | 26% | ||||||||||||||||||||||||
Assumed provision for income tax expense | (36.0) | (34.3) | (33.0) | (45.9) | (43.2) | (39.4) | (41.5) | (53.8) | ||||||||||||||||||||||||
Non-GAAP net income(1) | $108.2 | $102.8 | $98.8 | $137.7 | $122.9 | $112.2 | $118.1 | $153.0 | ||||||||||||||||||||||||
Non-GAAP net income per share - diluted(3) | $0.27 | $0.26 | $0.25 | $0.35 | $0.31 | $0.28 | $0.30 | $0.38 | ||||||||||||||||||||||||
Weighted average outstanding shares - basic(3) | 391.6 | 392.3 | 392.4 | 392.5 | 392.9 | 393.3 | 394.7 | 404.2 | ||||||||||||||||||||||||
Weighted average outstanding shares - diluted(3) | 393.7 | 394.1 | 394.3 | 394.5 | 394.2 | 394.5 | 396.2 | 406.1 | ||||||||||||||||||||||||
__________________________ | ||||||||||||||||||||||||||||||||
(1) Totals may not foot due to rounding. | ||||||||||||||||||||||||||||||||
(2) The assumed tax rate approximates our statutory federal and state corporate tax rate for the applicable period. | ||||||||||||||||||||||||||||||||
(3) Certain prior period amounts have been retroactively adjusted to reflect the ten-for-one stock split effected in the form of a stock dividend in June 2021. | ||||||||||||||||||||||||||||||||
Reconciliation of Net Income to EBITDA and Adjusted EBITDA | ||||||||||||||||||||||||||||||||
2021 | 2022 | |||||||||||||||||||||||||||||||
Q1 | Q2 | Q3 | Q4 | Q1 | Q2 | Q3 | Q4 | |||||||||||||||||||||||||
Net income | $74.2 | $61.1 | $64.3 | $92.9 | $89.3 | $83.5 | $72.3 | $124.4 | ||||||||||||||||||||||||
Amortization of acquired intangible assets | 25.8 | 25.3 | 26.3 | 26.2 | 23.2 | 22.8 | 36.6 | 20.0 | ||||||||||||||||||||||||
Depreciation and other amortization | 8.5 | 7.0 | 6.6 | 6.9 | 7.0 | 7.0 | 7.2 | 7.9 | ||||||||||||||||||||||||
Interest (income) expense, net | 7.9 | 7.9 | 7.9 | 7.9 | 7.7 | 3.4 | (10.7) | (32.6) | ||||||||||||||||||||||||
Other (income) expense, net | 0.1 | (0.8) | (1.5) | (0.9) | (0.9) | (1.3) | (1.4) | 0.2 | ||||||||||||||||||||||||
Income tax expense | 19.1 | 32.8 | 19.0 | 40.5 | 32.1 | 24.7 | 25.1 | 35.2 | ||||||||||||||||||||||||
EBITDA(1) | $135.6 | $133.3 | $122.6 | $173.4 | $158.4 | $140.0 | $129.1 | $155.1 | ||||||||||||||||||||||||
Stock-based compensation expense | 15.5 | 15.1 | 16.3 | 16.7 | 17.8 | 18.1 | 18.1 | 21.1 | ||||||||||||||||||||||||
Acquisition and integration related costs | 8.5 | 2.0 | 5.0 | 3.2 | 1.6 | 0.5 | 1.1 | 2.2 | ||||||||||||||||||||||||
Restructuring and related costs | — | — | — | — | — | — | 0.2 | 2.0 | ||||||||||||||||||||||||
Settlements and impairments | — | — | — | — | — | — | 4.1 | 2.0 | ||||||||||||||||||||||||
Adjusted EBITDA(1) | $159.6 | $150.4 | $143.9 | $193.4 | $177.9 | $158.6 | $152.7 | $182.3 | ||||||||||||||||||||||||
__________________________ | ||||||||||||||||||||||||||||||||
(1) Totals may not foot due to rounding. |
CoStar Group, Inc. | |||||||||||||||||||||||
Reconciliation of Forward-Looking Guidance - Unaudited | |||||||||||||||||||||||
(in thousands, except per share data) | |||||||||||||||||||||||
Reconciliation of Forward-Looking Guidance, Net Income to Non-GAAP Net Income | |||||||||||||||||||||||
Guidance Range | Guidance Range | ||||||||||||||||||||||
For the Three Months | For the Year Ending | ||||||||||||||||||||||
Ending March 31, 2023 | December 31, 2023 | ||||||||||||||||||||||
Low | High | Low | High | ||||||||||||||||||||
Net income | $ | 71,000 | $ | 75,000 | $ | 314,000 | $ | 329,000 | |||||||||||||||
Income tax expense | 25,000 | 26,000 | 110,000 | 115,000 | |||||||||||||||||||
Income before income taxes | 96,000 | 101,000 | 424,000 | 444,000 | |||||||||||||||||||
Amortization of acquired intangible assets | 18,000 | 18,000 | 69,000 | 69,000 | |||||||||||||||||||
Stock-based compensation expense | 21,000 | 21,000 | 88,000 | 88,000 | |||||||||||||||||||
Acquisition and integration related costs | 1,000 | 1,000 | 1,000 | 1,000 | |||||||||||||||||||
Settlements and impairments | — | — | — | — | |||||||||||||||||||
Other expense, net | — | — | — | — | |||||||||||||||||||
Non-GAAP income before income taxes | 136,000 | 141,000 | 582,000 | 602,000 | |||||||||||||||||||
Assumed rate for income tax expense(1) | 26 | % | 26 | % | 26 | % | 26 | % | |||||||||||||||
Assumed provision for income tax expense | (35,400) | (36,700) | (151,300) | (156,500) | |||||||||||||||||||
Non-GAAP net income | $ | 100,600 | $ | 104,300 | $ | 430,700 | $ | 445,500 | |||||||||||||||
Net income per share - diluted | $ | 0.17 | $ | 0.18 | $ | 0.77 | $ | 0.81 | |||||||||||||||
Non-GAAP net income per share - diluted | $ | 0.25 | $ | 0.26 | $ | 1.06 | $ | 1.09 | |||||||||||||||
Weighted average outstanding shares - diluted | 406,600 | 406,600 | 407,700 | 407,700 | |||||||||||||||||||
__________________________ | |||||||||||||||||||||||
(1) The assumed tax rate approximates our statutory federal and state corporate tax rate for the applicable period. | |||||||||||||||||||||||
Reconciliation of Forward-Looking Guidance, Net Income to Adjusted EBITDA | |||||||||||||||||||||||
Guidance Range | Guidance Range | ||||||||||||||||||||||
For the Three Months | For the Year Ending | ||||||||||||||||||||||
Ending March 31, 2023 | December 31, 2023 | ||||||||||||||||||||||
Low | High | Low | High | ||||||||||||||||||||
Net income | $ | 71,000 | $ | 75,000 | $ | 314,000 | $ | 329,000 | |||||||||||||||
Amortization of acquired intangible assets | 18,000 | 18,000 | 69,000 | 69,000 | |||||||||||||||||||
Depreciation and other amortization | 8,000 | 8,000 | 34,000 | 34,000 | |||||||||||||||||||
Interest (income), net | (33,000) | (33,000) | (116,000) | (116,000) | |||||||||||||||||||
Other expense, net | — | — | — | — | |||||||||||||||||||
Income tax expense | 25,000 | 26,000 | 110,000 | 115,000 | |||||||||||||||||||
Stock-based compensation expense | 21,000 | 21,000 | 88,000 | 88,000 | |||||||||||||||||||
Acquisition and integration related costs | 1,000 | 1,000 | 1,000 | 1,000 | |||||||||||||||||||
Settlements and impairments | — | — | — | — | |||||||||||||||||||
Adjusted EBITDA | $ | 111,000 | $ | 116,000 | $ | 500,000 | $ | 520,000 |