Year 2020-2021 Quarterly Results - Unaudited | |||||||||||||||||||||||||||||
(in millions, except per share data) | |||||||||||||||||||||||||||||
2020 | 2021 | ||||||||||||||||||||||||||||
Q1 | Q2 | Q3 | Q4 | Q1 | Q2 | Q3 | Q4 | ||||||||||||||||||||||
Revenues | $392 | $397 | $426 | $444 | $458 | $480 | $499 | $507 | |||||||||||||||||||||
Net income | 73 | 60 | 58 | 36 | 74 | 61 | 64 | 93 | |||||||||||||||||||||
Net income per share - diluted(1) | 0.20 | 0.16 | 0.15 | 0.09 | 0.19 | 0.16 | 0.16 | 0.24 | |||||||||||||||||||||
Weighted average outstanding shares - diluted(1) | 368 | 377 | 394 | 394 | 394 | 394 | 394 | 395 | |||||||||||||||||||||
EBITDA | 100 | 109 | 108 | 88 | 136 | 133 | 123 | 173 | |||||||||||||||||||||
Adjusted EBITDA | 124 | 129 | 134 | 167 | 160 | 150 | 144 | 193 | |||||||||||||||||||||
Non-GAAP net income | 90 | 88 | 89 | 112 | 108 | 103 | 99 | 138 | |||||||||||||||||||||
Non-GAAP net income per share - diluted(1) | 0.24 | 0.23 | 0.23 | 0.29 | 0.27 | 0.26 | 0.25 | 0.35 | |||||||||||||||||||||
__________________________ |
CoStar Group, Inc. | ||||||||||||||||||||||||||
Condensed Consolidated Statements of Operations - Unaudited | ||||||||||||||||||||||||||
(in thousands, except per share data) | ||||||||||||||||||||||||||
Three Months Ended December 31, | Year Ended December 31, | |||||||||||||||||||||||||
2021 | 2020 | 2021 | 2020 | |||||||||||||||||||||||
Revenues | $ | 506,786 | $ | 444,393 | $ | 1,944,135 | $ | 1,659,019 | ||||||||||||||||||
Cost of revenues | 86,330 | 78,154 | 357,241 | 308,968 | ||||||||||||||||||||||
Gross profit | 420,456 | 366,239 | 1,586,894 | 1,350,051 | ||||||||||||||||||||||
Operating expenses: | ||||||||||||||||||||||||||
Selling and marketing (excluding customer base amortization) | 138,653 | 133,576 | 622,007 | 535,778 | ||||||||||||||||||||||
Software development | 52,522 | 41,573 | 201,022 | 162,916 | ||||||||||||||||||||||
General and administrative | 69,964 | 118,100 | 256,711 | 299,698 | ||||||||||||||||||||||
Customer base amortization | 18,932 | 17,780 | 74,817 | 62,457 | ||||||||||||||||||||||
280,071 | 311,029 | 1,154,557 | 1,060,849 | |||||||||||||||||||||||
Income from operations | 140,385 | 55,210 | 432,337 | 289,202 | ||||||||||||||||||||||
Interest expense, net | (7,923) | (7,913) | (31,621) | (17,395) | ||||||||||||||||||||||
Other income (expense) | 909 | (856) | 3,252 | (827) | ||||||||||||||||||||||
Income before income taxes | 133,371 | 46,441 | 403,968 | 270,980 | ||||||||||||||||||||||
Income tax expense | 40,471 | 10,652 | 111,404 | 43,852 | ||||||||||||||||||||||
Net income | $ | 92,900 | $ | 35,789 | $ | 292,564 | $ | 227,128 | ||||||||||||||||||
Net income per share - basic(1) | $ | 0.24 | $ | 0.09 | $ | 0.75 | $ | 0.60 | ||||||||||||||||||
Net income per share - diluted(1) | $ | 0.24 | $ | 0.09 | $ | 0.74 | $ | 0.59 | ||||||||||||||||||
Weighted-average outstanding shares - basic(1) | 392,538 | 391,372 | 392,210 | 380,726 | ||||||||||||||||||||||
Weighted-average outstanding shares - diluted(1) | 394,532 | 393,951 | 394,160 | 383,266 | ||||||||||||||||||||||
__________________________ | ||||||||||||||||||||||||||
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, | |||||||||||||||||||||||||
2021 | 2020 | 2021 | 2020 | |||||||||||||||||||||||
Net income | $ | 92,900 | $ | 35,789 | $ | 292,564 | $ | 227,128 | ||||||||||||||||||
Income tax expense | 40,471 | 10,652 | 111,404 | 43,852 | ||||||||||||||||||||||
Income before income taxes | 133,371 | 46,441 | 403,968 | 270,980 | ||||||||||||||||||||||
Amortization of acquired intangible assets | 26,176 | 24,784 | 103,626 | 88,132 | ||||||||||||||||||||||
Stock-based compensation expense | 16,721 | 12,667 | 63,709 | 54,104 | ||||||||||||||||||||||
Acquisition and integration related costs | 3,243 | 65,892 | 18,718 | 92,523 | ||||||||||||||||||||||
Restructuring and related costs | — | — | — | 413 | ||||||||||||||||||||||
Other expense | 4,112 | — | 6,903 | 113 | ||||||||||||||||||||||
Non-GAAP income before income taxes | 183,623 | 149,784 | 596,924 | 506,265 | ||||||||||||||||||||||
Assumed rate for income tax expense(1) | 25 | % | 25 | % | 25 | % | 25 | % | ||||||||||||||||||
Assumed provision for income tax expense | (45,906) | (37,446) | (149,231) | (126,566) | ||||||||||||||||||||||
Non-GAAP net income | $ | 137,717 | $ | 112,338 | $ | 447,693 | $ | 379,699 | ||||||||||||||||||
Net income per share - diluted(2) | $ | 0.24 | $ | 0.09 | $ | 0.74 | $ | 0.59 | ||||||||||||||||||
Non-GAAP net income per share - diluted(2) | $ | 0.35 | $ | 0.29 | $ | 1.14 | $ | 0.99 | ||||||||||||||||||
Weighted average outstanding shares - basic(2) | 392,538 | 391,372 | 392,210 | 380,726 | ||||||||||||||||||||||
Weighted average outstanding shares - diluted(2) | 394,532 | 393,951 | 394,160 | 383,266 | ||||||||||||||||||||||
__________________________ | ||||||||||||||||||||||||||
(1) The assumed 25% tax rate approximates our statutory federal and state corporate tax rate. | ||||||||||||||||||||||||||
(2) 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 | ||||||||||||||||||||||||||
Three Months Ended December 31, | Year Ended December 31, | |||||||||||||||||||||||||
2021 | 2020 | 2021 | 2020 | |||||||||||||||||||||||
Net income | $ | 92,900 | $ | 35,789 | $ | 292,564 | $ | 227,128 | ||||||||||||||||||
Amortization of acquired intangible assets in cost of revenues | 7,244 | 7,004 | 28,809 | 25,675 | ||||||||||||||||||||||
Amortization of acquired intangible assets in operating expenses | 18,932 | 17,780 | 74,817 | 62,457 | ||||||||||||||||||||||
Depreciation and other amortization | 6,880 | 8,249 | 29,018 | 28,812 | ||||||||||||||||||||||
Interest expense | 7,923 | 7,913 | 31,621 | 17,395 | ||||||||||||||||||||||
Other (income) expense | (909) | 856 | (3,252) | 827 | ||||||||||||||||||||||
Income tax expense | 40,471 | 10,652 | 111,404 | 43,852 | ||||||||||||||||||||||
EBITDA | $ | 173,441 | $ | 88,243 | $ | 564,981 | $ | 406,146 | ||||||||||||||||||
Stock-based compensation expense | 16,721 | 12,667 | 63,709 | 54,104 | ||||||||||||||||||||||
Acquisition and integration related costs | 3,243 | 65,892 | 18,718 | 92,523 | ||||||||||||||||||||||
Restructuring and related costs | — | — | — | 413 | ||||||||||||||||||||||
Adjusted EBITDA | $ | 193,405 | $ | 166,802 | $ | 647,408 | $ | 553,186 | ||||||||||||||||||
CoStar Group, Inc. | ||||||||||||||
Condensed Consolidated Balance Sheets - Unaudited | ||||||||||||||
(in thousands) | ||||||||||||||
December 31, 2021 | December 31, 2020 | |||||||||||||
ASSETS | ||||||||||||||
Current assets: | ||||||||||||||
Cash, cash equivalents and restricted cash | $ | 3,827,126 | $ | 3,755,912 | ||||||||||
Accounts receivable | 138,191 | 119,059 | ||||||||||||
Less: Allowance for credit losses | (13,374) | (15,110) | ||||||||||||
Accounts receivable, net | 124,817 | 103,949 | ||||||||||||
Prepaid expenses and other current assets | 36,182 | 28,651 | ||||||||||||
Total current assets | 3,988,125 | 3,888,512 | ||||||||||||
Deferred income taxes, net | 5,034 | 4,983 | ||||||||||||
Property and equipment, net | 271,431 | 126,325 | ||||||||||||
Lease right-of-use assets | 100,680 | 108,740 | ||||||||||||
Goodwill | 2,321,015 | 2,235,999 | ||||||||||||
Intangible assets, net | 435,662 | 426,745 | ||||||||||||
Deferred commission costs, net | 101,879 | 93,274 | ||||||||||||
Deposits and other assets | 21,762 | 15,856 | ||||||||||||
Income tax receivable | 11,283 | 14,986 | ||||||||||||
Total assets | $ | 7,256,871 | $ | 6,915,420 | ||||||||||
LIABILITIES AND STOCKHOLDERS' EQUITY | ||||||||||||||
Current liabilities: | ||||||||||||||
Accounts payable | $ | 22,244 | $ | 15,732 | ||||||||||
Accrued wages and commissions | 81,794 | 80,998 | ||||||||||||
Accrued expenses | 81,676 | 110,305 | ||||||||||||
Income taxes payable | 31,236 | 16,316 | ||||||||||||
Lease liabilities | 26,268 | 32,648 | ||||||||||||
Deferred revenue | 95,471 | 74,851 | ||||||||||||
Total current liabilities | 338,689 | 330,850 | ||||||||||||
Long-term debt, net | 987,944 | 986,715 | ||||||||||||
Deferred income taxes, net | 98,656 | 72,991 | ||||||||||||
Income taxes payable | 12,496 | 25,282 | ||||||||||||
Lease and other long-term liabilities | 107,414 | 124,223 | ||||||||||||
Total liabilities | $ | 1,545,199 | $ | 1,540,061 | ||||||||||
Total stockholders’ equity | 5,711,672 | 5,375,359 | ||||||||||||
Total liabilities and stockholders’ equity | $ | 7,256,871 | $ | 6,915,420 |
CoStar Group, Inc. | |||||||||||
Condensed Consolidated Statements of Cash Flows - Unaudited | |||||||||||
(in thousands) | |||||||||||
Year Ended December 31, | |||||||||||
2021 | 2020 | ||||||||||
Operating activities: | |||||||||||
Net income | $ | 292,564 | $ | 227,128 | |||||||
Adjustments to reconcile net income to net cash provided by operating activities: | |||||||||||
Depreciation and amortization | 139,558 | 116,944 | |||||||||
Amortization of deferred commissions costs | 63,391 | 60,516 | |||||||||
Amortization of Senior Notes discount and issuance costs | 2,327 | 1,658 | |||||||||
Non-cash lease expense | 28,485 | 26,326 | |||||||||
Stock-based compensation expense | 63,709 | 53,450 | |||||||||
Deferred income taxes, net | 24,165 | (11,530) | |||||||||
Credit loss expense | 10,928 | 25,212 | |||||||||
Other operating activities, net | (654) | 288 | |||||||||
Changes in operating assets and liabilities, net of acquisitions: | |||||||||||
Accounts receivable | (29,630) | (36,118) | |||||||||
Prepaid expenses and other current assets | (14,873) | 1,936 | |||||||||
Deferred commissions | (72,038) | (64,355) | |||||||||
Accounts payable and other liabilities | (30,051) | 100,846 | |||||||||
Lease liabilities | (30,904) | (30,497) | |||||||||
Income taxes payable | 5,860 | 10,352 | |||||||||
Deferred revenue | 17,396 | 2,188 | |||||||||
Other assets | (502) | 1,762 | |||||||||
Net cash provided by operating activities | 469,731 | 486,106 | |||||||||
Investing activities: | |||||||||||
Proceeds from sale and settlement of investments | — | 10,259 | |||||||||
Proceeds from sale of property and equipment and other assets | 612 | — | |||||||||
Purchase of Richmond assets and other intangibles | (123,764) | — | |||||||||
Purchases of property and equipment and other assets | (65,220) | (48,347) | |||||||||
Cash paid for acquisitions, net of cash acquired | (192,971) | (426,075) | |||||||||
Net cash used in investing activities | (381,343) | (464,163) | |||||||||
Financing activities: | |||||||||||
Proceeds from long-term debt | — | 1,744,210 | |||||||||
Payments of debt issuance costs | — | (16,647) | |||||||||
Payments of long-term debt | — | (745,000) | |||||||||
Repurchase of restricted stock to satisfy tax withholding obligations | (33,314) | (38,867) | |||||||||
Proceeds from equity offering, net of transaction costs | — | 1,689,971 | |||||||||
Proceeds from exercise of stock options and employee stock purchase plan | 18,046 | 30,280 | |||||||||
Other financing activities | (411) | (1,650) | |||||||||
Net cash (used in) provided by financing activities | (15,679) | 2,662,297 | |||||||||
Effect of foreign currency exchange rates on cash and cash equivalents | (1,495) | 941 | |||||||||
Net increase in cash, cash equivalents and restricted cash | 71,214 | 2,685,181 | |||||||||
Cash, cash equivalents and restricted cash at the beginning of period | 3,755,912 | 1,070,731 | |||||||||
Cash, cash equivalents and restricted cash at the end of period | $ | 3,827,126 | $ | 3,755,912 |
CoStar Group, Inc. | |||||||||||||||||||||||||||||||||||
Disaggregated Revenues - Unaudited | |||||||||||||||||||||||||||||||||||
(in thousands) | |||||||||||||||||||||||||||||||||||
Three Months Ended December 31, | |||||||||||||||||||||||||||||||||||
2021 | 2020 | ||||||||||||||||||||||||||||||||||
North America | International | Total | North America | International | Total | ||||||||||||||||||||||||||||||
CoStar | $ | 181,478 | $ | 8,915 | $ | 190,393 | $ | 160,842 | $ | 7,896 | $ | 168,738 | |||||||||||||||||||||||
Information Services | 28,764 | 7,112 | 35,876 | 27,048 | 6,930 | 33,978 | |||||||||||||||||||||||||||||
Multifamily | 170,051 | — | 170,051 | 160,370 | — | 160,370 | |||||||||||||||||||||||||||||
LoopNet(1) | 53,046 | 1,613 | 54,659 | 48,023 | 178 | 48,201 | |||||||||||||||||||||||||||||
Residential(1) | 20,644 | — | 20,644 | — | — | — | |||||||||||||||||||||||||||||
Other Marketplaces(1) | 35,163 | — | 35,163 | 33,106 | — | 33,106 | |||||||||||||||||||||||||||||
Total revenues | $ | 489,146 | $ | 17,640 | $ | 506,786 | $ | 429,389 | $ | 15,004 | $ | 444,393 | |||||||||||||||||||||||
__________________________ | |||||||||||||||||||||||||||||||||||
(1) As of September 30, 2021, Commercial Property and Land revenue has been further disaggregated into LoopNet, Residential and Other Marketplaces. Prior period amounts have been adjusted to reflect this presentation. | |||||||||||||||||||||||||||||||||||
Year Ended December 31, | |||||||||||||||||||||||||||||||||||
2021 | 2020 | ||||||||||||||||||||||||||||||||||
North America | International | Total | North America | International | Total | ||||||||||||||||||||||||||||||
CoStar | $ | 686,948 | $ | 35,873 | $ | 722,821 | $ | 634,205 | $ | 30,530 | $ | 664,735 | |||||||||||||||||||||||
Information Services | 113,723 | 27,932 | 141,655 | 104,117 | 25,953 | 130,070 | |||||||||||||||||||||||||||||
Multifamily | 678,680 | — | 678,680 | 598,555 | — | 598,555 | |||||||||||||||||||||||||||||
LoopNet(1) | 204,816 | 2,695 | 207,511 | 179,371 | 434 | 179,805 | |||||||||||||||||||||||||||||
Residential(1) | 74,583 | — | 74,583 | — | — | — | |||||||||||||||||||||||||||||
Other Marketplaces(1) | 118,885 | — | 118,885 | 85,854 | — | 85,854 | |||||||||||||||||||||||||||||
Total revenues | $ | 1,877,635 | $ | 66,500 | $ | 1,944,135 | $ | 1,602,102 | $ | 56,917 | $ | 1,659,019 | |||||||||||||||||||||||
__________________________ | |||||||||||||||||||||||||||||||||||
(1) As of September 30, 2021, Commercial Property and Land revenue has been further disaggregated into LoopNet, Residential and Other Marketplaces. Prior period amounts have been adjusted to reflect this presentation. |
CoStar Group, Inc. | |||||||||||||||||||||||||||||||||||||||||||||||
Disaggregated Revenues - Unaudited | |||||||||||||||||||||||||||||||||||||||||||||||
(in thousands) | |||||||||||||||||||||||||||||||||||||||||||||||
2020 | 2021 | ||||||||||||||||||||||||||||||||||||||||||||||
Q1 | Q2 | Q3 | Q4 | Q1 | Q2 | Q3 | Q4 | ||||||||||||||||||||||||||||||||||||||||
CoStar | $164,956 | $165,053 | $165,988 | $168,738 | $172,184 | $176,979 | $183,265 | $190,393 | |||||||||||||||||||||||||||||||||||||||
Information Services | 32,382 | 30,536 | 33,174 | 33,978 | 34,696 | 35,157 | 35,926 | 35,876 | |||||||||||||||||||||||||||||||||||||||
Multifamily | 137,460 | 145,541 | 155,184 | 160,370 | 166,147 | 171,357 | 171,125 | 170,051 | |||||||||||||||||||||||||||||||||||||||
LoopNet(1) | 43,200 | 43,320 | 45,084 | 48,201 | 49,230 | 51,095 | 52,527 | 54,659 | |||||||||||||||||||||||||||||||||||||||
Residential(1) | — | — | — | — | 11,105 | 18,087 | 24,747 | 20,644 | |||||||||||||||||||||||||||||||||||||||
Other Marketplaces(1) | 13,849 | 12,709 | 26,190 | 33,106 | 24,335 | 27,658 | 31,729 | 35,163 | |||||||||||||||||||||||||||||||||||||||
Total revenues | $391,847 | $397,159 | $425,620 | $444,393 | $457,697 | $480,333 | $499,319 | $506,786 | |||||||||||||||||||||||||||||||||||||||
__________________________ | |||||||||||||||||||||||||||||||||||||||||||||||
As of September 30, 2021, Commercial Property and Land revenue has been further disaggregated into LoopNet, Residential and Other Marketplaces. Prior period amounts have been adjusted to reflect this presentation. | |||||||||||||||||||||||||||||||||||||||||||||||
CoStar Group, Inc. | |||||||||||||||||||||||
Results of Segments - Unaudited | |||||||||||||||||||||||
(in thousands) | |||||||||||||||||||||||
Three Months Ended December 31, | Year Ended December 31, | ||||||||||||||||||||||
2021 | 2020 | 2021 | 2020 | ||||||||||||||||||||
EBITDA | |||||||||||||||||||||||
North America | $ | 171,268 | $ | 88,241 | $ | 557,125 | $ | 410,852 | |||||||||||||||
International | 2,173 | 2 | 7,856 | (4,706) | |||||||||||||||||||
Total EBITDA | $ | 173,441 | $ | 88,243 | $ | 564,981 | $ | 406,146 | |||||||||||||||
CoStar Group, Inc. | ||||||||||||||||||||||||||||||||
Reconciliation of Non-GAAP Financial Measures with 2020-2021 Quarterly Results - Unaudited | ||||||||||||||||||||||||||||||||
(in millions, except per share data) | ||||||||||||||||||||||||||||||||
Reconciliation of Net Income to Non-GAAP Net Income | ||||||||||||||||||||||||||||||||
2020 | 2021 | |||||||||||||||||||||||||||||||
Q1 | Q2 | Q3 | Q4 | Q1 | Q2 | Q3 | Q4 | |||||||||||||||||||||||||
Net income | $72.8 | $60.4 | $58.2 | $35.8 | $74.2 | $61.1 | $64.3 | $92.9 | ||||||||||||||||||||||||
Income tax expense | 5.6 | 16.9 | 10.7 | 10.7 | 19.1 | 32.8 | 19.0 | 40.5 | ||||||||||||||||||||||||
Income before income taxes | 78.4 | 77.3 | 68.9 | 46.4 | 93.3 | 93.9 | 83.3 | 133.4 | ||||||||||||||||||||||||
Amortization of acquired intangible assets | 17.5 | 21.0 | 24.9 | 24.8 | 25.8 | 25.3 | 26.3 | 26.2 | ||||||||||||||||||||||||
Stock-based compensation expense | 15.2 | 9.5 | 16.7 | 12.7 | 15.5 | 15.1 | 16.3 | 16.7 | ||||||||||||||||||||||||
Acquisition and integration related costs | 8.7 | 10.0 | 7.9 | 65.9 | 8.5 | 2.0 | 5.0 | 3.2 | ||||||||||||||||||||||||
Restructuring and related costs | — | — | 0.4 | — | — | — | — | — | ||||||||||||||||||||||||
Other expense | — | — | 0.1 | — | 1.1 | 0.8 | 0.9 | 4.1 | ||||||||||||||||||||||||
Non-GAAP income before income taxes(1) | 119.8 | 117.8 | 118.9 | 149.8 | 144.2 | 137.1 | 131.8 | 183.6 | ||||||||||||||||||||||||
Assumed rate for income tax expense (2) | 25% | 25% | 25% | 25% | 25% | 25% | 25% | 25% | ||||||||||||||||||||||||
Assumed provision for income tax expense | (30.0) | (29.5) | (29.7) | (37.5) | (36.0) | (34.3) | (33.0) | (45.9) | ||||||||||||||||||||||||
Non-GAAP net income(1) | $89.8 | $88.3 | $89.2 | $112.3 | $108.2 | $102.8 | $98.8 | $137.7 | ||||||||||||||||||||||||
Non-GAAP net income per share - diluted(3) | $0.24 | $0.23 | $0.23 | $0.29 | $0.27 | $0.26 | $0.25 | $0.35 | ||||||||||||||||||||||||
Weighted average outstanding shares - basic(3) | 364.7 | 375.2 | 391.6 | 391.4 | 391.6 | 392.3 | 392.4 | 392.5 | ||||||||||||||||||||||||
Weighted average outstanding shares - diluted(3) | 367.8 | 377.3 | 394.0 | 394.0 | 393.7 | 394.1 | 394.3 | 394.5 | ||||||||||||||||||||||||
__________________________ | ||||||||||||||||||||||||||||||||
(1) Totals may not foot due to rounding. | ||||||||||||||||||||||||||||||||
(2) The assumed 25% tax rate approximates our statutory federal and state corporate tax rate. | ||||||||||||||||||||||||||||||||
(3) 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 | ||||||||||||||||||||||||||||||||
2020 | 2021 | |||||||||||||||||||||||||||||||
Q1 | Q2 | Q3 | Q4 | Q1 | Q2 | Q3 | Q4 | |||||||||||||||||||||||||
Net income | $72.8 | $60.4 | $58.2 | $35.8 | $74.2 | $61.1 | $64.3 | $92.9 | ||||||||||||||||||||||||
Amortization of acquired intangible assets | 17.5 | 21.0 | 24.9 | 24.8 | 25.8 | 25.3 | 26.3 | 26.2 | ||||||||||||||||||||||||
Depreciation and other amortization | 6.8 | 7.0 | 6.8 | 8.2 | 8.5 | 7.0 | 6.6 | 6.9 | ||||||||||||||||||||||||
Interest (income) expense | (1.7) | 3.6 | 7.5 | 7.9 | 7.9 | 7.9 | 7.9 | 7.9 | ||||||||||||||||||||||||
Other (income) expense | (0.8) | 0.4 | 0.3 | 0.9 | 0.1 | (0.8) | (1.5) | (0.9) | ||||||||||||||||||||||||
Income tax expense | 5.6 | 16.9 | 10.7 | 10.7 | 19.1 | 32.8 | 19.0 | 40.5 | ||||||||||||||||||||||||
EBITDA(1) | $100.2 | $109.3 | $108.4 | $88.3 | $135.6 | $133.3 | $122.6 | $173.4 | ||||||||||||||||||||||||
Stock-based compensation expense | 15.1 | 9.5 | 16.7 | 12.7 | 15.5 | 15.1 | 16.3 | 16.7 | ||||||||||||||||||||||||
Acquisition and integration related costs | 8.7 | 10.0 | 7.9 | 65.9 | 8.5 | 2.0 | 5.0 | 3.2 | ||||||||||||||||||||||||
Restructuring and related costs | — | — | 0.4 | — | — | — | — | — | ||||||||||||||||||||||||
Adjusted EBITDA(1) | $124.0 | $128.8 | $133.4 | $166.9 | $159.6 | $150.4 | $143.9 | $193.4 | ||||||||||||||||||||||||
__________________________ | ||||||||||||||||||||||||||||||||
(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, 2022 | December 31, 2022 | ||||||||||||||||||||||
Low | High | Low | High | ||||||||||||||||||||
Net income | $ | 73,000 | $ | 77,000 | $ | 249,000 | $ | 279,000 | |||||||||||||||
Income tax expense | 23,000 | 24,000 | 82,000 | 92,000 | |||||||||||||||||||
Income before income taxes | 96,000 | 101,000 | 331,000 | 371,000 | |||||||||||||||||||
Amortization of acquired intangible assets | 23,000 | 23,000 | 87,000 | 87,000 | |||||||||||||||||||
Stock-based compensation expense | 18,000 | 18,000 | 78,000 | 78,000 | |||||||||||||||||||
Acquisition and integration related costs | 2,000 | 2,000 | 2,000 | 2,000 | |||||||||||||||||||
Other expense | 1,000 | 1,000 | 1,000 | 1,000 | |||||||||||||||||||
Non-GAAP income before income taxes | 140,000 | 145,000 | 499,000 | 539,000 | |||||||||||||||||||
Assumed rate for income tax expense(1) | 25 | % | 25 | % | 25 | % | 25 | % | |||||||||||||||
Assumed provision for income tax expense | (35,000) | (36,300) | (124,800) | (134,800) | |||||||||||||||||||
Non-GAAP net income | $ | 105,000 | $ | 108,700 | $ | 374,200 | $ | 404,200 | |||||||||||||||
Net income per share - diluted(2) | $ | 0.19 | $ | 0.20 | $ | 0.63 | $ | 0.71 | |||||||||||||||
Non-GAAP net income per share - diluted(2) | $ | 0.27 | $ | 0.28 | $ | 0.95 | $ | 1.02 | |||||||||||||||
Weighted average outstanding shares - diluted(2) | 394,400 | 394,400 | 394,700 | 394,700 | |||||||||||||||||||
__________________________ | |||||||||||||||||||||||
(1) The assumed 25% tax rate approximates our statutory federal and state corporate tax rate. | |||||||||||||||||||||||
(2) 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 Forward-Looking Guidance, Net Income to Adjusted EBITDA | |||||||||||||||||||||||
Guidance Range | Guidance Range | ||||||||||||||||||||||
For the Three Months | For the Year Ending | ||||||||||||||||||||||
Ending March 31, 2022 | December 31, 2022 | ||||||||||||||||||||||
Low | High | Low | High | ||||||||||||||||||||
Net income | $ | 73,000 | $ | 77,000 | $ | 249,000 | $ | 279,000 | |||||||||||||||
Amortization of acquired intangible assets | 23,000 | 23,000 | 87,000 | 87,000 | |||||||||||||||||||
Depreciation and other amortization | 8,000 | 8,000 | 36,000 | 36,000 | |||||||||||||||||||
Interest expense | 8,000 | 8,000 | 32,000 | 32,000 | |||||||||||||||||||
Other (income) | — | — | (1,000) | (1,000) | |||||||||||||||||||
Income tax expense | 23,000 | 24,000 | 82,000 | 92,000 | |||||||||||||||||||
Stock-based compensation expense | 18,000 | 18,000 | 78,000 | 78,000 | |||||||||||||||||||
Acquisition and integration related costs | 2,000 | 2,000 | 2,000 | 2,000 | |||||||||||||||||||
Adjusted EBITDA | $ | 155,000 | $ | 160,000 | $ | 565,000 | $ | 605,000 |