Year 2020-2021 Quarterly Results - Unaudited | ||||||||||||||||||||||||||
(in millions, except per share data) | ||||||||||||||||||||||||||
2020 | 2021 | |||||||||||||||||||||||||
Q1 | Q2 | Q3 | Q4 | Q1 | Q2 | Q3 | ||||||||||||||||||||
Revenues | $392 | $397 | $426 | $444 | $458 | $480 | $499 | |||||||||||||||||||
Net income | 73 | 60 | 58 | 36 | 74 | 61 | 64 | |||||||||||||||||||
Net income per share - diluted(1) | 0.20 | 0.16 | 0.15 | 0.09 | 0.19 | 0.16 | 0.16 | |||||||||||||||||||
Weighted average outstanding shares - diluted(1) | 368 | 377 | 394 | 394 | 394 | 394 | 394 | |||||||||||||||||||
EBITDA | 100 | 109 | 108 | 88 | 136 | 133 | 123 | |||||||||||||||||||
Adjusted EBITDA | 124 | 129 | 134 | 167 | 160 | 150 | 144 | |||||||||||||||||||
Non-GAAP net income | 90 | 88 | 89 | 112 | 108 | 103 | 99 | |||||||||||||||||||
Non-GAAP net income per share - diluted(1) | 0.24 | 0.23 | 0.23 | 0.29 | 0.27 | 0.26 | 0.25 | |||||||||||||||||||
__________________________ |
CoStar Group, Inc. | ||||||||||||||||||||||||||
Condensed Consolidated Statements of Operations - Unaudited | ||||||||||||||||||||||||||
(in thousands, except per share data) | ||||||||||||||||||||||||||
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||||||||||||
2021 | 2020 | 2021 | 2020 | |||||||||||||||||||||||
Revenues | $ | 499,319 | $ | 425,620 | $ | 1,437,349 | $ | 1,214,626 | ||||||||||||||||||
Cost of revenues | 92,597 | 77,865 | 270,911 | 230,814 | ||||||||||||||||||||||
Gross profit | 406,722 | 347,755 | 1,166,438 | 983,812 | ||||||||||||||||||||||
Operating expenses: | ||||||||||||||||||||||||||
Selling and marketing (excluding customer base amortization) | 180,055 | 146,634 | 483,354 | 402,202 | ||||||||||||||||||||||
Software development | 53,143 | 40,732 | 148,500 | 121,343 | ||||||||||||||||||||||
General and administrative | 64,671 | 65,322 | 186,747 | 181,598 | ||||||||||||||||||||||
Customer base amortization | 19,121 | 18,258 | 55,885 | 44,677 | ||||||||||||||||||||||
316,990 | 270,946 | 874,486 | 749,820 | |||||||||||||||||||||||
Income from operations | 89,732 | 76,809 | 291,952 | 233,992 | ||||||||||||||||||||||
Interest expense, net | (7,943) | (7,537) | (23,698) | (9,482) | ||||||||||||||||||||||
Other income (expense) | 1,546 | (338) | 2,343 | 29 | ||||||||||||||||||||||
Income before income taxes | 83,335 | 68,934 | 270,597 | 224,539 | ||||||||||||||||||||||
Income tax expense | 19,031 | 10,748 | 70,933 | 33,200 | ||||||||||||||||||||||
Net income | $ | 64,304 | $ | 58,186 | $ | 199,664 | $ | 191,339 | ||||||||||||||||||
Net income per share - basic(1) | $ | 0.16 | $ | 0.15 | $ | 0.51 | $ | 0.51 | ||||||||||||||||||
Net income per share - diluted(1) | $ | 0.16 | $ | 0.15 | $ | 0.51 | $ | 0.50 | ||||||||||||||||||
Weighted-average outstanding shares - basic(1) | 392,419 | 391,586 | 392,101 | 377,177 | ||||||||||||||||||||||
Weighted-average outstanding shares - diluted(1) | 394,295 | 394,013 | 394,036 | 379,704 | ||||||||||||||||||||||
__________________________ | ||||||||||||||||||||||||||
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 September 30, | Nine Months Ended September 30, | |||||||||||||||||||||||||
2021 | 2020 | 2021 | 2020 | |||||||||||||||||||||||
Net income | $ | 64,304 | $ | 58,186 | $ | 199,664 | $ | 191,339 | ||||||||||||||||||
Income tax expense | 19,031 | 10,748 | 70,933 | 33,200 | ||||||||||||||||||||||
Income before income taxes | 83,335 | 68,934 | 270,597 | 224,539 | ||||||||||||||||||||||
Amortization of acquired intangible assets | 26,330 | 24,870 | 77,450 | 63,348 | ||||||||||||||||||||||
Stock-based compensation expense | 16,299 | 16,730 | 46,988 | 41,437 | ||||||||||||||||||||||
Acquisition and integration related costs | 5,012 | 7,887 | 15,475 | 26,631 | ||||||||||||||||||||||
Restructuring and related costs | — | 413 | — | 413 | ||||||||||||||||||||||
Other expense | 934 | 113 | 2,791 | 113 | ||||||||||||||||||||||
Non-GAAP income before income taxes | 131,910 | 118,947 | 413,301 | 356,481 | ||||||||||||||||||||||
Assumed rate for income tax expense(1) | 25 | % | 25 | % | 25 | % | 25 | % | ||||||||||||||||||
Assumed provision for income tax expense | (32,978) | (29,737) | (103,325) | (89,120) | ||||||||||||||||||||||
Non-GAAP net income | $ | 98,932 | $ | 89,210 | $ | 309,976 | $ | 267,361 | ||||||||||||||||||
Net income per share - diluted(2) | $ | 0.16 | $ | 0.15 | $ | 0.51 | $ | 0.50 | ||||||||||||||||||
Non-GAAP net income per share - diluted(2) | $ | 0.25 | $ | 0.23 | $ | 0.79 | $ | 0.70 | ||||||||||||||||||
Weighted average outstanding shares - basic(2) | 392,419 | 391,586 | 392,101 | 377,177 | ||||||||||||||||||||||
Weighted average outstanding shares - diluted(2) | 394,295 | 394,013 | 394,036 | 379,704 | ||||||||||||||||||||||
__________________________ | ||||||||||||||||||||||||||
(1) A 25% tax rate is assumed for 2021 and 2020, which 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 September 30, | Nine Months Ended September 30, | |||||||||||||||||||||||||
2021 | 2020 | 2021 | 2020 | |||||||||||||||||||||||
Net income | $ | 64,304 | $ | 58,186 | $ | 199,664 | $ | 191,339 | ||||||||||||||||||
Amortization of acquired intangible assets in cost of revenues | 7,209 | 6,612 | 21,565 | 18,671 | ||||||||||||||||||||||
Amortization of acquired intangible assets in operating expenses | 19,121 | 18,258 | 55,885 | 44,677 | ||||||||||||||||||||||
Depreciation and other amortization | 6,610 | 6,806 | 22,138 | 20,563 | ||||||||||||||||||||||
Interest expense | 7,943 | 7,537 | 23,698 | 9,482 | ||||||||||||||||||||||
Other (income) expense | (1,546) | 338 | (2,343) | (29) | ||||||||||||||||||||||
Income tax expense | 19,031 | 10,748 | 70,933 | 33,200 | ||||||||||||||||||||||
EBITDA | $ | 122,672 | $ | 108,485 | $ | 391,540 | $ | 317,903 | ||||||||||||||||||
Stock-based compensation expense | 16,299 | 16,730 | 46,988 | 41,437 | ||||||||||||||||||||||
Acquisition and integration related costs | 5,012 | 7,887 | 15,475 | 26,631 | ||||||||||||||||||||||
Restructuring and related costs | — | 413 | — | 413 | ||||||||||||||||||||||
Adjusted EBITDA | $ | 143,983 | $ | 133,515 | $ | 454,003 | $ | 386,384 | ||||||||||||||||||
CoStar Group, Inc. | ||||||||||||||
Condensed Consolidated Balance Sheets - Unaudited | ||||||||||||||
(in thousands) | ||||||||||||||
September 30, 2021 | December 31, 2020 | |||||||||||||
ASSETS | ||||||||||||||
Current assets: | ||||||||||||||
Cash, cash equivalents and restricted cash | $ | 3,761,587 | $ | 3,755,912 | ||||||||||
Accounts receivable | 128,700 | 119,059 | ||||||||||||
Less: Allowance for credit losses | (13,049) | (15,110) | ||||||||||||
Accounts receivable, net | 115,651 | 103,949 | ||||||||||||
Prepaid expenses and other current assets | 37,599 | 28,651 | ||||||||||||
Total current assets | 3,914,837 | 3,888,512 | ||||||||||||
Deferred income taxes, net | 1,975 | 4,983 | ||||||||||||
Property and equipment, net | 238,866 | 126,325 | ||||||||||||
Lease right-of-use assets | 105,964 | 108,740 | ||||||||||||
Goodwill | 2,293,514 | 2,235,999 | ||||||||||||
Intangible assets, net | 447,900 | 426,745 | ||||||||||||
Deferred commission costs, net | 96,303 | 93,274 | ||||||||||||
Deposits and other assets | 16,971 | 15,856 | ||||||||||||
Income tax receivable | 14,986 | 14,986 | ||||||||||||
Total assets | $ | 7,131,316 | $ | 6,915,420 | ||||||||||
LIABILITIES AND STOCKHOLDERS' EQUITY | ||||||||||||||
Current liabilities: | ||||||||||||||
Accounts payable | $ | 17,487 | $ | 15,732 | ||||||||||
Accrued wages and commissions | 82,905 | 80,998 | ||||||||||||
Accrued expenses | 86,788 | 110,305 | ||||||||||||
Income taxes payable | 11,828 | 16,316 | ||||||||||||
Lease liabilities | 29,878 | 32,648 | ||||||||||||
Deferred revenue | 92,631 | 74,851 | ||||||||||||
Total current liabilities | 321,517 | 330,850 | ||||||||||||
Long-term debt, net | 987,633 | 986,715 | ||||||||||||
Deferred income taxes, net | 83,399 | 72,991 | ||||||||||||
Income taxes payable | 26,188 | 25,282 | ||||||||||||
Lease and other long-term liabilities | 109,156 | 124,223 | ||||||||||||
Total liabilities | $ | 1,527,893 | $ | 1,540,061 | ||||||||||
Total stockholders’ equity | 5,603,423 | 5,375,359 | ||||||||||||
Total liabilities and stockholders’ equity | $ | 7,131,316 | $ | 6,915,420 |
CoStar Group, Inc. | |||||||||||
Condensed Consolidated Statements of Cash Flows - Unaudited | |||||||||||
(in thousands) | |||||||||||
Nine Months Ended September 30, | |||||||||||
2021 | 2020 | ||||||||||
Operating activities: | |||||||||||
Net income | $ | 199,664 | $ | 191,339 | |||||||
Adjustments to reconcile net income to net cash provided by operating activities: | |||||||||||
Depreciation and amortization | 102,390 | 83,911 | |||||||||
Amortization of deferred commissions costs | 46,728 | 45,017 | |||||||||
Amortization of Senior Notes discount and issuance costs | 1,742 | 1,082 | |||||||||
Non-cash lease expense | 21,118 | 18,801 | |||||||||
Stock-based compensation expense | 46,988 | 40,783 | |||||||||
Deferred income taxes, net | 16,255 | 6,812 | |||||||||
Credit loss expense | 7,797 | 21,395 | |||||||||
Other operating activities, net | 10 | (12) | |||||||||
Changes in operating assets and liabilities, net of acquisitions: | |||||||||||
Accounts receivable | (17,715) | (34,131) | |||||||||
Prepaid expenses and other current assets | (18,820) | 4,145 | |||||||||
Deferred commissions | (49,798) | (48,704) | |||||||||
Accounts payable and other liabilities | (27,912) | 47,341 | |||||||||
Lease liabilities | (23,596) | (21,247) | |||||||||
Income taxes payable | (3,583) | (9,838) | |||||||||
Deferred revenue | 15,800 | 7,123 | |||||||||
Other assets | 2,150 | 1,521 | |||||||||
Net cash provided by operating activities | 319,218 | 355,338 | |||||||||
Investing activities: | |||||||||||
Proceeds from sale and settlement of investments | — | 10,259 | |||||||||
Proceeds from sale of property and equipment and other assets | 245 | — | |||||||||
Purchase of Richmond assets and other intangibles | (123,623) | — | |||||||||
Purchases of property and equipment and other assets | (21,533) | (42,137) | |||||||||
Cash paid for acquisitions, net of cash acquired | (152,594) | (192,002) | |||||||||
Net cash used in investing activities | (297,505) | (223,880) | |||||||||
Financing activities: | |||||||||||
Proceeds from long-term debt | — | 1,744,210 | |||||||||
Payments of debt issuance costs | — | (15,747) | |||||||||
Payments of long-term debt | — | (745,000) | |||||||||
Repurchase of restricted stock to satisfy tax withholding obligations | (29,306) | (34,051) | |||||||||
Proceeds from equity offering, net of transaction costs | — | 1,689,971 | |||||||||
Proceeds from exercise of stock options and employee stock purchase plan | 15,025 | 28,169 | |||||||||
Other financing activities | (57) | (1,650) | |||||||||
Net cash (used in) provided by financing activities | (14,338) | 2,665,902 | |||||||||
Effect of foreign currency exchange rates on cash and cash equivalents | (1,700) | (286) | |||||||||
Net increase in cash, cash equivalents and restricted cash | 5,675 | 2,797,074 | |||||||||
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 | $ | 3,761,587 | $ | 3,867,805 |
CoStar Group, Inc. | |||||||||||||||||||||||||||||||||||
Disaggregated Revenues - Unaudited | |||||||||||||||||||||||||||||||||||
(in thousands) | |||||||||||||||||||||||||||||||||||
Three Months Ended September 30, | |||||||||||||||||||||||||||||||||||
2021 | 2020 | ||||||||||||||||||||||||||||||||||
North America | International | Total | North America | International | Total | ||||||||||||||||||||||||||||||
CoStar | $ | 174,071 | $ | 9,194 | $ | 183,265 | $ | 158,235 | $ | 7,753 | $ | 165,988 | |||||||||||||||||||||||
Information Services | 29,177 | 6,749 | 35,926 | 26,357 | 6,817 | 33,174 | |||||||||||||||||||||||||||||
Multifamily | 171,125 | — | 171,125 | 155,184 | — | 155,184 | |||||||||||||||||||||||||||||
LoopNet(1) | 52,103 | 424 | 52,527 | 44,938 | 146 | 45,084 | |||||||||||||||||||||||||||||
Residential(1) | 24,747 | — | 24,747 | — | — | — | |||||||||||||||||||||||||||||
Other Marketplaces(1) | 31,729 | — | 31,729 | 26,190 | — | 26,190 | |||||||||||||||||||||||||||||
Total revenues | $ | 482,952 | $ | 16,367 | $ | 499,319 | $ | 410,904 | $ | 14,716 | $ | 425,620 | |||||||||||||||||||||||
__________________________ | |||||||||||||||||||||||||||||||||||
(1) As of September 30, 2021, Commercial Property and Land revenue has been further disaggregated into LoopNet, Residential and Other Marketplaces. | |||||||||||||||||||||||||||||||||||
Nine Months Ended September 30, | |||||||||||||||||||||||||||||||||||
2021 | 2020 | ||||||||||||||||||||||||||||||||||
North America | International | Total | North America | International | Total | ||||||||||||||||||||||||||||||
CoStar | $ | 505,470 | $ | 26,958 | $ | 532,428 | $ | 473,363 | $ | 22,634 | $ | 495,997 | |||||||||||||||||||||||
Information Services | 84,959 | 20,820 | 105,779 | 77,069 | 19,023 | 96,092 | |||||||||||||||||||||||||||||
Multifamily | 508,629 | — | 508,629 | 438,185 | — | 438,185 | |||||||||||||||||||||||||||||
LoopNet(1) | 151,770 | 1,082 | 152,852 | 131,348 | 256 | 131,604 | |||||||||||||||||||||||||||||
Residential(1) | 53,939 | — | 53,939 | — | — | — | |||||||||||||||||||||||||||||
Other Marketplaces(1) | 83,722 | — | 83,722 | 52,748 | — | 52,748 | |||||||||||||||||||||||||||||
Total revenues | $ | 1,388,489 | $ | 48,860 | $ | 1,437,349 | $ | 1,172,713 | $ | 41,913 | $ | 1,214,626 | |||||||||||||||||||||||
__________________________ | |||||||||||||||||||||||||||||||||||
(1) As of September 30, 2021, Commercial Property and Land revenue has been further disaggregated into LoopNet, Residential and Other Marketplaces. |
CoStar Group, Inc. | |||||||||||||||||||||||
Results of Segments - Unaudited | |||||||||||||||||||||||
(in thousands) | |||||||||||||||||||||||
Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||||||||
2021 | 2020 | 2021 | 2020 | ||||||||||||||||||||
EBITDA | |||||||||||||||||||||||
North America | $ | 119,823 | $ | 107,906 | $ | 385,857 | $ | 322,611 | |||||||||||||||
International | 2,849 | 579 | 5,683 | (4,708) | |||||||||||||||||||
Total EBITDA | $ | 122,672 | $ | 108,485 | $ | 391,540 | $ | 317,903 | |||||||||||||||
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 | |||||||||||||||||||||||
Net income | $72.8 | $60.4 | $58.2 | $35.8 | $74.2 | $61.1 | $64.3 | ||||||||||||||||||||||
Income tax expense | 5.6 | 16.9 | 10.7 | 10.7 | 19.1 | 32.8 | 19.0 | ||||||||||||||||||||||
Income before income taxes | 78.4 | 77.3 | 68.9 | 46.4 | 93.3 | 93.9 | 83.3 | ||||||||||||||||||||||
Amortization of acquired intangible assets | 17.5 | 21.0 | 24.9 | 24.8 | 25.8 | 25.3 | 26.3 | ||||||||||||||||||||||
Stock-based compensation expense | 15.2 | 9.5 | 16.7 | 12.7 | 15.5 | 15.1 | 16.3 | ||||||||||||||||||||||
Acquisition and integration related costs | 8.7 | 10.0 | 7.9 | 65.9 | 8.5 | 2.0 | 5.0 | ||||||||||||||||||||||
Restructuring and related costs | — | — | 0.4 | — | — | — | — | ||||||||||||||||||||||
Other expense | — | — | 0.1 | — | 1.1 | 0.8 | 0.9 | ||||||||||||||||||||||
Non-GAAP income before income taxes | 119.8 | 117.8 | 118.9 | 149.8 | 144.2 | 137.1 | 131.8 | ||||||||||||||||||||||
Assumed rate for income tax expense (1) | 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) | ||||||||||||||||||||||
Non-GAAP net income | $89.8 | $88.3 | $89.2 | $112.3 | $108.2 | $102.8 | $98.8 | ||||||||||||||||||||||
Non-GAAP net income per share - diluted(2) | $0.24 | $0.23 | $0.23 | $0.29 | $0.27 | $0.26 | $0.25 | ||||||||||||||||||||||
Weighted average outstanding shares - basic(2) | 364.7 | 375.2 | 391.6 | 391.4 | 391.6 | 392.3 | 392.4 | ||||||||||||||||||||||
Weighted average outstanding shares - diluted(2) | 367.8 | 377.3 | 394.0 | 394.0 | 393.7 | 394.1 | 394.3 | ||||||||||||||||||||||
__________________________ | |||||||||||||||||||||||||||||
(1) A 25% tax rate is assumed for 2021 and 2020, which 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 | |||||||||||||||||||||||||||||
2020 | 2021 | ||||||||||||||||||||||||||||
Q1 | Q2 | Q3 | Q4 | Q1 | Q2 | Q3 | |||||||||||||||||||||||
Net income | $72.8 | $60.4 | $58.2 | $35.8 | $74.2 | $61.1 | $64.3 | ||||||||||||||||||||||
Amortization of acquired intangible assets | 17.5 | 21.0 | 24.9 | 24.8 | 25.8 | 25.3 | 26.3 | ||||||||||||||||||||||
Depreciation and other amortization | 6.8 | 7.0 | 6.8 | 8.2 | 8.5 | 7.0 | 6.6 | ||||||||||||||||||||||
Interest (income) expense | (1.7) | 3.6 | 7.5 | 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) | ||||||||||||||||||||||
Income tax expense | 5.6 | 16.9 | 10.7 | 10.7 | 19.1 | 32.8 | 19.0 | ||||||||||||||||||||||
EBITDA | $100.2 | $109.3 | $108.4 | $88.3 | $135.6 | $133.3 | $122.6 | ||||||||||||||||||||||
Stock-based compensation expense | 15.1 | 9.5 | 16.7 | 12.7 | 15.5 | 15.1 | 16.3 | ||||||||||||||||||||||
Acquisition and integration related costs | 8.7 | 10.0 | 7.9 | 65.9 | 8.5 | 2.0 | 5.0 | ||||||||||||||||||||||
Restructuring and related costs | — | — | 0.4 | — | — | — | — | ||||||||||||||||||||||
Adjusted EBITDA | $124.0 | $128.8 | $133.4 | $166.9 | $159.6 | $150.4 | $143.9 |
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 December 31, 2021 | December 31, 2021 | ||||||||||||||||||||||
Low | High | Low | High | ||||||||||||||||||||
Net income | $ | 76,000 | $ | 80,000 | $ | 276,000 | $ | 280,000 | |||||||||||||||
Income tax expense | 25,000 | 26,000 | 96,000 | 97,000 | |||||||||||||||||||
Income before income taxes | 101,000 | 106,000 | 372,000 | 377,000 | |||||||||||||||||||
Amortization of acquired intangible assets | 26,000 | 26,000 | 103,000 | 103,000 | |||||||||||||||||||
Stock-based compensation expense | 17,000 | 17,000 | 64,000 | 64,000 | |||||||||||||||||||
Acquisition and integration related costs | 2,000 | 2,000 | 17,000 | 17,000 | |||||||||||||||||||
Other expense | 5,000 | 5,000 | 8,000 | 8,000 | |||||||||||||||||||
Non-GAAP income before income taxes | 151,000 | 156,000 | 564,000 | 569,000 | |||||||||||||||||||
Assumed rate for income tax expense(1) | 25 | % | 25 | % | 25 | % | 25 | % | |||||||||||||||
Assumed provision for income tax expense | (37,800) | (39,000) | (141,000) | (142,300) | |||||||||||||||||||
Non-GAAP net income | $ | 113,200 | $ | 117,000 | $ | 423,000 | $ | 426,700 | |||||||||||||||
Net income per share - diluted(2) | $ | 0.19 | $ | 0.20 | $ | 0.70 | $ | 0.71 | |||||||||||||||
Non-GAAP net income per share - diluted(2) | $ | 0.29 | $ | 0.30 | $ | 1.07 | $ | 1.08 | |||||||||||||||
Weighted average outstanding shares - diluted(2) | 394,400 | 394,400 | 394,000 | 394,000 | |||||||||||||||||||
__________________________ | |||||||||||||||||||||||
(1) A 25% tax rate is assumed, which 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 December 31, 2021 | December 31, 2021 | ||||||||||||||||||||||
Low | High | Low | High | ||||||||||||||||||||
Net income | $ | 76,000 | $ | 80,000 | $ | 276,000 | $ | 280,000 | |||||||||||||||
Amortization of acquired intangible assets | 26,000 | 26,000 | 103,000 | 103,000 | |||||||||||||||||||
Depreciation and other amortization | 8,000 | 8,000 | 30,000 | 30,000 | |||||||||||||||||||
Interest expense | 8,000 | 8,000 | 32,000 | 32,000 | |||||||||||||||||||
Other (income) | (1,000) | (1,000) | (3,000) | (3,000) | |||||||||||||||||||
Income tax expense | 25,000 | 26,000 | 96,000 | 97,000 | |||||||||||||||||||
Stock-based compensation expense | 17,000 | 17,000 | 64,000 | 64,000 | |||||||||||||||||||
Acquisition and integration related costs | 2,000 | 2,000 | 17,000 | 17,000 | |||||||||||||||||||
Adjusted EBITDA | $ | 161,000 | $ | 166,000 | $ | 615,000 | $ | 620,000 |