Try our mobile app

Published: 2021-08-09 00:00:00 ET
<<<  go to APPF company page
HTTP/1.1 200 OK HTTP/1.1 200 OK X-Crawlera-Slave: 181.215.112.57:3128 X-Crawlera-Version: 1.60.1 accept-ranges: bytes content-type: text/html last-modified: Mon, 09 Aug 2021 20:06:19 GMT server: AmazonS3 x-amz-id-2: TAeItBRWDKrQQJ3cpQFnlDiVZJEhD5vFCHgYB1VSRsbhNQiSDSqe9/+zpFR8z8fzNVN5whGZsK4= x-amz-meta-mode: 33188 x-amz-meta-s3cmd-attrs: uid:504/gname:fitrprnt/uname:fitrprnt/gid:504/mode:33184/mtime:1628539576/atime:1628539576/md5:25f810c56f154f0b5f37d373b06f9da3/ctime:1628539577 x-amz-replication-status: COMPLETED x-amz-request-id: 6N3W084E6MH9AN9P x-amz-version-id: SEmbzhpRU8j6.ZdxWvi7TkHC_ZUWlmN4 x-content-type-options: nosniff x-frame-options: SAMEORIGIN x-xss-protection: 1; mode=block x-akamai-transformed: 9 9782 0 pmb=mTOE,2 expires: Fri, 07 Apr 2023 06:41:27 GMT cache-control: max-age=0, no-cache, no-store pragma: no-cache date: Fri, 07 Apr 2023 06:41:27 GMT vary: Accept-Encoding akamai-x-true-ttl: -1 strict-transport-security: max-age=31536000 ; includeSubDomains ; preload set-cookie: ak_bmsc=154C42D8E70B9CC9F20B9A66BFA0C1CD~000000000000000000000000000000~YAAQx6g4F4PN81WHAQAA5NNyWhNk8QNGvZhv4vdT8t82XQVSKq/on8aVOmnwsO9GyQatlmkzHKM4RdFs4BNF+7JWR9AVhxueAdkEVPh2XXOzEq89WbszNTef1uQO6PrvRFrXeE/J0mqXjA94svBQ4c5kOLjNCCBquiOTG6brIKLWkARU58q2XcDH5e6k62AL2JdPpVKHnHb7/GEiFVPiYAq5W63QmxXHnoAAXPVHRJMhavm58K9j29asTRBsxVvyYQM45HX2cIxVBBHXXwsASOxXeIurljfCklI95cjHfoZivWv8Hvzxhj9sOO/nrVFJpuGzRAyzkBdp/kAntAomMyfDJ7oH377nIhXMEeLAUa+s8fLv/a3YAUKN0yumNbtnoN7uu2gy1g==; Domain=.sec.gov; Path=/; Expires=Fri, 07 Apr 2023 08:41:27 GMT; Max-Age=7200; HttpOnly set-cookie: bm_mi=1FB3C535D0230B1420E9AA412E24A5FC~YAAQx6g4F4TN81WHAQAA5NNyWhM1psc6rJUyF5Wfjd+Hlnsf89uOn4V7ye+72GXTDBA2N6LWvfqIi1xqIzfULTFtI5sjZjels3sXo8wWg8T3KSXeXjXP5+OxwlUUVn8emhRugn4CTSceLTUqEb+zGXHMZh4+sKFaeL28PVoCIwCKCGViUW7F02Vd/7CIE0PeJXMfMp5+F2A2ATjIRXhHCXpevDmwCxtrPjXnkRoMyLZWeDqk1rmj8hJ12MizAPdL/fclwhrr6O30o/5qklA+fcVrNnIy+BQR0IEvyaG2y/D23hPlCxdICG4tHh2Czu7j/PDfpxVxTBgdd5jcfrz/C6fElLZYHNDnfeF/y8NIfqIhHaJhuSmzMk7i4vzZYBV6Kv/hXMAOxLkx5/msqPT69NbL~1; Domain=.sec.gov; Path=/; Expires=Fri, 07 Apr 2023 06:41:27 GMT; Max-Age=0; Secure Transfer-Encoding: chunked Proxy-Connection: close Connection: close EX-99.1 2 appfq22021exhibit991.htm EX-99.1 Document


Exhibit 99.1
primary-inc_wordmark.jpg

News Release


AppFolio, Inc. Announces Second Quarter 2021 Financial Results


SANTA BARBARA, Calif., August 9, 2021 (GLOBE NEWSWIRE) -- AppFolio, Inc. (NASDAQ: APPF) ("AppFolio" or the "Company"), a leading provider of cloud-based business software solutions, services, and data analytics to the real estate market, today announced its financial results for the second quarter ended June 30, 2021.

AppFolio's operating results for the second quarter of 2021 are summarized in the tables accompanying this press release. The Company nevertheless urges investors to read its Annual Report on Form 10-K, which was filed with the Securities and Exchange Commission (the "SEC") on March 1, 2021, as well as its more detailed second quarter 2021 results that will be included in the Company's Quarterly Report on Form 10-Q, which will be filed with the SEC today. These periodic report filings, together with other documents the Company files with the SEC from time to time, will be accessible on AppFolio's website, http://ir.appfolioinc.com. The limited information that follows in this press release is not adequate for making an informed investment judgment.

Financial Outlook
Based on information available as of August 9, 2021, AppFolio's outlook for fiscal year 2021 follows:
•Full year revenue is expected to be in the range of $350 million to $355 million.
•Diluted weighted average shares are expected to be approximately 36 million for the full year.

Conference Call Information
As previously announced, the Company will host a conference call today, August 9, 2021, at 1:30 p.m. Pacific Time, 4:30 p.m. Eastern Time, to discuss its financial results. Participants who wish to dial into the conference call please register in advance at http://www.directeventreg.com/registration/event/2995293. After registering, a confirmation email will be sent, including dial-in details and a unique code for entry. Registration will be open through the start of the live call.

Following the conference call, a replay will be available at (800) 585-8367 (domestic) or (416) 621-4642 (international). The replay passcode is 2995293. An archived webcast of this conference call will also be available on AppFolio’s Investor Relations website at http://ir.appfolioinc.com.

About AppFolio, Inc.
AppFolio provides innovative software, services and data analytics to the real estate industry. Our cloud-based business management solutions are designed to enable our customers to digitally transform their businesses, address critical business operations and enable exceptional customer service. Today our core solutions include AppFolio Property Manager, AppFolio Property Manager PLUS, and AppFolio Investment Management. In addition, the Company offers a variety of Value+ services that are designed to enhance, automate and streamline essential processes and workflows for our customers. AppFolio was founded in 2006 and is headquartered in Santa Barbara, CA. Learn more at www.appfolioinc.com.

Investor Relations Contact: ir@appfolio.com




Forward-Looking Statements

This press release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, which statements are subject to considerable risks and uncertainties. Forward-looking statements include all statements that are not statements of historical fact contained in this press release, and can be identified by words such as “anticipates,” “believes,” “could,” “estimates,” “expects,” “intends,” “may,” “plans,” “potential,” “predicts," “projects,” “seeks,” “should,” “will,” “would” or similar expressions and the negatives of those expressions. In particular, forward-looking statements contained in this press release relate to the Company's future or assumed revenues and weighted-average outstanding shares, as well as its future growth and success.

Forward-looking statements represent AppFolio's current beliefs and assumptions based on information currently available. Forward-looking statements involve numerous known and unknown risks, uncertainties and other factors that may cause the Company's actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Some of the risks and uncertainties that may cause the Company's actual results to materially differ from those expressed or implied by these forward-looking statements are described in the section entitled “Risk Factors” in AppFolio's Quarterly Report on Form 10-Q for the quarter ended June 30, 2021, which will be filed with the SEC today, as well as in the Company's other filings with the SEC. You should read this press release with the understanding that the Company's actual future results may be materially different from the results expressed or implied by these forward looking statements.

Except as required by applicable law or the rules of the NASDAQ Global Market, AppFolio assumes no obligation to update any forward-looking statements publicly, or to update the reasons actual results could differ materially from those anticipated in these forward-looking statements, even if new information becomes available in the future.





CONDENSED CONSOLIDATED BALANCE SHEETS
(UNAUDITED)
(in thousands, except par values)
 June 30,
2021		December 31,
2020
Assets
Current assets
Cash and cash equivalents$48,610 $140,263 
Investment securities—current102,978 28,256 
Accounts receivable, net14,973 10,057 
Prepaid expenses and other current assets23,306 20,777 
Total current assets189,867 199,353 
Investment securities—noncurrent11,541 6,770 
Property and equipment, net27,324 26,439 
Operating lease right-of-use assets40,983 30,561 
Capitalized software development costs, net39,225 35,459 
Goodwill56,147 56,147 
Intangible assets, net14,017 16,357 
Deferred income taxes—noncurrent12,774 12,181 
Other long-term assets7,194 6,213 
Total assets$399,072 $389,480 
Liabilities and Stockholders’ Equity
Current liabilities
Accounts payable$2,411 $1,040 
Accrued employee expenses—current27,504 18,888 
Accrued expenses11,403 14,069 
Deferred revenue3,205 2,262 
Income tax payable66 9,095 
Other current liabilities4,196 4,451 
Total current liabilities48,785 49,805 
Accrued employee expenses—noncurrent968 — 
Operating lease liabilities53,936 40,146 
Deferred income taxes—noncurrent8,116 13,609 
Total liabilities111,805 103,560 
Stockholders’ equity:
Preferred stock, $0.0001 par value, 25,000 shares authorized and no shares issued and outstanding as of June 30, 2021 and December 31, 2020— — 
Class A common stock, $0.0001 par value, 250,000 shares authorized as of June 30, 2021 and December 31, 2020; 19,408 and 19,148 shares issued as of June 30, 2021 and December 31, 2020, respectively; 18,989 and 18,729 shares outstanding as of June 30, 2020 and December 31, 2020, respectively2 2 
Class B common stock, $0.0001 par value, 50,000 shares authorized as of June 30, 2021 and December 31, 2020; 15,621 and 15,659 shares issued and outstanding as of June 30, 2021 and December 31, 2020, respectively2 2 
Additional paid-in capital160,160 161,247 
Accumulated other comprehensive (loss) income(10)56 
Treasury stock, at cost, 419 shares of Class A common stock as of June 30, 2021 and December 31, 2020(25,756)(25,756)
Retained earnings152,869 150,369 
Total stockholders’ equity287,267 285,920 
Total liabilities and stockholders’ equity$399,072 $389,480 




CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(UNAUDITED)
(in thousands, except per share amounts)

 Three Months Ended
June 30,		Six Months Ended
June 30,
 2021202020212020
Revenue$89,040 $81,043 $167,961 $153,538 
Costs and operating expenses:
Cost of revenue (exclusive of depreciation and amortization)32,819 27,411 66,117 56,372 
Sales and marketing17,714 13,717 33,893 28,223 
Research and product development15,506 12,128 29,889 23,340 
General and administrative14,206 14,785 27,567 23,357 
Depreciation and amortization7,649 6,657 15,018 13,071 
Total costs and operating expenses87,894 74,698 172,484 144,363 
Income (loss) from operations1,146 6,345 (4,523)9,175 
Other income (loss), net496 (10)1,058 12 
Interest income (expense), net55 (562)108 (1,056)
Income (loss) before benefit from income taxes1,697 5,773 (3,357)8,131 
Benefit from income taxes(324)(13,484)(5,857)(13,109)
Net income$2,021 $19,257 $2,500 $21,240 
Net income per common share:
Basic$0.06 $0.56 $0.07 $0.62 
Diluted$0.06 $0.54 $0.07 $0.60 
Weighted average common shares outstanding:
Basic34,548 34,254 34,479 34,214 
Diluted35,674 35,614 35,697 35,647 



Stock-Based Compensation Expense
(in thousands)
Three Months Ended
June 30,		Six Months Ended
June 30,
2021202020212020
Costs and operating expenses:
Cost of revenue (exclusive of depreciation and amortization)$463 $520 $934 $646 
Sales and marketing447 477 849 702 
Research and product development1,214 580 2,071 874 
General and administrative1,090 1,176 2,136 1,490 
Total stock-based compensation expense$3,214 $2,753 $5,990 $3,712 




CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(UNAUDITED)
(in thousands)
 Three Months Ended
June 30,		Six Months Ended
June 30,
 2021202020212020
Cash from operating activities
Net income$2,021 $19,257 $2,500 $21,240 
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization7,649 6,657 15,018 13,071 
Amortization of operating lease right-of-use assets737 1,018 1,399 2,071 
Deferred income taxes(363)(13,499)(6,086)(13,137)
Stock-based compensation3,214 2,753 5,990 3,712 
Other(422)8 (579)(30)
Changes in operating assets and liabilities:
Accounts receivable(2,111)(3,520)(4,007)(5,136)
Prepaid expenses and other current assets(2,218)2,530 (2,171)(292)
Other assets(579)41 (982)(107)
Accounts payable431 555 1,301 193 
Accrued employee expenses—current6,910 6,144 7,638 717 
Accrued expenses757 3,808 (3,047)4,534 
Deferred revenue(266)(161)33 532 
Income tax payable(2,535)— (9,029)— 
Other current liabilities(280)— 30 100 
Accrued employee expenses—noncurrent(204)(422)968 — 
Operating lease liabilities2,357 (876)1,685 (92)
Net cash provided by operating activities15,098 24,293 10,661 27,376 
Cash from investing activities
Purchases of available-for-sale investments(49,282)(12,740)(148,293)(13,389)
Proceeds from sales of available-for-sale investments24,299 — 42,198 13,942 
Proceeds from maturities of available-for-sale investments25,750 500 26,750 7,750 
Purchases of property, equipment and intangible assets(1,866)(6,314)(2,804)(14,306)
Capitalization of software development costs(5,771)(5,887)(11,911)(12,709)
Net cash used in investing activities(6,870)(24,441)(94,060)(18,712)
Cash from financing activities
Proceeds from stock option exercises546 232 646 329 
Tax withholding for net share settlement(4,908)(3,232)(8,900)(9,690)
Payment of contingent consideration— — — (5,977)
Proceeds from issuance of debt— 753 — 50,190 
Principal payments on debt— (1,069)— (1,818)
Purchase of treasury stock— — — (4,194)
Net cash (used in) provided by financing activities(4,362)(3,316)(8,254)28,840 
Net increase (decrease) in cash and cash equivalents and restricted cash3,866 (3,464)(91,653)37,504 
Cash, cash equivalents and restricted cash
Beginning of period45,180 57,215 140,699 16,247 
End of period$49,046 $53,751 $49,046 $53,751