CVENT INC (CVT) swung to a net loss for the quarter ended Sep. 30, 2016. The company has made a net loss of $5.58 million, or $ 0.13 a share in the quarter, against a net profit of $0.78 million, or $0.02 a share in the last year period. On an adjusted basis, earnings per share were at $0.09 for the quarter compared with $0.13 in the same period last year.
Revenue during the quarter grew 17.13 percent to $56.67 million from $48.38 million in the previous year period. Gross margin for the quarter expanded 112 basis points over the previous year period to 70.68 percent. Operating margin for the quarter stood at negative 8.66 percent as compared to a positive 0.13 percent for the previous year period.
Operating loss for the quarter was $4.91 million, compared with an operating income of $0.06 million in the previous year period.
However, the adjusted EBITDA for the quarter stood at $11.70 million compared with $10.56 million in the prior year period. At the same time, adjusted EBITDA margin contracted 118 basis points in the quarter to 20.64 percent from 21.82 percent in the last year period.
Reggie Aggarwal, founder and chief executive officer of Cvent, said, "Third quarter revenue was $56.7 million, up 17.1% from a year ago and 22.3% after excluding the divested CrowdTorch business. We are extremely pleased with our operational performance as evidenced by our year-to-date free cash flow, which has grown to over $31 million. We continue to work towards closing the Vista Equity Partners acquisition and anticipate the transaction will be completed in the fourth quarter."
Operating cash flow improves significantlyCvent Inc has generated cash of $50.80 million from operating activities during the nine month period, up 99.71 percent or $25.36 million, when compared with the last year period. The company has spent $3.32 million cash to meet investing activities during the nine month period as against cash outgo of $46.86 million in the last year period.
Cash flow from financing activities was $4.14 million for the nine month period, down 0.91 percent or $0.04 million, when compared with the last year period.
Cash and cash equivalents stood at $169.06 million as on Sep. 30, 2016, up 32.94 percent or $41.89 million from $127.17 million on Sep. 30, 2015.
Working capital declines
Cvent Inc has witnessed a decline in the working capital over the last year. It stood at $91.49 million as at Sep. 30, 2016, down 13.85 percent or $14.71 million from $106.21 million on Sep. 30, 2015. Current ratio was at 1.71 as on Sep. 30, 2016, down from 2.06 on Sep. 30, 2015.
Days sales outstanding went down to 44 days for the quarter compared with 45 days for the same period last year.
At the same time, days payable outstanding went down to 18 days for the quarter from 23 for the same period last year.
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