LogMeIn, Inc. (LOGM) saw its loss widen to $18.56 million, or $0.43 a share for the quarter ended Mar. 31, 2017. In the previous year period, the company reported a loss of $1.07 million, or $0.04 a share. On the other hand, adjusted net income for the quarter stood at $38.14 million, or $0.85 a share compared with $9.06 million or $0.35 a share, a year ago. Revenue during the quarter surged 135.10 percent to $187.46 million from $79.73 million in the previous year period. Gross margin for the quarter contracted 673 basis points over the previous year period to 79.23 percent. Operating margin for the quarter stood at negative 18.23 percent as compared to a negative 0.89 percent for the previous year period.
Operating loss for the quarter was $34.18 million, compared with an operating loss of $0.71 million in the previous year period.
However, the adjusted operating income for the quarter stood at $54.59 million compared to $13.68 million in the prior year period. At the same time, adjusted operating margin improved 1197 basis points in the quarter to 29.12 percent from 17.16 percent in the last year period.
"We closed our first quarter as a combined company with revenue, adjusted EBITDA, and earnings per share that all exceeded the high-end of our guidance while producing meaningful cash flow,” said Bill Wagner, president and chief executive officer of LogMeIn. "We are pleased with this strong start to the year and the progress weve made integrating two great companies into a new market leader."
For the second-quarter, LogMeIn, Inc. forecasts revenue to be in the range of $254 million to $256 million. LogMeIn, Inc. forecasts revenue to be in the range of $970 million to $980 million for fiscal year 2017. For the second-quarter, LogMeIn, Inc. forecasts adjusted revenue to be in the range of $264 million to $266 million. LogMeIn, Inc. forecasts adjusted revenue to be in the range of $1,004 million to $1,014 million for fiscal year 2017. LogMeIn, Inc. projects net income to be in the range of $1 million to $3 million for the second-quarter. For financial year 2017, LogMeIn, Inc. projects net loss to be in the range of $8 million to $2 million. LogMeIn, Inc. expects adjusted net income to be in the range of $49 million to $51 million for the second-quarter. For the financial year 2017, LogMeIn, Inc. expects adjusted net income to be in the range of $197 million to $203 million. The company expects diluted earnings per share to be in the range of $0.03 to $0.06 for the second-quarter. For fiscal year 2017, the company expects diluted loss per share to be in the range of $0.16 to $0.04. On an adjusted basis, the company expects diluted earnings per share to be in the range of $0.92 to $0.94 for the second-quarter. For fiscal year 2017, the company expects diluted earnings per share to be in the range of $3.80 to $3.92 on adjusted basis.
Operating cash flow improves significantlyLogMeIn, Inc. has generated cash of $105.87 million from operating activities during the quarter, up 178.61 percent or $67.87 million, when compared with the last year period. Cash flow from investing activities was $42.62 million for the quarter as against cash outgo of $4.99 million in the last year period.
The company has spent $25.17 million cash to carry out financing activities during the quarter as against cash outgo of $17.12 million in the last year period.
Cash and cash equivalents stood at $266.72 million as on Mar. 31, 2017, up 88.91 percent or $125.53 million from $141.19 million on Mar. 31, 2016.
Working capital turns negative
Working capital of LogMeIn, Inc. has turned negative to $26.78 million on Mar. 31, 2017 from positive $53.55 million on Mar. 31, 2016. Current ratio was at 0.94 as on Mar. 31, 2017, down from 1.26 on Mar. 31, 2016.
Days sales outstanding went up to 21 days for the quarter compared with 18 days for the same period last year.
At the same time, days payable outstanding went down to 46 days for the quarter from 86 for the same period last year.
Debt comes down significantly
LogMeIn, Inc. has recorded a decline in total debt over the last one year. It stood at $30 million as on Mar. 31, 2017, down 42.86 percent or $22.50 million from $52.50 million on Mar. 31, 2016. LogMeIn, Inc. has recorded a decline in long-term debt over the last one year. Total debt was 0.76 percent of total assets as on Mar. 31, 2017, compared with 11.01 percent on Mar. 31, 2016. Debt to equity ratio was at 0.01 as on Mar. 31, 2017, down from 0.25 as on Mar. 31, 2016. Disclaimer: Please note that this is an auto-generated article. IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website. For queries contact: [email protected]
