- ARR of $774 million, up 35% year-over-year, 32% on a constant currency basis
- Subscription revenue of $183 million, up 35% year-over-year, 32% on a constant currency basis
- GAAP EPS of $0.09 and non-GAAP EPS of $0.15, on a dilutive basis
WALTHAM, Mass.–(BUSINESS WIRE)–Software intelligence company Dynatrace (NYSE: DT) today released financial results for the fourth quarter of its fiscal 2021 ended March 31, 2021.
“Dynatrace’s strong fourth quarter performance capped off an excellent year exceeding guidance across all our key operating metrics led by ARR growth of 35% year-over-year” stated John Van Siclen, Chief Executive Officer. “As digital transformation and cloud-first initiatives continue to accelerate, our unique value proposition combining modern cloud observability with powerful AIOps capabilities continues to resonate with customers. Looking forward to fiscal 2022, we will continue to invest in growth to take advantage of the large and growing market opportunity we have in front of us.”
Fourth Quarter Fiscal 2021 and Other Recent Business Highlights:
All growth rates are compared to the fourth quarter and full year of fiscal 2020 unless otherwise noted.
Fourth Quarter Fiscal 2021 Financial Highlights:
- Total ARR of $774 million, an increase of 35%, and 32% on a constant currency basis
- Total Revenue of $197 million, an increase of 31%, and 27% on a constant currency basis
- Subscription Revenue of $183 million, an increase of 35%, and 32% on a constant currency basis, and representing 93% of total revenue
- GAAP Operating Income of $21 million and Non-GAAP Operating Income of $49 million
- GAAP EPS of $0.09 and non-GAAP EPS of $0.15, on a dilutive basis
Full Year Fiscal 2021 Financial Highlights:
- Total Revenue of $704 million, an increase of 29%, and 28% on a constant currency basis
- Subscription Revenue of $655 million, an increase of 34%, and 33% on a constant currency basis, and representing 93% of total revenue
- GAAP Operating Income of $92 million and Non-GAAP Operating Income of $207 million
- GAAP EPS of $0.26 and non-GAAP EPS of $0.63, on a dilutive basis
- Unlevered Free Cash Flow of $237 million, or 34% of revenue
Business Highlights:
- Released additional enhancements across multiple modules during our annual Perform User Conference including enhanced log analytics, session replay for mobile, enhanced AI support for Kubernetes, and node.js support for the recently introduced Cloud Application Security Module.
- Released the 6th Module to our platform, the Cloud Automation Module, which provides DevOps teams automated AI-powered continuous delivery for consistent, high-quality, and highly efficient release cycles.
- Announced that AWS awarded Dynatrace Machine Learning Competency status for experience and expertise in Applied AI for AWS offerings. This adds to our AWS competencies already awarded for DevOps, Containers, and Cloud Migration.
- Recognized by Gartner as a leader in its recent 2021 Magic Quadrant for Application Performance Monitoring (APM) for the 11th consecutive time. In addition, Dynatrace was scored highest in 4 of 5 Use Cases in the accompanying 2021 Critical Capabilities for APM report.
|
Fourth Quarter 2021 Financial Highlights (Unaudited – in thousands, except per share amounts) |
|||||||
|
|
Three Months Ended March 31, |
||||||
|
|
2021 |
|
2020 |
||||
|
Key Operating Metric: |
|
|
|
||||
|
Annualized recurring revenue |
$ |
774,090 |
|
|
$ |
572,759 |
|
|
Year-over-Year Increase |
35 |
% |
|
|
|||
|
|
|
|
|
||||
|
Annualized recurring revenue – constant currency (*) |
$ |
755,065 |
|
|
$ |
572,759 |
|
|
Year-over-Year Increase |
32 |
% |
|
|
|||
|
|
|
|
|
||||
|
Revenue: |
|
|
|
||||
|
Total revenue |
$ |
196,504 |
|
|
$ |
150,577 |
|
|
Year-over-Year Increase |
31 |
% |
|
|
|||
|
|
|
|
|
||||
|
Total revenue – constant currency (*) |
$ |
191,818 |
|
|
$ |
150,577 |
|
|
Year-over-Year Increase |
27 |
% |
|
|
|||
|
|
|
|
|
||||
|
Subscription revenue |
$ |
182,842 |
|
|
$ |
135,366 |
|
|
Year-over-Year Increase |
35 |
% |
|
|
|||
|
|
|
|
|
||||
|
Subscription revenue – constant currency (*) |
$ |
178,561 |
|
|
$ |
135,366 |
|
|
Year-over-Year Increase |
32 |
% |
|
|
|||
|
|
|
|
|
||||
|
Non-GAAP Financial Measures: |
|
|
|
||||
|
Non-GAAP operating income (*) |
$ |
49,478 |
|
|
$ |
36,156 |
|
|
Non-GAAP operating margin (*) |
25 |
% |
|
24 |
% |
||
|
|
|
|
|
||||
|
Non-GAAP net income (*) |
$ |
43,371 |
|
|
$ |
28,117 |
|
|
|
|
|
|
||||
|
Non-GAAP net income per share – diluted |
$ |
0.15 |
|
|
$ |
0.10 |
|
|
|
|
|
|
||||
|
Non-GAAP shares outstanding – diluted |
288,067 |
|
|
283,302 |
|
||
|
|
|
|
|
||||
|
Unlevered Free Cash Flow (*) |
$ |
85,602 |
|
|
$ |
63,302 |
|
|
Full Year 2021 Financial Highlights (Unaudited – in thousands, except per share amounts) |
|||||||
|
|
Year Ended March 31, |
||||||
|
|
2021 |
|
2020 |
||||
|
Revenue: |
|
|
|
||||
|
Total revenue |
$ |
703,509 |
|
|
$ |
545,803 |
|
|
Year-over-Year Increase |
29 |
% |
|
|
|||
|
|
|
|
|
||||
|
Total revenue – constant currency (*) |
$ |
698,006 |
|
|
$ |
545,803 |
|
|
Year-over-Year Increase |
28 |
% |
|
|
|||
|
|
|
|
|
||||
|
Subscription revenue |
$ |
655,180 |
|
|
$ |
487,817 |
|
|
Year-over-Year Increase |
34 |
% |
|
|
|||
|
|
|
|
|
||||
|
Subscription revenue – constant currency (*) |
$ |
650,219 |
|
|
$ |
487,817 |
|
|
Year-over-Year Increase |
33 |
% |
|
|
|||
|
|
|
|
|
||||
|
Non-GAAP Financial Measures: |
|
|
|
||||
|
Non-GAAP operating income (*) |
$ |
207,251 |
|
|
$ |
130,775 |
|
|
Non-GAAP operating margin (*) |
29 |
% |
|
24 |
% |
||
|
|
|
|
|
||||
|
Non-GAAP net income (*) |
$ |
180,056 |
|
|
$ |
83,835 |
|
|
|
|
|
|
||||
|
Non-GAAP net income per share – diluted |
$ |
0.63 |
|
|
$ |
0.31 |
|
|
|
|
|
|
||||
|
Non-GAAP shares outstanding – diluted |
286,509 |
|
|
269,271 |
|
||
|
|
|
|
|
||||
|
Unlevered Free Cash Flow (*) |
$ |
237,055 |
|
|
$ |
149,547 |
|
* Use of Non-GAAP Financial Measures
In our earnings press releases, conference calls, slide presentations, and webcasts, we may use or discuss non-GAAP financial measures, as defined by Regulation G. The GAAP financial measure most directly comparable to each non-GAAP financial measure used or discussed, and a reconciliation of the differences between each non-GAAP financial measure and the comparable GAAP financial measure, are included in this press release after the consolidated financial statements. Our earnings press releases containing such non-GAAP reconciliations can be found in the Investors section of our website at https://ir.dynatrace.com.
Financial Outlook
Based on information available, as of May 12, 2021, Dynatrace is issuing guidance for the first quarter fiscal 2022 and full year fiscal 2022 as follows:
All growth rates are compared to the first quarter and full year of fiscal 2021 unless otherwise noted.
First Quarter of Fiscal Year 2022:
- Total revenue is expected to be in the range of $202 to $204 million, 30% to 31% growth as reported, and 25% to 26% on a constant currency basis
- Subscription revenue is expected to be in the range of $190.5 to $192 million, 32% to 33% growth as reported, 27% to 28% on a constant currency basis
- Non-GAAP operating income is expected to be in the range of $49 to $51 million
- Non-GAAP net income is expected to be in the range of $41 to $43 million
- Non-GAAP net income per diluted share is expected to be in the range of $0.14 to $0.15, based on a range of 291 to 292 million diluted weighted-average shares outstanding
Full Year Fiscal 2022:
- Total ARR is expected to be in the range of $975 to $990 million, 26% to 28% growth as reported, and 25% to 27% on a constant currency basis
- Total revenue is expected to be in the range of $885 to $900 million, 26% to 28% growth as reported, and 24% to 26% on a constant currency basis
- Subscription revenue is expected to be in the range of $834 to $848 million, 27% to 29% growth as reported, and 25% to 27% on a constant currency basis
- Non-GAAP operating income is expected to be in the range of $203 to $216 million
- Non-GAAP net income is expected to be in the range of $171 to $183 million
- Non-GAAP net income per diluted share is expected to be in the range of $0.59 to $0.62, based on a range of 292 to 293 million diluted weighted-average shares outstanding
- Total unlevered free cash flow is expected to be in the range of $256 to $268 million, 29% to 30% of revenue
Our guidance is based on foreign exchange rates as of April 30, 2021.
Reconciliation of non-GAAP operating income, non-GAAP net income, non-GAAP net income per share and unlevered free cash flow guidance to the most directly comparable GAAP measures is not available without unreasonable efforts on a forward-looking basis due to the high variability, complexity and low visibility with respect to the charges excluded from these non-GAAP measures; in particular, the measures and effects of share-based compensation expense, employer taxes and tax deductions specific to equity compensation awards that are directly impacted by future hiring, turnover and retention needs, as well as unpredictable fluctuations in our stock price. We expect the variability of the above charges to have a significant, and potentially unpredictable, impact on our future GAAP financial results.
Conference Call and Webcast Information
Dynatrace will host a conference call and live webcast to discuss its results and business outlook at 8:00 a.m. Eastern Time today, May 12, 2021. To access the conference call from the U.S. and Canada, dial (866) 405-1247, or internationally, dial (201) 689-8045 with conference ID # 13718082. The call will also be available live via webcast on the company’s website, ir.dynatrace.com.
An audio replay of the call will also be available until 11:59 p.m. Eastern Time on May 26, 2021, by dialing (877) 660-6853 from the U.S. or Canada, or for international callers by dialing (201) 612-7415 and entering conference ID # 13718082. In addition, an archived webcast will be available at ir.dynatrace.com.
The company has used, and intends to continue to use, the investor relations portion of its website as a means of disclosing material non-public information and for complying with disclosure obligations under Regulation FD.
Non-GAAP Financial Measures & Key Metrics
In addition to disclosing financial measures prepared in accordance with GAAP, this press release and the accompanying tables contain certain non-GAAP financial measures. As of the second quarter of Fiscal Year 2021, we adjusted certain of our non-GAAP metrics for employer payroll tax expense related to equity incentive plans, as the amount of employer payroll tax expense is dependent on our stock price and other factors that are beyond our control and does not correlate to the operation of our business. Our historical presentation of these metrics has been updated in the tables below to reflect these adjustments for consistency.
Non-GAAP financial measures do not have any standardized meaning and are therefore unlikely to be comparable to similarly titled measures presented by other companies. Dynatrace considers these non-GAAP financial measures to be important because they provide useful indicators of its performance and liquidity measures. These are key measures used by our management and board of directors to understand and evaluate our core operating performance and trends, to prepare and approve our annual budget and to develop short and long-term operational plans. In addition, investors often use similar measures to evaluate the performance of a company. Non-GAAP financial measures are presented for supplemental informational purposes only for understanding the company’s operating performance. The non-GAAP financial measures should not be considered a substitute for financial information presented in accordance with GAAP, and may be different from non-GAAP financial measures presented by other companies. The GAAP financial measure most directly comparable to each non-GAAP financial measure used or discussed, and a reconciliation of the differences between each non-GAAP financial measure and the comparable GAAP financial measure, are included in this press release after the consolidated financial statements.
Dynatrace presents constant currency amounts for Revenue and Annual Recurring Revenue to provide a framework for assessing how our underlying businesses performed excluding the effect of foreign currency rate fluctuations. To present this information, current and comparative prior period results for entities reporting in currencies other than United States dollars are converted into United States dollars using the average exchange rates from the comparative period rather than the actual exchange rates in effect during the respective periods. All growth comparisons relate to the corresponding period in the last fiscal year. Dynatrace provides this non-GAAP financial information to aid investors in better understanding our performance.
Adjusted EBITDA is defined as Net Income (loss) adjusted by removing the impact of our capital structure (net interest income or expense from our outstanding debt), asset base (depreciation and amortization), tax consequences, restructuring and other gains and losses, transaction and sponsor related costs, gains and losses on foreign currency, stock-based compensation and employer payroll tax expense related equity incentive plans.
Annual Recurring Revenue “ARR” is defined as the daily revenue of all subscription agreements that are actively generating revenue as of the last day of the reporting period multiplied by 365. We exclude from our calculation of Total ARR any revenues derived from month-to-month agreements and/or product usage overage billings.
Dynatrace Net Expansion Rate is defined as the Dynatrace® ARR at the end of a reporting period for the cohort of Dynatrace® accounts as of one year prior to the date of calculation, divided by the Dynatrace® ARR one year prior to the date of calculation for that same cohort. This calculation excludes the benefit of Dynatrace® ARR resulting from the conversion of Classic products to the Dynatrace® platform.
Dynatrace customers are defined as accounts, as identified by a unique account identifier, that generate at least $10,000 of Dynatrace® ARR as of the reporting date. In infrequent cases, a single large organization may comprise multiple customer accounts when there are distinct divisions, departments or subsidiaries that operate and make purchasing decisions independently from the parent organization. In cases where multiple customer accounts exist under a single organization, each customer account is counted separately based on a mutually exclusive accounting of ARR.
Adjusted EBITDA/Net Debt Leverage Ratio is defined as our Net Debt divided by our trailing twelve month Adjusted EBITDA. Net Debt is defined as total principal less cash and cash equivalents.
Unlevered Free Cash Flow is defined as net cash provided by (used in) operating activities and adjusted to exclude cash paid for interest (net of tax), non-recurring restructuring and acquisition related costs, along with costs associated with one-time offerings and filings, less cash used in investing activities for acquisition of property and equipment. However, given our debt obligations, unlevered free cash flow does not represent residual cash flow available for discretionary expenses.
About Dynatrace
Dynatrace provides software intelligence to simplify cloud complexity and accelerate digital transformation. With automatic and intelligent observability at scale, our all-in-one platform delivers precise answers about the performance and security of applications, the underlying infrastructure, and the experience of all users to enable organizations to innovate faster, collaborate more efficiently, and deliver more value with dramatically less effort. That’s why many of the world’s largest enterprises trust Dynatrace® to modernize and automate cloud operations, release better software faster, and deliver unrivalled digital experiences.
Cautionary Language Concerning Forward-Looking Statements
This press release includes certain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding management’s expectations of future financial and operational performance and operational expenditures, expected growth, and business outlook, including our financial guidance for the first quarter and full year of fiscal 2022, and statements regarding the size of our market and our positioning for capturing a larger share of our market. These forward-looking statements include, but are not limited to, plans, objectives, expectations and intentions and other statements contained in this press release that are not historical facts and statements identified by words such as “expects,” “anticipates,” “intends,” “plans,” “believes,” “seeks,” “estimates” or words of similar meaning. These forward-looking statements reflect our current views about our plans, intentions, expectations, strategies and prospects, which are based on the information currently available to us and on assumptions we have made. Although we believe that our plans, intentions, expectations, strategies and prospects as reflected in or suggested by those forward-looking statements are reasonable, we can give no assurance that the plans, intentions, expectations or strategies will be attained or achieved. Furthermore, actual results may differ materially from those described in the forward-looking statements and will be affected by a variety of risks and factors that are beyond our control including, without limitation, the effect of the COVID-19 pandemic on our business operations and demand for our products as well as its impact on general economic and financial market conditions; our ability to maintain our subscription revenue growth rates in future periods, our ability to service our level of indebtedness, market adoption of software intelligence solutions for application performance monitoring, digital experience monitoring, infrastructure monitoring, AIOps, business intelligence and analytics and application security, continued spending on and demand for software intelligence solutions, our ability to maintain and acquire new customers, our ability to differentiate our platform from competing products and technologies; our ability to successfully recruit and retain highly-qualified personnel; the price volatility of our common stock, and other risks set forth under the caption “Risk Factors” in our Form 10-Q filed on February 3, 2021 and our other SEC filings. We assume no obligation to update any forward-looking statements contained in this document as a result of new information, future events or otherwise.
Gartner Disclaimer
Gartner, Magic Quadrant for Application Performance Monitoring, Federico De Silva, Padraig Byrne, and John Chessman, 9 April 2021. Before 2015, Dynatrace was listed as Compuware. Dynatrace was spun off from Compuware following the privatization of Compuware in December 2014. Gartner does not endorse any vendor, product or service depicted in its research publications, and does not advise technology users to select only those vendors with the highest ratings or other designation. Gartner research publications consist of the opinions of Gartner’s research organization and should not be construed as statements of fact. Gartner disclaims all warranties, expressed or implied, with respect to this research, including any warranties of merchantability or fitness for a particular purpose.
|
DYNATRACE, INC. CONSOLIDATED STATEMENTS OF OPERATIONS (In thousands, except per share data) |
|||||||||||||||
|
|
Three Months Ended |
|
Twelve Months Ended |
||||||||||||
|
|
2021 |
|
2020 |
|
2021 |
|
2020 |
||||||||
|
|
(unaudited) |
|
|
|
|
||||||||||
|
Revenue: |
|
|
|
|
|
|
|
||||||||
|
Subscription |
$ |
182,842 |
|
|
$ |
135,366 |
|
|
$ |
655,180 |
|
|
$ |
487,817 |
|
|
License |
109 |
|
|
2,262 |
|
|
1,446 |
|
|
12,686 |
|
||||
|
Service |
13,553 |
|
|
12,949 |
|
|
46,883 |
|
|
45,300 |
|
||||
|
Total revenue |
196,504 |
|
|
150,577 |
|
|
703,509 |
|
|
545,803 |
|
||||
|
Cost of revenue: |
|
|
|
|
|
|
|
||||||||
|
Cost of subscription |
22,073 |
|
|
17,263 |
|
|
77,488 |
|
|
73,193 |
|
||||
|
Cost of service |
9,432 |
|
|
10,049 |
|
|
34,903 |
|
|
39,289 |
|
||||
|
Amortization of acquired technology |
3,830 |
|
|
3,825 |
|
|
15,317 |
|
|
16,449 |
|
||||
|
Total cost of revenue |
35,335 |
|
|
31,137 |
|
|
127,708 |
|
|
128,931 |
|
||||
|
Gross profit |
161,169 |
|
|
119,440 |
|
|
575,801 |
|
|
416,872 |
|
||||
|
|
|
|
|
|
|
|
|
||||||||
|
Operating expenses: |
|
|
|
|
|
|
|
||||||||
|
Research and development |
31,668 |
|
|
24,509 |
|
|
111,415 |
|
|
119,281 |
|
||||
|
Sales and marketing |
74,805 |
|
|
55,594 |
|
|
245,487 |
|
|
266,175 |
|
||||
|
General and administrative |
25,140 |
|
|
21,265 |
|
|
92,219 |
|
|
161,983 |
|
||||
|
Amortization of other intangibles |
8,687 |
|
|
10,038 |
|
|
34,744 |
|
|
40,280 |
|
||||
|
Restructuring and other |
17 |
|
|
(1 |
) |
|
40 |
|
|
1,092 |
|
||||
|
Total operating expenses |
140,317 |
|
|
111,405 |
|
|
483,905 |
|
|
588,811 |
|
||||
|
Income (loss) from operations |
20,852 |
|
|
8,035 |
|
|
91,896 |
|
|
(171,939 |
) |
||||
|
Interest expense, net |
(3,035 |
) |
|
(5,682 |
) |
|
(14,205 |
) |
|
(45,397 |
) |
||||
|
Other (expense) income, net |
(2,582 |
) |
|
(1,504 |
) |
|
162 |
|
|
(1,197 |
) |
||||
|
Income (loss) before income taxes |
15,235 |
|
|
849 |
|
|
77,853 |
|
|
(218,533 |
) |
||||
|
Income tax benefit (expense) |
11,719 |
|
|
50,060 |
|
|
(2,139 |
) |
|
(195,284 |
) |
||||
|
Net income (loss) |
$ |
26,954 |
|
|
$ |
50,909 |
|
|
$ |
75,714 |
|
|
$ |
(413,817 |
) |
|
Net income (loss) per share: |
|
|
|
|
|
|
|
||||||||
|
Basic |
$ |
0.10 |
|
|
$ |
0.18 |
|
|
$ |
0.27 |
|
|
$ |
(1.56 |
) |
|
Diluted |
$ |
0.09 |
|
|
$ |
0.18 |
|
|
$ |
0.26 |
|
|
$ |
(1.56 |
) |
|
Weighted average shares outstanding: |
|
|
|
|
|
|
|
||||||||
|
Basic |
281,726 |
|
|
278,665 |
|
|
280,469 |
|
|
264,933 |
|
||||
|
Diluted |
288,067 |
|
|
283,302 |
|
|
286,509 |
|
|
264,933 |
|
||||
|
SHARE-BASED COMPENSATION |
|||||||||||||||
|
|
Three Months Ended |
|
Twelve Months Ended |
||||||||||||
|
|
2021 |
|
2020 |
|
2021 |
|
2020 |
||||||||
|
|
(unaudited) |
|
|
|
|
||||||||||
|
Cost of revenues |
$ |
1,877 |
|
|
$ |
1,339 |
|
|
$ |
7,307 |
|
|
$ |
18,685 |
|
|
Research and development |
3,018 |
|
|
1,991 |
|
|
11,684 |
|
|
38,670 |
|
||||
|
Sales and marketing |
6,146 |
|
|
6,106 |
|
|
24,153 |
|
|
84,698 |
|
||||
|
General and administrative |
3,652 |
|
|
3,358 |
|
|
14,640 |
|
|
80,425 |
|
||||
|
Total share-based compensation expense |
$ |
14,693 |
|
|
$ |
12,794 |
|
|
$ |
57,784 |
|
|
$ |
222,478 |
|
|
DYNATRACE, INC. CONSOLIDATED BALANCE SHEETS (In thousands, except share data) |
|||||||
|
|
March 31, |
||||||
|
|
2021 |
|
2020 |
||||
|
Assets |
|
|
|
||||
|
Current assets: |
|
|
|
||||
|
Cash and cash equivalents |
$ |
324,962 |
|
|
$ |
213,170 |
|
|
Accounts receivable, net |
242,079 |
|
|
157,058 |
|
||
|
Deferred commissions, current |
48,986 |
|
|
38,509 |
|
||
|
Prepaid expenses and other current assets |
64,255 |
|
|
79,040 |
|
||
|
Total current assets |
680,282 |
|
|
487,777 |
|
||
|
Property and equipment, net |
36,916 |
|
|
31,508 |
|
||
|
Operating lease right-of-use asset, net |
42,959 |
|
|
— |
|
||
|
Goodwill |
1,271,195 |
|
|
1,270,733 |
|
||
|
Other intangible assets, net |
149,484 |
|
|
201,592 |
|
||
|
Deferred tax assets, net |
16,811 |
|
|
7,405 |
|
||
|
Deferred commissions, non-current |
48,638 |
|
|
39,736 |
|
||
|
Other assets |
9,933 |
|
|
8,126 |
|
||
|
Total assets |
$ |
2,256,218 |
|
|
$ |
2,046,877 |
|
|
|
|
|
|
||||
|
Liabilities and shareholders’ equity |
|
|
|
||||
|
Current liabilities: |
|
|
|
||||
|
Accounts payable |
$ |
9,621 |
|
|
$ |
11,112 |
|
|
Accrued expenses, current |
119,527 |
|
|
95,011 |
|
||
|
Deferred revenue, current |
509,272 |
|
|
384,060 |
|
||
|
Operating lease liabilities, current |
9,491 |
|
|
— |
|
||
|
Total current liabilities |
647,911 |
|
|
490,183 |
|
||
|
Deferred revenue, non-current |
47,504 |
|
|
60,711 |
|
||
|
Accrued expenses, non-current |
16,072 |
|
|
20,294 |
|
||
|
Operating lease liabilities, non-current |
38,203 |
|
|
— |
|
||
|
Deferred tax liabilities |
1,014 |
|
|
— |
|
||
|
Long-term debt |
391,913 |
|
|
509,985 |
|
||
|
Total liabilities |
1,142,617 |
|
|
1,081,173 |
|
||
|
Commitments and contingencies |
|
|
|
||||
|
Shareholders’ equity: |
|
|
|
||||
|
Common shares, $0.001 par value, 600,000,000 shares authorized, 283,130,238 and 280,853,040 shares issued and outstanding at March 31, 2021 and March 31, 2020, respectively |
283 |
|
|
281 |
|
||
|
Additional paid-in capital |
1,653,328 |
|
|
1,573,347 |
|
||
|
Accumulated deficit |
(513,799 |
) |
|
(589,819 |
) |
||
|
Accumulated other comprehensive loss |
(26,211 |
) |
|
(18,105 |
) |
||
|
Total shareholders’ equity |
1,113,601 |
|
|
965,704 |
|
||
|
Total liabilities and shareholders’ equity |
$ |
2,256,218 |
|
|
$ |
2,046,877 |
|
|
DYNATRACE, INC. CONSOLIDATED STATEMENTS OF CASH FLOWS (In thousands) |
|||||||
|
|
Year Ended March 31, |
||||||
|
|
2021 |
|
2020 |
||||
|
Cash flows from operating activities: |
|
|
|
||||
|
Net income (loss) |
$ |
75,714 |
|
|
$ |
(413,817 |
) |
|
Adjustments to reconcile net income (loss) to cash provided by (used in) operations: |
|
|
|
||||
|
Depreciation |
9,022 |
|
|
7,864 |
|
||
|
Amortization |
51,942 |
|
|
58,457 |
|
||
|
Share-based compensation |
57,784 |
|
|
222,478 |
|
||
|
Deferred income taxes |
(7,036 |
) |
|
(46,221 |
) |
||
|
Other |
1,845 |
|
|
6,129 |
|
||
|
Net change in operating assets and liabilities: |
|
|
|
||||
|
Accounts receivable |
(81,992 |
) |
|
(44,021 |
) |
||
|
Deferred commissions |
(16,323 |
) |
|
(20,107 |
) |
||
|
Prepaid expenses and other assets |
5,669 |
|
|
(57,588 |
) |
||
|
Accounts payable and accrued expenses |
26,592 |
|
|
53,004 |
|
||
|
Operating leases, net |
731 |
|
|
— |
|
||
|
Deferred revenue |
96,488 |
|
|
91,367 |
|
||
|
Net cash provided by (used in) operating activities |
220,436 |
|
|
(142,455 |
) |
||
|
|
|
|
|
||||
|
Cash flows from investing activities: |
|
|
|
||||
|
Purchase of property and equipment |
(14,076 |
) |
|
(19,721 |
) |
||
|
Capitalized software costs |
197 |
|
|
(892 |
) |
||
|
Net cash used in investing activities |
(13,879 |
) |
|
(20,613 |
) |
||
|
|
|
|
|
||||
|
Cash flows from financing activities: |
|
|
|
||||
|
Proceeds from initial public offering, net of underwriters’ discounts and commissions |
— |
|
|
590,297 |
|
||
|
Settlement of deferred offering costs |
— |
|
|
(5,000 |
) |
||
|
Debt issuance costs |
— |
|
|
(866 |
) |
||
|
Repayment of term loans |
(120,000 |
) |
|
(515,189 |
) |
||
|
Contribution for tax associated with reorganization |
— |
|
|
265,000 |
|
||
|
Proceeds from employee stock purchase plan |
9,195 |
|
|
— |
|
||
|
Proceeds from exercise of stock options |
13,052 |
|
|
— |
|
||
|
Equity repurchases |
(49 |
) |
|
(156 |
) |
||
|
Installments related to acquisitions |
— |
|
|
(4,694 |
) |
||
|
Net cash (used in) provided by financing activities |
(97,802 |
) |
|
329,392 |
|
||
|
|
|
|
|
||||
|
Effect of exchange rates on cash and cash equivalents |
3,037 |
|
|
(4,468 |
) |
||
|
|
|
|
|
||||
|
Net increase in cash and cash equivalents |
111,792 |
|
|
161,856 |
|
||
|
|
|
|
|
||||
|
Cash and cash equivalents, beginning of year |
213,170 |
|
|
51,314 |
|
||
|
Cash and cash equivalents, end of year |
$ |
324,962 |
|
|
$ |
213,170 |
|
Contacts
Investor Contact:
Noelle Faris
VP, Investor Relations
Noelle.Faris@dynatrace.com
Media Relations:
Jerome Stewart
VP, Communications
Jerome.Stewart@dynatrace.com
Read full story here
