This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

HomeAway, Inc. Reports Second Quarter 2013 Financial Results

Stocks in this article: AWAY

Visits to websites are measured by HomeAway through the use of a variety of tools, including solutions from third parties such as Omniture, Google Analytics and eStat.

         
HomeAway, Inc. 
Condensed Consolidated Statements of Operations
(Unaudited, in thousands, except per share data) 
         
  Three Months Ended June 30, Six Months Ended June 30,
  2013 2012 2013 2012
Revenue:        
Listing   $ 73,264  $ 60,241  $ 140,095  $ 114,209
Other   13,344  11,375  25,977  21,510
Total revenue   86,608  71,616  166,072  135,719
Costs and expenses:        
Cost of revenue (exclusive of amortization shown separately below)   13,845  11,295  27,126  21,827
Product development   14,441  10,324  26,840  20,026
Sales and marketing   28,867  24,074  55,234  48,808
General and administrative   18,069  14,652  34,118  27,489
Amortization expense   2,995  3,282  6,175  5,730
Total costs and expenses   78,217  63,627  149,493  123,880
Operating income   8,391  7,989  16,579  11,839
Other income (expense):        
Interest income   299  240  542  409
Other income (expense):  66  (1,582)  (1,525)  (2,310)
Total other income (expense)   365  (1,342)  (983)  (1,901)
Income before income taxes   8,756  6,647  15,596  9,938
Income tax expense  (3,286)  (3,791)  (4,831)  (4,681)
Net income  $ 5,470  $ 2,856  $ 10,765  $ 5,257
Net income per share:        
Basic  $ 0.06  $ 0.03  $ 0.13  $ 0.06
Diluted  $ 0.06  $ 0.03  $ 0.12  $ 0.06
Weighted average number of shares outstanding:        
Basic  84,920  82,262  84,482  81,816
Diluted  87,647  84,737  87,183  84,638
     
 
HomeAway, Inc. 
Condensed Consolidated Balance Sheets 
(Unaudited, in thousands) 
     
  June 30, December 31,
   2013   2012 
Assets    
Current assets:    
Cash and cash equivalents   $ 181,879  $ 189,478
Short-term investments   154,417  80,330
Accounts receivable, net of allowance for doubtful accounts of $669 and $633 as of June 30, 2013 and December 31, 2012, respectively   18,549  16,343
Income tax receivable  1,702  775
Prepaid expenses and other current assets   7,137  7,312
Restricted cash   176  284
Deferred tax assets   5,364  5,425
Total current assets   369,224  299,947
Property and equipment, net   37,048  32,901
Goodwill   308,591  312,412
Intangible assets, net   53,605  59,727
Restricted cash   554  230
Deferred tax assets   1,633  1,807
Other non-current assets   18,778  15,651
Total assets   $ 789,433  $ 722,675
Liabilities and stockholders' equity    
Current liabilities:    
Accounts payable   $ 5,279  $ 6,613
Income tax payable   593  11,137
Accrued expenses   33,550  33,856
Deferred revenue   154,988  126,351
Total current liabilities   194,410  177,957
Deferred revenue, less current portion   2,491  2,879
Deferred tax liabilities   15,754  17,615
Other non-current liabilities   8,522  7,191
Total liabilities   221,177  205,642
Commitments and contingencies     
Stockholders' equity    
Common stock   9  8
Additional paid-in capital   664,497  618,700
Accumulated other comprehensive loss   (10,790)  (5,450)
Accumulated deficit   (85,460)  (96,225)
Total stockholders' equity  568,256  517,033
Total liabilities and stockholders' equity  $ 789,433  $ 722,675
     
     
HomeAway, Inc.
Condensed Consolidated Statements of Cash Flows
(Unaudited, in thousands)
     
  Six Months
  Ended June 30,
  2013 2012
Cash flows from operating activities    
Net income  $ 10,765  $ 5,257
Adjustments to reconcile net income to net cash provided by operating activities:    
Depreciation  6,357  5,089
Amortization of intangible assets  6,175  5,730
Amortization of premiums on securities and other  1,897  1,149
Stock-based compensation  17,592  12,146
Excess tax benefit from stock-based compensation  (4,245)  (2,530)
Deferred income taxes  (1,695)  (4,594)
Net realized/unrealized foreign exchange loss  257  914
Realized loss on foreign currency forwards  765  705
Changes in operating assets and liabilities, net of assets and liabilities assumed in business combinations:    
Accounts receivable  (2,529)  (929)
Income tax receivable  (1,212)  (138)
Prepaid expenses and other assets  2  (6,660)
Accounts payable  (1,570)  1,281
Accrued expenses  1,944  2,531
Income tax payable  (5,883)  6,296
Deferred revenue  29,379  26,418
Other non-current liabilities  1,293  2,274
Net cash provided by operating activities  59,292  54,939
Cash flows from investing activities    
Acquisition of businesses, net of cash acquired  (150)  (16,207)
Change in restricted cash  (246)  758
Purchases of intangibles and other assets  (551)  (155)
Purchases of non-marketable equity investment  (3,667)  (6,446)
Purchases of short-term investments  (100,460)  (41,460)
Proceeds from maturities and redemptions of marketable securities  23,880  19,664
Net settlement of foreign currency forwards  (765)  (705)
Purchases of property and equipment  (11,006)  (11,272)
Net cash used in investing activities  (92,965)  (55,823)
Cash flows from financing activities    
Proceeds from exercises of options to purchase common stock  23,960  15,772
Excess tax benefit from stock-based compensation  4,245  2,530
Net cash provided by financing activities  28,205  18,302
Effect of exchange rate changes on cash  (2,131)  (925)
Net (decrease) increase in cash and cash equivalents  (7,599)  16,493
Cash and cash equivalents at beginning of period  189,478  118,208
Cash and cash equivalents at end of period  $ 181,879  $ 134,701
     
         
HomeAway, Inc.
Schedule of Non-GAAP Reconciliations
(Unaudited, in thousands)
         
  Three Months Six Months
  Ended June 30, Ended June 30,
  2013 2012 2013 2012
Net income  $ 5,470  $ 2,856  $ 10,765  $ 5,257
Add:        
Depreciation and amortization  6,308  5,916  12,532  10,819
Stock-based compensation  10,136  6,948  17,592  12,146
Interest income  (299)  (240)  (542)  (409)
Foreign exchange (income) expense  (67)  1,541  1,468  2,292
Income tax expense  3,286  3,791  4,831  4,681
Adjusted EBITDA  $ 24,834  $ 20,812  $ 46,646  $ 34,786
         
  Three Months Six Months
  Ended June 30, Ended June 30,
  2013 2012 2013 2012
Cash provided by operating activities  $ 21,811  $ 21,579  $ 59,292  $ 54,939
Excess tax benefit from stock-based compensation  2,887  1,927  4,245  2,530
Capital expenditures  (5,501)  (5,463)  (11,006)  (11,272)
Free cash flow  $ 19,197  $ 18,043  $ 52,531  $ 46,197
         
  Three Months Six Months
  Ended June 30, Ended June 30,
  2013 2012 2013 2012
Net income  $ 5,470  $ 2,856  $ 10,765  $ 5,257
Add:        
Stock-based compensation  10,136  6,948  17,592  12,146
Amortization expense  2,995  3,282  6,175  5,730
Related tax effect  (4,595)  (3,581)  (8,318)  (6,257)
Non-GAAP net income  $ 14,006  $ 9,505  $ 26,214  $ 16,876
         
         
HomeAway, Inc.
Supplemental Financial Information
(Unaudited, in thousands)
         
  Three Months Six Months
  Ended June 30, Ended June 30,
  2013 2012 2013 2012
         
Stock-based compensation:        
Cost of revenue  $ 827  $ 495  $ 1,672  $ 911
Product development  2,501  1,204  4,228  2,435
Sales and marketing  2,278  2,039  3,886  3,309
General and administrative  4,530  3,210  7,806  5,491
Total  $ 10,136  $ 6,948  $ 17,592  $ 12,146
         
  Three Months Six Months
  Ended June 30, Ended June 30,
  2013 2012 2013 2012
         
Depreciation:        
Cost of revenue  $ 1,088  $ 887  $ 2,111  $ 1,706
Product development  759  571  1,443  1,120
Sales and marketing  1,033  825  1,977  1,591
General and administrative  433  351  826  672
Total  $ 3,313  $ 2,634  $ 6,357  $ 5,089
         
CONTACT: Investor Contact:
         HomeAway Investor Relations
         (512) 505-1700
         investors@homeaway.com
         or Addo Communications at (310) 829-5400
         
         Media Contact:
         Victor Wang
         Public Relations Manager, HomeAway, Inc.
         (512)505-1504
         vwang@homeaway.com

6 of 6

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!

Markets

DOW 18,079.95 +49.74 0.28%
S&P 500 2,091.58 +9.70 0.47%
NASDAQ 4,798.9260 +25.4540 0.53%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs