This Day On The Street
Continue to site
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

ChannelAdvisor Announces Third Quarter 2013 Financial Results

ChannelAdvisor Corporation (NYSE: ECOM), a leading provider of cloud-based e-commerce solutions that enable retailers and manufacturers to increase global sales, today announced its financial results for the quarter ended September 30, 2013.

“We delivered a strong third quarter performance as our solutions gained momentum in the marketplace,” said Scot Wingo, Chief Executive Officer of ChannelAdvisor. “We believe investments we have been making in our sales and marketing organization are having a clear impact on our results. During the third quarter we added 152 net new core customers, increasing core customer count by 21% from a year ago. At the same time, we are sharing in our customers’ success with a 12% increase in trailing twelve month revenue per core customer as compared to a year ago.”

“Much as our strong channel partner network helps us attract new customers, our growing customer base is a strong motivator for channel partners to join our network,” added Wingo. “We recently added support for Best Buy, Tesco, Amazon China, Amazon Japan and MercadoLibre in Brazil, which we expect to drive stronger international adoption in the years ahead. With a market that is still in its early stages of growth and continued investments in sales and marketing, we believe we are solidly positioned to capitalize on the significant long-term opportunity ahead of us.”

Third Quarter 2013 Financial Results

  • Total revenue of $16.6 million for the third quarter of 2013 increased 28 percent compared with revenue of $13.0 million in the third quarter of 2012.
  • Core revenue increased by 30 percent to $16.2 million from $12.5 million in the third quarter of 2012. The company’s method for calculating this and other key operating metrics that it reports is included later in this press release.
  • GAAP net loss was $(4.3) million compared with $(2.0) million in the third quarter of 2012. Basic and diluted net loss per share was $(0.20), based on 21.6 million weighted average shares outstanding, compared with a basic and diluted net loss per share of $(1.68), based on 1.2 million weighted average shares outstanding in the year-ago period.
  • Non-GAAP net loss, which excludes the impact of non-cash stock-based compensation, was $(3.8) million compared with $(1.9) million for the third quarter of 2012. Non-GAAP net loss per share was $(0.18), based on 21.6 million weighted average shares outstanding, compared with $(0.13), based on 14.6 million weighted average shares outstanding, for the third quarter of 2012. Per share figures for the third quarter of 2012 assume that the company’s pre-IPO preferred stock was converted to common stock at the beginning of the quarter.
  • Adjusted EBITDA was $(2.4) million in the third quarter compared with $(0.6) million for the third quarter of 2012.
  • Cash at quarter end totaled $90.3 million, compared with $94.0 million at the end of the second quarter. The decrease was primarily due to expected investments in our long-term growth.

Recent Business Highlights

  • Added 152 net core customers in the third quarter. Total core customer count was 2,287 at the end of the third quarter, an increase of 21 percent from 1,896 core customers at the end of the third quarter of 2012.
  • Added new top-tier customers including Body Central, Claire's Accessories, Colony Brands, Inc., Elie Tahari, Godiva Chocolatier, Maxi-Muscle and Whirlpool.
  • Average revenue per core customer, calculated on a trailing twelve-month basis, increased 12 percent to $30,113 at the end of the third quarter, compared with $26,987 at the end of the third quarter of 2012.
  • Fixed subscription fees were 70 percent of total revenue and variable subscription fees were 30 percent of total revenue. This compares to 66 percent and 34 percent, respectively, in the third quarter of 2012.
  • Subscription dollar retention rate exceeded 100 percent for the quarter, consistent with recent performance.
  • Introduced the 2013 Autumn Release with several platform updates, new channels and geographies, enhanced mobile support and Actionable Retailer Insights, which offers relevant recommendations designed to help retailers bolster business.
  • Participated in several marketing events across the US and Europe, including the Shop.org Annual Summit, Women’s Wear Daily Digital Forums in London and the US, Rakuten East Expo, E-Commerce Paris Conference, Sellers Conference for Online Entrepreneurs, Internet Retailing Conference, and Magento Live.
  • Selected by Best Buy as a strategic partner to bring new vendors to Best Buy’s marketplace more quickly and improve the customer experience.
  • Partnered with NetSuite to provide their customers with the ability to leverage ChannelAdvisor’s e-commerce solutions to automate omnichannel commerce for businesses spanning a wide range of industries to expand their sales channels.

Business Outlook

Based on information available as of today, ChannelAdvisor is issuing the following guidance for the fourth quarter and full year of 2013:

1 of 5

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

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
Stocks Under $10

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

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

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
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

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

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
SYM TRADE IT LAST %CHG

Markets

DOW 18,010.68 -115.44 -0.64%
S&P 500 2,107.39 -13.40 -0.63%
NASDAQ 5,070.0260 -27.95 -0.55%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs