• Record Q3 Total Revenue of $64.2 Million
  • Record Cash from Operations of $16.2 Million, up 108% Year over Year
  • Raises Full Year Total Revenue Guide to $248.6 to $249.6 Million

DUBLIN, Calif., Nov. 02, 2017 (GLOBE NEWSWIRE) -- Callidus Software Inc. (NASDAQ:CALD), a global leader in cloud-based sales, marketing, learning and customer experience solutions, today announced financial results for the quarter ended September 30, 2017.

"I was pleased that we grew SaaS revenues 31% in Q3 and had record cash from operations" said Leslie Stretch, president and CEO, CallidusCloud. "The quarter culminated in our annual user conference, C3. We introduced our new Augmented Intelligence capabilities in sales and learning, our Graph Data Base technology, OrientDB, our Revsym ASC 606 cloud solution and our New Learning Content Catalog. C3 is our best customer and prospecting event of the year, teeing up a strong pipeline. We are now in the thick of a very busy Q4. I am super excited to be on the road attending Dreamforce and leading a major European and APAC customer tour."

Financial Highlights for the Third Quarter 2017 SaaS revenue was $50.7 million, an increase of 31% over the same quarter in the prior year. Maintenance revenue was $450,000, resulting in total recurring revenue of $51.2 million. SaaS revenue growth continues to benefit from success in our Lead to Money suite. Professional services revenue was $12.9 million. Total revenue was $64.2 million for the third quarter, an increase of 22% year-over-year. Normalized SaaS billings growth was 30% for the trailing twelve-month period. Normalized billings growth for the quarter was 27%. Cash and short-term investments were $176.4 million. Cash flow from operations for the quarter was $16.2 million, compared to $7.8 million in the same quarter of the prior year.

GAAP Performance
  • Recurring revenue gross margin was 73%, compared to 74% for the same quarter in the prior year.
  • Overall gross margin was 61%, compared to 62% for the same quarter in the prior year.
  • Operating loss was $3.7 million, compared to $3.6 million for the same quarter in the prior year.
  • Pre-tax loss was $3.4 million, compared to $3.7 million for the same quarter in the prior year.  

Non-GAAP PerformanceThe following non-GAAP measures are described below and are reconciled to the corresponding GAAP measures at the end of this press release.
  • Recurring revenue gross margin was 77%, consistent with the corresponding period in the prior year.
  • Overall gross margin was 65%, consistent with the corresponding period in the prior year.
  • Operating income was $6.1 million, compared to $5.0 million for the same quarter in the prior year.
  • Pre-tax income was $6.4 million, compared to $5.0 million for the same quarter in the prior year. 

Business Highlights for the Third Quarter 2017
  • CallidusCloud had record attendance at our customer event, C3, held in mid-September.  
  • At C3, CallidusCloud unveiled Thunderbridge Augmented Intelligence (AI³), a new platform that applies artificial intelligence and machine learning techniques to the sales and learning process to recommend actions that increase revenue, profit and effectiveness. 
  • CallidusCloud acquired OrientDB, one of the fastest data management platforms in the industry. 
  • CallidusCloud announced the bi-directional integration of its CPQ solution with SAP Hybris Cloud for Customer (C4C). The integration assists in further penetration of SAP's ecosystem. 
  • CallidusCloud launched Lightning Commissions and Service Motivate solutions in the Salesforce AppExchange. 

Financial Outlook for 2017 - Fourth Quarter and Full Year

For the fourth quarter of 2017, CallidusCloud expects SaaS revenue to be between $52.4 million and $53.4 million. Maintenance revenue is expected to be between $250,000 and $450,000. Total revenue is expected to be between $65.0 million and $66.0 million. GAAP operating loss is expected to be between $2.5 million and $2.9 million, with GAAP pre-tax loss between $2.4 million and $2.8 million. Non-GAAP operating income is expected to be between $7.5 million and $8.5 million, with non-GAAP pre-tax income between $7.6 million and $8.6 million.

For the full year of 2017, CallidusCloud is updating its previous SaaS revenue guidance to be between $196.0 million and $197.0 million and raising its total revenue guidance to be between $248.6 million and $249.6 million. Maintenance revenue is expected to be between $2.6 million and $2.8 million. GAAP operating loss is expected to be between $20.1 million and $20.5 million, with GAAP pre-tax loss between $19.4 million and $19.8 million. Non-GAAP operating income is expected to be between $23.0 million and $24.0 million, with non-GAAP pre-tax income between $23.7 million and $24.7 million.

Preliminary Outlook for 2018

For the full year of 2018, the Company expects SaaS revenue to be between $245.0 million and $251.0 million, representing 25 to 28% growth. Total revenue is expected to be between $296.0 million and $303.0 million. This preliminary outlook is based on the current standard for reporting revenue under U.S. GAAP guidelines.

Conference Call

In conjunction with this announcement CallidusCloud will host a conference call at 1:30 p.m. Pacific Time (PT) today to discuss the third quarter and outlook for the fourth quarter 2017 and the full year 2017. The conference call will be available via live webcast at the Investor Relations section of CallidusCloud's website.

Webcast site: http://www.calliduscloud.com/about-us/investor-relations  Dial-in: 866-324-2828 (International callers: 678-509-7525) Passcode: 97943167 Replay information: A webcast replay will be available on the Investor Relations section of our website under Calendar of Events.

For more information, please visit: http://www.calliduscloud.com/about-us/investor-relations/ 

About CallidusCloudCallidus Software Inc. (NASDAQ:CALD), doing business as CallidusCloud ®, is the global leader in cloud-based sales, marketing, learning and customer experience solutions. CallidusCloud enables organizations to accelerate and maximize their Lead to Money process with a complete suite of solutions that identify the right leads, ensure proper territory and quota distribution, enable sales forces, automate configure price quote, and streamline sales compensation - driving bigger deals, faster. Over 5,800 leading organizations, across all industries, rely on CallidusCloud to optimize the Lead to Money process to close more deals for more money in record time.

For more information, please visit  www.calliduscloud.com.

Non-GAAP Financial Measures

In this release, CallidusCloud has provided additional financial information that has not been prepared in accordance with GAAP. This information includes non-GAAP gross margin, non-GAAP recurring revenue gross margin, non-GAAP operating expenses, non-GAAP operating income, and non-GAAP net income before provision for income taxes. CallidusCloud uses non-GAAP measures internally in analyzing its financial results and believes that they are useful to investors as a supplement to GAAP measures in evaluating CallidusCloud's operating performance. CallidusCloud believes that the use of these non-GAAP measures provides additional insight for investors to use in evaluation of ongoing operating results and trends and in comparing its financial measures with other companies in CallidusCloud's industry, many of which present non-GAAP financial measures that may resemble our non-GAAP financial measures. Non-GAAP financial measures should not be considered in isolation from, or as a substitute for, financial information prepared in accordance with GAAP.

Our non-GAAP measures reflect adjustments based on the following items:

Stock-based compensation expense: We have excluded the effect of stock-based compensation expense from our non-GAAP gross profit, recurring revenue gross profit, operating expenses, operating income, and net income before provision for income taxes. We believe the exclusion of stock-based compensation expense provides a useful comparison of our operating results to our peers.

Restructuring and other expense: We have excluded the effect of restructuring and other expense from our non-GAAP operating expenses, operating income and net income before provision for income taxes. Restructuring and other expense consists of employee severance and facility exit costs. We feel it is useful to investors to understand the effects of these items on our financial results.

Patent litigation and settlement costs: We have excluded patent litigation and settlement costs from our non-GAAP gross profit, recurring revenue gross profit, operating expenses, operating income, and net income before provision for income taxes. We believe patent litigation and settlement costs are not indicative of our ongoing business operations, and are inconsistent in amount and frequency; as such we exclude these costs during our evaluation of our business performance.

Non-cash amortization of acquired intangible assets: We have excluded the effect of amortization of acquired intangibles which include developed technology, customer relationships, trade names, domain names, patents and licenses, and order backlog from our non-GAAP gross profit, recurring revenue gross profit, operating expenses, operating income, other income and expense, and net income before provision for income taxes. Amortization of acquired intangibles are significantly affected by timing, and as such, can be inconsistent in amount and nature. 

Acquisition-related costs: We have excluded the costs related to acquisitions from our non-GAAP operating expenses, operating income, net income and net income before provision for income taxes. These costs include legal and transactional costs associated with acquisition activities as well as expense related to earnouts that we would not have otherwise incurred in the periods presented as part of our continuing operations. We believe the exclusion of acquisition-related costs provides a useful comparison of our operating results to our peers.

Cash taxes: Cash taxes are defined as GAAP current income tax expense excluding the related tax amount for non-cash and non-GAAP items.

Additionally, CallidusCloud believes the following supplemental non-GAAP financial information is useful to investors and others in assessing its operating performance. A calculation of the supplemental non-GAAP financial information is provided in the table titled "Non-GAAP Supplemental Financial Information."
  • SaaS billings is calculated as SaaS revenue plus the sequential change in SaaS deferred revenue in a period.
  • Normalized SaaS billings is calculated as SaaS revenue plus the sequential change in SaaS deferred revenue, reduced by the remaining deferred revenue acquired during the period, plus or minus the effect of multiple year SaaS billings in that period.

We believe that normalized SaaS billings provide valuable insight into the sales of our solutions and the performance of our business. We do not consider normalized SaaS billings as a substitute for revenue recognition or revenue measurement.

Note on Forward-Looking Statements

The forward-looking statements included in this press release, including for example discussion of our commercial prospects, partnerships, estimates of future revenues, operating income/loss and expenses, stock-based compensation expenses, amortization of acquired intangible assets, acquisition-related costs, restructuring and other expenses, and patent litigation and settlement costs and estimates reflect management's best judgment based on factors currently known and involve risks and uncertainties. These risks and uncertainties include, but are not limited to, potential disruption of customer purchase decisions resulting from global economic conditions, timing and size of orders, relative growth of our recurring revenue, potential decreases in customer spending, uncertainty regarding purchasing trends in the cloud software market, customer cancellations or non-renewal of maintenance contracts or on-demand services, our potential inability to manage effectively any growth we experience, our ability to develop new products and services, increased competition or new entrants in the marketplace, potential impact of acquisitions and investments, changes in staffing levels, and other risks detailed in periodic reports we file with the Securities and Exchange Commission, including our most recent Quarterly Report on Form 10-Q which may be obtained by contacting CallidusCloud's Investor Relations department at 415-445-3232, or from the Investor Relations section of CallidusCloud's website ( http://www.calliduscloud.com/about-us/investor-relations/). Actual results may differ materially from those presently reported. We assume no obligation to update the information contained in this release.

© 2017 Callidus Software Inc. All rights reserved. Callidus, Callidus Software, the Callidus Software logo, CallidusCloud, the CallidusCloud logo, Badgeville, BridgeFront, Clicktools, Datahug, iCentera, Lead to Money, LeadFormix, LeadRocket, Learning Heroes, Learnpass, Litmos, the Litmos logo, OrientDB, Producer Pro, RevSym, SalesGenius, Surve, Syncfrog, Thunderbridge, and ViewCentral are trademarks, service marks, or registered trademarks of Callidus Software Inc. and its affiliates in the United States and other countries. All other brand, service or product names are trademarks or registered trademarks of their respective companies or owners.

Investor Relations Contact Carolyn BassMarket Street Partners(415) 445-3232 cald@marketstreetpartners.com

CALLIDUS SOFTWARE INC.  
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS  
(In thousands, except per share data)  
(unaudited)  
   
  Three Months Ended September 30,     Nine Months Ended September 30,  
    2017       2016         2017       2016    
Revenue:                  
Recurring $ 51,183     $ 41,465       $ 145,985     $ 118,361    
Services and license   12,993       11,042         37,595       32,275    
Total revenue   64,176       52,507         183,580       150,636    
Cost of revenue:                  
Recurring   13,851       10,948         40,408       31,047    
Services and license   11,063       9,229         31,922       25,822    
Total cost of revenue   24,914       20,177         72,330       56,869    
Gross profit   39,262       32,330         111,250       93,767    
                   
Operating expenses:                  
Sales and marketing   24,166       18,357         68,840       56,942    
Research and development   8,973       8,637         27,551       23,127    
General and administrative   9,641       8,894         31,363       26,445    
Restructuring and other   157       80         1,129       482    
Total operating expenses   42,937       35,968         128,883       106,996    
Operating loss   (3,675 )     (3,638 )       (17,633 )     (13,229 )  
Interest income and other income (expense)   306       (3 )       642       (55 )  
Interest expense   (16 )     (48 )       (58 )     (130 )  
Loss before provision for income taxes   (3,385 )     (3,689 )       (17,049 )     (13,414 )  
Provision for income taxes   442       258         1,023       755    
Net loss $ (3,827 )   $ (3,947 )     $ (18,072 )   $ (14,169 )  
Net loss per share                  
Basic and Diluted $ (0.06 )   $ (0.07 )     $ (0.28 )   $ (0.25 )  
                   
Weighted average shares used in computing net loss per share:                  
  Basic and Diluted   65,624       58,009         65,028       57,237    
                   

CALLIDUS SOFTWARE INC.    
CONDENSED CONSOLIDATED BALANCE SHEETS    
(In thousands)  
(unaudited)  
               
  September 30,   December 31,    
  2017   2016    
ASSETS    
Current assets:              
Cash and cash equivalents $ 100,957     $ 148,008      
Short-term investments   75,459       39,266      
Accounts receivable, net   51,653       55,464      
Prepaid and other current assets   22,100       18,275      
Total current assets   250,169       261,013      
               
Property and equipment, net   44,551       35,456      
Goodwill   79,918       63,957      
Intangible assets, net   28,252       21,659      
Deposits and other non-current assets   5,335       4,416      
Total assets $ 408,225     $ 386,501      
           
     
LIABILITIES AND STOCKHOLDERS' EQUITY    
Current liabilities:              
Accounts payable $ 3,815     $ 3,573      
Accrued payroll and related expenses   13,923       17,831      
Accrued expenses   26,146       15,126      
Deferred revenue   110,429       99,758      
Total current liabilities   154,313       136,288      
               
Deferred revenue, non-current   1,080       3,209      
Deferred income taxes, non-current   3,811       1,541      
Other non-current liabilities   8,764       8,602      
Total liabilities   167,968       149,640      
             
Stockholders' equity:              
Common stock   66       64      
Additional paid-in capital   577,387       559,200      
Treasury stock   (14,430 )     (14,430 )    
Accumulated other comprehensive loss     (1,862 )       (5,141 )    
Accumulated deficit     (320,904 )       (302,832 )    
Total stockholders' equity     240,257         236,861      
Total liabilities and stockholders' equity $   408,225     $   386,501      
           

CALLIDUS SOFTWARE INC.  
  CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS  
(In thousands)  
(unaudited)  
               
    Nine Months Ended September 30,  
    2017     2016    
Cash flows from operating activities:              
Net loss   $ (18,072 )   $ (14,169 )  
Adjustments to reconcile net loss to net cash provided by operating activities:              
Depreciation expense     8,574       5,656    
Amortization of intangible assets     6,080       4,616    
Provision for doubtful accounts     994       1,227    
Stock-based compensation     25,337       20,910    
Excess tax benefits from stock-based compensation     -       (26 )  
Deferred income taxes     235       13    
Loss on disposal of property and equipment     3       22    
Gain on foreign currency from mark-to-market of derivatives     (88 )     (1 )  
Amortization of premium on investments     149       132    
               
Changes in operating assets and liabilities:              
Accounts receivable     3,555       (6,037 )  
Prepaid and other current assets     (2,074 )     (3,374 )  
Other non-current assets     445       118    
Accounts payable     (260 )     19    
Accrued expenses     1,564       (225 )  
Accrued payroll and related expenses     (3,907 )     1,473    
Accrued restructuring and other expenses     131       314    
Deferred revenue       7,255         10,101    
Net cash provided by operating activities       29,921         20,769    
               
Cash flows from investing activities:              
Purchases of investments       (58,241 )       (12,113 )  
Proceeds from maturities and sale of investments       20,346         12,876    
Purchases of property and equipment       (11,438 )       (7,091 )  
Purchases of intangible assets       (458 )       (687 )  
Acquisitions, net of cash acquired       (19,068 )       (11,500 )  
Change in restricted cash       (1,355 )       -    
Net cash used in investing activities       (70,214 )       (18,515 )  
               
Cash flows from financing activities:              
Proceeds from follow-on offering, net of issuance costs       -         87,144    
Proceeds from issuance of common stock       5,945         4,082    
Restricted stock units acquired to settle employee withholding liability       (13,158 )       (2,705 )  
Excess tax benefits from stock-based compensation       -          26    
Payment of consideration related to acquisitions       (100 )       (510 )  
Net cash (used in) provided by financing activities       (7,313 )       88,037    
Effect of foreign currency exchange rates on cash and cash equivalents       555         (407 )  
Net (decrease) increase in cash and cash equivalents       (47,051 )       89,884    
Cash and cash equivalents at beginning of period       148,008         77,232    
Cash and cash equivalents at end of period   $   100,957     $   167,116    
               

 
CALLIDUS SOFTWARE INC.  
GAAP TO NON-GAAP ADJUSTMENT SUMMARY  
(In thousands)  
(unaudited)  
                   
GAAP to Non-GAAP adjustments include stock-based compensation, amortization of acquired intangible assets, patent litigation and settlement costs, acquisition-related costs, restructuring and other expenses as follows:  
  Three Months Ended September 30,     Nine Months Ended September 30,  
    2017       2016         2017       2016    
Cost of revenue:                  
Recurring $ 1,927     $ 1,334       $ 5,328     $ 3,655    
Services and license   577       530         1,768       1,567    
Operating expenses:                  
Sales and marketing   2,657       2,675         8,076       7,616    
Research and development   1,688       1,251         5,116       3,592    
General and administrative   2,734       2,782         11,694       8,614    
Restructuring and other   157       80         1,129       482    
Total $ 9,740     $ 8,652       $ 33,111     $ 25,526    
                   

CALLIDUS SOFTWARE INC.
RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES
(In thousands, except for percentages)
(unaudited)
                     
      Three Months Ended     Nine Months Ended
      September 30,     September 30,
      2017   2016     2017   2016
                     
Non-GAAP gross profit reconciliation:                  
                     
Gross profit $ 39,262   $ 32,330     $ 111,250   $ 93,767  
                     
  Gross margin   61 %   62 %     61 %   62 %
Add back:                   
  Stock-based compensation   1,024     918       3,050     2,916  
  Non-cash amortization of acquired intangible assets   1,480     946       4,046     2,306  
Non-GAAP gross profit $ 41,766   $ 34,194     $ 118,346   $ 98,989  
                     
  Gross margin   65 %   65 %     64 %   66 %
                     
Non-GAAP recurring revenue gross profit reconciliation:                  
                     
Recurring revenue gross profit $ 37,332   $ 30,517     $ 105,577   $ 87,314  
                     
  Recurring revenue gross margin   73 %   74 %     72 %   74 %
Add back:                   
  Stock-based compensation   447     388       1,282     1,350  
  Non-cash amortization of acquired intangible assets   1,480     946       4,046     2,306  
Non-GAAP recurring revenue gross profit $ 39,259   $ 31,851     $ 110,905   $ 90,970  
                     
  Non-GAAP recurring revenue gross margin   77 %   77 %     76 %   77 %
                     
Non-GAAP operating expense reconciliation:                  
                     
Operating expenses $ 42,937   $ 35,968     $ 128,883   $ 106,996  
  Operating expenses, as a % of total revenue   67 %   69 %     70 %   71 %
Subtract:                   
  Stock-based compensation   (6,122 )   (5,928 )     (22,501 )   (17,994 )
  Non-cash amortization of acquired intangible assets   (462 )   (501 )     (1,407 )   (1,308 )
  Patent litigation and settlement costs   (28 )   (29 )     (84 )   (85 )
  Acquisition-related costs   (467 )   (250 )     (894 )   (435 )
  Restructuring and other   (157 )   (80 )     (1,129 )   (482 )
Non-GAAP operating expenses $ 35,701   $ 29,180     $ 102,868   $ 86,692  
  Non-GAAP operating expenses, as a %  of total revenue   56 %   56 %     56 %   58 %
                     
 
CALLIDUS SOFTWARE INC.
RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES
(In thousands, except for percentages)
(unaudited)
                     
      Three Months Ended     Nine Months Ended
      September 30,     September 30,
      2017   2016     2017   2016
Non-GAAP operating income (loss) reconciliation:                  
                     
Operating loss $ (3,675 ) $ (3,638 )   $ (17,633 ) $ (13,229 )
  Operating loss, as a % of total  revenue   (6 )%   (7 )%     (10 )%   (9 )%
Add back:                   
  Stock-based compensation   7,146     6,846       25,551     20,910  
  Non-cash amortization of acquired intangible assets   1,942     1,447       5,453     3,614  
  Patent litigation and settlement costs   28     29       84     85  
  Acquisition-related costs   467     250       894     435  
  Restructuring and other   157     80       1,129     482  
Non-GAAP operating income $ 6,065   $ 5,014     $ 15,478   $ 12,297  
  Non-GAAP operating income, as a %  of total revenue   9 %   10 %     8 %   8 %
                     
Non-GAAP net income (loss) before provision for income taxes reconciliation:              
                     
Net loss before provision for income taxes $ (3,385 ) $ (3,689 )   $ (17,049 ) $ (13,414 )
  Net loss before provision for income taxes, as a % of total  revenue   (5 )%   (7 )%     (9 )%   (9 )%
Add back:                   
  Stock-based compensation   7,146     6,846       25,551     20,910  
  Non-cash amortization of acquired intangible assets   1,942     1,447       5,453     3,614  
  Patent litigation and settlement costs   28     29       84     85  
  Acquisition-related costs   467     250       894     435  
  Restructuring and other   157     80       1,129     482  
Non-GAAP net income before provision for income taxes $ 6,355   $ 4,963     $ 16,062   $ 12,112  
  Non-GAAP net income before provision  for income taxes, as a % of total revenue   10 %   9 %     9 %   8 %
                     
Cash taxes  $ 311   $ 176     $ 720   $ 567  
                     
Weighted average shares - basic   65,624     58,009       65,028     57,237  
Weighted average shares - diluted   67,300     60,221       66,913     59,245  
                     

 
  CALLIDUS SOFTWARE INC.
  Non-GAAP Supplemental Financial Information
  (In thousands, except for percentages)
  (unaudited)
                   
                   
      Three Months Ended   Trailing Twelve Months Ended
      September 30,   September 30,
  SaaS Billings   2017   2016   2017   2016
  SaaS revenue $ 50,741   $ 38,723   $ 185,745   $ 142,050  
                   
  Add back:                
  Increase in SaaS deferred revenue   3,755     6,503     20,331     18,104  
  SaaS billings $ 54,496   $ 45,226   $ 206,076   $ 160,154  
                   
  SaaS billings growth rate   20 %       29 %    
                   
  Normalized Billings                
  SaaS billings $ 54,496   $ 45,226   $ 206,076   $ 160,154  
  Multi-year billings   1,893     (1,181 )   4,234     2,341  
  Remaining deferred revenue from acquisitions (459 )   -     (897 )   (1,342 )
  Normalized SaaS billings $ 55,930   $ 44,045   $ 209,413   $ 161,153  
                   
  Normalized SaaS billings growth rate   27 %       30 %    
                       

  CALLIDUS SOFTWARE INC.  FINANCIAL OUTLOOK

The guidance figures provided below and elsewhere in this press release are forward-looking statements, reflect a number of estimates, assumptions and other uncertainties, and are approximate in nature because the Company's future performance is difficult to predict. Such guidance is based on information available on the date of this press release, and the Company assumes no obligation to update. 
  REVENUE GUIDANCE
  (In thousands)
  (unaudited)
                       
        Three Months Ended         Twelve Months Ended    
        December   31, 2017         December 31, 2017    
                       
  SaaS revenue   $52,400 - $53,400         $196,000 - $197,000    
  Maintenance revenue   $250 - $450         $2,600 - $2,800    
  Total revenue   $65,000- $66,000         $248,600 - $249,600    
                       
                       
  RECONCILIATION OF GAAP TO NON-GAAP FORWARD LOOKING GUIDANCE MEASURES
  (In thousands)
  (unaudited)
                       
        Three Months Ended     Twelve Months Ended
        December   31, 2017     December 31, 2017
        From   To     From   To
  Non-GAAP operating income reconciliation:                
                       
  GAAP operating loss $ (2,500 ) $ (2,900 )   $ (20,100 ) $ (20,500 )
                       
  Add back:                  
    Stock-based compensation   7,500     8,100       33,000     33,700  
    Non-cash amortization of acquired intangible assets   2,200     2,500       7,700     8,000  
    Acquisition, patent litigation, restructuring and other 300     800       2,400     2,800  
  Non-GAAP operating income $ 7,500   $ 8,500     $ 23,000   $ 24,000  
                       
                       
        Three Months Ended     Twelve Months Ended
        December   31, 2017     December 31, 2017
        From   To     From   To
  Non-GAAP pre-tax income reconciliation:                  
                       
  GAAP (loss) before income taxes $ (2,400 ) $ (2,800 )   $ (19,400 ) $ (19,800 )
                       
  Add back:                  
    Stock-based compensation   7,500     8,100       33,000     33,700  
    Non-cash amortization of acquired intangible assets   2,200     2,500       7,700     8,000  
    Acquisition, patent litigation, restructuring and other 300     800       2,400     2,800  
  Non-GAAP pre-tax income $ 7,600   $ 8,600     $ 23,700   $ 24,700  
                       
                       
  GAAP taxes $ 350   $ 450     $ 1,400   $ 1,500  
  Cash taxes $ 300   $ 400     $ 1,000   $ 1,100  
                       
  Weighted average basic shares outstanding   65,750     66,250       65,000     65,500  
  Weighted average diluted shares outstanding   67,500     68,000       67,000     67,500