Current Report
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
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Date of Report (Date of earliest event reported)
July 29, 2009
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RIGHTNOW TECHNOLOGIES, INC.
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(Exact Name of Registrant as Specified in Charter)
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DELAWARE
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000-31321
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81-0503640
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(State or Other Jurisdiction
of Incorporation)
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(Commission
File Number)
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(IRS Employer
Identification No.)
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136 ENTERPRISE BOULEVARD, BOZEMAN, MT
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59718
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(Address of Principal Executive Offices)
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(Zip Code)
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Registrant’s telephone number, including area code
(406) 522-4200
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N/A
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(Former Name or Former Address, if Changed Since Last Report)
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Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
[ ] Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
[ ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
[ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
[ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Item 2.02. Results of Operations and Financial Condition.
On July 29, 2009, RightNow Technologies, Inc. (the “Company”) issued a press release announcing its financial results for the second quarter ended June 30, 2009. A copy of the press release is furnished herewith as Exhibit 99.1. The Company also has posted on its website supplemental financial
data, as of July 29, 2009, which is furnished herewith as Exhibit 99.2.
The information contained under Item 2.02 in this report and in Exhibits 99.1 and 99.2 attached to this report is being furnished to the Securities and Exchange Commission and shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”),
or otherwise subject to the liability of that Section, or incorporated by reference in any filing under the Exchange Act or the Securities Act of 1933, as amended, except as shall be expressly set forth by specific reference in such a filing.
Item 9.01. Financial Statements and Exhibits.
(a) Financial statements of business acquired.
Not Applicable
(b) Pro forma financial information.
Not applicable
(c) Shell company transactions.
Not applicable
(d) Exhibits.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
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RIGHTNOW TECHNOLOGIES, INC.
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(Registrant)
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Dated: July 29, 2009
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/s/ Jeffrey C. Davison
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Jeffrey C. Davison
Chief Financial Officer, Vice President and
Treasurer
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EXHIBIT INDEX
Exhibit 99.1
For Further Information, Contact:
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Investor Relations:
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Corporate Communications:
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Todd Friedman or Stacie Bosinoff
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Katie O’Connell
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The Blueshirt Group
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RightNow Technologies
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415.217.7722
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925.674.1487 Desk
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todd@blueshirtgroup.com
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925.270.6107 Cell
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stacie@blueshirtgroup.com
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koconnell@rightnow.com
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RightNow Technologies Announces
Second Quarter 2009 Financial Results
Company Reports Q2 GAAP EPS of $0.00 and Non-GAAP EPS of $0.09
BOZEMAN, Mont. (July 29, 2009) —
RightNow® Technologies, Inc. (NASDAQ: RNOW) today announced results for the second quarter ended June 30, 2009. Total revenue in the second quarter of 2009 was $36.3 million, compared to $35.2 million in the second quarter
of 2008. Net income in the second quarter of 2009 was $36,000, or $0.00 per share, compared to a net loss of $(3.1) million, or $(0.09) per share, in the second quarter of 2008. Non-GAAP net income in the second quarter of 2009, which excludes stock-based compensation charges of $2.7 million, was $2.8 million, or $0.09 per share, as compared to Non-GAAP net loss of $(1.2) million, or $(0.04) per share, in the second quarter of 2008.
Revenue for the six months ended June 30, 2009 was $72.4 million, compared to $68.1 million for the comparable period in 2008. Net income for the six months ended June 30, 2009 was $1.3 million, or $0.04 per share, as compared to a net loss of $(6.5) million, or $(0.19) per share, for the comparable period in 2008.
Non-GAAP net income for the six months ended June 30, 2009, which excludes stock-based compensation charges of $4.3 million, was $5.6 million, or $0.17 per share, as compared to Non-GAAP net loss of $(3.4) million, or $(0.10) per share, for the comparable period in 2008.
New, renewed and expanded customer relationships during the second quarter of 2009 included Belkin, Bowne, Figi’s, Husqvarna, Jackson Hewitt, K2 Network, The Ladders.com, NetScout, Snapfish and TD Banknorth.
“In the second quarter we delivered strong revenue, earnings ahead of guidance and closed a record ten deals over one million dollars,” stated Greg Gianforte, CEO and Founder. “We believe RightNow is creating momentum in the marketplace as we help new and existing customers lower costs and retain customers
in the current economy. Our success is being driven by our focus on consumer oriented organizations and our ability to deliver complete multichannel solutions to meet their unique needs.”
“We are pleased with a third consecutive quarter of GAAP profitability, which was driven by recurring revenue growth and continued expense management,” said Jeff Davison, CFO, “and we are raising earnings guidance for the full year.”
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·
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For the full year 2009, revenue is expected to be in the range of $147 to $151 million. Net income per share for the full year 2009 is expected to be in the range of $0.06 to $0.10 compared to previous guidance of $(0.02) to $0.03.
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·
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Non-GAAP net income per share for the full year 2009, which excludes stock-based compensation, is expected to be in the range of $0.29 to $0.33 compared to previous guidance of $0.20 to $0.25.
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·
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For the third quarter of 2009, revenue is expected to be in the range of $37 to $38 million. Third quarter net income per share is expected to be in the range of $0.00 to $0.02. Third quarter non-GAAP net income per share, which excludes stock-based compensation, is expected to be in the range of $0.06 to $0.08.
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Quarterly Conference Call
RightNow Technologies will discuss its quarterly results today via teleconference at 2:30 p.m. Mountain Time (4:30 p.m. Eastern Time.) To access the call, please dial (888) 312-9852, or outside the U.S. (719) 325-2114, at least five minutes prior to the 2:30 p.m. MT
start time. A live webcast of the call will also be available at
http://investor.rightnow.com/index.cfm
under the Investor Webcasts menu. An audio replay will be available between 5:30 p.m. MT on July 29, 2009 and 9:59 p.m. MT August 12, 2009 by calling (888) 203-1112 or (719) 457-0820, with passcode
5324517. The replay will also be available on our website at http://investor.rightnow.com/events.cfm.
About RightNow Technologies
RightNow (NASDAQ: RNOW) delivers the high-impact technology solutions and services organizations need to cost-efficiently deliver a consistently superior customer experience across their frontline service, sales and marketing touch-points. Approximately 1,900 corporations and government agencies worldwide depend on RightNow to achieve
their strategic objectives and better meet the needs of those they serve. RightNow is headquartered in Bozeman, Montana. For more information, please visit www.rightnow.com.
RightNow is a registered trademark of RightNow Technologies, Inc. NASDAQ is a registered trademark of The NASDAQ Stock Market LLC.
Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995:
All statements included in this press release, other than statements or characterizations of historical fact, are forward-looking statements. These forward-looking statements are based on our current expectations, estimates and projections about our industry, management's beliefs, and certain assumptions made by us, all of which
are subject to change. Forward-looking statements can often be identified by words such as "anticipates," "expects," "intends," "plans," "predicts," "believes," "seeks," "estimates," "may," "will," "should," "would," "could," "potential," "continue," "ongoing," similar expressions, and variations or negatives of these words
and include, but are not limited to, statements regarding projected results of operations and management’s future
strategic plans. These forward-looking statements are not guarantees of future results and are subject to risks, uncertainties and assumptions that could cause our actual results to differ materially and adversely from those expressed in any forward-looking statement.
The risks and uncertainties referred to above include, but are not limited to, risks associated with general economic conditions; fluctuations in foreign currency exchange; our business model; our ability to develop or acquire, and gain market acceptance for, new products in a cost-effective and timely manner; the gain or loss of key customers;
competitive pressures; our ability to expand or contract operations and to grow profitability; fluctuations in our earnings as a result of the impact of stock-based compensation expense; interruptions or delays in our hosting operations; breaches of our security measures; our ability to protect our intellectual property from infringement, and to avoid infringing on the intellectual property rights of third parties; our ability to manage and expand our partner relationships; any unanticipated ambiguities in fair
value accounting standards; and our ability to expand, retain and motivate our employees. Further information on potential factors that could affect our financial results is included in our Annual Report on Form 10-K, quarterly reports of Form 10-Q, and in other filings with the Securities and Exchange Commission. The forward-looking statements in this release speak only as of the date they are made. We undertake no obligation to revise or update publicly any forward-looking statement
for any reason.
FRNOW
RightNow Technologies, Inc.
Consolidated Balance Sheets
(In thousands) (Unaudited)
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June 30,
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Dec 31,
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2009
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2008
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Assets
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Cash and cash equivalents
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$ | 46,987 | $ | 51,405 | ||||
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Short-term investments
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42,808 | 34,412 | ||||||
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Accounts receivable
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31,670 | 36,770 | ||||||
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Term receivables, current
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4,107 | 5,752 | ||||||
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Allowance for doubtful accounts
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(1,910 | ) | (2,277 | ) | ||||
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Net receivables
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33,867 | 40,245 | ||||||
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Deferred commissions
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5,663 | 5,381 | ||||||
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Prepaid and other current assets
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2,152 | 2,150 | ||||||
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Total current assets
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131,477 | 133,593 | ||||||
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Long-term investments
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4,792 | 4,963 | ||||||
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Property and equipment, net
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9,775 | 10,141 | ||||||
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Term receivables, non-current
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2,159 | 3,547 | ||||||
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Intangible assets, net
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5,738 | 6,399 | ||||||
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Deferred commissions, non-current
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2,830 | 2,840 | ||||||
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Other
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811 | 854 | ||||||
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Total Assets
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$ | 157,582 | $ | 162,337 | ||||
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Liabilities and Stockholders’ Equity
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Accounts payable
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$ | 5,952 | $ | 5,058 | ||||
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Commissions and bonuses payable
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4,958 | 5,665 | ||||||
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Other accrued liabilities
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11,895 | 11,165 | ||||||
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Current portion of long-term debt
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45 | 46 | ||||||
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Current portion of deferred revenue
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75,972 | 77,584 | ||||||
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Total current liabilities
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98,822 | 99,518 | ||||||
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Long-term debt, less current portion
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-- | 22 | ||||||
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Deferred revenue, net of current portion
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28,112 | 35,614 | ||||||
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Stockholders’ equity:
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Common stock
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34 | 34 | ||||||
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Additional paid-in capital
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107,282 | 102,662 | ||||||
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Treasury stock, at cost
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(15,007 | ) | (13,209 | ) | ||||
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Accumulated other comprehensive income
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1,260 | 1,916 | ||||||
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Accumulated deficit
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(62,921 | ) | (64,220 | ) | ||||
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Total stockholders’ equity
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30,648 | 27,183 | ||||||
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Total Liabilities and Stockholders’ Equity
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$ | 157,582 | $ | 162,337 | ||||
RightNow Technologies, Inc.
Consolidated Operating Statements
(In thousands, except per share amounts) (Unaudited)
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Three Months Ended
June 30,
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Six Months Ended
June 30,
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2009
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2008
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2009
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2008
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Revenue:
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Software, hosting and support
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$ | 27,424 | $ | 25,573 | $ | 53,469 | $ | 50,129 | ||||||||
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Professional services
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8,916 | 9,648 | 18,908 | 17,990 | ||||||||||||
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Total revenue
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36,340 | 35,221 | 72,377 | 68,119 | ||||||||||||
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Cost of revenue:
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Software, hosting and support
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4,954 | 5,043 | 9,903 | 10,078 | ||||||||||||
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Professional services
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6,346 | 7,810 | 13,354 | 15,095 | ||||||||||||
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Total cost of revenue
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11,300 | 12,853 | 23,257 | 25,173 | ||||||||||||
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Gross profit
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25,040 | 22,368 | 49,120 | 42,946 | ||||||||||||
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Operating expenses:
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Sales and marketing
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16,008 | 17,627 | 30,871 | 34,445 | ||||||||||||
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Research and development
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5,051 | 4,507 | 9,807 | 8,993 | ||||||||||||
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General and administrative
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4,207 | 3,890 | 7,653 | 7,406 | ||||||||||||
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Total operating expenses
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25,266 | 26,024 | 48,331 | 50,844 | ||||||||||||
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Income (loss) from operations
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(226 | ) | (3,656 | ) | 789 | (7,898 | ) | |||||||||
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Interest and other income, net
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351 | 519 | 752 | 1,457 | ||||||||||||
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Income (loss) before income taxes
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125 | (3,137 | ) | 1,541 | (6,441 | ) | ||||||||||
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Benefit (provision) for income taxes
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(89 | ) | 5 | (242 | ) | (87 | ) | |||||||||
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Net income (loss)
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$ | 36 | $ | (3,132 | ) | $ | 1,299 | $ | (6,528 | ) | ||||||
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Net income (loss) per share:
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Basic
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$ | 0.00 | $ | (0.09 | ) | $ | 0.04 | $ | (0.19 | ) | ||||||
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Diluted
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$ | 0.00 | $ | (0.09 | ) | $ | 0.04 | $ | (0.19 | ) | ||||||
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Shares used in the computation:
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Basic
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31,677 | 33,582 | 31,730 | 33,557 | ||||||||||||
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Diluted
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32,160 | 33,582 | 32,207 | 33,557 | ||||||||||||
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Supplemental information of stock-based compensation expense included in:
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Cost of software, hosting and support
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$ | 142 | $ | 79 | $ | 238 | $ | 156 | ||||||||
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Cost of professional services
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209 | 165 | 342 | 318 | ||||||||||||
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Sales and marketing
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952 | 595 | 1,574 | 1,133 | ||||||||||||
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Research and development
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377 | 242 | 639 | 477 | ||||||||||||
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General and administrative
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1,056 | 816 | 1,459 | 1,079 | ||||||||||||
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Total stock-based compensation
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$ | 2,736 | $ | 1,897 | $ | 4,252 | $ | 3,163 | ||||||||
RightNow Technologies, Inc.
Consolidated Statements of Cash Flow
(In thousands) (Unaudited)
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Three Months Ended
June 30,
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Six Months Ended
June 30,
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2009
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2008
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2009
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2008
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Operating activities:
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Net income (loss)
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$ | 36 | $ | (3,132 | ) | $ | 1,299 | $ | (6,528 | ) | ||||||
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Non-cash adjustments:
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Depreciation and amortization
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1,726 | 1,943 | 3,613 | 3,886 | ||||||||||||
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Stock-based compensation
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2,736 | 1,897 | 4,252 | 3,163 | ||||||||||||
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Provision for losses on accounts receivable
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30 | 26 | 87 | 115 | ||||||||||||
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Changes in operating accounts:
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Receivables
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(5,171 | ) | 4,062 | 8,398 | 11,509 | |||||||||||
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Prepaid expenses
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19 | 5 | (107 | ) | (443 | ) | ||||||||||
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Deferred commissions
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(602 | ) | (809 | ) | (77 | ) | (1,213 | ) | ||||||||
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Accounts payable
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1,937 | (174 | ) | 830 | 1,584 | |||||||||||
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Commissions and bonuses payable
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1,743 | 742 | (810 | ) | (781 | ) | ||||||||||
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Other accrued liabilities
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1,162 | (83 | ) | 446 | 451 | |||||||||||
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Deferred revenue
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(2,038 | ) | 4,001 | (11,467 | ) | 567 | ||||||||||
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Other
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503 | 96 | 503 | (66 | ) | |||||||||||
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Cash provided by operating activities
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2,081 | 8,574 | 6,967 | 12,244 | ||||||||||||
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Investing activities:
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Net change in short-term investments
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(6,059 | ) | 748 | (8,310 | ) | (1,222 | ) | |||||||||
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Acquisition of property and equipment
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(1,846 | ) | (1,524 | ) | (2,530 | ) | (3,033 | ) | ||||||||
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Other
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5 | (12 | ) | 5 | (27 | ) | ||||||||||
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Cash used in investing activities
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(7,900 | ) | (788 | ) | (10,835 | ) | (4,282 | ) | ||||||||
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Financing activities:
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Proceeds from issuance of common stock
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151 | 234 | 229 | 648 | ||||||||||||
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Excess tax benefit of stock options exercised
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48 | (53 | ) | 137 | -- | |||||||||||
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Common stock repurchased
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-- | -- | (1,798 | ) | -- | |||||||||||
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Payments on long-term debt
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(11 | ) | (11 | ) | (23 | ) | (22 | ) | ||||||||
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Cash provided (used) by financing activities
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188 | 170 | (1,455 | ) | 626 | |||||||||||
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Effect of foreign exchange rates on cash and cash equivalents
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1,156 | 234 | 905 | 512 | ||||||||||||
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Increase (decrease) in cash and cash equivalents
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(4,475 | ) | 8,190 | (4,418 | ) | 9,100 | ||||||||||
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Cash and cash equivalents at beginning of period
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51,462 | 44,591 | 51,405 | 43,681 | ||||||||||||
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Cash and cash equivalents at end of period
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$ | 46,987 | $ | 52,781 | $ | 46,987 | $ | 52,781 | ||||||||
RightNow Technologies, Inc.
Reconciliation of Non-GAAP Measurements
Diluted Earnings Per Share Reconciliation
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Three Months Ended
June 30,
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Six Months Ended
June 30,
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2009
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2008
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2009
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2008
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Net income (loss) as reported
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$ | 36 | $ | (3,132 | ) | $ | 1,299 | $ | (6,528 | ) | ||||||
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Add stock-based compensation (“SBC”)
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2,736 | 1,897 | 4,252 | 3,163 | ||||||||||||
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Net income (loss) before SBC
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$ | 2,772 | $ | (1,235 | ) | $ | 5,551 | $ | (3,365 | ) | ||||||
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Net income (loss) per share, as reported (basic and diluted)
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$ | 0.00 | $ | (0.09 | ) | $ | 0.04 | $ | (0.19 | ) | ||||||
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Net income (loss) per share, before SBC (basic and diluted)
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$ | 0.09 | $ | (0.04 | ) | $ | 0.17 | $ | (0.10 | ) | ||||||
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Shares outstanding (basic), as reported
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31,677 | 33,582 | 31,730 | 33,557 | ||||||||||||
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Shares outstanding (diluted), excluding the effect of SBC
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32,160 | 33,582 | 32,207 | 33,557 | ||||||||||||
Forward-Looking Guidance Reconciliation
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GAAP Guidance
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Non-GAAP Guidance
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|||||||||||||||||||
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From
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To
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Adjustment
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From
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To
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||||||||||||||||
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Third quarter ending September 30, 2009
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||||||||||||||||||||
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Net income
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$ | -- | $ | 700 | $ | 1,800 | [a] | $ | 1,800 | $ | 2,500 | |||||||||
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Net income per share
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$ | 0.00 | $ | 0.02 | $ | 0.06 | $ | 0.08 | ||||||||||||
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Shares (diluted)
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32,500 | 32,500 | 32,500 | 32,500 | ||||||||||||||||
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Year ending December 31, 2009
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||||||||||||||||||||
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Net income
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$ | 1,800 | $ | 3,100 | $ | 7,700 | [a] | $ | 9,500 | $ | 10,800 | |||||||||
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Net income per share
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$ | 0.06 | $ | 0.10 | $ | 0.29 | $ | 0.33 | ||||||||||||
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Shares (diluted)
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32,500 | 32,500 | 32,500 | 32,500 | ||||||||||||||||
[a] Estimated stock-based compensation expense to be recorded for the periods indicated in accordance with Statement of Financial Accounting Standards No. 123R,
Share-Based Payments,
(“SFAS 123R”) which is effective for periods beginning January 1, 2006.
About Non-GAAP Financial Measures
Management uses these non-GAAP financial measures to make operational decisions, evaluate the Company’s performance, prepare forecasts and determine compensation. Further, management believes that both management and investors benefit from referring to these non-GAAP financial measures in assessing the Company’s performance
when planning, forecasting and analyzing future periods. Our stock-based compensation expenses are expected to vary depending on the number of new grants issued, changes in our stock price, stock market volatility, expected option lives and risk-free rates of return, all of which are difficult to estimate. In calculating non-GAAP net income (loss) and net income (loss) per share, management excludes stock-based compensation expenses to facilitate its review of the comparability of the Company’s
operating performance on a period-to-period basis because such expenses are not, in management’s view, related to the Company’s ongoing operating performance. Management uses this view of its operating performance for purposes of comparison with its business plan and individual operating budgets and resource allocation.
Management further believes that these non-GAAP financial measures are useful to investors in providing greater transparency to the information used by management in its operational decision making. We believe that the use of non-GAAP net income (loss) and net income (loss) per share also facilitate a comparison of RightNow’s
underlying operating performance with that of other companies in our industry, which use similar non-GAAP financial measures to supplement their GAAP results.
Calculating non-GAAP net income (loss) and net income (loss) per share have limitations as an analytical tool, and readers should not consider these measures in isolation or as substitutes for GAAP net income (loss) and GAAP net income (loss) per share. In the future, we expect to incur additional stock-based compensation expenses
and the exclusion of these expenses in the presentation of our non-GAAP financial measures should not be construed as an inference that these costs are unusual, infrequent or non-recurring. Investors and potential investors are cautioned that there are material limitations associated with the use of non-GAAP financial measures as an analytical tool, which include:
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·
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Other companies inside and outside of our industry may calculate non-GAAP net income (loss) and net income (loss) per share differently than we do, limiting their usefulness as a comparative tool; and
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·
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The Company’s income tax expense or benefit will be ultimately based on its GAAP taxable income and actual tax rates in effect, which may differ significantly from the effective tax rate used in our non-GAAP financial measures.
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In addition, the adjustments to our GAAP financial measures reflect the exclusion of stock-based compensation expenses that are recurring and will be reflected in the Company’s financial results for the foreseeable future. The Company compensates for these limitations by providing specific information regarding the
GAAP amount excluded from the non-GAAP financial measures. The Company further compensates for the limitations of our use of non-GAAP financial measures by presenting comparable GAAP measures more prominently. The Company evaluates the non-GAAP financial measures together with the most directly comparable GAAP financial measures.
Investors and potential investors are encouraged to review the reconciliation of non-GAAP financial measures contained within this press release with our GAAP net income (loss) and net income (loss) per share. For more information, see the consolidated operating statements and reconciliation of non-GAAP measurements contained
in this press release.
Exhibit 99.2
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Consolidated Balance Sheets
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Amounts in thousands
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||||||||||||||||||
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Unaudited
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|||||||||||||||||||
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Last updated July 29, 2009
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Mar 31,
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Jun 30,
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Sep 30,
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Dec 31,
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Mar 31,
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Jun 30,
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Sep 30,
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Dec 31,
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Mar 31,
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Jun 30,
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Sep 30,
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Dec 31,
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Mar 31,
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Jun 30,
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2006
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2006
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2006
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2006
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2007
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2007
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2007
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2007
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2008
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2008
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2008
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2008
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2009
|
2009
|
||||||
|
Assets
|
|||||||||||||||||||
|
Current assets:
|
|||||||||||||||||||
|
Cash and cash equivalents
|
42,444
|
30,546
|
38,114
|
39,208
|
44,899
|
33,842
|
33,109
|
43,681
|
44,591
|
52,781
|
51,145
|
51,405
|
51,462
|
46,987
|
|||||
|
Short-term investments
|
27,063
|
35,203
|
36,906
|
39,127
|
37,578
|
52,911
|
56,823
|
52,644
|
36,585
|
41,540
|
46,444
|
34,412
|
36,517
|
42,808
|
|||||
|
Accounts receivable
|
31,615
|
26,250
|
25,347
|
32,021
|
25,050
|
27,797
|
24,690
|
29,480
|
27,503
|
26,722
|
27,820
|
36,770
|
24,220
|
31,670
|
|||||
|
Term receivables
|
17,268
|
19,255
|
22,587
|
23,806
|
20,555
|
15,756
|
13,773
|
13,069
|
9,616
|
8,814
|
6,875
|
5,752
|
4,810
|
4,107
|
|||||
|
Less allowance for doubtful accounts
|
(2,090)
|
(2,331)
|
(3,225)
|
(2,621)
|
(2,273)
|
(2,046)
|
(2,009)
|
(1,918)
|
(2,056)
|
(2,177)
|
(2,148)
|
(2,277)
|
(1,901)
|
(1,910)
|
|||||
|
Prepaid & other current assets
|
2,439
|
2,514
|
2,874
|
2,498
|
3,676
|
4,980
|
5,786
|
5,979
|
6,773
|
7,082
|
7,497
|
7,531
|
7,593
|
7,815
|
|||||
|
Total current assets
|
118,739
|
111,437
|
122,603
|
134,039
|
129,485
|
133,240
|
132,172
|
142,935
|
123,012
|
134,762
|
137,633
|
133,593
|
122,701
|
131,477
|
|||||
|
Long-term investments
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
17,810
|
11,925
|
4,612
|
4,963
|
4,980
|
4,792
|
|||||
|
Property and equipment, net
|
6,632
|
8,620
|
8,470
|
10,073
|
10,715
|
10,494
|
10,451
|
10,856
|
10,807
|
10,798
|
10,377
|
10,141
|
9,187
|
9,775
|
|||||
|
Term receivables, noncurrent
|
12,611
|
15,765
|
22,193
|
24,805
|
19,349
|
13,239
|
11,170
|
9,859
|
8,059
|
5,728
|
4,420
|
3,547
|
2,804
|
2,159
|
|||||
|
Intangible and other assets, net
|
1,447
|
9,699
|
9,302
|
9,325
|
9,380
|
9,352
|
9,221
|
10,136
|
10,016
|
10,025
|
10,268
|
10,093
|
9,274
|
9,379
|
|||||
|
Total assets
|
139,429
|
145,521
|
162,568
|
178,242
|
168,929
|
166,325
|
163,014
|
173,786
|
169,704
|
173,238
|
167,310
|
162,337
|
148,946
|
157,582
|
|||||
|
Liabilities, Preferred Stock and Stockholders' Equity
|
|||||||||||||||||||
|
Current liabilities:
|
|||||||||||||||||||
|
Accounts payable and accrued liabilities
|
9,231
|
8,970
|
8,591
|
12,005
|
13,818
|
14,688
|
14,855
|
15,790
|
18,146
|
17,919
|
17,405
|
16,223
|
14,309
|
17,847
|
|||||
|
Commissions and bonuses payable
|
3,706
|
3,066
|
4,001
|
4,069
|
2,902
|
2,918
|
2,889
|
5,044
|
3,531
|
4,279
|
4,351
|
5,665
|
3,084
|
4,958
|
|||||
|
Current portion of long-term debt
|
30
|
35
|
35
|
31
|
32
|
32
|
42
|
43
|
44
|
44
|
45
|
46
|
46
|
45
|
|||||
|
Deferred revenue
|
54,191
|
56,222
|
59,218
|
67,560
|
67,444
|
66,660
|
69,665
|
76,995
|
73,575
|
76,693
|
72,008
|
77,584
|
72,885
|
75,972
|
|||||
|
Total current liabilities
|
67,158
|
68,293
|
71,845
|
83,665
|
84,196
|
84,298
|
87,451
|
97,872
|
95,296
|
98,935
|
93,809
|
99,518
|
90,324
|
98,822
|
|||||
|
Deferred revenue, noncurrent
|
26,715
|
31,012
|
43,402
|
47,018
|
41,241
|
41,718
|
37,139
|
37,665
|
38,079
|
39,289
|
37,201
|
35,614
|
30,322
|
28,112
|
|||||
|
Long-term debt
|
109
|
123
|
113
|
85
|
77
|
69
|
79
|
68
|
57
|
45
|
34
|
22
|
10
|
-
|
|||||
|
Preferred stock
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
|||||
|
Stockholders' equity (deficit):
|
|||||||||||||||||||
|
Common stock
|
32
|
32
|
32
|
33
|
33
|
33
|
33
|
33
|
34
|
34
|
34
|
34
|
34
|
34
|
|||||
|
Additional paid-in capital
|
79,536
|
81,856
|
83,428
|
86,069
|
88,064
|
90,750
|
92,486
|
95,377
|
97,107
|
99,187
|
101,337
|
102,662
|
104,345
|
107,282
|
|||||
|
Treasury stock, at cost
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
(13,209)
|
(15,007)
|
(15,007)
|
|||||
|
Other comprehensive income (loss)
|
(393)
|
(312)
|
(250)
|
(332)
|
(384)
|
(504)
|
(551)
|
(292)
|
(536)
|
(787)
|
(193)
|
1,916
|
1,875
|
1,260
|
|||||
|
Accumulated deficit
|
(33,728)
|
(35,483)
|
(36,002)
|
(38,296)
|
(44,298)
|
(50,039)
|
(53,623)
|
(56,937)
|
(60,333)
|
(63,465)
|
(64,912)
|
(64,220)
|
(62,957)
|
(62,921)
|
|||||
|
Total stockholders' equity
|
45,447
|
46,093
|
47,208
|
47,474
|
43,415
|
40,240
|
38,345
|
38,181
|
36,272
|
34,969
|
36,266
|
27,183
|
28,290
|
30,648
|
|||||
|
Total liabilities, preferred stock and
|
|||||||||||||||||||
|
stockholders' equity
|
139,429
|
145,521
|
162,568
|
178,242
|
168,929
|
166,325
|
163,014
|
173,786
|
169,704
|
173,238
|
167,310
|
162,337
|
148,946
|
157,582
|
|||||
|
RightNow provides this information as of the "last updated" date above and makes no commitment to subsequently update the information.
|
|
You are encouraged to read RightNow's most recent reports on Form 10-K and Form 10-Q for a full explanation of our financial data and results.
|
|
Consolidated Statements of Operations
|
|||||||||||||||||||||||
|
Unaudited
|
Amounts in thousands
|
||||||||||||||||||||||
|
Last updated July 29, 2009
|
|||||||||||||||||||||||
|
2006
|
2007
|
2008
|
2009
|
||||||||||||||||||||
|
Q1
|
Q2
|
Q3
|
Q4
|
FY
|
Q1
|
Q2
|
Q3
|
Q4
|
FY
|
Q1
|
Q2
|
Q3
|
Q4
|
YTD
|
Q1
|
Q2
|
YTD
|
||||||
|
Revenue:
|
|||||||||||||||||||||||
|
Software, hosting and support
|
19,310
|
20,636
|
23,754
|
22,557
|
86,257
|
19,819
|
20,693
|
22,366
|
24,105
|
86,983
|
24,556
|
25,573
|
25,956
|
26,491
|
102,576
|
26,045
|
27,424
|
53,469
|
|||||
|
Professional services
|
5,321
|
6,272
|
6,334
|
6,204
|
24,131
|
5,883
|
5,772
|
6,880
|
6,559
|
25,094
|
8,342
|
9,648
|
10,281
|
9,588
|
37,859
|
9,992
|
8,916
|
18,908
|
|||||
|
Total revenue
|
24,631
|
26,908
|
30,088
|
28,761
|
110,388
|
25,702
|
26,465
|
29,246
|
30,664
|
112,077
|
32,898
|
35,221
|
36,237
|
36,079
|
140,435
|
36,037
|
36,340
|
72,377
|
|||||
|
Cost of revenue:
|
|||||||||||||||||||||||
|
Software, hosting and support
|
2,771
|
3,159
|
3,667
|
3,663
|
13,260
|
4,394
|
4,565
|
4,604
|
4,848
|
18,411
|
5,035
|
5,043
|
5,305
|
5,014
|
20,397
|
4,949
|
4,954
|
9,903
|
|||||
|
Professional services
|
4,104
|
4,941
|
4,969
|
5,096
|
19,110
|
5,171
|
5,036
|
5,667
|
6,138
|
22,012
|
7,285
|
7,810
|
8,133
|
7,212
|
30,440
|
7,008
|
6,346
|
13,354
|
|||||
|
Total cost of revenue
|
6,875
|
8,100
|
8,636
|
8,759
|
32,370
|
9,565
|
9,601
|
10,271
|
10,986
|
40,423
|
12,320
|
12,853
|
13,438
|
12,226
|
50,837
|
11,957
|
11,300
|
23,257
|
|||||
|
Gross profit
|
17,756
|
18,808
|
21,452
|
20,002
|
78,018
|
16,137
|
16,864
|
18,975
|
19,678
|
71,654
|
20,578
|
22,368
|
22,799
|
23,853
|
89,598
|
24,080
|
25,040
|
49,120
|
|||||
|
Operating expenses:
|
|||||||||||||||||||||||
|
Sales and marketing
|
13,726
|
14,852
|
16,535
|
16,391
|
61,504
|
15,727
|
15,788
|
16,516
|
17,087
|
65,118
|
16,818
|
17,627
|
16,889
|
16,294
|
67,628
|
14,863
|
16,008
|
30,871
|
|||||
|
Research and development
|
3,130
|
3,476
|
3,740
|
4,132
|
14,478
|
4,296
|
4,343
|
4,308
|
4,137
|
17,084
|
4,486
|
4,507
|
4,671
|
4,628
|
18,292
|
4,756
|
5,051
|
9,807
|
|||||
|
General and administrative
|
2,056
|
2,709
|
2,333
|
2,480
|
9,578
|
2,860
|
3,178
|
2,680
|
2,782
|
11,500
|
3,516
|
3,890
|
3,215
|
2,994
|
13,615
|
3,446
|
4,207
|
7,653
|
|||||
|
Total operating expenses
|
18,912
|
21,037
|
22,608
|
23,003
|
85,560
|
22,883
|
23,309
|
23,504
|
24,006
|
93,702
|
24,820
|
26,024
|
24,775
|
23,916
|
99,535
|
23,065
|
25,266
|
48,331
|
|||||
|
Operating income (loss)
|
(1,156)
|
(2,229)
|
(1,156)
|
(3,001)
|
(7,542)
|
(6,746)
|
(6,445)
|
(4,529)
|
(4,328)
|
(22,048)
|
(4,242)
|
(3,656)
|
(1,976)
|
(63)
|
(9,937)
|
1,015
|
(226)
|
789
|
|||||
|
Interest and other income (expense), net
|
672
|
768
|
740
|
884
|
3,064
|
828
|
885
|
1,004
|
966
|
3,683
|
938
|
519
|
552
|
687
|
2,696
|
401
|
351
|
752
|
|||||
|
Income (loss) before income taxes
|
(484)
|
(1,461)
|
(416)
|
(2,117)
|
(4,478)
|
(5,918)
|
(5,560)
|
(3,525)
|
(3,362)
|
(18,365)
|
(3,304)
|
(3,137)
|
(1,424)
|
624
|
(7,241)
|
1,416
|
125
|
1,541
|
|||||
|
(Provision) benefit for income taxes
|
44
|
(294)
|
(103)
|
(177)
|
(530)
|
(84)
|
(181)
|
(59)
|
48
|
(276)
|
(92)
|
5
|
(23)
|
68
|
(42)
|
(153)
|
(89)
|
(242)
|
|||||
|
Net income (loss)
|
(440)
|
(1,755)
|
(519)
|
(2,294)
|
(5,008)
|
(6,002)
|
(5,741)
|
(3,584)
|
(3,314)
|
(18,641)
|
(3,396)
|
(3,132)
|
(1,447)
|
692
|
(7,283)
|
1,263
|
36
|
1,299
|
|||||
|
Net income (loss) per share:
|
|||||||||||||||||||||||
|
Basic
|
$ (0.01)
|
$ (0.05)
|
$ (0.02)
|
$ (0.07)
|
$ (0.16)
|
$ (0.18)
|
$ (0.17)
|
$ (0.11)
|
$ (0.10)
|
$ (0.56)
|
$ (0.10)
|
$ (0.09)
|
$ (0.04)
|
$ 0.02
|
$ (0.22)
|
$ 0.04
|
$ 0.00
|
$ 0.04
|
|||||
|
Diluted
|
$ (0.01)
|
$ (0.05)
|
$ (0.02)
|
$ (0.07)
|
$ (0.16)
|
$ (0.18)
|
$ (0.17)
|
$ (0.11)
|
$ (0.10)
|
$ (0.56)
|
$ (0.10)
|
$ (0.09)
|
$ (0.04)
|
$ 0.02
|
$ (0.22)
|
$ 0.04
|
$ 0.00
|
$ 0.04
|
|||||
|
Shares used in the computation:
|
|||||||||||||||||||||||
|
Basic
|
31,943
|
32,172
|
32,316
|
32,529
|
32,241
|
32,858
|
32,983
|
33,094
|
33,371
|
33,078
|
33,532
|
33,582
|
33,640
|
32,692
|
33,362
|
31,784
|
31,677
|
31,730
|
|||||
|
Diluted
|
31,943
|
32,172
|
32,316
|
32,529
|
32,241
|
32,858
|
32,983
|
33,094
|
33,371
|
33,078
|
33,532
|
33,582
|
33,640
|
33,204
|
33,362
|
32,249
|
32,160
|
32,207
|
|||||
|
Supplemental information of stock-based
|
|||||||||||||||||||||||
|
compensation expense included in:
|
|||||||||||||||||||||||
|
Cost of software, hosting and support
|
38
|
55
|
52
|
48
|
193
|
58
|
79
|
84
|
67
|
288
|
77
|
79
|
87
|
80
|
323
|
96
|
142
|
238
|
|||||
|
Cost of professional services
|
97
|
137
|
124
|
113
|
471
|
125
|
149
|
217
|
156
|
647
|
153
|
165
|
158
|
162
|
638
|
133
|
209
|
342
|
|||||
|
Sales and marketing
|
366
|
535
|
529
|
499
|
1,929
|
658
|
731
|
542
|
333
|
2,264
|
538
|
595
|
738
|
583
|
2,454
|
622
|
952
|
1,574
|
|||||
|
Research and development
|
159
|
233
|
230
|
212
|
834
|
226
|
289
|
166
|
206
|
887
|
235
|
242
|
252
|
240
|
969
|
262
|
377
|
639
|
|||||
|
General and administrative
|
123
|
718
|
179
|
181
|
1,201
|
235
|
743
|
199
|
208
|
1,385
|
263
|
816
|
297
|
265
|
1,641
|
403
|
1,056
|
1,459
|
|||||
|
Total stock-based compensation
|
783
|
1,678
|
1,114
|
1,053
|
4,628
|
1,302
|
1,991
|
1,208
|
970
|
5,471
|
1,266
|
1,897
|
1,532
|
1,330
|
6,025
|
1,516
|
2,736
|
4,252
|
|||||
|
RightNow provides this information as of the "last updated" date above and makes no commitment to subsequently update the information.
|
|
You are encouraged to read RightNow's most recent reports on Form 10-K and Form 10-Q for a full explanation of our financial data and results.
|
|
Consolidated Statements of Cash Flow
|
|||||||||||||||||||||||
|
Unaudited
|
|||||||||||||||||||||||
|
Last updated July 29, 2009
|
2006
|
2007
|
2008
|
2009
|
|||||||||||||||||||
|
Q1
|
Q2
|
Q3
|
Q4
|
FY
|
Q1
|
Q2
|
Q3
|
Q4
|
FY
|
Q1
|
Q2
|
Q3
|
Q4
|
YTD
|
Q1
|
Q2
|
YTD
|
||||||
|
Operating activities
|
|||||||||||||||||||||||
|
Net income (loss)
|
(440)
|
(1,755)
|
(519)
|
(2,294)
|
(5,008)
|
(6,002)
|
(5,741)
|
(3,584)
|
(3,314)
|
(18,641)
|
(3,396)
|
(3,132)
|
(1,447)
|
692
|
(7,283)
|
1,263
|
36
|
1,299
|
|||||
|
Noncash adjustments:
|
|||||||||||||||||||||||
|
Depreciation and amortization
|
1,105
|
1,337
|
1,556
|
1,683
|
5,681
|
1,675
|
1,880
|
1,869
|
1,842
|
7,266
|
1,954
|
1,956
|
1,956
|
1,905
|
7,771
|
1,887
|
1,726
|
3,613
|
|||||
|
Provision for losses on accounts receivable
|
(248)
|
7
|
292
|
255
|
306
|
(69)
|
13
|
401
|
39
|
384
|
89
|
26
|
64
|
33
|
212
|
57
|
30
|
87
|
|||||
|
Stock-based compensation expense
|
1,114
|
1,053
|
4,628
|
1,302
|
1,991
|
1,208
|
970
|
5,471
|
1,266
|
1,897
|
1,532
|
1,330
|
6,025
|
1,516
|
2,736
|
4,252
|
|||||||
|
Changes in operating accounts:
|
|||||||||||||||||||||||
|
Receivables
|
(9,798)
|
1,386
|
(8,117)
|
(10,958)
|
(27,487)
|
15,427
|
8,224
|
6,933
|
(3,032)
|
27,552
|
7,447
|
4,062
|
1,143
|
(7,878)
|
4,774
|
13,569
|
(5,171)
|
8,398
|
|||||
|
Prepaid and other current assets
|
(167)
|
8
|
(225)
|
193
|
(191)
|
(1,471)
|
(1,612)
|
(803)
|
(1,143)
|
(5,029)
|
(852)
|
(804)
|
(1,168)
|
(900)
|
(3,724)
|
399
|
(583)
|
(184)
|
|||||
|
Accounts payable and accrued liabilities
|
1,191
|
(638)
|
(373)
|
3,277
|
3,457
|
1,748
|
810
|
89
|
1,041
|
3,688
|
2,292
|
(257)
|
42
|
(720)
|
1,357
|
(1,823)
|
3,099
|
1,276
|
|||||
|
Commissions and bonuses payable
|
787
|
(752)
|
932
|
58
|
1,025
|
(1,171)
|
(1)
|
(47)
|
2,176
|
957
|
(1,523)
|
742
|
166
|
1,545
|
930
|
(2,553)
|
1,743
|
(810)
|
|||||
|
Deferred revenue
|
12,976
|
5,349
|
15,184
|
11,273
|
44,782
|
(6,056)
|
(814)
|
(2,143)
|
8,407
|
(606)
|
(3,434)
|
4,001
|
(3,566)
|
7,168
|
4,169
|
(9,429)
|
(2,038)
|
(11,467)
|
|||||
|
Other
|
(137)
|
244
|
(8)
|
(249)
|
(150)
|
(23)
|
13
|
(130)
|
132
|
(8)
|
(173)
|
83
|
(52)
|
635
|
493
|
-
|
503
|
503
|
|||||
|
Cash provided (used) by operating activities
|
6,052
|
6,864
|
9,836
|
4,291
|
27,043
|
5,360
|
4,763
|
3,793
|
7,118
|
21,034
|
3,670
|
8,574
|
(1,330)
|
3,810
|
14,724
|
4,886
|
2,081
|
6,967
|
|||||
|
Investing activities
|
|||||||||||||||||||||||
|
Acquistion of property and equipment
|
(1,140)
|
(2,770)
|
(1,020)
|
(2,828)
|
(7,758)
|
(1,987)
|
(1,351)
|
(1,426)
|
(2,436)
|
(7,200)
|
(1,522)
|
(1,536)
|
(1,309)
|
(1,425)
|
(5,792)
|
(684)
|
(1,841)
|
(2,525)
|
|||||
|
Business acquisitions
|
-
|
(8,731)
|
-
|
-
|
(8,731)
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
|||||
|
Change in investments, net
|
(3,749)
|
(8,140)
|
(1,638)
|
(2,285)
|
(15,812)
|
1,549
|
(15,333)
|
(3,912)
|
4,179
|
(13,517)
|
(1,970)
|
748
|
2,218
|
12,435
|
13,431
|
(2,251)
|
(6,059)
|
(8,310)
|
|||||
|
Other
|
(10)
|
-
|
(3)
|
(13)
|
(29)
|
(32)
|
1
|
17
|
(42)
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
||||||
|
Cash provided (used) for investing activities
|
(4,899)
|
(19,641)
|
(2,658)
|
(5,116)
|
(32,314)
|
(467)
|
(16,716)
|
(5,337)
|
1,760
|
(20,759)
|
(3,492)
|
(788)
|
909
|
11,010
|
7,639
|
(2,935)
|
(7,900)
|
(10,835)
|
|||||
|
Financing activities
|
|||||||||||||||||||||||
|
Net proceeds from (payments on) long-term debt
|
(7)
|
(7)
|
(9)
|
(32)
|
(55)
|
(7)
|
(8)
|
(10)
|
(10)
|
(35)
|
(11)
|
(11)
|
(11)
|
(10)
|
(43)
|
(12)
|
(11)
|
(23)
|
|||||
|
Proceeds from issuance of stock:
|
|||||||||||||||||||||||
|
Common stock issued under employee benefit plans
|
432
|
567
|
363
|
1,359
|
2,721
|
643
|
536
|
509
|
1,966
|
3,653
|
414
|
234
|
618
|
130
|
1,396
|
78
|
151
|
229
|
|||||
|
Common stock repurchase (Treasury)
|
-
|
-
|
-
|
(13,209)
|
(13,209)
|
(1,798)
|
-
|
(1,798)
|
|||||||||||||||
|
Other
|
-
|
-
|
-
|
400
|
400
|
49
|
160
|
19
|
(45)
|
183
|
51
|
(53)
|
-
|
(133)
|
(135)
|
89
|
48
|
137
|
|||||
|
Cash provided (used) by financing activities
|
425
|
560
|
354
|
1,727
|
3,066
|
685
|
688
|
518
|
1,911
|
3,801
|
454
|
170
|
607
|
(13,222)
|
(11,991)
|
(1,643)
|
188
|
(1,455)
|
|||||
|
Effect of foreign exchange rates
|
(8)
|
319
|
36
|
192
|
539
|
113
|
208
|
293
|
(217)
|
397
|
278
|
234
|
(1,822)
|
(1,338)
|
(2,648)
|
(251)
|
1,156
|
905
|
|||||
|
Net change in cash and cash equivalents
|
1,570
|
(11,898)
|
7,568
|
1,094
|
(1,666)
|
| |||||||||||||||||