Reports 85% Year over Year Revenue Growth
Raises 2014 Guidance to Reflect Strong Second
Quarter Performance and Business Momentum
Dealertrack Technologies, Inc. (NASDAQ: TRAK) today reported
financial results for the second quarter ended June 30, 2014.
GAAP Results for the Second Quarter 2014
- Revenue for the quarter was $224.8
million, as compared to $121.8 million for 2013.
- GAAP net loss for the quarter was
$(1.4) million, as compared to GAAP net income of $3.8 million for
2013.
- Diluted GAAP net loss per share for the
quarter was $(0.03), as compared to diluted GAAP net income per
share of $0.09 for 2013.
Non-GAAP Results for the Second Quarter 2014
- Adjusted EBITDA for the quarter was
$50.1 million, as compared to $32.8 million for 2013.
- Adjusted net income for the quarter was
$22.4 million, as compared to $16.7 million for 2013.
- Diluted adjusted net income per share
for the quarter was $0.41, as compared to $0.37 for 2013.
GAAP Results for the Six Months Ended June 30, 2014
- Revenue for the period was $383.6
million, as compared to $230.8 million for 2013.
- GAAP net loss for the period was
$(13.0) million, as compared to GAAP net income of $3.8 million for
2013.
- Diluted GAAP net loss per share for the
period was $ (0.26), as compared to diluted GAAP net income per
share of $0.09 for 2013.
GAAP net loss for the six months ended June 30, 2014, was
negatively impacted by a $7.5 million, or $0.15 per share, non-cash
charge (net of taxes) relating to certain changes in expected asset
use as Dealertrack integrates acquired solutions, and was
positively impacted by a $6.8 million, or $0.13 per share, gain
(net of taxes) on the sale of Dealertrack’s investment in TrueCar,
Inc.
Non-GAAP Results for the Six Months Ended June 30,
2014
- Adjusted EBITDA for the period was
$80.6 million, as compared to $57.1 million for 2013.
- Adjusted net income for the period was
$33.9 million, as compared to $28.7 million for 2013.
- Diluted adjusted net income per share
for the period was $0.65, as compared to $0.64 for 2013.
Mark F. O’Neil, chairman and chief executive officer of
Dealertrack Technologies, Inc., commented, “We reported a strong
second quarter financially as we continue on our journey to
transform automotive retailing for our dealer clients. We completed
the first full quarter with Dealer.com in our results, and we are
particularly excited about the contributions that new subscription
and advertising solutions are having on our overall growth and
revenue visibility. We achieved organic growth of 21 percent for
the second quarter in a row. As a result, we are increasing our
full year revenue and profitability guidance to reflect our strong
performance in the second quarter and growing confidence that our
vision to deliver a suite of integrated technologies capable of
transforming automotive retailing is resonating with our
clients.”
Updated Guidance for 2014
Dealertrack increased its 2014 annual revenue guidance and
updated profitability guidance, as follows:
Expected GAAP Results
- Revenue for the year is expected to be
between $829.0 million and $843.0 million, an increase from prior
guidance of between $814.0 million and $826.0 million.
- GAAP net loss for the year is expected
to be between $(12.0) million and $(7.0) million, an improvement
from prior guidance of between $(18.0) million and $(12.0)
million.
- Diluted GAAP net loss per share for the
year is expected to be between $(0.23) and $(0.13), an improvement
from prior guidance of between $(0.34) and $(0.23) per share.
Expected Non-GAAP Results
Dealertrack has increased its 2014 annual non-GAAP guidance, as
follows:
- Adjusted EBITDA for the year is
expected to be between $186.0 million and $190.0 million, an
increase from prior guidance of between $180.0 million and $188.0
million.
- Adjusted net income for the year is
expected to be between $81.0 million and $86.0 million, an increase
from prior guidance of between $78.0 million and $84.0
million.
- Diluted adjusted net income per share
for the year is expected to be between $1.47 and $1.56, an increase
from prior guidance of $1.42 and $1.53 per share.
Diluted GAAP net loss per share and diluted adjusted net income
per share guidance for 2014 continue to be based on an estimated
diluted share count of 53 million and 55 million shares,
respectively. The guidance also continues to assume that new car
sales by franchised dealers will be approximately 16.2 million
units and used car sales by franchised dealers will be
approximately 15.9 million units in 2014.
Conference Call
Dealertrack will host a conference call to discuss its second
quarter 2014 results, as well as its 2014 guidance, on August 11,
2014, at 5:00 p.m. Eastern Time. The conference call will be
webcast live on the Internet at ir.dealertrack.com. In addition, a
live audio of the call will be accessible to the public by calling
877-303-6648 (domestic) or 970-315-0443 (international); no access
code is necessary. Callers should dial in approximately 10 minutes
before the call begins. A webcast replay will be available on the
Dealertrack Technologies, Inc. website at www.dealertrack.com.
Non-GAAP Financial Measures
The non-GAAP measures of adjusted EBITDA and adjusted net income
disclosures are not presented in accordance with generally accepted
accounting principles (GAAP) and are not intended to be used in
lieu of GAAP presentations of net income (loss). Adjusted
EBITDA is a non-GAAP financial measure that represents GAAP net
income (loss) excluding interest, taxes, depreciation and
amortization expenses, stock-based compensation, contra-revenue and
certain items, as applicable, such as: impairment charges,
restructuring charges, impact of acquisition-related activity
(including contingent consideration changes, compensation expense,
basis difference amortization, and professional service fees),
realized gains on sales of previously impaired securities, gains or
losses on sales or disposals of subsidiaries and other
assets, rebranding expense and certain other items that we do
not believe are indicative of our ongoing operating results.
Adjusted net income is a non-GAAP financial measure that
represents GAAP net income (loss) excluding stock-based
compensation expense, the amortization of acquired identifiable
intangibles, contra-revenue, and certain items, as applicable, such
as: impairment charges, restructuring charges, impact of
acquisition-related activity (including contingent consideration
changes, compensation expense, basis difference amortization, and
professional service fees), realized gains on sales of previously
impaired securities, gains or losses on sales or disposals of
subsidiaries and other assets, adjustments to deferred tax asset
valuation allowances, non-cash interest expense, rebranding expense
and certain other items that we do not believe are indicative of
our ongoing operating results. These adjustments to net income
(loss), which are shown before taxes, are adjusted for their tax
impact at their applicable statutory rates.
Adjusted EBITDA and adjusted net income are presented because
management believes that they provide additional information with
respect to the performance of our fundamental business activities
and are also frequently used by securities analysts, investors and
other interested parties in the evaluation of comparable
companies. Adjusted EBITDA and adjusted net income are
also presented because the acquisition method of accounting can
have a negative impact on our GAAP results because the depreciation
and amortization expenses associated with acquired assets, in
particular intangibles which tend to have a relatively short useful
life, can be substantial in the first several years following an
acquisition. As a result, we monitor our adjusted EBITDA and
adjusted net income and other business statistics as a measure of
operating performance in addition to net income and the other
measures included in our consolidated financial
statements. Management believes the adjusted EBITDA and
adjusted net income information is useful to investors for these
reasons. Adjusted EBITDA and adjusted net income are non-GAAP
financial measures and should not be viewed as an alternative to
GAAP measures of performance. Management believes the most
directly comparable GAAP financial measure for adjusted EBITDA and
adjusted net income is GAAP net income (loss) and has provided a
reconciliation of adjusted EBITDA to GAAP net income (loss) and
adjusted net income to GAAP net income (loss) in this press
release.
About Dealertrack
Technologies (www.dealertrack.com)
Dealertrack Technologies' intuitive and high-value web-based
software solutions and services enhance efficiency and
profitability for all major segments of the automotive retail
industry, including dealers, lenders, OEMs, third-party retailers,
aftermarket providers and other service providers. In addition to
the industry's largest online credit application network,
connecting more than 20,000 dealers with more than 1,400 lenders,
Dealertrack Technologies delivers the industry's most comprehensive
solution set for automotive retailers, including Dealer Management
System (DMS), Inventory, F&I Solutions, Digital Marketing and
Registration and Titling solutions. For more information visit
www.dealertrack.com.
Safe Harbor for Forward-Looking and Cautionary
Statements
Statements in this press release regarding Dealertrack’s
expected 2014 performance based on both GAAP and non-GAAP measures,
the long-term outlook for its business and all other statements in
this release other than the recitation of historical facts are
forward-looking statements (as defined in the Private Securities
Litigation Reform Act of 1995). These statements involve a number
of risks, uncertainties and other factors that could cause actual
results, performance or achievements of Dealertrack to be
materially different from any future results, performance or
achievements expressed or implied by these forward-looking
statements.
Factors that might cause such a difference include: economic
trends that affect the automotive retail industry or the indirect
automotive financing industry including the number of new and used
cars sold; credit availability; reductions in automotive
dealerships; increased competitive pressure from other industry
participants, including ADP, AutoTrader, Open Dealer Exchange,
Reynolds and Reynolds, and RouteOne; the impact of some vendors of
software products for automotive dealers making it more difficult
for Dealertrack’s customers to use Dealertrack’s solutions and
services; security breaches, interruptions, failures and/or other
errors involving Dealertrack’s systems or networks; the failure or
inability to execute any element of Dealertrack’s business
strategy, including selling additional products and services to
existing and new customers; Dealertrack’s success in implementing
an ERP system; the volatility of Dealertrack’s stock price; new
regulations or changes to existing regulations; the integration of
recent acquisitions and the expected benefits, as well as the
integration and expected benefits of any future acquisitions that
Dealertrack may pursue; Dealertrack’s success in expanding its
customer base and product and service offerings, the impact of
recent economic trends, and difficulties and increased costs
associated with raising additional capital; the impairment of
intangible assets, such as trademarks and goodwill; and other risks
listed in Dealertrack’s reports filed with the Securities and
Exchange Commission (SEC), including its most recent Annual Report
on Form 10-K. These filings can be found on Dealertrack’s website
at www.dealertrack.com and the SEC’s website at www.sec.gov.
Forward-looking statements included herein speak only as of the
date hereof and Dealertrack disclaims any obligation to revise or
update such statements to reflect events or circumstances after the
date hereof or to reflect the occurrence of unanticipated events or
circumstances, except as required by law.
DEALERTRACK TECHNOLOGIES, INC. Consolidated
Statements of Operations (In thousands, except per share
amounts) (Unaudited) Three Months Ended
June 30, Six Months Ended June 30,
2014 2013 2014
2013 Net revenue $ 224,767 $
121,782 $ 383,575 $ 230,841 Cost of revenue
119,461 51,997 209,368 100,207 Research and development 27,136
18,269 51,184 35,899 Selling, general and administrative
74,637 43,887 142,123
86,355 Total operating expenses 221,234
114,153 402,675 222,461 Income
(loss) from operations 3,533 7,629 (19,100 ) 8,380 Interest
expense, net (9,737 ) (3,228 ) (15,547 ) (6,468 ) Other income, net
129 62 838 128 Gain on sale of investment — — 9,828 — Earnings from
equity method investment, net 1,907 1,279
3,532 2,498 (Loss) income before
benefit from (provision for) income taxes, net (4,168 ) 5,742
(20,449 ) 4,538 Benefit from (provision for) income taxes, net
2,793 (1,903 ) 7,432 (733
) Net (loss) income $ (1,375 ) $ 3,839 $ (13,017 ) $ 3,805
Basic net (loss) income per share $ (0.03 ) $ 0.09 $
(0.26 ) $ 0.09 Diluted net (loss) income per share $ (0.03 ) $ 0.09
$ (0.26 ) $ 0.09 Weighted average common stock outstanding (basic)
53,642 43,545 50,514 43,360 Weighted average common stock
outstanding (diluted) 53,642 44,881 50,514 44,741 Adjusted
EBITDA (non-GAAP) (a) $ 50,121 $ 32,835 $ 80,636 $ 57,064 Adjusted
EBITDA margin (non-GAAP) (b) 22 % 27 % 21 % 25 % Adjusted net
income (non-GAAP) (a) $ 22,427 $ 16,702 $ 33,915 $ 28,738 Shares
used for diluted adjusted net income per share (c) 55,031 44,881
52,334 44,741 Diluted adjusted net income per share (non-GAAP) $
0.41 $ 0.37 $ 0.65 $ 0.64 Stock-based compensation expense
was classified as follows: Cost of revenue $ 249 $ 319 $ 525 $ 590
Research and development 753 662 1,505 1,251 Selling, general and
administrative 3,291 2,874 6,386
5,285 $ 4,293 $ 3,855 $ 8,416
$ 7,126
(a) See Reconciliation Data.(b) Represents adjusted EBITDA as a
percentage of net revenue.(c) For the three months ended June 30,
2014, the diluted weighted average shares outstanding includes
1,389 thousand shares related to options to purchase common stock
and restricted common stock units and does not include 731 thousand
shares related to our senior convertible notes. For the six months
ended June 30, 2014, the diluted weighted average shares
outstanding includes 1,765 thousand shares related to options to
purchase common stock and restricted common stock units and 56
thousand shares related to our warrants and does not include 1,066
thousand shares related to our senior convertible notes.
DEALERTRACK TECHNOLOGIES, INC. Condensed
Consolidated Balance Sheets (Dollars in thousands)
(Unaudited) June 30,
December 31, 2014 2013 ASSETS Cash and cash
equivalents $ 128,513 $ 122,373 Marketable securities 5,131 10,589
Customer funds and customer funds receivable 32,130 25,901 Accounts
receivable, net 100,552 48,349 Deferred tax assets, net 22,938
6,331 Prepaid expenses and other current assets 30,002
21,314 Total current assets 319,266 234,857 Property
and equipment, net 83,351 31,866 Investments – cost and equity
36,135 119,318 Software and website development costs, net 77,421
62,513 Intangible assets, net 565,130 136,754 Goodwill 1,052,013
316,130 Deferred tax assets, net 61,501 40,421 Other assets –
long-term 24,137 14,616 Total assets $ 2,218,954 $
956,475 LIABILITIES AND STOCKHOLDERS’ EQUITY Accounts
payable and accrued expenses $ 107,697 $ 56,942 Customer funds
payable 32,130 25,901 Deferred revenue 14,372 9,958 Deferred tax
liabilities 4,277 4,278 Due to acquirees and notes payable
7,551 2,000 Total current liabilities 166,027 99,079
Long-term liabilities 964,657 256,172 Total
liabilities 1,130,684 355,251 Total stockholders'
equity 1,088,270 601,224 Total liabilities and
stockholders' equity $ 2,218,954 $ 956,475
DEALERTRACK TECHNOLOGIES, INC. Consolidated Statements of
Cash Flows (Dollars in thousands) (Unaudited)
Six Months Ended June 30, 2014
2013 Operating activities: Net
(loss) income $ (13,017 ) $ 3,805 Adjustments to reconcile net
(loss) income to net cash (used in) provided by operating
activities: Depreciation and amortization 64,172 28,821 Deferred
tax benefit (39,536 ) (653 ) Stock-based compensation expense 8,416
7,126 Provision for doubtful accounts and sales credits 6,599 5,559
Earnings from equity method investment, net (3,532 ) (2,498 )
Deferred compensation 96 84 Stock-based compensation windfall tax
benefit (9,802 ) (4,278 ) Gain on sale of investment (9,828 ) —
Realized gain on sale of securities — (11 ) Amortization of debt
issuance costs and debt discount 6,810 4,666 Change in contingent
consideration (250 ) (500 ) Forfeited customer deposits (708 ) —
Amortization of deferred interest 68 636 Changes in operating
assets and liabilities, net of effects of acquisitions: Accounts
receivable (18,819 ) (20,535 ) Prepaid expenses and other current
assets 4,638 (4,185 ) Other assets – long-term (5,115 ) 7,075
Accounts payable and accrued liabilities (57,786 ) (4,351 )
Deferred rent 826 178 Deferred revenue 1,284 453 Other liabilities
– long-term 2,799 (884 ) Net cash (used in)
provided by operating activities (62,685 ) 20,508
Consolidated Statements of Cash Flows (continued)
Six Months Ended June 30, 2014
2013 Investing activities: Capital
expenditures (16,867 ) (6,112 ) Capitalized software and website
development costs (23,931 ) (17,360 ) Proceeds from sale of
investment in TrueCar 92,518 — Purchases of marketable securities
(5,150 ) (27,231 ) Proceeds from sales and maturities of marketable
securities 10,539 21,309 Payment for acquisition of businesses, net
of acquired cash (541,288 ) (20,984 ) Net cash used
in investing activities (484,179 ) (50,378 )
Financing
activities: Proceeds from stock purchase plan and exercise of
stock options 15,722 5,295 Proceeds from issuance of term loan B
credit facility 575,000 — Principal payments on term loan B credit
facility (26,438 ) — Principal payments on capital lease
obligations and financing arrangements (50 ) (74 ) Payment of
contingent consideration (250 ) — Proceeds from note receivable 500
— Payments for debt issuance costs (16,696 ) — Purchases of
treasury stock (4,615 ) (762 ) Stock-based compensation windfall
tax benefit 9,802 4,278 Net cash
provided by financing activities 552,975 8,737 Net increase
(decrease) in cash and cash equivalents 6,111 (21,133 ) Effect of
exchange rate changes on cash and cash equivalents 29 (1,099 ) Cash
and cash equivalents, beginning of period 122,373
143,811 Cash and cash equivalents, end of period $
128,513 $ 121,579
Supplemental
disclosure: Cash paid for: Income taxes $ 8,552 $ 3,298
Interest 8,716 1,891 Non-cash investing and financing activities:
Accrued capitalized hardware, software and fixed assets 6,562 5,714
Assets acquired under capital leases and financing arrangements 35
116 Non-cash consideration issued for investment in Dealer.com
471,220 —
DEALERTRACK TECHNOLOGIES, INC.
Reconciliation of GAAP Net Income to Non-GAAP Adjusted
EBITDA (Dollars in thousands) (Unaudited)
Three Months Ended June 30, Six Months
Ended June 30, 2014 2013
2014 2013 GAAP net (loss)
income $ (1,375 ) $ 3,839 $ (13,017 ) $ 3,805 Interest income (100
) (117 ) (200 ) (241 ) Interest expense – cash 6,197 981 8,937
2,043 Interest expense – non-cash 3,640 2,364 6,810 4,666 (Benefit
from) provision for income taxes, net (2,793 ) 1,903 (7,432 ) 733
Depreciation of property and equipment and amortization of
capitalized software and website costs 11,941 7,165 22,536 13,746
Amortization of acquired identifiable intangibles 20,940
7,759 41,636 15,075
EBITDA (non-GAAP) 38,450 23,894 59,270 39,827 Adjustments:
Stock-based compensation 4,293 3,855 8,416 7,126 Contra-revenue
1,375 1,381 2,532 2,735 Acquisition-related and other professional
fees 900 573 7,874 1,056 Acquisition-related contingent
consideration changes and compensation expense, net 1,014 594 1,943
629 Integration and other related costs 3,542 1,567 9,334 2,366
Gain on sale of investment — — (9,828 ) — Amortization of equity
method investment basis difference 547 706 1,095 1,412 Rebranding
expense — 265 —
1,913 Adjusted EBITDA (non-GAAP) $ 50,121 $ 32,835
$ 80,636 $ 57,064
DEALERTRACK
TECHNOLOGIES, INC. Reconciliation of GAAP Net Income to
Non-GAAP Adjusted Net Income (Dollars in thousands)
(Unaudited) Three Months Ended June 30,
Six Months Ended June 30, 2014
2013 2014 2013
GAAP net (loss) income $ (1,375 ) $ 3,839 $ (13,017 ) $
3,805 Adjustments: Interest expense – non-cash (not tax-impacted)
3,640 2,364 6,810 4,666 Amortization of acquired identifiable
intangibles 20,940 7,759 41,636 15,075 Stock-based compensation
4,293 3,855 8,416 7,126 Contra-revenue 1,375 1,381 2,532 2,735 Gain
on sale of investment — — (9,828 ) — Acquisition-related and other
professional fees 900 573 7,874 1,056 Acquisition-related
contingent consideration changes and compensation expense, net
1,014 594 1,943 629 Integration and other related costs 3,542 1,810
10,023 2,609 Rebranding expense — 265 — 1,913 Amortization of
equity method investment basis difference 547 706 1,095 1,412
Amended state tax returns impact (non-taxable) — — — 56 Tax impact
of adjustments (a) (12,449 ) (6,444 ) (23,569
) (12,344 ) Adjusted net income (non-GAAP) $ 22,427 $
16,702 $ 33,915 $ 28,738
(a) The tax impact of adjustments for the three and six months
ended June 30, 2014 are based on a blended tax rate of 38.5% and
38.6%, respectively, applied to taxable adjustments other than gain
on sale of investment which is based on an effective tax rate of
31.0%. Additionally, the tax impact of adjustments for the three
and six months ended June 30, 2014 includes $0.1 million and $1.7
million, respectively, of incremental deferred taxes related to the
acquisition of Dealer.com. The blended tax rates are based upon the
statutory tax rates of 38.7% and 26.5% applied to the adjustments
for U.S. and Canada, respectively.
The tax impact of adjustments for the three and six months ended
June 30, 2013 are based on a U.S. statutory tax rate of 38.2%
applied to taxable adjustments other than amortization of acquired
identifiable intangibles and stock-based compensation expense,
which are based on a blended tax rate of 38.1% and 37.8%,
respectively, for the three months ended June 30, 2013 and 38.1%
and 37.7% respectively, for the six months ended June 30, 2013.
A reconciliation of GAAP to non-GAAP measures is included in our
investor presentation, which also includes the impact of reconciled
items on individual income statement classifications.
DEALERTRACK TECHNOLOGIES, INC. Reconciliation of
Forward-looking GAAP Net Income to Forward-looking Non-GAAP
Adjusted EBITDA (Dollars in millions) (Unaudited)
Year Ending December 31, 2014 Expected
Range GAAP net loss $ (12.0 ) $ (7.0 ) Interest, net
34.0 34.0 Income taxes, net (6.4 ) (3.8 ) Amortization of basis
difference from joint venture 2.2 2.2 Depreciation and amortization
45.6 42.0 Amortization of acquired identifiable intangibles 83.0
83.0 EBITDA (non-GAAP) 146.4 150.4 Adjustments:
Stock-based compensation 17.0 17.0 Gain on sale of investment (9.8
) (9.8 ) Non-recurring costs (a) 27.4 27.4 Contra-revenue 5.0
5.0 Adjusted EBITDA (non-GAAP) $ 186.0 $ 190.0
(a) Includes certain professional fees,
integration and other related costs, acquisition-related
compensation expense, and fair value adjustments.
Reconciliation of Forward-looking GAAP Net Income to
Forward-looking Non-GAAP Adjusted Net Income (Dollars in
millions) (Unaudited) Year Ending December 31,
2014 Expected Range GAAP net loss $ (12.0 ) $
(7.0 ) Adjustments: Stock-based compensation 17.0 17.0 Amortization
of acquired identifiable intangibles 83.0 83.0 Amortization of
basis difference from joint venture 2.2 2.2 Non-cash interest
expense (not tax-impacted) 14.0 14.0 Gain on sale of investment
(9.8 ) (9.8 ) Non-recurring costs (a) 28.1 28.1 Contra-revenue 5.0
5.0 Tax impact of adjustments (b) (46.5 ) (46.5 ) Adjusted net
income (non-GAAP) $ 81.0 $ 86.0 (a)
Includes certain professional fees, integration and other related
costs, acquisition-related compensation expense, accelerated
depreciation and fair value adjustments. (b) The tax impact of
adjustments are based on a blended tax rate of 37% applied to
taxable adjustments.
DEALERTRACK TECHNOLOGIES,
INC. Summary of Business Statistics Three months
ended (Unaudited) Jun 30,
Mar 31, Dec 31, Sep 30,
Jun 30, 2014 2014 2013 2013
2013 Transaction services revenue (in thousands) $
87,381 $ 77,735 $ 70,338 $ 73,514 $ 71,645 Subscription services
revenue (in thousands) $ 91,485 $ 61,969 $ 49,107 $ 45,223 $ 44,623
Advertising and other revenue (in thousands) $ 45,901 $ 19,104 $
6,666 $ 5,845 $ 5,514 Active dealers in our U.S. network as
of end of the period (a) 20,670 20,719 20,046 20,238 20,205 Active
lenders in our U.S. network as of end of the period (b) 1,468 1,443
1,410 1,378 1,355 Active lender to dealer relationships as of end
of the period (c) 201,240 202,984 191,135 191,548 184,273
Transactions processed (in thousands) (d) 30,669 28,560 24,471
27,172 26,176 Average transaction price (e) $ 2.89 $ 2.76 $ 2.91 $
2.74 $ 2.79 Transaction revenue per car sold (f) $ 8.68 $ 11.20 $
8.63 $ 7.70 $ 7.38 Subscribing dealers in U.S. and Canada as of end
of the period (g) 23,876 23,624 18,464 18,255 18,076 Average
monthly subscription revenue per subscribing dealership (h) $ 1,218
$ 956 $ 815 $ 758 $ 757 Active dealerships on advertising platform
as of end of the period (i) 7,031 7,053 * * * Average monthly
advertising spend per dealer rooftop (j) $ 1,826 1,708 * * *
* Historical amounts not applicable
(a) We consider a dealer to be active in our U.S. network as of
a date if the dealer completed at least one revenue-generating
credit application processing transaction using the U.S.
Dealertrack network during the most recently ended calendar month.
The number of active U.S. dealers is based on the number of dealer
accounts as communicated by lenders on the U.S. Dealertrack
network.
(b) We consider a lender to be active in our U.S. network as of
a date if it is accepting credit application data electronically
from U.S. dealers in the U.S. Dealertrack network.
(c) Each lender to dealer relationship represents a pair between
an active U.S. lender and an active U.S. dealer at the end of a
given period.
(d) Represents revenue-generating transactions processed in the
U.S. Dealertrack, Dealertrack Aftermarket Services, Registration
and Titling Solutions, Collateral Management Solutions and
Dealertrack Canada networks at the end of a given period.
(e) Represents the average revenue earned per transaction
processed in the U.S. Dealertrack, Dealertrack Aftermarket
Services, Registration and Titling Solutions, Collateral Management
Solutions and Dealertrack Canada networks during a given period.
Revenue used in the calculation adds back (excludes) transaction
related contra-revenue.
(f) Represents transaction services revenue divided by our
estimate of total new and used car sales for the period in the U.S.
and Canada. Revenue used in calculation adds back (excludes)
transaction related contra-revenue.
(g) Represents the number of dealerships in the U.S. and Canada
with one or more active subscriptions at the end of a given period.
Subscriptions to Dealertrack CentralDispatch have been excluded as
these customers include brokers and carriers in addition to
dealers.
(h) Represents dealer based subscription services revenue
divided by average subscribing dealers for a given period in the
U.S. and Canada. Revenue used in the calculation adds back
(excludes) subscription related contra-revenue. In addition,
subscribing dealers and subscription services revenue from
Dealertrack CentralDispatch have been excluded from the calculation
as a majority of these customers are not dealers.
(i) We consider a dealership to be active on our advertising
platform as of a date if they incurred advertising spend in that
month.
(j) Represents advertising services revenue divided by average
active dealerships on our advertising platform for a given
period.
TRAK-E
Dealertrack Technologies, Inc.MEDIA CONTACT:Ken Engberg,
516-734-3692kenneth.engberg@dealertrack.comorINVESTOR
CONTACT:Garo Toomajanian,
888-450-0478investorrelations@dealertrack.com
(MM) (NASDAQ:TRAK)
Historical Stock Chart
From Jun 2024 to Jul 2024
(MM) (NASDAQ:TRAK)
Historical Stock Chart
From Jul 2023 to Jul 2024