Proofpoint, Inc. Announces Unaudited Consolidated Earnings Results for the Fourth Quarter and Full Year Ended December 31, 2014; Provides Earnings Guidance for the First Quarter and Full Year 2015
Total revenue for the full year of 2014 was $195.6 million, an increase of 42%, compared to $137.9 million in the prior-year period. Within total revenue, subscription revenue was $187.5 million, an increase of 42% on a year-over-year basis. GAAP gross profit for the full year of 2014 was $129.9 million compared to $96.4 million for 2013. Non-GAAP gross profit for the year was $137.1 million compared to $99.8 million for 2013. GAAP operating loss for the full year of 2014 was $51.1 million compared to a loss of $29.5 million during 2013. Non-GAAP operating loss for the full year of 2014 was $9.5 million, compared to a loss of $10.2 million during 2013. GAAP net loss for the full year of 2014 was $64.2 million or $1.72 per share based on 37.4 million weighted average shares outstanding. This compares to a GAAP net loss of $27.5 million or $0.79 per share based on 34.9 million weighted average shares outstanding in the prior-year period. Non-GAAP net loss for the full year of 2014 was $15.0 million or $0.40 per share based on 37.4 million weighted average shares outstanding. This compares to a loss of $11.3 million or $0.32 per share based on 34.9 million weighted average shares outstanding for 2013. Adjusted EBITDA for the full year of 2014 was negative $0.5 million compared to negative $4.3 million for the full year of 2013. The company generated $21.3 million in net cash from operations for the full year of 2014 compared to generating $12.6 million during 2013. The company generated $6.3 million in free cash flow for the full year of 2014 compared to $5.0 million during 2013. Purchase of property and equipment was $14.988 million against $7.666 million a year ago. LBITDA was $35.516 million against $19.731 million a year ago.
The company provided earnings guidance for its first quarter and full year 2015. For the first quarter 2015, total revenue is expected to be in the range of $56.0 million to $57.0 million. Billings are expected to be in the range of $61.0 million to $63.0 million. Adjusted EBITDA is expected to be in the range of breakeven to $0.5 million. Non-GAAP EPS loss is expected to be in the range of $0.09 to $0.08 based on approximately 38.9 million weighted average shares outstanding. Free cash flow is expected to be in the range of positive $2.0 million to $4.0 million.
For the full year 2015, total revenue is expected to be in the range of $245.0 million to $247.0 million. Billings is expected to be in the range of $288.0 million to $292.0 million. Adjusted EBITDA is expected to be in the range of $1.0 million to $2.0 million. Non-GAAP EPS loss is expected to be in the range of $0.38 to $0.36 based on approximately 40.0 million weighted average shares outstanding. Free cash flow, defined as operating cash flow less capital expenditures, is expected to be in the range of positive $20.0 million to $25.0 million, which assumes capital expenditures of $18.0 million to $20.0 million for the full year.