TaskUs Inc
For the period ended Jun 30, 2024. Filed Aug 9, 2024.
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A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Jun 30, 2024 · Filed Aug 9, 2024
TASK$9.09-1.0%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2024-03-31; filed 2024-05-10.
0001829864-24-000085
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2024-06-30; filed 2024-08-09.
0001829864-24-000138
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 98 previous paragraphs and 144 current paragraphs.
73 unchanged; 21 reworded; 27 added; 4 removed; 0 previous and 23 current paragraphs rearranged.
Tables are not compared: 9 previous and 14 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (27)
Current report
2024 Developments
Current report
Return to Revenue Growth
Current report
During 2024, we have seen some of the challenges and market uncertainty we faced in 2023 begin to subside. Through our continued focus on partnering with our clients and strategic investments we have made in sales and marketing, including our focus on landing enterprise clients and cross-selling our specialized services, we achieved revenue growth of 3.8% during the three months ended June 30, 2024 compared to the three months ended June 30, 2023. Given our performance in the six months ended June 30, 2024, we expect our revenue growth to continue improving in the remainder of 2024.This acceleration of revenue growth requires additional investments in operations, facilities, hiring and training. Additionally, we have seen an increase in pricing pressure as our clients remain focused on cost reduction and competitors reduce their rates. While we believe we are a premium provider of specialized services, we have and expect to continue to price our services competitively in order to achieve above market growth rates and take share from our competitors. These factors may impact our margins and cash flow.
Current report
For the three months ended June 30, 2024, we recorded service revenue of $237.9 million, a 3.8% increase from $229.2 million for the three months ended June 30, 2023. For the six months ended June 30, 2024, we recorded service revenue of $465.4 million, a 0.2% increase from $464.5 million for the six months ended June 30, 2023.
Current report
Net income for the six months ended June 30, 2024 increased to $24.3 million from $19.6 million for the six months ended June 30, 2023. This increase is due primarily to lower earn-out consideration and stock-based compensation expense, partially offset by litigation costs and higher cost of services. Adjusted Net Income for the six months ended June 30, 2024 decreased 13.1% to $55.9 million from $64.3 million for the six months ended June 30, 2023. Adjusted EBITDA for the six months ended June 30, 2024 decreased 6.8% to $101.9 million from $109.3 million for the six months ended June 30, 2023.
Current report
Digital Customer Experience was primarily driven by a decrease from existing clients in On Demand Travel + Transportation, as well as clients in Entertainment + Gaming and HealthTech. These decreases were partially offset by an increase from existing clients in FinTech, as well as new clients in HealthTech, FinTech and Professional Services + Industry.
Current report
United States: Digital Customer Experience contributed 30.8% of the total decrease primarily driven by clients in On Demand Travel + Transportation, Entertainment + Gaming and HealthTech. AI Services contributed 2.7% of the total decrease primarily driven by clients in On Demand Travel + Transportation. The decrease was partially offset by a 1.4% increase contributed by Trust and Safety, primarily driven by clients in On Demand Travel + Transportation.
Current report
India: Trust and Safety contributed 8.4% of the total increase primarily driven by clients in Social Media. AI Services contributed 2.2% of the total increase. The increase was partially offset by a 9.0% decrease contributed by Digital Customer Experience, primarily driven by clients in On Demand Travel + Transportation, partially offset by clients in Retail + E Commerce.
Current report
The increase was primarily driven by higher personnel costs of $6.7 million associated with increased headcount. The remaining increase included facilities and recruiting costs associated with site expansion and increasing headcount associated with accelerating growth.
Current report
Comparison of the Six Months Ended June 30, 2024 and 2023
Current report
Service revenue
Current report
Service revenue by service offering
Current report
Service revenue by delivery geography
Current report
Philippines: Trust and Safety contributed 6.8% of the total increase primarily driven by clients in Social Media and FinTech. Digital Customer Experience contributed 1.7% of the total increase primarily driven by clients in FinTech and Social Media, partially offset by clients in Entertainment + Gaming. The increase was partially offset by a 2.4% decrease contributed by AI Services, primarily driven by clients in Social Media.
Current report
Rest of World: Digital Customer Experience contributed 19.8% of the total increase primarily driven by clients in FinTech, On Demand Travel + Transportation and Professional Services + Industry. Trust and Safety contributed 5.2% of the total increase primarily driven by clients in FinTech and Social Media. AI Services contributed 0.2% of the total increase. Growth in the Rest of World was due to Latin America and Asia.
Current report
Operating expenses
Current report
Cost of services
Current report
The increase was primarily driven by higher personnel costs of $4.0 million associated with increased headcount. The remaining increase included facilities and recruiting costs associated with site expansion and increasing headcount to prepare for accelerating growth.
Current report
Selling, general, and administrative expense
Current report
Other income, net
Current report
Financing expenses
Current report
Provision for income taxes
Current report
(2) Realized and unrealized foreign currency gains include the effect of fair market value changes of forward contracts and remeasurement of U.S. dollar-denominated accounts to foreign currency.
Current report
The following table reconciles net income, the most directly comparable GAAP measure, to Adjusted Net Income for the six months ended June 30, 2024 and 2023:
Current report
(3) Realized and unrealized foreign currency gains include the effect of fair market value changes of forward contracts and remeasurement of U.S. dollar-denominated accounts to foreign currency.
Current report
(2) Realized and unrealized foreign currency gains include the effect of fair market value changes of forward contracts and remeasurement of U.S. dollar-denominated accounts to foreign currency.
Current report
(3) Realized and unrealized foreign currency gains include the effect of fair market value changes of forward contracts and remeasurement of U.S. dollar-denominated accounts to foreign currency.
Removed paragraphs (4)
Previous report
For the three months ended March 31, 2024, we recorded service revenue of $227.5 million, a 3.3% decrease from $235.3 million for the three months ended March 31, 2023.
Previous report
The decrease was primarily driven by lower personnel costs of $2.7 million, due primarily to lower salaries and wages which were partially offset by the impact of higher employee welfare costs.
Previous report
(3) Realized and unrealized foreign currency losses (gains) include the effect of fair market value changes of forward contracts and remeasurement of U.S. dollar-denominated accounts to foreign currency.
Previous report
(3) Realized and unrealized foreign currency losses (gains) include the effect of fair market value changes of forward contracts and remeasurement of U.S. dollar-denominated accounts to foreign currency.
Reworded paragraphs (21)
Previous wording
This Quarterly Report includes certain historical consolidated financial and other data for TaskUs, Inc. ("we," "us," "our" or the "Company"). The following discussion provides a narrative of our results of operations and financial condition for the three months ended March 31, 2024 and 2023.
Current wording
This Quarterly Report includes certain historical consolidated financial and other data for TaskUs, Inc. ("we," "us," "our" or the "Company"). The following discussion provides a narrative of our results of operations and financial condition for the three and six months ended June 30, 2024 and 2023.
Previous wording
Net income for the three months ended March 31, 2024 increased to $11.7 million from $9.5 million for the three months ended March 31, 2023. This increase is due primarily to lower earn-out consideration and stock-based compensation expense, partially offset by lower revenue and the impact of foreign currency exchange rate changes and forward contracts. Adjusted Net Income for the three months ended March 31, 2024 decreased 16.1% to $27.3 million from $32.5 million for the three months ended March 31, 2023. Adjusted EBITDA for the three months ended March 31, 2024 decreased 8.0% to $50.6 million from $55.0 million for the three months ended March 31, 2023. Adjusted Net Income and Adjusted EBITDA are non-GAAP financial measures. For definitions and reconciliations to net income, the most directly comparable measure in accordance with GAAP, see "Non-GAAP Financial Measures."
Current wording
Net income for the three months ended June 30, 2024 increased to $12.6 million from $10.1 million for the three months ended June 30, 2023. This increase is due primarily to revenue growth, the impact of foreign currency exchange rate changes and forward contracts, as well as higher interest income, lower stock-based compensation expense and earn-out consideration, partially offset by higher cost of services. Adjusted Net Income for the three months ended June 30, 2024 decreased 10.0% to $28.6 million from $31.8 million for the three months ended June 30, 2023. Adjusted EBITDA for the three months ended June 30, 2024 decreased 5.6% to $51.3 million from $54.3 million for the three months ended June 30, 2023. Adjusted Net Income and Adjusted EBITDA are non-GAAP financial measures. For definitions and reconciliations to net income, the most directly comparable measure in accordance with GAAP, see "Non-GAAP Financial Measures."
Previous wording
Philippines: Trust and Safety contributed 6.4% of the total increase primarily driven by clients in Social Media and FinTech. The increase was partially offset by a 2.9% decrease contributed by AI Services, primarily driven by clients in Social Media, and a 0.1% decrease contributed by Digital Customer Experience.
Current wording
Philippines: Trust and Safety contributed 7.0% of the total increase primarily driven by clients in Social Media and FinTech. Digital Customer Experience contributed 3.5% of the total increase primarily driven by clients in FinTech, partially offset by clients in Entertainment + Gaming. The increase was partially offset by a 1.8% decrease contributed by AI Services, primarily driven by clients in Social Media.
Previous wording
Rest of World: Digital Customer Experience contributed 19.5% of the total increase primarily driven by clients in FinTech, Retail + E-Commerce and On Demand Travel + Transportation. Trust and Safety contributed 4.7% of the total increase, primarily driven by clients in FinTech, and AI Services contributed 0.3% of the total increase. Growth in the Rest of World was led by Latin America.
Current wording
Rest of World: Digital Customer Experience contributed 20.0% of the total increase primarily driven by clients in FinTech, On Demand Travel + Transportation and Professional Services + Industry. Trust and Safety contributed 5.6% of the total increase, primarily driven by clients in FinTech and Social Media. AI Services contributed 0.2% of the total increase. Growth in the Rest of World was led by Latin America.
Previous wording
The decrease was primarily driven by lower personnel costs of $10.0 million, due primarily to a reduction in earn-out compensation and stock-based compensation expense. The remaining decrease included lower insurance expense based on renegotiated rates. These decreases may be at least partially offset by certain litigation costs which we expect to accelerate in future periods.
Current wording
The decrease was primarily driven by lower personnel costs of $2.4 million, due primarily to a reduction in earn-out compensation and stock-based compensation expense, partially offset by an increase in bonus expense due to higher company performance. The remaining decrease included lower insurance expense based on renegotiated rates. This decrease was partially offset by certain litigation costs which we expect to continue in future periods.
Previous wording
Changes are driven by our exposure to foreign currency exchange risk resulting from our operations in foreign geographies, primarily the Philippines, offset by economic hedges using foreign currency exchange rate forward contracts. These changes were partially offset by higher interest income. See Part I, Item 3., "Quantitative and Qualitative Disclosures About Market Risk" in this Quarterly Report for additional information on how foreign currency impacts our financial results.
Current wording
Changes are driven by our exposure to foreign currency exchange risk resulting from our operations in foreign geographies, primarily the Philippines, including economic hedges using foreign currency exchange rate forward contracts, as well as higher interest income. See Part I, Item 3., "Quantitative and Qualitative Disclosures About Market Risk" in this Quarterly Report for additional information on how foreign currency impacts our financial results.
Previous wording
The effective tax rate for the three months ended March 31, 2024 and 2023 was 35.7% and 38.6%, respectively. Costs related to the issuance of stock-based compensation, the acquisition of heloo, severance and litigation costs within the provision for income taxes calculation are adjusted for Non-GAAP purposes. If those costs are removed, the provision for income taxes would have been $8.1 million and $8.0 million and the effective tax rate would have been 27.5% and 21.6% for the three months ended March 31, 2024 and 2023, respectively.
Current wording
The effective tax rate for the three months ended June 30, 2024 and 2023 was 36.8% and 42.2%, respectively. Costs related to the issuance of stock-based compensation, the acquisition of heloo, severance and litigation costs within the provision for income taxes calculation are adjusted for Non-GAAP purposes. If those costs are removed, the provision for income taxes would have been $8.5 million and $7.4 million and the effective tax rate would have been 25.5% and 21.7% for the three months ended June 30, 2024 and 2023, respectively.
Previous wording
Digital Customer Experience was primarily driven by a decrease from existing clients in On Demand Travel + Transportation, Entertainment + Gaming, Social Media and HealthTech. These decreases were partially offset by an increase from existing clients in Technology and new clients in Retail + E-Commerce, HealthTech, FinTech and On Demand Travel + Transportation.
Current wording
Digital Customer Experience was primarily driven by a decrease from existing clients in On Demand Travel + Transportation, Entertainment + Gaming, HealthTech and Social Media. These decreases were partially offset by an increase from existing clients in FinTech, as well as new clients in HealthTech, FinTech and Professional Services + Industry.
Previous wording
Trust and Safety was primarily driven by an increase from existing clients in Social Media, On Demand Travel + Transportation and FinTech, as well as new clients in FinTech.
Current wording
Trust and Safety was primarily driven by an increase from existing clients in Social Media, FinTech and On Demand Travel + Transportation.
Previous wording
United States: Digital Customer Experience contributed 34.1% of the total decrease primarily driven by clients in On Demand Travel + Transportation, Social Media, Entertainment + Gaming and FinTech. AI Services contributed 10.0% of the total decrease primarily driven by clients in On Demand Travel + Transportation and Social Media. Trust and Safety contributed 1.1% of the total decrease.
Current wording
United States: Digital Customer Experience contributed 32.6% of the total decrease primarily driven by clients in On Demand Travel + Transportation, Entertainment + Gaming, Social Media, HealthTech and FinTech. AI Services contributed 6.8% of the total decrease primarily driven by clients in On Demand Travel + Transportation and Social Media. Trust and Safety was flat.
Previous wording
India: Trust and Safety contributed 19.3% of the total increase primarily driven by clients in On Demand Travel + Transportation and Social Media. The increase was partially offset by a 14.9% decrease contributed by Digital Customer Experience, primarily driven by clients in On Demand Travel + Transportation, partially offset by clients in Technology and Retail + E Commerce, and a 2.0% decrease contributed by AI Services primarily driven by clients in Social Media, partially offset by clients in On Demand Travel + Transportation.
Current wording
India: Trust and Safety contributed 13.7% of the total increase primarily driven by clients in On Demand Travel + Transportation and Social Media. AI Services contributed 0.2% of the total increase. The increase was partially offset by a 11.9% decrease contributed by Digital Customer Experience, primarily driven by clients in On Demand Travel + Transportation, partially offset by clients in Retail + E-Commerce.
Previous wording
The table below sets forth the percentage of our total service revenue derived from our largest clients for the three months ended March 31, 2024 and 2023:
Current wording
The table below sets forth the percentage of our total service revenue derived from our largest clients for the three and six months ended June 30, 2024 and 2023:
Previous wording
For the three months ended March 31, 2024 and 2023, we generated 19% and 20%, respectively, of our service revenue from our largest client.
Current wording
For the three months ended June 30, 2024 and 2023, we generated 20% and 19%, respectively, of our service revenue from our largest client. For the six months ended June 30, 2024 and 2023, we generated 20% and 20%, respectively, of our service revenue from our largest client.
Previous wording
The following table reconciles GAAP diluted EPS, the most directly comparable GAAP measure, to Adjusted EPS for the three months ended March 31, 2024 and 2023:
Current wording
The following table reconciles GAAP diluted EPS, the most directly comparable GAAP measure, to Adjusted EPS for the three and six months ended June 30, 2024 and 2023:
Previous wording
The following table reconciles net cash provided by operating activities, the most directly comparable GAAP measure, to Free Cash Flow for the three months ended March 31, 2024 and 2023:
Current wording
The following table reconciles net cash provided by operating activities, the most directly comparable GAAP measure, to Free Cash Flow for the six months ended June 30, 2024 and 2023:
Previous wording
As of March 31, 2024, our principal sources of liquidity were cash and cash equivalents totaling $165.4 million, which were held for working capital purposes, as well as the borrowing availability under the 2022 Revolving Credit Facility of $190.0 million.
Current wording
As of June 30, 2024, our principal sources of liquidity were cash and cash equivalents totaling $171.1 million, which were held for working capital purposes, as well as the borrowing availability under the 2022 Revolving Credit Facility of $190.0 million.
Previous wording
As of March 31, 2024, our total indebtedness, net of debt financing fees was $262.6 million. The interest rate in effect for the 2022 Term Loan Facility as of March 31, 2024 was 7.680% per annum. We were in compliance with all debt covenants as of March 31, 2024. See Note 8, "Long-Term Debt" in the Notes to Unaudited Condensed Consolidated Financial Statements included in this Quarterly Report for additional information regarding our debt.
Current wording
As of June 30, 2024, our total indebtedness, net of debt financing fees was $261.0 million. The interest rate in effect for the 2022 Term Loan Facility as of June 30, 2024 was 7.694% per annum. We were in compliance with all debt covenants as of June 30, 2024. See Note 8, "Long-Term Debt" in the Notes to Unaudited Condensed Consolidated Financial Statements included in this Quarterly Report for additional information regarding our debt.
Previous wording
During the three months ended March 31, 2024, we repurchased 285,611 shares of our Class A common stock under the share repurchase program for $3.4 million, which we funded principally with available cash. As of March 31, 2024, $53.9 million remained available for share repurchases under our share repurchase program.
Current wording
During the six months ended June 30, 2024, we repurchased 1,310,167 shares of our Class A common stock under the share repurchase program for $15.0 million, which we funded principally with available cash. As of June 30, 2024, $42.2 million remained available for share repurchases under our share repurchase program. For additional information about our share repurchase program, see Part II, Item 2., "Unregistered Sales of Equity Securities and Use of Proceeds—Issuer Purchases of Equity Securities" in this Quarterly Report.
Previous wording
Net cash provided by operating activities for the three months ended March 31, 2024 was $51.2 million compared to net cash provided by operating activities of $43.7 million for the three months ended March 31, 2023. Net cash provided by operating activities for the three months ended March 31, 2024 reflects net income of $11.7 million, the add back for non-cash charges totaling $26.1 million, as well as changes in operating assets and liabilities of $13.3 million. Non-cash charges primarily consisted of $10.8 million of depreciation, $10.2 million in stock-based compensation expense and $5.0 million of amortization related to intangibles. Net cash provided by operating activities for the three months ended March 31, 2023 reflects net income of $9.5 million, as well as the add back for non-cash charges totaling $22.0 million and changes in operating assets and liabilities of $12.1 million. Non-cash charges primarily consisted of $13.5 million in stock-based compensation expense, $9.7 million of depreciation and $5.1 million of amortization related to intangibles, partially offset by $6.3 million of unrealized foreign exchange gains on forward contracts.
Current wording
Net cash provided by operating activities for the six months ended June 30, 2024 was $81.2 million compared to net cash provided by operating activities of $82.2 million for the six months ended June 30, 2023. Net cash provided by operating activities for the six months ended June 30, 2024 reflects net income of $24.3 million, the add back for non-cash charges totaling $54.1 million, as well as changes in operating assets and liabilities of $2.8 million. Non-cash charges primarily consisted of $21.4 million in stock-based compensation expense, $20.8 million of depreciation and $10.0 million of amortization related to intangibles. Net cash provided by operating activities for the six months ended June 30, 2023 reflects net income of $19.6 million, as well as the add back for non-cash charges totaling $57.2 million and changes in operating assets and liabilities of $5.4 million. Non-cash charges primarily consisted of $28.5 million in stock-based compensation expense, $19.7 million of depreciation and $10.2 million of amortization related to intangibles.
Previous wording
Net cash used in investing activities for the three months ended March 31, 2024 was $3.6 million compared to net cash used in investing activities of $6.2 million for the three months ended March 31, 2023. Purchase of property and equipment decreased primarily due to the timing of site build-out costs. Net cash used in investing activities for the three months ended March 31, 2023 included investment in loan receivable.
Current wording
Net cash used in investing activities for the six months ended June 30, 2024 was $8.1 million compared to net cash used in investing activities of $16.0 million for the six months ended June 30, 2023. Purchase of property and equipment decreased primarily due to the timing of site build-out costs.
Previous wording
Net cash used in financing activities for the three months ended March 31, 2024 was $5.7 million compared to net cash used by financing activities of $7.1 million for the three months ended March 31, 2023. The decrease was due primarily to lower payments to acquire shares under our share repurchase program, partially offset by higher payments for taxes related to net share settlement of equity awards and payments on long-term debt.
Current wording
Net cash used in financing activities for the six months ended June 30, 2024 was $18.6 million compared to net cash used by financing activities of $45.8 million for the six months ended June 30, 2023. The decrease was due primarily to lower payments to acquire shares under our share repurchase program.
Rearranged current paragraphs (23)
Current report — wording carried from elsewhere
Trust and Safety was primarily driven by an increase from existing clients in Social Media and FinTech.
Current report — wording carried from elsewhere
AI Services was primarily driven by a decrease from existing clients in Social Media.
Current report — wording carried from elsewhere
The following tables set forth certain historical consolidated financial information for the six months ended June 30, 2024 and 2023:
Current report — wording carried from elsewhere
The following table presents the breakdown of our service revenue by service offering for each period:
Current report — wording carried from elsewhere
We deliver our services from multiple locations around the world; however, the majority of our service revenues are derived from contracts that require payment in United States dollars, regardless of whether the clients are located in the United States.
Current report — wording carried from elsewhere
The following table presents the breakdown of our service revenue by geographical location, based on where the services are provided, for each period:
Current report — wording carried from elsewhere
The decrease was primarily driven by lower personnel costs of $12.4 million, due primarily to a reduction in earn-out compensation and stock-based compensation expense, partially offset by an increase in bonus expense due to higher company performance. The remaining decrease included lower insurance expense based on renegotiated rates, as well as a reduction in certain taxes, licenses and permits. These decreases were partially offset by certain litigation costs which we expect to continue in future periods, as well as higher software costs.
Current report — wording carried from elsewhere
Changes are primarily driven by our exposure to foreign currency exchange risk resulting from our operations in foreign geographies, primarily the Philippines, offset by economic hedges using foreign currency exchange rate forward contracts. The remaining increase is associated with higher interest income. See Part I, Item 3., "Quantitative and Qualitative Disclosures About Market Risk" in this Quarterly Report for additional information on how foreign currency impacts our financial results.
Current report — wording carried from elsewhere
Changes in financing expense are primarily driven by the rate of SOFR used to calculate the interest rate of our debt.
Current report — wording carried from elsewhere
The effective tax rate for the six months ended June 30, 2024 and 2023 was 36.3% and 40.5%, respectively. Costs related to the issuance of stock-based compensation, the acquisition of heloo, severance and litigation costs within the provision for income taxes calculation are adjusted for Non-GAAP purposes. If those costs are removed, the provision for income taxes would have been $16.6 million and $15.4 million and the effective tax rate would have been 26.4% and 21.6% for the six months ended June 30, 2024 and 2023, respectively.
Current report — wording carried from elsewhere
(7) Represents tax impacts of adjustments to net income which resulted in a tax benefit during the period, including stock-based compensation expense and earn-out consideration.
Current report — wording carried from elsewhere
(8) Net Income Margin represents net income divided by service revenue and Adjusted Net Income Margin represents Adjusted Net Income divided by service revenue.
Current report — wording carried from elsewhere
(1) Represents earn-out consideration recognized as compensation expense related to the acquisition of heloo.
Current report — wording carried from elsewhere
(3) Represents severance payments as a result of certain cost optimization measures we undertook during the period to restructure support roles.
Current report — wording carried from elsewhere
(4) Represents only those litigation costs that are considered non-recurring and outside of the ordinary course of business.
Current report — wording carried from elsewhere
(5) Represents stock-based compensation expense, as well as associated payroll tax.
Current report — wording carried from elsewhere
The following table reconciles net income, the most directly comparable GAAP measure, to EBITDA and Adjusted EBITDA for the six months ended June 30, 2024 and 2023:
Current report — wording carried from elsewhere
(2) Represents earn-out consideration recognized as compensation expense related to the acquisition of heloo.
Current report — wording carried from elsewhere
(4) Represents severance payments as a result of certain cost optimization measures we undertook during the period to restructure support roles.
Current report — wording carried from elsewhere
(5) Represents only those litigation costs that are considered non-recurring and outside of the ordinary course of business.
Current report — wording carried from elsewhere
(6) Represents stock-based compensation expense, as well as associated payroll tax.
Current report — wording carried from elsewhere
(7) Represents interest earned on short-term savings, time-deposits and money market funds.
Current report — wording carried from elsewhere
(8) Net Income Margin represents net income divided by service revenue and Adjusted EBITDA Margin represents Adjusted EBITDA divided by service revenue.