Q2 Software was founded in 2004 and is headquartered in Austin, US

President & CEO

Q2 Software has offices in Austin and Lincoln

Austin, US (HQ)

150 13785 Research Blvd

Q2 Software's revenue was reported to be $44.5 m in Q1, 2017

USD

## Revenue (Q1, 2017) | 44.5 m |

## Gross profit (Q1, 2017) | 21.8 m |

## Gross profit margin (Q1, 2017), % | 49% |

## Net income (Q1, 2017) | (7 m) |

## EBIT (Q1, 2017) | (6.9 m) |

## Market capitalization (17-Aug-2017) | 1.5 b |

## Cash (31-Mar-2017) | 42.8 m |

Q2 Software's current market capitalization is $1.5 b.

- Source: SEC Filings

USD | FY, 2014^{} | FY, 2015^{} | FY, 2016^{} |
---|---|---|---|

## Revenue | 79.1 m | 108.9 m | 150.2 m |

## Revenue growth, % | 38% | 38% | |

## Cost of goods sold | 46.1 m | 59.1 m | 77.4 m |

## Gross profit | 33.1 m | 49.7 m | 72.8 m |

## Gross profit Margin, % | 42% | 46% | 48% |

## Sales and marketing expense | 23.1 m | 27 m | 36.3 m |

## R&D expense | 12.1 m | 21.5 m | 32.5 m |

## General and administrative expense | 17 m | 23 m | 32 m |

## Operating expense total | 52.1 m | 74.6 m | 108.5 m |

## EBITDA | (10.4 m) | (8.1 m) | (4.5 m) |

## EBITDA margin, % | (13%) | (7%) | (3%) |

## EBIT | (19.1 m) | (24.8 m) | (35.7 m) |

## EBIT margin, % | (24%) | (23%) | (24%) |

## Pre tax profit | (19.6 m) | (24.8 m) | (35.9 m) |

## Income tax expense | 71 k | 220 k | 427 k |

## Net Income | (19.6 m) | (25.1 m) | (36.4 m) |

USD | Q2, 2014^{} | Q3, 2014^{} | Q1, 2015^{} | Q2, 2015^{} | Q3, 2015^{} | Q1, 2016^{} | Q2, 2016^{} | Q3, 2016^{} | Q1, 2017^{} |
---|---|---|---|---|---|---|---|---|---|

## Revenue | 19.2 m | 21 m | 24.2 m | 26.3 m | 28 m | 33.8 m | 36 m | 38.3 m | 44.5 m |

## Cost of goods sold | 10.8 m | 12.1 m | 13.3 m | 14.1 m | 15.1 m | 17.8 m | 18.9 m | 19.6 m | 22.8 m |

## Gross profit | 8.3 m | 8.8 m | 10.9 m | 12.1 m | 12.9 m | 15.9 m | 17.1 m | 18.7 m | 21.8 m |

## Gross profit Margin, % | 43% | 42% | 45% | 46% | 46% | 47% | 48% | 49% | 49% |

## Sales and marketing expense | 6 m | 5.6 m | 6.2 m | 7 m | 6.7 m | 8.2 m | 9.6 m | 9 m | 9.9 m |

## R&D expense | 2.8 m | 3.2 m | 4.2 m | 4.8 m | 6 m | 7.9 m | 7.8 m | 8.2 m | 9.7 m |

## General and administrative expense | 4.1 m | 4.6 m | 5.1 m | 5.3 m | 6 m | 7.4 m | 7.4 m | 8.6 m | 8.5 m |

## Operating expense total | 12.9 m | 13.4 m | 15.5 m | 17.1 m | 18.6 m | 23.5 m | 24.9 m | 25.8 m | 28 m |

## EBIT | (4.5 m) | (4.5 m) | (4.6 m) | (5 m) | (7 m) | (9.4 m) | (9.6 m) | (9.3 m) | (6.9 m) |

## EBIT margin, % | (24%) | (22%) | (19%) | (19%) | (25%) | (28%) | (27%) | (24%) | (16%) |

## Pre tax profit | (4.7 m) | (4.6 m) | (4.6 m) | (5 m) | (6.9 m) | (9.4 m) | (9.7 m) | (9.4 m) | (6.9 m) |

## Income tax expense | (15 k) | (18 k) | (32 k) | (12 k) | (79 k) | (230 k) | (3 k) | (97 k) | (136 k) |

## Net Income | (10.2 m) | (14.9 m) | (4.6 m) | (5 m) | (7 m) | (9.7 m) | (9.7 m) | (9.5 m) | (7 m) |

- Source: SEC Filings

USD | FY, 2014^{} | FY, 2015^{} | FY, 2016^{} |
---|---|---|---|

## Cash | 68 m | 67 m | 54.9 m |

## Accounts Receivable | 5 m | 9 m | 12.2 m |

## Current Assets | 104.5 m | 133.2 m | 125.7 m |

## PP&E | 18.5 m | 24.4 m | 27.5 m |

## Goodwill | 12.9 m | 12.9 m | |

## Total Assets | 136.8 m | 204.5 m | 201 m |

## Accounts Payable | 2 m | 3.5 m | 4.2 m |

## Total Debt | 575 k | 161 k | |

## Current Liabilities | 32.9 m | 45.7 m | 59.2 m |

## Total Liabilities | 57.9 m | 86.5 m | 100.7 m |

## Additional Paid-in Capital | 143.3 m | 207.5 m | 226.5 m |

## Retained Earnings | (64.4 m) | (89.4 m) | (125.8 m) |

## Total Equity | 78.9 m | 118 m | 100.2 m |

## Debt to Equity Ratio | 0 x | 0 x | |

## Debt to Assets Ratio | 0 x | 0 x | |

## Financial Leverage | 1.7 x | 1.7 x | 2 x |

USD | Q2, 2014^{} | Q3, 2014^{} | Q1, 2015^{} | Q2, 2015^{} | Q3, 2015^{} | Q1, 2016^{} | Q2, 2016^{} | Q3, 2016^{} | Q1, 2017^{} |
---|---|---|---|---|---|---|---|---|---|

## Cash | 94.9 m | 72.3 m | 94.2 m | 69.4 m | 75.2 m | 55.3 m | 52.5 m | 51.6 m | 42.8 m |

## Accounts Receivable | 5.5 m | 6.5 m | 7.2 m | 7 m | 9 m | 8.7 m | 10.6 m | 16.2 m | 8.4 m |

## Current Assets | 107.5 m | 106.4 m | 137.2 m | 135.7 m | 141.1 m | 128.4 m | 124.1 m | 127.4 m | 109.6 m |

## PP&E | 14 m | 14.3 m | 19 m | 18.7 m | 21.4 m | 27.5 m | 27.8 m | 29 m | 31.7 m |

## Goodwill | 8.8 m | 12.9 m | 12.9 m | 12.9 m | 12.9 m | ||||

## Total Assets | 133.5 m | 133.3 m | 171 m | 169.7 m | 198.7 m | 203.6 m | 200.2 m | 205.3 m | 191.6 m |

## Accounts Payable | 1.9 m | 2.6 m | 3.4 m | 3.5 m | 3.7 m | 4.9 m | 5.5 m | 5.1 m | 5.8 m |

## Current Liabilities | 23.5 m | 28.2 m | 35.5 m | 32.5 m | 39.3 m | 48.7 m | 52.4 m | 60.5 m | 51.6 m |

## Additional Paid-in Capital | 139.7 m | 140.9 m | 178.3 m | 180.4 m | 204.5 m | 210.9 m | 215.8 m | 221 m | 233.9 m |

## Retained Earnings | (55 m) | (59.6 m) | (69 m) | (74 m) | (81 m) | (99.1 m) | (108.8 m) | (118.3 m) | (133 m) |

## Total Equity | 84.8 m | 81.3 m | 109.2 m | 106.3 m | 123.4 m | 111.8 m | 106.9 m | 102.5 m | 100.4 m |

## Financial Leverage | 1.6 x | 1.6 x | 1.6 x | 1.6 x | 1.6 x | 1.8 x | 1.9 x | 2 x | 1.9 x |

USD | FY, 2014^{} | FY, 2015^{} | FY, 2016^{} |
---|---|---|---|

## Net Income | (19.6 m) | (25.1 m) | (36.4 m) |

## Depreciation and Amortization | 4.1 m | 6.8 m | 12.2 m |

## Accounts Receivable | 4 m | (3.3 m) | (3.2 m) |

## Accounts Payable | (842 k) | 1.3 m | 426 k |

## Cash From Operating Activities | (5.3 m) | 5.4 m | 3.4 m |

## Purchases of PP&E | (5 m) | (7.1 m) | (14.3 m) |

## Cash From Investing Activities | (26.7 m) | (58.4 m) | (16.5 m) |

## Cash From Financing Activities | 81.3 m | 52.1 m | 944 k |

## Interest Paid | 419 k | 212 k | 217 k |

## Income Taxes Paid | 55 k | 60 k | 120 k |

USD | Q2, 2014^{} | Q3, 2014^{} | Q1, 2015^{} | Q2, 2015^{} | Q3, 2015^{} | Q1, 2016^{} | Q2, 2016^{} | Q3, 2016^{} | Q1, 2017^{} |
---|---|---|---|---|---|---|---|---|---|

## Net Income | (10.2 m) | (14.9 m) | (4.6 m) | (5 m) | (7 m) | (9.7 m) | (9.7 m) | (9.5 m) | (7 m) |

## Depreciation and Amortization | 2 m | 3.1 m | |||||||

## Accounts Receivable | 3.5 m | 2.5 m | 7.2 m | 7 m | 9 m | 8.7 m | 10.6 m | 16.2 m | 8.4 m |

## Accounts Payable | (1 m) | (427 k) | 3.4 m | 3.5 m | 3.7 m | 4.9 m | 5.5 m | 5.1 m | 5.8 m |

## Cash From Operating Activities | (4.1 m) | (4.3 m) | |||||||

## Purchases of PP&E | (2.5 m) | (3.8 m) | |||||||

## Cash From Investing Activities | (2.5 m) | (22.6 m) | |||||||

## Cash From Financing Activities | 82.8 m | 80.5 m | |||||||

## Interest Paid | 207 k | 207 k | |||||||

## Income Taxes Paid | 55 k | 55 k |

USD | Y, 2017 |
---|---|

## Revenue/Employee | 60 k |

## Financial Leverage | 1.9 x |

Q2 Software's Customers was reported to be 70 k in FY, 2016, which is a 8% increase from the previous period. Q2 Software's Patent Applications was reported to be 2 in FY, 2016, which is a 60% decrease from the previous period

- Source: SEC Filings