LiveRamp (US:RAMP)2022-11-08 21:36Part I. Financial Information Forward-looking Statements This section outlines forward-looking statements, emphasizing they are not guarantees and are subject to various material risks - Forward-looking statements are not guarantees of future performance and are subject to numerous factors and uncertainties that could cause actual results to differ materially from anticipated results6 - Key risk factors include management's expectations about the macro economy, trends in consumer/business information industries, laws governing personal data, potential impact of COVID-19, tax legislation, and costs associated with workforce and real estate reductions712 - Additional risks involve client contract terminations upon change of control, integration challenges of acquired businesses, lengthening sales cycles, inability to attract/retain talent, protecting proprietary information, changes in regulatory environments, data supplier withdrawals, and impacts from the deprecation of third-party cookies89 Item 1. Financial Statements This section presents LiveRamp Holdings, Inc.'s unaudited condensed consolidated financial statements and detailed notes Condensed Consolidated Balance Sheets | ASSETS (Dollars in thousands) | September 30, 2022 | March 31, 2022 | | :---------------------------- | :----------------- | :------------- | | Cash and cash equivalents | $485,602 | $600,162 | | Trade accounts receivable, net| $157,711 | $148,343 | | Total current assets | $704,796 | $815,834 | | Total assets | $1,188,499 | $1,333,736 | | LIABILITIES AND STOCKHOLDERS' EQUITY | | | | Total current liabilities | $150,198 | $184,566 | | Total stockholders' equity | $960,069 | $1,063,060 | | Total liabilities and stockholders' equity | $1,188,499 | $1,333,736 | Condensed Consolidated Statements of Operations | (Dollars in thousands, except per share amounts) | For the three months ended Sep 30, 2022 | For the three months ended Sep 30, 2021 | For the six months ended Sep 30, 2022 | For the six months ended Sep 30, 2021 | | :----------------------------------------------- | :-------------------------------------- | :-------------------------------------- | :------------------------------------ | :------------------------------------ | | Revenues | $147,099 | $127,290 | $289,342 | $246,328 | | Gross profit | $104,795 | $92,211 | $206,017 | $176,934 | | Loss from operations | $(29,122) | $(6,182) | $(54,724) | $(23,783) | | Net earnings (loss) | $(30,436) | $(6,431) | $(57,654) | $10,934 | | Basic earnings (loss) per share | $(0.45) | $(0.09) | $(0.85) | $0.16 | | Diluted earnings (loss) per share | $(0.45) | $(0.09) | $(0.85) | $0.16 | Condensed Consolidated Statements of Comprehensive Income (Loss) | (Dollars in thousands) | For the three months ended Sep 30, 2022 | For the three months ended Sep 30, 2021 | For the six months ended Sep 30, 2022 | For the six months ended Sep 30, 2021 | | :--------------------- | :-------------------------------------- | :-------------------------------------- | :------------------------------------ | :------------------------------------ | | Net earnings (loss) | $(30,436) | $(6,431) | $(57,654) | $10,934 | | Other comprehensive loss: | | | | | | Change in foreign currency translation adjustment | $(1,876) | $(994) | $(3,805) | $(1,546) | | Comprehensive income (loss) | $(32,312) | $(7,425) | $(61,459) | $9,388 | Condensed Consolidated Statements of Equity | (Dollars in thousands) | Common Stock (Amount) | Additional paid-in Capital | Retained earnings | Accumulated other comprehensive income (loss) | Treasury Stock (Amount) | Total Equity | | :--------------------- | :-------------------- | :------------------------- | :---------------- | :-------------------------------------------- | :---------------------- | :----------- | | Balances at March 31, 2022 | $14,984 | $1,721,118 | $1,420,993 | $5,730 | $(2,099,765) | $1,063,060 | | Net loss (6 months ended Sep 30, 2022) | — | — | $(57,654) | — | — | $(57,654) | | Balances at September 30, 2022 | $15,148 | $1,780,803 | $1,363,339 | $1,925 | $(2,201,146) | $960,069 | | (Dollars in thousands) | Common Stock (Amount) | Additional paid-in Capital | Retained earnings | Accumulated other comprehensive income (loss) | Treasury Stock (Amount) | Total Equity | | :--------------------- | :-------------------- | :------------------------- | :---------------- | :-------------------------------------------- | :---------------------- | :----------- | | Balances at March 31, 2021 | $14,781 | $1,630,072 | $1,454,826 | $7,522 | $(2,026,518) | $1,080,683 | | Net earnings (6 months ended Sep 30, 2021) | — | — | $10,934 | — | — | $10,934 | | Balances at September 30, 2021 | $14,887 | $1,669,461 | $1,465,760 | $5,976 | $(2,083,137) | $1,072,947 | Condensed Consolidated Statements of Cash Flows | (Dollars in thousands) | For the six months ended Sep 30, 2022 | For the six months ended Sep 30, 2021 | | :--------------------- | :------------------------------------ | :------------------------------------ | | Net cash used in operating activities | $(11,994) | $(6,340) | | Net cash provided by (used in) investing activities | $(4,014) | $21,329 | | Net cash used in financing activities | $(96,790) | $(52,341) | | Net change in cash and cash equivalents | $(114,560) | $(37,366) | | Cash and cash equivalents at end of period | $485,602 | $544,321 | Notes to Condensed Consolidated Financial Statements This section details accounting policies, earnings per share, revenue, leases, stock-based compensation, and other financial items Note 1. Basis of Presentation and Summary of Significant Accounting Policies - The condensed consolidated financial statements are unaudited, prepared in conformity with U.S. GAAP, and include management's estimates and assumptions3435 - The adoption of ASU 2021-08 (Business Combinations) on April 1, 2022, which changes how contract assets and liabilities are recognized in business combinations, did not have a material impact on the financial statements36 - There are no other material accounting pronouncements applicable to the Company that have not yet been adopted37 Note 2. Earnings (Loss) Per Share and Stockholders' Equity | (Dollars in thousands, except per share amounts) | For the three months ended Sep 30, 2022 | For the three months ended Sep 30, 2021 | For the six months ended Sep 30, 2022 | For the six months ended Sep