For the year ended December 31,
------------------------------------------------
(in millions) 2013 2012 2011 2010 2009
-------- -------- -------- -------- --------
Net (loss) income $ (68.3) $ 39.0 $ (28.1) $ 2.5 $ 47.4
Depreciation and
amortization 224.8 114.6 117.1 118.9 74.4
Interest expense (income),
net 3.4 9.1 21.7 40.4 (0.1)
Income tax (benefit)
expense (37.5) 26.9 (17.9) 4.3 31.0
-------- -------- -------- -------- --------
EBITDA 122.4 189.6 92.8 166.1 152.7
Loss from early
extinguishment of debt 17.8 - 51.8 - 7.7
Restructuring charges(1) 40.1 - - - -
Acquisition costs(1) 20.6 19.9 - - -
Integration costs(1) 29.2 - - - -
-------- -------- -------- -------- --------
Adjusted EBITDA $ 230.1 $ 209.5 $ 144.6 $ 166.1 $ 160.4
======== ======== ======== ======== ========
(1) Restructuring, acquisition and integration costs consist of non-recurring charges related to the combination with GeoEye.
EBITDA and Adjusted EBITDA are not recognized terms under generally accepted accounting principles (GAAP), in the United States and may not be defined similarly by other companies. EBITDA and Adjusted EBITDA should not be considered an alternative to net income, as an indication of financial performance, or as an alternative to cash flow from operations as a measure of liquidity. There are limitations to using non-GAAP financial measures, including the difficulty associated with comparing companies that use similar performance measures whose calculations may differ from ours. EBITDA margin is calculated by dividing EBITDA by GAAP net revenue. Adjusted EBITDA margin is calculated by dividing Adjusted EBITDA by GAAP net revenue.
DigitalGlobe, Inc.
Consolidated Balance Sheets
As of December 31,
----------------------
(in millions, except par value) 2013 2012
---------- ----------
ASSETS
CURRENT ASSETS:
Cash and cash equivalents $ 229.1 $ 246.2
Restricted cash 6.9 3.8
Accounts receivable, net of allowance for doubtful
accounts of $2.4 and $2.9, respectively 116.3 67.0
Prepaid and current assets 33.8 18.6
Deferred taxes 43.1 43.9
---------- ----------
Total current assets 429.2 379.5
Property and equipment, net of accumulated
depreciation of $880.6 and $676.2, respectively 2,177.5 1,115.2
Goodwill 459.3 8.7
Intangible assets, net of accumulated amortization
of $8.7 and $0, respectively 39.9 -
Aerial image library, net of accumulated
amortization of $41.3 and $33.4, respectively 9.1 16.4
Long-term restricted cash 4.5 8.3
Long-term deferred contract costs 44.9 37.3
Other assets 38.6 12.1
---------- ----------
Total assets $ 3,203.0 $ 1,577.5
========== ==========
LIABILITIES AND STOCKHOLDERS' EQUITY
CURRENT LIABILITIES:
Accounts payable $ 20.9 $ 10.2
Current portion of long-term debt 5.5 5.0
Other accrued liabilities 80.3 56.3
Current portion of deferred revenue 81.3 42.9
---------- ----------
Total current liabilities 188.0 114.4
Deferred revenue 374.6 386.8
Long-term debt, net of discount 1,137.1 478.6
Long-term deferred tax liability, net 117.2 55.6
Other liabilities 2.8 2.7
---------- ----------
Total liabilities $ 1,819.7 $ 1,038.1
---------- ----------
COMMITMENTS AND CONTINGENCIES
STOCKHOLDERS' EQUITY
Series A convertible preferred stock, $0.001 par
value, 0.08 shares authorized; 0.08 issued and
outstanding at December 31, 2013; and no shares
authorized, issued and outstanding at December 31,
2012 - -
Common stock; $0.001 par value; 250.0 shares
authorized; 75.5 shares issued and 75.3 shares
outstanding at December 31, 2013 and 47.2 shares
issued and 47.1 shares outstanding at December 31,
2012 0.2 0.2
Treasury stock, at cost; 0.2 shares at December 31,
2013 and 0.1 shares at December 31, 2012 (3.5) (2.0)
Additional paid-in capital 1,457.5 543.8
Accumulated deficit (70.9) (2.6)
---------- ----------
Total stockholders' equity 1,383.3 539.4
---------- ----------
Total liabilities and stockholders' equity $ 3,203.0 $ 1,577.5
========== ==========
DigitalGlobe, Inc.
Consolidated Statements of Cash Flows
For the year ended December 31,
-------------------------------
(in millions) 2013 2012 2011
--------- --------- ---------
CASH FLOWS FROM OPERATING ACTIVITIES:
Net (loss) income $ (68.3) $ 39.0 $ (28.1)
Adjustments to reconcile net (loss) income
to net cash provided by operating
activities:
Depreciation and amortization expense 224.8 114.6 117.1
Amortization of aerial image library,
deferred contract costs and lease
incentive 16.9 17.9 10.2
Non-cash stock-based compensation expense,
net of capitalized stock-based
compensation expense 23.0 9.2 14.4
Amortization of debt issuance costs and
accretion of debt discount and other 3.3 4.7 3.9
Write-off of debt issuance costs and debt
discount 12.8 - 12.0
Deferred income taxes (31.4) 17.2 (18.5)
Changes in working capital, net of assets
acquired and liabilities assumed in
business combinations:
Accounts receivable, net (10.4) (16.3) (5.4)
Other current and non-current assets (21.3) (10.9) (23.7)
Accounts payable 0.1 0.9 5.5
Accrued liabilities (37.5) 14.6 (4.2)
Deferred revenue 14.1 73.6 73.6
Cash fees paid on early extinguishment of
long-term debt and debt discount (13.8) - (14.0)
--------- --------- ---------
Net cash flows provided by operating
activities 112.3 264.5 142.8
--------- --------- ---------
CASH FLOWS FROM INVESTING ACTIVITIES:
Construction in progress additions (273.8) (210.7) (255.6)
Acquisition of businesses, net of cash
acquired (524.0) - -
Other property and equipment additions (13.3) (10.7) (6.6)
Decrease in restricted cash 16.6 5.4 2.7
--------- --------- ---------
Net cash flows used in investing activities (794.5) (216.0) (259.5)
--------- --------- ---------
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from issuance of debt 1,150.0 - 487.0
Repayment of debt (485.3) (5.0) (341.8)
Payment of debt issuance costs (36.2) - (11.1)
Preferred stock dividend payment (3.0) - -
Proceeds from exercise of stock options 39.6 4.2 1.8
--------- --------- ---------
Net cash flows provided by (used in)
financing activities 665.1 (0.8) 135.9
--------- --------- ---------
Net (decrease) increase in cash and cash
equivalents (17.1) 47.7 19.2
Cash and cash equivalents, beginning of
period 246.2 198.5 179.3
--------- --------- ---------
Cash and cash equivalents, end of period $ 229.1 $ 246.2 $ 198.5
========= ========= =========
SUPPLEMENTAL CASH FLOW INFORMATION:
Cash paid for interest, net of capitalized
amounts of $38.1, $24.4 and $18.6,
respectively $ - $ 5.4 $ 23.2
Cash paid for income taxes $ 13.9 $ 1.5 $ 1.7
NON-CASH INVESTING AND FINANCING ACTIVITIES:
Changes to non-cash property, equipment and
construction in progress accruals,
including interest $ (12.9) $ 9.0 $ (0.5)
Issuance of shares of common and convertible
preferred stock for acquisition of business 837.8 - -
Stock-based compensation awards issued in
acquisition of business, net of income
taxes 13.4 - -
Non-cash preferred stock dividend accrual (1.0) - -
