| The following table provides a reconciliation of Adjusted EBITDA to net income (loss), the most comparable GAAP financial measure (in thousands): | |||||||||||||||||||
| (Unaudited) | |||||||||||||||||||
|
Three Months Ended
December 31, |
Twelve Months Ended
December 31, | ||||||||||||||||||
| 2018 606 | 2018 605 | 2017 605 | 2018 606 | 2018 605 | 2017 605 | ||||||||||||||
| Net income (loss) | $ | (10,823) | $ | (9,842) | $ | (60,347) | $ | 13,715 | $ | 2,899 | $ | (99,407) | |||||||
| Income tax expense | 7,692 | 7,843 | 56,643 | 13,309 | 12,472 | 62,996 | |||||||||||||
| Stock-based compensation expense | 2,126 | 2,126 | 7,979 | 3,339 | 3,339 | 47,281 | |||||||||||||
| Interest expense | 108 | 108 | 367 | 200 | 200 | 2,160 | |||||||||||||
| Interest income and other(1) | 9,986 | 9,986 | (76) | 4,882 | 4,882 | (2,260) | |||||||||||||
| Depreciation and amortization | 3,839 | 3,839 | 3,852 | 14,734 | 14,734 | 11,747 | |||||||||||||
| Adjusted EBITDA | $ | 12,928 | $ | 14,060 | $ | 8,418 | $ | 50,180 | $ | 38,527 | $ | 22,517 | |||||||
| (1) | Includes for the year ended December 31, 2018 a) nonrecurring costs from the acquisition of Datawatch of $10.4 million, b) gain on the sale of a building of $4.4 million, c) impairment charges for royalty contracts and trade names resulting in $2.8 million of expense. Includes for the years ended December 31, 2018 and 2017, a non-recurring adjustment for a change in estimated legal expenses resulting in $2.0 million of income in each year. | ||||||||||||||||||
| The following table provides a reconciliation of Free Cash Flow to net cash provided by operating activities, the most comparable GAAP financial measure (in thousands): | ||||||||||||
| (Unaudited) | ||||||||||||
|
Three Months Ended
December 31, |
Twelve Months Ended
December 31, | |||||||||||
| 2018 | 2017 | 2018 | 2017 | |||||||||
| Net cash (used in) provided by operating activities | $ | (4,192) | $ | (1,364) | $ | 36,230 | $ | 16,091 | ||||
| Capital expenditures | (1,326) | (3,155) | (6,659) | (7,522) | ||||||||
| Free cash flow | $ | (5,518) | $ | (4,519) | $ | 29,571 | $ | 8,569 | ||||
