(2) The three months ended December 31, 2022, includes $6.9 million currency gains on acquisition-related intercompany loans and a $0.3 million loss from a mark-to-market adjustment of contingent consideration associated with the World Programming acquisition. The twelve months ended December 31, 2022, includes $16.6 million expense on the repurchase of convertible senior notes, $6.8 million currency losses on acquisition-related intercompany loans, and a $7.2 million gain from the mark-to-market adjustment of contingent consideration associated with the World Programming acquisition.
(3) The Non-GAAP diluted shares outstanding for the three and twelve months ended December 31, 2021, has been changed to align with the current definition.
The following table provides a reconciliation of Adjusted EBITDA to net income (loss), the most comparable GAAP financial measure:
| (Unaudited) | ||||||||||||||||
|
Three Months Ended
December 31, |
Twelve Months Ended
December 31, | |||||||||||||||
| (in thousands) | 2022 | 2021 | 2022 | 2021 | ||||||||||||
| Net income (loss) | $ | 12,065 | $ | (1,397 | ) | $ | (43,429 | ) | $ | (8,794 | ) | |||||
| Income tax expense | 208 | 4,082 | 15,216 | 8,506 | ||||||||||||
| Stock-based compensation expense | 22,263 | 13,320 | 84,787 | 44,549 | ||||||||||||
| Interest expense | 1,526 | 3,067 | 4,377 | 12,065 | ||||||||||||
| Depreciation and amortization | 11,412 | 6,289 | 35,504 | 25,644 | ||||||||||||
| Restructuring expense | — | 99 | — | 5,053 | ||||||||||||
| Special adjustments, interest income and other (1) | (8,733 | ) | (1,495 | ) | 12,145 | (1,770 | ) | |||||||||
| Adjusted EBITDA | $ | 38,741 | $ | 23,965 | $ | 108,600 | $ | 85,253 | ||||||||
(1) The three months ended December 31, 2022, includes $6.9 million currency gains on acquisition-related intercompany loans, a $0.3 million loss from a mark-to-market adjustment of contingent consideration associated with the World Programming acquisition, and $2.1 million of interest income. The twelve months ended December 31, 2022, includes $16.6 million expense on the repurchase of convertible senior notes, $6.8 million currency losses on acquisition-related intercompany loans, a $7.2 million gain from the mark-to-market adjustment of contingent consideration associated with the World Programming acquisition, and $4.1 million of interest income.
