Altisource Announces Second Quarter Financial Results and Attractive Client Wins

LUXEMBOURG, July 26, 2018 (GLOBE NEWSWIRE) -- Altisource Portfolio Solutions S.A. ("Altisource" or the "Company") ASPS today reported financial results for the second quarter 2018.

Second quarter service revenue of $208.9 million increased by 11% compared to the first quarter of 2018, driven by growth in the buy-renovate-lease-sell, Hubzu® and property preservation and inspection businesses.  Second quarter 2018 service revenue was 12% lower than the second quarter of 2017 primarily from the reduction in size of the Ocwen Financial Corporation ("Ocwen") servicing portfolio resulting from loan repayments, loan modifications, short sales, REO sales and other forms of resolution and Front Yard Residential Corporation's ("RESI") smaller portfolio of non-performing loans and REO. These declines were partially offset by non-Ocwen service revenue growth in the buy-renovate-lease-sell, property preservation and inspection, renovation management and Owners.com® businesses.

Second quarter 2018 diluted earnings per share was $0.09 and adjusted diluted earnings per share(1) was $0.60, compared to first quarter 2018 diluted loss per share of $(0.24) and adjusted diluted earnings per share(1) of $0.48.  Second quarter adjusted diluted earnings per share was higher than the first quarter of 2018 from higher service revenue, partially offset by higher interest expense.  Second quarter 2018 adjusted diluted earnings per share was 35% lower than the second quarter of 2017 primarily from higher interest expense and lower service revenue in 2018 and a gain on debt repurchase in 2017.

Second quarter 2018 adjusted diluted earnings per share(1) excludes $4.4 million of pretax loss related to the April 3, 2018 debt refinancing ($0 in the second quarter 2017) and mark-to-market pretax gain of approximately $1.5 million from our investment in RESI shares (not included in the determination of net income in 2017).

"I'm pleased with our second quarter financial performance.  Compared to the mid-point of our full year 2018 scenarios, adjusted diluted earnings per share for the first half of 2018 is 53% of the mid-point," said Chief Executive Officer William B. Shepro.

Mr. Shepro further commented, "More importantly, we are making excellent progress on the sales front as our industry consolidates to high performing vendors.  We believe our recent wins with some of the largest financial institutions in the mortgage industry and the progress we are making onboarding these customers will provide strong diversified revenue growth."

Second Quarter 2018 Highlights(2)

Corporate

  • Generated $27.8 million of adjusted cash flows from operating activities(1)
  • Ended the quarter with $127.8 million of cash, cash equivalents and marketable securities and $276.0 million of net debt less marketable securities(1)
  • Refinanced our Senior Secured Term Loan ("SSTL") on April 3, 2018, extending the maturity from December 2020 to April 2024.  The new SSTL has no maintenance covenants, carries over the available baskets for restricted payments from our previous credit agreement, and reduces net debt by the lesser of the value of marketable securities and $75 million in determining whether excess cash flow sweeps are required
  • Repurchased 0.4 million shares of our common stock at an average price of $27.14 per share

Servicer Solutions

  • Received notifications from four new or existing clients that we have won their business or that they are expanding the service offerings purchased from Altisource
  • Of the four customer wins, one is to provide foreclosure and REO auction services to one of the largest institutional real estate and mortgage investors in the country; we signed the master services agreement in July and anticipate receiving foreclosure and REO auction referrals during the fourth quarter

Origination Solutions

  • Launched the Trelix end-to-end fulfillment services offering and significantly grew the sales pipeline for this offering
  • Completed the onboarding of a significant platform customer that we won in the first quarter
  • Received notification that we won an additional platform customer

Real Estate Investor Solutions

  • Grew service revenue from the buy-renovate-lease-sell business by 83% compared to the second quarter of 2017 from an increase in the number of homes sold from 46 to 83 over the same period
  • Ended the quarter with 260 homes in the buy-renovate-lease-sell business, compared to 101 homes at the end of the second quarter of 2017

Consumer Real Estate Solutions

  • Grew service revenue by 65% and the number of home purchase and sale transactions by 58% compared to the first quarter of 2018; grew service revenue by 79% and the number of home purchase and sale transactions by 66% compared to the second quarter of 2017
  • Working with approximately 4,200 clients at the end of the second quarter 2018, compared to 3,200 clients at the end of the first quarter of 2018 and 1,500 clients at the end of the second quarter of 2017

Second Quarter 2018 Results Compared to First Quarter 2018 and Second Quarter 2017:

  • Service revenue of $208.9 million, an 11% increase compared to the first quarter 2018 and a 12% decrease compared to the second quarter 2017
  • Other income (expense), net includes (1) a loss on debt refinancing of $4.4 million in the second quarter 2018 ($0 in both the first quarter 2018 and the second quarter 2017), (2) a gain on debt repurchase of $0 in the second quarter 2018 ($0 in the first quarter 2018 and $3.9 million in the second quarter 2017) and (3) a mark-to-market gain on our investment in RESI of $1.5 million in the second quarter 2018 (loss of $7.5 million in the first quarter 2018 and $0(3) in the second quarter of 2017)
  • Income (loss) before income taxes and non-controlling interests was $3.1 million for the second quarter 2018 compared to $(5.0) million for the first quarter 2018 and $12.2 million for the second quarter 2017
  • Pretax income (loss) attributable to Altisource(1) of $2.4 million for the second quarter 2018 compared to $(5.5) million for the first quarter 2018 and $11.5 million for the second quarter 2017
  • Adjusted pretax income attributable to Altisource(1) of $14.7 million, a 30% increase compared to the first quarter 2018 and a 33% decrease compared to the second quarter 2017
  • Net income (loss) attributable to Altisource of $1.6 million for the second quarter 2018 compared to $(4.1) million for the first quarter 2018 and $9.0 million for the second quarter 2017
  • Adjusted net income attributable to Altisource(1) of $10.6 million, a 23% increase compared to the first quarter 2018 and a 40% decrease compared to the second quarter 2017
  • Diluted earnings per share of $0.09 for the second quarter 2018 compared to diluted loss per share of $(0.24) for the first quarter 2018 and $0.48 for the second quarter 2017
  • Adjusted diluted earnings per share(1) of $0.60, a 25% increase compared to the first quarter 2018 and a 35% decrease compared to the second quarter 2017
  • Cash from operations of $31.8 million for the second quarter 2018 compared to $(8.6) million for the first quarter 2018 and $30.9 million for the second quarter 2017
  • Adjusted cash flows from operating activities(1) of $27.8 million for the second quarter 2018 compared to $1.3 million for the first quarter 2018 and $30.5 million for the second quarter 2017
  • Adjusted cash flows from operating activities less additions to premises and equipment(1) was $26.3 million for the second quarter 2018 compared to $0.1 million for the first quarter 2018 and $26.7 million for the second quarter 2017

________________________

 (1)  This is a non-GAAP measure that is defined and reconciled to the corresponding GAAP measure herein.
 (2)  Applies to the second quarter 2018 unless otherwise indicated.
 (3)  Effective January 1, 2018, mark-to-market adjustments of our investment in RESI are reflected in our results of operations in connection with the adoption of a new accounting principle (previously reflected in comprehensive income).
    

Forward-Looking Statements

This press release contains forward-looking statements that involve a number of risks and uncertainties.  These forward-looking statements include all statements that are not historical fact, including statements about management's beliefs and expectations.  These statements may be identified by words such as "anticipate," "intend," "expect," "may," "could," "should," "would," "plan," "estimate," "seek," "believe," "potential" and similar expressions.  Forward-looking statements are based on management's beliefs as well as assumptions made by and information currently available to management.  Because such statements are based on expectations as to the future and are not statements of historical fact, actual results may differ materially from what is contemplated by the forward-looking statements.  Altisource undertakes no obligation to update any forward-looking statements whether as a result of new information, future events or otherwise.  The risks and uncertainties to which forward-looking statements are subject include, but are not limited to, our ability to retain existing customers and attract new customers and the potential for changes in our customer relationships, including the possibility of early termination of our Cooperative Brokerage Agreement with New Residential  Investment Corp. or the possibility that we may not be successful in negotiating a satisfactory services agreement with New Residential Investment Corp.; the possibility that Ocwen Financial Corporation's acquisition of PHH Corporation will not be completed; various risks relating to our ability to effectively manage our regulatory and contractual obligations; the adequacy of our financial resources, including our sources of liquidity and ability to repay borrowings and comply with our Credit Agreement, including the financial and other covenants contained therein; and other risks and uncertainties detailed in the "Forward-Looking Statements," "Risk Factors" and other sections of Altisource's Form 10-K and other filings with the Securities and Exchange Commission.

Webcast

Altisource will host a webcast at 11:00 a.m. EDT today to discuss our second quarter.  A link to the live audio webcast will be available on Altisource's website in the Investor Relations section.  Those who want to listen to the call should go to the website at least fifteen minutes prior to the call to register, download and install any necessary audio software.  A replay of the conference call will be available via the website approximately two hours after the conclusion of the call and will remain available for approximately 30 days.

About Altisource

Altisource Portfolio Solutions S.A. is an integrated service provider and marketplace for the real estate and mortgage industries.  Combining operational excellence with a suite of innovative services and technologies, Altisource helps solve the demands of the ever-changing markets we serve.  Additional information is available at www.Altisource.com.

 
ALTISOURCE PORTFOLIO SOLUTIONS S.A.

CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME

(in thousands, except per share data)

(unaudited)
 
  Three months ended

 June 30,
 Six months ended

 June 30,
  2018 2017 2018 2017
         
Service revenue        
Mortgage Market $169,457  $198,414  $328,612  $393,387 
Real Estate Market 23,664  24,347  38,467  43,536 
Other Businesses, Corporate and Eliminations 15,740  15,346  30,548  31,023 
Total service revenue 208,861  238,107  397,627  467,946 
Reimbursable expenses 9,008  11,891  17,155  21,920 
Non-controlling interests 687  687  1,212  1,302 
Total revenue 218,556  250,685  415,994  491,168 
Cost of revenue 154,198  173,502  293,245  341,426 
Reimbursable expenses 9,008  11,891  17,155  21,920 
Gross profit 55,350  65,292  105,594  127,822 
Selling, general and administrative expenses 42,924  52,470  86,048  100,171 
Income from operations 12,426  12,822  19,546  27,651 
Other income (expense), net:        
Interest expense (7,027) (5,465) (12,890) (11,263)
Unrealized gain (loss) on investment in equity securities 1,533    (5,968)  
Other income (expense), net (3,861) 4,803  (2,589) 5,518 
Total other income (expense), net (9,355) (662) (21,447) (5,745)
         
Income (loss) before income taxes and non-controlling interests 3,071  12,160  (1,901) 21,906 
Income tax (provision) benefit (816) (2,438) 549  (5,024)
         
Net income (loss) 2,255  9,722  (1,352) 16,882 
Net income attributable to non-controlling interests (687) (687) (1,212) (1,302)
         
Net income (loss) attributable to Altisource $1,568  $9,035  $(2,564) $15,580 
         
Earnings (loss) per share:        
Basic $0.09  $0.49  $(0.15) $0.84 
Diluted $0.09  $0.48  $(0.15) $0.82 
         
Weighted average shares outstanding:        
Basic 17,142  18,335  17,260  18,497 
Diluted 17,553  18,836  17,260  19,069 
         
Comprehensive income (loss):        
Net income (loss) $2,255  $9,722  $(1,352) $16,882 
Other comprehensive income (loss), net of tax:        
Reclassification of unrealized gain on investment in equity securities,

net of income tax provision of $200, to retained earnings from the

cumulative effect of an accounting change
     (733)  
Unrealized (loss) gain on investment in equity securities, net of

income tax benefit (provision) of $0, $2,593, $0, $(2,132)
   (6,981)   5,742 
         
Comprehensive income (loss), net of tax 2,255  2,741  (2,085) 22,624 
Comprehensive income attributable to non-controlling interests (687) (687) (1,212) (1,302)
         
Comprehensive income (loss) attributable to Altisource $1,568  $2,054  $(3,297) $21,322 
                 



ALTISOURCE PORTFOLIO SOLUTIONS S.A.

SEGMENT FINANCIAL INFORMATION

(in thousands)

(unaudited)
 
  Three months ended June 30, 2018
  Mortgage

Market
 Real Estate

Market
 Other

Businesses,

Corporate and

Eliminations
 Consolidated

Altisource
         
Revenue        
Service revenue $169,457  $23,664  $15,740  $208,861 
Reimbursable expenses 8,518  481  9  9,008 
Non-controlling interests 687      687 
  178,662  24,145  15,749  218,556 
Cost of revenue 115,329  28,191  19,686  163,206 
Gross profit (loss) 63,333  (4,046) (3,937) 55,350 
Selling, general and administrative expenses 20,604  5,180  17,140  42,924 
Income (loss) from operations 42,729  (9,226) (21,077) 12,426 
Total other income (expense), net (4) 12  (9,363) (9,355)
         
Income (loss) before income taxes and

non-controlling interests
 $42,725  $(9,214) $(30,440) $3,071 



  Three months ended June 30, 2017
  Mortgage

Market
 Real Estate

Market
 Other

Businesses,

Corporate and

Eliminations
 Consolidated

Altisource
         
Revenue        
Service revenue $198,414  $24,347  $15,346  $238,107 
Reimbursable expenses 11,094  783  14  11,891 
Non-controlling interests 687      687 
  210,195  25,130  15,360  250,685 
Cost of revenue 144,326  26,844  14,223  185,393 
Gross profit (loss) 65,869  (1,714) 1,137  65,292 
Selling, general and administrative expenses 29,805  5,551  17,114  52,470 
Income (loss) from operations 36,064  (7,265) (15,977) 12,822 
Total other income (expense), net 102    (764) (662)
         
Income (loss) before income taxes and

non-controlling interests
 $36,166  $(7,265) $(16,741) $12,160 



 
ALTISOURCE PORTFOLIO SOLUTIONS S.A.

SEGMENT FINANCIAL INFORMATION

(in thousands)

(unaudited)
 
  Six months ended June 30, 2018
  Mortgage

Market
 Real Estate

Market
 Other

Businesses,

Corporate and

Eliminations
 Consolidated

Altisource
         
Revenue        
Service revenue $328,612  $38,467  $30,548  $397,627 
Reimbursable expenses 16,176  958  21  17,155 
Non-controlling interests 1,212      1,212 
  346,000  39,425  30,569  415,994 
Cost of revenue 226,402  46,745  37,253  310,400 
Gross profit (loss) 119,598  (7,320) (6,684) 105,594 
Selling, general and administrative expenses 43,978  9,298  32,772  86,048 
Income (loss) from operations 75,620  (16,618) (39,456) 19,546 
Total other income (expense), net 12  14  (21,473) (21,447)
         
Income (loss) before income taxes and

non-controlling interests
 $75,632  $(16,604) $(60,929) $(1,901)



  Six months ended June 30, 2017
  Mortgage

Market
 Real Estate

Market
 Other

Businesses,

Corporate and

Eliminations
 Consolidated

Altisource
         
Revenue        
Service revenue $393,387  $43,536  $31,023  $467,946 
Reimbursable expenses 20,229  1,657  34  21,920 
Non-controlling interests 1,302      1,302 
  414,918  45,193  31,057  491,168 
Cost of revenue 284,476  48,987  29,883  363,346 
Gross profit (loss) 130,442  (3,794) 1,174  127,822 
Selling, general and administrative expenses 58,487  9,876  31,808  100,171 
Income (loss) from operations 71,955  (13,670) (30,634) 27,651 
Total other income (expense), net 112    (5,857) (5,745)
         
Income (loss) before income taxes and

non-controlling interests
 $72,067  $(13,670) $(36,491) $21,906 







ALTISOURCE PORTFOLIO SOLUTIONS S.A.

CONSOLIDATED BALANCE SHEETS

(in thousands, except per share data)

(unaudited)
 
 June 30,

 2018
 December 31,

 2017
    
ASSETS
Current assets:   
Cash and cash equivalents$84,569  $105,006 
Investment in equity securities43,185  49,153 
Accounts receivable, net45,426  52,740 
Prepaid expenses and other current assets70,009  64,742 
Total current assets243,189  271,641 
    
Premises and equipment, net58,820  73,273 
Goodwill86,283  86,283 
Intangible assets, net105,374  120,065 
Deferred tax assets, net305,056  303,707 
Other assets11,174  10,195 
    
Total assets$809,896  $865,164 
    
LIABILITIES AND EQUITY
Current liabilities:   
Accounts payable and accrued expenses$67,646  $84,400 
Current portion of long-term debt41,200  5,945 
Deferred revenue19,131  9,802 
Other current liabilities5,889  9,414 
Total current liabilities133,866  109,561 
    
Long-term debt, less current portion354,332  403,336 
Other non-current liabilities9,407  12,282 
    
Commitments, contingencies and regulatory matters   
    
Equity:   
Common stock ($1.00 par value; 100,000 shares authorized, 25,413 issued and 17,027

outstanding as of June 30, 2018; 100,000 shares authorized, 25,413 shares issued and

17,418 outstanding as of December 31, 2017)
25,413  25,413 
Additional paid-in capital116,586  112,475 
Retained earnings596,268  626,600 
Accumulated other comprehensive income  733 
Treasury stock, at cost (8,386 shares as of June 30, 2018 and 7,995 shares as of

December 31, 2017)
(427,380) (426,609)
Altisource equity310,887  338,612 
    
Non-controlling interests1,404  1,373 
Total equity312,291  339,985 
    
Total liabilities and equity$809,896  $865,164 





 
ALTISOURCE PORTFOLIO SOLUTIONS S.A.

CONSOLIDATED STATEMENTS OF CASH FLOWS

(in thousands)

(unaudited)
 Six months ended

 June 30,
 2018 2017
    
Cash flows from operating activities:   
Net (loss) income$(1,352) $16,882 
Adjustments to reconcile net (loss) income to net cash provided by operating activities:   
Depreciation and amortization17,049  18,895 
Amortization of intangible assets14,691  18,539 
Change in the fair value of acquisition related contingent consideration  16 
Unrealized loss on investment in equity securities5,968   
Share-based compensation expense4,111  1,858 
Bad debt expense1,503  2,890 
Gain on early extinguishment of debt  (3,937)
Amortization of debt discount298  156 
Amortization of debt issuance costs502  433 
Deferred income taxes(1,349)  
Loss on disposal of fixed assets558  2,798 
Loss on debt refinancing4,434   
Changes in operating assets and liabilities:   
Accounts receivable6,923  11,954 
Prepaid expenses and other current assets(5,267) (6,811)
Other assets967  523 
Accounts payable and accrued expenses(17,152) (10,637)
Other current and non-current liabilities(8,631) (41,042)
Net cash provided by operating activities23,253  12,517 
    
Cash flows from investing activities:   
Additions to premises and equipment(2,756) (5,658)
Net cash used in investing activities(2,756) (5,658)
    
Cash flows from financing activities:   
Proceeds from issuance of long-term debt407,880   
Repayments and repurchases of long-term debt(421,821) (24,766)
Debt issuance costs(5,042)  
Proceeds from stock option exercises2,707  765 
Purchase of treasury shares(21,121) (15,531)
Distributions to non-controlling interests(1,181) (1,056)
Payment of tax withholding on issuance of restricted shares and stock option exercises(410) (1,089)
Net cash used in financing activities(38,988) (41,677)
    
Net decrease in cash, cash equivalents and restricted cash(18,491) (34,818)
Cash, cash equivalents and restricted cash at the beginning of the period108,843  153,421 
    
Cash, cash equivalents and restricted cash at the end of the period$90,352  $118,603 
    
Supplemental cash flow information:   
Interest paid$11,540  $10,787 
Income taxes paid, net2,865  12,668 
    
Non-cash investing and financing activities:   
Increase (decrease) in payables for purchases of premises and equipment$398  $(378)
Increase in payables for purchases of treasury shares  3,042 



 
ALTISOURCE PORTFOLIO SOLUTIONS S.A.

NON-GAAP MEASURES

(in thousands, except per share data)

(unaudited)

Pretax income (loss) attributable to Altisource, adjusted pretax income attributable to Altisource, adjusted net income attributable to Altisource, adjusted diluted earnings per share, adjusted cash flows from operating activities, adjusted cash flows from operating activities less additions to premises and equipment and net debt less marketable securities, which are presented elsewhere in this earnings release, are non-GAAP measures used by management, existing shareholders, potential shareholders and other users of our financial information to measure Altisource's performance and do not purport to be alternatives to income (loss) before income taxes and non-controlling interests, net income (loss) attributable to Altisource, diluted earnings (loss) per share, cash flows from operating activities and long-term debt, including current portion, as measures of Altisource's performance.  We believe these measures are useful to management, existing shareholders, potential shareholders and other users of our financial information in evaluating operating profitability and cash flow generation more on the basis of continuing cost and cash flows as they exclude amortization expense related to acquisitions that occurred in prior periods and non-cash share-based compensation, as well as the effect of more significant non-recurring items from earnings, cash flows from operating activities and long-term debt net of cash on-hand and marketable securities.  We believe these measures are also useful in evaluating the effectiveness of our operations and underlying business trends in a manner that is consistent with management's evaluation of business performance.  Furthermore, we believe the exclusion of more significant non-recurring items enables comparability to prior period performance and trend analysis.

It is management's intent to provide non-GAAP financial information to enhance the understanding of Altisource's GAAP financial information, and it should be considered by the reader in addition to, but not instead of, the financial statements prepared in accordance with GAAP.  Each non-GAAP financial measure is presented along with the corresponding GAAP measure so as not to imply that more emphasis should be placed on the non-GAAP measure.  The non-GAAP financial information presented may be determined or calculated differently by other companies.  The non-GAAP financial information should not be unduly relied upon.

Pretax income (loss) attributable to Altisource is calculated by removing non-controlling interests from income (loss) before income taxes and non-controlling interests.  Adjusted pretax income attributable to Altisource is calculated by removing intangible asset amortization expense, share-based compensation expense, unrealized gain (loss) on investment in equity securities, the write-off of net discount and debt issuance costs from debt refinancing and non-controlling interests from income (loss) before income taxes and non-controlling interests.  Adjusted net income attributable to Altisource is calculated by removing intangible asset amortization expense (net of tax), share-based compensation (net of tax), the write-off of net discount and debt issuance costs from debt refinancing (net of tax) and unrealized gain (loss) on investment in equity securities (net of tax) from net income (loss) attributable to Altisource.  Adjusted diluted earnings per share is calculated by dividing net income attributable to Altisource after removing intangible asset amortization expense (net of tax), share-based compensation (net of tax), the write-off of net discount and debt issuance costs from debt refinancing (net of tax) and unrealized gain (loss) on investment in equity securities (net of tax) by the weighted average number of diluted shares.  Adjusted cash flows from operating activities is calculated by removing the cash payment related to the net litigation settlement loss and the increase (decrease) in short-term investments in real estate from cash flows from operating activities.  Adjusted cash flows from operating activities less additions to premises and equipment is calculated by removing the cash payment related to the net litigation settlement loss, the increase (decrease) in short-term investments in real estate and additions to premises and equipment from cash flows from operating activities.  Net debt less marketable securities is calculated as long-term debt, including current portion, minus cash and cash equivalents and marketable securities.

 
 



ALTISOURCE PORTFOLIO SOLUTIONS S.A.

NON-GAAP MEASURES

(in thousands, except per share data)

(unaudited)
 
 Reconciliations of the non-GAAP measures to the corresponding GAAP measures are as follows:
 Three months ended

 June 30,
 Three months

ended

March 31,
 Six months ended

 June 30,
 2018 2017 2018 2018 2017
          
Income (loss) before income taxes and non-controlling interests$3,071  $12,160  $(4,972) $(1,901) $21,906 
          
Non-controlling interests(687) (687) (525) (1,212) (1,302)
Pretax income (loss) attributable to Altisource2,384  11,473  (5,497) (3,113) 20,604 
Intangible asset amortization expense7,544  9,393  7,147  14,691  18,539 
Share-based compensation expense1,910  1,163  2,201  4,111  1,858 
Write-off of net discount and debt issuance costs from debt refinancing4,434      4,434   
Unrealized (gain) loss on investment in equity securities(1,533)   7,501  5,968   
          
Adjusted pretax income attributable to Altisource$14,739  $22,029  $11,352  $26,091  $41,001 
          
Net income (loss) attributable to Altisource$1,568  $9,035  $(4,132) $(2,564) $15,580 
          
Intangible asset amortization expense, net

of tax
5,499  7,510  5,491  10,880  14,288 
Share-based compensation expense, net

of tax
1,392  930  1,691  3,045  1,432 
Write-off of net discount and debt issuance costs from debt refinancing, net of tax3,232      3,232   
Unrealized (gain) loss on investment in equity securities, net of tax(1,134)   5,551  4,416   
          
Adjusted net income attributable to Altisource$10,557  $17,475  $8,601  $19,009  $31,300 
          
Diluted earnings (loss) per share$0.09  $0.48  $(0.24) $(0.15) $0.82 
          
Impact of using diluted share count instead of basic share count for a loss per share    0.01  0.01   
Intangible asset amortization expense, net

of tax, per diluted share
0.31  0.40  0.31  0.61  0.75 
Share-based compensation expense, net of tax, per diluted share0.08  0.05  0.09  0.17  0.08 
Write-off of net discount and debt issuance costs from debt refinancing, net of tax, per diluted share0.18      0.18   
Unrealized (gain) loss on investment in equity securities, net of tax, per diluted share(0.06)   0.31  0.25   
          
Adjusted diluted earnings per share$0.60  $0.93  $0.48  $1.07  $1.64 
          
Calculation of the impact of intangible asset amortization expense, net of tax         
Intangible asset amortization expense$7,544  $9,393  $7,147  $14,691  $18,539 
Tax benefit from intangible asset amortization(2,045) (1,883) (1,656) (3,811) (4,251)
Intangible asset amortization expense, net

of tax
5,499  7,510  5,491  10,880  14,288 
Diluted share count17,553  18,836  17,881  17,717  19,069 
          
Intangible asset amortization expense, net of tax, per diluted share$0.31  $0.40  $0.31  $0.61  $0.75 
          
Calculation of the impact of share-based compensation expense, net of tax         
Share-based compensation expense$1,910  $1,163  $2,201  $4,111  $1,858 
Tax benefit from share-based compensation expense(518) (233) (510) (1,066) (426)
Share-based compensation expense, net

of tax
1,392  930  1,691  3,045  1,432 
Diluted share count17,553  18,836  17,881  17,717  19,069 
          
Share-based compensation expense, net of tax, per diluted share$0.08  $0.05  $0.09  $0.17  $0.08 
          
Calculation of the impact of the write-off of net discount and debt issuance costs from debt refinancing, net of tax         
Write-off of net discount and debt issuance costs from debt refinancing$4,434  $  $  $4,434  $ 
Tax benefit from the write-off of net discount and debt issuance costs from debt refinancing(1,202)     (1,202)  
Write-off of net discount and debt issuance costs from debt refinancing, net of tax3,232      3,232   
Diluted share count17,553  18,836  17,881  17,717  19,069 
          
Write-off of net discount and debt issuance costs from debt refinancing, net of tax, per diluted share$0.18  $  $  $0.18  $ 
          
Calculation of the impact of the unrealized (gain) loss on investment in equity securities, net of tax         
Unrealized (gain) loss on investment in equity securities$(1,533) $  $7,501  $5,968  $ 
Tax provision (benefit) from the unrealized (gain) loss on investment in equity securities399    (1,950) (1,552)  
Unrealized (gain) loss on investment in equity securities, net of tax(1,134)   5,551  4,416   
Diluted share count17,553  18,836  17,881  17,717  19,069 
          
Unrealized (gain) loss on investment in equity securities, net of tax, per diluted share$(0.06) $  $0.31  $0.25  $ 
          
Cash flows from operating activities$31,822  $30,876  $(8,569) $23,253  $12,517 
Net litigation settlement loss payment        28,000 
(Decrease) increase in short-term investments in real estate(4,031) (418) 9,915  5,884  2,089 
Adjusted cash flows from operating activities27,791  30,458  1,346  29,137  42,606 
Less: Additions to premises and equipment(1,498) (3,714) (1,258) (2,756) (5,658)
          
Adjusted cash flows from operating activities less additions to premises and equipment$26,293  $26,744  $88  $26,381  $36,948 
          
 June 30,

2018
        
Term loans$403,760         
Less: Cash and cash equivalents(84,569)        
Less: Marketable securities(43,185)        
Net debt less marketable securities$276,006         

_____________________________

Note:  Amounts may not add to the total due to rounding.



FOR FURTHER INFORMATION CONTACT:



Indroneel Chatterjee

Chief Financial Officer

T:  +352 2469 7988

E:  Indroneel.Chatterjee@altisource.com

Primary Logo

Market News and Data brought to you by Benzinga APIs
Comments
Loading...
Date
ticker
name
Actual EPS
EPS Surprise
Actual Rev
Rev Surprise
Posted In: EarningsPress Releases
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!