TaskUs Inc.

08/08/2022 | Press release | Distributed by Public on 08/09/2022 01:42

TaskUs Q2 2022 Investor Metrics

Index

Index
Disclaimer
Statements of Operations
Balance Sheets
Statements of Cash Flows QTD
Statements of Cash Flows YTD
Non-GAAP Financial Measures
Operational & Revenue Data

Disclosure

This Investor Metrics File contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include all statements that are not historical facts, and further include, without limitation, statements reflecting our current views with respect to, among other things, our operations, our financial performance, our industry, the impact of the current macroeconomic environment and the COVID-19 global pandemic on our business, and other non-historical statements. In some cases, you can identify these forward-looking statements by the use of words such as "outlook," "believes," "expects," "potential," "continues," "may," "will," "should," "could," "seeks," "predicts," "intends," "trends," "plans," "estimates," "anticipates," "position us" or the negative version of these words or other comparable words. Such forward-looking statements are subject to various risks and uncertainties. Accordingly, there are or will be important factors that could cause actual outcomes or results to differ materially from those indicated in these statements. These factors include but are not limited to: the dependence of our business on key clients; the risk of loss of business or non-payment from significant clients; our failure to cost-effectively acquire new, high-growth clients; the risk that we may provide inadequate service or cause disruptions in our clients' businesses or fail to comply with the quality standards required by our clients under our agreements; global economic and political conditions, especially in the social media and meal delivery and transport industries from which we generate significant revenue; unauthorized or improper disclosure of personal or other sensitive information, or security breaches and incidents; negative publicity or liability or difficulty retaining and recruiting employees; our failure to detect and deter criminal or fraudulent activities or other misconduct by our employees; the dependence of our business on our international operations, particularly in the Philippines and India; our failure to comply with applicable privacy and data security laws and regulations; substantial increases in the costs of technology and telecommunications services or our inability to attract and retain the necessary technologists; our inability to adapt our services and solutions to changes in technology and client expectations; fluctuations against the U.S. dollar in the local currencies in the countries in which we operate; our inability to maintain and enhance our brand; competitive pricing pressure; our dependence on senior management and key employees; the ongoing COVID-19 pandemic, including the resulting global economic uncertainty and measures taken in response to the pandemic; the control of affiliates of Blackstone Inc. and our Co-Founders over us; and the dual class structure of our common stock. Additional risks and uncertainties include but are not limited to those described under "Risk Factors" in the Company's Annual Report on Form 10-K for the year ended December 31, 2021 (the "Annual Report") filed with the Securities and Exchange Commission (the "SEC") on March 9, 2022, as such factors may be updated from time to time in our periodic filings with the SEC, which are accessible on the SEC's website at www.sec.gov. These factors should not be construed as exhaustive and should be read in conjunction with the other cautionary statements that are included in the Company's SEC filings. TaskUs undertakes no obligation to publicly update or review any forward-looking statement, whether as a result of new information, future developments or otherwise, except as required by law. This Investor Metrics File includes certain financial measures not presented in accordance with generally accepted accounting principles in the United States ("GAAP"), including Adjusted Net Income, Adjusted Net Income Margin, Adjusted Earnings Per Share, EBITDA, Adjusted EBITDA, Adjusted EBITDA Margin, Free Cash Flow and Conversion of Adjusted EBITDA, which are used by management in making operating decisions, allocating financial resources, and internal planning and forecasting, and for business strategy purposes, have certain limitations, and should not be construed as alternatives to financial measures determined in accordance with GAAP. The non-GAAP measures as defined by us may not be comparable to similar non-GAAP measures presented by other companies. Our presentation of such measures, which may include adjustments to exclude unusual or non-recurring items, should not be construed as an inference that our future results will be unaffected by other unusual or non-recurring items. A reconciliation is provided elsewhere in this Investor Metrics File for each historical non-GAAP financial measure to the most directly comparable financial measure stated in accordance with GAAP. For further details, including definitions for the non-GAAP measures used in this Investor Metrics File, please see the Company's Current Report on Form 8-K filed with the SEC on August 8, 2022.

Statements of Operations

TASKUS, INC.
Consolidated Statements of Operations
(in thousands, except share and per share data)
Year ended December 31, Three months ended Year ended December 31, Three months ended Year ended December 31, Three months ended
March 31, June 30, September 30, December 31, March 31, June 30, September 30, December 31, March 31, June 30,
2019 2020 2020 2020 2020 2020 2021 2021 2021 2021 2021 2022 2022
Service revenue $ 359,681 $ 102,429 $ 114,400 $ 122,425 $ 138,792 $ 478,046 $ 152,871 $ 180,022 $ 201,053 $ 226,757 $ 760,703 $ 239,680 $ 246,459
Operating expenses:
Cost of services 194,786 61,783 64,135 65,378 79,214 270,510 88,030 103,798 112,423 127,485 431,736 141,282 143,538
Selling, general, and administrative expense 90,630 25,731 25,709 32,190 29,889 113,519 31,498 177,810 60,342 65,662 335,312 64,247 68,919
Depreciation 16,329 4,714 5,815 3,696 5,930 20,155 6,203 6,729 7,422 8,684 29,038 8,901 9,657
Amortization of intangible assets 18,847 4,712 4,712 4,711 4,712 18,847 4,712 4,712 4,711 4,712 18,847 4,711 4,967
Loss (gain) on disposal of assets 2,227 (5) - 155 966 1,116 27 1 26 (2) 52 (15) 5
Contingent consideration - - 3,570 - - 3,570 - - - - - - -
Total operating expenses 322,819 96,935 103,941 106,130 120,711 427,717 130,470 293,050 184,924 206,541 814,985 219,126 227,086
Operating income (loss) 36,862 5,494 10,459 16,295 18,081 50,329 22,401 (113,028) 16,129 20,216 (54,282) 20,554 19,373
Other expense (income) (2,013) 1,397 (1,137) 628 (2,460) (1,572) 754 (1,659) 1,204 (122) 177 1,053 7,377
Financing expenses 9,346 2,243 1,959 1,647 1,633 7,482 1,581 1,594 1,633 1,696 6,504 1,602 2,204
Income (loss) before income taxes 29,529 1,854 9,637 14,020 18,908 44,419 20,066 (112,963) 13,292 18,642 (60,963) 17,899 9,792
Provision for (benefit from) income taxes (4,411) 339 1,629 2,564 5,354 9,886 3,559 (7,020) 1,656 (460) (2,265) 6,313 2,063
Net income (loss) $ 33,940 $ 1,515 $ 8,008 $ 11,456 $ 13,554 $ 34,533 $ 16,507 $ (105,943) $ 11,636 $ 19,102 $ (58,698) $ 11,586 $ 7,729
Net income (loss) per common share:
Basic and diluted $ 0.37 $ 0.02 $ 0.09 $ 0.12 $ 0.15 $ 0.38 $ 0.18 $ (1.14) $ 0.12 $ 0.20 $ (0.62) $ 0.12 $ 0.08
Diluted $ 0.37 $ 0.02 $ 0.09 $ 0.12 $ 0.15 $ 0.38 $ 0.18 $ (1.14) $ 0.11 $ 0.17 $ (0.62) $ 0.11 $ 0.07
Weighted-average number of common shares outstanding:
Basic and diluted 91,737,020 91,737,020 91,737,020 91,737,020 91,737,020 91,737,020 91,737,020 92,957,493 97,290,174 97,343,859 94,832,137 97,481,412 97,783,809
Diluted 91,737,020 91,737,020 91,737,020 91,737,020 91,737,020 91,737,020 91,737,020 92,957,493 109,426,011 110,513,820 94,832,137 104,122,026 103,177,186

Balance Sheets

TASKUS, INC.
Consolidated Balance Sheets
(in thousands)
December 31, March 31, June 30, September 30, December 31, March 31, June 30,
2020 2021 2021 2021 2021 2022 (1) 2022
Assets
Current assets:
Cash $ 107,728 $ 135,493 $ 195,927 $ 61,330 $ 63,584 $ 77,074 $ 104,734
Accounts receivable, net of allowance for doubtful accounts 87,782 91,827 127,867 157,605 162,895 172,391 180,445
Other receivables 105 390 439 691 597 669 957
Prepaid expenses 13,032 11,553 9,667 8,654 10,939 12,040 15,347
Income tax receivable 1,606 - - 2,232 3,863 160 10,758
Other current assets 1,051 623 2,471 2,729 4,428 5,218 4,813
Total current assets 211,304 239,886 336,371 233,241 246,306 267,552 317,054
Noncurrent assets:
Property and equipment, net 56,957 56,974 63,060 72,143 80,046 87,639 82,889
Operating lease right-of-use assets - - - - - 41,485 37,841
Deferred tax assets 585 568 575 539 1,441 1,442 1,377
Intangibles 240,295 235,583 230,871 226,160 221,448 216,737 222,934
Goodwill 195,735 195,735 195,735 195,735 195,735 195,735 216,567
Other noncurrent assets 2,630 2,899 3,006 3,714 5,022 4,764 4,818
Total noncurrent assets 496,202 491,759 493,247 498,291 503,692 547,802 566,426
Total assets $ 707,506 $ 731,645 $ 829,618 $ 731,532 $ 749,998 $ 815,354 $ 883,480
Liabilities and Shareholders' Equity
Liabilities:
Current liabilities:
Accounts payable and accrued liabilities $ 41,935 $ 38,758 $ 43,494 $ 44,767 $ 40,890 $ 39,774 $ 44,738
Accrued payroll and employee-related liabilities 21,994 30,578 171,690 43,920 36,670 34,716 42,651
Current portion of debt 45,984 47,296 48,510 49,822 51,135 52,447 86,260
Current portion of operating lease liabilities - - - - - 12,752 11,584
Current portion of income tax payable - 3,413 1,586 2,152 2,416 3,348 3,140
Deferred revenue 4,711 5,586 5,810 6,847 4,095 4,873 3,674
Deferred rent 218 89 303 394 735 - -
Total current liabilities 114,842 125,720 271,393 147,902 135,941 147,910 192,047
Noncurrent liabilities:
Income tax payable 2,988 2,988 2,988 2,988 2,886 2,886 2,545
Long-term debt 198,768 196,257 193,525 191,039 187,240 183,441 179,643
Operating lease liabilities - - - - - 31,704 28,881
Deferred rent 2,194 2,315 2,573 2,735 2,749 - -
Accrued payroll and employee-related liabilities 2,641 2,640 2,640 2,640 1,813 2,078 2,244
Deferred tax liabilities 50,936 50,936 40,474 41,244 40,235 40,235 41,531
Other Noncurrent liabilities - - - - - - 2,103
Total noncurrent liabilities 257,527 255,136 242,200 240,646 234,923 260,344 256,947
Total liabilities 372,369 380,856 513,593 388,548 370,864 408,254 448,994
Total shareholders' equity 335,137 350,789 316,025 342,984 379,134 407,100 434,486
Total liabilities and shareholders' equity $ 707,506 $ 731,645 $ 829,618 $ 731,532 $ 749,998 $ 815,354 $ 883,480
(1) Restated for the adoption of ASU 2016-02, Leases (Topic 842)

Statements of Cash Flows QTD

TASKUS, INC.
Consolidated Statements of Cash Flows
(in thousands)
Year ended December 31, Three months ended Year ended December 31, Three months ended Year ended December 31, Three months ended
March 31, June 30, September 30, December 31, March 31, June 30, September 30, December 31, March 31, June 30, September 30, December 31,
2019 2020 2020 2020 2020 2020 2021 2021 2021 2021 2021 2022 (1) 2022 2022 2022
Cash flows from operating activities:
Net income (loss) $ 33,940 $ 1,515 $ 8,008 $ 11,456 $ 13,554 $ 34,533 $ 16,507 $ (105,943) $ 11,636 $ 19,102 $ (58,698) $ 11,586 $ 7,729
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
Depreciation 16,319 4,696 5,814 3,710 5,929 20,149 6,203 6,729 7,422 8,684 29,038 8,901 9,657
Amortization of intangibles 18,847 4,712 4,712 4,711 4,712 18,847 4,712 4,712 4,711 4,712 18,847 4,711 4,967
Amortization of debt financing fees 2,526 44 184 115 114 457 114 133 140 139 526 139 139
Loss (gain) on disposal of assets 2,227 (5) - 155 966 1,116 27 1 26 (2) 52 (15) 5
Provision for losses on accounts receivable 65 1,071 226 932 (2) 2,227 231 234 240 353 1,058 479 450
Unrealized losses (gains) on forward contracts (1,069) 1,452 (1,274) 1,161 (1,255) 84 1,820 (90) 4,101 (1,258) 4,573 759 6,693
Deferred taxes (8,838) - (2,157) (719) (3,620) (6,496) - (10,462) 770 (1,785) (11,477) (19) (28)
Stock-based compensation expense - - - - - - - 5,771 19,243 21,175 46,189 19,605 18,933
Changes in operating assets and liabilities:
Accounts receivable (13,046) (9,849) (12,158) (3,438) (6,561) (32,006) (6,106) (35,089) (29,365) (5,643) (76,203) (9,979) (6,239)
Other receivables, prepaid expenses, and other current assets (3,702) (330) (100) 420 (3,758) (3,768) 1,558 (5,956) (355) (3,858) (8,611) (2,478) (3,868)
Operating lease right-of-use assets - - - - - - - - - - - 3,226 3,308
Other noncurrent assets (457) (224) (119) (54) 330 (67) (297) (118) (796) (1,169) (2,380) (223) 95
Accounts payable and accrued liabilities (2,060) (444) 8,420 1,350 4,209 13,535 471 5,066 (744) (300) 4,493 (1,071) 1,608
Accrued payroll and employee-related liabilities 2,593 (546) 4,549 8,785 (6,119) 6,669 8,755 141,788 (126,019) (8,074) 16,450 (1,392) 8,054
Operating lease liabilities and deferred rent 280 68 472 (71) (860) (391) 224 278 332 361 1,195 (2,804) (3,305)
Income tax payable (3,652) 108 2,788 (6,239) 4,724 1,381 5,037 (1,733) (1,484) (807) 1,013 4,686 (10,927)
Deferred revenue (184) (214) 1,184 752 881 2,603 666 434 1,039 (878) 1,261 779 (1,195)
Net cash provided by (used in) operating activities 43,789 2,054 20,549 23,026 13,244 58,873 39,922 5,755 (109,103) 30,752 (32,674) 36,890 36,076
Cash flows from investing activities:
Purchase of property and equipment (20,045) (8,612) (10,203) (3,071) (6,997) (28,883) (10,127) (13,326) (15,150) (20,760) (59,363) (17,770) (11,587)
Acquisition, net of cash acquired - - - - - - - - - - - - (23,235)
Net cash used in investing activities (20,045) (8,612) (10,203) (3,071) (6,997) (28,883) (10,127) (13,326) (15,150) (20,760) (59,363) (17,770) (34,822)
Cash flows from financing activities:
Proceeds from borrowings, Revolving credit facility - 39,878 - - - 39,878 - - - - - - 32,500
Proceeds from long-term debt 210,000 - - - - - - - - - - - -
Settlement of 2018 Credit Agreement (84,575) - - - - - - - - - - - -
Payments on long-term debt (950) (525) - (1,050) (1,313) (2,888) (1,313) (1,312) (1,313) (2,625) (6,563) (2,625) (2,625)
Payments for debt financing fees (2,285) - - - - - - (340) - - (340) - -
Proceeds from issuance of common stock, net of underwriters' fees - - - - - - - 120,698 - - 120,698 - -
Payments for offering costs - - - - - - - - (4,327) (471) (4,798) - -
Proceeds from employee stock plans - - - - - - - - - - - - 920
Payments for taxes related to net share settlement - - - - - - - - - (4,607) (4,607) (1,469) (1,308)
Distribution of dividends (135,000) - - - - - - (50,000) - - (50,000) - -
Net cash provided by (used in) financing activities (12,810) 39,353 - (1,050) (1,313) 36,990 (1,313) 69,046 (5,640) (7,703) 54,390 (4,094) 29,487
Increase (decrease) in cash and cash equivalents 10,934 32,795 10,346 18,905 4,934 66,980 28,482 61,475 (129,893) 2,289 (37,647) 15,026 30,741
Effect of exchange rate changes on cash 1,326 402 1,027 1,291 487 3,207 (717) (1,041) (4,704) (35) (6,497) (1,536) (3,081)
Cash and cash equivalents at beginning of period 25,281 37,541 70,738 82,111 102,307 37,541 107,728 135,493 195,927 61,330 107,728 63,584 77,074
Cash and cash equivalents at end of period $ 37,541 $ 70,738 $ 82,111 $ 102,307 $ 107,728 $ 107,728 $ 135,493 $ 195,927 $ 61,330 $ 63,584 $ 63,584 $ 77,074 $ 104,734
(1) Restated for the adoption of ASU 2016-02, Leases (Topic 842)

Statement of Cash Flows YTD

TASKUS, INC.
Consolidated Statements of Cash Flows
(in thousands)
Year ended December 31, Three Months Ended Six Months Ended Nine Months Ended Year ended December 31, Three Months Ended Six Months Ended Nine Months Ended Year ended December 31, Three months ended Six Months Ended
March 31, June 30, September 30, March 31, June 30, September 30, March 31, June 30,
2019 2020 2020 2020 2020 2021 2021 2021 2021 2022 (1) 2022
Cash flows from operating activities:
Net income (loss) $ 33,940 $ 1,515 $ 9,523 $ 20,979 $ 34,533 $ 16,507 $ (89,436) $ (77,800) $ (58,698) $ 11,586 $ 19,315
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
Depreciation 16,319 4,696 10,510 14,220 20,149 6,203 12,932 20,354 29,038 8,901 18,558
Amortization of intangibles 18,847 4,712 9,424 14,135 18,847 4,712 9,424 14,135 18,847 4,711 9,678
Amortization of debt financing fees 2,526 44 228 343 457 114 247 387 526 139 278
Loss (gain)on disposal of assets 2,227 (5) (5) 150 1,116 27 28 54 52 (15) (10)
Provision for losses on accounts receivable 65 1,071 1,297 2,229 2,227 231 465 705 1,058 479 929
Unrealized losses (gains) on forward contracts (1,069) 1,452 178 1,339 84 1,820 1,730 5,831 4,573 759 7,452
Deferred taxes (8,838) - (2,157) (2,876) (6,496) - (10,462) (9,692) (11,477) (19) (47)
Stock-based compensation expense - - - - - - 5,771 25,014 46,189 19,605 38,538
Changes in operating assets and liabilities:
Accounts receivable (13,046) (9,849) (22,007) (25,445) (32,006) (6,106) (41,195) (70,560) (76,203) (9,979) (16,218)
Other receivables, prepaid expenses, and other current assets (3,702) (330) (430) (10) (3,768) 1,558 (4,398) (4,753) (8,611) (2,478) (6,346)
Operating lease right-of-use assets - - - - - - - - - 3,226 6,534
Other noncurrent assets (457) (224) (343) (397) (67) (297) (415) (1,211) (2,380) (223) (128)
Accounts payable and accrued liabilities (2,060) (444) 7,976 9,326 13,535 471 5,537 4,793 4,493 (1,071) 537
Accrued payroll and employee-related liabilities 2,593 (546) 4,003 12,788 6,669 8,755 150,543 24,524 16,450 (1,392) 6,662
Operating lease liabilities and deferred rent 280 68 540 469 (391) 224 502 834 1,195 (2,804) (6,109)
Income tax payable (3,652) 108 2,896 (3,343) 1,381 5,037 3,304 1,820 1,013 4,686 (6,241)
Deferred revenue (184) (214) 970 1,722 2,603 666 1,100 2,139 1,261 779 (416)
Net cash provided by (used in) operating activities 43,789 2,054 22,603 45,629 58,873 39,922 45,677 (63,426) (32,674) 36,890 72,966
Cash flows from investing activities:
Purchase of property and equipment (20,045) (8,612) (18,815) (21,886) (28,883) (10,127) (23,453) (38,603) (59,363) (17,770) (29,357)
Acquisition, net of cash acquired - - - - - - - - - - (23,235)
Net cash used in investing activities (20,045) (8,612) (18,815) (21,886) (28,883) (10,127) (23,453) (38,603) (59,363) (17,770) (52,592)
Cash flows from financing activities:
Proceeds from borrowings, Revolving credit facility - 39,878 39,878 39,878 39,878 - - - - - 32,500
Proceeds from long-term debt 210,000 - - - - - - - - - -
Settlement of 2018 Credit Agreement (84,575) - - - - - - - - - -
Payments on long-term debt (950) (525) (525) (1,575) (2,888) (1,313) (2,625) (3,938) (6,563) (2,625) (5,250)
Payments for debt financing fees (2,285) - - - - - (340) (340) (340) - -
Proceeds from issuance of common stock, net of underwriters' fees - - - - - - 120,698 120,698 120,698 - -
Payments for offering costs - - - - - - - (4,327) (4,798) - -
Proceeds from employee stock plans - - - - - - - - - - 920
Payments for taxes related to net share settlement - - - - - - - - (4,607) (1,469) (2,777)
Distribution of dividends (135,000) - - - - - (50,000) (50,000) (50,000) - -
Net cash provided by (used in) financing activities (12,810) 39,353 39,353 38,303 36,990 (1,313) 67,733 62,093 54,390 (4,094) 25,393
Increase (decrease) in cash and cash equivalents 10,934 32,795 43,141 62,046 66,980 28,482 89,957 (39,936) (37,647) 15,026 45,767
Effect of exchange rate changes on cash 1,326 402 1,429 2,720 3,207 (717) (1,758) (6,462) (6,497) (1,536) (4,617)
Cash and cash equivalents at beginning of period 25,281 37,541 37,541 37,541 37,541 107,728 107,728 107,728 107,728 63,584 63,584
Cash and cash equivalents at end of period $ 37,541 $ 70,738 $ 82,111 $ 102,307 $ 107,728 $ 135,493 $ 195,927 $ 61,330 $ 63,584 $ 77,074 $ 104,734
(1) Restated for the adoption of ASU 2016-02, Leases (Topic 842)

Non-GAAP Financial Measures

TASKUS, INC.
Non-GAAP Financial Measures
(in thousands, except % and share and per share data)
Year ended December 31, Three months ended Year ended December 31, Three months ended Year ended December 31, Three months ended
March 31, June 30, September 30, December 31, March 31, June 30, September 30, December 31, March 31, June 30, September 30, December 31,
2019 2020 2020 2020 2020 2020 2021 2021 2021 2021 2021 2022 2022 2022 2022
Net income (loss) $ 33,940 $ 1,515 $ 8,008 $ 11,456 $ 13,554 $ 34,533 $ 16,507 $ (105,943) $ 11,636 $ 19,102 $ (58,698) $ 11,586 $ 7,729
Amortization of intangible assets 18,847 4,712 4,712 4,711 4,712 18,847 4,712 4,712 4,711 4,712 18,847 4,711 4,967
Transaction costs - - - 385 511 896 3,329 2,432 488 720 6,969 192 357
Earn-out consideration - - - - - - - - - - - - 1,328
Foreign currency losses (gains) (2,039) 1,404 (1,114) 637 (2,438) (1,511) 787 (1,595) 1,285 332 809 1,153 7,501
Loss (gain) on disposal of assets 2,227 (5) - 155 966 1,116 27 1 26 (2) 52 (15) 5
COVID-19 related expenses - 2,439 1,320 1,309 2,473 7,541 2,394 3,711 - - 6,105 - -
Severance costs - 98 472 2,057 (70) 2,557 - - - - - - 821
Lease termination costs - - - 1,500 315 1,815 - - - - - - -
Natural disaster costs - - - - - - 442 - - - 442 - -
Contingent consideration - - 3,570 - - 3,570 - - - - - - -
Phantom shares bonus - - - - - - - 129,362 - - 129,362 - -
Teammate IPO bonus - - - - - - - 4,361 - - 4,361 - -
Stock-based compensation expense - - - - - - - 5,771 19,243 21,370 46,384 19,688 19,042
Tax impacts of adjustments - - - - - - - (11,440) (4,632) (9,172) (25,244) (2,350) (3,008)
Adjusted Net Income $ 52,975 $ 10,163 $ 16,968 $ 22,210 $ 20,023 $ 69,364 $ 28,198 $ 31,372 $ 32,757 $ 37,062 $ 129,389 $ 34,965 $ 38,742
Net Income Margin 9.4 % 1.5 % 7.0 % 9.4 % 9.8 % 7.2 % 10.8 % (58.9)% 5.8 % 8.4 % (7.7)% 4.8 % 3.1 %
Adjusted Net Income Margin 14.7 % 9.9 % 14.8 % 18.1 % 14.4 % 14.5 % 18.4 % 17.4 % 16.3 % 16.3 % 17.0 % 14.6 % 15.7 %
Year ended December 31, Three months ended Year ended December 31, Three months ended Year ended December 31, Three months ended
March 31, June 30, September 30, December 31, March 31, June 30, September 30, December 31, March 31, June 30, September 30, December 31,
2019 2020 2020 2020 2020 2020 2021 2021 2021 2021 2021 2022 2022 2022 2022
GAAP diluted EPS $ 0.09 $ 0.12 $ 0.15 $ 0.38 $ 0.18 $ (1.14) $ 0.11 $ 0.17 $ (0.62) $ 0.11 $ 0.07
Per share adjustments to net income (loss) 0.09 0.12 0.07 0.38 0.13 1.48 0.19 0.17 1.98 0.23 0.31
Per share adjustments for GAAP anti-dilutive shares - - - - - (0.02) - - (0.10) - -
Adjusted EPS $ 0.18 $ 0.24 $ 0.22 $ 0.76 $ 0.31 $ 0.32 $ 0.30 $ 0.34 $ 1.26 $ 0.34 $ 0.38
Weighted-average common stock outstanding - diluted 91,737,020 91,737,020 91,737,020 91,737,020 91,737,020 92,957,493 109,426,011 110,513,820 94,832,137 104,122,026 103,177,186
GAAP anti-dilutive shares - - - - - 4,599,736 - - 7,476,384 - -
Adjusted weighted-average shares outstanding 91,737,020 91,737,020 91,737,020 91,737,020 91,737,020 97,557,229 109,426,011 110,513,820 102,308,521 104,122,026 103,177,186
Year ended December 31, Three months ended Year ended December 31, Three months ended Year ended December 31, Three months ended
March 31, June 30, September 30, December 31, March 31, June 30, September 30, December 31, March 31, June 30, September 30, December 31,
2019 2020 2020 2020 2020 2020 2021 2021 2021 2021 2021 2022 2022 2022 2022
Net income (loss) $ 33,940 $ 1,515 $ 8,008 $ 11,456 $ 13,554 $ 34,533 $ 16,507 $ (105,943) $ 11,636 $ 19,102 $ (58,698) $ 11,586 $ 7,729
Provision for (benefit from) income taxes (4,411) 339 1,629 2,564 5,354 9,886 3,559 (7,020) 1,656 (460) (2,265) 6,313 2,063
Financing expenses 7,351 2,243 1,959 1,647 1,633 7,482 1,581 1,594 1,633 1,696 6,504 1,602 2,204
Depreciation 16,329 4,714 5,815 3,696 5,930 20,155 6,203 6,729 7,422 8,684 29,038 8,901 9,657
Amortization of intangible assets 18,847 4,712 4,712 4,711 4,712 18,847 4,712 4,712 4,711 4,712 18,847 4,711 4,967
EBITDA $ 72,056 $ 13,523 $ 22,123 $ 24,074 $ 31,183 $ 90,903 $ 32,562 $ (99,928) $ 27,058 $ 33,734 $ (6,574) $ 33,113 $ 26,620
Transaction costs - - - 385 511 896 3,329 2,432 488 720 6,969 192 357
Earn-out consideration - - - - - - - - - - - - 1,328
Foreign currency losses (gains) (2,039) 1,404 (1,114) 637 (2,438) (1,511) 787 (1,595) 1,285 332 809 1,153 7,501
Loss (gain) on disposal of assets 2,227 (5) - 155 966 1,116 27 1 26 (2) 52 (15) 5
Settlement of 2018 Credit Facility 1,995 - - - - - - - - - - - -
COVID-19 related expenses - 2,439 1,320 1,309 2,473 7,541 2,394 3,711 - - 6,105 - -
Severance costs - 98 472 2,057 (70) 2,557 - - - - - - 821
Lease termination costs - - - 1,500 315 1,815 - - - - - - -
Natural disaster costs - - - - - - 442 - - - 442 - -
Contingent consideration - - 3,570 - - 3,570 - - - - - - -
Phantom shares bonus - - - - - - - 129,362 - - 129,362 - -
Teammate IPO bonus - - - - - - - 4,361 - - 4,361 - -
Stock-based compensation expense - - - - - - - 5,771 19,243 21,370 46,384 19,688 19,042
Adjusted EBITDA $ 74,239 $ 17,459 $ 26,371 $ 30,117 $ 32,940 $ 106,887 $ 39,541 $ 44,115 $ 48,100 $ 56,154 $ 187,910 $ 54,131 $ 55,674
Net (Loss) Income Margin 9.4 % 1.5 % 7.0 % 9.4 % 9.8 % 7.2 % 10.8 % (58.9)% 5.8 % 8.4 % (7.7)% 4.8 % 3.1 %
Adjusted EBITDA Margin 20.6 % 17.0 % 23.1 % 24.6 % 23.7 % 22.4 % 25.9 % 24.5 % 23.9 % 24.8 % 24.7 % 22.6 % 22.6 %
Year ended December 31, Three months ended Year ended December 31, Three months ended Year ended December 31, Three months ended
March 31, June 30, September 30, December 31, December 31, March 31, June 30, September 30, December 31, March 31, June 30, September 30, December 31,
2019 2020 2020 2020 2020 1905 2020 2021 2021 2021 2021 2021 2022 2022 2022 2022
Net cash provided by (used in) operating activities $ 43,789 $ 2,054 $ 20,549 $ 23,026 $ 13,244 $ 58,873 $ 39,922 $ 5,755 $ (109,103) $ 30,752 $ (32,674) $ 36,890 $ 36,076
Purchase of property and equipment (20,045) (8,612) (10,203) (3,071) (6,997) (28,883) (10,127) (13,326) (15,150) (20,760) (59,363) (17,770) (11,587)
Free Cash Flow $ 23,744 $ (6,558) 0 $ 10,346 0 $ 19,955 0 $ 6,247 0 $ 29,990 0 $ 29,795 0 $ (7,571) 0 $ (124,253) 0 $ 9,992 0 $ (92,037) $ - $ 19,120 $ 24,489
Conversion of Adjusted EBITDA 32.0 % (37.6)% 39.2 % 66.3 % 19.0 % 28.1 % 75.4 % (17.2)% (258.3)% 17.8 % (49.0)% 35.3 % 44.0 %

Operational & Revenue Data

TASKUS, INC.
Operational & Revenue Data
($ in thousands)
Year ended December 31, Three months ended Year ended December 31, Three months ended Year ended December 31, Three months ended
March 31, June 30, September 30, December 31, March 31, June 30, September 30, December 31, March 31, June 30, September 30, December 31,
2019 2020 2020 2020 2020 2020 2021 2021 2021 2021 2021 2022 2022 2022 2022
Employees (Approx. at Quarter-end)
Philippines 19,190 21,500 27,100 27,100
India 3,160 4,200 6,000 6,000
United States 4,020 4,200 4,800 4,800
Other 1,130 1,600 2,200 2,200
Total 18,400 23,600 27,500 31,500 35,600 40,100 40,100 45,800 45,300
Client Concentration (% of total)
Client #1 35 % 31 % 33 % 33 % 32 % 32 % 29 % 27 % 27 % 25 % 27 % 24 % 22 %
Client #2 11 % 11 % 16 % 11 % 11 % 12 % 11 % 12 % 11 % Less than 10% 11 % 10 % Less than 10%
Top 10 Clients 74 % 75 % 73 % 67 % 66 % 68 % 64 % 63 % 61 % 60 % 62 % 61 % 58 %
Top 20 Clients 84 % 86 % 85 % 81 % 80 % 81 % 78 % 77 % 76 % 75 % 76 % 75 % 73 %
Client Count
Clients > $0.5 million 57 72 93
Clients > $1 million 46 72
Clients > $10 million 8 16
Client wins
New clients 27 36 41
Clients who signed new statements of work 38 69
Client win rates
New client win rate 40 % 56 % 49 %
Existing client win rate 50 % 58 % 67 %
Total client win rate 45 % 57 % 60 %
Net revenue retention rate 139 % 117 % 141 %
Revenue by Service Offering
Digital Customer Experience $ 206,471 $ 65,217 $ 71,345 $ 76,255 $ 87,607 $ 300,424 $ 99,711 $ 113,566 $ 125,310 $ 148,092 $ 486,679 $ 159,731 $ 167,420
Content Security 104,259 26,538 31,076 33,787 36,256 127,657 36,127 42,995 45,376 44,582 169,080 45,852 46,331
AI Services 48,951 10,674 11,979 12,383 14,929 49,965 17,033 23,461 30,367 34,083 104,944 34,097 32,708
Service revenue $ 359,681 $ 102,429 $ 114,400 $ 122,425 $ 138,792 $ 478,046 $ 152,871 $ 180,022 $ 201,053 $ 226,757 $ 760,703 $ 239,680 $ 246,459
Revenue by Geographical Location
Philippines $ 208,983 $ 55,874 $ 62,842 $ 69,369 $ 79,602 $ 267,687 $ 84,578 $ 95,681 $ 103,837 $ 118,244 $ 402,340 $ 120,080 $ 124,322
United States 132,962 40,645 43,429 42,761 44,641 171,476 50,757 58,930 65,866 71,089 246,642 79,131 74,273
Rest of World 17,736 5,910 8,129 10,295 14,549 38,883 17,536 25,411 31,350 37,424 111,721 40,469 47,864
Service revenue $ 359,681 $ 102,429 $ 114,400 $ 122,425 $ 138,792 $ 478,046 $ 152,871 $ 180,022 $ 201,053 $ 226,757 $ 760,703 $ 239,680 $ 246,459