UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
For the quarterly period ended
OR
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
For the transition period from to
Commission File Number:
(Exact name of registrant as specified in its charter)
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(State or other jurisdiction of incorporation or organization) |
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(I.R.S. Employer Identification No.) |
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(Address of principal executive offices) |
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(Zip Code) |
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(Registrant’s telephone number, including area code)
Securities registered pursuant to Section 12(b) of the Act:
Title of each class |
Trading Symbol |
Name of each exchange on which registered |
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.
Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.
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Accelerated filer |
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Non-accelerated filer |
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Smaller reporting company |
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Emerging growth company |
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to section 13(a) of the Exchange Act ☐
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes
Indicate the number of shares outstanding of each of the issuer’s classes of common stock, as of the latest practicable date.
On July 22, 2022, there were
ALTAIR ENGINEERING INC. AND SUBSIDIARIES
FORM 10-Q
FOR THE QUARTER ENDED JUNE 30, 2022
INDEX
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PART I. |
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Item 1. |
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a) |
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3 |
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b) |
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c) |
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d) |
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e) |
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f) |
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Item 2. |
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Management’s Discussion and Analysis of Financial Condition and Results of Operations |
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Item 3. |
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Item 4. |
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PART II. |
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Item 1. |
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Item 1A. |
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Item 2. |
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Item 3. |
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Item 4. |
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Item 5. |
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Item 6. |
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PART I – FINANCIAL INFORMATION
Item 1. Financial Statements
ALTAIR ENGINEERING INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
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June 30, 2022 |
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December 31, 2021 |
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(In thousands) |
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(Unaudited) |
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ASSETS |
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CURRENT ASSETS: |
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Cash and cash equivalents |
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$ |
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$ |
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Accounts receivable, net |
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Income tax receivable |
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Prepaid expenses and other current assets |
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Total current assets |
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Property and equipment, net |
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Operating lease right of use assets |
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Goodwill |
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Other intangible assets, net |
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Deferred tax assets |
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Other long-term assets |
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TOTAL ASSETS |
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$ |
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$ |
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LIABILITIES, MEZZANINE EQUITY AND STOCKHOLDERS’ EQUITY |
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CURRENT LIABILITIES: |
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Accounts payable |
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$ |
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$ |
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Accrued compensation and benefits |
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Current portion of operating lease liabilities |
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Other accrued expenses and current liabilities |
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Deferred revenue |
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Convertible senior notes, net |
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Total current liabilities |
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Operating lease liabilities, net of current portion |
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Deferred revenue, non-current |
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Convertible senior notes, net |
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Other long-term liabilities |
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TOTAL LIABILITIES |
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MEZZANINE EQUITY |
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STOCKHOLDERS’ EQUITY: |
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Preferred stock ($ |
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Common stock ($ |
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Class A common stock, authorized |
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Class B common stock, authorized |
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Additional paid-in capital |
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Accumulated deficit |
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Accumulated other comprehensive loss |
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TOTAL STOCKHOLDERS’ EQUITY |
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TOTAL LIABILITIES, MEZZANINE EQUITY AND STOCKHOLDERS’ EQUITY |
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$ |
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$ |
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See accompanying notes to consolidated financial statements.
3
ALTAIR ENGINEERING INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
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Three Months Ended |
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Six Months Ended |
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(in thousands, except per share data) |
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2022 |
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2021 |
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2022 |
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2021 |
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Revenue |
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License |
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$ |
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$ |
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$ |
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$ |
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Maintenance and other services |
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Total software |
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Software related services |
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Total software and related services |
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Client engineering services |
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Other |
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Total revenue |
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Cost of revenue |
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License |
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Maintenance and other services |
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Total software |
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Software related services |
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Total software and related services |
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Client engineering services |
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Other |
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Total cost of revenue |
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Gross profit |
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Operating expenses: |
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Research and development |
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Sales and marketing |
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General and administrative |
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Amortization of intangible assets |
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Other operating income, net |
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Total operating expenses |
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Operating (loss) income |
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Interest expense |
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Other expense, net |
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(Loss) income before income taxes |
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Income tax expense |
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Net (loss) income |
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$ |
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$ |
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(Loss) income per share: |
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Net (loss) income per share attributable to common |
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$ |
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$ |
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$ |
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$ |
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Net (loss) income per share attributable to common |
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$ |
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$ |
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$ |
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$ |
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Weighted average shares outstanding: |
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Weighted average number of shares used in computing |
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Weighted average number of shares used in computing |
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See accompanying notes to consolidated financial statements.
4
ALTAIR ENGINEERING INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS
(Unaudited)
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Three Months Ended |
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Six Months Ended |
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(in thousands) |
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2022 |
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2021 |
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2022 |
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2021 |
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Net (loss) income |
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$ |
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$ |
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$ |
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$ |
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Other comprehensive (loss) income, net of tax: |
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Foreign currency translation (net of tax effect of $ |
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Retirement related benefit plans (net of tax effect of $ |
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Total other comprehensive (loss) income |
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Comprehensive loss |
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$ |
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$ |
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$ |
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$ |
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See accompanying notes to consolidated financial statements.
5
ALTAIR ENGINEERING INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS’ EQUITY
(Unaudited)
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Accumulated |
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Common stock |
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Additional |
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other |
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Total |
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Class A |
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Class B |
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paid-in |
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Accumulated |
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comprehensive |
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stockholders’ |
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(in thousands) |
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Shares |
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Amount |
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Shares |
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Amount |
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capital |
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deficit |
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loss |
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equity |
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Balance as of December 31, 2021 |
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$ |
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$ |
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$ |
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$ |
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$ |
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$ |
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Cumulative effect of an accounting change |
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— |
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— |
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— |
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— |
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— |
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Net income |
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— |
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— |
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— |
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— |
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— |
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— |
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Issuance of common stock for employee stock |
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— |
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— |
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— |
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— |
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— |
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Exercise of stock options |
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— |
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— |
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— |
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— |
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— |
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Vesting of restricted stock |
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— |
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— |
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— |
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— |
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— |
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