vrm-8k_20200812.htm

 

  

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

 

FORM 8-K 

 

 

CURRENT REPORT

Pursuant to Section 13 or 15(d)

of the Securities Exchange Act of 1934

Date of report (Date of earliest event reported): August 12, 2020

 

 

VROOM, INC.

(Exact name of registrant as specified in its charter)

 

 

 

 

 

 

 

 

Delaware

 

001-39315

 

901112566

(State or other jurisdiction

of incorporation or organization)

 

(Commission

File Number)

 

(I.R.S. Employer

Identification No.)

1375 Broadway, Floor 11

New York, New York 10018

(Address of principal executive offices) (Zip Code)

 

(855) 524-1300

(Registrant’s telephone number, include area code)

N/A

(Former Name or Former Address, if Changed Since Last Report)

 

 

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

 

Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

 

Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) 

 

Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) 

 

Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) 

Securities registered pursuant to Section 12(b) of the Act:

 

Title of each class

Trading Symbol(s)

Name of each exchange on which registered

Common Stock, $0.001 par value per share

VRM

The Nasdaq Global Select Market

 

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

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.

 

 

 


 

Item 2.02. Results of Operations and Financial Condition.

On August 12, 2020, Vroom, Inc. (the “Company”) issued a press release announcing its financial results for the quarter ended June 30, 2020. A copy of the press release is furnished as Exhibit 99.1 to this Current Report on Form 8-K.  

The information contained in this Item 2.02, including Exhibit 99.1 hereto, shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing made by the Company under the Securities Act of 1933, as amended, or the Exchange Act, regardless of any general incorporation language in such filings, unless expressly incorporated by specific reference in such filing.

Item 9.01. Financial Statements and Exhibits.

(d) Exhibits.

The following exhibit relating to Item 2.02 shall be deemed to be furnished, and not filed:

 

Exhibit No.

 

Description

 

 

99.1

 

Press Release dated August 12, 2020.

 

 


 

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

 

 

 

VROOM, INC.

 

 

 

Date: August 12, 2020

 

By:

 

/s/ David K. Jones

 

 

 

 

David K. Jones

 

 

 

 

Chief Financial Officer

 

 

vrm-ex991_6.htm

Exhibit 99.1

 

Vroom Reports Second Quarter 2020 Results

Vroom Delivers Ahead of Growth Plan

Ecommerce Unit Sales Up 74%

 

NEW YORK – August 12, 2020 – Vroom, Inc. (NASDAQ:VRM), a leading e-commerce platform for buying and selling used vehicles, today announced financial results for the second quarter ended June 30, 2020 (“Q2 2020”).

HIGHLIGHTS OF SECOND QUARTER 2020

 

6,713 Ecommerce units sold, 1,110 TDA units sold, 3,259 Wholesale units sold

 

Revenue of $253.1 million

 

Gross profit of $7.6 million

 

Adjusted EBITDA of $(39.0) million(a)

 

Loss from operations of $(41.4) million

 

Adjusted loss from operations of $(40.1) million(a)

 

Net loss of $(63.2) million

 

Non-GAAP net loss of $(40.7) million(a)

 

Net loss per share of $(2.00)

 

Non-GAAP net loss per share, as adjusted of $(0.34)(a)

 

(a) See section entitled “Non-GAAP Measures” for adjustment details and reconciliations of these non-GAAP financial measures to the most directly comparable financial measure calculated in accordance with GAAP.

Paul Hennessy, Chief Executive Officer of Vroom, commented: “I am pleased with our results for the second quarter, in which we performed substantially ahead of our growth plan, and I am encouraged by both the continued validation of the Vroom model and the performance of our employees in a tough environment. During the course of this single quarter, we managed through significant swings in demand and numerous operational challenges brought on by the COVID-19 pandemic. In response to the drop in demand and uncertainty around vehicle pricing early in the pandemic, we chose to de-risk the business by significantly reducing our inventory during the first half of the quarter. As demand increased and pricing became more stable through the second half of the quarter, we pivoted to start rebuilding inventory and continue to do so. These lower inventory levels prevented us from fulfilling all of the demand that materialized in the second half of the quarter. We believe we continue to be well positioned to navigate the challenges presented by the COVID-19 crisis and take advantage of shifting consumer buying and selling patterns in favor of ecommerce.” 

 

 


 

 

SECOND QUARTER 2020 FINANCIAL DISCUSSION

All financial comparisons are on a year-over-year basis unless otherwise noted.

Ecommerce Results

 

 

 

Three Months Ended

June 30,

 

 

 

 

 

 

 

 

 

 

 

Six Months Ended

June 30,

 

 

 

 

 

 

 

 

 

 

 

 

2019

 

 

2020

 

 

 

Change

 

 

% Change

 

 

2019

 

 

2020

 

 

 

Change

 

 

% Change

 

 

 

(in thousands, except unit

data and average days to sale)

 

 

 

 

 

 

 

 

 

 

 

(in thousands, except unit

data and average days to sale)

 

 

 

 

 

 

 

 

 

 

Ecommerce units sold

 

 

 

3,856

 

 

 

 

6,713

 

 

 

 

2,857

 

 

 

74.1

%

 

 

 

7,043

 

 

 

 

14,643

 

 

 

 

7,600

 

 

 

107.9

%

Ecommerce revenue:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Vehicle revenue

 

$

 

118,569

 

 

$

 

170,460

 

 

$

 

51,891

 

 

 

43.8

%

 

$

 

207,199

 

 

$

 

396,065

 

 

$

 

188,866

 

 

 

91.2

%

Product revenue

 

 

 

2,384

 

 

 

 

5,108

 

 

 

 

2,724

 

 

 

114.3

%

 

 

 

3,609

 

 

 

 

12,675

 

 

 

 

9,066

 

 

 

251.2

%

Total ecommerce revenue

 

$

 

120,953

 

 

$

 

175,568

 

 

$

 

54,615

 

 

 

45.2

%

 

$

 

210,808

 

 

$

 

408,740

 

 

$

 

197,932

 

 

 

93.9

%

Ecommerce gross profit:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Vehicle gross profit

 

$

 

4,911

 

 

$

 

2,111

 

 

$

 

(2,800

)

 

 

(57.0

)%

 

$

 

9,440

 

 

$

 

8,811

 

 

$

 

(629

)

 

 

(6.7

)%

Product gross profit

 

 

 

2,384

 

 

 

 

5,108

 

 

 

 

2,724

 

 

 

114.3

%

 

 

 

3,609

 

 

 

 

12,675

 

 

 

 

9,066

 

 

 

251.2

%

Total ecommerce gross

   profit

 

$

 

7,295

 

 

$

 

7,219

 

 

$

 

(76

)

 

 

(1.0

)%

 

$

 

13,049

 

 

$

 

21,486

 

 

$

 

8,437

 

 

 

64.7

%

Average vehicle selling price per

   ecommerce unit

 

$

 

30,749

 

 

$

 

25,393

 

 

$

 

(5,356

)

 

 

(17.4

)%

 

$

 

29,419

 

 

$

 

27,048

 

 

$

 

(2,371

)

 

 

(8.1

)%

Gross profit per

   ecommerce unit:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Vehicle gross profit per

   ecommerce unit

 

$

 

1,274

 

 

$

 

314

 

 

$

 

(960

)

 

 

(75.4

)%

 

$

 

1,340

 

 

$

 

602

 

 

$

 

(738

)

 

 

(55.1

)%

Product gross profit per

   ecommerce unit

 

 

 

618

 

 

 

 

761

 

 

 

 

143

 

 

 

23.1

%

 

 

 

512

 

 

 

 

866

 

 

 

 

354

 

 

 

69.1

%

Total gross profit per

   ecommerce unit

 

$

 

1,892

 

 

$

 

1,075

 

 

$

 

(817

)

 

 

(43.2

)%

 

$

 

1,852

 

 

$

 

1,468

 

 

$

 

(384

)

 

 

(20.7

)%

Ecommerce average days

   to sale

 

 

 

64

 

 

 

 

66

 

 

 

 

2

 

 

 

3.1

%

 

 

 

64

 

 

 

 

67

 

 

 

 

3

 

 

 

4.7

%

 

2

 


 

 

Ecommerce Units

Ecommerce units sold increased 74.1% to 6,713. Average monthly unique visitors to our website increased 59.1% to 999,899.

Ecommerce Revenue

Ecommerce revenue increased 45.2% to $175.6 million.

 

Ecommerce Vehicle revenue increased 43.8% to $170.5 million. The increase in ecommerce Vehicle revenue was primarily attributable to the increase in ecommerce units sold, partially offset by a decrease in the average selling price per unit, which decreased from $30,749 to $25,393.

 

Ecommerce Product revenue increased 114.3% to $5.1 million.  The increase in ecommerce Product revenue was primarily attributable to the increase in ecommerce units sold, and further increased by an improvement in ecommerce Product revenue per unit, which increased from $618 to $761 per unit.

Ecommerce Gross Profit

Ecommerce gross profit was flat year-over-year at $7.2 million.

 

Ecommerce Vehicle gross profit decreased 57.0% to $2.1 million. The decrease in ecommerce Vehicle gross profit was primarily attributable to a $960 decrease in ecommerce Vehicle gross profit per unit as a result of pricing actions taken in the beginning of the quarter in response to declines in demand related to COVID-19.

 

Ecommerce Product gross profit increased 114.3% to $5.1 million. The increase in ecommerce Product gross profit was primarily attributable to the increase in ecommerce units sold, and further increased by an improvement in ecommerce Product gross profit per unit, which increased from $618 to $761 per unit.

Ecommerce Gross Profit per Unit

Ecommerce gross profit per unit decreased 43.2% to $1,075.

 

Ecommerce Vehicle gross profit per unit decreased 75.4% to $314.

 

Ecommerce Product gross profit per unit increased 23.1% to $761.

 

3

 


 

Results by Segment

 

 

 

For the Three Months Ended

June 30,

 

 

 

 

 

 

 

 

 

 

For the Six Months Ended

June 30,

 

 

 

 

 

 

 

 

 

 

 

2019

 

 

2020

 

 

Change

 

 

% Change

 

 

2019

 

 

2020

 

 

Change

 

 

% Change

 

 

 

(in thousands)

 

 

 

 

 

 

 

 

 

 

(in thousands)

 

 

 

 

 

 

 

 

 

Units:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Ecommerce

 

 

3,856

 

 

 

6,713

 

 

 

2,857

 

 

 

74.1

%

 

 

7,043

 

 

 

14,643

 

 

 

7,600

 

 

 

107.9

%

TDA

 

 

2,792

 

 

 

1,110

 

 

 

(1,682

)

 

 

(60.2

)%

 

 

6,162

 

 

 

4,145

 

 

 

(2,017

)

 

 

(32.7

)%

Wholesale

 

 

5,396

 

 

 

3,259

 

 

 

(2,137

)

 

 

(39.6

)%

 

 

10,626

 

 

 

7,944

 

 

 

(2,682

)

 

 

(25.2

)%

Total units

 

 

12,044

 

 

 

11,082

 

 

 

(962

)

 

 

(8.0

)%

 

 

23,831

 

 

 

26,732

 

 

 

2,901

 

 

 

12.2

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Revenue:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Ecommerce

 

$

120,953

 

 

$

175,568

 

 

$

54,615

 

 

 

45.2

%

 

$

210,808

 

 

$

408,740

 

 

$

197,932

 

 

 

93.9

%

TDA

 

 

85,413

 

 

 

26,604

 

 

 

(58,809

)

 

 

(68.9

)%

 

 

178,497

 

 

 

113,628

 

 

 

(64,869

)

 

 

(36.3

)%

Wholesale

 

 

54,531

 

 

 

50,921

 

 

 

(3,610

)

 

 

(6.6

)%

 

 

106,651

 

 

 

106,497

 

 

 

(154

)

 

 

(0.1

)%

Total revenue

 

$

260,897

 

 

$

253,093

 

 

$

(7,804

)

 

 

(3.0

)%

 

$

495,956

 

 

$

628,865

 

 

$

132,909

 

 

 

26.8

%

Gross profit:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Ecommerce

 

$

7,295

 

 

$

7,219

 

 

$

(76

)

 

 

(1.0

)%

 

$

13,049

 

 

$

21,486

 

 

$

8,437

 

 

 

64.7

%

TDA

 

 

6,101

 

 

 

931

 

 

 

(5,170

)

 

 

(84.7

)%

 

 

12,179

 

 

 

6,346

 

 

 

(5,833

)

 

 

(47.9

)%

Wholesale

 

 

449

 

 

 

(543

)

 

 

(992

)

 

 

(220.9

)%

 

 

629

 

 

 

(1,838

)

 

 

(2,467

)

 

 

(392.2

)%

Total gross profit

 

$

13,845

 

 

$

7,607

 

 

$

(6,238

)

 

 

(45.1

)%

 

$

25,857

 

 

$

25,994

 

 

$

137

 

 

 

0.5

%

Gross profit

   per unit:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Ecommerce

 

$

1,892

 

 

$

1,075

 

 

$

(817

)

 

 

(43.2

)%

 

$

1,852

 

$

 

1,468

 

$

 

(384

)

 

 

(20.7

)%

TDA

 

$

2,088

 

 

$

778

 

 

$

(1,310

)

 

 

(62.7

)%

 

$

1,907

 

$

 

1,477

 

$

 

(430

)

 

 

(22.5

)%

Wholesale

 

$

83

 

 

$

(167

)

 

$

(250

)

 

 

(301.2

)%

 

$

59

 

$

 

(231

)

$

 

(290

)

 

 

(491.5

)%

Total gross profit per

   unit

 

$

1,150

 

 

$

686

 

 

$

(464

)

 

 

(40.3

)%

 

$

1,085

 

$

 

972

 

$

 

(113

)

 

 

(10.4

)%

 

Total Units

Total units sold decreased 8.0% to 11,082.

 

Ecommerce units sold increased 74.1% to 6,713.

 

TDA units sold decreased 60.2% to 1,110 due to government mandated “stay at home” orders and other disruptions related to the COVID-19 pandemic in the Houston area.

 

Wholesale units sold decreased 39.6% to 3,259 primarily due to a reduction of wholesale grade units purchased from consumers during the early stage of the COVID-19 pandemic.

Total Revenue

Total revenue decreased 3.0% to $253.1 million.

 

Ecommerce revenue increased 45.2% to $175.6 million as discussed above.

 

TDA revenue decreased 68.9% to $26.6 million. TDA revenue decreased primarily due to the decrease in TDA units sold and a lower average selling price per unit, which decreased from $29,310 to $23,114.

4

 


 

 

Wholesale revenue decreased 6.6% to $50.9 million. The decrease in wholesale revenue was primarily attributable to the decrease in wholesale units sold, partially offset by a higher average selling price per wholesale unit, which increased from $10,106 to $15,625, primarily driven by the sale of un-reconditioned retail vehicles through wholesale auctions in the early stage of the COVID-19 pandemic.

Total Gross Profit

Total gross profit decreased 45.1% to $7.6 million.

 

Ecommerce gross profit was flat year-over-year at $7.2 million, as discussed above.

 

TDA gross profit decreased 84.7% to $0.9 million. TDA gross profit decreased in part due to a decrease in TDA gross profit per unit of $1,310, primarily as a result of pricing actions taken in the beginning of the quarter in response to declines in demand related to COVID-19 and due to the decrease in TDA units sold.

 

Wholesale gross profit decreased 220.9% to a loss of $0.5 million. Wholesale gross profit decreased primarily due to a decrease in wholesale gross profit per unit of $250 and the decrease in wholesale units sold.

Total Gross Profit per Unit

Total gross profit per unit decreased 40.3% to $686.

 

Ecommerce gross profit per unit decreased 43.2% to $1,075.

 

TDA gross profit per unit decreased 62.7% to $778.

 

Wholesale gross profit per unit decreased 301.2% to a loss of $167.

SG&A

 

 

 

 

Three Months Ended

June 30,

 

 

 

 

 

 

 

 

 

 

Six Months Ended

June 30,

 

 

 

 

 

 

 

 

 

 

 

 

2019

 

 

 

2020

 

 

Change

 

 

% Change

 

 

2019

 

 

 

2020

 

 

Change

 

 

% Change

 

 

 

 

(in thousands)

 

 

 

 

 

 

 

 

 

 

(in thousands)

 

 

 

 

 

 

 

 

 

Compensation & benefits

 

$

 

17,476

 

 

$

 

20,618

 

 

$

3,142

 

 

 

18.0

%

 

$

 

32,968

 

 

$

 

40,940

 

 

$

7,972

 

 

 

24.2

%

Marketing expense

 

 

 

12,736

 

 

 

 

11,573

 

 

 

(1,163

)

 

 

(9.1

)%

 

 

 

19,836

 

 

 

 

29,488

 

 

 

9,652

 

 

 

48.7

%

Outbound logistics

 

 

 

2,650

 

 

 

 

5,470

 

 

 

2,820

 

 

 

106.4

%

 

 

 

4,944

 

 

 

 

11,261

 

 

 

6,317

 

 

 

127.8

%

Occupancy and related costs

 

 

 

2,985

 

 

 

 

2,267

 

 

 

(718

)

 

 

(24.1

)%

 

 

 

5,271

 

 

 

 

4,964

 

 

 

(307

)

 

 

(5.8

)%

Professional fees

 

 

 

3,227

 

 

 

 

1,465

 

 

 

(1,762

)

 

 

(54.6

)%

 

 

 

5,880

 

 

 

 

3,924

 

 

 

(1,956

)

 

 

(33.3

)%

Other

 

 

 

4,618

 

 

 

 

6,518

 

 

 

1,900

 

 

 

41.1

%

 

 

 

11,376

 

 

 

 

15,714

 

 

 

4,338

 

 

 

38.1

%

Total selling, general &

   administrative expenses

 

$

 

43,692

 

 

$

 

47,911

 

 

$

4,219

 

 

 

9.7

%

 

$

 

80,275

 

 

$

 

106,291

 

 

$

26,016

 

 

 

32.4

%

 

Selling, general and administrative expenses increased 9.7% to $47.9 million. The increase was primarily due to a $3.1 million increase in compensation and benefits and a $2.8 million increase in outbound logistics costs. These increases were offset by a $1.8 million decrease in professional fees and a $1.2 million decrease in marketing expense.

5

 


 

Loss from Operations and Net Loss

Loss from operations increased 32.0% to $41.4 million and includes $4.1 million of stock-based compensation expense, of which $1.3 million is one-time expense accelerated by our IPO.

 

Net loss increased 89.6% to $63.2 million, and includes $1.3 million of a one-time, IPO-related acceleration of non-cash stock-based compensation expense and a $21.3 million one-time, IPO-related non-cash revaluation of a preferred stock warrant.

 

Non-GAAP Measures

In addition to our results determined in accordance with accounting principles generally accepted in the United States, or GAAP, we believe the following non-GAAP financial measures are useful in evaluating our operating performance: EBITDA, Adjusted EBITDA, Adjusted loss from operations, Non-GAAP net loss, Non-GAAP net loss per share and Non-GAAP net loss per share, as adjusted. These non-GAAP financial measures have limitations as analytical tools in that they do not reflect all of the amounts associated with our results of operations as determined in accordance with GAAP. Because of these limitations, these non-GAAP financial measures should be considered along with other operating and financial performance measures presented in accordance with GAAP. The presentation of these non-GAAP financial measures is not intended to be considered in isolation or as a substitute for, or superior to, financial information prepared and presented in accordance with GAAP. Investors are encouraged to review the reconciliation of these non-GAAP financial measures to their most directly comparable GAAP financial measures.

We calculate EBITDA as net loss before interest expense, interest income, income tax expense and depreciation and amortization expense and we calculate Adjusted EBITDA as EBITDA adjusted to exclude the one-time, IPO related acceleration of non-cash stock-based compensation expense and the one-time, IPO related non-cash revaluation of a preferred stock warrant. We calculate Adjusted loss from operations as operating loss adjusted to exclude the one-time, IPO related acceleration of non-cash stock-based compensation expense and we calculate Non-GAAP net loss as net loss adjusted to exclude the one-time, IPO related acceleration of non-cash stock-based compensation expense and the one-time, IPO related non-cash revaluation of a preferred stock warrant. The following table presents a reconciliation of the Non-GAAP measures to the most directly comparable financial measures prepared in accordance with GAAP, for each of the periods presented.

EBITDA and Adjusted EBITDA

EBITDA and Adjusted EBITDA are supplemental performance measures that our management uses to assess our operating performance and the operating leverage in our business. Because EBITDA and Adjusted EBITDA facilitate internal comparisons of our historical operating performance on a more consistent basis, we use these measures for business planning purposes.

 

6

 


 

 

 

Three Months Ended

June 30,

 

 

Six Months Ended

June 30,

 

 

 

2019

 

 

2020

 

 

2019

 

 

2020

 

 

 

(in thousands)

 

 

(in thousands)

 

Net loss

 

$

(33,340

)

 

$

(63,228

)

 

$

(60,479

)

 

$

(104,287

)

Adjusted to exclude the following:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest expense

 

 

3,388

 

 

 

1,297

 

 

 

6,106

 

 

 

4,123

 

Interest income

 

 

(1,415

)

 

 

(715

)

 

 

(3,264

)

 

 

(2,671

)

Provision (benefit) for income taxes

 

 

(29

)

 

 

52

 

 

 

74

 

 

 

105

 

Depreciation and amortization expense

 

 

1,557

 

 

 

1,089

 

 

 

3,146

 

 

 

2,059

 

EBITDA

 

$

(29,839

)

 

$

(61,505

)

 

$

(54,417

)

 

$

(100,671

)

One-time IPO related acceleration of non-cash

   stock-based compensation

 

 

 

 

 

1,262

 

 

 

 

 

 

1,262

 

One-time IPO related non-cash revaluation of preferred

   stock warrant

 

 

 

 

 

21,260

 

 

 

 

 

 

20,470

 

Adjusted EBITDA

 

$

(29,839

)

 

$

(38,983

)

 

$

(54,417

)

 

$

(78,939

)

 

Adjusted loss from operations

 

 

 

Three Months Ended

June 30,

 

 

Six Months Ended

June 30,

 

 

 

2019

 

 

2020

 

 

2019

 

 

2020

 

 

 

(in thousands)

 

 

(in thousands)

 

Loss from operations

 

$

(31,348

)

 

$

(41,387

)

 

$

(57,452

)

 

$

(82,346

)

Add: One-time IPO related acceleration of non-cash stock

   based compensation

 

 

 

 

 

1,262

 

 

 

 

 

 

1,262

 

Adjusted loss from operations

 

$

(31,348

)

 

$

(40,125

)

 

$

(57,452

)

 

$

(81,084

)

 

7

 


 

Non-GAAP net loss, Non-GAAP net loss per share and Non-GAAP net loss per share, as adjusted

 

 

 

Three Months Ended

June 30,

 

 

Six Months Ended

June 30,

 

 

 

2019

 

 

2020

 

 

2019

 

 

2020

 

 

 

(in thousands, except share and per share amounts)

 

Net loss

 

$

(33,340

)

 

$

(63,228

)

 

$

(60,479

)

 

$

(104,287

)

Accretion of redeemable convertible preferred stock

 

 

(25,879

)

 

 

 

 

 

(43,843

)

 

 

 

Net loss attributable to common stockholders

 

$

(59,219

)

 

$

(63,228

)

 

$

(104,322

)

 

$

(104,287

)

Add: One-time IPO related acceleration of non-cash stock

   based compensation

 

 

 

 

 

1,262

 

 

 

 

 

 

1,262

 

Add: One-time IPO related non-cash revaluation of

   preferred stock warrant

 

 

 

 

 

21,260

 

 

 

 

 

 

20,470

 

Non-GAAP net loss

 

$

(59,219

)

 

$

(40,706

)

 

$

(104,322

)

 

$

(82,555

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Weighted-average number of shares outstanding used to

   compute net loss per share, basic and diluted

 

 

8,580,150

 

 

 

31,599,497

 

 

 

8,579,539

 

 

 

20,035,476

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net loss per share, basic and diluted

 

$

(6.90

)

 

$

(2.00

)

 

$

(12.16

)

 

$

(5.21

)

Impact of one-time IPO related acceleration of non-cash stock

   based compensation

 

 

-

 

 

 

0.04

 

 

 

-

 

 

 

0.07

 

Impact of one-time IPO related non-cash revaluation of

   preferred stock warrant

 

 

-

 

 

 

0.67

 

 

 

-

 

 

 

1.02

 

Non-GAAP net loss per share, basic and diluted

 

$

(6.90

)

 

$

(1.29

)

 

$

(12.16

)

 

$

(4.12

)

Non-GAAP net loss per share, as adjusted, basic and

   diluted(a)

 

$

(0.28

)

 

$

(0.34

)

 

$

(0.51

)

 

$

(0.70

)

 

(a) Non-GAAP net loss per share, as adjusted, has been computed to give effect to, as of the beginning of each period presented (i) the shares of common stock issued in connection with our IPO and (ii) the automatic conversion of all outstanding shares of redeemable convertible preferred stock into shares of common stock that occurred upon the consummation of our IPO. The computation of Non-GAAP net loss per share, as adjusted, is as follows:

8

 


 

 

 

Three Months Ended

June 30,

 

 

Six Months Ended

June 30,

 

 

 

2019

 

 

2020

 

 

2019

 

 

2020

 

 

 

(in thousands, except share and per share amounts)

 

Non-GAAP net loss

 

$

(59,219

)

 

$

(40,706

)

 

$

(104,322

)

 

$

(82,555

)

Add: Accretion of redeemable convertible preferred stock

 

 

25,879

 

 

 

 

 

 

43,843