2013 Q4 Form 10-K Financial Statement

#000119312515065664 Filed on February 26, 2015

View on sec.gov

Income Statement

Concept 2013 Q4 2013 Q3 2013 Q2
Revenue $153.4M $122.0M $117.3M
YoY Change 6.64% 20.02% 11.67%
Cost Of Revenue $43.80M $38.10M $37.88M
YoY Change 14.66% 1.15% -5.27%
Gross Profit $109.6M $83.91M $79.44M
YoY Change 3.76% 31.13% 22.08%
Gross Profit Margin 71.46% 68.77% 67.71%
Selling, General & Admin $60.30M $49.79M $52.62M
YoY Change 3.08% 12.95% 7.72%
% of Gross Profit 55.02% 59.34% 66.24%
Research & Development $20.60M $19.79M $19.76M
YoY Change 6.74% 1.44% 4.55%
% of Gross Profit 18.79% 23.58% 24.88%
Depreciation & Amortization $5.800M $4.800M $4.700M
YoY Change 26.09% -4.0% 9.3%
% of Gross Profit 5.29% 5.72% 5.92%
Operating Expenses $82.80M $70.12M $72.38M
YoY Change 6.43% 10.27% 6.84%
Operating Profit $24.30M $13.79M $7.053M
YoY Change -12.54% 3338.65% -362.78%
Interest Expense -$100.0K -$400.0K -$400.0K
YoY Change -120.0% -166.67% -42.86%
% of Operating Profit -0.41% -2.9% -5.67%
Other Income/Expense, Net $100.0K -$1.163M -$94.00K
YoY Change -150.0% 26.41% -135.74%
Pretax Income $24.31M $13.41M $6.657M
YoY Change -13.65% 41806.25% -310.13%
Income Tax $8.700M $4.700M $1.954M
% Of Pretax Income 35.79% 35.05% 29.35%
Net Earnings $15.56M $8.710M $4.703M
YoY Change -23.75% -2731.42% -307.45%
Net Earnings / Revenue 10.15% 7.14% 4.01%
Basic Earnings Per Share $0.21 $0.11 $0.06
Diluted Earnings Per Share $0.20 $0.11 $0.06
COMMON SHARES
Basic Shares Outstanding 37.96M shares 75.91M shares 75.90M shares
Diluted Shares Outstanding 78.16M shares 77.50M shares

Balance Sheet

Concept 2013 Q4 2013 Q3 2013 Q2
SHORT-TERM ASSETS
Cash & Short-Term Investments $156.7M $188.4M $173.8M
YoY Change 27.4% 69.27% 68.9%
Cash & Equivalents $80.23M $108.8M $103.8M
Short-Term Investments $76.50M $79.60M $70.00M
Other Short-Term Assets $9.148M $6.929M $6.204M
YoY Change 66.45% 10.4% 12.55%
Inventory
Prepaid Expenses
Receivables $165.6M $90.58M $94.53M
Other Receivables $4.400M $4.200M $7.800M
Total Short-Term Assets $348.2M $300.3M $292.4M
YoY Change 24.8% 37.09% 32.45%
LONG-TERM ASSETS
Property, Plant & Equipment $28.96M $28.98M $29.26M
YoY Change -6.07% -7.38% 3.86%
Goodwill $43.47M $20.45M $20.45M
YoY Change 112.55% 0.0% 0.0%
Intangibles $56.57M $49.91M $52.68M
YoY Change -2.85% -18.19% -17.41%
Long-Term Investments
YoY Change
Other Assets $2.526M $1.657M $1.712M
YoY Change 50.36% -6.23% -3.93%
Total Long-Term Assets $188.3M $150.7M $153.6M
YoY Change 17.32% -4.84% -2.65%
TOTAL ASSETS
Total Short-Term Assets $348.2M $300.3M $292.4M
Total Long-Term Assets $188.3M $150.7M $153.6M
Total Assets $536.5M $451.0M $446.0M
YoY Change 22.07% 19.5% 17.82%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $3.671M $2.347M $2.911M
YoY Change 10.24% -48.39% -60.69%
Accrued Expenses $31.62M $20.74M $20.30M
YoY Change 103.58% 19.81% -6.03%
Deferred Revenue
YoY Change
Short-Term Debt $0.00 $0.00 $0.00
YoY Change
Long-Term Debt Due
YoY Change
Total Short-Term Liabilities $190.4M $146.8M $150.3M
YoY Change 22.73% 18.92% 11.63%
LONG-TERM LIABILITIES
Long-Term Debt $0.00 $0.00 $0.00
YoY Change
Other Long-Term Liabilities $18.84M $17.47M $17.16M
YoY Change 20.64% 21.34% 58.73%
Total Long-Term Liabilities $18.84M $17.47M $17.16M
YoY Change 20.64% 21.34% 58.73%
TOTAL LIABILITIES
Total Short-Term Liabilities $190.4M $146.8M $150.3M
Total Long-Term Liabilities $18.84M $17.47M $17.16M
Total Liabilities $264.7M $195.9M $201.7M
YoY Change 30.38% 19.22% 20.8%
SHAREHOLDERS EQUITY
Retained Earnings $127.8M $113.4M $105.8M
YoY Change 35.48% 51.06% 38.27%
Common Stock $140.3M $138.7M $138.0M
YoY Change 0.99% 36483.38% 36303.43%
Preferred Stock
YoY Change
Treasury Stock (at cost)
YoY Change
Treasury Stock Shares
Shareholders Equity $271.8M $255.1M $244.4M
YoY Change
Total Liabilities & Shareholders Equity $536.5M $451.0M $446.0M
YoY Change 22.07% 19.5% 17.82%

Cashflow Statement

Concept 2013 Q4 2013 Q3 2013 Q2
OPERATING ACTIVITIES
Net Income $15.56M $8.710M $4.703M
YoY Change -23.75% -2731.42% -307.45%
Depreciation, Depletion And Amortization $5.800M $4.800M $4.700M
YoY Change 26.09% -4.0% 9.3%
Cash From Operating Activities -$2.700M $19.10M -$1.700M
YoY Change -118.62% 15.06% -105.61%
INVESTING ACTIVITIES
Capital Expenditures -$1.400M -$2.200M -$800.0K
YoY Change -17.65% -68.57% -92.45%
Acquisitions
YoY Change
Other Investing Activities -$22.90M -$11.30M -$12.20M
YoY Change 3171.43% -518.52% -300.0%
Cash From Investing Activities -$24.30M -$13.60M -$12.90M
YoY Change 872.0% 223.81% 186.67%
FINANCING ACTIVITIES
Cash Dividend Paid
YoY Change
Common Stock Issuance & Retirement, Net
YoY Change
Debt Paid & Issued, Net
YoY Change
Cash From Financing Activities -2.700M -3.200M -4.600M
YoY Change 170.0% 33.33% 76.92%
NET CHANGE
Cash From Operating Activities -2.700M 19.10M -1.700M
Cash From Investing Activities -24.30M -13.60M -12.90M
Cash From Financing Activities -2.700M -3.200M -4.600M
Net Change In Cash -29.70M 2.300M -19.20M
YoY Change -370.0% -77.0% -182.76%
FREE CASH FLOW
Cash From Operating Activities -$2.700M $19.10M -$1.700M
Capital Expenditures -$1.400M -$2.200M -$800.0K
Free Cash Flow -$1.300M $21.30M -$900.0K
YoY Change -108.02% -9.75% -102.2%

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0.50
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350000
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458000
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458000
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500000
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6435000
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3918000
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56393000
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4320000
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524000
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28316000
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12869000
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159769000
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7345000
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47054000
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20035000
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532978000
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435000
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567000
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26362000
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293451000
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18350000
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8200000
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4566000
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17012000
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1306000
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CurrentIncomeTaxExpenseBenefit
25358000
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300000
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15272000
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29594000
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5794000
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2210000
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27814000
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6281000
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140000
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326000
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4340000
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1.00 pure
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1 Customer
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0.004 pure
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12370000
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154000
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0.42
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IncomeTaxHolidayIncomeTaxBenefitsPerShare
0.01
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There were no clients accounting for 10% or more of the Company's total revenue in 2014, 2013, and 2012.
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1361000 shares
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P6Y9M18D
CY2014 us-gaap Share Based Compensation Arrangements By Share Based Payment Award Options Exercises In Period Weighted Average Exercise Price
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7.17
CY2014 dei Document Type
DocumentType
10-K
CY2014 dei Entity Registrant Name
EntityRegistrantName
PEGASYSTEMS INC
CY2014 dei Entity Well Known Seasoned Issuer
EntityWellKnownSeasonedIssuer
Yes
CY2014 dei Trading Symbol
TradingSymbol
PEGA
CY2014 us-gaap Weighted Average Number Diluted Shares Outstanding Adjustment
WeightedAverageNumberDilutedSharesOutstandingAdjustment
2204000 shares
CY2014 us-gaap Description Of New Accounting Pronouncements Not Yet Adopted
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<div> <p style="MARGIN-BOTTOM: 0px; MARGIN-TOP: 18px"><font style="FONT-FAMILY: Times New Roman" size="2">(n) <b><i>New accounting pronouncements</i></b></font></p> <p style="MARGIN-BOTTOM: 0px; MARGIN-TOP: 10px; TEXT-INDENT: 6%"> <font style="FONT-FAMILY: Times New Roman" size="2"><b><i>Revenue from Contracts with Customers:</i></b> In May 2014, the Financial Accounting Standard Board (&#x201C;FASB&#x201D;) issued Accounting Standards Update (&#x201C;ASU&#x201D;) No.&#xA0;2014-09, &#x201C;Revenue from Contracts with Customers (Topic 606)&#x201D;. This ASU amends the guidance for revenue recognition to replace numerous, industry-specific requirements and converges areas under this topic with those of the International Financial Reporting Standards. This ASU implements a five-step process for customer contract revenue recognition that focuses on transfer of control, as opposed to transfer of risk and rewards. This ASU also requires enhanced disclosures regarding the nature, amount, timing and uncertainty of revenues and cash flows from contracts with customers. Other major provisions include ensuring the time value of money is considered in the transaction price, and allowing estimates of variable consideration to be recognized before contingencies are resolved in certain circumstances. The amendments in this ASU are effective for reporting periods beginning after December&#xA0;15, 2016, and early adoption is not permitted. Entities can transition to the standard either retrospectively or as a cumulative-effect adjustment as of the date of adoption. This ASU will be effective for the Company January&#xA0;1, 2017. Management is currently assessing the impact the adoption of this ASU will have on the Company&#x2019;s consolidated financial statements.</font></p> </div>
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0.47 pure
CY2014 dei Entity Filer Category
EntityFilerCategory
Large Accelerated Filer
CY2014 dei Entity Voluntary Filers
EntityVoluntaryFilers
No
CY2014 us-gaap Effective Income Tax Rate Continuing Operations
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0.307 pure
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0.013 pure
CY2014 us-gaap Employee Service Share Based Compensation Nonvested Awards Total Compensation Cost Not Yet Recognized Period For Recognition1
EmployeeServiceShareBasedCompensationNonvestedAwardsTotalCompensationCostNotYetRecognizedPeriodForRecognition1
P2Y2M12D
CY2014 us-gaap Net Cash Provided By Used In Operating Activities Continuing Operations
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On March 6, 2014, the Company’s Board of Directors approved a two-for-one stock split of the Company’s common stock, effected in the form of a stock dividend. On April 1, 2014, each stockholder of record at the close of business on March 20, 2014 (the “Record Date”) received as a dividend, one additional share of common stock, par value $.01, for each share of common stock held on the Record Date. All shares of common stock and per share amounts in the Company’s audited consolidated financial statements and in the accompanying notes for all periods presented have been restated to reflect the stock split, except for the number of authorized shares of common stock.
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-4245000
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-2776000
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CY2014 pega Share Based Compensation Arrangement By Share Based Payment Award Stock Option Term
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CY2014 pega Open Tax Years By Major Tax Jurisdictions
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CY2014 pega Estimated Changes In Unrecognized Tax Benefits That Would Impact Effective Tax Rate If Recognized
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CY2014 pega Stock Repurchase Program Repurchases Paid During Period Value
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CY2014 pega Unrecognized Tax Benefits Increases Decreases Resulting From Acquisitions
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CY2012 us-gaap Effective Income Tax Rate Continuing Operations
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CY2012 us-gaap Effective Income Tax Rate Reconciliation Foreign Income Tax Rate Differential
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CY2012 us-gaap Sharebased Compensation Arrangement By Sharebased Payment Award Fair Value Assumptions Expected Term1
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CY2012 us-gaap Effective Income Tax Rate Reconciliation Change In Deferred Tax Assets Valuation Allowance
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CY2012 us-gaap Common Stock Dividends Per Share Declared
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CY2012 us-gaap Effective Income Tax Rate Reconciliation At Federal Statutory Income Tax Rate
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CY2012 us-gaap Antidilutive Securities Excluded From Computation Of Earnings Per Share Amount
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CY2012 us-gaap Effective Income Tax Rate Reconciliation Nondeductible Expense Share Based Compensation Cost
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CY2012 us-gaap Stock Issued During Period Value Share Based Compensation
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CY2012 us-gaap Other Comprehensive Income Loss Net Of Tax Portion Attributable To Parent
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CY2012 us-gaap Income Tax Holiday Aggregate Dollar Amount
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CY2013Q3 us-gaap Gross Profit
GrossProfit
83913000
CY2013Q3 us-gaap Operating Income Loss
OperatingIncomeLoss
13789000
CY2013Q3 us-gaap Income Loss From Continuing Operations Before Income Taxes Minority Interest And Income Loss From Equity Method Investments
IncomeLossFromContinuingOperationsBeforeIncomeTaxesMinorityInterestAndIncomeLossFromEquityMethodInvestments
13410000
CY2013Q3 us-gaap Revenues
Revenues
122011000
CY2013Q3 us-gaap Net Income Loss
NetIncomeLoss
8710000
CY2014Q3 us-gaap Earnings Per Share Diluted
EarningsPerShareDiluted
0.02
CY2014Q3 us-gaap Earnings Per Share Basic
EarningsPerShareBasic
0.02
CY2014Q3 us-gaap Gross Profit
GrossProfit
91249000
CY2014Q3 us-gaap Operating Income Loss
OperatingIncomeLoss
4997000
CY2014Q3 us-gaap Income Loss From Continuing Operations Before Income Taxes Minority Interest And Income Loss From Equity Method Investments
IncomeLossFromContinuingOperationsBeforeIncomeTaxesMinorityInterestAndIncomeLossFromEquityMethodInvestments
2352000
CY2014Q3 us-gaap Revenues
Revenues
137631000
CY2014Q3 us-gaap Net Income Loss
NetIncomeLoss
1882000
CY2014Q3 us-gaap Restructuring Charges
RestructuringCharges
200000
CY2013Q4 us-gaap Earnings Per Share Diluted
EarningsPerShareDiluted
0.20
CY2013Q4 us-gaap Earnings Per Share Basic
EarningsPerShareBasic
0.21
CY2013Q4 us-gaap Gross Profit
GrossProfit
109605000
CY2013Q4 us-gaap Operating Income Loss
OperatingIncomeLoss
24304000
CY2013Q4 us-gaap Income Loss From Continuing Operations Before Income Taxes Minority Interest And Income Loss From Equity Method Investments
IncomeLossFromContinuingOperationsBeforeIncomeTaxesMinorityInterestAndIncomeLossFromEquityMethodInvestments
24308000
CY2013Q4 us-gaap Revenues
Revenues
153382000
CY2013Q4 us-gaap Net Income Loss
NetIncomeLoss
15561000
CY2013Q4 us-gaap Restructuring Charges
RestructuringCharges
1700000
CY2014Q4 us-gaap Earnings Per Share Diluted
EarningsPerShareDiluted
0.26
CY2014Q4 us-gaap Earnings Per Share Basic
EarningsPerShareBasic
0.27
CY2014Q4 us-gaap Gross Profit
GrossProfit
122816000
CY2014Q4 us-gaap Operating Income Loss
OperatingIncomeLoss
29693000
CY2014Q4 us-gaap Income Loss From Continuing Operations Before Income Taxes Minority Interest And Income Loss From Equity Method Investments
IncomeLossFromContinuingOperationsBeforeIncomeTaxesMinorityInterestAndIncomeLossFromEquityMethodInvestments
28714000
CY2014Q4 us-gaap Revenues
Revenues
168924000
CY2014Q4 us-gaap Net Income Loss
NetIncomeLoss
20104000

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