InnerWorkings Posts Record Fourth-Quarter and Full-Year Results
CHICAGO—Feb. 15, 2011—InnerWorkings Inc., a leading global provider of managed print and promotional solutions, has reported its results for the fourth quarter and fiscal year ended Dec. 31, 2010.
• Record revenue for the fourth quarter of $130.4 million, an increase of 20.9 percent compared to revenue of $107.9 million in the fourth quarter of 2009.
• Net income was $3.5 million, up 61.9 percent compared to $2.2 million in the year-earlier period.
• Adjusted EBITDA was $7.9 million, an increase of 30.2 percent compared to $6.1 million in the year-earlier period
• Revenue from new accounts was $12.8 million.
• Cash flow generated from operations was $6.2 million compared to $4.1 million in the fourth quarter of 2009.
Fiscal Year Highlights:
• Record revenue for fiscal year 2010 of $482.2 million, an increase of 20.4 percent compared to revenue of $400.4 million in fiscal year 2009.
• Net income was $11.2 million, up from $6.3 million in fiscal year 2009, an increase of 77.7 percent.
• Adjusted EBITDA was $27.4 million, an increase of 37 percent compared to $20.0 million in fiscal year 2009.
• Revenue from new accounts was $59.7 million.
• Cash flow generated from operations was $8.3 million compared to $14.2 million in fiscal year 2009.
“Fiscal year 2010 was a record year for growth and development at InnerWorkings. The company’s strong results were driven by execution against our long-term growth strategy, particularly the establishment of profitable new enterprise relationships,” said Eric D. Belcher, CEO. “Moreover, we have taken important steps to fulfill our vision for global leadership in print management, including the recent acquisition of CPRO, the leading multi-national print management firm in Latin America. InnerWorkings will continue to grow its geographic footprint to meet the needs of our global clients.”
Additional fourth quarter 2010 financial and operational highlights include the following:
• For the fourth quarter of 2010, 70 percent of the company's revenue was generated from sales to enterprise clients, with the remaining 30 percent derived from transactional clients.
• The company conducted business again with all 25 of its top 25 customers from the year-earlier period.
• As of December 31, 2010, the company had an outstanding balance of $47.4 million on its $100 million bank credit facility and retained cash and short-term investments of $9.5 million.
“The company’s strengthening financial position is reflected in our improving operating profit and return on invested capital,” said Joseph M. Busky, CFO of InnerWorkings. “Given our current stage of development, we will continue to invest in the necessary people, processes and technology to support our growth initiatives as we pursue our goal of becoming a global multi-billion dollar business.”
InnerWorkings Inc. (Nasdaq: INWK) is a leading global provider of managed print and promotional solutions to corporate clients across a wide range of industries. With proprietary technology, an extensive supplier network and deep domain expertise, the company procures, manages and delivers printed materials and promotional products as part of a comprehensive outsourced enterprise solution. The company also owns and operates the online business printing site, Inkchaser.com. InnerWorkings is based in Chicago, with 35 offices in North America, South America and Europe. For more information, visit www.inwk.com.
Source: Financial release.