InnerWorkings Sees Its Revenue and Income Jump Again
CHICAGO—Nov. 3, 201—InnerWorkings Inc. reported results for the three months ended Sept. 30, 2011.
• Record revenue of $157.8 million, an increase of 32.5 percent compared to the third quarter of 2010. This represents the fourth consecutive quarter of record revenue.
• Signed six new enterprise agreements, including a major BPO contract.
• Net income was $4.1 million, an increase of 75 percent compared to $2.4 million in the year-earlier period.
• Record adjusted EBITDA of $9.5 million, an increase of 52 percent compared to $6.3 million in the year-earlier period.
• Year-over-year enterprise revenue growth of 29 percent and transactional revenue growth of 41 percent.
• Record cash flow generated from operations of $12.1 million, compared to $2.1 million in the third quarter of 2010.
“We have great momentum in the business, delivering record revenue for the fourth consecutive quarter and signing a major BPO contract,” said Eric D. Belcher, CEO of InnerWorkings. “The recent acquisition of Productions Graphics fills out our platform in Europe and helps us to better service large multinational clients around the world. We are executing against our strategy and expect to keep building on our success.”
Additional third quarter 2011 financial and operational highlights include the following:
• 72 percent of the company’s revenue was generated from sales to enterprise clients, with the remaining 28 percent derived from transactional clients.
• As of Sept. 30, 2011, the company had an outstanding balance of $53.2 million on its $100 million bank credit facility and retained cash and short-term investments of $11.3 million.
“The record Adjusted EBITDA and operating cash flow we generated in the quarter reflect leverage in the model and the underlying power of the business,” said Joseph M. Busky, chief financial officer of InnerWorkings. “We are updating our full-year 2011 guidance to reflect the Company’s continued strong performance and the financial impact from the October acquisition of Productions Graphics.”
The company is raising its 2011 revenue guidance from a range of $600 million to $625 million to a range of $620 million to $635 million.
InnerWorkings Inc. (NASDAQ: INWK) is a leading provider of global print management 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. InnerWorkings is based in Chicago, IL, employs approximately 1,000 individuals, and maintains 44 global offices. Among the many industries InnerWorkings services are: retail, financial services, hospitality, non-profits, healthcare, food & beverage, broadcasting & cable, education, transportation and utilities.