Aspen Technology Announces Financial Results for the Second Quarter of Fiscal 2016
January 28, 2016 | By Business Wire News
BEDFORD, Mass.
Aspen Technology, Inc. (NASDAQ: AZPN), a leading provider of software and services to the process industries, today announced financial results for its second quarter of fiscal year 2016, ended December 31, 2015.
Antonio Pietri, President and Chief Executive Officer of AspenTech, said, “AspenTech delivered solid second quarter results highlighted by continued year-over-year non-GAAP operating margin expansion and strong cash generation. Despite the macro environment, we continued to perform well, particularly in the downstream energy and chemicals businesses.”
Pietri added, “The Engineering & Construction and midstream and upstream energy vertical markets have become more challenging, as decreasing oil prices and continued market uncertainty have impacted demand due to lower CapEx and operating budgets. However, because of the mission-critical nature of our solutions and the significant value we deliver for customers, we believe we remain well-positioned to continue to generate growth in this environment. In addition, over the long term, we believe the opportunity to drive increased usage of the aspenONE® suite combined with our business model will position us to continue to generate strong levels of profitability and cash flow.”
Second Quarter Fiscal 2016 and Recent Business Highlights
- Annual spend, which the company defines as the annualized value of all term license and maintenance revenue contracts at the end of the quarter, was approximately $430 million at the end of the second quarter of fiscal 2016, which increased 7.6% compared to the second quarter of fiscal 2015 and 1.6% sequentially.
- GAAP operating margin was 47.3%, compared to 43.2% in the second quarter of fiscal 2015. Non-GAAP operating margin was 51.1%, compared to 46.6% in the second quarter of fiscal 2015.
Summary of Second Quarter Fiscal Year 2016 Financial Results
AspenTech’s total revenue of $119.2 million increased 10.5% from $107.8 million in the second quarter of the prior fiscal year.
- Subscription and software revenue was $110.1 million in the second quarter of fiscal 2016, an increase from $98.7 million in the second quarter of fiscal 2015.
- Services and other revenue was $9.0 million in the second quarter of fiscal 2016, compared to $9.1 million in the second quarter of fiscal 2015.
For the quarter ended December 31, 2015, AspenTech reported income from operations of $56.3 million, compared to income from operations of $46.5 million for the quarter ended December 31, 2014.
Net income was $36.7 million for the quarter ended December 31, 2015, leading to net income per share of $0.44, compared to net income per share of $0.34 in the same period last fiscal year.
Non-GAAP income from operations, which adds back stock-based compensation expense, amortization of intangibles associated with acquisitions, acquisition-related costs and non-capitalized acquired technology, was $60.9 million for the second quarter of fiscal 2016, compared to non-GAAP income from operations of $50.2 million in the same period last fiscal year. Non-GAAP net income was $39.6 million, or $0.47 per share, for the second quarter of fiscal 2016, compared to non-GAAP net income of $32.8 million, or $0.36 per share, in the same period last fiscal year. A reconciliation of GAAP to non-GAAP results is included in the financial tables included in this press release.
AspenTech had a cash and marketable securities balance of $200.6 million at December 31, 2015, an increase of $19.1 million from the end of the prior quarter.
During the second quarter, the company generated $20.7 million in cash flow from operations and $20.3 million in free cash flow after taking into consideration the net impact of $0.7 million in capital expenditures and capitalized software and $0.3 million in excess tax benefits from stock-based compensation.
Use of Non-GAAP Financial Measures
This press release contains “non-GAAP financial measures” under the rules of the U.S. Securities and Exchange Commission. Non-GAAP financial measures are not based on a comprehensive set of accounting rules or principles. This non-GAAP information supplements, and is not intended to represent a measure of performance in accordance with, disclosures required by generally accepted accounting principles, or GAAP. Non-GAAP financial measures should be considered in addition to, not as a substitute for or superior to, financial measures determined in accordance with GAAP. A reconciliation of GAAP to non-GAAP results is included in the financial tables included in this press release.
Management considers both GAAP and non-GAAP financial results in managing AspenTech’s business. As the result of adoption of new licensing models, management believes that a number of AspenTech’s performance indicators based on GAAP, including revenue, gross profit, operating income and net income, should be viewed in conjunction with certain non-GAAP and other business measures in assessing AspenTech’s performance, growth and financial condition. Accordingly, management utilizes a number of non-GAAP and other business metrics, including the non-GAAP metrics set forth in this press release, to track AspenTech’s business performance. None of these non-GAAP metrics should be considered as an alternative to any measure of financial performance calculated in accordance with GAAP.
Conference Call and Webcast
AspenTech will host a conference call and webcast today, January 28, 2016, at 4:30 p.m. (Eastern Time), to discuss the company’s financial results for the second quarter fiscal year 2016 as well as the company’s business outlook.
The live dial-in number is (877) 245-0126 or (706) 634-5625, conference ID code 24090138. Interested parties may also listen to a live webcast of the call by logging on to the Investor Relations section of AspenTech’s website, http://www.aspentech.com/corporate/investor.cfm, and clicking on the “webcast” link. A replay of the call will be archived on AspenTech’s website and will also be available via telephone at (855) 859-2056 or (404) 537-3406, conference ID code 24090138, through February 28, 2016.
About AspenTech
AspenTech is a leading supplier of software that optimizes process manufacturing – for energy, chemicals, engineering and construction, and other industries that manufacture and produce products from a chemical process. With integrated aspenONE solutions, process manufacturers can implement best practices for optimizing their engineering, manufacturing and supply chain operations. As a result, AspenTech customers are better able to increase capacity, improve margins, reduce costs and become more energy efficient. To see how the world’s leading process manufacturers rely on AspenTech to achieve their operational excellence goals, visit www.aspentech.com.
Forward-Looking Statements
The third paragraph of this press release contains forward-looking statements for purposes of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Actual results may vary significantly from AspenTech’s expectations based on a number of risks and uncertainties, including, without limitation: AspenTech’s failure to increase usage and product adoption of aspenONE offerings, and failure to continue to provide innovative, market-leading solutions; demand for, or usage of, aspenONE software declines for any reason; unfavorable economic and market conditions or a lessening demand in the market for process optimization software; AspenTech’s failure to consummate its proposed acquisition of KBC Advanced Technologies plc, or successfully integrate the business or realize the anticipated benefits if consummated; and other risk factors described from time to time in AspenTech’s periodic reports filed with the Securities and Exchange Commission. AspenTech cannot guarantee any future results, levels of activity, performance, or achievements. AspenTech expressly disclaims any obligation to update forward-looking statements after the date of this press release.
© 2016 Aspen Technology, Inc. AspenTech, aspenONE and the Aspen leaf logo are registered trademarks of Aspen Technology, Inc. All rights reserved. All other trademarks are property of their respective owners.
| ASPEN TECHNOLOGY, INC. AND SUBSIDIARIES | |||||||||||||||||||||
| CONSOLIDATED STATEMENTS OF OPERATIONS | |||||||||||||||||||||
| (Unaudited in thousands, except per share data) | |||||||||||||||||||||
| Three Months Ended | Six Months Ended | ||||||||||||||||||||
| December 31, | December 31, | ||||||||||||||||||||
| 2015 | 2014 | 2015 | 2014 | ||||||||||||||||||
| Revenue: | |||||||||||||||||||||
| Subscription and software | $ | 110,126 | $ | 98,716 | $ | 221,985 | $ | 197,459 | |||||||||||||
| Services and other | 9,025 | 9,074 | 17,462 | 17,457 | |||||||||||||||||
| Total revenue | 119,151 | 107,790 | 239,447 | 214,916 | |||||||||||||||||
| Cost of revenue: | |||||||||||||||||||||
| Subscription and software | 4,967 | 5,208 | 10,209 | 10,409 | |||||||||||||||||
| Services and other | 6,921 | 7,057 | 14,651 | 14,237 | |||||||||||||||||
| Total cost of revenue | 11,888 | 12,265 | 24,860 | 24,646 | |||||||||||||||||
| Gross profit | 107,263 | 95,525 | 214,587 | 190,270 | |||||||||||||||||
| Operating expenses: | |||||||||||||||||||||
| Selling and marketing | 21,178 | 22,821 | 43,614 | 44,439 | |||||||||||||||||
| Research and development | 15,981 | 15,957 | 32,578 | 32,225 | |||||||||||||||||
| General and administrative | 13,805 | 10,226 | 26,667 | 22,451 | |||||||||||||||||
| Total operating expenses, net | 50,964 | 49,004 | 102,859 | 99,115 | |||||||||||||||||
| Income from operations | 56,299 | 46,521 | 111,728 | 91,155 | |||||||||||||||||
| Interest income | 71 | 132 | 153 | 268 | |||||||||||||||||
| Interest expense | (13 | ) | (4 | ) | (14 | ) | (7 | ) | |||||||||||||
| Other income (expense), net | (157 | ) | (248 | ) | 739 | (60 | ) | ||||||||||||||
| Income before provision for income taxes | 56,200 | 46,401 | 112,606 | 91,356 | |||||||||||||||||
| Provision for income taxes | 19,517 | 15,937 | 39,152 | 31,924 | |||||||||||||||||
| Net income | $ | 36,683 | $ | 30,464 | $ | 73,454 | $ | 59,432 | |||||||||||||
| Net income per common share: | |||||||||||||||||||||
| Basic | $ | 0.44 | $ | 0.34 | $ | 0.88 | $ | 0.66 | |||||||||||||
| Diluted | $ | 0.44 | $ | 0.34 | $ | 0.87 | $ | 0.65 | |||||||||||||
| Weighted average shares outstanding: | |||||||||||||||||||||
| Basic | 83,315 | 89,942 | 83,596 | 90,562 | |||||||||||||||||
| Diluted | 83,703 | 90,471 | 84,035 | 91,196 | |||||||||||||||||
| ASPEN TECHNOLOGY, INC. AND SUBSIDIARIES | |||||||||||
| CONSOLIDATED BALANCE SHEETS | |||||||||||
| (Unaudited in thousands, except share data) | |||||||||||
| December 31, | June 30, | ||||||||||
| 2015 | 2015 | ||||||||||
| ASSETS | |||||||||||
| Current assets: | |||||||||||
| Cash and cash equivalents | $ | 170,623 | $ | 156,249 | |||||||
| Short-term marketable securities | 29,946 | 59,197 | |||||||||
| Accounts receivable, net | 14,777 | 30,721 | |||||||||
| Current portion of installments receivable, net | 254 | 1,589 | |||||||||
| Unbilled services | 668 | 1,108 | |||||||||
| Prepaid expenses and other current assets | 7,310 | 8,055 | |||||||||
| Prepaid income taxes | 538 | 542 | |||||||||
| Current deferred tax assets | 6,110 | 6,169 | |||||||||
| Total current assets | 230,226 | 263,630 | |||||||||
| Long-term marketable securities | – | 3,047 | |||||||||
| Non-current installments receivable, net | 258 | 253 | |||||||||
| Property, equipment and leasehold improvements, net | 17,049 | 18,039 | |||||||||
| Computer software development costs, net | 674 | 1,026 | |||||||||
| Goodwill | 16,258 | 17,360 | |||||||||
| Non-current deferred tax assets | 10,525 | 10,444 | |||||||||
| Other non-current assets | 1,403 | 1,562 | |||||||||
| Total assets | $ | 276,393 | $ | 315,361 | |||||||
| LIABILITIES AND STOCKHOLDERS’ DEFICIT | |||||||||||
| Current liabilities: | |||||||||||
| Accounts payable | $ | 3,924 | $ | 5,240 | |||||||
| Accrued expenses and other current liabilities | 29,996 | 38,483 | |||||||||
| Income taxes payable | 4,548 | 1,775 | |||||||||
| Current deferred revenue | 196,191 | 250,968 | |||||||||
| Total current liabilities | 234,659 | 296,466 | |||||||||
| Non-current deferred revenue | 33,870 | 37,919 | |||||||||
| Other non-current liabilities | 30,060 | 29,522 | |||||||||
| Commitments and contingencies | |||||||||||
| Series D redeemable convertible preferred stock, $0.10 par value— | |||||||||||
| Authorized— 3,636 shares as of December 31, 2015 and June 30, 2015 | |||||||||||
| Issued and outstanding— none as of December 31, 2015 and June 30, 2015 | – | ||||||||||
| Stockholders’ deficit: | |||||||||||
| Common stock, $0.10 par value— Authorized—210,000,000 shares | |||||||||||
|
Issued— 101,832,152 shares at December 31, 2015 and 101,607,520 shares at June 30, 2015 |
|||||||||||
| Outstanding— 83,389,335 shares at December 31, 2015 and 84,504,202 shares at June 30, 2015 | 10,183 | 10,161 | |||||||||
| Additional paid-in capital | 651,976 | 641,883 | |||||||||
| Accumulated deficit | (72,173 | ) | (145,627 | ) | |||||||
| Accumulated other comprehensive income | 4,317 | 6,470 | |||||||||
| Treasury stock, at cost—18,442,817 shares of common stock at December 31, 2015
and 17,103,318 shares at June 30, 2015 |
(616,499 | ) | (561,433 | ) | |||||||
| Total stockholders’ deficit | (22,196 | ) | (48,546 | ) | |||||||
| Total liabilities and stockholders’ deficit | $ | 276,393 | $ | 315,361 | |||||||
|
ASPEN TECHNOLOGY, INC. AND SUBSIDIARIES |
||||||||||||||||||
|
CONSOLIDATED STATEMENTS OF CASH FLOWS |
||||||||||||||||||
|
(Unaudited in thousands) |
||||||||||||||||||
| Three Months Ended | Six Months Ended | |||||||||||||||||
| December 31, | December 31, | |||||||||||||||||
| 2015 | 2014 | 2015 | 2014 | |||||||||||||||
| Cash flows from operating activities: | ||||||||||||||||||
| Net income | $ | 36,683 | $ | 30,465 | $ | 73,454 | $ | 59,432 | ||||||||||
| Adjustments to reconcile net income to net cash provided by operating activities: | – | |||||||||||||||||
| Depreciation and amortization | 1,473 | 1,506 | 3,020 | 2,858 | ||||||||||||||
| Net foreign currency gains | (255 | ) | (719 | ) | (1,444 | ) | (1,379 | ) | ||||||||||
| Stock-based compensation | 3,512 | 3,462 | 7,935 | 7,666 | ||||||||||||||
| Deferred income taxes (benefit) | (133 | ) | 6,213 | (133 | ) | 21,773 | ||||||||||||
| Provision for bad debts | 150 | 694 | 176 | 338 | ||||||||||||||
| Tax benefits from stock-based compensation | 254 | 7,612 | 1,831 | 7,684 | ||||||||||||||
| Excess tax benefits from stock-based compensation | (254 | ) | (7,612 | ) | (1,831 | ) | (7,684 | ) | ||||||||||
| Other non-cash operating activities | 112 | 320 | 271 | 782 | ||||||||||||||
| Changes in assets and liabilities: | – | |||||||||||||||||
| Accounts receivable | 6,951 | 4,450 | 15,720 | 18,519 | ||||||||||||||
| Unbilled services | 328 | 463 | 423 | 990 | ||||||||||||||
| Prepaid expenses, prepaid income taxes, and other assets | 840 | 1,672 | 231 | 2,914 | ||||||||||||||
| Installments receivable | 13 | 727 | 1,339 | 980 | ||||||||||||||
| Accounts payable, accrued expenses, and other liabilities | (5,655 | ) | 2,707 | (3,307 | ) | (5,254 | ) | |||||||||||
| Deferred revenue | (23,293 | ) | (18,128 | ) | (58,513 | ) | (35,844 | ) | ||||||||||
| Net cash provided by operating activities | 20,726 | 33,832 | 39,172 | 73,775 | ||||||||||||||
| Cash flows from investing activities: | ||||||||||||||||||
| Purchase of marketable securities | – | (27,063 | ) | – | (39,048 | ) | ||||||||||||
| Maturities of marketable securities | 21,679 | 24,499 | 32,049 | 39,012 | ||||||||||||||
| Purchase of property, equipment and leasehold improvements | (662 | ) | (1,437 | ) | (1,781 | ) | (4,328 | ) | ||||||||||
| Capitalized computer software development costs | – | (1 | ) | – | (137 | ) | ||||||||||||
| Net cash provided by (used in) investing activities | 21,017 | (4,002 | ) | 30,268 | (4,501 | ) | ||||||||||||
| Cash flows from financing activities: | ||||||||||||||||||
| Exercise of stock options | 1,834 | 465 | 2,445 | 1,515 | ||||||||||||||
| Repurchases of common stock | (1,757 | ) | (70,905 | ) | (56,790 | ) | (115,905 | ) | ||||||||||
| Payment of tax withholding obligations related to restricted stock | (1,063 | ) | (1,163 | ) | (2,188 | ) | (2,574 | ) | ||||||||||
| Excess tax benefits from stock-based compensation | 254 | 7,612 | 1,831 | 7,684 | ||||||||||||||
| Net cash used in financing activities | (732 | ) | (63,991 | ) | (54,702 | ) | (109,280 | ) | ||||||||||
| Effect of exchange rate changes on cash and cash equivalents | (127 | ) | (530 | ) | (364 | ) | (1,077 | ) | ||||||||||
| Increase (decrease) in cash and cash equivalents | 40,884 | (34,691 | ) | 14,374 | (41,083 | ) | ||||||||||||
| Cash and cash equivalents, beginning of period | 129,739 | 193,134 | 156,249 | 199,526 | ||||||||||||||
| Cash and cash equivalents, end of period | $ | 170,623 | $ | 158,443 | $ | 170,623 | $ | 158,443 | ||||||||||
| Supplemental disclosure of cash flow information: | ||||||||||||||||||
| Income taxes paid, net | $ | 31,602 | $ | 1,070 | $ | 34,497 | $ | 2,621 | ||||||||||
| ASPEN TECHNOLOGY, INC. AND SUBSIDIARIES | ||||||||||||||||||||
| Reconciliation of GAAP to Non-GAAP Results of Operations and Free Cash Flow | ||||||||||||||||||||
| The following tables reflect a reconciliation of selected Aspen Technology GAAP to Non-GAAP results of operations and cash flow.
(unaudited in thousands, except per share data) |
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|
Three Months Ended |
Six Months Ended |
|||||||||||||||||||
| 2015 | 2014 | 2015 | 2014 | |||||||||||||||||
|
Total expenses |
||||||||||||||||||||
| GAAP total expenses (a) | $ | 62,852 | $ | 61,269 | $ | 127,719 | $ | 123,761 | ||||||||||||
| Less: | ||||||||||||||||||||
| Stock-based compensation (b) | (3,512 | ) | (3,462 | ) | (7,935 | ) | (7,666 | ) | ||||||||||||
| Non-capitalized acquired technology (e) | – | – | (250 | ) | – | |||||||||||||||
| Amortization of purchased technology intangibles | (20 | ) | (224 | ) | (133 | ) | (448 | ) | ||||||||||||
| Expense associated with pending Acquisition (f) | (1,028 | ) | – | (1,028 | ) | – | ||||||||||||||
| Non-GAAP total expenses | $ | 58,292 | $ | 57,583 | $ | 118,373 | $ | 115,647 | ||||||||||||
|
Income from operations |
||||||||||||||||||||
| GAAP income from operations | $ | 56,299 | $ | 46,521 | $ | 111,728 | $ | 91,155 | ||||||||||||
| Plus: | ||||||||||||||||||||
| Stock-based compensation (b) | 3,512 | 3,462 | 7,935 | 7,666 | ||||||||||||||||
| Non-capitalized acquired technology (e) | – | – | 250 | – | ||||||||||||||||
| Amortization of purchased technology intangibles | 20 | 224 | 133 | 448 | ||||||||||||||||
| Expense associated with pending Acquisition (f) | 1,028 | – | 1,028 | – | ||||||||||||||||
| Non-GAAP income from operations | $ | 60,859 | $ | 50,207 | $ | 121,074 | $ | 99,269 | ||||||||||||
|
Net income |
||||||||||||||||||||
| GAAP net income | $ | 36,683 | $ | 30,464 | $ | 73,454 | 59,432 | |||||||||||||
| Plus: | ||||||||||||||||||||
| Stock-based compensation (b) | 3,512 | 3,462 | 7,935 | 7,666 | ||||||||||||||||
| Non-capitalized acquired technology (e) | – | – | 250 | – | ||||||||||||||||
| Amortization of purchased technology intangibles | 20 | 224 | 133 | 448 | ||||||||||||||||
| Expense associated with pending Acquisition (f) | 1,028 | – | 1,028 | – | ||||||||||||||||
| Less: | ||||||||||||||||||||
| Income tax effect on Non-GAAP items (c) | (1,642 | ) | (1,327 | ) | (3,365 | ) | (2,921 | ) | ||||||||||||
| Non-GAAP net income | $ | 39,601 | $ | 32,823 | $ | 79,435 | $ | 64,625 | ||||||||||||
|
Diluted income per share |
||||||||||||||||||||
| GAAP diluted income per share | $ | 0.44 | $ | 0.34 | $ | 0.87 | $ | 0.65 | ||||||||||||
| Plus: | ||||||||||||||||||||
| Stock-based compensation (b) | 0.04 | 0.04 | 0.09 | 0.08 | ||||||||||||||||
| Non-capitalized acquired technology (e) | – | – | – | – | ||||||||||||||||
| Amortization of purchased technology intangibles | – | – | – | – | ||||||||||||||||
| Expense associated with pending Acquisition (f) | 0.01 | – | 0.01 | – | ||||||||||||||||
| Less: | ||||||||||||||||||||
| Income tax effect on Non-GAAP items (c) | (0.02 | ) | (0.01 | ) | (0.04 | ) | (0.03 | ) | ||||||||||||
| Non-GAAP diluted income per share | $ | 0.47 | $ | 0.36 | $ | 0.95 | $ | 0.71 | ||||||||||||
| Shares used in computing Non-GAAP diluted income per share | 83,703 | 90,471 | 84,035 | 91,196 | ||||||||||||||||
|
Three Months Ended |
Six Months Ended |
|||||||||||||||||||
| 2015 | 2014 | 2015 | 2014 | |||||||||||||||||
|
Free Cash Flow |
||||||||||||||||||||
| GAAP cash flow from operating activities | $ | 20,726 | $ | 33,832 | $ | 39,172 | $ | 73,775 | ||||||||||||
| Purchase of property, equipment and leasehold improvements | (662 | ) | (1,437 | ) | (1,781 | ) | (4,328 | ) | ||||||||||||
| Capitalized computer software development costs | – | (1 | ) | – | (137 | ) | ||||||||||||||
| Non-capitalized acquired technology (e) | – | – | 1,250 | – | ||||||||||||||||
| Excess tax benefits from stock-based compensation (d) | 254 | 7,612 | 1,831 | 7,684 | ||||||||||||||||
| Free Cash Flow | $ | 20,318 | $ | 40,006 | $ | 40,472 | $ | 76,994 | ||||||||||||
| (a) GAAP total expenses | ||||||||||||||||||||
|
Three Months Ended |
Six Months Ended |
|||||||||||||||||||
| 2015 | 2014 | 2015 | 2014 | |||||||||||||||||
| Total costs of revenue | $ | 11,888 | $ | 12,265 | $ | 24,860 | $ | 24,646 | ||||||||||||
| Total operating expenses | 50,964 | 49,004 | 102,859 | 99,115 | ||||||||||||||||
| GAAP total expenses | $ | 62,852 | $ | 61,269 | $ | 127,719 | $ | 123,761 | ||||||||||||
| (b) Stock-based compensation expense was as follows: | ||||||||||||||||||||
|
Three Months Ended |
Six Months Ended |
|||||||||||||||||||
| 2015 | 2014 | 2015 | 2014 | |||||||||||||||||
| Cost of services and other | $ | 350 | $ | 339 | $ | 707 | $ | 677 | ||||||||||||
| Selling and marketing | 837 | 754 | 1,750 | 1,504 | ||||||||||||||||
| Research and development | 848 | 973 | 1,672 | 1,964 | ||||||||||||||||
| General and administrative | 1,477 | 1,396 | 3,806 | 3,521 | ||||||||||||||||
| Total stock-based compensation | $ | 3,512 | $ | 3,462 | $ | 7,935 | $ | 7,666 | ||||||||||||
(c) The income tax effect on non-GAAP items for the three months ended December 31, 2015 and 2014 is calculated utilizing the Company’s estimated federal and state tax rate of 36%.
(d) Excess tax benefits from stock-based compensation are included in free cash flow to be consistent with the treatment of other tax benefits. Refer to the Company’s Form 10-Q for the period ended December 31, 2015 for additional details.
(e) During the six months ended December 31, 2015, we acquired certain technology for $0.3 million as a part of projects initiated during the period to develop commercially available products. At the time of these purchases, the projects did not meet the accounting definition of having reached technological feasibility, and, as such, the costs of the acquired technology were expensed during the six months ended December 31, 2015. During the six months ended December 31, 2015, we excluded the payments of $1.3 million for the non-capitalized acquired technology (including a $1 million final payment related to non-capitalized acquired technology from fiscal year 2014) from free cash flow to be consistent with the treatment of other transactions where acquired assets are capitalized. There were no such activities for the three months ended December 31, 2015.
(f) Expense associated with pending acquisition of KBC Advanced Technologies plc. Refer to the Company’s Form 10-Q for the period ended December 31, 2015 for additional details.
View source version on businesswire.com: http://www.businesswire.com/news/home/20160128006389/en/
AspenTech
David Grip, +1 781-221-5273
david.grip@aspentech.com
or
ICR
Brian Denyeau, +1 646-277-1251
brian.denyeau@icrinc.com
