Chicago, IL, February 14, 2018 (GLOBE NEWSWIRE) – Mattersight Corporation (NASDAQ: MATR), the pioneer in personality-based software applications, today announced financial results for the fourth quarter ended December 31, 2017.
“Mattersight’s fourth quarter was marked by 9% growth in total revenues and 12% growth in subscription revenue versus the same period last year,” said Mattersight CEO Kelly Conway. “We set a new record for quarterly revenue, and saw continued improvement on the cost side resulting from a more favorable product mix and improved operating efficiency.”
Fourth Quarter 2017 Financial Highlights
- Bookings: Annual Contract Value (ACV) bookings were $2.8 million.
- Total Revenue: Total revenue was $13.6 million.
- Subscription Revenue: Total subscription revenue was $12.8 million.
- Backlog: ACV in deployment was $8.9 million at the end of the quarter.
- Gross Margin: Gross margin was 73%.
Fourth Quarter 2017 Business Highlights
- Routing business: We saw continued revenue growth with our routing business, and fourth quarter bookings include a new customer that is a Fortune 100 financial services organization.
- Patents: Recently issued patents include:
- Chatbot Communication – Personality-based Chatbot and methods is an invention for a digital assistant, such as Siri, Alexa or Google Home, that will tailor its interactions with users based on their personalities.
- Face-to-Face Analysis – Face-to-face communication analysis via mono recording system and methods will be able to predict a customer’s personality type just as Mattersight currently predicts personality types for callers into contact centers.
- Fraud Detection – Two new patents, both titled Methods and Apparatus for Identifying Fraudulent Callers, cover new and more efficient ways of determining if an unknown speaker is a known fraudster. By leveraging biometrics and analyzing the speaker’s voiceprint, the invention instantly cross-references the speaker’s most distinctive features with a database containing the voiceprints of known fraudsters.
Non-GAAP Financial Measures
Mattersight’s net loss was $1.5 million in the fourth quarter of 2017. The Company realized positive “Adjusted EBITDA”1 of $1.0 million for the fourth quarter of 2017. Adjusted EBITDA is a non-GAAP measure. For a reconciliation of net loss to Adjusted EBITDA, see the accompanying schedule.
Conference Call Information
Mattersight management will host a conference call at 5:00 p.m. ET on Wednesday, February 14, 2018. The conference call and slide presentation will be available at the Investor Relations section of Mattersight’s website at http://www.mattersight.com/about-us/investor-relations. To listen to the conference call via telephone, please call 800.952.4789 (domestic) or 404.665.9579 (international), conference ID: 2685018.
For those who cannot access the live broadcast, a replay of the conference call will be available beginning approximately two hours after the live call is completed until March 18, 2018, by dialing 855.859.2056 (domestic) or 404.537.3406 (international), conference ID: 2685018.
Safe Harbor for Forward-Looking Statements
Statements in this press release that are not historical facts are “forward-looking statements” that are made pursuant to the safe harbor provisions of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. A reader can identify these forward-looking statements because they are not limited to historical fact or they use words such as “scheduled,” “will,” “anticipate,” “project,” “estimate,” “forecast,” “goal,” “objective,” “committed,” “intend,” “continue,” “plan,” “may,” “might,” “believe,” “expect,” “intend,” “could,” “would,” “should,” or “will likely result,” and other similar expressions, words and terms of similar meaning, involving risks and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. In addition to other factors and matters contained or incorporated in this document, important factors that could cause actual results or events to differ materially from those indicated by such forward-looking statements include, among other things, the risks detailed from time to time in Mattersight’s SEC filings. You can locate these filings on the Investor Relations page of Mattersight’s website, www.mattersight.com. Statements included or incorporated by reference into this press release are based upon information known to Mattersight as of the date of this press release, and the company assumes no obligation to publicly revise or update any forward-looking statement for any reason. In light of Regulation FD, it is our policy not to comment on earnings, financial guidance or operations other than through press releases, publicly announced conference calls, or other means that will constitute public disclosure for purposes of Regulation FD. Mattersight uses its website at www.mattersight.com as a means of disclosing material non-public information and for complying with its disclosure obligations under Regulation FD.
Mattersight unleashes the power of personality to improve every interaction with every customer every time. With tools to learn, analyze, and predict customer behavior based on customer conversations, Mattersight helps brands create chemistry with their customers through shorter, more satisfying conversations that increase loyalty. To learn how Mattersight can help you click better with your customers visit www.mattersight.com.
1Mattersight presents Adjusted EBITDA, a non-GAAP measure that represents cash earnings performance, excluding the impact of non-cash expenses and expense reduction activities, because management believes that Adjusted EBITDA provides investors with a better understanding of the results of Mattersight’s operations. Management believes that Adjusted EBITDA reflects Mattersight’s resources available to invest in its business and strengthen its balance sheet. In addition, expense reduction activities can vary significantly between periods on the basis of factors that management does not believe reflect current-period operating performance. Although similar adjustments for expense reduction activities may be recorded in future periods, the size and frequency of these adjustments cannot be predicted. The Adjusted EBITDA measure should be considered in addition to, not as a substitute for or superior to other measures of financial performance prepared in accordance with GAAP.
Chief Financial Officer