LogMeIn, Inc. reported unaudited consolidated earnings results for the third quarter and nine months ended September 30, 2016. For the quarter, the company reported revenue of USD 85,103,000 compared to USD 69,573,000 a year ago. Loss from operations was USD 228,000 compared to income of USD 7,844,000 a year ago. Loss before income taxes was USD 566,000 compared to profit of USD 7,372,000 a year ago. Net loss was USD 657,000 compared to income of USD 5,563,000 a year ago. Basic and diluted net loss per share was USD 0.03 compared to basic and diluted net income per share of USD 0.22 a year ago. Non-GAAP operating income was USD 21,928,000 compared to USD 17,103,000 a year ago. Non-GAAP income before income taxes was USD 21,590,000 compared to USD 16,631,000 a year ago. Non-GAAP net income was USD 14,761,000 compared to USD 11,883,000 a year ago. Non-GAAP diluted net income per share was USD 0.56 compared to USD 0.46 a year ago. Adjusted EBITDA was USD 24,788,000 compared to USD 19,405,000 a year ago. Net cash provided by operating activities was USD 20,096,000 compared to USD 13,449,000 a year ago. Purchases of property and equipment were USD 3,817,000 compared to USD 4,353,000 a year ago.

For the nine months, the company reported revenue of USD 248,103,000 compared to USD 195,516,000 a year ago. Income from operations was USD 2,425,000 compared to USD 9,429,000 a year ago. Income before income taxes was USD 1,201,000 compared to USD 10,678,000 a year ago. Net income was USD 776,000 compared to USD 8,323,000 a year ago. Diluted net income per share was USD 0.03 compared to USD 0.32 a year ago. Non-GAAP operating income was USD 54,228,000 compared to USD 40,344,000 a year ago. Non-GAAP income before income taxes was USD 53,004,000 compared to USD 41,593,000 a year ago. Non-GAAP net income was USD 36,562,000 compared to USD 29,457,000 a year ago. Non-GAAP diluted net income per share was USD 1.41 compared to USD 1.15 a year ago. Adjusted EBITDA was USD 62,747,000 compared to USD 46,605,000 a year ago. Net cash provided by operating activities was USD 84,090,000 compared to USD 72,014,000 a year ago. Purchases of property and equipment were USD 12,629,000 compared to USD 10,922,000 a year ago.

The company provided guidance for the fourth quarter 2016 and fiscal year 2016. For the fourth quarter 2016, the company expects revenue to be in the range of USD 87.0 million to USD 87.5 million. Adjusted EBITDA is expected to be in the range of USD 25.1 million to USD 25.5 million. Non-GAAP net income is expected to be in the range of USD 15.3 million to USD 15.5 million, or USD 0.58 to USD 0.59 per diluted share.  Non-GAAP net income excludes an estimated USD 8.9 million in stock-based compensation expense and USD 12.6 million in acquisition-related costs and amortization, including costs associated with the company's proposed merger with Citrix's GoTo family of products, and USD 0.3 million in litigation-related expense. Non-GAAP net income for the fourth quarter assumes an effective tax rate of approximately 31%. Non-GAAP net income per diluted share for the fourth quarter of 2016 is based on an estimated 26.4 million fully-diluted weighted average shares outstanding. Including stock-based compensation expense and acquisition-related costs and amortization, the company expects to report GAAP net income in the range of USD 0.2 million to USD 0.5 million, or USD 0.01 to USD 0.02 per share. GAAP net income for the fourth quarter assumes an effective tax rate of approximately 40%. GAAP net income per share for the full fiscal year 2016 is based on an estimated 26.2 million fully-diluted weighted average shares outstanding.  

The company expects full year 2016 revenue to be in the range of USD 335.0 million to USD 335.5 million. Adjusted EBITDA is expected to be in the range of USD 88.0 million to USD 88.4 million. Non-GAAP net income is expected to be in the range of USD 51.9 million to USD 52.2 million, or USD 1.98 to USD 1.99 per diluted share. Non-GAAP net income excludes an estimated USD 36.3 million in stock-based compensation expense and USD 37.0 million in acquisition-related costs and amortization, including costs associated with the company's proposed merger with Citrix's GoTo family of products, and USD 0.3 million in litigation-related expense. Non-GAAP net income for the full fiscal year 2016 assumes an effective tax rate of approximately 31%.  Non-GAAP net income per diluted share for the full fiscal year 2016 is based on an estimated 26.2 million fully-diluted weighted average shares outstanding. Including stock-based compensation expense and acquisition-related costs and amortization, the company expects to report GAAP net income in the range of USD 1.0 million to USD 1.3 million, or USD 0.04 to USD 0.05 per share. GAAP net income for the full year assumes an effective tax rate of 38%. GAAP net income per share for the full fiscal year 2016 is based on an estimated 26.2 million fully-diluted weighted average shares outstanding.