EX-99.2 3 d785633dex992.htm EX-99.2 EX-99.2

Exhibit 99.2

SQUARE, INC.

ADDITIONAL INFORMATION

CAVIAR UNAUDITED QUARTERLY CONDENSED STATEMENTS OF OPERATIONS

(In thousands)

OVERVIEW

On July 31, 2019, Square, Inc. (“Square” or the “Company”) entered into a definitive agreement (the “Agreement”) with DoorDash, Inc. (“DoorDash”) where DoorDash would acquire Square’s food ordering business, Caviar (“Caviar”), for an aggregate purchase price of $410 million in the form of cash and DoorDash preferred stock, subject to certain closing conditions, including regulatory approvals. On October, 31, 2019, Square closed the sale of its Caviar business to DoorDash in accordance with the Agreement (the “Transaction”).

The following tables set forth selected Caviar unaudited quarterly condensed statements of operations data for the last six quarters. The information for each of these quarters has been derived from Square’s historical consolidated financial statements included in Square’s Quarterly Reports on Form 10-Q and, in the opinion of management, includes all adjustments, which consist only of normal recurring adjustments, necessary for the fair presentation of the results of operations for these periods. This data should be read in conjunction with Square’s Quarterly Reports on Form 10-Q. These quarterly operating results are not necessarily indicative of the results that Caviar may achieve in future periods.

 

     March 31,
2018		     June 30,
2018		     September 30,
2018		     December 31,
2018		     March 31,
2019		     June 30,
2019		  

Revenue:

             

Subscription and services-based revenue

    $ 27,469     $ 36,927     $ 39,583     $ 44,283     $ 46,530     $ 43,390  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total net revenue

      27,469       36,927       39,583       44,283       46,530       43,390  

Cost of revenue:

             

Subscription and services-based costs

      21,223       27,569       29,820       33,549       35,061       30,063  

Amortization of acquired technology

      —         —         —         —         29       31  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total cost of revenue

      21,223       27,569       29,820       33,549       35,090       30,094  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Gross profit

      6,246       9,358       9,763       10,734       11,440       13,296  

Operating expenses:

             

Product development

      3,095       2,759       3,709       4,100       4,711       5,413  

Sales and marketing

      4,165       3,883       3,428       4,533       5,229       5,593  

General and administrative

      6,338       3,983       7,540       8,976       8,108       8,908  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total operating expenses

      13,598       10,625       14,677       17,609       18,048       19,914  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Operating loss

      (7,352 )      (1,267 )      (4,914 )      (6,875 )      (6,608 )      (6,618 ) 
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Loss before income tax

    $ (7,352 )    $ (1,267 )    $ (4,914 )    $ (6,875 )    $ (6,608 )    $ (6,618 ) 
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Reconciliation of loss before income tax to Adjusted EBITDA

             

Share-based compensation expense

    $ 1,734     $ 1,837     $ 2,254     $ 2,293     $ 2,592     $ 3,483  

Depreciation and amortization

      387       539       547       659       657       644  

Other (income) expense, net

      152       (83 )      (50 )      96       18       336  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Adjusted EBITDA

    $ (5,079 )    $ 1,026     $ (2,163 )    $ (3,827 )    $ (3,341 )    $ (2,155 ) 
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

 

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