EX-99.2 3 name-ex992_6.htm EX-99.2 name-ex992_6.htm

Exhibit 99.1

 

Unaudited Pro Forma Condensed Financial Information

 

On January 20, 2017, Rightside Group, Ltd. (“Rightside” or the “Company”) and its wholly owned subsidiaries, Rightside Operating Co. (“Seller”) and eNom, Incorporated (“eNom”) entered into a Stock Purchase Agreement (the “Purchase Agreement”) with Tucows Inc. (“Tucows”) and Tucows (Emerald), LLC, a wholly-owned subsidiary of Tucows Inc. (the “Purchaser”), pursuant to which the Purchaser purchased Rightside’s eNom business through the purchase of all of the outstanding stock of eNom from Seller in exchange for $83.5 million, less a net working capital adjustment of $6.8 million, resulting in net cash at closing of $76.7 million (the “Transaction”). The purchase price is subject to customary adjustments following the closing, including a working capital adjustment to the extent such amount is greater or less than the estimated net working capital amount determined at closing. The Transaction closed on January 20, 2017.

 

The accompanying unaudited pro forma condensed financial statements include adjustments to our historical financial results to reflect the following:

 

 

the Purchase Agreement with Tucows for all of the outstanding stock of eNom’s business; and

 

fees and expenses incurred in connection with the Transaction.

 

The unaudited pro forma condensed statements of operations for the years ended December 31, 2015, 2014 and 2013 and the nine months ended September 30, 2016, have been prepared giving effect to the Transaction, as if the Transaction had occurred on January 1, 2013. The unaudited pro forma condensed balance sheet gives effect to the Transaction as if the Transactions had occurred on September 30, 2016. The unaudited pro forma financial information gives effect to the divestiture of eNom, accounted for as a discontinued operation. The historical financial information has been adjusted to give effect to estimated pro forma events that are directly attributable and factually supportable to the Transaction and are expected to have a continuing impact on Rightside’s results of operations.

 

The unaudited pro forma condensed financial statements have been prepared in accordance with Article 11 of Regulation S-X. The pro forma adjustments are described in the accompanying notes and are based upon information and assumptions available at the time of the filing of this report on Form 8-K. The accompanying unaudited pro forma condensed financial statements should be read in conjunction with our historical consolidated financial statements and the accompanying notes.

 

The unaudited pro forma condensed financial statements are based on financial statements prepared in accordance with U.S. generally accepted accounting principles, which are subject to change and interpretation. The pro forma adjustments are based upon available information and assumptions that management considers to be reasonable. The pro forma adjustments may differ from those that will be calculated to report our discontinued operations in our future filings. The unaudited pro forma condensed financial information is for illustrative and informational purposes only and is not intended to represent or be indicative of what our results of operations or balance sheet would have been had the Transaction occurred on the dates indicated. Pro forma adjustments do not include allocations of corporate and other costs, as those are not directly attributable to the Transaction. The unaudited pro forma condensed financial information also should not be considered representative of our future results of operations or financial position.

 


Rightside Group, Ltd.

Unaudited Pro Forma Condensed Statement of Operations

For the Nine Months Ended September 30, 2016

(in thousands, except per share data)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pro Forma

 

 

 

 

 

 

 

 

 

 

 

 

Pro Forma

 

 

 

 

Rightside

 

 

 

 

As Reported

 

 

eNom, Inc.

 

 

Adjustments

 

 

Notes

 

Group, Ltd.

 

 

Revenue

 

$

162,428

 

 

$

(116,483

)

 

$

 

 

 

 

$

45,945

 

 

Cost of revenue (excluding depreciation and amortization)

 

 

122,971

 

 

 

(96,900

)

 

 

 

 

 

 

 

26,071

 

 

Sales and marketing

 

 

8,046

 

 

 

(1,762

)

 

 

 

 

 

 

 

6,284

 

 

Technology and development

 

 

15,196

 

 

 

(5,720

)

 

 

 

 

 

 

 

9,476

 

 

General and administrative

 

 

15,617

 

 

 

(1,322

)

 

 

(271

)

 

(a)

 

 

14,024

 

 

Depreciation and amortization

 

 

12,120

 

 

 

(2,603

)

 

 

 

 

 

 

 

9,517

 

 

Gain on other assets, net

 

 

(2,247

)

 

 

1,300

 

 

 

 

 

 

 

 

(947

)

 

Interest expense

 

 

3,664

 

 

 

 

 

 

 

 

 

 

 

3,664

 

 

Other (income) expense, net

 

 

(98

)

 

 

77

 

 

 

 

 

 

 

 

(21

)

 

Loss before income tax

 

 

(12,841

)

 

 

(9,553

)

 

 

271

 

 

 

 

 

(22,123

)

 

Income tax (benefit) expense

 

 

(834

)

 

 

(3,601

)

 

 

5,121

 

 

(b)

 

 

686

 

 

Net loss and comprehensive loss

 

$

(12,007

)

 

$

(5,952

)

 

$

(4,850

)

 

 

 

$

(22,809

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net loss per share attributable to common stockholders:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

$

(0.62

)

 

 

 

 

 

 

 

 

 

 

 

$

(1.18

)

 

Diluted

 

 

(0.62

)

 

 

 

 

 

 

 

 

 

 

 

 

(1.18

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Weighted average number of shares outstanding:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

 

19,251

 

 

 

 

 

 

 

 

 

 

 

 

 

19,251

 

 

Diluted

 

 

19,251

 

 

 

 

 

 

 

 

 

 

 

 

 

19,251

 

 

 

See Accompanying Notes to Unaudited Pro Forma Condensed Financial Statements


Rightside Group, Ltd.

Unaudited Pro Forma Condensed Statement of Operations

For the Year Ended December 31, 2015

(in thousands, except per share data)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pro Forma

 

 

 

 

 

 

 

 

 

 

 

 

Pro Forma

 

 

 

 

Rightside

 

 

 

 

As Reported

 

 

eNom, Inc.

 

 

Adjustments

 

 

Notes

 

Group, Ltd.

 

 

Revenue

 

$

212,486

 

 

$

(156,680

)

 

$

 

 

 

 

$

55,806

 

 

Cost of revenue (excluding depreciation and amortization)

 

 

162,452

 

 

 

(129,329

)

 

 

 

 

 

 

 

33,123

 

 

Sales and marketing

 

 

10,567

 

 

 

(2,048

)

 

 

 

 

 

 

 

8,519

 

 

Technology and development

 

 

21,062

 

 

 

(6,311

)

 

 

 

 

 

 

 

14,751

 

 

General and administrative

 

 

20,078

 

 

 

(1,607

)

 

 

 

 

 

 

 

18,471

 

 

Depreciation and amortization

 

 

16,428

 

 

 

(3,435

)

 

 

 

 

 

 

 

12,993

 

 

Gain on other assets, net

 

 

(9,403

)

 

 

 

 

 

 

 

 

 

 

(9,403

)

 

Interest expense

 

 

4,922

 

 

 

 

 

 

 

 

 

 

 

4,922

 

 

Other (income) expense, net

 

 

18

 

 

 

 

 

 

 

 

 

 

 

18

 

 

Loss before income tax

 

 

(13,638

)

 

 

(13,950

)

 

 

 

 

 

 

 

(27,588

)

 

Income tax expense (benefit)

 

 

(2,314

)

 

 

(5,351

)

 

 

8,571

 

 

(b)

 

 

906

 

 

Net loss

 

$

(11,324

)

 

$

(8,599

)

 

 

(8,571

)

 

 

 

$

(28,494

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net loss per share attributable to common stockholders:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

$

(0.60

)

 

 

 

 

 

 

 

 

 

 

 

$

(1.51

)

 

Diluted

 

 

(0.60

)

 

 

 

 

 

 

 

 

 

 

 

 

(1.51

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Weighted average number of shares outstanding:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

 

18,867

 

 

 

 

 

 

 

 

 

 

 

 

 

18,867

 

 

Diluted

 

 

18,867

 

 

 

 

 

 

 

 

 

 

 

 

 

18,867

 

 

 

See Accompanying Notes to Unaudited Pro Forma Condensed Financial Statements

 


Rightside Group, Ltd.

Unaudited Pro Forma Condensed Statement of Operations

For the Year Ended December 31, 2014

(in thousands, except per share data)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pro Forma

 

 

 

 

 

 

 

 

 

 

 

 

Pro Forma

 

 

 

 

Rightside

 

 

 

 

As Reported

 

 

eNom, Inc.

 

 

Adjustments

 

 

Notes

 

Group, Ltd.

 

 

Revenue

 

$

191,748

 

 

$

(148,941

)

 

$

 

 

 

 

$

42,807

 

 

Cost of revenue (excluding depreciation and amortization)

 

 

149,710

 

 

 

(121,954

)

 

 

 

 

 

 

 

27,756

 

 

Sales and marketing

 

 

9,461

 

 

 

(3,245

)

 

 

 

 

 

 

 

6,216

 

 

Technology and development

 

 

20,476

 

 

 

(6,339

)

 

 

 

 

 

 

 

14,137

 

 

General and administrative

 

 

21,157

 

 

 

(1,873

)

 

 

 

 

 

 

 

19,284

 

 

Depreciation and amortization

 

 

15,441

 

 

 

(3,547

)

 

 

 

 

 

 

 

11,894

 

 

Gain on other assets, net

 

 

(22,103

)

 

 

 

 

 

 

 

 

 

 

(22,103

)

 

Interest expense

 

 

1,988

 

 

 

 

 

 

 

 

 

 

 

1,988

 

 

Other (income) expense, net

 

 

(1,196

)

 

 

 

 

 

 

 

 

 

 

(1,196

)

 

Loss before income tax

 

 

(3,186

)

 

 

(11,983

)

 

 

 

 

 

 

 

(15,169

)

 

Income tax expense (benefit)

 

 

(1,328

)

 

 

(5,210

)

 

 

7,406

 

 

(b)

 

 

868

 

 

Net loss

 

$

(1,858

)

 

$

(6,773

)

 

 

(7,406

)

 

 

 

$

(16,037

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net loss per share attributable to common stockholders:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

$

(0.10

)

 

 

 

 

 

 

 

 

 

 

 

$

(0.87

)

 

Diluted

 

 

(0.10

)

 

 

 

 

 

 

 

 

 

 

 

 

(0.87

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Weighted average number of shares outstanding:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

 

18,452

 

 

 

 

 

 

 

 

 

 

 

 

 

18,452

 

 

Diluted

 

 

18,452

 

 

 

 

 

 

 

 

 

 

 

 

 

18,452

 

 

 

See Accompanying Notes to Unaudited Pro Forma Condensed Financial Statements

 


Rightside Group, Ltd.

Unaudited Pro Forma Condensed Statement of Operations

For the Year Ended December 31, 2013

(in thousands, except per share data)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pro Forma

 

 

 

 

 

 

 

 

 

 

 

 

Pro Forma

 

 

 

 

Rightside

 

 

 

 

As Reported

 

 

eNom, Inc.

 

 

Adjustments

 

 

Notes

 

Group, Ltd.

 

 

Revenue

 

$

185,192

 

 

$

(141,560

)

 

$

 

 

 

 

$

43,632

 

 

Cost of revenue (excluding depreciation and amortization)

 

 

133,714

 

 

 

(112,056

)

 

 

 

 

 

 

 

21,658

 

 

Sales and marketing

 

 

10,210

 

 

 

(3,480

)

 

 

 

 

 

 

 

6,730

 

 

Technology and development

 

 

18,516

 

 

 

(7,469

)

 

 

 

 

 

 

 

11,047

 

 

General and administrative

 

 

24,191

 

 

 

(2,226

)

 

 

 

 

 

 

 

21,965

 

 

Depreciation and amortization

 

 

14,382

 

 

 

(3,659

)

 

 

 

 

 

 

 

10,723

 

 

Gain on other assets, net

 

 

(4,232

)

 

 

 

 

 

 

 

 

 

 

(4,232

)

 

Interest expense

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other (income) expense, net

 

 

58

 

 

 

 

 

 

 

 

 

 

 

58

 

 

Loss before income tax

 

 

(11,647

)

 

 

(12,670

)

 

 

 

 

 

 

 

(24,317

)

 

Income tax expense (benefit)

 

 

(944

)

 

 

(5,469

)

 

 

7,282

 

 

(b)

 

 

869

 

 

Net loss

 

$

(10,703

)

 

$

(7,201

)

 

 

(7,282

)

 

 

 

$

(25,186

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net loss per share attributable to common stockholders:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

$

(0.58

)

 

 

 

 

 

 

 

 

 

 

 

$

(1.37

)

 

Diluted

 

 

(0.58

)

 

 

 

 

 

 

 

 

 

 

 

 

(1.37

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Weighted average number of shares outstanding:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

 

18,413

 

 

 

 

 

 

 

 

 

 

 

 

 

18,413

 

 

Diluted

 

 

18,413

 

 

 

 

 

 

 

 

 

 

 

 

 

18,413

 

 

 

See Accompanying Notes to Unaudited Pro Forma Condensed Financial Statements

 


Rightside Group, Ltd.

Unaudited Pro Forma Condensed Balance Sheet

As of September 30, 2016

(in thousands)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pro Forma

 

 

 

 

 

 

 

 

 

 

 

 

Pro Forma

 

 

 

 

Rightside

 

 

 

 

As Reported

 

 

eNom, Inc.

 

 

Adjustments

 

 

Notes

 

Group, Ltd.

 

 

Assets

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current assets

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash and cash equivalents

 

$

47,285

 

 

$

 

 

$

71,740

 

 

(c)

 

$

119,025

 

 

Accounts receivable, net

 

 

11,248

 

 

 

(7,310

)

 

 

 

 

 

 

 

3,938

 

 

Prepaid expenses and other current assets

 

 

5,764

 

 

 

(2,753

)

 

 

 

 

 

 

 

3,011

 

 

Deferred registration costs

 

 

76,082

 

 

 

(66,945

)

 

 

 

 

 

 

 

9,137

 

 

Total current assets

 

 

140,379

 

 

 

(77,008

)

 

 

71,740

 

 

 

 

 

135,111

 

 

Deferred registration costs, less current portion

 

 

16,063

 

 

 

(14,527

)

 

 

 

 

 

 

 

1,536

 

 

Property and equipment, net

 

 

11,392

 

 

 

(4,879

)

 

 

 

 

 

 

 

6,513

 

 

Intangible assets, net

 

 

50,575

 

 

 

(2,008

)

 

 

 

 

 

 

 

48,567

 

 

Goodwill

 

 

103,042

 

 

 

(67,654

)

 

 

 

 

 

 

 

35,388

 

 

gTLD deposits

 

 

2,323

 

 

 

 

 

 

 

 

 

 

 

2,323

 

 

Other assets

 

 

939

 

 

 

(156

)

 

 

 

 

 

 

 

783

 

 

Total assets

 

$

324,713

 

 

$

(166,232

)

 

$

71,740

 

 

 

 

$

230,221

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Liabilities and Stockholders' Equity

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current liabilities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Accounts payable

 

$

7,886

 

 

$

(6,698

)

 

$

 

 

 

 

$

1,188

 

 

Accrued expenses and other current liabilities

 

 

20,525

 

 

 

(11,563

)

 

 

 

 

 

 

 

8,962

 

 

Debt

 

 

1,500

 

 

 

 

 

 

 

 

 

 

 

1,500

 

 

Capital lease obligation

 

 

1,101

 

 

 

 

 

 

 

 

 

 

 

1,101

 

 

Deferred revenue

 

 

98,823

 

 

 

(79,237

)

 

 

 

 

 

 

 

19,586

 

 

Total current liabilities

 

 

129,835

 

 

 

(97,498

)

 

 

 

 

 

 

 

32,337

 

 

Debt, less current portion

 

 

21,772

 

 

 

 

 

 

 

 

 

 

 

21,772

 

 

Capital lease obligation, less current portion

 

 

142

 

 

 

 

 

 

 

 

 

 

 

142

 

 

Deferred revenue, less current portion

 

 

22,811

 

 

 

(18,567

)

 

 

 

 

 

 

 

4,244

 

 

Deferred tax liabilities, net

 

 

14,589

 

 

 

(18,987

)

 

 

10,427

 

 

(b)

 

 

6,029

 

 

Other liabilities

 

 

786

 

 

 

(302

)

 

 

 

 

 

 

 

484

 

 

Total liabilities

 

 

189,935

 

 

 

(135,354

)

 

 

10,427

 

 

 

 

 

65,008

 

 

Commitments and contingencies

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Stockholders' equity

 

 

134,778

 

 

 

(30,878

)

 

 

61,313

 

 

(c)

 

 

165,213

 

 

Total liabilities and stockholders' equity

 

$

324,713

 

 

$

(166,232

)

 

$

71,740

 

 

 

 

$

230,221

 

 

 

See Accompanying Notes to Unaudited Pro Forma Condensed Financial Statements


Notes to the Unaudited Pro Forma Condensed Financial Statements

 

Note 1Basis of Pro Forma Presentation

 

Our historical financial statements are presented on a consolidated basis subsequent to August 1, 2014 and on a combined basis for periods prior to August 1, 2014. Our historical balance sheet and statements of operations include the accounts of Rightside and our wholly-owned subsidiaries. These financial statements have been prepared in accordance with generally accepted accounting principles in the United States (“GAAP”).

 

The unaudited pro forma condensed financial statements include adjustments to our historical financial results to reflect the following:

 

 

the Purchase Agreement with Tucows for all of the outstanding stock of eNom’s business; and

 

fees and expenses incurred in connection with the Transaction.

 

The unaudited pro forma financial information is provided for illustrative purposes only and does not purport to represent what the results of operations or financial position of the remaining company would have been if the Transaction had occurred on the date assumed, nor are they necessarily indicative of future consolidated results of operations or financial position.

 

The unaudited pro forma financial information does not reflect any actions taken by management, such as termination of employees, closure of data centers, asset dispositions or other restructurings that may or may not result from the Transaction. Refer to Note 3 Reorganization Projections for further information on the costs of these forecasted actions.

 

Note 2 Pro Forma Adjustments

 

The following is a summary of the pro forma adjustments reflected in the unaudited pro forma condensed financial statements based on preliminary estimates, which may change as additional information is obtained:

 

 

(a)

Adjustments reflect the removal of non-recurring transaction costs of $271 thousand incurred during the nine months ended September 30, 2016, which were directly related to the Transaction. These costs relate primarily to accounting, professional and legal fees.

 

(b)

Net deferred tax balances for eNom are presented based on the assets and liabilities attributable to eNom as of September 30, 2016. After adjusting for the Transaction, Rightside is in a net deferred tax asset position. On a pro forma basis, Rightside would incur losses from operations which require the implementation of a valuation allowance of $10.4 million against net deferred tax assets that are more likely than not to be unrealized in the future. The remaining net deferred tax liabilities of $6.0 million relate to tax deductible goodwill which cannot be offset against these deferred tax assets. Additionally, the income tax expense (benefit) in the unaudited pro forma condensed statements of operations is intended to present Rightside’s expected tax provision after the divestiture of eNom based on the statutory tax rates in effect for each period.

 

(c)

Adjustments reflect the Transaction purchase price of $83.5 million, less a net working capital adjustment of $6.8 million, approximately $5.0 million of transaction expenses and net assets of $30.8 million, for a total estimated Transaction gain of $40.9 million. The transaction costs relate primarily to accounting, banking and legal fees. There is no tax associated with the Transaction gain because the Transaction generates a loss for tax purposes due to Rightside’s tax basis in the eNom stock. The deferred tax benefit generated as a result of the loss is not recognized due to implementation of the valuation allowance.

As of September 30, 2016, we had an aggregate outstanding principal balance of $27.4 million on our term loan credit facility with Tennenbaum Capital Partners LLC (“Tennenbaum Credit Facility”). We fully paid off and extinguished the Tennenbaum Credit Facility on November 7, 2016, and drew $12.8 million on our existing revolving credit facility with Silicon Valley Bank (“SVB Credit Facility”) on November 4, 2016. As a result of the Transaction, we are required to repay the draw on the SVB Credit Facility. We have not reflected this repayment of all outstanding debt as of September 30, 2016 in the pro forma adjustments as the repayment of the Tennenbaum debt was not directly attributable to the Transaction.

Note 3 Reorganization Projections

 

The unaudited pro forma financial information does not reflect the realization of any expected cost savings from the disposal of eNom as a result of restructuring activities and other cost savings initiatives. After the disposal of eNom, Rightside will take certain actions to restructure the remaining operations. In the near term, we currently estimate that restructuring activities will reduce operating expenses by approximately $3 million to $5 million on an annualized basis as we realign our business to better fit the remaining company. This is not reflected in the unaudited pro forma condensed financial statements. We have reassessed our corporate support functions to realign with the remaining business and reduced headcount accordingly. Additionally, we expect to reduce our network infrastructure and support costs, as well as to renegotiate certain corporate professional services contracts.


Although we believe these cost savings will be realized following the disposal of eNom, there can be no assurance that these cost savings will be achieved in full or at all.

Additionally, as a result of the disposal of eNom, Rightside has entered into a Transition Services Agreement (“TSA”) with Tucows to provide each company with the requisite services and sufficient resources needed to operate as separate companies after the Transaction. For 2017, we expect the TSA to generate approximately $0.9 million and to cost us approximately $0.7 million.

Note 4 Non-GAAP Financial Measures

 

To supplement our unaudited pro forma financial results presented in GAAP, we also present Adjusted EBITDA, a non-GAAP financial measure, used to evaluate our business. We define Adjusted EBITDA as net income (loss) adjusted for interest, income taxes, depreciation and amortization, stock-based compensation, and certain gains, losses, and expenses that we do not believe are indicative of ongoing core business operating results.

We believe that Adjusted EBITDA is helpful in understanding our historical financial performance and potential future results. These are not meant to be considered in isolation or as a substitute for comparable GAAP measures and should be read in conjunction with the financial statements prepared in accordance with GAAP. Adjusted EBITDA may differ from non-GAAP financial measures with the same or similar captions that are used by other companies and do not reflect a comprehensive system of accounting. 

The following tables present our unaudited pro forma reconciliation of net loss to Adjusted EBITDA:

 

 

 

 

 

 

 

 

 

 

 

Pro Forma

 

 

 

 

Pro Forma

 

 

For the Nine Months Ended September 30, 2016

 

As Reported

 

 

eNom, Inc.

 

 

Adjustments

 

 

 

 

Rightside Group, Ltd

 

 

Net loss

 

$

(12,007

)

 

$

(5,952

)

 

$

(4,850

)

 

 

 

$

(22,809

)

 

Add (deduct):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Income tax benefit

 

 

(834

)

 

 

(3,601

)

 

 

5,121

 

 

(1)

 

 

686

 

 

(Gain) loss on other assets, net

 

 

(2,247

)

 

 

1,300