in this press release. Neither Cyxtera nor any of its affiliates assume any obligation to update this press release, except as required by law.
Statement Regarding Non-GAAP Financial Measures
This press release contains Transaction Adjusted EBITDA, which is a supplemental measure that is not required by, or presented in accordance with, accounting principles generally accepted in the United States ("GAAP"). Transaction Adjusted EBITDA represents the measure of EBITDA disclosed to Starboard Value Acquisition Corp. ("SVAC") in connection with its consideration of the business combination transaction between SVAC and Cyxtera. Cyxtera defines Transaction Adjusted EBITDA as net income (loss) before the following items: depreciation and amortization, interest and other expenses, net, income tax expense (benefit), equity-based compensation, stand-up separation & other, goodwill impairment, restructuring costs & other, straight-line rent adjustment, amortization of favorable / unfavorable leasehold interest & asset retirement obligation accretion, and change in fair value of warrant liabilities. As a Non-GAAP financial measure, Transaction Adjusted EBITDA excludes items that are significant in understanding and assessing Cyxtera's financial results or position. Therefore, this measure should not be considered in isolation or as an alternative to net income, cash flows from operations or other measures of profitability, liquidity or performance under GAAP. You should be aware that Cyxtera's presentation of this measure may not be comparable to similarly-titled measures used by other companies. You should review the reconciliation of the non-GAAP financial measures included in this press release to the most directly comparable GAAP financial measures as well as Cyxtera's unaudited financial statements included in its Quarterly Report on Form 10-Q filed with the SEC and not rely on any single financial measure to evaluate Cyxtera's business.
CYXTERA TECHNOLOGIES, INC.
RECONCILIATION OF GAAP TO NON-GAAP RESULTS
(unaudited, in millions)
Three Months Ended March 31,
2023 2022
-------------------- ----------------
Net Loss to EBITDA Reconciliation:
------------------------------------
Net loss $ (325.4) (40.9)
Depreciation and amortization 60.0 62.3
Interest and other expenses, net 46.6 38.1
Income tax expense (benefit) (13.1) 4.1
------------ ---------
EBITDA $ (231.9) $ 63.6
Adjustments
Equity-based compensation 3.1 3.4
Stand-up separation & other 8.2 0.6
Goodwill impairment 278.2 --
Restructuring costs & other 4.5 1.3
------------ ---------
Total Adjustments 294.0 5.3
============ =========
Adjusted EBITDA $ 62.1 $ 68.9
============ =========
Transaction Adjustments
Straight-line rent adjustment 0.3 0.6
Amortization of Favorable /
Unfavorable Leasehold Interest &
ARO accretion 0.9 0.9
Change in fair value of warrant
liabilities -- (11.8)
------------ ---------
Total Adjustments 1.2 (10.3)
============ =========
Transaction Adjusted EBITDA $ 63.3 58.6
============ =========
Note: Numbers may not foot or cross-foot due to rounding
View source version on businesswire.com: https://www.businesswire.com/news/home/20230504006083/en/
CONTACT: Media Inquiries
Janice Clayton
press@cyxtera.com
Aaron Palash / Meaghan Repko
Joele Frank, Wilkinson Brimmer Katcher
(212) 355-4449
Investor Inquiries
Kwang Edeker
IR@cyxtera.com
(END) Dow Jones Newswires
May 04, 2023 18:27 ET (22:27 GMT)
Comments