LogMeIn Inc. (NASDAQ: LOGM) rose Friday, after the company reported stronger-than-expected earnings for its third quarter.
The Boston-based LogMeIn, a provider of cloud-based connectivity, reported GAAP revenue was $308.9 million and non-GAAP revenue was $309.6 million
GAAP net income was $12.7 million or $0.24 per diluted share and non-GAAP net income was $72.9 million or $1.40 per diluted share
Total GAAP deferred revenue was $373.3 million
Moreover, the company closed the quarter with cash and cash equivalents of $167.6 million and $200.0 million of borrowings under its existing credit agreement
According to CEO Bill Wagner, "LogMeIn had a strong quarter as we saw positive early results from the steps we took to improve the performance of our Communications & Collaboration business which had renewal rates return to historical levels."
LogMeIn also issued guidance, saying it expects fourth quarter non-GAAP revenue to be in the range of $306 million to $307 million. The Company expects fourth quarter GAAP revenue to be in the range of $305 million to $306 million. Non-GAAP revenue adds back $1 million for the impact of an acquisition accounting adjustment recorded to reduce acquired deferred revenue to the fair value of the remaining obligation.
EBITDA is expected to be in the range of $93 million to $94 million, or approximately 31% of GAAP revenue. Adjusted EBITDA is expected to be in the range of $115 million to $116 million, or approximately 38% of non-GAAP revenue.
Shares in LOGM vaulted $6.07, or 8%, to begin Friday at $81.91.
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