Non-GAAP Reconciliation
The following tables provide a reconciliation of SWK’s GAAP net income to non-GAAP adjusted net income for the last twelve month period ended September 30, 2019 and for the fiscal years ended December 31, 2015 through 2018
$ in 000s |
LTM |
Dec-18 |
Dec-17 |
Dec-16 |
Dec-15 |
|
|
|
|
|
|
Consolidated net income (loss) |
$ 19,643 |
$ 6,195 |
$ 8,251 |
$ 32,041 |
$ (4,363) |
Plus: income tax expense (benefit) |
814 |
42 |
15,753 |
(21,638) |
3,273 |
Plus: loss (gain) on fair market value of warrants |
1,578 |
551 |
1,115 |
(588) |
3,305 |
Plus: loss (gain) on Fair Market Value of Equity Securities |
(565) |
- |
- |
- |
- |
Plus: loss related to Response Genetics warrants |
- |
- |
- |
- |
(802) |
Plus: gain on realized value of warrants |
- |
- |
- |
- |
- |
Plus: warrant-related debt issuance costs |
- |
- |
- |
- |
155 |
Plus: depreciation and amortization |
373 |
17 |
|
|
|
Adjusted income before provision for income tax |
$ 21,843 |
$ 6,805 |
$ 25,119 |
$ 9,815 |
$ 1,568 |
Plus: Adjusted provision for income tax |
- |
- |
- |
- |
- |
Non-GAAP consolidated net income |
$ 21,843 |
$ 6,805 |
$ 25,119 |
$ 9,815 |
$ 1,568 |
Less: Non-GAAP adjusted net income attributable to non-controlling interest |
- |
- |
(5,204) |
(3,153) |
(3,007) |
Non-GAAP adjusted net income (loss) attributable to SWK Holdings Corporation Stockholders |
$ 21,843 |
$ 6,805 |
$ 19,915 |
$ 6,662 |
$ (1,439) |
In the table above, management has deducted the following non-cash items: (i) fair-market value of warrants as mark-to-market changes are non-cash, (ii) income taxes as the Company has substantial net operating losses to offset against future income, and (iii) depreciation and amortization expenses, primarily associated with the Enteris acquisition.