EX-99.1 2 exhibit991-pressrelease063.htm EX-99.1
Apollo Medical Holdings, Inc. Reports Second Quarter 2022 Results
Company to Host Conference Call Today at 2 p.m. PT/5 p.m. ET
ALHAMBRA, Calif., August 4, 2022 /PRNewswire/ -- Apollo Medical Holdings, Inc. (“ApolloMed,” and together with its subsidiaries and affiliated entities, the “Company”) (NASDAQ: AMEH), a leading physician-centric, technology-powered healthcare company focused on enabling providers in the successful delivery of value-based care, today announced its consolidated financial results for the second quarter and six months ended June 30, 2022.
Financial Highlights for Second Quarter Ended June 30, 2022:
•Total revenue of $269.7 million, up 54% from $175.6 million for the prior-year quarter
•Net income attributable to ApolloMed of $11.4 million, compared to $12.7 million for the prior-year quarter
•Earnings per share - diluted (“EPS - diluted”) of $0.25, compared to $0.28 per share for the prior-year quarter
•Adjusted EBITDA of $36.9 million, up 14% from $32.4 million for the prior-year quarter
Financial Highlights for Six Months Ended June 30, 2022:
•Total revenue of $533.0 million, up 52% from $351.7 million for the prior-year period
•Net income attributable to ApolloMed of $25.7 million, compared to $25.8 million for the prior-year period
•EPS-diluted of $0.56, compared to $0.58 per share for the prior-year period
•Adjusted EBITDA of $75.1 million, up 19% from $63.2 million for the prior-year period
•Cash and cash equivalents of $234.2 million as of June 30, 2022
Guidance:
ApolloMed is reiterating the following guidance for total revenue, net income, EBITDA, and Adjusted EBITDA, based on the Company’s existing business, current view of existing market conditions and assumptions for the year ending December 31, 2022.

($ in millions) |  | 2022 Guidance Range |  |
|  | Low |  | High |  |  |  |
Total revenue |  | $ | 1,055.0 |  |  | $ | 1,085.0 |  |  |  |  |
Net income |  | $ | 38.0 |  |  | $ | 57.0 |  |  |  |  |
EBITDA |  | $ | 81.0 |  |  | $ | 111.0 |  |  |  |  |
Adjusted EBITDA |  | $ | 136.0 |  |  | $ | 166.0 |  |  |  |  |

See “Guidance Reconciliation of Net Income to EBITDA and Adjusted EBITDA” and “Use of Non-GAAP Financial Measures” below for additional information. There can be no assurance that actual amounts will not be materially higher or lower than these expectations. See “Forward-Looking Statements” below for additional information.

Management Commentary:
Brandon Sim, Co-Chief Executive Officer of ApolloMed, added, “During the second quarter of 2022, we delivered yet another quarter of profitability, achieving 54% growth on the top line as a result of continued organic membership growth in our core IPAs, more favorable membership mix, and participation in a value-based care model for the Medicare fee-for-service population. Despite utilization trending towards pre-pandemic levels and our ongoing investment in building out our team to support future business expansion, which have contributed to increased cost of services and operating expenses respectively, we reported solid bottom line results of $11.4 million, or EPS-diluted of $0.25, during the second quarter. Due to our strong performance in the first half of 2022, we are pleased to be reiterating our previously disclosed annual guidance and expect an eventful remainder of the year ahead, which will allow us to close out 2022 on a positive note. We continue to observe strong tailwinds within the physician enablement value-based care space and are uniquely positioned to continue enabling providers across the country due to our long operating history and proven track record of empowering independent physicians. We are excited to be in this unique position to help providers fundamentally change the way healthcare is delivered here in the U.S.”
GAAP Financial Review for the Second Quarter Ended June 30, 2022:
•Total revenue of $269.7 million for the quarter ended June 30, 2022, an increase of 54%, compared to $175.6 million for the quarter ended June 30, 2021. This was primarily driven by organic membership growth in ApolloMed's consolidated IPAs and participation in a value-based Medicare fee-for-service model.
•Capitation revenue, net, of $227.6 million for the quarter ended June 30, 2022, an increase of 57%, compared to $144.6 million for the quarter ended June 30, 2021. Capitation revenue represented 84% of total revenue for the quarter ended June 30, 2022.
•Net income of $10.6 million for the quarter ended June 30, 2022, compared to $59.5 million for the quarter ended June 30, 2021. The decrease was primarily a result of $1.9 million in unrealized losses as a result of a decrease in fair value of a payer partner’s shares held as marketable securities and other investments, which compares to $83.8 million in unrealized gains as a result of a 1-to-3 conversion of a payer partner's preferred shares to common stock in the prior-year period. These payer partner shares are deemed “Excluded Assets” that are solely for the benefit of APC and its shareholders and do not impact net income attributable to ApolloMed.
•Net income attributable to ApolloMed of $11.4 million for the quarter ended June 30, 2022, compared to $12.7 million for the quarter ended June 30, 2021. The decrease was primarily a result of increased cost of services related to increased utilization compared to the prior-year period and increased operating expenses related to the hiring of additional personnel to support the Company’s growth and development.
•EPS - diluted of $0.25 per share for the quarter ended June 30, 2022, compared to $0.28 per share for the quarter ended June 30, 2021.
GAAP Financial Review for the Six Months Ended June 30, 2022:
•Total revenue of $533.0 million for the six months ended June 30, 2022, an increase of 52%, compared to $351.7 million for the six months ended June 30, 2021.
•Net income of $22.7 million for the six months ended June 30, 2022, compared to $74.0 million for the six months ended June 30, 2021.
•Net income attributable to ApolloMed of $25.7 million for the six months ended June 30, 2022, compared to $25.8 million for the six months ended June 30, 2021.
•EPS - diluted of $0.56 per share for the six months ended June 30, 2022, compared to $0.58 per share for the six months ended June 30, 2021.
Non-GAAP Measures for the Second Quarter Ended June 30, 2022:
•EBITDA of $22.4 million for the quarter ended June 30, 2022, compared to $90.0 million for the quarter ended June 30, 2021.
•Adjusted EBITDA of $36.9 million for the quarter ended June 30, 2022, an increase of 14%, compared to $32.4 million for the quarter ended June 30, 2021.
Non-GAAP Financial Review for the Six Months Ended June 30, 2022:

•EBITDA of $46.1 million for the six months ended June 30, 2022, compared to $116.6 million for the six months ended June 30, 2021.
•Adjusted EBITDA of $75.1 million for the six months ended June 30, 2022, an increase of 19%, compared to $63.2 million for the six months ended June 30, 2021.
Balance Sheet Highlights:
•As of June 30, 2022, ApolloMed’s cash and cash equivalents and investments in marketable securities were $273.7 million, working capital was $275.8 million, and total stockholders’ equity was $485.8 million; compared to cash and cash equivalents and investments in marketable securities of $286.5 million, working capital of $283.4 million and total stockholders’ equity of $460.5 million, respectively, as of December 31, 2021.
For more details on ApolloMed’s financial results for the quarter ended June 30, 2022, please refer to ApolloMed’s Quarterly Report on Form 10-Q to be filed with the U.S. Securities Exchange Commission (“SEC”), which is accessible at www.sec.gov.
Conference Call and Webcast Information:
ApolloMed will host a conference call at 2 p.m. PT/5 p.m. ET today (Thursday, August 4, 2022), during which management will discuss the results of the second quarter and six months ended June 30, 2022. To participate in the conference call, please use the following dial-in numbers about 5 minutes prior to the scheduled conference call time:
U.S. & Canada (Toll-Free): +1 (866) 682-6100
International (Toll): +1 (862) 298-0702
The conference call can also be accessed via webcast at: https://event.choruscall.com/mediaframe/webcast.html?webcastid=azum8Y5h.
An accompanying slide presentation will be available in PDF format on the “IR Calendar” page of the Company’s website (https://www.apollomed.net/investors/news-events/ir-calendar) after issuance of the earnings release and will be furnished as an exhibit to ApolloMed’s current report on Form 8-K to be filed with the SEC, accessible at www.sec.gov.
Those who are unable to attend the live conference call may access the recording at the above webcast link, which will be made available shortly after the conclusion of the call.
Note About Consolidated Entities
The Company consolidates entities in which it has a controlling financial interest. The Company consolidates subsidiaries in which it holds, directly or indirectly, more than 50% of the voting rights, and VIEs in which the Company is the primary beneficiary. Noncontrolling interests represent third party equity ownership interests in the Company’s consolidated entities (including certain VIEs). The amount of net income attributable to noncontrolling interests is disclosed in the Company’s consolidated statements of income.
Note About Stockholders’ Equity, Certain Treasury Stock and Earnings Per Share
As of the date of this press release, 140,954 holdback shares have not been issued to certain former shareholders of the Company’s subsidiary, Network Medical Management, Inc. (“NMM”), who were NMM shareholders at the time of closing of the merger, as they have yet to submit properly completed letters of transmittal to ApolloMed in order to receive their pro rata portion of ApolloMed’s common stock and warrants as contemplated under that certain Agreement and Plan of Merger, dated December 21, 2016, among ApolloMed, NMM, Apollo Acquisition Corp. (“Merger Subsidiary”) and Kenneth Sim, M.D., as amended, pursuant to which Merger Subsidiary merged with and into NMM, with NMM as the surviving corporation. Pending such receipt, such former NMM shareholders have the right to receive, without interest, their pro rata share of dividends or distributions with a record date after the effectiveness of the merger. The Company’s consolidated financial statements have treated such shares of common stock as outstanding, given the receipt of the letter of transmittal is considered perfunctory and ApolloMed is legally obligated to issue these shares in connection with the merger.
Shares of ApolloMed’s common stock owned by Allied Physicians of California, a Professional Medical Corporation d.b.a. Allied Pacific of California (“APC”), a VIE of the Company, are legally issued and outstanding but excluded from shares of

common stock outstanding in the Company’s consolidated financial statements, as such shares are treated as treasury shares for accounting purposes. Such shares, therefore, are not included in the number of shares of common stock outstanding used to calculate the Company’s earnings per share.
About Apollo Medical Holdings, Inc.
ApolloMed is a leading physician-centric, technology-powered, risk-bearing healthcare company. Leveraging its proprietary end-to-end technology solutions, ApolloMed operates an integrated healthcare delivery platform that enables providers to successfully participate in value-based care arrangements, thus empowering them to deliver high quality care to patients in a cost-effective manner.
Headquartered in Alhambra, California, ApolloMed’s subsidiaries and affiliates include management services organizations (MSOs), affiliated independent practice associations (IPAs), and entities participating in the Centers for Medicare & Medicaid Services Innovation Center (CMMI) innovation models. For more information, please visit www.apollomed.net.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, such as statements about the Company’s guidance for the year ending December 31, 2022, continued growth, acquisition strategy, ability to deliver sustainable long-term value, ability to respond to the changing environment, operational focus, strategic growth plans and merger integration efforts, as well as the impact of the COVID-19 pandemic on the Company’s business, operations and financial results. Forward-looking statements reflect current views with respect to future events and financial performance and therefore cannot be guaranteed. Such statements are based on the current expectations and certain assumptions of the Company’s management, and some or all of such expectations and assumptions may not materialize or may vary significantly from actual results. Actual results may also vary materially from forward-looking statements due to risks, uncertainties and other factors, known and unknown, including the risk factors described from time to time in the Company’s reports to the SEC, including, without limitation the risk factors discussed in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021, and any subsequent quarterly reports on Form 10-Q.
FOR MORE INFORMATION, PLEASE CONTACT:
Investor Relations
(626) 943-6491
investors@apollomed.net
Carolyne Sohn, The Equity Group
(415) 568-2255
csohn@equityny.com

APOLLO MEDICAL HOLDINGS, INC.
CONSOLIDATED BALANCE SHEETS
(IN THOUSANDS, EXCEPT SHARE AND PER SHARE DATA)
(UNAUDITED)
|  | June 30, 2022 |  | December 31, 2021
Assets |  |  |  |
Current assets |  |  |  |
Cash and cash equivalents |  | $ | 234,223 |  |  | $ | 233,097 |
Investments in marketable securities |  | 39,490 |  |  | 53,417 |
Receivables, net |  | 67,263 |  |  | 10,608 |
Receivables, net – related parties |  | 81,526 |  |  | 69,376 |
Income taxes receivable |  | 12,639 |  |  | — |
Other receivables |  | 13,227 |  |  | 9,647 |
Prepaid expenses and other current assets |  | 12,670 |  |  | 18,637 |
Loan receivable – related party |  | — |  |  | 4,000 |
Total current assets |  | 461,038 |  |  | 398,782 |
Non-current assets |  |  |  |
Land, property, and equipment, net |  | 87,146 |  |  | 53,186 |
Intangible assets, net |  | 76,651 |  |  | 82,807 |
Goodwill |  | 253,310 |  |  | 253,039 |
Loans receivable |  | 539 |  |  | 569 |
Loan receivable - related party |  | 2,125 |  |  | — |
Investments in other entities – equity method |  | 43,820 |  |  | 41,715 |
Investments in privately held entities |  | 896 |  |  | 896 |
Operating lease right-of-use assets |  | 19,638 |  |  | 15,441 |
Other assets |  | 5,901 |  |  | 5,928 |
Total non-current assets |  | 490,026 |  |  | 453,581 |
Total assets(1) |  | $ | 951,064 |  |  | $ | 852,363 |
Liabilities, mezzanine equity and stockholders’ equity |  |  |  |
Current liabilities |  |  |  |
Accounts payable and accrued expenses |  | $ | 59,922 |  |  | $ | 43,951 |
Fiduciary accounts payable |  | 6,071 |  |  | 10,534 |
Medical liabilities |  | 112,499 |  |  | 55,783 |
Income taxes payable |  | — |  |  | 652 |
Dividend payable |  | 556 |  |  | 556 |
Finance lease liabilities |  | 524 |  |  | 486 |
Operating lease liabilities |  | 3,253 |  |  | 2,629 |

|  | June 30, 2022 |  | December 31, 2021
Current portion of long-term debt |  | 2,413 |  |  | 780 |
Total current liabilities |  | 185,238 |  |  | 115,371 |
Non-current liabilities |  |  |  |
Deferred tax liability |  | 9,257 |  |  | 9,127 |
Finance lease liabilities, net of current portion |  | 1,049 |  |  | 973 |
Operating lease liabilities, net of current portion |  | 16,904 |  |  | 13,198 |
Long-term debt, net of current portion and deferred financing costs |  | 199,068 |  |  | 182,917 |
Other long-term liabilities |  | 13,706 |  |  | 14,777 |
Total non-current liabilities |  | 239,984 |  |  | 220,992 |
Total liabilities(1) |  | 425,222 |  |  | 336,363 |
Mezzanine equity |  |  |  |
Non-controlling interest in Allied Physicians of California, a Professional Medical Corporation |  | 39,997 |  |  | 55,510 |
Stockholders’ equity |  |  |  |
Series A Preferred stock, par value $0.001; 5,000,000 shares authorized (inclusive of Series B Preferred stock); 1,111,111 issued and zero outstanding |  | — |  |  | — |
Series B Preferred stock, par value $0.001; 5,000,000 shares authorized (inclusive of Series A Preferred stock); 555,555 issued and zero outstanding |  | — |  |  | — |
Common stock, $0.001 par value per share; 100,000,000 shares authorized, 44,719,710 and 44,630,873 shares issued and outstanding, excluding 11,175,702 and 10,925,702 treasury shares, at June 30, 2022, and December 31, 2021, respectively |  | 45 |  |  | 45 |
Additional paid-in capital |  | 310,629 |  |  | 310,876 |
Retained earnings |  | 169,292 |  |  | 143,629 |
|  | 479,966 |  |  | 454,550 |
Non-controlling interest |  | 5,879 |  |  | 5,940 |
Total stockholders’ equity |  | 485,845 |  |  | 460,490 |
Total liabilities, mezzanine equity and stockholders’ equity |  | $ | 951,064 |  |  | $ | 852,363 |

(1) The Company’s consolidated balance sheets include the assets and liabilities of its consolidated variable interest entities (“VIEs”). The consolidated balance sheets include total assets that can be used only to settle obligations of the Company’s consolidated VIEs totaling $599.7 million and $567.0 million as of June 30, 2022 and December 31, 2021, respectively, and total liabilities of the Company’s consolidated VIEs for which creditors do not have recourse to the general credit of the primary beneficiary of $143.7 million and $91.7 million as of June 30, 2022 and December 31, 2021, respectively. The VIE balances do not include $431.3 million of investment in affiliates and $36.0 million of amounts due from affiliates as of June 30, 2022 and $802.8 million of investment in affiliates and $6.6 million of amounts due from affiliates as of December 31, 2021 as these are eliminated upon consolidation and not presented within the consolidated balance sheets.

APOLLO MEDICAL HOLDINGS, INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
(IN THOUSANDS, EXCEPT PER SHARE AMOUNTS)
(UNAUDITED)
|  | Three Months Ended June 30, |  | Six Months Ended June 30,
|  | 2022 |  | 2021 |  | 2022 |  | 2021
Revenue |  |  |  |  |  |  |  |
Capitation, net |  | $ | 227,623 |  |  | $ | 144,550 |  |  | $ | 449,682 |  |  | $ | 289,290 |
Risk pool settlements and incentives |  | 18,793 |  |  | 16,214 |  |  | 36,868 |  |  | 34,224 |
Management fee income |  | 9,984 |  |  | 8,143 |  |  | 20,457 |  |  | 16,693 |
Fee-for-service, net |  | 11,740 |  |  | 4,621 |  |  | 22,835 |  |  | 7,707 |
Other income |  | 1,557 |  |  | 2,110 |  |  | 3,112 |  |  | 3,782 |
Total revenue |  | 269,697 |  |  | 175,638 |  |  | 532,954 |  |  | 351,696 |
Operating expenses |  |  |  |  |  |  |  |
Cost of services, excluding depreciation and amortization |  | 230,070 |  |  | 136,214 |  |  | 450,798 |  |  | 276,829 |
General and administrative expenses |  | 19,894 |  |  | 14,199 |  |  | 31,837 |  |  | 23,663 |
Depreciation and amortization |  | 4,351 |  |  | 4,237 |  |  | 8,725 |  |  | 8,434 |
Total expenses |  | 254,315 |  |  | 154,650 |  |  | 491,360 |  |  | 308,926 |
Income from operations |  | 15,382 |  |  | 20,988 |  |  | 41,594 |  |  | 42,770 |
Other income (expense) |  |  |  |  |  |  |  |
Income (loss) from equity method investments |  | 1,512 |  |  | (3,134) |  |  | 2,945 |  |  | (3,812) |
Interest expense |  | (1,854) |  |  | (1,853) |  |  | (2,927) |  |  | (3,376) |
Interest income |  | 421 |  |  | 563 |  |  | 467 |  |  | 912 |
Unrealized (loss) gain on investments |  | (1,866) |  |  | 83,769 |  |  | (10,829) |  |  | 83,769 |
Other income (expense) |  | 3,034 |  |  | (15,883) |  |  | 3,647 |  |  | (14,579) |
Total other income (expense), net |  | 1,247 |  |  | 63,462 |  |  | (6,697) |  |  | 62,914 |
Income before provision for income taxes |  | 16,629 |  |  | 84,450 |  |  | 34,897 |  |  | 105,684 |
Provision for income taxes |  | 6,038 |  |  | 24,920 |  |  | 12,233 |  |  | 31,696 |
Net income |  | 10,591 |  |  | 59,530 |  |  | 22,664 |  |  | 73,988 |
Net (loss) income attributable to non-controlling interest |  | (808) |  |  | 46,872 |  |  | (2,999) |  |  | 48,179 |
Net income attributable to Apollo Medical Holdings, Inc. |  | $ | 11,399 |  |  | $ | 12,658 |  |  | $ | 25,663 |  |  | $ | 25,809 |
Earnings per share – basic |  | $ | 0.25 |  |  | $ | 0.29 |  |  | $ | 0.57 |  |  | $ | 0.60 |
Earnings per share – diluted |  | $ | 0.25 |  |  | $ | 0.28 |  |  | $ | 0.56 |  |  | $ | 0.58 |

Reconciliation of Net Income to EBITDA and Adjusted EBITDA |  |  |  |
|  | Three Months Ended June 30, |  | Six Months Ended June 30,
(in thousands) |  | 2022 |  | 2021 |  | 2022 |  | 2021
Net income |  | $ | 10,591 |  |  | $ | 59,530 |  |  | $ | 22,664 |  |  | $ | 73,988 |
Interest expense |  | 1,854 |  |  | 1,853 |  |  | 2,927 |  |  | 3,376 |
Interest income |  | (421) |  |  | (563) |  |  | (467) |  |  | (912) |
Provision for income taxes |  | 6,038 |  |  | 24,920 |  |  | 12,233 |  |  | 31,696 |
Depreciation and amortization |  | 4,351 |  |  | 4,237 |  |  | 8,725 |  |  | 8,434 |
EBITDA |  | 22,413 |  |  | 89,977 |  |  | 46,082 |  |  | 116,582 |
(Income) loss from equity method investments |  | (1,512) |  |  | 3,134 |  |  | (2,945) |  |  | 3,812 |
Other income |  | (3,034) |  | (1) | 15,883 |  |  | (3,647) |  | (1) | 14,579 |
Unrealized loss (gain) on investments |  | 1,866 |  |  | (83,769) |  |  | 10,829 |  |  | (83,769) |
Provider bonus payments |  | 401 |  |  | — |  |  | 401 |  |  | — |
Stock-based compensation |  | 3,920 |  |  | 1,556 |  |  | 6,975 |  |  | 2,902 |
APC excluded assets costs |  | 6,957 |  |  | 148 |  |  | 7,707 |  |  | 397 |
Net loss adjustment for recently acquired IPAs |  | 5,923 |  |  | 5,514 |  |  | 9,712 |  |  | 8,708 |
Adjusted EBITDA |  | $ | 36,934 |  |  | $ | 32,443 |  |  | $ | 75,114 |  |  | $ | 63,211 |

(1) Other income includes gain on sale of equity securities.

Guidance Reconciliation of Net Income to EBITDA and Adjusted EBITDA |  |  |  |
|  |  | 2022 Guidance Range
|  |  | (as of May 5, 2022)
(in thousands) |  |  |  |  |
|  |  | Low |  | High
Net income |  |  | $ | 38,000 |  |  | $ | 57,000 |
Interest expense |  |  | 4,000 |  |  | 4,000 |
Provision for income taxes |  |  | 20,000 |  |  | 31,000 |
Depreciation and amortization |  |  | 19,000 |  |  | 19,000 |
EBITDA |  |  | 81,000 |  |  | 111,000 |
Provider bonus payments |  |  | 16,000 |  |  | 16,000 |
Stock-based compensation |  |  | 13,000 |  |  | 13,000 |
APC excluded assets costs |  |  | 9,000 |  |  | 9,000 |
Net loss adjustment for recently acquired IPAs |  |  | 17,000 |  |  | 17,000 |
Adjusted EBITDA |  |  | $ | 136,000 |  |  | $ | 166,000 |

Use of Non-GAAP Financial Measures
This press release contains the non-GAAP financial measures EBITDA and Adjusted EBITDA, of which the most directly comparable financial measure presented in accordance with U.S. generally accepted accounting principles (“GAAP”) is net income. These measures are not in accordance with, or alternatives to GAAP, and may be different from other non-GAAP financial measures used by other companies. The Company uses Adjusted EBITDA as a supplemental performance measure of our operations, for financial and operational decision-making, and as a supplemental means of evaluating period-to-period comparisons on a consistent basis. Adjusted EBITDA is calculated as earnings before interest, taxes, depreciation, and amortization, excluding income or loss from equity method investments, unrealized gain or loss, provider bonuses, APC excluded assets costs, stock-based compensation, net loss adjustment for recently acquired IPAs, and other income or expenses recognized that are not related to the Company’s normal operations. Adjusted EBITDA also excludes the effect on EBITDA of certain IPAs we recently acquired.
The Company believes the presentation of these non-GAAP financial measures provides investors with relevant and useful information, as it allows investors to evaluate the operating performance of the business activities without having to account for differences recognized because of non-core or non-recurring financial information. When GAAP financial measures are viewed in conjunction with non-GAAP financial measures, investors are provided with a more meaningful understanding of the Company’s ongoing operating performance. In addition, these non-GAAP financial measures are among those indicators the Company uses as a basis for evaluating operational performance, allocating resources, and planning and forecasting future periods. Non-GAAP financial measures are not intended to be considered in isolation, or as a substitute for, GAAP financial measures. To the extent this release contains historical or future non-GAAP financial measures, the Company has provided corresponding GAAP financial measures for comparative purposes. The reconciliation between certain GAAP and non-GAAP measures is provided above.