Accessibility Statement Skip Navigation
  • Resources
  • Investor Relations
  • Journalists
  • Agencies
  • Client Login
  • Send a Release
Return to PR Newswire homepage
  • News
  • Products
  • Contact
Search
When typing in this field, a list of search results will appear and be automatically updated as you type.

Searching for your content...

No results found. Please change your search terms and try again.
  • News Releases view all

    • News in Focus
        • Browse News Releases

        • All News Releases
        • All Public Company
        • English-only
        • News Releases Overview

        • Multimedia Gallery

        • All Multimedia
        • All Photos
        • All Videos
        • Multimedia Gallery Overview

        • Trending Topics

        • All Trending Topics
    • Business & Money
        • Auto & Transportation

        • Aerospace, Defense
        • Air Freight
        • Airlines & Aviation
        • Automotive
        • Maritime & Shipbuilding
        • Railroads and Intermodal Transportation
        • Supply Chain/Logistics
        • Transportation, Trucking & Railroad
        • Travel
        • Trucking and Road Transportation
        • Auto & Transportation Overview

        • View All Auto & Transportation

        • Business Technology

        • Blockchain
        • Broadcast Tech
        • Computer & Electronics
        • Computer Hardware
        • Computer Software
        • Data Analytics
        • Electronic Commerce
        • Electronic Components
        • Electronic Design Automation
        • Financial Technology
        • High Tech Security
        • Internet Technology
        • Nanotechnology
        • Networks
        • Peripherals
        • Semiconductors
        • Business Technology Overview

        • View All Business Technology

        • Entertain­ment & Media

        • Advertising
        • Art
        • Books
        • Entertainment
        • Film and Motion Picture
        • Magazines
        • Music
        • Publishing & Information Services
        • Radio & Podcast
        • Television
        • Entertainment & Media Overview

        • View All Entertain­ment & Media

        • Financial Services & Investing

        • Accounting News & Issues
        • Acquisitions, Mergers and Takeovers
        • Banking & Financial Services
        • Bankruptcy
        • Bond & Stock Ratings
        • Conference Call Announcements
        • Contracts
        • Cryptocurrency
        • Dividends
        • Earnings
        • Earnings Forecasts & Projections
        • Financing Agreements
        • Insurance
        • Investments Opinions
        • Joint Ventures
        • Mutual Funds
        • Private Placement
        • Real Estate
        • Restructuring & Recapitalization
        • Sales Reports
        • Shareholder Activism
        • Shareholder Meetings
        • Stock Offering
        • Stock Split
        • Venture Capital
        • Financial Services & Investing Overview

        • View All Financial Services & Investing

        • General Business

        • Awards
        • Commercial Real Estate
        • Corporate Expansion
        • Earnings
        • Environmental, Social and Governance (ESG)
        • Human Resource & Workforce Management
        • Licensing
        • New Products & Services
        • Obituaries
        • Outsourcing Businesses
        • Overseas Real Estate (non-US)
        • Personnel Announcements
        • Real Estate Transactions
        • Residential Real Estate
        • Small Business Services
        • Socially Responsible Investing
        • Surveys, Polls and Research
        • Trade Show News
        • General Business Overview

        • View All General Business

    • Science & Tech
        • Consumer Technology

        • Artificial Intelligence
        • Blockchain
        • Cloud Computing/Internet of Things
        • Computer Electronics
        • Computer Hardware
        • Computer Software
        • Consumer Electronics
        • Cryptocurrency
        • Data Analytics
        • Electronic Commerce
        • Electronic Gaming
        • Financial Technology
        • Mobile Entertainment
        • Multimedia & Internet
        • Peripherals
        • Social Media
        • STEM (Science, Tech, Engineering, Math)
        • Supply Chain/Logistics
        • Wireless Communications
        • Consumer Technology Overview

        • View All Consumer Technology

        • Energy & Natural Resources

        • Alternative Energies
        • Chemical
        • Electrical Utilities
        • Gas
        • General Manufacturing
        • Mining
        • Mining & Metals
        • Oil & Energy
        • Oil and Gas Discoveries
        • Utilities
        • Water Utilities
        • Energy & Natural Resources Overview

        • View All Energy & Natural Resources

        • Environ­ment

        • Conservation & Recycling
        • Environmental Issues
        • Environmental Policy
        • Environmental Products & Services
        • Green Technology
        • Natural Disasters
        • Environment Overview

        • View All Environ­ment

        • Heavy Industry & Manufacturing

        • Aerospace & Defense
        • Agriculture
        • Chemical
        • Construction & Building
        • General Manufacturing
        • HVAC (Heating, Ventilation and Air-Conditioning)
        • Machinery
        • Machine Tools, Metalworking and Metallurgy
        • Mining
        • Mining & Metals
        • Paper, Forest Products & Containers
        • Precious Metals
        • Textiles
        • Tobacco
        • Heavy Industry & Manufacturing Overview

        • View All Heavy Industry & Manufacturing

        • Telecomm­unications

        • Carriers and Services
        • Mobile Entertainment
        • Networks
        • Peripherals
        • Telecommunications Equipment
        • Telecommunications Industry
        • VoIP (Voice over Internet Protocol)
        • Wireless Communications
        • Telecommunications Overview

        • View All Telecomm­unications

    • Lifestyle & Health
        • Consumer Products & Retail

        • Animals & Pets
        • Beers, Wines and Spirits
        • Beverages
        • Bridal Services
        • Cannabis
        • Cosmetics and Personal Care
        • Fashion
        • Food & Beverages
        • Furniture and Furnishings
        • Home Improvement
        • Household, Consumer & Cosmetics
        • Household Products
        • Jewelry
        • Non-Alcoholic Beverages
        • Office Products
        • Organic Food
        • Product Recalls
        • Restaurants
        • Retail
        • Supermarkets
        • Toys
        • Consumer Products & Retail Overview

        • View All Consumer Products & Retail

        • Entertain­ment & Media

        • Advertising
        • Art
        • Books
        • Entertainment
        • Film and Motion Picture
        • Magazines
        • Music
        • Publishing & Information Services
        • Radio & Podcast
        • Television
        • Entertainment & Media Overview

        • View All Entertain­ment & Media

        • Health

        • Biometrics
        • Biotechnology
        • Clinical Trials & Medical Discoveries
        • Dentistry
        • FDA Approval
        • Fitness/Wellness
        • Health Care & Hospitals
        • Health Insurance
        • Infection Control
        • International Medical Approval
        • Medical Equipment
        • Medical Pharmaceuticals
        • Mental Health
        • Pharmaceuticals
        • Supplementary Medicine
        • Health Overview

        • View All Health

        • Sports

        • General Sports
        • Outdoors, Camping & Hiking
        • Sporting Events
        • Sports Equipment & Accessories
        • Sports Overview

        • View All Sports

        • Travel

        • Amusement Parks and Tourist Attractions
        • Gambling & Casinos
        • Hotels and Resorts
        • Leisure & Tourism
        • Outdoors, Camping & Hiking
        • Passenger Aviation
        • Travel Industry
        • Travel Overview

        • View All Travel

    • Policy & Public Interest
        • Policy & Public Interest

        • Advocacy Group Opinion
        • Animal Welfare
        • Congressional & Presidential Campaigns
        • Corporate Social Responsibility
        • Domestic Policy
        • Economic News, Trends, Analysis
        • Education
        • Environmental
        • European Government
        • FDA Approval
        • Federal and State Legislation
        • Federal Executive Branch & Agency
        • Foreign Policy & International Affairs
        • Homeland Security
        • Labor & Union
        • Legal Issues
        • Natural Disasters
        • Not For Profit
        • Patent Law
        • Public Safety
        • Trade Policy
        • U.S. State Policy
        • Policy & Public Interest Overview

        • View All Policy & Public Interest

    • People & Culture
        • People & Culture

        • Aboriginal, First Nations & Native American
        • African American
        • Asian American
        • Children
        • Diversity, Equity & Inclusion
        • Hispanic
        • Lesbian, Gay & Bisexual
        • Men's Interest
        • People with Disabilities
        • Religion
        • Senior Citizens
        • Veterans
        • Women
        • People & Culture Overview

        • View All People & Culture

    • Explore Our Platform
    • Plan Campaigns
    • Create with AI
    • Distribute Press Releases
    • Report Results
    • Amplify Content
    • All Products
    • General Inquiries
    • Editorial Bureaus
    • Partnerships
    • Media Inquiries
    • Worldwide Offices
    • Hamburger menu
    • PR Newswire: news distribution, targeting and monitoring
    • Send a Release
      • ALL CONTACT INFO
      • Contact Us

        888-776-0942
        from 8 AM - 10 PM ET

    • Searching for your content...

      No results found. Please change your search terms and try again.

      News Releases

      view all
      Close menu
    • News
    • Products
    • Contact
      • Send a Release
      • Client Login
      • Resources
      • Blog
      • Journalists
      • RSS
      • 3 News in Focus
      • 5 Business & Money
      • 5 Science & Tech
      • 5 Lifestyle & Health
      • 1 Policy & Public Interest
      • 1 People & Culture
      • Send a Release
      • Client Login
      • Resources
      • Blog
      • Journalists
      • RSS
      • Explore Our Platform
      • Plan Campaigns
      • Create with AI
      • Distribute Press Releases
      • Report Results
      • Amplify Content
      • All Products
      • Send a Release
      • Client Login
      • Resources
      • Blog
      • Journalists
      • RSS
      • General Inquiries
      • Editorial Bureaus
      • Partnerships
      • Media Inquiries
      • Worldwide Offices
      • Send a Release
      • Client Login
      • Resources
      • Blog
      • Journalists
      • RSS
      Close submenu (News in Focus) News in Focus
      • Browse News Releases
      • Multimedia Gallery
      • Trending Topics
      Close submenu (Business & Money) Business & Money
      • Auto & Transportation
      • Business Technology
      • Entertain­ment & Media
      • Financial Services & Investing
      • General Business
      Close submenu (Science & Tech) Science & Tech
      • Consumer Technology
      • Energy & Natural Resources
      • Environ­ment
      • Heavy Industry & Manufacturing
      • Telecomm­unications
      Close submenu (Lifestyle & Health) Lifestyle & Health
      • Consumer Products & Retail
      • Entertain­ment & Media
      • Health
      • Sports
      • Travel
      Close submenu (Policy & Public Interest) Policy & Public Interest
      • Policy & Public Interest
      Close submenu (People & Culture) People & Culture
      • People & Culture

      Trupanion Reports Fourth Quarter and Full Year 2015 Results

      - Total revenue of $147.0 million in 2015, up 27% year-over-year (31% on a constant currency basis)

      - 291,818 total enrolled pets at year-end, up 26% year-over-year


      News provided by

      Trupanion, Inc.

      Feb 11, 2016, 04:05 ET

      Share this article

      Share this article


      Trupanion.com
      Trupanion.com
      Total Revenue by New vs. Existing Pets
      Total Revenue by New vs. Existing Pets

      SEATTLE, Feb. 11, 2016 /PRNewswire/ -- Trupanion, Inc. (NYSE:TRUP), a leading provider of medical insurance for cats and dogs, today announced financial results for the fourth quarter and full year ended December 31, 2015.

      "I'm very pleased with our performance in 2015 – financially, operationally and strategically we achieved the plans we established at the start of the year. Revenue growth for the year was a robust 31% in local currencies, led by strong new pet enrollments and strength in member retention," said Darryl Rawlings, Trupanion's Chief Executive Officer. "Beginning in the second half of the year, we demonstrated leverage in our fixed expenses – a key strategic priority.  We delivered this performance while accelerating the deployment of Trupanion Express.  In 2016, I'm excited about our opportunities to expand our Trupanion Express™ footprint and strengthen the competitive moats around our business."

      Full Year 2015 Financial and Business Highlights

      • Total revenue was $147.0 million, an increase of 27% compared to 2014 (31% on a constant currency basis).
      • Total enrolled pets (including pets from our other business segment) at December 31, 2015 was 291,818, up 26% from December 31, 2014.
      • Subscription business revenue was $133.4 million, an increase of 29% compared to 2014 (33% on a constant currency basis).
      • Subscription enrolled pets at December 31, 2015 was 272,636, up 27% from December 31, 2014.
      • Net loss was $(17.2) million, compared to a net loss of $(21.2) million in 2014.
      • Adjusted EBITDA was a loss of $(11.3) million, compared to a loss of $(10.3) million in 2014.
      • Trupanion Express™ was installed in over 500 hospitals as of the end of 2015.  Trupanion Express™ eliminates paperwork and allows Trupanion to pay veterinarians directly, often in less than 5 minutes.

      Fourth Quarter 2015 Financial and Business Highlights

      • Total revenue was $40.2 million, an increase of 26% compared to the fourth quarter of 2014 (31% on a constant currency basis).
      • The fourth quarter marked the 33rd quarter of sequential revenue growth since Trupanion entered the U.S. market.  In all 33 quarters, year-over-year growth exceeded 25%.
      • Subscription business revenue was $36.7 million, an increase of 28% compared to the fourth quarter of 2014 (33% on a constant currency basis).
      • Net loss was $(3.0) million, compared to a net loss of $(4.3) million in the fourth quarter of 2014.
      • Adjusted EBITDA was a loss of $(1.6) million, compared to a loss of $(2.9) million in the fourth quarter of 2014.

      Revenue by Quarter

      Conference Call 
      Trupanion's management will host a conference call today to review its fourth quarter and full year 2015 results and to discuss its financial outlook for 2016. The call is scheduled to begin at 1:30 p.m. PT/ 4:30 p.m. ET. A live webcast will be accessible through the Investor Relations section of Trupanion's website at http://investors.trupanion.com and will be archived online for 60 days upon completion of the conference call. Participants can access the conference call by dialing 1-866-311-7654 (United States), 1-855-669-9657 (Canada), or 1-412-902-4113 (International). A telephonic replay of the call will also be available, one hour after the completion of the call, by dialing 1-877-344-7529 (United States), 1-855-669-9658 (Canada), or 1-412-317-0088 (International) and entering the replay pin number: 10079762.

      About Trupanion 
      Trupanion is the leading provider of medical plans for cats and dogs throughout the United States and Canada. For almost two decades, Trupanion's medical plan has given pet owners peace of mind so they can focus on their pet's recovery, not financial stress. Trupanion is committed to providing pet owners with the highest value in pet medical insurance.  Trupanion is listed on the New York Stock Exchange under the symbol "TRUP". Trupanion was founded in 2000 and is headquartered in Seattle, WA.  Trupanion policies are issued, in the United States, by its wholly-owned insurance entity American Pet Insurance Company and, in Canada, by Omega General Insurance Company. For more information please visit Trupanion.com.

      Forward-Looking Statements 
      This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 relating to, among other things, expectations, plans, prospects and financial results for Trupanion, including, but not limited to, its expectations regarding its ability to execute its business plans and financial objectives and its future operating results and expenditures. These forward-looking statements are based upon the current expectations and beliefs of Trupanion's management as of the date of this press release, and are subject to certain risks and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. All forward-looking statements made in this press release are based on information available to Trupanion as of the date hereof, and Trupanion has no obligation to update these forward-looking statements.

      In particular, the following factors, among others, could cause results to differ materially from those expressed or implied by such forward-looking statements: the ability to achieve or maintain profitability and/or appropriate levels of cash flow; the accuracy of assumptions used in determining appropriate member acquisition expenditures; the severity and frequency of claims; fluctuations in the Canadian currency exchange rate; the ability to maintain high retention rates; the accuracy of assumptions used in pricing medical plan subscriptions and the ability to accurately estimate the impact of new products or offerings on claims frequency; actual claims expense exceeding estimates; regulatory and other constraints on the ability to institute, or the decision to otherwise delay, pricing modifications in response to changes in actual or estimated claims expense; the effectiveness and statutory or regulatory compliance of our Territory Partner model and of our Territory Partners, veterinarians and other third parties in recommending medical plan subscriptions to potential members; the ability to increase the number of Territory Partners and active hospitals; the ability to protect our proprietary and member information; the ability to maintain our culture and team; the ability to maintain the requisite amount of risk-based capital; the ability to protect and enforce Trupanion's intellectual property rights; third-party claims including litigation and regulatory actions; the ability to recognize benefits from investments in new solutions and enhancements to Trupanion's technology platform and website; and compliance by us and those referring us members with laws and regulations that apply to our business, including the sale of a pet medical plan.

      For a detailed discussion of these and other cautionary statements, please refer to the risk factors discussed in filings with the Securities and Exchange Commission (SEC), including but not limited to, Trupanion's Annual Report on Form 10-K for the year ended December 31, 2014 and any subsequently filed reports on Forms 10-Q and 8-K. All documents are available through the SEC's Electronic Data Gathering Analysis and Retrieval system at www.sec.gov or the Investor Relations section of Trupanion's website at http://investors.trupanion.com.

      Non-GAAP Financial Measures 
      Trupanion's stated results may include certain non-GAAP financial measures, including, without limitation, free cash flow, adjusted revenue, acquisition cost, net acquisition cost, cost of goods, variable expenses, fixed expenses and adjusted EBITDA. Adjusted EBITDA is a non-GAAP financial measure that Trupanion defines as net loss excluding stock-based compensation expense, depreciation and amortization expense, interest income, interest expense, change in fair value of warrant liabilities and income tax expense (benefit).

      Trupanion's non-GAAP financial measures may not provide information that is directly comparable to that provided by other companies in its industry as other companies in its industry may calculate or use non-GAAP financial measures differently. In addition, there are limitations in using non-GAAP financial measures because the non-GAAP financial measures are not prepared in accordance with GAAP, may be different from non-GAAP financial measures used by other companies and exclude expenses that may have a material impact on Trupanion's reported financial results. Further, stock-based compensation expense and other items used in the calculation of adjusted EBITDA have been and will continue to be for the foreseeable future significant recurring expenses in Trupanion's business. The presentation and utilization of non-GAAP financial measures is not meant to be considered in isolation or as a substitute for the directly comparable financial measures prepared in accordance with GAAP. Trupanion urges its investors to review the reconciliation of its non-GAAP financial measures to the most directly comparable GAAP financial measures in its consolidated financial statements, and not to rely on any single financial or operating measure to evaluate its business, which are included below and on Trupanion's Investors Relations website.

      Because of varying available valuation methodologies, subjective assumptions and the variety of equity instruments that can impact a company's non-cash expenses, Trupanion believes that providing non-GAAP financial measures such as acquisition cost, net acquisition cost and adjusted EBITDA that exclude stock-based compensation expense and, in the case of adjusted EBITDA the change in fair value of warrant liabilities, allows for more meaningful comparisons between its operating results from period to period. Trupanion excludes sign-up fee revenue from the calculation of adjusted revenue because it collects sign-up fee revenue from new members at the time of enrollment and considers it to be an offset to a portion of Trupanion's sales and marketing expenses. For this reason, Trupanion also nets sign-up fees with sales and marketing expenses in its calculation of net acquisition cost. Trupanion excludes changes in deferred revenue from the calculation of adjusted revenue in order to eliminate fluctuations caused by the timing of pet enrollment during the last month of any particular period in which such measures are being presented or utilized. Trupanion excludes the change in fair value of warrant liabilities from its calculation of adjusted EBITDA in order to eliminate fluctuations caused by changes in its stock price. Trupanion believes this allows it to calculate and present adjusted revenue, acquisition cost, net acquisition cost and the related financial measures it derives from them, as well as adjusted EBITDA, in a consistent manner across periods. Trupanion's management believes that the non-GAAP financial measures and the related financial measures derived from them are important tools for financial and operational decision-making and for evaluating operating results over different periods of time.

      Trupanion has not reconciled adjusted EBITDA guidance to net income (loss) guidance because it does not provide guidance for stock-based compensation expense, depreciation and amortization, interest income, interest expense, change in fair value of warrant liabilities or income tax expense (benefit), which are reconciling items between net income (loss) and adjusted EBITDA.  Accordingly, reconciliation to net income (loss) is not available without unreasonable effort.  For a reconciliation of historical non-GAAP financial measures to the nearest comparable GAAP measures, see the reconciliation tables included in this press release.

      Contacts: 

      Investors:  
      Laura Bainbridge, Addo Communications 
      310.829.5400 
      [email protected]

      Media: 
      Britta Gidican, Director, Public Relations 
      206.607.1930 
      [email protected]

      In 2015, the prior period financial data and metrics have been recast to reflect the movement of pets from the subscription business segment to the other business segment.

      Trupanion, Inc.

      Consolidated Statements of Operations

      (in thousands, except for share and per share data)














      Three Months Ended


      Years Ended


       December 31,


       December 31,



      2015



      2014



      2015



      2014








      (audited)

      Revenue:












      Subscription business

      $

      36,722


      $

      28,617


      $

      133,406


      $

      103,502

      Other business


      3,479



      3,251



      13,557



      12,408

      Total revenue


      40,201



      31,868



      146,963



      115,910

      Cost of revenue:












      Subscription business (1)


      29,856



      23,456



      109,428



      85,169

      Other business


      3,075



      2,888



      12,306



      10,867

         Total cost of revenue (2)


      32,931



      26,344



      121,734



      96,036

      Gross profit












      Subscription business


      6,866



      5,161



      23,978



      18,333

      Other business


      404



      363



      1,251



      1,541

      Total gross profit


      7,270



      5,524



      25,229



      19,874

      Operating expenses:












      Sales and marketing (1)


      3,919



      3,218



      15,231



      11,608

      Technology and development (1)


      2,533



      2,614



      11,215



      9,899

      General and administrative (1)


      3,798



      3,850



      15,558



      14,312

      Total operating expenses


      10,250



      9,682



      42,004



      35,819

      Operating loss


      (2,980)



      (4,158)



      (16,775)



      (15,945)

      Interest expense


      26



      103



      325



      6,726

      Other (income) expense, net


      (17)



      58



      (9)



      (1,487)

      Loss before income taxes


      (2,989)



      (4,319)



      (17,091)



      (21,184)

      Income tax expense (benefit)


      12



      (43)



      114



      (7)

      Net loss

      $

      (3,001)


      $

      (4,276)


      $

      (17,205)


      $

      (21,177)













      Net loss per share:












          Basic and diluted

      $

      (0.11)


      $

      (0.16)


      $

      (0.62)


      $

      (1.64)

      Weighted-average shares used to compute net loss per share:












         Basic and diluted


      27,856,450



      27,231,651



      27,638,443



      12,934,477













      (1)Includes stock-based compensation expense as follows:













      Three Months Ended


      Years Ended


       December 31,


       December 31,



      2015



      2014



      2015



      2014

      Cost of revenue

      $

      68


      $

      91


      $

      263


      $

      315

      Sales and marketing 


      104



      147



      446



      553

      Technology and development


      93



      155



      404



      461

      General and administrative


      388



      497



      1,889



      2,755

      Total stock-based compensation expense

      $

      653


      $

      890


      $

      3,002


      $

      4,084













      (2)The breakout of cost of revenue between claims expense and other cost of revenue is as follows:




















      Three Months Ended


      Years Ended


       December 31,


       December 31,



      2015



      2014



      2015



      2014

      Claims expense

      $

      27,883


      $

      22,094


      $

      103,324


      $

      79,913

      Other cost of revenue


      5,048



      4,250



      18,410



      16,123

           Total cost of revenue

      $

      32,931


      $

      26,344


      $

      121,734


      $

      96,036

      Trupanion, Inc.

      Consolidated Balance Sheets

      (in thousands, except for share data)






      Years Ended


        December 31,


      2015


      2014




      (audited)

      Assets




      Current assets:




      Cash and cash equivalents

      $ 17,956


      $ 53,098

      Short-term investments

      25,288


      22,371

      Accounts and other receivables

      8,196


      7,887

      Prepaid expenses and other assets

      2,193


      1,299

      Total current assets

      53,633


      84,655

      Long-term investments, at fair value

      2,388


      942

      Equity method investment

      300


      -

      Property and equipment, net

      9,719


      7,862

      Intangible assets, net

      4,854


      4,847

      Other long term assets

      23


      -

      Total assets

      $ 70,917


      $ 98,306

      Liabilities and stockholders' equity




      Current liabilities:




      Accounts payable

      $   1,289


      $   1,962

      Accrued liabilities

      4,189


      4,607

      Claims reserve

      6,274


      5,107

      Deferred revenue

      11,042


      9,345

      Other payables

      823


      1,523

      Total current liabilities

      23,617


      22,544

      Long-term debt

      -


      14,900

      Deferred tax liabilities

      1,433


      1,495

      Other liabilities

      511


      92

      Total liabilities

      25,561


      39,031

      Stockholders' equity:




      Common stock, $0.00001 par value per share, 200,000,000 shares authorized at December 31, 2015
      and December 31, 2014, 29,017,168 and 28,396,189 issued and outstanding at December 31, 2015;
      28,451,920 and 27,83,941 shares issued and outstanding at December 31, 2014.

      -


      -

      Preferred stock: $0.00001 par value per share, 10,000,000 authorized at December 31, 2015 and
      December 31, 2014, and 0 issued and outstanding at December 31, 2015 and December 31, 2014.

      -


      -

      Additional paid-in capital

      122,844


      119,045

      Accumulated other comprehensive (loss) income

      (502)


      11

      Accumulated deficit

      (74,385)


      (57,180)

      Treasury stock, at cost: 620,979 shares at December 31, 2015 and December 31, 2014.

      (2,601)


      (2,601)

      Total stockholders' equity

      45,356


      59,275

      Total liabilities and stockholders' equity

      $ 70,917


      $ 98,306

      Trupanion, Inc.

      Consolidated Statements of Cash Flows

      (in thousands)






      Three Months Ended


      Years Ended


       December 31,


       December 31,


      2015


      2014


      2015


      2014






      (audited)

      Operating activities








      Net loss

      $  (3,001)


      $  (4,276)


      $ (17,205)


      $ (21,177)

      Adjustments to reconcile net loss to cash used in operating activities:








      Depreciation and amortization

      741


      441


      2,542


      1,674

      Amortization of debt discount and prepaid loan fee

      16


      -


      21


      5,033

      Warrant income

      -


      -


      -


      (1,574)

      Stock-based compensation expense

      653


      890


      3,002


      4,084

      Other

      2


      2


      (89)


      57

      Changes in operating assets and liabilities:








      Accounts receivable

      176


      703


      (328)


      (126)

      Prepaid expenses and other current assets

      (37)


      87


      (905)


      (369)

      Accounts payable

      (18)


      298


      (347)


      449

      Accrued liabilities

      (2)


      863


      51


      551

      Claims reserve

      114


      (305)


      1,241


      (505)

      Deferred revenue

      470


      53


      1,779


      877

      Other payables

      228


      54


      (187)


      225

      Net cash used in operating activities

      (658)


      (1,190)


      (10,425)


      (10,801)

      Investing activities








      Purchases of investment securities

      (8,718)


      (8,438)


      (24,800)


      (34,894)

      Maturities of investment securities

      6,600


      5,362


      20,180


      28,601

      Purchases of property and equipment

      (1,077)


      (1,533)


      (4,894)


      (5,633)

      Equity method investment

      -


      -


      (300)


      -

      Other

      (109)


      -


      (109)


      -

      Net cash used in investing activities

      (3,304)


      (4,609)


      (9,923)


      (11,926)

      Financing activities








      Restricted cash

      -


      -


      -


      3,000

      Tax withholding on restricted stock

      -


      -


      (643)


      -

      Proceeds from exercise of stock options

      421


      50


      1,335


      211

      Repayment of debt financing

      -


      -


      (14,900)


      (15,000)

      Other financing costs

      -


      -


      -


      (103)

      Net proceeds from initial public offering

      -


      (191)


      -


      72,755

      Net cash provided by (used in) financing activities

      421


      (141)


      (14,208)


      60,863

      Effect of foreign exchange rates on cash, net

      (191)


      (31)


      (586)


      23

      Net change in cash and cash equivalents

      (3,732)


      (5,971)


      (35,142)


      38,159

      Cash and cash equivalents at beginning of period

      21,688


      59,069


      53,098


      14,939

      Cash and cash equivalents at end of period

      $ 17,956


      $ 53,098


      $  17,956


      $  53,098

      The following tables set forth our key financial and operating metrics:


















      Years Ended














       December 31,














      2015


      2014













      Total pets enrolled (at period end)

      291,818


      232,450













      Total subscription pets enrolled (at period end)

      272,636


      215,491













      Monthly adjusted revenue per pet

      $     45.04


      $     44.14













      Lifetime value of a pet

      $        591


      $        591













      Average pet acquisition cost

      $        132


      $        121













      Average monthly retention

      98.64%


      98.69%













      Adjusted EBITDA (in thousands)

      $ (11,297)


      $ (10,349)






























      Three Months Ended


      Dec. 31, 2015


      Sept. 30, 2015


      Jun. 30, 2015


      Mar. 31, 2015


      Dec. 31, 2014


      Sept. 30, 2014


      Jun. 30, 2014


      Mar. 31, 2014

      Total pets enrolled (at period end)

      291,818


      276,988


      259,948


      246,106


      232,450


      221,479


      207,969


      194,902

      Total subscription pets enrolled (at period end)

      272,636


      258,546


      241,808


      228,409


      215,491


      205,194


      192,338


      179,819

      Monthly adjusted revenue per pet

      $     45.48


      $     45.15


      $    45.10


      $    44.34


      $    44.79


      $    44.88


      $    43.60


      $    43.07

      Lifetime value of a pet (LVP)

      $        591


      $        591


      $       570


      $       567


      $       591


      $       580


      $       602


      $       612

      Average pet acquisition cost (PAC)

      $        132


      $        129


      $       133


      $       134


      $       145


      $       115


      $       114


      $       113

      Average monthly retention

      98.64%


      98.66%


      98.67%


      98.66%


      98.69%


      98.67%


      98.65%


      98.65%

      Adjusted EBITDA (in thousands)

      $   (1,588)


      $   (3,211)


      $  (3,165)


      $  (3,333)


      $  (2,903)


      $  (2,908)


      $  (2,459)


      $  (2,079)

      The following table reflects the reconciliation of cash used in operating activities to free cash flow (in thousands):










      Three Months Ended


      Years Ended


      December 31,


      December 31,


      2015


      2014


      2015


      2014

      Net cash used in operating activities

      $    (658)


      $ (1,190)


      $ (10,425)


      $ (10,801)

      Purchases of property and equipment

      (1,077)


      (1,533)


      (4,894)


      (5,633)

      Free cash flow

      $ (1,735)


      $ (2,723)


      $ (15,319)


      $ (16,434)

      The following table reflects the reconciliation of GAAP measures to non-GAAP measures (in thousands, except percentages):
















      Three Months Ended
      December 31,


      Twelve Months Ended
      December 31,



      2015


      2014


      2015


      2014

      Claims expense


      $

      27,883


      $

      22,094


      $

      103,324


      $

      79,913

      Stock-based compensation expense



      (59)



      (67)



      (219)



      (236)

      Cost of goods


      $

      27,824


      $

      22,027


      $

      103,105


      $

      79,677

      % of revenue



      69.2%



      69.1%



      70.2%



      68.7%














      Other cost of revenue


      $

      5,048


      $

      4,250


      $

      18,410


      $

      16,123

      Stock-based compensation expense



      (9)



      (24)



      (44)



      (79)

      Variable expenses


      $

      5,039


      $

      4,226


      $

      18,366


      $

      16,044

      % of revenue



      12.5%



      13.3%



      12.5%



      13.8%














      Subscription business gross profit


      $

      6,866


      $

      5,161


      $

      23,978


      $

      18,333

      Stock-based compensation expense



      68



      91



      263



      315

      Non-GAAP subscription business gross profit


      $

      6,934


      $

      5,252


      $

      24,241


      $

      18,648

      % of subscription revenue



      18.9%



      18.4%



      18.2%



      18.0%














      Gross profit


      $

      7,270


      $

      5,524


      $

      25,229


      $

      19,874

      Stock-based compensation expense



      68



      91



      263



      315

      Non-GAAP gross profit


      $

      7,338


      $

      5,615


      $

      25,492


      $

      20,189

      % of revenue



      18.3%



      17.6%



      17.3%



      17.4%














      General and administrative expense


      $

      3,798


      $

      3,850


      $

      15,558


      $

      14,312

      Technology and development expense



      2,533



      2,614



      11,215



      9,899

      Depreciation expense



      (741)



      (441)



      (2,542)



      (1,675)

      Stock-based compensation expense



      (481)



      (652)



      (2,293)



      (3,216)

      Fixed expenses


      $

      5,109


      $

      5,371


      $

      21,938


      $

      19,320

      % of revenue



      12.7%



      16.9%



      14.9%



      16.7%














      Sales and marketing expense


      $

      3,919


      $

      3,218


      $

      15,231


      $

      11,608

      Stock-based compensation expense



      (104)



      (147)



      (446)



      (553)

      Acquisition cost


      $

      3,815


      $

      3,071


      $

      14,785


      $

      11,055

      % of revenue



      9.5%



      9.6%



      10.1%



      9.5%

      The following tables reflect the reconciliation of adjusted revenue to revenue (in thousands):




















      Years Ended















       December 31,















      2015


      2014













      Revenue


      $ 146,963


      $ 115,910













      Excluding:

















      Other business revenue


      (13,557)


      (12,408)













      Change in deferred revenue


      1,450


      978













      Sign-up fee revenue


      (1,983)


      (1,572)













      Adjusted revenue


      $ 132,873


      $ 102,908
































      Three Months Ended



      Dec. 31, 2015


      Sept. 30, 2015


      Jun. 30, 2015


      Mar. 31, 2015


      Dec. 31, 2014


      Sept. 30, 2014


      Jun. 30, 2014


      Mar. 31, 2014

      Revenue


      $   40,201


      $   37,865


      $ 35,587


      $ 33,310


      $ 31,868


      $ 30,312


      $ 28,090


      $ 25,640

      Excluding:

















      Other business revenue


      (3,479)


      (3,445)


      (3,379)


      (3,254)


      (3,251)


      (3,200)


      (3,178)


      (2,779)

      Change in deferred revenue


      378


      423


      321


      328


      247


      385


      84


      262

      Sign-up fee revenue


      (506)


      (542)


      (451)


      (484)


      (363)


      (425)


      (407)


      (377)

      Adjusted revenue


      $   36,594


      $   34,301


      $ 32,078


      $ 29,900


      $ 28,501


      $ 27,072


      $ 24,589


      $ 22,746

      The following tables reflect the reconciliation of acquisition cost and net acquisition cost to sales and marketing expense (in thousands):




















      Years Ended















       December 31,















      2015


      2014













      Sales and marketing expenses


      $ 15,231


      $ 11,608













      Excluding:

















      Stock-based compensation expense


      (446)


      (553)













      Acquisition cost


      14,785


      11,055













      Net of:

















      Sign-up fee revenue


      (1,983)


      (1,572)













      Other business segment sales and marketing expense


      (80)


      (124)













      Net acquisition cost


      $ 12,722


      $   9,359
































      Three Months Ended



      Dec. 31, 2015


      Sept. 30,

      2015


      Jun. 30,

       2015


      Mar. 31,

       2015


      Dec. 31,

       2014


      Sept. 30,

      2014


      Jun. 30,

       2014


      Mar. 31,

      2014

      Sales and marketing expenses


      $   3,919


      $   4,128


      $ 3,533


      $ 3,651


      $ 3,218


      $  2,934


      $ 2,810


      $ 2,646

      Excluding:

















      Stock-based compensation expense


      (104)


      (102)


      (110)


      (130)


      (147)


      (115)


      (144)


      (149)

      Acquisition cost


      3,815


      4,026


      3,423


      3,521


      3,071


      2,819


      2,666


      2,497

      Net of:

















      Sign-up fee revenue


      (506)


      (542)


      (451)


      (484)


      (363)


      (425)


      (407)


      (377)

      Other business segment sales and marketing expense


      (8)


      (16)


      (30)


      (26)


      (30)


      (22)


      (28)


      (44)

      Net acquisition cost


      $   3,301


      $   3,468


      $ 2,942


      $ 3,011


      $ 2,678


      $  2,372


      $ 2,231


      $ 2,076

      The following tables reflect the reconciliation of adjusted EBITDA to net loss (in thousands):




















      Years Ended















       December 31,















      2015


      2014













      Net loss


      $ (17,205)


      $ (21,177)













      Excluding:

















      Stock-based compensation expense


      3,002


      4,084













      Depreciation and amortization expense


      2,542


      1,675













      Interest income


      (75)


      (74)













      Interest expense


      325


      6,726













      Change in fair value of warrant liabilities


      -


      (1,575)













      Income tax expense


      114


      (8)













      Adjusted EBITDA


      $ (11,297)


      $ (10,349)
































      Three Months Ended



      Dec. 31, 2015


      Sept. 30, 2015


      Jun. 30, 2015


      Mar. 31, 2015


      Dec. 31, 2014


      Sept. 30, 2014


      Jun. 30, 2014


      Mar. 31, 2014

      Net loss


      $   (3,001)


      $   (4,643)


      $ (4,625)


      $ (4,936)


      $ (4,276)


      $ (8,509)


      $ (3,479)


      $ (4,913)

      Excluding:

















      Stock-based compensation expense


      653


      749


      897


      703


      890


      2,001


      626


      567

      Depreciation and amortization expense


      741


      672


      563


      566


      441


      505


      419


      310

      Interest income


      (19)


      (19)


      (18)


      (19)


      (18)


      (20)


      (18)


      (18)

      Interest expense


      26


      14


      40


      245


      103


      5,155


      726


      742

      Change in fair value of warrant liabilities


      -


      -


      -


      -


      -


      (2,054)


      (740)


      1,219

      Income tax expense (benefit)


      12


      16


      (22)


      108


      (43)


      14


      7


      14

      Adjusted EBITDA


      $   (1,588)


      $   (3,211)


      $ (3,165)


      $ (3,333)


      $ (2,903)


      $ (2,908)


      $ (2,459)


      $ (2,079)

      The following table reflects 2014 results by quarter after the reclassification of certain pets from the subscription business segment  to the other business segment (in thousands):












      Three Months Ended



      Dec. 31,


      Sept. 30,


      Jun. 30,


      Mar. 31,



      2014


      2014


      2014


      2014

      Revenue:









      Subscription business


      $ 28,617


      $ 27,112


      $ 24,912


      $ 22,861

      Other business


      3,251


      3,200


      3,178


      2,779

      Total revenue


      31,868


      30,312


      28,090


      25,640

      Cost of revenue:









      Subscription business 


      23,456


      23,051


      20,273


      18,388

      Other business


      2,888


      2,816


      2,667


      2,496

      Total cost of revenue


      26,344


      25,867


      22,940


      20,884

      Gross profit:









      Subscription business


      5,161


      4,061


      4,639


      4,473

      Other business


      363


      384


      511


      283

      Total gross profit


      5,524


      4,445


      5,150


      4,756

      Operating expenses:









      Sales and marketing 


      3,218


      2,934


      2,810


      2,646

      Technology and development 


      2,614


      2,532


      2,553


      2,200

      General and administrative 


      3,850


      4,385


      3,292


      2,786

      Total operating expenses


      9,682


      9,851


      8,655


      7,632

      Operating loss


      (4,158)


      (5,406)


      (3,505)


      (2,876)

      Interest expense


      103


      5,155


      726


      736

      Other expense, net


      58


      (2,066)


      (759)


      1,286

      Loss before income taxes


      (4,319)


      (8,495)


      (3,472)


      (4,898)

      Income tax (benefit) expense


      (43)


      14


      7


      15

      Net loss


      $  (4,276)


      $  (8,509)


      $  (3,479)


      $  (4,913)

      Photo - http://photos.prnewswire.com/prnh/20160210/332126

      Logo - http://photos.prnewswire.com/prnh/20141030/155651LOGO

      SOURCE Trupanion, Inc.

      Modal title

      Also from this source

      Doubling Down for Canada's Pups: The Canadian Kennel Club and the Nation's Top Pet Insurer, Trupanion, Reaffirms Alliance to Give Puppies the Best Start

      Doubling Down for Canada's Pups: The Canadian Kennel Club and the Nation's Top Pet Insurer, Trupanion, Reaffirms Alliance to Give Puppies the Best Start

      Trupanion (Nasdaq: TRUP), the leading medical insurance provider for cats and dogs in the North America, and the Canadian Kennel Club (CKC) are...

      More Releases From This Source

      Explore

      Banking & Financial Services

      Banking & Financial Services

      Insurance

      Insurance

      Health Care & Hospitals

      Health Care & Hospitals

      Health Insurance

      Health Insurance

      News Releases in Similar Topics

      Contact PR Newswire

      • Call PR Newswire at 888-776-0942
        from 8 AM - 9 PM ET
      • Chat with an Expert
      • General Inquiries
      • Editorial Bureaus
      • Partnerships
      • Media Inquiries
      • Worldwide Offices

      Products

      • Explore Our Platform
      • Plan Campaigns
      • Create with AI
      • Distribute Press Releases
      • Report Results
      • Amplify Content

      About

      • About PR Newswire
      • About Cision
      • Careers
      • Accessibility Statement
      • APAC
      • APAC - Simplified Chinese
      • APAC - Traditional Chinese
      • Brazil
      • Canada
      • Czech
      • Denmark
      • Finland
      • France
      • Germany
      • India
      • Indonesia
      • Israel
      • Italy
      • Japan
      • Korea
      • Mexico
      • Middle East
      • Middle East - Arabic
      • Netherlands
      • Norway
      • Poland
      • Portugal
      • Russia
      • Slovakia
      • Spain
      • Sweden
      • United Kingdom
      • Vietnam

      My Services

      • All New Releases
      • Platform Login
      • Data Privacy

      Do not sell or share my personal information:

      • Submit via [email protected] 
      • Call Privacy toll-free: 877-297-8921

      Contact PR Newswire

      Products

      About

      My Services
      • All News Releases
      • Platform Login
      • ProfNet
      Call PR Newswire at
      888-776-0942
      • Terms of Use
      • Privacy Policy
      • Information Security Policy
      • Site Map
      • RSS
      • Cookies
      Copyright © 2026 Cision US Inc.