Yext, Inc. Announces Third Quarter Fiscal 2018 Results

NEW YORK, Nov. 30, 2017 /PRNewswire/ -- Yext, Inc. (NYSE: YEXT), the leader in digital knowledge management, today announced its results for the three months ended October 31, 2017, or the Company's third quarter of fiscal 2018.

"We are very pleased with our results this quarter, highlighted by revenue growth of 39% over the third quarter last year and the continued expansion of our gross margins, which increased 290 basis points over the year ago quarter," said Howard Lerman, Co-Founder and Chief Executive Officer of Yext.

"We experienced record attendance at our recent ONWARD user conference, where this year's theme was the Intelligent Future. A world-class line-up of speakers, including technology leaders from Amazon, Google, Microsoft and others, discussed how artificial intelligence, machine learning and voice search are revolutionizing the way businesses need to engage with their customers. Yext is ideally positioned to provide our customers with the tools and resources they need to respond to the Intelligent Future.

"With the launch of our new services, such as Yext for Food and Yext for Events, and new features, like Yext Knowledge Assistant - which lets companies keep all of their critical information up to date through a conversational user interface - our addressable market continues to grow and we continue to make it even easier for customers to work with Yext. We continue to believe we are well positioned for long-term success."

Third Quarter Fiscal 2018 Highlights:

    --  Revenue of $44.3 million, a 39% increase as compared to the $31.9
        million reported in third quarter fiscal 2017.  The revenue increase was
        primarily due to the continued growth of our customer base and higher
        revenue from existing customers, primarily due to expanded
        subscriptions.
    --  Gross Profit of $32.7 million, a 45% increase as compared to the $22.6
        million reported in third quarter fiscal 2017.  Gross margin of 73.7% as
        compared to the 70.8% reported in third quarter fiscal 2017.
    --  Net Loss and Non-GAAP Net Loss:
        --  Net loss of $17.1 million as compared to the $10.2 million net loss
            in third quarter fiscal 2017.  The increased loss was driven by
            increased operating expenses, primarily in sales and marketing, due
            to efforts to acquire new customers.
        --  Non-GAAP net loss of $11.1 million as compared to the $7.7 million
            non-GAAP net loss in the third quarter fiscal 2017.
    --  Net Loss Per Share and Non-GAAP Net Loss Per Share:
        --  Net loss per share of $0.19 based on 90.4 million weighted-average
            shares outstanding, compared to the net loss per share of $0.33
            based on 31.1 million weighted-average shares outstanding in the
            third quarter fiscal 2017.
        --  Non-GAAP net loss per share of $0.12 based on 90.4 million
            weighted-average shares outstanding at quarter end, as compared to
            the $0.25 non-GAAP net loss per share in the third quarter fiscal
            2017 based on 31.1 million weighted-average shares outstanding at
            quarter end.
        --  Readers are encouraged to review the tables labeled "Reconciliation
            of GAAP to Non-GAAP Financial Measures" at the end of this release.
    --  Balance Sheet:  Cash, cash equivalents and marketable securities of
        $113.5 million as of October 31, 2017.
    --  Cash Flow:  Cash used in operating activities for the third quarter of
        fiscal 2018 was $16.4 million as compared to cash used in operating
        activities of $9.0 million in the same period in fiscal 2017.  The
        higher use of cash in the current period reflects a greater use from
        working capital, driven primarily by a higher balance in accounts
        receivable due to the timing of new business signed during the quarter.

Third Quarter Fiscal 2018 and Other Recent Business Highlights:

    --  Managed approximately 27.1 million attributes through approximately 1.4
        million licenses(1) to Yext's digital knowledge platform as of October
        31, 2017, representing increases of 66% and 58%, respectively, as
        compared to October 31, 2016.
    --  Announced the appointment of Tamar Yehoshua, Google's Vice President of
        Product Management for Search, to the Company's Board of Directors.
    --  Expanded the capabilities of the Yext App Directory through additional
        integrations with the world's leading business technologies, including
        Salesforce, StoreForce, Trabon, Radar, Dasheroo, Tiger Pistol and
        Hotfrog.  The Yext App Directory allows customers to connect the digital
        knowledge they are managing within Yext to other software systems used
        across their enterprise.
    --  Expanded the global reach of the industry-leading PowerListings(®)
        Network with new publishing partners in North America (Public
        Reputation, YellowPages.ca), South America (Paginas Amarillas), and
        Europe (golocal, Meinungsmeister), and enhanced the Reviews service by
        launching monitoring with TripAdvisor.
    --  Awarded a Best in Biz International Award (silver) for Enterprise
        Product of the Year in Software.
    --  Named one of the 100 Best Workplaces for Women by Great Place to
        Work(®) and Fortune Magazine.

(1. The term licenses represents the number of entities subscribed to the Yext Knowledge Manager, and includes not only the number of physical locations but also the number of persons and other entities managed with our platform, such as physicians, wealth advisors, insurance agents, etc. It is comparable to previous disclosures under the term locations and was changed to reflect the broadening of our business into new services as well as our current pricing methodology.)

Financial Outlook:

Yext is also providing the following guidance for its fourth fiscal quarter ending January 31, 2018 and the fiscal year ending January 31, 2018.

    --  Fourth Quarter Fiscal 2018 Outlook:
        --  Revenue is projected to be $47.3 million to $48.3 million.
        --  Non-GAAP net loss per share is projected to be $0.10 to $0.12, which
            assumes 91.9 million weighted-average shares outstanding.
    --  Full Year Fiscal 2018 Outlook:
        --  Revenue is projected to be $169.5 million to $170.5 million.
        --  Non-GAAP net loss per share is projected to be $0.48 to $0.50, which
            assumes 93.2 million non-GAAP shares outstanding.
        --  Readers are encouraged to review the tables labeled "Reconciliation
            of GAAP to Non-GAAP Financial Measures" at the end of this release.

Conference Call Information
Yext will host a conference call at 5:00 P.M. Eastern Time (2:00 P.M. Pacific Time) today to discuss its financial results. To join, participants may call 1.877.883.0383 (U.S. callers) or 1.412.902.6506 (international callers) using conference ID number 9855093. A live audio webcast of the call will also be available on the Investor Relations section of the Company's website at investors.yext.com. A replay of the call will be available until December 7, 2017 at 11:59 P.M. Eastern Time by dialing 1.877.344.7529 (U.S. callers) or 1.412.317.0088 (international) and entering passcode 10114295.

About Yext
Yext is pioneering a new category called Digital Knowledge Management, which gives businesses control of all of the public facts that they want consumers to know across the intelligent ecosystem. The Yext Knowledge Engine(TM) lets companies manage their digital knowledge in the cloud and sync it to over 100 services in the PowerListings(®) Network. Yext Listings, Pages, and Reviews help businesses around the globe to facilitate face-to-face and digital interactions that boost brand awareness, drive foot traffic, and increase sales.

Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995
This release includes forward-looking statements including, but not limited to, statements regarding our revenue and non-GAAP net loss and shares outstanding for our fourth quarter of fiscal 2018 and full-year fiscal 2018 in the paragraphs under "Financial Outlook" above, and other statements regarding our expectations regarding the growth of our company and our industry. In some cases, you can identify forward-looking statements by terminology such as "may," "will," "should," "could," "expect," "plan," "anticipate," "believe," "estimate," "predict," "intend," "potential," "might," "would," "continue," or the negative of these terms or other comparable terminology. Actual events or results may differ from those expressed in these forward-looking statements, and these differences may be material and adverse.

We have based the forward-looking statements contained in this release primarily on our current expectations and projections about future events and trends that we believe may affect our business, financial condition, results of operations, strategy, short- and long-term business operations, prospects, business strategy and financial needs. Our actual results could differ materially from those stated or implied in forward-looking statements due to a number of factors, including, but not limited to, our ability to renew existing customers and attract new customers; our ability to successfully compete in new geographies; our ability to recruit and retain our enterprise-level sales force; our ability to expand our publishing network to obtain new partners; our ability to develop new product and platform offerings; our ability to manage our growth effectively; and the number of options exercised by our employees and former employees. For a detailed discussion of these and other risk factors, please refer to the risks detailed in our filings with the Securities and Exchange Commission, including, without limitation, our most recent Quarterly Report on Form 10-Q, which is available at http://investors.yext.com and on the SEC's website at http://sec.gov. Further information on potential risks that could affect actual results will be included in other filings we make with the SEC from time to time. Moreover, we operate in a very competitive and rapidly changing environment. New risks and uncertainties emerge from time to time and it is not possible for us to predict all risks and uncertainties that could have an impact on the forward-looking statements contained in this release. We cannot assure you that the results, events and circumstances reflected in the forward-looking statements will be achieved or occur, and actual results, events or circumstances could differ materially from those described in the forward-looking statements.

The forward-looking statements made in this release relate only to events as of the date on which such statements are made. We undertake no obligation to update any forward-looking statements after the date hereof or to conform such statements to actual results or revised expectations, except as required by law.

Non-GAAP Measurements
In addition to disclosing financial measures prepared in accordance with U.S. generally accepted accounting principles (GAAP), this press release and the accompanying tables include non-GAAP net loss and non-GAAP net loss per share. Non-GAAP net loss and non-GAAP net loss per share are financial measures that are not calculated in accordance with GAAP. We define these non-GAAP financial measures as our GAAP net loss as adjusted to exclude the effects of stock-based compensation expenses. We believe these non-GAAP financial measures provide investors and other users of our financial information consistency and comparability with our past financial performance and facilitate period-to-period comparisons of our results of operations. We also believe these non-GAAP financial measures are useful in evaluating our operating performance compared to that of other companies in our industry, as these metrics eliminate the effects of stock-based compensation, which may vary for reasons unrelated to overall operating performance.

We use these non-GAAP financial measures in conjunction with traditional GAAP measures as part of our overall assessment of our performance, including the preparation of our annual operating budget and quarterly forecasts, to evaluate the effectiveness of our business strategies and to communicate with our Board of Directors concerning our financial performance. Our definition may differ from the definitions used by other companies and therefore comparability may be limited. In addition, other companies may not publish this or similar metrics. Thus, our non-GAAP financial measures should be considered in addition to, not as a substitute for, nor superior to or in isolation from, measures prepared in accordance with GAAP.

These non-GAAP financial measures may be limited in their usefulness because they do not present the full economic effect of our use of stock-based compensation. We compensate for these limitations by providing investors and other users of our financial information a reconciliation of non-GAAP net loss to net loss and non-GAAP net loss per share to net loss per share, the most closely related GAAP financial measures. However, we have not reconciled the non-GAAP guidance measures disclosed under "Financial Outlook" to their corresponding GAAP measures because certain reconciling items such as stock-based compensation and the corresponding provision for income taxes depend on factors such as the stock price at the time of award of future grants and thus cannot be reasonably predicted. Accordingly, reconciliations to the non-GAAP guidance measures is not available without unreasonable effort. We encourage investors and others to review our financial information in its entirety, not to rely on any single financial measure and to view non-GAAP net loss and non-GAAP net loss per share in conjunction with net loss and net loss per share.

For Further Information Contact:
James Hart
Yext Investor Relations
212.994.6768
IR@yext.com


                                                          YEXT, INC.


                                             Condensed Consolidated Balance Sheets

                                        (In thousands, except share and per share data)

                                                          (unaudited)


                                                         October 31,               January 31,
                                                                2017                       2017
                                                                ----                       ----

    Assets

    Current assets:

    Cash and cash equivalents                                            $21,112                           $24,420

    Marketable securities                                     92,358                                     -

    Accounts receivable, net of
     allowances of $118 and $189,
     respectively                                             23,861                                27,646

    Prepaid expenses and other current
     assets                                                    5,551                                 3,511

    Deferred commissions                                       6,633                                 6,252
                                                               -----                                 -----

    Total current assets                                     149,515                                61,829

    Restricted cash                                                -                                  500

    Property and equipment, net                               11,496                                11,613

    Goodwill                                                   4,701                                 4,444

    Intangible assets, net                                     2,763                                 3,128

    Other long term assets                                     3,442                                 4,951
                                                               -----                                 -----

    Total assets                                                        $171,917                           $86,465
                                                                        ========                           =======

    Liabilities, convertible preferred stock and
     stockholders' equity (deficit)

    Current liabilities:

    Accounts payable, accrued expenses
     and other current liabilities                                       $22,807                           $25,633

    Deferred revenue                                          59,562                                57,112

    Deferred rent                                              1,271                                   936

    Total current liabilities                                 83,640                                83,681

    Deferred rent, non-current                                 3,442                                 4,348

    Long term debt                                                 -                                5,000

    Other long term liabilities                                  710                                   576
                                                                 ---                                   ---

    Total liabilities                                         87,792                                93,605
                                                              ------                                ------

    Commitments and contingencies (Note 12)

    Convertible preferred stock:

    Convertible preferred stock,
     $0.001 par value per share; zero
     and 43,705,690 shares authorized
     at October 31, 2017 and January
     31, 2017, respectively; zero and
     43,594,753 shares issued and
     outstanding at October 31, 2017
     and January 31, 2017,
     respectively                                                  -                              120,615

    Stockholders' equity (deficit):

    Preferred stock, $0.001 par value
     per share; 50,000,000 and zero
     shares authorized at October 31,
     2017 and January 31, 2017,
     respectively; zero shares issued
     and outstanding at October 31,
     2017 and January 31, 2017                                     -                                    -

    Common stock, $0.001 par value per
     share; 500,000,000 and
     200,000,000 shares authorized at
     October 31, 2017 and January 31,
     2017, respectively; 97,413,737
     and 37,900,051 shares issued at
     October 31, 2017 and January 31,
     2017, respectively; 90,908,403
     and 31,394,717 shares outstanding
     at October 31, 2017 and January
     31, 2017, respectively                                       98                                    38

    Additional paid-in capital                               313,930                                52,805

    Accumulated other comprehensive
     loss                                                    (1,546)                              (1,808)

    Accumulated deficit                                    (216,452)                            (166,885)

    Treasury stock, at cost                                 (11,905)                             (11,905)
                                                             -------                               -------

    Total stockholders' equity
     (deficit)                                                84,125                             (127,755)
                                                              ------                              --------

    Total liabilities, convertible
     preferred stock and stockholders'
     equity (deficit)                                                   $171,917                           $86,465
                                                                        ========                           =======


                                                                                       YEXT, INC.


                                                         Condensed Consolidated Statements of Operations and Comprehensive Loss

                                                                     (In thousands, except share and per share data)

                                                                                       (unaudited)


                                                  Three Months Ended                                       Nine Months Ended
                                                     October 31,                                              October 31,

                                             2017                    2016                       2017                      2016
                                             ----                    ----                       ----                      ----

    Revenue                                          $44,332                                            $31,909                               $122,181                   $88,590

    Cost of revenue                        11,658                                9,324                                 31,887                    27,226
                                           ------                                -----                                 ------                    ------

    Gross profit                           32,674                               22,585                                 90,294                    61,364
                                           ------                               ------                                 ------                    ------

    Operating expenses:

    Sales and marketing                    32,756                               20,393                                 91,891                    55,368

    Research and development                6,958                                4,764                                 18,437                    14,208

    General and administrative             10,196                                7,548                                 29,103                    20,222
                                           ------                                -----                                 ------                    ------

    Total operating expenses               49,910                               32,705                                139,431                    89,798
                                           ------                               ------                                -------                    ------

    Loss from operations                 (17,236)                            (10,120)                              (49,137)                 (28,434)

    Investment income                         419                                    8                                    741                        34

    Interest expense                        (104)                                (37)                                 (274)                     (72)

    Other expense, net                      (132)                                (70)                                 (667)                    (101)
                                             ----                                  ---                                   ----                      ----

    Loss from operations before
     income taxes                        (17,053)                            (10,219)                              (49,337)                 (28,573)

    Provision for income taxes                (9)                                 (3)                                 (230)                      (4)
                                              ---                                  ---                                   ----                       ---

    Net loss                                       $(17,062)                                         $(10,222)                  (49,567)                $(28,577)
                                                    ========                                           ========                    =======                  ========


    Net loss per share
     attributable to common
     stockholders, basic and
     diluted                                         $(0.19)                                           $(0.33)                               $(0.67)                  $(0.92)
                                                      ======                                             ======                                 ======                    ======

    Weighted-average number of
     shares used in computing net
     loss per share attributable
     to common stockholders,
     basic and diluted                 90,353,608                           31,092,270                             73,992,705                31,031,276
                                       ==========                           ==========                             ==========                ==========


    Other comprehensive income (loss):

    Foreign currency translation
     adjustment                                          $53                                             $(347)                                  $410                    $(556)

    Unrealized loss on marketable
     securities                              (88)                                   -                                 (148)                        -
                                              ---                                  ---                                  ----                       ---

    Total comprehensive loss                       $(17,097)                                         $(10,569)                             $(49,305)                $(29,133)
                                                    ========                                           ========                               ========                  ========


                                                              YEXT, INC.


                                           Condensed Consolidated Statements of Cash Flows

                                                            (In thousands)

                                                             (unaudited)


                                                                      Nine Months Ended
                                                                         October 31,

                                                                     2017                  2016
                                                                     ----                  ----

    Cash flows from operating activities:

    Net loss                                                                $(49,567)                      $(28,577)

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

    Depreciation and amortization                                   3,751                          2,949

    Provision for bad debts                                           321                            322

    Stock-based compensation expense                               15,002                          6,316

    Change in fair value of convertible
     preferred stock warrant liability                                491                            106

    Deferred income taxes                                            (13)                           (5)

    Amortization of deferred financing costs                          105                              -

    Amortization of premium on marketable
     securities                                                       108                              -

    Gain on sale of marketable securities                             (1)                             -

    Changes in operating assets and liabilities:

    Restricted cash                                                   500                          5,789

    Accounts receivable                                             3,629                          7,492

    Prepaid expenses and other current
     assets                                                       (1,989)                       (2,156)

    Deferred commissions                                          (1,152)                       (2,507)

    Other long term assets                                          (161)                         (405)

    Accounts payable, accrued expenses and
     other current liabilities                                    (2,625)                           719

    Deferred revenue                                                2,263                          3,542

    Deferred rent                                                   (581)                         (437)

    Other long term liabilities                                        89                             14
                                                                      ---                            ---

    Net cash used in operating activities                        (29,830)                       (6,838)
                                                                  -------                         ------

    Cash flows from investing activities:

    Purchases of marketable securities                          (106,155)                             -

    Maturities of marketable securities                             7,500                              -

    Sales of marketable securities                                  6,041                              -

    Capital expenditures                                          (2,747)                       (2,898)

    Purchases of intangible assets                                      -                         (298)
                                                                      ---                          ----

    Net cash used in investing activities                        (95,361)                       (3,196)
                                                                  -------                         ------

    Cash flows from financing activities:

    Proceeds from initial public offering,
     net of underwriting discounts and
     commissions                                                  123,527                              -

    Payments of deferred offering costs                           (4,263)                             -

    Proceeds from exercise of stock options                         4,686                            847

    Proceeds from exercise of warrants                                 79                              -

    Repayments on Revolving Line                                  (5,000)                             -

    Payments of deferred financing costs                             (99)                             -

    Proceeds from employee stock purchase
     plan                                                           2,724                              -

    Net cash provided by financing
     activities                                                   121,654                            847
                                                                  -------                            ---

    Effect of exchange rate changes on cash
     and cash equivalents                                             229                          (113)
                                                                      ---                           ----

    Net decrease in cash and cash
     equivalents                                                  (3,308)                       (9,300)

    Cash and cash equivalents at beginning
     of period                                                     24,420                         30,028
                                                                   ------                         ------

    Cash and cash equivalents at end of
     period                                                                   $21,112                         $20,728
                                                                              =======                         =======

    Supplemental disclosures of non-cash investing and
     financing information:

    Non-cash capital expenditures,
     including capitalized stock-based
     compensation, and items in accounts
     payable, accrued expenses and other
     current liabilities                                                         $451                            $104

    Conversion of convertible preferred
     stock to common stock                                                   $120,615                    $          -

    Conversion of convertible preferred
     stock warrants to common stock warrants                                   $1,435                    $          -

    Cash paid on interest                                                         $71                            $183

    Cash paid on income taxes                                                    $983                              $4


                                                    YEXT, INC.


                              Reconciliation of GAAP to Non-GAAP Financial Measures

                                                  (in thousands)

                                                   (unaudited)


                                   Three months ended October 31, 2017

                         GAAP                 Stock-Based                 Non-GAAP
                                            Compensation
                                               Expense
                                                                                ---

    Cost and expenses:

    Cost of revenue                 $11,658                                            $(461)    $11,197

    Gross profit                    $32,674                                            $(461)    $33,135

    Sales and marketing             $32,756                                          $(2,741)    $30,015

    Research and
     development                     $6,958                                          $(1,121)     $5,837

    General and
     administrative                 $10,196                                          $(1,614)     $8,582

    Loss from operations          $(17,236)                                         $(5,937)  $(11,299)

    Net loss                      $(17,062)                                         $(5,937)  $(11,125)


                            Three months ended October 31, 2016

                    GAAP             Stock-Based                Non-GAAP
                                     Compensation
                                        Expense
                                        -------

    Cost
     and
     expenses:

    Cost
     of
     revenue                $9,324                                          $(156)    $9,168

    Gross
     profit                $22,585                                          $(156)   $22,741

    Sales
     and
     marketing             $20,393                                        $(1,044)   $19,349

     Research
     and
     development            $4,764                                          $(508)    $4,256

     General
     and
     administrative         $7,548                                          $(809)    $6,739

    Loss
     from
     operations          $(10,120)                                       $(2,517)  $(7,603)

    Net
     loss                $(10,222)                                       $(2,517)  $(7,705)


                                                   YEXT, INC.


                              Reconciliation of GAAP to Non-GAAP Financial Measures

                                                 (in thousands)

                                                   (unaudited)


                                   Nine months ended October 31, 2017

                         GAAP                Stock-Based                 Non-GAAP
                                           Compensation
                                              Expense
                                                                               ---

    Cost and expenses:

    Cost of revenue                $31,887                                              $(947)    $30,940

    Gross profit                   $90,294                                              $(947)    $91,241

    Sales and marketing            $91,891                                            $(7,477)    $84,414

    Research and
     development                   $18,437                                            $(2,433)    $16,004

    General and
     administrative                $29,103                                            $(4,145)    $24,958

    Loss from operations         $(49,137)                                          $(15,002)  $(34,135)

    Net loss                     $(49,567)                                          $(15,002)  $(34,565)


                             Nine months ended October 31, 2016

                    GAAP             Stock-Based                Non-GAAP

                                     Compensation

                                        Expense
                                        -------

    Cost
     and
     expenses:

    Cost
     of
     revenue               $27,226                                          $(454)    $26,772

     Gross
     profit                $61,364                                          $(454)    $61,818

     Sales
     and
     marketing             $55,368                                        $(2,710)    $52,658

     Research
     and
     development           $14,208                                        $(1,397)    $12,811

     General
     and
     administrative        $20,222                                        $(1,755)    $18,467

    Loss
     from
     operations          $(28,434)                                       $(6,316)  $(22,118)

    Net
     loss                $(28,577)                                       $(6,316)  $(22,261)


                                         YEXT, INC.


                   Reconciliation of GAAP to Non-GAAP Financial Measures

                      (in thousands, except share and per share data)

                                        (unaudited)


                                        Three months ended October 31,

                                          2017                     2016
                                          ----                     ----

    Net
     loss                                        $(17,062)                          $(10,222)

    Stock-
     based
     compensation
     expense                             5,937                                2,517

    Non-
     GAAP
     net
     loss                                        $(11,125)                           $(7,705)
                                                  --------                             -------


    Net
     loss
     per
     share
     attributable
     to
     common
     stockholders,
     basic
     and
     diluted                                       $(0.19)                            $(0.33)


    Stock-
     based
     compensation
     expense
     per
     share                                0.07                                 0.08

    Non-
     GAAP                        and
     net                         diluted
     loss
     per
     share
     attributable
     to
     common
     stockholders,
     basic                                         $(0.12)                            $(0.25)
                                                    ======                              ======


     Weighted-
     average                     share
     number                      attributable
     of                          to
     shares                      common
     used                        stockholders,
     in                          basic
     computing                   and
     net                         diluted
     loss
     per                            90,353,608                           31,092,270
                                    ==========                           ==========


                          Nine Months Ended October 31,

                            2017                     2016
                            ----                     ----

    Net loss                       $(49,567)                         $(28,577)

    Stock-
     based
     compensation
     expense              15,002                               6,316

    Non-GAAP
     net loss                      $(34,565)                         $(22,261)
                                    --------                           --------


    Net loss
     per
     share
     attributable
     to
     common
     stockholders,
     basic
     and
     diluted                         $(0.67)                           $(0.92)


    Stock-
     based
     compensation
     expense
     per
     share                  0.20                                0.20

    Non-GAAP
     unweighted
     adjustment             0.09                                   -
                            ----

    Non-GAAP
     net loss
     per
     share
     attributable
     to
     common
     stockholders,
     basic
     and
     diluted                         $(0.38)                           $(0.72)
                                      ======                             ======


    Weighted-
     average       basic and
     number of     diluted
     shares
     used in
     computing
     net loss
     per share
     attributable
     to common
     stockholders,    73,992,705                          31,031,276


    Non-GAAP
     unweighted
     adjustment       16,915,698                              78,937
                      ----------                              ------

    Non-GAAP
     number        attributable
     of            to
     shares        common
     outstanding   stockholders,
     in            basic
     computing     and
     non-          diluted
     GAAP net
     loss per
     share            90,908,403                          31,110,213
                      ==========                          ==========

Note: the Company's IPO transaction closed on April 19, 2017, at which time the Company's convertible preferred stock converted to approximately 43.5 million shares and the Company issued an additional 12.1 million shares to investors in that offering. In order to serve as a better comparison for future periods, the Company calculated non-GAAP net loss per share for the nine months ended October 31, 2017, and 2016 on a comparative basis, using the shares outstanding as of the end of the period, as if they had been outstanding for the whole period.

The Company calculated non-GAAP net loss per share for the three months ended October 31, 2017 and 2016 using the weighted-average number of shares outstanding for the respective periods.


                                   YEXT, INC.


                            Condensed Cash Flow Data

                                 (in thousands)

                                   (unaudited)


                               Three months ended October 31,

                               2017                     2016
                               ----                     ----

    Net cash (used
     in) provided
     by:

           Net
           loss                       $(17,062)                        $(10,222)

               Adjustments
               to
               net
               loss
               for
               non-
               cash
               items          7,535                              3,685

               Changes
               in
               operating
               assets
               and
               liabilities  (6,854)                           (2,494)
                             ------                             ------

        Operating
        activities         (16,381)                           (9,031)

        Investing
        activities              971                            (1,261)

        Financing
        activities            3,692                                336

        Effect
        of
        exchange
        rate
        changes
        on
        cash
        and
        cash
        equivalents            (49)                              (24)
                                ---                                ---

     Net
     decrease
     in
     cash
     and
     cash
     equivalents           (11,767)                           (9,980)

     Cash
     and
     cash
     equivalents
     at
     beginning
     of
     period                  32,879                             30,708

     Cash
     and
     cash
     equivalents
     at
     end
     of
     period                             $21,112                           $20,728
                                        =======                           =======

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SOURCE Yext, Inc.