Ziff Davis (ZD) FY2022 results: revenue $1.4 billion, down 1.8% on the year

Ziff Davis, Inc. (ZD) reported revenue of $1.4 billion for fiscal 2022, the year ended 31 December 2022, down 1.8% on the year before. Net income was $64 million, down 87.2%, and diluted earnings per share $1.36. The figures are the company's own, from the 10-K it filed with the SEC on 1 March 2023.

Revenue

$1.4 billion

-1.8% on the year

FY2015FY2022

Operating margin

14.3%

11.8% a year earlier

FY2015FY2022

Net income

$64 million

-87.2% on the year

FY2015FY2022

Diluted EPS

$1.36

-86.9% on the year

FY2015FY2022

this yearthe year beforeHover a bar for its figure.

The year in brief

The four quarters: Q1 FY2022 · Q2 FY2022 · Q3 FY2022 · Q4 FY2022

Income statement (profit and loss)

$ million	FY2022	FY2021	FY2020	On the year
Revenue	1,391	1,417	1,159	-1.8%
Cost of revenue	185	188	178	-1.9%
Gross profit	1,206	1,229	980	-1.8%
Gross margin	86.7%	86.7%	84.6%
Research and development	74.1	78.9	57.1	-6.1%
Operating income	199	167	138	+18.9%
Operating margin	14.3%	11.8%	11.9%
Interest expense	37.1	79.6	58.1	-53.4%
Pre-tax income	131	351	78.3	-62.7%
Income tax	58.0	-14.2	38.4
Effective tax rate	44.2%	-4.0%	48.9%
Net income	63.8	497	151	-87.2%
Net margin	4.6%	35.1%	13.0%
Diluted EPS	$1.36	$10.37	$3.18	-86.9%

$ million except per share.

Free cash flow is operating cash flow less capital expenditure; the effective tax rate is income tax over pre-tax income; margins are the line over revenue. Gross profit is revenue less cost of revenue, and operating income is revenue less the company's own total costs, where the statement does not print those lines. Those four are arithmetic on the filed numbers; everything else is as filed. Money is in $ million as the company files it, or in $ billion by the switch above the tables; per share figures and share counts are as they are.

Cash flow

$ million	FY2022	FY2021	FY2020	On the year
Operating cash flow	336	517	480	-34.9%
Capital expenditure	106	114	92.6	-6.7%
Free cash flow	230	403	388	-42.8%
Free cash flow margin	16.6%	28.4%	33.4%
Cash from investing	-221	59.1	-586
Cash from financing	-141	-113	-235
Depreciation and amortisation	233	258	229	-9.6%
Share-based compensation	26.6	25.2	24.0	+5.4%
Buybacks	78.3	78.3	276	-0.0%
Dividends paid	n/a	0.0	0.0
Dividend per share	n/a	$0.00	$0.00
Diluted shares, weighted	47m	48m	47m	-1.7%
Shares outstanding at period end	47m	47m	44m	-0.4%

Balance sheet

$ million	FY2022	FY2021	FY2020	On the year
Shareholders' equity	1,893	1,968	1,211	-3.8%
Debt	999	1,091	1,579	-8.4%
Operating lease liabilities	34.0	53.7	73.6	-36.7%
Other liabilities	608	658	802	-7.7%
Total liabilities and equity	3,533	3,770	3,665	-6.3%
Fixed assets	178	161	132	+10.5%
Goodwill	1,591	1,531	1,525	+3.9%
Intangible assets	463	573	697	-19.2%
Investments	186	352	98.2	-47.0%
Cash and equivalents	653	695	176	-6.1%
Receivables	305	316	310	-3.7%
Other assets	157	142	728	+10.6%
Total assets	3,533	3,770	3,665	-6.3%

10-K for the year ended 31 December 2022, filed 1 March 2023: the filing.