Relax. Don’t freak out. Things in the M&A market are good. In fact, they’re still very good. We released our latest quarterly Deal Flow Indicator (DFI) and year end DFI results today. Overall, 2010 was a big winner, showing a tremendous rebound from the doldrums of late 2008 and early 2009 that were brought on by the global financial crisis. The 2010 deal flow was up 33% from 2009. However, it’s unrealistic to expect that the numbers will continue to go up infinitely at every increment that you measure them. After six quarters of double digit sequential growth, the positive quarterly trends came to an end in Q4 2010. But it is a small correction, a mere three percent down in the M&A deal market that we observed in Q4 as an indicator heading into Q1 2011.
Today marks our first time as a public company that we’re releasing full year financial results. Investors, analysts, customers and employees are either eager or simply curious to see how we’ve performed both in Q4 and for the full year 2010. In many ways, it feels like just another year has gone. However, this year is clearly different as we’re now a public company and have the opportunity to tell the world about our financial performance in 2010.
2010 was an exceptional year for IntraLinks, our employees, our customers and our investors. Highlights from our full year financial results include:
- Strong growth in our Enterprise and M&A principal markets drove record revenue of $184.3 million in 2010, up 31% over 2009.
- Non-GAAP operating income was $45.6 million, up 36% over 2009 and yielding an operating margin of 25%.
- Non-GAAP adjusted EBITDA was $62.6 million, up 39% over 2009, and yielding a best in class 34% EBITDA margin compared to other SaaS companies.
It’s been quite the year, hasn’t it? As we started 2009 it was hard to know what to expect. We were in the depths of our fears about the global financial crisis we had just entered. Every day seemingly brought more bad news and no one knew what would happen next.
Somehow we made it through the year and things are looking up—on some days—and not as up on others. But looking back we’ve learned many things as we’ve weathered the storm. What have we learned you may ask? Here are a few things from my marketing perspective: