Vistaprint 2015 Annual Report Download - page 39

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Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations
This Report contains forward-looking statements that involve risks and uncertainties. The statements
contained in this Report that are not purely historical are 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, including but not
limited to our statements about anticipated income and revenue growth rates, future profitability and market share,
new and expanded products and services, geographic expansion and planned capital expenditures. Without limiting
the foregoing, the words “may,” “should,” “could,” “expect,” “plan,” “intend,” “anticipate,” “believe,” “estimate,”
“predict,” “designed,” “potential,” “continue,” “target,” “seek” and similar expressions are intended to identify forward-
looking statements. All forward-looking statements included in this Report are based on information available to us
up to, and including the date of this document, and we disclaim any obligation to update any such forward-looking
statements. Our actual results could differ materially from those anticipated in these forward-looking statements as
a result of certain important factors, including those set forth in this “Management's Discussion and Analysis of
Financial Condition and Results of Operations” and “Risk Factors” and elsewhere in this Report. You should
carefully review those factors and also carefully review the risks outlined in other documents that we file from time
to time with the United States Securities and Exchange Commission.
Executive Overview
On November 14, 2014, pursuant to our shareholders’ approval, we amended our articles of association to
change our name to Cimpress N.V. and began trading on The Nasdaq Stock Market under the "CMPR" ticker
symbol shortly afterward. Cimpress, the world leader in mass customization, is a technology and manufacturing-
driven company that aggregates, via the Internet, large volumes of small, individually customized orders for a broad
spectrum of print, signage, apparel and similar products. We produce those orders in highly automated, capital and
technology intensive production facilities in a manner that we believe makes our production techniques significantly
more competitive than those of traditional suppliers. We bring our products to market through a portfolio of focused
brands serving the needs of small and medium businesses and consumers. These brands include Vistaprint, our
global brand for micro business marketing products and services, as well as brands that we have acquired that
serve the needs of various market segments, including resellers, small and medium businesses with differentiated
service needs, and consumers purchasing products for themselves and their families.
In July 2014, we changed our internal management reporting structure from geographic-based segments to
brand-based segments, resulting in the Vistaprint Business Unit and the All Other Business Units reportable
segments. The Vistaprint Business Unit represents our core Vistaprint brand focused on the North America, Europe,
Australia and New Zealand markets, and our Webs branded business, which is managed with the Vistaprint-
branded digital business. The All Other Business Unit is an aggregation of the smaller businesses in our portfolio -
Albumprinter, Printdeal (formerly known as People & Print Group), Pixartprinting and the Most of World business
units, as well as the operations of our fiscal 2015 acquisitions of FotoKnudsen AS, FL Print SAS (referred to as
Easyflyer), Exagroup SAS and druck.at Druck-und Handelsgesellschäft mbH (referred to as druck.at).
For the fiscal year ended June 30, 2015, we reported consolidated revenue of $1,494 million representing
18% reported revenue growth over the prior year and 23% growth in constant-currency terms. During fiscal 2015 we
made several strategic acquisitions to help us reach differentiated customers through distinct brands and give us
access to a broader product offering over time. Consolidated constant-currency revenue growth, excluding the
revenue of businesses and brands that do not have a comparable revenue in the prior twelve months, was 9% for
the year ended June 30, 2015.
Diluted earnings per share for the year ended June 30, 2015 increased 113% to $2.73 as compared to the
prior year. This increase was driven by the improved operating performance of our Vistaprint brand as well as the
results of our other brands acquired in fiscal 2014 and 2015. These improvements were partially offset by continued
investments in product quality and software development in our core business, as well as investments in markets in
which we seek to develop a long-term presence such as India, Japan and Brazil. We believe investments such as
these, as well as our other key initiatives, will collectively enable us to scale and strengthen our competitive position
and enhance long-term shareholder value. In addition, we recognized $14.9 million of expense during the year
ended June 30, 2015 for changes in the contingent consideration liabilities associated with our acquisitions of
Printdeal and Pixartprinting, $11.5 million of additional acquisition related amortization expense, as well as $9.0
Form 10-K