Vonage 2012 Annual Report Download - page 58

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F-5 VONAGE ANNUAL REPORT 2012
VONAGE HOLDINGS CORP. CONSOLIDATED STATEMENTS OF OPERATIONS
December 31,
(In thousands, except per share amounts) 2012 2011 2010
Revenues $ 849,114 $ 870,323 $885,042
Operating Expenses:
Direct cost of telephony services (excluding depreciation and amortization of $15,115, $15,824,
and $18,725, respectively) 231,877 236,149 243,794
Direct cost of goods sold 39,133 41,756 55,965
Selling, general and administrative 242,368 234,754 238,986
Marketing 212,540 204,263 198,170
Depreciation and amortization 33,324 37,051 53,073
Loss from abandonment of software assets 25,262 ——
784,504 753,973 789,988
Income from operations 64,610 116,350 95,054
Other Income (Expense):
Interest income 109 135 519
Interest expense (5,986) (17,118) (48,541)
Change in fair value of embedded features within notes payable and stock warrant — (950) (99,338)
Loss on extinguishment of notes — (11,806) (31,023)
Other expense, net (11)(271)(18)
(5,888) (30,010) (178,401)
Income (loss) before income tax (expense) benefit 58,722 86,340 (83,347)
Income tax (expense) benefit (22,095) 322,704 (318)
Net income (loss) $36,627 $409,044 $ (83,665)
Net income (loss) per common share:
Basic $0.16 $1.82 $(0.40)
Diluted $0.16 $1.69 $(0.40)
Weighted-average common shares outstanding:
Basic 224,264 224,324 209,868
Diluted 232,633 241,744 209,868
The accompanying notes are an integral part of these financial statements