 Record Subscription Bookings and Strong Results Highlight Fourth QuarterPORTSMOUTH, N.H., Aug. 06, 2020 GLOBE NEWSWIRE -- Bottomline Technologies Nasdaq: EPAY, a leading provider of financial technology that makes complex business payments simple, smart and secure, today reported financial results for the fourth quarter and fiscal year ended June 30, 2020. Subscription revenue was 87.7 million for the fourth quarter, up 11, or 12 on a constant currency basis, as compared to the fourth quarter of last year. Subscription revenue was 79 of total revenues, up 6 percentage points from 73 a year prior. Total revenues for the fourth quarter were 110.6 million. GAAP net loss for the fourth quarter was 3.0 million. GAAP net loss per share was 0.07 in the fourth quarter.Adjusted EBITDA for the fourth quarter was 23.4 million, which was 21 of overall revenue. Core earnings per share was 0.26 for the fourth quarter. Adjusted EBITDA and core earnings per share are calculated as discussed in the Non-GAAP Financial Measures section that follows.We saw strong demand for our digital payment solutions which resulted in record subscription bookings in the fourth quarter and for the fiscal year, said Rob Eberle, CEO. We also had a record number of new Paymode-X customers in the quarter which evidences our strong competitive position, the value of our network-based business payment solution and the execution of our bank channel partners and direct sales team. We produced strong results for the quarter, despite a decrease in our transaction-based revenues. We enter fiscal 2021 confident in our strategic plan and our ability to execute against that plan. Our focus on market leadership and subscription revenue growth positions us to drive sustained shareholder value for years to come. Fiscal 2020 Financial Highlights: Subscription revenues for the year were 339.4 million, up 15, or 16 on a constant currency basis from prior year. Revenues overall for the year were 442.2 million, up 5, or 6 on a constant currency basis from prior year. GAAP net loss for the year was 9.2 million or 0.22 per share. Core earnings per share for the year was 1.17. Adjusted EBITDA for the year was 95.0 million.Fourth Quarter Customer Highlights 37 organizations selected Paymode-X to automate their AP processes, with clients spanning a wide variety of industries such as healthcare, higher education, property management and public administration. 6 banks selected Bottomlines banking solutions platforms to help them compete and grow their corporate and business banking franchises through our intelligent engagement solutions. 5 new customers, including Brethren Mutual, chose Bottomlines legal spend management solutions to automate, manage and control their legal spend. 9 other customers expanded their Bottomline relationships. Bottomlines cloud-based payments solution PTX reached a new milestone by onboarding its 10,000th customer in 5 years since launch. PTX customers enjoy the benefits of a simple, smart and secure platform which facilitates both payments and collections, while providing leading fraud protection and preparation for Open Banking. Metro Bank announced the enablement of Direct Debit origination for business customers through a new partnership with Bottomline. Fourth Quarter Strategic Corporate Highlights Aite recognized Bottomline as the Best-in-Class cash management technology leader in its recent report on leading providers. Digital Banking IQ led all providers in three of four categories covered vendor stability, client strength and product features, and sharing leadership in a fourth category, client service, with one other provider. Bottomline purchased a receivables management technology from a major financial institution and launched an initiative to leverage the purchased software platform, as well as its existing receivables capabilities inherent in its Paymode-X, Digital Banking and PTX product sets, as the foundation to develop and market a full-suite receivables management platform. Citizens Financial Group was named a 2020 Model Bank Award winner for Commercial Banking Transformation by Celent, a global financial service research and advisory firm. The award featured Bottomline as a core technology behind Citizens accessOPTIMA cloud-based cash management offering. The Bottomline 2020 Business Payments Barometer launched in June to share survey findings from 800 financial decision makers in Great Britain. Key findings from this years report: accelerating digitization is crucial for businesses navigating challenges posed during the COVID-19 pandemic; just 59 of businesses feel prepared for Open Banking, down 8 from 2019; and only 1 in 10 small businesses report recovering more than 50 of fraud-related losses. Launched Paymode-X B2C Disbursements, which provides a light and flexible way for Paymode-X AP Automation customers to automate payments to their out of network consumer payees and business suppliers in a single, secure solution. Bottomline was recognized by Ardent Partners, as a Key Solution Provider in 2020 for its Paymode-X AP Automation solution. The award recognizes key providers in the space for their innovative solutions and the impact they have had on customer results as well as their progressive and visionary plans and roadmap.Non-GAAP Financial MeasuresWe have presented supplemental non-GAAP financial measures as part of this earnings release. We believe that these supplemental non-GAAP financial measures are useful to investors because they allow for an evaluation of the company with a focus on the performance of its core operations, including more meaningful comparisons of financial results to historical periods and to the financial results of less acquisitive peer and competitor companies. Core net income, core earnings per share, constant currency information, adjusted EBITDA and adjusted EBITDA as a percent of revenue are all non-GAAP financial measures.Core net income and core earnings per share exclude certain items, specifically amortization of acquisition related intangible assets, stock-based compensation, acquisition and integration-related expenses, restructuring related costs, minimum pension liability adjustments, amortization of debt issuance costs, global enterprise resource planning ERP system implementation and other costs and other non-core or nonrecurring benefits or expenses that may arise from time to time.Acquisition and integration-related expenses include legal and professional fees and other direct transaction costs associated with business and asset acquisitions, costs associated with integrating acquired businesses, including costs for transitional employees or services and integration related professional services costs and other incremental charges we incur as a direct result of acquisition and integration efforts. Global ERP system implementation and other costs relate to direct and incremental costs incurred in connection with our multi-phase implementation of a new, global ERP solution and the related technology infrastructure and costs related to our implementation of the new revenue recognition standard under US GAAP.Periodically, such as in periods that include significant foreign currency volatility, we present certain metrics on a constant currency basis, to show the impact of period to period results normalized for the impact of foreign currency rate changes. We calculate constant currency information by translating prior period financial results using current period foreign exchange rates.Adjusted EBITDA and adjusted EBITDA as a percent of revenue represent our GAAP net income or loss, adjusted for charges related to interest expense, income taxes, depreciation and amortization and other charges as noted in the reconciliation that follows.Our executive management team uses these same non-GAAP financial measures internally to assess the ongoing performance of the company. The same non-GAAP information is used for corporate planning purposes, including the preparation of operating budgets and in communications with our board of directors with respect to our core financial performance. Since this information is not a GAAP measurement of financial performance, there are material limitations to its usefulness on a stand-alone basis, including the lack of comparability of this presentation to the GAAP financial results of other companies. This non-GAAP financial information should not be considered in isolation from, or as a substitute for, our financial results presented in accordance with GAAP. 