SLO-based MindBody reports record revenues, $36 million net loss for 2015

MindBody Inc., which sells business management software for clients in the health and wellness industry, reported a year-end net loss Wednesday of $36 million, compared with a net loss of $24.6 million in 2014. Year-end total revenue was about $101.4 million, up 45 percent.

The San Luis Obispo-based company reported a fourth-quarter net loss of about $9.8 million, compared with a net loss of $6.5 million in the year-earlier period. Fourth quarter total revenue was nearly $28.3 million, up 40 percent.

Net loss attributable to common stockholders was $44.2 million in the year-end period, compared with $45.9 million in 2014. In the fourth quarter, net loss attributable to common stockholders was nearly $9.8 million, compared with $15.1 million a year ago.

“The MindBody team completed our first year as a public company with excellent results,” said MindBody co-founder and CEO Rick Stollmeyer in a news release. He cited strong growth and improved margins.

Looking ahead, the company expects to continue its growth and profitability, according to Brett White, chief financial officer of MindBody.

MindBody said it expects first-quarter revenue this year in the range of $29.7 million to $30.7 million, representing growth of 33 percent to 38 percent over the year-earlier quarter.

For the full year, MindBody expects to report revenue in the range of $132.5 million to $136.5 million, up 31 to 35 percent over 2015.

It expects a net loss ranging from $6 million to $7 million in the first quarter, and a net loss between $23 million and $26 million for the full year.

MindBody, which went public in June, has more than 51,000 business subscribers in more than 130 countries and territories. Those subscribers offer wellness services to about 28 million active consumers.

Key accomplishments last year, the company said, included its introduction in December of a new MindBody app, which uses a new deals and recommendations engine to help people find, book and pay for personalized wellness experiences based on their location and past activities. The app was included on Apple’s Best Apps of 2016 list.

The company also expanded its platform with numerous partnerships and integrations, including global integrations with Xero, a global company specializing in cloud accounting software for small businesses, and Fitbit, the leader in the connected health and fitness market, and a partnership with Lending Club, a large online marketplace connecting borrowers and investors.

In December, MindBody received a Glassdoor Employees’ Choice Award for the third year in a row for being one of the Best Places to Work in 2016. In August, the company was named by Inc. Magazine as one of the fastest growing companies in the U.S. for the eighth consecutive year.

Other year-end and fourth-quarter financial results include:

• Subscription and services revenue last year was $61.3 million, up 51 percent from the previous year. Fourth-quarter subscription and services revenue was $17 million, up 44 percent.
• Payments revenue for 2015 was $37.5 million, a 44 percent increase year-over-year. Fourth-quarter payments revenue was $10.6 million, up 43 percent.

Shares of MindBody, traded under the symbol MB on Nasdaq, closed Wednesday at $11.25 a share, up 3.88 percent.

This story was originally published February 10, 2016 at 5:22 PM with the headline "SLO-based MindBody reports record revenues, $36 million net loss for 2015."