| (1) | The twelve months ended December 31, 2020, includes $1.0 million of proceeds from settlements related to a historical acquisition and $0.6 million of severance expense. The twelve months ended December 31, 2019, includes $1.0 million of impairment charges for royalty contracts, $0.6 million of acquisition related costs and $0.4 million of severance expense. |
The following table provides a reconciliation of Adjusted EBITDA to net income (loss), the most comparable GAAP financial measure:
| (Unaudited) | |||||||||||||||
|
Three Months Ended
December 31, |
Twelve Months Ended
December 31, | ||||||||||||||
| (in thousands) | 2020 | 2019 | 2020 | 2019 | |||||||||||
| Net income (loss) | $ | 2,198 | $ | (1,502 | ) | $ | (10,500 | ) | $ | (7,542 | ) | ||||
| Income tax expense | 2,182 | 3,715 | 12,532 | 10,930 | |||||||||||
| Stock-based compensation expense | 7,416 | 2,944 | 21,355 | 8,528 | |||||||||||
| Interest expense | 3,008 | 2,785 | 11,598 | 6,371 | |||||||||||
| Depreciation and amortization | 6,890 | 5,686 | 23,806 | 21,522 | |||||||||||
| Special adjustments, interest income and other (1) | (2 | ) | (893 | ) | (1,503 | ) | (260 | ) | |||||||
| Adjusted EBITDA | $ | 21,692 | $ | 12,735 | $ | 57,288 | $ | 39,549 | |||||||
