=Model N (MODN) : 5-year performance

Model N, Inc. is a software company founded in 1999. The name "Model N" refers to "model next", as in 'the next big thing', according to founder Zack Rinat.
Headquarters: Redwood Shores, CA
modeln.com

Description

Model N, Inc. is a provider of revenue management solutions for life science and technology companies. The Company's solutions enable its customers to maximize revenues and reduce revenue compliance risk by transforming their revenue life cycle from a series of tactical, disjointed operations into a strategic end-to-end process. The Company's solutions include Revenue Enterprise Cloud, Revenue Intelligence Cloud and Revvy Revenue Management. The Company provides solutions that span the organizational and operational boundaries of functions, such as sales, marketing and finance, and serve as a system of record for revenue management processes, including pricing, contracts, rebates, incentives and regulatory compliance. The Company's application suites are designed to work with enterprise resource planning (ERP) and customer relationship management (CRM) applications. The Company also offers implementation services, managed services, strategic services and customer support.

Key stats and ratios

	Q4 (Dec '17)	2017
Net profit margin	-13.46%	-30.15%
Operating margin	-10.32%	-29.44%
EBITD margin	-	-18.28%
Return on average assets	-12.19%	-27.76%
Return on average equity	-51.45%	-73.60%
Employees	864

Model N (MODN) started trading on the NYSE on 20 March 2013

Zack Rinat, CEO of Redwood City-based Model N, rang the opening bell at the New York Stock Exchange Wednesday after hi company raised $100 million in an IPO. It shares sold at at $15.50, above the target range of $12.50 to $14.50, and soared by more than 35 percent in early trading.

Model N continued the momentum of enterprise software companies by raising $100 million in its initial public offering and jumping by as much as 35 percent in the opening minutes of its trading debut Wednesday on the New York Stock Exchange.

CEO Zack Rinat kicked off trading Wednesday when he rang the bell at the NYSE. The Redwood City company's stock (NYSE:MODN) jumped as high as $20.87 after opening at $20.30.

There were about 6.7 million shares sold on Tuesday at $15.50 a share, above the target range of $12.50 to $14.50 that te company had set. Underwriters have the option to buy a little over 1 million more shares in the next 30 days.

Model N's software is used by the life science and technology industries to manage business functions such as pricing, contracting, incentives and rebates.

Its customers include Johnson & Johnson, Merck & Co, Dell, Nokia and VMWare and its revenue grew 29 percent in the past two years to $84.3m last year.

It is backed by a Accel Partners/KKR joint venture and Meritech Capital Partners.

Zack Rinat, founder and CEO of Model N.