false000144168300014416832024-02-152024-02-15

 UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): February 15, 2024
Appian Corporation
(Exact name of Registrant as Specified in Its Charter)
Delaware001-3809854-1956084
(State or Other Jurisdiction
of Incorporation)
(Commission File Number)
(I.R.S. Employer
 Identification No.)
7950 Jones Branch Drive
McLean, VA
22102
(Address of principal executive offices)(Zip Code)
Registrant’s Telephone Number, Including Area Code: (703) 442-8844

Not Applicable
(Former Name or Former Address, if Changed Since Last Report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instructions A.2. below):
☐    Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
☐    Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
☐    Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
☐    Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Securities registered pursuant to Section 12(b) of the Exchange Act:
Title of each classTrading symbolName of each exchange on which registered
Class A Common StockAPPNThe Nasdaq Stock Market LLC
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§ 230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§ 240.12b-2 of this chapter).
Emerging growth company ☐  
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. o 



Item 2.02 Results of Operations and Financial Condition.

On February 15, 2024, Appian Corporation (the "Company") issued a press release announcing its financial results for the fourth quarter and year ended December 31, 2023, as well as information regarding a conference call to discuss these financial results and the Company's recent business highlights and financial outlook. The Company's press release is furnished as Exhibit 99.1 to this Current Report on Form 8-K.

The information included in Item 2.02 of this Current Report on Form 8-K and Exhibit 99.1 attached hereto shall not be deemed "filed" for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the "Exchange Act"), or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, regardless of any general incorporation language in such filing.

Item 9.01 Financial Statements and Exhibits.
Exhibit
Number
  Description
99.1  
104Cover Page Interactive Data File (embedded within the Inline XBRL document)



SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

Appian Corporation
Date: February 15, 2024
By:/s/ Mark Matheos
Mark Matheos
Chief Financial Officer


Exhibit 99.1
appian2021white-bluefieldaa.jpg

Appian Announces Fourth Quarter and Full Year 2023 Financial Results

Fourth quarter cloud subscription revenue increased 26% year-over-year to $83.1 million
Full year cloud subscription revenue increased 29% year-over year to $304.5 million

McLean, VA – February 15, 2024 – Appian (Nasdaq: APPN) today announced financial results for the fourth quarter and full year ended December 31, 2023.

“Appian delivered our plan in 2023 and reached two milestones. Full year revenue exceeded half a billion dollars, and we achieved the highest quarterly gross margin in our public history,” said Matt Calkins, CEO & Founder.

Fourth Quarter 2023 Financial Highlights:

•Revenue: Cloud subscription revenue was $83.1 million, up 26% compared to the fourth quarter of 2022. Total subscriptions revenue, which includes sales of our cloud subscriptions, on-premises term license subscriptions, and maintenance and support, increased 24% year-over-year to $115.8 million. Professional services revenue was $29.5 million, a decrease of 9% compared to the fourth quarter of 2022. Total revenue was $145.3 million, up 16% compared to the fourth quarter of 2022. Cloud subscription revenue retention rate was 119% as of December 31, 2023.
•Operating loss and non-GAAP operating loss: GAAP operating loss was $(16.8) million, compared to $(40.6) million for the fourth quarter of 2022. Non-GAAP operating loss was $(1.4) million, compared to $(26.8) million for the fourth quarter of 2022.
•Net loss and non-GAAP net loss: GAAP net loss was $(10.0) million, compared to $(34.4) million for the fourth quarter of 2022. GAAP net loss per share was $(0.14) for the fourth quarter of 2023, compared to $(0.47) for the fourth quarter of 2022. Non-GAAP net income was $4.9 million, compared to non-GAAP net loss of $(20.6) million for the fourth quarter of 2022. Non-GAAP net income per diluted share was $0.06, compared to the $(0.28) net loss per share for the fourth quarter of 2022. GAAP net loss and non-GAAP net income for the fourth quarter of 2023 included $11.1 million, or $0.15 per share, of foreign currency exchange gains. GAAP and non-GAAP net loss for the fourth quarter of 2022 included $8.5 million, or $0.12 per share, of foreign currency exchange gains. We do not forecast foreign exchange rate movements.
•Adjusted EBITDA: Adjusted EBITDA was $1.0 million, compared to adjusted EBITDA loss of $(24.8) million for the fourth quarter of 2022.
•Cash flows: Net cash used in operating activities was $(8.2) million for the three months ended December 31, 2023 compared to $(12.6) million of net cash used in operating activities for the same period in 2022.

Full Year 2023 Financial Highlights:

•Revenue: Cloud subscription revenue was $304.5 million for the full year 2023, up 29% compared to the full year 2022. Total subscriptions revenue increased 21% year-over-year to $412.3 million for the full year 2023. Professional services revenue was $133.0 million for the full year 2023, compared to $127.8 million for the full year 2022. Total revenue was $545.4 million for the full year 2023, up 17% compared to the full year 2022.


•Operating loss and non-GAAP operating loss: GAAP operating loss was $(108.0) million for the full year 2023, compared to $(145.0) million for the full year 2022. Non-GAAP operating loss was $(54.3) million for the full year 2023, compared to $(83.3) million for the full year 2022.
•Net loss and non-GAAP net loss: GAAP net loss was $(111.4) million for the full year 2023, compared to $(150.9) million for the full year 2022. GAAP net loss per share was $(1.52) for the full year 2023, compared to $(2.08) for the full year 2022. Non-GAAP net loss was $(59.2) million for the full year 2023, compared to $(89.2) million for the full year 2022. Non-GAAP net loss per share was $(0.81) for the full year 2023, compared to the $(1.23) net loss per share for the full year 2022. GAAP and non-GAAP net loss for the full year 2023 included $8.7 million, or $0.12 per share, of foreign currency exchange gains. GAAP and non-GAAP net loss for the full year 2022 included $6.1 million, or $(0.08) per share, of foreign currency exchange losses.
•Adjusted EBITDA: Adjusted EBITDA loss was $(44.8) million for the full year 2023, compared to adjusted EBITDA loss of $(76.0) million for the full year 2022.
•Balance sheet and cash flows: As of December 31, 2023, Appian had total cash, cash equivalents, and investments of $159.0 million. Net cash used in operating activities was $(110.4) million for the full year 2023, compared to $(106.6) million of net cash used in operating activities for the full year 2022.

A reconciliation of GAAP to non-GAAP financial measures has been provided in the tables following the financial statements in this press release. An explanation of these measures is also included below under the heading “Non-GAAP Financial Measures.”

Recent Business Highlights:

•US Army Revolutionizes Contract Writing with Appian Platform
•Appian Government Cloud Achieves “In Process” Designation for FedRAMP High Impact Level
•Appian Delivers Better Business Decisions and Outcomes with AI Plus Data Fabric Analytics
•Appian Named a Leader in Everest Group’s Low-code Technology Providers in Insurance PEAK Matrix Assessment 2023
•Appian Named a 2023 Tech100 Honoree by the Northern Virginia Technology Council
•2023 Appian International Partner Award Winners Demonstrate Process Automation Excellence in Europe
•Appian Enhances “One Appian” Global Partner Program Strategy for 2024

Financial Outlook:

As of February 15, 2024, guidance for 2024 is as follows:

•First Quarter 2024 Guidance:

◦Cloud subscription revenue is expected to be between $84.0 million and $86.0 million, representing year-over-year growth of 21% to 23%.
◦Total revenue is expected to be between $148.0 million and $150.0 million, representing a year-over-year increase of 9% to 11%.
◦Adjusted EBITDA loss is expected to be between $(9.0) million and $(5.0) million.
◦Non-GAAP net loss per share is expected to be between $(0.21) and $(0.16), assuming weighted average common shares outstanding of 73.5 million.



•Full Year 2024 Guidance:

◦Cloud subscription revenue is expected to be between $364.0 million and $366.0 million, representing year-over-year growth of 20%.
◦Total revenue is expected to be between $615.0 million and $617.0 million, representing a year-over-year increase of 13%.
◦Adjusted EBITDA loss is expected to be between $(25.0) million and $(20.0) million.
◦Non-GAAP net loss per share is expected to be between $(0.73) and $(0.66), assuming weighted average common shares outstanding of 73.8 million.

Conference Call Details:

Appian will host a conference call today, February 15, 2024, at 8:30 a.m. ET to discuss Appian's financial results for the fourth quarter ended December 31, 2023 and business outlook.

To access the call, navigate to the following link(1). Once registered, participants can dial in using their phone with a dial in and PIN, or they can choose the Call Me option for instant dial to their phone. The live webcast of the conference call can also be accessed on the Investor Relations page of our website at http://investors.appian.com.

Investor Day:

We announced an Investor Day on Tuesday, April 16 near Washington DC starting at 1:30 p.m. ET.

Event Details:
What: Appian Investor Day 2024
When: April 16, 2024 at 1:30 P.M. to 5:00 P.M. Eastern Time
In-person attendance: Please contact our team at investors@appian.com for more information.
Webcast: https://investors.appian.com/events-and-presentations/events (live and replay)
Replay: A replay of the event will be archived on the investor relations website

About Appian

Appian is a software company that automates business processes. The Appian AI Process Platform includes everything you need to design, automate, and optimize even the most complex processes, from start to finish. The world's most innovative organizations trust Appian to improve their workflows, unify data, and optimize operations—resulting in better growth and superior customer experiences. For more information, visit www.appian.com. [Nasdaq: APPN]

Non-GAAP Financial Measures

To supplement its consolidated financial statements, which are prepared and presented in accordance with GAAP, Appian provides investors with certain non-GAAP financial performance measures. Appian uses these non-GAAP financial performance measures for financial and operational decision-making and as a means to evaluate period-to-period comparisons. Appian’s management believes these non-GAAP financial measures provide meaningful supplemental information regarding Appian’s performance by excluding certain expenses that may not be indicative of our recurring core business operating results. Appian believes both management and investors benefit from referring to these non-GAAP financial measures in assessing Appian’s performance and when planning, forecasting, and analyzing future periods. These non-GAAP financial measures also facilitate management’s internal comparisons to historical performance as well as comparisons to competitors’ operating results. Appian believes these non-GAAP financial measures are useful to investors both because (1) they allow for greater transparency with respect to measures used by management in its financial and operational decision-making and (2) they are used by Appian’s institutional investors and the analyst community to help them analyze the health of Appian’s business.
1 https://register.vevent.com/register/BI223928344b2743fba392097edbdf6253



The non-GAAP financial performance measures include the following: non-GAAP subscriptions cost of revenue, non-GAAP professional services costs of revenue, non-GAAP total cost of revenue, non-GAAP total operating expense, non-GAAP operating loss, non-GAAP income tax expense, non-GAAP net loss, and non-GAAP net loss per share, basic and diluted. These non-GAAP financial performance measures exclude the effect of stock-based compensation expense, certain non-ordinary litigation-related expenses consisting of legal and other professional fees associated with the Pegasystems cases (net of insurance reimbursements), or Litigation Expense, amortization of the judgment preservation insurance policy, or JPI Amortization, and severance costs related to an involuntary reduction in our workforce in 2023, or Severance Costs. While some of these items may be recurring in nature and should not be disregarded in the evaluation of our earnings performance, it is useful to exclude such items when analyzing current results and trends compared to other periods as these items can vary significantly from period to period depending on specific underlying transactions or events that may occur. Therefore, while we may incur or recognize these types of expenses in the future, we believe removing these items for purposes of calculating our non-GAAP financial measures provides investors with a more focused presentation of our ongoing operating performance.

Appian also discusses adjusted EBITDA, a non-GAAP financial performance measure it believes offers a useful view of the overall operation of its businesses. The company defines adjusted EBITDA as net loss before (1) other non-operating (income) expenses, net, (2) interest expense, (3) income tax expense, (4) depreciation expense and amortization of intangible assets, (5) stock-based compensation expense, (6) Litigation Expense, (7) JPI Amortization, and (8) Severance Costs. The most directly comparable GAAP financial measure to adjusted EBITDA is net loss. Users should consider the limitations of using adjusted EBITDA, including the fact this measure does not provide a complete measure of our operating performance. Adjusted EBITDA is not intended to purport to be an alternative to net loss as a measure of operating performance or to cash flows from operating activities as a measure of liquidity.

The presentation of these non-GAAP financial measures is not intended to be considered in isolation from, as a substitute for, or superior to the financial information prepared and presented in accordance with GAAP, and Appian’s non-GAAP measures may be different from non-GAAP measures used by other companies. For more information on these non-GAAP financial measures, see the reconciliation of these non-GAAP financial measures to their nearest comparable GAAP measures at the end of this press release. Appian provides guidance ranges for non-GAAP net loss per share and adjusted EBITDA; however, we are not able to reconcile these amounts to their comparable GAAP financial measures without unreasonable efforts because certain information necessary to calculate such measures on a GAAP basis is unavailable, subject to high variability, dependent on future events outside of our control, and cannot be predicted. In addition, Appian believes such reconciliations could imply a degree of precision that might be confusing or misleading to investors. The actual effect of the reconciling items that Appian may exclude from these non-GAAP expense numbers, when determined, may be significant to the calculation of the comparable GAAP measures.

Forward-Looking Statements

This press release includes forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements contained in this press release other than statements of historical facts, including statements regarding Appian’s future financial and business performance for the first quarter and full year 2024, future investment by Appian in its go-to-market initiatives, increased demand for the Appian AI-Powered Process platform, market opportunity and plans and objectives for future operations, including Appian’s ability to drive continued subscriptions revenue and total revenue growth, are forward-looking statements. The words “anticipate,” “believe,” “continue,” “estimate,” “expect,” “intend,” “may,” “will,” “plan,” and similar expressions are intended to identify forward-looking statements. Appian has based these forward-looking statements on its current expectations and projections about future events and financial trends that Appian believes may affect its financial condition, results of operations, business strategy, short-term and long-term business operations and objectives, and financial needs. These forward-looking statements are subject to a number of risks and uncertainties, including the risks and uncertainties associated with Appian’s ability to grow its business and manage its growth, Appian’s ability to sustain its revenue growth rate, continued market acceptance of Appian’s AI-Powered Process platform and adoption of low-code solutions to drive digital transformation, the fluctuation of Appian’s operating results due to the length and variability of its sales cycle, competition in the markets in which Appian operates, AI being a


disruptive set of technologies that may affect the markets for Appian’s software dramatically and in unpredictable ways, risks and uncertainties associated with the composition and concentration of Appian’s customer base and their demand for its platform and satisfaction with the services provided by Appian, Appian’s ability to operate in compliance with applicable laws and regulations, Appian’s strategic relationships with third parties, and additional risks and uncertainties set forth in the “Risk Factors” section of Appian’s most recent annual report on Form 10-K, quarterly reports on Form 10-Q, and other filings with the Securities and Exchange Commission. Moreover, Appian operates in a very competitive and rapidly changing environment. New risks emerge from time to time. It is not possible for Appian’s management to predict all risks, nor can Appian assess the impact of all factors on its business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements Appian may make. In light of these risks, uncertainties, and assumptions, Appian cannot guarantee future results, levels of activity, performance, achievements, or events and circumstances reflected in the forward-looking statements will occur. Appian is under no duty to update any of these forward-looking statements after the date of this press release to conform these statements to actual results or revised expectations, except as required by law.


Investor Contact
Srinivas Anantha, CFA
703-442-8844
investors@appian.com

Media Contact
Ben Farrell
703-442-1067
ben.farrell@appian.com



APPIAN CORPORATION
CONSOLIDATED BALANCE SHEETS
(in thousands, except par value and share data) 
As of December 31,
20232022
Assets
Current assets
Cash and cash equivalents$149,351 $148,132 
Short-term investments and marketable securities9,653 47,863 
Accounts receivable, net of allowance of $2,606 and $2,125, respectively
171,561 165,964 
Deferred commissions, current34,261 30,196 
Prepaid expenses and other current assets49,529 28,093 
Restricted cash, current— 2,249 
Total current assets414,355 422,497 
Property and equipment, net of accumulated depreciation of $25,141 and $18,864, respectively
42,682 41,855 
Goodwill27,106 26,349 
Intangible assets, net of accumulated amortization of $4,152 and $2,715, respectively
3,889 5,251 
Right-of-use assets for operating leases39,975 37,248 
Deferred commissions, net of current portion59,764 55,788 
Deferred tax assets3,453 1,940 
Other assets36,279 3,286 
Total assets$627,503 $594,214 
Liabilities and Stockholders’ Equity
Current liabilities
Accounts payable$6,174 $7,997 
Accrued expenses11,046 12,227 
Accrued compensation and related benefits38,003 40,718 
Deferred revenue
235,992 194,768 
Debt
66,368 2,740 
Operating lease liabilities
11,698 8,681 
Other current liabilities1,891 3,121 
Total current liabilities371,172 270,252 
Long-term debt140,221 115,379 
Non-current operating lease liabilities59,067 57,225 
Deferred revenue, non-current4,700 5,556 
Deferred tax liabilities2 102 
Total liabilities575,162 448,514 
Stockholders’ equity
Class A common stock—par value $0.0001; 500,000,000 shares authorized as of December 31, 2023 and 2022 and 42,169,970 and 41,320,091 shares issued and outstanding as of December 31, 2023 and 2022, respectively
4 4 
Class B common stock—par value $0.0001; 100,000,000 shares authorized as December 31, 2023 and 2022 and 31,196,796 and 31,497,796 shares issued and outstanding as of December 31, 2023 and 2022, respectively
3 3 
Additional paid-in capital595,781 561,390 
Accumulated other comprehensive loss(23,555)(7,246)
Accumulated deficit(519,892)(408,451)
Total stockholders’ equity52,341 145,700 
Total liabilities and stockholders’ equity$627,503 $594,214 


APPIAN CORPORATION
CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except per share data)

Three Months Ended December 31,Year Ended December 31,
2023202220232022
(unaudited)
Revenue
Subscriptions$115,783 $93,244 $412,337 $340,152 
Professional services29,536 32,542 133,026 127,839 
Total revenue145,319 125,786 545,363 467,991 
Cost of revenue
Subscriptions11,071 9,942 43,563 36,005 
Professional services23,244 25,289 99,759 97,301 
Total cost of revenue34,315 35,231 143,322 133,306 
Gross profit111,004 90,555 402,041 334,685 
Operating expenses
Sales and marketing61,043 63,270 242,381 220,374 
Research and development34,596 37,808 153,098 139,210 
General and administrative32,193 30,097 114,535 120,111 
Total operating expenses127,832 131,175 510,014 479,695 
Operating loss(16,828)(40,620)(107,973)(145,010)
Other non-operating (income) expense
Other (income) expense, net(12,966)(9,271)(17,603)3,545 
Interest expense5,072 1,451 17,862 1,673 
Total other non-operating (income) expense(7,894)(7,820)259 5,218 
Loss before income taxes(8,934)(32,800)(108,232)(150,228)
Income tax expense1,072 1,617 3,209 692 
Net loss$(10,006)$(34,417)$(111,441)$(150,920)
Net loss per share:
Basic and diluted$(0.14)$(0.47)$(1.52)$(2.08)
Weighted average common shares outstanding:
Basic and diluted73,310 72,703 73,102 72,455 




APPIAN CORPORATION
STOCK-BASED COMPENSATION EXPENSE
(in thousands)

Three Months Ended December 31,Year Ended December 31,
2023202220232022
(unaudited)
Cost of revenue
Subscriptions$212 $284 $925 $996 
Professional services1,457 1,521 6,055 5,309 
Operating expenses
Sales and marketing2,380 2,431 10,842 9,152 
Research and development3,020 3,692 12,486 12,523 
General and administrative3,103 3,475 13,079 10,850 
Total stock-based compensation expense$10,172 $11,403 $43,387 $38,830 


APPIAN CORPORATION
CONSOLIDATED STATEMENTS OF CASH FLOWS
(in thousands)
Year Ended December 31,
20232022
Cash flows from operating activities:
Net loss$(111,441)$(150,920)
Adjustments to reconcile net loss to net cash used by operating activities:
Stock-based compensation43,387 38,830 
Depreciation expense and amortization of intangible assets9,473 7,297 
Bad debt expense1,091 1,298 
Amortization of debt issuance costs444 43 
Loss on disposal of property and equipment— 3 
Deferred income taxes(1,541)(1,089)
Foreign currency transaction gains, net(12,263)— 
Changes in assets and liabilities:
Accounts receivable(1,868)(37,922)
Prepaid expenses and other assets(54,753)(2,027)
Deferred commissions(8,043)(12,298)
Accounts payable and accrued expenses(1,394)(3,289)
Accrued compensation and related benefits(3,157)6,582 
Other current and non-current liabilities(1,134)(264)
Deferred revenue28,668 47,534 
Operating lease assets and liabilities2,089 (329)
Net cash used by operating activities(110,442)(106,551)
Cash flows from investing activities:
Proceeds from maturities of investments
91,670 84,642 
Purchases of investments(53,443)(65,283)
Purchases of property and equipment(9,637)(9,095)
Net cash provided by investing activities28,590 10,264 
Cash flows from financing activities:
Proceeds from borrowings92,000 120,000 
Payments for debt issuance costs(276)(1,940)
Debt repayments(3,563)(625)
Payments for employee taxes related to the net share settlement of equity awards(9,748)— 
Proceeds from exercise of common stock options752 25,432 
Net cash provided by financing activities79,165 142,867 
Effect of foreign exchange rate changes on cash, cash equivalents, and restricted cash1,657 (159)
Net (decrease) increase in cash, cash equivalents, and restricted cash(1,030)46,421 
Cash, cash equivalents, and restricted cash at beginning of period150,381 103,960 
Cash, cash equivalents, and restricted cash at end of period$149,351 $150,381 
Supplemental cash flow information:
Cash paid for interest$16,906 $1,671 
Cash paid for income taxes$3,999 $1,239 
Supplemental non-cash investing and financing information:
Accrued capital expenditures$654 $1,774 


APPIAN CORPORATION
RECONCILIATION OF GAAP MEASURES TO NON-GAAP MEASURES
(unaudited, in thousands, except per share data)

GAAP MeasureStock-Based Compensation
Litigation Expense
JPI AmortizationSeverance CostsNon-GAAP Measure
Three Months Ended December 31, 2023
Subscriptions cost of revenue
$11,071 $(212)$— $— $— $10,859 
Professional services cost of revenue
23,244 (1,457)— — — 21,787 
Total cost of revenue
34,315 (1,669)— — — 32,646 
Total operating expense127,832 (8,503)(708)(4,553)— 114,068 
Operating loss(16,828)10,172 708 4,553 — (1,395)
Income tax expense1,072 571 — — — 1,643 
Net income
(10,006)9,601 708 4,553 — 4,856 
Net income per share, basic(a)
$(0.14)$0.13 $0.01 $0.06 $— $0.07 
Net income per share, diluted(b)
$(0.14)$0.13 $0.01 $0.06 $— $0.06 
Year Ended December 31, 2023
Subscriptions cost of revenue
$43,563 $(925)$— $— $(30)$42,608 
Professional services cost of revenue
99,759 (6,055)— — (158)93,546 
Total cost of revenue
143,322 (6,980)— — (188)136,154 
Total operating expense510,014 (36,407)2,064 (6,038)(6,111)463,522 
Operating loss(107,973)43,387 (2,064)6,038 6,299 (54,313)
Income tax expense
3,209 1,302 — — 139 4,650 
Net loss(111,441)42,085 (2,064)6,038 6,160 (59,222)
Net loss per share, basic and diluted
$(1.52)$0.58 $(0.03)$0.08 $0.08 $(0.81)
(a) Per share amounts do not foot due to rounding.
(b) Accounts for the impact of 2.0 million shares of dilutive securities resulting in total diluted shares of 75.3 million.
GAAP MeasureStock-Based Compensation
Litigation Expense
Non-GAAP Measure
Three Months Ended December 31, 2022
Subscriptions cost of revenue
$9,942 $(284)$— $9,658 
Professional services cost of revenue
25,289 (1,521)— 23,768 
Total cost of revenue
35,231 (1,805)— 33,426 
Total operating expense131,175 (9,598)(2,453)119,124 
Operating loss(40,620)11,403 2,453 (26,764)
Net loss(34,417)11,403 2,453 (20,561)
Net loss per share, basic and diluted
$(0.47)$0.16 $0.03 $(0.28)
Year Ended December 31, 2022
Subscriptions cost of revenue
$36,005 $(996)$— $35,009 
Professional services cost of revenue
97,301 (5,309)— 91,992 
Total cost of revenue
133,306 (6,305)— 127,001 
Total operating expense479,695 (32,525)(22,886)424,284 
Operating loss(145,010)38,830 22,886 (83,294)
Net loss(150,920)38,830 22,886 (89,204)
Net loss per share, basic and diluted
$(2.08)$0.54 $0.32 $(1.23)



 Three Months Ended December 31,Year Ended December 31,
2023202220232022
Reconciliation of adjusted EBITDA:
GAAP net loss$(10,006)$(34,417)$(111,441)$(150,920)
Other (income) expense, net
(12,966)(9,271)(17,603)3,545 
Interest expense5,072 1,451 17,862 1,673 
Income tax expense1,072 1,617 3,209 692 
Depreciation expense and amortization of intangible assets
2,427 1,965 9,473 7,297 
Stock-based compensation expense10,172 11,403 43,387 38,830 
Litigation Expense
708 2,453 (2,064)22,886 
JPI Amortization
4,553 — 6,038 — 
Severance Costs
— — 6,299 — 
Adjusted EBITDA$1,032 $(24,799)$(44,840)$(75,997)

v3.24.0.1
Cover
Feb. 15, 2024
Cover [Abstract]  
Document Type 8-K
Document Period End Date Feb. 15, 2024
Entity Registrant Name Appian Corporation
Entity Incorporation, State or Country Code DE
Entity File Number 001-38098
Entity Tax Identification Number 54-1956084
Entity Address, State or Province VA
Entity Address, City or Town McLean
Entity Address, Address Line One 7950 Jones Branch Drive
Entity Address, Postal Zip Code 22102
City Area Code 703
Local Phone Number 442-8844
Written Communications false
Soliciting Material false
Pre-commencement Tender Offer false
Pre-commencement Issuer Tender Offer false
Title of 12(b) Security Class A Common Stock
Trading Symbol APPN
Security Exchange Name NASDAQ
Entity Emerging Growth Company false
Amendment Flag false
Entity Central Index Key 0001441683
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