Square, Inc. (NYSE:SQ) Q3 2019 Earnings Conference Call Transcript
Nov 06, 2019 • 05:00 pm ET
Good day, ladies and gentlemen, and welcome to the Square Third Quarter 2019 Earnings Conference Call.
I would now like to turn the call over to your host, Jason Lee, Head of Investor Relations. Please go ahead.
Hi, everyone. Thanks for joining our third quarter 2019 earnings call. We have Jack and Amrita with us today. First, we want to remind everyone of the format of our earnings call. We have published a shareholder letter on our Investor Relations website, which was available shortly after the market closed. We will begin this call with some short remarks before opening the call directly to your questions. During Q&A, we will take questions from our sellers in addition to questions from conference call participants.
On November 1st, we filed a press release and 8-K announcing that we completed the sale of Caviar, our food ordering platform to DoorDash on October 31st. Today, in addition to our shareholder letter, we have filed an 8-K that includes Caviar financial statements for the third quarter of 2019 and the preceding six quarters, which I encourage you all to read.
We would also like to remind everyone that we will be making forward-looking statements on this call. Actual results could differ materially from those contemplated by our forward-looking statements. Reported results should not be considered as an indication of future performance. Please take a look at our filings with the SEC for a discussion of the factors that could cause our results to differ. Also note that the forward-looking statements on this call are based on information available to us as of today's date. We disclaim any obligation to update any forward-looking statements, except as required by law.
Also during this call, we will discuss certain non-GAAP financial measures. Reconciliations to the most directly comparable GAAP financial measures are provided in the shareholder letter on our Investor Relations website. These non-GAAP measures are not intended to be a substitute for our GAAP results.
Additionally, as discussed in the shareholder letter, we will be discontinuing the use of adjusted revenue beginning next quarter, following receipt of a comment letter from and discussions with the SEC. As background, we introduced adjusted revenue in November 2015 as a supplemental non-GAAP metric for investors to measure our business performance and growth, and provide greater comparability to other payment solution providers. Additionally, management uses adjusted revenue internally to measure the performance of our business.
Going forward, our statement of operations will continue to disclose total net revenue, transaction-based cost and bitcoin costs, determined in accordance with GAAP, which are the key components of adjusted revenue. We are also introducing new guidance measures this quarter on GAAP gross profit, as well as some of transaction-based cost and bitcoin costs.
We have posted an FAQ document on our Investor Relations website with further details on this reporting change, as well as the spreadsheet with our historical financials. There are no changes to any other GAAP or non-GAAP metrics.
Finally, this call in this entirety