Silicon Laboratories Inc.
Condensed Consolidated Statements of Cash Flows
(In thousands)
(Unaudited)

Six Months Ended

July 1,
2017

July 2,
2016

Operating Activities

Net income

$  31,995

$  21,367

Adjustments to reconcile net income to cash provided by operating activities:

   Depreciation of property and equipment

7,308

6,675

   Amortization of other intangible assets and other assets

13,571

15,534

   Amortization of debt discount and debt issuance costs 

3,907

--

   Stock-based compensation expense

21,652

20,861

   Income tax benefit (shortfall) from stock-based awards

--

(1,218)

   Deferred income taxes

(6,242)

817

   Changes in operating assets and liabilities:

      Accounts receivable

(887)

1,611

      Inventories

(7,737)

(2,888)

      Prepaid expenses and other assets

12,539

3,282

      Accounts payable

2,363

(1,680)

      Accrued expenses

141

4,372

      Deferred income on shipments to distributors

3,251

3,773

      Income taxes

(127)

(1,338)

      Other non-current liabilities

(1,169)

(10,737)

Net cash provided by operating activities

80,565

60,431

Investing Activities

Purchases of available-for-sale investments

(389,234)

(92,222)

Sales and maturities of available-for-sale investments

92,307

78,950

Purchases of property and equipment

(8,390)

(5,146)

Purchases of other assets

(1,784)

(2,215)

Acquisition of business, net of cash acquired

(13,658)

--

Net cash used in investing activities

(320,759)

(20,633)

Financing Activities

Proceeds from issuance of long-term debt, net

389,468

--

Payments on debt

(72,500)

(5,000)

Repurchases of common stock

--

(36,103)

Payment of taxes withheld for vested stock awards

(14,101)

(9,308)

Proceeds from the issuance of common stock

6,836

7,362

Payment of acquisition-related contingent consideration

--

(9,500)

Net cash provided by (used in) financing activities

309,703

Increase (decrease) in cash and cash equivalents

69,509

(12,751)

Cash and cash equivalents at beginning of period

141,106

114,085

Cash and cash equivalents at end of period

$210,615

$101,334