FARO TECHNOLOGIES, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED BALANCE SHEETS

(UNAUDITED)

(in thousands, except share and per share data)

December 31,
2019

December 31,
2018

ASSETS

Current assets:

Cash and cash equivalents

$

133,634

$

108,783

Short-term investments

24,870

24,793

Accounts receivable, net

76,162

88,927

Inventories, net

58,554

65,444

Prepaid expenses and other current assets

28,996

28,795

Total current assets

322,216

316,742

Non-current assets:

Plant and equipment, net

26,954

30,417

Operating lease right-of-use asset

18,418

—

Goodwill

49,704

67,274

Intangible assets, net

14,471

33,054

Service and sales demonstration inventory, net

33,349

39,563

Deferred income tax assets, net

18,766

14,719

Other long-term assets

2,964

4,475

Total assets

$

486,842

$

506,244

LIABILITIES AND SHAREHOLDERS' EQUITY

Current liabilities:

Accounts payable

$

13,718

$

20,093

Accrued liabilities

38,072

36,327

Income taxes payable

5,182

5,081

Current portion of unearned service revenues

39,211

32,878

Customer deposits

3,108

3,144

Lease liability

6,674

—

Total current liabilities

105,965

97,523

Unearned service revenues - less current portion

20,578

15,505

Lease liability - less current portion

13,698

—

Deferred income tax liabilities

357

736

Income taxes payable - less current portion

13,177

12,247

Other long-term liabilities

1,075

3,624

Total liabilities

154,850

129,635

Shareholders' equity:

Common stock - par value $0.001, 50,000,000 shares authorized; 18,988,379 and
18,676,059 issued; 17,576,618 and 17,253,011 outstanding, respectively

19

19

Additional paid-in capital

267,868

251,329

Retained earnings

112,879

175,353

Accumulated other comprehensive loss

(17,399)

(18,483)

Common stock in treasury, at cost - 1,411,761 shares and 1,423,048, respectively

(31,375)

(31,609)

Total shareholders' equity

331,992

376,609

Total liabilities and shareholders' equity

$

486,842

$

506,244