FARO TECHNOLOGIES, INC. AND SUBSIDIARIES | |||||||
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS | |||||||
(UNAUDITED) | |||||||
|
| |||||||
|
| Years Ended December 31, | ||||||
(in thousands) | 2019 |
| 2018 | ||||
CASH FLOWS FROM: |
|
|
| ||||
OPERATING ACTIVITIES: |
|
|
| ||||
Net (loss) income | $ | (62,147) |
|
| $ | 4,930 |
|
Adjustments to reconcile net (loss) income to net cash provided by operating activities: |
|
|
| ||||
Depreciation and amortization | 18,516 |
|
| 18,313 |
| ||
Compensation for stock options and restricted stock units | 11,071 |
|
| 7,620 |
| ||
Provision for bad debts | 2,090 |
|
| 907 |
| ||
Loss on disposal of assets | 2,639 |
|
| 192 |
| ||
Provision for excess and obsolete inventory | 16,886 |
|
| 5,757 |
| ||
Impairment of goodwill | 21,233 |
|
| — |
| ||
Impairment of acquired intangibles | 10,548 |
|
| — |
| ||
Impairment of loan to affiliate | 549 |
|
| — |
| ||
Deferred income tax (benefit) expense | (6,304) |
|
| 689 |
| ||
Change in operating assets and liabilities: |
|
|
| ||||
(Increase) decrease in: |
|
|
| ||||
Accounts receivable, net | 10,406 |
|
| (15,995) |
| ||
Inventories | (4,136) |
|
| (20,532) |
| ||
Prepaid expenses and other assets | 1,188 |
|
| (11,310) |
| ||
Increase (decrease) in: |
|
|
| ||||
Accounts payable and accrued liabilities | (2,518) |
|
| 11,195 |
| ||
Income taxes payable | 1,041 |
|
| (3,286) |
| ||
Customer deposits | (30) |
|
| 513 |
| ||
Unearned service revenues | 11,436 |
|
| 7,330 |
| ||
Net cash provided by operating activities | 32,468 |
|
| 6,323 |
| ||
INVESTING ACTIVITIES: |
|
|
| ||||
Purchases of investments | (50,000) |
|
| (47,000) |
| ||
Proceeds from sale of investments | 50,000 |
|
| 33,000 |
| ||
| Purchases of property and equipment | (6,675) |
|
| (11,021) |
| ||
| Payments for internally capitalized patents | (2,118) |
|
| (1,900) |
| ||
| Acquisition of business, net of cash received | — |
|
| (27,067) |
| ||
| Other | (549) |
|
| (1,786) |
| ||
| Net cash used in investing activities | (9,342) |
|
| (55,774) |
| ||
| FINANCING ACTIVITIES: |
|
|
| ||||
| Payments on capital leases | (358) |
|
| (157) |
| ||
| Payments of contingent consideration for acquisitions | (3,101) |
|
| (888) |
| ||
| Payments for taxes related to net share settlement of equity awards | (2,199) |
|
| — |
| ||
| Proceeds from issuance of stock related to stock option exercises | 7,901 |
|
| 20,855 |
| ||
| Net cash provided by financing activities | 2,243 |
|
| 19,810 |
| ||
| EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS | (518) |
|
| (2,536) |
| ||
| INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS | 24,851 |
|
| (32,177) |
| ||
| CASH AND CASH EQUIVALENTS, BEGINNING OF YEAR | 108,783 |
|
| 140,960 |
| ||
| CASH AND CASH EQUIVALENTS, END OF YEAR | $ | 133,634 |
|
| $ | 108,783 |
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