FARO TECHNOLOGIES, INC. AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS

(UNAUDITED)

(in thousands, except share and per share data)

December 31,
2022

December 31,
2021

ASSETS

Current assets:

Cash and cash equivalents

$           37,812

$         121,989

Accounts receivable, net

90,326

78,523

Inventories, net

50,026

53,145

Prepaid expenses and other current assets

41,201

19,793

Total current assets

219,365

273,450

Non-current assets:

Property, plant and equipment, net

19,720

22,194

Operating lease right-of-use asset

18,989

22,543

Goodwill

107,155

82,096

Intangible assets, net

48,978

25,616

Service and sales demonstration inventory, net

30,904

30,554

Deferred income tax assets, net

24,192

21,277

Other long-term assets

4,044

2,010

Total assets

$         473,347

$         479,740

LIABILITIES AND SHAREHOLDERS' EQUITY

Current liabilities:

Accounts payable

$           27,286

$           14,199

Accrued liabilities

23,345

28,208

Income taxes payable

6,767

4,499

Current portion of unearned service revenues

36,407

40,838

Customer deposits

6,725

5,399

Lease liability

5,709

5,738

Total current liabilities

106,239

98,881

Unearned service revenues - less current portion

20,947

22,350

Lease liability - less current portion

14,649

18,648

Deferred income tax liabilities

11,708

1,058

Income taxes payable - less current portion

8,706

11,297

Other long-term liabilities

49

1,047

Total liabilities

162,298

153,281

Common stock - par value $0.001, 50,000,000 shares authorized; 20,156,233 and
19,588,003 issued; 18,780,013 and 18,205,636 outstanding, respectively

20

20

Additional paid-in capital

328,227

301,061

Retained earnings

46,788

73,544

Accumulated other comprehensive loss

(33,331)

(17,374)

Common stock in treasury, at cost - 1,376,220 and 1,382,367 shares held, respectively

(30,655)

(30,792)

Total shareholders' equity

311,049

326,459

Total liabilities and shareholders' equity

$         473,347

$         479,740