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Consolidated Statements of Cash Flows - USD ($)
$ in Thousands
3 Months Ended 9 Months Ended
Sep. 30, 2015
Sep. 30, 2014
Sep. 30, 2015
Sep. 30, 2014
Cash flows from operating activities:        
Net income $ 29,432 $ 59,295 $ 79,463 $ 183,428
Adjustments to reconcile net income to net cash (used in) provided by operating activities:        
Additions to streaming content library (1,308,943) (1,202,484) (4,194,545) (2,765,197)
Change in streaming content liabilities 104,684 346,752 922,163 467,355
Amortization of streaming content library 871,403 686,154 2,443,521 1,925,926
Amortization of DVD content library 18,589 18,269 60,587 51,313
Depreciation and amortization of property, equipment and intangibles 16,047 14,357 46,795 39,716
Stock-based compensation expense 32,834 29,878 88,865 84,988
Excess tax benefits from stock-based compensation (37,726) (21,060) (106,154) (68,420)
Other non-cash items 10,866 3,360 23,854 8,807
Deferred taxes (29,417) (7,892) (70,691) (37,564)
Changes in operating assets and liabilities:        
Other current assets 71,172 12,960 54,667 27,341
Accounts payable 6,762 13,003 2,584 32,729
Accrued expenses 10,883 (6,980) 88,429 51,586
Deferred revenue 27,985 11,626 55,153 37,189
Other non-current assets and liabilities (20,540) 5,323 615 15,747
Net cash (used in) provided by operating activities (195,969) (37,439) (504,694) 54,944
Cash flows from investing activities:        
Acquisition of DVD content library (14,467) (15,530) (57,159) (51,425)
Purchases of property and equipment (37,820) (21,032) (78,394) (54,235)
Other assets (3,760) 341 (4,174) 1,765
Purchases of short-term investments (66,444) (123,883) (225,333) (355,337)
Proceeds from sale of short-term investments 43,887 107,568 144,247 340,278
Proceeds from maturities of short-term investments 31,125 32,125 82,182 127,229
Net cash (used in) provided by investing activities (47,479) (20,411) (138,631) 8,275
Cash flows from financing activities:        
Proceeds from issuance of common stock 35,089 9,877 69,809 56,794
Proceeds from issuance of debt 0 0 1,500,000 400,000
Issuance costs 0 0 (17,629) (7,080)
Excess tax benefits from stock-based compensation 37,726 21,060 106,154 68,420
Principal payments of lease financing obligations (61) (275) (599) (813)
Net cash provided by financing activities 72,754 30,662 1,657,735 517,321
Effect of exchange rate changes on cash and cash equivalents (7,741) (3,839) (12,581) (2,288)
Net (decrease) increase in cash and cash equivalents (178,435) (31,027) 1,001,829 578,252
Cash and cash equivalents, beginning of period 2,293,872 1,214,244 1,113,608 604,965
Cash and cash equivalents, end of period 2,115,437 1,183,217 2,115,437 1,183,217
Supplemental disclosure of non-cash investing activities:        
(Decrease) increase in accounts payable related to purchases of property and equipment $ (9,790) $ (1,362) $ 2,362 $ 4,431