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Consolidated Statements of Cash Flows (Unaudited) - USD ($)
$ in Thousands
3 Months Ended 9 Months Ended
Sep. 30, 2016
Sep. 30, 2015
Sep. 30, 2016
Sep. 30, 2015
Cash flows from operating activities:        
Net income $ 51,517 $ 29,432 $ 119,930 $ 79,463
Adjustments to reconcile net income to net cash used in operating activities:        
Additions to streaming content assets (2,442,080) (1,304,466) (6,550,445) (4,221,326)
Change in streaming content liabilities 529,885 104,684 1,674,125 922,163
Amortization of streaming content assets 1,224,108 871,403 3,457,990 2,443,521
Amortization of DVD content assets 19,284 18,589 59,746 60,587
Depreciation and amortization of property, equipment and intangibles 14,410 16,047 43,339 46,795
Stock-based compensation expense 43,495 32,834 130,029 88,865
Excess tax benefits from stock-based compensation (12,762) (37,726) (37,401) (106,154)
Other non-cash items 9,682 10,866 31,479 23,854
Deferred taxes 14,338 (29,417) (20,141) (70,691)
Changes in operating assets and liabilities:        
Other current assets 10,250 66,695 48,649 81,448
Accounts payable 27,810 6,762 16,707 2,584
Accrued expenses 28,957 10,883 72,288 88,429
Deferred revenue 30,230 27,985 80,485 55,153
Other non-current assets and liabilities (11,065) (20,540) (43,604) 615
Net cash used in operating activities (461,941) (195,969) (916,824) (504,694)
Cash flows from investing activities:        
Acquisition of DVD content assets (17,249) (14,467) (58,380) (57,159)
Purchases of property and equipment (27,366) (37,820) (46,605) (78,394)
Change in other assets 125 (3,760) 676 (4,174)
Purchases of short-term investments (128,136) (66,444) (181,590) (225,333)
Proceeds from sale of short-term investments 171,747 43,887 198,687 144,247
Proceeds from maturities of short-term investments 24,855 31,125 112,555 82,182
Net cash provided by (used in) investing activities 23,976 (47,479) 25,343 (138,631)
Cash flows from financing activities:        
Proceeds from issuance of common stock 3,819 35,089 11,587 69,809
Proceeds from issuance of debt 0 0 0 1,500,000
Issuance costs 0 0 0 (17,629)
Excess tax benefits from stock-based compensation 12,762 37,726 37,401 106,154
Other financing activities 58 (61) 170 (599)
Net cash provided by financing activities 16,639 72,754 49,158 1,657,735
Effect of exchange rate changes on cash and cash equivalents (441) (7,741) 2,151 (12,581)
Net (decrease) increase in cash and cash equivalents (421,767) (178,435) (840,172) 1,001,829
Cash and cash equivalents, beginning of period 1,390,925 2,293,872 1,809,330 1,113,608
Cash and cash equivalents, end of period $ 969,158 $ 2,115,437 $ 969,158 $ 2,115,437