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CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
$ in Thousands
6 Months Ended
Jun. 30, 2017
USD ($)
Jun. 30, 2016
USD ($)
Operating activities    
Net income $ 4,736 $ 7,163
Adjustments to reconcile net income to net cash provided by operating activities:    
Depreciation expense 1,762 1,573
Amortization of intangible assets 2,551 2,172
Provision for doubtful accounts 264 167
Investment discount and premium amortization (23) 216
Stock-based compensation 6,163 3,950
Tax benefit from business acquisition (2,415) (9,708)
Changes in assets and liabilities:    
Accounts receivable (1,186) (1,600)
Inventories (3,369) (6,940)
Restricted cash (3)  
Prepaid expenses and other current assets 1,198 1,513
Other assets (595) (347)
Accounts payable 875 1,752
Accrued liabilities (1,653) 514
Deferred revenue 269 212
Other long-term liabilities 252 (462)
Net cash provided by operating activities 8,826 175
Investing activities    
Purchases of available-for-sale investments (28,933) (1,996)
Proceeds from sales of available-for-sale investments 950  
Proceeds from maturities of available-for-sale investments 20,268 27,208
Purchases of property and equipment (1,618) (1,171)
Business acquisitions, net of cash acquired (7,881) (32,891)
Net cash used in investing activities (17,214) (8,850)
Financing activities    
Proceeds from exercise of options for common stock 7,775 711
Payments for taxes related to net share settlement of equity awards (2,596)  
Repurchase of common stock (1,821) (3,242)
Repayment of notes payable   (387)
Proceeds from revolving credit facility   5,000
Payment of debt issuance costs   (89)
Net cash provided by financing activities 3,358 1,993
Effect of exchange rate changes on cash and cash equivalents 280 (41)
Net change in cash and cash equivalents (4,750) (6,723)
Cash and cash equivalents at beginning of period 34,813 29,530
Cash and cash equivalents at end of period 30,063 22,807
Supplemental disclosure of cash flow information    
Cash paid for interest 63 104
Cash paid for taxes 834 622
Supplemental schedule of non-cash investing and financing activities    
Business acquisitions holdback liability 1,068  
Purchases of property and equipment financed by accounts payable 178  
Net unrealized (losses) gains on available-for-sale investments $ (3) $ 70