000-19528 | 95-3685934 | |
(Commission File Number) | (IRS Employer Identification No.) |
5775 Morehouse Drive, San Diego, CA | 92121 | |
(Address of principal executive offices) | (Zip Code) |
Exhibit No. | Description | ||
Press Release by QUALCOMM Incorporated dated July 25, 2018. |
QUALCOMM Incorporated | |||||
Date: | July 25, 2018 | By: | /s/ George S. Davis | ||
George S. Davis | |||||
Executive Vice President and Chief Financial Officer |
Q3 Fiscal 2018 | Q3 Fiscal 2017 | Year-Over-Year Change | Q2 Fiscal 2018 | Sequential Change | |||||
Revenues | $5.6B | $5.4B | +4% | $5.3B | +6% | ||||
Operating income | $0.9B | $0.8B | +20% | $0.4B | +110% | ||||
Net income 1 | $1.2B | $0.9B | +41% | $0.4B | N/M | ||||
Diluted earnings per share 1 | $0.82 | $0.58 | +41% | $0.24 | N/M | ||||
Operating cash flow 2 | $2.1B | $0.2B | N/M | $0.5B | N/M |
Qualcomm Announces Third Quarter Fiscal 2018 Results | Page 2 of 15 |
Q3 Fiscal 2018 | Q3 Fiscal 2017 | Year-Over-Year Change | Q2 Fiscal 2018 | Sequential Change | |||||
Revenues | $5.6B | $5.3B | +6% | $5.2B | +8% | ||||
Operating income | $1.4B | $1.2B | +16% | $1.3B | +11% | ||||
Net income | $1.5B | $1.2B | +22% | $1.2B | +27% | ||||
Diluted earnings per share | $1.01 | $0.83 | +22% | $0.80 | +26% |
• | The third quarter of fiscal 2018 GAAP results included: |
◦ | $112 million of restructuring and restructuring-related charges, or ($0.06) per share, related to our Cost Plan that was announced in the second quarter of fiscal 2018. |
• | The third quarter of fiscal 2018 GAAP and Non-GAAP results included: |
◦ | $500 million of revenues, or $0.30 per share for GAAP and $0.26 per share for Non-GAAP, resulting from an interim agreement with the other licensee in dispute for royalties due after the second quarter of fiscal 2017, while negotiations continue. |
• | The third quarter of fiscal 2017 GAAP results included: |
Qualcomm Announces Third Quarter Fiscal 2018 Results | Page 3 of 15 |
◦ | A reduction in operating cash flow due to a $940 million payment to BlackBerry and a $927 million payment related to the Korea Fair Trade Commission (KFTC) fine. |
• | The second quarter of fiscal 2018 GAAP results included: |
◦ | $310 million of restructuring and restructuring-related charges, or ($0.18) per share, related to our Cost Plan. |
(in millions, except percentages) | Q3 Fiscal 2018 | Q3 Fiscal 2017 | Year-Over-Year Change | Q2 Fiscal 2018 | Sequential Change | ||||
QCT | |||||||||
Revenues | $4,087 | $4,052 | +1% | $3,897 | +5% | ||||
EBT 1 | $607 | $575 | +6% | $608 | —% | ||||
EBT as % of revenues | 15% | 14% | +1% | 16% | (1%) | ||||
MSMTM chip shipments | 199 | 187 | +6% | 187 | +6% | ||||
QTL | |||||||||
Revenues | $1,465 | $1,172 | +25% | $1,260 | +16% | ||||
EBT | $1,049 | $854 | +23% | $850 | +23% | ||||
EBT as % of revenues | 72% | 73% | (1%) | 67% | +5% |
Qualcomm Announces Third Quarter Fiscal 2018 Results | Page 4 of 15 |
Qualcomm Announces Third Quarter Fiscal 2018 Results | Page 5 of 15 |
Qualcomm Announces Third Quarter Fiscal 2018 Results | Page 6 of 15 |
Q4 FY17 Results (1) | Current Guidance Q4 FY18 Estimates (2)(3) | ||||||
Revenues | $5.9B | $5.1B - $5.9B | |||||
Year-over-year change | decrease 14% - flat | ||||||
GAAP diluted earnings per share (EPS) | $0.11 | $0.58 - $0.68 | |||||
Year-over-year change | N/M | ||||||
Less diluted EPS attributable to QSI | $0.02 | $0.03 | |||||
Less diluted EPS attributable to share-based compensation | ($0.10) | ($0.12 | ) | ||||
Less diluted EPS attributable to other items | ($0.73) | ($0.08 | ) | ||||
Non-GAAP diluted EPS | $0.92 | $0.75 - $0.85 | |||||
Year-over-year change | decrease 8% - 18% | ||||||
Other Information | |||||||
MSM chip shipments | 220 | M | 205M - 225M | ||||
Year-over-year change | decrease 7% - increase 2% | ||||||
QTL revenues | $1.2B | $1.0B - $1.2B | |||||
Year-over-year change | decrease 1% - 18% |
(1) | The fourth quarter of fiscal 2017 results excluded QTL revenues for royalties due on sales of Apple’s products by Apple’s contract manufacturers, as well as sales of products by the other licensee in dispute. Diluted EPS attributable to other items for the fourth quarter of fiscal 2017 was primarily attributable to the $778 million charge related to the fine imposed by the Taiwan Fair Trade Commission. |
(2) | Our financial guidance for the fourth quarter of fiscal 2018 excludes QTL revenues for royalties due on sales of Apple’s products by Apple’s contract manufacturers as we expect the actions taken by these companies will continue until the respective disputes are resolved. Our financial guidance for the fourth quarter of fiscal 2018 includes $100 million of QTL revenues from the other licensee under the interim agreement while negotiations continue. Further, our guidance for the fourth quarter of fiscal 2018 does not include estimates related to the operating results of our proposed acquisition of NXP or the payment of the $2.0 billion termination fee that is due if we have not received approval from SAMR by the End Date, which is estimated to be ($1.35) per share and will be excluded from our Non-GAAP results. It also does not include the impact of the significant stock repurchase program that we intend to implement if the agreement is terminated. |
(3) | Our guidance for diluted EPS attributable to other items for the fourth quarter of fiscal 2018 is primarily attributable to acquisition-related items and restructuring and restructuring-related items. Our guidance for Non-GAAP diluted EPS excludes a reduction to revenues related to a portion of a business arrangement that resolves a legal dispute. |
Qualcomm Announces Third Quarter Fiscal 2018 Results | Page 7 of 15 |
GAAP Results | Less QSI | Less Share-Based Compensation | Less Other Items (a) (b) | Non-GAAP Results | ||||||||||||
Q3 FISCAL 2018 | ||||||||||||||||
Revenues | $5,599 | $20 | $— | ($50) | (c) | $5,629 | ||||||||||
Operating income (loss) | 925 | 2 | (189) | (312) | 1,424 | |||||||||||
EBT | 956 | (7) | (189) | (264) | 1,416 | |||||||||||
EBT as % of revenues | 17 | % | 25 | % | ||||||||||||
Net income (loss) | 1,219 | (5) | (155) | (129) | 1,508 | |||||||||||
Diluted EPS | $0.82 | $0.00 | ($0.10) | ($0.09) | $1.01 | |||||||||||
Diluted shares | 1,487 | 1,487 | 1,487 | 1,487 | 1,487 | |||||||||||
Q2 FISCAL 2018 | ||||||||||||||||
Revenues | $5,261 | $30 | $— | $— | $5,231 | |||||||||||
Operating income (loss) | 441 | 10 | (222) | (628) | 1,281 | |||||||||||
EBT | 358 | 40 | (222) | (696) | 1,236 | |||||||||||
EBT as % of revenues | 7 | % | 24 | % | ||||||||||||
Net income (loss) | 363 | 30 | (193) | (661) | 1,187 | |||||||||||
Diluted EPS | $0.24 | $0.02 | ($0.13) | ($0.44) | $0.80 | |||||||||||
Diluted shares | 1,494 | 1,494 | 1,494 | 1,494 | 1,494 | |||||||||||
Q3 FISCAL 2017 | ||||||||||||||||
Revenues | $5,371 | $56 | $— | $12 | $5,303 | |||||||||||
Operating income (loss) | 773 | 34 | (227) | (259) | 1,225 | |||||||||||
EBT | 858 | 55 | (227) | (271) | 1,301 | |||||||||||
EBT as % of revenues | 16 | % | 25 | % | ||||||||||||
Net income (loss) | 866 | 32 | (199) | (204) | 1,237 | |||||||||||
Diluted EPS | $0.58 | $0.02 | ($0.13) | ($0.14) | $0.83 | |||||||||||
Diluted shares | 1,491 | 1,491 | 1,491 | 1,491 | 1,491 |
(a) | At fiscal year end, the quarterly tax provision (benefit) for each column equals the annual tax provision (benefit) for each column computed in accordance with GAAP. In interim quarters, the sum of these provisions (benefits) may not equal the total GAAP tax provision, and this difference is included in the tax provision (benefit) in the “Other Items” column. See the “Reconciliations of GAAP Tax Rates to Non-GAAP Tax Rates” herein for further details. |
(b) | Further details of amounts included in the “Other Items” column for the current period are included in the “Supplemental Information and Reconciliations” and the “Reconciliations of GAAP Tax Rates to Non-GAAP Tax Rates.” Details of amounts included in the “Other Items” column for prior periods are included in the news releases for those periods. |
(c) | Other items excluded from Non-GAAP revenues consisted of a reduction to licensing revenues related to a portion of a business arrangement that resolves a legal dispute. |
Qualcomm Announces Third Quarter Fiscal 2018 Results | Page 8 of 15 |
Q3 FISCAL 2018 | |||||||||||||||||||
($ in millions, except per share data) | GAAP Results | Less QSI | Less Share-Based Compensation | Less Other Items (a) | Non-GAAP Results | ||||||||||||||
Cost of revenues | $2,491 | $15 | $9 | $127 | $2,340 | ||||||||||||||
Research and development (R&D) expenses | 1,416 | — | 140 | 2 | 1,274 | ||||||||||||||
Selling, general and administrative (SG&A) expenses | 655 | 3 | 40 | 21 | 591 | ||||||||||||||
Other expenses | 112 | — | — | 112 | — | ||||||||||||||
Interest expense | 212 | — | — | 22 | 190 | ||||||||||||||
Investment and other income (loss), net | 243 | (9) | — | 70 | 182 | (b) | |||||||||||||
Diluted EPS impact of the interim agreement with the other licensee in dispute while negotiations continue | $0.30 | $0.00 | $0.00 | $0.04 | (c) | $0.26 |
(a) | Other items excluded from Non-GAAP results included $167 million of acquisition-related charges, $112 million of restructuring and restructuring-related charges related to our Cost Plan, $5 million of interest expense related to the European Commission fine and $70 million of foreign currency transaction gains related to the European Commission and Taiwan Fair Trade Commission fines, net of associated losses on derivative instruments. |
(b) | Included $175 million in interest and dividend income, $17 million in net foreign currency gains and $10 million in net realized gains on investments, partially offset by $17 million in equity in net losses of investees and $3 million of net losses on derivative instruments. |
(c) | At fiscal year end, the quarterly tax provision (benefit) for each column equals the annual tax provision (benefit) for each column computed in accordance with GAAP. In interim quarters, the sum of these provisions (benefits) may not equal the total GAAP tax provision, and this difference is included in the tax provision (benefit) in the “Other Items” column. |
($ in millions) | GAAP Results | Less QSI | Less Share-Based Compensation | Less Other Items (c) (d) | Non-GAAP Results | ||||||||||||||||||||||||||
Q3 FISCAL 2018 | |||||||||||||||||||||||||||||||
Income (loss) before income taxes | $ | 956 | $ | (7 | ) | $ | (189 | ) | $ | (264 | ) | $ | 1,416 | ||||||||||||||||||
Income tax benefit | 263 | 2 | 34 | 135 | 92 | ||||||||||||||||||||||||||
Net income (loss) (a) | $ | 1,219 | $ | (5 | ) | $ | (155 | ) | $ | (129 | ) | $ | 1,508 | ||||||||||||||||||
Tax rate | (28 | %) | 0 | % | (b) | (6 | %) | (b) | (16 | %) | (b) | (6 | %) | ||||||||||||||||||
FISCAL 2018 | |||||||||||||||||||||||||||||||
Estimated annual tax rate | 264 | % | 1 | % | (b) | (4 | %) | (b) | 265 | % | (b) | 2 | % |
(a) | Before adjustments for noncontrolling interests. |
(b) | The incremental effect of our adjustments to the Non-GAAP tax rate is calculated by allocating the difference between (i) the tax expense (benefit) calculated based on the GAAP tax rate and (ii) the actual or estimated tax expense (benefit) for each column. |
(c) | In the third quarter of fiscal 2018, the tax benefit in the “Other Items” column included a $123 million net benefit related to the refinement of estimates related to the combined effect of the Toll Charge and the remeasurement of deferred tax assets and liabilities, all of which relate to the Tax Legislation, a $27 million tax benefit for the tax effect of acquisition-related items in EBT and a $17 million tax benefit related to the fiscal 2017 tax benefits from a new tax incentive agreement in Singapore, partially offset by tax expenses of $20 million to reconcile the tax provision for each column to the total GAAP tax provision for the quarter, $11 million due to an increase in unrecognized tax benefits and $1 million for the combined effect of other items in EBT. |
(d) | In fiscal 2018, the estimated annual effective tax rate for the “Other Items” column included a $5.8 billion charge related to the combined effect of the Toll Charge, the remeasurement of deferred tax assets and liabilities and our decision to no longer indefinitely reinvest certain foreign earnings, all of which relate to the Tax Legislation, and an $11 million increase in unrecognized tax benefits, partially offset by tax benefits of $134 million for the tax effect of acquisition-related items in EBT, $88 million for the combined effect of other items in EBT and $17 million related to the fiscal 2017 tax benefits from a new tax incentive agreement in Singapore. |
Qualcomm Announces Third Quarter Fiscal 2018 Results | Page 9 of 15 |
Qualcomm Announces Third Quarter Fiscal 2018 Results | Page 10 of 15 |
• | QSI is excluded because the Company expects to exit its strategic investments in the foreseeable future, and the effects of fluctuations in the value of such investments and realized gains or losses are viewed by management as unrelated to the Company’s operational performance. |
• | Share-based compensation expense primarily relates to restricted stock units. Management believes that excluding non-cash share-based compensation from the Non-GAAP financial information allows management and investors to make additional comparisons of the operating activities of the Company’s ongoing core businesses over time and with respect to other companies. |
• | Certain other items are excluded because management views such items as unrelated to the operating activities of the Company’s ongoing core businesses, as follows: |
• | Acquisition-related items include amortization of certain intangible assets, recognition of the step-up of inventories to fair value and the related tax effects of these items, as well as any effects from restructuring the ownership of such acquired assets. Additionally, the Company excludes expenses related to the termination of contracts that limit the use of the acquired intellectual property, third-party acquisition and integration services costs and costs related to temporary debt facilities and letters of credit executed prior to the close of an acquisition. Starting with acquisitions in the second quarter of fiscal 2017, the Company excludes recognition of the step-up of property, plant and equipment from the net book value based on the original cost basis to fair value. Such charges related to acquisitions that were completed prior to the second quarter of fiscal 2017 continue to be allocated to the segments, and such amounts are not material. |
• | The Company excludes certain other items that management views as unrelated to the Company’s ongoing business, such as major restructuring and restructuring-related costs, goodwill and indefinite- and long-lived asset impairments and awards, settlements and/or damages arising from legal or regulatory matters. |
• | Certain tax items that are unrelated to the fiscal year in which they are recorded are excluded in order to provide a clearer understanding of the Company’s ongoing Non-GAAP tax rate and after tax earnings. In the first nine months of fiscal 2018, the Company excluded the full |
Qualcomm Announces Third Quarter Fiscal 2018 Results | Page 11 of 15 |
Qualcomm Announces Third Quarter Fiscal 2018 Results | Page 12 of 15 |
Qualcomm Announces Third Quarter Fiscal 2018 Results | Page 13 of 15 |
June 24, 2018 | September 24, 2017 | ||||||
ASSETS | |||||||
Current assets: | |||||||
Cash and cash equivalents | $ | 35,619 | $ | 35,029 | |||
Marketable securities | 291 | 2,279 | |||||
Accounts receivable, net | 3,163 | 3,632 | |||||
Inventories | 1,785 | 2,035 | |||||
Other current assets | 3,460 | 618 | |||||
Total current assets | 44,318 | 43,593 | |||||
Marketable securities | 35 | 1,270 | |||||
Deferred tax assets | 844 | 2,900 | |||||
Property, plant and equipment, net | 3,073 | 3,216 | |||||
Goodwill | 6,630 | 6,623 | |||||
Other intangible assets, net | 3,174 | 3,737 | |||||
Other assets | 4,016 | 4,147 | |||||
Total assets | $ | 62,090 | $ | 65,486 | |||
LIABILITIES AND STOCKHOLDERS’ EQUITY | |||||||
Current liabilities: | |||||||
Trade accounts payable | $ | 1,644 | $ | 1,971 | |||
Payroll and other benefits related liabilities | 1,379 | 1,183 | |||||
Unearned revenues | 507 | 502 | |||||
Short-term debt | 7,103 | 2,495 | |||||
Other current liabilities | 5,579 | 4,756 | |||||
Total current liabilities | 16,212 | 10,907 | |||||
Unearned revenues | 1,708 | 2,003 | |||||
Income taxes payable | 2,659 | — | |||||
Long-term debt | 15,378 | 19,398 | |||||
Other liabilities | 3,065 | 2,432 | |||||
Total liabilities | 39,022 | 34,740 | |||||
Stockholders’ equity: | |||||||
Preferred stock, $0.0001 par value; 8 shares authorized; none outstanding | — | — | |||||
Common stock and paid-in capital, $0.0001 par value; 6,000 shares authorized; 1,469 and 1,474 shares issued and outstanding, respectively | — | 274 | |||||
Retained earnings | 22,745 | 30,088 | |||||
Accumulated other comprehensive income | 323 | 384 | |||||
Total stockholders’ equity | 23,068 | 30,746 | |||||
Total liabilities and stockholders’ equity | $ | 62,090 | $ | 65,486 |
Qualcomm Announces Third Quarter Fiscal 2018 Results | Page 14 of 15 |
Three Months Ended | Nine Months Ended | ||||||||||||||
June 24, 2018 | June 25, 2017 | June 24, 2018 | June 25, 2017 | ||||||||||||
Revenues: | |||||||||||||||
Equipment and services | $ | 4,110 | $ | 4,121 | $ | 12,750 | $ | 11,949 | |||||||
Licensing | 1,489 | 1,250 | 4,178 | 4,438 | |||||||||||
Total revenues | 5,599 | 5,371 | 16,928 | 16,387 | |||||||||||
Costs and expenses: | |||||||||||||||
Cost of revenues | 2,491 | 2,488 | 7,394 | 7,140 | |||||||||||
Research and development | 1,416 | 1,391 | 4,237 | 4,087 | |||||||||||
Selling, general and administrative | 655 | 710 | 2,297 | 1,917 | |||||||||||
Other | 112 | 9 | 1,605 | 962 | |||||||||||
Total costs and expenses | 4,674 | 4,598 | 15,533 | 14,106 | |||||||||||
Operating income | 925 | 773 | 1,395 | 2,281 | |||||||||||
Interest expense | (212 | ) | (133 | ) | (561 | ) | (330 | ) | |||||||
Investment and other income, net | 243 | 218 | 454 | 635 | |||||||||||
Income before income taxes | 956 | 858 | 1,288 | 2,586 | |||||||||||
Income tax benefit (expense) | 263 | 7 | (5,659 | ) | (290 | ) | |||||||||
Net income (loss) | 1,219 | 865 | (4,371 | ) | 2,296 | ||||||||||
Net loss attributable to noncontrolling interests | — | 1 | — | 1 | |||||||||||
Net income (loss) attributable to Qualcomm | $ | 1,219 | $ | 866 | $ | (4,371 | ) | $ | 2,297 | ||||||
Basic earnings (loss) per share attributable to Qualcomm | $ | 0.82 | $ | 0.59 | $ | (2.96 | ) | $ | 1.55 | ||||||
Diluted earnings (loss) per share attributable to Qualcomm | $ | 0.82 | $ | 0.58 | $ | (2.96 | ) | $ | 1.54 | ||||||
Shares used in per share calculations: | |||||||||||||||
Basic | 1,478 | 1,478 | 1,479 | 1,478 | |||||||||||
Diluted | 1,487 | 1,491 | 1,479 | 1,491 | |||||||||||
Dividends per share announced | $ | 0.62 | $ | 0.57 | $ | 1.76 | $ | 1.63 |
Qualcomm Announces Third Quarter Fiscal 2018 Results | Page 15 of 15 |
Three Months Ended | Nine Months Ended | ||||||||||||||
June 24, 2018 | June 25, 2017 | June 24, 2018 | June 25, 2017 | ||||||||||||
Operating Activities: | |||||||||||||||
Net income (loss) | $ | 1,219 | $ | 865 | $ | (4,371 | ) | $ | 2,296 | ||||||
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | |||||||||||||||
Depreciation and amortization expense | 414 | 393 | 1,165 | 1,064 | |||||||||||
Income tax provision (less than) in excess of income tax payments | (504 | ) | (237 | ) | 4,973 | (467 | ) | ||||||||
Non-cash portion of share-based compensation expense | 189 | 227 | 659 | 712 | |||||||||||
Net realized gains on marketable securities and other investments | (26 | ) | (139 | ) | (101 | ) | (375 | ) | |||||||
Indefinite and long-lived asset impairment charges | 63 | 42 | 96 | 76 | |||||||||||
Impairment losses on marketable securities and other investments | 19 | 15 | 40 | 163 | |||||||||||
Other items, net | (229 | ) | (83 | ) | 25 | 14 | |||||||||
Changes in assets and liabilities: | |||||||||||||||
Accounts receivable, net | 376 | 670 | 470 | (1,021 | ) | ||||||||||
Inventories | 2 | 63 | 245 | (182 | ) | ||||||||||
Other assets | 20 | 4 | 90 | 111 | |||||||||||
Trade accounts payable | 215 | 134 | (296 | ) | (543 | ) | |||||||||
Payroll, benefits and other liabilities | 348 | (1,714 | ) | 1,514 | 878 | ||||||||||
Unearned revenues | (53 | ) | (69 | ) | (178 | ) | (149 | ) | |||||||
Net cash provided by operating activities | 2,053 | 171 | 4,331 | 2,577 | |||||||||||
Investing Activities: | |||||||||||||||
Capital expenditures | (214 | ) | (177 | ) | (625 | ) | (428 | ) | |||||||
Purchases of available-for-sale marketable securities | (77 | ) | (6,707 | ) | (5,835 | ) | (15,509 | ) | |||||||
Proceeds from sales and maturities of available-for-sale securities | 1,446 | 6,497 | 9,105 | 19,643 | |||||||||||
Purchases of other marketable securities | (46 | ) | (705 | ) | (49 | ) | (705 | ) | |||||||
Deposits of investments designated as collateral | — | — | — | (2,000 | ) | ||||||||||
Acquisitions and other investments, net of cash acquired | (22 | ) | (19 | ) | (192 | ) | (1,401 | ) | |||||||
Proceeds from other investments | 48 | 10 | 207 | 18 | |||||||||||
Other items, net | (1 | ) | (1 | ) | 4 | 40 | |||||||||
Net cash provided (used) by investing activities | 1,134 | (1,102 | ) | 2,615 | (342 | ) | |||||||||
Financing Activities: | |||||||||||||||
Proceeds from short-term debt | 3,822 | 1,735 | 9,385 | 6,848 | |||||||||||
Repayment of short-term debt | (2,868 | ) | (2,734 | ) | (7,198 | ) | (7,598 | ) | |||||||
Proceeds from long-term debt | — | 10,953 | — | 10,953 | |||||||||||
Repayment of long-term debt | (1,571 | ) | — | (1,571 | ) | — | |||||||||
Deposit to redeem long-term debt | (2,831 | ) | — | (2,831 | ) | — | |||||||||
Proceeds from issuance of common stock | 52 | 41 | 387 | 331 | |||||||||||
Repurchases and retirements of common stock | (1,000 | ) | (300 | ) | (1,425 | ) | (1,027 | ) | |||||||
Dividends paid | (911 | ) | (844 | ) | (2,600 | ) | (2,411 | ) | |||||||
Payments of tax withholdings related to vesting of share-based awards | (77 | ) | (88 | ) | (273 | ) | (263 | ) | |||||||
Payment of purchase consideration related to RF360 joint venture | (42 | ) | — | (157 | ) | — | |||||||||
Other items, net | (37 | ) | (81 | ) | (54 | ) | (133 | ) | |||||||
Net cash (used) provided by financing activities | (5,463 | ) | 8,682 | (6,337 | ) | 6,700 | |||||||||
Effect of exchange rate changes on cash and cash equivalents | (51 | ) | 34 | (19 | ) | 28 | |||||||||
Net (decrease) increase in cash and cash equivalents | (2,327 | ) | 7,785 | 590 | 8,963 | ||||||||||
Cash and cash equivalents at beginning of period | 37,946 | 7,124 | 35,029 | 5,946 | |||||||||||
Cash and cash equivalents at end of period | $ | 35,619 | $ | 14,909 | $ | 35,619 | $ | 14,909 |