- Bookings reach US$58.5
million, up 7.8% year-over-year
- Sales attain US$55.2
million
- Gross margin improves to 63.5%
- Adjusted EBITDA totals US$5.3
million, 9.6% of sales
QUEBEC CITY, Jan. 6, 2016 /CNW
Telbec/ - EXFO Inc. (NASDAQ: EXFO; TSX: EXF) reported today
financial results for the first quarter ended November 30, 2015.
Sales reached US$55.2 million in
the first quarter of fiscal 2016 compared to US$56.7 million in the first quarter of 2015 and
US$56.6 million in the fourth quarter
of 2015.
Bookings attained US$58.5 million
in the first quarter of fiscal 2016 compared to US$54.2 million in the same period last year and
US$54.9 million in the fourth quarter
of 2015. The company's book-to-bill ratio was 1.06 in the first
quarter of 2016.
Gross margin before depreciation and amortization*
amounted to 63.5% of sales in the first quarter of fiscal 2016
compared to 62.6% in the first quarter of 2015 and 61.2% in
the fourth quarter of 2015.
IFRS net earnings in the first quarter of fiscal 2016 totaled
US$1.8 million, or US$0.03 per diluted share, compared US$1.5 million, or US$0.02 per diluted share, in the same period
last year and US$2.3 million, or
US$0.04 per diluted share, in the
fourth quarter of 2015. IFRS net earnings in the first quarter of
2016 included US$0.3 million in
after-tax amortization of intangible assets, US$0.4 million in stock-based compensation costs
and a foreign exchange gain of US$0.3
million.
Adjusted EBITDA* totaled US$5.3 million, or 9.6% of sales, in the first
quarter of fiscal 2016 compared to US$3.2 million, or 5.6% of sales, in the
first quarter of 2015 and US$5.0
million, or 8.8% of sales, in the fourth quarter of
2015.
"The transformations implemented during fiscal 2015 are starting
to pay off as demonstrated by the bookings growth of our two
product groups, especially in North
America and for our Protocol-layer offering, which helped to
generate our best gross margin in 15 quarters," said Germain Lamonde, EXFO's Chairman, President and
CEO. "Within our Protocol-layer group, I am particularly pleased
with our unique, end-to-end EXFO Xtract analytics solution based on
its strong funnel and recent important wins at two major network
operators. Given the impact of our transformations, completed cost
reductions and favorable currency trends, I believe we are off to a
good start to deliver or surpass our adjusted EBITDA target of
US$20 million for fiscal 2016."
Selected Financial
Information
|
(In thousands of
US dollars)
|
|
|
|
|
|
|
|
|
|
|
|
|
Q1
2016
|
|
Q4
2015
|
|
Q1
2015
|
|
|
|
|
|
|
|
|
|
|
Physical-layer
sales
|
|
$
|
37,477
|
|
$
|
34,967
|
|
$
|
37,848
|
Protocol-layer
sales
|
|
|
18,629
|
|
|
22,419
|
|
|
19,168
|
Foreign exchange
losses on forward exchange contracts
|
|
|
(874)
|
|
|
(792)
|
|
|
(292)
|
Total
sales
|
|
$
|
55,232
|
|
$
|
56,594
|
|
$
|
56,724
|
|
|
|
|
|
|
|
|
|
|
Physical-layer
bookings
|
|
$
|
38,878
|
|
$
|
35,521
|
|
$
|
37,394
|
Protocol-layer
bookings
|
|
|
20,469
|
|
|
20,187
|
|
|
17,142
|
Foreign exchange
losses on forward exchange contracts
|
|
|
(874)
|
|
|
(792)
|
|
|
(292)
|
Total
bookings
|
|
$
|
58,473
|
|
$
|
54,916
|
|
$
|
54,244
|
Book-to-bill
ratio
|
|
|
1.06
|
|
|
0.97
|
|
|
0.96
|
Gross
margin*
|
|
$
|
35,095
|
|
$
|
34,619
|
|
$
|
35,487
|
|
|
|
63.5%
|
|
|
61.2%
|
|
|
62.6%
|
|
|
|
|
|
|
|
|
|
|
Other selected
information:
|
|
|
|
|
|
|
|
|
|
|
IFRS net
earnings
|
|
$
|
1,766
|
|
$
|
2,323
|
|
$
|
1,481
|
|
Amortization of
intangible assets
|
|
$
|
300
|
|
$
|
322
|
|
$
|
1,098
|
|
Stock-based
compensation costs
|
|
$
|
376
|
|
$
|
133
|
|
$
|
400
|
|
Restructuring
charges
|
|
$
|
−
|
|
$
|
1,637
|
|
$
|
−
|
|
Net income tax effect
of the above items
|
|
$
|
(28)
|
|
$
|
(371)
|
|
$
|
(58)
|
|
Foreign exchange
gain
|
|
$
|
310
|
|
$
|
2,425
|
|
$
|
1,975
|
|
Adjusted
EBITDA*
|
|
$
|
5,286
|
|
$
|
4,962
|
|
$
|
3,197
|
|
|
|
|
|
|
|
|
|
|
|
Operating Expenses
Selling and administrative expenses
totaled US$20.3 million, or 36.7% of
sales in the first quarter of fiscal 2016 compared to US$21.0 million, or 37.1% of sales, in the same
period last year and US$20.5 million,
or 36.3% of sales, in the fourth quarter of 2015.
Net R&D expenses totaled US$9.9
million, or 18.0% of sales, in the first quarter of fiscal
2016 compared to US$11.7 million, or 20.6% of sales, in
the first quarter of 2015 and US$10.9
million, or 19.3% of sales, in the fourth quarter of
2015.
First-Quarter Highlights
- Bookings and Sales. Bookings increased 7.8% year-over-year (or
more than 10% on a constant currency basis*) to US$58.5 million for a book-to-bill ratio of 1.06
in the first quarter of 2016. Bookings were particularly strong in
the Americas and within the Protocol-layer product group,
reflecting higher margins and increased solutions orders. Sales
distribution at a regional level resulted in 56% from the Americas,
26% from EMEA and 18% from Asia-Pacific. From a product-line standpoint,
Physical-layer sales represented 67% of total sales and
Protocol-layer sales 33%. EXFO's top customer accounted for 8.2% of
sales, while the top three represented 18.2%.
- Profitability. Adjusted EBITDA increased 65% year-over-year to
US$5.3 million (9.6% of sales) in the
first quarter of 2016, which is in line with EXFO's US$20 million annual target. The company also
delivered US$3.2 million in cash
flows from operating activities and had a cash position of
US$29.4 million and no debt as at
November 30, 2015.
- Innovation. EXFO launched two new products in the first
quarter, namely the MaxTester-940 Fiber Certifier OLTS (optical
loss test set) for data center and enterprise markets and iSAM, an
intelligent service activation software application bringing speed
and simplicity to testing Ethernet services. The company also
received the 2015 Global Portable Fiber-Optic Test Equipment (FOTE)
Market Share Leadership Award from Frost & Sullivan for
consolidating its leadership position by increasing optical sales
6% during the previous calendar year and bolstering its market
share.
Business Outlook
EXFO forecasts sales between
US$52.0 million and US$57.0 million
for the second quarter of fiscal 2016, while IFRS net earnings are
expected to range between US$0.04 and
US$0.08 per diluted share. IFRS net earnings include
US$0.01 per diluted share in
after-tax amortization of intangible assets and stock-based
compensation costs.
This guidance was established by management based on existing
backlog as of the date of this press release, seasonality, expected
bookings for the remaining of the quarter, as well as exchange
rates as of the day of this press release.
Conference Call and Webcast
EXFO will host a
conference call today at 5 p.m. (Eastern
time) to review first-quarter results for fiscal 2016. To
listen to the conference call and participate in the question
period via telephone, dial 1-704-288-0432. Please take note
the following conference ID number will be required: 94927176.
Germain Lamonde, Chairman, President
and CEO, and Pierre Plamondon, CPA,
CA, Vice-President of Finance and Chief Financial Officer, will
participate in the call. An audio replay of the conference call
will be available two hours after the event until 11:59 p.m. on January 13,
2016. The replay number is 1-855-859-2056 and the conference
ID number is 94927176. The audio Webcast and replay of the
conference call will also be available on EXFO's Website
at www.EXFO.com, under the Investors section.
About EXFO
EXFO enables extraordinary experiences over
global networks. Our test, service assurance and network visibility
solutions allow network operators and equipment manufacturers to
deliver a wealth of services to consumers, while increasing network
capacity and reducing operating costs. From a company executive
holding a telepresence meeting with overseas staff to a runner
transferring data from wearable technology, EXFO's inherent
expertise and powerful analytics render these events commonplace.
Simply put, we have evolved over our 30-year history to ensure
unmatched quality of service and quality of experience on
next-generation fixed and mobile networks. EXFO has a staff of
approximately 1500 people in 25 countries, supporting more than
2000 customers worldwide. For more information, visit www.EXFO.com
and follow us on the EXFO Blog, Twitter, LinkedIn, Facebook,
Google+ and YouTube.
Forward-Looking Statements
This press release contains
forward-looking statements within the meaning of the U.S. Private
Securities Litigation Reform Act of 1995, and we intend that such
forward-looking statements be subject to the safe harbors created
thereby. Forward-looking statements are statements other than
historical information or statements of current condition.
Words such as may, expect, believe, plan, anticipate, intend,
could, estimate, continue, or similar expressions or the
negative of such expressions are intended to identify
forward-looking statements. In addition, any statement that
refers to expectations, projections or other characterizations of
future events and circumstances are considered forward-looking
statements. They are not guarantees of future performance
and involve risks and uncertainties. Actual results may differ
materially from those in forward-looking statements due to various
factors including, but not limited to, macroeconomic uncertainty as
well as capital spending and network deployment levels in the
telecommunications industry (including our ability to quickly adapt
cost structures with anticipated levels of business and our ability
to manage inventory levels with market demand); future economic,
competitive, financial and market conditions; consolidation in the
global telecommunications test and service assurance industry and
increased competition among vendors; capacity to adapt our future
product offering to future technological changes; limited
visibility with regards to timing and nature of customer
orders; longer sales cycles for complex systems involving
customers' acceptances delaying revenue recognition; fluctuating
exchange rates; concentration of sales; timely release and market
acceptance of our new products and other upcoming products; our
ability to successfully expand international operations; our
ability to successfully integrate businesses that we acquire; and
the retention of key technical and management personnel.
Assumptions relating to the foregoing involve judgments and risks,
all of which are difficult or impossible to predict and many
of which are beyond our control. Other risk factors that may affect
our future performance and operations are detailed in our Annual
Report, on Form 20-F, and our other filings with the U.S.
Securities and Exchange Commission and the Canadian securities
commissions. We believe that the expectations reflected in the
forward-looking statements are reasonable based on information
currently available to us, but we cannot assure that the
expectations will prove to have been correct. Accordingly, you
should not place undue reliance on these forward-looking
statements. These statements speak only as of the date of this
document. Unless required by law or applicable regulations, we
undertake no obligation to revise or update any of them to reflect
events or circumstances that occur after the date of this
document.
*NON-IFRS MEASURES
EXFO provides non-IFRS measures (constant currency data, gross
margin before depreciation and amortization, and adjusted EBITDA)
as supplemental information regarding its operational performance.
The company uses these measures for the purpose of evaluating
historical and prospective financial performance, as well as its
performance relative to competitors. These measures also help
the company to plan and forecast for future periods as well as to
make operational and strategic decisions. EXFO believes that
providing this information, in addition to IFRS measures, allows
investors to see the company's results through the eyes of
management, and to better understand its historical and future
financial performance.
The presentation of this additional information is not prepared
in accordance with IFRS. Therefore, the information may not
necessarily be comparable to that of other companies and should be
considered as a supplement to, not a substitute for,
the corresponding measures calculated in accordance with IFRS.
Constant currency data represents data before foreign currency
impact. Data for the current period is translated using foreign
exchange rates of the corresponding period from the preceding
year.
Gross margin before depreciation and amortization represents
sales less cost of sales, excluding depreciation and
amortization.
Adjusted EBITDA represents net earnings before interest, income
taxes, depreciation and amortization, restructuring charges,
stock-based compensation costs and foreign exchange gain.
The following table summarizes the reconciliation of adjusted
EBITDA to IFRS net earnings, in thousands
of US dollars:
Adjusted EBITDA
(unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
Q1
2016
|
|
Q4
2015
|
|
Q1
2015
|
|
|
|
|
|
|
|
|
|
|
IFRS net earnings for
the period
|
|
$
|
1,766
|
|
$
|
2,323
|
|
$
|
1,481
|
|
|
|
|
|
|
|
|
|
|
Add
(deduct):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation of
property, plant and equipment
|
|
|
975
|
|
|
1,171
|
|
|
1,245
|
Amortization of
intangible assets
|
|
|
300
|
|
|
322
|
|
|
1,098
|
Interest (income)
expense
|
|
|
63
|
|
|
61
|
|
|
(217)
|
Income
taxes
|
|
|
2,116
|
|
|
1,740
|
|
|
1,165
|
Restructuring
charges
|
|
|
─
|
|
|
1,637
|
|
|
─
|
Stock-based
compensation costs
|
|
|
376
|
|
|
133
|
|
|
400
|
Foreign exchange
gain
|
|
|
(310)
|
|
|
(2,425)
|
|
|
(1,975)
|
Adjusted EBITDA for
the period
|
|
$
|
5,286
|
|
$
|
4,962
|
|
$
|
3,197
|
|
|
|
|
|
|
|
|
|
|
Adjusted EBITDA in
percentage of sales
|
|
|
9.6%
|
|
|
8.8%
|
|
|
5.6%
|
EXFO
Inc.
|
Condensed
Unaudited Interim Consolidated Balance Sheets
|
|
|
|
(in thousands of US
dollars)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
As
at
November
30,
2015
|
|
|
As
at
August
31,
2015
|
Assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Current
assets
|
|
|
|
|
|
|
Cash
|
|
$
|
27,874
|
|
$
|
25,864
|
Short-term
investments
|
|
|
1,490
|
|
|
1,487
|
Accounts
receivable
|
|
|
|
|
|
|
|
Trade
|
|
|
48,959
|
|
|
48,068
|
|
Other
|
|
|
2,797
|
|
|
2,384
|
Income taxes and tax
credits recoverable
|
|
|
3,477
|
|
|
3,855
|
Inventories
|
|
|
30,741
|
|
|
27,951
|
Prepaid
expenses
|
|
|
2,711
|
|
|
2,801
|
|
|
|
118,049
|
|
|
112,410
|
|
|
|
|
|
|
|
Tax credits
recoverable
|
|
|
35,443
|
|
|
35,625
|
Property, plant
and equipment
|
|
|
35,374
|
|
|
35,695
|
Intangible
assets
|
|
|
3,867
|
|
|
4,096
|
Goodwill
|
|
|
21,539
|
|
|
21,860
|
Deferred income
tax assets
|
|
|
8,365
|
|
|
8,900
|
Other
assets
|
|
|
218
|
|
|
416
|
|
|
|
|
|
|
|
|
|
$
|
222,855
|
|
$
|
219,002
|
Liabilities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Current
liabilities
|
|
|
|
|
|
|
Bank loan
|
|
$
|
312
|
|
$
|
─
|
Accounts payable and
accrued liabilities
|
|
|
36,750
|
|
|
34,126
|
Provisions
|
|
|
335
|
|
|
427
|
Income taxes
payable
|
|
|
519
|
|
|
779
|
Deferred
revenue
|
|
|
7,376
|
|
|
7,647
|
|
|
|
45,292
|
|
|
42,979
|
|
|
|
|
|
|
|
Deferred
revenue
|
|
|
4,553
|
|
|
2,957
|
Deferred income
tax liabilities
|
|
|
1,695
|
|
|
1,524
|
Other
liabilities
|
|
|
507
|
|
|
791
|
|
|
|
52,047
|
|
|
48,251
|
|
|
|
|
|
|
|
Shareholders'
equity
|
|
|
|
|
|
|
Share
capital
|
|
|
86,767
|
|
|
86,045
|
Contributed
surplus
|
|
|
17,396
|
|
|
17,778
|
Retained
earnings
|
|
|
120,699
|
|
|
118,933
|
Accumulated other
comprehensive loss
|
|
|
(54,054)
|
|
|
(52,005)
|
|
|
|
|
|
|
|
|
|
|
170,808
|
|
|
170,751
|
|
|
|
|
|
|
|
|
|
$
|
222,855
|
|
$
|
219,002
|
EXFO
Inc.
|
Condensed
Unaudited Interim Consolidated Statements of
Earnings
|
|
|
|
|
|
(in thousands of US
dollars, except share and per share data)
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months
ended
November
30,
|
|
|
|
2015
|
|
2014
|
|
|
|
|
|
|
|
Sales
|
|
$
|
55,232
|
|
$
|
56,724
|
|
|
|
|
|
|
|
Cost of sales
(1)
|
|
|
20,137
|
|
|
21,237
|
Selling and
administrative
|
|
|
20,252
|
|
|
21,032
|
Net research and
development
|
|
|
9,933
|
|
|
11,658
|
Depreciation of
property, plant and equipment
|
|
|
975
|
|
|
1,245
|
Amortization of
intangible assets
|
|
|
300
|
|
|
1,098
|
Interest (income)
expense
|
|
|
63
|
|
|
(217)
|
Foreign exchange
gain
|
|
|
(310)
|
|
|
(1,975)
|
|
|
|
|
|
|
|
Earnings before
income taxes
|
|
|
3,882
|
|
|
2,646
|
|
|
|
|
|
|
|
Income
taxes
|
|
|
2,116
|
|
|
1,165
|
|
|
|
|
|
|
|
Net earnings for
the period
|
|
$
|
1,766
|
|
$
|
1,481
|
|
|
|
|
|
|
|
Basic and diluted
net earnings per share
|
|
$
|
0.03
|
|
$
|
0.02
|
|
|
|
|
|
|
|
Basic weighted
average number of shares outstanding (000's)
|
|
|
53,814
|
|
|
60,335
|
|
|
|
|
|
|
|
Diluted weighted
average number of shares outstanding (000's)
|
|
|
54,535
|
|
|
60,980
|
|
|
|
|
|
|
|
(1) The cost of sales
is exclusive of depreciation and amortization, shown
separately.
|
EXFO
Inc.
|
Condensed
Unaudited Interim Consolidated Statements of Comprehensive
Loss
|
|
|
|
(in thousands of US
dollars)
|
|
|
|
|
|
|
|
|
Three months
ended
November
30,
|
|
|
2015
|
|
2014
|
|
|
|
|
|
|
|
Net earnings for the
period
|
|
$
|
1,766
|
|
$
|
1,481
|
Other comprehensive
income (loss), net of income taxes
|
|
|
|
|
|
|
Items that will not
be reclassified subsequently to net earnings
|
|
|
|
|
|
|
|
Foreign currency
translation adjustment
|
|
|
(2,509)
|
|
|
(11,735)
|
Items that may be
reclassified subsequently to net earnings
|
|
|
|
|
|
|
|
Unrealized losses on
forward exchange contracts
|
|
|
(270)
|
|
|
(1,505)
|
|
Reclassification of
realized losses on forward exchange contracts in net
earnings
|
|
|
878
|
|
|
162
|
|
Deferred income tax
effect of losses on forward exchange contracts
|
|
|
(148)
|
|
|
373
|
|
|
|
|
|
|
|
Other comprehensive
loss
|
|
|
(2,049)
|
|
|
(12,705)
|
|
|
|
|
|
|
|
Comprehensive loss
for the period
|
|
$
|
(283)
|
|
$
|
(11,224)
|
EXFO
Inc.
|
Condensed
Unaudited Interim Consolidated Statements of Changes in
Shareholders' Equity
|
|
|
|
|
|
|
|
|
|
|
|
(in thousands of US
dollars)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months ended
November 30, 2014
|
|
|
Share Capital
|
|
Contributed
Surplus
|
|
Retained
earnings
|
|
Accumulated
other
comprehensive
loss
|
|
Total shareholders'
equity
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance as at
September 1, 2014
|
|
$
|
111,491
|
|
$
|
16,503
|
|
$
|
113,635
|
|
$
|
(10,259)
|
|
$
|
231,370
|
Redemption of share
capital
|
|
|
(919)
|
|
|
66
|
|
|
–
|
|
|
–
|
|
|
(853)
|
Reclassification of
stock-based compensation costs
|
|
|
443
|
|
|
(443)
|
|
|
–
|
|
|
–
|
|
|
–
|
Stock-based
compensation costs
|
|
|
–
|
|
|
414
|
|
|
–
|
|
|
–
|
|
|
414
|
Net earnings for the
period
|
|
|
–
|
|
|
–
|
|
|
1,481
|
|
|
–
|
|
|
1,481
|
Other comprehensive
loss
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Foreign currency
translation adjustment
|
|
|
–
|
|
|
–
|
|
|
–
|
|
|
(11,735)
|
|
|
(11,735)
|
|
Changes in unrealized
losses on forward exchange contracts, net of deferred income taxes
of $373
|
|
|
–
|
|
|
–
|
|
|
–
|
|
|
(970)
|
|
|
(970)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total comprehensive
loss for the period
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(11,224)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance as at
November 30, 2014
|
|
$
|
111,015
|
|
$
|
16,540
|
|
$
|
115,116
|
|
$
|
(22,964)
|
|
$
|
219,707
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months ended
November 30, 2015
|
|
|
Share Capital
|
|
Contributed
Surplus
|
|
Retained
earnings
|
|
Accumulated
other
comprehensive
loss
|
|
Total shareholders'
equity
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance as at
September 1, 2015
|
|
$
|
86,045
|
|
$
|
17,778
|
|
$
|
118,933
|
|
$
|
(52,005)
|
|
$
|
170,751
|
Redemption of share
capital
|
|
|
(1)
|
|
|
–
|
|
|
–
|
|
|
–
|
|
|
(1)
|
Reclassification of
stock-based compensation costs
|
|
|
723
|
|
|
(723)
|
|
|
–
|
|
|
–
|
|
|
–
|
Stock-based
compensation costs
|
|
|
–
|
|
|
341
|
|
|
–
|
|
|
–
|
|
|
341
|
Net earnings for the
period
|
|
|
–
|
|
|
–
|
|
|
1,766
|
|
|
–
|
|
|
1,766
|
Other comprehensive
income (loss)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Foreign currency
translation adjustment
|
|
|
–
|
|
|
–
|
|
|
–
|
|
|
(2,509)
|
|
|
(2,509)
|
|
Changes in unrealized
losses on forward exchange contracts, net of deferred income taxes
of $148
|
|
|
–
|
|
|
–
|
|
|
–
|
|
|
460
|
|
|
460
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total comprehensive
loss for the period
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(283)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance as at
November 30, 2015
|
|
$
|
86,767
|
|
$
|
17,396
|
|
$
|
120,699
|
|
$
|
(54,054)
|
|
$
|
170,808
|
EXFO
Inc.
|
Condensed
Unaudited Interim Consolidated Statements of Cash
Flows
|
|
|
|
|
|
|
|
(in thousands of US
dollars)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months
ended
November
30,
|
|
|
2015
|
|
2014
|
|
|
|
|
|
|
|
Cash flows from
operating activities
|
|
|
|
|
|
|
Net earnings for the
period
|
|
$
|
1,766
|
|
$
|
1,481
|
Add (deduct) items
not affecting cash
|
|
|
|
|
|
|
|
Stock-based
compensation costs
|
|
|
376
|
|
|
400
|
|
Depreciation and
amortization
|
|
|
1,275
|
|
|
2,343
|
|
Deferred
revenue
|
|
|
1,511
|
|
|
(1,027)
|
|
Deferred income
taxes
|
|
|
573
|
|
|
(332)
|
|
Changes in foreign
exchange gain/loss
|
|
|
(344)
|
|
|
(1,028)
|
|
|
|
5,157
|
|
|
1,837
|
|
|
|
|
|
|
|
Changes in non-cash
operating items
|
|
|
|
|
|
|
|
Accounts
receivable
|
|
|
(2,024)
|
|
|
(5,036)
|
|
Income taxes and tax
credits
|
|
|
(278)
|
|
|
(212)
|
|
Inventories
|
|
|
(3,226)
|
|
|
(1,181)
|
|
Prepaid
expenses
|
|
|
54
|
|
|
(336)
|
|
Other
assets
|
|
|
193
|
|
|
1
|
|
Accounts payable,
accrued liabilities and provisions
|
|
|
3,375
|
|
|
6,836
|
|
Other
liabilities
|
|
|
(28)
|
|
|
(19)
|
|
|
|
3,223
|
|
|
1,890
|
Cash flows from
investing activities
|
|
|
|
|
|
|
Additions to
short-term investments
|
|
|
(21)
|
|
|
(13,691)
|
Proceeds from
disposal and maturity of short-term investments
|
|
|
–
|
|
|
13,766
|
Additions to capital
assets
|
|
|
(1,309)
|
|
|
(754)
|
|
|
|
(1,330)
|
|
|
(679)
|
Cash flows from
financing activities
|
|
|
|
|
|
|
Bank loan
|
|
|
315
|
|
|
–
|
Redemption of share
capital
|
|
|
(1)
|
|
|
(853)
|
|
|
|
314
|
|
|
(853)
|
|
|
|
|
|
|
|
Effect of foreign
exchange rate changes on cash
|
|
|
(197)
|
|
|
(2,258)
|
|
|
|
|
|
|
|
Change in
cash
|
|
|
2,010
|
|
|
(1,900)
|
Cash – Beginning
of the period
|
|
|
25,864
|
|
|
54,121
|
Cash – End of the
period
|
|
$
|
27,874
|
|
$
|
52,221
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Supplementary
information
|
|
|
|
|
|
|
Income taxes
paid
|
|
$
|
608
|
|
$
|
367
|
EXFO-F
SOURCE EXFO inc.