- Sales increase 5.1% year-over-year to US$53.6 million
- Bookings improve 9.2% year-over-year to US$59.7 million, book-to-bill ratio of
1.11
- Gross margin reaches 64.7%, highest level in four
years
- Adjusted EBITDA totals US$5.3
million, 9.9% of sales
QUEBEC CITY, March 29, 2016 /CNW
Telbec/ - EXFO Inc. (NASDAQ: EXFO; TSX: EXF) reported today
financial results for the second quarter ended February 29, 2016.
Sales reached US$53.6 million in
the second quarter of fiscal 2016 compared to US$51.0 million in the second quarter of 2015 and
US$55.2 million in the first quarter
of 2016. At the halfway mark of fiscal 2016, sales increased 1.0%
year-over-year to US$108.8
million.
Bookings attained US$59.7 million
in the second quarter of fiscal 2016 compared to US$54.7 million in the same period last year and
US$58.5 million in the first quarter
of 2016. The company's book-to-bill ratio was 1.11 in the second
quarter of 2016 and 1.09 at the halfway mark of 2016, leading to
year-over-year bookings growth of 8.5% after two quarters.
Gross margin before depreciation and amortization*
amounted to 64.7% of sales in the second quarter of fiscal 2016
compared to 61.7% in the second quarter of 2015 and 63.5% in
the first quarter of 2016. After six months into fiscal 2016, gross
margin accounted for 64.1% of sales compared to 62.1% for the same
period in 2015.
IFRS net earnings in the second quarter of fiscal 2016 totaled
US$4.0 million, or US$0.07 per diluted share, compared US$0.9 million, or US$0.02 per diluted share, in the same period
last year and US$1.8 million, or
US$0.03 per diluted share, in the
first quarter of 2016. IFRS net earnings in the second quarter of
2016 included US$0.3 million in
after-tax amortization of intangible assets, US$0.3 million in stock-based compensation costs
and a foreign exchange gain of US$1.1
million. IFRS net earnings totaled US$5.7 million in the first half of fiscal 2016
compared to US$2.4 million in the
first half of 2015.
Adjusted EBITDA* totaled US$5.3 million, or 9.9% of sales, in the second
quarter of fiscal 2016 compared to US$1.2 million, or 2.3% of sales, in the
second quarter of 2015 and US$5.3
million, or 9.6% of sales, in the first quarter of 2016. At
the halfway point of fiscal 2016, adjusted EBITDA totaled
US$10.6 million, or 9.7% of sales,
compared to US$4.4 million, or 4.0%
of sales, in the same period in 2015.
EXFO's cash and short-term investments amounted to US$44.4 million at the end of the second quarter
of fiscal 2016, compared to US$29.4
million in the previous quarter, mainly due to US$15.3 million in cash flows from operating
activities.
"EXFO's first half of fiscal 2016 provides clear evidence that
key transformations implemented last year are delivering robust
results as reflected by strong bookings growth and book-to-bill
ratio, along with significant improvements to our gross margin and
adjusted EBITDA," said Germain
Lamonde, EXFO's Chairman, President and CEO. "Our growth
engine, with significant earnings leverage, is back in place for
both our Physical and Protocol product groups which are
demonstrating strong market traction. We should also continue to
benefit from our leadership in fiber-optic and 100G network
testing, driven by surging demand for high-speed optical networking
in core, metro, Web 2.0 and data center networks. Considering our
solid book-to bill ratio in the first half of 2016 and the fact our
second half is typically stronger, we are well positioned to
surpass our US$20 million adjusted
EBITDA target for the full fiscal year."
Selected Financial Information
(In thousands of US
dollars)
|
|
|
|
|
|
|
Q2
2016
|
|
Q1
2016
|
|
Q2
2015
|
|
|
|
|
|
|
|
|
|
Physical-layer
sales
|
$
|
32,582
|
|
$
|
37,477
|
|
$
|
33,059
|
Protocol-layer
sales
|
|
21,990
|
|
|
18,629
|
|
|
18,531
|
Foreign exchange
losses on forward exchange contracts
|
|
(975)
|
|
|
(874)
|
|
|
(600)
|
Total
sales
|
$
|
53,597
|
|
$
|
55,232
|
|
$
|
50,990
|
|
|
|
|
|
|
|
|
|
Physical-layer
bookings
|
$
|
34,873
|
|
$
|
38,878
|
|
$
|
33,223
|
Protocol-layer
bookings
|
|
25,805
|
|
|
20,469
|
|
|
22,027
|
Foreign exchange
losses on forward exchange contracts
|
|
(975)
|
|
|
(874)
|
|
|
(600)
|
Total
bookings
|
$
|
59,703
|
|
$
|
58,473
|
|
$
|
54,650
|
Book-to-bill
ratio
|
|
1.11
|
|
|
1.06
|
|
|
1.07
|
|
|
|
|
|
|
|
|
|
Gross
margin*
|
$
|
34,693
|
|
$
|
35,095
|
|
$
|
31,444
|
|
|
64.7%
|
|
|
63.5%
|
|
|
61.7%
|
|
|
|
|
|
|
|
|
|
Other selected
information:
|
|
|
|
|
|
|
|
|
|
IFRS net
earnings
|
$
|
3,963
|
|
$
|
1,766
|
|
$
|
931
|
|
Amortization of
intangible assets
|
$
|
286
|
|
$
|
300
|
|
$
|
1,019
|
|
Stock-based
compensation costs
|
$
|
314
|
|
$
|
376
|
|
$
|
388
|
|
Net income tax effect
of the above items
|
$
|
(30)
|
|
$
|
(28)
|
|
$
|
(53)
|
|
Foreign exchange
gain
|
$
|
1,101
|
|
$
|
310
|
|
$
|
2,987
|
|
Adjusted
EBITDA*
|
$
|
5,280
|
|
$
|
5,286
|
|
$
|
1,158
|
Operating Expenses
Selling and administrative expenses
totaled US$19.6 million, or 36.5% of
sales in the second quarter of fiscal 2016 compared to US$20.2 million, or 39.6% of sales, in the same
period last year and US$20.3 million,
or 36.7% of sales, in the first quarter of 2016.
Net R&D expenses totaled US$10.2
million, or 19.0% of sales, in the second quarter of fiscal
2016 compared to US$10.5 million, or 20.6% of sales, in
the second quarter of 2015 and US$9.9
million, or 18.0% of sales, in the first quarter of
2016.
Second-Quarter Highlights
- Bookings and Sales. Bookings increased 9.2% year-over-year (or
approximately 12% on a constant currency basis*) to US$59.7 million in the second quarter of 2016,
while sales increased 5.1% (or approximately 8% on a constant
currency basis) to US$53.6 million.
EXFO's book-to bill ratio reached 1.11 in the second quarter and
1.09 in the first half of fiscal 2016. Bookings were particularly
robust within the company's Protocol product line, including 100G
optical transport solutions and analytics software. From a
geographic standpoint, 49% of sales originated from the Americas,
29% from EMEA and 22% from Asia-Pacific. EXFO's top customer accounted
for 6.8% of sales, while the top three represented 13.3%.
- Profitability. Adjusted EBITDA increased more than 350%
year-over-year to US$5.3 million in
the second quarter of 2016. At the halfway mark of fiscal 2016,
EXFO delivered US$10.6 million in
adjusted EBITDA, up 143% year-over-year, placing the company in a
good position with regard to its US$20
million annual target. EXFO generated US$15.3 million in cash flows from operating
activities in the second quarter of 2016 and US$18.6 million in the first half of the fiscal
year.
- Innovation. EXFO launched five new solutions during the second
quarter of 2016 including TestFlow, a revolutionary, cloud-based
field test automation solution that allows network operators to
automate complex, labor-intensive activities like fiber-to-the
antenna (FTTA), distributed antenna system (DAS) and small cell
deployments. The company also introduced a whole new family of
optical time domain reflectometers (OTDRs), a segment in which it
owns 48% of global market share, establishing new industry
standards for specifications and time savings in characterizing
optical networks. Other new product introductions consist of
solutions for data center and enterprise network testing; an
industry-first, high-resolution, wavelength-tunable OTDR for
single-ended network troubleshooting; and the telecom industry's
first G.fast handheld test set for the roll out of ultra-broadband
services on copper links. Following the quarter-end, EXFO unveiled
its new test strategy and platform for the lab market at the
Optical Fiber Conference (OFC) in Anaheim.
Business Outlook
EXFO forecasts sales between
US$59.0 million and US$64.0 million
for the third quarter of fiscal 2016, while IFRS net earnings are
expected to range between US$0.03 and
US$0.07 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 as well as US$0.01
per diluted share for foreign exchange losses based on current
exchange rates.
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 second-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: 58439462.
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 April 5,
2016. The replay number is 1-855-859-2056 and the conference
ID number is 58439462. 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 provides communications service
providers (CSPs) with test orchestration and performance
intelligence solutions to ensure the smooth deployment, maintenance
and management of next-generation, physical, virtual, fixed and
mobile networks. The company has also forged strong relationships
with network solution vendors (NSVs) to develop deep expertise that
migrates from the lab to the field and beyond. EXFO's key
differentiation comes from combining intelligent, automated and
cloud-based test and monitoring solutions with real-time analytics
to deliver unmatched end-to-end visibility and assurance—from a
network, services and end-user level. EXFO is no. 1 in portable
optical testing and boasts the largest active service assurance
deployment worldwide. For more information, visit www.EXFO.com and
follow us on the EXFO Blog.
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, 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)
|
Q2
2016
|
|
Q1
2016
|
|
Q2
2015
|
|
|
|
|
|
|
|
|
|
IFRS net earnings for
the period
|
$
|
3,963
|
|
$
|
1,766
|
|
$
|
931
|
|
|
|
|
|
|
|
|
|
Add
(deduct):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation of
property, plant and equipment
|
|
924
|
|
|
975
|
|
|
1,256
|
Amortization of
intangible assets
|
|
286
|
|
|
300
|
|
|
1,019
|
Interest and other
(income) expenses
|
|
(470)
|
|
|
63
|
|
|
(35)
|
Income
taxes
|
|
1,364
|
|
|
2,116
|
|
|
586
|
Stock-based
compensation costs
|
|
314
|
|
|
376
|
|
|
388
|
Foreign exchange
gain
|
|
(1,101)
|
|
|
(310)
|
|
|
(2,987)
|
Adjusted EBITDA for
the period
|
$
|
5,280
|
|
$
|
5,286
|
|
$
|
1,158
|
|
|
|
|
|
|
|
|
|
Adjusted EBITDA in
percentage of sales
|
|
9.9%
|
|
|
9.6%
|
|
|
2.3%
|
EXFO
Inc.
|
Condensed
Unaudited Interim Consolidated Balance Sheets
|
|
(in thousands of US
dollars)
|
|
|
As
at
February
29,
2016
|
|
As
at
August
31,
2015
|
Assets
|
|
|
|
|
|
|
|
Current
assets
|
|
|
|
Cash
|
$
|
43,418
|
|
$
|
25,864
|
Short-term
investments
|
958
|
|
1,487
|
Accounts
receivable
|
|
|
|
|
Trade
|
37,289
|
|
48,068
|
|
Other
|
2,213
|
|
2,384
|
Income taxes and tax
credits recoverable
|
3,215
|
|
3,855
|
Inventories
|
33,088
|
|
27,951
|
Prepaid
expenses
|
2,693
|
|
2,801
|
|
122,874
|
|
112,410
|
|
|
|
|
Tax credits
recoverable
|
34,103
|
|
35,625
|
Property, plant
and equipment
|
34,937
|
|
35,695
|
Intangible
assets
|
3,626
|
|
4,096
|
Goodwill
|
21,255
|
|
21,860
|
Deferred income
tax assets
|
8,300
|
|
8,900
|
Other
assets
|
433
|
|
416
|
|
|
|
|
|
$
|
225,528
|
|
$
|
219,002
|
Liabilities
|
|
|
|
|
|
|
|
Current
liabilities
|
|
|
|
Bank loan
|
$
|
457
|
|
$
|
─
|
Accounts payable and
accrued liabilities
|
34,314
|
|
34,126
|
Provisions
|
308
|
|
427
|
Income taxes
payable
|
654
|
|
779
|
Deferred
revenue
|
9,326
|
|
7,647
|
|
45,059
|
|
42,979
|
|
|
|
|
Deferred
revenue
|
4,684
|
|
2,957
|
Deferred income
tax liabilities
|
1,977
|
|
1,524
|
Other
liabilities
|
440
|
|
791
|
|
52,160
|
|
48,251
|
|
|
|
|
Shareholders'
equity
|
|
|
|
Share
capital
|
87,031
|
|
86,045
|
Contributed
surplus
|
17,286
|
|
17,778
|
Retained
earnings
|
124,662
|
|
118,933
|
Accumulated other
comprehensive loss
|
(55,611)
|
|
(52,005)
|
|
|
|
|
|
173,368
|
|
170,751
|
|
|
|
|
|
225,528
|
|
$
|
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
February
29,
2016
|
|
Six
months
ended
February
29,
2016
|
|
Three
months
ended
February
28,
2015
|
|
Six
months
ended
February
28,
2015
|
|
|
|
|
|
|
|
|
|
Sales
|
|
$
|
53,597
|
|
$
|
108,829
|
|
$
|
50,990
|
|
$
|
107,714
|
|
|
|
|
|
|
|
|
|
Cost of sales
(1)
|
|
18,904
|
|
39,041
|
|
19,546
|
|
40,783
|
Selling and
administrative
|
|
19,565
|
|
39,817
|
|
20,168
|
|
41,200
|
Net research and
development
|
|
10,162
|
|
20,095
|
|
10,506
|
|
22,164
|
Depreciation of
property, plant and equipment
|
|
924
|
|
1,899
|
|
1,256
|
|
2,501
|
Amortization of
intangible assets
|
|
286
|
|
586
|
|
1,019
|
|
2,117
|
Interest and other
income
|
|
(470)
|
|
(407)
|
|
(35)
|
|
(252)
|
Foreign exchange
gain
|
|
(1,101)
|
|
(1,411)
|
|
(2,987)
|
|
(4,962)
|
Earnings before
income taxes
|
|
5,327
|
|
9,209
|
|
1,517
|
|
4,163
|
|
|
|
|
|
|
|
|
|
Income
taxes
|
|
1,364
|
|
3,480
|
|
586
|
|
1,751
|
|
|
|
|
|
|
|
|
|
Net earnings for
the period
|
|
$
|
3,963
|
|
$
|
5,729
|
|
$
|
931
|
|
$
|
2,412
|
|
|
|
|
|
|
|
|
|
Basic net earnings
per share
|
|
$
|
0.07
|
|
$
|
0.11
|
|
$
|
0.02
|
|
$
|
0.04
|
|
|
|
|
|
|
|
|
|
Diluted net
earnings per share
|
|
$
|
0.07
|
|
$
|
0.10
|
|
$
|
0.02
|
|
$
|
0.04
|
|
|
|
|
|
|
|
|
|
Basic weighted
average number of shares outstanding (000's)
|
|
53,927
|
|
53,870
|
|
59,216
|
|
59,775
|
|
|
|
|
|
|
|
|
|
Diluted weighted
average number of shares outstanding (000's)
|
|
54,615
|
|
54,575
|
|
59,813
|
|
60,396
|
|
|
(1)
|
The cost
of sales is exclusive of depreciation and amortization, shown
separately.
|
EXFO
Inc.
|
Condensed
Unaudited Interim Consolidated Statements of Comprehensive Income
(Loss)
|
|
(in thousands of US
dollars)
|
|
|
|
|
|
|
|
|
|
|
|
Three
months
ended
February
29,
2016
|
|
Six
months
ended
February
29,
2016
|
|
Three
months
ended
February
28,
2015
|
|
Six
months
ended
February
28,
2015
|
|
|
|
|
|
|
|
|
|
Net earnings for
the period
|
|
$
|
3,963
|
|
$
|
5,729
|
|
$
|
931
|
|
$
|
2,412
|
Other comprehensive
income (loss), net of income taxes
|
|
|
|
|
|
|
|
|
Items that will not
be reclassified subsequently to net earnings
|
|
|
|
|
|
|
|
|
|
Foreign currency
translation adjustment
|
|
(2,204)
|
|
(4,713)
|
|
(18,566)
|
|
(30,301)
|
Items that may be
reclassified subsequently to net earnings
|
|
|
|
|
|
|
|
|
|
Unrealized losses on
forward exchange contracts
|
|
50
|
|
(220)
|
|
(2,697)
|
|
(4,202)
|
|
Reclassification of
realized losses on forward exchange contracts in net
earnings
|
|
839
|
|
1,717
|
|
338
|
|
500
|
|
Deferred income tax
effect of losses on forward exchange contracts
|
|
(242)
|
|
(390)
|
|
622
|
|
995
|
Other comprehensive
loss
|
|
(1,557)
|
|
(3,606)
|
|
(20,303)
|
|
(33,008)
|
|
|
|
|
|
|
|
|
|
Comprehensive
income (loss) for the period
|
|
$
|
2,406
|
|
$
|
2,123
|
|
$
|
(19,372)
|
|
$
|
(30,596)
|
EXFO
Inc.
|
Condensed
Unaudited Interim Consolidated Statements of Changes in
Shareholders' Equity
|
|
(in thousands of US
dollars)
|
|
|
|
Six months ended
February 28, 2015
|
|
|
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
|
|
(26,314)
|
|
1,211
|
|
–
|
|
–
|
|
(25,103)
|
Reclassification of
stock-based compensation costs
|
|
1,350
|
|
(1,350)
|
|
–
|
|
–
|
|
–
|
Stock-based
compensation costs
|
|
–
|
|
789
|
|
–
|
|
–
|
|
789
|
Net earnings for the
period
|
|
–
|
|
–
|
|
2,412
|
|
–
|
|
2,412
|
Other comprehensive
loss
|
|
|
|
|
|
|
|
|
|
|
|
Foreign currency
translation adjustment
|
|
–
|
|
–
|
|
–
|
|
(30,301)
|
|
(30,301)
|
|
Changes in unrealized
losses on forward exchange contracts, net of deferred income taxes
of $995
|
|
–
|
|
–
|
|
–
|
|
(2,707)
|
|
(2,707)
|
|
|
|
|
|
|
|
|
|
|
|
Total comprehensive
loss for the period
|
|
|
|
|
|
|
|
|
|
(30,596)
|
|
|
|
|
|
|
|
|
|
|
|
Balance as at
February 28, 2015
|
|
$
|
86,527
|
|
$
|
17,153
|
|
$
|
116,047
|
|
$
|
(43,267)
|
|
$
|
176,460
|
|
|
|
|
Six months ended
February 29, 2016
|
|
|
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
|
|
(244)
|
|
57
|
|
–
|
|
–
|
|
(187)
|
Reclassification of
stock-based compensation costs
|
|
1,230
|
|
(1,230)
|
|
–
|
|
–
|
|
–
|
Stock-based
compensation costs
|
|
–
|
|
681
|
|
–
|
|
–
|
|
681
|
Net earnings for the
period
|
|
–
|
|
–
|
|
5,729
|
|
–
|
|
5,729
|
Other comprehensive
income (loss)
|
|
|
|
|
|
|
|
|
|
|
|
Foreign currency
translation adjustment
|
|
–
|
|
–
|
|
–
|
|
(4,713)
|
|
(4,713)
|
|
Changes in unrealized
losses on forward exchange contracts, net of deferred income taxes
of $390
|
|
–
|
|
–
|
|
–
|
|
1,107
|
|
1,107
|
|
|
|
|
|
|
|
|
|
|
|
Total comprehensive
loss for the period
|
|
|
|
|
|
|
|
|
|
2,123
|
|
|
|
|
|
|
|
|
|
|
|
Balance as at
February 29, 2016
|
|
$
|
87,031
|
|
$
|
17,286
|
|
$
|
124,662
|
|
$
|
(55,611)
|
|
$
|
173,368
|
EXFO
Inc.
|
Condensed
Unaudited Interim Consolidated Statements of Cash
Flows
|
|
(in thousands of US
dollars)
|
|
|
|
Three
months
ended
February
29,
2016
|
|
Six
months
ended
February
29,
2016
|
|
Three
months
ended
February
28,
2015
|
|
Six
months
ended
February
28,
2015
|
|
|
|
|
|
|
|
|
|
Cash flows from
operating activities
|
|
|
|
|
|
|
|
|
Net earnings for the
period
|
|
$
|
3,963
|
|
$
|
5,729
|
|
$
|
931
|
|
$
|
2,412
|
Add (deduct) items
not affecting cash
|
|
|
|
|
|
|
|
|
|
Stock-based
compensation costs
|
|
314
|
|
690
|
|
388
|
|
788
|
|
Depreciation and
amortization
|
|
1,210
|
|
2,485
|
|
2,275
|
|
4,618
|
|
Deferred
revenue
|
|
2,162
|
|
3,673
|
|
1,531
|
|
504
|
|
Deferred income
taxes
|
|
101
|
|
674
|
|
(11)
|
|
(343)
|
|
Changes in foreign
exchange gain/loss
|
|
(615)
|
|
(959)
|
|
(1,770)
|
|
(2,798)
|
|
|
7,135
|
|
12,292
|
|
3,344
|
|
5,181
|
Changes in non-cash
operating items
|
|
|
|
|
|
|
|
|
|
Accounts
receivable
|
|
11,305
|
|
9,281
|
|
3,719
|
|
(1,317)
|
|
Income taxes and tax
credits
|
|
1,211
|
|
933
|
|
(1,211)
|
|
(1,423)
|
|
Inventories
|
|
(2,642)
|
|
(5,868)
|
|
(752)
|
|
(1,933)
|
|
Prepaid
expenses
|
|
(20)
|
|
34
|
|
(165)
|
|
(501)
|
|
Other
assets
|
|
10
|
|
203
|
|
(2)
|
|
(1)
|
|
Accounts payable,
accrued liabilities and provisions
|
|
(1,644)
|
|
1,731
|
|
824
|
|
7,660
|
|
Other
liabilities
|
|
(26)
|
|
(54)
|
|
(13)
|
|
(32)
|
|
|
15,329
|
|
18,552
|
|
5,744
|
|
7,634
|
Cash flows from
investing activities
|
|
|
|
|
|
|
|
|
Additions to
short-term investments
|
|
‒
|
|
(21)
|
|
(5,818)
|
|
(19,509)
|
Proceeds from
disposal and maturity of short-term investments
|
|
501
|
|
501
|
|
8,300
|
|
22,066
|
Purchases to capital
assets
|
|
(927)
|
|
(2,236)
|
|
(2,045)
|
|
(2,799)
|
|
|
(426)
|
|
(1,756)
|
|
437
|
|
(242)
|
Cash flows from
financing activities
|
|
|
|
|
|
|
|
|
Bank loan
|
|
153
|
|
468
|
|
‒
|
|
‒
|
Redemption of share
capital
|
|
(186)
|
|
(187)
|
|
(24,250)
|
|
(25,103)
|
|
|
(33)
|
|
281
|
|
(24,250)
|
|
(25,103)
|
Effect of foreign
exchange rate changes on cash
|
|
674
|
|
477
|
|
(3,795)
|
|
(6,053)
|
|
|
|
|
|
|
|
|
|
Change in
cash
|
|
15,544
|
|
17,554
|
|
(21,864)
|
|
(23,764)
|
Cash – Beginning
of the period
|
|
27,874
|
|
25,864
|
|
52,221
|
|
54,121
|
Cash – End of the
period
|
|
$
|
43,418
|
|
$
|
43,418
|
|
$
|
30,357
|
|
$
|
30,357
|
|
|
|
|
|
|
|
|
|
Supplementary
information
|
|
|
|
|
|
|
|
|
Income taxes
paid
|
|
$
|
508
|
|
$
|
1,116
|
|
$
|
457
|
|
$
|
824
|
Additions to capital
assets
|
|
$
|
1,066
|
|
$
|
2,375
|
|
$
|
2,048
|
|
$
|
2,938
|
SOURCE EXFO inc.