NUVA Nuvasive Inc

 

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

 

Form 8-K

 

 

CURRENT REPORT

Pursuant to Section 13 or 15(d)

of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): October 27, 2015

 

 

NUVASIVE, INC.

(Exact name of registrant as specified in its charter)

 

 

 

Delaware		000-50744		33-0768598
(State or Other Jurisdiction of Incorporation)		(Commission File Number)		(I.R.S. Employer Identification Number)

7475 Lusk Boulevard, San Diego, California 92121

(Address of principal executive offices) (Zip Code)

(858) 909-1800

(Registrant’s telephone number, including area code)

n/a

(Former name or former address, if changed since last report)

 

 

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

 

¨

Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

 

¨

Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

 

¨

Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

 

¨

Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

 

 

 

---

Item 2.02

Results of Operations and Financial Condition.

On October 27, 2015, NuVasive, Inc. issued a press release announcing its financial results for the quarter ended September 30, 2015. A copy of this press release is furnished as Exhibit 99.1 hereto.

The information contained in this Current Report shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in such a filing.

 

Item 9.01

Financial Statements and Exhibits.

(d)		Exhibits.
99.1		Press release issued by NuVasive, Inc. on October 27, 2015.

---

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

 

Date: October 27, 2015

---

EXHIBIT INDEX

 

Exhibit Number		Description
99.1		Press release issued by NuVasive, Inc. on October 27, 2015.

Exhibit 99.1

 

NEWS RELEASE

Investor/Media Contact:

Stacy Roughan

NuVasive, Inc.

1-858-909-1812

sroughan@nuvasive.com

NUVASIVE REPORTS THIRD QUARTER 2015 FINANCIAL RESULTS

Third Quarter 2015 Highlights:

 

•

Revenue increased 5.6% to $200.5 million, or 7.8% on a constant currency basis;

 

•

Non-GAAP operating profit margin increased 460 basis points to 16.3%; GAAP operating profit margin of 14.0%;

 

•

Adjusted EBITDA margin increased 540 basis points to 26.7%;

 

•

Non-GAAP net income of $18.1 million; GAAP net income of $13.0 million;

 

•

Non-GAAP diluted earnings per share of $0.35; GAAP diluted earnings per share of $0.24; and

 

•

Company reiterates 2015 revenue outlook and increases non-GAAP operating profit margin, adjusted EBITDA and EPS guidance

SAN DIEGO, CA – October 27, 2015 - NuVasive, Inc. (Nasdaq: NUVA), a leading medical device company focused on transforming spine surgery with minimally disruptive, procedurally-integrated solutions, announced today financial results for the quarter ended September 30, 2015.

“We are pleased to report another strong quarter in which we achieved revenue growth of nearly 8% on a constant currency basis in line with our mid to high single-digit growth goal and profitability that once again significantly outperformed our expectations,” said Gregory T. Lucier, Chairman and Chief Executive Officer of NuVasive. “By remaining focused on our margin expansion initiatives across the Company, we delivered incredibly strong year-over-year growth in non-GAAP operating profit margin and adjusted EBITDA margin, improving 460 and 540 basis points, respectively, while non-GAAP EPS increased nearly three and a half times compared to the same quarter last year.

“Our performance for the quarter was driven by continued strength in the United States and robust growth in certain international geographies where NuVasive is leading with our competitive XLIF^® technology and differentiated offerings. We remain confident that our unrelenting focus on innovation and technology, increased operational efficiencies, international scalability and our commitment to increased self-manufacturing position NuVasive to be the leader in transforming spine and improving patient outcomes,” said Mr. Lucier.

A full reconciliation of non-GAAP to GAAP measures can be found in the tables of this news release.

---

Third Quarter 2015 Results

NuVasive reported third quarter 2015 total revenue of $200.5 million, a 5.6% increase compared to $189.9 million for the third quarter 2014. On a constant currency basis, third quarter 2015 total revenue increased 7.8% compared to the same period last year.

GAAP gross profit for the third quarter 2015 was $151.4 million and gross margin was 75.5% compared to a gross profit of $142.2 million and a gross margin of 74.9% for the third quarter 2014. Total GAAP operating expenses for the third quarter 2015 were $123.3 million compared to $125.9 million in the third quarter 2014.

The Company reported a GAAP net income of $13.0 million, or $0.24 per share, for the third quarter 2015 compared to a GAAP net loss of $(1.8) million, or $(0.04) per share, for the third quarter 2014.

On a non-GAAP basis, the Company reported net income of $18.1 million, or $0.35 per share, for the third quarter 2015 compared to net income of $3.9 million, or $0.08 per share, for the third quarter 2014.

Cash, cash equivalents and short and long-term marketable securities were approximately $451.2 million at September 30, 2015.

Annual Guidance for 2015

The Company provided the following updated projections to its full year 2015 guidance:

 

•

Revenue of approximately $810.0 million, which includes an approximate $13.0 million of currency headwinds, or approximately 6.2% growth compared to revenue of $762.4 million for 2014; on a constant currency basis revenue is expected to grow approximately 7.9%;

 

•

GAAP diluted earnings per share of approximately $1.24 compared to GAAP loss per diluted share of $(0.36) for 2014; versus a prior expectation of $1.18 for 2015;

 

•

Non-GAAP diluted earnings per share of approximately $1.25, an increase of approximately 86.6% compared to non-GAAP diluted earnings of $0.67 for 2014; versus a prior expectation of $1.17 for 2015;

 

•

Non-GAAP operating profit margin of approximately 15.2%, an increase of approximately 380 basis points compared to 11.4% for 2014; versus a prior expectation of 15.0% for 2015;

 

•

Adjusted EBITDA margin of approximately 25.4%, an increase of approximately 350 basis points compared to 21.9% for 2014; versus a prior expectation of 25.2% for 2015;

 

•

GAAP effective tax expense rate of approximately 43.0%; versus a prior expectation of approximately 45.0% for 2015; and

 

•

Non-GAAP effective tax expense rate of approximately 43.0%; versus a prior expectation of approximately 45.0% for 2015.

Supplementary Financial Information

For additional financial detail, please visit the Investor Relations section of the Company’s website at www.nuvasive.com to access Supplementary Financial Information.

 

2

---

Reconciliation of Full Year EPS Guidance

 

						2015 Guidance
		2014 Actuals				Prior 1				Current 2
GAAP earnings (loss) per share		$	(0.36	)		$	1.18			$	1.24
Impact of change from basic to diluted share count			0.02				—				—
Impact of treasury method on convertible notes 3			—				0.03				0.03
Adjusted GAAP earnings (loss) per share, adjusted to diluted share count		$	(0.34	)		$	1.21			$	1.27
Amortization of intangible assets			0.16				0.14				0.14
Leasehold related charges			0.13				0.03				0.04
Litigation liability			0.36				(0.49	)			(0.49	)
Intangible asset impairment			0.13				—				—
CEO transition related costs			—				0.04				0.04
One-time and acquisition related items 4			0.05				0.05				0.06
Non-cash interest expense on convertible notes			0.18				0.19				0.19
Non-GAAP earnings per share		$	0.67			$	1.17			$	1.25
GAAP Weighted shares outstanding - basic			46,715				48,593				48,593
GAAP Weighted shares outstanding - diluted			46,715				52,607				52,607
Non-GAAP Weighted shares outstanding - diluted 3			49,676				51,431				51,431

 

1	Effective tax expense rate of ~45% applied to GAAP earnings and ~40% applied to Non-GAAP adjustments

2	Effective tax expense rate of ~43% applied to GAAP earnings and ~40% applied to Non-GAAP adjustments

3	Excludes the impact of share dilution of the convertible bond for which the Company has a hedge in place but is considered anti-dilutive under US GAAP in weighted average shares outstanding

4	Acquisition related items include expenses associated with M&A related activity and as incurred

 

3

---

Reconciliation of Non-GAAP Operating Margin %

 

						2015 Guidance
(in thousands, except %)		2014 Actuals				Prior				Current
Non-GAAP Gross Margin % [A]			76.1%				76.7%				76.3%
GAAP Gross Margin [D]			76.1%				76.7%				76.3%
Non-GAAP Sales, Marketing & Administrative Expense [B]			59.9%				56.9%				56.6%
Leasehold related charges			1.4%				0.4%				0.4%
CEO transition related costs			—				0.4%				0.4%
One-time and acquisition related items 1			0.3%				0.5%				0.7%
GAAP Sales, Marketing & Administrative Expense [E]			61.6%				58.2%				58.1%
Non-GAAP Research & Development Expense [C]			4.8%				4.8%				4.5%
One-time and acquisition related items 1			0.2%				—				—
GAAP Research & Development Expense [F]			5.0%				4.8%				4.5%
Litigation liability [G]			3.9%				(5.2)%				(5.2)%
Intangible asset impairment [H]			1.4%				—				—
Amortization of intangible assets [I]			1.8%				1.5%				1.5%
Non-GAAP Operating Margin % [A-B-C]			11.4%				15.0%				15.2%
GAAP Operating Margin % [D-E-F-G-H-I]			2.4%				17.4%				17.4%

 

1	Acquisition related items include expenses associated with M&A related activity and as incurred

 

4

---

Reconciliation of EBITDA %

 

						2015 Guidance
(in thousands, except %)		2014 Actuals				Prior				Current
Net Income / (Loss)			(2.2)%				7.7%				8.2%
Interest (income) / expense, net			3.5%				3.6%				3.5%
Provision for income taxes			0.8%				6.1%				5.8%
Depreciation and amortization 1			8.1%				7.8%				8.0%
EBITDA			10.2%				25.2%				25.6%
Non-cash stock based compensation			4.4%				3.9%				3.6%
Leasehold related charges			1.4%				0.4%				0.4%
Litigation liability			3.9%				(5.2)%				(5.2)%
Intangible asset impairment			1.4%				—				—
CEO transition related costs 2			—				0.4%				0.4%
One-time and acquisition related items 3			0.5%				0.5%				0.7%
Adjusted EBITDA			21.9%				25.2%				25.4%

 

1	Included in leasehold related charges are accelerated depreciation as a result of early leasehold terminations, which thereby were excluded from the depreciation line

2	Included in CEO related transition costs are $1.2m of stock based compensation charges, which thereby were excluded from the non-cash stock based compensation line

3	Acquisition related items include expenses associated with M&A related activity and as incurred

Reconciliation of Non-GAAP Information

Management uses certain non-GAAP financial measures such as non-GAAP earnings per share, non-GAAP net income, non-GAAP operating expenses and non-GAAP operating margin, which exclude amortization of intangible assets, leasehold related charges, one-time restructuring and acquisition related items, CEO transition related costs, certain litigation charges and non-cash interest expense on convertible notes. Management also uses certain non-GAAP measures which are intended to exclude the impact of foreign exchange currency fluctuations. The measure constant currency is the use of an exchange rate that eliminates fluctuations when calculating financial performance numbers.

The Company also uses measures such as free cash flow, which represents cash flow from operations less cash used in the acquisition and disposition of capital. Additionally, the Company uses an adjusted EBITDA measure which represents earnings before interest, taxes, depreciation and amortization and excludes the impact of stock-based compensation, leasehold related charges, CEO transition related costs, certain litigation liabilities, acquisition related items and other significant one-time items. Management calculates the non-GAAP financial measures provided in this earnings release excluding these costs and uses these non-GAAP financial measures to enable it to further and more consistently analyze the period-to-period financial performance of its core business operations. Management believes that providing investors with these non-GAAP measures gives them additional information to enable them to assess, in the same way management assesses, the Company’s current and future continuing operations. These non-GAAP measures are not in accordance with, or an alternative for, GAAP, and may be different from non-GAAP measures used by other companies. Set forth below are reconciliations of the non-GAAP financial measures to the comparable GAAP financial measure.

 

5

---

Reconciliation of Third Quarter 2015 Results

GAAP Earnings per Share to Non-GAAP Earnings per Share

 

(in thousands, except per share data)		Pre-Tax Adjustments				Net of Tax				Earnings Per Share
GAAP net income							12,960			$	0.26
GAAP impact of change from basic to diluted share count											(0.02	)
GAAP net income, adjusted to diluted share count											0.24
Impact of treasury method on convertible notes 1											0.01
Amortization of intangible assets			3,067				1,840				0.04
Leasehold related charges			(5	)			(3	)			(0.00	)
Litigation liability			(500	)			(300	)			(0.01	)
CEO transition related costs			93				56				0.00
One-time and acquisition related items 2			1,862				1,117				0.02
Non-cash interest expense on convertible notes			3,984				2,390				0.05
Non-GAAP earnings						$	18,061				0.35
GAAP weighted shares outstanding - basic											48,993
GAAP weighted shares outstanding - diluted											53,199
Non-GAAP weighted shares outstanding - diluted											51,434

 

1	Excludes the impact of share dilution of the convertible bond for which the Company has a hedge in place but is considered anti-dilutive under U.S. GAAP in weighted average shares outstanding (916k shares)

2	Acquisition related items include expenses associated with M&A related activity and as incurred non-recurring items

 

6

---

Reconciliation of Year To Date 2015 Results

GAAP Earnings per Share to Non-GAAP Earnings per Share

 

(in thousands, except per share data)		Pre-Tax Adjustments				Net of Tax				Earnings Per Share
GAAP net income							54,788			$	1.13
GAAP impact of change from basic to diluted share count											(0.08	)
GAAP net income, adjusted to diluted share count											1.05
Impact of treasury method on convertible notes 1											0.02
Amortization of intangible assets			9,037				5,422				0.11
Leasehold related charges			3,035				1,821				0.04
Litigation liability			(42,507	)			(25,504	)			(0.50	)
CEO transition related costs			3,563				2,138				0.04
One-time and acquisition related items 2			5,247				3,148				0.06
Non-cash interest expense on convertible notes			11,738				7,043				0.14
Non-GAAP earnings						$	48,856			$	0.96
GAAP weighted shares outstanding - basic											48,513
GAAP weighted shares outstanding - diluted											52,202
Non-GAAP weighted shares outstanding - diluted 1											51,003

 

1	Excludes the impact of share dilution of the convertible bond for which the Company has a hedge in place but is considered anti-dilutive under U.S. GAAP in weighted average shares outstanding (916k shares)

2	Acquisition related items include expenses associated with M&A related activity and as incurred non-recurring items

Reconciliation of Third Quarter and Nine Months 2015 Results

GAAP net income to Adjusted EBITDA

 

(in thousands, except per share data)		Three months ended September 30, 2015				Nine months ended September 30, 2015
GAAP net income		$	12,960			$	54,788
Interest (income) / expense, net			6,946				20,550
Provision for income taxes			8,803				35,332
Depreciation and amortization			16,375				49,005
EBITDA		$	45,084			$	159,675
Non-cash stock based compensation 1			7,076				19,337
Leasehold related charges			(5	)			3,035
Litigation liability			(500	)			(42,507	)
CEO related transition costs			93				3,563
One-time and acquisition related items			1,862				5,247
Adjusted EBITDA		$	53,610			$	148,350
As a percentage of revenue			26.7	%			24.9	%

 

1	Included in CEO related transition costs are $1.2m of stock based compensation charges, which thereby were excluded from the non-cash stock based compensation line in the nine months ended

 

7

---

Investor Conference Call

The Company will hold a conference call today at 4:30 p.m. ET / 1:30 p.m. PT to discuss the results of its third quarter 2015 financial performance. The dial-in numbers are 1-877-407-9039 for domestic callers and 1-201-689-8470 for international callers. A live webcast of the conference call will be available online from the Investor Relations page of the Company’s website at www.nuvasive.com.

After the live webcast, the call will remain available on NuVasive’s website through November 27, 2015. In addition, a telephone replay of the call will be available until November 3, 2015. The replay dial-in numbers are 1-877-870-5176 for domestic callers and 1-858-384-5517 for international callers. Please use pin number: 13621771.

About NuVasive

NuVasive is an innovative global medical device company that is changing spine surgery with minimally disruptive surgical products and procedurally-integrated solutions for the spine. NuVasive has emerged from a small startup to become the #3 player in the $9 billion global spine market and remains focused on market share-taking strategies as the Company continues on its path to become the industry’s leading spine company. NuVasive offers a comprehensive spine portfolio of more than 90 unique products developed to improve spine surgery and patient outcomes. The Company’s principal procedural solution is its Maximum Access Surgery, or MAS^®, platform for lateral spine fusion. MAS was designed to provide safer, reproducible, and clinically proven outcomes, and is a highly differentiated solution with fully integrated neuromonitoring, customizable exposure, and a broad offering of application-specific implants and fixation devices designed to address a variety of pathologies.

NuVasive cautions you that statements included in this news release or made on the investor conference call referenced herein that are not a description of historical facts are forward-looking statements that involve risks, uncertainties, assumptions and other factors which, if they do not materialize or prove correct, could cause NuVasive’s results to differ materially from historical results or those expressed or implied by such forward-looking statements. In addition, this news release contains selected financial results from the third quarter 2015, as well as financial projections for 2015. The numbers for third quarter 2015 are prior to the completion of review and audit procedures by the Company’s external auditors and are subject to adjustment. In addition, the Company’s projections for 2015 represent its initial estimates, and are subject to the risk of being inaccurate because of the preliminary nature of the forecasts, the risk of further adjustment, or unanticipated difficulty in selling products or generating expected profitability. The potential risks and uncertainties that could cause actual growth and results to differ materially include, but are not limited to: the risk that NuVasive’s revenue or earnings projections may turn out to be inaccurate because of the preliminary nature of the forecasts; the risk of further adjustment to financial results or future financial expectations; unanticipated difficulty in selling products, generating revenue or producing expected profitability; and those other risks and uncertainties more fully described in the Company’s news releases and periodic filings with the Securities and Exchange Commission. NuVasive’s public filings with the Securities and Exchange Commission are available at www.sec.gov. NuVasive assumes no obligation to update any forward-looking statement to reflect events or circumstances arising after the date on which it was made.

 

8

---

NuVasive, Inc.

Consolidated Statements of Operations

(in thousands, except per share data)

 

		Three Months Ended September 30,								Nine Months Ended September 30,
(unaudited)		2015				2014				2015				2014
Revenue		$	200,538			$	189,918			$	595,831			$	558,090
Cost of goods sold (excluding below amortization of intangible assets)			49,167				47,719				143,246				135,849
Gross profit			151,371				142,199				452,585				422,241
Operating expenses:
Sales, marketing and administrative			111,384				113,746				342,797				348,820
Research and development			9,199				9,068				27,245				28,590
Amortization of intangible assets			3,067				3,071				9,037				10,541
Impairment of intangible assets			—				—				—				10,708
Litigation liability (gain) loss			(500	)			—				(42,507	)			30,000
Business transition costs			110				—				6,474				—
Total operating expenses			123,260				125,885				343,046				428,659
Interest and other expense, net:
Interest income			362				241				1,125				691
Interest expense			(7,307	)			(6,965	)			(21,675	)			(20,809	)
Other income (expense), net			387				(2,489	)			530				(2,318	)
Total interest and other expense, net			(6,558	)			(9,213	)			(20,020	)			(22,436	)
Income (loss) before income taxes			21,553				7,101				89,519				(28,854	)
Income tax (expense) benefit			(8,803	)			(9,088	)			(35,332	)			4,065
Consolidated net income (loss)		$	12,750			$	(1,987	)		$	54,187			$	(24,789	)
Add back net loss attributable to non-controlling interests		$	(210	)		$	(157	)		$	(601	)		$	(595	)
Net income (loss) attributable to NuVasive, Inc.		$	12,960			$	(1,830	)		$	54,788			$	(24,194	)
Net income (loss) per share attributable to NuVasive, Inc.:
Basic		$	0.26			$	(0.04	)		$	1.13			$	(0.52	)
Diluted		$	0.24			$	(0.04	)		$	1.05			$	(0.52	)
Weighted average shares outstanding:
Basic			48,993				46,990				48,513				46,546
Diluted			53,199				46,990				52,202				46,546

 

9

---

NuVasive, Inc.

Consolidated Balance Sheets

(in thousands, except par values and share amounts)

 

		September 30, 2015				December 31, 2014
		(Unaudited)
ASSETS
Current assets:
Cash and cash equivalents		$	141,328			$	142,387
Short-term marketable securities			196,037				220,329
Accounts receivable, net of allowances of $5,849 and $5,844, respectively			115,579				118,959
Inventory, net			164,867				154,638
Deferred and prepaid taxes			73,420				59,233
Prepaid expenses and other current assets			7,279				10,325
Total current assets			698,510				705,871
Property and equipment, net			140,474				128,565
Long-term marketable securities			113,793				43,042
Intangible assets, net			86,190				96,555
Goodwill			154,324				154,443
Deferred tax assets, non-current			49,614				65,330
Restricted cash and investments			5,615				123,233
Other assets			23,444				26,420
Total assets		$	1,271,964			$	1,343,459
LIABILITIES AND EQUITY
Current liabilities:
Accounts payable and accrued liabilities		$	63,545			$	133,324
Accrued payroll and related expenses			32,767				38,032
Litigation liabilities			937				30,000
Deferred and income tax liabilities			2,066				13,543
Total current liabilities			99,315				214,899
Senior Convertible Notes			372,485				360,746
Deferred and income tax liabilities, non-current			8,177				12,526
Non-current litigation liabilities			87,553				93,700
Other long-term liabilities			12,742				13,230
Commitments and contingencies
Stockholders’ equity:
Preferred stock, $0.001 par value; 5,000,000 shares authorized, none outstanding			—				—
Common stock, $0.001 par value; 120,000,000 shares authorized at September 30, 2015 and December 31, 2014, 52,099,475 and 47,691,744 issued and outstanding at September 30, 2015 and December 31, 2014, respectively			52				48
Additional paid-in capital			973,481				847,145
Accumulated other comprehensive loss			(11,323	)			(9,670	)
Accumulated deficit			(132,150	)			(186,938	)
Treasury stock at cost; 3,015,033 shares and 233,369 shares at September 30, 2015 and December 31, 2014, respectively			(146,077	)			(10,537	)
Total NuVasive, Inc. stockholders’ equity			683,983				640,048
Non-controlling interests			7,709				8,310
Total equity		$	691,692			$	648,358
Total liabilities and equity		$	1,271,964			$	1,343,459

 

10

---

NuVasive, Inc.

Consolidated Statements of Cash Flows

(in thousands)

 

		Nine Months Ended September 30,
(Unaudited)		2015				2014
Operating activities:
Consolidated net income (loss)		$	54,187			$	(24,789	)
Adjustments to reconcile net income (loss) to net cash provided by operating activities:
Depreciation and amortization			49,006				46,521
Amortization of non-cash interest			13,255				12,244
Stock-based compensation			20,570				24,779
Impairment of intangible assets			—				10,708
Deferred income taxes			37,047				—
Reserves on current assets			7,232				4,062
Other non-cash adjustments			13,127				11,317
Changes in operating assets and liabilities, net of effects from acquisitions:
Accounts receivable			2,163				(5,519	)
Inventory			(19,768	)			(27,190	)
Prepaid expenses and other current assets			2,512				(1,837	)
Accounts payable and accrued liabilities			8,828				11,485
Income taxes			(52,739	)			(7,898	)
Accrued royalties			(46,999	)			12,450
Litigation liability			(35,333	)			30,000
Accrued payroll and related expenses			(5,080	)			151
Net cash provided by operating activities			48,008				96,484
Investing activities:
Acquisitions and other investments			(1,357	)			(59	)
Purchases of intangible assets			(28,589	)			—
Purchases of property and equipment			(59,905	)			(45,692	)
Proceeds from sales of property and equipment			40				—
Purchases of marketable securities			(320,177	)			(177,850	)
Proceeds from sales of marketable securities			272,666				142,051
Purchases of restricted investments			(62,625	)			—
Proceeds from sales of restricted investments			180,694				—
Net cash used in investing activities			(19,253	)			(81,550	)
Financing activities:
Incremental tax benefits related to stock-based compensation awards			15,185				—
Proceeds from the issuance of common stock			9,040				15,341
Payment of contingent consideration			(514	)			(498	)
Purchase of treasury stock			(52,532	)			(664	)
Other financing activities			(131	)			(668	)
Net cash (used in) provided by financing activities			(28,952	)			13,511
Effect of exchange rate changes on cash			(862	)			(613	)
(Decrease) increase in cash and cash equivalents			(1,059	)			27,832
Cash and cash equivalents at beginning of period			142,387				102,825
Cash and cash equivalents at end of period		$	141,328			$	130,657

# # #

 

11