Q2 Fiscal 2018 | Q2 Fiscal 2017 | Year-Over-Year Change | Q1 Fiscal 2018 | Sequential Change | |||||
Revenues | $5.3B | $5.0B | +5% | $6.1B | (13%) | ||||
Operating income | $0.4B | $0.7B | (40%) | $0.0B | N/M | ||||
Net income (loss) 1 | $0.4B | $0.7B | (52%) | ($6.0B) | N/M | ||||
Diluted earnings (loss) per share 1 | $0.24 | $0.50 | (52%) | ($4.03) | N/M | ||||
Operating cash flow 2 | $0.5B | $0.8B | (37%) | $1.8B | (71%) |
Qualcomm Announces Second Quarter Fiscal 2018 Results | Page 2 of 15 |
Q2 Fiscal 2018 | Q2 Fiscal 2017 | Year-Over-Year Change | Q1 Fiscal 2018 | Sequential Change | |||||
Revenues | $5.2B | $6.0B | (13%) | $6.0B | (13%) | ||||
Operating income | $1.3B | $2.2B | (42%) | $1.6B | (22%) | ||||
Net income | $1.2B | $2.0B | (40%) | $1.5B | (19%) | ||||
Diluted earnings per share | $0.80 | $1.34 | (40%) | $0.98 | (18%) |
• | The second quarter of fiscal 2018 GAAP results included: |
◦ | $310 million of charges, or ($0.18) per share, that resulted from restructuring and restructuring-related costs related to our Cost Plan that was announced in January 2018. |
• | The second quarter of fiscal 2017 GAAP results included: |
◦ | $974 million reduction to revenues, or ($0.48) per share, which was accrued, related to the BlackBerry arbitration decision. |
• | The first quarter of fiscal 2018 GAAP results included: |
◦ | $6.0 billion charge, or ($4.03) per share, relating to the enactment of the Tax Cuts and Jobs Act (the Tax Legislation) in the United States (U.S.), which was comprised of $5.3 billion related to the estimated one-time repatriation tax on deemed repatriated earnings and profits of U.S.-owned foreign subsidiaries (the Toll Charge), $562 million resulting from the estimated impact of remeasurement of U.S. deferred tax assets and liabilities that existed at the end of fiscal 2017 at a lower enacted corporate income tax rate and $86 |
Qualcomm Announces Second Quarter Fiscal 2018 Results | Page 3 of 15 |
◦ | $1.2 billion charge, or ($0.76) per share, for the fine imposed by the European Commission (EC), for which we intend to provide financial guarantees by April 30, 2018 to satisfy the obligation in lieu of cash payment while we appeal the EC’s decision to the General Court of the European Union. |
(in millions except percentages) | Q2 Fiscal 2018 | Q2 Fiscal 2017 | Year-Over-Year Change | Q1 Fiscal 2018 | Sequential Change | ||||
QCT | |||||||||
Revenues | $3,897 | $3,676 | +6% | $4,651 | (16%) | ||||
EBT 1 | $608 | $475 | +28% | $955 | (36%) | ||||
EBT as % of revenues | 16% | 13% | +3% | 21% | (5%) | ||||
MSMTM chip shipments | 187 | 179 | +4% | 237 | (21%) | ||||
QTL | |||||||||
Revenues | $1,260 | $2,249 | (44%) | $1,299 | (3%) | ||||
EBT | $850 | $1,959 | (57%) | $887 | (4%) | ||||
EBT as % of revenues | 67% | 87% | (20%) | 68% | (1%) |
Qualcomm Announces Second Quarter Fiscal 2018 Results | Page 4 of 15 |
Qualcomm Announces Second Quarter Fiscal 2018 Results | Page 5 of 15 |
Qualcomm Announces Second Quarter Fiscal 2018 Results | Page 6 of 15 |
Q3 FY17 Results (1) | Current Guidance Q3 FY18 Estimates (2) (3) | ||||||
Revenues | $5.4B | $4.8B - $5.6B | |||||
Year-over-year change | decrease 11% - increase 4% | ||||||
GAAP diluted earnings per share (EPS) | $0.58 | $0.35 - $0.50 | |||||
Year-over-year change | decrease 14% - 40% | ||||||
Less diluted EPS attributable to QSI | $0.02 | $0.03 | |||||
Less diluted EPS attributable to share-based compensation | ($0.13) | ($0.13 | ) | ||||
Less diluted EPS attributable to other items | ($0.14) | ($0.15) - ($0.20) | |||||
Non-GAAP diluted EPS | $0.83 | $0.65 - $0.75 | |||||
Year-over-year change | decrease 10% - 22% | ||||||
Other Information | |||||||
MSM chip shipments | 187 | M | 185M - 205M | ||||
Year-over-year change | decrease 1% - increase 10% | ||||||
QTL revenues | $1.2B | $0.85B - $1.05B | |||||
Year-over-year change | decrease 10% - 27% |
(1) | Our financial guidance for the third quarter of fiscal 2018 excludes 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, as we expect the actions taken by these licensees will continue until the respective disputes are resolved. The third quarter of fiscal 2017 results also 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. |
(2) | Our guidance for diluted EPS attributable to other items for the third 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. |
(3) | As a result of Tax Legislation, we are currently evaluating potential restructuring options that will reduce our fiscal 2018 GAAP and Non-GAAP estimated annual effective tax rates, which results in third quarter fiscal 2018 GAAP and Non-GAAP estimated effective tax rates of 38 percent to 47 percent benefit and 20 percent to 25 percent benefit, respectively. Our guidance for GAAP and Non-GAAP diluted EPS includes an estimated tax benefit resulting from such potential restructuring options of $0.07 to $0.12 per share and $0.10 to $0.15 per share, respectively. |
Qualcomm Announces Second Quarter Fiscal 2018 Results | Page 7 of 15 |
GAAP Results | Less QSI | Less Share-Based Compensation | Less Other Items (a) (b) | Non-GAAP Results | ||||||||||||||
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 | |||||||||||||
Q1 FISCAL 2018 | ||||||||||||||||||
Revenues | $6,068 | $30 | $— | $— | $6,038 | |||||||||||||
Operating income (loss) | 29 | 9 | (248) | (1,367) | 1,635 | |||||||||||||
EBT | (27) | 11 | (248) | (1,373) | 1,583 | |||||||||||||
EBT as % of revenues | — | % | 26 | % | ||||||||||||||
Net (loss) income | (5,953) | 8 | (199) | (7,230) | 1,468 | |||||||||||||
Diluted EPS (c) | ($4.03) | $0.01 | ($0.13) | ($4.89) | $0.98 | |||||||||||||
Diluted shares (c) | 1,477 | 1,491 | 1,491 | 1,491 | 1,491 | |||||||||||||
Q2 FISCAL 2017 | ||||||||||||||||||
Revenues | $5,016 | $— | $— | ($974 | ) | $5,990 | ||||||||||||
Operating income (loss) | 729 | (17) | (246) | (1,228) | 2,220 | |||||||||||||
EBT | 857 | — | (246) | (1,239) | 2,342 | |||||||||||||
EBT as % of revenues | 17 | % | 39 | % | ||||||||||||||
Net income (loss) | 749 | — | (210) | (1,030) | 1,989 | |||||||||||||
Diluted EPS | $0.50 | $0.00 | ($0.14) | ($0.69) | $1.34 | |||||||||||||
Diluted shares | 1,489 | 1,489 | 1,489 | 1,489 | 1,489 |
(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) | As a result of the net loss in our GAAP results in the first quarter of fiscal 2018, all of the common share equivalents issuable under share-based compensation plans had an anti-dilutive effect and were therefore excluded from the computation of GAAP diluted loss per share. The diluted EPS impacts of the $6.0 billion charge resulting from the Tax Legislation and the $1.2 billion charge related to the fine imposed by the EC were calculated using the GAAP diluted shares. Amounts in all other columns included the common share equivalents issuable under share-based compensation plans in the calculation of diluted earnings per share because the Company reported Non-GAAP net income. |
Qualcomm Announces Second Quarter Fiscal 2018 Results | Page 8 of 15 |
Q2 FISCAL 2018 | |||||||||||||||||||
($ in millions) | GAAP Results | Less QSI | Less Share-Based Compensation | Less Other Items (a) | Non-GAAP Results | ||||||||||||||
Cost of revenues | $2,239 | $17 | $10 | $102 | $2,110 | ||||||||||||||
Research and development (R&D) expenses | 1,402 | — | 151 | 2 | 1,249 | ||||||||||||||
Selling, general and administrative (SG&A) expenses | 869 | 3 | 61 | 214 | 591 | ||||||||||||||
Other expenses | 310 | — | — | 310 | — | ||||||||||||||
Interest expense | 179 | — | — | 3 | 176 | ||||||||||||||
Investment and other income (loss), net | 96 | 30 | — | (65) | 131 | (b) |
(a) | Other items excluded from Non-GAAP results included $321 million of acquisition-related charges, $310 million of restructuring and restructuring-related charges related to our Cost Plan and $65 million of foreign currency transaction losses related to the EC and Taiwan Fair Trade Commission fines, net of associated gains on derivative instruments. |
(b) | Included $149 million in interest and dividend income, $6 million of net gains on derivative instruments and $4 million in net realized gains on investments, partially offset by $20 million in foreign currency losses and $8 million in equity in net losses of investees. |
($ in millions) | GAAP Results | Less QSI | Less Share-Based Compensation | Less Other Items (c) (d) (e) | Non-GAAP Results | ||||||||||||||||||||||||||
Q2 FISCAL 2018 | |||||||||||||||||||||||||||||||
Income (loss) before income taxes | $ | 358 | $ | 40 | $ | (222 | ) | $ | (696 | ) | $ | 1,236 | |||||||||||||||||||
Income tax benefit (expense) | 5 | (10 | ) | 29 | 35 | (49 | ) | ||||||||||||||||||||||||
Net income (loss) (a) | $ | 363 | $ | 30 | $ | (193 | ) | $ | (661 | ) | $ | 1,187 | |||||||||||||||||||
Tax rate | (1 | %) | 1 | % | (b) | (3 | %) | (b) | (3 | %) | (b) | 4 | % | ||||||||||||||||||
FISCAL 2018 | |||||||||||||||||||||||||||||||
Estimated annual tax rate | 438 | % | 1 | % | (b) | (3 | %) | (b) | 435 | % | (b) | 5 | % | ||||||||||||||||||
FISCAL 2018 Guidance (f) | |||||||||||||||||||||||||||||||
Estimated annual tax rate | 410% - 417% | 1% | (5%) | 415% - 420% | (1%) - 1% | ||||||||||||||||||||||||||
Estimated Q3 Fiscal 2018 tax rate | (38%) - (47%) | 4% | (16%) | (6%) - (10%) | (20%) - (25%) | ||||||||||||||||||||||||||
Estimated Q3 Fiscal 2018 Diluted EPS impact of potential tax restructuring | $0.07 - $0.12 | $0.00 | $0.01 | ($0.04) | $0.10 - $0.15 |
(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 second quarter of fiscal 2018, the tax benefit in the “Other Items” column included a $65 million tax benefit for the combined effect of other items in EBT, a $54 million tax benefit for the tax effect of acquisition-related items in EBT and an $8 million net benefit related to the refinement of estimates 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 resulted from the Tax Legislation, partially offset by a $92 million tax expense to reconcile the tax provision for each column to the total GAAP tax provision for the quarter. |
(d) | In fiscal 2018, the estimated annual effective tax rate for the “Other Items” column included a $5.9 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 resulted from the Tax Legislation, partially offset by a $131 million tax benefit for the tax effect of acquisition-related items in EBT and an $87 million tax benefit for the combined effect of other items in EBT. |
(e) | Our guidance for the third quarter of fiscal 2018 for the estimated tax rate included in the “Other Items” column is primarily attributed to tax expense to reconcile the tax provision for each column to the total GAAP tax provision for the quarter, partially offset by a tax benefit for the tax effect of acquisition-related items in EBT. |
(f) | As a result of Tax Legislation, we are currently evaluating potential restructuring options that will reduce our fiscal 2018 GAAP and Non-GAAP estimated annual tax rates, which we have reflected in our third quarter fiscal 2018 outlook. |
Qualcomm Announces Second Quarter Fiscal 2018 Results | Page 9 of 15 |
Qualcomm Announces Second 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 six months of fiscal 2018, the Company excluded the full impact |
Qualcomm Announces Second Quarter Fiscal 2018 Results | Page 11 of 15 |
Qualcomm Announces Second Quarter Fiscal 2018 Results | Page 12 of 15 |
Qualcomm Announces Second Quarter Fiscal 2018 Results | Page 13 of 15 |
March 25, 2018 | September 24, 2017 | ||||||
ASSETS | |||||||
Current assets: | |||||||
Cash and cash equivalents | $ | 37,946 | $ | 35,029 | |||
Marketable securities | 1,625 | 2,279 | |||||
Accounts receivable, net | 3,535 | 3,632 | |||||
Inventories | 1,797 | 2,035 | |||||
Other current assets | 641 | 618 | |||||
Total current assets | 45,544 | 43,593 | |||||
Marketable securities | 35 | 1,270 | |||||
Deferred tax assets | 1,126 | 2,900 | |||||
Property, plant and equipment, net | 3,224 | 3,216 | |||||
Goodwill | 6,676 | 6,623 | |||||
Other intangible assets, net | 3,435 | 3,737 | |||||
Other assets | 4,086 | 4,147 | |||||
Total assets | $ | 64,126 | $ | 65,486 | |||
LIABILITIES AND STOCKHOLDERS’ EQUITY | |||||||
Current liabilities: | |||||||
Trade accounts payable | $ | 1,454 | $ | 1,971 | |||
Payroll and other benefits related liabilities | 1,262 | 1,183 | |||||
Unearned revenues | 502 | 502 | |||||
Short-term debt | 3,733 | 2,495 | |||||
Other current liabilities | 5,709 | 4,756 | |||||
Total current liabilities | 12,660 | 10,907 | |||||
Unearned revenues | 1,803 | 2,003 | |||||
Income taxes payable | 3,277 | — | |||||
Long-term debt | 19,361 | 19,398 | |||||
Other liabilities | 3,206 | 2,432 | |||||
Total liabilities | 40,307 | 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; 1,482 and 1,474 shares issued and outstanding, respectively | 495 | 274 | |||||
Retained earnings | 22,779 | 30,088 | |||||
Accumulated other comprehensive income | 545 | 384 | |||||
Total stockholders’ equity | 23,819 | 30,746 | |||||
Total liabilities and stockholders’ equity | $ | 64,126 | $ | 65,486 |
Qualcomm Announces Second Quarter Fiscal 2018 Results | Page 14 of 15 |
Three Months Ended | Six Months Ended | ||||||||||||||
March 25, 2018 | March 26, 2017 | March 25, 2018 | March 26, 2017 | ||||||||||||
Revenues: | |||||||||||||||
Equipment and services | $ | 3,936 | $ | 3,689 | $ | 8,639 | $ | 7,828 | |||||||
Licensing | 1,325 | 1,327 | 2,690 | 3,187 | |||||||||||
Total revenues | 5,261 | 5,016 | 11,329 | 11,015 | |||||||||||
Costs and expenses: | |||||||||||||||
Cost of revenues | 2,239 | 2,208 | 4,902 | 4,651 | |||||||||||
Research and development | 1,402 | 1,386 | 2,822 | 2,697 | |||||||||||
Selling, general and administrative | 869 | 615 | 1,641 | 1,206 | |||||||||||
Other | 310 | 78 | 1,493 | 954 | |||||||||||
Total costs and expenses | 4,820 | 4,287 | 10,858 | 9,508 | |||||||||||
Operating income | 441 | 729 | 471 | 1,507 | |||||||||||
Interest expense | (179 | ) | (107 | ) | (350 | ) | (197 | ) | |||||||
Investment and other income, net | 96 | 235 | 211 | 417 | |||||||||||
Income before income taxes | 358 | 857 | 332 | 1,727 | |||||||||||
Income tax benefit (expense) | 5 | (108 | ) | (5,922 | ) | (296 | ) | ||||||||
Net income (loss) | $ | 363 | $ | 749 | $ | (5,590 | ) | $ | 1,431 | ||||||
Basic earnings (loss) per share | $ | 0.25 | $ | 0.51 | $ | (3.78 | ) | $ | 0.97 | ||||||
Diluted earnings (loss) per share | $ | 0.24 | $ | 0.50 | $ | (3.78 | ) | $ | 0.96 | ||||||
Shares used in per share calculations: | |||||||||||||||
Basic | 1,482 | 1,477 | 1,479 | 1,478 | |||||||||||
Diluted | 1,494 | 1,489 | 1,479 | 1,492 | |||||||||||
Dividends per share announced | $ | 0.57 | $ | 0.53 | $ | 1.14 | $ | 1.06 |
Qualcomm Announces Second Quarter Fiscal 2018 Results | Page 15 of 15 |
Three Months Ended | Six Months Ended | ||||||||||||||
March 25, 2018 | March 26, 2017 | March 25, 2018 | March 26, 2017 | ||||||||||||
Operating Activities: | |||||||||||||||
Net income (loss) | $ | 363 | $ | 749 | $ | (5,590 | ) | $ | 1,431 | ||||||
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | |||||||||||||||
Depreciation and amortization expense | 388 | 342 | 751 | 671 | |||||||||||
Income tax provision (less than) in excess of income tax payments | (220 | ) | (117 | ) | 5,477 | (230 | ) | ||||||||
Interest expense in excess of interest payments | 115 | 88 | 207 | 129 | |||||||||||
Non-cash portion of share-based compensation expense | 222 | 246 | 470 | 485 | |||||||||||
Net realized gains on marketable securities and other investments | (50 | ) | (88 | ) | (73 | ) | (236 | ) | |||||||
Indefinite and long-lived asset impairment charges | 33 | 2 | 33 | 34 | |||||||||||
Impairment losses on marketable securities and other investments | 11 | 5 | 20 | 148 | |||||||||||
Other items, net | 81 | 13 | 46 | (32 | ) | ||||||||||
Changes in assets and liabilities: | |||||||||||||||
Accounts receivable, net | (487 | ) | (1,822 | ) | 94 | (1,691 | ) | ||||||||
Inventories | 81 | 109 | 243 | (245 | ) | ||||||||||
Other assets | 126 | 123 | 70 | 107 | |||||||||||
Trade accounts payable | (263 | ) | (469 | ) | (511 | ) | (677 | ) | |||||||
Payroll, benefits and other liabilities | 166 | 1,635 | 1,166 | 2,592 | |||||||||||
Unearned revenues | (50 | ) | 4 | (125 | ) | (80 | ) | ||||||||
Net cash provided by operating activities | 516 | 820 | 2,278 | 2,406 | |||||||||||
Investing Activities: | |||||||||||||||
Capital expenditures | (185 | ) | (122 | ) | (411 | ) | (251 | ) | |||||||
Purchases of available-for-sale marketable securities | (131 | ) | (4,685 | ) | (5,758 | ) | (8,802 | ) | |||||||
Proceeds from sales and maturities of available-for-sale securities | 4,955 | 6,255 | 7,659 | 13,146 | |||||||||||
Deposits of investments designated as collateral | — | (50 | ) | — | (2,000 | ) | |||||||||
Acquisitions and other investments, net of cash acquired | (48 | ) | (1,325 | ) | (170 | ) | (1,382 | ) | |||||||
Proceeds from other investments | 149 | 1 | 159 | 7 | |||||||||||
Other items, net | 2 | 5 | 2 | 42 | |||||||||||
Net cash provided by investing activities | 4,742 | 79 | 1,481 | 760 | |||||||||||
Financing Activities: | |||||||||||||||
Proceeds from short-term debt | 3,447 | 2,386 | 5,563 | 5,113 | |||||||||||
Repayment of short-term debt | (3,181 | ) | (2,137 | ) | (4,330 | ) | (4,864 | ) | |||||||
Proceeds from issuance of common stock | 201 | 159 | 335 | 290 | |||||||||||
Repurchases and retirements of common stock | (200 | ) | (283 | ) | (425 | ) | (727 | ) | |||||||
Dividends paid | (845 | ) | (783 | ) | (1,689 | ) | (1,567 | ) | |||||||
Payments of tax withholdings related to vesting of share-based awards | (4 | ) | (3 | ) | (196 | ) | (175 | ) | |||||||
Payment of purchase consideration related to RF360 joint venture | (115 | ) | — | (115 | ) | — | |||||||||
Other items, net | (12 | ) | (10 | ) | (17 | ) | (52 | ) | |||||||
Net cash used by financing activities | (709 | ) | (671 | ) | (874 | ) | (1,982 | ) | |||||||
Effect of exchange rate changes on cash and cash equivalents | 35 | 11 | 32 | (6 | ) | ||||||||||
Net increase in cash and cash equivalents | 4,584 | 239 | 2,917 | 1,178 | |||||||||||
Cash and cash equivalents at beginning of period | 33,362 | 6,885 | 35,029 | 5,946 | |||||||||||
Cash and cash equivalents at end of period | $ | 37,946 | $ | 7,124 | $ | 37,946 | $ | 7,124 |