Ebix, Inc. and Subsidiaries
Consolidated Statements of Cash Flows

 

Nine Months Ended

 

September 30,

 

2016

2015

Cash flows from operating activities:

 

 

Net income attributable to Ebix, Inc.

$ 69,218

$ 57,604

Net income attributable to noncontrolling interest

133

-

Adjustments to reconcile net income to net cash provided by operating activities:

 

 

Depreciation and amortization

8,088

7,932

Benefit for deferred taxes

(6,250)

(5,749 )

Share based compensation

2,078

1,244

Provision for doubtful accounts

700

1,950

Debt discount amortization on promissory note payable

-

13

Unrealized foreign exchange gain

(328)

(2,008)

Bargain purchase gain on valuation of acquiring controlling interest of IHC joint venture

(1,162)

-

Amortization of capitalized software development costs

1,040

-

Reduction of acquisition earnout accruals

(1,726)

(1,533 )

Changes in assets and liabilities, net of effects from acquisitions:

 

 

Accounts receivable

(11,205)

(6,328)

Other assets

(3,402)

(3,606)

Accounts payable and accrued expenses

(4,499)

(21,448)

Accrued payroll and related benefits

79

1,100

Deferred revenue

(290)

(3,096)

Deferred rent

(168)

(111)

Reserve for potential uncertain income tax return positions

700

594

Liability - securities litigation settlement payment

-

(690)

Other liabilities

44

(205)

Net cash provided by operating activities

53,050

25,663

 

 

 

Cash flows from investing activities:

 

 

Acquisition of Via Media Health, net of cash acquired

-

(1,000)

Acquisition of P.B. Systemc

-

(11,475)

Investment in Joint Venture, net of cash acquired

(696)

(6,000)

Capitalized software development costs

(1,034)

-

Purchases of marketable securities

(1,078)

(940)

Capital expenditures

(4,420)

(12,713)

Net cash used in investing activities

(7,228)

(32,128)

 

 

 

Cash flows from financing activities:

 

 

Proceeds (repayments) from revolving line of credit, net

(72,436)

66,000

Proceeds from term loan

125,000

-

Principal payments of term loan obligation

(3,125)

-

Repurchases of common stock

(43,775)

(67,780)

Excess tax benefit from share-based compensation

-

63

Proceeds from the exercise of stock options

29

1,117

Forfeiture of certain shares to satisfy exercise costs and the recipients income tax obligations related to stock options exercised and restricted stock vested

(147)

(1,141)

Dividend payments

(7,401)

(7,989)

Principal payments of debt obligations

(600)

(638)

Payments of capital lease obligations

(4)

(3)

Net cash used in financing activities

(2,459)

(10,371)

Effect of foreign exchange rates on cash

(736)

(2,264)

Net change in cash and cash equivalents

42,627

(19,100

Cash and cash equivalents at the beginning of the period

57,179

52,300

Cash and cash equivalents at the end of the period

$99,806

$ 33,200

Supplemental disclosures of cash flow information:

 

 

Interest paid

$ 5,318

$ 4,002

Income taxes paid

$ 14,068

$ 24,663