Ebix, Inc. and Subsidiaries
Condensed Consolidated Statements of Cash Flows

(In thousands)
   

Year Ended December 31, 2011

 

Year Ended December 31, 2010

 

Year Ended December 31, 2009

   

(In thousands)

Cash flows from operating activities:

           

Net income

 

$

71,378

   

$

59,019

   

$

38,822

 

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

           

Depreciation and amortization

 

7,514

   

6,038

   

3,955

 

Provision for doubtful accounts

 

976

   

1,143

   

321

 

Provision for deferred taxes

 

(5,083)

   

(1,752)

   

(2,615)

 

Unrealized foreign exchange gain
on forward contracts

 

2,346

   

(1,304)

   

(500)

 

Unrealized foreign exchange gain

 

(5,795)

   

(598)

   

 

Unrealized gain on put option

 

(537)

   

(6,059)

   

(89)

 

Share-based compensation

 

2,205

   

1,850

   

1,369

 

Debt discount amortization on convertible debt

 

21

   

327

   

 

Reduction of acquisition earn-out contingent liability

 

(2,847)

   

(1,500)

   

 

Changes in current assets and
liabilities, net of acquisitions:

           

Accounts receivable

 

(2,903)

   

(3,018)

   

(8,619)

 

Other assets

 

1,647

   

(955)

   

(577)

 

Accounts payable and accrued expenses

 

1,525

   

(356)

   

1,127

 

Accrued payroll and related benefits

 

(532)

   

165

   

587

 

Deferred rent

 

(261)

   

(125)

   

27

 

Other liabilities

 

836

   

(61)

   

109

 

Deferred revenue

 

796

   

(35)

   

(40)

 

Net cash provided by operating activities

 

71,286

   

52,779

   

33,877

 

Cash flows from investing activities:

           

Investment in ADAM, net of cash acquired

 

3,529

   

   

 

Investment in MCN, net of cash acquired

 

(381)

   

(2,931)

   

 

Investment in Trades Monitor, net of cash acquired

 

   

(2,749)

   

 

Investment in Connective Technologies,
net of cash acquired

 

   

(1,337)

   

 

Investment in USIX, net of cash acquired

 

   

(7,131)

   

 

Investment in e-Trek, net of cash acquired

 

   

(1,011)

   

 

Investment in IDS, net of cash acquired

 

   

   

(1,000)

 

Investment in Health Connect Solutions,
net of cash acquired

 

(17,945)

   

   

 

Investment in Periculum, net of cash acquired

 

   

(6)

   

(200)

 

Investment in Acclamation, net of cash acquired

 

   

   

(85)

 

Investment in Confirmnet, net of cash acquired

 

(184)

   

(2,975)

   

(3,279)

 

Purchases of marketable securities

 

(3,098)

   

(11,507)

   

(4,133)

 

Maturities of marketable securities

 

7,600

   

7,006

   

3,870

 

Investment in Facts, net of cash acquired

 

(12)

   

(11)

   

(6,215)

 

Investment in Peak Performance,
net of cash acquired

 

   

   

(7,894)

 

Investment in EZ Data, net of cash acquired

 

   

   

(25,362)

 

Capital expenditures

 

(2,829)

   

(1,754)

   

(3,129)

 

Net cash used in investing activities

 

(13,320

)

 

(24,406

)

 

(47,427

)

Cash flows from financing activities:

           

Proceeds from / (Repayment) to line of credit, net

 

6,750

   

1,900

   

(1,846

 

Proceeds from term loan

 

16,250

   

10,157

   

 

Proceeds from the issuance of convertible debt

 

   

   

25,000

 

Principal payments on term loan obligation

 

(6,407)

   

(5,000)

   

 

Repurchase of common stock

 

(63,659)

   

(10,650)

   

(505)

 

Settlement on conversion of convertible debt

 

(6,761)

   

(22,521)

   

 

Payments of long term debt

 

   

   

(742)

 

Payments for capital lease obligations

 

(300)

   

(804)

   

(293)

 

Proceeds from exercise of common stock options

 

51

   

1,236

   

1,565

 

Dividends paid

 

(1,461)

   

   

 

Net cash provided (used)
by financing activities

 

(55,537)

   

(25,682)

 

 

23,179

 

Effect of foreign exchange rates on
cash and cash equivalents

 

(2,130)

   

1,479

   

123

 

Net change in cash and cash equivalents

 

299

   

4,170

   

9,752

 

Cash and cash equivalents at the
beginning of the year

 

23,397

   

19,227

   

9,475

 

Cash and cash equivalents at
the end of the year

 

$

23,696

   

$

23,397

   

$

19,227

 

Supplemental disclosures of
cash flow information:

           

Interest paid

 

$

710

   

$

526

   

$

1,125

 

Income taxes paid

 

2,907

   

2,396

   

4,752

 

Investor Contacts

EBIX Inc
5 Concourse Parkway, Suite 3200, Atlanta, Georgia 30328
Ph: 678-281-2043 Fax: 678-281-2019
www.ebix.com
IR@ebix.com