Audiocodes Ltd 6-K, filed Jan 26, 2021
Audiocodes Ltd (AUDC)
About this 6-K
Audiocodes Ltd filed this 6-K on January 26, 2021.
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 6-K
Report of Foreign Private Issuer
Pursuant to Rule 13a-16 or 15d-16
of the Securities Exchange Act of 1934
For the Month of January 2021
Commission file number 0-30070
AUDIOCODES LTD.
(Translation of registrant’s name into English)
1 Hayarden Street • Airport City, Lod 7019900 • ISRAEL
(Address of principal executive office)
Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.
Form 20-F x Form 40-F ¨
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1): ____
Note: Regulation S-T Rule 101(b)(1) only permits the submission in paper of a Form 6-K if submitted solely to provide an attached annual report to security holders.
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7): ____
Note: Regulation S-T Rule 101(b)(7) only permits the submission in paper of a Form 6-K if submitted to furnish a report or other document that the registrant foreign private issuer must furnish and make public under the laws of the jurisdiction in which the registrant is incorporated, domiciled or legally organized (the registrant’s “home country”), or under the rules of the home country exchange on which the registrant’s securities are traded, as long as the report or other document is not a press release, is not required to be and has not been distributed to the registrant’s security holders, and, if discussing a material event, has already been the subject of a Form 6-K submission or other Commission filing on EDGAR.
On January 26, 2021, AudioCodes Ltd. (the “Registrant”) issued a press release announcing financial results for the fourth quarter and full year periods ended December 31, 2020, and other matters. A copy of this press release is attached hereto as Exhibit 1 and incorporated by reference herein.
The information set forth in (a) the first, second, third, sixth and seventh paragraphs following the heading “Details,” and the paragraph following the heading “Court Approval of Share Purchases and/or Cash Dividends” of and (b) the condensed consolidated balance sheets, condensed consolidated statements of operations and condensed consolidated statements of cash flows contained in, the press release attached as Exhibit 1 to this Report on Form 6-K are hereby incorporated by reference into (i) the Registrant’s Registration Statement on Form F-3ASR, File No. 333-238867; (ii) the Registrant’s Registration Statement on Form S-8, File No. 333-11894; (iii) the Registrant’s Registration Statement on Form S-8, File No. 333-13268; (iv) the Registrant’s Registration Statement on Form S-8, File No. 333-105473; (v) the Registrant’s Registration Statement on Form S-8, File No. 333-144825; (vi) the Registrant’s Registration Statement on Form S-8, File No. 333-160330; (vii) the Registrant’s Registration Statement on Form S-8, File No. 333-170676; (viii) the Registrant’s Registration Statement on Form S-8, File No. 333-190437; (ix) the Registrant’s Registration Statement on Form S-8, File No. 333-210438; and (x) the Registrant’s Registration Statement on Form S-8, File No. 333-230388.
SIGNATURE
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, thereunto duly authorized.
| AUDIOCODES LTD. | |||
| (Registrant) | |||
| By: | /s/ NIRAN BARUCH | ||
| Niran Baruch | |||
| Vice President Finance and | |||
| Chief Financial Officer | |||
Dated: January 26, 2021
EXHIBIT INDEX
| Exhibit No. | Description | |
| 1 | Press release, dated January 26, 2021, announcing financial results for the fourth quarter and full year periods ended December 31, 2020, and other matters. |
Exhibit 1
 |
AudioCodes Press Release |
P R E S S R E L E A S E
| Company Contacts | IR Agency Contact | |
|
Niran Baruch, AudioCodes Tel: +972-3-976-4000 |
Shirley Nakar, Tel: +972-3-976-4000 shirley@audiocodes.com |
Brett Maas, Managing Director Hayden IR Tel: +1-646-536-7331 brett@haydenir.com |
AudioCodes Reports Fourth Quarter and Full Year 2020 Results
Lod, Israel – January 26, 2021 - AudioCodes (NASDAQ: AUDC) Press Release
Fourth Quarter and Full Year 2020 Highlights
| · | Quarterly revenues increased by 11.1% year-over-year to $58.7 million; |
full 2020 year revenues increased by 10.2% to $220.8 million;
| · | Quarterly service revenues increased by 19.9% year-over-year to $21 million; |
full 2020 year service revenues increased by 16.7% to $75.4 million; and
| · | Quarterly and full 2020 year UC-SIP revenues increased more than 20% year-over-year. |
| · | GAAP results: |
| o | Quarterly GAAP gross margin was 71.4%; |
| o | Quarterly GAAP operating margin was 20.7%; |
| o | Quarterly GAAP net income was $8.4 million, or $0.24 per diluted share; and |
| o | Full 2020 year GAAP net income was $27.2 million, or $0.83 per diluted share. |
| · | Non-GAAP results: |
| o | Quarterly Non-GAAP gross margin was 71.5%; |
| o | Quarterly Non-GAAP operating margin was 26.2%; |
| o | Quarterly Non-GAAP net income was $15.2 million, or $0.44 per diluted share; and |
| o | Full 2020 year Non-GAAP net income was $46.7 million, or $1.41 per diluted share. |
| · | Net cash provided by operating activities was $10.1 million for the quarter and $38.5 million for the full year. |
| AudioCodes Reports Fourth Quarter and Full Year 2020 Results | Page 1 of 10 |
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AudioCodes Press Release |
Details
AudioCodes (NASDAQ: AUDC), a leading vendor of advanced communications software, products and productivity solutions for the digital workplace, today announced financial results for the fourth quarter and full year periods ended December 31, 2020.
Revenues for the fourth quarter of 2020 were $58.7 million compared to $56.6 million for the third quarter of 2020 and $52.8 million for the fourth quarter of 2019. Revenues were $220.8 million in 2020 compared to $200.3 million in 2019.
Net income was $8.4 million, or $0.24 per diluted share, for the fourth quarter of 2020, compared to a net loss of $8.2 million, or $(0.28) per diluted share, for the fourth quarter of 2019. Net income was $27.2 million, or $0.83 per diluted share, in 2020 compared to $4.0 million, or $0.13 per diluted share, in 2019.
On a Non-GAAP basis, net income was $15.2 million, or $0.44 per diluted share, for the fourth quarter of 2020 compared to $8.1 million, or $0.26 per diluted share, in the fourth quarter of 2019. Non-GAAP net income was $46.7 million, or $1.41 per diluted share, in 2020 compared to $27.8 million, or $0.89 per diluted share, in 2019.
Non-GAAP net income excludes: (i) share-based compensation expenses; (ii) amortization expenses related to intangible assets; (iii) expenses related to the payment required to be made pursuant to the royalty buyout agreement with the Israel National Authority for Technology and Innovation (“IIA”)entered into in November 2019; (iv) expenses or income related to revaluation of an earn-out liability in connection with the acquisition of Active Communications Europe; (v) financial income or expenses related to exchange rate differences in connection with revaluation of assets and liabilities in non-dollar denominated currencies and (vi) non-cash deferred tax expenses (benefit). A reconciliation of net income on a GAAP basis to a non-GAAP basis is provided in the tables that accompany the condensed consolidated financial statements contained in this press release.
Net cash provided by operating activities was $10.1 million for the fourth quarter of 2020 and $38.5 million for 2020. Net cash provided by operating activities in both periods was impacted by the $11.6 million payment made in December 2020 which was the second installment payment pursuant to the royalty buyout agreement.
Cash and cash equivalents, long and short-term bank deposits and long and short-term marketable securities were $186.3 million as of December 31, 2020 compared to $71.9 million as of December 31, 2019. The increase in cash and cash equivalents, long and short-term bank deposits and long and short-term marketable securities was the result of the receipt of the net proceeds of the Company’s public offering in June 2020, as well as due to cash provided by operating activities, offset, in part, by the payments of cash dividends during 2020.
| AudioCodes Reports Fourth Quarter and Full Year 2020 Results | Page 2 of 10 |
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AudioCodes Press Release |
“We are pleased to report record financial results for the fourth quarter and full year 2020,” said Shabtai Adlersberg, President and Chief Executive Officer of AudioCodes.
“The year 2020 ended on a strong note, underscoring our excellent performance for the full year, and providing continued momentum heading into 2021. With collaboration and work from home trends becoming key for business continuity and workplace productivity in the Covid-19 pandemic era, we have seen increased demand for our comprehensive portfolio of solutions and services for the UCaas and Contact Center markets. Most notable was the more than 17% growth in our Enterprise business during 2020, which now comprises about 78% of revenue, driven mainly by continued success in voice solutions for Microsoft Teams where annual revenue grew by over 300% year-over-year, and more than 30% compared to the third quarter of 2020. Additionally, we witnessed higher than anticipated revenue in the Contact Center business, which grew over 15% in 2020. With continued focus on collaboration tools and on work from home in the coming years, we anticipate similar growth in 2021 and beyond.”
Mr. Adlersberg continued, “Given the ramp up in conversational AI opportunities we experienced in the second half of 2020, and looking to the future, we expect voice.ai to be a new growth engine for us over the next several years. In 2020, we experienced over 50% growth in the revenues of our conversational IVR, recording and voice.ai connect solutions. Driven by the current environment and trends, the need for quick and efficient access to contact centers has become a top priority for many. We see rising demand and requirements for automation of customer calls and self-service solutions. Meeting recap is another growth area for us where we integrate an intelligent assistant into our Meeting Insight solution, targeting to automate various enterprise business processes across the organization. As such, we see much potential and growth in voice.ai related applications.”
“As we enter 2021 with growth engines such as solutions for Microsoft Teams, contact centers and conversational AI, we are confident in our decision to continue to invest in future solutions and service offerings in the UCaaS and Contact Center enterprise market and to focus on the return on investment to our shareholders," concluded Mr. Adlersberg.
Court Approval of Share Purchases and/or Cash Dividends
In January 2021, the Company received court approval in Israel to purchase up to an aggregate amount of $30 million of additional ordinary shares. The court approval also permits AudioCodes to declare a dividend of any part of this amount. The approval is valid through July 19, 2021.
| AudioCodes Reports Fourth Quarter and Full Year 2020 Results | Page 3 of 10 |
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AudioCodes Press Release |
Conference Call & Web Cast Information
AudioCodes will conduct a conference call at 8:30 A.M., Eastern Time today to discuss the Company's fourth quarter and full year of 2020 operating performance, financial results and outlook. Interested parties may participate in the conference call by dialing one the following numbers:
United States Participants: +1 (877) 407-0778
International Participants: +1 (201) 689-8565
The conference call will also be simultaneously webcast. Investors are invited to listen to the call live via webcast at the AudioCodes investor website at http://www.audiocodes.com/investors-lobby
Follow AudioCodes’ social media channels:
AudioCodes invites you to join our online community and follow us on: AudioCodes Voice Blog, LinkedIn, Twitter, Facebook, and YouTube.
About AudioCodes
AudioCodes Ltd. (NASDAQ, TASE: AUDC) is a leading vendor of advanced communications software, products and productivity solutions for the digital workplace. AudioCodes enables enterprises and service providers to build and operate all-IP voice networks for unified communications, contact centers, and hosted business services. AudioCodes offers a broad range of innovative products, solutions and services that are used by large multi-national enterprises and leading tier-1 operators around the world.
For more information on AudioCodes, visit http://www.audiocodes.com.
Statements concerning AudioCodes' business outlook or future economic performance; product introductions and plans and objectives related thereto; and statements concerning assumptions made or expectations as to any future events, conditions, performance or other matters, are "forward-looking statements'' as that term is defined under U.S. Federal securities laws. Forward-looking statements are subject to various risks, uncertainties and other factors that could cause actual results to differ materially from those stated in such statements. These risks, uncertainties and factors include, but are not limited to: the effect of global economic conditions in general and conditions in AudioCodes' industry and target markets in particular; shifts in supply and demand; market acceptance of new products and the demand for existing products; the impact of competitive products and pricing on AudioCodes' and its customers' products and markets; timely product and technology development, upgrades and the ability to manage changes in market conditions as needed; possible need for additional financing; the ability to satisfy covenants in the Company’s loan agreements; possible disruptions from acquisitions; the ability of AudioCodes to successfully integrate the products and operations of acquired companies into AudioCodes’ business; possible adverse impact of the COVID-19 pandemic on our business and results of operations; and other factors detailed in AudioCodes' filings with the U.S. Securities and Exchange Commission. AudioCodes assumes no obligation to update the information in this release.
| AudioCodes Reports Fourth Quarter and Full Year 2020 Results | Page 4 of 10 |
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AudioCodes Press Release |
©2021 AudioCodes Ltd. All rights reserved. AudioCodes, AC, HD VoIP, HD VoIP Sounds Better, IPmedia, Mediant, MediaPack, What’s Inside Matters, OSN, SmartTAP, User Management Pack, VMAS, VoIPerfect, VoIPerfectHD, Your Gateway To VoIP, 3GX, VocaNom, AudioCodes One Voice, AudioCodes Meeting Insights, AudioCodes Room Experience and CloudBond are trademarks or registered trademarks of AudioCodes Limited. All other products or trademarks are property of their respective owners. Product specifications are subject to change without notice.
Summary financial data follows
| AudioCodes Reports Fourth Quarter and Full Year 2020 Results | Page 5 of 10 |
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AudioCodes Press Release |
AUDIOCODES LTD. AND ITS SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
U.S. dollars in thousands
| December 31, | December 31, | |||||||
| 2020 | 2019 | |||||||
| (Unaudited) | (Audited) | |||||||
| ASSETS | ||||||||
| CURRENT ASSETS: | ||||||||
| Cash and cash equivalents | $ | 40,934 | $ | 64,773 | ||||
| Restricted cash | 5,100 | 5,000 | ||||||
| Short-term and restricted bank deposits | 84,817 | 1,416 | ||||||
| Short-term marketable securities and accrued interest | 449 | - | ||||||
| Trade receivables, net | 34,518 | 27,501 | ||||||
| Other receivables and prepaid expenses | 8,631 | 5,626 | ||||||
| Inventories | 29,193 | 28,275 | ||||||
| Total current assets | 203,642 | 132,591 | ||||||
| LONG-TERM ASSETS: | ||||||||
| Long-term and restricted bank deposits | $ | 94 | $ | 694 | ||||
| Long-term marketable securities and accrued interest | 54,895 | - | ||||||
| Deferred tax assets | 12,081 | 20,466 | ||||||
| Operating lease right-of-use assets | 25,430 | 29,688 | ||||||
| Severance pay funds | 20,597 | 19,370 | ||||||
| Total long-term assets | 113,097 | 70,218 | ||||||
| PROPERTY AND EQUIPMENT, NET | 4,593 | 4,392 | ||||||
| GOODWILL, INTANGIBLE ASSETS AND OTHER, NET | 36,791 | 37,123 | ||||||
| Total assets | $ | 358,123 | $ | 244,324 | ||||
| LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||||
| CURRENT LIABILITIES: | ||||||||
| Current maturities of long-term bank loans | $ | 1,200 | $ | 2,473 | ||||
| Trade payables | 6,984 | 6,628 | ||||||
| Other payables and accrued expenses | 28,531 | 24,692 | ||||||
| IIA settlement liability | 11,684 | 10,750 | ||||||
| Deferred revenues | 37,182 | 33,538 | ||||||
| Short-term operating lease liabilities | 9,178 | 8,579 | ||||||
| Total current liabilities | 94,759 | 86,660 | ||||||
| LONG-TERM LIABILITIES: | ||||||||
| Accrued severance pay | $ | 21,830 | $ | 20,313 | ||||
| Long-term bank loans | - | 1,200 | ||||||
| IIA settlement liability | - | 10,749 | ||||||
| Deferred revenues and other liabilities | 12,243 | 9,831 | ||||||
| Long-term operating lease liabilities | 19,436 | 23,097 | ||||||
| Total long-term liabilities | 53,509 | 65,190 | ||||||
| Total shareholders’ equity | 209,855 | 92,474 | ||||||
| Total liabilities and shareholders' equity | $ | 358,123 | $ | 244,324 | ||||
| AudioCodes Reports Fourth Quarter and Full Year 2020 Results | Page 6 of 10 |
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AudioCodes Press Release |
AUDIOCODES LTD. AND ITS SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
U.S. dollars in thousands, except per share data
| Year ended | Three months ended | |||||||||||||||
| December 31, | December 31, | |||||||||||||||
| 2020 | 2019 | 2020 | 2019 | |||||||||||||
| (Unaudited) | (Audited) | (Unaudited) | ||||||||||||||
| Revenues: | ||||||||||||||||
| Products | $ | 145,332 | $ | 135,646 | $ | 37,644 | $ | 35,271 | ||||||||
| Services | 75,442 | 64,641 | 21,022 | 17,526 | ||||||||||||
| Total Revenues | 220,774 | 200,287 | 58,666 | 52,797 | ||||||||||||
| Cost of revenues: | ||||||||||||||||
| Products | 54,384 | 59,022 | 12,071 | 15,340 | ||||||||||||
| Services | 16,574 | 14,129 | 4,735 | 3,215 | ||||||||||||
| Expense related to royalty buyout agreement with the IIA | - | 32,178 | - | 32,178 | ||||||||||||
| Total Cost of revenues | 70,958 | 105,329 | 16,806 | 50,733 | ||||||||||||
| Gross profit | 149,816 | 94,958 | 41,860 | 2,064 | ||||||||||||
| Operating expenses: | ||||||||||||||||
| Research and development, net | 46,072 | 41,199 | 12,528 | 10,941 | ||||||||||||
| Selling and marketing | 51,217 | 51,535 | 13,110 | 13,650 | ||||||||||||
| General and administrative | 14,177 | 11,778 | 4,104 | 3,424 | ||||||||||||
| Total operating expenses | 111,466 | 104,512 | 29,742 | 28,015 | ||||||||||||
| Operating income (loss) | 38,350 | (9,554 | ) | 12,118 | (25,951 | ) | ||||||||||
| Financial income (expenses), net | (1,703 | ) | (1,761 | ) | (2,661 | ) | 231 | |||||||||
| Income (loss) before taxes on income | 36,647 | (11,315 | ) | 9,457 | (25,720 | ) | ||||||||||
| Tax benefit (taxes on income), net | (9,399 | ) | 15,292 | (1,076 | ) | 17,487 | ||||||||||
| Net income (loss) | $ | 27,248 | $ | 3,977 | $ | 8,381 | $ | (8,233 | ) | |||||||
| Basic net earnings (loss) per share | $ | 0.87 | $ | 0.14 | $ | 0.25 | $ | (0.28 | ) | |||||||
| Diluted net earnings (loss) per share | $ | 0.83 | $ | 0.13 | $ | 0.24 | $ | (0.28 | ) | |||||||
| Weighted average number of shares used in computing basic net earnings (loss) per share (in thousands) | 31,440 | 29,252 | 32,907 | 29,423 | ||||||||||||
| Weighted average number of shares used in computing diluted net earnings (loss) per share (in thousands) | 32,916 | 30,800 | 34,210 | 29,423 | ||||||||||||
| AudioCodes Reports Fourth Quarter and Full Year 2020 Results | Page 7 of 10 |
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AUDIOCODES LTD. AND ITS SUBSIDIARIES
RECONCILIATION OF GAAP NET INCOME TO NON-GAAP NET INCOME
U.S. dollars in thousands, except per share data
| Year ended | Three months ended | |||||||||||||||
| December 31, | December 31, | |||||||||||||||
| 2020 | 2019 | 2020 | 2019 | |||||||||||||
| (Unaudited) | (Audited) | (Unaudited) | ||||||||||||||
| GAAP net income (loss) | $ | 27,248 | $ | 3,977 | $ | 8,381 | $ | (8,233 | ) | |||||||
| GAAP net earnings (loss) per share | $ | 0.83 | $ | 0.13 | $ | 0.24 | $ | (0.28 | ) | |||||||
| Cost of revenues: | ||||||||||||||||
| Share-based compensation (1) | 181 | 183 | 24 | 62 | ||||||||||||
| Amortization expenses (2) | 272 | 272 | 68 | 68 | ||||||||||||
| Expense related to royalty buyout agreement with the IIA (3) | - | 32,178 | - | 32,178 | ||||||||||||
| 453 | 32,633 | 92 | 32,308 | |||||||||||||
| Research and development, net: | ||||||||||||||||
| Share-based compensation (1) | 1,535 | 937 | 771 | 289 | ||||||||||||
| Selling and marketing: | ||||||||||||||||
| Share-based compensation (1) | 3,635 | 2,171 | 967 | 811 | ||||||||||||
| Amortization expenses (2) | 60 | 60 | 15 | 15 | ||||||||||||
| 3,695 | 2,231 | 982 | 826 | |||||||||||||
| General and administrative: | ||||||||||||||||
| Share-based compensation (1) | 3,420 | 2,001 | 1,436 | 797 | ||||||||||||
| Revaluation of earn-out liability (4) | - | (23 | ) | - | - | |||||||||||
| 3,420 | 1,978 | 1,436 | 797 | |||||||||||||
| Financial expenses: | ||||||||||||||||
| Exchange rate differences (5) | 1,973 | 2,172 | 2,844 | (158 | ) | |||||||||||
| Income taxes: | ||||||||||||||||
| Deferred tax (6) | 8,398 | (16,099 | ) | 720 | (17,731 | ) | ||||||||||
| Non-GAAP net income | $ | 46,722 | $ | 27,829 | $ | 15,226 | $ | 8,098 | ||||||||
| Non-GAAP diluted net earnings per share | $ | 1.41 | $ | 0.89 | $ | 0.44 | $ | 0.26 | ||||||||
| (1) | Share-based compensation expenses related to options and restricted share units granted to employees and others. |
| (2) | Amortization of intangible assets related to the acquisitions of Active Communications Europe assets. |
| (3) | Expense related to royalty buyout agreement with the IIA. |
| (4) | Income related to revaluation of an earn-out liability in connection with the acquisition of Active Communications Europe. |
| (5) | Financial income or expenses related to exchange rate differences in connection with revaluation of assets and liabilities in non-dollar denominated currencies. |
| (6) | Non-cash deferred tax expenses (benefit). |
Note: Non-GAAP measures should be considered in addition to, and not as a substitute for, the results prepared in accordance with GAAP. The Company believes that non-GAAP information is useful because it can enhance the understanding of its ongoing economic performance and therefore uses internally this non-GAAP information to evaluate and manage its operations. The Company has chosen to provide this information to investors to enable them to perform comparisons of operating results in a manner similar to how the Company analyzes its operating results and because many comparable companies report this type of information.
| AudioCodes Reports Fourth Quarter and Full Year 2020 Results | Page 8 of 10 |
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AudioCodes Press Release |
AUDIOCODES LTD. AND ITS SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS
U.S. dollars in thousands
| Year ended | Three months ended | |||||||||||||||
| December 31, | December 31, | |||||||||||||||
| 2020 | 2019 | 2020 | 2019 | |||||||||||||
| (Unaudited) | (Audited) | (Unaudited) | ||||||||||||||
| Cash flows from operating activities: | ||||||||||||||||
| Net income (loss) | $ | 27,248 | $ | 3,977 | $ | 8,381 | $ | (8,233 | ) | |||||||
| Adjustments required to reconcile net income to net cash provided by operating activities: | ||||||||||||||||
| Depreciation and amortization | 2,268 | 2,044 | 587 | 522 | ||||||||||||
| Amortization of marketable securities premiums and accretion of discounts, net | 172 | 79 | 134 | - | ||||||||||||
| Increase (decrease) in accrued severance pay, net | 290 | (267 | ) | (133 | ) | (391 | ) | |||||||||
| Share-based compensation expenses | 8,771 | 5,292 | 3,198 | 1,959 | ||||||||||||
| Decrease (increase) in deferred tax assets, net | 8,329 | (16,282 | ) | 692 | (17,763 | ) | ||||||||||
| Increase (decrease) in accrued interest and exchange rate effect of loans, marketable securities and bank deposits | (26 | ) | 140 | (7 | ) | 20 | ||||||||||
| Decrease in operating lease right-of-use assets | 7,913 | 7,444 | 2,193 | 1,543 | ||||||||||||
| Increase (decrease) in operating lease liabilities | (6,717 | ) | (5,456 | ) | 789 | 60 | ||||||||||
| Changes in IIA settlement liability, net | (9,815 | ) | 21,499 | (10,086 | ) | 21,499 | ||||||||||
| Increase in trade receivables, net | (7,017 | ) | (5,222 | ) | (3,364 | ) | (3,216 | ) | ||||||||
| Decrease (increase) in other receivables and prepaid expenses | (1,516 | ) | 259 | 233 | (223 | ) | ||||||||||
| Decrease (increase) in inventories | (1,525 | ) | (5,925 | ) | 929 | 1,752 | ||||||||||
| Increase (decrease) in trade payables | 356 | 440 | 390 | (1,191 | ) | |||||||||||
| Increase in other payables and accrued expenses | 3,839 | 2,805 | 4,143 | 1,381 | ||||||||||||
| Increase in deferred revenues | 5,906 | 12,342 | 2,008 | 4,694 | ||||||||||||
| Net cash provided by operating activities | 38,476 | 23,169 | 10,087 | 2,413 | ||||||||||||
| Cash flows from investing activities: | ||||||||||||||||
| Investment in short-term deposits | (84,000 | ) | - | - | - | |||||||||||
| Proceeds from (investment in) short-term deposits | 599 | 10,962 | (75 | ) | - | |||||||||||
| Proceeds from long-term deposits | 600 | 1,200 | 375 | 300 | ||||||||||||
| Proceeds from redemption of marketable securities | - | 29,412 | - | 10,027 | ||||||||||||
| Purchase of marketable securities | (54,977 | ) | (10,025 | ) | (27,313 | ) | (19 | ) | ||||||||
| Purchase of property and equipment | (1,530 | ) | (1,949 | ) | (418 | ) | (273 | ) | ||||||||
| Net cash provided by (used in) investing activities | (139,308 | ) | 29,600 | (27,431 | ) | 10,035 | ||||||||||
| AudioCodes Reports Fourth Quarter and Full Year 2020 Results | Page 9 of 10 |
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AudioCodes Press Release |
AUDIOCODES LTD. AND ITS SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS
U.S. dollars in thousands
| Year ended | Three months ended | |||||||||||||||
| December 31, | December 31, | |||||||||||||||
| 2020 | 2019 | 2020 | 2019 | |||||||||||||
| (Unaudited) | (Audited) | (Unaudited) | ||||||||||||||
| Cash flows from financing activities: | ||||||||||||||||
| Purchase of treasury shares | - | (8,002 | ) | - | - | |||||||||||
| Repayment of bank loans | (2,497 | ) | (2,470 | ) | (632 | ) | (617 | ) | ||||||||
| Cash dividends paid to shareholders | (8,442 | ) | (6,720 | ) | (855 | ) | - | |||||||||
| Payment related to the acquisition of ACS | - | (410 | ) | - | - | |||||||||||
| Proceeds from issuance of shares, net | 85,426 | - | - | - | ||||||||||||
| Proceeds from issuance of shares upon exercise of options and warrants | 2,606 | 3,103 | 1,230 | 870 | ||||||||||||
| Net cash provided by (used in) financing activities | 77,093 | (14,499 | ) | (257 | ) | 253 | ||||||||||
| Net increase (decrease) in cash, cash equivalents, and restricted cash | (23,739 | ) | 38,270 | (17,601 | ) | 12,701 | ||||||||||
| Cash, cash equivalents and restricted cash at beginning of period | 69,773 | 31,503 | 63,635 | 57,072 | ||||||||||||
| Cash, cash equivalents and restricted cash at end of period | $ | 46,034 | $ | 69,773 | $ | 46,034 | $ | 69,773 | ||||||||
| AudioCodes Reports Fourth Quarter and Full Year 2020 Results | Page 10 of 10 |