2016 Q2 Form 10-Q Financial Statement

#000119312516676746 Filed on August 09, 2016

View on sec.gov

Income Statement

Concept 2016 Q2 2015 Q2
Revenue $17.10M $13.36M
YoY Change 28.03% 44.97%
Cost Of Revenue $1.403M $1.550M
YoY Change -9.48% 13.14%
Gross Profit $15.70M $11.81M
YoY Change 32.95% 50.53%
Gross Profit Margin 91.8% 88.4%
Selling, General & Admin $4.933M $4.214M
YoY Change 17.06% 3.84%
% of Gross Profit 31.42% 35.68%
Research & Development $7.811M $7.241M
YoY Change 7.87% 19.67%
% of Gross Profit 49.75% 61.32%
Depreciation & Amortization $620.0K $580.0K
YoY Change 6.9% 262.5%
% of Gross Profit 3.95% 4.91%
Operating Expenses $13.05M $11.78M
YoY Change 10.82% 16.52%
Operating Profit $2.647M $30.00K
YoY Change 8723.33% -101.33%
Interest Expense $560.0K $320.0K
YoY Change 75.0% -23.81%
% of Operating Profit 21.16% 1066.67%
Other Income/Expense, Net -$50.00K
YoY Change
Pretax Income $3.208M $299.0K
YoY Change 972.91% -116.19%
Income Tax $497.0K $131.0K
% Of Pretax Income 15.49% 43.81%
Net Earnings $2.711M $168.0K
YoY Change 1513.69% -111.01%
Net Earnings / Revenue 15.85% 1.26%
Basic Earnings Per Share $0.13 $0.01
Diluted Earnings Per Share $0.13 $0.01
COMMON SHARES
Basic Shares Outstanding 20.60M shares 20.56M shares
Diluted Shares Outstanding 21.37M shares 20.98M shares

Balance Sheet

Concept 2016 Q2 2015 Q2
SHORT-TERM ASSETS
Cash & Short-Term Investments $71.05M $69.50M
YoY Change 2.23% -43.68%
Cash & Equivalents $18.66M $12.08M
Short-Term Investments $52.38M $57.40M
Other Short-Term Assets $3.800M $7.200M
YoY Change -47.22% 14.29%
Inventory
Prepaid Expenses
Receivables $10.78M $9.390M
Other Receivables $0.00 $0.00
Total Short-Term Assets $137.1M $86.06M
YoY Change 59.34% -36.1%
LONG-TERM ASSETS
Property, Plant & Equipment $4.105M $2.836M
YoY Change 44.75% 93.85%
Goodwill $46.61M $46.61M
YoY Change 0.0% 27.71%
Intangibles $3.596M $4.863M
YoY Change -26.05%
Long-Term Investments $19.10M $58.60M
YoY Change -67.41% 202.06%
Other Assets $3.972M $1.806M
YoY Change 119.93% -46.36%
Total Long-Term Assets $82.99M $121.3M
YoY Change -31.57% 83.91%
TOTAL ASSETS
Total Short-Term Assets $137.1M $86.06M
Total Long-Term Assets $82.99M $121.3M
Total Assets $220.1M $207.3M
YoY Change 6.16% 3.35%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $1.200M $900.0K
YoY Change 33.33% 0.0%
Accrued Expenses $3.623M $3.052M
YoY Change 18.71% 38.04%
Deferred Revenue
YoY Change
Short-Term Debt $0.00 $0.00
YoY Change
Long-Term Debt Due
YoY Change
Total Short-Term Liabilities $17.83M $17.22M
YoY Change 3.55% 49.32%
LONG-TERM LIABILITIES
Long-Term Debt $0.00 $0.00
YoY Change
Other Long-Term Liabilities $8.200M $8.100M
YoY Change 1.23% 5.19%
Total Long-Term Liabilities $8.200M $8.100M
YoY Change 1.23% 5.19%
TOTAL LIABILITIES
Total Short-Term Liabilities $17.83M $17.22M
Total Long-Term Liabilities $8.200M $8.100M
Total Liabilities $26.00M $26.50M
YoY Change -1.89% 38.02%
SHAREHOLDERS EQUITY
Retained Earnings $32.19M $21.77M
YoY Change 47.88% -19.23%
Common Stock $209.4M $211.1M
YoY Change -0.84% 1055510.0%
Preferred Stock
YoY Change
Treasury Stock (at cost) $47.46M $51.89M
YoY Change -8.52% -1.68%
Treasury Stock Shares 2.789M shares 3.115M shares
Shareholders Equity $194.1M $180.9M
YoY Change
Total Liabilities & Shareholders Equity $220.1M $207.3M
YoY Change 6.16% 3.35%

Cashflow Statement

Concept 2016 Q2 2015 Q2
OPERATING ACTIVITIES
Net Income $2.711M $168.0K
YoY Change 1513.69% -111.01%
Depreciation, Depletion And Amortization $620.0K $580.0K
YoY Change 6.9% 262.5%
Cash From Operating Activities -$1.540M $2.980M
YoY Change -151.68% -186.13%
INVESTING ACTIVITIES
Capital Expenditures -$330.0K -$370.0K
YoY Change -10.81% 311.11%
Acquisitions
YoY Change
Other Investing Activities $6.790M -$430.0K
YoY Change -1679.07% -105.39%
Cash From Investing Activities $6.460M -$810.0K
YoY Change -897.53% -110.27%
FINANCING ACTIVITIES
Cash Dividend Paid
YoY Change
Common Stock Issuance & Retirement, Net
YoY Change
Debt Paid & Issued, Net
YoY Change
Cash From Financing Activities 2.480M -4.040M
YoY Change -161.39% -58.73%
NET CHANGE
Cash From Operating Activities -1.540M 2.980M
Cash From Investing Activities 6.460M -810.0K
Cash From Financing Activities 2.480M -4.040M
Net Change In Cash 7.400M -1.870M
YoY Change -495.72% -65.11%
FREE CASH FLOW
Cash From Operating Activities -$1.540M $2.980M
Capital Expenditures -$330.0K -$370.0K
Free Cash Flow -$1.210M $3.350M
YoY Change -136.12% -199.41%

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dei Document Type
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10-Q
dei Trading Symbol
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CEVA
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2016-06-30
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us-gaap Description Of New Accounting Pronouncements Not Yet Adopted
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<div> <p style="MARGIN-BOTTOM: 0pt; WHITE-SPACE: normal; WORD-SPACING: 0px; TEXT-TRANSFORM: none; COLOR: rgb(0,0,0); FONT: 10pt 'Times New Roman'; WIDOWS: 1; MARGIN-TOP: 18pt; LETTER-SPACING: normal; TEXT-INDENT: 0px; -webkit-text-stroke-width: 0px"> <b>NOTE 12: IMPACT OF RECENTLY ISSUED ACCOUNTING STANDARDS NOT YET ADOPTED</b></p> <p style="MARGIN-BOTTOM: 0pt; WHITE-SPACE: normal; WORD-SPACING: 0px; TEXT-TRANSFORM: none; COLOR: rgb(0,0,0); FONT: 10pt 'Times New Roman'; WIDOWS: 1; MARGIN-TOP: 6pt; LETTER-SPACING: normal; TEXT-INDENT: 8%; -webkit-text-stroke-width: 0px"> In May 2014, the Financial Accounting Standards Board (&#x201C;FASB&#x201D;) issued Accounting Standards Update (&#x201C;ASU&#x201D;) 2014-09, &#x201C;Revenue from Contracts with Customers.&#x201D; Under this guidance, revenue is recognized when promised goods or services are transferred to customers in an amount that reflects the consideration that is expected to be received for those goods or services. The updated standard will replace most existing revenue recognition guidance under GAAP when it becomes effective and permits the use of either the retrospective or cumulative effect transition method. As currently issued and amended, ASU 2014-09 is effective for annual reporting periods beginning after December&#xA0;15, 2017, including interim periods within that reporting period, although early adoption is permitted for annual reporting periods beginning after December&#xA0;15, 2016. The Company is currently evaluating the effect that the updated standard will have on its consolidated financial statements and related disclosures.</p> <p style="MARGIN-BOTTOM: 0pt; WHITE-SPACE: normal; WORD-SPACING: 0px; TEXT-TRANSFORM: none; COLOR: rgb(0,0,0); FONT: 10pt 'Times New Roman'; WIDOWS: 1; MARGIN-TOP: 12pt; LETTER-SPACING: normal; TEXT-INDENT: 8%; -webkit-text-stroke-width: 0px"> In February 2016, the FASB issued ASU 2016-02, &#x201C;Leases (Topic 842),&#x201D; which will replace the existing guidance in ASC 840, &#x201C;Leases.&#x201D; The updated standard aims to increase transparency and comparability among organizations by requiring lessees to recognize lease assets and lease liabilities on the balance sheet and requiring disclosure of key information about leasing arrangements. This ASU is effective for annual periods beginning after December&#xA0;15, 2018, and interim periods within those annual periods; early adoption is permitted and modified retrospective application is required. The Company is in the process of evaluating this guidance to determine the impact it will have on its financial statements and related disclosures.</p> <p style="MARGIN-BOTTOM: 0px; WHITE-SPACE: normal; WORD-SPACING: 0px; TEXT-TRANSFORM: none; COLOR: rgb(0,0,0); FONT: 1px 'Times New Roman'; WIDOWS: 1; MARGIN-TOP: 12px; LETTER-SPACING: normal; TEXT-INDENT: 0px; -webkit-text-stroke-width: 0px"> &#xA0;</p> <p style="MARGIN-BOTTOM: 0pt; WHITE-SPACE: normal; WORD-SPACING: 0px; TEXT-TRANSFORM: none; COLOR: rgb(0,0,0); FONT: 10pt 'Times New Roman'; WIDOWS: 1; MARGIN-TOP: 0pt; LETTER-SPACING: normal; TEXT-INDENT: 8%; -webkit-text-stroke-width: 0px"> In March 2016, the FASB issued ASU 2016-08, &#x201C;Revenue from Contracts with Customers (Topic 606): Principal versus Agent Considerations (Reporting Revenue Gross versus Net),&#x201D; which clarifies the implementation guidance on principal versus agent considerations under the new revenue recognition standard, ASU 2014-09. In April 2016, the FASB issued ASU 2016-10, &#x201C;Revenue from Contracts with Customers (Topic 606): Identifying Performance Obligations and Licensing,&#x201D; which clarifies the implementation guidance on identifying promised goods or services from a principal and agent perspective. The Company will adopt the standard effective January&#xA0;1, 2018. The Company is continuing to evaluate the full effect that ASU 2014-09 and related subsequent updates will have on its consolidated financial statements and related disclosures.</p> <p style="MARGIN-BOTTOM: 0pt; WHITE-SPACE: normal; WORD-SPACING: 0px; TEXT-TRANSFORM: none; COLOR: rgb(0,0,0); FONT: 10pt 'Times New Roman'; WIDOWS: 1; MARGIN-TOP: 12pt; LETTER-SPACING: normal; TEXT-INDENT: 8%; -webkit-text-stroke-width: 0px"> In March 2016, the FASB issued ASU 2016-09, &#x201C;Compensation-Stock Compensation,&#x201D; which simplifies several aspects of the accounting for share-based payments, including immediate recognition of all excess tax benefits and deficiencies in the income statement, changing the threshold to qualify for equity classification up to the employees&#x2019; maximum statutory tax rates, allowing an entity-wide accounting policy election to either estimate the number of awards that are expected to vest or account for forfeitures as they occur, and clarifying the classification on the statement of cash flows for the excess tax benefit and employee taxes paid when an employer withholds shares for tax-withholding purposes. The Company is evaluating the full effect that ASU 2016-09 will have on its consolidated financial statements and related disclosures and will adopt the standard effective January&#xA0;1, 2017.</p> <p style="MARGIN-BOTTOM: 0pt; WHITE-SPACE: normal; WORD-SPACING: 0px; TEXT-TRANSFORM: none; COLOR: rgb(0,0,0); FONT: 10pt 'Times New Roman'; WIDOWS: 1; MARGIN-TOP: 12pt; LETTER-SPACING: normal; TEXT-INDENT: 8%; -webkit-text-stroke-width: 0px"> In April 2016, the FASB issued ASU No.&#xA0;2016-10, Revenue from Contracts with Customers (Topic 606). ASU 2016-10 amends ASC 606, Revenue from Contracts with Customers, to clarify two aspects of ASC 606, identifying performance obligations and the licensing implementation guidance, while retaining the related principles of those areas. The amendments in ASU 2016-10 do not change the core principle of the guidance in ASC 606. The amendments in ASU No.&#xA0;2016-10 affect the guidance in ASU 2014-09, Revenue from Contracts with Customers (Topic 606)<i>,&#xA0;</i>which is not yet effective. The effective date and transition requirements for the amendments in ASU No.&#xA0;2016-10 are the same as the effective date and transition requirements in ASC 606 and any other Topic amended by ASU 2014-09. ASU 2015-14, Revenue from Contracts with Customers (Topic 606): Deferral of the Effective Date, defers the effective date of ASU 2014-09 by one year to annual reporting periods beginning after December&#xA0;15, 2017, including interim reporting periods within that reporting period. The Company is currently evaluating the effect that the adoption of ASU 2016-10 will have on its financial statements.</p> <p style="MARGIN-BOTTOM: 0pt; WHITE-SPACE: normal; WORD-SPACING: 0px; TEXT-TRANSFORM: none; COLOR: rgb(0,0,0); FONT: 10pt 'Times New Roman'; WIDOWS: 1; MARGIN-TOP: 12pt; LETTER-SPACING: normal; TEXT-INDENT: 8%; -webkit-text-stroke-width: 0px"> In May 2016, the FASB issued ASU No.&#xA0;2016-12, Revenue from Contracts with Customers (Topic 606). ASU 2016-12 amends ASC 606 to address certain issues in the guidance on assessing collectability, presentation of sales taxes, noncash consideration, and completed contracts and contract modifications at transition. The amendments in ASU 2016-12 do not change the core principle of the guidance in ASC 606. The amendments in ASU No.&#xA0;2016-12 affect the guidance in ASU 2014-09, Revenue from Contracts with Customers (Topic 606)<i>,&#xA0;</i>which is not yet effective. The effective date and transition requirements for the amendments in ASU No.&#xA0;2016-12 are the same as the effective date and transition requirements in ASC 606 and any other Topic amended by ASU 2014-09. ASU 2015-14, Revenue from Contracts with Customers (Topic 606): Deferral of the Effective Date, defers the effective date of ASU 2014-09 by one year to annual reporting periods beginning after December&#xA0;15, 2017, including interim reporting periods within that reporting period. The Company is currently evaluating the effect that the adoption of ASU 2016-12 will have on its financial statements.</p> </div>
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CEVA INC
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<div> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman; MARGIN-LEFT: 4%; MARGIN-TOP: 18pt"> <b><i>Use of Estimates</i></b></p> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman; MARGIN-TOP: 6pt; TEXT-INDENT: 4%"> The preparation of the interim condensed consolidated financial statements in conformity with U.S. GAAP requires management to make estimates, judgments and assumptions. The Company&#x2019;s management believes that the estimates, judgments and assumptions used are reasonable based upon information available at the time they are made. These estimates, judgments and assumptions can affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the dates of the interim condensed consolidated financial statements, and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates.</p> </div>
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832125 shares
CY2016Q2 us-gaap Weighted Average Number Of Shares Outstanding Basic
WeightedAverageNumberOfSharesOutstandingBasic
20604000 shares
CY2015Q2 us-gaap Available For Sale Securities Gross Realized Gains
AvailableForSaleSecuritiesGrossRealizedGains
1000
CY2015Q2 us-gaap Royalty Revenue
RoyaltyRevenue
5690000
CY2015Q2 us-gaap Other Comprehensive Income Loss Available For Sale Securities Adjustment Before Tax
OtherComprehensiveIncomeLossAvailableForSaleSecuritiesAdjustmentBeforeTax
-129000
CY2015Q2 us-gaap Selling And Marketing Expense
SellingAndMarketingExpense
2548000
CY2015Q2 us-gaap Operating Expenses
OperatingExpenses
11779000
CY2015Q2 us-gaap Amortization Of Intangible Assets
AmortizationOfIntangibleAssets
324000
CY2015Q2 us-gaap Cost Of Revenue
CostOfRevenue
1550000
CY2015Q2 us-gaap Income Tax Expense Benefit
IncomeTaxExpenseBenefit
131000
CY2015Q2 us-gaap Other Comprehensive Income Loss Tax
OtherComprehensiveIncomeLossTax
12000
CY2015Q2 us-gaap Reclassification From Accumulated Other Comprehensive Income Current Period Net Of Tax
ReclassificationFromAccumulatedOtherComprehensiveIncomeCurrentPeriodNetOfTax
38000
CY2015Q2 us-gaap General And Administrative Expense
GeneralAndAdministrativeExpense
1666000
CY2015Q2 us-gaap Other Comprehensive Income Loss Reclassification Adjustment From Aoci On Derivatives Before Tax
OtherComprehensiveIncomeLossReclassificationAdjustmentFromAOCIOnDerivativesBeforeTax
72000
CY2015Q2 us-gaap Allocated Share Based Compensation Expense
AllocatedShareBasedCompensationExpense
827000
CY2015Q2 us-gaap Other Comprehensive Income Loss Reclassification Adjustment From Aoci For Sale Of Securities Before Tax
OtherComprehensiveIncomeLossReclassificationAdjustmentFromAOCIForSaleOfSecuritiesBeforeTax
-33000
CY2015Q2 us-gaap Treasury Stock Value Acquired Cost Method
TreasuryStockValueAcquiredCostMethod
3426
CY2015Q2 us-gaap Available For Sale Securities Gross Realized Losses
AvailableForSaleSecuritiesGrossRealizedLosses
34000
CY2015Q2 us-gaap Research And Development Expense
ResearchAndDevelopmentExpense
7241000
CY2015Q2 ceva Sharebased Compensation Arrangement By Sharebased Payment Award Fair Value Assumptions Suboptimal Exercise Factor
SharebasedCompensationArrangementBySharebasedPaymentAwardFairValueAssumptionsSuboptimalExerciseFactor
2.1 Employee
CY2015Q2 ceva Share Based Compensation Arrangement By Share Based Payment Award Fair Value Assumptions Expected Forfeiture
ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExpectedForfeiture
0.10 pure
CY2016Q2 us-gaap Treasury Stock Shares Acquired
TreasuryStockSharesAcquired
0 shares
CY2016Q2 us-gaap Earnings Per Share Diluted
EarningsPerShareDiluted
0.13
CY2016Q2 us-gaap Incremental Common Shares Attributable To Share Based Payment Arrangements
IncrementalCommonSharesAttributableToShareBasedPaymentArrangements
767000 shares
CY2016Q2 us-gaap Comprehensive Income Net Of Tax
ComprehensiveIncomeNetOfTax
2716000
CY2016Q2 us-gaap Other Comprehensive Income Loss Derivatives Qualifying As Hedges Before Tax
OtherComprehensiveIncomeLossDerivativesQualifyingAsHedgesBeforeTax
-189000
CY2016Q2 us-gaap Licenses Revenue
LicensesRevenue
7470000
CY2016Q2 us-gaap Other Comprehensive Income Loss Before Reclassifications Net Of Tax
OtherComprehensiveIncomeLossBeforeReclassificationsNetOfTax
105000
CY2016Q2 us-gaap Operating Income Loss
OperatingIncomeLoss
2647000
CY2016Q2 us-gaap Income Loss From Continuing Operations Before Income Taxes Extraordinary Items Noncontrolling Interest
IncomeLossFromContinuingOperationsBeforeIncomeTaxesExtraordinaryItemsNoncontrollingInterest
3208000
CY2016Q2 us-gaap Revenues
Revenues
17103000
CY2016Q2 us-gaap Investment Income Net
InvestmentIncomeNet
561000
CY2016Q2 us-gaap Other Comprehensive Income Loss Before Tax
OtherComprehensiveIncomeLossBeforeTax
20000
CY2016Q2 us-gaap Other Comprehensive Income Unrealized Gain Loss On Derivatives Arising During Period Before Tax
OtherComprehensiveIncomeUnrealizedGainLossOnDerivativesArisingDuringPeriodBeforeTax
-92000
CY2016Q2 us-gaap Net Income Loss
NetIncomeLoss
2711000
CY2016Q2 us-gaap Other Comprehensive Income Unrealized Holding Gain Loss On Securities Arising During Period Before Tax
OtherComprehensiveIncomeUnrealizedHoldingGainLossOnSecuritiesArisingDuringPeriodBeforeTax
223000
CY2016Q2 us-gaap Gross Profit
GrossProfit
15700000
CY2016Q2 us-gaap Other Comprehensive Income Loss Net Of Tax
OtherComprehensiveIncomeLossNetOfTax
5000
CY2016Q2 us-gaap Available For Sale Securities Gross Realized Gains
AvailableForSaleSecuritiesGrossRealizedGains
15000
CY2016Q2 us-gaap Royalty Revenue
RoyaltyRevenue
9633000
CY2016Q2 us-gaap Other Comprehensive Income Loss Available For Sale Securities Adjustment Before Tax
OtherComprehensiveIncomeLossAvailableForSaleSecuritiesAdjustmentBeforeTax
209000
CY2016Q2 us-gaap Selling And Marketing Expense
SellingAndMarketingExpense
2855000
CY2016Q2 us-gaap Operating Expenses
OperatingExpenses
13053000
CY2016Q2 us-gaap Amortization Of Intangible Assets
AmortizationOfIntangibleAssets
309000
CY2016Q2 us-gaap Cost Of Revenue
CostOfRevenue
1403000
CY2016Q2 us-gaap Income Tax Expense Benefit
IncomeTaxExpenseBenefit
497000
CY2016Q2 us-gaap Other Comprehensive Income Loss Tax
OtherComprehensiveIncomeLossTax
15000
CY2016Q2 us-gaap Reclassification From Accumulated Other Comprehensive Income Current Period Net Of Tax
ReclassificationFromAccumulatedOtherComprehensiveIncomeCurrentPeriodNetOfTax
100000
CY2016Q2 us-gaap General And Administrative Expense
GeneralAndAdministrativeExpense
2078000
CY2016Q2 us-gaap Other Comprehensive Income Loss Reclassification Adjustment From Aoci On Derivatives Before Tax
OtherComprehensiveIncomeLossReclassificationAdjustmentFromAOCIOnDerivativesBeforeTax
97000
CY2016Q2 us-gaap Allocated Share Based Compensation Expense
AllocatedShareBasedCompensationExpense
1609000
CY2016Q2 us-gaap Other Comprehensive Income Loss Reclassification Adjustment From Aoci For Sale Of Securities Before Tax
OtherComprehensiveIncomeLossReclassificationAdjustmentFromAOCIForSaleOfSecuritiesBeforeTax
14000
CY2016Q2 us-gaap Available For Sale Securities Gross Realized Losses
AvailableForSaleSecuritiesGrossRealizedLosses
1000
CY2016Q2 us-gaap Research And Development Expense
ResearchAndDevelopmentExpense
7811000
CY2016Q2 ceva Share Based Compensation Arrangement By Share Based Payment Award Options And Stock Appreciation Rights Grants In Period
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsAndStockAppreciationRightsGrantsInPeriod
0 shares

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