$EPAM
EPAM Systems, Inc.

2012 Q4 Form 10-Q Financial Statement

#000119312512465687 Filed on November 13, 2012

View on sec.gov

Income Statement

Concept 2012 Q4 2012 Q3 2011 Q3
Revenue $125.5M $110.1M $86.42M
YoY Change 31.97% 27.37%
Cost Of Revenue $77.28M $69.10M $51.63M
YoY Change 30.13% 33.84%
Gross Profit $48.25M $40.98M $34.80M
YoY Change 35.02% 17.77%
Gross Profit Margin 38.44% 37.23% 40.26%
Selling, General & Admin $26.38M $21.15M $15.82M
YoY Change 42.5% 33.69%
% of Gross Profit 54.66% 51.62% 45.47%
Research & Development
YoY Change
% of Gross Profit
Depreciation & Amortization $3.200M $3.100M $2.100M
YoY Change 77.78% 47.62% -53.33%
% of Gross Profit 6.63% 7.56% 6.04%
Operating Expenses $26.38M $21.15M $15.82M
YoY Change 42.5% 33.69%
Operating Profit $18.66M $16.74M $16.89M
YoY Change 20.93% -0.92%
Interest Expense $400.0K -$100.0K -$1.900M
YoY Change -500.0% -94.74%
% of Operating Profit 2.14% -0.6% -11.25%
Other Income/Expense, Net
YoY Change
Pretax Income $19.04M $16.59M $14.98M
YoY Change 24.05% 10.76%
Income Tax $4.041M $2.522M $1.025M
% Of Pretax Income 21.22% 15.2% 6.84%
Net Earnings $15.00M $14.07M $13.95M
YoY Change 21.12% 0.82%
Net Earnings / Revenue 11.95% 12.78% 16.14%
Basic Earnings Per Share $0.35 $0.33
Diluted Earnings Per Share $0.32 $0.30 $340.6K
COMMON SHARES
Basic Shares Outstanding 43.53M shares 42.78M shares
Diluted Shares Outstanding

Balance Sheet

Concept 2012 Q4 2012 Q3 2011 Q3
SHORT-TERM ASSETS
Cash & Short-Term Investments $119.1M $107.4M $67.40M
YoY Change 34.12% 59.35%
Cash & Equivalents $118.1M $105.9M $67.40M
Short-Term Investments $1.000M $1.500M
Other Short-Term Assets $236.0K $18.10M $7.700M
YoY Change -6.35% 135.06%
Inventory
Prepaid Expenses $3.825M
Receivables $78.91M $67.87M $84.30M
Other Receivables $400.0K $0.00 $0.00
Total Short-Term Assets $251.0M $237.7M $159.4M
YoY Change 36.71% 49.1%
LONG-TERM ASSETS
Property, Plant & Equipment $53.14M $52.95M $34.10M
YoY Change 49.75% 55.27%
Goodwill $22.70M $11.31M
YoY Change 177.86%
Intangibles $16.83M $6.014M
YoY Change 1245.64%
Long-Term Investments $400.0K
YoY Change
Other Assets $632.0K $578.0K $6.200M
YoY Change -76.51% -90.68%
Total Long-Term Assets $99.86M $75.05M $50.40M
YoY Change 91.85% 48.9%
TOTAL ASSETS
Total Short-Term Assets $251.0M $237.7M $159.4M
Total Long-Term Assets $99.86M $75.05M $50.40M
Total Assets $350.8M $312.7M $209.8M
YoY Change 48.89% 49.06%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $6.095M $2.558M $1.900M
YoY Change 124.58% 34.63%
Accrued Expenses $19.81M $13.49M $15.80M
YoY Change -20.05% -14.65%
Deferred Revenue
YoY Change
Short-Term Debt $0.00 $0.00 $0.00
YoY Change
Long-Term Debt Due
YoY Change
Total Short-Term Liabilities $59.35M $46.07M $39.80M
YoY Change 11.72% 15.76%
LONG-TERM LIABILITIES
Long-Term Debt $0.00 $0.00 $0.00
YoY Change
Other Long-Term Liabilities $2.500M $1.200M $1.000M
YoY Change 108.33% 20.0%
Total Long-Term Liabilities $2.500M $1.200M $1.000M
YoY Change 108.33% 20.0%
TOTAL LIABILITIES
Total Short-Term Liabilities $59.35M $46.07M $39.80M
Total Long-Term Liabilities $2.500M $1.200M $1.000M
Total Liabilities $64.53M $47.57M $41.00M
YoY Change 18.16% 16.02%
SHAREHOLDERS EQUITY
Retained Earnings
YoY Change
Common Stock $44.00K $43.00K
YoY Change 158.82%
Preferred Stock
YoY Change
Treasury Stock (at cost) $8.697M $11.67M
YoY Change -45.55%
Treasury Stock Shares
Shareholders Equity $286.3M $265.2M $168.8M
YoY Change
Total Liabilities & Shareholders Equity $350.8M $312.7M $209.8M
YoY Change 48.89% 49.06%

Cashflow Statement

Concept 2012 Q4 2012 Q3 2011 Q3
OPERATING ACTIVITIES
Net Income $15.00M $14.07M $13.95M
YoY Change 21.12% 0.82%
Depreciation, Depletion And Amortization $3.200M $3.100M $2.100M
YoY Change 77.78% 47.62% -53.33%
Cash From Operating Activities $35.80M $11.10M $17.40M
YoY Change 36.12% -36.21% 923.53%
INVESTING ACTIVITIES
Capital Expenditures -$3.400M -$14.10M -$6.600M
YoY Change -2.86% 113.64% 11.86%
Acquisitions
YoY Change
Other Investing Activities -$25.00M -$700.0K $100.0K
YoY Change 8233.33% -800.0% -103.85%
Cash From Investing Activities -$28.20M -$14.90M -$6.400M
YoY Change 642.11% 132.81% -24.71%
FINANCING ACTIVITIES
Cash Dividend Paid
YoY Change
Common Stock Issuance & Retirement, Net
YoY Change
Debt Paid & Issued, Net
YoY Change
Cash From Financing Activities 4.100M 3.600M -5.900M
YoY Change -920.0% -161.02% -22.37%
NET CHANGE
Cash From Operating Activities 35.80M 11.10M 17.40M
Cash From Investing Activities -28.20M -14.90M -6.400M
Cash From Financing Activities 4.100M 3.600M -5.900M
Net Change In Cash 11.70M -200.0K 5.100M
YoY Change -46.82% -103.92% -135.42%
FREE CASH FLOW
Cash From Operating Activities $35.80M $11.10M $17.40M
Capital Expenditures -$3.400M -$14.10M -$6.600M
Free Cash Flow $39.20M $25.20M $24.00M
YoY Change 31.54% 5.0% 215.79%

Facts In Submission

Frame Concept Type Concept / XBRL Key Value Unit
CY2011Q4 us-gaap Contractual Obligation
ContractualObligation
17209000
CY2012Q4 dei Entity Common Stock Shares Outstanding
EntityCommonStockSharesOutstanding
43525140 shares
CY2011Q3 us-gaap Cash And Cash Equivalents At Carrying Value
CashAndCashEquivalentsAtCarryingValue
67399000
CY2012Q3 us-gaap Prepaid Expense And Other Assets Current
PrepaidExpenseAndOtherAssetsCurrent
13270000
CY2012Q3 us-gaap Goodwill
Goodwill
11305000
CY2012Q3 us-gaap Deferred Tax Assets Net Current
DeferredTaxAssetsNetCurrent
3815000
CY2012Q3 us-gaap Due To Employees Current
DueToEmployeesCurrent
12137000
CY2012Q3 us-gaap Other Assets Noncurrent
OtherAssetsNoncurrent
578000
CY2012Q3 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Exercisable Number
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsExercisableNumber
3794531 shares
CY2012Q3 us-gaap Stockholders Equity
StockholdersEquity
265151000
CY2012Q3 us-gaap Goodwill Impaired Accumulated Impairment Loss
GoodwillImpairedAccumulatedImpairmentLoss
1697000
CY2012Q3 us-gaap Commitments And Contingencies
CommitmentsAndContingencies
CY2012Q3 us-gaap Sharebased Compensation Arrangement By Sharebased Payment Award Options Exercisable Intrinsic Value1
SharebasedCompensationArrangementBySharebasedPaymentAwardOptionsExercisableIntrinsicValue1
59271000
CY2012Q3 us-gaap Accumulated Other Comprehensive Income Loss Foreign Currency Translation Adjustment Net Of Tax
AccumulatedOtherComprehensiveIncomeLossForeignCurrencyTranslationAdjustmentNetOfTax
-1662000
CY2012Q3 us-gaap Common Stock Shares Authorized
CommonStockSharesAuthorized
160000000 shares
CY2012Q3 us-gaap Deferred Tax Liabilities Current
DeferredTaxLiabilitiesCurrent
1243000
CY2012Q3 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Exercisable Weighted Average Exercise Price
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsExercisableWeightedAverageExercisePrice
3.32
CY2012Q3 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Outstanding Intrinsic Value
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingIntrinsicValue
83264000
CY2012Q3 us-gaap Common Stock Shares Outstanding
CommonStockSharesOutstanding
43395364 shares
CY2012Q3 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Vested And Expected To Vest Exercisable Number
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsVestedAndExpectedToVestExercisableNumber
3026253 shares
CY2012Q3 us-gaap Liabilities
Liabilities
47569000
CY2012Q3 us-gaap Accounts Payable Current
AccountsPayableCurrent
2558000
CY2012Q3 us-gaap Deferred Revenue Current
DeferredRevenueCurrent
3847000
CY2012Q3 us-gaap Accrued Income Taxes Noncurrent
AccruedIncomeTaxesNoncurrent
1228000
CY2012Q3 us-gaap Preferred Stock Shares Authorized
PreferredStockSharesAuthorized
0 shares
CY2012Q3 us-gaap Deferred Tax Assets Net Noncurrent
DeferredTaxAssetsNetNoncurrent
3529000
CY2012Q3 us-gaap Provision For Loss On Contracts
ProvisionForLossOnContracts
0
CY2012Q3 us-gaap Assets
Assets
312720000
CY2012Q3 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Outstanding Weighted Average Exercise Price
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingWeightedAverageExercisePrice
7.11
CY2012Q3 us-gaap Deferred Tax Liabilities Noncurrent
DeferredTaxLiabilitiesNoncurrent
269000
CY2012Q3 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Vested And Expected To Vest Exercisable Weighted Average Exercise Price
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsVestedAndExpectedToVestExercisableWeightedAverageExercisePrice
11.40
CY2012Q3 us-gaap Deposits Assets Noncurrent
DepositsAssetsNoncurrent
674000
CY2012Q3 us-gaap Accounts Receivable Net Current
AccountsReceivableNetCurrent
67867000
CY2012Q3 us-gaap Preferred Stock Par Or Stated Value Per Share
PreferredStockParOrStatedValuePerShare
0.001
CY2012Q3 us-gaap Liabilities And Stockholders Equity
LiabilitiesAndStockholdersEquity
312720000
CY2012Q3 us-gaap Unbilled Receivables Current
UnbilledReceivablesCurrent
44342000
CY2012Q3 us-gaap Treasury Stock Value
TreasuryStockValue
11666000
CY2012Q3 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Vested And Expected To Vest Outstanding Aggregate Intrinsic Value
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsVestedAndExpectedToVestOutstandingAggregateIntrinsicValue
22818000
CY2012Q3 us-gaap Cash And Cash Equivalents At Carrying Value
CashAndCashEquivalentsAtCarryingValue
105885000
CY2012Q3 us-gaap Common Stock Shares Issued
CommonStockSharesIssued
44677738 shares
CY2012Q3 us-gaap Intangible Assets Net Excluding Goodwill
IntangibleAssetsNetExcludingGoodwill
6014000
CY2012Q3 us-gaap Time Deposits At Carrying Value
TimeDepositsAtCarryingValue
1545000
CY2012Q3 us-gaap Accumulated Other Comprehensive Income Loss Net Of Tax
AccumulatedOtherComprehensiveIncomeLossNetOfTax
-1662000
CY2012Q3 us-gaap Business Acquisition Purchase Price Allocation Goodwill Expected Tax Deductible Amount
BusinessAcquisitionPurchasePriceAllocationGoodwillExpectedTaxDeductibleAmount
9580000
CY2012Q3 us-gaap Accrued Liabilities Current
AccruedLiabilitiesCurrent
13485000
CY2012Q3 us-gaap Liabilities Current
LiabilitiesCurrent
46072000
CY2012Q3 us-gaap Contractual Obligation
ContractualObligation
18538000
CY2012Q3 us-gaap Allowance For Doubtful Accounts Receivable Current
AllowanceForDoubtfulAccountsReceivableCurrent
2355000
CY2012Q3 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Outstanding Number
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingNumber
7038394 shares
CY2012Q3 us-gaap Common Stock Value
CommonStockValue
43000
CY2012Q3 us-gaap Common Stock Par Or Stated Value Per Share
CommonStockParOrStatedValuePerShare
0.001
CY2012Q3 us-gaap Taxes Payable Current
TaxesPayableCurrent
12802000
CY2012Q3 us-gaap Deposits Assets Current
DepositsAssetsCurrent
948000
CY2012Q3 us-gaap Assets Current
AssetsCurrent
237672000
CY2012Q3 us-gaap Preferred Stock Shares Outstanding
PreferredStockSharesOutstanding
0 shares
CY2012Q3 us-gaap Construction Payable Current
ConstructionPayableCurrent
4445000
CY2012Q3 us-gaap Preferred Stock Shares Issued
PreferredStockSharesIssued
0 shares
CY2012Q3 us-gaap Preferred Stock Value
PreferredStockValue
CY2012Q3 us-gaap Property Plant And Equipment Net
PropertyPlantAndEquipmentNet
52948000
CY2012Q3 us-gaap Retained Earnings Unappropriated
RetainedEarningsUnappropriated
113993000
CY2012Q3 us-gaap Additional Paid In Capital
AdditionalPaidInCapital
164443000
CY2012Q3 epam Percentage Of Commitment Amount
PercentageOfCommitmentAmount
0.30 pure
CY2012Q3 epam Restricted Cash And Time Deposits
RestrictedCashAndTimeDeposits
3167000
CY2012Q3 us-gaap Guarantee Obligations Current Carrying Value
GuaranteeObligationsCurrentCarryingValue
580000
CY2012Q3 epam Goodwill Before Accumulated Impairments
GoodwillBeforeAccumulatedImpairments
13002000
CY2012Q3 epam Employee Housing Program
EmployeeHousingProgram
10000000
CY2012Q3 epam Loans Interest Rate Stated Percentage
LoansInterestRateStatedPercentage
0.075 pure
CY2010Q4 us-gaap Cash And Cash Equivalents At Carrying Value
CashAndCashEquivalentsAtCarryingValue
54004000
CY2011Q4 us-gaap Prepaid Expense And Other Assets Current
PrepaidExpenseAndOtherAssetsCurrent
6436000
CY2011Q4 us-gaap Goodwill
Goodwill
8169000
CY2011Q4 us-gaap Deferred Tax Assets Net Current
DeferredTaxAssetsNetCurrent
4384000
CY2011Q4 us-gaap Due To Employees Current
DueToEmployeesCurrent
8234000
CY2011Q4 us-gaap Other Assets Noncurrent
OtherAssetsNoncurrent
2691000
CY2011Q4 us-gaap Stockholders Equity
StockholdersEquity
95059000
CY2011Q4 us-gaap Goodwill Impaired Accumulated Impairment Loss
GoodwillImpairedAccumulatedImpairmentLoss
1697000
CY2011Q4 us-gaap Commitments And Contingencies
CommitmentsAndContingencies
CY2011Q4 us-gaap Accumulated Other Comprehensive Income Loss Foreign Currency Translation Adjustment Net Of Tax
AccumulatedOtherComprehensiveIncomeLossForeignCurrencyTranslationAdjustmentNetOfTax
-3514000
CY2011Q4 us-gaap Common Stock Shares Authorized
CommonStockSharesAuthorized
160000000 shares
CY2011Q4 us-gaap Deferred Tax Liabilities Current
DeferredTaxLiabilitiesCurrent
1736000
CY2011Q4 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Outstanding Intrinsic Value
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingIntrinsicValue
48447000
CY2011Q4 us-gaap Common Stock Shares Outstanding
CommonStockSharesOutstanding
17158904 shares
CY2011Q4 us-gaap Liabilities
Liabilities
54614000
CY2011Q4 us-gaap Accounts Payable Current
AccountsPayableCurrent
2714000
CY2011Q4 us-gaap Deferred Revenue Current
DeferredRevenueCurrent
6949000
CY2011Q4 us-gaap Accrued Income Taxes Noncurrent
AccruedIncomeTaxesNoncurrent
1204000
CY2011Q4 us-gaap Preferred Stock Shares Authorized
PreferredStockSharesAuthorized
290277 shares
CY2011Q4 us-gaap Deferred Tax Assets Net Noncurrent
DeferredTaxAssetsNetNoncurrent
1875000
CY2011Q4 us-gaap Provision For Loss On Contracts
ProvisionForLossOnContracts
0
CY2011Q4 us-gaap Assets
Assets
235613000
CY2011Q4 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Outstanding Weighted Average Exercise Price
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingWeightedAverageExercisePrice
4.65
CY2011Q4 us-gaap Deferred Tax Liabilities Noncurrent
DeferredTaxLiabilitiesNoncurrent
283000
CY2011Q4 us-gaap Deposits Assets Noncurrent
DepositsAssetsNoncurrent
2582000
CY2011Q4 us-gaap Accounts Receivable Net Current
AccountsReceivableNetCurrent
59472000
CY2011Q4 us-gaap Preferred Stock Par Or Stated Value Per Share
PreferredStockParOrStatedValuePerShare
0.001
CY2011Q4 us-gaap Liabilities And Stockholders Equity
LiabilitiesAndStockholdersEquity
235613000
CY2011Q4 us-gaap Unbilled Receivables Current
UnbilledReceivablesCurrent
24475000
CY2011Q4 us-gaap Treasury Stock Value
TreasuryStockValue
15972000
CY2011Q4 us-gaap Cash And Cash Equivalents At Carrying Value
CashAndCashEquivalentsAtCarryingValue
88796000
CY2011Q4 us-gaap Common Stock Shares Issued
CommonStockSharesIssued
18914616 shares
CY2011Q4 us-gaap Intangible Assets Net Excluding Goodwill
IntangibleAssetsNetExcludingGoodwill
1251000
CY2011Q4 us-gaap Accumulated Other Comprehensive Income Loss Net Of Tax
AccumulatedOtherComprehensiveIncomeLossNetOfTax
-3514000
CY2011Q4 us-gaap Accrued Liabilities Current
AccruedLiabilitiesCurrent
24782000
CY2011Q4 us-gaap Liabilities Current
LiabilitiesCurrent
53127000
CY2011Q4 us-gaap Allowance For Doubtful Accounts Receivable Current
AllowanceForDoubtfulAccountsReceivableCurrent
2250000
CY2011Q4 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Outstanding Number
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingNumber
6595136 shares
CY2011Q4 us-gaap Common Stock Value
CommonStockValue
17000
CY2011Q4 us-gaap Common Stock Par Or Stated Value Per Share
CommonStockParOrStatedValuePerShare
0.001
CY2011Q4 us-gaap Taxes Payable Current
TaxesPayableCurrent
8712000
CY2011Q4 us-gaap Assets Current
AssetsCurrent
183563000
CY2011Q4 us-gaap Preferred Stock Shares Outstanding
PreferredStockSharesOutstanding
290277 shares
CY2011Q4 us-gaap Preferred Stock Shares Issued
PreferredStockSharesIssued
290277 shares
CY2011Q4 us-gaap Preferred Stock Value
PreferredStockValue
CY2011Q4 us-gaap Property Plant And Equipment Net
PropertyPlantAndEquipmentNet
35482000
CY2011Q4 us-gaap Retained Earnings Unappropriated
RetainedEarningsUnappropriated
74508000
CY2011Q4 us-gaap Additional Paid In Capital
AdditionalPaidInCapital
40020000
CY2011Q4 epam Goodwill Before Accumulated Impairments
GoodwillBeforeAccumulatedImpairments
9866000
CY2011Q4 epam Restricted Cash And Time Deposits
RestrictedCashAndTimeDeposits
2582000
us-gaap Operating Income Loss
OperatingIncomeLoss
39581000
us-gaap Other Noncash Income Expense
OtherNoncashIncomeExpense
-517000
us-gaap Net Income Loss Attributable To Noncontrolling Interest
NetIncomeLossAttributableToNoncontrollingInterest
-12010000
us-gaap Increase Decrease In Accounts Payable
IncreaseDecreaseInAccountsPayable
-437000
us-gaap Comprehensive Income Net Of Tax
ComprehensiveIncomeNetOfTax
31568000
us-gaap Proceeds From Lines Of Credit
ProceedsFromLinesOfCredit
5000000
us-gaap Share Based Compensation
ShareBasedCompensation
2154000
us-gaap Payments For Construction In Process
PaymentsForConstructionInProcess
710000
us-gaap Provision For Doubtful Accounts
ProvisionForDoubtfulAccounts
361000
us-gaap Increase Decrease In Unbilled Receivables
IncreaseDecreaseInUnbilledReceivables
9903000
us-gaap Depreciation And Amortization
DepreciationAndAmortization
5732000
us-gaap Proceeds From Stock Options Exercised
ProceedsFromStockOptionsExercised
72000
us-gaap Net Cash Provided By Used In Operating Activities
NetCashProvidedByUsedInOperatingActivities
28154000
us-gaap Net Cash Provided By Used In Investing Activities
NetCashProvidedByUsedInInvestingActivities
-13562000
us-gaap Preferred Stock Dividends And Other Adjustments
PreferredStockDividendsAndOtherAdjustments
-17563000
us-gaap Increase Decrease In Deferred Revenue
IncreaseDecreaseInDeferredRevenue
-1097000
us-gaap Repayments Of Lines Of Credit
RepaymentsOfLinesOfCredit
5000000
us-gaap Other Operating Income Expense Net
OtherOperatingIncomeExpenseNet
-23000
us-gaap Increase Decrease In Due To Employees Current
IncreaseDecreaseInDueToEmployeesCurrent
4412000
us-gaap Payments To Acquire Property Plant And Equipment
PaymentsToAcquirePropertyPlantAndEquipment
12852000
us-gaap Cash And Cash Equivalents Period Increase Decrease
CashAndCashEquivalentsPeriodIncreaseDecrease
13395000
us-gaap Increase Decrease In Prepaid Deferred Expense And Other Assets
IncreaseDecreaseInPrepaidDeferredExpenseAndOtherAssets
-19000
us-gaap Sales Revenue Net
SalesRevenueNet
239401000
us-gaap Increase Decrease In Accounts Receivable
IncreaseDecreaseInAccountsReceivable
9920000
us-gaap Other Comprehensive Income Loss Foreign Currency Transaction And Translation Adjustment Net Of Tax
OtherComprehensiveIncomeLossForeignCurrencyTransactionAndTranslationAdjustmentNetOfTax
-401000
us-gaap Income Loss From Continuing Operations Before Income Taxes Minority Interest And Income Loss From Equity Method Investments
IncomeLossFromContinuingOperationsBeforeIncomeTaxesMinorityInterestAndIncomeLossFromEquityMethodInvestments
37443000
us-gaap Net Cash Provided By Used In Financing Activities
NetCashProvidedByUsedInFinancingActivities
-1103000
us-gaap Cost Of Revenue
CostOfRevenue
145948000
us-gaap Payments Of Stock Issuance Costs
PaymentsOfStockIssuanceCosts
1175000
us-gaap Increase Decrease In Accrued Liabilities And Other Operating Liabilities
IncreaseDecreaseInAccruedLiabilitiesAndOtherOperatingLiabilities
770000
us-gaap Deferred Income Tax Expense Benefit
DeferredIncomeTaxExpenseBenefit
71000
us-gaap Antidilutive Securities Excluded From Computation Of Earnings Per Share Amount
AntidilutiveSecuritiesExcludedFromComputationOfEarningsPerShareAmount
600000 shares
us-gaap Net Income Loss
NetIncomeLoss
31969000
us-gaap Foreign Currency Transaction Gain Loss Before Tax
ForeignCurrencyTransactionGainLossBeforeTax
-3138000
us-gaap Selling General And Administrative Expense
SellingGeneralAndAdministrativeExpense
46420000
us-gaap Income Tax Expense Benefit
IncomeTaxExpenseBenefit
5474000
us-gaap Effect Of Exchange Rate On Cash And Cash Equivalents
EffectOfExchangeRateOnCashAndCashEquivalents
-94000
us-gaap Goodwill Impairment Loss
GoodwillImpairmentLoss
1697000
us-gaap Increase Decrease In Accrued Taxes Payable
IncreaseDecreaseInAccruedTaxesPayable
1809000
us-gaap Net Income Loss Available To Common Stockholders Basic
NetIncomeLossAvailableToCommonStockholdersBasic
2396000
us-gaap Liabilities Assumed1
LiabilitiesAssumed1
341000
epam Accretion Of Redeemable Convertible Preferred Stock
AccretionOfRedeemableConvertiblePreferredStock
17563000
epam Interest And Other Income Nonoperating
InterestAndOtherIncomeNonoperating
1000000
epam Effective Income Tax Rate
EffectiveIncomeTaxRate
0.146 pure
dei Trading Symbol
TradingSymbol
EPAM
dei Entity Registrant Name
EntityRegistrantName
EPAM SYSTEMS, INC.
dei Amendment Flag
AmendmentFlag
false
dei Entity Filer Category
EntityFilerCategory
Non-accelerated Filer
dei Document Fiscal Period Focus
DocumentFiscalPeriodFocus
Q3
dei Document Fiscal Year Focus
DocumentFiscalYearFocus
2012
dei Document Type
DocumentType
10-Q
dei Document Period End Date
DocumentPeriodEndDate
2012-09-30
dei Entity Central Index Key
EntityCentralIndexKey
0001352010
dei Current Fiscal Year End Date
CurrentFiscalYearEndDate
--12-31
us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Exercises In Period Total Intrinsic Value
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsExercisesInPeriodTotalIntrinsicValue
12646000
us-gaap Operating Income Loss
OperatingIncomeLoss
47350000
us-gaap Other Noncash Income Expense
OtherNoncashIncomeExpense
30000
us-gaap Net Income Loss Attributable To Noncontrolling Interest
NetIncomeLossAttributableToNoncontrollingInterest
-3259000
us-gaap Increase Decrease In Accounts Payable
IncreaseDecreaseInAccountsPayable
-2098000
us-gaap Payments To Acquire Businesses Net Of Cash Acquired
PaymentsToAcquireBusinessesNetOfCashAcquired
6990000
us-gaap Comprehensive Income Net Of Tax
ComprehensiveIncomeNetOfTax
41337000
us-gaap Stock Issued During Period Shares Conversion Of Convertible Securities
StockIssuedDuringPeriodSharesConversionOfConvertibleSecurities
21840128 shares
us-gaap Increase Decrease In Restricted Cash And Investments
IncreaseDecreaseInRestrictedCashAndInvestments
640000
us-gaap Share Based Compensation
ShareBasedCompensation
5369000
us-gaap Share Based Compensation Arrangements By Share Based Payment Award Options Grants In Period Weighted Average Exercise Price
ShareBasedCompensationArrangementsByShareBasedPaymentAwardOptionsGrantsInPeriodWeightedAverageExercisePrice
16.80
us-gaap Share Based Compensation Arrangements By Share Based Payment Award Options Forfeitures In Period Weighted Average Exercise Price
ShareBasedCompensationArrangementsByShareBasedPaymentAwardOptionsForfeituresInPeriodWeightedAverageExercisePrice
10.68
us-gaap Payments For Construction In Process
PaymentsForConstructionInProcess
13416000
us-gaap Provision For Doubtful Accounts
ProvisionForDoubtfulAccounts
465000
us-gaap Goodwill Translation Adjustments
GoodwillTranslationAdjustments
201000
us-gaap Increase Decrease In Unbilled Receivables
IncreaseDecreaseInUnbilledReceivables
19424000
us-gaap Stock Issued During Period Shares Stock Options Exercised
StockIssuedDuringPeriodSharesStockOptionsExercised
831957 shares
us-gaap Basis Of Accounting
BasisOfAccounting
<div> <p style="MARGIN-TOP: 12px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: Times New Roman" size="2"><b>1. BASIS OF PRESENTATION</b></font></p> <p style="MARGIN-TOP: 6px; TEXT-INDENT: 4%; MARGIN-BOTTOM: 0px"> <font style="FONT-FAMILY: Times New Roman" size="2">The accompanying unaudited interim consolidated financial statements of EPAM Systems, Inc. (the &#x201C;Company&#x201D; or &#x201C;EPAM&#x201D;) have been prepared in accordance with generally accepted accounting principles in the United States and Article 10 of Regulation S-X under the Securities and Exchange Act of 1934, as amended. The accompanying unaudited condensed consolidated financial statements should be read in conjunction with the Company&#x2019;s audited consolidated financial statements (and notes thereto) for the year ended December&#xA0;31, 2011. In the Company&#x2019;s opinion, all adjustments considered necessary for a fair presentation of the accompanying unaudited condensed consolidated financial statements have been included, and all adjustments are of a normal and recurring nature. Operating results for the interim periods are not necessarily indicative of results that may be expected to occur for the entire year.</font></p> <p style="MARGIN-TOP: 12px; TEXT-INDENT: 4%; MARGIN-BOTTOM: 0px"> <font style="FONT-FAMILY: Times New Roman" size="2"><b>Use of Estimates</b> &#x2014; The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions. These estimates and assumptions affect reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the consolidated financial statements, as well as revenues and expenses during the reporting period. The Company bases its estimates and judgments on historical experience, knowledge of current conditions and its beliefs of what could occur in the future, given available information. Actual results could differ from those estimates, and such differences may be material to the financial statements.</font></p> <p style="MARGIN-TOP: 12px; TEXT-INDENT: 4%; MARGIN-BOTTOM: 0px"> <font style="FONT-FAMILY: Times New Roman" size="2"><b>Emerging growth company status</b> &#x2014; In April 2012, several weeks after EPAM&#x2019;s initial public offering in February 2012, President Obama signed into law the Jumpstart Our Business Startups Act of 2012 (the &#x201C;JOBS Act&#x201D;). The JOBS Act contains provisions that relax certain requirements for &#x201C;emerging growth companies&#x201D; that otherwise apply to larger public companies. For as long as a company retains emerging growth company status, which may be until the fiscal year-end after the fifth anniversary of its initial public offering, it will not be required to (1)&#xA0;provide an auditor&#x2019;s attestation report on its management&#x2019;s assessment of the effectiveness of its internal control over financial reporting, otherwise required by Section&#xA0;404(b) of the Sarbanes-Oxley Act of 2002, (2)&#xA0;comply with any new or revised financial accounting standard applicable to public companies until such standard is also applicable to private companies, (3)&#xA0;comply with certain new requirements adopted by the Public Company Accounting Oversight Board, (4)&#xA0;provide certain disclosure regarding executive compensation required of larger public companies or (5)&#xA0;hold shareholder advisory votes on matters relating to executive compensation.</font></p> <p style="MARGIN-TOP: 12px; TEXT-INDENT: 4%; MARGIN-BOTTOM: 0px"> <font style="FONT-FAMILY: Times New Roman" size="2">EPAM is classified as an emerging growth company under the JOBS Act and is eligible to take advantage of the accommodations described above for as long as it retains this status. However, EPAM has elected not to take advantage of the transition period described in (2)&#xA0;above, which is the exemption provided in Section&#xA0;7(a)(2)(B) of the Securities Act of 1933 and Section&#xA0;13(a) of the Securities Exchange Act of 1934 (in each case as amended by the JOBS Act) for complying with new or revised financial accounting standards. EPAM will therefore comply with new or revised financial accounting standards to the same extent that a non-emerging growth company is required to comply with such standards.</font></p> </div>
us-gaap Payments For Repurchase Of Common Stock
PaymentsForRepurchaseOfCommonStock
61000
us-gaap Other Noncash Expense
OtherNoncashExpense
640000
us-gaap Depreciation And Amortization
DepreciationAndAmortization
7674000
us-gaap Proceeds From Stock Options Exercised
ProceedsFromStockOptionsExercised
2495000
us-gaap Net Cash Provided By Used In Operating Activities
NetCashProvidedByUsedInOperatingActivities
12740000
us-gaap Net Cash Provided By Used In Investing Activities
NetCashProvidedByUsedInInvestingActivities
-31363000
us-gaap Increase Decrease In Deferred Revenue
IncreaseDecreaseInDeferredRevenue
-3387000
us-gaap Share Based Compensation Arrangements By Share Based Payment Award Options Exercises In Period Weighted Average Exercise Price
ShareBasedCompensationArrangementsByShareBasedPaymentAwardOptionsExercisesInPeriodWeightedAverageExercisePrice
3.74
us-gaap Other Operating Income Expense Net
OtherOperatingIncomeExpenseNet
-669000
us-gaap Increase Decrease In Due To Employees Current
IncreaseDecreaseInDueToEmployeesCurrent
3571000
us-gaap Payments To Acquire Property Plant And Equipment
PaymentsToAcquirePropertyPlantAndEquipment
10317000
us-gaap Cash And Cash Equivalents Period Increase Decrease
CashAndCashEquivalentsPeriodIncreaseDecrease
17089000
us-gaap Increase Decrease In Prepaid Deferred Expense And Other Assets
IncreaseDecreaseInPrepaidDeferredExpenseAndOtherAssets
-1243000
us-gaap Proceeds From Issuance Initial Public Offering
ProceedsFromIssuanceInitialPublicOffering
32364000
us-gaap Sales Revenue Net
SalesRevenueNet
308261000
us-gaap Increase Decrease In Accounts Receivable
IncreaseDecreaseInAccountsReceivable
6083000
us-gaap Other Comprehensive Income Loss Foreign Currency Transaction And Translation Adjustment Net Of Tax
OtherComprehensiveIncomeLossForeignCurrencyTransactionAndTranslationAdjustmentNetOfTax
1852000
us-gaap Income Loss From Continuing Operations Before Income Taxes Minority Interest And Income Loss From Equity Method Investments
IncomeLossFromContinuingOperationsBeforeIncomeTaxesMinorityInterestAndIncomeLossFromEquityMethodInvestments
46823000
us-gaap Net Cash Provided By Used In Financing Activities
NetCashProvidedByUsedInFinancingActivities
34667000
us-gaap Cost Of Revenue
CostOfRevenue
193077000
us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Forfeitures In Period
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsForfeituresInPeriod
168595 shares
us-gaap Excess Tax Benefit From Share Based Compensation Operating Activities
ExcessTaxBenefitFromShareBasedCompensationOperatingActivities
1635000
us-gaap Payments Of Stock Issuance Costs
PaymentsOfStockIssuanceCosts
1766000
us-gaap Increase Decrease In Accrued Liabilities And Other Operating Liabilities
IncreaseDecreaseInAccruedLiabilitiesAndOtherOperatingLiabilities
-11318000
us-gaap Loss Contingency Loss In Period
LossContingencyLossInPeriod
0
us-gaap Deferred Income Tax Expense Benefit
DeferredIncomeTaxExpenseBenefit
-374000
us-gaap Antidilutive Securities Excluded From Computation Of Earnings Per Share Amount
AntidilutiveSecuritiesExcludedFromComputationOfEarningsPerShareAmount
1582000 shares
us-gaap Net Income Loss
NetIncomeLoss
39485000
us-gaap Excess Tax Benefit From Share Based Compensation Financing Activities
ExcessTaxBenefitFromShareBasedCompensationFinancingActivities
1635000
us-gaap Foreign Currency Transaction Gain Loss Before Tax
ForeignCurrencyTransactionGainLossBeforeTax
-1949000
us-gaap Selling General And Administrative Expense
SellingGeneralAndAdministrativeExpense
59491000
us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Grants In Period
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsGrantsInPeriod
1443810 shares
us-gaap Goodwill Acquired During Period
GoodwillAcquiredDuringPeriod
2935000
us-gaap Income Tax Expense Benefit
IncomeTaxExpenseBenefit
7338000
us-gaap Effect Of Exchange Rate On Cash And Cash Equivalents
EffectOfExchangeRateOnCashAndCashEquivalents
1045000
us-gaap Increase Decrease In Accrued Taxes Payable
IncreaseDecreaseInAccruedTaxesPayable
-1358000
us-gaap Net Income Loss Available To Common Stockholders Basic
NetIncomeLossAvailableToCommonStockholdersBasic
36226000
us-gaap Liabilities Assumed1
LiabilitiesAssumed1
0
epam Accretion Of Redeemable Convertible Preferred Stock
AccretionOfRedeemableConvertiblePreferredStock
0
epam Share Based Compensation Arrangement By Share Based Payment Award Options Forfeitures In Period Total Intrinsic Value
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsForfeituresInPeriodTotalIntrinsicValue
1393000
epam Interest And Other Income Nonoperating
InterestAndOtherIncomeNonoperating
1422000
epam Share Based Compensation Arrangement By Share Based Payment Award Options Grants In Period Intrinsic Value
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsGrantsInPeriodIntrinsicValue
3090000
epam Loan Term
LoanTerm
P5Y
epam Effective Income Tax Rate
EffectiveIncomeTaxRate
0.068 pure
epam Percentage Of Tax Basis Of Acquired Goodwill Amortized
PercentageOfTaxBasisOfAcquiredGoodwillAmortized
0.75 pure
epam Annual Amortization Rate For Acquired Goodwill
AnnualAmortizationRateForAcquiredGoodwill
0.07 pure
CY2012Q1 us-gaap Stockholders Equity Note Stock Split Conversion Ratio
StockholdersEquityNoteStockSplitConversionRatio
8 pure
CY2012Q1 us-gaap Stockholders Equity Note Stock Split
StockholdersEquityNoteStockSplit
The ratio by which the then outstanding shares of Series A-1 Preferred, Series A-2 Preferred and Series A-3 Preferred Stock were convertible into shares of common stock was adjusted to reflect the effects of the common stock split, such that each share of preferred stock was convertible into eight shares of common stock.
CY2011Q3 us-gaap Operating Income Loss
OperatingIncomeLoss
16891000
CY2011Q3 us-gaap Net Income Loss Attributable To Noncontrolling Interest
NetIncomeLossAttributableToNoncontrollingInterest
-7822000
CY2011Q3 us-gaap Comprehensive Income Net Of Tax
ComprehensiveIncomeNetOfTax
12130000
CY2011Q3 us-gaap Share Based Compensation
ShareBasedCompensation
785000
CY2011Q3 us-gaap Depreciation And Amortization
DepreciationAndAmortization
2083000
CY2011Q3 us-gaap Sales Revenue Net
SalesRevenueNet
86423000
CY2011Q3 us-gaap Other Comprehensive Income Loss Foreign Currency Transaction And Translation Adjustment Net Of Tax
OtherComprehensiveIncomeLossForeignCurrencyTransactionAndTranslationAdjustmentNetOfTax
-1820000
CY2011Q3 us-gaap Income Loss From Continuing Operations Before Income Taxes Minority Interest And Income Loss From Equity Method Investments
IncomeLossFromContinuingOperationsBeforeIncomeTaxesMinorityInterestAndIncomeLossFromEquityMethodInvestments
14975000
CY2011Q3 us-gaap Cost Of Revenue
CostOfRevenue
51627000
CY2011Q3 us-gaap Antidilutive Securities Excluded From Computation Of Earnings Per Share Amount
AntidilutiveSecuritiesExcludedFromComputationOfEarningsPerShareAmount
600000 shares
CY2011Q3 us-gaap Net Income Loss
NetIncomeLoss
13950000
CY2011Q3 us-gaap Foreign Currency Transaction Gain Loss Before Tax
ForeignCurrencyTransactionGainLossBeforeTax
-2301000
CY2011Q3 us-gaap Selling General And Administrative Expense
SellingGeneralAndAdministrativeExpense
15822000
CY2011Q3 us-gaap Income Tax Expense Benefit
IncomeTaxExpenseBenefit
1025000
CY2011Q3 us-gaap Net Income Loss Available To Common Stockholders Basic
NetIncomeLossAvailableToCommonStockholdersBasic
6128000
CY2011Q3 epam Interest And Other Income Nonoperating
InterestAndOtherIncomeNonoperating
385000
CY2011Q3 epam Effective Income Tax Rate
EffectiveIncomeTaxRate
0.157 pure
CY2012Q3 us-gaap Operating Income Loss
OperatingIncomeLoss
16736000
CY2012Q3 us-gaap Comprehensive Income Net Of Tax
ComprehensiveIncomeNetOfTax
16769000
CY2012Q3 us-gaap Share Based Compensation
ShareBasedCompensation
2046000
CY2012Q3 us-gaap Depreciation And Amortization
DepreciationAndAmortization
3040000
CY2012Q3 us-gaap Other Operating Income Expense Net
OtherOperatingIncomeExpenseNet
-50000
CY2012Q3 us-gaap Sales Revenue Net
SalesRevenueNet
110078000
CY2012Q3 us-gaap Other Comprehensive Income Loss Foreign Currency Transaction And Translation Adjustment Net Of Tax
OtherComprehensiveIncomeLossForeignCurrencyTransactionAndTranslationAdjustmentNetOfTax
2704000
CY2012Q3 us-gaap Income Loss From Continuing Operations Before Income Taxes Minority Interest And Income Loss From Equity Method Investments
IncomeLossFromContinuingOperationsBeforeIncomeTaxesMinorityInterestAndIncomeLossFromEquityMethodInvestments
16587000
CY2012Q3 us-gaap Cost Of Revenue
CostOfRevenue
69099000
CY2012Q3 us-gaap Loss Contingency Loss In Period
LossContingencyLossInPeriod
0
CY2012Q3 us-gaap Antidilutive Securities Excluded From Computation Of Earnings Per Share Amount
AntidilutiveSecuritiesExcludedFromComputationOfEarningsPerShareAmount
1953000 shares
CY2012Q3 us-gaap Net Income Loss
NetIncomeLoss
14065000
CY2012Q3 us-gaap Foreign Currency Transaction Gain Loss Before Tax
ForeignCurrencyTransactionGainLossBeforeTax
-635000
CY2012Q3 us-gaap Selling General And Administrative Expense
SellingGeneralAndAdministrativeExpense
21153000
CY2012Q3 us-gaap Income Tax Expense Benefit
IncomeTaxExpenseBenefit
2522000
CY2012Q3 us-gaap Net Income Loss Available To Common Stockholders Basic
NetIncomeLossAvailableToCommonStockholdersBasic
14065000
CY2012Q3 epam Interest And Other Income Nonoperating
InterestAndOtherIncomeNonoperating
486000
CY2012Q3 epam Effective Income Tax Rate
EffectiveIncomeTaxRate
0.152 pure

Files In Submission

Name View Source Status
0001193125-12-465687-index-headers.html Edgar Link pending
0001193125-12-465687-index.html Edgar Link pending
0001193125-12-465687.txt Edgar Link pending
0001193125-12-465687-xbrl.zip Edgar Link pending
d417301d10q.htm Edgar Link pending
d417301dex311.htm Edgar Link pending
d417301dex312.htm Edgar Link pending
d417301dex321.htm Edgar Link pending
d417301dex322.htm Edgar Link pending
epam-20120930.xml Edgar Link completed
epam-20120930.xsd Edgar Link pending
epam-20120930_cal.xml Edgar Link unprocessable
epam-20120930_def.xml Edgar Link unprocessable
epam-20120930_lab.xml Edgar Link unprocessable
epam-20120930_pre.xml Edgar Link unprocessable
FilingSummary.xml Edgar Link unprocessable
Financial_Report.xls Edgar Link pending
R1.htm Edgar Link pending
R10.htm Edgar Link pending
R11.htm Edgar Link pending
R12.htm Edgar Link pending
R13.htm Edgar Link pending
R14.htm Edgar Link pending
R15.htm Edgar Link pending
R16.htm Edgar Link pending
R17.htm Edgar Link pending
R18.htm Edgar Link pending
R19.htm Edgar Link pending
R2.htm Edgar Link pending
R20.htm Edgar Link pending
R21.htm Edgar Link pending
R22.htm Edgar Link pending
R23.htm Edgar Link pending
R24.htm Edgar Link pending
R25.htm Edgar Link pending
R26.htm Edgar Link pending
R27.htm Edgar Link pending
R28.htm Edgar Link pending
R29.htm Edgar Link pending
R3.htm Edgar Link pending
R30.htm Edgar Link pending
R31.htm Edgar Link pending
R32.htm Edgar Link pending
R33.htm Edgar Link pending
R34.htm Edgar Link pending
R35.htm Edgar Link pending
R36.htm Edgar Link pending
R37.htm Edgar Link pending
R38.htm Edgar Link pending
R39.htm Edgar Link pending
R4.htm Edgar Link pending
R40.htm Edgar Link pending
R41.htm Edgar Link pending
R42.htm Edgar Link pending
R43.htm Edgar Link pending
R44.htm Edgar Link pending
R45.htm Edgar Link pending
R46.htm Edgar Link pending
R47.htm Edgar Link pending
R48.htm Edgar Link pending
R49.htm Edgar Link pending
R5.htm Edgar Link pending
R50.htm Edgar Link pending
R51.htm Edgar Link pending
R6.htm Edgar Link pending
R7.htm Edgar Link pending
R8.htm Edgar Link pending
R9.htm Edgar Link pending
report.css Edgar Link pending
Show.js Edgar Link pending