News Release | Contact: | |
For Immediate Release | Anna Austin, EVP, Corporate Communications (636) 534-2271 Email: investor.relations@tlcvision.com |
TLCVisionAnnounces Fourth Quarter and Full-Year 2006 Financial Results and Refractive
Strategy Update
ST. LOUIS, MO, — March 15, 2007 – TLC Vision Corporation (NASDAQ:TLCV; TSX:TLC), North America’s premier eye care services company, today announced financial results for the year ended December 31, 2006. All dollar amounts are expressed in U.S. currency and results are reported in accordance with U.S. generally accepted accounting principles (U.S. GAAP) unless otherwise noted.
“In the third quarter of 2006, we announced a new refractive centers strategy that we expect will deliver much higher growth rates in our core business,” said Jim Wachtman, President and Chief Executive Officer. “Our strategy to drive additional procedure volume includes a more consumer-friendly price coupled with significant marketing investment. Our financial results for the fourth quarter and full year 2006 were impacted by this investment. However, I am pleased to report that, even at this early stage of execution, this strategic approach is delivering the metrics that we anticipated. To date, we have converted 29 centers to this new strategy, including our latest new center in Seattle, Washington opened in January, and we are experiencing increased call volume and resulting consultation appointments across our network of centers. The Company is very confident in this direction, which combines the most successful elements of the current medical referral model with a direct-to-consumer approach, creating a unique and competitive position for TLCVision.”
Editor’s Note: “Operating Business” (or “Operating”) is defined as TLCVision’s activities excluding the impact of the AMD segment, representing our investment in OccuLogix, Inc. To provide maximum transparency for investors, Operating Business financial results are listed separately from consolidated results in this press release.
FOURTH QUARTER RESULTS:
REVENUES
TLCVision’sfourth quarter revenues were $63.5 million, an increase of 5% from 2005.
• | Total refractive revenues were up 4% to $42.5 million. Centers revenues of $34.6 million were 3% higher than last year, with same store center revenues also up 3%. Refractive center procedure volume (including LECC) was 26,100, up 1% from prior year. Excluding LECC, center procedures were up 2% vs. a reported industry decline in procedure volumes for the quarter. Access revenues of $8.0 million were up 8%, as lower procedures (13,600 vs. 14,000 in the prior year) were offset by higher pricing from increased custom penetration. |
• | Other Healthcare Services revenues (excluding AMD) increased 8% to $21.0 million, fueled by strong growth at Vision Source (+16%) and the mobile cataract business (+6%). Surgical procedures of 18,200 were 3% below prior year, but revenues were up 2% due to a better mix overall and higher average selling prices in our mobile cataract business. |
EARNINGS
Consolidated: Including the AMD net loss of ($2.5) million, the net loss for the quarter was ($2.4) million or ($0.03) per share.
Operating Business: Net income for the quarter was $0.1 million, comparable to $0.4 million for the prior year on an as-reported basis. 2006 operating results were impacted by non-recurring charges of $5.3 million and an income tax benefit of $6.0 million related to the reversal of certain deferred tax valuation allowances.
STRONG CASH GENERATION
Operating cash flow for the fourth quarter was $3.0 million or $0.04 per fully diluted share. The Company continues to maintain a strong financial position, with cash and short-term investments totaling $40.5 million.
YEAR-TO-DATE RESULTS
As previously guided, revenues for the full year ended December 31, 2006 were $281.8 million, growing 8% from 2005 on a consolidated basis and 9% excluding the AMD business. Total refractive revenues increased 6% to $198.7 million, and total refractive procedure volume (including LECC) was 187,300. Other Healthcare Services revenues of $83.1 million (excluding AMD) increased 16%, with a total of 73,200 surgical procedures performed.
For the full year ended December 31, 2006, consolidated net income was $11.5 million (or $0.17 per share) including a ($7.2) million net loss from the AMD segment. Net income for the Operating Business was $18.7 million or $0.27 per share, an increase over 2005 of $2.8 million or $0.05 per share on an as-reported basis. Earnings per share were below previous the expected range due to a higher effective tax rate and the unanticipated non-recurring charges. After adjusting both periods on a pro forma basis to remove stock compensation, non-recurring costs and one-off income tax benefits, pro forma 2006 net income of $17.1 million (or $0.25 per share) trailed pro forma 2005 net income of $20.3 million by 16%, as the losses on new de novo centers more than offset an increase in earnings from existing facilities.
Consolidated operating cash flow for full year 2006 was $33.5 million. Operating cash flow for the Operating Business was $38.4 million or $0.55 per share, consistent with previous guidance.
2007 OUTLOOK
Historically, the core refractive centers business has been the largest contributor to revenue and earnings for the Company. TLCVisionis embarking upon a significant change in this business. Given the magnitude of this change and the expected variability in operating results during this transition period, the Company is choosing not to issue annual guidance at this time. While the Company anticipates positive earnings and cash flow for the year from its Operating Business, they will be at levels below 2006 given the significant marketing spend associated with the change in strategy and the time required to get a return on that investment.
“While early results from this strategy are very encouraging, the Company needs to demonstrate a level of growth and predictability before issuing guidance,” said Jim Wachtman. “We appreciate the financial community’s need for forward-looking information to effectively evaluate investment decisions in TLCVision, and intend to provide additional color as our strategy progresses during the year.”
TLCVisioncontinues to review strategic and financial alternatives to maximize near-term and longer-term shareholder value. There can be no assurance that the review will result in any strategic or financial transaction, and no timetable has been set for its completion.
CONFERENCE CALL
TLCVisionis pleased to invite all interested parties to participate in a conference call during which time these financial results will be discussed. The call will be held today, March 15, at 4:30 pm Eastern Time at 1-877-888-4605.
The call will also be broadcast live and archived on the Company’s web site atwww.tlcv.com under the “Webcasts” link in the Investor Relations section. In addition, the live web cast will be available at various other popular portals and financial web sites. A replay will be available until March 29 by dialing 1-888-509-0081 and entering pass code 640813.
AboutTLCVision
TLCVisionis North America’s premier eye care services company, providing eye doctors with the tools and technologies needed to deliver high-quality patient care. Through its centers management and technology access service models, and its managed care contracting strength, TLCVision maintains leading positions in Refractive and Cataract markets. More information about TLCVision can be found on the corporate websitewww.tlcv.com. Go towww.tlcvision.com for information on refractive surgery.
Forward Looking Statements
This press release contains certain forward-looking statements within the meaning of Section 27A of the U.S. Securities Act of 1933 and Section 21E of the U.S. Securities Exchange Act of 1934, which statements can be identified by the use of forward looking terminology, such as “may”, “will”, “expect”, ”intend”, “anticipate”, “estimate”, “predict”, “plans” or “continue” or the negative thereof or other variations thereon or comparable terminology referring to future events or results. The Company’s actual results could differ materially from those anticipated in these forward-looking statements as a result of numerous factors, including the timing of expenditures, effects of competition, changes to pricing, acquisitions and expansion opportunities, any of which could cause actual results to vary materially from current results or TLCVision’s anticipated future results. See the Company’s reports filed with the Canadian Securities Regulators and the U.S. Securities and Exchange Commission from time to time for cautionary statements identifying important factors with respect to such forward looking statements, including certain risks and uncertainties, that could cause actual results to differ materially from results referred to in forward looking statements. TLCVision assumes no obligation to update the information contained in this press release.
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TLC VISION CORPORATION | ||||||||||||||||||||||||||||||||||||||||
CONSOLIDATING STATEMENTS OF OPERATIONS (UNAUDITED) | ||||||||||||||||||||||||||||||||||||||||
(In thousands, except per share amounts) | ||||||||||||||||||||||||||||||||||||||||
Three Months Ended December 31, 2006 | Three Months Ended December 31, 2005 | |||||||||||||||||||||||||||||||||||||||
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Results Before AMD | ||||||||||||||||||||||||||||||||||||||||
Segment | AMD Segment | Total TLCVision | Results Before AMD Segment | AMD Segment | Total TLCVision | |||||||||||||||||||||||||||||||||||
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Revenues: | ||||||||||||||||||||||||||||||||||||||||
Refractive: | ||||||||||||||||||||||||||||||||||||||||
Centers | $ | 34,556 | $ | — | $ | 34,556 | $ | 33,425 | $ | — | $ | 33,425 | ||||||||||||||||||||||||||||
Access | 7,977 | — | 7,977 | 7,368 | — | 7,368 | ||||||||||||||||||||||||||||||||||
Other healthcare services | 21,008 | — | 21,008 | 19,518 | 206 | 19,724 | ||||||||||||||||||||||||||||||||||
| | | ||||||||||||||||||||||||||||||||||||||
Total revenues | 63,541 | — | 63,541 | 60,311 | 206 | 60,517 | ||||||||||||||||||||||||||||||||||
Cost of revenues (excluding amortization): | ||||||||||||||||||||||||||||||||||||||||
Refractive: | ||||||||||||||||||||||||||||||||||||||||
Centers | 26,519 | — | 26,519 | 25,879 | — | 25,879 | ||||||||||||||||||||||||||||||||||
Access | 6,619 | — | 6,619 | 6,045 | — | 6,045 | ||||||||||||||||||||||||||||||||||
Other healthcare services | 12,976 | — | 12,976 | 11,920 | 2,345 | 14,265 | ||||||||||||||||||||||||||||||||||
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Total cost of revenues (excluding amortization) | 46,114 | — | 46,114 | 43,844 | 2,345 | 46,189 | ||||||||||||||||||||||||||||||||||
Gross profit (loss) | 17,427 | — | 17,427 | 16,467 | (2,139 | ) | 14,328 | |||||||||||||||||||||||||||||||||
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General and administrative | 8,642 | — | 8,642 | 6,538 | 2,981 | 9,519 | ||||||||||||||||||||||||||||||||||
Marketing and sales | 7,468 | — | 7,468 | 5,308 | 168 | 5,476 | ||||||||||||||||||||||||||||||||||
Research and development, clinical and regulatory | — | — | — | — | 1,456 | 1,456 | ||||||||||||||||||||||||||||||||||
Amortization of intangibles | 873 | — | 873 | 950 | — | 950 | ||||||||||||||||||||||||||||||||||
Impairment of goodwill | 4,087 | — | 4,087 | — | — | — | ||||||||||||||||||||||||||||||||||
Other expenses, net | 781 | — | 781 | 1,769 | 1 | 1,770 | ||||||||||||||||||||||||||||||||||
Total operating costs | 21,851 | — | 21,851 | 14,565 | 4,606 | 19,171 | ||||||||||||||||||||||||||||||||||
| | | ||||||||||||||||||||||||||||||||||||||
Operating income (loss) | (4,424 | ) | — | (4,424 | ) | 1,902 | (6,745 | ) | (4,843 | ) | ||||||||||||||||||||||||||||||
Interest income | 525 | — | 525 | 513 | 406 | 919 | ||||||||||||||||||||||||||||||||||
Interest expense | (388 | ) | — | (388 | ) | (421 | ) | — | (421 | ) | ||||||||||||||||||||||||||||||
Minority interests | (2,060 | ) | — | (2,060 | ) | (1,834 | ) | 2,891 | 1,057 | |||||||||||||||||||||||||||||||
Earnings (losses) from equity investments | 450 | (2,506 | ) | (2,056 | ) | 718 | — | 718 | ||||||||||||||||||||||||||||||||
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Income (loss) before income taxes | (5,897 | ) | (2,506 | ) | (8,403 | ) | 878 | (3,448 | ) | (2,570 | ) | |||||||||||||||||||||||||||||
Income tax benefit (expense) | 6,042 | — | 6,042 | (455 | ) | 3 | (452 | ) | ||||||||||||||||||||||||||||||||
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Net income (loss) | $ | 145 | $ | (2,506 | ) | $ | (2,361 | ) | $ | 423 | $ | (3,445 | ) | $ | (3,022 | ) | ||||||||||||||||||||||||
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Earnings (loss) per share — diluted | $ | 0.00 | $ | (0.03 | ) | $ | (0.03 | ) | $ | 0.01 | $ | (0.05 | ) | $ | (0.04 | ) | ||||||||||||||||||||||||
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Weighted average number of common shares outstanding — diluted | 69,759 | 69,759 | 69,759 | 68,645 | 68,645 | 68,645 | ||||||||||||||||||||||||||||||||||
Note: The AMD segment includes the Company’s interest in OccuLogix, Inc. | ||||||||||||||||||||||||||||||||||||||||
TLC VISION CORPORATION | ||||||||||||||||||||||||||||||||||||||||
CONSOLIDATING STATEMENTS OF OPERATIONS (UNAUDITED) | ||||||||||||||||||||||||||||||||||||||||
(In thousands, except per share amounts) | ||||||||||||||||||||||||||||||||||||||||
Year Ended December 31, 2006 | Year Ended December 31, 2005 | |||||||||||||||||||||||||||||||||||||||
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Results Before AMD | ||||||||||||||||||||||||||||||||||||||||
Segment | AMD Segment | Total TLCVision | Results Before AMD Segment | AMD Segment | Total TLCVision | |||||||||||||||||||||||||||||||||||
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Revenues: | ||||||||||||||||||||||||||||||||||||||||
Refractive: | ||||||||||||||||||||||||||||||||||||||||
Centers | $ | 161,514 | $ | — | $ | 161,514 | $ | 150,168 | $ | — | $ | 150,168 | ||||||||||||||||||||||||||||
Access | 37,186 | — | 37,186 | 36,453 | — | 36,453 | ||||||||||||||||||||||||||||||||||
Other healthcare services | 83,126 | — | 83,126 | 71,563 | 1,841 | 73,404 | ||||||||||||||||||||||||||||||||||
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Total revenues | 281,826 | — | 281,826 | 258,184 | 1,841 | 260,025 | ||||||||||||||||||||||||||||||||||
Cost of revenues (excluding amortization): | ||||||||||||||||||||||||||||||||||||||||
Refractive: | ||||||||||||||||||||||||||||||||||||||||
Centers | 114,575 | — | 114,575 | 106,476 | — | 106,476 | ||||||||||||||||||||||||||||||||||
Access | 27,949 | — | 27,949 | 26,974 | — | 26,974 | ||||||||||||||||||||||||||||||||||
Other healthcare services | 50,866 | 1,659 | 52,525 | 43,537 | 3,738 | 47,275 | ||||||||||||||||||||||||||||||||||
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Total cost of revenues (excluding amortization) | 193,390 | 1,659 | 195,049 | 176,987 | 3,738 | 180,725 | ||||||||||||||||||||||||||||||||||
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Gross profit (loss) | 88,436 | (1,659 | ) | 86,777 | 81,197 | (1,897 | ) | 79,300 | ||||||||||||||||||||||||||||||||
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General and administrative | 32,862 | 1,759 | 34,621 | 27,647 | 8,850 | 36,497 | ||||||||||||||||||||||||||||||||||
Marketing and sales | 27,623 | 169 | 27,792 | 21,055 | 659 | 21,714 | ||||||||||||||||||||||||||||||||||
Research and development, clinical and regulatory | — | 1,475 | 1,475 | — | 5,250 | 5,250 | ||||||||||||||||||||||||||||||||||
Amortization of intangibles | 3,484 | — | 3,484 | 4,039 | — | 4,039 | ||||||||||||||||||||||||||||||||||
Impairment of goodwill | 4,087 | — | 4,087 | — | — | — | ||||||||||||||||||||||||||||||||||
Other expenses (income), net | 25 | 849 | 874 | 935 | (166 | ) | 769 | |||||||||||||||||||||||||||||||||
Total operating costs | 68,081 | 4,252 | 72,333 | 53,676 | 14,593 | 68,269 | ||||||||||||||||||||||||||||||||||
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Operating income (loss) | 20,355 | (5,911 | ) | 14,444 | 27,521 | (16,490 | ) | 11,031 | ||||||||||||||||||||||||||||||||
Gain on sale of OccuLogix, Inc. stock | — | 1,450 | 1,450 | — | — | — | ||||||||||||||||||||||||||||||||||
Interest income | 1,964 | 366 | 2,330 | 2,687 | 1,593 | 4,280 | ||||||||||||||||||||||||||||||||||
Interest expense | (1,455 | ) | — | (1,455 | ) | (1,737 | ) | — | (1,737 | ) | ||||||||||||||||||||||||||||||
Minority interests | (9,737 | ) | 2,715 | (7,022 | ) | (8,401 | ) | 7,058 | (1,343 | ) | ||||||||||||||||||||||||||||||
Earnings (losses) from equity investments | 3,173 | (5,809 | ) | (2,636 | ) | 2,545 | — | 2,545 | ||||||||||||||||||||||||||||||||
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Income (loss) before income taxes | 14,300 | (7,189 | ) | 7,111 | 22,615 | (7,839 | ) | 14,776 | ||||||||||||||||||||||||||||||||
Income tax benefit (expense) | 4,408 | — | 4,408 | (6,657 | ) | — | (6,657 | ) | ||||||||||||||||||||||||||||||||
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Net income (loss) | $ | 18,708 | $ | (7,189 | ) | $ | 11,519 | $ | 15,958 | $ | (7,839 | ) | $ | 8,119 | ||||||||||||||||||||||||||
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Earnings (loss) per share — diluted | $ | 0.27 | $ | (0.10 | ) | $ | 0.17 | $ | 0.22 | $ | (0.11 | ) | $ | 0.11 | ||||||||||||||||||||||||||
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Weighted average number of common shares outstanding — diluted | 69,580 | 69,580 | 69,580 | 71,380 | 71,380 | 71,380 | ||||||||||||||||||||||||||||||||||
Note: The AMD segment includes the Company’s interest in OccuLogix, Inc. | ||||||||||||||||||||||||||||||||||||||||
TLC VISION CORPORATION | ||||||||||||||||||||||||||||||||||||||||
CONSOLIDATING BALANCE SHEETS | ||||||||||||||||||||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||||||||||||||||||
December 31, 2006 | ||||||||||||||||||||||||||||||||||||||||
(Unaudited) | December 31, 2005 | |||||||||||||||||||||||||||||||||||||||
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Results Before AMD | Results Before AMD Segment | |||||||||||||||||||||||||||||||||||||||
Segment | AMD Segment | Total TLCVision | (Unaudited) | AMD Segment (Unaudited) | Total TLCVision | |||||||||||||||||||||||||||||||||||
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ASSETS | ||||||||||||||||||||||||||||||||||||||||
Current assets | ||||||||||||||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 28,917 | $ | — | $ | 28,917 | $ | 22,122 | $ | 9,607 | $ | 31,729 | ||||||||||||||||||||||||||||
Short-term investments | 11,575 | — | 11,575 | 6,550 | 31,663 | 38,213 | ||||||||||||||||||||||||||||||||||
Accounts receivable, net | 19,315 | — | 19,315 | 20,056 | 527 | 20,583 | ||||||||||||||||||||||||||||||||||
Deferred tax asset | 7,153 | — | 7,153 | — | — | — | ||||||||||||||||||||||||||||||||||
Prepaid expenses, inventory and other | 13,911 | — | 13,911 | 11,604 | 5,519 | 17,123 | ||||||||||||||||||||||||||||||||||
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Total current assets | 80,871 | — | 80,871 | 60,332 | 47,316 | 107,648 | ||||||||||||||||||||||||||||||||||
Intercompany | — | — | — | 1,693 | (1,693 | ) | — | |||||||||||||||||||||||||||||||||
Restricted cash | 1,035 | — | 1,035 | 975 | — | 975 | ||||||||||||||||||||||||||||||||||
Investments and other assets | 24,495 | 14,362 | 38,857 | 19,838 | — | 19,838 | ||||||||||||||||||||||||||||||||||
Goodwill | 96,148 | — | 96,148 | 99,402 | — | 99,402 | ||||||||||||||||||||||||||||||||||
Other intangible assets, net | 20,503 | — | 20,503 | 23,886 | 135 | 24,021 | ||||||||||||||||||||||||||||||||||
Fixed assets, net | 56,888 | — | 56,888 | 48,646 | 513 | 49,159 | ||||||||||||||||||||||||||||||||||
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Total assets | $ | 279,940 | $ | 14,362 | $ | 294,302 | $ | 254,772 | $ | 46,271 | $ | 301,043 | ||||||||||||||||||||||||||||
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LIABILITIES | ||||||||||||||||||||||||||||||||||||||||
Current liabilities | ||||||||||||||||||||||||||||||||||||||||
Accounts payable | $ | 12,314 | $ | — | $ | 12,314 | $ | 10,517 | $ | 514 | $ | 11,031 | ||||||||||||||||||||||||||||
Accrued liabilities | 20,231 | — | 20,231 | 22,158 | 2,295 | 24,453 | ||||||||||||||||||||||||||||||||||
Current maturities of long-term debt | 8,311 | — | 8,311 | 5,268 | — | 5,268 | ||||||||||||||||||||||||||||||||||
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Total current liabilities | 40,856 | — | 40,856 | 37,943 | 2,809 | 40,752 | ||||||||||||||||||||||||||||||||||
Long-term debt, less current maturities | 15,122 | — | 15,122 | 12,665 | — | 12,665 | ||||||||||||||||||||||||||||||||||
Other long-term liabilities | 4,442 | — | 4,442 | 3,427 | — | 3,427 | ||||||||||||||||||||||||||||||||||
Minority interests | 14,583 | — | 14,583 | 14,284 | 21,510 | 35,794 | ||||||||||||||||||||||||||||||||||
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Total liabilities | 75,003 | — | 75,003 | 68,319 | 24,319 | 92,638 | ||||||||||||||||||||||||||||||||||
STOCKHOLDERS’ EQUITY | ||||||||||||||||||||||||||||||||||||||||
Common stock | 419,767 | 30,366 | 450,133 | 419,936 | 30,767 | 450,703 | ||||||||||||||||||||||||||||||||||
Option and warrant equity | 1,806 | — | 1,806 | 1,861 | — | 1,861 | ||||||||||||||||||||||||||||||||||
Accumulated deficit | (216,636 | ) | (16,004 | ) | (232,640 | ) | (235,344 | ) | (8,815 | ) | (244,159 | ) | ||||||||||||||||||||||||||||
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Total stockholders’ equity | 204,937 | 14,362 | 219,299 | 186,453 | 21,952 | 208,405 | ||||||||||||||||||||||||||||||||||
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Total liabilities and stockholders’ equity | $ | 279,940 | $ | 14,362 | $ | 294,302 | $ | 254,772 | $ | 46,271 | $ | 301,043 | ||||||||||||||||||||||||||||
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Note: The AMD segment includes the Company’s interest in OccuLogix, Inc. | ||||||||||||||||||||||||||||||||||||||||
TLC VISION CORPORATION | ||||||||||||||||||||||||||||||||||||||||
CONSOLIDATING STATEMENTS OF CASH FLOWS (UNAUDITED) | ||||||||||||||||||||||||||||||||||||||||
(In thousands, except per share amounts) | ||||||||||||||||||||||||||||||||||||||||
Year Ended December 31, 2006 | Year Ended December 31, 2005 | |||||||||||||||||||||||||||||||||||||||
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Results Before AMD | ||||||||||||||||||||||||||||||||||||||||
Segment | AMD Segment | Total TLCVision | Results Before AMD Segment | AMD Segment | Total TLCVision | |||||||||||||||||||||||||||||||||||
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OPERATING ACTIVITIES | ||||||||||||||||||||||||||||||||||||||||
Net income (loss) | $ | 18,708 | $ | (7,189 | ) | $ | 11,519 | $ | 15,958 | $ | (7,839 | ) | $ | 8,119 | ||||||||||||||||||||||||||
Adjustments to reconcile net income (loss) to net cash from operating activities: | ||||||||||||||||||||||||||||||||||||||||
Depreciation and amortization | 16,358 | 34 | 16,392 | 16,233 | 120 | 16,353 | ||||||||||||||||||||||||||||||||||
Reimbursements from investments in research and development | ||||||||||||||||||||||||||||||||||||||||
arrangements | (300 | ) | — | (300 | ) | (300 | ) | — | (300 | ) | ||||||||||||||||||||||||||||||
Minority interests | 9,737 | (2,715 | ) | 7,022 | 8,401 | (7,058 | ) | 1,343 | ||||||||||||||||||||||||||||||||
(Earnings) losses from equity investments | (3,173 | ) | 5,809 | 2,636 | (2,545 | ) | — | (2,545 | ) | |||||||||||||||||||||||||||||||
Deferred taxes | (5,241 | ) | — | (5,241 | ) | 5,067 | — | 5,067 | ||||||||||||||||||||||||||||||||
Loss (gain) on sales and disposals of fixed assets | 111 | 29 | 140 | 75 | (167 | ) | (92 | ) | ||||||||||||||||||||||||||||||||
Gain on sales and issuances of subsidiary stock | (349 | ) | (1,450 | ) | (1,799 | ) | — | — | — | |||||||||||||||||||||||||||||||
Write-down of OccuLogix, Inc. inventory | — | 1,625 | 1,625 | — | 1,982 | 1,982 | ||||||||||||||||||||||||||||||||||
Impairment of goodwill | 4,087 | — | 4,087 | — | — | — | ||||||||||||||||||||||||||||||||||
Gain on sale of subsidiary | — | — | — | (319 | ) | — | (319 | ) | ||||||||||||||||||||||||||||||||
Non-cash compensation expense | 1,258 | 186 | 1,444 | 648 | 790 | 1,438 | ||||||||||||||||||||||||||||||||||
Adjustments to the fair values of long-lived assets and liabilities | 294 | — | 294 | 888 | — | 888 | ||||||||||||||||||||||||||||||||||
Other | 58 | 26 | 84 | — | 182 | 182 | ||||||||||||||||||||||||||||||||||
Changes in operating assets and liabilities, net of acquisitions and dispositions: | (3,190 | ) | (1,225 | ) | (4,415 | ) | (2,513 | ) | (7,077 | ) | (9,590 | ) | ||||||||||||||||||||||||||||
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Cash from operating activities | 38,358 | (4,870 | ) | 33,488 | 41,593 | (19,067 | ) | 22,526 | ||||||||||||||||||||||||||||||||
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INVESTING ACTIVITIES | ||||||||||||||||||||||||||||||||||||||||
Purchases of fixed assets | (11,493 | ) | — | (11,493 | ) | (8,139 | ) | (182 | ) | (8,321 | ) | |||||||||||||||||||||||||||||
Proceeds from sales of fixed assets | 681 | — | 681 | 1,494 | 285 | 1,779 | ||||||||||||||||||||||||||||||||||
Proceeds from divestitures of investments and subsidiaries, net | — | — | — | 3,430 | — | 3,430 | ||||||||||||||||||||||||||||||||||
Proceeds from sale of subsidiary stock, net | 230 | 2,226 | 2,456 | — | — | — | ||||||||||||||||||||||||||||||||||
OccuLogix, Inc. cash balance at time of deconsolidation | — | (14,814 | ) | (14,814 | ) | — | — | — | ||||||||||||||||||||||||||||||||
Distributions and loan payments received from equity investments | 3,613 | — | 3,613 | 3,039 | — | 3,039 | ||||||||||||||||||||||||||||||||||
Reimbursements from investments in research and development | ||||||||||||||||||||||||||||||||||||||||
arrangements | 300 | — | 300 | 300 | — | 300 | ||||||||||||||||||||||||||||||||||
Acquisitions and equity investments | (7,839 | ) | — | (7,839 | ) | (67,573 | ) | — | (67,573 | ) | ||||||||||||||||||||||||||||||
Proceeds from sales of short-term investments | 400 | 9,925 | 10,325 | 91,025 | 38,725 | 129,750 | ||||||||||||||||||||||||||||||||||
Purchases of short-term investments | (5,425 | ) | — | (5,425 | ) | (29,060 | ) | (28,035 | ) | (57,095 | ) | |||||||||||||||||||||||||||||
Other | 59 | (71 | ) | (12 | ) | 49 | (36 | ) | 13 | |||||||||||||||||||||||||||||||
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Cash from investing activities | (19,474 | ) | (2,734 | ) | (22,208 | ) | (5,435 | ) | 10,757 | 5,322 | ||||||||||||||||||||||||||||||
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FINANCING ACTIVITIES | ||||||||||||||||||||||||||||||||||||||||
Restricted cash movement | (60 | ) | — | (60 | ) | (43 | ) | — | (43 | ) | ||||||||||||||||||||||||||||||
Transfer proceeds from sale of OccuLogix, Inc. stock, net | 2,226 | (2,226 | ) | — | — | — | — | |||||||||||||||||||||||||||||||||
Transfer intercompany cash | 10 | (10 | ) | — | — | — | — | |||||||||||||||||||||||||||||||||
Principal payments of debt financing and capital leases | (6,479 | ) | — | (6,479 | ) | (9,504 | ) | — | (9,504 | ) | ||||||||||||||||||||||||||||||
Proceeds from debt financing | 441 | — | 441 | 1,992 | — | 1,992 | ||||||||||||||||||||||||||||||||||
Distributions to minority interests | (9,197 | ) | — | (9,197 | ) | (8,440 | ) | — | (8,440 | ) | ||||||||||||||||||||||||||||||
Purchases of treasury stock | — | — | — | (15,868 | ) | — | (15,868 | ) | ||||||||||||||||||||||||||||||||
Proceeds from issuances of common stock | 970 | — | 970 | 1,980 | — | 1,980 | ||||||||||||||||||||||||||||||||||
Proceeds from issuances of OccuLogix, Inc. stock | — | 233 | 233 | — | 329 | 329 | ||||||||||||||||||||||||||||||||||
Cash from financing activities | (12,089 | ) | (2,003 | ) | (14,092 | ) | (29,883 | ) | 329 | (29,554 | ) | |||||||||||||||||||||||||||||
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Net increase (decrease) in cash and cash equivalents during the period | 6,795 | (9,607 | ) | (2,812 | ) | 6,275 | (7,981 | ) | (1,706 | ) | ||||||||||||||||||||||||||||||
Cash and cash equivalents, beginning of period | 22,122 | 9,607 | 31,729 | 15,847 | 17,588 | 33,435 | ||||||||||||||||||||||||||||||||||
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Cash and cash equivalents, end of period | $ | 28,917 | $ | — | $ | 28,917 | $ | 22,122 | $ | 9,607 | $ | 31,729 | ||||||||||||||||||||||||||||
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Operating cash flow per diluted share | $ | 0.55 | $ | (0.07 | ) | $ | 0.48 | $ | 0.58 | $ | (0.26 | ) | $ | 0.32 | ||||||||||||||||||||||||||
Note: The AMD segment includes the Company’s interest in OccuLogix, Inc. |
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