CULP, INC. FINANCIAL INFORMATION RELEASE | |
CONSOLIDATED STATEMENTS OF CASH FLOWS | |
FOR THE TWELVE MONTHS ENDED APRIL 30, 2017 AND MAY 1, 2016 | |
Unaudited | |
(Amounts in Thousands) | |
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| | TWELVE MONTHS ENDED |
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| | Amounts |
| | April 30, | | May 1, |
| | 2017 | | 2016 |
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Cash flows from operating activities: | | | | | | |
Net income | | $ | 22,334 | | | | 16,935 | |
Adjustments to reconcile net income to net cash | | | | | | | | |
provided by operating activities: | | | | | | | | |
Depreciation | | | 7,085 | | | | 6,671 | |
Amortization of assets | | | 244 | | | | 170 | |
Stock-based compensation | | | 3,358 | | | | 2,742 | |
Deferred income taxes | | | 4,667 | | | | 4,192 | |
Realized loss on sale of short-term investments | | | 12 | | | | 127 | |
Gain on sale of equipment | | | (131 | ) | | | (35 | ) |
Loss from investment in unconsolidated joint venture | | | 23 | | | | - | |
Excess tax benefits related to stock-based compensation | | | (657 | ) | | | (841 | ) |
Foreign currency exchange loss (gain) | | | 78 | | | | (40 | ) |
Changes in assets and liabilities: | | | | | | | | |
Accounts receivable | | | (1,555 | ) | | | 4,476 | |
Inventories | | | (5,437 | ) | | | (4,407 | ) |
Other current assets | | | (495 | ) | | | (206 | ) |
Other assets | | | 30 | | | | (46 | ) |
Accounts payable | | | 5,828 | | | | (3,785 | ) |
Accrued expenses and deferrred compensation | | | 563 | | | | 751 | |
Income taxes | | | (2,966 | ) | | | 91 | |
Net cash provided by operating activities | | | 32,981 | | | | 26,795 | |
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Cash flows from investing activities: | | | | | | | | |
Capital expenditures | | | (11,858 | ) | | | (11,475 | ) |
Investment in unconsolidated joint venture | | | (1,129 | ) | | | - | |
Proceeds from the sale of equipment | | | 141 | | | | 233 | |
Payment on life insurance policy | | | (18 | ) | | | (18 | ) |
Proceeds from the sale of short-term investments | | | 2,000 | | | | 5,612 | |
Purchase of short-term investments | | | (44 | ) | | | (104 | ) |
Purchase of long-term investments (Held-To-Maturity) | | | (31,020 | ) | | | - | |
Purchase of long-term investments (Rabbi Trust) | | | (1,351 | ) | | | (1,649 | ) |
Net cash used in investing activities | | | (43,279 | ) | | | (7,401 | ) |
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Cash flows from financing activities: | | | | | | | | |
Proceeds from line of credit | | | 9,000 | | | | 7,000 | |
Payments on line of credit | | | (9,000 | ) | | | (7,000 | ) |
Payments on vendor-financed capital expenditures | | | (1,050 | ) | | | - | |
Payments on long-term debt | | | - | | | | (2,200 | ) |
Excess tax benefits related to stock-based compensation | | | 657 | | | | 841 | |
Repurchase of common stock | | | - | | | | (2,397 | ) |
Dividends paid | | | (6,280 | ) | | | (8,140 | ) |
Proceeds from common stock issued | | | 37 | | | | 200 | |
Payments on debt issuance costs | | | (2 | ) | | | (134 | ) |
Net cash used in financing activities | | | (6,638 | ) | | | (11,830 | ) |
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Effect of exchange rate changes on cash and cash equivalents | | | (56 | ) | | | 498 | |
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(Decrease) increase in cash and cash equivalents | | | (16,992 | ) | | | 8,062 | |
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Cash and cash equivalents at beginning of period | | | 37,787 | | | | 29,725 | |
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Cash and cash equivalents at end of period | | $ | 20,795 | | | | 37,787 | |
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Free Cash Flow (1) | | $ | 18,317 | | | | 15,225 | |
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(1) Free Cash Flow reconciliation is as follows: | | | | | | | | |
| | FY 2017 | | | FY 2016 | |
A) Net cash provided by operating activities | | $ | 32,981 | | | | 26,795 | |
B) Minus: Capital Expenditures | | | (11,858 | ) | | | (11,475 | ) |
C) Minus: Investment in unconsolidated joint venture | | | (1,129 | ) | | | - | |
D) Add: Proceeds from the sale of equipment | | | 141 | | | | 233 | |
E) Minus: Payment on life insurance policy | | | (18 | ) | | | (18 | ) |
F) Minus: Payments on vendor-financed capital expenditures | | | (1,050 | ) | | | - | |
G) Minus: Purchase of long-term investments (Rabbi Trust) | | | (1,351 | ) | | | (1,649 | ) |
H) Add: Excess tax benefits related to stock-based compensation | | | 657 | | | | 841 | |
I) Effects of exchange rate changes on cash and cash equivalents | | | (56 | ) | | | 498 | |
| | $ | 18,317 | | | | 15,225 | |
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