* Amounts include stock-based compensation expense as follows (in thousands):
| (Unaudited) | |||||||||||||||
|
Three Months Ended
December 31, |
Twelve Months Ended
December 31, | ||||||||||||||
| 2020 | 2019 | 2020 | 2019 | ||||||||||||
| Cost of revenue-software | $ | 871 | $ | 342 | $ | 2,473 | $ | 1,069 | |||||||
| Research and development | 2,686 | 1,306 | 8,372 | 2,917 | |||||||||||
| Sales and marketing | 2,474 | 688 | 6,423 | 2,250 | |||||||||||
| General and administrative | 1,385 | 608 | 4,087 | 2,292 | |||||||||||
| Total stock-based compensation expense | $ | 7,416 | $ | 2,944 | $ | 21,355 | $ | 8,528 | |||||||
ALTAIR ENGINEERING INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOW
(Unaudited)
| Year Ended December 31, | |||||||
| (in thousands) | 2020 | 2019 | |||||
| OPERATING ACTIVITIES: | |||||||
| Net loss | $ | (10,500 | ) | $ | (7,542 | ) | |
| Adjustments to reconcile net loss to net cash provided by operating activities: | |||||||
| Depreciation and amortization | 23,806 | 21,522 | |||||
| Provision for credit loss | 1,259 | 671 | |||||
| Amortization of debt discount and issuance costs | 10,829 | 5,663 | |||||
| Stock-based compensation expense | 21,355 | 8,528 | |||||
| Deferred income taxes | (10,350 | ) | (950 | ) | |||
| Other, net | 118 | 6 | |||||
| Changes in assets and liabilities: | |||||||
| Accounts receivable | (11,032 | ) | (7,901 | ) | |||
| Prepaid expenses and other current assets | (2,131 | ) | (2,396 | ) | |||
| Other long-term assets | (4,527 | ) | (2,591 | ) | |||
| Accounts payable | (1,839 | ) | (426 | ) | |||
| Accrued compensation and benefits | 1,985 | (1,232 | ) | ||||
| Other accrued expenses and current liabilities | 5,771 | 513 | |||||
| Operating lease right of use assets and liabilities, net | (142 | ) | 102 | ||||
| Deferred revenue | 8,280 | 17,426 | |||||
| Net cash provided by operating activities | 32,882 | 31,393 | |||||
| INVESTING ACTIVITIES: | |||||||
| Payments for acquisition of businesses, net of cash acquired | (41,028 | ) | (25,720 | ) | |||
| Capital expenditures | (6,093 | ) | (9,660 | ) | |||
| Payments for acquisition of developed technology | (2,133 | ) | (473 | ) | |||
| Other investing activities, net | 162 | 14 | |||||
| Net cash used in investing activities | (49,092 | ) | (35,839 | ) | |||
| FINANCING ACTIVITIES: | |||||||
| Borrowings under revolving commitment | 30,000 | 96,992 | |||||
| Proceeds from the exercise of stock options | 1,710 | 1,510 | |||||
| Proceeds from issuance of convertible senior notes, net of underwriters' discounts and commissions | — | 223,101 | |||||
| Payments on revolving commitment | — | (127,941 | ) | ||||
| Payments for issuance costs of convertible senior notes | — | (1,233 | ) | ||||
| Other financing activities | (460 | ) | (513 | ) | |||
| Net cash provided by financing activities | 31,250 | 191,916 | |||||
| Effect of exchange rate changes on cash, cash equivalents and restricted cash | 3,010 | 342 | |||||
| Net increase in cash, cash equivalents and restricted cash | 18,050 | 187,812 | |||||
| Cash, cash equivalents and restricted cash at beginning of year | 223,497 | 35,685 | |||||
| Cash, cash equivalents and restricted cash at end of period | $ | 241,547 | $ | 223,497 | |||
| Supplemental disclosures of cash flow: | |||||||
| Interest paid | $ | 731 | $ | 664 | |||
| Income taxes paid | $ | 12,666 | $ | 7,686 | |||
| Supplemental disclosure of non-cash investing and financing activities: | |||||||
| Issuance of common stock in connection with acquisitions | $ | 3,504 | $ | 7,637 | |||
| Promissory notes issued and deferred payment obligations for acquisitions | $ | 1,266 | $ | 497 | |||
| Finance leases | $ | 118 | $ | 632 | |||
| Property and equipment in accounts payable and other current liabilities | $ | 1,671 | $ | 259 | |||
