YOKNEAM, Israel, Nov. 7,
2012 /PRNewswire/ -- Syneron Medical Ltd. (NASDAQ: ELOS), the
leading global aesthetic device company, today announced third
quarter 2012 financial results for the three month and nine month
periods ended September 30, 2012.
(Logo:
http://photos.prnewswire.com/prnh/20120528/535447 )
Third Quarter 2012 Year-Over-Year Financial Highlights
Include:
- International revenue of $40.8
million, up 8%
- North America revenue of
$19.3 million, up 1%
- EBU1 segment revenue of $6.9
million, up 37%
- Non-GAAP gross margin of 55.3%, up from 53.8%
- PAD2 segment non-GAAP operating margin of 9.1%
- Non-GAAP EPS of $0.03
- Cash and investments portfolio of $128.4
million at September 30,
2012
2012 YTD Year-Over-Year Financial Highlights
Include:
- International revenue of $128.2
million up 16%
- North America revenue of
$62.7 million, up 11%
- EBU segment revenue of $19.9
million, up 42%
- Non-GAAP gross margin of 54.7%, up from 53.8%, or 52.6% up from
50.7% on a GAAP basis
- PAD segment non-GAAP operating margin of 9.6%, or 3.7% on a
GAAP basis
- Non-GAAP EPS of $0.10
Louis P. Scafuri, Chief Executive
Officer of Syneron, commented, "During the third quarter we
continued to execute on our strategic initiatives and achieved
another quarter of year-over-year revenue growth, improved gross
margin, and non-GAAP profitability. In the PAD segment,
international sales were solid. In North
America, we completed a restructuring of our U.S. sales
force in July in order to improve our market coverage and enhance
full product line sales, including a focus on body shaping. While
this restructuring had a short-term impact on North American sales,
it positions us for improved penetration across market segments
from the U.S. team. We are off to a solid start in North American
in the fourth quarter, and we also expect to benefit from the
recent launch of the elos Plus™ next generation multi-platform
system in the U.S. and the transition of the UltraShape business to
our direct sales and marketing team in Canada. At the end of the quarter we also
announced the global launch of the Gentle Pro-U series of
upgradeable aesthetic laser systems, providing another driver for
our sales force in the fourth quarter."
Mr. Scafuri continued, "In the EBU, we had another good quarter
with elure Advanced Skin Brightening, the me home-use hair removal
system and the Tanda family of products. We also gained CE Mark for
our new dental laser system, the LiteTouch II, and began sales
during the quarter. In October, we were pleased to receive FDA
clearance for the me home-use, elos based hair removal product,
marking the first home-use product cleared by the FDA for all skin
types. The commercialization plan for the me system is in place and
we are working towards a launch through prestige retail partners
and direct to consumer channels in the first quarter of 2013.
"During the third quarter we developed a strategic plan to
improve the operating performance of the EBU segment. Our goal is
to focus the EBU's growth investments on initiatives that will
drive higher margins in order to improve the EBU's contribution to
our consolidated financial results. We expect this plan to begin
yielding results in the fourth quarter."
Mr. Scafuri concluded, "We are also pleased to have Hugo Goldman join our team as Chief Financial
Officer and Jonathan Pearson join as
Executive Vice President of Business Development, Topical Products.
Both of these additions strengthen our management team and position
us to better capitalize on our significant growth
opportunities."
Revenue: Third quarter 2012 revenue was $60.1 million, an increase of 5.5% compared to
$57.0 million in the third quarter of
2011. The year-over-year revenue growth was driven by ongoing new
product adoption and new products in the PAD segment, combined with
continued growth in EBU segment revenue.
Non-GAAP Financial Highlights for the Third Quarter Ended
September 30, 2012:
Gross Margin for the third quarter 2012 was 55.3%,
compared to 53.8% in third quarter 2011, primarily due to a higher
production and sales volume and recently implemented costs cutting
and efficiency measures, partially offset by a slight
year-over-year decline in EBU gross margin.
Operating Income for the third quarter 2012 was
$1.7 million, up from $1.2 million in third quarter 2011, representing
2.8% of revenue in the third quarter 2012, compared to 2.2% in the
third quarter 2011.
The year-over-year increase in non-GAAP operating income was
primarily related to the revenue growth and the 150 basis point
improvement in gross margin, partially offset by an increase in
operating expenses associated with the growth in EBU segment
revenues. The EBU currently incurs higher relative operating
expenses compared to the PAD segment due to start-up costs
associated with developing and significant investment in marketing
its emerging technologies and products.
Net Income was $1.0 million
in both the third quarter 2012 and 2011.
Earnings Per Share was $0.03 in both the third quarter 2012 and
2011.
Net income and earnings per share for the third quarter 2012 are
adjusted to exclude the following items, which are detailed in the
Company's financial tables:
- Amortization of acquired intangible assets of $2.0 million
- Stock-based compensation of $0.9
million
- Other non-recurring costs of $1.0
million
- Income tax adjustment benefit of $0.5
million
GAAP Financial Highlights for the Third Quarter Ended
September 30, 2012:
Gross Margin for the third quarter 2012 was 53.2%,
compared to 50.6% in third quarter 2011, primarily due to a higher
production and sales volume and recently implemented costs cutting
and efficiency measures, partially offset by a slight
year-over-year decline in EBU gross margin.
Operating Loss for the third quarter 2012 was
$2.1 million, compared to
$37.0 million in third quarter
2011.
The decrease in GAAP operating loss was primarily related to a
one-time payment of $31.0 million in
the third quarter 2011 to Palomar in settlement of the litigations
against Syneron and Candela and the corresponding increase in legal
expenses associated with the Palomar settlement, as well as revenue
growth and the 260 basis point improvement in gross margin.
Net Loss for the third quarter 2012 was $2.3 million, compared to $40.1 million in third quarter of 2011.
Loss Per Share for the third quarter 2012 was
$(0.06), compared to $(1.14) in third quarter 2011.
Cash Position: As of September 30,
2012, the Company's cash and investments portfolio was
$128.4 million.
David Schlachet, interim Chief
Financial Officer of Syneron, commented, "We continued to deliver
solid operating results in the PAD segment in the third
quarter. PAD segment gross margin reached its highest levels
since our merger with Candela, and operating margin remained solid
at 9.1% despite the lower than anticipated revenue in North America. On a consolidated basis, we
delivered another quarter of non-GAAP profitability and remain well
positioned to continue improving our gross margin and leveraging
our fixed cost base to achieve an enhanced profitability
profile."
Mr. Schlachet added, "We finished the quarter with $128.4 million in cash and investments and no
debt. We have the strongest balance sheet in the industry and
continue to evaluate potential opportunities to leverage our cash
position to enhance our growth trajectory and build value for our
shareholders."
Unaudited Non-GAAP segment results for the three months ended
September 30, 2012 and 2011 (in
thousands):
|
|
For the
three-months ended
|
|
|
|
September 30,
|
%
of
|
September 30,
|
%
of
|
%
of
|
|
|
2012
|
Revenues
|
2011
|
Revenues
|
Change
|
|
|
|
|
|
|
|
Revenues
|
|
|
|
|
|
|
|
|
|
|
|
|
PAD
|
|
$
53,223
|
88.5%
|
$
51,973
|
91.2%
|
2.4%
|
EBU
|
|
6,909
|
11.5%
|
5,030
|
8.8%
|
37.4%
|
|
|
|
|
|
|
|
Total
revenues
|
$
60,132
|
100.0%
|
$
57,003
|
100.0%
|
5.5%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
income (loss)
|
|
|
|
|
|
|
|
|
|
|
|
|
PAD
|
|
$
4,866
|
9.1%
|
$
4,839
|
9.3%
|
0.6%
|
EBU
|
|
(3,169)
|
(45.9%)
|
(3,593)
|
(71.4%)
|
-11.8%
|
|
|
|
|
|
|
|
Total
operating income
|
$
1,697
|
2.8%
|
$
1,246
|
2.2%
|
36.2%
|
Unaudited GAAP segment results for the three months ended
September 30, 2012 and 2011 (in
thousands):
|
For the
three-months ended
|
|
|
September 30,
|
%
of
|
September 30,
|
%
of
|
%
of
|
|
2012
|
Revenues
|
2011
|
Revenues
|
Change
|
|
|
|
|
|
|
Revenues
|
|
|
|
|
|
|
|
|
|
|
|
PAD
|
$
53,223
|
88.5%
|
$
51,943
|
91.2%
|
2.5%
|
EBU
|
6,909
|
11.5%
|
5,030
|
8.8%
|
37.4%
|
|
|
|
|
|
|
Total
revenues
|
$
60,132
|
100.0%
|
$
56,973
|
100.0%
|
5.5%
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
income (loss)
|
|
|
|
|
|
|
|
|
|
|
|
PAD
|
$
1,424
|
2.7%
|
$
(33,395)
|
(64.3%)
|
(104.3%)
|
EBU
|
(3,568)
|
(51.6%)
|
(3,593)
|
(71.4%)
|
-0.7%
|
|
|
|
|
|
|
Total
operating loss
|
$
(2,144)
|
(3.6%)
|
$
(36,988)
|
(64.9%)
|
(94.2%)
|
Use of Non-GAAP Measures
This press release
provides financial measures for gross margin, operating margin,
operating income (loss), net income (loss), earnings (loss) per
share, which exclude one-time expenses relating to the mergers with
Candela Corporation and Primaeva Medical Inc, an expense charge
related to stock-based compensation and amortization, one-time
severance and other one-time charges and non-recurring costs, and
non-recurring costs associated with the voluntary field action
regarding the LiteTouch Dental Laser Product in Europe, and are therefore not calculated in
accordance with generally accepted accounting principles (GAAP).
Management believes that these non-GAAP financial measures provide
meaningful supplemental information regarding our performance
because it reflects our ongoing operational results, operating
margin, operating income (loss), net income (loss) and earnings
(loss) per share. The presentation of this non-GAAP financial
information is not intended to be considered in isolation or as a
substitute for the financial information prepared and presented in
accordance with GAAP. Management uses non-GAAP measures when
evaluating the business internally and, therefore, felt it
important to make these non-GAAP adjustments available to
investors. A reconciliation of each GAAP to non-GAAP financial
measure discussed in this press release is contained in the
accompanying financial tables.
Conference call
Syneron management will host
its third quarter 2012 earnings conference call today at
8:30 a.m. ET. Syneron will be
broadcasting live via the Investor Relations section of its
website, www.investors.syneron.com. To access the call, enter the
Syneron Investor Relations website, then click on the webcast
link"Q3 2012 Results Webcast."
Participants are encouraged to log on at least 15 minutes prior
to the conference call in order to download the applicable audio
software. The call can be heard live or with an on-line replay
which will follow. Those interested in participating in the call
and the question and answer session should dial 877-844-6886 in the
U.S., and 970-315-0315 from overseas. The conference pass code is:
47521925.
About Syneron Medical Ltd.
Syneron Medical Ltd.
(NASDAQ: ELOS) is the leading global aesthetic device company with
a comprehensive product portfolio and a global distribution
footprint. The Company's technology enables physicians to provide
advanced solutions for a broad range of medical-aesthetic
applications including body contouring, hair removal, wrinkle
reduction, rejuvenation of the skin's appearance through the
treatment of superficial benign vascular and pigmented lesions, and
the treatment of acne, leg veins and cellulite. The Company sells
its products under two distinct brands, Syneron and Candela.
Founded in 2000, the corporate, R&D, and manufacturing
headquarters for Syneron Medical Ltd. are located in Israel. Syneron also has R&D and
manufacturing operations in the US. The Company markets, services
and supports its products in 90 countries. It has offices in
North America, France, Germany, Italy, Portugal, Spain, UK, Australia, China, Japan,
and Hong Kong and distributors
worldwide.
SAFE HARBOR FOR FORWARD-LOOKING
STATEMENTS
Any statements contained in this document
regarding future expectations, beliefs, goals, plans or prospects
constitute forward-looking statements within the meaning of the
Private Securities Litigation Reform Act of 1995. Further,
any statements that are not statements of historical fact
(including statements containing "believes," "anticipates,"
"plans," "expects," "may," "will," "would," "intends," "estimates"
and similar expressions) should also be considered to be
forward-looking statements. There are a number of important
factors that could cause actual results or events to differ
materially from those indicated by such forward-looking statements,
including the risk that the businesses of Syneron and Candela may
not be integrated successfully; the risk that the merger
transaction with Candela may involve unexpected costsor unexpected
liabilities; the risk that synergies from the merger transaction
may not be fully realized or may take longer to realize than
expected; the risk that disruptions from the merger transaction
make it more difficult to maintain relationships with customers,
employees, or suppliers; as well as the risks set forth in Syneron
Medical Ltd.'s most recent Annual Report on Form 20-F, and the
other factors described in the filings that Syneron Medical Ltd.
makes with the SEC from time to time. If one or more of these
factors materialize, or if any underlying assumptions prove
incorrect, Syneron Medical Ltd.'s actual results, performance or
achievements may vary materially from any future results,
performance or achievements expressed or implied by these
forward-looking statements.
In addition, the statements in this document reflect the
expectations and beliefs of Syneron Medical Ltd. as of the date of
this document. Syneron Medical Ltd. anticipates that
subsequent events and developments will cause its expectations and
beliefs to change. However, while Syneron Medical Ltd. may
elect to update these forward-looking statements publicly in the
future, it specifically disclaims any obligation to do so.
The forward-looking statements of Syneron Medical Ltd. do not
reflect the potential impact of any future dispositions or
strategic transactions that may be undertaken. These
forward-looking statements should not be relied upon as
representing Syneron Medical Ltd.'s views as of any date after the
date of this document.
Syneron, the Syneron logo, eMatrix and elos are trademarks of
Syneron Medical Ltd. and may be registered in certain
jurisdictions. The elos (Electro-Optical Synergy) technology is a
proprietary technology of Syneron Medical Ltd. All other names are
the property of their respective owners.
1 – EBU: Emerging Business Units. Products in the EBU include
me home-use hair removal system, elure Advanced Skin Brightening
products, Tanda LED systems, Light Instruments' dental laser
devices along with pipeline products that include Fluorinex teeth
whitening and fluorination.
2 – PAD: Professional Aesthetic Device segment, which
includes the results of the Syneron and Candela device
businesses.
Syneron
Medical Ltd.
|
Unaudited
Condensed Consolidated Statements of Loss
|
(in
thousands, except per share data)
|
|
|
|
|
|
|
|
|
|
|
|
For the
three-months ended
|
|
For the
nine-months ended
|
|
|
September 30,
|
|
September 30,
|
|
September 30,
|
|
September 30,
|
|
|
2012
|
|
2011
|
|
2012
|
|
2011
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenues
|
$
60,132
|
|
$
56,973
|
|
$
190,862
|
|
$
167,310
|
Cost of
revenues
|
28,151
|
|
28,171
|
|
90,468
|
|
82,461
|
|
|
|
|
|
|
|
|
|
Gross
profit
|
31,981
|
|
28,802
|
|
100,394
|
|
84,849
|
|
|
|
|
|
|
|
|
|
Operating
expenses:
|
|
|
|
|
|
|
|
|
Sales and
marketing
|
18,768
|
|
15,964
|
|
59,111
|
|
47,669
|
|
General
and administrative
|
8,235
|
|
10,425
|
|
25,487
|
|
25,751
|
|
Research
and development
|
7,206
|
|
7,027
|
|
21,630
|
|
21,551
|
|
Other
expenses (income), net
|
(84)
|
|
32,374
|
|
237
|
|
30,583
|
|
|
|
|
|
|
|
|
|
Total
operating expenses
|
34,125
|
|
65,790
|
|
106,465
|
|
125,554
|
|
|
|
|
|
|
|
|
|
Loss from
operations
|
(2,144)
|
|
(36,988)
|
|
(6,071)
|
|
(40,705)
|
|
|
|
|
|
|
|
|
|
|
Financial
Income, net
|
378
|
|
149
|
|
976
|
|
923
|
|
|
|
|
|
|
|
|
|
Loss
before taxes on income
|
(1,766)
|
|
(36,839)
|
|
(5,095)
|
|
(39,782)
|
|
|
|
|
|
|
|
|
|
Taxes on
income
|
526
|
|
3,299
|
|
2,197
|
|
3,823
|
|
|
|
|
|
|
|
|
|
Loss
before non-controlling interest
|
(2,292)
|
|
(40,138)
|
|
(7,292)
|
|
(43,605)
|
|
|
|
|
|
|
|
|
|
Net loss
attributable to non-controlling interest
|
-
|
|
45
|
|
776
|
|
851
|
|
|
|
|
|
|
|
|
|
Loss
attributable to Syneron shareholders
|
$
(2,292)
|
|
$
(40,093)
|
|
$
(6,516)
|
|
$
(42,754)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loss per
share:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic and
Diluted
|
|
|
|
|
|
|
|
|
Loss
before non-controlling interest
|
$
(0.06)
|
|
$
(1.14)
|
|
$
(0.20)
|
|
$
(1.24)
|
|
Net loss
attributable to non-controlling interest
|
-
|
|
-
|
|
0.02
|
|
0.02
|
|
Net loss
attributable to Syneron shareholders
|
$
(0.06)
|
|
$
(1.14)
|
|
$
(0.18)
|
|
$
(1.22)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted
average shares outstanding:
|
|
|
|
|
|
|
|
|
Basic and
Diluted
|
35,508
|
|
35,266
|
|
35,437
|
|
35,113
|
Syneron
Medical Ltd.
|
Condensed
Consolidated Balance Sheets
|
(in
thousands)
|
|
|
|
|
|
|
|
September 30,
|
|
December 31,
|
|
|
2012
|
|
2011
(*)
|
|
|
(unaudited)
|
|
|
Assets
|
|
|
|
|
|
|
|
|
Current
assets:
|
|
|
|
|
Cash and
cash equivalents
|
$
45,461
|
|
$
62,319
|
|
Short-term
bank deposits
|
20,864
|
|
23,771
|
|
Available-for-sale marketable securities
|
49,483
|
|
70,463
|
|
Trade
receivable, net
|
48,731
|
|
43,300
|
|
Other
accounts receivables and prepaid expenses
|
10,285
|
|
8,891
|
|
Inventories, net
|
42,113
|
|
31,169
|
|
|
|
|
|
Total
current assets
|
216,937
|
|
239,913
|
|
|
|
|
|
Long-term
assets:
|
|
|
|
|
Severance
pay fund
|
548
|
|
295
|
|
Long-term
deposits and others
|
1,965
|
|
2,118
|
|
Long-term
available-for-sale marketable securities
|
12,574
|
|
15,590
|
|
Investments in affiliated companies
|
1,200
|
|
200
|
|
Property
and equipment, net
|
5,729
|
|
4,155
|
|
Intangible
assets, net
|
35,485
|
|
31,813
|
|
Goodwill
|
25,177
|
|
18,867
|
|
Deferred
taxes
|
8,886
|
|
10,060
|
|
|
|
|
|
Total
long-term assets
|
91,563
|
|
83,098
|
|
|
|
|
|
Total
assets
|
$
308,500
|
|
$
323,011
|
|
|
|
|
|
|
|
|
|
|
Liabilities and Stockholders' Equity
|
|
|
|
|
|
|
|
|
Current
liabilities:
|
|
|
|
|
Short term
bank credit
|
$
-
|
|
$
1,082
|
|
Accounts
payable
|
19,580
|
|
21,094
|
|
Deferred
Revenues
|
12,420
|
|
11,550
|
|
Other
accounts payable and accrued expenses
|
43,418
|
|
41,704
|
|
|
|
|
|
Total
current liabilities
|
75,418
|
|
75,430
|
|
|
|
|
|
Long-term
liabilities:
|
|
|
|
|
Contingent
consideration liability
|
8,080
|
|
2,535
|
|
Deferred
Revenues
|
3,361
|
|
4,112
|
|
Warranty
Accruals
|
498
|
|
564
|
|
Accrued
severance pay
|
793
|
|
496
|
|
Deferred
taxes
|
4,359
|
|
5,182
|
|
|
|
|
|
Total
long-term liabilities
|
17,091
|
|
12,889
|
|
|
|
|
|
Stockholders' equity:
|
215,991
|
|
234,692
|
|
|
|
|
|
Total
liabilities and stockholders' equity
|
$
308,500
|
|
$
323,011
|
|
|
|
|
|
(*)
|
Derived
from audited financial statements
|
|
|
|
Syneron
Medical Ltd.
|
Unaudited Condensed Consolidated Statements of
Cash Flows
|
(in
thousands)
|
|
|
|
|
|
|
|
|
For the
Nine-months ended:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
September 30,
|
|
September 30,
|
|
|
|
|
|
|
|
2012
|
|
2011
|
Cash
flows from operating activities:
|
|
|
|
|
|
Net loss
before non-controlling interest
|
|
$
(7,292)
|
|
$
(43,605)
|
|
|
Adjustments to reconcile net loss to net cash
used by operating activities:
|
|
|
|
|
|
|
Non-cash
items reported in discontinued operations
|
|
|
|
-
|
|
|
Share-based compensation
|
|
3,365
|
|
2,453
|
|
|
Depreciation and amortization
|
|
7,937
|
|
7,765
|
|
|
Impairments of intangible assets
|
|
780
|
|
-
|
|
|
Realized
loss, changes in accrued interest and amortization of premium
(discount) on marketable securities
|
|
(337)
|
|
1,144
|
|
|
Impairment
of investment in affiliated company
|
|
-
|
|
969
|
|
|
Revaluation of contingent liability
|
|
(580)
|
|
(2,625)
|
|
|
Changes in
operating assets and liabilities
|
|
|
|
|
|
|
|
Trade
receivable, net
|
|
(5,349)
|
|
(2,221)
|
|
|
|
Inventories, net
|
|
(11,940)
|
|
(2,325)
|
|
|
|
Other
accounts receivables
|
|
262
|
|
(1,830)
|
|
|
|
Deferred
taxes
|
|
1,430
|
|
540
|
|
|
|
Accrued
severance pay, net
|
|
18
|
|
(34)
|
|
|
|
Accounts
payable
|
|
(2,466)
|
|
3,769
|
|
|
|
Deferred
revenue
|
|
160
|
|
(2,260)
|
|
|
|
Accrued
warranty accruals
|
|
19
|
|
(430)
|
|
|
|
Other
accrued liabilities
|
|
(5,797)
|
|
(643)
|
|
|
|
|
|
|
|
|
|
|
|
|
Net cash
used in operating activities
|
|
(19,790)
|
|
(39,333)
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash
flows from investing activities:
|
|
|
|
|
|
|
Purchases
of property and equipment
|
|
(1,125)
|
|
(1,692)
|
|
|
Investments in long-term deposits and
others
|
|
-
|
|
343
|
|
|
Proceeds
from the sale or maturity of available-for-sale marketable
securities
|
|
49,869
|
|
115,544
|
|
|
Purchase
of available-for-sale marketable securities
|
|
(25,549)
|
|
(67,225)
|
|
|
Investments in short-term bank deposits,
net
|
|
2,906
|
|
(22,734)
|
|
|
Investments in affiliated company
|
|
(1,000)
|
|
(761)
|
|
|
Net cash
paid in acquisition of subsidiaries
|
|
(15,050)
|
|
-
|
|
|
Other
investing activities
|
|
(112)
|
|
(41)
|
|
|
|
|
|
|
|
|
|
|
|
|
Net cash
provided by investing activities
|
|
9,939
|
|
23,434
|
|
|
|
|
|
|
|
|
|
|
Cash
flows from financing activities:
|
|
|
|
|
|
|
Short term
bank credit, net
|
|
(1,082)
|
|
(2,737)
|
|
|
Acquisition of shares held by non-controlling
shareholders of a subsidiary
|
|
(7,200)
|
|
-
|
|
|
Proceeds
from exercise of stock options
|
|
1,366
|
|
3,791
|
|
|
|
|
|
|
|
|
|
|
|
|
Net cash
provided by (used in) financing activities
|
|
(6,916)
|
|
1,054
|
|
|
|
|
|
|
|
|
|
|
Effect of
exchange rates on cash and cash equivalents
|
|
(91)
|
|
863
|
|
|
|
|
|
|
|
|
|
|
Net
decrease in cash and cash equivalents
|
|
(16,858)
|
|
(13,982)
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash
and cash equivalents at beginning of period
|
|
62,319
|
|
63,821
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash
and cash equivalents at end of period
|
|
$
45,461
|
|
$
49,839
|
Syneron
Medical Ltd.
|
Unaudited
Non-GAAP Financial Measures and Reconciliation
|
(in
thousands, except per share data)
|
|
|
|
|
|
|
|
|
|
|
|
For the
three-months ended
|
|
For the
nine-months ended
|
|
|
September 30,
|
|
September 30,
|
|
September 30,
|
|
September 30,
|
|
|
2012
|
|
2011
|
|
2012
|
|
2011
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GAAP
operating loss
|
$
(2,144)
|
|
$
(36,988)
|
|
$
(6,071)
|
|
$
(40,705)
|
|
|
|
|
|
|
|
|
|
|
Legal
settlement costs
|
-
|
|
33,900
|
|
-
|
|
33,900
|
|
Stock-based compensation
|
894
|
|
929
|
|
3,365
|
|
2,453
|
|
Amortization of intangible assets
|
1,986
|
|
2,037
|
|
5,870
|
|
6,016
|
|
Merger and
other non-recurring items
|
961
|
|
1,368
|
|
2,335
|
|
480
|
|
|
|
|
|
|
|
|
|
Non-GAAP
operating income
|
$
1,697
|
|
$
1,246
|
|
$
5,499
|
|
$
2,144
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GAAP net
loss attributable to Syneron shareholders
|
$
(2,292)
|
|
$
(40,093)
|
|
$
(6,516)
|
|
$
(42,754)
|
|
|
|
|
|
|
|
|
|
|
Legal
settlement costs
|
-
|
|
33,900
|
|
-
|
|
33,900
|
|
Stock-based compensation
|
894
|
|
929
|
|
3,365
|
|
2,453
|
|
Amortization of intangible assets
|
1,986
|
|
2,037
|
|
5,870
|
|
6,016
|
|
Merger and
other non-recurring items
|
961
|
|
1,368
|
|
2,335
|
|
480
|
|
Income tax
adjustments
|
(538)
|
|
2,827
|
|
(1,636)
|
|
1,312
|
|
|
|
|
|
|
|
|
|
Non-GAAP
net income attributable to Syneron shareholders
before non-controlling interest
|
$
1,011
|
|
$
968
|
|
$
3,418
|
|
$
1,407
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income
(Loss) per share:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
|
|
|
|
|
|
GAAP net
loss attributable to Syneron shareholders
before non-controlling interest
|
$
(0.06)
|
|
$
(1.14)
|
|
$
(0.18)
|
|
$
(1.22)
|
|
|
|
|
|
|
|
|
|
|
Legal
settlement costs
|
-
|
|
0.96
|
|
-
|
|
0.97
|
|
Stock-based compensation
|
0.03
|
|
0.03
|
|
0.09
|
|
0.07
|
|
Amortization of intangible assets
|
0.06
|
|
0.06
|
|
0.17
|
|
0.17
|
|
Merger and
other non-recurring items
|
0.03
|
|
0.04
|
|
0.07
|
|
0.01
|
|
Income tax
adjustments
|
(0.02)
|
|
0.08
|
|
(0.05)
|
|
0.04
|
|
|
|
|
|
|
|
|
|
Non-GAAP
net income per share attributable to Syneron shareholders
operations before non-controlling interest
|
$
0.03
|
|
$
0.03
|
|
$
0.10
|
|
$
0.04
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted
|
|
|
|
|
|
|
|
GAAP net
loss attributable to Syneron shareholders
before non-controlling interest
|
$
(0.06)
|
|
$
(1.12)
|
|
$
(0.18)
|
|
$
(1.19)
|
|
|
|
|
|
|
|
|
|
|
Legal
settlement costs
|
-
|
|
0.94
|
|
-
|
|
0.94
|
|
Stock-based compensation
|
0.02
|
|
0.03
|
|
0.09
|
|
0.07
|
|
Amortization of intangible assets
|
0.06
|
|
0.06
|
|
0.16
|
|
0.17
|
|
Merger and
other non-recurring items
|
0.03
|
|
0.04
|
|
0.07
|
|
0.01
|
|
Income tax
adjustments
|
(0.01)
|
|
0.08
|
|
(0.05)
|
|
0.04
|
|
|
|
|
|
|
|
|
|
Non-GAAP
net income per share attributable to Syneron shareholders
operations before non-controlling interest
|
$
0.03
|
|
$
0.03
|
|
$
0.10
|
|
$
0.04
|
|
|
|
|
|
|
|
|
|
Weighted
average shares outstanding:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
35,508
|
|
35,266
|
|
35,437
|
|
35,113
|
|
|
|
|
|
|
|
|
|
|
Diluted
|
35,875
|
|
35,901
|
|
35,866
|
|
35,947
|
SOURCE Syneron Medical Ltd.