| 1994 | 1995 | 1996 | ||
|---|---|---|---|---|
|
|
||||
| Cash flows from operating activities: | ||||
| Net income | $1,538,813 | $2,027,266 | $04,004,272 | |
|
Adjustments to reconcile net income to
net cash provided by operating activities
Depreciation and amortization |
150,067 | 286,705 | 618,290 | |
| Deferred income taxes | - | - | 436,714 | |
| Accretion of discount on marketable securities | (24,935) | (60,377) | (193,152) | |
|
Changes in assets and liabilities-
Accounts receivable |
(455,965) | (3,010,742) | (2,217,514) | |
| Deferred commissions | (158,244) | (396,752) | (449,301) | |
| Prepaid expenses and other current assets | 5,113 | (15,582) | (153,064) | |
| Accounts payable | 28,748 | 335,950 | 822,787 | |
| Customer deposits | - | 97,329 | 41,964 | |
| Accrued expenses | 330,913 | 1,019,763 | 1,656,296 | |
| Accrued income taxes | - | - | 227,037 | |
| Deferred revenue | 2,268,001 | 4,261,527 | 6,457,279 | |
|
|
||||
| Net cash provided by operating activities | 3,682,511 | 4,545,087 | 11,251,608 | |
|
|
||||
| Cash flows from investing activities: | ||||
| Purchases of property and equipment, net | (304,736) | (751,850) | (2,033,157) | |
| Purchase of marketable securities | (1,960,420) | (9,171,880) | (8,469,888) | |
| Proceeds from sales and maturities of
marketable securities |
- | 4,718,827 | 4,962,208 | |
|
|
||||
| Net cash used in investing activities | (2,265,156) | (5,204,903) | (5,540,837) | |
|
|
||||
| Cash flows from financing activities: | ||||
| Distributions to stockholder | (1,750,000) | (1,121,342) | (5,560,197) | |
| Net proceeds of stock offering | - | - | 33,234,053 | |
|
|
||||
|
Net cash (used in) provided by
financing activities |
(1,750,000) | (1,121,342) | 27,673,856 | |
|
|
||||
|
Net (decrease) increase in cash and cash equivalents |
(332,645) | (1,781,158) | 33,384,627 | |
| Cash and cash equivalents, beginning of year | 3,111,370 | 2,778,725 | 997,567 | |
|
|
||||
| Cash and cash equivalents, end of year | $2,778,725 | $0,997,567 | $34,382,194 | |
|
|
||||
| Supplemental disclosure of cash flow information: | ||||
| Cash paid for income taxes | $0,018,961 | $0,044,893 | $00,087,053 | |
|
|
||||
|
Supplemental disclosure of noncash investing and financing activities: |
||||
| Unrealized gain on available-for-sale securities | $ - | $0,021,696 | $00,036,404 | |
|
|
||||
The accompanying notes are an integral part of these consolidated financial statements.
|