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UNITED STATES

SECURITIES AND EXCHANGE COMMISSION 
Washington, D.C. 20549
 
FORM 8-K

CURRENT REPORT

Pursuant to Section 13 OR 15(d) of The Securities Exchange Act of 1934 
Date of Report (Date of earliest event reported): February 8, 2017
SYNCHRONOSS TECHNOLOGIES, INC. 
(Exact name of registrant as specified in its charter)
 
DELAWARE
 
000-52049
 
06-1594540
(State or other jurisdiction
of incorporation)
 
(Commission File Number)
 
(IRS Employer Identification No.)
 
 
200 Crossing Boulevard, 8th Floor
Bridgewater, New Jersey
 
 
08807
(Address of principal executive offices)
 
(Zip Code)
 
Registrant’s telephone number, including area code: (866) 620-3940

N/A
(Former name or former address, if changed since last report.)
 
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
 
☐
 
Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
 
 
 
☐
 
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
 
 
 
☐
 
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
 
 
 
☐
 
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))





Item 2.02 Results of Operations and Financial Condition.
 
On February 8, 2017, Synchronoss Technologies, Inc. issued a press release relating to its results of operations and financial condition for the quarter ended December 31, 2016. The full text of this press release is furnished as Exhibit 99.1 to this Current Report on form 8-K.
 
The information in Item 2.02 of this Form 8-K and the Exhibit attached hereto shall not be deemed “filed” for purposes of Section 18 of the Securities and Exchange Act of 1934 (the “Exchange Act”) or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933 or the Exchange Act, except as expressly set forth by specific reference in such a filing.
 
Item 9.01 Financial Statements and Exhibits.
 
The following exhibit relating to Item 2.02 shall be deemed to be furnished, and not filed:
 
Exhibit 99.1 Press Release of Synchronoss Technologies, Inc. dated February 8, 2017.




SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this Report to be signed on its behalf by the undersigned hereunto duly authorized.
 
 
 
 
 
 
 
 
SYNCHRONOSS TECHNOLOGIES, INC.
 
 
 
 
 
 
 
 
By:
/s/ Ronald Hovsepian
 
 
 
 
Ronald Hovsepian
 
 
 
 
Chief Executive Officer
 






Date: February 8, 2017



Exhibit
Exhibit 99.1


https://cdn.kscope.io/a984884fc541801c30bf9ec43d7b6afe-ex991quarterlyfiledve_image1.jpg

200 Crossing Boulevard, Bridgewater, NJ 08807

Press Release:
SYNCHRONOSS TECHNOLOGIES, INC. ANNOUNCES
FOURTH QUARTER AND FULL YEAR RESULTS

•GAAP combined total revenue was $145.6 million
•Non-GAAP combined total revenue was $147.8 million
•GAAP revenue from continuing operations for the fourth quarter was $121.7 million
•Non-GAAP revenue from continuing operations for the fourth quarter was $123.9 million
•GAAP EPS from continuing operations for the fourth quarter was $(0.51)
•Non-GAAP EPS from continuing operations for the fourth quarter was $0.24

BRIDGEWATER, NJ –February 8, 2017 – Synchronoss Technologies, Inc. (NASDAQ: SNCR), the leader in mobile cloud innovation for mobile carriers, enterprises, retailers and OEMs around the world, today announced financial results for the fourth quarter of 2016.

“Synchronoss has transformed its strategy with the Intralinks acquisition and divestiture of its traditional activation business as the company now looks to expand the scale and scope of its enterprise and cloud initiatives to drive the new SNCR 3.0 vision, said Ronald Hovsepian, Chief Executive Officer of Synchronoss.” “The Synchronoss team is laying the foundation for the next chapter of growth,” said Ronald Hovsepian, Chief Executive Officer of Synchronoss.

“It has been an exciting time here at Synchronoss over the past few months as we view the acquisition of Intralinks to be a major step forward in our enterprise strategy with Ron leading the team to successfully integrate both companies into a single portfolio”, said Founder and Executive Chairman Stephen Waldis. “I look forward to working with Ron during this pivotal time for Synchronoss’ employees, customers, and partners around the globe.”

Financial Highlights for the Fourth Quarter of 2016:

•
Total revenues from continuing operations: $121.7 million GAAP compared to $121.2 million in the fourth quarter of 2015. $123.9 million non-GAAP compared to $121.8 million in the fourth quarter of 2015. Total combined revenue from continuing and discontinued operations was $145.6 million. Non-GAAP combined total revenue from continuing and discontinued operations was $147.8 million.

•
Gross profit from continuing operations: $71.5 million GAAP compared to $75.7 million in the fourth quarter of 2015. $78.1 million non-GAAP compared to $83.4 million in the fourth quarter of 2015.

•
Operating (loss) income from continuing operations: $(30.4) million GAAP compared to $1.5 million in the fourth quarter of 2015. $13.1 million non-GAAP compared to $29.9 million in the fourth quarter of 2015.

•
Net (loss) income attributable to Synchronoss from continuing operations: $(22.6) million GAAP compared to $(3.2) million in the fourth quarter of 2015. $11.0 million non-GAAP compared to $20.0 million in the fourth quarter of 2015.

•
Earnings (loss) per diluted share: $(0.51) GAAP compared to $(0.07) in the fourth quarter of 2015. $0.24 non-GAAP compared to $0.43 in the fourth quarter of 2015.

•
Operating cash flow: $86.0 million GAAP and non-GAAP compared to $63.2 million GAAP and non-GAAP in the fourth quarter of 2015.



Financial Highlights for the Full Year 2016:

•
Total revenues from continuing operations: $476.7 million GAAP compared to $428.1 million in 2015.  $490.2 million non-GAAP compared to $429.4 million in 2015.

•
Gross profit from continuing operations: $282.5 million GAAP compared to $272.8 million in 2015. $319.2 million non-GAAP compared to $288.0 million in 2015.

•
Operating (loss) income from continuing operations: $(71.9) million GAAP compared to $15.1 million in 2015.  $82.0 million non-GAAP compared to $96.2 million in 2015.

•
Net (loss) income from continuing operations attributable to Synchronoss: $(55.7) million GAAP compared to $1.3 million in 2015. $59.8 million non-GAAP compared to $63.6 million in 2015.

•
(Loss) earnings per diluted share from continuing operations: $(1.28) GAAP compared to $0.03 in 2015. $1.28 non-GAAP compared to $1.38 in 2015.

•
Operating cash flow: $142.5 million GAAP compared to $139.8 million in 2015.  $142.5 million non-GAAP compared to $143.4 million in 2015.

A reconciliation of GAAP to non-GAAP results has been provided in the financial statement tables included in this press release. An explanation of these measures is also included below under the heading "Non-GAAP Financial Measures."

Fourth Quarter and Recent Business Highlights:

•
GAAP Cloud Services revenue from continuing operations accounted for $121.7 million in the fourth quarter. Non-GAAP Cloud Services revenue from continuing operations accounted for $123.9 million in the fourth quarter. This was led by cloud deployments at new and existing customers.

•
Completed the acquisition of Intralinks together with the closing of the $1.1 billion credit facility.

•
Completed the divestiture of our carrier activation business to Sequential Technology International as well as the sale of our SpeechCycle and Mirapoint Software activation businesses.

•
Strong progress at international customers in EMEA and APAC as they move towards scaling our Messaging and Personal Cloud Platforms.

First Quarter Investor Conference Participation Schedule:

•
Raymond James Investor Conference March 7, 2017-Orlando, FL

Conference Call Details

In conjunction with this announcement, Synchronoss will host a conference call on Wednesday, February 8, 2017, at 5:00 p.m. (ET) to discuss the company’s financial results. To access this call, dial 877-930-7767 (domestic) or 253-336-7416 (international). The pass code for the call is 52260549. Additionally, a live web cast of the conference call will be available on the “Investor Relations” page on the company’s web site www.synchronoss.com.

Following the conference call, a replay will be available for a limited time at 855-859-2056 (domestic) or 404-537-3406 (international). The replay pass code is 52260549. An archived web cast of this conference call will also be available on the “Investor Relations” page of the company’s web site, www.synchronoss.com.




Non-GAAP Financial Measures

Synchronoss has provided in this release selected financial information that has not been prepared in accordance with GAAP. This information includes historical non-GAAP revenues, gross profit, operating income (loss), net income (loss), effective tax rate, earnings (loss) per share and cash flows from operating activities. Synchronoss uses these non-GAAP financial measures internally in analyzing its financial results and believes they are useful to investors, as a supplement to GAAP measures, in evaluating Synchronoss’ ongoing operational performance. Synchronoss believes that the use of these non-GAAP financial measures provides an additional tool for investors to use in evaluating ongoing operating results and trends, and in comparing its financial results with other companies in Synchronoss’ industry, many of which present similar non-GAAP financial measures to investors. As noted, the non-GAAP financial results discussed above add back the deferred revenue write-down associated with acquisitions, fair value stock-based compensation expense, acquisition and restructuring related costs, changes in the contingent consideration obligation, deferred compensation expense related to earn outs and amortization of intangibles associated with acquisitions.

Non-GAAP financial measures should not be considered in isolation from, or as a substitute for, financial information prepared in accordance with GAAP. Investors are encouraged to review the reconciliation of these non-GAAP measures to their most directly comparable GAAP financial measures as detailed above. As previously mentioned, a reconciliation of GAAP to non-GAAP results has been provided in the financial statement tables included in this press release.

About Synchronoss Technologies, Inc.

Synchronoss (NASDAQ: SNCR) is an innovative software company that helps both service providers and enterprises realize and execute their goals for mobile transformation now. Our simple, powerful and flexible solutions serve millions of mobile subscribers and a large portion of the Fortune 500 worldwide today. For more information, visit us at www.synchronoss.com.

Forward-looking Statements

This document may include certain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements include, but are not limited to, plans, objectives, expectations and intentions and other statements contained in this press release that are not historical facts and statements identified by words such as "expects," "anticipates," "intends," "plans," "believes," "seeks," "estimates," “outlook” or words of similar meanings. These statements are based on our current beliefs or expectations and are inherently subject to various risks and uncertainties, including those set forth under the caption "Risk Factors" in Synchronoss’ Annual Report on Form 10-K for the year ended December 31, 2015 and other documents filed with the U.S. Securities and Exchange Commission. Actual results may differ materially from these expectations due to changes in global political, economic, business, competitive, market and regulatory factors. Synchronoss does not undertake any obligation to update any forward-looking statements contained in this document as a result of new information, future events or otherwise.

Synchronoss and the Synchronoss logo are trademarks of Synchronoss Technologies, Inc. All other trademarks are property of their respective owners.

SOURCE: Synchronoss Technologies, Inc.

CONTACT: Synchronoss Technologies, Inc.

 
Investor and Media:
Daniel Ives, +1 908-524-1047
daniel.ives@synchronoss.com




SYNCHRONOSS TECHNOLOGIES, INC.
BALANCE SHEETS
(in thousands, except per share data)
(Unaudited)
 
December 31, 2016
 
December 31, 2015
ASSETS
Current assets:
 
 
 
Cash and cash equivalents
$
181,018

 
$
147,634

Marketable securities
12,506

 
66,357

Accounts receivable, net of allowance for doubtful accounts of $1,756 and $3,029 at December 31, 2016 and December 31, 2015, respectively
137,561

 
136,117

Prepaid expenses and other assets
33,488

 
48,127

Assets of discontinued operations, current
—

 
8,710

Total current assets
364,573

 
406,945

Restricted cash
30,000

 
—

Marketable securities
2,974

 
19,635

Property and equipment, net
155,599

 
168,280

Goodwill
273,710

 
182,000

Intangible assets, net
203,864

 
174,322

Deferred tax assets
1,503

 
3,560

Other assets
7,541

 
10,350

Receivable from related party
83,000

 
—

Equity method investments
45,890

 
—

Assets of discontinued operations, non-current
—

 
45,136

Total assets
$
1,168,654

 
$
1,010,228

 
 
 
 
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
 
 
 
Accounts payable
$
15,770

 
$
26,038

Accrued expenses
72,705

 
45,819

Deferred revenues
22,602

 
8,323

Contingent consideration obligation
11,860

 
—

Short term debt
29,000

 
—

Total current liabilities
151,937

 
80,180

Lease financing obligation - long term
12,121

 
13,343

Contingent consideration obligation - long-term
—

 
930

Convertible debt
226,291

 
224,878

Deferred tax liability
50,838

 
16,404

Deferred revenues
16,724

 
559

Other liabilities
3,782

 
2,668

Redeemable noncontrolling interest
49,856

 
61,452

Stockholders’ equity:
 
 
 
Preferred stock, $0.0001 par value; 10,000 shares authorized, 0 shares issued and outstanding at December 31, 2016 and December 31, 2015
—

 
—

Common stock, $0.0001 par value; 100,000 shares authorized, 49,317 and 48,084 shares issued; 45,323 and 44,405 outstanding at December 31, 2016 and December 31, 2015, respectively
5

 
4

Treasury stock, at cost (3,994 and 3,679 shares at December 31, 2016 and December 31, 2015, respectively)
(95,183
)
 
(65,651
)
Additional paid-in capital
575,093

 
512,802

Accumulated other comprehensive loss
(43,252
)
 
(38,684
)
Retained earnings
220,442

 
201,343

Total stockholders’ equity
657,105

 
609,814

Total liabilities and stockholders’ equity
$
1,168,654

 
$
1,010,228



SYNCHRONOSS TECHNOLOGIES, INC.
STATEMENT OF INCOME*
(in thousands, except per share data)
(Unaudited)
 
Three Months Ended December 31,
 
Year ended December 31,
 
2016
 
2015
 
2016
 
2015
 
 
 
 
 
 
 
 
Net Revenues
$
121,717

 
$
121,213

 
$
476,671

 
$
428,117

Costs and Expenses:
 
 
 
 
 
 
 
Cost of services (1)(2)**
50,210

 
45,512

 
194,198

 
155,287

Research and development (1)(2)
28,273

 
22,958

 
106,681

 
91,430

Selling, general and administrative (1)(2)
43,297

 
29,539

 
131,106

 
88,411

Net change in contingent consideration obligation
3,631

 
760

 
10,930

 
760

Restructuring charges
1,360

 
(34
)
 
6,333

 
4,946

Depreciation and amortization
25,302

 
20,931

 
99,311

 
72,152

Total costs and expenses
152,073

 
119,666

 
548,559

 
412,986

(Loss) income from continuing operations
(30,356
)
 
1,547

 
(71,888
)
 
15,131

Interest income
936

 
564

 
2,428

 
2,047

Interest expense
(2,007
)
 
(1,503
)
 
(7,013
)
 
(5,711
)
Other income (expense), net
2,117

 
973

 
1,931

 
372

(Loss) income from continuing operations, before taxes
(29,310
)
 
1,581

 
(74,542
)
 
11,839

Provision for income taxes
3,996

 
1,310

 
7,290

 
(4,477
)
Net (loss) income from continuing operations
(25,314
)
 
2,891

 
(67,252
)
 
7,362

Net income (loss) from discontinued operations, net of taxes
46,848

 
8,431

 
75,233

 
39,320

Net income
21,534

 
11,322

 
7,981

 
46,682

Net (loss) income attributable to noncontrolling interests
(2,760
)
 
6,052

 
(11,596
)
 
6,052

Net income attributable to Synchronoss
$
24,294

 
$
5,270

 
$
19,577

 
$
40,630

 
 
 
 
 
 
 
 
Net (loss) income from continuing operations attributable to Synchronoss
$
(22,554
)
 
$
(3,161
)
 
$
(55,656
)
 
$
1,310

Income effect for interest on convertible debt, net of tax
—

 
—

 
—

 
1,951

Net income (loss) from continuing operations adjusted for the convertible debt
$
(22,554
)
 
$
(3,161
)
 
$
(55,656
)
 
$
3,261

 
 
 
 
 
 
 
 
Basic:
 
 
 
 
 
 
 
Continuing operations
$
(0.51
)
 
$
(0.07
)
 
$
(1.28
)
 
$
0.03

Discontinued operations
1.06

 
0.19

 
1.73

 
0.93

 
$
0.55

 
$
0.12

 
$
0.45

 
$
0.96

Diluted:
 
 
 
 
 
 
 
Continuing operations
$
(0.51
)
 
$
(0.07
)
 
$
(1.28
)
 
$
0.03

Discontinued operations
1.06

 
0.19

 
1.73

 
0.93

 
$
0.55

 
$
0.12

 
$
0.45

 
$
0.96

 
 
 
 
 
 
 
 
Weighted-average common shares outstanding:
 
 
 
 
 
 
 
Basic
43,814

 
42,817

 
43,571

 
42,284

Diluted
43,814

 
42,817

 
43,571

 
42,284

 
 
 
 
 
 
 
 
(1) Amounts include fair value stock-based compensation as follows:
Cost of services
$
1,076

 
$
1,493

 
$
5,669

 
$
5,091

Research and development
2,451

 
2,374

 
8,817

 
7,487

Selling, general and administrative
4,837

 
6,137

 
17,854

 
17,289

Total fair value stock-based compensation expense
$
8,364

 
$
10,004

 
$
32,340

 
$
29,867

 
 
 
 
 
 
 
 
(2) Amounts include acquisition costs as follows:
 
 
 
 
 
 
 
Cost of services
$
3,344

 
$
5,612

 
$
17,482

 
$
8,814

Research and development
4,030

 
2,375

 
13,751

 
7,307

Selling, general and administrative
9,253

 
963

 
14,739

 
1,412

Total acquisition costs
$
16,627

 
$
8,950

 
$
45,972

 
$
17,533


* Cost of services excludes depreciation and amortization which is shown separately.
** This presentation reflects the discontinued operations associated with the divestiture of our activation business.



SYNCHRONOSS TECHNOLOGIES, INC.
RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES
(in thousands, except per share data)
(Unaudited)
 
Three Months Ended December 31,
 
Year ended December 31,
 
2016
 
2015
 
2016
 
2015
Non-GAAP financial measures and reconciliation:
GAAP Revenue
$
121,717

 
$
121,213

 
$
476,671

 
$
428,117

Add: Deferred revenue write-down
2,151

 
568

 
13,535

 
1,260

Non-GAAP Revenue
$
123,868

 
$
121,781

 
$
490,206

 
$
429,377

 
 
 
 
 
 
 
 
GAAP Revenue
$
121,717

 
$
121,213

 
$
476,671

 
$
428,117

Less: Cost of services
50,210

 
45,512

 
194,198

 
155,287

GAAP Gross Margin
71,507

 
75,701

 
282,473

 
272,830

Add: Deferred revenue write-down
2,151

 
568

 
13,535

 
1,260

Add: Fair value stock-based compensation
1,076

 
1,493

 
5,669

 
5,091

Add: Acquisition and restructuring costs
3,344

 
5,612

 
17,482

 
8,814

Non-GAAP Gross Margin
$
78,078

 
$
83,374

 
$
319,159

 
$
287,995

Non-GAAP Gross Margin %
63
%
 
68
%
 
65
%
 
67
%
 
 
 
 
 
 
 
 
GAAP (loss) income from operations
$
(30,356
)
 
$
1,547

 
$
(71,888
)
 
$
15,131

Add: Deferred revenue write-down
2,151

 
568

 
13,535

 
1,260

Add: Fair value stock-based compensation
8,364

 
10,004

 
32,340

 
29,867

Add: Acquisition and restructuring costs
17,987

 
8,916

 
52,305

 
22,479

Add: Net change in contingent consideration obligation
3,631

 
760

 
10,930

 
760

Add: Amortization expense
11,308

 
8,150

 
44,738

 
26,659

Non-GAAP income from operations
$
13,085

 
$
29,945

 
$
81,960

 
$
96,156

 
 
 
 
 
 
 
 
GAAP Net (loss) income from continuing operations attributable to Synchronoss
$
(22,554
)
 
$
(3,161
)
 
$
(55,656
)
 
$
1,310

Add: Deferred revenue write-down
2,151

 
568

 
13,535

 
1,260

Add: Fair value stock-based compensation
8,364

 
10,004

 
32,340

 
29,867

Add: Acquisition and restructuring costs
17,987

 
8,916

 
52,305

 
22,479

Add: Net change in contingent consideration obligation, net of Fx change
3,631

 
760

 
10,930

 
760

Add: Amortization expense
11,308

 
8,150

 
44,738

 
26,659

Less: Noncontrolling interest non-GAAP adjustments
(1,148
)
 
(183
)
 
(5,523
)
 
(183
)
Less: Tax effect
(8,720
)
 
(5,101
)
 
(32,904
)
 
(18,592
)
Non-GAAP Net income from continuing operations attributable to Synchronoss
$
11,019

 
$
19,953

 
$
59,765

 
$
63,560

Income effect for interest on convertible debt, net of tax
549

 
669

 
2,197

 
2,302

Net income from continuing operations for diluted EPS calculation
$
11,568

 
$
20,622

 
$
61,962

 
$
65,862

 
 
 
 
 
 
 
 
Diluted non-GAAP net income per share from continuing operations
$
0.24

 
$
0.43

 
$
1.28

 
$
1.38

 
 
 
 
 
 
 
 
Weighted shares outstanding - Diluted
49,012

 
47,862

 
48,518

 
47,653




SYNCHRONOSS TECHNOLOGIES, INC.
STATEMENT OF CASH FLOWS
(in thousands)
(Unaudited)
 
 
Year ended December 31,
 
 
2016
 
2015
Operating activities:
 
 
 
(As Adjusted)
Net income
 
$
7,981

 
$
46,682

Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization expense
 
99,311

 
72,152

Amortization of debt issuance costs
 
1,607

 
1,501

(Loss) gain on disposals
 
(952
)
 
16

Gain on discontinued operations
 
(95,311
)
 
—

Amortization of bond premium
 
1,416

 
1,705

Deferred income taxes
 
29,296

 
8,319

Non-cash interest on leased facility
 
1,111

 
924

Stock-based compensation
 
33,979

 
31,711

Contingent consideration obligation
 
10,930

 
(772
)
Changes in operating assets and liabilities:
 
 
 
 
Accounts receivable, net of allowance for doubtful accounts
 
(1,662
)
 
(27,577
)
Prepaid expenses and other current assets 1
 
12,649

 
(8,543
)
Other assets
 
10,054

 
(4,282
)
Accounts payable
 
(11,139
)
 
6,185

Accrued expenses 1
 
25,479

 
16,333

Other liabilities
 
(6,546
)
 
(402
)
Deferred revenues
 
24,298

 
(4,130
)
Net cash provided by operating activities
 
142,501

 
139,822

 
 
 
 
 
Investing activities:
 
 
 
 
Purchases of fixed assets
 
(58,542
)
 
(59,960
)
Purchases of intangible assets
 
—

 
(1,200
)
Purchases of marketable securities available-for-sale
 
(13,445
)
 
(139,569
)
Maturities of marketable securities available-for-sale
 
82,904

 
106,210

Change in restricted cash
 
(30,000
)
 
—

Proceeds from the sale of discontinued operations
 
18,135

 
—

Businesses acquired, net of cash
 
(98,428
)
 
(131,592
)
Net cash used in investing activities
 
(99,376
)
 
(226,111
)
 
 
 
 
 
Financing activities:
 
 
 
 
Proceeds from the exercise of stock options
 
13,912

 
19,936

Taxes paid on withholding shares 1
 
(8,885
)
 
(17,043
)
Payments on contingent consideration obligation
 
—

 
(4,468
)
Debt issuance costs
 
(1,346
)
 
—

Borrowings on revolving line of credit
 
144,000

 
—

Repayment of revolving line of credit
 
(115,000
)
 
—

Repurchases of common stock
 
(40,025
)
 
—

Proceeds from the sale of treasury stock in connection with an employee stock purchase plan
 
2,183

 
1,902

Repayments of capital lease obligations
 
(3,815
)
 
(2,021
)
Net cash used in financing activities
 
(8,976
)
 
(1,694
)
Effect of exchange rate changes on cash
 
(765
)
 
(350
)
Net increase (decrease) in cash and cash equivalents
 
33,384

 
(88,333
)
Cash and cash equivalents at beginning of period
 
147,634

 
235,967

Cash and cash equivalents at end of period
 
$
181,018

 
$
147,634


1 Certain prior year amounts have been adjusted to conform with the adoption of ASU 2016-09.


SYNCHRONOSS TECHNOLOGIES, INC.
RECONCILIATION OF GAAP TO NON-GAAP CASH POVIDED BY OPERATING ACTIVITIES
(in thousands)
(Unaudited)

 
 
Year ended December 31,
 
 
2016
 
2015
 
 
 
 
(As Adjusted)
Non-GAAP cash provided by operating activities and reconciliation:
 
 
 
 
 
 
 
 
 
Net cash provided by operating activities (GAAP)
 
$
142,501

 
$
139,822

Add: Cash payments on settlement of earn-out
 
—

 
3,532

Adjusted cash flow provided by operating activities (Non-GAAP)
 
$
142,501

 
$
143,354