SEC Filings

10-Q
LINCOLN ELECTRIC HOLDINGS INC filed this Form 10-Q on 10/30/2017
Entire Document
 

LINCOLN ELECTRIC HOLDINGS, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(UNAUDITED)
(In thousands)
 
Nine Months Ended September 30,
 
2017
 
2016
CASH FLOWS FROM OPERATING ACTIVITIES
 

 
 

Net income
$
223,322

 
$
145,004

Non-controlling interests in subsidiaries’ loss
(32
)
 
(32
)
Net income including non-controlling interests
223,290

 
144,972

Adjustments to reconcile Net income including non-controlling interests to Net cash
   provided by operating activities:
 

 
 

Loss on deconsolidation of Venezuelan subsidiary (Note 1)

 
34,348

Bargain purchase gain (Note 3)
(51,585
)
 

Depreciation and amortization
50,457

 
48,495

Equity earnings in affiliates, net
(216
)
 
(64
)
Deferred income taxes
3,129

 
(12,813
)
Stock-based compensation
9,966

 
7,516

Pension expense and settlement charges (Note 11)
816

 
12,472

Pension contributions and payments
(2,724
)
 
(22,159
)
Other, net
2,394

 
(1,840
)
Changes in operating assets and liabilities, net of effects from acquisitions:
 

 
 

Increase in accounts receivable
(24,300
)
 
(11,956
)
Increase in inventories
(22,526
)
 
(7,673
)
Decrease in other current assets
515

 
2,481

(Decrease) increase in trade accounts payable
(8,932
)
 
13,922

Increase in other current liabilities
61,332

 
31,357

Net change in other assets and liabilities
3,738

 
1,122

NET CASH PROVIDED BY OPERATING ACTIVITIES
245,354

 
240,180

 
 
 
 
CASH FLOWS FROM INVESTING ACTIVITIES
 

 
 

Capital expenditures
(38,959
)
 
(39,377
)
Acquisition of businesses, net of cash acquired (Note 3)
(72,468
)
 
(71,567
)
Proceeds from sale of property, plant and equipment
1,994

 
936

Purchase of marketable securities
(145,553
)
 

Proceeds from marketable securities
5,190

 

Other investing activities

 
(283
)
NET CASH USED BY INVESTING ACTIVITIES
(249,796
)
 
(110,291
)
 
 
 
 
CASH FLOWS FROM FINANCING ACTIVITIES
 

 
 

Proceeds from short-term borrowings

 
1,892

Payments on short-term borrowings

 
(1,822
)
Amounts due banks, net
(602
)
 
183,395

Proceeds from long-term borrowings
34

 
261

Payments on long-term borrowings
(37
)
 
(467
)
Proceeds from exercise of stock options
14,333

 
10,418

Purchase of shares for treasury (Note 5)
(23,012
)
 
(288,594
)
Cash dividends paid to shareholders
(69,083
)
 
(66,180
)
Other financing activities
(15,561
)
 
(18,244
)
NET CASH USED BY FINANCING ACTIVITIES
(93,928
)
 
(179,341
)
 
 
 
 
Effect of exchange rate changes on Cash and cash equivalents
18,644

 
2,197

DECREASE IN CASH AND CASH EQUIVALENTS
(79,726
)
 
(47,255
)
 
 
 
 
Cash and cash equivalents at beginning of period
379,179

 
304,183

CASH AND CASH EQUIVALENTS AT END OF PERIOD
$
299,453

 
$
256,928

See notes to these consolidated financial statements.

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