Annual report pursuant to Section 13 and 15(d)

Consolidated Statements of Cash Flows

v3.8.0.1
Consolidated Statements of Cash Flows - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2017
Dec. 31, 2016
Dec. 31, 2015
Cash flows from operating activities      
Net income $ 51,524 $ 64,657 $ 66,350
Adjustments to reconcile net income to net cash provided by operating activities:      
Depreciation and amortization expense 5,363 4,387 3,305
Provision for bad debt expense 219 47 281
Stock-based compensation 9,145 7,035 7,114
Deferred taxes, net 12,825 (483) 65
Net realized losses (gains) on marketable securities, available-for-sale (2) 123 (132)
Tax benefit from stock-based award activity 0 2,711 10,483
Excess tax benefit from stock-based award activity 0 (2,711) (10,483)
Other non-cash items 108 444 509
Changes in operating assets and liabilities:      
Commissions receivable (4,777) (1,467) 70
Prepaid expenses (1,567) (552) (6)
Prepaid rent (2,107) (4,210) (5,430)
Assets held in rabbi trust (700) (1,263) (1,514)
Other assets, net (13,665) (803) (8,027)
Accounts payable and accrued expenses (572) 964 (912)
Income tax receivable (payable) (126) 2,867 (6,649)
Accrued bonuses and other employee related expenses 1,782 (8,218) 3,261
Deferred compensation and commissions 8,427 10,988 12,360
Deferred rent obligation and other liabilities 660 (30) 1,475
Net cash provided by operating activities 66,537 74,486 72,120
Cash flows from investing activities      
Purchases of marketable securities, available-for-sale (65,093) (107,898) (146,050)
Proceeds from sales and maturities of marketable securities, available-for-sale 44,753 137,593 26,142
Payments received on employee notes receivable 27 12 22
Issuances of employee notes receivable (481) (455) (247)
Purchase of property and equipment (6,554) (9,473) (6,796)
Proceeds from sale of property and equipment 10 40 0
Net cash (used in) provided by investing activities (27,338) 19,819 (126,929)
Cash flows from financing activities      
Proceeds from issuance of shares pursuant to employee stock purchase plan 653 673 976
Taxes paid related to net share settlement of stock-based awards (5,451) (5,565) (8,730)
Excess tax benefit from stock-based award activity 0 2,711 10,483
Principal payments on notes payable to former stockholders (986) (938) (894)
Net cash (used in) provided by financing activities (5,784) (3,119) 1,835
Net increase (decrease) in cash and cash equivalents 33,415 91,186 (52,974)
Cash and cash equivalents at beginning of year 187,371 96,185 149,159
Cash and cash equivalents at end of year 220,786 187,371 96,185
Supplemental disclosures of cash flow information      
Interest paid during the period 1,912 628 868
Income taxes paid, net 35,002 37,350 43,120
Supplemental disclosures of noncash investing and financing activities      
Reduction of accrued bonuses and other employee related expenses in settlement of employee notes receivable 243 325 208
Property and equipment additions incurred but not yet paid included in accounts payable and accrued expenses (359) 34 462
Settlements of deferred compensation obligation with trust assets $ 0 $ 0 $ 37