Carbonite 2011 Annual Report Download - page 50

Table of Contents
Consistent with previous periods, future capital expenditures will focus on acquiring additional data storage and hosting capacity and general
corporate infrastructure. We are not currently party to any purchase contracts related to future capital expenditures, other than short term purchase
orders.
Cash flows
The following table summarizes our cash flow data for 2011, 2010, and 2009.
Operating activities
Our cash flows from operating activities are significantly influenced by the amount of our net loss, growth in subscription sales and customer
growth, changes in working capital accounts, the timing of prepayments and payments to vendors, add-backs of non-cash expense items such as
depreciation, and the expense associated with stock-based compensation.
In 2011, cash provided by operating activities was $7.6 million, which was primarily driven by a $20.4 million increase in deferred revenue
associated with the increase in subscription sales and customer growth. Net cash inflows from operating activities included non-cash charges of $9.3
million, including $7.9 of depreciation and amortization and $1.4 million of stock based compensation. An increase in accounts payable and accrued
expenses provided an additional $2.8 million. These cash inflows were partially offset by our net loss of $23.5 million and a $1.2 million increase in
prepaid expenses and other current assets.
In 2010, we used $1.6 million in operating activities, which was primarily driven by our net loss of $25.8 million, offset by a $15.6 million
increase in deferred revenue associated with the increase in subscription sales and customer growth, non-cash charges of $5.6 million, including $5.1
million of depreciation and $0.5 million of stock based compensation, and a $3.0 million increase in current liabilities.
In 2009, we used $0.9 million in operating activities, which was primarily driven by our net loss of $19.2 million and a $0.4 million increase in
accounts receivable. These cash outflows were partially offset by a $13.7 million increase in deferred revenue associated with the increase in
subscription sales and customer growth. Cash inflows included non-
cash charges of $3.4 million, including $3.0 million of depreciation and $0.4 million
of stock based compensation, a $1.3 million increase in current liabilities, and a $0.1 million decrease in prepaid expenses.
Investing activities
In 2011, cash used in investing activities was $18.2 million, consisting primarily of capital expenditures of $13.5 million primarily for server
equipment and other data center infrastructure and the use of $1.9 million of net cash in connection with the acquisition of substantially all of the assets
of Phanfare, Inc. In addition, purchases and maturities of short-term investments netted to a $2.7 million use of cash.
In 2010, we used $13.9 million in investing activities, consisting primarily of $10.7 million for the purchase of equipment, in addition to a net
investment of $3.3 million in short-term investments.
47
Years Ended December 31,
2011
2010
2009
(in thousands)
Net cash provided by (used in) operating activities
$
7,572
$
(1,552
)
$
(946
)
Net cash provided by (used in) investing activities
(18,187
)
(13,913
)
7,251
Net cash provided by financing activities
56,600
1,041
19,428