Envestnet, Inc. Annual report pursuant to Section 13 and 15(d)

Annual report pursuant to Section 13 and 15(d)

Consolidated Statements of Cash Flows

Consolidated Statements of Cash Flows (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
OPERATING ACTIVITIES:
Net income	$ 13,979us-gaap_NetIncomeLoss	$ 3,660us-gaap_NetIncomeLoss	$ 465us-gaap_NetIncomeLoss
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	18,651	15,329	12,400
Deferred rent and lease incentive	275us-gaap_AmortizationOfDeferredCharges	(483)us-gaap_AmortizationOfDeferredCharges	1,389us-gaap_AmortizationOfDeferredCharges
Provision for doubtful accounts	15us-gaap_ProvisionForDoubtfulAccounts	203us-gaap_ProvisionForDoubtfulAccounts
Impairments to long-lived assets		330
Deferred income taxes	(4,640)	(2,546)	83
Stock-based compensation	11,423us-gaap_ShareBasedCompensation	8,738us-gaap_ShareBasedCompensation	4,342us-gaap_ShareBasedCompensation
Excess tax benefits from stock-based compensation	(8,848)	(3,579)	(1,549)
Interest expense	626
Accretion on contingent consideration	1,472us-gaap_AccretionExpense	787us-gaap_AccretionExpense	3us-gaap_AccretionExpense
Fair market value adjustment on contingent consideration	(1,432)	501
Changes in operating assets and liabilities, net of acquisitions:
Fees receivable	1,788	(9,566)	1,017
Prepaid expenses and other current assets	9,733	(1,075)	4,645
Other non-current assets	(873)	(1,444)	(181)
Accrued expenses	9,784	12,389	3,100
Accounts payable	(659)	2,914	640
Deferred revenue	4,677	1,625	1,028
Other non-current liabilities	26	1,074	1,166
Net cash provided by operating activities	55,997	28,857	28,548
INVESTING ACTIVITIES:
Purchase of property and equipment	(6,177)	(6,125)	(4,838)
Capitalization of internally developed software	(3,382)us-gaap_PaymentsToDevelopSoftware	(3,143)us-gaap_PaymentsToDevelopSoftware	(2,350)us-gaap_PaymentsToDevelopSoftware
Repayment of notes payable assumed in acquisition			(174)env_RepaymentOfNotesPayableAssumed
Acquisition of businesses, net of cash acquired	(59,570)	(8,992)	(62,352)
Net cash used in investing activities	(69,129)	(18,260)	(69,714)
FINANCING ACTIVITIES:
Proceeds from issuance of convertible notes	172,500us-gaap_ProceedsFromConvertibleDebt
Convertible notes issuance costs	(5,533)us-gaap_PaymentsOfDebtIssuanceCosts
Proceeds from bank indebtedness	30,000us-gaap_ProceedsFromNotesPayable
Payment of bank indebtedness	(30,000)us-gaap_RepaymentsOfNotesPayable
Payment of contingent consideration	(6,000)env_PaymentsOfContingentConsideration
Payment of promissory note	(1,500)us-gaap_RepaymentsOfOtherShortTermDebt
Issuance of redeemable units in ERS	1,500
Proceeds from exercise of stock options	5,190	6,400	2,069
Excess tax benefits from stock-based compensation expense	8,848	3,579	1,549
Purchase of treasury stock	(2,062)	(622)	(137)
Issuance of restricted stock	1	1	2,759
Proceeds from exercise of warrants		4us-gaap_ProceedsFromWarrantExercises
Net cash provided by financing activities	172,944	9,362	6,240
INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS	159,812	19,959	(34,926)
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD	49,942	29,983	64,909
CASH AND CASH EQUIVALENTS, END OF PERIOD	209,754	49,942	29,983
Supplemental disclosure of cash flow information- cash paid during the period for income taxes, net of refunds	2,131us-gaap_IncomeTaxesPaidNet	4,708us-gaap_IncomeTaxesPaidNet	796us-gaap_IncomeTaxesPaidNet
Supplemental disclosure of cash flow information- cash paid during the period for interest	299us-gaap_InterestPaid
Supplemental disclosure of non-cash operating, investing and financing activities:
Settlement of contingent consideration liability upon issuance of ERS, LLC membership interest	158
Contingent consideration issued in a business acquisition	2,800	16,017
Issuance of promissory note for acquisition	1,500
Leasehold improvements funded by lease incentive	$ 2,865	$ 1,693	$ 1,054