MATTERPORT, INC.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(In thousands, unaudited)
| Six Months Ended June 30, | |||||||
| 2022 | 2021 | ||||||
| CASH FLOWS FROM OPERATING ACTIVITIES | |||||||
| Net income (loss) | $ | 7,270 | $ | (9,081 | ) | ||
| Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities: | |||||||
| Depreciation and amortization | 5,563 | 2,608 | |||||
| Amortization of debt discount | — | 135 | |||||
| Amortization of investment premiums, net of accretion of discounts | 1,829 | — | |||||
| Stock-based compensation, net of amounts capitalized | 87,233 | 1,259 | |||||
| Change in fair value of warrants liabilities | (26,147 | ) | — | ||||
| Change in fair value of contingent earn-out liability | (136,043 | ) | — | ||||
| Deferred income taxes | 69 | — | |||||
| Allowance for doubtful accounts | 195 | 151 | |||||
| Loss on disposal of property, plant, and equipment | — | 7 | |||||
| Other | 316 | 43 | |||||
| Changes in operating assets and liabilities, net of effects of businesses acquired: | |||||||
| Accounts receivable | (3,426 | ) | (2,918 | ) | |||
| Inventories | (881 | ) | 1,024 | ||||
| Prepaid expenses and other assets | (2,946 | ) | (1,269 | ) | |||
| Accounts payable | 2,367 | 1,466 | |||||
| Deferred revenue | 2,641 | 3,024 | |||||
| Accrued expenses and other liabilities | 3,682 | 920 | |||||
| Net cash used in operating activities | (58,278 | ) | (2,631 | ) | |||
| CASH FLOWS FROM INVESTING ACTIVITIES: | |||||||
| Purchases of property and equipment | (866 | ) | (326 | ) | |||
| Capitalized software and development costs | (7,086 | ) | (3,256 | ) | |||
| Purchase of investments | (87,997 | ) | — | ||||
| Maturities of investments | 160,124 | — | |||||
| Investment in convertible notes | — | (1,000 | ) | ||||
| Business acquisitions, net of cash acquired | (30,020 | ) | — | ||||
| Net cash provided by (used in) investing activities | 34,155 | (4,582 | ) | ||||
| CASH FLOW FROM FINANCING ACTIVITIES: | |||||||
| Payment of transaction costs related to reverse recapitalization | — | (1,204 | ) | ||||
| Proceeds from sales of shares through employee equity incentive plans | 4,892 | 1,342 | |||||
| Payments for taxes related to net settlement of equity awards | (34,424 | ) | — | ||||
| Proceeds from exercise of warrants | 27,844 | — | |||||
| Repayment of debt | — | (2,390 | ) | ||||
| Other | 76 | — | |||||
| Net cash used in financing activities | (1,612 | ) | (2,252 | ) | |||
| Net change in cash, cash equivalents, and restricted cash | (25,735 | ) | (9,465 | ) | |||
| Effect of exchange rate changes on cash | (329 | ) | (104 | ) | |||
| Cash, cash equivalents, and restricted cash at beginning of year | 139,987 | 52,250 | |||||
| Cash, cash equivalents, and restricted cash at end of period | $ | 113,923 | $ | 42,681 | |||
