HAIFA, Israel, Aug. 11,
2015 /PRNewswire/ -- Elbit Systems Ltd. (the "Company")
(NASDAQ and TASE: ESLT), the international high technology
company, reported today its consolidated results for the quarter
ended June 30, 2015.
In this release, the Company is providing US-GAAP results as
well as additional non-GAAP financial data, which are intended to
provide investors a more comprehensive understanding of the
Company's business results and trends. Unless otherwise stated, all
financial data presented is GAAP financial data.
Management Comment:
Bezhalel (Butzi) Machlis, President and CEO of Elbit
Systems, commented: "We are pleased that the growth in our
backlog over the last two years has led to our current positive
revenue growth and that the past quarter saw growth both in revenue
and in backlog. In addition, we see a continuation of solid
performance in geographic regions with strong emerging defense
requirements, that have been a strategic focus for us in recent
years, particularly Asia-Pacific
and Latin America, that together
accounted for 39% of our revenues in the quarter.
We also continue to focus on adapting ourselves to market trends
in order to meet future customer needs. Just after the close of the
quarter, we completed the acquisition of the Cyber &
Intelligence division of Nice Systems, and our recently established
subsidiary Cyberbit is in the process of integrating the acquired
operations into our organization. The acquisition is an important
part of our strategy to enhance our cyber capabilities, a sector in
which we see strong growth potential over the coming years."
Second quarter 2015 results:
Revenues in the second quarter of 2015 were
$749.6 million, as compared to
$702.6 million in the second quarter
of 2014, a growth of 6.7% mainly due to growth in revenues of Land
Systems to Asia Pacific.
Gross profit amounted to $219.3
million (29.2% of revenues) in the second quarter of 2015,
as compared to $199.4 million (28.4%
of revenues) in the second quarter of 2014. The non-GAAP gross
profit in the second quarter of 2015 was $224.7 million (30.0% of revenues), as compared
to $204.8 million (29.1% of revenues)
in the second quarter of 2014. The increase in the gross profit
rate was mainly due to the mix of programs sold in the quarter.
Research and development expenses, net were $57.5 million (7.7% of revenues) in the second
quarter of 2015, as compared to $52.2
million (7.4% of revenues) in the second quarter of
2014.
Marketing and selling expenses, net were $60.6 million (8.1% of revenues) in the second
quarter of 2015, as compared to $50.3
million (7.2% of revenues) in the second quarter of 2014.
The increase in marketing and selling expenses in the second
quarter of 2015 was mainly a result of marketing efforts in the
U.S. and Asia-Pacific.
General and administrative expenses, net were
$35.7 million (4.8% of revenues) in
the second quarter of 2015, as compared to $34.3 million (4.9% of revenues) in the second
quarter of 2014.
Operating income was $65.5
million (8.7% of revenues) in the second quarter of 2015, as
compared to operating income of $62.6
million (8.9% of revenues) in the second quarter of
2014. The non-GAAP operating income in the second quarter of
2015 was $75.4 million (10.1% of
revenues), as compared to $73.1
million (10.4% of revenues) in the second quarter of
2014.
Financial expenses, net were $6.2
million in the second quarter of 2015, as compared to
$8.3 million in the second quarter of
2014.
Taxes on income were $12.0
million (effective tax rate of 20.2%) in the second quarter
of 2015, as compared to $9.9 million
(effective tax rate of 18.1%) in the second quarter of 2014.
The effective tax rate is affected by the mix of the tax rates in
the various jurisdictions in which the Company's entities generate
taxable income.
Equity in net earnings (losses) of affiliated companies and
partnerships was a net loss of $0.4
million in the second quarter of 2015, as compared to net
earnings of $1.7 million in the
second quarter of 2014.
Net income attributable to non-controlling interests was
$1.7 million in the second quarter
of 2015, as compared to $2.3
million in the second quarter of 2014.
Net income attributable to the Company's shareholders in
the second quarter of 2015 was $45.3
million (6.0% of revenues), as compared to $43.9 million (6.2% of revenues) in the second
quarter of 2014. The non-GAAP net income in the second quarter of
2015 was $53.5 million (7.1% of
revenues), as compared to $52.6
million (7.5% of revenues) in the second quarter of
2014.
Diluted net earnings per share attributable to the
Company's shareholders were $1.06 for the second quarter of 2015, as compared
with diluted net earnings per share of $1.03 for the second quarter of 2014. The
non-GAAP diluted earnings per share in the second quarter of 2015
were $1.25 as compared to
$1.23 for the second quarter of
2014.
The Company's backlog of orders for the quarter ended
June 30, 2015, totaled $6,305
million as compared to $6,174
million as of June 30, 2014. Approximately 69% of the
current backlog is attributable to orders from outside Israel. Approximately 60% of the current
backlog is scheduled to be performed during the second half of 2015
and 2016.
Operating cash flow for the six months ended
June 30, 2015, was $116.5
million, as compared to $15.8
million in the six months ended June 30, 2014.
Non-GAAP financial data:
The following non-GAAP financial data is presented to enable
investors to have additional information on the Company's business
performance as well as a further basis for periodical comparisons
and trends relating to the Company's financial results. The Company
believes such data provides useful information to investors by
facilitating more meaningful comparisons of the Company's financial
results over time. Such non-GAAP information is used by the
Company's management to make strategic decisions, forecast future
results and evaluate the Company's current performance. However,
investors are cautioned that, unlike financial measures prepared in
accordance with GAAP, non-GAAP measures may not be comparable with
the calculation of similar measures for other companies.
The non-GAAP financial data includes reconciliation adjustments
regarding non-GAAP gross profit, operating income, net income and
diluted EPS. In arriving at non-GAAP presentations, companies
generally factor out items such as those that have a non-recurring
impact on the income statements, various non-cash items,
significant effects of retroactive tax legislation and changes in
accounting guidance and other items, which in management's
judgment, are items that are considered to be outside of the review
of core operating results.
In the Company's non-GAAP presentation, the Company made certain
adjustments, as indicated in the table below.
These non-GAAP measures are not based on any comprehensive set
of accounting rules or principles. The Company believes that
non-GAAP measures have limitations in that they do not reflect all
of the amounts associated with the Company's results of operations,
as determined in accordance with GAAP, and that these measures
should only be used to evaluate the Company's results of operations
in conjunction with the corresponding GAAP measures. Investors
should consider non-GAAP financial measures in addition to, and not
as replacements for or superior to, measures of financial
performance prepared in accordance with GAAP.
Reconciliation of
GAAP to Non-GAAP (Unaudited) Supplemental Financial
Data:
|
(US Dollars in
millions)
|
|
|
Six Months
Ended
June 30,
|
|
Three Months
Ended
June 30,
|
|
Year Ended
December 31,
|
|
2015
|
|
2014
|
|
2015
|
|
2014
|
|
2014
|
|
|
|
|
|
|
|
|
|
|
GAAP gross
profit
|
420.4
|
|
392.6
|
|
219.3
|
|
199.4
|
|
825.1
|
Adjustments:
|
|
|
|
|
|
|
|
|
|
Amortization of
purchased intangible assets
|
10.6
|
|
10.8
|
|
5.4
|
|
5.4
|
|
21.7
|
Non-GAAP
gross profit
|
431.0
|
|
403.4
|
|
224.7
|
|
204.8
|
|
846.8
|
Percent of
revenues
|
29.6 %
|
|
29.1 %
|
|
30.0 %
|
|
29.1 %
|
|
28.6 %
|
|
|
|
|
|
|
|
|
|
|
GAAP operating
income
|
125.3
|
|
122.5
|
|
65.5
|
|
62.6
|
|
246.9
|
Adjustments:
|
|
|
|
|
|
|
|
|
|
Amortization of
purchased intangible assets
|
19.6
|
|
21.7
|
|
9.9
|
|
10.5
|
|
43.0
|
Gain from changes in
holdings
|
—
|
|
(6.0)
|
|
—
|
|
—
|
|
(6.0)
|
Non-GAAP operating
income
|
144.9
|
|
138.2
|
|
75.4
|
|
73.1
|
|
283.9
|
Percent of
revenues
|
10.0 %
|
|
10.0 %
|
|
10.1 %
|
|
10.4 %
|
|
9.6 %
|
|
|
|
|
|
|
|
|
|
|
GAAP net income
attributable to Elbit
Systems' shareholders
|
89.9
|
|
92.0
|
|
45.3
|
|
43.9
|
|
171.0
|
Adjustments:
|
|
|
|
|
|
|
|
|
|
Amortization of
purchased intangible assets
|
19.6
|
|
21.7
|
|
9.9
|
|
10.5
|
|
43.0
|
Gain from changes in
holdings
|
—
|
|
(6.0)
|
|
—
|
|
—
|
|
(6.0)
|
Related tax
benefits
|
(3.3)
|
|
(3.2)
|
|
(1.7)
|
|
(1.8)
|
|
(6.9)
|
Non-GAAP net
income attributable to
Elbit Systems' shareholders
|
106.2
|
|
104.5
|
|
53.5
|
|
52.6
|
|
201.1
|
Percent of
revenues
|
7.3 %
|
|
7.5 %
|
|
7.1 %
|
|
7.5 %
|
|
6.8 %
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP diluted
net EPS
|
2.48
|
|
2.45
|
|
1.25
|
|
1.23
|
|
4.71
|
Recent Events:
On May 21, 2015, the Company
announced that it signed an agreement to acquire NICE Systems
Ltd.'s (NICE) Cyber and Intelligence division for a total amount of
up to $157.9 million, subject to
certain customary adjustments. Out of the total amount,
$117.9 million will be paid in cash
at the time of the closing, expected to take place in the third
quarter of 2015, subject to certain closing conditions. An
additional amount of up to $40
million will be paid as earn-out, based upon the future
business performance of the acquired division's activities.
On July 1, 2015, the Company
announced, further to its announcement of May 21, 2015 that it completed the acquisition of
the NICE's Cyber and Intelligence division.
On July 2, 2015, the Company
announced that its subsidiary, Elbit Systems Land and C4I Ltd. was
awarded a contract from the Dutch Ministry of Defense, to supply
advanced systems for the infantry soldiers in the Benelux countries
- Netherlands, Belgium and Luxemburg. The contract, valued at
approximately $150 million, will be
performed over a five-year period. Elbit Systems will serve as the
program prime contractor, and Thales Netherlands B.V will be its
main sub-contractor. Other local companies will take part in the
project, providing support and immediate response to the customer's
needs.
On August 3, 2015, the Company
announced that it recently was awarded two contracts for its MUSIC™
family of directed infra-red countermeasures airborne
multi-spectral self-protection systems, representing expansion of
the customer base in this strategic business area for Elbit
Systems. The first contract is a follow-on contract from an Asian
country, to supply its mini MUSIC systems for the customer's
Blackhawk helicopter fleet. This is the second order awarded by
this customer this year. An additional order, received from a NATO
member European country, calls for the supply of C-MUSIC systems.
Both contracts will be performed during 2015 and are in amounts
that are not material to Elbit Systems.
On August 5, 2015, the Company
announced that it was awarded an approximately $45 million contract from a European country for
the supply of military communications systems. The contract will be
performed over a two-year period.
Dividend:
The Board of Directors declared a dividend of $0.37 per share for the second quarter of 2015.
The dividend's record date is August 21,
2015. The dividend will be paid from income generated as
Preferred Income (as defined under Israeli tax laws), on
September 7, 2015, net of taxes and
levies, at the rate of 20%.
Conference Call:
The Company will be hosting a conference call today,
Tuesday, August 11, 2015 at
9:00 a.m. Eastern Time. On the call,
management will review and discuss the results and will be
available to answer questions.
To participate, please call one of the teleconferencing numbers
that follow. If you are unable to connect using the toll-free
numbers, please try the international dial-in number.
US Dial-in Numbers: 1 888 407 2553
UK Dial-in Number: 0 800 917 9141
ISRAEL Dial-in Number: 03 918 0610
INTERNATIONAL Dial-in Number: +972 3 918 0610
at: 9:00 am Eastern
Time; 6:00 am Pacific Time;
2:00 pm UK Time; 4:00 pm Israel Time
This call will also be broadcast live on Elbit Systems' web-site
at http://www.elbitsystems.com. An online replay will be
available from 24 hours after the call ends.
Alternatively, for two days following the call, investors will
be able to dial a replay number to listen to the call. The dial-in
numbers are:
1 888 782 42941 (US) or +972 3 925 5925
(Israel and International).
About Elbit Systems
Elbit Systems Ltd. is an
international high technology company engaged in a wide range of
defense, homeland security and commercial programs throughout the
world. The Company, which includes Elbit Systems and its
subsidiaries, operates in the areas of aerospace, land and naval
systems, command, control, communications, computers, intelligence
surveillance and reconnaissance ("C4ISR"), unmanned aircraft
systems, advanced electro-optics, electro-optic space systems, EW
suites, signal intelligence systems, data links and communications
systems, radios and cyber-based systems. The Company also
focuses on the upgrading of existing platforms, developing new
technologies for defense, homeland security and commercial
applications and providing a range of support services, including
training and simulation systems. For additional information, visit:
www.elbitsystems.com
Attachments:
Consolidated balance sheets
Consolidated statements of income
Consolidated statements of cash flow
Consolidated revenue distribution by areas of operation and by
geographical regions
Company
Contact:
Joseph Gaspar,
Executive VP & CFO
Tel:
+972-4-8316663
j.gaspar@elbitsystems.com
Dalia Rosen,
VP, Head of Corporate Communications
Tel:
+972-4-8316784
dalia.rosen@elbitsystems.com
|
IR
Contact:
Ehud
Helft
Kenny
Green
GK Investor
Relations
Tel:
1-646-201-9246
elbitsystems@gkir.com
|
This press release contains forward-looking statements (within
the meaning of Section 27A of the Securities Act of 1933, as
amended and Section 21E of the Securities Exchange Act of 1943, as
amended) regarding Elbit Systems Ltd. and/or its subsidiaries
(collectively the Company), to the extent such statements do not
relate to historical or current fact. Forward-looking statements
are based on management's expectations, estimates, projections and
assumptions. Forward-looking statements are made pursuant to the
safe harbor provisions of the Private Securities Litigation Reform
Act of 1995, as amended. These statements are not guarantees of
future performance and involve certain risks and uncertainties,
which are difficult to predict. Therefore, actual future results,
performance and trends may differ materially from these
forward-looking statements due to a variety of factors, including,
without limitation: scope and length of customer contracts;
governmental regulations and approvals; changes in governmental
budgeting priorities; general market, political and economic
conditions in the countries in which the Company operates or sells,
including Israel and the United States among others; differences in
anticipated and actual program performance, including the ability
to perform under long-term fixed-price contracts; and the outcome
of legal and/or regulatory proceedings. The factors listed above
are not all-inclusive, and further information is contained in
Elbit Systems Ltd.'s latest annual report on Form 20-F, which is on
file with the U.S. Securities and Exchange Commission. All
forward-looking statements speak only as of the date of this
release. The Company does not undertake to update its
forward-looking statements.
Elbit Systems Ltd., its logo, brand, product, service and
process names appearing in this Press Release are the trademarks or
service marks of Elbit Systems Ltd. or its affiliated
companies. All other brand, product, service and process
names appearing are the trademarks of their respective
holders. Reference to or use of a product, service or process
other than those of Elbit Systems Ltd. does not imply
recommendation, approval, affiliation or sponsorship of that
product, service or process by Elbit Systems Ltd. Nothing contained
herein shall be construed as conferring by implication, estoppel or
otherwise any license or right under any patent, copyright,
trademark or other intellectual property right of Elbit Systems
Ltd. or any third party, except as expressly granted herein.
ELBIT SYSTEMS
LTD.
|
CONSOLIDATED
BALANCE SHEETS
|
(In thousands of US
Dollars)
|
|
|
June
30,
|
|
December
31,
|
|
2015
|
|
2014
|
|
Unaudited
|
|
Audited
|
Assets
|
|
|
|
Current
assets:
|
|
|
|
Cash and cash
equivalents
|
$
|
152,488
|
|
$
|
200,407
|
Short-term bank
deposits and marketable securities
|
65,014
|
|
105,519
|
Trade and unbilled
receivables, net
|
893,705
|
|
928,757
|
Other receivables and
prepaid expenses
|
161,772
|
|
145,562
|
Inventories, net of
customers advances
|
877,553
|
|
868,799
|
Total current
assets
|
2,150,532
|
|
2,249,044
|
|
|
|
|
Investments in
affiliated companies and partnerships
|
107,133
|
|
125,433
|
Long-term trade and
unbilled receivables
|
185,066
|
|
212,725
|
Long-term bank
deposits and other receivables
|
26,509
|
|
18,081
|
Deferred income
taxes, net
|
67,577
|
|
60,224
|
Severance pay
fund
|
284,280
|
|
276,707
|
|
670,565
|
|
693,170
|
|
|
|
|
Property, plant and
equipment, net
|
446,163
|
|
441,535
|
Goodwill and other
intangible assets, net
|
637,590
|
|
637,532
|
Total
assets
|
$
|
3,904,850
|
|
$
|
4,021,281
|
|
|
|
|
|
|
|
|
Liabilities and
Equity
|
|
|
|
Short-term bank
credit and loans
|
$
|
259
|
|
$
|
557
|
Current maturities
of long-term loans and Series A Notes
|
115,569
|
|
81,958
|
Trade
payables
|
360,173
|
|
369,659
|
Other payables and
accrued expenses
|
705,738
|
|
758,760
|
Customer advances in
excess of costs incurred on contracts in progress
|
337,925
|
|
413,223
|
|
1,519,664
|
|
1,624,157
|
|
|
|
|
Long-term loans, net
of current maturities
|
153,508
|
|
220,716
|
Series A Notes, net
of current maturities
|
236,647
|
|
293,923
|
Employee benefit
liabilities
|
402,796
|
|
396,639
|
Deferred income taxes
and tax liabilities, net
|
77,511
|
|
68,435
|
Customer advances in
excess of costs incurred on contracts in progress
|
121,741
|
|
120,299
|
Other long-term
liabilities
|
69,982
|
|
58,217
|
|
1,062,185
|
|
1,158,229
|
|
|
|
|
Elbit Systems Ltd.'s
equity
|
1,312,650
|
|
1,226,667
|
Non-controlling
interests
|
10,351
|
|
12,228
|
Total
equity
|
1,323,001
|
|
1,238,895
|
Total liabilities
and equity
|
$
|
3,904,850
|
|
$
|
4,021,281
|
ELBIT SYSTEMS
LTD.
|
|
CONSOLIDATED
STATEMENTS OF INCOME
|
|
(In thousands of US
Dollars, except for share and per share amount)
|
|
|
|
|
Six Months
Ended
June
30,
|
|
Three Months
Ended
June 30,
|
|
Year Ended
December 31,
|
|
|
2015
|
|
2014
|
|
2015
|
|
2014
|
|
2014
|
|
|
Unaudited
|
|
Unaudited
|
|
Audited
|
|
Revenues
|
$
|
1,456,226
|
|
|
$
|
1,385,260
|
|
|
$
|
749,603
|
|
|
$
|
702,647
|
|
|
$
|
2,958,248
|
|
Cost of
revenues
|
1,035,778
|
|
|
992,706
|
|
|
530,351
|
|
|
503,291
|
|
|
2,133,151
|
|
Gross
profit
|
420,448
|
|
|
392,554
|
|
|
219,252
|
|
|
199,356
|
|
|
825,097
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
expenses:
|
|
|
|
|
|
|
|
|
|
|
Research and
development, net
|
113,117
|
|
|
101,161
|
|
|
57,505
|
|
|
52,219
|
|
|
228,011
|
|
Marketing and
selling, net
|
111,897
|
|
|
105,261
|
|
|
60,569
|
|
|
50,283
|
|
|
216,537
|
|
General and
administrative, net
|
70,097
|
|
|
69,583
|
|
|
35,685
|
|
|
34,270
|
|
|
139,634
|
|
Other income,
net
|
—
|
|
|
(5,951)
|
|
|
—
|
|
|
—
|
|
|
(5,951)
|
|
|
295,111
|
|
|
270,054
|
|
|
153,759
|
|
|
136,772
|
|
|
578,231
|
|
Operating
income
|
125,337
|
|
|
122,500
|
|
|
65,493
|
|
|
62,584
|
|
|
246,866
|
|
|
|
|
|
|
|
|
|
|
|
|
Financial expenses,
net
|
(11,865)
|
|
|
(12,933)
|
|
|
(6,192)
|
|
|
(8,270)
|
|
|
(47,498)
|
|
Other income,
net
|
77
|
|
|
122
|
|
|
10
|
|
|
88
|
|
|
120
|
|
Income before income
taxes
|
113,549
|
|
|
109,689
|
|
|
59,311
|
|
|
54,402
|
|
|
199,488
|
|
|
|
|
|
|
|
|
|
|
|
|
Taxes on
income
|
(20,625)
|
|
|
(16,045)
|
|
|
(11,976)
|
|
|
(9,859)
|
|
|
(25,624)
|
|
|
92,924
|
|
|
93,644
|
|
|
47,335
|
|
|
44,543
|
|
|
173,864
|
|
|
|
|
|
|
|
|
|
|
|
|
Equity in net
earnings (loss) of affiliated
companies and partnerships
|
(491)
|
|
|
2,751
|
|
|
(363)
|
|
|
1,654
|
|
|
5,549
|
|
Net income
|
$
|
92,433
|
|
|
$
|
96,395
|
|
|
$
|
46,972
|
|
|
$
|
46,197
|
|
|
$
|
179,413
|
|
Less: net income
attributable to non-
controlling interests
|
(2,574)
|
|
|
(4,360)
|
|
|
(1,678)
|
|
|
(2,315)
|
|
|
(8,433)
|
|
Net income
attributable to Elbit Systems
Ltd.'s shareholders
|
$
|
89,859
|
|
|
$
|
92,035
|
|
|
$
|
45,294
|
|
|
$
|
43,882
|
|
|
$
|
170,980
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings per share
attributable to Elbit Systems Ltd.'s shareholders:
|
|
|
|
|
|
Basic net earnings
per share
|
$
|
2.10
|
|
|
$
|
2.16
|
|
|
$
|
1.06
|
|
|
$
|
1.03
|
|
|
$
|
4.01
|
|
Diluted net earnings
per share
|
$
|
2.10
|
|
|
$
|
2.16
|
|
|
$
|
1.06
|
|
|
$
|
1.03
|
|
|
$
|
4.01
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average
number of shares (in thousands)
|
|
|
|
|
|
|
|
|
Shares used in
computation of basic earnings
per share
|
42,698
|
|
|
42,636
|
|
|
42,706
|
|
|
42,658
|
|
|
42,654
|
|
Shares used in
computation of diluted earnings
per share
|
42,724
|
|
|
42,661
|
|
|
42,734
|
|
|
42,682
|
|
|
42,677
|
|
ELBIT SYSTEMS
LTD.
|
CONSOLIDATED
STATEMENTS OF CASH FLOW
|
(In thousands of US
Dollars)
|
|
|
Six Months
Ended
June 30,
|
|
Year Ended
December 31,
|
|
2015
|
|
2014
|
|
2014
|
|
Unaudited
|
|
Audited
|
CASH FLOWS FROM
OPERATING ACTIVITIES
|
|
|
|
|
|
Net
income
|
$
|
92,433
|
|
|
$
|
96,395
|
|
|
$
|
179,413
|
|
Adjustments to
reconcile net income to net cash provided by operating
activities:
|
|
|
|
|
|
Depreciation and
amortization
|
56,296
|
|
|
62,605
|
|
|
122,408
|
|
Stock-based
compensation
|
88
|
|
|
184
|
|
|
322
|
|
Amortization of Series
A Notes premium and related issuance costs, net
|
(46)
|
|
|
(46)
|
|
|
(91)
|
|
Deferred income taxes
and reserve, net
|
7,653
|
|
|
(1,054)
|
|
|
(47,456)
|
|
Loss (gain) on sale of
property, plant and equipment
|
939
|
|
|
(1,259)
|
|
|
(3,266)
|
|
Gain on sale of
investment
|
(195)
|
|
|
(5,879)
|
|
|
(4,957)
|
|
Equity in net earnings
of affiliated companies and partnerships, net of dividend
received (*)
|
21,991
|
|
|
7,247
|
|
|
7,449
|
|
Changes in operating
assets and liabilities, net of amounts acquired:
|
|
|
|
|
|
Decrease (increase) in
short and long-term trade receivables, and prepaid
expenses
|
39,856
|
|
|
(83,440)
|
|
|
(67,177)
|
|
Increase in
inventories, net
|
(5,064)
|
|
|
(64,941)
|
|
|
(112,747)
|
|
Increase (decrease) in
trade payables, other payables and accrued expenses
|
(24,211)
|
|
|
(5,211)
|
|
|
81,687
|
|
Severance, pension and
termination indemnities, net
|
623
|
|
|
(1,587)
|
|
|
6,282
|
|
Increase (decrease) in
advances received from customers
|
(73,856)
|
|
|
12,745
|
|
|
15,970
|
|
Net cash provided by
operating activities
|
116,507
|
|
|
15,759
|
|
|
177,837
|
|
CASH FLOWS FROM
INVESTING ACTIVITIES
|
|
|
|
|
|
Purchase of property,
plant and equipment and other assets
|
(50,102)
|
|
|
(26,988)
|
|
|
(71,211)
|
|
Acquisition of
subsidiaries and business operations
|
(24,386)
|
|
|
787
|
|
|
787
|
|
Investments in
affiliated companies and other companies
|
—
|
|
|
(3,536)
|
|
|
(4,620)
|
|
Proceeds from sale of
property, plant and equipment
|
7,130
|
|
|
7,817
|
|
|
24,969
|
|
Proceeds from sale of
investments
|
—
|
|
|
110
|
|
|
110
|
|
Investment in long-term
deposits
|
(43)
|
|
|
(403)
|
|
|
(796)
|
|
Proceeds from sale of
long-term deposits
|
119
|
|
|
602
|
|
|
790
|
|
Investment in
short-term deposits and marketable securities
|
(40,328)
|
|
|
(69,109)
|
|
|
(89,521)
|
|
Proceeds from sale of
short-term deposits and marketable securities
|
80,441
|
|
|
40,427
|
|
|
59,374
|
|
Net cash used in
investing activities
|
(27,169)
|
|
|
(50,293)
|
|
|
(80,118)
|
|
CASH FLOWS FROM
FINANCING ACTIVITIES
|
|
|
|
|
|
Proceeds from exercise
of options
|
997
|
|
|
3,005
|
|
|
3,542
|
|
Repayment of long-term
loans
|
(126,002)
|
|
|
(95,000)
|
|
|
(345,839)
|
|
Proceeds from long-term
loans
|
78,000
|
|
|
196,500
|
|
|
376,500
|
|
Repayment of Series A
Notes
|
(55,532)
|
|
|
(55,532)
|
|
|
(55,532)
|
|
Dividends
paid(**)
|
(34,422)
|
|
|
(34,732)
|
|
|
(68,277)
|
|
Change in short-term
bank credit and loans, net
|
(298)
|
|
|
398
|
|
|
557
|
|
Net cash provided by
(used in) financing activities
|
(137,257)
|
|
|
14,639
|
|
|
(89,049)
|
|
Net increase
(decrease) in cash and cash equivalents
|
(47,919)
|
|
|
(19,895)
|
|
|
8,670
|
|
Cash and cash
equivalents at the beginning of the year
|
200,407
|
|
|
191,737
|
|
|
191,737
|
|
Cash and cash
equivalents at the end of the period
|
$
|
152,488
|
|
|
$
|
171,842
|
|
|
$
|
200,407
|
|
* Dividend
received from affiliated companies and partnerships
|
$
|
21,500
|
|
|
$
|
9,998
|
|
|
$
|
12,998
|
|
** Dividends paid to
the Company's shareholders and minority shareholders in a
subsidiary.
|
ELBIT SYSTEMS
LTD.
|
DISTRIBUTION OF
REVENUES
|
|
Consolidated
Revenues by Areas of Operation:
|
|
|
Six Months Ended
June 30,
|
|
Three Months Ended
June 30,
|
|
2015
|
|
2014
|
|
2015
|
|
2014
|
|
$
millions
|
|
%
|
|
$
millions
|
|
%
|
|
$
millions
|
|
%
|
|
$
millions
|
|
%
|
Airborne
systems
|
601.6
|
|
41.3
|
|
579.1
|
|
41.8
|
|
316.2
|
|
42.2
|
|
289.1
|
|
41.1
|
Land
systems
|
267.7
|
|
18.4
|
|
123.4
|
|
8.9
|
|
137.5
|
|
18.3
|
|
65.1
|
|
9.3
|
C4ISR
systems
|
436.1
|
|
29.9
|
|
511.1
|
|
36.9
|
|
216.2
|
|
28.8
|
|
260.9
|
|
37.1
|
Electro-optic
systems
|
95.9
|
|
6.6
|
|
125.3
|
|
9.0
|
|
49.2
|
|
6.6
|
|
59.7
|
|
8.5
|
Other (mainly
non-
defense engineering
and production
services)
|
54.9
|
|
3.8
|
|
46.4
|
|
3.4
|
|
30.5
|
|
4.1
|
|
27.9
|
|
4.0
|
Total
|
1,456.2
|
|
100.0
|
|
1,385.3
|
|
100.0
|
|
749.6
|
|
100.0
|
|
702.7
|
|
100.0
|
|
Consolidated
Revenues by Geographical Regions:
|
|
|
Six Months Ended
June 30,
|
|
Three Months Ended
June 30,
|
|
2015
|
|
2014
|
|
2015
|
|
2014
|
|
$
millions
|
|
%
|
|
$
millions
|
|
%
|
|
$
millions
|
|
%
|
|
$
millions
|
|
%
|
Israel
|
284.7
|
|
19.5
|
|
331.6
|
|
23.9
|
|
148.9
|
|
19.8
|
|
168.6
|
|
24.0
|
North
America
|
406.7
|
|
27.9
|
|
410.4
|
|
29.7
|
|
203.8
|
|
27.2
|
|
215.6
|
|
30.7
|
Europe
|
199.3
|
|
13.7
|
|
204.5
|
|
14.8
|
|
97.4
|
|
13.0
|
|
96.8
|
|
13.8
|
Asia-Pacific
|
389.8
|
|
26.8
|
|
235.4
|
|
17.0
|
|
214.8
|
|
28.7
|
|
117.9
|
|
16.8
|
Latin
America
|
161.4
|
|
11.1
|
|
171.0
|
|
12.3
|
|
73.8
|
|
9.8
|
|
101.7
|
|
14.5
|
Other
countries
|
14.3
|
|
1.0
|
|
32.4
|
|
2.3
|
|
10.9
|
|
1.5
|
|
2.1
|
|
0.2
|
Total
|
1,456.2
|
|
100.0
|
|
1,385.3
|
|
100.0
|
|
749.6
|
|
100.0
|
|
702.7
|
|
100.0
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/elbit-systems-reports-second-quarter-of-2015-results-300126672.html
SOURCE Elbit Systems Ltd.