XML 92 R7.htm IDEA: XBRL DOCUMENT v3.20.1
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2019
Dec. 31, 2018
Dec. 31, 2017
Sep. 13, 2018
Cash flows from operating activities        
Net income for the year $ 7,767 $ 63,179 $ 46,361  
Adjustments to reconcile net income to net cash from operating activities:        
Depreciation and amortization 22,843 14,608 13,519  
Interest on long term credit 26 88  
Loss (gains) in respect of trading marketable securities 241 (166) (397)  
Increase in liability for employee rights upon retirement 1,094 491 1,025  
Share in losses (gains) of affiliated companies, net 3,203 (4,219) (8,520)  
Deferred income taxes (2,246) 2,346 (516)  
Capital loss (gain) on sale of property and equipment, net 112 85 (1)  
Gain from measurement of previously held interests at acquisition date fair value [1] (14,677)  
Decrease (increase) in accounts receivable 10,704 6,182 (4,769)  
Decrease (increase) in other current and non-current assets 2,021 (10,656) (11,517)  
Decrease in inventories 3,815 3,580 1,632  
Increase (decrease) in accounts payable (1,125) (3,837) 3,751  
Increase (decrease) in deferred revenues (7,392) (3,479) 2,238  
Increase (decrease) in Obligation to purchase non-controlling interests (3,215) 519  
Impairment of goodwill 12,292 [2]  
Impairment of other intangible assets 13,862  
Increase (decrease) in other current and non-current liabilities (4,323) (780) 1,101  
Net cash provided by operating activities 59,679 53,264 43,907  
Cash flows from investment activities        
Increase in funds in respect of employee rights upon retirement, net of withdrawals (1,191) (576) (844)  
Capital expenditures (18,310) (21,744) (16,159)  
Investment in affiliated company (55) (1,250) (900)  
Investment in marketable securities (1,102) (8,100) (8,623)  
Repayment of loans from affiliated companies 7,317 6,982  
Proceeds from (investments in) long - term deposit (16) 10 450  
Investments in other companies (229) (1,517) (1,274)  
Proceeds from sale of property and equipment 216 381 315  
Sale of marketable securities 2,400 9,594 5,368  
Acquisition of subsidiary (Appendix A) (68,969)  
Net cash used in investment activities (18,287) (84,854) (14,685)  
Cash flows from financing activities        
Repayment of long term loan (8,938) (7,994)  
Receipt of long term credit from bank institution 81,695  
Short term credit from banking institutions (2,167) (1,004) 23  
Acquisition of company shares purchased by a wholly owned subsidiary (6,001)  
Dividend paid (19,848) (20,219) (22,645)  
Dividend paid to non-controlling interests (1,973) (2,709) (1,644)  
Net cash provided by (used in) financing activities (38,927) 49,769 (24,266)  
Effect of exchange rate changes on cash and cash equivalents 101 (3,687) 863  
Net increase in cash and cash equivalents 2,566 14,492 5,819  
Balance of cash and cash equivalents at beginning of year 51,398 36,906 31,087  
Balance of cash and cash equivalents at end of year 53,964 51,398 36,906  
Supplementary information on investing and financing activities not involving cash flows:        
Purchasing of property and equipment using a directly related liability 0 11    
Dividends declared 5,050 4,822 4,994  
Working capital (excluding cash and cash equivalents and deferred revenues), net       $ 34,576
Intangible assets, net       38,583
Property and equipment, net       11,014
Liability for employee rights upon retirement       (1,337)
Goodwill 50,086 [3] 62,896 [3] 3,777 59,402
Consideration paid by issuance of treasury stock, as adjusted       (12,038)
Amount to be received as purchase price adjustment       10,800
Deferred income taxes       763
Other non-current assets       2,132
Fair value of previous investments in acquired companies       (24,734)
Deferred revenues (including current portion)       (34,048)
Obligation to purchase non-controlling interests       (16,144)
Net cash used to pay for the Acquisition       $ 68,969
Supplementary disclosure of cash flow information        
Interest paid 1,788 1,266 2,651  
Income taxes paid, net of refunds $ 10,376 $ 15,533 $ 22,891  
[1] As a result of the acquisition described in Note 3 the company gained control over certain companies that previously were accounted under the equity method ("JV's") and began to include these JV's in the consolidated . The company recorded one time gain in the amount of approximately $14.7 million from measurement of the JV's at the acquisition date to fair value.
[2] As a result of the circumstances described in note 9 the company recorded a goodwill impairment in the total amount of US$ 12.3 million in connection with two reporting units (both units related to Road track operations, see Note 3). One reporting unit within the Telematics services and the other reporting unit within the Telematics product's segments. The impairment was based on valuation performed by the management using the assistance of a third party appraiser in accordance with the income approach. The significant assumptions used for the assessment were discount rate of 14.9% and a long-term growth rate of 0.5%.
[3] The accumulated amount of goodwill impairment loss as of December 31, 2019, and 2018 was US$ 19.4 million and US$ 7.1million, respectively.