<PAGE> 1
================================================================================
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 10-Q
(Mark One)
[X] Quarterly Report pursuant to Section 13 or 15(d) of the Securities
Exchange Act of 1934 for the quarterly period ended JUNE 29, 1997 or
[ ] Transition Report pursuant to Section 13 or 15(d) of the Securities
Exchange Act of 1934 for the transition period from ______________ to
______________
COMMISSION FILE NUMBER 0-17869
COGNEX CORPORATION
---------------------------------------------------------
(Exact name of registrant as specified in its charter)
MASSACHUSETTS 04-2713778
--------------------------------- -------------------
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
ONE VISION DRIVE
NATICK, MASSACHUSETTS 01760-2059
(508) 650-3000
--------------------------------------------------
(Address, including zip code, and telephone
number, including area code, of principal
executive offices)
Indicate by check mark whether the registrant (1) has filed all reports
required to be filed by Section 13 or 15 (d) of the Securities Exchange Act of
1934 during the preceding 12 months (or for such shorter period that the
registrant was required to file such reports), and (2) has been subject to such
filing requirements for the past 90 days.
Yes X No
------- -------
As of July 27, 1997 there were 41,405,837 shares of Common Stock, $.002
par value, of the registrant outstanding.
Total number of pages: 12
Exhibit index is located on page 10
================================================================================
<PAGE> 2
INDEX
PART I FINANCIAL INFORMATION
Item 1. Financial Statements
Consolidated Statements of Income for the three and six months
ended June 29, 1997 and June 30, 1996
Consolidated Balance Sheets at June 29, 1997 and December 31,
1996
Consolidated Statement of Stockholders' Equity for the six
months ended June 29, 1997
Consolidated Statements of Cash Flows for the six months ended
June 29, 1997 and June 30, 1996
Notes to Consolidated Financial Statements
Item 2. Management's Discussion and Analysis of Financial Condition
and Results of Operations
PART II OTHER INFORMATION
Item 1. Legal Proceedings
Item 2. Changes in Securities
Item 3. Defaults Upon Senior Securities
Item 4. Submission of Matters to a Vote of Security Holders
Item 5. Other Information
Item 6. Exhibits and Reports on Form 8-K
Signatures
<PAGE> 3
PART I: FINANCIAL INFORMATION
ITEM 1: FINANCIAL STATEMENTS
COGNEX CORPORATION
CONSOLIDATED STATEMENTS OF INCOME
(In thousands, except per share amounts)
<TABLE>
<CAPTION>
THREE MONTHS ENDED SIX MONTHS ENDED
JUNE 29, JUNE 30, JUNE 29, JUNE 30,
1997 1996 1997 1996
-------- -------- -------- --------
(UNAUDITED) (UNAUDITED)
<S> <C> <C> <C> <C>
Revenue ............................................ $ 36,271 $ 34,949 $ 64,414 $ 69,836
Cost of revenue .................................... 9,940 9,591 17,635 18,797
-------- -------- -------- --------
Gross margin ....................................... 26,331 25,358 46,779 51,039
Research, development and engineering expenses ..... 5,346 4,794 10,525 9,560
Selling, general and administrative expenses ....... 8,916 6,874 16,335 13,219
-------- -------- -------- --------
Income from operations ............................. 12,069 13,690 19,919 28,260
Investment income .................................. 1,244 1,166 2,577 1,958
Other income ....................................... 172 166 329 385
-------- -------- -------- --------
Income before provision for income taxes ........... 13,485 15,022 22,825 30,603
Provision for income taxes ......................... 4,113 4,888 6,962 9,640
-------- -------- -------- --------
Net income ......................................... $ 9,372 $ 10,134 $ 15,863 $ 20,963
======== ======== ======== ========
Net income per share ............................... $ .21 $ .23 $ .36 $ .48
======== ======== ======== ========
Weighted-average common and common equivalent shares
outstanding .................................... 44,539 43,866 44,267 43,966
======== ======== ======== ========
</TABLE>
The accompanying notes are an integral part of these consolidated
financial statements.
1
<PAGE> 4
COGNEX CORPORATION
CONSOLIDATED BALANCE SHEETS
(Dollars in thousands)
<TABLE>
<CAPTION>
JUNE 29, DECEMBER 31,
1997 1996
------------- -------------
(UNAUDITED)
<S> <C> <C>
ASSETS
Current assets:
Cash and investments .................................................. $ 141,498 $ 134,000
Accounts receivable, less reserves of $1,296 and $968 in 1997 and 1996,
respectively ....................................................... 26,022 18,809
Revenue in excess of billings ......................................... 5,693 3,379
Inventories ........................................................... 6,645 7,013
Deferred income taxes ................................................. 2,412 2,642
Prepaid expenses and other ............................................ 6,578 3,545
------------- -------------
Total current assets .............................................. 188,848 169,388
------------- -------------
Property, plant and equipment, net ......................................... 30,932 28,331
Other assets ............................................................... 3,212 3,534
------------- -------------
$ 222,992 $ 201,253
============= =============
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable ...................................................... $ 3,861 $ 3,652
Accrued expenses ...................................................... 8,907 7,007
Accrued income taxes .................................................. 1,387 2,029
Customer deposits ..................................................... 3,352 2,596
Deferred revenue ...................................................... 1,382 1,287
------------- -------------
Total current liabilities ......................................... 18,889 16,571
------------- -------------
Deferred income taxes ...................................................... 179 393
Other liabilities .......................................................... 1,600 1,600
Stockholders' equity:
Common stock, $.002 par value -
Authorized: 120,000,000 shares, issued: 41,327,754 and 40,914,166
shares in 1997 and 1996, respectively .............................. 83 82
Additional paid-in capital ............................................ 81,601 77,569
Cumulative translation adjustment ..................................... 62 95
Retained earnings ..................................................... 121,695 105,832
Treasury stock, at cost, 92,018 and 80,918 shares in 1997 and 1996,
respectively ....................................................... (1,117) (889)
------------- -------------
Total stockholders' equity ........................................ 202,324 182,689
------------- -------------
$ 222,992 $ 201,253
============= =============
</TABLE>
The accompanying notes are an integral part of these consolidated
financial statements.
2
<PAGE> 5
COGNEX CORPORATION
CONSOLIDATED STATEMENT OF STOCKHOLDERS' EQUITY
(Dollars in thousands)
<TABLE>
<CAPTION>
COMMON STOCK ADDITIONAL CUMULATIVE TREASURY STOCK TOTAL
---------------------- PAID-IN TRANSLATION RETAINED ------------------ STOCKHOLDERS'
SHARES PAR VALUE CAPITAL ADJUSTMENT EARNINGS SHARES COST EQUITY
---------- --------- ---------- ----------- --------- ------- -------- -------------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
Balance at December 31, 1996 .. 40,914,166 $ 82 $ 77,569 $ 95 $ 105,832 80,918 $ (889) $ 182,689
Issuance of stock under
stock option plans ....... 413,588 1 1,730 1,731
Tax benefit from exercise
of stock options ......... 2,302 2,302
Common stock received for
payment of stock option
exercises ................ 11,100 (228) (228)
Translation adjustment ..... (33) (33)
Net income ................. 15,863 15,863
---------- --------- ---------- ----------- --------- ------- -------- -----------
Balance at June 29, 1997
(unaudited) ................. 41,327,754 $ 83 $ 81,601 $ 62 $ 121,695 92,018 $ (1,117) $ 202,324
========== ========= ========== =========== ========= ======= ======== ===========
The accompanying notes are an integral part of these consolidated financial statements.
3
</TABLE>
<PAGE> 6
COGNEX CORPORATION
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Dollars in thousands)
<TABLE>
<CAPTION>
SIX MONTHS ENDED
JUNE 29, JUNE 30,
1997 1996
--------- ---------
(UNAUDITED)
<S> <C> <C>
Cash flows from operating activities:
Net income .......................................................... $ 15,863 $ 20,963
Adjustments to reconcile net income to net cash provided by operating
activities:
Depreciation and amortization ..................................... 2,758 2,430
Loss on disposition of property, plant and equipment .............. 92
Tax benefit from exercise of stock options ........................ 2,302 1,913
Change in deferred income tax provision ........................... 16
Change in current assets and current liabilities .................. (9,156) (602)
--------- ---------
Net cash provided by operating activities ........................... 11,783 24,796
--------- ---------
Cash flows from investing activities:
Investments ......................................................... (11,118) (10,089)
Purchase of property, plant and equipment ........................... (6,102) (4,092)
Cash assumed in acquisition of Isys Controls, Inc. .................. 918
Other ............................................................... 496 (77)
--------- ---------
Net cash used in investing activities ............................... (16,724) (13,340)
--------- ---------
Cash flows from financing activities:
Issuance of stock under stock option, stock purchase, and
bonus plans ....................................................... 1,503 1,668
--------- ---------
Net cash provided by financing activities ........................... 1,503 1,668
--------- ---------
Effect of exchange rate changes on cash .................................. (182) 158
--------- ---------
Net (decrease)/increase in cash and cash equivalents ..................... (3,620) 13,282
Cash and cash equivalents at beginning of period ......................... 48,423 23,911
--------- ---------
Cash and cash equivalents at end of period ............................... 44,803 37,193
Investments .............................................................. 96,695 76,818
--------- ---------
Cash and investments ..................................................... $ 141,498 $ 114,011
========= =========
</TABLE>
The accompanying notes are an integral part of these consolidated
financial statements.
4
<PAGE> 7
COGNEX CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
BASIS OF PRESENTATION
As permitted by the rules of the Securities and Exchange Commission
applicable to Quarterly Reports on Form 10-Q, these notes are
condensed and do not contain all disclosures required by generally
accepted accounting principles. Reference should be made to the
consolidated financial statements and related notes included in the
Company's Annual Report on Form 10-K for the year ended December 31,
1996, as filed with the Securities and Exchange Commission on March
24, 1997.
In the opinion of the management of Cognex Corporation, the
accompanying consolidated financial statements contain all adjustments
(consisting of only normal, recurring adjustments) necessary to
present fairly the Company's financial position at June 29, 1997, and
the results of operations for the three and six months ended June 29,
1997, and changes in stockholders' equity and cash flows for the six
months ended June 29, 1997.
The results disclosed in the Consolidated Statements of Income for the
three and six months ended June 29, 1997 are not necessarily
indicative of the results to be expected for the full year.
Certain amounts reported in prior periods have been reclassified to be
consistent with the current period's presentation.
NET INCOME PER SHARE
Net income per share is calculated based on the weighted-average
number of common and dilutive common equivalent shares outstanding
during the period. Primary and fully diluted net income per share are
not materially different for each of the periods presented. Dilutive
common equivalent shares consist of stock options, calculated using
the treasury stock method.
In February 1997, the Financial Accounting Standards Board issued
Statement of Financial Accounting Standard (SFAS) No. 128, "Earnings
per Share," which is effective for fiscal years ending after December
15, 1997, including restatement of all prior period earnings per share
(EPS) data presented. SFAS No. 128 requires the presentation of basic
and diluted EPS. Basic EPS, which replaces primary EPS, excludes
dilution and is computed by dividing income available to common
stockholders by the weighted-average number of common shares
outstanding for the period. Diluted EPS reflects the potential
dilution that could occur if securities or other contracts to issue
common stock were exercised or converted into common stock or resulted
in the issuance of common stock that then shared in the earnings of
the entity. Diluted EPS is computed similarly to fully diluted EPS
under existing rules. The Company will adopt SFAS No. 128 for the
fiscal year ending December 31, 1997. If the Company had adopted this
statement for the three and six-month periods ended June 29, 1997, the
Company's EPS would have been as follows:
<TABLE>
<CAPTION>
THREE MONTHS ENDED SIX MONTHS ENDED
------------------ ------------------
JUNE 29, JUNE 30, JUNE 29, JUNE 30,
1997 1996 1997 1996
-------- -------- -------- --------
(UNAUDITED) (UNAUDITED)
<S> <C> <C> <C> <C>
Earnings per share:
Basic.................... $ .23 $ .25 $ .39 $ .52
Diluted.................. $ .21 $ .23 $ .36 $ .48
</TABLE>
5
<PAGE> 8
COGNEX CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
INVENTORIES
Inventories consist of the following:
<TABLE>
<CAPTION>
(In thousands) JUNE 29, DECEMBER 31,
1997 1996
------------ ------------
(UNAUDITED)
<S> <C> <C>
Raw materials ............................ $ 2,562 $ 3,861
Work-in-process .......................... 2,675 1,710
Finished goods ........................... 1,408 1,442
------------ ------------
$ 6,645 $ 7,013
============ ============
</TABLE>
SUBSEQUENT EVENT - ACQUISITION OF MAYAN AUTOMATION, INC.
On July 31, 1997, the Company purchased the assets of Mayan Automation, Inc.,
a Canadian-based manufacturer of low-cost machine vision systems used to
inspect materials manufactured in continuous sheets, for approximately
$5,000,000 in cash, $1,800,000 of which will be paid in the future based upon
the attainment of certain performance milestones. The acquisition will be
accounted for under the purchase method of accounting. It is expected that
approximately $3,000,000 of the purchase price will be expensed to pre-tax
earnings in the third quarter for acquired in-process technology.
6
<PAGE> 9
ITEM 2: MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
RESULTS OF OPERATIONS
RESULTS OF OPERATIONS
Revenue for the three-month and six-month periods ended June 29, 1997 totaled
$36,271,000 and $64,414,000, respectively, compared to $34,949,000 and
$69,836,000 for the same periods in 1996, representing a 4% increase for the
three-month period and an 8% decrease for the six-month period. Comparing
consecutive quarters, revenue increased 29% over the first quarter of 1997. The
increase in revenue for the second quarter of 1997 over the second quarter of
1996 is the first time in the past year that current quarter results exceeded
the revenue of the equivalent prior year period. This growth indicates that the
temporary slowdown in the semiconductor and electronics industries, which had
impacted the Company's business over the past few quarters, may have ended.
The slight increase in revenue for the three-month period ended June 29, 1997
over the comparable period in 1996 is due primarily to increased volume from
Original Equipment Manufacturer ("OEM") customers serving the electronics
industry, for which business began to pickup at the end of 1996. Sales to OEM
customers increased $2,091,000, or 9%, over the three-month period in 1996 and
grew to 70% of revenue in the second quarter of 1997 from 68% of revenue in the
second quarter of 1996.
The decrease in revenue for the six-month period ended June 29, 1997 over the
comparable period in 1996 is due primarily to decreased volume from OEM
customers serving the semiconductor industry, for which business began to pickup
during the second quarter of 1997. The slowdown and subsequent recovery in the
semiconductor industry lagged approximately two quarters behind that experienced
by the Company in the electronics industry. Sales to OEM customers decreased
$3,780,000, or 8%, over the six-month period in 1996.
Gross margin as a percentage of revenue for the three-month and six-month
periods ended June 29, 1997 was 73%, which is consistent with the gross margin
percentage for the same periods in 1996. Gross margin as a percentage of revenue
for the remainder of 1997 is expected to be consistent with the results
experienced in the current quarter.
Research, development and engineering expenses for the three-month and six-month
periods ended June 29, 1997 totaled $5,346,000 and $10,525,000, respectively,
compared to $4,794,000 and $9,560,000 for the same periods in 1996, representing
a 12% increase for the three-month period and 10% increase for the six-month
period. The increase in aggregate expenses is due primarily to higher
personnel-related costs to support the Company's investment in the research and
development of new and existing products. Expenses as a percentage of revenue
were 15% and 16% in the three-month and six-month periods in 1997, compared to
14% in the same periods in 1996. The increase in expenses as a percentage of
revenue is due primarily to the continued hiring of engineering staff, which has
outpaced revenue over the past several quarters.
Selling, general and administrative expenses for the three-month and six-month
periods ended June 29, 1997 totaled $8,916,000 and $16,335,000, respectively,
compared to $6,874,000 and $13,219,000 for the same periods in 1996,
representing a 30% increase for the three-month period and a 24% increase for
the six-month period. The increase in aggregate expenses is due primarily to a
39% increase in sales and marketing personnel, both domestically and
internationally, to support the Company's expanding worldwide operations, as
well as the reinstatement of company bonuses that had been eliminated as part of
an effort to control costs during 1996 in light of the temporary downturn in the
semiconductor and electronics industries. Expenses as a percentage of revenue
were 25% in the three-month and six-month periods in 1997, compared to 20% and
19% in the same periods in 1996. While aggregate expenses are expected to
continue to increase as additional resources are committed to further
7
<PAGE> 10
penetrate the factory floor market, the level of expenses as a percentage of
revenue is expected to decrease slightly for the remainder of 1997, due to
anticipated growth in revenue.
Investment income for the three-month and six-month periods ended June 29, 1997
totaled $1,244,000 and $2,577,000, respectively, compared to $1,166,000 and
$1,958,000 for the same periods in 1996, representing an 7% increase for the
three-month period and a 32% increase for the six-month period. The increase in
investment income is due primarily to a higher investment base in 1997.
The Company's effective tax rate for the three-month and six-month periods ended
June 29, 1997 was 30.5% compared to 32.5% and 31.5% for the same periods in
1996. The decrease in the effective rate is due primarily to the reinstatement
of the federal research and experimentation credit.
LIQUIDITY AND CAPITAL RESOURCES
The Company's cash requirements during the six-month period ended June 29, 1997
were met through cash generated from operations and existing cash balances.
Cash and investments increased $7,498,000 from December 31, 1996 primarily as a
result of $11,783,000 of cash generated from operations and $1,503,000 of cash
received from the exercise of stock options, partially offset by $6,102,000 of
capital expenditures. Cash generated from operations consists of net income,
adjusted primarily for the effects of depreciation and amortization and changes
in current assets and current liabilities, most notably an increase in accounts
receivable.
Capital expenditures for the six-month period ended June 29, 1997 totaled
$6,102,000 and consisted primarily of the cash purchase of land adjacent to the
Company's corporate headquarters, expenditures for computer hardware, and
expenditures related to the implementation of new business systems.
On July 31, 1997, the Company purchased the assets of Mayan Automation, Inc. for
approximately $5,000,000 in cash, of which $1,800,000 will be paid out through
the year 2001 based upon the attainment of certain performance milestones. The
acquisition will be accounted for under the purchase method of accounting. It is
expected that approximately $3,000,000 of the purchase price will be expensed to
pre-tax earnings in the third quarter for acquired in-process technology. By
acquiring Mayan's technology, the Company expects to develop a significant
presence in the lower-cost end of the continuous process manufacturing market.
Mayan's historical financial position and results of operations were not
significant compared to the Company's financial position and results of
operations.
The Company believes that the existing cash and investment balances, together
with cash generated from operations, will be sufficient to meet the Company's
planned working capital and capital expenditure requirements through 1997,
including potential business acquisitions.
8
<PAGE> 11
FORWARD-LOOKING STATEMENTS
Certain statements made in this report, as well as oral statements made by the
Company from time to time, which are prefaced with words such as "expects,"
"anticipates," "believes," and similar words and other statements of similar
sense, are forward-looking statements. These statements are based on the
Company's current expectations and estimates as to prospective events and
circumstances, which may or may not be in the Company's control and as to which
there can be no firm assurances given. These forward looking statements, like
any other forward looking statements, involve risks and uncertainties that could
cause actual results to differ materially from those projected or anticipated.
Such risks and uncertainties include (1) capital spending trends by
manufacturing companies; (2) the cyclicality of the semiconductor industry; (3)
the Company's continued ability to achieve significant international revenue;
(4) the loss of, or a significant curtailment of purchases by, any one or more
principal customers; (5) inability to protect the Company's proprietary
technology and intellectual property; (6) inability to attract or retain skilled
employees; (7) technological obsolescence of current products and the inability
to develop new products; (8) inability to respond to competitive technology and
pricing pressures; and (9) reliance upon certain sole source suppliers to
manufacture or deliver critical components of the Company's products. The
foregoing list should not be construed as exhaustive and the Company disclaims
any obligation to subsequently revise forward-looking statements to reflect
events or circumstances after the date of such statements or to reflect the
occurrence of anticipated or unanticipated events. Further discussions of risk
factors are also available in the Company's registration statements filed with
the Securities and Exchange Commission. The Company wishes to caution readers
not to place undue reliance upon any such forward-looking statements, which
speak only as of the date made.
9
<PAGE> 12
PART II: OTHER INFORMATION
ITEM 1. LEGAL PROCEEDINGS
None
ITEM 2. CHANGES IN SECURITIES
None
ITEM 3. DEFAULTS UPON SENIOR SECURITIES
None
ITEM 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS
At the Special Meeting of Stockholders in lieu of the 1997 Annual
Meeting held on April 22, 1997, Robert J. Shillman and Reuben
Wasserman were elected directors to hold office for three years.
William Krivsky and Anthony Sun continued as directors after the
meeting. Of the 36,382,808 shares represented at the meeting,
35,920,204 were cast in favor of the election of Robert J. Shillman as
director, with 462,604 withheld and 35,893,080 were cast in favor of
the election of Reuben Wasserman as director, with 489,728 withheld.
ITEM 5. OTHER INFORMATION
None
ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K
(a) Exhibits
Exhibit 11 - Calculation of Weighted-Average Common and
Common Equivalent Shares Outstanding
Exhibit 27 - Financial Data Schedule (electronic filing only)
(b) Reports on Form 8-K
None
10
<PAGE> 13
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.
DATE: August 8, 1997 COGNEX CORPORATION
/s/ JOHN J. ROGERS, JR.
--------------------------------------------
John J. Rogers, Jr.
Executive Vice President, Chief Financial
Officer, and Treasurer (duly authorized
officer, principal financial and accounting
officer)
11
<PAGE> 1
EXHIBIT 11
COGNEX CORPORATION
CALCULATION OF WEIGHTED-AVERAGE COMMON
AND COMMON EQUIVALENT SHARES OUTSTANDING
<TABLE>
<CAPTION>
THREE MONTHS ENDED SIX MONTHS ENDED
JUNE 29, JUNE 30, JUNE 29, JUNE 30,
1997 1996 1997 1996
----------- ----------- ----------- -----------
(UNAUDITED) (UNAUDITED)
<S> <C> <C> <C> <C>
Weighted-average common shares outstanding .......... 41,156,250 40,558,441 41,039,740 40,446,624
Weighted-average options outstanding ................ 7,876,794 6,572,834 7,694,818 6,862,869
Shares assumed to be purchased ...................... (4,493,754) (3,265,072) (4,467,424) (3,343,468)
----------- ----------- ----------- -----------
Primary weighted-average common and common equivalent
shares outstanding ................................ 44,539,290 43,866,203 44,267,134 43,966,025
Dilutive effect of weighted-average shares .......... 142,010 532 370,483 531
----------- ----------- ----------- -----------
Fully diluted weighted-average common and common
equivalent shares outstanding ..................... 44,681,300 43,866,735 44,637,617 43,966,556
=========== =========== =========== ===========
</TABLE>
12
<TABLE> <S> <C>
<ARTICLE> 5
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM (A) THE
CONSOLIDATED FINANCIAL STATEMENTS OF COGNEX CORPORATION FOR THE QUARTER ENDED
JUNE 29, 1997. AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH (B)
CONSOLIDATED FINANCIAL STATEMENTS.
</LEGEND>
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> DEC-31-1997
<PERIOD-START> MAR-31-1997
<PERIOD-END> JUN-29-1997
<CASH> 44,803,000
<SECURITIES> 96,695,000
<RECEIVABLES> 27,318,000
<ALLOWANCES> 1,296,000
<INVENTORY> 6,645,000
<CURRENT-ASSETS> 188,848,000
<PP&E> 42,979,000
<DEPRECIATION> 12,047,000
<TOTAL-ASSETS> 30,932,000
<CURRENT-LIABILITIES> 18,889,000
<BONDS> 0
0
0
<COMMON> 83,000
<OTHER-SE> 202,241,000
<TOTAL-LIABILITY-AND-EQUITY> 202,324,000
<SALES> 36,271,000
<TOTAL-REVENUES> 36,271,000
<CGS> 9,940,000
<TOTAL-COSTS> 9,940,000
<OTHER-EXPENSES> 0
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 0
<INCOME-PRETAX> 13,485,000
<INCOME-TAX> 4,113,000
<INCOME-CONTINUING> 9,372,000
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 9,372,000
<EPS-PRIMARY> .21
<EPS-DILUTED> .21
</TABLE>
