UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
[ x ] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended June 30, 1996
OR
[ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
Commission File Number: 0-18805
ELECTRONICS FOR IMAGING, INC.
(Exact name of registrant as specified in its charter)
Delaware 94-3086355
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
2855 Campus Drive, San Mateo, CA 94403
(Address of principal executive offices, including zip code)
(415) 286-8600
(Registrant's telephone number, including area code)
Indicate by check mark whether the registrant (1) has filed all reports required
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 [ ]
The number of shares of Common Stock outstanding as of June 30, 1996 was
25,369,025.
An Exhibit Index can be found on Page 12.
<PAGE>
ELECTRONICS FOR IMAGING, INC.
INDEX
Page No.
PART I - Financial Information
Item 1. Condensed Consolidated Financial Statements
Condensed Consolidated Statements of Income
Three Months Ended June 30, 1996 and 1995, and
Six Months Ended June 30, 1996 and 1995 ..............3
Condensed Consolidated Balance Sheets
June 30, 1996 and December 31, 1995 ..................4
Condensed Consolidated Statements of Cash Flows
Six Months Ended June 30, 1996 and 1995 ..............5
Notes to Condensed Consolidated Financial Statements ......6
Item 2. Management's Discussion and Analysis of Financial
Condition and Results of Operations ...........................7
PART II - Other Information
Items 1 - 3. Not Applicable ...............................................12
Item 4. Submission of Matters to a Vote of Security Holders ..........12
Item 5. Not Applicable ...............................................12
Item 6. Exhibits and Reports on Form 8-K .............................12
Signatures ................................................................14
2.
<PAGE>
PART I FINANCIAL INFORMATION
ITEM 1. CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
<TABLE>
ELECTRONICS FOR IMAGING, INC.
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(In thousands, except per share amounts)
(Unaudited)
<CAPTION>
Three Months Ended Six Months Ended
---------------------- ----------------------
June 30, June 30, June 30, June 30,
1996 1995 1996 1995
--------- --------- --------- ---------
<S> <C> <C> <C> <C>
Revenue $ 69,046 $ 44,798 $ 132,695 $ 85,162
Cost of revenue 34,555 22,393 67,798 42,789
--------- --------- --------- ---------
34,491 22,405 64,897 42,373
--------- --------- --------- ---------
Operating expenses:
Research and development 5,091 2,931 9,246 5,740
Sales and marketing 6,983 5,970 12,843 11,505
General and administrative 2,387 1,769 4,753 3,361
--------- --------- --------- ---------
14,461 10,670 26,842 20,606
--------- --------- --------- ---------
Income from operations 20,030 11,735 38,055 21,767
Other income, net 1,690 1,213 3,349 2,389
--------- --------- --------- ---------
Income before income taxes 21,720 12,948 41,404 24,156
Provision for income taxes (7,819) (4,661) (14,906) (8,696)
--------- --------- --------- ---------
Net income $ 13,901 $ 8,287 $ 26,498 $ 15,460
========= ========= ========= =========
Net income per share $ 0.51 $ 0.31 $ 0.97 $ 0.59
========= ========= ========= =========
Shares used in computing
net income per share 27,413 26,358 27,242 26,274
========= ========= ========= =========
<FN>
See accompanying notes to condensed consolidated financial statements.
</FN>
</TABLE>
3.
<PAGE>
ELECTRONICS FOR IMAGING, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands, except share and per share amounts)
June 30, December 31,
1996 1995
----------- -----------
(Unaudited)
ASSETS
Current assets:
Cash and cash equivalents $ 26,503 $ 46,006
Short-term investments 137,112 98,012
Accounts receivable 39,581 27,588
Inventories 9,372 7,809
Other current assets 11,847 8,173
-------- --------
Total current assets 224,415 187,588
Property and equipment, net 8,776 5,469
Other assets 1,529 1,412
-------- --------
Total assets $234,720 $194,469
======== ========
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable $ 18,146 $ 10,630
Accrued and other liabilities 13,558 12,023
Income taxes payable 9,766 7,876
-------- --------
Total current liabilities 41,470 30,529
-------- --------
Stockholders' equity:
Preferred Stock, $.01 par value, 5,000,000 shares
authorized; none issued and outstanding -- --
Common Stock, $.01 par value, 150,000,000 shares
authorized; 25,369,025 and 24,971,350 shares issued
and outstanding, respectively 254 250
Additional paid-in capital 92,487 89,679
Retained earnings 100,509 74,011
-------- --------
Total stockholders' equity 193,250 163,940
-------- --------
Total liabilities and stockholders' equity $234,720 $194,469
======== =========
See accompanying notes to condensed consolidated financial statements.
4.
<PAGE>
<TABLE>
ELECTRONICS FOR IMAGING, INC.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(In thousands)
(Unaudited)
<CAPTION>
Six Months Ended
----------------------------------------
June 30, June 30,
1996 1995
-------------- -------------
<S> <C> <C>
Cash flows from operating activities:
Net income $ 26,498 $ 15,460
Adjustments to reconcile net income to net
cash provided by operating activities:
Depreciation and amortization 1,647 1,278
Changes in operating assets and liabilities:
Accounts receivable (11,993) (5,694)
Inventories (1,563) (4,596)
Other current assets (3,674) (990)
Accounts payable and accrued liabilities 9,051 4,467
Income taxes payable 1,890 4,495
-------------- -------------
Net cash provided by operating activities 21,856 14,420
-------------- -------------
Cash flows from investing activities:
Purchase of short-term investments (124,159) (69,314)
Sales and maturities of short-term investments 85,059 59,193
Purchases of property and equipment, net (4,954) (2,081)
Other assets (117) (5)
-------------- -------------
Net cash used for investing activities (44,171) (12,207)
-------------- -------------
Cash flows from financing activities:
Issuance of common stock related to stock plans 2,812 1,419
-------------- -------------
Net cash provided by financing activities 2,812 1,419
-------------- -------------
Net change in cash and cash equivalents (19,053) 3,632
Cash and cash equivalents at beginning of period 46,006 30,219
-------------- -------------
Cash and cash equivalents at end of period $ 26,503 $ 33,851
============== =============
Supplemental disclosure - cash paid for income taxes $ 12,794 $ 4,085
============== =============
<FN>
See accompanying notes to condensed consolidated financial statements.
</FN>
</TABLE>
5.
<PAGE>
ELECTRONICS FOR IMAGING, INC.
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
(In thousands)
1. Basis of Presentation
The interim condensed consolidated financial statements of Electronics
for Imaging, Inc. (the Company) as of and for the interim periods ended
June 30, 1996 have been prepared on the same basis as the audited
consolidated financial statements as of and for the year ended December
31, 1995, contained in the Company's Annual Report to Stockholders,
and, in the opinion of management, include all adjustments (consisting
only of normal recurring adjustments) necessary to present fairly the
financial position of the Company and the results of its operations and
cash flows, in accordance with generally accepted accounting
principles. The interim condensed consolidated financial statements
should be read in conjunction with the audited consolidated financial
statements and notes thereto referred to above.
The preparation of the interim condensed consolidated financial
statements in conformity with generally accepted accounting principles
for such financial statements requires management to make estimates and
assumptions that affect the reported amounts of assets and liabilities
and disclosure of contingent assets and liabilities as of the date of
the interim condensed consolidated financial statements and the
reported amounts of revenue and expenses during the reporting period.
Actual results could differ from these estimates.
The interim results of the Company are subject to fluctuation. As a
result, the Company believes the results of operations for the interim
periods ended June 30, 1996 are not necessarily indicative of the
results to be expected for any other interim period or the full year.
2. Stock Split
The Company effected on November 30, 1995, a two-for-one stock split in
the form of a stock dividend payable to stockholders of record as of
November 20, 1995. All references in the condensed consolidated
financial statements to weighted average numbers of shares outstanding
and per share amounts have been restated to reflect the stock split.
3. Inventory Composition
June 30, December 31,
1996 1995
-------------- --------------
(unaudited)
Raw materials $ 2,401 $ 3,971
Work-in-process 6,091 3,734
Finished goods 880 104
-------------- --------------
$ 9,372 $ 7,809
============== ==============
6.
<PAGE>
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
OF OPERATIONS
The following discussion and analysis should be read in conjunction with the
audited consolidated financial statements and related notes thereto contained in
the Company's 1995 Annual Report to Stockholders. All assumptions,
anticipations, expectations and forecasts contained herein are forward-looking
statements that involve risks and uncertainties. The Company's actual results
could differ materially from those discussed here. For a more complete
discussion of factors which might impact the Company's results, please see the
section entitled "Factors that Could Adversely Affect Performance" below and the
section entitled "Risk Factors" in the Company's 1995 Annual Report on Form
10-K, as filed with the Securities and Exchange Commission. The Company
periodically reviews such factors to ensure their appropriateness.
Revenue
The Company's revenue was $69.0 million in the second quarter of 1996, compared
to $44.8 million in the corresponding quarter of 1995. Revenue for the six
months ended June 30, 1996 was $132.7 million, compared to $85.2 million in the
corresponding period of 1995. The substantial majority of the Company's revenue
to date is attributable to the sale of Fiery and Fiery XJ Color Servers. The
increase in revenue reflects increased market acceptance of the Company's Fiery
XJ Color Servers, the introduction of the Fiery XJe Controller, the expansion of
the Company's sales and marketing organizations and increased revenue from the
Company's OEM sales channels due to the above-mentioned market acceptance and an
increase in the number of the Company's OEM partners. Substantially all of the
Company's sales in the second quarter of 1996 and 1995 were to its OEM partners.
No assurance can be given that the Company's relationships with its current OEM
partners will continue; in the event that any of such relationships is
discontinued or scaled back, the Company could experience a significant negative
impact on its consolidated financial position and results of operations.
The Company completed in the fourth quarter of 1995 an agreement with Canon Inc.
for the purchase of Fiery XJ Color Servers. The agreement provides Canon
exclusive distribution rights for Fiery XJ Color Servers designed for Canon's
proprietary color copiers. The Canon agreement effectively replaced the
Company's existing distribution channel through the Canon dealer and distributor
network beginning in April 1995 with shipments to Canon under the terms of a
letter of intent preceding the agreement. This arrangement has resulted to some
extent in lower associated selling and marketing costs. The Company sells Fiery
XJ Color Server products to each of its significant OEM partners under similar
agreements.
The Company completed agreements in the first quarter of 1996 with Canon and
Digital Equipment Corporation, and in the second quarter of 1996 with IBM
Corporation, under which these companies are developing desktop color laser
printers using the Company's Fiery XJe Controller. The Fiery XJe Controller is
an embedded controller that, when combined with a specified color laser engine,
results in a desktop color laser printer with superior speed and output quality.
7.
<PAGE>
International revenue continued to grow in the second quarter of 1996, and was
affected by sales mix and certain OEM product requirements. Direct sales into
Japan accounted for approximately 31% and 12% of revenue in the second quarter
of 1996 and 1995, respectively, a result of increasing sales of Fiery XJe
product to Canon in Japan, where final assembly of the associated color laser
printers is performed prior to sales by Canon to Europe and Japan, and also due
to the timing of certain OEM product orders. Sales into Japan were 23% and 16%
of revenue for the six months ended June 30, 1996 and 1995, respectively. Sales
into Europe accounted for approximately 21% and 32% of revenue in the second
quarter of 1996 and 1995, respectively, reflecting the timing of certain OEM
product orders in preparation of the anticipated introduction of the Fiery XJ+
product line. Sales into Europe were 22% and 29% of revenue for the six months
ended June 30, 1996 and 1995, respectively. Further, shipments to some of the
Company's OEM customers are made to centralized purchasing and manufacturing
locations which in turn sell through to foreign locations. As a result of these
factors, the Company believes that sales of Fiery XJ and Fiery XJe products into
Europe and Japan may actually be higher, though accurate data is difficult to
obtain. The Company expects that international revenue will continue to
represent a significant portion of its total revenue.
Cost of Revenue
The substantial majority of the Company's cost of revenue to date has been
attributable to the sale of Fiery and Fiery XJ Color Servers. Fiery XJ Color
Servers are manufactured by third-party manufacturers who purchase most of the
necessary components. The Company sources directly the PostScript interpreter
software, which it in turn licenses from Adobe, other software licensed from
various sources, and proprietary memory and CPU subsystems. The Company's gross
margin was 50.0% in the second quarter of 1996, unchanged from 50.0% in the
corresponding quarter of 1995. Overall gross margin in the second quarter of
1996 was favorably impacted by low market prices for DRAM components used in the
Company's products, offset by increased shipments of Fiery XJe Controllers at
margins lower than those of the Company's other products. The Company's gross
margin was 48.9% for the six months ended June 30, 1996, down from 49.8% in the
corresponding period of 1995, primarily reflecting the change in mix of the
Company's sales.
The Company's gross margin depends in part on prices it is able to attain on
Fiery XJ Color Servers, Fiery XJe Controllers and future products. The lower
manufacturing costs of the Fiery XJ Color Server models have given the Company
flexibility to offer products with a broad range of prices. In addition, as the
Company continues to introduce new Fiery XJ products, it may continue to lower
prices on existing products. The Fiery XJe Controller will continue to have
lower margins than the Company's other products, reflecting the different
distribution and marketing practices employed for desktop color laser printers.
Accordingly, if the Fiery XJe Controller continues to increase as a percentage
of revenue, the Company's overall gross margin is expected to continue to
decline. In addition, gross margin will continue to be impacted by a variety of
factors including, among others, the availability and pricing of key components
(including DRAMs and PostScript interpreter software), product, channel and
geographic mix, the success of the Company's product transitions and new
products, competition, and general economic conditions.
8.
<PAGE>
Research and Development
Expenses for research and development consist primarily of personnel expenses
and, to a lesser extent, consulting services, costs of prototype materials and
depreciation. Research and development expenses were $5.1 million or 7.4% of
revenue in the second quarter of 1996, compared to $2.9 million or 6.5% of
revenue in the corresponding quarter of 1995, and $9.2 million or 7.0% for the
six months ended June 30, 1996, compared to $5.7 million or 6.7% in the
corresponding period of 1995. Research and development expenses increased
primarily due to costs related to increases in the number of engineers employed
and associated expenditures. The Company believes that the development of new
products and enhancement of existing products is essential to its continued
success, and management intends to continue to devote substantial resources to
research and new product development. Accordingly, the Company expects that its
research and development expenses may increase in absolute dollars and possibly
also as a percentage of revenue.
Sales and Marketing
Sales and marketing expenses include personnel expenses, tradeshows and other
promotional expenses, sales commissions, travel, public relations, and
depreciation and facility costs associated with sales offices in the United
States, Europe and Japan. Sales and marketing expenses were $7.0 million or
10.1% of revenue in the second quarter of 1996, compared to $6.0 million or
13.3% of revenue in the corresponding quarter of 1995, and $12.8 million or 9.7%
for the six months ended June 30, 1996, compared to $11.5 million or 13.5% in
the corresponding period of 1995. While sales and marketing expenses decreased
as a percentage of total revenue, such expenses have increased in absolute
dollars due primarily to increases in employee headcount and costs required for
the promotion and support of Fiery XJ products. The decrease in sales and
marketing expenses as a percentage of revenue is due to the Company's increased
sales to its OEM partners, certain cost reductions resulting from the Company's
December 1995 agreement with Canon, and continuing cost control measures,
including the consolidation of certain duplicative European sales facilities.
The Company expects that its sales and marketing expenses may increase in
absolute dollars and possibly also as a percentage of revenue as it continues to
actively promote its products, launch new Fiery XJ and other products, and
continue to build its worldwide sales and marketing organization.
General and Administrative
General and administrative expenses consist primarily of personnel expenses and,
to a lesser extent, professional fees, expenses required of a public company,
and depreciation and facility costs. General and administrative expenses were
$2.4 million or 3.5% of revenue in the second quarter of 1996, compared to $1.8
million or 3.9% of revenue in the corresponding quarter of 1995, and $4.8
million or 3.6% for the six months ended June 30, 1996, compared to $3.4 million
or 3.9% in the corresponding period of 1995. While general and administrative
expenses decreased as a percentage of total revenue, these expenses have
increased in absolute dollars primarily due to the addition of personnel to
support the Company's operations. The Company expects that its general and
administrative expenses may increase in absolute dollars and possibly also as a
percentage of revenue in order to support any growth in operations.
9.
<PAGE>
Income Taxes
The Company accounts for income taxes in accordance with Statement of Financial
Accounting Standards No. 109, Accounting for Income Taxes, for all periods
presented. The Company's effective tax rate was 36.0% for the second quarter of
1996 and 1995. In each period the Company benefited from increased tax-exempt
interest income, increases in foreign sales and to a lesser extent the
utilization of research and development credits in achieving a consolidated
effective tax rate lower than that prescribed by the respective taxing
authorities. The Company anticipates that these benefits will continue to have a
favorable impact on the Company's consolidated effective tax rate.
Liquidity and Capital Resources
Cash, cash equivalents and short-term investments increased to $163.6 million as
of June 30, 1996, up from $144.0 million as of December 31, 1995. Working
capital increased to $183.0 million as of June 30, 1996, up from $157.1 million
as of December 31, 1995. Net cash provided by operating activities was $21.9
million and $14.4 million for the six month periods ended June 30, 1996 and
1995, respectively, primarily as a result of profitable operations in both
periods. The Company purchased approximately $5.0 million of capital equipment
and furniture during the six month period ended June 30, 1996, compared to
purchases of $2.1 million in the corresponding period of 1995.
The Company believes that its existing capital resources together with cash
generated from continuing operations will be sufficient to fund its operations
and meet capital requirements through at least 1997.
Factors That Could Adversely Affect Performance
The following may impact the Company's future performance and financial results:
New Product Introductions. Delays in the launch or availability of new products
could have an adverse effect on the Company's financial results. New product
introductions also carry the risk that customers will delay or cancel orders for
existing products pending shipments of new products. If the Company is not able
to successfully manage future product transitions, its results of operations
could be adversely affected.
Competition. The Company has seen competition in the market from companies and
products that provide similar functionality and believes that such competition
will continue and may intensify. There can be no assurance that the Company will
be able to successfully launch new products or compete successfully against
other companies' product offerings.
Fiery XJe. The Company is currently selling the Fiery XJe Controller to Canon,
IBM and Digital under OEM agreements. No assurance can be given that the Company
will continue to recognize significant revenue from such sales or that the
Company will be successful in further marketing this product to other OEM
partners or other parties.
Reliance on OEM Partners. No assurance can be given that the Company will
continue to supply products to each of its current OEM partners. In the event
that an OEM partner discontinues or reduces its level of purchases of Fiery XJ
Color Servers, the Company would experience a significant negative impact on its
consolidated financial position and results of operations.
10.
<PAGE>
Fluctuations in Operating Results. Operating results may fluctuate due to
factors such as demand for the Company's products, success and timing of the
introduction of new products, price reductions by the Company and its
competitors, delay, cancellation or rescheduling of orders, product performance,
seasonal purchasing patterns of its OEMs, performance of third-party
manufacturers, product inventory levels, availability of key components for the
Company's products, the Company's relationships with, among others, Adobe
Systems Inc. and the OEM partners that distribute the Fiery XJ Color Server, the
Company's ability to develop and market new products, the timing and amount of
sales and marketing expenditures, and the general demand for color copiers and
color laser printers.
Limited Backlog. The Company typically does not obtain long-term volume purchase
contracts from its customers, and a substantial portion of the Company's backlog
is scheduled for delivery within 90 days or less. Customers may cancel orders
and change volume levels or delivery times without penalty. Quarterly sales and
operating results therefore depend on the volume and timing of the backlog as
well as bookings received during the quarter. A significant portion of the
Company's operating expenses are fixed, and planned expenditures are based
primarily on sales forecasts and product development programs. If sales do not
meet the Company's expectations in any given period, the adverse impact on
operating results may be magnified by the Company's inability to adjust
operating expenses sufficiently or quickly enough to compensate for such a
shortfall.
Volatility of Stock Price. Due to various factors, including those noted above,
the Company's future earnings and stock price may be subject to significant
volatility, particularly on a quarterly basis. Any shortfall in revenue or
earnings from levels expected by securities analysts could have an immediate and
significant adverse effect on the trading price of the Company's common stock in
any given period. The Company participates in a highly dynamic industry, which
often results in significant volatility for the Company's common stock price.
11.
<PAGE>
PART II OTHER INFORMATION
ITEMS 1 - 3.
There is no applicable information to report under Part II, Items 1 - 3 during
the period covered by this report.
ITEM 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS
The following items were submitted to the stockholders of the Company at the
Company's Annual Meeting of Stockholders held May 2, 1996. Each of these matters
was approved by a majority of shares represented at the meeting.
(a) The election of six directors to serve a one-year term until
their successors are duly elected and qualified. The following
is a summary of the votes cast for and the votes withheld for
each individual.
Votes For Votes Withheld
---------- --------------
Efraim Arazi 19,528,177 289,626
Dan Avida 19,521,167 296,636
Gill Cogan 19,781,959 35,844
Jean-Louis Gassee 19,776,327 41,476
Dan Maydan 19,781,724 36,079
Thomas Unterberg 19,774,825 42,978
(b) The approval of an amendment to the 1990 Stock Plan to
increase the number of shares reserved for issuance thereunder
by an additional 950,000 shares. Results of the voting
included 13,030,196 votes for, 6,678,189 votes against and
109,418 shares abstained or not voted.
(c) The ratification of the appointment of Price Waterhouse LLP as
the independent accountants of the Company for the fiscal year
ended December 31, 1996. Results of the voting included
19,797,480 votes for, 4,507 votes against and 15,816 shares
abstained.
ITEM 5.
There is no applicable information to report under Part II, Item 5 during the
period covered by this report.
ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K
(a) Exhibits
11.1 Statement re Computation of Per Share Earnings Page 13.
(b) Reports on Form 8-K
No reports on Form 8-K were filed by the Company during the three-
month period ended June 30, 1996.
12.
EXHIBIT 11.1
<TABLE>
ELECTRONICS FOR IMAGING, INC.
STATEMENT RE COMPUTATION OF PER SHARE EARNINGS (1)
(In thousands, except per share data)
(Unaudited)
<CAPTION>
Three Months Ended Six Months Ended
-------------------- --------------------
June 30, June 30, June 30, June 30,
1996 1995 1996 1995
--------- --------- --------- ----------
<S> <C> <C> <C> <C>
Net income for purposes of computing
net income per share $13,901 $ 8,287 $26,948 $15,460
========= ========= ========= ==========
Weighted average common shares outstanding 25,274 24,444 25,164 24,363
Weighted common equivalent shares
from options (3) 2,139 1,914 2,078 1,911
--------- -------- --------- ----------
Weighted average common shares
and equivalents 27,413 26,358 27,242 26,274
========= ========= ========= ==========
Net income per share $ 0.51 $ 0.31 $ 0.97 $ 0.59
========= ========= ========= ==========
<FN>
(1) This Exhibit should be read in conjunction with "Summary of Significant
Accounting Policies - Net Income per Share" in Note 1 of Notes to
Consolidated Financial Statements, contained in the Company's 1995
Annual Report to Stockholders.
(2) All per share data and shares used in computing net income per share
have been restated to reflect the Company's two-for-one stock split.
See Note 2 of Notes to Condensed Consolidated Financial Statements.
(3) Computed using the treasury stock method. The difference between
primary net income per share and fully diluted net income per share is
not significant.
</FN>
</TABLE>
13.
<PAGE>
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.
ELECTRONICS FOR IMAGING, INC.
August 5, 1996 By /s/ Dan Avida
-----------------------------
Dan Avida
President and Chief Executive Officer
By /s/ David Warner
------------------------------
David Warner
Vice President, Finance
14.
<TABLE> <S> <C>
<ARTICLE> 5
<LEGEND>
THE SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM FORM 10-Q
AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS.
</LEGEND>
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> DEC-31-1996
<PERIOD-START> APR-01-1996
<PERIOD-END> JUN-30-1996
<CASH> 26,503,000
<SECURITIES> 137,112,000
<RECEIVABLES> 39,581,000
<ALLOWANCES> 0
<INVENTORY> 9,372,000
<CURRENT-ASSETS> 224,415,000
<PP&E> 20,307,000
<DEPRECIATION> 11,531,000
<TOTAL-ASSETS> 234,720,000
<CURRENT-LIABILITIES> 41,470,000
<BONDS> 0
<COMMON> 92,741,000
0
0
<OTHER-SE> 100,509,000
<TOTAL-LIABILITY-AND-EQUITY> 234,720,000
<SALES> 69,046,000
<TOTAL-REVENUES> 69,046,000
<CGS> 34,555,000
<TOTAL-COSTS> 34,555,000
<OTHER-EXPENSES> 14,461,000
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> (1,690,000)
<INCOME-PRETAX> 21,720,000
<INCOME-TAX> 7,819,000
<INCOME-CONTINUING> 13,901,000
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 13,901,000
<EPS-PRIMARY> 0.51
<EPS-DILUTED> 0.51
</TABLE>
