Company: ALGN
Filing Date: 2025-08-06
Form Type: 10-Q
Source: 0001097149-25-000064
Chunk: 166

Company: ALIGN TECHNOLOGY INC
Filing Date: 2025-08-06
Form: 10-Q
Item: Item 8
Chunk 166
---
 or future material impact on our liquidity or capital resources.

•On July 7, 2025, we issued a payment for $31.75 million to an escrow agency to settle an antitrust matter. Refer to Note 7 “Legal Proceedings” of the Notes to Condensed Consolidated Financial Statements for more information.

Sources and Uses of Cash 

The following table summarizes our Condensed Consolidated Statements of Cash Flows for the six months ended June 30, 2025 and 2024 (in thousands):

 Six Months EndedJune 30, 20252024Net cash flow provided by (used in):Operating activities$181,326 $188,491 Investing activities(56,768)(192,077)Financing activities(303,055)(163,275)Effect of exchange rate changes on cash, cash equivalents and restricted cash35,876 (9,196)Net decrease in cash, cash equivalents and restricted cash$(142,621)$(176,057)

35 

Operating Activities

For the six months ended June 30, 2025, cash flows from operations of $181 million resulted primarily from our net income of approximately $218 million as well as the following:

 Significant adjustments to net income

•Depreciation and amortization of $80 million related to our investments in property, plant and equipment and intangible assets; 

•Stock-based compensation of $93 million related to equity awards granted to employees and directors;

•Non-cash operating lease costs of $19 million; and

•Other non-cash operating activities of $8 million primarily related to an increase in our bad debt allowance.

Significant changes in working capital

•Net outflow of $121 million in accounts receivable due to timing of collections; 

•Net outflow of $36 million in accrued and other long-term liabilities primarily due to the payment of fiscal year 2024 bonuses in the first quarter of 2025; and

•Net outflow of $65 million in deferred revenue.

Investing Activities

Net cash used in investing activities was $57 million for the six months ended June 30, 2025 which was primarily related to an outflow of $47 million for purchases of property, plant and equipment and $10 million for our additional investment in SD Holding Company.

Financing Activities

Net cash used in financing activities was $303 million for the six months ended June 30, 2025 and primarily consisted of an outflow of $297 million for share repurchases