# EDGAR Filing Document

**Accession Number:** 0000796505
**File Stem:** 0001171843-25-005111
**Filing Date:** 2025-8
**Character Count:** 26252
**Document Hash:** 15fb343b1920c642dc1e103284770782
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001171843-25-005111.hdr.sgml**: 20250806

**ACCESSION NUMBER**: 0001171843-25-005111

**CONFORMED SUBMISSION TYPE**: 8-K

**PUBLIC DOCUMENT COUNT**: 14

**CONFORMED PERIOD OF REPORT**: 20250806

**ITEM INFORMATION**: Results of Operations and Financial Condition

**ITEM INFORMATION**: Financial Statements and Exhibits

**FILED AS OF DATE**: 20250806

**DATE AS OF CHANGE**: 20250806

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** Clearfield, Inc.
- **CENTRAL INDEX KEY:** 0000796505
- **STANDARD INDUSTRIAL CLASSIFICATION:** TELEPHONE & TELEGRAPH APPARATUS [3661]
- **ORGANIZATION NAME:** 04 Manufacturing
- **EIN:** 411347235
- **STATE OF INCORPORATION:** MN
- **FISCAL YEAR END:** 0930

**FILING VALUES:**
- **FORM TYPE:** 8-K
- **SEC ACT:** 1934 Act
- **SEC FILE NUMBER:** 000-16106
- **FILM NUMBER:** 251189338

**BUSINESS ADDRESS:**
- **STREET 1:** 7050 WINNETKA AVE. N.
- **STREET 2:** SUITE 100
- **CITY:** BROOKLYN PARK
- **STATE:** MN
- **ZIP:** 55428
- **BUSINESS PHONE:** 763-476-6866

**MAIL ADDRESS:**
- **STREET 1:** 7050 WINNETKA AVE. N.
- **STREET 2:** SUITE 100
- **CITY:** BROOKLYN PARK
- **STATE:** MN
- **ZIP:** 55428

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** APA Enterprises, Inc.
- **DATE OF NAME CHANGE:** 20041116

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** APA OPTICS INC /MN/
- **DATE OF NAME CHANGE:** 19920703

?xml version='1.0' encoding='ASCII'? Form 8-K

### UNITED STATES

### SECURITIES AND EXCHANGE COMMISSION

### Washington, D.C. 20549
_________________

### FORM 8-K
_________________

#### CURRENT REPORT

#### Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

#### Date of Report (Date of earliest event reported): August 6, 2025
_______________________________

#### CLEARFIELD, INC.
(Exact name of registrant as specified in its charter)

_______________________________

---

| | | |
|:---|:---|:---|
| **Minnesota** | **000-16106** | **41-1347235** |
| (State or Other Jurisdiction of Incorporation) | (Commission File Number) | (I.R.S. Employer Identification No.) |

---

#### 7050 Winnetka Avenue North, Suite 100

#### Brooklyn Park, Minnesota 55428
(Address of Principal Executive Offices) (Zip Code)

(763) 476-6866

(Registrant's telephone number, including area code)

#### Not Applicable
(Former name or former address, if changed since last report)

_______________________________

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

---

| | |
|:---|:---|
| Title of each class | Name of each exchange on which registered |
| Common Stock, $0.01 par value CLFD | The Nasdaq Stock Market |

---

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

**Item 2.02. Results of Operations and Financial Condition.**

On August 6, 2025, Clearfield, Inc. (the "Company") issued a press release announcing the results of its third quarter of fiscal 2025 ended June 30, 2025. A copy of that press release is furnished hereto as Exhibit 99.1 and is hereby incorporated by reference.

The information in this Item 2.02, including Exhibit 99.1, is being furnished and shall not be deemed "filed" for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the "Exchange Act"), nor shall it be deemed incorporated by reference into any Company filing under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in such filing.

**Item 9.01. Financial Statements and Exhibits.**

(d)&nbsp;&nbsp;&nbsp;&nbsp; Exhibits.

The following exhibits are being furnished herewith:

[99.1](exh_991.htm) [Press release of Clearfield, Inc. dated August 6, 2025](exh_991.htm) <br> 104 Cover Page Interactive Data File (embedded within the Inline XBRL document)

#### SIGNATURE
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 hereunto duly authorized.

---

| | | |
|:---|:---|:---|
|  | **CLEARFIELD, INC.** | **CLEARFIELD, INC.** |
| Date: August 6, 2025 | By: | <u>/s/ Cheryl Beranek&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</u> |
|  |  | Cheryl Beranek |
|  |  | Chief Executive Officer |

---

## Exhibit 99.1

**EXHIBIT 99.1**

**Clearfield Reports Third Quarter Fiscal 2025 Results**

* *Revenue of $49.9 million driven by 15% year-over-year growth in the Clearfield Segment*

* *Net income per share of $0.11 was above the top end of guidance range*

* *Increases full year fiscal 2025 revenue guidance to a range of $180 million to $184 million*

* *Share buybacks totaled $5.6 million with $8.4 million remaining available for repurchases*

MINNEAPOLIS, Aug. 06, 2025 (GLOBE NEWSWIRE) -- **Clearfield, Inc. (NASDAQ: CLFD),** a leader in fiber connectivity, reported results for the fiscal third quarter of 2025.

---

| | | | | |
|:---|:---|:---|:---|:---|
| **Fiscal Q3 2025 Financial Summary** | **Fiscal Q3 2025 Financial Summary** | **Fiscal Q3 2025 Financial Summary** | **Fiscal Q3 2025 Financial Summary** | |
| *(in millions except per share data and percentages)* | **Q3 2025** | **vs. Q3 2024** | **Change** | <br>**Change (%)** |
| **Net Sales** | $**49.9** | $48.8 | $1.1 | 2% |
| **Gross Profit ($)** | $**15.2** | $10.7 | $4.5 | 42% |
| **Gross Profit (%)** | **30.5%** | 21.9% | 8.6% | 39% |
| **Income (Loss) from Operations** | $**1.5** | $(2.3) | $3.8 | 165% |
| **Income Tax Expense (Benefit)** | $**1.4** | $(0.3) | $1.6 | 595% |
| **Net Income (Loss)** | $**1.6** | $(0.4) | $2.1 | 459% |
| **Net Income (Loss) per Diluted Share** | $**0.11** | $(0.04) | $0.15 | 375% |

---

---

| | | | | |
|:---|:---|:---|:---|:---|
| **Fiscal Q3 YTD 2025 Financial Summary** | **Fiscal Q3 YTD 2025 Financial Summary** | **Fiscal Q3 YTD 2025 Financial Summary** | **Fiscal Q3 YTD 2025 Financial Summary** |  |
| (in millions except per share data and percentages) | **Q3 2025** | **vs. Q3 2024** | **Change** | **Change (%)** |
| **Net Sales** | $**132.5** | $119.9 | $12.6 | 11% |
| **Gross Profit ($)** | $**37.6** | $18.2 | $19.4 | 107% |
| **Gross Profit (%)** | **28.4%** | 15.2% | 13.2% | 87% |
| **Loss from Operations** | $**(2.2)** | $(20.2) | $18.0 | 89% |
| **Income Tax Expense (Benefit)** | $**1.4** | $(3.3) | $4.7 | 142% |
| **Net Income (Loss)** | $**1.0** | $(11.6) | $12.6 | 109% |
| **Net Income (Loss) per Diluted Share** | $**0.07** | $(0.79) | $0.86 | 109% |

---

**Management Commentary**

"Our net sales outperformance in the third quarter was driven by strong customer demand in the Large Regional Service Provider and MSO end markets within our Clearfield segment," said Company President and Chief Executive Officer, Cheri Beranek. "We remain focused on executing on our objective of growing faster than the industry and driving market share gains."

"Our solid top and bottom-line performance was primarily driven by improvements in overhead absorption and recoveries of previously reserved excess inventory, as well as optimized capacity for current and growing product lines at all of our North American facilities," said Chief Financial Officer Dan Herzog.

**Financial Results for the Three Months Ended June 30, 2025**

Net sales for the third quarter of fiscal 2025 increased 2% to $49.9 million from $48.8 million in the same year-ago quarter.

As of June 30, 2025, order backlog (defined as purchase orders received but not yet fulfilled) was $36.1 million, an increase of $2.0 million, or 6%, compared to $34.1 million as of March 31, 2025, and an increase of $3.5 million, or 11%, from June 30, 2024.

Gross margin for the third quarter of fiscal 2025 was 30.5%, compared to 21.9% in the third quarter of fiscal 2024. The increase in gross margin from the year ago quarter was driven by increased volumes within the Clearfield segment, resulting in improved utilization of manufacturing overhead, targeted programs addressing productivity and general cost reduction initiatives. Gross profit margin was also positively affected as the result of lower non-cash excess inventory charges, which decreased year-over-year by $2.6 million, reflecting improved inventory utilization and beneficial recoveries of previously reserved excess inventory of $1.6 million in the third quarter of fiscal 2025.

Operating expenses for the third quarter of fiscal 2025 increased 6% to $13.7 million, or 27.5% of net sales, from $13.0 million, or 26.6% of net sales, in the same year-ago quarter.

Net income for the third quarter of fiscal 2025 totaled $1.6 million, or $0.11 per diluted share, compared to net loss of ($.4) million, or ($0.04) per diluted share, in the same year-ago quarter. Third quarter net income includes a one-time valuation charge against deferred tax assets of Nestor Cables of $780,000 which was recorded as a component of income tax expense in the quarter. Also, in the third fiscal quarter, the Company repurchased approximately $5.6 million in shares under its share repurchase program. There is approximately $8.4 million remaining for future repurchases as of June 30, 2025.

**Outlook**

The Company is increasing its annual revenue guidance for fiscal 2025 to a range of $180 million to $184 million. For the fourth quarter of fiscal 2025, Clearfield expects net sales to be in the range of $47 million to $51 million and net income per share to be in the range of $0.03 to $0.11. The net income per share range is based on the number of shares outstanding at the end of the third quarter and does not reflect potential share repurchases completed in the fourth quarter. Clearfield does not believe that tariffs currently in place will materially affect the Company's operating results.

**Conference Call**

Management will hold a conference call today, August 6, 2025, at 5:00 p.m. Eastern Time (4:00 p.m. Central Time) to discuss these results and provide an update on business conditions.

Clearfield's President and Chief Executive Officer, Cheri Beranek, and Chief Financial Officer, Dan Herzog, will host the presentation, followed by a question-and-answer period.

U.S. dial-in: 1-844-826-3033

International dial-in: 1-412-317-5185

Conference ID: 10201157

The live webcast of the call can be accessed at the Clearfield Investor Relations website along with the company's earnings press release and presentation.

A replay of the call will be available after 8:00 p.m. Eastern Time on the same day through August 20, 2025, while an archived version of the webcast will be available on the Investor Relations website for 90 days.

U.S. replay dial-in: 1-844-512-2921

International replay dial-in: 1-412-317-6671

Replay ID: 10201157

**About Clearfield, Inc.** 

Clearfield, Inc. (NASDAQ: CLFD) designs, manufactures, and distributes fiber optic management, protection, and delivery products for communications networks. Our "fiber to anywhere" platform serves the unique requirements of leading incumbent local exchange carriers (traditional carriers), competitive local exchange carriers (alternative carriers), and MSO/cable TV companies, while also catering to the broadband needs of the utility/municipality, enterprise, and data center markets. Headquartered in Minneapolis, MN, Clearfield deploys more than a million fiber ports each year. For more information, visit www.SeeClearfield.com.

**Cautionary Statement Regarding Forward-Looking Information**

*Forward-looking statements contained herein and in any related presentation or in the related Earnings Presentation are made pursuant to the safe harbor provisions of the Private Litigation Reform Act of 1995. Words such as "may," "plan," "expect," "aim," "believe," "project," "target," "anticipate," "intend," "estimate," "will," "should," "could," "outlook," or "continue" or comparable terminology are intended to identify forward-looking statements. Such forward looking statements include, for example, statements about the Company's future revenue and operating performance, the impact of recent trade policy changes, including new and increased tariffs, retaliatory tariffs, trade disputes, and market and economic reactions to such changes, expected customer ordering patterns and future supply agreements with customers, anticipated shipping on backlog and future lead times, future availability of components and materials from the Company's supply chain, compliance with Build America Buy America (BABA) Act requirements, future availability of labor impacting our customers' network builds, the impact of the Broadband Equity, Access, and Deployment (BEAD) Program, Rural Digital Opportunity Fund (RDOF) or other government programs on the demand for the Company's products or timing of customer orders, the Company's ability to match capacity to meet demand, expansion into new markets and trends in and growth of the FTTx markets, market segments or customer purchases, future goodwill analysis and other statements that are not historical facts. These statements are based upon the Company's current expectations and judgments about future developments in the Company's business. Certain important factors could have a material impact on the Company's performance, including, without limitation: our business is dependent on interdependent management information systems; inflationary price pressures and uncertain availability of components, raw materials, labor and logistics used by us and our suppliers could negatively impact our profitability; we rely on single-source suppliers, which could cause delays, increase costs or prevent us from completing customer orders; we depend on the availability of sufficient supply of certain materials and global disruptions in the supply chain for these materials could prevent us from meeting customer demand for our products; a significant percentage of our sales in the last three fiscal years have been made to a small number of customers, and the loss of these major customers could adversely affect us; further consolidation among our customers may result in the loss of some customers and may reduce sales during the pendency of business combinations and related integration activities; we may be subject to risks associated with acquisitions, and the risks could adversely affect future operating results; we have exposure to movements in foreign currency exchange rates; adverse global economic conditions and geopolitical issues could have a negative effect on our business, and results of operations and financial condition; growth may strain our business infrastructure, which could adversely affect our operations and financial condition; product defects or the failure of our products to meet specifications could cause us to lose customers and sales or to incur unexpected expenses; we are dependent on key personnel; cyber-security incidents, including ransomware, data breaches or computer viruses, could disrupt our business operations, damage our reputation, result in increased expense, and potentially lead to legal proceedings; natural disasters, extreme weather conditions or other catastrophic events could negatively affect our business, financial condition, and operating results; pandemics and other health crises could have a material adverse effect on our business, financial condition, and operating results; to compete effectively, we must continually improve existing products and introduce new products that achieve market acceptance; if the telecommunications market does not continue to expand, our business may not grow as fast as we expect, which could adversely impact our business, financial condition and operating results; changes in U.S. government funding programs may cause our customers and prospective customers to delay, reduce, or accelerate purchases, leading to unpredictable and irregular purchase cycles; intense competition in our industry may result in price reductions, lower gross profits and loss of market share; our success depends upon adequate protection of our patent and intellectual property rights; we face risks associated with expanding our sales outside of the United States*; *expectations relating to environmental, social and governance matters may increase our cost of doing business and expose us to reputational harm and potential liability; our operating results may fluctuate significantly from quarter to quarter, which may make budgeting for expenses difficult and may negatively affect the market price of our common stock; our stock price has been volatile historically and may continue to be volatile - the price of our common stock may fluctuate significantly; anti-takeover provisions in our organizational documents, Minnesota law and other agreements could prevent or delay a change in control of our Company; and other factors set forth in Part I, Item IA. Risk Factors of Clearfield's Annual Report on Form 10-K for the year ended September 30, 2024 as well as other filings with the Securities and Exchange Commission. The Company undertakes no obligation to update these statements to reflect actual events unless required by law.*

**Investor Relations Contact:**

Greg McNiff

The Blueshirt Group

773-485-7191

clearfield@blueshirtgroup.com

---

| | | | | |
|:---|:---|:---|:---|:---|
| **CLEARFIELD, INC.** | **CLEARFIELD, INC.** | **CLEARFIELD, INC.** | **CLEARFIELD, INC.** | **CLEARFIELD, INC.** |
| **CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS** | **CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS** | **CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS** | **CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS** | **CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS** |
| (UNAUDITED) | (UNAUDITED) | (UNAUDITED) | (UNAUDITED) | (UNAUDITED) |
| (IN THOUSANDS, EXCEPT SHARE DATA) | (IN THOUSANDS, EXCEPT SHARE DATA) | (IN THOUSANDS, EXCEPT SHARE DATA) | (IN THOUSANDS, EXCEPT SHARE DATA) | (IN THOUSANDS, EXCEPT SHARE DATA) |
|  | Three Months Ended | Three Months Ended | Nine Months Ended | Nine Months Ended |
|  | June 30, | June 30, | June 30, | June 30, |
|  | 2025 | 2024 | 2025 | 2024 |
| Net sales | $49903 | $48793 | $132547 | $119933 |
| Cost of sales | 34669 | 38101 | 94940 | 101712 |
| &nbsp;&nbsp;Gross profit | 15234 | 10692 | 37607 | 18221 |
| Operating expenses |  |  |  |  |
| &nbsp;&nbsp;Selling, general and administrative | 13738 | 12998 | 39823 | 38430 |
| &nbsp;&nbsp;&nbsp;&nbsp;Income (Loss) from operations | 1496 | (2306) | (2216) | (20209) |
| Net investment income | 1588 | 1735 | 4920 | 5653 |
| Interest expense | (106) | (153) | (275) | (381) |
| Income (Loss) before income taxes | 2978 | (724) | 2429 | (14937) |
| Income tax expense (benefit) | 1372 | (277) | 1401 | (3311) |
| Net income (loss) | $1606 | $(447) | $1028 | $(11626) |
| &nbsp;&nbsp;Net income (loss) per share Basic | $0.11 | $(0.04) | $0.07 | $(0.79) |
| &nbsp;&nbsp;Net income (loss) per share Diluted | $0.11 | $(0.04) | $0.07 | $(0.79) |
| Weighted average shares outstanding: |  |  |  |  |
| &nbsp;&nbsp;Basic | 13833748 | 14249755 | 14047802 | 14699278 |
| &nbsp;&nbsp;Diluted | 13833748 | 14249755 | 14047802 | 14699278 |

---

---

| | | |
|:---|:---|:---|
| **CLEARFIELD, INC.** | **CLEARFIELD, INC.** | **CLEARFIELD, INC.** |
| **CONDENSED CONSOLIDATED BALANCE SHEETS** | **CONDENSED CONSOLIDATED BALANCE SHEETS** | **CONDENSED CONSOLIDATED BALANCE SHEETS** |
| (IN THOUSANDS, EXCEPT SHARE DATA) | (IN THOUSANDS, EXCEPT SHARE DATA) | (IN THOUSANDS, EXCEPT SHARE DATA) |
|  | June 30,<br>2025 (Unaudited) | September 30,<br>2024 |
| **Assets** |  |  |
| Current Assets |  |  |
| &nbsp;&nbsp;Cash and cash equivalents | $33871 | $16167 |
| &nbsp;&nbsp;Short-term investments | 83358 | 114825 |
| &nbsp;&nbsp;Accounts receivables, net | 26614 | 21309 |
| &nbsp;&nbsp;Inventories, net | 53753 | 66766 |
| &nbsp;&nbsp;Other current assets | 15042 | 10528 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total current assets | 212638 | 229595 |
| Property, plant and equipment, net | 19742 | 23953 |
| Other Assets |  |  |
| &nbsp;&nbsp;Long-term investments | 40168 | 24505 |
| &nbsp;&nbsp;Goodwill | 6740 | 6627 |
| &nbsp;&nbsp;Intangible assets, net | 10666 | 6343 |
| &nbsp;&nbsp;Right-of-use lease assets | 18038 | 15797 |
| &nbsp;&nbsp;Deferred tax asset | 6029 | 6135 |
| &nbsp;&nbsp;Other | 689 | 2320 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total other assets | 82330 | 61727 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Total Assets** | $314710 | $315275 |
| **Liabilities and Shareholders' Equity** |  |  |
| Current Liabilities |  |  |
| &nbsp;&nbsp;Current portion of lease liability | $4108 | $3357 |
| &nbsp;&nbsp;Current maturities of long-term debt | 2358 |  |
| &nbsp;&nbsp;Accounts payable | 8687 | 6720 |
| &nbsp;&nbsp;Accrued compensation | 8235 | 6977 |
| &nbsp;&nbsp;Accrued expenses | 4695 | 4378 |
| &nbsp;&nbsp;Bank overdraft | 862 |  |
| &nbsp;&nbsp;Factoring liability | 6943 | 2920 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total current liabilities | 35888 | 24352 |
| Other Liabilities |  |  |
| &nbsp;&nbsp;Long-term debt, net of current maturities |  | 2228 |
| &nbsp;&nbsp;Long-term portion of lease liability | 14346 | 12771 |
| &nbsp;&nbsp;Deferred tax liability | - | 161 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total liabilities | 50234 | 39512 |
| Shareholders' Equity |  |  |
| &nbsp;&nbsp;Preferred stock, $.01 par value; 500,000 shares; no shares issued or outstanding |  |  |
| &nbsp;&nbsp;Common stock, authorized 50,000,000, $.01 par value; 13,805,717 and 14,229,107 shares issued and outstanding as of June 30, 2025 and September 30, 2024, respectively | 138 | 142 |
| &nbsp;&nbsp;Additional paid-in capital | 146627 | 159579 |
| &nbsp;&nbsp;Accumulated other comprehensive income | 1721 | 1079 |
| &nbsp;&nbsp;Retained earnings | 115990 | 114963 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total shareholders' equity | 264476 | 275763 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Total Liabilities and Shareholders' Equity** | $314710 | $315275 |

---

---

| | | |
|:---|:---|:---|
| **CLEARFIELD, INC.** | **CLEARFIELD, INC.** | **CLEARFIELD, INC.** |
| **CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS** | **CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS** | **CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS** |
| (UNAUDITED) | (UNAUDITED) | (UNAUDITED) |
| (IN THOUSANDS) | (IN THOUSANDS) | (IN THOUSANDS) |
|  | Nine Months Ended | Nine Months Ended |
|  | June 30, | June 30, |
|  | 2025 | 2024 |
| **Cash flows from operating activities** |  |  |
| &nbsp;&nbsp;Net income (loss) | $1028 | $(11626) |
| &nbsp;&nbsp;&nbsp;&nbsp;Adjustments to reconcile net income (loss) to net cash provided by operating activities: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Depreciation and amortization | 5766 | 5481 |
| &nbsp;&nbsp;&nbsp;&nbsp;Amortization of premium and discount on investments, net | (1556) | (3304) |
| &nbsp;&nbsp;&nbsp;&nbsp;Deferred taxes | (157) | (3523) |
| &nbsp;&nbsp;&nbsp;&nbsp;Stock-based compensation | 3745 | 3437 |
| &nbsp;&nbsp;Changes in operating assets and liabilities, net of acquired amounts: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Accounts receivable | (4944) | 946 |
| &nbsp;&nbsp;&nbsp;&nbsp;Inventories, net | 13752 | 23440 |
| &nbsp;&nbsp;&nbsp;&nbsp;Other assets | (2555) | (8030) |
| &nbsp;&nbsp;&nbsp;&nbsp;Accounts payable and accrued expenses | 3037 | 2310 |
| &nbsp;&nbsp;Net cash provided by operating activities | 18116 | 9131 |
| **Cash flows from investing activities** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Purchases of property, plant and equipment and intangible assets | (5221) | (5608) |
| &nbsp;&nbsp;&nbsp;&nbsp;Purchases of investments | (78697) | (124137) |
| &nbsp;&nbsp;&nbsp;&nbsp;Proceeds from maturities of investments | 95976 | 142067 |
| &nbsp;&nbsp;Net cash provided by investing activities | 12058 | 12322 |
| **Cash flows from financing activities** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Issuance of long-term debt |  | 2142 |
| &nbsp;&nbsp;&nbsp;&nbsp;Repayment of long-term debt |  | (2142) |
| &nbsp;&nbsp;&nbsp;&nbsp;Proceeds from issuance of common stock under employee stock purchase plan | 595 | 586 |
| &nbsp;&nbsp;&nbsp;&nbsp;Repurchase of shares for payment of withholding taxes for vested restricted stock grants | (494) | (240) |
| &nbsp;&nbsp;&nbsp;&nbsp;Withholding related to exercise of stock options | (133) | (9) |
| &nbsp;&nbsp;&nbsp;&nbsp;Borrowings and repayments of bank overdrafts, net | 793 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Borrowings and repayments of factoring liability, net | 3544 | (667) |
| &nbsp;&nbsp;&nbsp;&nbsp;Repurchase of common stock | (16665) | (33374) |
| &nbsp;&nbsp;Net cash used in financing activities | (12360) | (33704) |
| &nbsp;&nbsp;Effect of exchange rates on cash | (109) | 48 |
| &nbsp;&nbsp;Increase (decrease) in cash and cash equivalents | 17704 | (12203) |
| &nbsp;&nbsp;Cash and cash equivalents, beginning of period | 16167 | 37827 |
| &nbsp;&nbsp;Cash and cash equivalents, end of period | $33871 | $25624 |
| Supplemental disclosures for cash flow information |  |  |
| &nbsp;&nbsp;Cash paid for income taxes | $1237 | $165 |
| &nbsp;&nbsp;Cash paid for interest | $193 | $302 |
| &nbsp;&nbsp;Right of use assets obtained through lease liabilities | $3895 | $4614 |
| **Non-cash financing activities** |  |  |
| &nbsp;&nbsp;Cashless exercise of stock options | $462 | $19 |

---