# APPLIED OPTOELECTRONICS, INC. (AAOI) FY2023 Annual Statement of Cash Flows

- Company: APPLIED OPTOELECTRONICS, INC. (AAOI)
- Period: 2023-01-01 to 2023-12-31
- Filing: FY2023 10-K, filed 2024-02-23, accession number 0001437749-24-005367
- Page: https://plicit.ai/financials/aaoi/fy2023-annual-cash-flow
- Chart image: https://plicit.ai/charts/aaoi-fy2023-annual-cash-flow-sankey.png

## Chart details

Cash flows for Jan 1, 2023 through Dec 31, 2023. Cash basis: Cash, cash equivalents, and restricted cash, including disposal groups and discontinued operations. Beginning cash: Dec 31, 2022. Ending cash: Dec 31, 2023. Beginning and ending cash are dated balances. Positive cash flows add cash; negative cash flows reduce it.

- **Beginning cash on Dec 31, 2022**: 35,587,000 US dollars. Beginning cash: Cash, cash equivalents, and restricted cash, including disposal groups and discontinued operations
- **Operating activities**: negative 7,929,000 US dollars. Net cash used.
- **Net loss**: negative 56,048,000 US dollars
- **Lease liability**: negative 660,000 US dollars
- **Unrealized foreign exchange (gain) loss**: negative 1,313,000 US dollars
- **Extinguishment of debt**: 0 US dollars
- **Unearned Revenue**: negative 1,197,000 US dollars
- **Accrued liabilities**: 1,333,000 US dollars
- **Interest for extinguishment of debt**: 0 US dollars
- **Share-based compensation**: 11,884,000 US dollars
- **Accrued income taxes**: negative 1,000 US dollars
- **Accounts payable**: negative 14,953,000 US dollars
- **Loss (gain) on disposal of assets**: 51,000 US dollars
- **Amortization of debt issuance costs**: 2,308,000 US dollars
- **Operating right of use asset**: 530,000 US dollars
- **Other current assets**: 1,008,000 US dollars
- **Depreciation and amortization**: 20,427,000 US dollars
- **Lower of cost or net realizable value reserve adjustment to inventory**: 8,728,000 US dollars
- **Inventories**: 6,790,000 US dollars
- **Prepaid income tax**: negative 3,000 US dollars
- **Allowance of bad debt**: negative 24,000 US dollars
- **Notes receivable**: 83,000 US dollars
- **Accounts receivable, trade**: 13,128,000 US dollars
- **Investing activities**: negative 14,761,000 US dollars. Net cash used.
- **Purchase of intangible assets**: negative 588,000 US dollars
- **Deposits and prepaid for equipment**: negative 5,229,000 US dollars
- **Proceeds from disposal of equipment**: 135,000 US dollars
- **Purchase of property, plant and equipment**: negative 9,079,000 US dollars
- **Financing activities**: 40,578,000 US dollars. Net cash provided.
- **Proceeds from common stock offering, net**: 68,984,000 US dollars
- **Repayments of bank acceptance payable**: negative 53,748,000 US dollars
- **Proceeds from bank acceptance payable**: 57,057,000 US dollars
- **Payments of tax withholding on behalf of employees related to share-based compensation**: negative 956,000 US dollars
- **Exercise of stock options**: 22,000 US dollars
- **Repayments of line of credit borrowings, net of debt issuance costs**: negative 91,791,000 US dollars
- **Proceeds from line of credit borrowings, net of debt issuance costs**: 57,626,000 US dollars
- **Principal payments of financing lease**: negative 63,000 US dollars
- **Proceeds from issuance of convertible senior notes, net of debt issuance costs**: 83,661,000 US dollars
- **Principal payments of long-term debt and notes payable**: negative 80,214,000 US dollars
- **Operating adjustment reconciliation**: 74,199,000 US dollars. Intermediate calculation joining the operating reconciliation branches. Its gross amount includes any portion of net income routed through this junction. It is not an additional cash source or use.
- **financing gross reconciliation**: 267,350,000 US dollars. Gross amount at the activity's junction before offsetting its receipts and deductions. It is not an additional cash source or use.
- **investing gross reconciliation**: 14,896,000 US dollars. Gross amount at the activity's junction before offsetting its receipts and deductions. It is not an additional cash source or use.
- **Exchange-rate effect**: 1,622,000 US dollars
- **Ending cash on Dec 31, 2023**: 55,097,000 US dollars. Ending cash: Cash, cash equivalents, and restricted cash, including disposal groups and discontinued operations
- **Cash sources and uses**: 77,787,000 US dollars. Opening cash plus net sources, equal to net uses plus ending cash.
- **Net cash change**: 19,510,000 US dollars. Ending cash minus beginning cash.
- **Cash flow / Net income**: Not meaningful. Operating cash flow divided by reconciliation net income for the same period. The ratio is not meaningful when net income is zero or negative.
- **Operating cash flow**: negative 7,929,000 US dollars. Operating cash flow used in the free cash flow calculation.
- **Cash purchases of property, plant and equipment**: 9,079,000 US dollars. These cash purchases are already included in investing activities above.
- **Free cash flow**: negative 17,008,000 US dollars. A supplemental measure; finance-lease payments are excluded from this definition.

### Chart connections

- Beginning cash plus operating, investing and financing cash flows plus the exchange-rate effect equals ending cash. Negative amounts reduce cash.
- Financing contributions meet at a reconciliation junction before connecting to the net cash total.
- Investing contributions meet at a reconciliation junction before connecting to the net cash total.
- Operating reconciliation adjustments are not all independent cash receipts.
- Net loss −$56.05M + net operating adjustments $48.12M = operating cash −$7.93M. The loss reduces the earnings basis of the reconciliation; it is not a cash payment. The signed loss remains a deduction at the operating reconciliation junction.
- Each activity has one net cash bar connected to the shared cash pool. Positive activity totals enter the pool; negative activity totals leave the pool to fund that activity's net payments. The central pool does not assign a particular funding source to a particular payment.
- The intermediate calculation bars include both sides of the displayed activity breakdowns; they are not additional cash flows.
- Operating cash flow minus cash purchases of property, plant and equipment equals free cash flow: negative 7,929,000 US dollars minus 9,079,000 US dollars equals negative 17,008,000 US dollars.