CERAGON NETWORKS LTD.
(Translation of registrant’s name into English)
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24 Raoul Wallenberg Street, Tel Aviv 69719, Israel
(Address of principal executive offices)
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CERAGON NETWORKS LTD.
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Date: May 8, 2014
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By:
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/s/ Nisan Ben-Hamo | |
Name: Nisan Ben-Hamo
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Title: VP and General Counsel
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·
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Europe:
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19%
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·
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Africa:
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11%
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·
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North America:
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13%
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Latin America:
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30%
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India:
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14%
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·
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APAC:
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13%
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Investors:
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Media: | ||
Aviram Steinhart
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or
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Claudia Gatlin
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Yoel Knoll |
+972 3 5431 443
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+1 201 853 0228
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+972 3 5431 32 or +1 201 853 0271 | |
avirams@ceragon.com
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claudiag@ceragon.com
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yoelk@ ceragon.com |
Ceragon Reports First Quarter 2014 Results
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![]() |
Three months ended
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||||||||
March 31,
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||||||||
2014
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2013
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Revenues
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$ | 70,515 | $ | 90,097 | ||||
Cost of revenues
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54,936 | 62,637 | ||||||
Gross profit
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15,579 | 27,460 | ||||||
Operating expenses:
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Research and development, net
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10,439 | 11,906 | ||||||
Selling and marketing
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15,420 | 17,533 | ||||||
General and administrative
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5,906 | 6,715 | ||||||
Restructuring costs
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936 | - | ||||||
Total operating expenses
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$ | 32,701 | $ | 36,154 | ||||
Operating loss
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17,122 | 8,694 | ||||||
Financial expenses, net
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8,164 | 4,629 | ||||||
Loss before taxes
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25,286 | 13,323 | ||||||
Taxes on income
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1,677 | 818 | ||||||
Net loss
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$ | 26,963 | $ | 14,141 | ||||
Basic and diluted net loss per share
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$ | 0.51 | $ | 0.38 | ||||
Weighted average number of shares used in computing basic and diluted net loss per share
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52,457,168 | 36,755,603 |
Ceragon Reports First Quarter 2014 Results
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![]() |
March 31,
2014
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December 31, 2013
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ASSETS
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CURRENT ASSETS:
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Cash and cash equivalents
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$ | 26,055 | $ | 42,407 | ||||
Short-term bank deposits
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396 | 446 | ||||||
Marketable securities
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- | 5,499 | ||||||
Trade receivables, net
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129,976 | 131,166 | ||||||
Other accounts receivable and prepaid expenses
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33,179 | 34,205 | ||||||
Deferred taxes, net
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6,986 | 7,198 | ||||||
Inventories
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62,951 | 64,239 | ||||||
Total current assets
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259,543 | 285,160 | ||||||
NON-CURRENT ASSETS:
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Marketable securities
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4,060 | 3,985 | ||||||
Deferred taxes, net
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5,620 | 6,542 | ||||||
Severance pay funds and pension
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6,883 | 7,065 | ||||||
Property and equipment, net
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35,140 | 35,245 | ||||||
Intangible assets, net
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6,703 | 7,213 | ||||||
Goodwill
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15,036 | 14,935 | ||||||
Other non-current assets
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6,995 | 5,826 | ||||||
Total non-current assets
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80,437 | 80,811 | ||||||
Total assets
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$ | 339,980 | $ | 365,971 | ||||
LIABILITIES AND SHAREHOLDERS' EQUITY
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CURRENT LIABILITIES:
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Short term loans, including current maturities of long term loan
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$ | 65,032 | $ | 46,922 | ||||
Trade payables
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64,841 | 77,979 | ||||||
Deferred revenues
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5,070 | 7,968 | ||||||
Other accounts payable and accrued expenses
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44,282 | 45,526 | ||||||
Total current liabilities
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179,225 | 178,395 | ||||||
LONG-TERM LIABILITIES
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Long term bank loan, net of current maturities
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8,246 | 10,304 | ||||||
Accrued severance pay and pension
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13,879 | 13,635 | ||||||
Other long term liabilities
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29,116 | 28,559 | ||||||
51,241 | 52,498 | |||||||
SHAREHOLDERS' EQUITY:
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Share capital:
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Ordinary shares
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141 | 141 | ||||||
Additional paid-in capital
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359,036 | 357,989 | ||||||
Treasury shares at cost
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(20,091 | ) | (20,091 | ) | ||||
Accumulated other comprehensive loss, net of taxes
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(1,217 | ) | (1,569 | ) | ||||
Accumulated deficit
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(228,355 | ) | (201,392 | ) | ||||
Total shareholders' equity
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109,514 | 135,078 | ||||||
Total liabilities and shareholders' equity
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$ | 339,980 | $ | 365,971 |
Ceragon Reports First Quarter 2014 Results
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![]() |
Three months ended
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||||||||
March 31,
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||||||||
2014
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2013
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|||||||
Cash flow from operating activities:
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Net loss
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$ | (26,963 | ) | $ | (14,141 | ) | ||
Adjustments to reconcile net loss to net cash provided by (used in) operating activities:
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Depreciation and amortization
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3,378 | 4,038 | ||||||
Stock-based compensation expense
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1,047 | 1,075 | ||||||
Decrease in trade and other receivables, net
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1,894 | 23,652 | ||||||
Decrease in inventory, net of write-off
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1,609 | 2,863 | ||||||
Decrease in deferred tax asset, net
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1,317 | 150 | ||||||
Decrease in trade payables and accrued liabilities
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(15,058 | ) | (13,425 | ) | ||||
Decrease in deferred revenues
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(2,899 | ) | (1,252 | ) | ||||
Other adjustments
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841 | (101 | ) | |||||
Net cash provided by (used in) operating activities
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$ | (34,834 | ) | $ | 2,859 | |||
Cash flow from investing activities:
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Purchase of property and equipment ,net
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(2,850 | ) | (2,895 | ) | ||||
Investment in short and long-term bank deposits
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- | (217 | ) | |||||
Proceeds from short and long-term bank deposits
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50 | - | ||||||
Proceeds from sale and maturities of marketable securities
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5,161 | - | ||||||
Net cash provided by (used in) investing activities
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$ | 2,361 | $ | (3,112 | ) | |||
Cash flow from financing activities:
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Proceeds from exercise of options
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- | 1,137 | ||||||
Proceeds from short-term bank loans
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18,110 | 3,000 | ||||||
Repayment of loans from financial institutions
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(2,058 | ) | (4,058 | ) | ||||
Net cash provided by financing activities
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$ | 16,052 | $ | 79 | ||||
Translation adjustments on cash and cash equivalents
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$ | 69 | $ | (120 | ) | |||
Decrease in cash and cash equivalents
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$ | (16,352 | ) | $ | (294 | ) | ||
Cash and cash equivalents at the beginning of the period
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42,407 | 47,099 | ||||||
Cash and cash equivalents at the end of the period
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$ | 26,055 | $ | 46,805 |
Ceragon Reports First Quarter 2014 Results
|
![]() |
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Three months ended March 31,
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2014
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2013
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GAAP (as reported)
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Adjustments
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Non-GAAP
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Non-GAAP
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Revenues
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$ | 70,515 | $ | 70,515 | $ | 90,097 | |||||||||
Cost of revenues
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54,936 |
(a) 866
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54,070 | 61,342 | |||||||||||
Gross profit
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15,579 | 16,445 | 28,755 | ||||||||||||
Operating expenses:
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Research and development, net
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10,439 |
(b) 2,586
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7,853 | 10,383 | |||||||||||
Selling and marketing
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15,420 |
(c) 1,015
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14,405 | 16,110 | |||||||||||
General and administrative
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5,906 |
(d) 884
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5,022 | 5,648 | |||||||||||
Restructuring costs
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936 | 936 | - | - | |||||||||||
Total operating expenses
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$ | 32,701 | $ | 27,280 | $ | 32,141 | |||||||||
Operating loss
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17,122 | 10,835 | 3,386 | ||||||||||||
Financial expenses, net
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8,164 |
(e) 6,310
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1,854 | 1,496 | |||||||||||
Loss before taxes
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25,286 | 12,689 | 4,882 | ||||||||||||
Taxes on income
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1,677 |
(f) 1,490
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187 | 818 | |||||||||||
Net loss
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$ | 26,963 | $ | 12,876 | $ | 5,700 | |||||||||
Basic and diluted net loss per share
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$ | 0.51 | $ | 0.25 | $ | 0.16 | |||||||||
Weighted average number of shares
used in computing basic and diluted
net loss per share
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52,457,168 | 52,457,168 | 36,755,603 | ||||||||||||
Total adjustments
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14,087 | ||||||||||||||
(a)
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Cost of revenues includes $0.3 million of amortization of intangible assets, $0.3 million of changes in pre-acquisition indirect tax positions, $0.1 million of stock based compensation expenses and $0.2 million of restructuring plan related costs in the three months ended March 31, 2014.
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(b)
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Research and development expenses include $2.1 million of restructuring plan related costs and $0.5 million of stock-based compensation expenses in the three months ended March 31, 2014.
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(c)
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Selling and marketing expenses include $0.2 million of amortization of intangible assets, $0.5 million of restructuring plan related costs and $0.3 million of stock based compensation expenses in the three months ended March 31, 2014.
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(d)
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General and administrative expenses include $0.6 million of restructuring plan related costs and $0.3 million of stock based compensation expenses in the three months ended March 31, 2014.
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(e)
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Financial expenses include $4.1 million of currency devaluation in Venezuela and $2.2 million related to certain transactions to expatriate cash from Venezuela and Argentina in the three months ended March 31, 2014.
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(f)
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Taxes on income include $1.5 million of non-cash tax adjustments in the three months ended March 31, 2014.
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Ceragon Reports First Quarter 2014 Results
|
![]() |
Three months ended
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||||||||
March 31,
|
||||||||
2014
|
2013
|
|||||||
Reported GAAP net loss
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26,963 | 14,141 | ||||||
Stock based compensation expenses
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1,047 | 1,075 | ||||||
Amortization of intangible assets
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523 | 666 | ||||||
Inventory step-up
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- | 459 | ||||||
Restructuring expenses
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4,440 | 2,844 | ||||||
Changes in pre-acquisition indirect tax positions
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277 | 264 | ||||||
Currency devaluation in Venezuela
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4,140 | 3,133 | ||||||
Expenses related to certain transactions to expatriate cash from Venezuela and Argentina
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2,170 | - | ||||||
Non-cash tax adjustments
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1,490 | - | ||||||
Non-GAAP net loss
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12,876 | 5,700 |
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