Faro Technologies, Inc has announced its financial results for the fourth quarter and fiscal year ended December 31, 2016 .
“2016 was a transformative year for FARO. We undertook a major reorganization that aligned and harmonized our resources by global vertical market segments, and modernized the efficiency of our sales processes and other functional areas. We accelerated and streamlined R&D to attain a sustained drumbeat of new and enhanced product introductions, and increased acquisition activity to further build out our product lines and technological capabilities. We expect to complete the remaining primary reorganization initiatives by mid-2017,” stated Dr. Simon Raab , President and Chief Executive Officer.
Sales for fiscal year 2016 were $325.6 million , up 2.5% compared with $317.5 million for fiscal year ended December 31, 2015. New order bookings at $330.7 million increased by 1.6% compared with $325.6 million for the prior fiscal year.
FARO generated $37.6 million in cash flow from operations in 2016, up $9.6 million over the prior year largely as a result of improved working capital management. The majority of this cash was deployed for acquisitions, aggregating to $27.7 million for 2016. As of December 31, 2016 cash and short-term investments totaled $149.1 million , of which $87.3 million was held by foreign subsidiaries.
Sales for the quarter ended December 31, 2016 were $91.7 million , up 0.4% compared with $91.3 million in the fourth quarter last year. Excluding the effect of approximately $1.5 million in unfavorable foreign exchange impacts, fourth quarter 2016 sales would have increased by 2.0% over fourth quarter of 2015. Our sales increase was primarily driven by a significant increase in service revenue, partially offset by lower product sales due both to lower average selling prices arising from reducing service and sales demonstration inventory and a decrease in units sold. New order bookings were $95.8 million for the fourth quarter of 2016, down 4.6% compared with $100.4 million for the fourth quarter of 2015.
Dr. Raab further stated, “In the fourth quarter, we introduced our next generation Focuss Laser Scanner, acquired MWF-Technology GmbH to provide our broad customer base with an innovative product offering in augmented reality technology, and invested in customer facing staffing to drive higher sales in the upcoming year.”
For more information: www.faro.com