UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
 
FORM 6-K
 
Report of Foreign Private Issuer
 
Pursuant to Rule 13a-16 or 15d-16
of the Securities Exchange Act of 1934
 
For the month of January 2017
 
Commission File Number 0-28584
 
CHECK POINT SOFTWARE TECHNOLOGIES LTD.
(Translation of registrant's name into English)
 
5 Ha’solelim Street, Tel Aviv, Israel
(Address of principal executive offices)
 
Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.
 
Form 20-F ☒          Form 40-F ☐
 
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1): ____
 
Note: Regulation S-T Rule 101(b)(1) only permits the submission in paper of a Form 6-K if submitted solely to provide an attached annual report to security holders.
 
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7): ____
 
Note: Regulation S-T Rule 101(b)(7) only permits the submission in paper of a Form 6-K if submitted to furnish a report or other document that the registrant foreign private issuer must furnish and make public under the laws of the jurisdiction in which the registrant is incorporated, domiciled or legally organized (the registrant's "home country"), or under the rules of the home country exchange on which the registrant's securities are traded, as long as the report or other document is not a press release, is not required to be and has not been distributed to the registrant's security holders, and, if discussing a material event, has already been the subject of a Form 6-K submission or other Commission filing on EDGAR.
 
Indicate by check mark whether the registrant by furnishing the information contained in this Form, is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.
 
Yes ☐           No ☒
 
 
If "Yes" is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b): 82- ________
 

 
 
 
 
 


 
INVESTOR CONTACT:
 MEDIA CONTACT:
Kip E. Meintzer
Ali Donzanti
Check Point Software Technologies
Check Point Software Technologies
+1.650.628.2040
+1.650.628.2030
ir@checkpoint.com
press@checkpoint.com

CHECK POINT SOFTWARE TECHNOLOGIES REPORTS 2016 FOURTH QUARTER AND FULL
 YEAR FINANCIAL RESULTS
 
SAN CARLOS, CA – January 19, 2017 — Check Point® Software Technologies Ltd. (NASDAQ: CHKP), today announced its financial results for the fourth quarter and full year ended December 31, 2016.
 
Fourth Quarter 2016:
 
·
Total Revenue: $487 million, a 6 percent increase year over year
·
Software Blades Subscriptions Revenues: $110 million, a 26 percent increase year over year
·
GAAP Operating Income: $241 million, representing 50 percent of revenues
·
Non-GAAP Operating Income: $266 million, representing 55 percent of revenues
·
GAAP EPS: $1.31, a 21 percent increase year over year
·
Non-GAAP EPS: $1.46, a 21 percent increase year over year
·
Deferred Revenues: $1,066 million, an 18 percent increase year over year

Full Year 2016:
 
·
Total Revenue: $1,741 million, a 7 percent increase year over year
·
Software Blades Subscriptions Revenues: $390 million, a 22 percent increase year over year
·
GAAP Operating Income: $852 million, representing 49 percent of revenues
·
Non-GAAP Operating Income: $948 million, representing 54 percent of revenues
·
GAAP EPS: $4.18, a 12 percent increase year over year
·
Non-GAAP EPS: $4.72, a 13 percent increase year over year
 
“We had a great finish to 2016 with healthy business growth in all geographies and a nice increase in new customer wins. We realized triple digit growth across our focus areas of mobile and advanced threat prevention, while security gateways delivered double digit growth,” said Gil Shwed, founder and chief executive officer, “It’s great to see the business investments made over the past few years coming to fruition and underscoring a strong quarter.”
 
Financial Highlights for the Fourth Quarter of 2016:
·
Total Revenue: $487 million compared to $458 million in the fourth quarter of 2015.
·
GAAP Operating Income: $241 million compared to $239 million in the fourth quarter of 2015.
·
Non-GAAP Operating Income: $266 million compared to $262 million in the fourth quarter of 2015.
·
GAAP Taxes on Income:  $30 million compared to $54 million the fourth quarter of 2015.
 
©2017 Check Point Software Technologies Ltd. All rights reserved | P. 2

 
·
GAAP Net Income and Earnings per Diluted Share: GAAP net income was $222 million compared to $195 million in the fourth quarter of 2015. GAAP earnings per diluted share were $1.31 compared to $1.08 in the fourth quarter of 2015.
·
Non-GAAP Net Income: Non-GAAP net income was $247 million compared to $216 million in the fourth quarter of 2015.
·
Non-GAAP Earnings per Diluted Share: $1.46 compared to $1.20 in the fourth quarter of 2015.
·
Deferred Revenues: As of December 31, 2016, deferred revenues were $1,066 million compared to $906 million as of December 31, 2015.
·
Cash Flow: Cash flow from operations of $183 million compared to $212 million in the fourth quarter of 2015.
·
Share Repurchase Program: During the Fourth quarter of 2016, the company repurchased 3 million shares at a total cost of $248 million.
·
Cash Balances, Marketable Securities and Short Term Deposits: $3,669 million as of December 31, 2016, compared to $3,615 million as of December 31, 2015.

Financial Highlights for the Year Ended December 31, 2016
 
·
Total Revenues: $1,741 million compared to $1,630 million in 2015.
·
GAAP Operating Income: $852 million compared to $840 million in 2015.
·
Non-GAAP Operating Income: $948 million compared to $927 million in 2015.
·
GAAP Taxes on Income: $172 million compared to $188 million in 2015.
·
GAAP Net Income and Earnings per Diluted Share: GAAP net income was $725 million compared to $686 million in 2015. GAAP earnings per diluted share were $4.18 compared to $3.74 in 2015.
·
Non-GAAP Net Income and Earnings per Diluted Share: Non-GAAP net income was $818 million compared to $766 million in 2015. Non-GAAP earnings per diluted share were $4.72 compared to $4.17 in 2015.
·
Cash Flow: Cash flow from operations of $923 million compared to $917 million in 2015.
·
Share Repurchase Program: In 2016, the company repurchased approximately 12 million shares at a total cost of $988 million.
 
For information regarding the non-GAAP financial measures discussed in this release, as well as a reconciliation of such non-GAAP financial measures to the most directly comparable GAAP financial measures, please see “Use of Non-GAAP Financial Information” and “Reconciliation of GAAP to Non-GAAP Financial Information.”

2016 Business Highlights

January – New Data Center & Enterprise Security Gateway Series (15000 & 23000), delivering advanced threat prevention at high speeds.

February SandBlast Agent, expanding the company’s advanced security and zero-day protection technology to PC endpoint devices.

February – Small Business Security Gateway (700 series), bringing Check Point enterprise-grade security technology to companies with less than 100 employees.

©2017 Check Point Software Technologies Ltd. All rights reserved | P. 3

February Check Point and IBM Partnership announced an expanding alliance that includes threat intelligence sharing.

March Next Generation Security Management (R80), building on Check Point’s best-in-class technology to offer IT leaders the ability to consolidate security environments, with unified security policies and automation of security tasks.

April – New Branch Office, Small & Midsize Enterprise Security Gateways (1400, 3000, and 5000), delivering advanced threat prevention technology at the fastest speeds.

May SandBlast Cloud, delivering Check Point’s advanced threat prevention solutions to Microsoft Office 365 cloud service.

August SandBlast Agent for Browsers, providing browser level protection against downloading malicious files and breakthrough technology against data theft and phishing sites.

September – Expanded cloud security offering to the Cisco ACI environment.

November – Amazon Cloud certification for Check Point vSEC solution providing advanced threat prevention in the Amazon AWS Cloud.

December – No More Ransom (NMR) Check Point has joined the global project, to contribute our expertise to help develop new solutions and offer new possibilities to the victims of ransomware. Members include enforcement agencies from 22 countries across Europe, as well as The European Commission and cybersecurity specialist companies.

Industry Accolades:  Check Point Technology Leadership in 2016

Gartner
Leader Enterprise Network Firewall Market Quadrant 2016 (17th year in a row)
Leader Unified Threat Management Magic Quadrant 2016 (5th year in a row)
Only vendor to be a Magic Quadrant Leader for both market segments
 
NSS Labs
Recommended in Next Generation Firewall Test 2016
Recommended in Breach Detection Systems Test 2016
Recommended in Intrusion Prevention Systems Test 2016
13th consecutive NSS Labs win, only vendor with 100% Recommended ratings from NSS Labs

Forrester: Leader in the Forrester Automated Malware Analysts Wave 

Common Criteria Certification: Check Point was awarded Common Criteria (CC) certification for R77.30, following a rigorous third-party evaluation and testing process.

CRN Channel Chief Award: Check Point President, Amnon Bar-Lev, was named one of CRN’s 2015 Channel Chiefs for the 9th year in a row.

©2017 Check Point Software Technologies Ltd. All rights reserved | P. 4

Our security research organization has also continued to expose vulnerabilities in today’s internet infrastructure, which included critical vulnerabilities in mobile equipment and applications, such as:

2016 Security Report – Check Point researchers analyzed the activity of more than 31,000 Check Point gateways worldwide, revealing specific details on the challenges enterprises are encountering with unknown malware, attack trends, and the impact of having more mobile devices in the enterprise. 

Gooligan – Check Point revealed over one million Google accounts were compromised. This began with Android malware that roots Android devices and steals email addresses and authentication tokens stored on them. With this information, attackers can access users’ sensitive data from Gmail, Google Photos, Google Docs, Google Play, Google Drive, and G Suite.

SideStepper A vulnerability that can be used to install malicious enterprise apps on iPhone and iPad devices enrolled with a mobile device management (MDM) solution.

EZCast Vulnerability HDMI dongle-based TV streamer that converts non-connected TVs into smart TVs allowing hacker’s ability to gain unauthorized access to an EZCast subscriber’s home network.

HummingBad – Malware to control 10 million mobile devices globally allowing hackers to manipulate the devices into downloading apps and clicking on advertisements to benefit the coalition of developers behind the malware.

Viking Horde Android malware campaign on Google Play that conducts ad fraud, but can also be used for other attack purposes such as DDoS attacks, spam messages and more.

Nuclear Exploit Kit – One of the world’s largest attack infrastructures used in the Malware-as-a-Service industry which facilitate the delivery of various types of malware such as ransomware and banking Trojans.

Cerber  Check Point researchers had unprecedented behind-the-scenes insight into one of the largest active ransomware campaigns.

QuadRooter  A set of four vulnerabilities in QualComm chipset drivers making at least 900 million Android smartphones and tablets vulnerable for hackers to gain complete control of devices and unrestricted access to the sensitive personal and enterprise data on them.

ImageGate A new attack vector which embeds malware in image and graphic files that are sent in social networks such as Facebook.

DressCode  Android malware discovered on Google Play which was embedded into more than 40 apps, and found in more than 400 additional apps on third party app stores. Between 500,000 and 2,000,000 users downloaded the malicious apps from Google Play.

“2016 was a great year for Check Point.  We continued to expand on our industry-leading security platform with the introduction of new and innovative security solutions for the cloud, mobile and advanced threat prevention.  In addition, we introduced a complete refresh of our security gateways products enabling customers to deploy increasing layers of security to address the escalating number of cyberattacks.  As we move into 2017, we continue to focus on providing customers with an industry-leading security platform designed to prevent cyber threats from penetrating the business environment,” concluded Shwed.

©2017 Check Point Software Technologies Ltd. All rights reserved | P. 5

First Quarter 2017 Investor Conference Participation Schedule:
 
·
Goldman Sachs Technology & Internet Conference 2017
February 16, 2017 –San Francisco, CA
 
·
JMP Securities 2017 Technology Conference
February 27, 2017 –San Francisco, CA
 
·
Raymond James 38th Annual Institutional Investor Conference
March 6, 2017 – Orlando, FL
 
·
Susquehanna 6th Annual Semi & Technology Conference*
March 9, 2017 – New York, NY
 
* Investor meetings only
 
Members of Check Point's management team are expected to present at these conferences and discuss the latest company strategies and initiatives. Check Point’s conference presentations are expected to be available via webcast on the company's web site. To view these presentations and access the most updated information please visit the company's web site at www.checkpoint.com/ir. The schedule is subject to change.

Conference Call and Webcast Information
Check Point will host a conference call with the investment community on January 19, 2017, at 8:30 AM ET/5:30 AM PT. To listen to the live webcast, please visit the website at: www.checkpoint.com/ir. A replay of the conference call will be available through January 26, 2017 on the company's website or by telephone at +1.201.612.7415, replay ID number 13652946.
 
About Check Point Software Technologies Ltd.
Check Point Software Technologies Ltd. (www.checkpoint.com) is the largest network cyber security vendor globally, providing industry-leading solutions and protecting customers from cyberattacks with an unmatched catch rate of malware and other types of threats. Check Point offers a complete security architecture defending enterprises – from networks to mobile devices – in addition to the most comprehensive and intuitive security management. Check Point protects over 100,000 organizations of all sizes.

©2017 Check Point Software Technologies Ltd. All rights reserved
 
©2017 Check Point Software Technologies Ltd. All rights reserved | P. 6

Legal Notice Regarding Forward-Looking Statements
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934.  Forward-looking statements generally relate to future events or our future financial or operating performance. Forward-looking statements in this press release include, but are not limited to, statements related to our expectations regarding our products and solutions, our continued focus on providing customers with an industry leading security platform designed to prevent cyber security attacks on their evolving infrastructure and our participation in investor conferences during the first quarter of 2017.  Our expectations and beliefs regarding these matters may not materialize, and actual results or events in the future are subject to risks and uncertainties that could cause actual results or events to differ materially from those projected.  These risks include our ability to continue to develop platform capabilities and solutions; customer acceptance and purchase of our existing solutions and new solutions; the market for IT security continuing to develop; competition from other products and services; and general market, political, economic and business conditions.  The forward-looking statements contained in this press release are also subject to other risks and uncertainties, including those more fully described in our filings with the Securities and  Exchange Commission, including our Annual Report on Form 20-F filed with the Securities and Exchange Commission on April 28, 2016 The forward-looking statements in this press release are based on information available to Check Point as of the date hereof, and Check Point disclaims any obligation to update any forward-looking statements, except as required by law.

Use of Non-GAAP Financial Information
In addition to reporting financial results in accordance with generally accepted accounting principles, or GAAP, Check Point uses non-GAAP measures of operating income, net income and earnings per diluted share, which are adjustments from results based on GAAP to exclude, as applicable, stock-based compensation charges, amortization of intangible assets and acquisition related expenses and the related tax affects. Check Point’s management believes the non-GAAP financial information provided in this release is useful to investors’ understanding and assessment of Check Point’s ongoing core operations and prospects for the future. Historically, Check Point has also publicly presented these supplemental non-GAAP financial measures in order to assist the investment community to see the Company “through the eyes of management,” and thereby enhance understanding of its operating performance. The presentation of this non-GAAP financial information is not intended to be considered in isolation or as a substitute for results prepared in accordance with GAAP. A reconciliation of the non-GAAP financial measures discussed in this press release to the most directly comparable GAAP financial measures is included with the financial statements contained in this press release. Management uses both GAAP and non-GAAP information in evaluating and operating business internally and as such has determined that it is important to provide this information to investors.

©2017 Check Point Software Technologies Ltd. All rights reserved | P. 7

CHECK POINT SOFTWARE TECHNOLOGIES LTD.
CONSOLIDATED STATEMENT OF INCOME

 (In thousands, except per share amounts)

   
Three Months Ended
   
Year Ended
 
   
December 31,
   
December 31,
 
   
2016
   
2015
   
2016
   
2015
 
   
(unaudited)
   
(unaudited)
   
(unaudited)
   
(audited)
 
Revenues:
                       
   Products and licenses
 
$
177,055
   
$
173,993
   
$
572,964
   
$
555,792
 
   Software Blades subscriptions
   
110,482
     
88,026
     
389,885
     
318,624
 
Total revenues from products and software blades
   
287,537
     
262,019
     
962,849
     
874,416
 
   Software updates and maintenance
   
199,170
     
196,053
     
778,452
     
755,422
 
Total revenues
   
486,707
     
458,072
     
1,741,301
     
1,629,838
 
                                 
Operating expenses:
                               
   Cost of products and licenses
   
32,559
     
31,825
     
105,967
     
101,158
 
Cost of software blades subscriptions
   
4,146
     
1,961
     
10,841
     
7,623
 
Total cost of products and software blades
   
36,705
     
33,786
     
116,808
     
108,781
 
Cost of Software updates and maintenance
   
21,475
     
20,388
     
83,011
     
78,468
 
   Amortization of technology
   
546
     
546
     
2,184
     
1,808
 
Total cost of revenues
   
58,726
     
54,720
     
202,003
     
189,057
 
                                 
   Research and development
   
47,741
     
40,030
     
178,372
     
149,279
 
   Selling and marketing
   
116,824
     
101,198
     
420,526
     
359,804
 
   General and administrative
   
22,006
     
23,134
     
88,130
     
91,981
 
Total operating expenses
   
245,297
     
219,082
     
889,031
     
790,121
 
                                 
Operating income
   
241,410
     
238,990
     
852,270
     
839,717
 
Financial income, net
   
10,494
     
9,168
     
44,402
     
34,073
 
Income before taxes on income
   
251,904
     
248,158
     
896,672
     
873,790
 
Taxes on income
   
29,950
     
53,554
     
171,825
     
187,924
 
Net income
 
$
221,954
   
$
194,604
   
$
724,847
   
$
685,866
 
Basic earnings per share
 
$
1.33
   
$
1.11
   
$
4.26
   
$
3.83
 
Number of shares used in computing basic earnings per share
   
167,220
     
175,907
     
170,155
     
179,218
 
Diluted earnings per share
 
$
1.31
   
$
1.08
   
$
4.18
   
$
3.74
 
Number of shares used in computing diluted earnings per share
   
169,557
     
179,975
     
173,296
     
183,619
 

©2017 Check Point Software Technologies Ltd. All rights reserved | P. 8

 
CHECK POINT SOFTWARE TECHNOLOGIES LTD.
RECONCILIATION OF GAAP TO NON GAAP FINANCIAL INFORMATION

 (In thousands, except per share amounts)

   
Three Months Ended
   
Year Ended
 
   
December 31,
   
December 31,
 
   
2016
   
2015
   
2016
   
2015
 
   
(unaudited)
   
(unaudited)
   
(unaudited)
   
(unaudited)
 
                         
GAAP operating income
 
$
241,410
   
$
238,990
   
$
852,270
   
$
839,717
 
Stock-based compensation (1)
   
21,698
     
19,768
     
82,732
     
76,302
 
Amortization of intangible assets and acquisition related expenses (2)
   
3,272
     
3,309
     
13,130
     
11,221
 
Non-GAAP operating income
 
$
266,380
   
$
262,067
   
$
948,132
   
$
927,240
 
                                 
GAAP net income
 
$
221,954
   
$
194,604
   
$
724,847
   
$
685,866
 
Stock-based compensation (1)
   
21,698
     
19,768
     
82,732
     
76,302
 
Amortization of intangible assets and acquisition related expenses (2)
   
3,272
     
3,309
     
13,130
     
11,221
 
Taxes on the above items (3)
   
273
     
(1,682
)
   
(2,467
)
   
(7,186
)
Non-GAAP net income
 
$
247,197
   
$
215,999
   
$
818,242
   
$
766,203
 
                                 
Diluted GAAP Earnings per share
 
$
1.31
   
$
1.08
   
$
4.18
   
$
3.74
 
Stock-based compensation (1)
   
0.13
     
0.11
     
0.48
     
0.41
 
Amortization of intangible assets and acquisition related expenses (2)
   
0.02
     
0.02
     
0.07
     
0.06
 
Taxes on the above items (3)
   
-
     
(0.01
)
   
(0.01
)
   
(0.04
)
Diluted Non-GAAP Earnings per share
 
$
1.46
   
$
1.20
   
$
4.72
   
$
4.17
 
                                 
Number of shares used in computing diluted  Non-GAAP earnings per share
   
169,557
     
179,975
     
173,296
     
183,619
 
                                 
(1) Stock-based compensation:
                               
   Cost of products and licenses
 
$
16
   
$
18
   
$
66
   
$
65
 
   Cost of software updates and maintenance
   
552
     
410
     
2,087
     
1,520
 
   Research and development
   
3,427
     
3,008
     
12,718
     
11,544
 
   Selling and marketing
   
5,857
     
4,238
     
19,168
     
16,351
 
   General and administrative
   
11,846
     
12,094
     
48,693
     
46,822
 
     
21,698
     
19,768
     
82,732
     
76,302
 
                                 
(2) Amortization of intangible assets and acquisition related expenses:
                               
   Amortization of technology-cost of revenues
   
546
     
546
     
2,184
     
1,808
 
   Research and development
   
1,897
     
1,897
     
7,588
     
6,146
 
   Selling and marketing
   
829
     
866
     
3,358
     
3,267
 
     
3,272
     
3,309
     
13,130
     
11,221
 
(3) Taxes on the above items
   
273
     
(1,682
)
   
(2,467
)
   
(7,186
)
 
Total, net
 
$
25,243
   
$
21,395
   
$
93,395
   
$
80,337
 

©2017 Check Point Software Technologies Ltd. All rights reserved | P. 9

CHECK POINT SOFTWARE TECHNOLOGIES LTD.
CONDENSED CONSOLIDATED BALANCE SHEET DATA

(In thousands)

ASSETS
 
   
December 31,
   
December 31,
 
   
2016
   
2015
 
   
(unaudited)
   
(audited)
 
Current assets:
           
Cash and cash equivalents
 
$
187,428
   
$
192,312
 
Marketable securities and short-term deposits
   
1,185,499
     
1,091,915
 
Trade receivables, net
   
478,507
     
410,763
 
Prepaid expenses and other current assets
   
41,021
     
40,844
 
Total current assets
   
1,892,455
     
1,735,834
 
                 
Long-term assets:
               
Marketable securities
   
2,296,097
     
2,331,187
 
Property and equipment, net
   
61,859
     
48,692
 
Severance pay fund
   
4,617
     
5,262
 
Deferred tax asset, net
   
94,608
     
65,711
 
Goodwill and other intangible assets, net
   
834,167
     
838,020
 
Other assets
   
33,833
     
45,174
 
Total long-term assets
   
3,325,181
     
3,334,046
 
                 
Total assets
 
$
5,217,636
   
$
5,069,880
 

LIABILITIES AND
SHAREHOLDERS’ EQUITY
 
Current liabilities:
           
Deferred revenues
 
$
814,418
   
$
717,528
 
Trade payables and other accrued liabilities
   
351,440
     
339,325
 
Total current liabilities
   
1,165,858
     
1,056,853
 
                 
Long-term liabilities:
               
Long-term deferred revenues
   
251,166
     
188,255
 
Income tax accrual
   
300,536
     
283,215
 
Deferred tax liability, net
   
-
     
240
 
Accrued severance pay
   
8,953
     
9,451
 
     
560,655
     
481,161
 
                 
Total liabilities
   
1,726,513
     
1,538,014
 
                 
Shareholders’ equity:
               
Share capital
   
774
     
774
 
Additional paid-in capital
   
1,139,642
     
987,331
 
Treasury shares at cost
   
(4,956,172
)
   
(4,043,271
)
Accumulated other comprehensive loss
   
(9,250
)
   
(4,250
)
Retained earnings
   
7,316,129
     
6,591,282
 
Total shareholders’ equity
   
3,491,123
     
3,531,866
 
 
Total liabilities and shareholders’ equity
 
$
5,217,636
   
$
5,069,880
 
Total cash and cash equivalents, marketable securities and short-term deposits
 
$
3,669,024
   
$
3,615,414
 

©2017 Check Point Software Technologies Ltd. All rights reserved | P. 10

CHECK POINT SOFTWARE TECHNOLOGIES LTD.
SELECTED CONSOLIDATED CASH FLOW DATA

(In thousands)
 
   
Three Months Ended
   
Year Ended
 
   
December 31,
   
December 31,
 
   
2016
   
2015
   
2016
   
2015
 
   
(unaudited)
   
(unaudited)
   
(unaudited)
   
(unaudited)
 
Cash flow from operating activities:
                       
Net income
 
$
221,954
   
$
194,604
   
$
724,847
   
$
685,866
 
Adjustments to reconcile net income to net cash provided by operating activities:
                               
Depreciation of property and equipment
   
2,391
     
2,817
     
10,883
     
10,358
 
Amortization of intangible assets
   
953
     
990
     
3,853
     
3,612
 
Stock-based compensation
   
21,698
     
19,768
     
82,732
     
76,302
 
Realized gain on marketable securities
   
(126
)
   
(113
)
   
(2,993
)
   
(16
)
Decrease in trade and other receivables, net
   
(218,044
)
   
(188,964
)
   
(56,510
)
   
(64,788
)
Increase in deferred revenues, trade payables and other accrued liabilities
   
194,691
     
208,911
     
210,904
     
241,009
 
Excess tax benefit from stock-based compensation
   
(9,180
)
   
(13,303
)
   
(17,380
)
   
(19,376
)
Deferred income taxes, net
   
(31,611
)
   
(12,731
)
   
(33,487
)
   
(15,847
)
Net cash provided by operating activities
   
182,726
     
211,979
     
922,849
     
917,120
 
                                 
Cash flow from investing activities:
                               
                                 
Cash paid in conjunction with acquisitions, net of acquired cash
   
-
     
-
     
-
     
(96,544
)
Investment in property and equipment
   
(6,257
)
   
(7,142
)
   
(24,050
)
   
(17,348
)
Net cash used in investing activities
   
(6,257
)
   
(7,142
)
   
(24,050
)
   
(113,892
)
                                 
Cash flow from financing activities:
                               
Proceeds from issuance of shares upon exercise of options
   
49,357
     
48,763
     
129,196
     
102,852
 
Purchase of treasury shares
   
(247,960
)
   
(249,290
)
   
(987,897
)
   
(985,735
)
Excess tax benefit from stock-based compensation
   
9,180
     
13,303
     
17,380
     
19,376
 
Net cash used in financing activities
   
(189,423
)
   
(187,224
)
   
(841,321
)
   
(863,507
)
                                 
Unrealized loss on marketable securities, net
   
(25,877
)
   
(14,501
)
   
(3,868
)
   
(7,240
)
                                 
Increase (decrease) in cash and cash equivalents, marketable securities and short term deposits
   
(38,831
)
   
3,112
     
53,610
     
(67,519
)
                                 
Cash and cash equivalents, marketable securities and short term deposits at the beginning of the period
   
3,707,855
     
3,612,302
     
3,615,414
     
3,682,933
 
                                 
Cash and cash equivalents, marketable securities and short term deposits at the end of the period
 
$
3,669,024
   
$
3,615,414
   
$
3,669,024
   
$
3,615,414
 


©2017 Check Point Software Technologies Ltd. All rights reserved | P. 11

 
Signatures
 
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, thereunto duly authorized.
 
  CHECK POINT SOFTWARE TECHNOLOGIES LTD.  
       
By:
/s/ Tal Payne  
    Tal Payne  
    Chief Financial Officer & Chief Operating Officer  
       
January 19, 2017
 
 
©2017 Check Point Software Technologies Ltd. All rights reserved | P. 12