Magic Software Enterprises Ltd. (NASDAQ:MGIC) Q2 2019 Earnings Conference Call - Final Transcript
Aug 13, 2019 • 10:00 am ET
the full-year of 2019 will range between 19% and 21%.
Our non-GAAP net income for the second quarter increased 1% to $7.1 million or $0.14 cents per fully diluted share, compared to $7 million or $0.16 of fully diluted in the same period last year. Earnings per share for the second quarter of 2019 were negatively impacted by an amount of $1.04 per fully diluted share compared to the same period last year, resulting from the Company's private placement of 4.3 million shares to Israeli institutional investors concluded on the third quarter of 2018.
Turning now to the balance sheet, as of June 30, 2019, cash and cash equivalents, short-term bank deposits and marketable securities amounted to approximately $160 million compared to approximately $160 million at the end of 2018. Our total financial depth as of June 30 amounted to $29 million. From a cash flow perspective, we generated $15.9 million from operating activities in the second quarter and $26.6 million during the first half of this year.
In our press release issued today, we announced that Magic Software Enterprise Board of Directors have declared a semi-annual cash dividend in the amount of $0.156 per share and in the aggregate amount of approximately $7.6 million for the first half of 2019, reflecting approximately 75% of our net income and 30% of our cash flow from operating activities for the first half of 2019.
In summary, this quarter's strong financial results demonstrate that Magic is continuing its impressive forward momentum with growth in both revenues and profits. A record breaking first half results for 2019 confirmed that our strategic business initiative are paying off. On the M&A front, we continue with our effort to find potential companies that fit our strategy and our evaluation range.
We are currently looking for small-to-mid sized companies with revenues in the range of $20 million to $50 million, which we follow our strategy, geographic expansion, complementary products and customer base.
With that, I will now turn the call over to the operator for questions.