Constellation Software Announces 4th Quarter 2015

Constellation Software is a leading provider of software and services to a select group of public and private sector markets. We acquire, manage and build industry specific software businesses which provide specialized, mission-critical software solutions that address the particular needs of our customers. Our businesses continuously develop innovative solutions that enable our customers to achieve their objectives. With over 85,000 customers in over 100 countries and a proven track record of solid growth, we're establishing a broad portfolio of software businesses to provide our customers and shareholders with exceptional returns.
About Jack Berlin

Founded Accusoft (Pegasus Imaging) in 1991 and has been CEO ever since.
Very proud of what the team has created with edocr, it is easy to share documents in a personalized way and so very useful at no cost to the user! Hope to hear comments and suggestions at info@edocr.com.
About Jack Berlin

Founded Accusoft (Pegasus Imaging) in 1991 and has been CEO ever since.
<p> 
1
Constellation Software Inc. Announces Results for the Fourth Quarter and  
Year Ended December 31, 2015 and Declares Quarterly Dividend 
 
TORONTO, ONTARIO (February 17, 2016) -- Constellation Software Inc. (TSX:CSU) (“Constellation” or the 
“Company”) today announced its financial results for the fourth quarter and year ended December 31, 2015 and 
declared a $1.00 per share dividend payable on April 5, 2016 to all common shareholders of record at close of 
business on March 18, 2016. This dividend has been designated as an eligible dividend for the purposes of the 
Income Tax Act (Canada).   Please note that all dollar amounts referred to in this press release are in U.S. Dollars 
unless otherwise stated. 
 
The following press release should be read in conjunction with the Company’s annual Consolidated Financial 
Statements, prepared in accordance with International Financial Reporting Standards (“IFRS”) and our annual 
Management’s Discussion and Analysis for the year ended December 31, 2015, which can be found on SEDAR at 
www.sedar.com and on the Company’s website www.csisoftware.com.  Additional information about the Company 
is also available on SEDAR at www.sedar.com. 
 
Q4 2015 Headlines: 
 Revenue grew 16% (negative 1% organic growth) to $512 million compared to $440 million in Q4 2014.  
Changes in foreign exchange rates resulted in an approximate 5% reduction in organic growth. 
 Adjusted EBITA increased $29 million or 28% to $133 million as compared to $104 million in Q4 2014. 
 Adjusted EBITA margin increased 2% from 24% in Q4 2014 to 26% in Q4 2015.  Changes in foreign 
exchange rates resulted in less than a 1% reduction in Adjusted EBITA margin.   
 Adjusted net income increased 36% to $118 million ($5.55 on a diluted per share basis) from $87 million 
($4.09 on a diluted per share basis) in Q4 2014. 
 Net income increased 68% to $66 million ($3.11 on a diluted per share basis) from $39 million ($1.86 on 
a diluted per share basis) in Q4 2014. 
 Nine acquisitions were completed for aggregate cash consideration of $25 million (which includes acquired 
cash).  Deferred payments associated with these acquisitions have an estimated value of $7 million.  
 Cash flows from operations were $114 million, an increase of 18%, or $17 million, compared to $97 million 
in Q4 2014. 
 
2015 Headlines: 
 Revenue grew 10% (negative 3% organic growth) to $1,838 million compared to $1,669 million in 2014.  
Changes in foreign exchange rates resulted in an approximate 6% reduction in organic growth. 
 Adjusted EBITA increased $98 million or 28% to $446 million as compared to $348 million in 2014. 
 Adjusted EBITA margin increased 3% from 21% in 2014 to 24% in 2015.  Changes in foreign exchange 
rates resulted in less than a 1% reduction in Adjusted EBITA margin.   
 Adjusted net income increased 35% to $371 million ($17.51 on a diluted per share basis) from $274 million 
($12.94 on a diluted per share basis) in 2014. 
 Net income increased 72% to $177 million ($8.36 on a diluted per share basis) from $103 million ($4.87 
on a diluted per share basis) in 2014. 
 Thirty-one acquisitions were completed for aggregate cash consideration of $223 million (which includes 
acquired cash).  Deferred payments associated with these acquisitions have an estimated value of $25 
million. 
 Cash flows from operations were $396 million, an increase of 16%, or $55 million, compared to $341 
million in 2014. 
 
Fourth quarter 2015 revenue was $512 million, an increase of 16%, or $72 million, compared to $440 million for 
the comparable period in 2014.  For the 2015 fiscal year total revenues were $1,838 million, an increase of 10%, or 
$169 million, compared to $1,669 million for the comparable period in 2014.  The increase for both the three and 
twelve month periods compared to the same periods in the prior year is attributable to growth from acquisitions as 
the Company experienced negative organic growth of 1% and 3% respectively.  For the three and twelve months 
ended December 31, 2015, the appreciation of the US dollar against most other major currencies in which the 
 
2
Company transacts business resulted in an approximate 5% and 6% respective reduction in the Company’s organic 
growth rate compared to the comparable periods of 2014.  The negative impact of foreign exchange on the 
Company’s Q4 organic growth rate was partially offset by an increase in hardware sales recorded in our public 
sector relating to various large projects in our transit vertical. Hardware revenue is primarily recognized on delivery 
and as such can result in temporary spikes in revenue. Organic growth in Q4 was positive 1% after adjusting for 
both factors. 
 
Adjusted EBITA for the fourth quarter of 2015 was $133 million, a 28% increase compared to the prior year’s 
fourth quarter Adjusted EBITA of $104 million. Fourth quarter 2015 Adjusted EBITA per share on a diluted basis 
increased 28% to $6.27, compared to $4.90 for the same period in the prior year.  Adjusted EBITA for the 2015 
fiscal year was $446 million, a 28% increase over the 2014 fiscal year Adjusted EBITA of $348 million.  Adjusted 
EBITA per share on a diluted basis for the 2015 fiscal year increased 28% to $21.02, compared to $16.43 for the 
2014 fiscal year. 
 
Adjusted net income for the fourth quarter of 2015 was $118 million, compared to the prior year’s fourth quarter 
Adjusted net income of $87 million, a 36% increase. Fourth quarter 2015 Adjusted net income per share on a diluted 
basis increased 36% to $5.55 compared to $4.09 for the prior year’s fourth quarter.  Adjusted net income for the 
2015 fiscal year was $371 million, an increase of 35% over the 2014 fiscal year Adjusted net income of $274 
million.  Adjusted net income per share on a diluted basis for the 2015 fiscal year increased 35% to $17.51, 
compared to $12.94 for the 2014 fiscal year. 
 
Net income for the fourth quarter 2015 was $66 million compared to the prior year’s fourth quarter net income of 
$39 million.  Net income per share on a diluted per share basis for the fourth quarter of 2015 increased 68% to 
$3.11, compared to $1.86 for the same period of 2014.  Net income for the 2015 fiscal year was $177 million, an 
increase of 72% over net income of $103 million for the 2014 fiscal year.  Net income per share on a diluted basis 
for the 2015 fiscal year increased 72% to $8.36, compared to $4.87 for the 2014 fiscal year. 
 
Cash flows from operations for the fourth quarter of 2015 were $114 million, an increase of 18%, or $17 million, 
compared to $97 million for the comparable period in 2014.  For the 2015 fiscal year cash flows from operations 
were $396 million, an increase of 16%, or $55 million, compared to $341 million for the 2014 fiscal year. 
 
The following table displays our revenue by reportable segment and the percentage change for the quarter and year 
ended December 31, 2015 compared to the same periods in 2014: 
 
 
2015
2014
$
%
2015
2014
$
%
Public Sector
Licenses
22.0
     
22.1
         
(0.1)
      
-1%
85.8
        
77.5
     
8.3
       
11%
Professional services 
83.1
     
87.4
         
(4.3)
      
-5%
310.6
      
327.0
   
(16.4)
     
-5%
Hardware and other
46.4
     
30.5
         
15.9
     
52%
126.3
      
116.3
   
10.0
      
9%
Maintenance and other recurring
196.6
    
165.3
       
31.3
     
19%
740.8
      
650.7
   
90.1
      
14%
348.1
    
305.3
       
42.8
     
14%
1,263.6
   
1,171.6
 
92.0
      
8%
Private Sector
Licenses
12.4
     
11.5
         
0.8
       
7%
45.2
        
41.3
     
3.8
       
9%
Professional services 
20.4
     
18.0
         
2.3
       
13%
74.0
        
69.1
     
4.8
       
7%
Hardware and other
6.9
       
7.1
           
(0.1)
      
-2%
26.6
        
23.0
     
3.6
       
15%
Maintenance and other recurring
123.8
    
97.8
         
26.0
     
27%
429.0
      
364.3
   
64.7
      
18%
163.5
    
134.5
       
29.0
     
22%
574.7
      
497.7
   
76.9
      
15%
Three months ended  
December 31,
Period-Over-
Period Change
Fiscal year ended   
December 31,
Period-Over-
Period Change
($M, except percentages)
($M, except percentages)
 
3
 
Public Sector 
For the quarter ended December 31, 2015, total revenue in the public sector reportable segment increased by 14%, 
or $43 million to $348 million, compared to $305 million for the quarter ended December 31, 2014. For the fiscal 
year ended December 31, 2015, total revenue increased by 8%, or $92 million to $1,264 million, compared to 
$1,172 million for the comparable period in 2014.  Total revenue growth from acquired businesses contributed 
approximately $44 million to our Q4 2015 revenues and $134 million to our fiscal year ended December 31, 2015 
revenues compared to the same periods in 2015, as we completed 27 acquisitions since the beginning of 2014.  
Organic revenue growth was 0% in Q4 2015 and negative 3% for the year ended December 31, 2015 compared to 
the same periods in 2014.  For the three and twelve months ended December 31, 2015 the appreciation of the US 
dollar against most other major currencies in which the Company transacts business resulted in approximate 5% 
and 6% respective reductions in the public sector revenue organic growth rates compared to the comparable periods 
of 2014.  The negative impact of foreign exchange on the public sector Q4 organic growth rate was offset by an 
increase in hardware sales relating to various large projects in our transit vertical. Hardware revenue is primarily 
recognized on delivery and as such can result in temporary spikes in revenue. Organic growth for the public sector 
in Q4 was 0% after adjusting for both factors.   
Private Sector 
For the quarter ended December 31, 2015, total revenue in the private sector reportable segment increased 22%, or 
$29 million to $164 million, compared to $135 million for the quarter ended December 31, 2014. For the fiscal year 
ended December 31, 2015, total revenue increased by 15%, or $77 million to $575 million, compared to $498 
million for the comparable period in 2014.  Total revenue growth from acquired businesses contributed 
approximately $32 million to our Q4 2015 revenues and $88 million to our fiscal year ended December 31, 2015 
revenues compared to the same periods in 2014, as we completed 27 acquisitions since the beginning of 2014.  
Organic revenue growth was negative 2% for both the three and twelve months ended December 31, 2015 compared 
to the same periods in 2014.  For the three and twelve months ended December 31, 2015, the appreciation of the 
US dollar against most other major currencies in which the Company transacts business resulted in approximate 
4% and 5% respective reductions in the private sector revenue organic growth rates compared to the comparable 
periods of 2014. 
 
Conference Call and Webcast 
Management will host a conference call at 8:00 a.m. (ET) on Friday, February 19, 2016 to answer questions 
regarding the results.  The teleconference numbers are 416-340-8530 or 800-952-4972.  The call will also be 
webcast live and archived on Constellation’s website at www.csisoftware.com.   
 
A replay of the conference call will be available as of 12:30 a.m. ET the same day until 11:59 p.m. ET on March 4, 
2016. To access the replay, please dial 905-694-9451 or 800-408-3053 followed by the passcode 7911261. 
 
Forward Looking Statements  
 
Certain statements herein may be “forward looking” statements that involve known and unknown risks, 
uncertainties and other factors that may cause the actual results, performance or achievements of Constellation or 
the industry to be materially different from any future results, performance or achievements expressed or implied 
by such forward-looking statements.  Forward looking statements involve significant risks and uncertainties, should 
not be read as guarantees of future performance or results, and will not necessarily be accurate indications of 
whether or not such results will be achieved.  A number of factors could cause actual results to vary significantly 
from the results discussed in the forward looking statements.  These forward looking statements reflect current 
assumptions and expectations regarding future events and operating performance and are made as of the date hereof 
and Constellation assumes no obligation, except as required by law, to update any forward looking statements to 
reflect new events or circumstances.    
 
 
4
 
 
Non-IFRS Measures 
 
The term ‘‘Adjusted EBITA’’ refers to net income before adjusting for finance and other income, bargain 
purchase gain, finance costs, income taxes, share in net income or loss of equity investees, impairment of non-
financial assets, amortization, TSS membership liability revaluation charge, and foreign exchange gain or loss.  The 
Company believes that Adjusted EBITA is useful supplemental information as it provides an indication of the 
results generated by the Company’s main business activities prior to taking into consideration how those activities 
are financed and taxed and also prior to taking into consideration intangible asset amortization and the other items 
listed above.  ‘‘Adjusted EBITA margin’’ refers to the percentage that Adjusted EBITA for any period represents 
as a portion of total revenue for that period.  Previously the Company has reported “Adjusted EBITDA” in certain 
financial disclosures, but has determined that Adjusted EBITA is a more meaningful measure going forward.  
Adjusted EBITDA refers to Adjusted EBITA as defined above then further excludes depreciation.  The Company 
uses depreciation as a proxy for the cash flows used to purchase property and equipment required to support the 
Company’s main business activities.  As such, the Company believes Adjusted EBITA is a more useful measure 
then Adjusted EBITDA. 
‘‘Adjusted net income’’ means net income adjusted for non-cash expenses (income) such as amortization 
of intangible assets, deferred income taxes, the TSS membership liability revaluation charge, and certain other 
expenses (income), and excludes the portion of the adjusted net income of Total Specific Solutions (TSS) B.V. 
(“TSS”) attributable to the minority owners of TSS.  The Company believes that Adjusted net income is useful 
supplemental information as it provides an indication of the results generated by the Company’s main business 
activities prior to taking into consideration amortization of intangible assets, deferred income taxes, the TSS 
membership liability revaluation charge, and certain other non-cash expenses (income) incurred or recognized by 
the Company from time to time, and adjusts for the portion of TSS’ Adjusted net income not attributable to 
shareholders of Constellation.  ‘‘Adjusted net income margin’’ refers to the percentage that Adjusted net income 
for any period represents as a portion of total revenue for that period. 
Adjusted EBITA and Adjusted net income are not recognized measures under IFRS and, accordingly, 
readers are cautioned that Adjusted EBITA and Adjusted net income should not be construed as alternatives to net 
income determined in accordance with IFRS.  The Company’s method of calculating Adjusted EBITA and Adjusted 
net income may differ from other issuers and, accordingly, Adjusted EBITA and Adjusted net income may not be 
comparable to similar measures presented by other issuers.  Adjusted EBITA includes 100% of the Adjusted EBITA 
of TSS. 
 
5
  The following table reconciles Adjusted EBITA to net income:  
 
 
 
 
The following table reconciles Adjusted net income to net income:  
 
 
 
 
 
About Constellation Software Inc. 
 
Constellation's common shares are listed on the Toronto Stock Exchange under the symbol "CSU". Constellation 
acquires, manages and builds vertical market software businesses. 
2015
2014
2015
2014
Total revenue
511.6
       
439.8
   
1,838.3
     
1,669.3
 
Net income
66.0
         
39.3
     
177.2
        
103.1
    
Adjusted for:
Income tax expense (recovery)
15.8
         
17.6
     
67.1
         
51.8
      
Foreign exchange (gain) loss
(7.3)
          
1.8
       
(15.7)
        
10.5
      
TSS membership liability revaluation charge
7.1
           
-
          
22.2
         
-
           
Share in net (income) loss of equity investees
(0.2)
          
(0.1)
      
(1.1)
          
(0.8)
      
Finance and other income
(1.5)
          
(1.4)
      
(4.8)
          
(4.1)
      
Bargain purchase gain
-
              
(2.2)
      
-
               
(2.2)
      
Finance costs
5.1
           
5.8
       
20.1
         
16.7
      
Amortization of intangible assets
47.9
         
43.2
     
180.5
        
173.2
    
Adjusted EBITA
132.8
       
103.9
   
445.5
        
348.1
    
Adjusted EBITA margin
26%
24%
24%
21%
Three months ended  
December 31,
Fiscal year ended    
December 31,
($M, except percentages)
($M, except percentages)
2015
2014
2015
2014
Total revenue
511.6
       
439.8
   
1,838.3
     
1,669.3
 
Net income
66.0
         
39.3
     
177.2
        
103.1
    
Adjusted for:
Amortization of intangible assets
47.9
         
43.2
     
180.5
        
173.2
    
TSS membership liability revaluation charge
7.1
           
-
          
22.2
         
-
           
Bargain purchase gain
-
              
(2.2)
      
-
               
(2.2)
      
Less non-controlling interest in the Adjusted
   net income of TSS
(3.1)
          
-
          
(12.6)
        
-
           
Deferred income tax expense (recovery)
(0.1)
          
6.3
       
3.6
           
0.2
       
Adjusted net income
117.7
       
86.6
     
371.0
        
274.3
    
Adjusted net income margin
23%
20%
20%
16%
($M, except percentages)
($M, except percentages)
Three months ended  
December 31,
Fiscal year ended    
December 31,
 
6
 
 
For further information: 
 
Jamal Baksh 
Chief Financial Officer  
(416) 861-9677  
info@csisoftware.com 
www.csisoftware.com 
 
SOURCE: CONSTELLATION SOFTWARE INC. 
 
 
 
 
 
7
 
CONSTELLATION SOFTWARE INC.
Consolidated Statements of Financial Position
(In thousands of U.S. dollars)
December 31, 
2015
December 31, 
2014
Assets
Current assets:
Cash
178,471
$          
70,679
$            
Accounts receivable
226,771
            
200,056
            
Work in progress
59,483
               
51,483
              
Inventories
24,332
               
25,246
              
Other assets
67,246
               
63,294
              
556,303
            
410,758
            
Non-current assets:
Property and equipment
42,072
               
37,227
              
Deferred income taxes
56,650
               
60,763
              
Other assets
32,186
               
36,942
              
Intangible assets
952,109
            
887,435
            
1,083,017
         
1,022,367
        
Total assets
1,639,320
$      
1,433,125
$      
Liabilities and Shareholders' Equity
Current liabilities:
Bank indebtedness
‐
$                   
63,894
$            
CNH Facility
8,725
                 
2,432
                 
TSS membership liability
19,602
               
17,345
              
Accounts payable and accrued liabilities 
274,981
            
244,996
            
Dividends payable
21,326
               
21,192
              
Deferred revenue
421,027
            
347,336
            
Provisions
8,420
                 
13,399
              
Acquisition holdback payments
9,116
                 
22,665
              
Income taxes payable
6,561
                 
25,588
              
769,758
            
758,847
            
Non-current liabilities:
CNH Facility
126,407
            
149,654
            
TSS membership liability
34,482
               
30,515
              
Debentures
220,043
            
78,642
              
Deferred income taxes
109,795
            
107,275
            
Acquisition holdback payments
6,987
                 
3,603
                 
Other liabilities
34,566
               
44,758
              
532,280
            
414,447
            
Total liabilities
1,302,038
         
1,173,294
        
Shareholders' equity:
Capital stock
99,283
               
99,283
              
Accumulated other comprehensive income (loss)
(34,319)
             
(19,290)
             
Retained earnings
272,318
            
179,838
            
337,282
            
259,831
            
Total liabilities and shareholders' equity
1,639,320
$      
1,433,125
$      
 
8
CONSTELLATION SOFTWARE INC.
Consolidated Statements of Income
(In thousands of U.S. dollars, except per share amounts)
2015
2014
Revenue
License
131,022
$              
118,868
$               
Professional services
384,583
                
396,128
                 
Hardware and other
152,909
                
139,340
                 
Maintenance and other recurring
1,169,795
             
1,015,008
              
1,838,309
             
1,669,344
              
Expenses
Staff 
912,416
                
881,587
                 
Hardware
90,308
                  
79,532
                  
Third party license, maintenance and professional services
163,684
                
152,191
                 
Occupancy
43,218
                  
41,043
                  
Travel
54,643
                  
50,144
                  
Telecommunications
17,909
                  
16,356
                  
Supplies
10,951
                  
9,849
                    
Software and equipment
30,954
                  
26,978
                  
Professional fees
22,619
                  
22,844
                  
Other, net
29,042
                  
24,278
                  
Depreciation
17,028
                  
16,462
                  
Amortization of intangible assets
180,469
                
173,186
                 
1,573,241
             
1,494,450
              
Foreign exchange loss (gain)
(15,743)
                 
10,528
                  
TSS membership liability revaluation charge
22,244
                  
-
                        
Share in net (income) loss of equity investee
(1,070)
                   
(830)
                      
Finance and other income
(4,772)
                   
(4,109)
                   
Bargain purchase gain
-
                       
(2,246)
                   
Finance costs
20,110
                  
16,680
                  
20,769
                  
20,023
                  
Income before income taxes
244,299
                
154,871
                 
Current income tax expense (recovery)
63,450
                  
51,542
                  
Deferred income tax expense (recovery)
3,601
                    
231
                       
Income tax expense (recovery)
67,051
                  
51,773
                  
Net income
177,248
                
103,098
                 
Earnings per share
Basic and diluted
8.36
$                    
4.87
$                    
Years ended December 31,
 
9
CONSTELLATION SOFTWARE INC.
Consolidated Statements of Comprehensive Income
(In thousands of U.S. dollars, except per share amounts)
2015
2014
Net income
177,248
$               
103,098
$   
Items that are or may be reclassified subsequently to net income:
Net change in fair value 
of available-for-sale financial
asset during the period
-
                        
93
             
Net change in fair value 
of derivatives designated as hedges
during the period
(423)
                      
(546)
          
Amounts reclassified to profit during the period
related to realized gains on
available-for-sale financial asset
-
                        
(574)
          
Foreign currency translation differences from foreign operations
(14,734)
                 
(18,871)
     
Current income tax recovery (expense)
-
                        
35
             
Deferred income tax recovery (expense)
128
                       
124
           
Other comprehensive (loss) income for the period, net of income tax
(15,029)
                 
(19,739)
     
Total comprehensive income for the period
162,219
$               
83,359
$     
Years ended December 31,
 
10
CONSTELLATION SOFTWARE INC.
Consolidated Statements of Changes in Equity
(In thousands of U.S. dollars)
Year ended December 31, 2015
Capital 
stock
Total accumulated 
other comprehensive 
income/(loss)
Retained 
earnings
Total
Cumulative 
translation 
account
Amounts 
related to 
gains/(losses) 
on derivatives 
designed as 
hedges
Amounts 
related to 
gains/losses 
on available-
for-sale 
financial 
assets
Balance at January 1, 2015
$ 99,283
$ (18,880)
$ (410)
-
$           
$ (19,290)
$ 179,838
$ 259,831
Total comprehensive income for the period
Net income
-
             
-
             
-
               
-
             
-
                               
177,248
       
177,248
       
Other comprehensive income (loss)
Net change in fair value
of available-for-sale financial
asset during the period
-
             
-
             
-
               
-
             
-
                               
-
              
-
              
Net change in fair value
of derivatives designated as hedges
during the period
-
             
-
             
(423)
             
-
             
(423)
                             
-
              
(423)
            
Amounts reclassified to profit during the period
related to realized gains on
available-for-sale financial assets
-
             
-
             
-
               
-
             
-
                               
-
              
-
              
Foreign currency translation differences from
foreign operations
-
             
(14,734)
       
-
               
-
             
(14,734)
                        
-
              
(14,734)
       
Current tax recovery (expense)
-
             
-
             
-
               
-
             
-
                               
-
              
-
              
Deferred tax recovery (expense)
-
             
-
             
128
              
-
             
128
                              
-
              
128
             
Total other comprehensive income (loss)
for the period
-
             
(14,734)
       
(295)
             
-
             
(15,029)
                        
-
              
(15,029)
       
Total comprehensive income (loss) for the period
-
             
(14,734)
       
(295)
             
-
             
(15,029)
                        
177,248
       
162,219
       
Transactions with owners, recorded directly in equity
Dividends to shareholders of the Company
-
             
-
             
-
               
-
             
-
                               
(84,768)
       
(84,768)
       
Balance at December 31, 2015
$ 99,283
$ (33,614)
$ (705)
-
$           
$ (34,319)
$ 272,318
$ 337,282
Accumulated other comprehensive 
income/(loss)
 
11
CONSTELLATION SOFTWARE INC.
Consolidated Statements of Changes in Equity
(In thousands of U.S. dollars)
Year ended December 31, 2014
Capital 
stock
Total accumulated 
other comprehensive 
income/(loss)
Retained 
earnings
Total
Cumulative 
translation 
account
Amounts 
related to 
gains/(losses) 
on derivatives 
designed as 
hedges
Amounts 
related to 
gains/losses 
on available-
for-sale 
financial 
assets
Balance at January 1, 2014
$ 99,283
$ (32)
-
$             
$ 481
$ 449
$ 166,267
$ 265,999
Total comprehensive income for the period
Net income
-
             
-
             
-
               
-
             
-
                               
103,098
       
103,098
       
Other comprehensive income (loss)
Net change in fair value 
of available-for-sale financial
assets during the period
-
             
-
             
-
               
93
              
93
                                
-
            
93
               
Net change in fair value
of derivatives designated as hedges
during the year
-
             
-
             
(546)
             
-
             
(546)
                             
(546)
            
Amounts reclassified to profit during the period
related to realized gains on
available-for-sale financial assets
-
             
-
             
-
               
(574)
           
(574)
                             
-
            
(574)
            
Foreign currency translation differences from
foreign operations
-
             
(18,871)
       
-
             
-
            
(18,871)
                        
-
            
(18,871)
       
Current tax recovery (expense)
-
             
35
              
-
               
-
             
35
                                
-
              
35
               
Deferred tax recovery (expense)
-
             
(12)
            
136
             
124
                              
-
            
124
             
Total other comprehensive income for the period
-
             
(18,848)
       
(410)
             
(481)
           
(19,739)
                        
-
              
(19,739)
       
Total comprehensive income for the period
-
             
(18,848)
       
(410)
             
(481)
           
(19,739)
                        
103,098
       
83,359
        
Transactions with owners, recorded directly in equity
Dividends to shareholders of the Company
-
             
-
             
-
               
-
             
-
                               
(84,768)
       
(84,768)
       
Fair value of rights offered to shareholders of the Company
(4,759)
         
(4,759)
         
Balance at December 31, 2014
$ 99,283
$ (18,880)
$ (410)
-
$           
$ (19,290)
$ 179,838
$ 259,831
Accumulated other comprehensive 
income/(loss)
 
12
 
CONSTELLATION SOFTWARE INC.
Consolidated Statements of Cash Flows
(In thousands of U.S. dollars)
2015
2014
Cash flows from operating activities:
Net income
177,248
$             
103,098
$   
Adjustments for:
Depreciation
17,028
                
16,462
      
Amortization of intangible assets
180,469
               
173,186
     
TSS membership liability revaluation charge
22,244
                
-
            
Share in net (income) loss of equity investee
(1,070)
                 
(830)
          
Finance and other income
(4,772)
                 
(4,109)
       
Finance costs
20,110
                
16,680
      
Bargain purchase gain
-
                      
(2,246)
       
Income tax expense (recovery)
67,051
                
51,773
      
Foreign exchange loss (gain)
(15,743)
               
10,528
      
Change in non-cash operating working capital
exclusive of effects of business combinations
3,080
                  
(1,713)
       
Income taxes paid
(69,701)
               
(21,367)
     
Net cash flows from operating activities
395,944
               
341,462
     
Cash flows from (used in) financing activities:
Interest paid
(17,533)
               
(12,877)
     
Increase (decrease) in revolving credit facility, net
(64,500)
               
(84,700)
     
Proceeds from issuance of CNH facility
-
                      
177,000
     
Repayments of CNH facility and TSS Acquisition Facility
(2,199)
                 
(325,813)
    
Credit facility transaction costs
-
                      
(7,166)
       
Proceeds from issuance of debentures
159,709
               
81,233
      
Proceeds from issuance of TSS Membership Liability
-
                      
48,503
      
Distribution to TSS minority owners
(10,879)
               
-
            
Dividends paid
(84,768)
               
(84,768)
     
Net cash flows from (used in) in financing activities
(20,170)
               
(208,588)
    
Cash flows from (used in) investing activities:
Acquisition of businesses, net of cash
acquired
(210,299)
              
(98,688)
     
Post-acquisition settlement payments, net of receipts
(38,473)
               
(22,952)
     
Proceeds from sale of available-for-sale equity securities
-
                      
873
           
Interest and dividends received
570
                     
788
           
Proceeds from sale of assets
-
                      
153
           
Property and equipment purchased
(12,894)
               
(13,868)
     
Net cash flows from (used in) investing activities
(261,096)
              
(133,694)
    
Effect of foreign currency on
cash and cash equivalents
(6,886)
                 
(6,468)
       
Increase (decrease) in cash and cash equivalents
107,792
               
(7,288)
       
Cash, beginning of period
70,679
                
77,967
      
Cash, end of period
178,471
$             
70,679
$     
Year ended December 31,
</p>