Financial Data and Key Metrics Changes - Revenues for Q4 2022 were $17.7 million, a 6.9% increase from $16.6 million in Q4 2021. Full year 2022 revenues were $275.1 million, up 10.5% from $248.9 million in 2021 [7][8] - GAAP gross margin for Q4 2022 was 65.3%, down from 67.2% in Q4 2021. Full year 2022 operating income was $31.3 million compared to $39.5 million in 2021 [8][9] - Non-GAAP net income for Q4 2022 was $11.9 million or $0.36 per diluted share, compared to $13.4 million or $0.39 per diluted share in Q4 2021. Full year 2022 non-GAAP net income was $45 million or $1.35 per diluted share, down from $51.8 million or $1.50 per diluted share in 2021 [9][10] Business Line Data and Key Metrics Changes - Services revenues for Q4 2022 were $28.6 million, a 17.2% increase year-over-year, accounting for 40.5% of total revenues. Annual service revenues increased by 18.1% compared to the previous year [7][8] - Microsoft business grew 18% year-over-year, with Microsoft Teams up 30% year-over-year. Zoom business grew over 50% year-over-year [12][13] - CX business grew 3% year-over-year, with direct enterprise customers growing 13% year-over-year, excluding OEM revenue [12][16] Market Data and Key Metrics Changes - Revenue by geographical region for Q4 2022: North America 47%, EMEA 35%, Asia-Pacific 14%, and Central and Latin America 4% [8] - The top 15 customers represented 57% of revenues in Q4 2022, with 42% attributed to the 10 largest distributors [8] Company Strategy and Development Direction - The company is focusing on enterprise AI and VoiceAI as major growth drivers, with expectations for significant growth in the coming years [12][26] - The strategy includes migrating traditional CapEx to OpEx, with total contract value for live subscriptions exceeding $100 million, up from $90 million in the previous quarter [15][16] - The company aims to leverage digital transformation and vendor consolidation in core UC and CX markets, particularly with partners like Microsoft, Genesys, and Zoom [12][14] Management's Comments on Operating Environment and Future Outlook - Management expressed cautious optimism for 2023, expecting revenue growth in the range of $286 million to $300 million, which translates to 4% to 9% growth [11][19] - The company anticipates improved operating margins due to lower component costs and favorable currency conversion rates [35][44] - Management noted that January 2023 showed stronger performance compared to December 2022, indicating potential for growth [20][34] Other Important Information - The company declared a cash dividend of $0.18 per share, totaling approximately $5.7 million, to be paid on March 7, 2023 [10] - The company ended 2022 with 966 employees, with no increase in headcount during Q4 2022 [11][19] Q&A Session Summary Question: How has macro impacted AudioCodes and what are the expectations for 2023? - Management noted a deceleration in growth, with expectations for 2023 to be below 10% growth, but January showed positive signs [33][34] Question: What was the trend in Microsoft revenue specifically for Teams in Q4? - Microsoft revenue grew by 10% quarter-over-quarter, with Teams accounting for about 90% of this amount [39] Question: How should the company balance growth investments with slower growth expectations in 2023? - Management indicated plans to maintain investments in VoiceAI while managing expenses, expecting OpEx to average around $35 million for 2023 [40][41] Question: What is the outlook for CX business and OEM-related revenue? - OEM revenue has declined to 10% of total CX revenues, with a focus on migrating customers from on-prem to cloud solutions [46][52] Question: How is the mix between CapEx and Live Teams revenue trending? - The trend is moving towards Live, with Live Teams growing 35% year-over-year compared to 8.9% for CapEx Teams [48][49]

4Q 2022 Earnings Call Supplementary Slides Safe Harbor This presentation contains forward-looking statements. All statements contained in this presentation other than statements of historical facts, including, without limitation, future financial and business performance for the fourth quarter 2022, attractiveness of our product offerings and platform and the value proposition of our products, are forward-looking statements. The words "anticipate," "believe," "continue," "estimate," "expect," "intend," "gui ...

Exhibit 1 AudioCodes Press Release P R E S S R E L E A S E Company Contacts Niran Baruch, Chief Financial Officer AudioCodes Tel: +972-3-976-4000 niran.baruch@audiocodes.com Lod, Israel – February 7, 2023 - AudioCodes (NASDAQ: AUDC) Press Release Fourth Quarter and Full Year 2022 Highlights • Quarterly revenues increased by 6.9% year-over-year to $70.7 million; full 2022 year revenues increased by 10.5% to $275.1 million. • Quarterly service revenues increased by 17.2% year-over-year to $28.6 million; full ...

AudioCodes Ltd. (NASDAQ:AUDC) Q3 2022 Earnings Conference Call November 2, 2022 8:30 AM ET Company Participants Roger Chuchen – Vice President of Investor Relations Shabtai Adlersberg – President and Chief Executive Officer Niran Baruch – Vice President of Finance and Chief Financial Officer Conference Call Participants Ryan MacWilliams – Barclays Greg Burns – Sidoti & Company Ryan Koontz – Needham & Company Operator Good morning, ladies and gentlemen, and welcome to the AudioCodes' Third Quarter 2022 Earni ...

AudioCodes Ltd. (NASDAQ:AUDC) Q2 2022 Earnings Conference Call August 2, 2022 8:30 AM ET Company Participants Roger Chuchen - Vice President, Investor Relations Shabtai Adlersberg - President & Chief Executive Officer Niran Baruch - Vice President, Finance & Chief Financial Officer Conference Call Participants Greg Burns - Sidoti & Company Samad Samana - Jefferies Ryan Koontz - Needham & Company Tal Liani - Bank of America Operator Greetings ladies and gentlemen and welcome to the AudioCodes' Second Quarter ...

[AudioCodes Second Quarter 2022 Results](index=1&type=section&id=AudioCodes%20Second%20Quarter%202022%20Results) [Second Quarter 2022 Financial and Operational Highlights](index=1&type=section&id=Second%20Quarter%202022%20Financial%20and%20Operational%20Highlights) AudioCodes reported **$68.4 million** in Q2 2022 revenues, up **12.9%** year-over-year, driven by strong service and enterprise segment growth Key Financial Highlights | Metric | Q2 2022 | YoY Change | | :--- | :--- | :--- | | Total Revenues | $68.4 million | +12.9% | | Service Revenues | $27.8 million | +21.9% | | GAAP Net Income | $6.9 million | -15.9% | | GAAP Diluted EPS | $0.21 | -12.5% | | Non-GAAP Net Income | $11.3 million | -11.0% | | Non-GAAP Diluted EPS | $0.34 | -8.1% | - The company experienced strong growth in its enterprise segment, with the **Microsoft business growing over 20%** and the **Zoom phone business growing over 50%** year-over-year[7](index=7&type=chunk) - AudioCodes Live for Microsoft Teams managed services continued its rapid expansion, reaching an **Annual Recurring Revenue (ARR) of $24 million**, representing **100% growth** over the same quarter last year, with **Total Contract Value (TCV) for Live projects now exceeding $60 million**[7](index=7&type=chunk) - The **Customer Experience (CX) business rebounded, growing by more than 20%** in the quarter, driven by the ongoing digital transformation of contact centers to the cloud[7](index=7&type=chunk) [Management Commentary](index=2&type=section&id=Management%20Commentary) Management highlighted strong Q2 execution in UCC and CX, prioritizing R&D and talent investment despite macro and supply chain issues - CEO Shabtai Adlersberg highlighted the company's **successful execution on key strategic priorities** and the **acceleration of its transition to software products and recurring subscription services**[5](index=5&type=chunk)[6](index=6&type=chunk) - The company is determined to **increase investments in R&D and customer-facing talent** to capitalize on new growth opportunities in its core markets[8](index=8&type=chunk) - Management believes that **ongoing supply chain disruptions are a short-term issue** that should be alleviated in the coming quarters[8](index=8&type=chunk) [Shareholder Returns](index=3&type=section&id=Shareholder%20Returns) AudioCodes returned capital to shareholders in Q2 2022 via **$8.3 million** in share repurchases and an **18 cents per share** cash dividend - During the second quarter, the company **repurchased 374,479 of its ordinary shares** at an aggregate cost of **$8.3 million**[1](index=1&type=chunk)[9](index=9&type=chunk) - In June 2022, the company received **court approval in Israel to purchase up to an additional $35 million of its ordinary shares or declare dividends**, valid through December 12, 2022[9](index=9&type=chunk) - The Board of Directors declared a **cash dividend of 18 cents per share**, payable on August 31, 2022, to shareholders of record on August 17, 2022[10](index=10&type=chunk) [Financial Statements](index=6&type=section&id=Financial%20Statements) [Condensed Consolidated Balance Sheets](index=6&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) Total assets decreased to **$321.2 million** as of June 30, 2022, from **$349.4 million** at year-end 2021, mainly due to cash used for share repurchases and dividends Condensed Consolidated Balance Sheet Summary | Balance Sheet Item (in thousands) | June 30, 2022 (Unaudited) | December 31, 2021 (Audited) | | :--- | :--- | :--- | | Total current assets | $141,083 | $167,553 | | Total assets | $321,164 | $349,364 | | Total current liabilities | $95,631 | $95,943 | | Total liabilities | $138,351 | $143,866 | | Total shareholders' equity | $182,813 | $205,498 | - **Cash, cash equivalents, and various short and long-term deposits and securities totaled $138.5 million** as of June 30, 2022, **down from $174.8 million** as of December 31, 2021, mainly due to share repurchases and dividend payments[5](index=5&type=chunk) [Condensed Consolidated Statements of Operations](index=8&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations) Q2 2022 total revenues increased **12.9%** to **$68.4 million**, but operating income and GAAP net income declined due to higher expenses Condensed Consolidated Statements of Operations Summary | Income Statement (in thousands, except EPS) | Q2 2022 (Unaudited) | Q2 2021 (Unaudited) | | :--- | :--- | :--- | | Total Revenues | $68,360 | $60,575 | | Gross Profit | $44,510 | $42,060 | | Operating Income | $7,922 | $10,132 | | Net Income | $6,936 | $8,240 | | Diluted Net Earnings Per Share | $0.21 | $0.24 | [Reconciliation of GAAP to Non-GAAP Net Income](index=9&type=section&id=Reconciliation%20of%20GAAP%20to%20Non-GAAP%20Net%20Income) Q2 2022 Non-GAAP net income was **$11.3 million** (**$0.34** diluted EPS), adjusted from GAAP for share-based compensation and other non-cash items GAAP to Non-GAAP Net Income Reconciliation | Metric (in thousands, except EPS) | Q2 2022 (Unaudited) | Q2 2021 (Unaudited) | | :--- | :--- | :--- | | GAAP Net Income | $6,936 | $8,240 | | Non-GAAP Net Income | $11,346 | $12,674 | | GAAP Diluted EPS | $0.21 | $0.24 | | Non-GAAP Diluted EPS | $0.34 | $0.37 | - Key adjustments from GAAP to Non-GAAP net income for Q2 2022 included: **Share-based compensation ($3.9 million)**, **amortization expenses ($0.2 million)**, and **deferred tax ($0.9 million)**[23](index=23&type=chunk) [Condensed Consolidated Statement of Cash Flows](index=10&type=section&id=Condensed%20Consolidated%20Statement%20of%20Cash%20Flows) Net cash from operating activities decreased to **$4.8 million** in Q2 2022, with **$8.1 million** used in financing, mainly for share repurchases Condensed Consolidated Statement of Cash Flows Summary | Cash Flow Activity (in thousands) | Q2 2022 (Unaudited) | Q2 2021 (Unaudited) | | :--- | :--- | :--- | | Net cash provided by operating activities | $4,818 | $17,058 | | Net cash provided by (used in) investing activities | $574 | $(1,814) | | Net cash used in financing activities | $(8,124) | $(7,071) | | Net increase (decrease) in cash | $(2,732) | $8,173 | - The primary use of cash in financing activities was the **purchase of treasury shares, amounting to $8.3 million** in Q2 2022[28](index=28&type=chunk)

Financial Data and Key Metrics Changes - Revenues for Q1 2022 were $66.4 million, an increase of 12.8% from $58.8 million in Q1 2021 [10] - Services revenues were $27.5 million, up 26.2% year-over-year, accounting for 41.5% of total revenues [10] - GAAP gross margin for the quarter was 66.9%, down from 68.4% in Q1 2021 [11] - Non-GAAP gross margin was 67.2%, compared to 68.7% in Q1 2021 [11] - Net income for Q1 2022 was $8.6 million or $0.26 per diluted share, compared to $10 million or $0.29 per diluted share in Q1 2021 [11] Business Line Data and Key Metrics Changes - The Enterprise business grew over 15% year-over-year, accounting for roughly 85% of total revenues [13] - Unified Communication and Collaboration (UCC) business grew over 20% year-over-year, with Microsoft business growing above 25% [14] - Customer Experience (CX) segment declined 8.5% year-over-year, primarily due to tough comparisons from the previous year [15] Market Data and Key Metrics Changes - Revenue by geographical region: North America 48%, EMEA 34%, Asia-Pacific 14%, Central and Latin America 4% [10] - The addressable market for voice services is expected to reach $72 billion by 2025 [22] Company Strategy and Development Direction - The company aims to be the most interoperable communications platform as a service (CPaaS) for voice services, focusing on the enterprise segment [22] - The strategy includes expanding the voice platform and upselling Conversational AI applications into UCC and CX verticals [25] - The company plans to accelerate its transition to subscription services via AudioCodes Live, expecting to double its managed services revenue in 2022 [16] Management Comments on Operating Environment and Future Outlook - Management expressed confidence in navigating supply chain issues and maintaining strong business fundamentals [19] - The company anticipates a stabilization of supply chain costs by the end of the year, with improvements in gross margins expected in the second half of 2022 [62][70] - Management remains optimistic about the growth opportunities in the UCC market and the strategic vision for the company [43] Other Important Information - The company acquired 720,000 ordinary shares for approximately $20.9 million during the quarter [12] - Deferred revenues as of March 31, 2022, were $76.8 million, up from $71.6 million a year earlier [10] Q&A Session Summary Question: What was the exact impact from Russia on the business in the quarter? - The impact was mainly in the CX market, where a large deal was deleted, leading to low revenues compared to Q1 2021 [46] Question: Can you talk about the attach rates for applications into the Microsoft ecosystem? - The company is focused on cross-selling additional services once they penetrate accounts with their core offerings [48] Question: Any specifics around how Callverso has been performing? - There has been significant growth in new opportunities for virtual agent solutions, particularly in the medical and financial sectors [56] Question: Was the decline in contact center customer experience primarily attributable to Russia? - The decline was due to several factors, including the Russian market, delayed opportunities in finance, and some players losing market share [58] Question: How should we think about the shape of margin throughout the rest of the year? - The company expects residual impacts from higher procurement costs in Q2 but anticipates stabilization by the end of the year [62] Question: How is Teams performing across different geographical regions? - Teams continues to grow, with significant increases in user adoption and opportunities created [64]

[First Quarter 2022 Overview](index=1&type=section&id=First%20Quarter%202022%20Overview) AudioCodes' Q1 2022 performance saw revenue growth driven by services, alongside decreased GAAP and Non-GAAP net income [First Quarter Highlights](index=1&type=section&id=First%20Quarter%20Highlights) AudioCodes reported **12.8% YoY revenue growth** to **$66.4 million**, driven by services, and **$11.2 million** non-GAAP net income Q1 2022 Financial Highlights | Metric | Q1 2022 (USD millions) | YoY Change (%) | | :---------------------- | :--------------------- | :------------- | | Revenues | 66.4 | 12.8% | | Service Revenues | 27.5 | 26.2% | | GAAP Gross Margin | 66.9% | - | | GAAP Operating Margin | 12.1% | - | | GAAP Net Income | 8.6 | - | | GAAP Diluted EPS | 0.26 | - | | Non-GAAP Gross Margin | 67.2% | - | | Non-GAAP Operating Margin | 18.0% | - | | Non-GAAP Net Income | 11.2 | - | | Non-GAAP Diluted EPS | 0.33 | - | | Net Cash from Operations | 0.938 | - | - AudioCodes declared a cash dividend of **18 cents per share**, totaling **$5.8 million**, paid on March 1, 2022 The company repurchased **720,124 ordinary shares** at an aggregate cost of **$20.9 million** during the quarter[2](index=2&type=chunk) [Detailed Financial Performance](index=2&type=section&id=Detailed%20Financial%20Performance) Revenues rose to **$66.4 million**, but GAAP and Non-GAAP net income declined YoY, with cash decreasing due to capital returns Q1 2022 vs Q1 2021 Revenue and Net Income | Metric | Q1 2022 (USD millions) | Q1 2021 (USD millions) | Change (USD millions) | Change (%) | | :---------------------- | :--------------------- | :--------------------- | :-------------------- | :--------- | | Revenues | 66.4 | 58.8 | 7.6 | 12.9% | | GAAP Net Income | 8.6 | 10.0 | (1.4) | (14.0%) | | GAAP Diluted EPS | 0.26 | 0.29 | (0.03) | (10.3%) | | Non-GAAP Net Income | 11.2 | 12.7 | (1.5) | (11.8%) | | Non-GAAP Diluted EPS | 0.33 | 0.37 | (0.04) | (10.8%) | Cash and Cash Equivalents | Metric | March 31, 2022 (USD millions) | December 31, 2021 (USD millions) | Change (USD millions) | | :---------------------------------------------------------------------------------------------------- | :---------------------------- | :------------------------------- | :-------------------- | | Cash and cash equivalents, long and short-term bank deposits, marketable securities, and financial investments | 144.1 | 174.8 | (30.7) | - The decrease in cash and cash equivalents was primarily a result of cash used for the share repurchase program and cash dividend payments during **Q1 2022**[5](index=5&type=chunk) [Business Segment Performance & Strategic Initiatives](index=2&type=section&id=Business%20Segment%20Performance%20%26%20Strategic%20Initiatives) UCC business, including Microsoft Teams Voice and Zoom Phone, drove growth; service revenues rose **25% YoY**, and conversational AI grew **40%** - UCC business was a key growth driver, with enterprise sales in Microsoft Teams Voice and Zoom Phone environments each growing **above 50% year-over-year** The Microsoft business as a whole grew **above 25% year-over-year**[6](index=6&type=chunk) - AudioCodes Live for Microsoft Teams managed services ARR is forecasted to **double in 2022** and reach a level of **above $30 million**[6](index=6&type=chunk) - Service revenues grew **above 25% year-over-year**, driven primarily by professional services and AudioCodes Live managed services, reaching **41.5% of total company revenue**[6](index=6&type=chunk) - In the CX market, **total contract value (TCV)** for conversational AI business grew **40% year-over-year**, with a forecast to grow **more than 50% in 2022**, supported by the Callverso acquisition and Voice.ai Connect platform[8](index=8&type=chunk) - **Q1 2022** non-GAAP operating margin was **18%**, **240 basis points** below last quarter's, mainly due to **$1.4 million** higher component costs affecting gross margins and a **17% increase in headcount** and related budget[9](index=9&type=chunk) [Shareholder Returns & Capital Management](index=3&type=section&id=Shareholder%20Returns%20%26%20Capital%20Management) Declared **18 cents per share cash dividend**, repurchased **$20.9 million** in shares, with **$8.3 million** remaining for capital returns Shareholder Returns Q1 2022 | Metric | Amount (USD) | | :---------------------- | :----------- | | Cash Dividend per Share | $0.18 | | Total Cash Dividend Paid | $5.8 million | | Shares Repurchased | 720,124 | | Cost of Repurchases | $20.9 million | - As of **March 31, 2022**, AudioCodes had **$8.3 million** available under its court approval for the repurchase of shares and/or declaration of cash dividends, valid through June 19, 2022[10](index=10&type=chunk) [Corporate Information](index=4&type=section&id=Corporate%20Information) Provides details on investor communications, company profile, and forward-looking statement disclaimers [Conference Call & Web Cast Information](index=4&type=section&id=Conference%20Call%20%26%20Web%20Cast%20Information) AudioCodes held a conference call on **May 2, 2022**, to discuss Q1 2022 results, with a webcast available on their investor website - AudioCodes conducted a conference call on **May 2, 2022**, at **8:30 A.M. Eastern Time** to discuss **Q1 2022** results, with a simultaneous webcast available on their investor website[12](index=12&type=chunk) [About AudioCodes](index=5&type=section&id=About%20AudioCodes) AudioCodes is a leading global vendor of advanced communications software and solutions for digital workplace voice networks - AudioCodes is a leading vendor of advanced communications software, products, and productivity solutions for the digital workplace, enabling all-IP voice networks for unified communications, contact centers, and hosted business services[14](index=14&type=chunk) [Forward-Looking Statements](index=5&type=section&id=Forward-Looking%20Statements) Statements about future outlook are forward-looking and subject to various risks, with no obligation for updates - Statements regarding business outlook, future economic performance, product introductions, and plans are 'forward-looking statements' subject to risks such as global economic conditions, market acceptance, competition, timely product development, financing, acquisition disruptions, and the COVID-19 pandemic[15](index=15&type=chunk) [Condensed Consolidated Financial Statements](index=6&type=section&id=Condensed%20Consolidated%20Financial%20Statements) Presents the company's balance sheets, statements of operations, and cash flows for Q1 2022 [Condensed Consolidated Balance Sheets](index=6&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) Total assets decreased to **$320.98 million** from **$349.36 million**, primarily due to reduced cash and equivalents Key Balance Sheet Items (USD thousands) | Metric | March 31, 2022 (Unaudited) | December 31, 2021 (Audited) | Change | | :-------------------------- | :------------------------- | :-------------------------- | :----- | | Cash and cash equivalents | 37,978 | 79,423 | (41,445) | | Total current assets | 129,592 | 167,553 | (37,961) | | Total assets | 320,976 | 349,364 | (28,388) | | Total current liabilities | 89,773 | 95,943 | (6,170) | | Total long-term liabilities | 43,539 | 47,923 | (4,384) | | Total shareholders' equity | 187,664 | 205,498 | (17,834) | [Condensed Consolidated Statements of Operations](index=7&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations) Total revenues increased to **$66.36 million**, but higher operating expenses led to decreased operating and net income Revenue and Gross Profit (USD thousands) | Metric | Q1 2022 (Unaudited) | Q1 2021 (Unaudited) | Change | | :------------- | :------------------ | :------------------ | :----- | | Products | 38,820 | 37,021 | 1,799 | | Services | 27,537 | 21,817 | 5,720 | | Total Revenues | 66,357 | 58,838 | 7,519 | | Gross profit | 44,360 | 40,271 | 4,089 | Operating Expenses and Income (USD thousands) | Metric | Q1 2022 (Unaudited) | Q1 2021 (Unaudited) | Change | | :-------------------------- | :------------------ | :------------------ | :----- | | Research and development, net | 14,982 | 12,047 | 2,935 | | Selling and marketing | 17,288 | 14,476 | 2,812 | | General and administrative | 4,038 | 3,625 | 413 | | Total operating expenses | 36,308 | 30,148 | 6,160 | | Operating income | 8,052 | 10,123 | (2,071) | [GAAP Results](index=7&type=section&id=GAAP%20Results) GAAP net income decreased to **$8.61 million** (**$0.26 per diluted share**) despite revenue growth, due to higher operating expenses GAAP Net Income and EPS (USD thousands) | Metric | Q1 2022 (Unaudited) | Q1 2021 (Unaudited) | Change | | :---------------------- | :------------------ | :------------------ | :----- | | Net income | 8,608 | 9,993 | (1,385) | | Basic net earnings per share | $0.27 | $0.30 | ($0.03) | | Diluted net earnings per share | $0.26 | $0.29 | ($0.03) | [Non-GAAP Reconciliation](index=8&type=section&id=Non-GAAP%20Reconciliation) Non-GAAP net income was **$11.16 million** (**$0.33 per diluted share**), with adjustments for share-based compensation and amortization Non-GAAP Net Income and EPS (USD thousands) | Metric | Q1 2022 (Unaudited) | Q1 2021 (Unaudited) | Change | | :------------------------------ | :------------------ | :------------------ | :----- | | Non-GAAP net income | 11,162 | 12,743 | (1,581) | | Non-GAAP diluted net earnings per share | $0.33 | $0.37 | ($0.04) | - Non-GAAP net income excludes share-based compensation, amortization of intangible assets, deferred payments expenses from the Callverso acquisition, other income from lease termination, financial income from exchange rate differences, and non-cash deferred tax expenses[4](index=4&type=chunk)[20](index=20&type=chunk) [Condensed Consolidated Statements of Cash Flows](index=9&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) Operating cash flow significantly decreased, with higher investing and financing outflows leading to a **$46.55 million** cash reduction Cash Flows Summary (USD thousands) | Cash Flow Activity | Q1 2022 (Unaudited) | Q1 2021 (Unaudited) | Change | | :------------------------------ | :------------------ | :------------------ | :----- | | Net cash provided by operating activities | 938 | 13,020 | (12,082) | | Net cash provided by (used in) investing activities | (20,787) | 69,739 | (90,526) | | Net cash used in financing activities | (26,696) | (15,445) | (11,251) | | Net increase (decrease) in cash, cash equivalents, and restricted cash | (46,545) | 67,314 | (113,859) | - The significant decrease in cash from investing activities was primarily due to a **$15.4 million** purchase of long-term financial investments and a **$5 million** investment in short-term deposits in **Q1 2022**, compared to proceeds from short-term deposits in **Q1 2021**[22](index=22&type=chunk) - The increased net cash used in financing activities was mainly driven by higher purchases of treasury shares (**$20.87 million** in **Q1 2022** vs **$10.26 million** in **Q1 2021**) and cash dividends paid to shareholders (**$5.83 million** in **Q1 2022** vs **$5.30 million** in **Q1 2021**)[24](index=24&type=chunk)