EZchip Semiconductor Ltd.
Condensed Consolidated Statements of Operations
(U.S. Dollars in thousands, except per share amounts)
(Unaudited)
Three Months Ended Nine Months Ended
-------------------------------- ---------------------
September September September September
30, June 30, 30, 30, 30,
2011 2011 2010 2011 2010
-------- --------- --------- --------- ---------
Revenues $ 18,703 $ 17,306 $ 16,377 $ 49,188 $ 44,862
Cost of
revenues 4,509 3,535 3,833 11,023 11,207
Amortization
of purchased
technology -- 298 471 597 1,462
-------- ---------- ---------- -------- --------
14,194 13,473 12,073 37,568 32,193
Gross profit
Operating
expenses:
Research and
development,
net 4,052 3,892 3,177 12,343 10,088
Selling,
general and
administrative 2,956 3,062 2,651 8,962 7,384
--------- -------- --------- -------- --------
Total
operating
expenses 7,008 6,954 5,828 21,305 17,472
--------- -------- --------- -------- --------
Operating 7,186 6,519 6,245 16,263 14,721
income
Financial
income, net 467 369 299 1,162 818
--------- -------- --------- -------- --------
Income before
taxes 7,653 6,888 6,544 17,425 15,539
Taxes on 3 2,116 2,043 3,530 5,922
--------- -------- --------- -------- --------
income
Net income $ 7,650 $ 4,772 $ 4,501 $ 13,895 $ 9,617
========= ======== ========= ======== ========
Net income per
share:
Basic $ 0.28 $ 0.18 $ 0.18 $ 0.52 $ 0.38
Diluted $ 0.27 $ 0.17 $ 0.17 $ 0.50 $ 0.37
Weighted
average shares
used in per
share
calculation:
Basic 26,900,439 26,600,650 25,421,522 26,569,283 25,080,837
Diluted 28,046,688 27,911,054 26,524,702 27,912,322 25,810,870
----------- ---------- ----------- ---------- ----------
EZchip Semiconductor Ltd.
Reconciliation of GAAP to Non-GAAP Measures
(U.S. Dollars in thousands, except per share amounts)
(Unaudited)
Three Months Ended Nine Months Ended
------------------------------ --------------------
September June September September September
30, 30, 30, 30, 30,
2011 2011 2010 2011 2010
----------- ------- ---------- --------- ---------
GAAP gross
profit $ 14,194 $ 13,473 $ 12,073 $ 37,568 $ 32,193
Stock-based
compensation 73 73 58 286 169
Amortization
of purchased
technology -- 298 471 597 1,462
--------- -------- --------- -------- --------
Non-GAAP gross
profit $ 14,267 $ 13,844 $ 12,602 $ 38,451 $ 33,824
--------- -------- --------- -------- --------
GAAP gross
profit as
percentage of
revenues 75.9% 77.9% 73.7% 76.4% 71.8%
--------- -------- --------- -------- --------
Non-GAAP gross
profit as
percentage of
revenues 76.3% 80.0% 76.9% 78.2% 75.4%
--------- -------- --------- -------- --------
GAAP operating
expenses $ 7,008 $ 6,954 $ 5,828 $ 21,305 $ 17,472
Stock-based
compensation:
Research and
development (1,107) (1,119) (754) (3,352) (2,159)
Selling,
general and
administrative (1,012) (908) (677) (2,750) (1,870)
Amortization
of intangible
assets
Selling,
general and
administrative (95) (95) (194) (285) (580)
--------- -------- --------- -------- --------
Non-GAAP
operating
expenses $ 4,794 $ 4,832 $ 4,203 $ 14,918 $ 12,863
--------- -------- --------- -------- --------
GAAP operating
income $ 7,186 $ 6,519 $ 6,245 $ 16,263 $ 14,721
--------- -------- --------- -------- --------
Non-GAAP
operating
income $ 9,473 $ 9,012 $ 8,399 $ 23,533 $ 20,961
--------- -------- --------- -------- --------
GAAP net
income $ 7,650 $ 4,772 $ 4,501 $ 13,895 $ 9,617
Stock-based
compensation 2,192 2,100 1,489 6,388 4,198
Amortization
of purchased
intangible
assets 95 393 665 882 2,042
Taxes on
income* 3 2,116 2,043 3,530 5,922
--------- -------- --------- -------- --------
Non-GAAP net
income $ 9,940 $ 9,381 $ 8,698 $ 24,695 $ 21,779
--------- -------- --------- -------- --------
Non-GAAP net
income per
share -
Diluted $ 0.35 $ 0.33 $ 0.32 $ 0.87 $ 0.82
Non-GAA
weighted
average shares
- Diluted** 28,577,753 28,455,818 27,130,452 28,381,465 26,427,024
