MENTOR GRAPHICS CORPORATION |
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UNAUDITED RECONCILIATION OF GAAP FINANCIAL MEASURES TO NON-GAAP FINANCIAL MEASURES |
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(In thousands, except percentages) | ||||||||||||||||||
Three Months Ended January 31, | Twelve Months Ended January 31, | |||||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||||
GAAP gross margin | $ | 283,770 | $ | 275,680 | $ | 899,037 | $ | 841,180 | ||||||||||
Reconciling items to non-GAAP gross margin: | ||||||||||||||||||
Equity plan-related compensation | 449 | 312 | 1,529 | 1,065 | ||||||||||||||
Amortization of purchased technology | 1,709 | 1,924 | 7,801 | 9,796 | ||||||||||||||
Non-GAAP gross margin | $ | 285,928 | $ | 277,916 | $ | 908,367 | $ | 852,041 | ||||||||||
Three Months Ended January 31, | Twelve Months Ended January 31, | |||||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||||
GAAP gross margin as a percent of total revenues | 85.7 | % | 86.1 | % | 82.6 | % | 82.9 | % | ||||||||||
Non-GAAP adjustments detailed above | 0.6 | % | 0.7 | % | 0.8 | % | 1.1 | % | ||||||||||
Non-GAAP gross margin as a percent of total revenues | 86.3 | % | 86.8 | % | 83.4 | % | 84.0 | % | ||||||||||
Three Months Ended January 31, | Twelve Months Ended January 31, | |||||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||||
GAAP operating expenses | $ | 212,675 | $ | 209,910 | $ | 737,404 | $ | 728,988 | ||||||||||
Reconciling items to non-GAAP operating expenses: | ||||||||||||||||||
Equity plan-related compensation | (6,086 | ) | (4,723 | ) | (22,168 | ) | (20,593 | ) | ||||||||||
Amortization of Frontline purchased technology and other identified intangible assets |
(1,242 | ) | (1,242 | ) | (4,968 | ) | (4,968 | ) | ||||||||||
Amortization of other identified intangible assets | (1,368 | ) | (1,544 | ) | (5,915 | ) | (5,905 | ) | ||||||||||
Special charges | (2,514 | ) | (5,786 | ) | (6,314 | ) | (13,174 | ) | ||||||||||
Non-GAAP operating expenses | $ | 201,465 | $ | 196,615 | $ | 698,039 | $ | 684,348 | ||||||||||
Three Months Ended January 31, | Twelve Months Ended January 31, | |||||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||||
GAAP operating income | $ | 71,095 | $ | 65,770 | $ | 161,633 | $ | 112,192 | ||||||||||
Reconciling items to non-GAAP operating income: | ||||||||||||||||||
Equity plan-related compensation | 6,535 | 5,035 | 23,697 | 21,658 | ||||||||||||||
Amortization of purchased technology | 1,709 | 1,924 | 7,801 | 9,796 | ||||||||||||||
Amortization of Frontline purchased technology and other identified intangible assets |
1,242 | 1,242 | 4,968 | 4,968 | ||||||||||||||
Amortization of other identified intangible assets | 1,368 | 1,544 | 5,915 | 5,905 | ||||||||||||||
Special Charges | 2,514 | 5,786 | 6,314 | 13,174 | ||||||||||||||
Non-GAAP operating income | $ | 84,463 | $ | 81,301 | $ | 210,328 | $ | 167,693 | ||||||||||
Three Months Ended January 31, | Twelve Months Ended January 31, | |||||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||||
GAAP operating income as a percent of total revenues | 21.5 | % | 20.5 | % | 14.8 | % | 11.1 | % | ||||||||||
Non-GAAP adjustments detailed above | 4.0 | % | 4.9 | % | 4.5 | % | 5.4 | % | ||||||||||
Non-GAAP operating income as a percent of total revenues | 25.5 | % | 25.4 | % | 19.3 | % | 16.5 | % | ||||||||||
Three Months Ended January 31, | Twelve Months Ended January 31, | |||||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||||
GAAP other expense, net and interest expense | $ | (6,076 | ) | $ | (5,069 | ) | $ | (20,298 | ) | $ | (29,868 | ) | ||||||
Reconciling items to non-GAAP other expense, net and interest expense: |
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Net gain of unconsolidated entities | (18 | ) | 40 | (128 | ) | (1,392 | ) | |||||||||||
Amortization of debt discount and retirement costs | 1,367 | 1,272 | 5,322 | 16,429 | ||||||||||||||
Non-GAAP other expense, net and interest expense | $ | (4,727 | ) | $ | (3,757 | ) | $ | (15,104 | ) | $ | (14,831 | ) | ||||||