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Cadence Design Systems, Inc. | |||||||||
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Supplemental Reconciliation of Certain GAAP to Non-GAAP Measures | |||||||||
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For the Three Months Ended March 30, 2013 | |||||||||
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(In thousands) | |||||||||
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(Unaudited) | |||||||||
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Three Months Ended | |||||||
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March 30, 2013 | ||||
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GAAP |
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Adjustments |
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Non-GAAP |
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Revenue: |
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| ||
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Product and maintenance |
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$ 328,271 |
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$ - |
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$ 328,271 | ||
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Services |
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25,995 |
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- |
|
25,995 | ||
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|
|
|
|
|
|
|
|
|
|
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Total revenue |
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354,266 |
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- |
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354,266 | |
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Costs and expenses: |
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| |||
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Cost of product and maintenance |
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29,847 |
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(4,175) |
(E) |
25,672 | ||
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Cost of services |
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18,344 |
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(530) |
(E) |
17,814 | ||
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Marketing and sales |
|
90,402 |
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(3,104) |
(E) |
87,298 | ||
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Research and development |
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124,084 |
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(7,928) |
(E) |
116,156 | ||
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General and administrative |
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29,810 |
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(6,967) |
(E) |
22,843 | ||
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Amortization of acquired intangibles |
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3,791 |
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(3,791) |
(E) |
- | ||
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Restructuring and other charges (credits) |
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(148) |
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148 |
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- | ||
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|
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Total costs and expenses |
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296,130 |
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(26,347) |
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269,783 | |
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Income from operations |
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58,136 |
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26,347 |
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84,483 |
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Interest expense |
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(9,262) |
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5,536 |
(F) |
(3,726) | ||
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Other income, net |
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2,175 |
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(990) |
(G) |
1,185 | ||
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Income before provision (benefit) for income taxes |
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51,049 |
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30,893 |
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81,942 |
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Provision (benefit) for income taxes |
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(27,560) |
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48,865 |
(H) |
21,305 | ||
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Net income |
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$ 78,609 |
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$ (17,972) |
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$ 60,637 |
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Notes: | ||||||||||||
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(E) For the three months ended March 30, 2013 adjustments to GAAP are as follows for the line items specified: | ||||||||||||
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Amortization of acquired intangibles |
Stock-based compensation expense |
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Non-qualified deferred compensation expenses |
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Integration and acquisition- related costs |
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Total adjustments | |
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Cost of product and maintenance |
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$ 3,807 |
$ 364 |
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$ 4 |
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$ - |
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$ 4,175 | |
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Cost of services |
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- |
525 |
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5 |
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- |
|
530 | |
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Marketing and sales |
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- |
3,018 |
|
22 |
|
64 |
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3,104 | |
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Research and development |
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- |
6,553 |
|
78 |
|
1,297 |
|
7,928 | |
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General and administrative |
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- |
3,350 |
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43 |
|
3,574 |
|
6,967 | |
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Amortization of acquired intangibles |
|
3,791 |
- |
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- |
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- |
|
3,791 | |
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Total |
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$ 7,598 |
$ 13,810 |
|
$ 152 |
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$ 4,935 |
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$ 26,495 |
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(F) Amortization of debt discount related to convertible notes | ||||||||||||
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(G) Other income or expense related to investments and non-qualified deferred compensation plan assets | ||||||||||||
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(H) Income tax benefit due to a release of an uncertain tax position $33,719 and income tax effect of non-GAAP adjustments $15,146 |
