| 1 | These items are incremental charges attributable to completed acquisitions, consisting of amortization of purchased intangible assets. |
| 2 | GAAP basis tax benefit related to share-based compensation is recognized ratably over the fiscal year on a non-GAAP basis. |
| 3 | Adjustment to provision for income taxes related to non-GAAP adjustments reflected in income before income taxes. |
APPLIED MATERIALS, INC.
UNAUDITED RECONCILIATION OF GAAP TO NON-GAAP RESULTS
| Three Months Ended | Twelve Months Ended | ||||||||||||||
| (In millions, except per share amounts) | October 27,
2024 | October 29,
2023 | October 27,
2024 | October 29,
2023 | |||||||||||
| Non-GAAP Earnings Per Diluted Share | |||||||||||||||
| GAAP reported earnings per diluted share | $ | 2.09 | $ | 2.38 | $ | 8.61 | $ | 8.11 | |||||||
| Certain items associated with acquisitions | 0.01 | 0.01 | 0.05 | 0.05 | |||||||||||
| Acquisition integration and deal costs | — | — | 0.01 | 0.02 | |||||||||||
| Realized loss (gain), dividends and impairments on strategic investments, net | — | — | 0.01 | 0.13 | |||||||||||
| Unrealized loss (gain) on strategic investments, net | 0.30 | (0.18 | ) | (0.03 | ) | (0.16 | ) | ||||||||
| Earn-out | — | (0.01 | ) | — | (0.01 | ) | |||||||||
| Income tax effect of share-based compensation | 0.01 | 0.01 | — | — | |||||||||||
| Income tax effects related to intra-entity intangible asset transfers | (0.04 | ) | (0.08 | ) | 0.03 | (0.05 | ) | ||||||||
| Resolution of prior years’ income tax filings and other tax items | (0.05 | ) | (0.01 | ) | (0.03 | ) | (0.04 | ) | |||||||
| Non-GAAP earnings per diluted share | $ | 2.32 | $ | 2.12 | $ | 8.65 | $ | 8.05 | |||||||
| Weighted average number of diluted shares | 828 | 842 | 834 | 845 | |||||||||||
APPLIED MATERIALS, INC.
