More detailed information on these and additional factors that could affect the company's operating and financial results are described in the company's Forms 10-K, 10-Q and other reports filed, or to be filed, with the Securities and Exchange Commission. The company urges all interested parties to read these reports to gain a better understanding of the business and other risks that the company faces. The forward-looking statements contained in this press release are made only as of the date hereof, and the company does not intend to update or revise these forward-looking statements, whether as a result of new information, future events or otherwise.
QLogic and the QLogic logo are registered trademarks of QLogic Corporation. Other trademarks and registered trademarks are the property of the companies with which they are associated.
|
QLOGIC CORPORATION CONDENSED CONSOLIDATED STATEMENTS OF INCOME (unaudited — in thousands, except per share amounts) |
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| Three Months Ended | Nine Months Ended | |||||||||||||||||||||||
|
December 29,
2013 |
December 30,
2012 |
December 29,
2013 |
December 30,
2012 |
|||||||||||||||||||||
| Net revenues | $ | 119,449 | $ | 119,386 | $ | 345,187 | $ | 367,624 | ||||||||||||||||
| Cost of revenues | 38,446 | 39,089 | 111,378 | 121,382 | ||||||||||||||||||||
| Gross profit | 81,003 | 80,297 | 233,809 | 246,242 | ||||||||||||||||||||
| Operating expenses: | ||||||||||||||||||||||||
| Engineering and development | 35,235 | 38,409 | 110,412 | 115,891 | ||||||||||||||||||||
| Sales and marketing | 16,113 | 19,325 | 51,957 | 57,950 | ||||||||||||||||||||
| General and administrative | 7,406 | 8,139 | 22,698 | 24,951 | ||||||||||||||||||||
| Special charges | 1,947 | — | 18,329 | — | ||||||||||||||||||||
| Total operating expenses | 60,701 | 65,873 | 203,396 | 198,792 | ||||||||||||||||||||
| Operating income | 20,302 | 14,424 | 30,413 | 47,450 | ||||||||||||||||||||
| Interest and other income, net | 970 | 903 | 1,768 | 2,935 | ||||||||||||||||||||
| Income from continuing operations before income taxes | 21,272 | 15,327 | 32,181 | 50,385 | ||||||||||||||||||||
| Income taxes | 686 | 1,622 | 3,668 | 6,459 | ||||||||||||||||||||
| Income from continuing operations | 20,586 | 13,705 | 28,513 | 43,926 | ||||||||||||||||||||
| Loss from discontinued operations, net of income taxes | — | (464 | ) | — | (425 | ) | ||||||||||||||||||
| Net income | $ | 20,586 | $ | 13,241 | $ | 28,513 | $ | 43,501 | ||||||||||||||||
| Income from continuing operations per share: | ||||||||||||||||||||||||
| Basic | $ | 0.24 | $ | 0.15 | $ | 0.32 | $ | 0.46 | ||||||||||||||||
| Diluted | $ | 0.24 | $ | 0.15 | $ | 0.32 | $ | 0.46 | ||||||||||||||||
| Loss from discontinued operations per share: | ||||||||||||||||||||||||
| Basic | $ | — | $ | (0.01 | ) | $ | — | $ | — | |||||||||||||||
| Diluted | $ | — | $ | (0.01 | ) | $ | — | $ | — | |||||||||||||||
| Net income per share: | ||||||||||||||||||||||||
| Basic | $ | 0.24 | $ | 0.14 | $ | 0.32 | $ | 0.46 | ||||||||||||||||
| Diluted | $ | 0.24 | $ | 0.14 | $ | 0.32 | $ | 0.46 | ||||||||||||||||
| Number of shares used in per share calculations: | ||||||||||||||||||||||||
| Basic | 86,855 | 92,386 | 87,810 | 94,518 | ||||||||||||||||||||
| Diluted | 87,186 | 92,570 | 88,209 | 94,963 | ||||||||||||||||||||
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QLOGIC CORPORATION RECONCILIATION OF GAAP INCOME FROM CONTINUING OPERATIONS TO NON-GAAP INCOME FROM CONTINUING OPERATIONS (unaudited — in thousands, except per share amounts) |
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| Three Months Ended | Nine Months Ended | |||||||||||||||||||||||||
|
December 29,
2013 |
December 30,
2012 |
December 29,
2013 |
December 30,
2012 |
|||||||||||||||||||||||
| GAAP income from continuing operations | $ | 20,586 | $ | 13,705 | $ | 28,513 | $ | 43,926 | ||||||||||||||||||
| Items excluded from GAAP income from continuing operations: | ||||||||||||||||||||||||||
| Stock-based compensation | 5,058 | 6,973 | 18,047 | 23,295 | ||||||||||||||||||||||
| Amortization of acquisition-related intangible assets | 243 | 243 | 730 | 730 | ||||||||||||||||||||||
| Special charges | 1,947 | — | 18,329 | — | ||||||||||||||||||||||
| Income tax effect | (2,237 | ) | (2,576 | ) | (3,564 | ) | (7,444 | ) | ||||||||||||||||||
| Total non-GAAP adjustments | 5,011 | 4,640 | 33,542 | 16,581 | ||||||||||||||||||||||
| Non-GAAP income from continuing operations | $ | 25,597 | $ | 18,345 | $ | 62,055 | $ | 60,507 | ||||||||||||||||||
| Income from continuing operations per diluted share: | ||||||||||||||||||||||||||
| GAAP income from continuing operations | $ | 0.24 | $ | 0.15 | $ | 0.32 | $ | 0.46 | ||||||||||||||||||
| Adjustments | 0.05 | 0.05 | 0.38 | 0.18 | ||||||||||||||||||||||
| Non-GAAP income from continuing operations | $ | 0.29 | $ | 0.20 | $ | 0.70 | $ | 0.64 | ||||||||||||||||||
