Intersil Corporation

Non-GAAP Results

Unaudited

(In thousands, except per share amounts)

Quarter Ended

Apr. 3,

Jan. 2,

Apr. 4,

2015

2015

2014

Q1 2015

Q4 2014

Q1 2014

Non-GAAP net income:

  GAAP (loss) income

$ (68,824)

$ 17,274

$ 10,005

  Tax adjustments from non-cash and discrete items

(71)

(2,025)

(855)

  Provision for export compliance settlement

-

-

4,000

  Gain on recovery from auction rate securities

(588)

(615)

(268)

  Equity-based compensation

5,756

5,008

3,710

  Amortization of purchased intangibles

5,561

5,559

5,561

  Provision for TAOS litigation

81,100

-

-

    Non-GAAP net income

$  22,934

$ 25,201

$ 22,153

GAAP weighted average shares - diluted

130,513

132,276

129,389

  Non-GAAP adjustment

6,798

4,099

2,431

    Non-GAAP weighted average shares - diluted

137,311

136,375

131,820

Non-GAAP earnings per diluted share:

  GAAP (loss) earnings per diluted share

$     (0.53)

$     0.13

$     0.08

  Excluded items per share impact

0.70

0.05

0.09

    Non-GAAP earnings per diluted share

$      0.17

$     0.18

$     0.17

Equity-based compensation expense by classification:

  Cost of revenue ("COS")

$       392

$      319

$      319

  Research and development 

$    2,751

$   2,500

$   1,955

  Selling, general and administrative 

$    2,613

$   2,189

$   1,436