MaxLinear, Inc. Announces Third Quarter 2016 Financial Results
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MAXLINEAR, INC. | |
UNAUDITED RECONCILIATION OF NON-GAAP ADJUSTMENTS | |
(in thousands, except per share data) | | | | |
Nine Months Ended | | |
September 30, 2016 | |
September 30, 2015 | | GAAP cost of net revenue | $ | 121,109 | | | $ | 101,748 | | | Stock-based compensation | (151 | ) | | (169 | ) | | Performance based equity | 41 | | | (159 | ) | | Amortization of inventory step-up | (2,989 | ) | | (14,244 | ) | | Amortization of purchased intangible assets | (5,940 | ) | | (2,624 | ) | | Impairment of production masks | — | | | (153 | ) | | Non-GAAP cost of net revenue | 112,070 | | | 84,399 | | | | | | | | GAAP R&D expenses | 73,710 | | | 62,765 | | | Stock-based compensation | (10,362 | ) | | (8,889 | ) | | Incentive award compensation | (553 | ) | | — | | | Performance based equity | (3,574 | ) | | (2,974 | ) | | Amortization of purchased intangible assets | (289 | ) | | (309 | ) | | Severance charges | — | | | (838 | ) | | Restricted merger proceeds and contingent consideration | (659 | ) | | (625 | ) | | Non-GAAP R&D expenses | 58,273 | | | 49,130 | | | | | | | | GAAP SG&A expenses | 47,734 | | | 60,021 | | | Stock-based compensation | (5,290 | ) | | (4,466 | ) | | Incentive award compensation | (119 | ) | | — | | | Performance based equity | (2,278 | ) | | (1,655 | ) | | Amortization of purchased intangible assets | (4,038 | ) | | (20,051 | ) | | Acquisition and integration costs | (1,852 | ) | | (5,349 | ) | | Restricted merger proceeds and contingent consideration | (209 | ) | | — | | | Change in fair value of contingent consideration | — | | | 122 | | | Severance charges | — | | | (315 | ) | | IP litigation costs, net | (671 | ) | | (1,135 | ) | | Non-GAAP SG&A expenses | 33,277 | | | 27,172 | | | | | | | | GAAP impairment losses | 1,300 | | | — | | | Impairment losses | (1,300 | ) | | — | | | Non-GAAP impairment losses | — | | | — | | | | | | | | GAAP restructuring expenses | 2,106 | | | 11,814 | | | Restructuring charges | (2,106 | ) | | (11,814 | ) | | Non-GAAP restructuring expenses | — | | | — | | | | | | | | GAAP income (loss) before income taxes | 55,099 | | | (34,418 | ) | | Total non-GAAP adjustments | 42,339 | | | 75,647 | | | Non-GAAP income before income taxes | 97,438 | | | 41,229 | | | | | | | | GAAP income tax expense (benefit) | 2,155 | | | (631 | ) | | Tax impact of non-GAAP adjustments | (138 | ) | | (409 | ) | | Record valuation allowance due to net deferred liability acquired | — | | | 1,592 | | | Non-GAAP income tax expense | 2,017 | | | 552 | | | | | | | | GAAP net income (loss) | $ | 52,944 | | | $ | (33,787 | ) | | Total non-GAAP adjustments before income taxes | 42,339 | | | 75,647 | | | Total tax adjustments | (138 | ) | | 1,183 | | | Non-GAAP net income | $ | 95,421 | | | $ | 40,677 | | | | | | | | Shares used in computing non-GAAP basic net income per share | 63,454 | | | 50,528 | | | Shares used in computing GAAP diluted net income (loss) per share | 67,354 | | | 50,528 | | | Dilutive common stock equivalents | — | | | 2,376 | | | Shares used in computing non-GAAP diluted net income per share | 67,354 | | | 52,904 | | | Non-GAAP basic net income per share | $ | 1.50 | | | $ | 0.81 | | | Non-GAAP diluted net income per share | $ | 1.42 | | | $ | 0.77 | |
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