Marvell Technology Group Ltd.

Condensed Consolidated Statements of Cash Flows (Unaudited)

(In thousands)

Three Months Ended

May 5, 2018

April 29, 2017

Cash flows from operating activities:

Net income

$

128,612

$

106,621

Adjustments to reconcile net income to net cash provided by (used in) operating activities:

Depreciation and amortization

20,343

20,742

Share-based compensation

23,852

24,017

Amortization and write-off of acquired intangible assets

—

1,071

Restructuring related impairment charges (gain)

—

(516)

Gain from investments in privately-held companies

(1,100)

—

Amortization of premium /discount on available-for-sale securities

1,161

206

Other non-cash expense (income), net

813

(25)

Deferred income taxes

824

783

Loss on sale of property and equipment

17

58

Gain on sale of discontinued operations

—

(8,155)

Changes in assets and liabilities:

Accounts receivable

(47,393)

(21,763)

Inventories

2,680

(11,542)

Prepaid expenses and other assets

(14,108)

5,394

Accounts payable

14,744

31,423

Accrued liabilities and other non-current liabilities

21,236

(11,625)

Accrued employee compensation

(22,110)

(7,529)

Deferred income

(797)

5,016

Net cash provided by operating activities

128,774

134,176

Cash flows from investing activities:

Purchases of available-for-sale securities

(13,457)

(198,416)

Sales of available-for-sale securities

70,273

78,764

Maturities of available-for-sale securities

128,820

82,235

Purchases of time deposits

(25,000)

(75,000)

Maturities of time deposits

75,000

75,000

Purchases of technology licenses

(360)

(1,093)

Purchases of property and equipment

(13,588)

(9,741)

Proceeds from sales of property and equipment

11

685

Net proceeds from sale of discontinued operations

—

22,954

Other

(5,000)

7,275

Net cash provided by (used in) investing activities

216,699

(17,337)

Cash flows from financing activities:

Repurchases of common stock

—

(166,293)

Proceeds from employee stock plans

11,055

19,939

Minimum tax withholding paid on behalf of employees for net share settlement

(23,893)

(21,809)

Dividend payments to shareholders

(29,798)

(29,991)

Payments on technology license obligations

(20,461)

(6,815)

Payment of equity and debt financing costs

(3,600)

—

Net cash used in financing activities

(66,697)

(204,969)

Net increase (decrease) in cash and cash equivalents

278,776

(88,130)

Cash and cash equivalents at beginning of period

888,482

814,092

Cash and cash equivalents at end of period

$

1,167,258

$

725,962