Consolidated Statements of Income
(in thousands, except percentages, and per ADS data, unaudited)

	For the Year Ended
	Dec. 31, 2017				Dec. 31,2018
	( $)				( $)
Net Sales		523,404				530,348
Cost of sales		272,210				269,541
Gross profit		251,194				260,807
Operating expenses
Research & development		102,053				102,028
Sales & marketing		25,868				29,279
General & administrative		16,933				17,633
Amortization of  intangibles assets		2,534				2,964
Impairment loss of goodwill		10,337				625
Gain from disposal of other assets		(1,880	)			-
Operating income		95,349				108,278
Non-operating expense (income)
Interest income, net		3,845				5,923
Foreign exchange gain (loss), net		(157	)			(615	)
Gain (loss) on equity-method investment		-				(473	)
Impairment of long-term investments		(120	)			(1,242	)
Others, net		84				193
Subtotal		3,652				3,786
Income before income tax		99,001				112,064
Income tax expense		24,046				11,791
Net income		74,955				100,273
Earnings per basic ADS	$2.10				$2.78
Earnings per diluted ADS	$2.09				$2.78
Margin Analysis:
Gross margin		48.0	%			49.2	%
Operating margin		18.2	%			20.4	%
Net margin		14.3	%			18.9	%
Additional Data:
Weighted avg. ADS equivalents		35,684				36,031
Diluted ADS equivalents		35,902				36,128

Silicon Motion Technology Corporation