Microchip Technology Announces Financial Results for First Quarter of Fiscal Year 2020
RECONCILIATION OF GAAP SELLING, GENERAL AND ADMINISTRATIVE EXPENSES TO NON-GAAP SELLING, GENERAL AND ADMINISTRATIVE EXPENSES
| | Three Months Ended |
| | June 30, |
| | 2019 | | 2018 |
| Selling, general and administrative expenses, as reported | $ | 167.9 | | | $ | 164.0 | |
| Share-based compensation expense | (16.3 | ) | | (11.7 | ) |
| Acquisition-related costs | (6.5 | ) | | (26.6 | ) |
| IT security remediation | (3.0 | ) | | — | |
| Non-GAAP selling, general and administrative expenses | $ | 142.1 | | | $ | 125.7 | |
| Non-GAAP selling, general and administrative expenses as a percentage of net sales | 10.7 | % | | 10.3 | % |
RECONCILIATION OF GAAP OPERATING EXPENSES TO NON-GAAP OPERATING EXPENSES
| | Three Months Ended |
| | June 30, |
| | 2019 | | 2018 |
| Operating expenses, as reported | $ | 643.6 | | | $ | 509.7 | |
| Share-based compensation expense | (35.8 | ) | | (25.8 | ) |
| Acquisition-related costs | (6.6 | ) | | (26.9 | ) |
| IT security remediation | (3.0 | ) | | — | |
| Amortization of acquired intangible assets | (248.5 | ) | | (133.7 | ) |
| Special charges and other, net | (8.1 | ) | | (40.1 | ) |
| Non-GAAP operating expenses | $ | 341.6 | | | $ | 283.2 | |
| Non-GAAP operating expenses as a percentage of net sales | 25.8 | % | | 23.3 | % |
RECONCILIATION OF GAAP OPERATING INCOME TO NON-GAAP OPERATING INCOME
| | Three Months Ended |
| | June 30, |
| | 2019 | | 2018 |
| Operating income, as reported | $ | 171.6 | | | $ | 132.3 | |
| Impact of changes in distributor inventory levels | — | | | 3.4 | |
| Share-based compensation expense | 40.7 | | | 29.4 | |
| Acquisition-related costs | 6.6 | | | 27.1 | |
| IT security remediation | 3.0 | | | — | |
| Acquired inventory valuation costs | — | | | 107.5 | |
| Amortization of acquired intangible assets | 248.5 | | | 133.7 | |
| Special charges and other, net | 8.1 | | | 40.1 | |
| Non-GAAP operating income | $ | 478.5 | | | $ | 473.5 | |
| Non-GAAP operating income as a percentage of net sales | 36.2 | % | | 38.9 | % |
