Marvell Technology Group Ltd.

Condensed Consolidated Statements of Cash Flows (Unaudited)

(In thousands)

Three Months Ended

Year Ended

January 30,
2021

February 1,
2020

January 30,
2021

February 1,
2020

Cash flows from operating activities:

Net income (loss)

$

16,536

$

1,772,673

$

(277,298)

$

1,584,391

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

Depreciation and amortization

47,990

43,996

197,912

156,658

Share-based compensation

59,479

53,171

241,539

242,207

Amortization of acquired intangible assets

109,682

114,615

443,616

368,082

Amortization of inventory fair value adjustment associated with acquisitions

—

52,510

17,284

55,826

Amortization of deferred debt issuance costs and debt discounts

6,809

2,723

10,026

6,763

Restructuring related impairment charges

7,344

1,328

130,903

17,571

Deferred income taxes

(39,906)

(777,257)

(39,491)

(785,158)

Gain on sale of business

—

(1,123,223)

—

(1,121,709)

Other expense, net

5,475

9,287

24,923

26,448

Changes in assets and liabilities:

Accounts receivable

(46,397)

2,870

(44,322)

11,244

Inventories

96

43,361

29,913

12,759

Prepaid expenses and other assets

(32,942)

(43,099)

(41,634)

(54,138)

Accounts payable

4,895

(29,143)

39,663

1,658

Accrued liabilities and other non-current liabilities

17,795

(76,635)

44,612

(182,893)

Accrued employee compensation

1,439

8,661

39,641

20,588

Net cash provided by operating activities

158,295

55,838

817,287

360,297

Cash flows from investing activities:

Sales of available-for-sale securities

—

—

—

18,832

Purchases of technology licenses

(4,232)

(2,776)

(12,708)

(4,712)

Purchases of property and equipment

(18,556)

(18,986)

(106,798)

(81,921)

Proceeds from sales of property and equipment

206

89

738

620

Cash payment for acquisition, net of cash and cash equivalents acquired

—

(593,500)

—

(1,071,079)

Net proceeds from sale of business

—

1,699,835

—

1,698,783

Other

(567)

(405)

(876)

(1,677)

Net cash provided by (used in) investing activities

(23,149)

1,084,257

(119,644)

558,846

Cash flows from financing activities:

Repurchases of common stock

—

(300,000)

(25,202)

(364,272)

Proceeds from employee stock plans

36,145

44,167

86,635

147,276

Tax withholding paid on behalf of employees for net share settlement

(25,468)

(17,440)

(108,094)

(98,302)

Dividend payments to shareholders

(40,463)

(40,077)

(160,574)

(159,573)

Payments on technology license obligations

(23,224)

(15,053)

(100,018)

(72,266)

Proceeds from issuance of debt

—

600,000

—

950,000

Principal payments of debt

(150,000)

(1,200,000)

(250,000)

(1,250,000)

Payment of equity and debt financing costs

(15,710)

—

(38,023)

—

Other, net

—

(2,457)

(1,504)

(6,812)

Net cash used in financing activities

(218,720)

(930,860)

(596,780)

(853,949)

Net increase (decrease) in cash and cash equivalents

(83,574)

209,235

100,863

65,194

Cash and cash equivalents at beginning of period

832,041

438,369

647,604

582,410

Cash and cash equivalents at end of period

$

748,467

$

647,604

$

748,467

$

647,604