Marvell Technology, Inc.

Reconciliations from GAAP to Non-GAAP (Unaudited)

(In millions, except per share amounts)

Three Months Ended

April 30,
2022

January 29,
2022

May 1,
2021

GAAP gross profit:

$     750.9

$     686.4

$     418.2

Special items:

     Stock-based compensation

12.4

9.2

9.8

     Amortization of acquired intangible assets

174.4

178.7

93.8

     Other cost of goods sold (a)

9.3

2.5

13.7

Total special items

196.1

190.4

117.3

Non-GAAP gross profit

$     947.0

$     876.8

$     535.5

GAAP gross margin

51.9 %

51.1 %

50.2 %

Non-GAAP gross margin

65.5 %

65.3 %

64.3 %

Total GAAP operating expenses

$     681.1

$     651.7

$     500.5

Special items:

     Stock-based compensation

(118.7)

(125.6)

(99.8)

     Restructuring related charges (b)

(1.3)

(1.3)

(12.9)

     Amortization of acquired intangible assets

(98.1)

(116.1)

(34.8)

     Other operating expenses (c)

(27.7)

(18.9)

(46.7)

Total special items

(245.8)

(261.9)

(194.2)

Total non-GAAP operating expenses

$     435.3

$     389.8

$     306.3

GAAP operating margin

4.8 %

2.6 %

(9.9) %

     Other cost of goods sold (a)

0.6 %

0.2 %

1.6 %

     Stock-based compensation

9.1 %

10.0 %

13.2 %

     Restructuring related charges (b)

0.1 %

0.1 %

1.5 %

     Amortization of acquired intangible assets

18.8 %

22.0 %

15.5 %

     Other operating expenses (c)

2.0 %

1.4 %

5.6 %

Non-GAAP operating margin 

35.4 %

36.3 %

27.5 %

GAAP interest and other income (loss), net

$      (30.6)

$      (32.6)

$      (33.7)

Special items:

     Debt issuance related costs and other (d)

(4.1)

(3.1)

16.9

Total special items

(4.1)

(3.1)

16.9

Total non-GAAP interest and other income (loss), net     

$      (34.7)

$      (35.7)

$      (16.8)

Marvell Technology, Inc. 
Reconciliations from GAAP to Non-GAAP (Unaudited)
(In millions, except per share amounts) 

April 30,
2022

January 29,
2022

May 1,
2021

GAAP net income (loss)

$    (165.7)

$         6.2

$      (88.2)

Special items:

     Other cost of goods sold (a)

9.3

2.5

13.7

     Stock-based compensation

131.1

134.8

109.6

     Restructuring related charges (b)

1.3

1.3

12.9

     Other operating expenses (c)

27.7

18.9

46.7

     Amortization of acquired intangible assets

272.5

294.8

128.6

     Debt issuance related costs and other (d)

(4.1)

(3.1)

16.9

Pre-tax total special items

437.8

449.2

328.4

     Other income tax effects and adjustments (e)

176.3

(26.7)

(38.4)

Non-GAAP net income

$     448.4

$     428.7

$     201.8

GAAP weighted average shares — basic

848.0

844.4

693.4

GAAP weighted average shares — diluted

848.0

862.1

693.4

Non-GAAP weighted average shares — diluted (f)

861.4

862.1

707.5

GAAP diluted net income (loss) per share

$      (0.20)

$       0.01

$      (0.13)

Non-GAAP diluted net income per share

$       0.52

$       0.50

$       0.29

(a)

Other cost of goods sold includes amortization of acquired inventory fair value adjustments.

(b)

Restructuring and other related items include asset impairment charges, employee severance costs. facilities related charges, and other.

(c)

Other operating expenses include acquisition related costs and costs related to intellectual property disputes.

(d)

Debt issuance related costs and other includes the partial term loan repayment and bridge financing, and gains or losses on investments.

Other income tax effects and adjustments relate to tax provision based on a non-GAAP income tax rate of 6.0% for the three months ended April 30, 2022. Other income tax effects and adjustments relate to tax provision based on a non-GAAP income tax rate of 5.0% for the three months ended January 29, 2022 and the three months ended May 1, 2021.

(f)

Non-GAAP diluted weighted average shares differs from GAAP diluted weighted average shares due to the non-GAAP net income reported.