NXP Semiconductors
Table 4: Financial Reconciliation of GAAP to non-GAAP Results (unaudited)
| ($ in millions) | Three months ended | ||||||||||
| July 3, 2022 | April 3, 2022 | July 4, 2021 | |||||||||
| Revenue | $ | 3,312 | $ | 3,136 | $ | 2,596 | |||||
| GAAP Gross Profit | $ | 1,882 | $ | 1,777 | $ | 1,422 | |||||
| PPA Effects | (14 | ) | (14 | ) | (18 | ) | |||||
| Restructuring | 3 | — | — | ||||||||
| Stock Based Compensation | (12 | ) | (11 | ) | (12 | ) | |||||
| Other incidentals | (10 | ) | (5 | ) | (4 | ) | |||||
| Non-GAAP Gross Profit | $ | 1,915 | $ | 1,807 | $ | 1,456 | |||||
| GAAP Gross margin | 56.8 | % | 56.7 | % | 54.8 | % | |||||
| Non-GAAP Gross margin | 57.8 | % | 57.6 | % | 56.1 | % | |||||
| GAAP Research and development | $ | (542 | ) | $ | (518 | ) | $ | (476 | ) | ||
| Restructuring | 1 | 1 | (1 | ) | |||||||
| Stock based compensation | (45 | ) | (44 | ) | (41 | ) | |||||
| Other incidentals | (3 | ) | (1 | ) | 1 | ||||||
| Non-GAAP Research and development | $ | (495 | ) | $ | (474 | ) | $ | (435 | ) | ||
| GAAP Selling, general and administrative | $ | (265 | ) | $ | (251 | ) | $ | (234 | ) | ||
| PPA effects | (1 | ) | (1 | ) | (2 | ) | |||||
| Stock based compensation | (32 | ) | (34 | ) | (40 | ) | |||||
| Other incidentals | (3 | ) | (2 | ) | (1 | ) | |||||
| Non-GAAP Selling, general and administrative | $ | (229 | ) | $ | (214 | ) | $ | (191 | ) | ||
| GAAP amortization of acquisition-related intangible assets | $ | (134 | ) | $ | (135 | ) | $ | (139 | ) | ||
| PPA effects | (134 | ) | (135 | ) | (139 | ) | |||||
| Non-GAAP amortization of acquisition-related intangible assets | $ | — | $ | — | $ | — | |||||
| GAAP Other income (expense) | $ | 2 | $ | — | $ | — | |||||
| Non-GAAP Other income (expense) | $ | 2 | $ | — | $ | — | |||||
| GAAP Operating income (loss) | $ | 943 | $ | 873 | $ | 573 | |||||
| PPA effects | (149 | ) | (150 | ) | (159 | ) | |||||
| Restructuring | 4 | 1 | (1 | ) | |||||||
| Stock based compensation | (89 | ) | (89 | ) | (93 | ) | |||||
| Other incidentals | (16 | ) | (8 | ) | (4 | ) | |||||
| Non-GAAP Operating income (loss) | $ | 1,193 | $ | 1,119 | $ | 830 | |||||
| GAAP Operating margin | 28.5 | % | 27.8 | % | 22.1 | % | |||||
| Non-GAAP Operating margin | 36.0 | % | 35.7 | % | 32.0 | % | |||||
| GAAP Financial income (expense) | $ | (128 | ) | $ | (105 | ) | $ | (100 | ) | ||
| Foreign exchange gain (loss) | (2 | ) | (1 | ) | (1 | ) | |||||
| Gain (loss) on extinguishment of long-term debt | (18 | ) | — | — | |||||||
| Other financial income (expense) | (11 | ) | (1 | ) | (8 | ) | |||||
| Non-GAAP Financial income (expense) | $ | (97 | ) | $ | (103 | ) | $ | (91 | ) | ||
