| Unaudited Reconciliation of IFRS to Non-IFRS | ||||||||||||||||||||
| Three Months Ended | Year Ended | |||||||||||||||||||
| (in millions USD, except for per share amounts) |
December 31,
2023 |
September 30,
2023 |
December 31,
2022 |
December 31,
2023 |
December 31,
2022 | |||||||||||||||
| Net Revenue | $ | 1,854 | $ | 1,852 | $ | 2,101 | $ | 7,392 | $ | 8,108 | ||||||||||
| Gross profit | $ | 525 | $ | 529 | $ | 622 | $ | 2,101 | $ | 2,239 | ||||||||||
| Gross profit margin | 28.3 | % | 28.6 | % | 29.6 | % | 28.4 | % | 27.6 | % | ||||||||||
| Share-based compensation | $ | 12 | $ | 12 | $ | 11 | $ | 48 | $ | 64 | ||||||||||
| Adjusted gross profit (1) | $ | 537 | $ | 541 | $ | 633 | $ | 2,149 | $ | 2,303 | ||||||||||
| Adjusted gross margin (1) | 29.0 | % | 29.2 | % | 30.1 | % | 29.1 | % | 28.4 | % | ||||||||||
| Selling, general and administrative (2) | $ | 87 | $ | 143 | $ | 130 | $ | 473 | $ | 496 | ||||||||||
| Share-based compensation | $ | 30 | $ | 25 | $ | 25 | $ | 96 | $ | 91 | ||||||||||
| Adjusted selling, general and administrative (1) | $ | 57 | $ | 118 | $ | 105 | $ | 377 | $ | 405 | ||||||||||
| Research and development | $ | 105 | $ | 108 | $ | 110 | $ | 428 | $ | 482 | ||||||||||
| Share-based compensation | $ | 8 | $ | 7 | $ | 7 | $ | 25 | $ | 27 | ||||||||||
| Adjusted research and development (1) | $ | 97 | $ | 101 | $ | 103 | $ | 403 | $ | 455 | ||||||||||
| Operating profit | $ | 303 | $ | 261 | $ | 288 | $ | 1,129 | $ | 1,167 | ||||||||||
| Operating profit margin | 16.3 | % | 14.1 | % | 13.7 | % | 15.3 | % | 14.4 | % | ||||||||||
| Share-based compensation | $ | 50 | $ | 44 | $ | 43 | $ | 169 | $ | 182 | ||||||||||
| Restructuring charges (3) | $ | 30 | $ | 17 | $ | 94 | $ | 71 | $ | 94 | ||||||||||
| Adjusted operating profit (1) | $ | 383 | $ | 322 | $ | 425 | $ | 1,369 | $ | 1,443 | ||||||||||
| Adjusted operating profit margin (1) | 20.7 | % | 17.4 | % | 20.2 | % | 18.5 | % | 17.8 | % | ||||||||||
| Net income | $ | 278 | $ | 249 | $ | 668 | $ | 1,018 | $ | 1,446 | ||||||||||
| Net income margin | 15.0 | % | 13.4 | % | 31.8 | % | 13.8 | % | 17.8 | % | ||||||||||
| Share-based compensation | $ | 50 | $ | 44 | $ | 43 | $ | 169 | $ | 182 | ||||||||||
| Restructuring charges (3) | $ | 30 | $ | 17 | $ | 94 | $ | 71 | $ | 94 | ||||||||||
| Income tax effect (4) | $ | (2 | ) | $ | (2 | ) | $ | (5 | ) | $ | (7 | ) | $ | (5 | ) | |||||
| Adjusted net income (1)(5) | $ | 356 | $ | 308 | $ | 800 | $ | 1,251 | $ | 1,717 | ||||||||||
| Adjusted net income margin (1) | 19.2 | % | 16.6 | % | 38.1 | % | 16.9 | % | 21.2 | % | ||||||||||
| Diluted EPS | $ | 0.50 | $ | 0.45 | $ | 1.21 | $ | 1.83 | $ | 2.62 | ||||||||||
| Share-based compensation | $ | 0.09 | $ | 0.08 | $ | 0.07 | $ | 0.30 | $ | 0.33 | ||||||||||
| Restructuring charges (3) | $ | 0.05 | $ | 0.03 | $ | 0.17 | $ | 0.13 | $ | 0.17 | ||||||||||
| Income tax effect (4) | $ | — | $ | (0.01 | ) | $ | (0.01 | ) | $ | (0.02 | ) | $ | (0.01 | ) | ||||||
| Diluted shares outstanding | 557 | 556 | 554 | 556 | 552 | |||||||||||||||
| Adjusted diluted EPS (1) | $ | 0.64 | $ | 0.55 | $ | 1.44 | $ | 2.24 | $ | 3.11 | ||||||||||
| Net cash provided by operating activities | $ | 684 | $ | 416 | $ | 2,125 | ||||||||||||||
| Less: Purchase of property, plant and equipment and intangible assets | $ | 228 | $ | 323 | $ | 1,804 | ||||||||||||||
| Free cash flow (1) | $ | 456 | $ | 93 | $ | 321 | ||||||||||||||
| (1) Adjusted gross profit, adjusted selling, general and administrative, adjusted research and development, adjusted operating profit, adjusted operating expense (calculated by subtracting adjusted operating profit from adjusted gross profit), adjusted net income, adjusted diluted EPS, free cash flow and any related margins are all Non-IFRS measures. See “Financial Measures (Non-IFRS)” for a discussion of why we believe these Non-IFRS measures are useful.
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| (2) Beginning in Q3 2023, selling, general and administrative includes (gain)/loss on tool sales and certain contract cancellation fees. Prior period amounts have not been adjusted, as they are immaterial. | ||||||||||||||||||||
| (3) Includes $3.1 million of share-based compensation in Q4 2022. | ||||||||||||||||||||
| (4) Relates to restructuring charges. | ||||||||||||||||||||
| (5) Reflects change to adjusted net income definition discussed in more detail elsewhere in this release. | ||||||||||||||||||||
