XML 132 R26.htm IDEA: XBRL DOCUMENT v2.4.1.9
SELECTED QUARTERLY FINANCIAL INFORMATION (UNAUDITED) SELECTED QUARTERLY FINANCIAL INFORMATION (UNAUDITED)
 12 Months Ended
Jan. 31, 2015
Selected Quarterly Financial Information [Abstract]  
SELECTED QUARTERLY FINANCIAL INFORMATION (UNAUDITED)
SELECTED QUARTERLY FINANCIAL INFORMATION (UNAUDITED)

Summarized condensed quarterly financial information for the years ended January 31, 2015 and 2014 appears in the following tables:
 
 
Three Months Ended
 
 
April 30,
 
July 31,
 
October 31,
 
January 31,
(in thousands, except per share data)
 
2014
 
2014
 
2014
 
2015
Revenue
 
$
257,393

 
$
276,816

 
$
282,574

 
$
311,653

Gross profit
 
$
154,570

 
$
174,261

 
$
181,471

 
$
202,986

(Loss) income before (benefit) provision for income taxes
 
$
(13,269
)
 
$
(4,846
)
 
$
16,239

 
$
23,279

Net income (loss)
 
$
28,819

 
$
(10,380
)
 
$
11,473

 
$
6,490

Net income (loss) attributable to Verint Systems Inc.
 
$
27,956

 
$
(12,278
)
 
$
10,670

 
$
4,583

Net income (loss) attributable to Verint Systems Inc. common shares:
 
 
 
 
 
 
 
 
   for basic net income (loss) per common share
 
$
27,956

 
$
(12,278
)
 
$
10,670

 
$
4,583

   for diluted net income (loss) per common share
 
$
27,956

 
$
(12,278
)
 
$
10,670

 
$
4,583

 
 
 
 
 
 
 
 
 
Net income (loss) per common share attributable to Verint Systems Inc.
 
 
 
 
 
 
 
 
   Basic
 
$
0.52

 
$
(0.21
)
 
$
0.18

 
$
0.08

   Diluted
 
$
0.51

 
$
(0.21
)
 
$
0.17

 
$
0.07


 
 
Three Months Ended
 
 
April 30,
 
July 31,
 
October 31,
 
January 31,
(in thousands, except per share data)
 
2013
 
2013
 
2013
 
2014
Revenue
 
$
204,786

 
$
222,447

 
$
224,314

 
$
255,745

Gross profit
 
$
131,478

 
$
149,840

 
$
152,157

 
$
167,397

(Loss) income before provision for income taxes
 
$
(4,834
)
 
$
21,314

 
$
30,011

 
$
16,824

Net (loss) income
 
$
(7,937
)
 
$
18,505

 
$
24,054

 
$
24,154

Net (loss) income attributable to Verint Systems Inc.
 
$
(9,153
)
 
$
17,536

 
$
22,487

 
$
22,887

Net (loss) income attributable to Verint Systems Inc. common shares:
 
 
 
 
 
 
 
 
   for basic net (loss) income per common share
 
$
(9,327
)
 
$
17,536

 
$
22,487

 
$
22,887

   for diluted net (loss) income per common share
 
$
(9,327
)
 
$
17,536

 
$
22,487

 
$
22,887

 
 
 
 
 
 
 
 
 
Net (loss) income per common share attributable to Verint Systems Inc.
 
 
 
 
 
 
 
 
   Basic
 
$
(0.18
)
 
$
0.33

 
$
0.42

 
$
0.43

   Diluted
 
$
(0.18
)
 
$
0.33

 
$
0.42

 
$
0.42



Net income (loss) per common share attributable to Verint Systems Inc. is computed independently for each quarterly period and for the year. Therefore, the sum of quarterly net income (loss) per common share amounts may not equal the amounts reported for the years.

Quarterly operating results for the year ended January 31, 2015 include:

•
an income tax benefit of $45.2 million in the three months ended April 30, 2014 resulting from the reduction of a valuation allowance on our deferred income tax assets in connection with the acquisition of KANA;
•
a $7.1 million loss on early retirement of debt in the three months ended April 30, 2014 associated with an amendment to our Credit Agreement, and
•
a $5.5 million loss on early retirement of debt in the three months ended July 31, 2014 associated with an the early partial retirement of our February 2014 Term Loans and March 2014 Term Loans.

Quarterly operating results for the year ended January 31, 2014 include a $9.7 million loss on early retirement of debt in the three months ended April 30, 2013 associated with an amendment to our Credit Agreement.

As is typical for many software and technology companies, our business is subject to seasonal and cyclical factors. Our revenue and operating income are typically highest in the fourth quarter and lowest in the first quarter (prior to the impact of unusual or nonrecurring items). Moreover, revenue and operating income in the first quarter of a new year may be lower than in the fourth quarter of the preceding year, potentially by a significant margin. In addition, we generally receive a higher volume of orders in the last month of a quarter, with orders concentrated in the later part of that month. We believe that these seasonal and cyclical factors primarily reflects customer spending patterns and budget cycles, as well as the impact of compensation incentive plans for our sales personnel. While seasonal and cyclical factors such as these are common in the software and technology industry, this pattern should not be considered a reliable indicator of our future revenue or financial performance. Many other factors, including general economic conditions, also have an impact on our business and financial results. See "Risk Factors" under Item 1A of this report for a more detailed discussion of factors which may affect our business and financial results.