EX-99.1 2 ex991-q413revised.htm EXHIBIT ex991 -q4'13 revised

ATMEL CORPORATION
RECONCILIATION OF GAAP FINANCIAL MEASURES TO NON-GAAP FINANCIAL MEASURES
(in thousands, except for per share data)
(Unaudited)
 
 
Three Months Ended
 
Twelve Months Ended
 
 
December 31,
2013
 
September 30,
2013
 
December 31,
2012
 
December 31,
2013
 
December 31,
2012
GAAP gross margin
 
$
150,928

 
$
143,467

 
$
131,539

 
$
573,625

 
$
601,319

Loss from manufacturing facility damage and shutdown
 
2,205

 
—

 
—

 
2,205

 
—

Loss related to foundry arrangements
 
—

 
8,938

 
10,628

 
7,424

 
10,628

Share-based compensation expense
 
1,301

 
1,136

 
1,329

 
5,889

 
8,052

Non-GAAP gross margin
 
$
154,434

 
$
153,541

 
$
143,496

 
$
589,143

 
$
619,999

 
 
 
 
 
 
 
 
 
 
 
GAAP research and development expense
 
$
64,625

 
$
66,790

 
$
58,872

 
$
267,085

 
$
251,519

Share-based compensation expense
 
(4,804
)
 
(3,100
)
 
(5,257
)
 
(15,529
)
 
(22,825
)
French building underutilization and other
 
(766
)
 
—

 
—

 
(766
)
 
—

Non-GAAP research and development expense
 
$
59,055

 
$
63,690

 
$
53,615

 
$
250,790

 
$
228,694

 
 
 
 
 
 
 
 
 
 
 
GAAP selling, general and administrative expense
 
$
61,298

 
$
55,793

 
$
66,376

 
$
239,580

 
$
275,257

Share-based compensation expense
 
(9,382
)
 
(3,858
)
 
(9,818
)
 
(24,404
)
 
(41,565
)
French building underutilization and other
 
(179
)
 
—

 
—

 
(179
)
 
—

Non-GAAP selling, general and administrative expense
 
$
51,737

 
$
51,935

 
$
56,558

 
$
214,997

 
$
233,692

 
 
 
 
 
 
 
 
 
 
 
GAAP income (loss) from operations
 
$
26,767

 
$
11,050

 
$
(13,186
)
 
$
(5,170
)
 
$
47,363

Share-based compensation expense
 
15,486

 
8,094

 
16,404

 
45,822

 
72,442

Acquisition-related (credits) charges
 
(165
)
 
1,685

 
1,946

 
5,534

 
7,388

Restructuring (credits) charges
 
(1,519
)
 
8,149

 
11,036

 
50,026

 
23,986

Loss from manufacturing facility damage and shutdown
 
2,205

 
—

 
—

 
2,205

 
—

Loss related to foundry arrangements
 
—

 
8,938

 
10,628

 
7,424

 
10,628

(Recovery) impairment of receivables from foundry suppliers
 
(78
)
 
—

 
6,495

 
(600
)
 
6,495

Credit from reserved grant income
 
—

 
—

 
—

 
—

 
(10,689
)
French building underutilization and other
 
945

 
—

 
—

 
945

 
—

Gain on sale of assets
 
—

 
—

 
—

 
(4,430
)
 
—

Settlement charges
 
—

 
—

 
—

 
21,600

 
—

Non-GAAP income from operations
 
$
43,641

 
$
37,916

 
$
33,323

 
$
123,356

 
$
157,613

 
 
 
 
 
 
 
 
 
 
 
GAAP (provision for) benefit from income taxes
 
$
(23,186
)
 
$
(7,038
)
 
$
2,192

 
$
(21,542
)
 
$
(11,793
)
Adjustments for cash tax and other tax settlements
 
(22,257
)
 
(5,449
)
 
4,790

 
(16,428
)
 
(4,410
)
Non-GAAP provision for income taxes
 
$
(929
)
 
$
(1,589
)
 
$
(2,598
)
 
$
(5,114
)
 
$
(7,383
)
 
 
 
 
 
 
 
 
 
 
 
GAAP net income (loss)
 
$
4,512

 
$
5,426

 
$
(12,332
)
 
$
(24,753
)
 
$
30,445

Share-based compensation expense
 
15,486

 
8,094

 
16,404

 
45,822

 
72,442

Acquisition-related (credits) charges
 
(165
)
 
1,685

 
1,946

 
5,534

 
7,388

Restructuring (credits) charges
 
(1,519
)
 
8,149

 
11,036

 
50,026

 
23,986

Loss from manufacturing facility damage and shutdown
 
2,205

 
—

 
—

 
2,205

 
—

Loss related to foundry arrangements
 
—

 
8,938

 
10,628

 
7,424

 
10,628

(Recovery) impairment of receivables from foundry suppliers
 
(78
)
 
—

 
6,495

 
(600
)
 
6,495

Credit from reserved grant income
 
—

 
—

 
—

 
—

 
(10,689
)
French building underutilization and other
 
945

 
—

 
—

 
945

 
—

Gain on sale of assets
 
—

 
—

 
—

 
(4,430
)
 
—

Settlement charges
 
—

 
—

 
—

 
21,600

 
—

Tax adjustments
 
22,257

 
5,449

 
(4,790
)
 
16,428

 
4,410

Non-GAAP net income
 
$
43,643

 
$
37,741

 
$
29,387

 
$
120,201

 
$
145,105

 
 
 
 
 
 
 
 
 
 
 
GAAP net income (loss) per share - diluted
 
$
0.01

 
$
0.01

 
$
(0.03
)
 
$
(0.06
)
 
$
0.07

Share-based compensation expense
 
0.03

 
0.02

 
0.04

 
0.10

 
0.16

Acquisition-related (credits) charges
 
—

 
0.01

 
0.01

 
0.01

 
0.02

Restructuring (credits) charges
 
—

 
0.02

 
0.02

 
0.11

 
0.05

Loss from manufacturing facility damage and shutdown
 
0.01

 
—

 
—

 
0.01

 
—

Loss related to foundry arrangements
 
—

 
0.02

 
0.02

 
0.02

 
0.02

(Recovery) impairment of receivables from foundry suppliers
 
—

 
—

 
0.01

 
—

 
0.01

Credit from reserved grant income
 
—

 
—

 
—

 
—

 
(0.02
)
Gain on sale of assets
 
—

 
—

 
—

 
(0.01
)
 
—

Settlement charges
 
—

 
—

 
—

 
0.05

 
—

Tax adjustments
 
0.05

 
0.01

 
—

 
0.04

 
0.01

Non-GAAP net income per share - diluted
 
$
0.10

 
$
0.09

 
$
0.07

 
$
0.27

 
$
0.32

 
 
 
 
 
 
 
 
 
 
 
GAAP diluted shares
 
428,008

 
429,639

 
429,312

 
427,460

 
437,582

Adjusted dilutive stock awards - non-GAAP
 
9,503

 
9,207

 
14,669

 
11,841

 
9,764

Non-GAAP diluted shares
 
437,511

 
438,846

 
443,981

 
439,301

 
447,346