UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): October 25, 2012
QLOGIC CORPORATION
(Exact name of registrant as specified in its charter)
| Delaware | 0-23298 | 33-0537669 | ||
| (State of incorporation) |
(Commission File Number) |
(IRS Employer Identification No.) |
| 26650 Aliso Viejo Parkway, Aliso Viejo, California | 92656 | |||
| (Address of principal executive offices) | (Zip Code) | |||
Registrant’s telephone number, including area code: (949) 389-6000
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
| ¨ | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
| ¨ | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
| ¨ | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
| ¨ | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
Item 2.02 Results of Operations and Financial Condition
On October 25, 2012, the Company reported the financial results for its second fiscal quarter ended September 30, 2012. A copy of the press release issued by the Company concerning the foregoing results is furnished herewith as Exhibit 99.1 and is incorporated herein by reference.
The information contained herein and in the accompanying Exhibit 99.1 shall not be incorporated by reference into any filings of the Company under the Securities Act of 1933, as amended, or the Securities Exchange Act of 1934, as amended, except as shall be expressly set forth by specific reference in such filing. The information in this report, including Exhibit 99.1 hereto, shall not be deemed to be “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities under that section.
Discussion of Non-GAAP Financial Measures
In addition to the results presented on a generally accepted accounting principles (GAAP) basis in the press release included in Exhibit 99.1, the Company has also included certain non-GAAP financial measures. These non-GAAP financial measures include non-GAAP income from continuing operations and non-GAAP income from continuing operations per diluted share.
The Company believes that these supplemental non-GAAP financial measures, when presented in conjunction with the corresponding GAAP financial measures, provide useful information to investors and management regarding financial and business trends relating to its results of operations. However, non-GAAP financial measures have certain limitations in that they do not reflect all of the costs associated with the operations of the Company’s business as determined in accordance with GAAP. Therefore, investors should consider non-GAAP financial measures in addition to, and not as a substitute for, or as superior to, measures of financial performance prepared in accordance with GAAP.
The Company has presented non-GAAP income from continuing operations and non-GAAP income from continuing operations per diluted share, on a basis consistent with its historical presentation, to assist investors in understanding the Company’s core income from continuing operations and core income from continuing operations per diluted share on an on-going basis. These non-GAAP financial measures may also assist investors in making comparisons of the Company’s core profitability with historical periods. Although the non-GAAP financial measures presented by the Company may be different from the non-GAAP financial measures used by other companies, the Company believes that these non-GAAP financial measures may also assist investors in making comparisons of the Company’s core profitability with the corresponding results for its competitors. Management also believes that non-GAAP income from continuing operations and non-GAAP income from continuing operations per diluted share are important measures in the evaluation of the Company’s profitability.
Management uses non-GAAP income from continuing operations and non-GAAP income from continuing operations per diluted share in its evaluation of the Company’s core after-tax results of operations and trends between fiscal periods and believes that these measures are important components of its internal performance measurement process. In addition, the Company prepares and maintains its budgets and forecasts for future periods on a basis
consistent with these non-GAAP financial measures. Management believes that providing these non-GAAP financial measures allows investors to view the Company’s financial results in the way that management views the financial results.
The Company excludes the following items from its non-GAAP financial measures:
Stock-based compensation. Stock-based compensation consists of expenses associated with stock options and restricted stock units granted by the Company and purchases of common stock under the Company’s Employee Stock Purchase Plan. Stock-based compensation is a non-cash expense that varies in amount from period to period as a result of factors that are difficult to predict and are generally outside the control of the Company, such as the market price and associated volatility of the Company’s common stock. Accordingly, management believes these expenses are not reflective of the Company’s core operating expenses and excludes them when assessing its core operating results and from its internal budgets and forecasts.
Amortization of acquisition-related intangible assets. In connection with acquisitions, the Company records purchased intangible assets which are amortized over their estimated useful lives. The amortization is a non-cash expense which is not considered by management when assessing the core operating results of the Company. The acquisition-related intangible assets and the related amortization can vary significantly based on the size and frequency of acquisitions.
Income tax effect. Income tax expense is adjusted by the amount of tax benefit or expense (including any valuation allowance related to deferred tax assets) that would result from the use of the non-GAAP results instead of the GAAP results when calculating the Company’s tax expense. Management believes changes in valuation allowances related to the Company’s deferred tax assets associated with non-core assets (i.e., investment securities) and acquisition-related deferred tax assets are unrelated to the Company’s core business. Accordingly, management does not consider valuation allowances related to such deferred tax assets when assessing the core operating results of the Company.
Each of the foregoing items has been excluded from the non-GAAP financial measures presented by the Company. Management believes that such exclusion is appropriate since these items are not reflective of the Company’s core operating activities and thus excludes them from their internal budgets and forecasts, as well as their assessment of core operating performance.
Item 9.01 Financial Statements and Exhibits
| (d) | Exhibits |
| 99.1 | Press Release*, dated October 25, 2012, reporting the financial results of QLogic Corporation for its second fiscal quarter ended September 30, 2012. |
| * | The press release is being furnished pursuant to Item 9.01, and shall not be deemed to be “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended. |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| QLOGIC CORPORATION | ||
| October 25, 2012 | /s/ Jean Hu | |
| Jean Hu | ||
| Senior Vice President and Chief Financial Officer | ||
EXHIBIT INDEX
| Exhibit |
Description of Document | |
| 99.1 | Press Release, dated October 25, 2012, reporting the financial results of QLogic Corporation for its second fiscal quarter ended September 30, 2012. | |
Exhibit 99.1
FOR IMMEDIATE RELEASE
Media Contact:
Steve Sturgeon
QLogic Corporation
858.472.5669
steve.sturgeon@qlogic.com
Investor Contact:
Jean Hu
QLogic Corporation
949.389.7579
jean.hu@qlogic.com
QLOGIC REPORTS SECOND QUARTER
RESULTS FOR FISCAL YEAR 2013
ALISO VIEJO, Calif., October 25, 2012—QLogic Corp. (Nasdaq:QLGC), a leading supplier of high performance network infrastructure solutions, today announced its second quarter financial results for the period ended September 30, 2012.
Second Quarter Highlights
| • | Net revenue: $117.9 million |
| • | GAAP income from continuing operations: $11.8 million or $0.13 per diluted share |
| • | Non-GAAP income from continuing operations: $16.8 million or $0.18 per diluted share |
| • | Operating margin: 11.0% GAAP, 17.2% non-GAAP |
| • | Cash and marketable securities: $484.4 million as of September 30, 2012 |
| • | Cash generated from operations: $41.8 million |
Financial Results
Net revenue for the second quarter of fiscal 2013 was $117.9 million compared to $136.3 million in the same quarter last year. Revenue from Host Products was $89.6 million during the second quarter of fiscal 2013 compared to $103.4 million in the same quarter last year. Revenue from Network Products was $17.6 million during the second quarter of fiscal 2013 compared to $19.0 million in the same quarter last year. Revenue from Silicon Products was $10.7 million during the second quarter of fiscal 2013 compared to $13.9 million in the same quarter last year.
Income from continuing operations on a GAAP basis for the second quarter of fiscal 2013 was $11.8 million, or $0.13 per diluted share, compared to $26.5 million, or $0.26 per diluted share, for the second quarter of fiscal 2012. Income from continuing operations on a non-GAAP basis for the second quarter of fiscal 2013 was $16.8 million, or $0.18 per diluted share, compared to $32.0 million, or $0.31 per diluted share, for the second quarter of fiscal 2012.
“Despite the challenging macroeconomic environment and weakness in enterprise server sales, we delivered fiscal second quarter revenue of $117.9 million, above the mid-point of our guidance range,” said Simon Biddiscombe, president and chief executive officer, QLogic. “During these difficult times, we remain committed to our long-term strategy of focus and investment in both our core and expansion markets to drive our future growth and shareholder value.”
QLogic uses certain non-GAAP financial measures to supplement financial statements based on GAAP. A summary of these non-GAAP financial measures and a reconciliation of each non-GAAP financial measure to the most directly comparable GAAP financial measure, as well as a description of the reasons that management believes that these non-GAAP financial measures provide useful information to investors and the additional purposes for which management uses these non-GAAP financial measures, is presented in the accompanying financial schedules.
QLogic’s fiscal 2013 second quarter conference call is scheduled for today at 2:00 p.m. Pacific Time (5:00 p.m. Eastern Time). Simon Biddiscombe, president and chief executive officer, and Jean Hu, senior vice president and chief financial officer, will host the conference call. The call is being webcast live via the Internet at http://ir.qlogic.com and www.earnings.com. Phone access to participate in the conference call is available at (877) 627-6585, pass code: 8531242.
The financial information that the company intends to discuss during the conference call will be available on the company’s website at http://ir.qlogic.com for twelve months following the conference call. A replay of the conference call will be available via webcast at http://ir.qlogic.com for twelve months.
Follow QLogic @ twitter.com/qlogic
QLogic – the Ultimate in Performance
QLogic (Nasdaq:QLGC) is a global leader and technology innovator in high performance networking, including adapters, switches and ASICs. Leading OEMs and channel partners worldwide rely on QLogic products for their data, storage and server networking solutions. For more information, visit www.qlogic.com.
Disclaimer – Forward-Looking Statements
This press release contains statements relating to future results of the company (including certain beliefs and projections regarding business and market trends, and the focus and investments that may drive future growth and shareholder value) that are “forward-looking statements” as defined in the Private Securities Litigation Reform Act of 1995. Such forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from those projected or implied in the forward-looking statements. The company advises readers that these potential risks and uncertainties include, but are not limited to: unfavorable economic conditions; potential fluctuations in operating results; gross margins that may vary over time; the stock price of the company may be volatile; the company’s dependence on the networking markets served; the ability to maintain and gain market or industry acceptance of the company’s products; the company’s dependence on a small number of customers; the company’s ability to compete effectively with other companies; the complexity of the company’s products; declining average unit sales prices of comparable products; the company’s dependence on sole source and limited source suppliers; the company’s dependence on relationships with certain third-party subcontractors and contract manufacturers; the ability to attract and retain key personnel; sales fluctuations arising from customer transitions to new products; seasonal fluctuations and uneven sales patterns in orders from customers; a reduction in sales efforts by current distributors; changes in the company’s tax provisions or adverse outcomes resulting from examination of its income tax returns; international economic, currency, regulatory, political and other risks; facilities of the company and its suppliers and customers are located in areas subject to natural disasters; the ability to protect proprietary rights; the ability to satisfactorily resolve any infringement claims; uncertain benefits from strategic business combinations,
acquisitions and divestitures; declines in the market value of the company’s marketable securities; changes in and compliance with regulations; difficulties in transitioning to smaller geometry process technologies; the use of “open source” software in the company’s products; security system risks, data protection breaches and cyber-attacks; and issues related to the upgrade of the company’s enterprise resource planning system.
More detailed information on these and additional factors which could affect the company’s operating and financial results are described in the company’s Forms 10-K, 10-Q and other reports filed, or to be filed, with the Securities and Exchange Commission. The company urges all interested parties to read these reports to gain a better understanding of the business and other risks that the company faces. The forward-looking statements contained in this press release are made only as of the date hereof, and the company does not intend to update or revise these forward-looking statements, whether as a result of new information, future events or otherwise.
QLogic and the QLogic logo are registered trademarks of QLogic Corporation. Other trademarks and registered trademarks are the property of the companies with which they are associated.
QLOGIC CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(unaudited — in thousands, except per share amounts)
| Three Months Ended | Six Months Ended | |||||||||||||||
| September 30, 2012 |
October 2, 2011 |
September 30, 2012 |
October 2, 2011 |
|||||||||||||
| Net revenues |
$ | 117,867 | $ | 136,275 | $ | 248,238 | $ | 280,756 | ||||||||
| Cost of revenues |
38,980 | 43,345 | 82,293 | 88,213 | ||||||||||||
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|||||||||
| Gross profit |
78,887 | 92,930 | 165,945 | 192,543 | ||||||||||||
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|||||||||
| Operating expenses: |
||||||||||||||||
| Engineering and development |
38,024 | 35,065 | 77,482 | 69,917 | ||||||||||||
| Sales and marketing |
19,739 | 18,509 | 38,625 | 38,230 | ||||||||||||
| General and administrative |
8,139 | 8,854 | 16,812 | 18,017 | ||||||||||||
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|||||||||
| Total operating expenses |
65,902 | 62,428 | 132,919 | 126,164 | ||||||||||||
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|||||||||
| Operating income |
12,985 | 30,502 | 33,026 | 66,379 | ||||||||||||
| Interest and other income, net |
954 | 1,080 | 2,032 | 2,128 | ||||||||||||
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| Income from continuing operations before income taxes |
13,939 | 31,582 | 35,058 | 68,507 | ||||||||||||
| Income taxes |
2,159 | 5,075 | 4,837 | 7,804 | ||||||||||||
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|||||||||
| Income from continuing operations |
11,780 | 26,507 | 30,221 | 60,703 | ||||||||||||
| Income from discontinued operations, net of income taxes |
94 | 2,147 | 39 | 377 | ||||||||||||
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| Net income |
$ | 11,874 | $ | 28,654 | $ | 30,260 | $ | 61,080 | ||||||||
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|||||||||
| Income from continuing operations per share: |
||||||||||||||||
| Basic |
$ | 0.13 | $ | 0.26 | $ | 0.32 | $ | 0.58 | ||||||||
| Diluted |
$ | 0.13 | $ | 0.26 | $ | 0.31 | $ | 0.58 | ||||||||
| Income from discontinued operations per share: |
||||||||||||||||
| Basic |
$ | — | $ | 0.02 | $ | — | $ | 0.01 | ||||||||
| Diluted |
$ | — | $ | 0.02 | $ | — | $ | — | ||||||||
| Net income per share: |
||||||||||||||||
| Basic |
$ | 0.13 | $ | 0.28 | $ | 0.32 | $ | 0.59 | ||||||||
| Diluted |
$ | 0.13 | $ | 0.28 | $ | 0.31 | $ | 0.58 | ||||||||
| Number of shares used in per share calculations: |
||||||||||||||||
| Basic |
93,762 | 103,273 | 95,584 | 103,976 | ||||||||||||
| Diluted |
93,949 | 103,562 | 96,159 | 104,676 | ||||||||||||
QLOGIC CORPORATION
RECONCILIATION OF GAAP INCOME FROM CONTINUING OPERATIONS TO
NON-GAAP INCOME FROM CONTINUING OPERATIONS
(unaudited — in thousands, except per share amounts)
| Three Months Ended | Six Months Ended | |||||||||||||||
| September 30, 2012 |
October 2, 2011 |
September 30, 2012 |
October 2, 2011 |
|||||||||||||
| GAAP income from continuing operations |
$ | 11,780 | $ | 26,507 | $ | 30,221 | $ | 60,703 | ||||||||
| Items excluded from GAAP income from continuing operations: |
||||||||||||||||
| Stock-based compensation |
7,045 | 7,539 | 16,322 | 16,729 | ||||||||||||
| Amortization of acquisition-related intangible assets |
243 | 244 | 487 | 488 | ||||||||||||
| Income tax effect |
(2,251 | ) | (2,312 | ) | (4,868 | ) | (4,787 | ) | ||||||||
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| Total non-GAAP adjustments |
5,037 | 5,471 | 11,941 | 12,430 | ||||||||||||
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| Non-GAAP income from continuing operations |
$ | 16,817 | $ | 31,978 | $ | 42,162 | $ | 73,133 | ||||||||
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| Income from continuing operations per diluted share: |
||||||||||||||||
| GAAP income from continuing operations |
$ | 0.13 | $ | 0.26 | $ | 0.31 | $ | 0.58 | ||||||||
| Adjustments |
0.05 | 0.05 | 0.13 | 0.12 | ||||||||||||
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| Non-GAAP income from continuing operations |
$ | 0.18 | $ | 0.31 | $ | 0.44 | $ | 0.70 | ||||||||
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Non-GAAP Financial Measures
The non-GAAP financial measures contained herein are a supplement to the corresponding financial measures prepared in accordance with generally accepted accounting principles (GAAP). The non-GAAP financial measures presented exclude the items summarized in the above table. Management believes that adjustments for these items assist investors in making comparisons of period-to-period operating results and that these items are not indicative of the company’s on-going core operating performance.
The company has presented non-GAAP income from continuing operations and non-GAAP income from continuing operations per diluted share, on a basis consistent with its historical presentation, to assist investors in understanding the company’s core income from continuing operations and core income from continuing operations per diluted share on an on-going basis. These non-GAAP financial measures may also assist investors in making comparisons of the company’s core profitability with historical periods and comparisons of the company’s core profitability with the corresponding results for competitors. Management believes that non-GAAP income from continuing operations and non-GAAP income from continuing operations per diluted share are important measures in the evaluation of the company’s profitability. These non-GAAP financial measures exclude the adjustments described in the above table, and thus provide an overall measure of the company’s on-going profitability and related profitability on a per diluted share basis.
Management uses non-GAAP income from continuing operations and non-GAAP income from continuing operations per diluted share in its evaluation of the company’s core after-tax results of operations and trends between fiscal periods and believes that these measures are important components of its internal performance measurement process. In addition, the company prepares and maintains its budgets and forecasts for future periods on a basis consistent with these non-GAAP financial measures. Management believes that providing these non-GAAP financial measures allows investors to view the company’s financial results in the way that management views the financial results.
The non-GAAP financial measures presented herein have certain limitations in that they do not reflect all of the costs associated with the operations of the company’s business as determined in accordance with GAAP. Therefore, investors should consider non-GAAP financial measures in addition to, and not as a substitute for, or as superior to, measures of financial performance prepared in accordance with GAAP. The non-GAAP financial measures presented by the company may be different from the non-GAAP financial measures used by other companies.
For additional information on the items excluded from the non-GAAP financial measures and why the company believes that these non-GAAP financial measures provide useful supplemental information to investors, the company refers you to the Form 8-K regarding this release filed today with the Securities and Exchange Commission.
A summary of the non-GAAP adjustments presented in the table above by the financial statement line impacted is as follows:
| (unaudited – in thousands) | Three Months Ended | Six Months Ended | ||||||||||||||
| September 30, 2012 |
October 2, 2011 |
September 30, 2012 |
October 2, 2011 |
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| Non-GAAP Adjustments: |
||||||||||||||||
| Cost of revenues: |
||||||||||||||||
| Stock-based compensation |
$ | 540 | $ | 593 | $ | 1,310 | $ | 1,334 | ||||||||
| Amortization of acquisition-related intangible assets |
243 | 244 | 487 | 488 | ||||||||||||
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| Total cost of revenue adjustments |
783 | 837 | 1,797 | 1,822 | ||||||||||||
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| Operating expenses: |
||||||||||||||||
| Engineering and development: |
||||||||||||||||
| Stock-based compensation |
3,096 | 3,296 | 7,414 | 7,692 | ||||||||||||
| Sales and marketing: |
||||||||||||||||
| Stock-based compensation |
1,633 | 1,701 | 3,598 | 3,383 | ||||||||||||
| General and administrative: |
||||||||||||||||
| Stock-based compensation |
1,776 | 1,949 | 4,000 | 4,320 | ||||||||||||
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| Total operating expense adjustments |
6,505 | 6,946 | 15,012 | 15,395 | ||||||||||||
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| Total non-GAAP adjustments before income taxes |
7,288 | 7,783 | 16,809 | 17,217 | ||||||||||||
| Income tax effect |
(2,251 | ) | (2,312 | ) | (4,868 | ) | (4,787 | ) | ||||||||
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| Total non-GAAP adjustments |
$ | 5,037 | $ | 5,471 | $ | 11,941 | $ | 12,430 | ||||||||
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QLOGIC CORPORATION
CONDENSED CONSOLIDATED BALANCE SHEETS
(unaudited — in thousands)
| September 30, 2012 |
April 1, 2012 |
|||||||
| ASSETS | ||||||||
| Current assets: |
||||||||
| Cash and cash equivalents |
$ | 103,465 | $ | 164,516 | ||||
| Marketable securities |
380,951 | 373,439 | ||||||
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|||||
| Total cash and marketable securities |
484,416 | 537,955 | ||||||
| Accounts receivable, net |
72,948 | 76,588 | ||||||
| Inventories |
21,788 | 19,724 | ||||||
| Deferred tax assets |
15,034 | 16,780 | ||||||
| Other current assets |
26,111 | 35,842 | ||||||
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|||||
| Total current assets |
620,297 | 686,889 | ||||||
| Property and equipment, net |
86,409 | 78,010 | ||||||
| Goodwill |
110,976 | 110,976 | ||||||
| Purchased intangible assets, net |
4,665 | 5,277 | ||||||
| Deferred tax assets |
34,391 | 30,558 | ||||||
| Other assets |
1,610 | 1,708 | ||||||
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| $ | 858,348 | $ | 913,418 | |||||
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| LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||||
| Current liabilities: |
||||||||
| Accounts payable |
$ | 35,736 | $ | 34,198 | ||||
| Accrued compensation |
21,056 | 28,326 | ||||||
| Accrued taxes |
2,379 | 2,799 | ||||||
| Deferred revenue |
5,626 | 6,504 | ||||||
| Other current liabilities |
11,977 | 9,390 | ||||||
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|||||
| Total current liabilities |
76,774 | 81,217 | ||||||
| Accrued taxes |
66,546 | 64,853 | ||||||
| Other liabilities |
6,330 | 7,505 | ||||||
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|||||
| Total liabilities |
149,650 | 153,575 | ||||||
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| Stockholders’ equity: |
||||||||
| Common stock |
212 | 211 | ||||||
| Additional paid-in capital |
916,336 | 901,734 | ||||||
| Retained earnings |
1,647,461 | 1,617,201 | ||||||
| Accumulated other comprehensive income |
2,268 | 1,033 | ||||||
| Treasury stock |
(1,857,579 | ) | (1,760,336 | ) | ||||
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| Total stockholders’ equity |
708,698 | 759,843 | ||||||
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| $ | 858,348 | $ | 913,418 | |||||
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QLOGIC CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(unaudited — in thousands)
| Six Months Ended | ||||||||
| September 30, 2012 |
October 2, 2011 |
|||||||
| Cash flows from operating activities: |
||||||||
| Net income |
$ | 30,260 | $ | 61,080 | ||||
| Adjustments to reconcile net income to net cash provided by operating activities: |
||||||||
| Depreciation and amortization |
13,524 | 16,359 | ||||||
| Stock-based compensation |
16,322 | 17,687 | ||||||
| Deferred income taxes |
(3,493 | ) | 509 | |||||
| Other non-cash items |
2,094 | 1,524 | ||||||
| Changes in operating assets and liabilities: |
||||||||
| Accounts receivable |
3,749 | (16,625 | ) | |||||
| Inventories |
(2,064 | ) | 3,423 | |||||
| Other assets |
(2,223 | ) | (652 | ) | ||||
| Accounts payable |
2,222 | 2,137 | ||||||
| Accrued compensation |
(7,270 | ) | (3,636 | ) | ||||
| Accrued taxes |
12,908 | 156 | ||||||
| Deferred revenue |
(884 | ) | (1,453 | ) | ||||
| Other liabilities |
3,663 | 1,310 | ||||||
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| Net cash provided by operating activities |
68,808 | 81,819 | ||||||
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| Cash flows from investing activities: |
||||||||
| Purchases of available-for-sale securities |
(137,446 | ) | (242,274 | ) | ||||
| Proceeds from sales and maturities of available-for-sale securities |
129,587 | 160,542 | ||||||
| Purchases of property and equipment |
(22,029 | ) | (18,202 | ) | ||||
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| Net cash used in investing activities |
(29,888 | ) | (99,934 | ) | ||||
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| Cash flows from financing activities: |
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| Proceeds from issuance of common stock under stock-based awards |
4,894 | 9,959 | ||||||
| Excess tax benefits from stock-based awards |
128 | 539 | ||||||
| Minimum tax withholding paid on behalf of employees for restricted stock units |
(5,505 | ) | (5,363 | ) | ||||
| Purchases of treasury stock |
(99,488 | ) | (60,146 | ) | ||||
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| Net cash used in financing activities |
(99,971 | ) | (55,011 | ) | ||||
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| Net decrease in cash and cash equivalents |
(61,051 | ) | (73,126 | ) | ||||
| Cash and cash equivalents at beginning of period |
164,516 | 147,780 | ||||||
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| Cash and cash equivalents at end of period |
$ | 103,465 | $ | 74,654 | ||||
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QLOGIC CORPORATION
SUPPLEMENTAL FINANCIAL INFORMATION
(unaudited — in thousands)
Net Revenues
A summary of the company’s revenue components is as follows:
| Three Months Ended | Six Months Ended | |||||||||||||||
| September 30, 2012 |
October 2, 2011 |
September 30, 2012 |
October 2, 2011 |
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| Host Products |
$ | 89,558 | $ | 103,448 | $ | 190,604 | $ | 212,373 | ||||||||
| Network Products |
17,579 | 18,970 | 37,115 | 37,697 | ||||||||||||
| Silicon Products |
10,730 | 13,857 | 20,519 | 30,686 | ||||||||||||
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| $ | 117,867 | $ | 136,275 | $ | 248,238 | $ | 280,756 | |||||||||
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