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): July 26, 2016
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 |
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92656 |
|
(Address of principal executive offices) |
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(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 July 26, 2016, the Company reported the financial results for its first fiscal quarter ended July 3, 2016. 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 net income and non-GAAP net income 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 net income and non-GAAP net income per diluted share, on a basis consistent with its historical presentation, to assist investors in understanding the Company’s core net income and core net income 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 net income and non-GAAP net income per diluted share are important measures in the evaluation of the Company’s profitability.
Management uses non-GAAP net income and non-GAAP net income 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.
Amortization of license fee. The Company entered into a patent license agreement that covers certain products in exchange for a one-time payment. The cost of the license attributable to future periods is amortized over the license term. This license is an infrequent and unusual transaction that management does not believe is directly related to its core operating performance. The amortization of the license fee is a non-cash expense which is not considered by management when assessing the core operating results of the Company. Management excludes such amortization expense when evaluating internal performance and believes that exclusion of this expense is useful to investors in evaluating the performance of its ongoing operations between fiscal periods and relative to its competitors.
Transaction costs. The Company entered into a merger agreement with Cavium, Inc. on June 15, 2016. In connection with this proposed transaction, the Company incurred various expenses including, but not limited to, financial advisory, legal and accounting fees. Management believes these expenses are unrelated to the Company’s core business and does not consider these transaction costs when assessing the core operating results of the Company.
Special charges. Special charges consist of exit costs which include severance and related costs associated with involuntarily terminated employees, the estimated costs associated with facilities under non-cancelable leases that the Company ceased using, and other related charges. Management believes these charges are unrelated to the Company’s core business and does not consider these special charges when assessing the core operating results of the Company.
Gains recognized on previously impaired investment securities. The Company recognized gains on investment securities that were previously impaired. The Company had previously recognized impairment charges on certain of its investment securities due to declines in the fair value of these investments below their cost basis that management had deemed to be other-than-temporary. Management believes that these gains are unrelated to the Company’s core business and does not consider the gains recognized on previously impaired investment securities when assessing the core operating results of the Company.
Income tax adjustments. The Company uses a projected long-term non-GAAP tax rate for evaluating operating performance and for internal budgets and forecasts. In estimating this long-term non-GAAP tax rate, the Company evaluated its long-term projections, current tax structure and other factors such as the Company's existing tax positions and key legislation in the jurisdictions where the Company operates. The use of a long-term non-GAAP tax rate eliminates the effects of non-recurring and period specific items, which can vary in size and frequency. The Company re-evaluates this long-term rate on an annual basis. This long-term rate is subject to change over time for various reasons, including significant changes in the mix of earnings by tax jurisdiction or changes in statutory tax rates. Based on the various factors discussed above, the Company applied a long-term non-GAAP tax rate to its non-GAAP financial results.
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
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|
(d) |
Exhibits |
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|
99.1 |
Press Release*, dated July 26, 2016, reporting the financial results of QLogic Corporation for its first fiscal quarter ended July 3, 2016. |
|
|
* |
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. |
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.
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QLOGIC CORPORATION |
|
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|
July 26, 2016 |
/s/ Jean Hu |
|
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Jean Hu |
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Acting Chief Executive Officer, |
|
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Senior Vice President and |
|
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Chief Financial Officer |
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Exhibit |
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Number |
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Description of Document |
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99.1 |
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Press Release, dated July 26, 2016, reporting the financial results of QLogic Corporation for its first fiscal quarter ended July 3, 2016. |
Exhibit 99.1
Media Contact:
Jess Page
QLogic Corporation
(949) 542-1455
jess.page@qlogic.com
Investor Contact:
Doug Naylor
QLogic Corporation
(949) 542-1330
doug.naylor@qlogic.com
QLOGIC REPORTS FIRST
QUARTER RESULTS FOR FISCAL 2017
|
|
· |
Q1 net revenue of $116.4 million |
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|
· |
Q1 operating margin of 12.9% GAAP; 23.5% non-GAAP |
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· |
Q1 diluted EPS of $0.22 GAAP; $0.29 non-GAAP |
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· |
Cash and marketable securities: $365.3 million as of July 3, 2016 |
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· |
On June 15, 2016, QLogic entered into a merger agreement with Cavium, Inc. (Cavium) |
ALISO VIEJO, Calif., July 26, 2016—QLogic Corp. (Nasdaq:QLGC), a leading supplier of high performance network infrastructure solutions, today announced its first quarter financial results for the period ended July 3, 2016.
Net revenue for the first quarter of fiscal 2017 was $116.4 million compared to $113.4 million in the same quarter last year. Revenue from Advanced Connectivity Platforms was $108.6 million during the first quarter of fiscal 2017 compared to $102.6 million in the same quarter last year.
Net income on a GAAP basis for the first quarter of fiscal 2017 was $18.3 million, or $0.22 per diluted share, compared to $2.6 million, or $0.03 per diluted share, for the first quarter of fiscal 2016. Net income on a non-GAAP basis for the first quarter of fiscal 2017 was $24.9 million, or $0.29 per diluted share, compared to $16.5 million, or $0.19 per diluted share, for the first quarter of fiscal 2016.
Business Outlook
Due to the pending acquisition by Cavium, QLogic will not be providing earnings guidance for the second quarter of fiscal 2017.
Non-GAAP Financial Measures
QLogic uses certain non-GAAP financial measures to supplement financial statements based on GAAP. A summary of the historical 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.
Conference Call
In light of the pending acquisition by Cavium, QLogic will not hold a conference call to discuss its financial results.
QLogic – the Ultimate in Performance
QLogic (Nasdaq:QLGC) is a global leader and technology innovator in high performance server and storage networking connectivity products. Leading OEMs and channel partners worldwide rely on QLogic for their server and storage 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 statements regarding the pending acquisition by Cavium) 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: the possibility that the Cavium exchange offer and merger will not close within the anticipated time periods or at all; potential fluctuations in operating results; the company's ability to compete effectively with other companies; unfavorable economic conditions; the ability to attract and retain key personnel; 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 company's dependence on a small number of customers; the ability to maintain and gain market or industry acceptance of the company's products; the company's dependence on sole source and limited source suppliers; the company's dependence on third-party subcontractors and contract manufacturers; uncertain benefits from strategic business combinations, acquisitions and divestitures; the complexity of the company's products; declining average unit sales prices of comparable products; sales fluctuations arising from customer transitions to new products; seasonal fluctuations and uneven sales and purchasing patterns with customers and suppliers; 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; changes in and compliance with regulations; system security risks, data protection breaches and cyber-attacks; the ability to protect proprietary rights; the ability to satisfactorily resolve any infringement claims; facilities of the company and its suppliers and customers are located in areas subject to natural disasters; declines in the market value of the company's marketable securities; difficulties in transitioning to smaller geometry process technologies; the use of "open source" software in the company's products; and the company’s ability to borrow under its credit agreement is subject to certain covenants.
More detailed information on these and additional factors that 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.
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(unaudited — in thousands, except per share amounts)
|
|
|
Three Months Ended |
|
|||||
|
|
|
July 3, 2016 |
|
|
June 28, 2015 |
|
||
|
Net revenues |
|
$ |
116,404 |
|
|
$ |
113,405 |
|
|
Cost of revenues |
|
|
48,302 |
|
|
|
47,067 |
|
|
Gross profit |
|
|
68,102 |
|
|
|
66,338 |
|
|
Operating expenses: |
|
|
|
|
|
|
|
|
|
Engineering and development |
|
|
30,649 |
|
|
|
35,606 |
|
|
Sales and marketing |
|
|
13,520 |
|
|
|
15,486 |
|
|
General and administrative |
|
|
9,560 |
|
|
|
7,076 |
|
|
Special charges |
|
|
(624 |
) |
|
|
1,079 |
|
|
Total operating expenses |
|
|
53,105 |
|
|
|
59,247 |
|
|
Operating income |
|
|
14,997 |
|
|
|
7,091 |
|
|
Interest and other income, net |
|
|
2,346 |
|
|
|
359 |
|
|
Income before income taxes |
|
|
17,343 |
|
|
|
7,450 |
|
|
Income tax expense (benefit) |
|
|
(940 |
) |
|
|
4,894 |
|
|
Net income |
|
$ |
18,283 |
|
|
$ |
2,556 |
|
|
Net income per share: |
|
|
|
|
|
|
|
|
|
Basic |
|
$ |
0.22 |
|
|
$ |
0.03 |
|
|
Diluted |
|
$ |
0.22 |
|
|
$ |
0.03 |
|
|
Number of shares used in per share calculations: |
|
|
|
|
|
|
|
|
|
Basic |
|
|
83,431 |
|
|
|
87,334 |
|
|
Diluted |
|
|
84,542 |
|
|
|
88,914 |
|
RECONCILIATION OF GAAP NET INCOME TO
NON-GAAP NET INCOME
(unaudited — in thousands, except per share amounts)
|
|
|
Three Months Ended |
|
|||||
|
|
|
July 3, 2016 |
|
|
June 28, 2015 |
|
||
|
GAAP net income |
|
$ |
18,283 |
|
|
$ |
2,556 |
|
|
Items excluded from GAAP net income: |
|
|
|
|
|
|
|
|
|
Stock-based compensation |
|
|
5,225 |
|
|
|
5,987 |
|
|
Amortization of acquisition-related intangible assets |
|
|
4,328 |
|
|
|
3,636 |
|
|
Amortization of license fee |
|
|
657 |
|
|
|
617 |
|
|
Transaction costs |
|
|
2,716 |
|
|
|
— |
|
|
Special charges |
|
|
(624 |
) |
|
|
1,079 |
|
|
Gains recognized on previously impaired investment securities |
|
|
(1,373 |
) |
|
|
— |
|
|
Income tax adjustments |
|
|
(4,333 |
) |
|
|
2,642 |
|
|
Total non-GAAP adjustments |
|
|
6,596 |
|
|
|
13,961 |
|
|
Non-GAAP net income |
|
$ |
24,879 |
|
|
$ |
16,517 |
|
|
Net income per diluted share: |
|
|
|
|
|
|
|
|
|
GAAP net income |
|
$ |
0.22 |
|
|
$ |
0.03 |
|
|
Adjustments |
|
|
0.07 |
|
|
|
0.16 |
|
|
Non-GAAP net income |
|
$ |
0.29 |
|
|
$ |
0.19 |
|
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 net income and non-GAAP net income per diluted share, on a basis consistent with its historical presentation, to assist investors in understanding the company’s core net income and core net income 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 net profitability with historical periods and comparisons of the company’s core net profitability with the corresponding results for competitors. Management believes that non-GAAP net income and non-GAAP net income 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 net profitability and related profitability on a per diluted share basis.
Management uses non-GAAP net income and non-GAAP net income 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 |
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|||||
|
|
|
July 3, 2016 |
|
|
June 28, 2015 |
|
||
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Non-GAAP Adjustments: |
|
|
|
|
|
|
|
|
|
Cost of revenues: |
|
|
|
|
|
|
|
|
|
Stock-based compensation |
|
$ |
268 |
|
|
$ |
250 |
|
|
Amortization of acquisition-related intangible assets |
|
|
4,159 |
|
|
|
3,467 |
|
|
Amortization of license fee |
|
|
657 |
|
|
|
617 |
|
|
Total cost of revenue adjustments |
|
|
5,084 |
|
|
|
4,334 |
|
|
Operating expenses: |
|
|
|
|
|
|
|
|
|
Engineering and development: |
|
|
|
|
|
|
|
|
|
Stock-based compensation |
|
|
2,691 |
|
|
|
3,274 |
|
|
Sales and marketing: |
|
|
|
|
|
|
|
|
|
Stock-based compensation |
|
|
1,195 |
|
|
|
1,201 |
|
|
Amortization of acquisition-related intangible assets |
|
|
169 |
|
|
|
169 |
|
|
General and administrative: |
|
|
|
|
|
|
|
|
|
Stock-based compensation |
|
|
1,071 |
|
|
|
1,262 |
|
|
Transactions costs |
|
|
2,716 |
|
|
|
— |
|
|
Special charges |
|
|
(624 |
) |
|
|
1,079 |
|
|
Total operating expense adjustments |
|
|
7,218 |
|
|
|
6,985 |
|
|
Interest and other income, net: |
|
|
|
|
|
|
|
|
|
Gains recognized on previously impaired investment securities |
|
|
(1,373 |
) |
|
|
— |
|
|
Total non-GAAP adjustments before income taxes |
|
|
10,929 |
|
|
|
11,319 |
|
|
Income tax adjustments |
|
|
(4,333 |
) |
|
|
2,642 |
|
|
Total non-GAAP adjustments |
|
$ |
6,596 |
|
|
$ |
13,961 |
|
CONDENSED CONSOLIDATED BALANCE SHEETS
(unaudited — in thousands)
|
|
|
July 3, 2016 |
|
|
April 3, 2016 |
|
||
|
ASSETS |
|
|
|
|
|
|
|
|
|
Current assets: |
|
|
|
|
|
|
|
|
|
Cash and cash equivalents |
|
$ |
119,618 |
|
|
$ |
125,408 |
|
|
Marketable securities |
|
|
245,657 |
|
|
|
229,439 |
|
|
Total cash and marketable securities |
|
|
365,275 |
|
|
|
354,847 |
|
|
Accounts receivable, net |
|
|
74,090 |
|
|
|
55,546 |
|
|
Inventories |
|
|
36,574 |
|
|
|
39,745 |
|
|
Other current assets |
|
|
13,617 |
|
|
|
13,268 |
|
|
Total current assets |
|
|
489,556 |
|
|
|
463,406 |
|
|
Property and equipment, net |
|
|
76,961 |
|
|
|
71,738 |
|
|
Goodwill |
|
|
167,232 |
|
|
|
167,232 |
|
|
Purchased intangible assets, net |
|
|
58,555 |
|
|
|
62,998 |
|
|
Deferred tax assets |
|
|
41,897 |
|
|
|
41,003 |
|
|
Other assets |
|
|
16,747 |
|
|
|
17,491 |
|
|
|
|
$ |
850,948 |
|
|
$ |
823,868 |
|
|
LIABILITIES AND STOCKHOLDERS’ EQUITY |
|
|
|
|
|
|
|
|
|
Current liabilities: |
|
|
|
|
|
|
|
|
|
Accounts payable |
|
$ |
39,294 |
|
|
$ |
29,576 |
|
|
Accrued compensation |
|
|
16,615 |
|
|
|
19,389 |
|
|
Accrued taxes |
|
|
905 |
|
|
|
955 |
|
|
Other current liabilities |
|
|
10,751 |
|
|
|
11,156 |
|
|
Total current liabilities |
|
|
67,565 |
|
|
|
61,076 |
|
|
Accrued taxes |
|
|
8,474 |
|
|
|
9,510 |
|
|
Other liabilities |
|
|
5,526 |
|
|
|
5,904 |
|
|
Total liabilities |
|
|
81,565 |
|
|
|
76,490 |
|
|
Stockholders’ equity: |
|
|
|
|
|
|
|
|
|
Common stock |
|
|
219 |
|
|
|
218 |
|
|
Additional paid-in capital |
|
|
1,019,339 |
|
|
|
1,015,666 |
|
|
Retained earnings |
|
|
1,787,413 |
|
|
|
1,769,130 |
|
|
Accumulated other comprehensive loss |
|
|
(286 |
) |
|
|
(334 |
) |
|
Treasury stock |
|
|
(2,037,302 |
) |
|
|
(2,037,302 |
) |
|
Total stockholders’ equity |
|
|
769,383 |
|
|
|
747,378 |
|
|
|
|
$ |
850,948 |
|
|
$ |
823,868 |
|
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(unaudited — in thousands)
|
|
|
Three Months Ended |
|
|||||
|
|
|
July 3, 2016 |
|
|
June 28, 2015 |
|
||
|
Cash flows from operating activities: |
|
|
|
|
|
|
|
|
|
Net income |
|
$ |
18,283 |
|
|
$ |
2,556 |
|
|
Adjustments to reconcile net income to net cash provided by operating activities: |
|
|
|
|
|
|
|
|
|
Depreciation and amortization |
|
|
10,010 |
|
|
|
10,616 |
|
|
Stock-based compensation |
|
|
5,225 |
|
|
|
5,987 |
|
|
Deferred income taxes |
|
|
(940 |
) |
|
|
3,400 |
|
|
Other non-cash items, net |
|
|
(1,042 |
) |
|
|
539 |
|
|
Changes in operating assets and liabilities: |
|
|
|
|
|
|
|
|
|
Accounts receivable |
|
|
(18,885 |
) |
|
|
2,517 |
|
|
Inventories |
|
|
3,171 |
|
|
|
(8,671 |
) |
|
Other assets |
|
|
(235 |
) |
|
|
(134 |
) |
|
Accounts payable |
|
|
6,793 |
|
|
|
2,218 |
|
|
Accrued compensation |
|
|
(2,774 |
) |
|
|
(4,913 |
) |
|
Accrued taxes, net |
|
|
(1,128 |
) |
|
|
(3,081 |
) |
|
Other liabilities |
|
|
(783 |
) |
|
|
(1,567 |
) |
|
Net cash provided by operating activities |
|
|
17,695 |
|
|
|
9,467 |
|
|
Cash flows from investing activities: |
|
|
|
|
|
|
|
|
|
Purchases of available-for-sale securities |
|
|
(61,661 |
) |
|
|
(50,639 |
) |
|
Proceeds from sales and maturities of available-for-sale securities |
|
|
45,679 |
|
|
|
34,209 |
|
|
Purchases of property and equipment |
|
|
(7,842 |
) |
|
|
(10,782 |
) |
|
Other investing activities |
|
|
1,373 |
|
|
|
— |
|
|
Net cash used in investing activities |
|
|
(22,451 |
) |
|
|
(27,212 |
) |
|
Cash flows from financing activities: |
|
|
|
|
|
|
|
|
|
Proceeds from issuance of common stock under stock-based awards |
|
|
2,575 |
|
|
|
16,497 |
|
|
Minimum tax withholding paid on behalf of employees for restricted stock units |
|
|
(4,126 |
) |
|
|
(5,062 |
) |
|
Purchases of treasury stock |
|
|
— |
|
|
|
(17,856 |
) |
|
Other financing activities |
|
|
517 |
|
|
|
1,124 |
|
|
Net cash used in financing activities |
|
|
(1,034 |
) |
|
|
(5,297 |
) |
|
Net decrease in cash and cash equivalents |
|
|
(5,790 |
) |
|
|
(23,042 |
) |
|
Cash and cash equivalents at beginning of period |
|
|
125,408 |
|
|
|
115,241 |
|
|
Cash and cash equivalents at end of period |
|
$ |
119,618 |
|
|
$ |
92,199 |
|
SUPPLEMENTAL FINANCIAL INFORMATION
(unaudited — in thousands)
Net Revenues
A summary of the company’s revenue components is as follows:
|
|
|
Three Months Ended |
|
|||||
|
|
|
July 3, 2016 |
|
|
June 28, 2015 |
|
||
|
Advanced Connectivity Platforms |
|
$ |
108,629 |
|
|
$ |
102,556 |
|
|
Legacy Connectivity Products |
|
|
7,775 |
|
|
|
10,849 |
|
|
|
|
$ |
116,404 |
|
|
$ |
113,405 |
|