Basis of Presentation

The unaudited consolidated financial statements of Brooks Automation, Inc. and its subsidiaries (“Brooks” or the “Company”) included herein have been prepared in accordance with accounting principles generally accepted in the United States ("GAAP"). All intercompany accounts and transactions have been eliminated in consolidation. In the opinion of management, all material adjustments, which are of a normal and recurring nature and necessary for a fair statement of the financial position and results of operations and cash flows for the periods presented, have been reflected in the accompanying unaudited consolidated financial statements. The results of operations for the interim periods are not necessarily indicative of the results of operations to be expected for the full fiscal year.

Certain information and footnote disclosures normally included in the Company’s annual consolidated financial statements have been condensed or omitted and, accordingly, the accompanying financial information should be read in conjunction with the audited consolidated financial statements and notes thereto contained in the Company’s Annual Report on Form 10-K filed with the United States Securities and Exchange Commission (the “SEC”) for the fiscal year ended September 30, 2015 (the "2015 Annual Report on Form 10-K"). The accompanying consolidated balance sheet as of September 30, 2015 was derived from the audited annual consolidated financial statements as of the period then ended.

Revision of Prior Period Financial Statements

During the three months ended June 30, 2016, the Company identified a classification error related to a presentation of cost of product and service revenue in the Company's consolidated statements of operations for the quarterly and annual periods beginning in the fourth quarter of fiscal year 2014 through the quarterly period ended March 31, 2016. The classification error had no impact on the total cost of revenue, gross profit, operating income (loss), net income (loss), as well as basic and diluted net income (loss) per share during any of the periods presented. Additionally, the classification error had no impact on the Company's consolidated balance sheets and consolidated statements of cash flows during any of the prior periods. The Company considered the guidance in Accounting Standard Codification (ASC) Topic 250, “Accounting Changes and Error Corrections,” ASC Topic 250-10-S99-1, “Assessing Materiality,” and ASC Topic 250-10-S99-2, “Considering the Effects of Prior Year Misstatements when Quantifying Misstatements in Current Year Financial Statements" in evaluating whether the Company’s previously issued consolidated financial statements were materially misstated. The Company concluded this classification error was not material individually or in the aggregate to the financial statements presented during any of the prior reporting periods, and therefore, amendments of previously filed reports were not required. The revisions for these corrections to the applicable prior periods are reflected in the financial information herein and will be reflected in future filings containing such financial information.

The following table summarizes the effects of the classification error on the interim prior period financial statements:



	Three Months Ended,
	March 31, 2016							March 31, 2015
	As Previously Reported		Adjustment			As Revised		As Previously Reported		Adjustment			As Revised
Cost of product revenue	$	65,346	$	(120	)	$	65,226	$	79,048	$	(2,356	)	$	76,692
Cost of service revenue	23,135		120			23,255		14,240		2,356			16,596
Total cost of revenue	$	88,481	$	—		$	88,481	$	93,288	$	—		$	93,288

	Six Months Ended,
	March 31, 2016							March 31, 2015
	As Previously Reported		Adjustment			As Revised		As Previously Reported		Adjustment			As Revised
Cost of product revenue	$	123,496	$	(238	)	$	123,258	$	149,268	$	(4,519	)	$	144,749
Cost of service revenue	44,386		238			44,624		27,668		4,519			32,187
Total cost of revenue	$	167,882	$	—		$	167,882	$	176,936	$	—		$	176,936



	Three Months Ended,
	December 31, 2015							December 31, 2014
	As Previously Reported		Adjustment			As Revised		As Previously Reported		Adjustment			As Revised
Cost of product revenue	$	58,150	$	(118	)	$	58,032	$	70,220	$	(2,163	)	$	68,057
Cost of service revenue	21,251		118			21,369		13,428		2,163			15,591
Total cost of revenue	$	79,401	$	—		$	79,401	$	83,648	$	—		$	83,648



	Three Months Ended June 30, 2015
	As Previously Reported		Adjustment			As Revised
Cost of product revenue	$	79,721	$	(2,593	)	$	77,128
Cost of service revenue	13,986		2,593			16,579
	$	93,707	$	—		$	93,707



	Nine Months Ended June 30, 2015
	As Previously Reported		Adjustment			As Revised
Cost of product revenue	$	228,989	$	(7,112	)	$	221,877
Cost of service revenue	41,654		7,112			48,766
	$	270,643	$	—		$	270,643



	Fiscal Year Ended September 30, 2015
	As Previously Reported		Adjustment			As Revised
Cost of product revenue	$	307,865	$	(9,517	)	$	298,348
Cost of service revenue	55,738		9,517			65,255
Total cost of revenue	$	363,603	$	—		$	363,603

	Fiscal Year Ended September 30, 2014
	As Previously Reported		Adjustment			As Revised
Cost of product revenue	$	252,688	$	(2,420	)	$	250,268
Cost of service revenue	62,823		2,420			65,243
Total cost of revenue	$	315,511	$	—		$	315,511