16. Quarterly Financial Data (unaudited)


	Quarter Ended												Year Ended
	March 31,			June 30,			September 30,			December 31,			December 31,
(in thousands, except per share amounts)	2017			2017			2017			2017			2017
Revenues:
Software as a service and platform as a service	$	99,447		$	113,469		$	99,761		$	112,895		$	425,572
License		59,381			54,180			50,017			129,546			293,124
Maintenance		54,471			56,009			56,349			55,242			222,071
Services		18,163			16,941			19,608			28,712			83,424

Total revenues		231,462			240,599			225,735			326,395			1,024,191

Operating expenses:
Cost of revenue (1)		108,543			120,357			107,393			115,993			452,286
Research and development		37,285			34,969			33,935			30,732			136,921
Selling and marketing		27,137			28,817			25,236			26,695			107,885
General and administrative (2)		32,503			72,527			25,302			22,700			153,032
Depreciation and amortization		22,371			22,372			22,446			22,238			89,427

Total operating expenses		227,839			279,042			214,312			218,358			939,551

Operating income (loss)		3,623			(38,443	)		11,423			108,037			84,640
Other income (expense):
Interest expense		(10,160	)		(10,664	)		(9,374	)		(8,815	)		(39,013	)
Interest income		106			150			165			143			564
Other, net		649			(1,766	)		(1,059	)		(443	)		(2,619	)

Total other income (expense)		(9,405	)		(12,280	)		(10,268	)		(9,115	)		(41,068	)

Income (loss) before income taxes		(5,782	)		(50,723	)		1,155			98,922			43,572
Income tax expense (benefit)		(4,174	)		(20,914	)		(2,233	)		65,758			38,437

Net income (loss)	$	(1,608	)	$	(29,809	)	$	3,388		$	33,164		$	5,135

Earnings (loss) per share
Basic	$	(0.01	)	$	(0.25	)	$	0.03		$	0.28		$	0.04
Diluted	$	(0.01	)	$	(0.25	)	$	0.03		$	0.28		$	0.04

(1)	The cost of revenue excludes charges for depreciation but includes amortization of purchased and developed software for resale.

(2)	General and administrative expenses in the second quarter includes the BHMI judgment as discussed in Note 14.


	Quarter Ended												Year Ended
	March 31,			June 30,			September 30,			December 31,			December 31,
(in thousands, except per share amounts)	2016			2016			2016			2016			2016
Revenues:
Software as a service and platform as a service	$	111,736		$	102,265		$	96,169		$	101,119		$	411,289
License		37,423			33,510			43,256			159,277			273,466
Maintenance		57,331			60,332			57,741			58,072			233,476
Services		19,576			23,823			19,809			24,262			87,470

Total revenues		226,066			219,930			216,975			342,730			1,005,701

Operating expenses:
Cost of revenue (1) (2)		118,434			115,384			100,267			110,829			444,914
Research and development (2)		43,604			46,421			42,210			37,665			169,900
Selling and marketing (2)		29,992			28,795			29,874			29,421			118,082
General and administrative (2)		26,068			34,520			31,390			21,639			113,617
Gain on sale of CFS assets		(151,952	)		—			489			—			(151,463	)
Depreciation and amortization		23,208			21,382			22,098			22,833			89,521

Total operating expenses (2)		89,354			246,502			226,328			222,387			784,571

Operating income (loss) (2)		136,712			(26,572	)		(9,353	)		120,343			221,130
Other income (expense):
Interest expense		(10,414	)		(9,715	)		(9,838	)		(10,217	)		(40,184	)
Interest income		150			121			145			114			530
Other, net		(334	)		2,023			2,794			(378	)		4,105

Total other income (expense)		(10,598	)		(7,571	)		(6,899	)		(10,481	)		(35,549	)

Income (loss) before income taxes (2)		126,114			(34,143	)		(16,252	)		109,862			185,581
Income tax expense (benefit) (2)		36,970			(17,669	)		(6,426	)		43,171			56,046

Net income (loss) (2)	$	89,144		$	(16,474	)	$	(9,826	)	$	66,691		$	129,535

Earnings (loss) per share
Basic	$	0.75		$	(0.14	)	$	(0.08	)	$	0.57		$	1.10
Diluted	$	0.74		$	(0.14	)	$	(0.08	)	$	0.56		$	1.09

(1)	The cost of revenue excludes charges for depreciation but includes amortization of purchased and developed software for resale.

(2)

The Company adopted ASU 2016-09, Compensation - Stock Compensation: Improvements to Employee Share-Based Payment Accounting, (“ASU 2016-09”) during the year ended December 31, 2016. The Company elected to early adopt ASU 2016-09 in the third quarter of 2016, which requires it to reflect any adjustments as of January 1, 2016, the beginning of the annual period that includes the interim period of adoption. The impact of the adoption to the Company’s previously reported quarterly results for the quarters ended March 31 and June 30, 2016 are reflected in the table above.