Delaware
|
000-25426
|
74-1871327
|
||
(State or other jurisdiction of incorporation)
|
(Commission File Number)
|
(IRS Employer
Identification No.)
|
|
[ ] 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))
|
Exhibit No.
|
Description
|
|
99.1
|
Press Release dated January 31, 2012
|
|
NATIONAL INSTRUMENTS CORPORATION
|
|||
By:
|
/s/ DAVID G. HUGLEY
|
||
David G. Hugley
Vice President & General Counsel; Secretary
|
Contacts:
|
Caitlin Cooper Gursslin
|
|
Investor Relations
|
||
(512) 683-8456
|
·
|
Record GAAP revenue of $278 million, up 11 percent year-over-year
|
·
|
Record non-GAAP revenue of $280 million, up 12 percent year-over-year
|
·
|
GAAP gross margin of 76 percent and non-GAAP gross margin of 77 percent
|
·
|
Fully diluted GAAP EPS of $0.20
|
·
|
Fully diluted non-GAAP EPS of $0.27
|
·
|
EBITDA of $45 million, or $0.37 per share
|
·
|
$366 million in cash and short-term investments as of Dec. 31, 2011
|
·
|
40 percent increase in quarterly dividend to $0.14 per share
|
·
|
Record GAAP revenue of $1.02 billion, up 17 percent year-over-year
|
·
|
Record non-GAAP revenue of $1.04 billion, up 19 percent year-over-year
|
·
|
GAAP gross margin of 76.5 percent
|
·
|
Non-GAAP gross margin of 77.7 percent, a new post-IPO record
|
·
|
GAAP operating margin of 11 percent
|
·
|
Non-GAAP operating margin of 16 percent
|
·
|
Fully diluted GAAP EPS of $0.78
|
·
|
Fully diluted non-GAAP EPS of $1.07
|
·
|
Record annual revenue for NI LabVIEW, PXI, and CompactRIO products
|
·
|
NI named to FORTUNE magazine’s 100 Best Companies to Work For list for 13th consecutive year and its inaugural 25 Best Multinational Companies to Work For list
|
Consolidated Balance Sheets
|
||||||||
(in thousands)
|
||||||||
December 31,
|
December 31,
|
|||||||
2011
|
2010
|
|||||||
(unaudited)
|
||||||||
Assets
|
||||||||
Current assets:
|
||||||||
Cash and cash equivalents
|
$ | 142,608 | $ | 219,447 | ||||
Short-term investments
|
223,504 | 131,215 | ||||||
Accounts receivable, net
|
157,056 | 127,214 | ||||||
Inventories, net
|
131,995 | 117,765 | ||||||
Prepaid expenses and other current assets
|
38,082 | 36,239 | ||||||
Deferred income taxes, net
|
26,304 | 18,838 | ||||||
Total current assets
|
719,549 | 650,718 | ||||||
Property and equipment, net
|
190,148 | 160,410 | ||||||
Goodwill
|
130,747 | 70,278 | ||||||
Intangible assets, net
|
83,866 | 52,816 | ||||||
Other long-term assets
|
29,984 | 25,460 | ||||||
Total assets
|
$ | 1,154,294 | $ | 959,682 | ||||
Liabilities and Stockholders’ Equity
|
||||||||
Current liabilities:
|
||||||||
Accounts payable
|
$ | 41,111 | $ | 33,544 | ||||
Accrued compensation
|
29,616 | 27,734 | ||||||
Deferred revenue
|
90,074 | 71,650 | ||||||
Accrued expenses and other liabilities
|
37,612 | 16,538 | ||||||
Other taxes payable
|
24,507 | 16,846 | ||||||
Total current liabilities
|
222,920 | 166,312 | ||||||
Deferred income taxes
|
43,186 | 29,477 | ||||||
Liability for uncertain tax positions
|
19,494 | 14,953 | ||||||
Other long-term liabilities
|
16,683 | 4,395 | ||||||
Total liabilities
|
$ | 302,283 | $ | 215,137 | ||||
Stockholders’ equity:
|
||||||||
Preferred stock
|
- | - | ||||||
Common stock
|
1,207 | 1,179 | ||||||
Additional paid-in capital
|
471,830 | 407,713 | ||||||
Retained earnings
|
382,474 | 336,363 | ||||||
Accumulated other comprehensive (loss)
|
(3,500) | (710) | ||||||
Total stockholders’ equity
|
$ | 852,011 | $ | 744,545 | ||||
Total liabilities and stockholders’ equity
|
$ | 1,154,294 | $ | 959,682 |
National Instruments
|
||||||||||||||||
Consolidated Statements of Income
|
||||||||||||||||
(in thousands, except per share data)
|
||||||||||||||||
Three Months Ended
|
Twelve Months Ended
|
|||||||||||||||
December 31,
(Unaudited)
|
December 31,
(Unaudited)
|
|||||||||||||||
2011
|
2010
|
2011
|
2010
|
|||||||||||||
Net sales:
|
||||||||||||||||
Product
|
$ | 256,606 | $ | 231,715 | $ | 955,613 | $ | 807,386 | ||||||||
Software maintenance
|
21,445 | 18,248 | 81,667 | 65,834 | ||||||||||||
GSA accrual
|
- | - | (13,107) | - | ||||||||||||
Total net sales
|
278,051 | 249,963 | 1,024,173 | 873,220 | ||||||||||||
Cost of sales:
|
||||||||||||||||
Product
|
$ | 66,499 | $ | 55,278 | $ | 235,839 | $ | 195,096 | ||||||||
Software maintenance
|
888 | 1,021 | 5,125 | 4,987 | ||||||||||||
Total cost of sales
|
67,387 | 56,299 | 240,964 | 200,083 | ||||||||||||
Gross profit
|
$ | 210,664 | $ | 193,664 | $ | 783,209 | $ | 673,137 | ||||||||
Operating expenses:
|
||||||||||||||||
Sales and marketing
|
$ | 102,221 | $ | 86,440 | $ | 388,768 | $ | 319,606 | ||||||||
Research and development
|
54,502 | 43,237 | 199,071 | 158,149 | ||||||||||||
General and administrative
|
21,439 | 17,368 | 82,658 | 67,069 | ||||||||||||
Total operating expenses
|
$ | 178,162 | $ | 147,045 | $ | 670,497 | $ | 544,824 | ||||||||
Operating income
|
$ | 32,502 | $ | 46,619 | $ | 112,712 | $ | 128,313 | ||||||||
Other income (expense):
|
||||||||||||||||
Interest income
|
$ | 280 | $ | 340 | $ | 1,319 | $ | 1,391 | ||||||||
Net foreign exchange gain (loss)
|
(1,338) | (110) | (2,755) | (2,585) | ||||||||||||
Other income (expense), net
|
78 | 23 | (142) | 993 | ||||||||||||
Income before income taxes
|
$ | 31,522 | $ | 46,872 | $ | 111,134 | $ | 128,112 | ||||||||
Provision for income taxes
|
7,195 | 8,844 | 17,062 | 18,996 | ||||||||||||
Net income
|
$ | 24,327 | $ | 38,028 | $ | 94,072 | $ | 109,116 | ||||||||
Basic earnings per share
|
$ | 0.20 | $ | 0.32 | $ | 0.79 | $ | 0.93 | ||||||||
Diluted earnings per share
|
$ | 0.20 | $ | 0.32 | $ | 0.78 | $ | 0.92 | ||||||||
Weighted average shares outstanding -
|
||||||||||||||||
Basic
|
120,582 | 117,639 | 119,836 | 116,973 | ||||||||||||
Diluted
|
121,453 | 119,002 | 121,220 | 118,572 | ||||||||||||
Dividends declared per share
|
$ | 0.10 | $ | 0.09 | $ | 0.40 | $ | 0.35 |
Consolidated Statements of Cash Flows
|
||||||||
(in thousands)
|
||||||||
Twelve Months Ended
|
||||||||
December 31,
(Unaudited)
|
||||||||
2011
|
2010
|
|||||||
Cash flow from operating activities:
|
||||||||
Net income
|
$ | 94,072 | $ | 109,116 | ||||
Adjustments to reconcile net income to net cash provided
|
||||||||
by operating activities:
|
||||||||
Depreciation and amortization
|
49,897 | 37,872 | ||||||
Stock-based compensation
|
23,219 | 18,795 | ||||||
Tax (benefit) expense from deferred income taxes
|
(8,581 | ) | 3,668 | |||||
Tax (benefit) expense from stock option plans
|
(5,151 | ) | (96 | ) | ||||
Changes in operating assets and liabilities:
|
||||||||
Accounts receivable
|
(21,957 | ) | (22,923 | ) | ||||
Inventories
|
(11,817 | ) | (30,930 | ) | ||||
Prepaid expenses and other assets
|
(1,350 | ) | (20,411 | ) | ||||
Accounts payable
|
5,573 | 9,630 | ||||||
Deferred revenue
|
16,953 | 14,408 | ||||||
Taxes and other liabilities
|
29,041 | 25,929 | ||||||
Net cash provided by operating activities
|
$ | 169,899 | $ | 145,058 | ||||
Cash flow from investing activities:
|
||||||||
Capital expenditures
|
(54,830 | ) | (28,397 | ) | ||||
Capitalization of internally developed software
|
(12,065 | ) | (15,759 | ) | ||||
Additions to other intangibles
|
(5,035 | ) | (4,151 | ) | ||||
Acquisitions, net of cash received
|
(73,558 | ) | (4,218 | ) | ||||
Purchases of short-term investments
|
(257,449 | ) | (126,691 | ) | ||||
Sales and maturities of short-term investments
|
166,104 | 82,672 | ||||||
Net cash (used by) investing activities
|
$ | (236,833 | ) | $ | (96,544 | ) | ||
Cash flow from financing activities:
|
||||||||
Proceeds from issuance of common stock
|
32,905 | 51,852 | ||||||
Repurchase of common stock
|
- | (41,862 | ) | |||||
Dividends paid
|
(47,961 | ) | (40,618 | ) | ||||
Tax benefit (expense) from stock option plans
|
5,151 | 96 | ||||||
Net cash (used by) financing activities
|
$ | (9,905 | ) | $ | (30,532 | ) | ||
Net change in cash and cash equivalents
|
(76,839 | ) | 17,982 | |||||
Cash and cash equivalents at beginning of period
|
219,447 | 201,465 | ||||||
Cash and cash equivalents at end of period
|
$ | 142,608 | $ | 219,447 |
Amortization of Acquisition Intangibles and Acquisition Related Transaction Costs
|
||||||||||||||||
(in thousands)
|
||||||||||||||||
(unaudited)
|
||||||||||||||||
Three Months Ended
|
Twelve Months Ended
|
|||||||||||||||
December 31,
|
December 31,
|
|||||||||||||||
2011
|
2010
|
2011
|
2010
|
|||||||||||||
Revenue
|
||||||||||||||||
Acquisition related deferred revenue
|
$ | 1,912 | $ | - | $ | 4,730 | $ | - | ||||||||
GSA accrual
|
- | - | 13,107 | - | ||||||||||||
Provision for income taxes
|
(669) | - | (6,242) | - | ||||||||||||
Total
|
$ | 1,243 | $ | - | $ | 11,595 | $ | - | ||||||||
2011 | 2010 | 2011 | 2010 | |||||||||||||
Stock-Based Compensation
|
||||||||||||||||
Cost of sales
|
$ | 411 | $ | 331 | $ | 1,527 | $ | 1,345 | ||||||||
Sales and marketing
|
2,702 | 1,851 | 9,711 | 7,911 | ||||||||||||
Research and development
|
2,625 | 1,774 | 8,870 | 6,903 | ||||||||||||
General and administrative
|
831 | 645 | 3,111 | 2,636 | ||||||||||||
Provision for income taxes
|
(2,041) | (1,549) | (6,827) | (5,971) | ||||||||||||
Total
|
$ | 4,528 | $ | 3,052 | $ | 16,392 | $ | 12,824 | ||||||||
Amortization of Acquisition Intangibles
|
||||||||||||||||
Cost of sales
|
$ | 2,469 | $ | 921 | $ | 7,064 | $ | 3,486 | ||||||||
Sales and marketing
|
447 | 75 | 1,071 | 386 | ||||||||||||
General and administrative
|
- | 15 | - | 15 | ||||||||||||
Other income, net
|
190 | - | 955 | - | ||||||||||||
Provision for income taxes
|
(993) | (298) | (2,736) | (1,202) | ||||||||||||
Total
|
$ | 2,113 | $ | 713 | $ | 6,354 | $ | 2,685 | ||||||||
Acquisition-Related Transaction Costs
|
||||||||||||||||
Cost of sales
|
$ | 32 | $ | - | $ | 54 | $ | - | ||||||||
Sales and marketing
|
220 | - | 1,349 | - | ||||||||||||
Research and development
|
106 | - | 176 | - | ||||||||||||
General and administrative
|
47 | - | 505 | - | ||||||||||||
Provision for income taxes
|
(142) | - | (288) | - | ||||||||||||
Total
|
$ | 263 | $ | - | $ | 1,796 | $ | - | ||||||||
National Instruments
|
||||||||||||||||
Reconciliation of GAAP to Non-GAAP Measures
|
||||||||||||||||
(in thousands, except per share data)
|
||||||||||||||||
(unaudited)
|
||||||||||||||||
Three Months Ended
|
Twelve Months Ended
|
|||||||||||||||
December 31,
|
December 31,
|
|||||||||||||||
2011
|
2010
|
2011
|
2010
|
|||||||||||||
Reconciliation of Revenue to Non-GAAP Revenue
|
||||||||||||||||
Revenue, as reported
|
$ | 278,051 | $ | 249,963 | $ | 1,024,173 | $ | 873,220 | ||||||||
Acquisition related deferred revenue
|
1,912 | - | 4,730 | - | ||||||||||||
GSA accrual
|
- | - | 13,107 | - | ||||||||||||
Non-GAAP revenue
|
$ | 279,963 | $ | 249,963 | $ | 1,042,010 | $ | 873,220 | ||||||||
Reconciliation of Gross Profit to Non-GAAP Gross Profit
|
||||||||||||||||
Gross profit, as reported
|
$ | 210,664 | $ | 193,664 | $ | 783,209 | $ | 673,137 | ||||||||
Acquisition-related deferred revenue and GSA accrual
|
1,912 | - | 17,837 | - | ||||||||||||
Stock-based compensation
|
411 | 331 | 1,527 | 1,345 | ||||||||||||
Amortization of acquisition intangibles
|
2,469 | 921 | 7,064 | 3,486 | ||||||||||||
Acquisition-related transaction costs
|
32 | - | 54 | - | ||||||||||||
Non-GAAP gross profit
|
$ | 215,488 | $ | 194,916 | $ | 809,691 | $ | 677,968 | ||||||||
Reconciliation of Operating Expenses to Non-GAAP Operating Expenses
|
||||||||||||||||
Operating expenses, as reported
|
$ | 178,162 | $ | 147,045 | $ | 670,497 | $ | 544,824 | ||||||||
Stock-based compensation
|
(6,158) | (4,270) | (21,692) | (17,450) | ||||||||||||
Amortization of acquisition intangibles
|
(447) | (90) | (1,071) | (401) | ||||||||||||
Acquisition-related transaction costs
|
(373) | - | (2,030) | - | ||||||||||||
Non-GAAP operating expenses
|
$ | 171,184 | $ | 142,685 | $ | 645,704 | $ | 526,973 | ||||||||
Reconciliation of Operating Income to Non-GAAP Operating Income
|
||||||||||||||||
Operating income, as reported
|
$ | 32,502 | $ | 46,619 | $ | 112,712 | $ | 128,313 | ||||||||
Acquisition-related deferred revenue and GSA accrual
|
1,912 | - | 17,837 | - | ||||||||||||
Stock-based compensation
|
6,569 | 4,601 | 23,219 | 18,795 | ||||||||||||
Amortization of acquisition intangibles
|
2,916 | 1,011 | 8,135 | 3,887 | ||||||||||||
Acquisition-related transaction costs
|
405 | - | 2,084 | - | ||||||||||||
Non-GAAP operating income
|
$ | 44,304 | $ | 52,231 | $ | 163,987 | $ | 150,995 | ||||||||
Reconciliation of Income Before Income Taxes to Non-GAAP Income Before Income Taxes
|
||||||||||||||||
Income before income taxes, as reported
|
$ | 31,522 | $ | 46,872 | $ | 111,134 | $ | 128,112 | ||||||||
Acquisition-related deferred revenue and GSA accrual
|
1,912 | - | 17,837 | - | ||||||||||||
Stock-based compensation
|
6,569 | 4,601 | 23,219 | 18,795 | ||||||||||||
Amortization of acquisition intangibles
|
3,106 | 1,011 | 9,090 | 3,887 | ||||||||||||
Acquisition-related transaction costs
|
405 | - | 2,084 | - | ||||||||||||
Non-GAAP income before income taxes
|
$ | 43,514 | $ | 52,484 | $ | 163,364 | $ | 150,794 | ||||||||
Reconciliation of Provision for Income Taxes to Non-GAAP Provision for Income Taxes
|
||||||||||||||||
Provision for income taxes, as reported
|
$ | 7,195 | $ | 8,844 | $ | 17,062 | $ | 18,996 | ||||||||
Acquisition-related deferred revenue and GSA accrual
|
669 | - | 6,242 | - | ||||||||||||
Stock-based compensation
|
2,041 | 1,549 | 6,827 | 5,971 | ||||||||||||
Amortization of acquisition intangibles
|
993 | 298 | 2,736 | 1,202 | ||||||||||||
Acquisition-related transaction costs
|
142 | - | 288 | - | ||||||||||||
Non-GAAP provision for income taxes
|
$ | 11,040 | $ | 10,691 | $ | 33,155 | $ | 26,169 |
Reconciliation of GAAP Net Income, Basic EPS and Diluted EPS to Non-GAAP Net Income, Basic EPS and Diluted EPS
(in thousands, except per share data)
|
||||||||||||||||
(unaudited)
|
||||||||||||||||
Three Months Ended
|
Twelve Months Ended
|
|||||||||||||||
December 31,
|
December 31,
|
|||||||||||||||
2011
|
2010
|
2011
|
2010
|
|||||||||||||
Net income, as reported
|
$ | 24,327 | $ | 38,028 | $ | 94,072 | $ | 109,116 | ||||||||
Adjustments to reconcile net income to non-GAAP net income:
|
||||||||||||||||
Acquisition-related deferred revenue and GSA accrual, net of tax effect
|
1,243 | - | 11,595 | - | ||||||||||||
Stock-based compensation, net of tax effect
|
4,528 | 3,052 | 16,392 | 12,824 | ||||||||||||
Amortization of acquisition intangibles, net of tax effect
|
2,113 | 713 | 6,354 | 2,685 | ||||||||||||
Acquisition-related transaction costs, net of tax effect
|
263 | - | 1,796 | - | ||||||||||||
Non-GAAP net income
|
$ | 32,474 | $ | 41,793 | $ | 130,209 | $ | 124,625 | ||||||||
Basic EPS, as reported
|
$ | 0.20 | $ | 0.32 | $ | 0.79 | $ | 0.93 | ||||||||
Adjustment to reconcile basic EPS to non-GAAP
|
||||||||||||||||
basic EPS:
|
||||||||||||||||
Impact of acquisition-related deferred revenue and GSA accrual, net of tax effect
|
0.01 | - | 0.10 | - | ||||||||||||
Impact of stock-based compensation, net of tax effect
|
0.04 | 0.03 | 0.14 | 0.11 | ||||||||||||
Impact of amortization of acquisition intangibles, net of tax effect
|
0.02 | 0.01 | 0.05 | 0.03 | ||||||||||||
Impact of acquisition-related transaction costs, net of tax effect
|
0.00 | - | 0.01 | - | ||||||||||||
Non-GAAP basic EPS
|
$ | 0.27 | $ | 0.36 | $ | 1.09 | $ | 1.07 | ||||||||
Diluted EPS, as reported
|
$ | 0.20 | $ | 0.32 | $ | 0.78 | $ | 0.92 | ||||||||
Adjustment to reconcile diluted EPS to non-GAAP
|
||||||||||||||||
diluted EPS:
|
||||||||||||||||
Impact of acquisition-related deferred revenue and GSA accrual, net of tax effect
|
0.01 | - | 0.10 | - | ||||||||||||
Impact of stock-based compensation, net of tax effect
|
0.04 | 0.02 | 0.13 | 0.11 | ||||||||||||
Impact of amortization of acquisition intangibles, net of tax effect
|
0.02 | 0.01 | 0.05 | 0.02 | ||||||||||||
Impact of acquisition-related transaction costs, net of tax effect
|
0.00 | - | 0.01 | - | ||||||||||||
Non-GAAP diluted EPS
|
$ | 0.27 | $ | 0.35 | $ | 1.07 | $ | 1.05 | ||||||||
Weighted average shares outstanding -
|
||||||||||||||||
Basic
|
120,582 | 117,639 | 119,836 | 116,973 | ||||||||||||
Diluted
|
121,453 | 119,002 | 121,220 | 118,572 |
Reconciliation of Net Income and Diluted EPS to EBITDA and EBITDA Diluted EPS
(in thousands, except per share data)
|
||||||||||||||||
(unaudited)
|
||||||||||||||||
Three Months Ended
|
Twelve Months Ended
|
|||||||||||||||
December 31,
|
December 31,
|
|||||||||||||||
2011
|
2010
|
2011
|
2010
|
|||||||||||||
Net income, as reported
|
$ | 24,327 | $ | 38,028 | $ | 94,072 | $ | 109,116 | ||||||||
Adjustments to reconcile net income to EBITDA:
|
||||||||||||||||
Interest income
|
(280) | (340) | (1,319) | (1,391) | ||||||||||||
Taxes
|
7,195 | 8,844 | 17,062 | 18,996 | ||||||||||||
Depreciation and amortization
|
14,152 | 9,652 | 49,897 | 37,872 | ||||||||||||
EBITDA
|
$ | 45,394 | $ | 56,184 | $ | 159,712 | $ | 164,593 | ||||||||
Diluted EPS, as reported
|
$ | 0.20 | $ | 0.32 | $ | 0.78 | $ | 0.92 | ||||||||
Adjustment to reconcile diluted EPS to EBITDA
|
||||||||||||||||
Interest income
|
(0.01) | (0.00) | (0.01) | (0.01) | ||||||||||||
Taxes
|
0.06 | 0.07 | 0.14 | 0.16 | ||||||||||||
Depreciation and amortization
|
0.12 | 0.08 | 0.41 | 0.32 | ||||||||||||
EBITDA diluted EPS
|
$ | 0.37 | $ | 0.47 | $ | 1.32 | $ | 1.39 | ||||||||
Weighted average shares outstanding - Diluted
|
121,453 | 119,002 | 121,220 | 118,572 |
Reconciliation of GAAP to Non-GAAP Guidance
|
||||||||
(unaudited)
|
||||||||
Three months ended
|
||||||||
March 31, 2012
|
||||||||
(Millions)
|
||||||||
Low
|
High
|
|||||||
GAAP revenue, guidance
|
$ | 249 | $ | 269 | ||||
Adjustment to reconcile revenue to non-GAAP revenue:
|
||||||||
Impact of acquisition-related deferred revenue write down
|
||||||||
1 | 1 | |||||||
Non-GAAP revenue, guidance
|
$ | 250 | $ | 270 | ||||
National Instruments
|
||||||||
Reconciliation of GAAP to Non-GAAP EPS Guidance
|
||||||||
(unaudited)
|
||||||||
Three months ended
|
||||||||
March 31, 2012
|
||||||||
Low
|
High
|
|||||||
GAAP fully diluted EPS, guidance
|
$ | 0.09 | $ | 0.17 | ||||
Adjustment to reconcile diluted EPS to non-GAAP diluted EPS:
|
||||||||
Impact of acquisition-deferred revenue write-off
|
0.01 | 0.01 | ||||||
Impact of stock-based compensation, net of tax effect
|
0.04 | 0.04 | ||||||
Impact of amortization of acquisition intangibles, net of tax effect
|
0.02 | 0.02 | ||||||
Non-GAAP diluted EPS, guidance
|
$ | 0.16 | $ | 0.24 |