|
Cadence Design Systems, Inc. | ||||||||||
|
Supplemental Reconciliation of Certain GAAP to Non-GAAP Measures | ||||||||||
|
For the Year Ended December 28, 2013 | ||||||||||
|
(In thousands) | ||||||||||
|
(Unaudited) | ||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Year Ended |
|
|
|
|
|
|
|
|
|
|
|
December 28, 2013 |
|
|
|
|
|
|
|
|
|
GAAP |
|
Adjustments |
|
Non-GAAP |
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenue: |
|
|
|
|
|
|
| |||
|
|
Product and maintenance |
|
$ 1,357,934 |
|
$ - |
|
$ 1,357,934 | |||
|
|
Services |
|
|
102,182 |
|
- |
|
102,182 | ||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total revenue |
|
|
1,460,116 |
|
- |
|
1,460,116 | |
|
|
|
|
|
|
|
|
|
|
|
|
|
Costs and expenses: |
|
|
|
|
|
|
| |||
|
|
Cost of product and maintenance |
|
132,245 |
|
(26,352) |
(I) |
105,893 | |||
|
|
Cost of services |
|
|
67,956 |
|
(2,373) |
(I) |
65,583 | ||
|
|
Marketing and sales |
|
|
378,157 |
|
(17,828) |
(I) |
360,329 | ||
|
|
Research and development |
|
534,022 |
|
(53,403) |
(I) |
480,619 | |||
|
|
General and administrative |
|
121,314 |
|
(27,273) |
(I) |
94,041 | |||
|
|
Amortization of acquired intangibles |
|
19,416 |
|
(19,416) |
(I) |
- | |||
|
|
Restructuring and other charges |
|
17,999 |
|
(17,999) |
|
- | |||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total costs and expenses |
|
1,271,109 |
|
(164,644) |
|
1,106,465 | ||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income from operations |
|
189,007 |
|
164,644 |
|
353,651 | |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest expense |
|
|
(37,581) |
|
22,315 |
(J) |
(15,266) | ||
|
|
Other income, net |
|
|
7,570 |
|
(5,280) |
(K) |
2,290 | ||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income before provision (benefit) for income taxes |
158,996 |
|
181,679 |
|
340,675 | ||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Provision (benefit) for income taxes |
|
(5,247) |
|
93,823 |
(L) |
88,576 | |||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income |
|
|
$ 164,243 |
|
$ 87,856 |
|
$ 252,099 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Notes: |
|
|
|
|
|
|
|
| ||
|
(I) For the year ended December 28, 2013 adjustments to GAAP are as follows for the line items specified: | ||||||||||
|
|
| |||||||||
|
|
| |||||||||
|
|
Amortization and sale of acquired intangibles |
Stock-based compensation expense |
Non-qualified deferred compensation expenses |
Integration and acquisition- related costs |
Executive severance costs |
Total adjustments | |
|
Cost of product and maintenance |
$ 24,718 |
$ 1,596 |
$ 38 |
$ - |
$ - |
$ 26,352 | |
|
Cost of services |
- |
2,321 |
52 |
- |
- |
2,373 | |
|
Marketing and sales |
- |
15,642 |
239 |
1,467 |
480 |
17,828 | |
|
Research and development |
- |
32,999 |
1,700 |
18,704 |
- |
53,403 | |
|
General and administrative |
- |
13,727 |
1,264 |
11,801 |
481 |
27,273 | |
|
Amortization of acquired intangibles |
19,416 |
- |
- |
- |
- |
19,416 | |
|
Total |
$ 44,134 |
$ 66,285 |
$ 3,293 |
$ 31,972 |
$ 961 |
$ 146,645 | |
|
| ||||||||||||||
|
(J) Amortization of debt discount related to convertible notes | ||||||||||||||
|
(K) Other income or expense related to investments and non-qualified deferred compensation plan assets | ||||||||||||||
|
(L) Income tax effect of non-GAAP adjustments | ||||||||||||||
