Linear Technology Reports Year Over Year Quarterly Increases in Revenue, Net Income, and Earnings Per Share
To supplement the condensed consolidated financial statements presented
in accordance with GAAP, certain non-GAAP financial information is
provided, which is adjusted from results based on GAAP to exclude
certain costs and expenses, and adjusted for their tax effects. However,
because there are no standardized or generally accepted definitions for
most non-GAAP financial metrics, definitions of non-GAAP financial
metrics (e.g. determining which costs and expenses to exclude when
calculating such a metric) are inherently subject to judgement. The
non-GAAP and supplemental information is provided to enhance the user’s
overall understanding of operating performance and prospects in the
future. The presentation of non-GAAP and supplemental information is not
meant to be considered in isolation or as a substitute for results
prepared and presented in accordance with United States GAAP. The
following charges are presented as a non-GAAP financial metric as they
are considered to be non-recurring by nature, and therefore are not
indicative of core operating results, as they represent costs incurred
as a result of the pending merger between Linear Technology and Analog
Devices as announced on July 26, 2016:
Merger-related charges that are directly related to the pending merger
between Linear Technology and Analog Devices. Charges primarily include
costs for advisory services, appraisals, legal services,
employee-related expense and auditing services. Management believes that
it is appropriate to exclude these items as they are not indicative of
ongoing operating results and therefore limit comparability and
excluding these items helps investors compare our operating performance
with our results in prior periods as well as with the performance of
other companies.
Income tax effect of non-GAAP adjustments. Includes the income tax
effects of the excluded item noted above. Management believes that it is
appropriate to exclude the tax effects of the items noted above in order
to present a more meaningful measure of non-GAAP net income.
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Contact:
Linear Technology Corporation
Donald P. Zerio, 408-432-1900
Vice
President, Finance, Chief Financial Officer
