Lattice Semiconductor Corporation - Reconciliation of U.S. GAAP to Non-GAAP Financial Measures - (in thousands, except per share data) (unaudited) |
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Three Months Ended | Year Ended | |||||||||||||||||||||
December 31, 2016 | October 1, 2016 | January 2, 2016 | December 31, 2016 | January 2, 2016 | ||||||||||||||||||
GAAP Revenue | $ | 118,108 | $ | 113,225 | $ | 101,194 | $ | 427,054 | $ | 405,966 | ||||||||||||
Fair value adjustment to deferred revenue from purchase accounting | — | — | 96 | — | 5,187 | |||||||||||||||||
Non-GAAP Revenue | $ | 118,108 | $ | 113,225 | $ | 101,290 | $ | 427,054 | $ | 411,153 | ||||||||||||
GAAP Gross margin | $ | 63,480 | $ | 67,424 | $ | 54,102 | $ | 246,434 | $ | 219,909 | ||||||||||||
Fair value adjustment to deferred revenue from purchase accounting | — | — | 96 | — | 3,691 | |||||||||||||||||
Inventory step-up expense | — | — | 716 | 523 | 6,078 | |||||||||||||||||
Stock-based compensation - gross margin | 232 | 231 | 372 | 888 | 1,416 | |||||||||||||||||
Non-GAAP Gross margin | $ | 63,712 | $ | 67,655 | $ | 55,286 | $ | 247,845 | $ | 231,094 | ||||||||||||
GAAP Gross margin % | 53.7 | % | 59.5 | % | 53.5 | % | 57.7 | % | 54.2 | % | ||||||||||||
Cumulative effect of non-GAAP Gross Margin adjustments | 0.2 | % | 0.3 | % | 1.1 | % | 0.3 | % | 2.0 | % | ||||||||||||
Non-GAAP Gross margin % | 53.9 | % | 59.8 | % | 54.6 | % | 58.0 | % | 56.2 | % | ||||||||||||
GAAP Operating expenses | $ | 64,438 | $ | 73,434 | $ | 90,550 | $ | 273,133 | $ | 327,141 | ||||||||||||
Amortization of acquired intangible assets | (8,283 | ) | (8,260 | ) | (8,756 | ) | (33,575 | ) | (29,580 | ) | ||||||||||||
Restructuring charges | (951 | ) | (317 | ) | (3,459 | ) | (9,267 | ) | (19,239 | ) | ||||||||||||
Acquisition related charges (1) | (6,211 | ) | — | (372 | ) | (6,305 | ) | (22,450 | ) | |||||||||||||
Impairment of goodwill and intangible assets | — | (7,866 | ) | (21,655 | ) | (7,866 | ) | (21,655 | ) | |||||||||||||
Stock-based compensation - operations | (3,874 | ) | (4,078 | ) | (4,416 | ) | (15,325 | ) | (15,934 | ) | ||||||||||||
Non-GAAP Operating expenses | $ | 45,119 | $ | 52,913 | $ | 51,892 | $ | 200,795 | $ | 218,283 | ||||||||||||
(1) Includes stock-based compensation and severance costs related to change in control. | ||||||||||||||||||||||
Lattice Semiconductor Corporation | ||||||||||||||||||||||
- Reconciliation of U.S. GAAP to Non-GAAP Financial Measures - | ||||||||||||||||||||||
(in thousands, except per share data) | ||||||||||||||||||||||
(unaudited) | ||||||||||||||||||||||
Three Months Ended | Year Ended | |||||||||||||||||||||
December 31, 2016 | October 1, 2016 | January 2, 2016 | December 31, 2016 | January 2, 2016 | ||||||||||||||||||
GAAP Loss from operations | $ | (958 | ) | $ | (6,010 | ) | $ | (36,448 | ) | $ | (26,699 | ) | $ | (107,232 | ) | |||||||
Fair value adjustment to deferred revenue from purchase accounting | — | — | 96 | — | 3,691 | |||||||||||||||||
Inventory step-up expense | — | — | 716 | 523 | 6,078 | |||||||||||||||||
Stock-based compensation - gross margin | 232 | 231 | 372 | 888 | 1,416 | |||||||||||||||||
Amortization of acquired intangible assets | 8,283 | 8,260 | 8,756 | 33,575 | 29,580 | |||||||||||||||||
Restructuring charges | 951 | 317 | 3,459 | 9,267 | 19,239 | |||||||||||||||||
Acquisition related charges (1) | 6,211 | — | 372 | 6,305 | 22,450 | |||||||||||||||||
Impairment of goodwill and intangible assets | — | 7,866 | 21,655 | 7,866 | 21,655 | |||||||||||||||||
Stock-based compensation - operations | 3,874 | 4,078 | 4,416 | 15,325 | 15,934 | |||||||||||||||||
Non-GAAP Income from operations | $ | 18,593 | $ | 14,742 | $ | 3,394 | $ | 47,050 | $ | 12,811 | ||||||||||||
GAAP Loss from operations % | (0.8 | )% | (5.3 | )% | (36.0 | )% | (6.3 | )% | (26.4 | )% | ||||||||||||
Cumulative effect of non-GAAP Gross Margin and Operating adjustments | 16.5 | % | 18.3 | % | 39.4 | % | 17.3 | % | 29.5 | % | ||||||||||||
Non-GAAP Income from operations % | 15.7 | % | 13.0 | % | 3.4 | % | 11.0 | % | 3.1 | % | ||||||||||||
GAAP Income tax expense | $ | 2,507 | $ | 971 | $ | 3,510 | $ | 9,917 | $ | 32,540 | ||||||||||||
Estimated tax effect of non-GAAP adjustments (2) | (438 | ) | 2,389 | (1,089 | ) | — | (21,030 | ) | ||||||||||||||
Non-GAAP Income tax expense | $ | 2,069 | $ | 3,360 | $ | 2,421 | $ | 9,917 | $ | 11,510 | ||||||||||||
(1) Includes stock-based compensation and severance costs related to change in control. | ||||||||||||||||||||||
(2) During the second quarter of fiscal 2016, we refined our calculation of non-GAAP tax expense by applying our tax | ||||||||||||||||||||||
provision model to year-to-date and projected income after adjusting for non-GAAP items. The difference between | ||||||||||||||||||||||
calculated values for GAAP and non-GAAP tax expense has been included as the “Estimated tax effect of | ||||||||||||||||||||||
non-GAAP adjustments.” Prior periods have been similarly recalculated to conform to the current presentation. | ||||||||||||||||||||||
Lattice Semiconductor Corporation | ||||||||||||||||||||||
- Reconciliation of U.S. GAAP to Non-GAAP Financial Measures - | ||||||||||||||||||||||
(in thousands, except per share data) | ||||||||||||||||||||||
(unaudited) | ||||||||||||||||||||||
Three Months Ended | Year Ended | |||||||||||||||||||||
December 31, 2016 | October 1, 2016 | January 2, 2016 | December 31, 2016 | January 2, 2016 | ||||||||||||||||||
GAAP Net loss | $ | (8,164 | ) | $ | (12,414 | ) | $ | (45,454 | ) | $ | (54,099 | ) | $ | (159,233 | ) | |||||||
Fair value adjustment to deferred revenue from purchase accounting | — | — | 96 | — | 3,691 | |||||||||||||||||
Inventory step-up expense | — | — | 716 | 523 | 6,078 | |||||||||||||||||
Stock-based compensation - gross margin | 232 | 231 | 372 | 888 | 1,416 | |||||||||||||||||
Amortization of acquired intangible assets | 8,283 | 8,260 | 8,756 | 33,575 | 29,580 | |||||||||||||||||
Restructuring charges | 951 | 317 | 3,459 | 9,267 | 19,239 | |||||||||||||||||
Acquisition related charges (1) | 6,211 | — | 372 | 6,305 | 22,450 | |||||||||||||||||
Impairment of goodwill and intangible assets | — | 7,866 | 21,655 | 7,866 | 21,655 | |||||||||||||||||
Stock-based compensation - operations | 3,874 | 4,078 | 4,416 | 15,325 | 15,934 | |||||||||||||||||
Gain on sale of Qterics | — | — | — | (2,646 | ) | — | ||||||||||||||||
Estimated tax effect of non-GAAP adjustments (2) | 438 | (2,389 | ) | 1,089 | — | 21,030 | ||||||||||||||||
Non-GAAP Net income (loss) | $ | 11,825 | $ | 5,949 | $ | (4,523 | ) | $ | 17,004 | $ | (18,160 | ) | ||||||||||
GAAP Net loss per share - basic and diluted | $ | (0.07 | ) | $ | (0.10 | ) | $ | (0.38 | ) | $ | (0.45 | ) | $ | (1.36 | ) | |||||||
Cumulative effect of Non-GAAP adjustments | 0.17 | 0.15 | 0.34 | 0.59 | 1.21 | |||||||||||||||||
Non-GAAP Net income (loss) per share - basic and diluted | $ | 0.10 | $ | 0.05 | $ | (0.04 | ) | $ | 0.14 | $ | (0.15 | ) | ||||||||||
Shares used in per share calculations: | ||||||||||||||||||||||
Basic | 121,236 | 120,584 | 118,095 | 119,994 | 117,387 | |||||||||||||||||
Diluted - GAAP (3) | 121,236 | 120,584 | 118,095 | 119,994 | 117,387 | |||||||||||||||||
Diluted - Non-GAAP (3) | 123,621 | 122,236 | 118,095 | 121,957 | 117,387 | |||||||||||||||||
(1) Includes stock-based compensation and severance costs related to change in control. | ||||||||||||||||||||||
(2) During the second quarter of fiscal 2016, we refined our calculation of non-GAAP tax expense by applying our tax | ||||||||||||||||||||||
provision model to year-to-date and projected income after adjusting for non-GAAP items. The difference between | ||||||||||||||||||||||
calculated values for GAAP and non-GAAP tax expense has been included as the “Estimated tax effect of | ||||||||||||||||||||||
non-GAAP adjustments.” Prior periods have been similarly recalculated to conform to the current presentation. | ||||||||||||||||||||||
(3) Diluted shares are calculated using the GAAP treasury stock method. In a loss position, diluted shares equal basic shares. | ||||||||||||||||||||||