MaxLinear, Inc. Announces Second Quarter 2017 Financial Results
MAXLINEAR, INC.
UNAUDITED RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES |
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Three Months Ended |
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June 30, 2017 | |
March 31, 2017 | |
June 30, 2016 |
| GAAP gross profit | 49.1 | % | | 59.6 | % | | 61.9 | % |
| Stock-based compensation | 0.1 | % | | 0.1 | % | | 0.1 | % |
| Performance based equity | — | % | | — | % | | (0.2 | )% |
| Amortization of inventory step-up | 5.4 | % | | — | % | | 0.3 | % |
| Amortization of purchased intangible assets | 6.0 | % | | 3.0 | % | | 1.8 | % |
| Depreciation of fixed asset step-up | 0.1 | % | | — | % | | — | % |
| Deferred profit eliminated in purchase price accounting | 3.7 | % | | — | % | | — | % |
| Non-GAAP gross profit | 64.4 | % | | 62.7 | % | | 63.8 | % |
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| GAAP R&D expenses | 27.9 | % | | 26.9 | % | | 23.6 | % |
| Stock-based compensation | (3.9 | )% | | (3.9 | )% | | (3.1 | )% |
| Incentive award compensation | — | % | | — | % | | (0.2 | )% |
| Performance based equity | (1.0 | )% | | (1.1 | )% | | (1.5 | )% |
| Amortization of purchased intangible assets | (0.1 | )% | | (0.1 | )% | | (0.1 | )% |
| Depreciation of fixed asset step-up | (0.7 | )% | | — | % | | — | % |
| Restricted merger proceeds and contingent consideration | — | % | | — | % | | (0.2 | )% |
| Non-GAAP R&D expenses | 22.2 | % | | 21.8 | % | | 18.5 | % |
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| GAAP SG&A expenses | 30.1 | % | | 21.0 | % | | 16.2 | % |
| Stock-based compensation | (2.9 | )% | | (2.2 | )% | | (1.7 | )% |
| Incentive award compensation | — | % | | — | % | | — | % |
| Performance based equity | (0.5 | )% | | (0.7 | )% | | (0.8 | )% |
| Amortization of purchased intangible assets | (7.9 | )% | | (2.1 | )% | | (0.6 | )% |
| Depreciation of fixed asset step-up | (0.1 | )% | | — | % | | — | % |
| Acquisition and integration costs | (5.4 | )% | | (3.8 | )% | | (1.3 | )% |
| Restricted merger proceeds and contingent consideration | — | % | | — | % | | — | % |
| IP litigation costs, net | (0.1 | )% | | (0.1 | )% | | (0.2 | )% |
| Non-GAAP SG&A expenses | 13.2 | % | | 12.1 | % | | 11.6 | % |
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| GAAP restructuring expenses | 6.3 | % | | — | % | | — | % |
| Restructuring charges | (6.3 | )% | | — | % | | — | % |
| Non-GAAP restructuring expenses | — | % | | — | % | | — | % |
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| GAAP and non-GAAP interest and other income (expense), net | (2.6 | )% | | 0.1 | % | | 0.3 | % |
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| GAAP income (loss) before income taxes | (17.8 | )% | | 11.8 | % | | 22.3 | % |
| Total non-GAAP adjustments before income taxes | 44.1 | % | | 17.1 | % | | 11.8 | % |
| Non-GAAP income before income taxes | 26.4 | % | | 28.9 | % | | 34.1 | % |
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| GAAP income tax provision (benefit) | (28.3 | )% | | 2.3 | % | | 0.1 | % |
| Adjustment for non-cash tax benefits/expenses | 30.9 | % | | 0.5 | % | | 0.7 | % |
| Non-GAAP income tax provision | 2.7 | % | | 2.8 | % | | 0.8 | % |
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| GAAP net income | 10.5 | % | | 9.5 | % | | 22.2 | % |
| Total non-GAAP adjustments before income taxes | 44.1 | % | | 17.1 | % | | 11.8 | % |
| Less: total tax adjustments | 30.9 | % | | 0.5 | % | | 0.7 | % |
| Non-GAAP net income | 23.7 | % | | 26.1 | % | | 33.3 | % |
