Microchip Technology Announces Financial Results for Third Quarter of Fiscal Year 2021
RECONCILIATION OF GAAP NET INCOME AND GAAP DILUTED NET INCOME PER COMMON SHARE TO NON-GAAP NET INCOME AND NON-GAAP DILUTED NET INCOME PER COMMON SHARE
| | Three Months Ended | | Nine Months Ended |
| | December 31, | | December 31, |
| | 2020 | | 2019 | | 2020 | | 2019 |
| Net income, as reported | $ | 36.2 | | | | $ | 311.1 | | | | $ | 233.4 | | | | $ | 470.7 | | |
| Share-based compensation expense | 51.2 | | | | 43.5 | | | | 143.3 | | | | 129.5 | | |
| COVID-19 shelter-in-place restrictions on manufacturing activities | — | | | | — | | | | 2.8 | | | | — | | |
| Acquisition-related | 1.0 | | | | 10.2 | | | | 1.6 | | | | 24.9 | | |
| Professional services associated with certain legal matters | 4.3 | | | | — | | | | 9.1 | | | | — | | |
| IT security remediation | 0.1 | | | | 0.7 | | | | 1.4 | | | | 5.7 | | |
| Amortization of acquired intangible assets | 231.6 | | | | 248.7 | | | | 699.9 | | | | 745.4 | | |
| Special charges and other, net | 4.3 | | | | 17.8 | | | | 8.9 | | | | 29.5 | | |
| Loss on settlement of debt | 142.1 | | | | — | | | | 214.0 | | | | 2.0 | | |
| Non-cash other expense, net | 13.2 | | | | 31.1 | | | | 54.6 | | | | 91.6 | | |
| Gains on equity investments | — | | | | — | | | | (0.2 | ) | | | (1.1 | ) | |
| Other non-GAAP tax adjustment | (39.1 | ) | | | (322.3 | ) | | | (105.6 | ) | | | (434.1 | ) | |
| Non-GAAP net income | $ | 444.9 | | | | $ | 340.8 | | | | $ | 1,263.2 | | | | $ | 1,064.1 | | |
| Non-GAAP net income as a percentage of net sales | 32.9 | | % | | 26.5 | | % | | 31.8 | | % | | 27.0 | | % |
| GAAP net income as a percentage of net sales | 2.7 | | % | | 24.2 | | % | | 5.9 | | % | | 11.9 | | % |
| Diluted net income per common share, as reported | $ | 0.13 | | | | $ | 1.20 | | | | $ | 0.87 | | | | $ | 1.84 | | |
| Non-GAAP diluted net income per common share | $ | 1.62 | | | | $ | 1.32 | | | | $ | 4.73 | | | | $ | 4.16 | | |
| Diluted common shares outstanding, as reported | 275.4 | | | | 258.3 | | | | 267.0 | | | | 255.8 | | |
| Diluted common shares outstanding non-GAAP | 275.4 | | | | 258.3 | | | | 267.0 | | | | 255.8 | | |
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