Synplicity is a registered trademark of Synplicity, Inc. All other brands or products are the trademarks or registered trademarks of their owners.
SYNPLICITY, INC.
CONSOLIDATED BALANCE SHEETS
(in thousands)
March 31, December 31,
2006 2005 (1)
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(unaudited)
Assets:
Current assets:
Cash, cash equivalents and short-term
investments $58,822 $57,099
Accounts receivable, net 11,164 12,632
Other current assets 1,942 2,372
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Total current assets 71,928 72,103
Property and equipment, net 2,585 2,631
Goodwill 1,272 1,272
Intangible assets, net 1,851 1,882
Other assets 764 749
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Total assets $78,400 $78,637
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Liabilities and Shareholders' Equity:
Current liabilities:
Accounts payable $84 $944
Accrued liabilities 1,703 1,461
Accrued compensation 3,671 4,031
Deferred revenue 20,448 18,355
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Total current liabilities 25,906 24,791
Shareholders' equity:
Common stock 57,136 58,257
Additional paid-in capital 4,321 3,360
Accumulated deficit (8,608) (7,430)
Accumulated other comprehensive loss (355) (341)
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Total shareholders' equity 52,494 53,846
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Total liabilities and
shareholders' equity $78,400 $78,637
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(1) Derived from audited financial statements
SYNPLICITY, INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except per share data)
(unaudited)
Quarter Ended
March 31,
----------------------
2006 2005
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Revenue:
License $ 7,131 $7,976
Maintenance 7,338 6,582
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Total revenue 14,469 14,558
Cost of revenue:
Cost of license 115 132
Cost of maintenance 526 456
Amortization of intangible assets
from acquisitions 223 223
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Total cost of revenue 864 811
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Gross profit 13,605 13,747
Operating expenses: (2)
Research and development 6,573 6,081
Sales and marketing 6,331 5,758
General and administrative 2,124 1,531
Restructuring charge 854 --
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Total operating expenses 15,882 13,370
---------- ----------
Income (loss) from operations (2,277) 377
Other income, net 618 272
---------- ----------
Income (loss) before income taxes (1,659) 649
Income tax provision (benefit) (481) 134
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Net income (loss) $(1,178) $ 515
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Net income (loss) per share:
Basic and diluted net income
(loss) per common share $ (0.04) $ 0.02
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Shares used in basic per share
calculation 27,016 26,258
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Shares used in diluted per share
calculation 28,847 27,874
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(2) Includes stock-based compensation. 2006 increases are due to the
adoption of FAS 123(R), as follows:
Cost of maintenance $ 23 $ --
Research and development 453 4
Sales and marketing 238 4
General and administrative 247 1
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Total stock-based compensation $ 961 $ 9
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SYNPLICITY, INC.
RECONCILIATION OF GAAP INCOME (LOSS) TO NON-GAAP INCOME
(in thousands, except per share data)
(unaudited)
Net Income
Quarter Ended
----------------------
March 31,
----------------------
2006 2005
---------- ---------
GAAP net income (loss) $(1,178) $515
Amortization of intangible assets
from acquisitions 223 223
Stock-based compensation 961 9
Restructuring charge 854 --
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Non-GAAP net income (3) $860 $747
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Non-GAAP net income per share:
Non-GAAP net income per common share $0.03 $0.03
========== =========
Shares used in non-GAAP per share
calculation 28,847 27,874
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(3) The non-GAAP calculations of net income and net income per share
include the income tax benefit of $481,000 from the Statement of
Operations for the quarter ended March 31, 2006. If the income tax
benefit were excluded from the non-GAAP computation of net income and
net income per share and the items noted above were taxed at the rate
the Company is projecting for the full year, the non-GAAP net income
would have been $268,000 or $0.01 per share.
Forward-Looking Net Income per Share
Quarter Ending Year Ending
June 30, December 31,
2006 2006
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GAAP net income per share $0.03-$.05 $0.10-$.15
Amortization of intangible assets from
acquisitions $0.01 $0.03
Restructuring charge $0.00 $0.03
Stock-based compensation $0.03 $0.12-$0.13
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Non-GAAP net income per share $0.07-$0.09 $0.28-$0.34
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