Magma Beats Revenue and Earnings Guidance for Second Quarter, Reports Revenue of $36.5 Million

Cost of license revenue
Amortization of
developed technology 0.11 0.10 0.22 0.23
Acquisition-related
and other expenses -- 0.01 -- 0.01
--------------------------------------------
0.11 0.11 0.22 0.24
Cost of bundled license
and services revenue
Amortization of
developed technology 0.03 0.02 0.06 0.05
Stock-based
compensation -- -- 0.01 0.01
--------------------------------------------
0.03
0.02 0.07 0.06
Cost of service revenue
Stock-based
compensation 0.01 0.01 0.01 0.02


Research and development
Stock-based
compensation 0.04 0.05 0.09 0.10
Acquisition related
expenses -- 0.02 0.01 0.03
--------------------------------------------
0.04 0.07 0.10 0.13
Sales and marketing
Stock-based
compensation 0.03 0.03 0.07 0.06


General and
administrative
Stock-based
compensation 0.03 0.03 0.06 0.07
Litigation
settlement and
related legal
expense -- -- -- 0.01

--------------------------------------------
0.03 0.03 0.06 0.08

Amortization of
intangible assets 0.02 0.05 0.05 0.10
In-process research and
development -- 0.02 -- 0.02
Restructuring charges 0.08 -- 0.12 0.01


Other income (expense)
Interest expense,
amortization of
debt issuance cost,
and debt discount
accretion 0.01 0.01 0.01 0.03
Loss on equity and
other investments 0.04 -- 0.04 0.01
--------------------------------------------
0.05 0.01 0.05 0.04


Provision for income
taxes 0.05 (0.02) 0.06 (0.02)

-------------------- --------------------
Non-GAAP net income
$ (0.14) $ 0.17 $ (0.13) $ 0.29
-------------------- --------------------
Non-GAAP net income
(diluted) $ (0.14) $ 0.15 $ (0.13) $ 0.25
-------------------- --------------------

Basic shares used in
calculation 43,908 39,919 43,647 39,383

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