-
Quarterly Net Sales of $118.6 Million, Up 2 Percent Sequentially
-
Record Distributor Point of Sale
-
Cash Flow From Operations Up 83% Sequentially
-
LoRa® Alliance Membership Exceeds 200
Semtech Corporation (Nasdaq: SMTC), a leading supplier of analog and
mixed-signal semiconductors, today reported unaudited financial results
for its fourth quarter and fiscal year 2016, which ended January 31,
2016.
Net sales for the fourth quarter of fiscal year 2016 were $118.6
million, up 2 percent from the third quarter of fiscal year 2016 and
down 9 percent from the fourth quarter of fiscal year 2015. Net sales
for the full fiscal year 2016 were $490.2 million, down 12 percent from
$557.9 million for the full fiscal year 2015.
Gross profit margin, computed in accordance with U.S. generally accepted
accounting principles (GAAP), for the fourth quarter of fiscal year 2016
was 58.6 percent compared to 60.1 percent in the third quarter of fiscal
year 2016 and 56.1 percent in the fourth quarter of fiscal year 2015.
GAAP gross profit margin for the full fiscal year 2016 was 59.8 percent
compared to 58.9 percent for the full fiscal year 2015.
GAAP net income for the fourth quarter of fiscal year 2016 was $1.2
million, or $0.02 per diluted share. This compares to GAAP net income of
$10.7 million or $0.16 per share in the third quarter of fiscal year
2016, and GAAP net loss of $15.4 million or ($0.23) per share in the
fourth quarter of fiscal year 2015.
GAAP operating results for the fourth quarter of fiscal 2016 and third
quarter of fiscal year 2016 reflected an after-tax benefit of $1.8
million and $9.4 million, respectively, as a result of the fair value
re-measurement of the Triune Systems earn-out liability. Included in the
GAAP operating results for the fourth quarter of fiscal year 2015 were
charges that included $23.3 million for the restructuring and
impairment-related costs associated with the Company’s reduction of its
investment in the defense and microwave communications infrastructure
market and the further reduction of its investment in the optical
long-haul markets.
For the full fiscal year 2016, GAAP net income was $11.5 million or
$0.17 per diluted share compared to GAAP net income of $27.9 million or
$0.41 per diluted share for the full fiscal year 2015.
To facilitate the complete understanding of comparable financial
performance between periods, the Company also presents performance
results net of certain non-cash items or items that are not considered
reflective of the Company’s core results over time. The Company’s
non-GAAP measures of gross profit margin, net income and earnings per
diluted share exclude certain items as described below under “Non-GAAP
Financial Measures.”
Excluding such items, non-GAAP net income for the fourth quarter of
fiscal year 2016 was $10.8 million or $0.17 per diluted share. Non-GAAP
net income was $12.1 million or $0.19 per diluted share in the third
quarter of fiscal year 2016, and was $23.1 million or $0.34 per diluted
share in the fourth quarter of fiscal year 2015. Non-GAAP net income for
the full fiscal year 2016 was $56.4 million or $0.86 per diluted share.
This compares to Non-GAAP net income for the full fiscal year 2015 of
$104.0 million or $1.54 per diluted share.
Non-GAAP gross profit margin for the fourth quarter of fiscal year 2016
was 59.0 percent. Non-GAAP gross profit margin for the third quarter of
fiscal year 2016 was 60.3 percent and 60.1 percent in the fourth quarter
of fiscal year 2015. Non-GAAP gross profit margin for the full fiscal
year 2016 was 60.2 percent, which compares to 60.3 percent non-GAAP
gross profit margin for the full fiscal year 2015.
As of the end of the fourth quarter of fiscal year 2016, the Company had
$211.8 million in cash, cash equivalents and marketable securities
compared to $230.3 million in cash, cash equivalents and marketable
securities at the end of fiscal year 2015.
Mohan Maheswaran, Semtech’s President and Chief Executive Officer,
stated “While fiscal year 2016 proved challenging, we were pleased to
deliver fiscal Q4 results that were ahead of our guidance. Demand from
our Communication and Enterprise computing end markets strengthened
throughout the quarter and record POS resulted in a 21% reduction in
channel inventory.” Maheswaran continued, “Overall demand strengthened
throughout the quarter and recent strong bookings across several
businesses lead us to believe that we can return to outperforming the
industry in fiscal year 2017.”
The results announced today are preliminary, as they are subject to the
Company finalizing its closing procedures and annual audit by the
Company's independent registered public accounting firm. As such, these
results are subject to revision until the Company will have filed its
annual report on Form 10-K for the fiscal year 2016.
First Quarter of Fiscal Year 2017 Outlook
-
Net sales are expected to be in the range of $124 million to $132
million
-
GAAP gross profit margin is expected to be in the range of 58.6% to
59.7%
-
Non-GAAP gross profit margin is expected to be in the range of 59.0%
to 60.0%
-
GAAP SG&A expense is expected to be in the range of $31.7 million to
$32.7 million
-
GAAP R&D expense is expected to be in the range of $25.0 million to
$26.0 million
-
Integration and restructuring related expense is expected to be
approximately $0.5 million
-
Stock-based compensation expense is expected to be approximately $6.3
million, categorized as follows: $0.4 million cost of sales, $4.1
million SG&A, and $1.8 million R&D
-
Amortization of acquired intangible assets is expected to be
approximately $6.4 million
-
Interest and other expense is expected to be approximately $2.2 million
-
GAAP tax rate is expected to be in the range of 20% to 24%
-
Non-GAAP tax rate is expected to be in the range of 19% to 23%
-
GAAP earnings per diluted share are expected to be in the range of
$0.09 to $0.13
-
Non-GAAP earnings per diluted share are expected to be in the range of
$0.26 to $0.30
-
Fully-diluted share count is expected to be approximately 65.5 million
shares
-
Capital expenditures are expected to be approximately $8.0 million
-
Depreciation expense is expected to be approximately $6.0 million
Non-GAAP Financial Measures
To supplement the Company's consolidated financial statements prepared
in accordance with GAAP, this release includes a non-GAAP presentation
of gross profit margin, net income and earnings per diluted share and
free cash flow. The Company's measure of free cash flow excludes capital
expenditures. The Company’s non-GAAP measures of gross profit margin,
net income and earnings per diluted share may exclude the following
items, if any:
-
Stock-based compensation expense
-
Intangible amortization and impairments
-
Restructuring, integration, transaction and other acquisition related
expenses
-
Litigation expenses or dispute settlement charges or gains
To provide additional insight into the Company's first quarter outlook,
this release also includes a presentation of forward-looking non-GAAP
measures including gross profit margin, effective tax rate and earnings
per diluted share.
These non-GAAP financial measures are adjusted to exclude the items
identified above because such items are either operating expenses which
would not otherwise have been incurred by the Company in the normal
course of the Company’s business operations or are not reflective of the
Company’s core results over time. These items may include recurring as
well as non-recurring items, and no inference should be made that all of
these adjustments, charges, costs or expenses are unusual, infrequent or
non-recurring. For example: certain restructuring and integration
related expenses (which consist of employee termination costs, facility
closure or lease termination costs, and contract termination costs) may
be considered recurring given the Company’s ongoing efforts to be more
cost effective and efficient; certain litigation expenses or dispute
settlement charges or gains (which may include estimated losses for
which we have established a reserve, as well as any actual settlements,
judgments, or other resolutions against, or in favor of, the Company
related to litigation, arbitration, disputes or similar matters, and
insurance recoveries received by the Company related to such matters)
may be viewed as recurring given that the Company may from time to time
be involved in, and may resolve, litigation, arbitration, disputes, and
similar matters; and certain acquisition-related adjustments or expenses
may be deemed recurring given the Company's regular evaluation of
potential transactions and investments.
Notwithstanding that certain adjustments, charges, costs or expenses may
be considered recurring, in order to provide meaningful comparisons, the
Company believes that it is appropriate to exclude such items because
they are not reflective of the Company's core results and tend to vary
based on timing, frequency and magnitude.
These non-GAAP financial measures are provided to enhance the user's
overall understanding of the Company's comparable financial performance
between periods. In addition, the Company's management generally
excludes the items noted above when managing and evaluating the
performance of the business. The financial statements provided with this
release include reconciliations of these non-GAAP measures to their most
comparable GAAP results for the third and fourth quarters of fiscal year
2016 and fourth quarter of fiscal year 2015 along with a reconciliation
of forward-looking earnings per diluted share to its most comparable
GAAP measure for the first quarter of fiscal year 2017. These additional
non-GAAP financial measures should not be considered substitutes for any
measures derived in accordance with GAAP and may be inconsistent with
similar measures presented by other companies.
Forward-Looking and Cautionary Statements
This press release contains "forward-looking statements" within the
meaning of the “safe harbor” provisions of the Private Securities
Litigation Reform Act of 1995, as amended, based on the Company’s
current expectations, estimates and projections about its operations,
industry, financial condition, performance, results of operations, and
liquidity. Forward-looking statements are statements other than
historical information or statements of current condition and relate to
matters such as future financial performance, future operational
performance, the anticipated impact of specific items on future
earnings, the prospects for newly-acquired businesses to be integrated
and contribute to future growth and profit expectations, and the
Company’s plans, objectives and expectations. Statements containing
words such as “may,” “believes,” “anticipates,” “expects,” “intends,”
“plans,” “projects,” “estimates,” “should,” “will,” “designed to,”
“projections,” or “business outlook,” or other similar expressions
constitute forward-looking statements.
Forward-looking statements involve known and unknown risks and
uncertainties that could cause actual results and events to differ
materially from those projected. Potential factors that could cause
actual results to differ materially from those in the forward-looking
statements include, but are not limited to: potential differences
between the unaudited results disclosed in this release and the
Company’s final results when disclosed in its Annual Report on Form 10-K
as a result of the completion of the Company’s financial closing
procedures, final adjustments, annual review by the Company’s
independent registered public accounting firm, and other developments
arising between now and the disclosure of the final results; the
Company’s ability to forecast its effective tax rates due to changing
income in higher or lower tax jurisdictions and other factors that
contribute to the volatility of the Company’s effective tax rates and
impact anticipated tax benefits; the Company's ability to manage
expenses to achieve anticipated shifts in demand among target customers,
and other comparable changes or protracted weakness in projected or
anticipated markets; competitive changes in the marketplace including,
but not limited to, the pace of growth or adoption rates of applicable
products or technologies; shifts in focus among target customers, and
other comparable changes in projected or anticipated end-user markets;
the Company’s ability to integrate its acquisitions and realize expected
synergies and benefits; the continuation and/or pace of key
trends considered to be main contributors to the Company's growth, such
as demand for increased network bandwidth, demand for increasing energy
efficiency in the Company's products or end-use applications of the
products, and demand for increasing miniaturization of electronic
components; adequate supply of components and materials from the
Company’s suppliers, to include disruptions due to natural causes or
disasters, weather, or other extraordinary events; the Company's ability
to forecast and achieve anticipated revenues and earnings estimates in
light of periodic economic uncertainty, to include impacts arising from
European, Asian and global economic dynamics; and the amount and timing
of expenditures for capital equipment. Additionally, forward-looking
statements should be considered in conjunction with the cautionary
statements contained in the risk factors disclosed in the Company's
Annual Report on Form 10-K for the fiscal year ended January 25, 2015,
Quarterly Reports on Form 10-Q, and other filings with the Securities
and Exchange Commission, and in material incorporated therein,
including, without limitation, information under the captions
“Management’s Discussion and Analysis of Financial Condition and Results
of Operations” and “Risk Factors”. In light of the significant risks and
uncertainties inherent in the forward-looking information included
herein that may cause actual performance and results to differ
materially from those predicted, any such forward-looking information
should not be regarded as representations or guarantees by the Company
of future performance or results, or that its objectives or plans will
be achieved or that any of its operating expectations or financial
forecasts will be realized. Reported results should not be considered an
indication of future performance. Investors are cautioned not to place
undue reliance on any forward-looking information contained herein,
which reflect management’s analysis only as of the date hereof. Except
as required by law, the Company assumes no obligation to publicly
release the results of any update or revision to any forward-looking
statements that may be made to reflect new information, events or
circumstances after the date hereof or to reflect the occurrence of
unanticipated or future events, or otherwise.
About Semtech
Semtech Corporation is a leading supplier of analog and mixed-signal
semiconductors for high-end consumer, enterprise computing,
communications and industrial equipment. Products are designed to
benefit the engineering community as well as the global community. The
Company is dedicated to reducing the impact it, and its products, have
on the environment. Internal green programs seek to reduce waste through
material and manufacturing control, use of green technology and
designing for resource reduction. Publicly traded since 1967, Semtech is
listed on the NASDAQ Global Select Market under the symbol SMTC. For
more information, visit http://www.semtech.com.
=======================================================================
Semtech, and the Semtech logo are registered marks
of Semtech Corporation or its subsidiaries.
|
SEMTECH CORPORATION
|
CONSOLIDATED STATEMENT OF OPERATIONS
|
(Table in thousands - except per share amount)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
|
|
|
Twelve Months Ended
|
|
|
|
January 31,
|
|
October 25,
|
|
January 25,
|
|
|
January 31,
|
|
January 25,
|
|
|
|
2016
|
|
2015
|
|
2015
|
|
|
2016
|
|
2015
|
|
|
|
Q4 2016
|
|
Q3 2016
|
|
Q4 2015
|
|
|
Q4 2016
|
|
Q4 2015
|
|
|
|
(Unaudited)
|
|
(Unaudited)
|
|
|
|
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net sales
|
|
|
$
|
118,609
|
|
|
$
|
115,810
|
|
|
$
|
130,394
|
|
|
|
$
|
490,219
|
|
|
$
|
557,885
|
|
Cost of sales
|
|
|
|
49,059
|
|
|
|
46,226
|
|
|
|
57,233
|
|
|
|
|
197,109
|
|
|
|
229,093
|
|
Gross profit
|
|
|
|
69,550
|
|
|
|
69,584
|
|
|
|
73,161
|
|
|
|
|
293,110
|
|
|
|
328,792
|
|
Operating costs and expenses:
|
|
|
|
|
|
|
|
|
|
|
|
|
Selling, general and administrative
|
|
|
|
33,769
|
|
|
|
30,747
|
|
|
|
33,590
|
|
|
|
|
136,151
|
|
|
|
128,525
|
|
Product development and engineering
|
|
|
28,965
|
|
|
|
26,855
|
|
|
|
34,984
|
|
|
|
|
113,737
|
|
|
|
119,371
|
|
Intangible amortization and impairments
|
|
|
6,411
|
|
|
|
6,308
|
|
|
|
18,062
|
|
|
|
|
25,059
|
|
|
|
37,354
|
|
Changes in the fair value of contingent earn-out obligations
|
|
|
(2,744
|
)
|
|
|
(14,186
|
)
|
|
|
-
|
|
|
|
|
(16,362
|
)
|
|
|
-
|
|
Restructuring charges
|
|
|
|
-
|
|
|
|
962
|
|
|
|
284
|
|
|
|
|
4,526
|
|
|
|
1,285
|
|
Total operating costs and expenses
|
|
|
66,401
|
|
|
|
50,686
|
|
|
|
86,920
|
|
|
|
|
263,111
|
|
|
|
286,535
|
|
Operating income (loss)
|
|
|
|
3,149
|
|
|
|
18,898
|
|
|
|
(13,759
|
)
|
|
|
|
29,999
|
|
|
|
42,257
|
|
Interest expense
|
|
|
|
(2,121
|
)
|
|
|
(1,964
|
)
|
|
|
(1,490
|
)
|
|
|
|
(7,819
|
)
|
|
|
(5,927
|
)
|
Interest income and other (expense), net
|
|
|
(648
|
)
|
|
|
(777
|
)
|
|
|
572
|
|
|
|
|
(1,801
|
)
|
|
|
165
|
|
Income before taxes
|
|
|
|
380
|
|
|
|
16,157
|
|
|
|
(14,677
|
)
|
|
|
|
20,379
|
|
|
|
36,495
|
|
Provision (benefit) for taxes
|
|
|
|
(868
|
)
|
|
|
5,453
|
|
|
|
764
|
|
|
|
|
8,882
|
|
|
|
8,548
|
|
Net (loss) income
|
|
|
$
|
1,248
|
|
|
$
|
10,704
|
|
|
$
|
(15,441
|
)
|
|
|
$
|
11,497
|
|
|
$
|
27,947
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings per share:
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
|
$
|
0.02
|
|
|
$
|
0.16
|
|
|
$
|
(0.23
|
)
|
|
|
$
|
0.18
|
|
|
$
|
0.42
|
|
Diluted
|
|
|
$
|
0.02
|
|
|
$
|
0.16
|
|
|
$
|
(0.23
|
)
|
|
|
$
|
0.17
|
|
|
$
|
0.41
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average number of shares used in computing earnings per
share:
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
|
|
64,934
|
|
|
|
65,117
|
|
|
|
66,763
|
|
|
|
|
65,657
|
|
|
|
67,108
|
|
Diluted
|
|
|
|
65,225
|
|
|
|
65,217
|
|
|
|
66,763
|
|
|
|
|
65,961
|
|
|
|
67,685
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
SEMTECH CORPORATION
|
CONSOLIDATED BALANCE SHEETS
|
(Table in thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
January 31,
|
|
January 25,
|
|
|
|
|
|
|
|
|
|
|
2016
|
|
2015
|
|
|
|
|
|
|
|
|
|
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
ASSETS
|
|
|
|
|
|
|
|
|
|
|
|
|
Current assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash equivalents
|
|
|
$
|
211,810
|
|
|
$
|
230,328
|
|
|
|
|
|
|
|
|
Accounts receivable, net
|
|
|
|
44,132
|
|
|
|
69,301
|
|
|
|
|
|
|
|
|
Inventories
|
|
|
|
63,875
|
|
|
|
73,668
|
|
|
|
|
|
|
|
|
Deferred tax assets
|
|
|
|
-
|
|
|
|
2,478
|
|
|
|
|
|
|
|
|
Prepaid taxes
|
|
|
|
5,236
|
|
|
|
1,544
|
|
|
|
|
|
|
|
|
Other current assets
|
|
|
|
16,168
|
|
|
|
19,369
|
|
|
|
|
|
|
|
|
Total current assets
|
|
|
|
341,221
|
|
|
|
396,688
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Property, plant and equipment, net
|
|
|
101,006
|
|
|
|
115,471
|
|
|
|
|
|
|
|
|
Deferred income taxes
|
|
|
|
7,354
|
|
|
|
106
|
|
|
|
|
|
|
|
|
Goodwill
|
|
|
|
329,703
|
|
|
|
280,319
|
|
|
|
|
|
|
|
|
Other intangible assets, net
|
|
|
|
88,430
|
|
|
|
101,600
|
|
|
|
|
|
|
|
|
Other assets
|
|
|
|
43,803
|
|
|
|
35,247
|
|
|
|
|
|
|
|
|
Total assets
|
|
|
$
|
911,517
|
|
|
$
|
929,431
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
LIABILITIES AND STOCKHOLDERS' EQUITY
|
|
|
|
|
|
|
|
|
|
|
|
Current liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
Accounts payable
|
|
|
$
|
35,486
|
|
|
$
|
32,448
|
|
|
|
|
|
|
|
|
Accrued liabilities
|
|
|
|
41,204
|
|
|
|
49,754
|
|
|
|
|
|
|
|
|
Deferred revenue
|
|
|
|
8,628
|
|
|
|
5,848
|
|
|
|
|
|
|
|
|
Current portion - long term debt
|
|
|
|
18,569
|
|
|
|
18,547
|
|
|
|
|
|
|
|
|
Deferred tax liabilities
|
|
|
|
-
|
|
|
|
1,444
|
|
|
|
|
|
|
|
|
Total current liabilities
|
|
|
|
103,887
|
|
|
|
108,041
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Deferred tax liabilities - non-current
|
|
|
6,802
|
|
|
|
2,477
|
|
|
|
|
|
|
|
|
Long term debt - less current
|
|
|
|
239,177
|
|
|
|
234,746
|
|
|
|
|
|
|
|
|
Other long-term liabilities
|
|
|
|
33,600
|
|
|
|
32,809
|
|
|
|
|
|
|
|
|
Stockholders’ equity
|
|
|
|
528,051
|
|
|
|
551,358
|
|
|
|
|
|
|
|
|
Total liabilities & stockholders' equity
|
|
$
|
911,517
|
|
|
$
|
929,431
|
|
|
|
|
|
|
|
|
|
SEMTECH CORPORATION
|
CONSOLIDATED CONDENSED STATEMENTS OF CASH FLOWS
|
(Table in thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Twelve Months Ended
|
|
|
|
|
|
|
|
|
|
|
January 31,
|
|
January 25,
|
|
|
|
|
|
|
|
|
|
|
2016
|
|
2015
|
|
|
|
|
|
|
|
|
|
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net (loss) income
|
|
|
|
|
|
|
$
|
11,497
|
|
|
$
|
27,947
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net cash provided by operating activities
|
|
|
|
|
|
|
102,076
|
|
|
|
106,160
|
|
|
|
|
Net cash used in investing activities
|
|
|
|
|
|
|
(66,827
|
)
|
|
|
(41,092
|
)
|
|
|
|
Net cash used in financing activities
|
|
|
|
|
|
|
(53,767
|
)
|
|
|
(77,934
|
)
|
|
|
|
Net increase (decrease) in cash and cash equivalents
|
|
|
|
|
|
|
(18,518
|
)
|
|
|
(12,866
|
)
|
|
|
|
Cash and cash equivalents at beginning of period
|
|
|
|
|
|
|
230,328
|
|
|
|
243,194
|
|
|
|
|
Cash and cash equivalents at end of period
|
|
|
|
|
|
$
|
211,810
|
|
|
$
|
230,328
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
SEMTECH CORPORATION
|
SUPPLEMENTAL INFORMATION - NOTES TO CONSOLIDATED GAAP STATEMENTS
OF INCOME
|
(Tables in thousands - except per share amounts)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
|
|
|
Twelve Months Ended
|
|
|
|
January 31,
|
|
October 25,
|
|
January 25,
|
|
|
January 31,
|
|
January 25,
|
|
|
|
2016
|
|
2015
|
|
2015
|
|
|
2016
|
|
2015
|
Stock-based Compensation Expense
|
|
Q4 2016
|
|
Q3 2016
|
|
Q4 2015
|
|
|
Q4 2016
|
|
Q4 2015
|
|
|
|
(Unaudited)
|
|
(Unaudited)
|
|
|
|
|
(Unaudited)
|
|
|
Cost of sales
|
|
|
$
|
484
|
|
|
$
|
197
|
|
|
$
|
512
|
|
|
|
$
|
1,555
|
|
|
$
|
1,621
|
|
Selling, general and administrative
|
|
|
|
4,048
|
|
|
|
2,933
|
|
|
|
5,255
|
|
|
|
|
10,054
|
|
|
|
17,387
|
|
Product development and engineering
|
|
|
2,538
|
|
|
|
1,987
|
|
|
|
2,806
|
|
|
|
|
8,858
|
|
|
|
10,621
|
|
Total stock-based compensation expense
|
|
$
|
7,070
|
|
|
$
|
5,117
|
|
|
$
|
8,573
|
|
|
|
$
|
20,467
|
|
|
$
|
29,629
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
|
|
|
Twelve Months Ended
|
|
|
|
January 31,
|
|
October 25,
|
|
January 25,
|
|
|
January 31,
|
|
January 25,
|
|
|
|
2016
|
|
2015
|
|
2015
|
|
|
2016
|
|
2015
|
Gross Profit - Reconciliation GAAP to Non-GAAP
|
|
Q4 2016
|
|
Q3 2016
|
|
Q4 2015
|
|
|
Q4 2016
|
|
Q4 2015
|
|
|
|
(Unaudited)
|
|
(Unaudited)
|
|
|
|
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GAAP gross profit
|
|
|
$
|
69,550
|
|
|
$
|
69,584
|
|
|
$
|
73,161
|
|
|
|
$
|
293,110
|
|
|
$
|
328,792
|
|
Adjustments to GAAP gross profit:
|
|
|
|
|
|
|
|
|
|
|
|
Stock-based compensation expense
|
|
|
484
|
|
|
|
197
|
|
|
|
512
|
|
|
|
|
1,555
|
|
|
|
1,621
|
|
Acquisition related fair value adjustments
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
|
265
|
|
|
|
-
|
|
Restructuring charges
|
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
|
-
|
|
|
|
1,056
|
|
Impairment charges
|
|
|
|
-
|
|
|
|
-
|
|
|
|
4,740
|
|
|
|
|
-
|
|
|
|
4,740
|
|
Non-GAAP gross profit
|
|
|
$
|
70,034
|
|
|
$
|
69,781
|
|
|
$
|
78,413
|
|
|
|
$
|
294,930
|
|
|
$
|
336,209
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
|
|
|
Twelve Months Ended
|
|
|
|
January 31,
|
|
October 25,
|
|
January 25,
|
|
|
January 31,
|
|
January 25,
|
|
|
|
2016
|
|
2015
|
|
2015
|
|
|
2016
|
|
2015
|
Net Income - Reconciliation GAAP to Non-GAAP
|
|
Q4 2016
|
|
Q3 2016
|
|
Q4 2015
|
|
|
Q4 2016
|
|
Q4 2015
|
|
|
|
(Unaudited)
|
|
(Unaudited)
|
|
|
|
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GAAP net income
|
|
|
$
|
1,248
|
|
|
$
|
10,704
|
|
|
$
|
(15,441
|
)
|
|
|
$
|
11,497
|
|
|
$
|
27,947
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjustments to GAAP net income:
|
|
|
|
|
|
|
|
|
|
|
|
Stock-based compensation expense
|
|
$
|
7,070
|
|
|
$
|
5,117
|
|
|
$
|
8,573
|
|
|
|
$
|
20,467
|
|
|
$
|
29,629
|
|
Transaction and integration related expenses
|
|
|
1,212
|
|
|
|
883
|
|
|
|
820
|
|
|
|
|
7,740
|
|
|
|
2,245
|
|
Acquisition related earn-out - compensation
|
|
|
819
|
|
|
|
1,164
|
|
|
|
1,758
|
|
|
|
|
4,095
|
|
|
|
830
|
|
Acquisition related earn-out - non-compensation
|
|
|
(2,744
|
)
|
|
|
(14,186
|
)
|
|
|
-
|
|
|
|
|
(16,200
|
)
|
|
|
-
|
|
Intangible amortization and impairments
|
|
|
6,567
|
|
|
|
7,363
|
|
|
|
18,062
|
|
|
|
|
26,270
|
|
|
|
37,354
|
|
Environmental reserve
|
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
|
2,855
|
|
|
|
235
|
|
Restructuring charges
|
|
|
|
-
|
|
|
|
962
|
|
|
|
284
|
|
|
|
|
4,526
|
|
|
|
1,251
|
|
Impairment charges
|
|
|
|
-
|
|
|
|
600
|
|
|
|
11,378
|
|
|
|
|
600
|
|
|
|
12,464
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total before tax adjustment
|
|
|
|
12,924
|
|
|
|
1,903
|
|
|
|
40,875
|
|
|
|
|
50,353
|
|
|
|
84,008
|
|
Associated tax effect
|
|
|
|
(3,372
|
)
|
|
|
(511
|
)
|
|
|
(2,345
|
)
|
|
|
|
(5,449
|
)
|
|
|
(7,981
|
)
|
Total of supplemental information net of taxes
|
|
|
9,552
|
|
|
|
1,392
|
|
|
|
38,530
|
|
|
|
|
44,904
|
|
|
|
76,027
|
|
Non-GAAP net (loss) income
|
|
|
$
|
10,800
|
|
|
$
|
12,096
|
|
|
$
|
23,089
|
|
|
|
$
|
56,401
|
|
|
$
|
103,974
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted GAAP earnings per share
|
|
|
$
|
0.02
|
|
|
$
|
0.16
|
|
|
$
|
(0.23
|
)
|
|
|
$
|
0.17
|
|
|
$
|
0.41
|
|
Adjustments per above
|
|
|
|
0.15
|
|
|
|
0.03
|
|
|
|
0.57
|
|
|
|
|
0.69
|
|
|
|
1.13
|
|
Diluted non-GAAP earnings per share
|
|
$
|
0.17
|
|
|
$
|
0.19
|
|
|
$
|
0.34
|
|
|
|
$
|
0.86
|
|
|
$
|
1.54
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
|
|
|
Twelve Months Ended
|
|
|
|
January 31,
|
|
October 25,
|
|
January 25,
|
|
|
January 31,
|
|
January 25,
|
|
|
|
2016
|
|
2015
|
|
2015
|
|
|
2016
|
|
2015
|
Tax Impact Associated With Supplemental Information
|
|
Q4 2016
|
|
Q3 2016
|
|
Q4 2015
|
|
|
Q4 2016
|
|
Q4 2015
|
|
|
|
(Unaudited)
|
|
(Unaudited)
|
|
|
|
|
(Unaudited)
|
|
|
Adjustments to GAAP net income:
|
|
|
|
|
|
|
|
|
|
|
|
Stock-based compensation expense
|
|
$
|
1,607
|
|
|
$
|
2,669
|
|
|
$
|
2,213
|
|
|
|
$
|
6,366
|
|
|
$
|
5,392
|
|
Transaction and integration related expenses
|
|
|
352
|
|
|
|
(178
|
)
|
|
|
275
|
|
|
|
|
669
|
|
|
|
769
|
|
Acquisition related earn-out - compensation
|
|
|
264
|
|
|
|
499
|
|
|
|
-
|
|
|
|
|
1,005
|
|
|
|
-
|
|
Acquisition related earn-out - non-compensation
|
|
|
(898
|
)
|
|
|
(4,797
|
)
|
|
|
-
|
|
|
|
|
(5,447
|
)
|
|
|
-
|
|
Intangible amortization and impairments
|
|
|
1,751
|
|
|
|
1,748
|
|
|
|
4,253
|
|
|
|
|
6,600
|
|
|
|
9,133
|
|
Restructuring charges
|
|
|
|
-
|
|
|
|
336
|
|
|
|
87
|
|
|
|
|
1,589
|
|
|
|
421
|
|
Valuation allowance
|
|
|
|
296
|
|
|
|
234
|
|
|
|
(7,442
|
)
|
|
|
|
(6,275
|
)
|
|
|
(10,861
|
)
|
Environmental reserve
|
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
|
942
|
|
|
|
84
|
|
Impairment charges
|
|
|
|
-
|
|
|
|
-
|
|
|
|
2,959
|
|
|
|
|
-
|
|
|
|
3,043
|
|
Total of associated tax effect
|
|
|
$
|
3,372
|
|
|
$
|
511
|
|
|
$
|
2,345
|
|
|
|
$
|
5,449
|
|
|
$
|
7,981
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
|
|
|
|
|
|
|
|
|
January 31,
|
|
October 25,
|
|
January 25,
|
|
|
|
|
|
|
|
|
2016
|
|
2015
|
|
2015
|
|
|
|
|
|
|
|
|
Q4 2016
|
|
Q3 2016
|
|
Q4 2015
|
|
|
|
|
|
|
|
|
(Unaudited)
|
|
(Unaudited)
|
|
|
|
|
|
|
|
Free Cash Flow:
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash Flow from Operations
|
|
|
$
|
34,460
|
|
|
$
|
18,870
|
|
|
$
|
11,631
|
|
|
|
|
|
|
Net Capital Expenditure
|
|
|
|
(2,321
|
)
|
|
|
(2,461
|
)
|
|
|
(6,296
|
)
|
|
|
|
|
|
Free Cash Flow:
|
|
|
$
|
32,139
|
|
|
$
|
16,409
|
|
|
$
|
5,335
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Q1FY17 EPS Guidance Range Reconciliation
|
|
|
|
|
|
|
|
|
|
|
|
GAAP to Non-GAAP Reconciliation (net of tax)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Low
|
|
High
|
|
|
|
|
|
|
|
GAAP EPS
|
|
|
$
|
0.09
|
|
|
$
|
0.13
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Stock based compensation expense
|
|
|
0.08
|
|
|
|
0.08
|
|
|
|
|
|
|
|
|
Transaction expense
|
|
|
|
0.01
|
|
|
|
0.01
|
|
|
|
|
|
|
|
|
Amortization of acquired intangibles
|
|
|
0.08
|
|
|
|
0.08
|
|
|
|
|
|
|
|
|
Non-GAAP EPS
|
|
|
$
|
0.26
|
|
|
$
|
0.30
|
|
|
|
|
|
|
|
|
View source version on businesswire.com: http://www.businesswire.com/news/home/20160302006418/en/
Copyright Business Wire 2016