Exhibit 99.1
LSI Logic Reports Q2 Financial Results July 26, 2006 | Page 1 of 4 |
FINAL DRAFT — NOT FOR RELEASE | ||
FOR IMMEDIATE RELEASE | JULY 26, 2006 | |
Investor Relations Contact: | Media Relations Contact: | |
Tom Tran | Mitch Seigle | |
408-433-8105 | 408-954-3225 | |
tom.tran@lsi.com | mitch.seigle@lsi.com |
cc06-50
LSI LOGIC REPORTS STRONG Q2 NET INCOME
Second Quarter 2006 News Release Summary
• | Revenues of $490 million; up 3% sequentially | |
• | GAAP* net income of 13 cents per diluted share | |
• | Non-GAAP** net income of 14 cents per diluted share | |
• | Cash and short-term investments of $1.2 billion |
Third Quarter 2006 Business Outlook
• | Projected revenues of $475 million to $500 million | |
• | GAAP* net income range of 5 — 7 cents per diluted share | |
• | Non-GAAP** net income in the range of 11 — 13 cents per diluted share |
* | Generally Accepted Accounting Principles. | ||
** | Excludes acquisition-related amortization, restructuring and other special items, and stock-based compensation expense. The Company adopted the provisions of SFAS No. 123(R) “Share-Based Payment” on January 1, 2006, using the modified prospective transition method. |
LSI Logic Reports Q2 Financial Results July 26, 2006 | Page 2 of 4 |
DOUBLE-DIGIT YEAR-OVER-YEAR REVENUE GROWTH IN
STORAGE SYSTEMS
STORAGE SYSTEMS
MILPITAS, Calif. —LSI Logic Corporation (NYSE: LSI) today reported second quarter 2006 revenues of $490 million, a 3% increase sequentially compared to the $476 million reported in the first quarter of 2006, and up 2% year-over-year compared to the $481 million reported in the second quarter of 2005.
Second quarter 2006 GAAP* net income was $54 million or 13 cents per diluted share, compared to first quarter 2006 GAAP net income of $13 million or 3 cents per diluted share. Second quarter 2006 GAAP results compare to second quarter 2005 GAAP net income of $25 million or 6 cents per diluted share. Second quarter GAAP net income included $13 million of stock-based compensation expense and a net gain of $10 million from special items, acquisition-related amortization, restructuring and their related tax effect.
Second quarter 2006 non-GAAP** net income was $57 million or 14 cents per diluted share, an increase of 43% compared to first quarter 2006 non-GAAP net income of $40 million or 10 cents per diluted share. Second quarter non-GAAP 2005 net income was $45 million or 11 cents per diluted share.
Cash and short-term investments grew 16% sequentially to $1.2 billion, from $1.03 billion in the first quarter of 2006 and up 54% from the year-ago period.
“All segments of our business grew sequentially during the quarter. Demand for our Engenio 4 Gb/s Fibre Channel systems strengthened, driving our storage systems revenues to near record levels and 17% higher than the year-ago quarter,” said Abhi Talwalkar, LSI Logic president and chief executive officer. “Our communications revenues grew significantly year-over-year, as demand for existing long-lifecycle products increased and several in-process designs ramped to production. We anticipate accelerating demand for our storage products in the second half of 2006 as broad market transitions to 4Gb/s Fibre Channel interfaces and SAS-enabled servers are now well underway.”
“In the second quarter, GAAP net income grew significantly, driven in part by successful completion of the sale of our Gresham, Oregon manufacturing facility and our ZSP digital signal processor unit,” said Bryon Look, LSI Logic chief financial officer. “Our balance sheet also strengthened, with a $169 million increase in cash and short-term investments during the period.”
LSI Logic Reports Q2 Financial Results July 26, 2006 | Page 3 of 4 |
LSI Logic Third Quarter 2006 Business Outlook
GAAP* | Special Items | Non-GAAP** | |||||||||
Revenue | $475 million to $500 million | $475 million to $500 million | |||||||||
Gross Margin | 42 — 43% | Approximately $2 million | 42.5 — 43.5% | ||||||||
Operating Expenses | $175 million to $178 million | Approximately $21 million | $154 million to $157 million | ||||||||
Net Other Income | $2 million | $2 million | |||||||||
Tax Provision | Approximately $7 million | Approximately $7 million | |||||||||
Net Income Per Share | $0.05 to $0.07 | Approximately $.06 | $0.11 to $0.13 | ||||||||
Diluted Share Count | 408 million | 412 million | |||||||||
Capital spending is projected to be around $10 million in the third quarter and approximately $45 million in total for 2006.
Third quarter depreciation and software amortization is expected to be approximately $13 million.
* | Generally Accepted Accounting Principles. | ||
** | Excludes special items defined as acquisition-related amortization, restructuring and other special items, and approximately $14.5 million in stock-based compensation expense. The Company adopted the provisions of SFAS No. 123(R) “Share-Based Payment” on January 1, 2006, using the modified prospective transition method. |
NOTE: The Company’s financial guidance will be limited to the comments made on today’s public conference call and contained in the Third Quarter 2006 Business Outlook section of this news release.
LSI Logic Reports Q2 Financial Results July 26, 2006 | Page 4 of 4 |
LSI Logic Conference Call Information
LSI Logic will hold a conference call today at 2 pm PDT to discuss second quarter financial results and the third quarter 2006 business outlook. The number is 1-303-262-2194. Internet users can access the conference call by visitinghttp://www.lsi.com/investors. A replay of the call will be available today at approximately 5 pm PDT and will be available for 48 hours. The replay access numbers are 1-800-405-2236 within the U.S. and 1-303-590-3000 for all other locations, passcode 11065974#.
LSI Logic will hold a conference call today at 2 pm PDT to discuss second quarter financial results and the third quarter 2006 business outlook. The number is 1-303-262-2194. Internet users can access the conference call by visitinghttp://www.lsi.com/investors. A replay of the call will be available today at approximately 5 pm PDT and will be available for 48 hours. The replay access numbers are 1-800-405-2236 within the U.S. and 1-303-590-3000 for all other locations, passcode 11065974#.
Safe Harbor for Forward Looking Statements:This news release contains forward-looking statements, which include the following: the anticipation of accelerating demand for storage products and technology transitions in the company’s storage markets in the second half of 2006, projected revenues for the third quarter of 2006, projected GAAP net income for the third quarter of 2006, projected non-GAAP net income for the third quarter of 2006, projected capital spending in the third quarter of 2006 and for the year and expected third quarter of 2006 depreciation and software amortization. Forward-looking statements also include projections of gross margins, operating expenses, net other income, tax provisions, net income per share and diluted share count. These forward-looking statements are based on the opinions and estimates of management at the time the statements are made and are subject to certain risks and uncertainties that could cause actual results to differ materially from those anticipated in the forward-looking statements. Factors that could cause LSI Logic’s actual results to differ materially from those set forth in the forward-looking statements include, but are not limited to: fluctuations in the timing and volumes of customer demand; the company’s inability to achieve revenue objectives; the company’s inability to meet financial targets and failure to execute on its financial plan; the company’s inability to generate positive operating cash flow or control operating expenses; the company’s inability to benefit from increasing demand and technology transitions in its storage markets; and the unavailability of appropriate levels of manufacturing capacity. For additional information, readers are referred to the documents filed by LSI Logic with the SEC, and specifically the risk factors set forth in the company’s most recent reports on Form 10-K, 10-Q and 8-K. LSI Logic is not obligated to update these forward-looking statements to reflect events or circumstances after the date of this document.
About LSI Logic
LSI Logic Corporation is a leading provider of silicon-to-system solutions that are used at the core of products that create, store and consume digital information. LSI offers a broad portfolio of capabilities including custom and standard product ICs, host bus and RAID adapters, storage area network solutions and software applications. LSI products enable leading technology companies in the Storage and Consumer markets to deliver some of the most advanced and well-known electronic systems in the market today. More information is available atwww.lsi.com.
LSI Logic Corporation is a leading provider of silicon-to-system solutions that are used at the core of products that create, store and consume digital information. LSI offers a broad portfolio of capabilities including custom and standard product ICs, host bus and RAID adapters, storage area network solutions and software applications. LSI products enable leading technology companies in the Storage and Consumer markets to deliver some of the most advanced and well-known electronic systems in the market today. More information is available atwww.lsi.com.
# # #
Editor’s Notes:
1. | All LSI Logic news releases (financial, acquisitions, manufacturing, products, technology etc.) are issued exclusively by PR Newswire and are immediately thereafter posted on the company’s external website,http://www.lsi.com. | |
2. | The LSI Logic logo design is a registered trademark of LSI Logic Corporation. | |
3. | All other brand or product names may be trademarks or registered trademarks of their respective companies. |
LSI LOGIC CORPORATION
Non-GAAP Consolidated Condensed Statements of Operations
(In thousands, except per share amounts)
(Unaudited)
Non-GAAP Consolidated Condensed Statements of Operations
(In thousands, except per share amounts)
(Unaudited)
Three Months Ended | Six Months Ended | |||||||||||||||||||
July 2, | April 2, | July 3, | July 2, | July 3, | ||||||||||||||||
2006 | 2006 | 2005 | 2006 | 2005 | ||||||||||||||||
Revenues | $ | 489,635 | $ | 475,884 | $ | 481,292 | $ | 965,519 | $ | 931,299 | ||||||||||
Cost of revenues — a) | 277,970 | 269,870 | 269,531 | 547,840 | 529,271 | |||||||||||||||
Gross profit | 211,665 | 206,014 | 211,761 | 417,679 | 402,028 | |||||||||||||||
Research and development —b) | 95,719 | 97,752 | 99,659 | 193,471 | 198,896 | |||||||||||||||
Selling, general and administrative — c) | 58,439 | 63,094 | 59,872 | 121,533 | 118,012 | |||||||||||||||
Non-GAAP income from operations — a), b), c), d), e) | 57,507 | 45,168 | 52,230 | 102,675 | 85,120 | |||||||||||||||
Interest expense | (6,428 | ) | (6,330 | ) | (6,320 | ) | (12,758 | ) | (13,030 | ) | ||||||||||
Interest income and other, net — f), g) | 10,319 | 8,098 | 5,062 | 18,417 | 10,452 | |||||||||||||||
Income before income taxes | 61,398 | 46,936 | 50,972 | 108,334 | 82,542 | |||||||||||||||
Provision for income taxes — h) | 4,647 | 7,270 | 6,250 | 11,917 | 12,500 | |||||||||||||||
Non-GAAP net income | $ | 56,751 | $ | 39,666 | $ | 44,722 | $ | 96,417 | $ | 70,042 | ||||||||||
Non-GAAP income per share: | ||||||||||||||||||||
Basic | $ | 0.14 | $ | 0.10 | $ | 0.11 | $ | 0.24 | $ | 0.18 | ||||||||||
Diluted* | $ | 0.14 | $ | 0.10 | $ | 0.11 | $ | 0.24 | $ | 0.18 | ||||||||||
Shares used in computing per share amounts: | ||||||||||||||||||||
Basic | 397,790 | 394,851 | 389,088 | 396,312 | 388,371 | |||||||||||||||
Diluted | 435,312 | 405,841 | 393,427 | 407,835 | 391,954 | |||||||||||||||
* | In computing diluted earnings per share for the three month period ended July 2, 2006, net income was increased by $3,500 for interest, net of taxes, on the $350 million convertible notes considered dilutive common stock equivalents. | |
A reconciliation between net income on a GAAP basis and non-GAAP net income including items a)-h) is provided in the following table: |
Reconciliation of GAAP to Non-GAAP net income:
Three Months Ended | Six Months Ended | |||||||||||||||||||
July 2, | April 2, | July 3, | July 2, | July 3, | ||||||||||||||||
2006 | 2006 | 2005 | 2006 | 2005 | ||||||||||||||||
GAAP net income | $ | 53,847 | $ | 13,168 | $ | 25,262 | $ | 67,015 | $ | 29,981 | ||||||||||
Special items: | ||||||||||||||||||||
a) Stock-based compensation expense — Cost of revenues | 2,458 | 1,525 | 164 | 3,983 | 325 | |||||||||||||||
b) Stock-based compensation expense — R&D | 4,643 | 4,522 | 570 | 9,165 | 1,405 | |||||||||||||||
c) Stock-based compensation expense — SG&A | 6,197 | 5,784 | 438 | 11,981 | 897 | |||||||||||||||
d) Amortization of acquisition related intangibles | 10,801 | 11,216 | 17,613 | 22,017 | 35,226 | |||||||||||||||
e) Restructuring of operations and other items, net | (21,648 | ) | 5,650 | 7,156 | (15,998 | ) | 8,689 | |||||||||||||
f) Gain on sale of certain equity securities | — | (1,429 | ) | (2,358 | ) | (1,429 | ) | (2,358 | ) | |||||||||||
g) Gain on repurchase of convertible Subordinated Notes | — | — | (4,123 | ) | — | (4,123 | ) | |||||||||||||
h) Income tax effect | 453 | (770 | ) | — | (317 | ) | — | |||||||||||||
Total special items | 2,904 | 26,498 | 19,460 | 29,402 | 40,061 | |||||||||||||||
Non-GAAP net income | $ | 56,751 | $ | 39,666 | $ | 44,722 | $ | 96,417 | $ | 70,042 | ||||||||||
Reconciliation of shares used in the calculation of GAAP to
Non-GAAP diluted net income per share:
Non-GAAP diluted net income per share:
Three Months Ended | Six Months Ended | |||||||||||||||||||
July 2, | April 2, | July 3, | July 2, | July 3, | ||||||||||||||||
2006 | 2006 | 2005 | 2006 | 2005 | ||||||||||||||||
Diluted shares used in per-share calculation — GAAP | 405,613 | 402,189 | 393,427 | 404,213 | 391,954 | |||||||||||||||
Effect of SFAS (R) | 3,619 | 3,652 | — | 3,622 | — | |||||||||||||||
Effect of $350 million convertible notes considered dilutive* | 26,080 | — | — | — | — | |||||||||||||||
Diluted shares used in per-share calculation — Non-GAAP | 435,312 | 405,841 | 393,427 | 407,835 | 391,954 | |||||||||||||||
LSI LOGIC CORPORATION
Consolidated Condensed Statements of Operations (GAAP)
(In thousands, except per share amounts)
(Unaudited)
Consolidated Condensed Statements of Operations (GAAP)
(In thousands, except per share amounts)
(Unaudited)
Three Months Ended | Six Months Ended | |||||||||||||||||||
July 2, | April 2, | July 3, | July 2, | July 3, | ||||||||||||||||
2006 | 2006 | 2005 | 2006 | 2005 | ||||||||||||||||
Revenues | $ | 489,635 | $ | 475,884 | $ | 481,292 | $ | 965,519 | $ | 931,299 | ||||||||||
Cost of revenues | 277,970 | 269,870 | 269,531 | 547,840 | 529,271 | |||||||||||||||
Stock-based compensation expense* | 2,458 | 1,525 | 164 | 3,983 | 325 | |||||||||||||||
Total cost of revenues | 280,428 | 271,395 | 269,695 | 551,823 | 529,596 | |||||||||||||||
Gross profit | 209,207 | 204,489 | 211,597 | 413,696 | 401,703 | |||||||||||||||
Research and development | 95,719 | 97,752 | 99,659 | 193,471 | 198,896 | |||||||||||||||
Stock-based compensation expense* | 4,643 | 4,522 | 570 | 9,165 | 1,405 | |||||||||||||||
Total research and development | 100,362 | 102,274 | 100,229 | 202,636 | 200,301 | |||||||||||||||
Selling, general and administrative | 58,439 | 63,094 | 59,872 | 121,533 | 118,012 | |||||||||||||||
Stock-based compensation expense* | 6,197 | 5,784 | 438 | 11,981 | 897 | |||||||||||||||
Total selling, general and administrative | 64,636 | 68,878 | 60,310 | 133,514 | 118,909 | |||||||||||||||
Restructuring of operations and other items, net | (21,648 | ) | 5,650 | 7,156 | (15,998 | ) | 8,689 | |||||||||||||
Amortization of acquisition related intangibles | 10,801 | 11,216 | 17,613 | 22,017 | 35,226 | |||||||||||||||
Income from operations | 55,056 | 16,471 | 26,289 | 71,527 | 38,578 | |||||||||||||||
Interest expense | (6,428 | ) | (6,330 | ) | (6,320 | ) | (12,758 | ) | (13,030 | ) | ||||||||||
Interest income and other, net | 10,319 | 9,527 | 11,543 | 19,846 | 16,933 | |||||||||||||||
Income before income taxes | 58,947 | 19,668 | 31,512 | 78,615 | 42,481 | |||||||||||||||
Provision for income taxes | 5,100 | 6,500 | 6,250 | 11,600 | 12,500 | |||||||||||||||
Net income | $ | 53,847 | $ | 13,168 | $ | 25,262 | $ | 67,015 | $ | 29,981 | ||||||||||
Income per share: | ||||||||||||||||||||
Basic | $ | 0.14 | $ | 0.03 | $ | 0.06 | $ | 0.17 | $ | 0.08 | ||||||||||
Diluted | $ | 0.13 | $ | 0.03 | $ | 0.06 | $ | 0.17 | $ | 0.08 | ||||||||||
Shares used in computing per share amounts: | ||||||||||||||||||||
Basic | 397,790 | 394,851 | 389,088 | 396,312 | 388,371 | |||||||||||||||
Diluted | 405,613 | 402,189 | 393,427 | 404,213 | 391,954 | |||||||||||||||
* | The Company adopted the provisions of SFAS No. 123(R) “Share-Based Payment” on January 1, 2006, using the modified prospective transition method. |
LSI LOGIC CORPORATION
Consolidated Condensed Balance Sheets
(In millions)
(Unaudited)
Consolidated Condensed Balance Sheets
(In millions)
(Unaudited)
July 2, | April 2, | December 31, | ||||||||||
2006 | 2006 | 2005 | ||||||||||
Assets | ||||||||||||
Current assets: | ||||||||||||
Cash and short-term investments | $ | 1,200.6 | $ | 1,031.6 | $ | 938.9 | ||||||
Accounts receivable, net | 310.8 | 266.4 | 323.3 | |||||||||
Inventories | 173.8 | 186.1 | 194.8 | |||||||||
Prepaid expenses and other current assets | 85.6 | 159.8 | 163.1 | |||||||||
Total current assets | 1,770.8 | 1,643.9 | 1,620.1 | |||||||||
Property and equipment, net | 94.1 | 94.3 | 98.3 | |||||||||
Goodwill and other intangibles | 949.1 | 963.3 | 974.5 | |||||||||
Other assets | 108.0 | 107.9 | 103.2 | |||||||||
Total assets | $ | 2,922.0 | $ | 2,809.4 | $ | 2,796.1 | ||||||
Liabilities and Stockholders’ Equity | ||||||||||||
Current liabilities: | ||||||||||||
Other current liabilities | $ | 482.9 | $ | 451.0 | $ | 468.9 | ||||||
Current portion of long-term debt | 272.6 | 273.2 | 273.9 | |||||||||
Total current liabilities | 755.5 | 724.2 | 742.8 | |||||||||
Long-term debt | 350.0 | 350.0 | 350.0 | |||||||||
Tax related liabilities and other | 73.5 | 74.4 | 75.1 | |||||||||
Total liabilities | 1,179.0 | 1,148.6 | 1,167.9 | |||||||||
Minority interest in subsidiary | 0.2 | 0.2 | 0.2 | |||||||||
Stockholders’ equity: | ||||||||||||
Common stock and additional paid-in capital | 3,055.4 | 3,022.8 | 3,000.0 | |||||||||
Accumulated deficit | (1,322.9 | ) | (1,376.7 | ) | (1,389.9 | ) | ||||||
Accumulated other comprehensive income | 10.3 | 14.5 | 17.9 | |||||||||
Total stockholders’ equity | 1,742.8 | 1,660.6 | 1,628.0 | |||||||||
Total liabilities and stockholders’ equity | $ | 2,922.0 | $ | 2,809.4 | $ | 2,796.1 | ||||||
LSI LOGIC CORPORATION
Statement of Cash Flows
(In thousands, except where noted)
(Unaudited)
Statement of Cash Flows
(In thousands, except where noted)
(Unaudited)
Three Months Ended | Six Months Ended | |||||||||||||||||||
July 2, | April 2, | July 3, | July 2, | July 3, | ||||||||||||||||
2006 | 2006 | 2005 | 2006 | 2005 | ||||||||||||||||
Operating Activities: | ||||||||||||||||||||
Net income | $ | 53,847 | $ | 13,168 | $ | 25,262 | $ | 67,015 | $ | 29,981 | ||||||||||
Adjustments: | ||||||||||||||||||||
Depreciation & amortization * | 22,831 | 25,335 | 41,528 | 48,166 | 82,293 | |||||||||||||||
Stock-based compensation expense | 13,298 | 11,831 | 1,172 | 25,129 | 2,627 | |||||||||||||||
Non-cash restructuring and other items | 209 | (2,958 | ) | 501 | (2,749 | ) | 1,350 | |||||||||||||
Gain on sale of intellectual property | (15,000 | ) | — | — | (15,000 | ) | — | |||||||||||||
Gain on sale of Gresham manufacturing facility and associated intellectual property | (12,553 | ) | — | — | (12,553 | ) | — | |||||||||||||
Write-off of intangible assets acquired in a purchase business combination | 3,325 | 3,325 | ||||||||||||||||||
Non-cash foreign exchange loss/(gain) | 1,057 | (588 | ) | — | 469 | — | ||||||||||||||
Loss/(gain) on sale of equity securities | 218 | (1,429 | ) | (2,311 | ) | (1,211 | ) | (2,311 | ) | |||||||||||
Gain on repurchase of Convertible Subordinated Notes | — | — | (4,123 | ) | — | (4,123 | ) | |||||||||||||
(Gain)/Loss on sales of property and equipment | (5 | ) | — | 51 | (5 | ) | (3 | ) | ||||||||||||
Changes in deferred tax assets and liabilities | 23 | (3 | ) | 17 | 20 | 54 | ||||||||||||||
Changes in assets and liabilities, net of assets acquired and liabilities assumed in business combinations: | ||||||||||||||||||||
Accounts receivable | (44,366 | ) | 56,889 | (25,429 | ) | 12,523 | (12,853 | ) | ||||||||||||
Inventories | 8,613 | 8,693 | 17,626 | 17,306 | 33,160 | |||||||||||||||
Prepaid expenses and other assets | (15,381 | ) | 9,404 | (3,045 | ) | (5,977 | ) | (8,160 | ) | |||||||||||
Accounts payable | 31,751 | (23,008 | ) | 7,088 | 8,743 | (2,378 | ) | |||||||||||||
Accrued and other liabilities | 1,575 | 2,226 | 1,476 | 3,801 | (493 | ) | ||||||||||||||
Net cash provided by operating activities | 49,442 | 99,560 | 59,813 | 149,002 | 119,144 | |||||||||||||||
Investing activities: | ||||||||||||||||||||
Purchases of debt securities available-for-sale | (216,019 | ) | (166,193 | ) | (150,207 | ) | (382,212 | ) | (262,532 | ) | ||||||||||
Proceeds from maturities and sales of debt securities available-for-sale | 97,747 | 108,166 | 180,870 | 205,913 | 283,183 | |||||||||||||||
Purchases of equity securities | (5,000 | ) | (150 | ) | — | (5,150 | ) | — | ||||||||||||
Proceeds from sales of equity securities | 2,026 | 1,555 | 3,871 | 3,581 | 3,871 | |||||||||||||||
Purchases of property, equipment and software | (12,679 | ) | (15,978 | ) | (10,987 | ) | (28,657 | ) | (19,420 | ) | ||||||||||
Proceeds from sale of property and equipment | 40 | — | 1,804 | 40 | 3,215 | |||||||||||||||
Proceeds from sale of intellectual property | 15,000 | — | — | 15,000 | — | |||||||||||||||
Proceeds from sale of Fort Collins facility | 10,998 | — | — | 10,998 | — | |||||||||||||||
Proceeds from sale of Colorado Springs facility | 7,029 | — | — | 7,029 | — | |||||||||||||||
Proceeds from sale of Gresham manufacturing facility | 81,426 | — | — | 81,426 | — | |||||||||||||||
Proceeds from sale of Gresham manufacturing facility associated intellectual property | 5,100 | — | — | 5,100 | — | |||||||||||||||
Adjustment to goodwill acquired in a prior year for resolution of a pre-acquisition income tax contingency | — | 1,870 | — | 7,662 | ||||||||||||||||
Net cash (used in)/provided by investing activities | (14,332 | ) | (72,600 | ) | 27,221 | (86,932 | ) | 15,979 | ||||||||||||
Financing activities: | ||||||||||||||||||||
Issuance of common stock | 20,149 | 11,988 | 11,472 | 32,137 | 12,826 | |||||||||||||||
Repurchase of Convertible Subordinated Notes | — | — | (148,126 | ) | — | (148,126 | ) | |||||||||||||
Repayment of debt obligations | — | — | (32 | ) | — | (129 | ) | |||||||||||||
Net cash provided by/(used in) financing activities | 20,149 | 11,988 | (136,686 | ) | 32,137 | (135,429 | ) | |||||||||||||
Effect of exchange rate changes on cash and cash equivalents | 365 | 233 | (3,626 | ) | 598 | (6,961 | ) | |||||||||||||
Increase/ (decrease) in cash and cash equivalents | 55,624 | 39,181 | (53,278 | ) | 94,805 | (7,267 | ) | |||||||||||||
Cash and cash equivalents at beginning of period | 303,830 | 264,649 | 264,734 | 264,649 | 218,723 | |||||||||||||||
Cash and cash equivalents at end of period | $ | 359,454 | $ | 303,830 | $ | 211,456 | $ | 359,454 | $ | 211,456 | ||||||||||
* | Depreciation of fixed assets, amortization of intangible assets, software, capitalized intellectual property, debt issuance costs and deferred gains on cancelled interest rate swaps. |
LSI LOGIC CORPORATION
Selected Financial Information (GAAP)
(In millions, except where noted)
(Unaudited)
Selected Financial Information (GAAP)
(In millions, except where noted)
(Unaudited)
Three Months Ended | ||||||||||||
July 2, | April 2, | July 3, | ||||||||||
2006 | 2006 | 2005 | ||||||||||
Semiconductor revenues ( a ) | $ | 307.4 | $ | 298.4 | $ | 325.2 | ||||||
Storage Systems revenues ( a ) | $ | 182.2 | $ | 177.5 | $ | 156.1 | ||||||
Total revenues | $ | 489.6 | $ | 475.9 | $ | 481.3 | ||||||
Percentage change in revenues-qtr./qtr. ( b ) | 2.9 | % | -6.0 | % | 7.0 | % | ||||||
Percentage change in revenues-yr./yr. ( c ) | 1.7 | % | 5.8 | % | 7.5 | % | ||||||
Days sales outstanding | 57 | 50 | 53 | |||||||||
Days of inventory | 56 | 62 | 62 | |||||||||
Current ratio | 2.3 | 2.3 | 3.3 | |||||||||
Quick ratio | 2.0 | 1.8 | 2.7 | |||||||||
Gross margin as a percentage of revenues | 42.7 | % | 43.0 | % | 44.0 | % | ||||||
R&D as a percentage of revenues | 20.5 | % | 21.5 | % | 20.8 | % | ||||||
SG&A as a percentage of revenues | 13.2 | % | 14.5 | % | 12.5 | % | ||||||
Employees ( d ) | 3,867 | 4,321 | 4,342 | |||||||||
Revenues per employee (in thousands) ( e ) | $ | 506.5 | $ | 440.5 | $ | 443.4 | ||||||
Selected Cash Flow information | ||||||||||||
Purchases of property and equipment ( f ) | $ | 7.6 | $ | 13.8 | $ | 8.2 | ||||||
Depreciation / amortization ( g ) | $ | 10.8 | $ | 12.0 | $ | 22.3 |
( a ) | For the three months ended July 3, 2005, amounts presented have been recast to include RAID Storage Adapter (RSA) revenues into Storage Systems revenues from Semiconductor revenues. | |
( b ) | Represents sequential quarter growth in revenues. | |
( c ) | Represents growth in revenues in the quarter presented as compared to the same quarter of the previous year. | |
( d ) | Actual number of employees at the end of each period presented. | |
( e ) | Revenue per employee is calculated by annualizing revenue for each quarter presented and dividing it by the number of employees. | |
( f ) | Excludes purchases of software. | |
( g ) | Represents depreciation of fixed assets and amortization of software. |