Exhibit 99.1
FOR IMMEDIATE RELEASE | JULY 25, 2007 | |
Investor Relations Contact: | Media Relations Contact: | |
Sujal Shah | Robert Guenther | |
610-712-5471 | 610-712-1514 | |
sujal.shah@lsi.com | robert.guenther@lsi.com |
cc07-51
LSI REPORTS SECOND QUARTER 2007 RESULTS
First Full Quarter of Combined Operations with Agere Systems Completed
Second Quarter News Release Summary
n | Second quarter 2007 revenues of $670 million | |
n | Second quarter 2007 GAAP* net loss of 50 cents per diluted share | |
n | Second quarter 2007 non-GAAP** net loss of 2 cents per diluted share | |
n | Cash and short-term investments of $1.2 billion |
Third Quarter 2007 Business Outlook
n | Projected revenues of $675 million to $705 million | |
n | GAAP* net loss range of 9 – 15 cents per diluted share | |
n | Non-GAAP** net income in the range of 2 – 5 cents per diluted share |
* | Generally Accepted Accounting Principles. | |
** | Excludes stock-based compensation, amortization of acquisition-related intangibles, restructuring of operations and other items, net, purchase accounting effect on inventory, loss on write-down of equity securities and acquired in-process research and development. It also excludes the income tax effect associated with the above mentioned items. |
SIGNIFICANT PROGRESS ON MERGER INTEGRATION ACHIEVED
MILPITAS, Calif., July 25, 2007 –LSI Corporation (NYSE: LSI) today reported second quarter 2007 revenues of $670 million, compared to $490 million in the second quarter of 2006 and $465 million in the first quarter of 2007. LSI second quarter financial results reflect the integration of the former Agere Systems. The company’s merger transaction with Agere closed on April 2, 2007.
Second quarter 2007 GAAP* net loss was $378 million or 50 cents per diluted share, compared to second quarter 2006 GAAP net income of $54 million or 13 cents per diluted share. Second quarter 2007 GAAP results compare to first quarter 2007 GAAP net income of $30 million or 7 cents per diluted share. Second quarter 2007 GAAP net loss included $22.8 million of stock-based compensation expense, and a net charge of $340.9 million from other special items, principally related to the company’s merger with Agere.
Second quarter 2007 non-GAAP** net loss was $14.2 million or 2 cents per diluted share, compared to second quarter 2006 non-GAAP net income of $57 million or 14 cents per diluted share. First quarter 2007 non-GAAP net income was $44 million or 11 cents per diluted share.
Cash and short-term investments totaled approximately $1.2 billion at quarter end. LSI also announced today that it has completed its $500 million share repurchase program.
“During our first full quarter of combined operations with Agere, we took significant steps to accelerate our merger integration, and signed a definitive agreement to sell our consumer products business to Magnum Semiconductor,” said Abhi Talwalkar, LSI president and chief executive officer. Today, we’re also announcing a global transition to third-party assembly and test contract manufacturing to leverage greater cost efficiencies and provide scalable capacity. As part of this transition, we have agreed to sell our Thailand assembly and test operations to STATS ChipPAC Ltd. for approximately $100 million.
“Customers are responding positively to the new LSI and our business remains fundamentally strong,” added Talwalkar. “We are winning significant new designs with industry-leading customers as a result of the combination of LSI and Agere, and I am confident that we are well positioned to achieve our long-term objectives. We expect revenue to grow sequentially in the second half of 2007, consistent with typical seasonal patterns.”
Bryon Look, LSI Chief financial officer, said, “We are continuing to drive strategic focus and accelerate operational efficiencies. The steps taken during the second quarter and the manufacturing decisions announced today are significant components of positioning the company for profitable growth.”
LSI Third Quarter 2007 Business Outlook
GAAP* | Special Items | Non-GAAP** | ||||
Revenue | $675 million to $705 million | $675 million to $705 million | ||||
Gross Margin | 30 – 34% | $70 to $80 million | 42 – 44% | |||
Operating Expenses | $285 million to $305 million | $30 to $40 million | $255 million to $265 million | |||
Net Other Income | $0 million | $0 million | ||||
Tax | Approximately $5 million | Approximately 20% | ||||
Net (Loss)/Income Per Share | ($0.15) to ($0.09) | ($0.14) to ($0.17) | $0.02 to $0.05 | |||
Diluted Share Count | 725 million | 730 million |
Capital spending is projected to be around $20 million in the third quarter and approximately $80 million in total for 2007.
Third quarter depreciation and software amortization is expected to be approximately $25 million.
LSI Conference Call Information
LSI will hold a conference call today at 2 pm PDT to discuss second quarter financial results and the third quarter 2007 business outlook. The number is 1-877-675-5901 within the U.S. and 1-210-839-8500 for all other locations. Internet users can access the conference call athttp://www.lsi.com/webcast. Subsequent to the conference call, a replay will be available at the same web address or may be accessed by calling 1-866-357-1423 within the U.S. and 1-203-369-0115 for all other locations.
The company has also scheduled an analyst meeting for July 31, 2007 in New York City. For more information, please visithttp://www.lsi.com/investors.
Forward Looking Statements:This news release contains forward-looking statements that are based on the current opinions and estimates of management. These statements 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’s actual results to differ materially from those set forth in the forward-looking statements include, but are not limited to: the challenges and costs of integrating and restructuring our operations and achieving anticipated synergies following our recent acquisition of Agere Systems; a delay in the closing of the sale of our Consumer business to Magnum Semiconductor; our ability to successfully and timely transition our assembly and test operations to third parties; fluctuations in the timing and volumes of customer demand; our reliance on major customers and suppliers; our ability to compete successfully in competitive markets; our ability to keep up with rapid technological change; the unavailability of appropriate levels of manufacturing capacity; and general industry and market conditions. For additional information, see the documents filed by LSI with the SEC, and specifically the risk factors set forth in the company’s most recent reports on Form 10-K and 10-Q. LSI disclaims any intention or obligation to update or revise any forward looking statements, whether as a result of new information, future events or otherwise.
About LSI
LSI Corporation (NYSE: LSI) is a leading provider of innovative silicon, systems and software technologies that enable products which seamlessly bring people, information and digital content together. The company offers a broad portfolio of capabilities and services including custom and standard product ICs, adapters, systems and software that are trusted by the world’s best known brands to power leading solutions in the Storage, Networking and Mobility markets. More information is available at www.lsi.com.
# # #
Editor’s Notes:
1. | All LSI 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 logo design is a trademark of LSI Corporation. | |
3. | All other brand or product names may be trademarks or registered trademarks of their respective companies. |
LSI 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 1, | April 1, | July 2, | July 1, | July 2, | ||||||||||||||||
2007 | 2007 | 2006 | 2007 | 2006 | ||||||||||||||||
Revenues | $ | 669,939 | $ | 465,415 | $ | 489,635 | $ | 1,135,354 | $ | 965,519 | ||||||||||
Cost of revenues | 395,607 | 263,670 | 277,970 | 659,277 | 547,840 | |||||||||||||||
Purchase accounting effect on inventory | 47,904 | — | — | 47,904 | — | |||||||||||||||
Amortization of acquisition related intangibles | 71,310 | 5,285 | 10,801 | 76,595 | 22,017 | |||||||||||||||
Stock-based compensation expense | 3,148 | 1,944 | 2,458 | 5,092 | 3,983 | |||||||||||||||
Total cost of revenues | 517,969 | 270,899 | 291,229 | 788,868 | 573,840 | |||||||||||||||
Gross profit | 151,970 | 194,516 | 198,406 | 346,486 | 391,679 | |||||||||||||||
Research and development | 192,955 | 99,130 | 95,719 | 292,085 | 193,471 | |||||||||||||||
Stock-based compensation expense | 8,978 | 4,717 | 4,643 | 13,695 | 9,165 | |||||||||||||||
Total research and development | 201,933 | 103,847 | 100,362 | 305,780 | 202,636 | |||||||||||||||
Selling, general and administrative | 97,440 | 57,087 | 58,439 | 154,527 | 121,533 | |||||||||||||||
Amortization of acquisition related intangibles | 6,676 | 6,676 | ||||||||||||||||||
Stock-based compensation expense | 10,687 | 4,523 | 6,197 | 15,210 | 11,981 | |||||||||||||||
Total selling, general and administrative | 114,803 | 61,610 | 64,636 | 176,413 | 133,514 | |||||||||||||||
Restructuring of operations and other items, net | 25,920 | (8,080 | ) | (21,648 | ) | 17,840 | (15,998 | ) | ||||||||||||
Acquired in-process research and development | 176,400 | 6,500 | — | 182,900 | — | |||||||||||||||
(Loss)/income from operations | (367,086 | ) | 30,639 | 55,056 | (336,447 | ) | 71,527 | |||||||||||||
Interest expense | (9,049 | ) | (3,890 | ) | (6,428 | ) | (12,939 | ) | (12,758 | ) | ||||||||||
Interest income and other, net | 10,790 | 10,531 | 10,319 | 21,321 | 19,846 | |||||||||||||||
(Loss)/income before income taxes | (365,345 | ) | 37,280 | 58,947 | (328,065 | ) | 78,615 | |||||||||||||
Provision/(benefit) for income taxes | 12,500 | 7,456 | 5,100 | 19,956 | 11,600 | |||||||||||||||
Net (loss)/income | $ | (377,845 | ) | $ | 29,824 | $ | 53,847 | $ | (348,021 | ) | $ | 67,015 | ||||||||
(Loss)/income per share: | ||||||||||||||||||||
Basic | $ | (0.50 | ) | $ | 0.07 | $ | 0.14 | $ | (0.60 | ) | $ | 0.17 | ||||||||
Diluted | $ | (0.50 | ) | $ | 0.07 | $ | 0.13 | $ | (0.60 | ) | $ | 0.17 | ||||||||
Shares used in computing per share amounts: | ||||||||||||||||||||
Basic | 751,114 | 404,230 | 397,790 | 577,672 | 396,312 | |||||||||||||||
Diluted | 751,114 | 409,808 | 405,613 | 577,672 | 404,213 | |||||||||||||||
A reconciliation between net (loss)/income on a GAAP basis to a non-GAAP net (loss)/income are included below.
Three Months Ended | Six Months Ended | |||||||||||||||||||
July 1, | April 1, | July 2, | July 1, | July 2, | ||||||||||||||||
2007 | 2007 | 2006 | 2007 | 2006 | ||||||||||||||||
Reconciliation of GAAP to Non-GAAP net income: | ||||||||||||||||||||
GAAP net (loss)/income | $ | (377,845 | ) | $ | 29,824 | $ | 53,847 | $ | (348,021 | ) | $ | 67,015 | ||||||||
Special items: | ||||||||||||||||||||
a) Stock-based compensation expense — Cost of revenues | 3,148 | 1,944 | 2,458 | 5,092 | 3,983 | |||||||||||||||
b) Stock-based compensation expense — R&D | 8,978 | 4,717 | 4,643 | 13,695 | 9,165 | |||||||||||||||
c) Stock-based compensation expense — SG&A | 10,687 | 4,523 | 6,197 | 15,210 | 11,981 | |||||||||||||||
d) Amortization of acquisition related intangibles — Cost of revenues | 71,310 | 5,285 | 10,801 | 76,595 | 22,017 | |||||||||||||||
e) Amortization of acquisition related intangibles — SG&A | 6,676 | — | — | 6,676 | — | |||||||||||||||
f) Purchase accounting effect on inventory | 47,904 | — | — | 47,904 | — | |||||||||||||||
g) Restructuring of operations and other items, net | 25,920 | (8,080 | ) | (21,648 | ) | 17,840 | (15,998 | ) | ||||||||||||
h) Acquired in-process research and development | 176,400 | 6,500 | — | 182,900 | — | |||||||||||||||
i) Loss/(gain) on sale/write-down of certain equity securities | 2,396 | — | — | 2,396 | (1,429 | ) | ||||||||||||||
j) Income tax effect | 10,264 | (369 | ) | 453 | 9,895 | (317 | ) | |||||||||||||
Total special items | 363,683 | 14,520 | 2,904 | 378,203 | 29,402 | |||||||||||||||
Non-GAAP net (loss)/income | $ | (14,162 | ) | $ | 44,344 | $ | 56,751 | $ | 30,182 | $ | 96,417 | |||||||||
Non-GAAP income per share: | ||||||||||||||||||||
Basic | $ | (0.02 | ) | $ | 0.11 | $ | 0.14 | $ | 0.05 | $ | 0.24 | |||||||||
Diluted* | $ | (0.02 | ) | $ | 0.11 | $ | 0.14 | $ | 0.05 | $ | 0.24 | |||||||||
Shares used in computing Non-GAAP per share amounts: | ||||||||||||||||||||
Basic | 751,114 | 404,230 | 397,790 | 577,672 | 396,312 | |||||||||||||||
Diluted | 751,114 | 409,808 | 431,693 | 587,248 | 404,213 | |||||||||||||||
* | In computing non-GAAP 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. |
Three Months Ended | Six Months Ended | |||||||||||||||||||
July 1, | April 1, | July 2, | July 1, | July 2, | ||||||||||||||||
2007 | 2007 | 2006 | 2007 | 2006 | ||||||||||||||||
Reconciliation of shares used in the calculation of GAAP to Non-GAAP diluted net income per share: | ||||||||||||||||||||
Diluted shares used in per-share calculation — GAAP | 751,114 | 409,808 | 405,613 | 577,672 | 404,213 | |||||||||||||||
Dilutive options, RSUs and ESPPs | — | — | — | 9,576 | — | |||||||||||||||
Effect of $350 million convertible notes considered dilutive | — | — | 26,080 | — | — | |||||||||||||||
Diluted shares used in per-share calculation - Non-GAAP | 751,114 | 409,808 | 431,693 | 587,248 | 404,213 | |||||||||||||||
LSI CORPORATION
Consolidated Condensed Balance Sheets
(In millions)
(Unaudited)
Consolidated Condensed Balance Sheets
(In millions)
(Unaudited)
July 1, | April 1, | July 2, | ||||||||||
2007 | 2007 | 2006 | ||||||||||
Assets | ||||||||||||
Current assets: | ||||||||||||
Cash and short-term investments | $ | 1,158.3 | $ | 1,016.6 | $ | 1,200.6 | ||||||
Accounts receivable, net | 424.4 | 303.4 | 310.8 | |||||||||
Inventories | 285.0 | 229.1 | 173.8 | |||||||||
Prepaid expenses and other current assets | 252.4 | 62.3 | 85.6 | |||||||||
Total current assets | 2,120.1 | 1,611.4 | 1,770.8 | |||||||||
Property and equipment, net | 246.1 | 89.2 | 94.1 | |||||||||
Goodwill and other intangibles | 4,231.8 | 997.8 | 949.1 | |||||||||
Other assets | 227.1 | 103.4 | 108.0 | |||||||||
Total assets | $ | 6,825.1 | $ | 2,801.8 | $ | 2,922.0 | ||||||
Liabilities and Stockholders’ Equity | ||||||||||||
Current liabilities: | ||||||||||||
Other current liabilities | $ | 699.4 | $ | 383.7 | $ | 482.9 | ||||||
Current portion of long-term debt | — | — | 272.6 | |||||||||
Total current liabilities | 699.4 | 383.7 | 755.5 | |||||||||
Long-term debt | 719.5 | 350.0 | 350.0 | |||||||||
Pension, tax and other liabilities | 519.7 | 131.5 | 73.5 | |||||||||
Total liabilities | 1,938.6 | 865.2 | 1,179.0 | |||||||||
Minority interest in subsidiary | 0.2 | 0.2 | 0.2 | |||||||||
Stockholders’ equity: | ||||||||||||
Common stock and additional paid-in capital | 6,453.6 | 3,121.0 | 3,055.4 | |||||||||
Accumulated deficit | (1,575.9 | ) | (1,198.1 | ) | (1,322.9 | ) | ||||||
Accumulated other comprehensive income | 8.6 | 13.5 | 10.3 | |||||||||
Total stockholders’ equity | 4,886.3 | 1,936.4 | 1,742.8 | |||||||||
Total liabilities and stockholders’ equity | $ | 6,825.1 | $ | 2,801.8 | $ | 2,922.0 | ||||||
LSI 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 1, | April 1, | July 2, | July 1, | July 2, | ||||||||||||||||
2007 | 2007 | 2006 | 2007 | 2006 | ||||||||||||||||
Operating Activities: | ||||||||||||||||||||
Net (loss)/income | $ | (377,845 | ) | $ | 29,824 | $ | 53,847 | $ | (348,021 | ) | $ | 67,015 | ||||||||
Adjustments: | ||||||||||||||||||||
Depreciation & amortization * | 101,599 | 18,576 | 22,831 | 120,175 | 48,166 | |||||||||||||||
Stock-based compensation expense | 22,813 | 11,184 | 13,298 | 33,997 | 25,129 | |||||||||||||||
Non-cash restructuring and other items | (29 | ) | 228 | 209 | 199 | (2,749 | ) | |||||||||||||
Acquired in-process research and development | 176,400 | 6,500 | — | 182,900 | — | |||||||||||||||
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 (gain)/loss | (4,277 | ) | 389 | 1,057 | (3,888 | ) | 469 | |||||||||||||
Loss/(gain) on sale/write-down of equity securities | 2,396 | — | 218 | 2,396 | (1,211 | ) | ||||||||||||||
Loss/(gain) on sale of property and equipment | 160 | (9,662 | ) | (5 | ) | (9,502 | ) | (5 | ) | |||||||||||
Changes in deferred tax assets and liabilities | (5,501 | ) | 31 | 23 | (5,470 | ) | 20 | |||||||||||||
Changes in assets and liabilities, net of assets acquired and liabilities assumed in business combinations: | ||||||||||||||||||||
Accounts receivable | 104,715 | 45,450 | (44,366 | ) | 150,165 | 12,523 | ||||||||||||||
Inventories | 64,896 | (19,654 | ) | 8,613 | 45,242 | 17,306 | ||||||||||||||
Prepaid expenses and other assets | 9,299 | 24,565 | (15,381 | ) | 33,864 | (5,977 | ) | |||||||||||||
Accounts payable | (94,585 | ) | (36,469 | ) | 31,751 | (131,054 | ) | 8,743 | ||||||||||||
Accrued and other liabilities | 29,840 | (14,980 | ) | 1,575 | 14,860 | 3,801 | ||||||||||||||
Net cash provided by operating activities | 29,881 | 55,982 | 49,442 | 85,863 | 149,002 | |||||||||||||||
Investing activities: | ||||||||||||||||||||
Purchases of debt securities available-for-sale | (61,606 | ) | (60,630 | ) | (216,019 | ) | (122,236 | ) | (382,212 | ) | ||||||||||
Proceeds from maturities and sales of debt securities available-for-sale | 199,740 | 174,392 | 97,747 | 374,132 | 205,913 | |||||||||||||||
Purchases of convertible notes/equity securities | (3,000 | ) | — | (5,000 | ) | (3,000 | ) | (5,150 | ) | |||||||||||
Proceeds from sale of equity securities | — | — | 2,026 | — | 3,581 | |||||||||||||||
Purchases of property, equipment and software | (20,211 | ) | (20,503 | ) | (12,679 | ) | (40,714 | ) | (28,657 | ) | ||||||||||
Proceeds from sale of property and equipment | 1,274 | 12,511 | 40 | 13,785 | 40 | |||||||||||||||
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 | |||||||||||||||
Acquisitions of companies, net of cash acquired | 517,712 | (52,079 | ) | — | 465,633 | — | ||||||||||||||
Adjustment to goodwill acquired in a prior year for resolution of a pre-acquisition income tax contingency | — | 2,442 | — | 2,442 | — | |||||||||||||||
Net cash provided by/(used in) investing activities | 633,909 | 56,133 | (14,332 | ) | 690,042 | (86,932 | ) | |||||||||||||
Financing activities: | ||||||||||||||||||||
Issuance of common stock | 16,246 | 5,671 | 20,149 | 21,917 | 32,137 | |||||||||||||||
Purchase of common stock under repurchase program | (400,355 | ) | — | — | (400,355 | ) | — | |||||||||||||
Net cash (used in)/provided by financing activities | (384,109 | ) | 5,671 | 20,149 | (378,438 | ) | 32,137 | |||||||||||||
Effect of exchange rate changes on cash and cash equivalents | 268 | (65 | ) | 365 | 203 | 598 | ||||||||||||||
Increase in cash and cash equivalents | 279,949 | 117,721 | 55,624 | 397,670 | 94,805 | |||||||||||||||
Cash and cash equivalents at beginning of period | 445,521 | 327,800 | 303,830 | 327,800 | 264,649 | |||||||||||||||
Cash and cash equivalents at end of period | $ | 725,470 | $ | 445,521 | $ | 359,454 | $ | 725,470 | $ | 359,454 | ||||||||||
* | Depreciation of fixed assets, amortization of intangible assets, software, capitalized intellectual property, debt issuance costs and deferred gains on cancelled interest rate swaps. |
LSI 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 1, | April 1, | July 2, | ||||||||||
2007 | 2007 | 2006 | ||||||||||
Semiconductor revenues | $ | 484.8 | $ | 272.4 | $ | 307.4 | ||||||
Storage Systems revenues | $ | 185.1 | $ | 193.0 | $ | 182.2 | ||||||
Total revenues | $ | 669.9 | $ | 465.4 | $ | 489.6 | ||||||
Percentage change in revenues-qtr./qtr. ( a ) | 43.9 | % | -11.1 | % | 2.9 | % | ||||||
Percentage change in revenues-yr./yr. ( b ) | 36.8 | % | -2.2 | % | 1.7 | % | ||||||
Days sales outstanding | 57 | 59 | 57 | |||||||||
Days of inventory | 50 | 76 | 54 | |||||||||
Current ratio | 3.0 | 4.2 | 2.3 | |||||||||
Quick ratio | 2.3 | 3.4 | 2.0 | |||||||||
Gross margin as a percentage of revenues | 22.7 | % | 41.8 | % | 40.5 | % | ||||||
R&D as a percentage of revenues | 30.1 | % | 22.3 | % | 20.5 | % | ||||||
SG&A as a percentage of revenues | 17.1 | % | 13.2 | % | 13.2 | % | ||||||
Employees ( c ) | 9,138 | 4,082 | 3,867 | |||||||||
Revenues per employee (in thousands) ( d ) | $ | 293.3 | $ | 456.1 | $ | 506.5 | ||||||
Selected Cash Flow information | ||||||||||||
Purchases of property and equipment ( e ) | $ | 8.6 | $ | 14.4 | $ | 7.6 | ||||||
Depreciation / amortization ( f ) | $ | 21.0 | $ | 11.0 | $ | 10.8 |
( a ) | Represents sequential quarter growth/(decrease) in revenues. | |
( b ) | Represents growth/(decrease) in revenues in the quarter presented as compared to the same quarter of the previous year. | |
( c ) | Actual number of employees at the end of each period presented. | |
( d ) | Revenues per employee is calculated by annualizing revenues for each quarter presented and dividing it by the number of employees. | |
( e ) | Excludes purchases of software. | |
( f ) | Represents depreciation of fixed assets and amortization of software. |