Harmonic (HLIT) 8-K Regulation FD Disclosure

Exhibit 99.1

HARMONIC INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (GAAP)

(Unaudited)

	All periods exclude former Cable Access (HFC) Business *
	Year ended December 31,									Fiscal Quarters of 2012
	2010			2011			2012			Q1			Q2			Q3			Q4
	(In thousands, except per share amounts)
Net revenue	$	367,776		$	490,874		$	476,871		$	116,439		$	122,060		$	120,391		$	117,981
Cost of revenue		190,460			254,058			256,339			65,977			66,979			65,513			57,870
Gross profit		177,316			236,816			220,532			50,462			55,081			54,878			60,111
Operating expenses:
Research and development		74,404			99,314			102,627			26,763			24,856			25,586			25,422
Selling, general and administrative		104,501			127,077			127,117			31,403			31,327			31,132			33,255
Amortization of intangibles		4,912			8,918			8,705			2,179			2,190			2,179			2,157
Total operating expenses		183,817			235,309			238,449			60,345			58,373			58,897			60,834
Income (loss) from operations		(6,501	)		1,507			(17,917	)		(9,883	)		(3,292	)		(4,019	)		(723	)
Interest and other income (expense), net		297			(140	)		222			522			(4	)		(36	)		(260	)
Income (loss) from continuing operations before income taxes		(6,204	)		1,367			(17,695	)		(9,361	)		(3,296	)		(4,055	)		(983	)
Provision for (benefit from) income taxes		5,617			(651	)		(1,506	)		(626	)		579			414			(1,873	)
Income (loss) from continuing operations, net of tax		(11,821	)		2,018			(16,189	)		(8,735	)		(3,875	)		(4,469	)		890
Income (loss) from discontinued operations, net of tax		7,486			6,761			5,252			1,207			3,892			(3,761	)		3,914
Net Income (loss) - GAAP	$	(4,335	)	$	8,779		$	(10,937	)	$	(7,528	)	$	17		$	(8,230	)	$	4,804
Basic net income (loss) per share from:
Continuing operations-GAAP	$	(0.12	)	$	0.02		$	(0.14	)	$	(0.07	)	$	(0.03	)	$	(0.04	)	$	0.01
Discontinued operations-GAAP	$	0.07		$	0.06		$	0.05		$	0.01		$	0.03		$	(0.03	)	$	0.03
Net Income (loss)-GAAP	$	(0.04	)	$	0.08		$	(0.09	)	$	(0.06	)	$	0.00		$	(0.07	)	$	0.04
Diluted net income (loss) per share from:
Continuing operations-GAAP	$	(0.12	)	$	0.02		$	(0.14	)	$	(0.07	)	$	(0.03	)	$	(0.04	)	$	0.01
Discontinued operations-GAAP	$	0.07		$	0.06		$	0.05		$	0.01		$	0.03		$	(0.03	)	$	0.03
Net Income (loss)-GAAP	$	(0.04	)	$	0.08		$	(0.09	)	$	(0.06	)	$	0.00		$	(0.07	)	$	0.04
Weighted average shares:
Basic		101,487			115,175			116,457			117,275			117,056			116,517			115,097
Diluted		101,487			116,427			116,457			117,275			117,056			116,517			115,732

* Harmonic sold its Cable Access (HFC) business to Aurora Networks effective March 5, 2013

HARMONIC INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (NON-GAAP)

(Unaudited)

	All periods exclude former Cable Access (HFC) Business *
	Year ended December 31,							Fiscal Quarters of 2012
	2010		2011			2012		Q1		Q2			Q3			Q4
	(In thousands, except per share amounts)
Net revenue	$	367,776	$	490,874		$	476,871	$	116,439	$	122,060		$	120,391		$	117,981
Cost of revenue		173,377		229,644			233,012		59,864		61,167			59,806			52,175
Gross profit		194,399		261,230			243,859		56,575		60,893			60,585			65,806
Operating expenses:
Research and development		69,599		92,696			96,476		25,108		23,206			24,136			24,026
Selling, general and administrative		85,321		115,870			117,668		29,144		29,158			28,744			30,622
Amortization of intangibles		—		—			—		—		—			—			—
Total operating expenses		154,920		208,566			214,144		54,252		52,364			52,880			54,648
Income from operations		39,479		52,664			29,715		2,323		8,529			7,705			11,158
Interest and other income (expense), net		297		(140	)		222		522		(4	)		(36	)		(260	)
Income from continuing operations before income taxes		39,776		52,524			29,937		2,845		8,525			7,669			10,898
Provision for income taxes		3,029		12,606			7,186		683		2,046			1,841			2,616
Income from continuing operations, net of tax		36,747		39,918			22,751		2,162		6,479			5,828			8,282
Net Income - Non-GAAP	$	36,747	$	39,918		$	22,751	$	2,162	$	6,479		$	5,828		$	8,282
Basic net income per share from:
Net Income - Non-GAAP	$	0.36	$	0.35		$	0.20	$	0.02	$	0.06		$	0.05		$	0.07
Diluted net income per share from:
Net Income - Non-GAAP	$	0.36	$	0.34		$	0.19	$	0.02	$	0.06		$	0.05		$	0.07
Weighted average shares:
Basic		101,487		115,175			116,457		117,275		117,056			116,517			115,097
Diluted		102,512		116,427			117,041		118,134		117,493			116,918			115,732

* Harmonic sold its Cable Access (HFC) business to Aurora Networks effective March 5, 2013

Harmonic Inc.

Revenue Information

(In USD thousands)

All periods exclude former Cable Access (HFC) Business *

	2012 Q1				2012 Q2				2012 Q3				2012 Q4
PRODUCT
Video Processing		52,681	45	%		59,300	48	%		49,899	41	%		57,561	49	%
Production and Playout		20,878	18	%		20,663	17	%		23,786	20	%		24,919	21	%
Cable Edge		25,939	22	%		23,388	19	%		24,196	20	%		13,113	11	%
Services and Support		16,941	15	%		18,709	16	%		22,510	19	%		22,388	19	%
Total		116,439				122,060				120,391				117,981
	2012 Q1				2012 Q2				2012 Q3				2012 Q4
GEOGRAPHY
United States		56,218	48	%		56,583	46	%		50,675	42	%		45,398	38	%
International		60,221	52	%		65,477	54	%		69,716	58	%		72,583	62	%
Total		116,439				122,060				120,391				117,981
	2012 Q1				2012 Q2				2012 Q3				2012 Q4
MARKET
Cable		50,472	43	%		53,659	44	%		51,302	43	%		44,952	38	%
Satellite and Telco		25,859	23	%		27,870	23	%		27,997	23	%		26,159	22	%
Broadcast and Media		40,108	34	%		40,531	33	%		41,092	34	%		46,870	40	%
Total		116,439				122,060				120,391				117,981
	2012 Q1				2012 Q2				2012 Q3				2012 Q4
Top 10 Customers
% of Revenue from top ten customers		44,683	38	%		43,491	36	%		48,316	40	%		33,463	28	%
10% Customer						Comcast	17	%		Comcast	12	%

* Harmonic sold its Cable Access (HFC) business to Aurora Networks effective March 5, 2013

Harmonic Inc.

Financial Highlights & Headcount Information

All periods exclude former Cable Access (HFC) Business *

(In USD millions, except per share amounts)	2012 Q1			2012 Q2			2012 Q3			2012 Q4
Total Net Revenue	$	116.4		$	122.1		$	120.4		$	118.0
Gross Margin % - Non-GAAP		48.6	%		49.9	%		50.3	%		55.8	%
Gross Margin % - GAAP		43.3	%		45.1	%		45.6	%		50.9	%
Operating Expense - Non-GAAP	$	54.3		$	52.4		$	52.9		$	54.6
Operating Margin - Non-GAAP		2.0	%		7.0	%		6.4	%		9.5	%
EPS - Non-GAAP	$	0.02		$	0.06		$	0.05		$	0.07
EPS - GAAP	$	(0.06	)	$	0.00		$	(0.07	)	$	0.04
Bookings	$	132.1		$	128.5		$	111.1		$	110.8
Backlog and Deferred (Periods prior to 2012Q4 include Cable Access)	$	135.7		$	146.0		$	137.7		$	119.5
	2012 Q1			2012 Q2			2012 Q3			2012 Q4
Number of Headcount		1,097			1,080			1,088			1,081

* Harmonic sold its Cable Access (HFC) business to Aurora Networks effective March 5, 2013

Harmonic Inc.

GAAP to Non-GAAP Net Income (Loss) Reconciliation (Unaudited)

All periods exclude former Cable Access (HFC) Business *

(In thousands, except per share amounts)

	Year ended December 31, 2010								Year ended December 31, 2011								Year ended December 31, 2012
	Gross Profit		Operating Expense			Net Income  (Loss) (Continuing Operations)			Gross Profit		Operating Expense			Net Income  (Loss) (Continuing Operations)			Gross Profit		Operating Expense			Net Income  (Loss) (Continuing Operations)
GAAP	$	177,316	$	183,817		$	(11,821	)	$	236,816	$	235,309		$	2,018		$	220,532	$	238,449		$	(16,189	)
Cost of revenue related to stock-based compensation expense		2,034		—			2,034			2,912		—			2,912			2,828		—			2,828
Purchase accounting fair value adjustments related to inventory		2,473		—			2,473			—		—			—			—		—			—
Cost of revenue related to severance costs		63		—			63			—		—			—			—		—			—
Research and development expense related to stock-based compensation expense		—		(4,758	)		4,758			—		(6,618	)		6,618			—		(6,151	)		6,151
Research and development expense related to severance costs		—		(47	)		47			—		—			—			—		—			—
Selling, general and administrative expense related to stock-based compensation expense		—		(8,199	)		8,199			—		(10,798	)		10,798			—		(9,449	)		9,449
Selling, general and administrative expense related to excess facility costs, severance costs and other non-recurring expenses		—		(4,251	)		4,251			—		(409	)		409			—		—			—
Selling, general and administrative expense related to anticipated litigation settlement		—		(863	)		863			—		—			—			—		—			—
Acquisition costs related to Omneon		—		(5,867	)		5,867			—		—			—			—		—			—
Amortization of intangibles		12,513		(4,912	)		17,425			21,502		(8,918	)		30,420			20,499		(8,705	)		29,204
Discrete tax items and adjustments							2,588								(13,257	)							(8,691	)
Non-GAAP	$	194,399	$	154,920		$	36,747		$	261,230	$	208,566		$	39,918		$	243,859	$	214,144		$	22,751
GAAP net income (loss) from continuing operations per share - basic						$	(0.12	)						$	0.02							$	(0.14	)
GAAP net income (loss) from continuing operations per share - diluted						$	(0.12	)						$	0.02							$	(0.14	)
Non-GAAP net income (loss) from continuing operations per share - basic						$	0.36							$	0.35							$	0.20
Non-GAAP net income (loss) from continuing operations per share - diluted						$	0.36							$	0.34							$	0.19
Shares used in per share calculation - basic							101,487								115,175								116,457
Shares used in per share calculation - diluted, GAAP							101,487								116,427								116,457
Shares used in per share calculation - diluted, non-GAAP							102,512								116,427								117,041

* Harmonic sold its Cable Access (HFC) business to Aurora Networks effective March 5, 2013

Harmonic Inc.

GAAP to Non-GAAP Net Income (Loss) Reconciliation (Unaudited)

All periods exclude former Cable Access (HFC) Business *

(In thousands, except per share amounts)

	2012 Q1								2012 Q2
	Gross Profit		Operating Expense			Net Income (Loss) (Continuing Operations)			Gross Profit		Operating Expense			Net Income  (Loss) (Continuing Operations)
GAAP	$	50,462	$	60,345		$	(8,735	)	$	55,081	$	58,373		$	(3,875	)
Cost of revenue related to stock-based compensation expense		753		—			753			764		—			764
Purchase accounting fair value adjustments related to inventory		—		—			—			—		—			—
Cost of revenue related to severance costs		—		—			—			—		—			—
Research and development expense related to stock-based compensation expense		—		(1,655	)		1,655			—		(1,650	)		1,650
Research and development expense related to severance costs		—		—			—			—		—			—
Selling, general and administrative expense related to stock-based compensation expense		—		(2,259	)		2,259			—		(2,169	)		2,169
Selling, general and administrative expense related to excess facility costs, severance costs and other non-recurring expenses		—		—			—			—		—			—
Selling, general and administrative expense related to anticipated litigation settlement		—		—			—			—		—			—
Acquisition costs related to Omneon		—		—			—			—		—			—
Amortization of intangibles		5,360		(2,179	)		7,539			5,048		(2,190	)		7,238
Discrete tax items and adjustments							(1,309	)							(1,467	)
Non-GAAP	$	56,575	$	54,252		$	2,162		$	60,893	$	52,364		$	6,479
GAAP net income (loss) from continuing operations per share - basic						$	(0.07	)						$	(0.03	)
GAAP net income (loss) from continuing operations per share - diluted						$	(0.07	)						$	(0.03	)
Non-GAAP net income (loss) from continuing operations per share - basic						$	0.02							$	0.06
Non-GAAP net income (loss) from continuing operations per share - diluted						$	0.02							$	0.06
Shares used in per share calculation - basic							117,275								117,056
Shares used in per share calculation - diluted, GAAP							117,275								117,056
Shares used in per share calculation - diluted, non-GAAP							118,134								117,493

* Harmonic sold its Cable Access (HFC) business to Aurora Networks effective March 5, 2013

Harmonic Inc.

GAAP to Non-GAAP Net Income (Loss) Reconciliation (Unaudited)

All periods exclude former Cable Access (HFC) Business *

(In thousands, except per share amounts)

	2012 Q3								2012 Q4
	Gross Profit		Operating Expense			Net Income  (Loss) (Continuing Operations)			Gross Profit		Operating Expense			Net Income  (Loss) (Continuing Operations)
GAAP	$	54,878	$	58,897		$	(4,469	)	$	60,111	$	60,834		$	890
Cost of revenue related to stock-based compensation expense		659		—			659			652		—			652
Purchase accounting fair value adjustments related to inventory		—		—			—			—		—			—
Cost of revenue related to severance costs		—		—			—			—		—			—
Research and development expense related to stock-based compensation expense		—		(1,450	)		1,450			—		(1,396	)		1,396
Research and development expense related to severance costs		—		—			—			—		—			—
Selling, general and administrative expense related to stock-based compensation expense		—		(2,388	)		2,388			—		(2,633	)		2,633
Selling, general and administrative expense related to excess facility costs, severance costs and other non-recurring expenses		—		—			—			—		—			—
Selling, general and administrative expense related to anticipated litigation settlement		—		—			—			—		—			—
Acquisition costs related to Omneon		—		—			—			—		—			—
Amortization of intangibles		5,048		(2,179	)		7,227			5,043		(2,157	)		7,200
Discrete tax items and adjustments							(1,427	)							(4,489	)
Non-GAAP	$	60,585	$	52,880		$	5,828		$	65,806	$	54,648		$	8,282
GAAP net income (loss) from continuing operations per share - basic						$	(0.04	)						$	0.01
GAAP net income (loss) from continuing operations per share - diluted						$	(0.04	)						$	0.01
Non-GAAP net income (loss) from continuing operations per share - basic						$	0.05							$	0.07
Non-GAAP net income (loss) from continuing operations per share - diluted						$	0.05							$	0.07
Shares used in per share calculation - basic							116,517								115,097
Shares used in per share calculation - diluted, GAAP							116,517								115,732
Shares used in per share calculation - diluted, non-GAAP							116,918								115,732

* Harmonic sold its Cable Access (HFC) business to Aurora Networks effective March 5, 2013