Cadence Design Systems, Inc. (NASDAQ: CDNS) today announced results
for the second quarter of fiscal year 2010.
Cadence reported second quarter 2010 revenue of $227 million,
compared to revenue of $210 million reported for the same period in
2009. On a GAAP basis, Cadence recognized net income of $49
million, or $0.19 per share on a diluted basis, including $67
million in acquisition-related income tax benefit, in the second
quarter of 2010, compared to a net loss of $74 million, or $(0.29)
per share on a diluted basis, in the same period in 2009.
Using Cadence's non-GAAP measure, net income in the second
quarter of 2010 was $18 million, or $0.07 per share on a diluted
basis, including the reversal of $10 million in bad debt reserves,
as compared to a net loss of $13 million, or $(0.05) per share on a
diluted basis, in the same period in 2009.
"The Cadence team executed and delivered solid results in the
second quarter," said Lip-Bu Tan, president and chief executive
officer. "The combination of our strong technology portfolio with
the closer collaboration of our sales and R&D teams is yielding
results."
"Business improved for us in all geographies, and the
combination of stronger business performance and a lower expense
base helped improve our top and bottom lines," said Kevin S.
Palatnik, senior vice president and chief financial officer.
In addition to using GAAP results to evaluate Cadence's
business, management believes it is useful to measure results using
a non-GAAP measure of net income or net loss, which excludes, as
applicable, amortization of intangible assets, stock-based
compensation expense, integration and acquisition-related costs,
acquisition-related income tax benefits, shareholder litigation
costs, gains or losses and expenses or credits related to
non-qualified deferred compensation plan assets, restructuring
charges and credits, amortization of discount on convertible notes,
losses on extinguishment of debt, equity in losses or income from
investments, write-down of investments, and gains or losses on the
sale of investments. Non-GAAP net income or net loss is adjusted by
the amount of additional taxes or tax benefit that the company
would accrue if it used non-GAAP results instead of GAAP results to
calculate the company's tax liability. See "GAAP to non-GAAP
Reconciliation" below for further information on the non-GAAP
measure.
The following statements are based on current expectations.
These statements are forward-looking, and actual results may differ
materially.
Business Outlook
For the third quarter of 2010, the company expects total revenue
in the range of $225 million to $235 million. Third quarter GAAP
net loss per diluted share is expected to be in the range of
$(0.08) to $(0.06). Net income per diluted share using the non-GAAP
measure defined below is expected to be in the range of $0.01 to
$0.03.
For the full year 2010, the company expects total revenue in the
range of $900 million to $925 million. On a GAAP basis, net loss /
net income per diluted share for fiscal 2010 is expected to be in
the range of $(0.01) to $0.03. Using the non-GAAP measure defined
below, net income per diluted share for fiscal 2010 is expected to
be in the range of $0.12 to $0.16.
A schedule showing a reconciliation of the business outlook from
GAAP net loss / net income and diluted net loss / net income per
share to non-GAAP net income and diluted net income per share is
included with this release.
Audio Webcast Scheduled
Lip-Bu Tan, Cadence's president and chief executive officer, and
Kevin S. Palatnik, Cadence's senior vice president and chief
financial officer, will host a second quarter of fiscal year 2010
financial results audio webcast today, July 28, 2010, at 2 p.m.
(Pacific) / 5 p.m. (Eastern). Attendees are asked to register at
the Web site at least 10 minutes prior to the scheduled webcast. An
archive of the webcast will be available starting July 28, 2010 at
5 p.m. (Pacific) and ending August 11, 2010 at 5 p.m. (Pacific).
Webcast access is available at
www.cadence.com/company/investor_relations.
About Cadence
Cadence enables global electronic-design innovation and plays an
essential role in the creation of today's integrated circuits and
electronics. Customers use Cadence® software and hardware,
methodologies, and services to design and verify advanced
semiconductors, consumer electronics, networking and
telecommunications equipment, and computer systems. Cadence is
headquartered in San Jose, Calif., with sales offices, design
centers, and research facilities around the world to serve the
global electronics industry. More information about Cadence and its
products and services is available at www.cadence.com.
Cadence and the Cadence logo are registered trademarks of
Cadence Design Systems, Inc. All other trademarks are the property
of their respective owners.
The statements contained above regarding Cadence's second
quarter 2010 results, as well as the information in the Business
Outlook section and the statements by Lip-Bu Tan and Kevin S.
Palatnik, include forward-looking statements based on current
expectations or beliefs, as well as a number of preliminary
assumptions about future events that are subject to factors and
uncertainties that could cause actual results to differ materially
from those described in the forward-looking statements. Readers are
cautioned not to put undue reliance on these forward-looking
statements, which are not a guarantee of future performance and are
subject to a number of risks, uncertainties and other factors, many
of which are outside Cadence's control, including, among others:
(i) Cadence's ability to compete successfully in the electronic
design automation product and the commercial electronic design and
methodology services industries; (ii) Cadence's ability to
successfully complete and realize the expected benefits of the
previously disclosed restructurings without significant unexpected
costs or delays, and the success of Cadence's other efforts to
improve operational efficiency and growth; (iii) the mix of
products and services sold and the timing of significant orders for
Cadence's products, and its shift to a ratable license structure,
which may result in changes in the mix of license types; (iv)
change in customer demands, including the possibility that the
previously disclosed restructurings and other efforts to improve
operational efficiency could result in delays in customers'
purchases of products and services; (v) economic and industry
conditions in regions in which Cadence does business; (vi)
fluctuations in rates of exchange between the U.S. dollar and the
currencies of other countries in which Cadence does business; (vii)
capital expenditure requirements, legislative or regulatory
requirements, interest rates and Cadence's ability to access
capital and debt markets; (viii) the acquisition of other companies
or technologies or the failure to successfully integrate and
operate these companies or technologies Cadence acquires; (ix) the
effects of the previously disclosed restructurings and other
efforts to improve operational efficiency on Cadence's business,
including its strategic and customer relationships, ability to
retain key employees and stock prices; (x) events that affect the
reserves Cadence may take from time to time with respect to
accounts receivable, taxes, litigation or other matters; and (xi)
the effects of any litigation or other proceedings to which Cadence
is or may become a party.
For a detailed discussion of these and other cautionary
statements related to our business, please refer to Cadence's
filings with the Securities and Exchange Commission. These include
Cadence's Annual Report on Form 10-K for the year ended January 2,
2010, and Cadence's future filings.
GAAP to non-GAAP Reconciliation
Cadence management evaluates and makes operating decisions using
various operating measures. These measures are generally based on
the revenues of its product, maintenance and services business
operations and certain costs of those operations, such as cost of
revenues, research and development, sales and marketing and general
and administrative expenses. One such measure is non-GAAP net
income or net loss, which is a non-GAAP financial measure under
Section 101 of Regulation G under the Securities Exchange Act of
1934, as amended, and is GAAP net income or net loss excluding, as
applicable, amortization of intangible assets, stock-based
compensation expense, integration and acquisition-related costs,
acquisition-related income tax benefits, shareholder litigation
costs, gains or losses and expenses or credits related to
non-qualified deferred compensation plan assets, restructuring
charges and credits, amortization of discount on convertible notes,
losses on extinguishment of debt, equity in losses or income from
investments, write-down of investments and gains or losses on the
sale of investments. Intangible assets consist primarily of
purchased or licensed technology, backlog, patents, trademarks,
distribution rights, customer contracts and related relationships
and non-compete agreements. Non-GAAP net income or net loss is
adjusted by the amount of additional taxes or tax benefit that the
company would accrue if it used non-GAAP results instead of GAAP
results to calculate the company's tax liability.
Cadence's management believes it is useful in measuring
Cadence's operations to exclude amortization of intangible assets
and integration and acquisition-related costs because these costs
are primarily fixed at the time of an acquisition and generally
cannot be changed by Cadence's management in the short term. In
addition, Cadence's management believes it is useful to exclude
stock-based compensation expense because such exclusion enhances
investors' ability to review Cadence's business from the same
perspective as Cadence's management, which believes that
stock-based compensation expense is based on many subjective inputs
at a point in time and many of these inputs are not necessarily
directly attributable to the underlying performance of Cadence's
business operations. Cadence's management also believes it is
useful to exclude costs related to shareholder litigation because
these costs are not related to Cadence's core business operations.
Cadence's management also believes that it is useful to exclude
restructuring charges and credits. During fiscal 2009, Cadence
commenced a restructuring program that it expects to complete
during the first fiscal quarter of 2011. Cadence's management
believes that in measuring the company's operations, it is useful
to exclude any such restructuring charges and credits because
exclusion of such charges and credits permits consistent
evaluations of Cadence's performance before and after such actions
are taken. Cadence's management believes it is useful to exclude
gains or losses and expenses or credits related to the
non-qualified deferred compensation plan assets because these gains
or losses and expenses or credits are not part of Cadence's direct
costs of operations, but reflect changes in the value of assets
held in the non-qualified deferred compensation plan. Cadence's
management also believes it is useful to exclude the amortization
of the discount on convertible notes because this incremental cost
recorded as interest expense does not represent a cash obligation
of the company and is not part of Cadence's direct cost of
operations. Finally, Cadence's management believes it is useful to
exclude the equity in losses or income from investments, write-down
of investments and gains or losses on the sale of investments
because these items are not part of Cadence's direct cost of
operations. Rather, these are non-operating items that are included
in other income or expense and are part of the company's investment
activities.
During the second quarter of fiscal 2010, Cadence's non-GAAP net
income also excluded losses associated with its repurchase of a
portion of its 1.375% Convertible Senior Notes Due December 15,
2011 and a portion of its 1.500% Convertible Senior Notes Due
December 15, 2013. Cadence's management believes it is useful to
exclude the losses on the extinguishment of debt as the losses are
not directly related to Cadence's core business operations and
similar transactions are not expected to occur frequently.
During the second quarter of fiscal 2010, Cadence's non-GAAP net
income also excluded the impact of an income tax benefit associated
with Cadence's acquisition of Denali Software, Inc. Cadence's
management believes it is useful to exclude the tax benefit
associated with this acquisition because Cadence does not expect an
acquisition-related income tax benefit of the magnitude recorded in
the second quarter of 2010 to be recorded frequently.
During the fourth quarter of fiscal 2009, Cadence's non-GAAP net
loss also excluded the impact of an income tax benefit associated
with the temporary increase in the net operating loss carryback
period for operating losses Cadence incurred in the United States.
Cadence's management believes it is useful to exclude the tax
benefit associated with this change in the United States tax law
because the extended net operating loss carryback period is only
applicable for operating losses incurred during either fiscal 2008
or fiscal 2009.
Cadence's management believes that non-GAAP net income or net
loss provides useful supplemental information to Cadence's
management and investors regarding the performance of the company's
business operations and facilitates comparisons to the company's
historical operating results. Cadence's management also uses this
information internally for forecasting and budgeting. Non-GAAP
financial measures should not be considered as a substitute for or
superior to measures of financial performance prepared in
accordance with GAAP. Investors and potential investors are
encouraged to review the reconciliation of non-GAAP financial
measures contained within this press release with their most
directly comparable GAAP financial results.
The following tables reconcile the specific items excluded from
GAAP net income or net loss and GAAP net income or net loss per
diluted share in the calculation of non-GAAP net income or net loss
and non-GAAP net income or net loss per diluted share for the
periods shown below:
Net Income (Loss) Reconciliation Three Months Ended
--------------------
July 3, July 4,
2010 2009
--------- ---------
(unaudited)
(in thousands)
Net income (loss) on a GAAP basis $ 49,369 $ (74,357)
Amortization of acquired intangibles 3,142 4,820
Stock-based compensation expense 10,435 16,507
Non-qualified deferred compensation expenses
(credits) 1,192 (1,523)
Restructuring and other charges (credits) (317) 18,528
Shareholder litigation costs 2,862 -
Integration and acquisition-related costs 1,707 180
Amortization of debt discount 5,248 4,770
Other income or expense related to investments and
non-qualified deferred compensation plan assets* 202 2,321
Loss on extinguishment of debt 5,321 -
Acquisition-related income tax benefit (66,707) -
Income tax effect of non-GAAP adjustments 5,825 15,453
--------- ---------
Net income (loss) on a non-GAAP basis $ 18,279 $ (13,301)
========= =========
* Includes, as applicable, equity in losses or income from investments,
write-down of investments, gains or losses on sale of investments and
gains or losses on non-qualified deferred compensation plan assets
recorded in Other income (expense), net.
Diluted Net Income (Loss) per Share Reconciliation Three Months Ended
--------------------
July 3, July 4,
2010 2009
--------- ---------
(unaudited)
(in thousands, except per share data)
Diluted net income (loss) per share on a GAAP basis $ 0.19 $ (0.29)
Amortization of acquired intangibles 0.01 0.02
Stock-based compensation expense 0.04 0.06
Non-qualified deferred compensation expenses
(credits) - -
Restructuring and other charges (credits) - 0.07
Shareholder litigation costs 0.01 -
Integration and acquisition-related costs 0.01 -
Amortization of debt discount 0.02 0.02
Other income or expense related to investments and
non-qualified deferred compensation plan assets* - 0.01
Loss on extinguishment of debt 0.02 -
Acquisition-related income tax benefit (0.25) -
Income tax effect of non-GAAP adjustments 0.02 0.06
--------- ---------
Diluted net income (loss) per share on a non-GAAP
basis $ 0.07 $ (0.05)
========= =========
Shares used in calculation of diluted net income
(loss) per share --GAAP** 266,423 256,883
Shares used in calculation of diluted net income
(loss) per share --non-GAAP** 266,423 256,883
* Includes, as applicable, equity in losses or income from investments,
write-down of investments, gains or losses on sale of investments and
gains or losses on non-qualified deferred compensation plan assets
recorded in Other income (expense), net.
** Shares used in the calculation of GAAP net income (loss) per share are
expected to be the same as shares used in the calculation of non-GAAP
net income (loss) per share, except when the company reports a GAAP net
loss and non-GAAP net income, or GAAP net income and a non-GAAP net
loss.
Investors are encouraged to look at the GAAP results as the best
measure of financial performance. For example, amortization of
intangibles is important to consider because it may represent an
initial expenditure that under GAAP is reported across future
fiscal periods. Likewise, stock-based compensation expense is an
obligation of the company that should be considered. Restructuring
charges can be triggered by acquisitions or product adjustments, as
well as overall company performance within a given business
environment. All of these metrics are important to financial
performance generally.
Although Cadence's management finds the non-GAAP measures useful
in evaluating the performance of Cadence's business, reliance on
these measures is limited because items excluded from such measures
often have a material effect on Cadence's earnings and earnings per
share calculated in accordance with GAAP. Therefore, Cadence's
management typically uses the non-GAAP earnings and earnings per
share measures, in conjunction with the GAAP earnings and earnings
per share measures, to address these limitations.
Cadence expects that its corporate representatives will meet
privately during the quarter with investors, the media, investment
analysts and others. At these meetings, Cadence may reiterate the
business outlook published in this press release. At the same time,
Cadence will keep this press release, including the business
outlook, publicly available on its Web site.
Prior to the start of the Quiet Period (described below), the
public may continue to rely on the business outlook contained
herein as still being Cadence's current expectations on matters
covered unless Cadence publishes a notice stating otherwise.
Beginning September 17, 2010, Cadence will observe a Quiet
Period during which the business outlook as provided in this press
release and the company's most recent Annual Report on Form 10-K
and Quarterly Report on Form 10-Q no longer constitute the
company's current expectations. During the Quiet Period, the
business outlook in these documents should be considered to be
historical, speaking as of prior to the Quiet Period only and not
subject to any update by the company. During the Quiet Period,
Cadence's representatives will not comment on Cadence's business
outlook, financial results or expectations. The Quiet Period will
extend until the day when Cadence's Third Quarter 2010 Earnings
Release is published, which is currently scheduled for October 27,
2010.
Cadence Design Systems, Inc.
Condensed Consolidated Balance Sheets
July 3, 2010 and January 2, 2010
(In thousands)
(Unaudited)
July 3, 2010 January 2, 2010
--------------- ---------------
Current Assets:
Cash and cash equivalents $ 475,603 $ 569,115
Short-term investments 2,860 2,184
Receivables, net of allowances of $11,194
and $14,020, respectively 191,291 200,628
Inventories 23,874 24,165
Prepaid expenses and other 62,308 54,655
--------------- ---------------
Total current assets 755,936 850,747
Property, plant and equipment, net of
accumulated depreciation of $652,965 and
$637,107, respectively 295,073 311,502
Goodwill 167,367 -
Acquired intangibles, net of accumulated
amortization of $90,983 and $124,507,
respectively 192,422 28,841
Installment contract receivables, net of
allowances of $0 and $9,724, respectively 40,296 58,448
Other assets 244,661 161,049
--------------- ---------------
Total Assets $ 1,695,755 $ 1,410,587
=============== ===============
Current Liabilities:
Accounts payable and accrued liabilities $ 153,220 $ 150,207
Current portion of deferred revenue 290,105 247,691
--------------- ---------------
Total current liabilities 443,325 397,898
--------------- ---------------
Long-Term Liabilities:
Long-term portion of deferred revenue 92,477 92,298
Convertible notes 541,767 436,012
Other long-term liabilities 454,744 376,006
--------------- ---------------
Total long-term liabilities 1,088,988 904,316
--------------- ---------------
Stockholders' Equity 163,442 108,373
--------------- ---------------
Total Liabilities and Stockholders' Equity $ 1,695,755 $ 1,410,587
=============== ===============
Cadence Design Systems, Inc.
Condensed Consolidated Statements of Operations
For the Three and Six Months Ended July 3, 2010 and July 4, 2009
(In thousands, except per share amounts)
(Unaudited)
Three Months Ended Six Months Ended
-------------------------- --------------------------
July 3, 2010 July 4, 2009 July 3, 2010 July 4, 2009
------------ ------------ ------------ ------------
Revenue:
Product $ 117,066 $ 101,840 $ 219,832 $ 189,363
Services 25,258 27,808 51,178 57,015
Maintenance 84,740 80,281 177,992 169,853
------------ ------------ ------------ ------------
Total revenue 227,064 209,929 449,002 416,231
------------ ------------ ------------ ------------
Costs and Expenses:
Cost of product 7,123 9,752 12,415 17,423
Cost of services 21,556 24,418 43,481 48,463
Cost of
maintenance 10,481 11,857 21,879 24,318
Marketing and
sales 71,513 71,431 146,275 146,321
Research and
development 91,118 90,653 180,548 185,345
General and
administrative 17,058 34,240 39,892 72,579
Amortization of
acquired
intangibles 2,551 2,828 5,242 5,968
Restructuring and
other charges
(credits) (317) 18,528 (1,391) 18,008
------------ ------------ ------------ ------------
Total costs and
expenses 221,083 263,707 448,341 518,425
------------ ------------ ------------ ------------
Income (loss)
from
operations 5,981 (53,778) 661 (102,194)
Interest expense (7,972) (7,266) (15,403) (14,314)
Other income
(expense), net (3,100) (2,533) 2,874 (8,682)
------------ ------------ ------------ ------------
Loss before
provision
(benefit)
for income
taxes (5,091) (63,577) (11,868) (125,190)
Provision
(benefit) for
income taxes (54,460) 10,780 (49,452) 12,424
------------ ------------ ------------ ------------
Net income
(loss) $ 49,369 $ (74,357) $ 37,584 $ (137,614)
============ ============ ============ ============
Basic net income
(loss) per share $ 0.19 $ (0.29) $ 0.14 $ (0.54)
============ ============ ============ ============
Diluted net income
(loss) per share $ 0.19 $ (0.29) $ 0.14 $ (0.54)
============ ============ ============ ============
Weighted average
common shares
outstanding -
basic 262,163 256,883 262,380 255,592
============ ============ ============ ============
Weighted average
common shares
outstanding -
diluted 266,423 256,883 266,539 255,592
============ ============ ============ ============
Cadence Design Systems, Inc.
Condensed Consolidated Statements of Cash Flows
For the Six Months Ended July 3, 2010 and July 4, 2009
(In thousands)
(Unaudited)
Six Months Ended
--------------------
July 3, July 4,
2010 2009
--------- ---------
Cash and Cash Equivalents at Beginning of Period $ 569,115 $ 568,255
--------- ---------
Cash Flows from Operating Activities:
Net income (loss) 37,584 (137,614)
Adjustments to reconcile net income (loss) to net
cash provided by operating activities:
Depreciation and amortization 41,333 50,023
Amortization of debt discounts and fees 11,301 10,244
Loss on extinguishment of debt 5,321 -
Stock-based compensation 20,807 29,235
Loss from equity method investments 73 231
(Gain) loss on investments, net (6,935) 7,991
Write-down of investment securities 1,500 4,606
Impairment of property, plant and equipment 427 3,695
Deferred income taxes (69,266) (5,044)
Proceeds from the sale of receivables, net - 5,827
Provisions (recoveries) for losses (gains) on
trade and installment contract receivables (12,978) 18,361
Other non-cash items 3,340 (9,038)
Changes in operating assets and liabilities,
net of effect of acquired businesses:
Receivables (25,384) 43,134
Installment contract receivables 70,479 89,957
Inventories (10,923) 5,847
Prepaid expenses and other (4,638) (125)
Other assets 3,750 6,769
Accounts payable and accrued liabilities 5,264 (66,247)
Deferred revenue 31,882 (58,364)
Other long-term liabilities 1,904 3,518
--------- ---------
Net cash provided by operating activities 104,841 3,006
--------- ---------
Cash Flows from Investing Activities:
Proceeds from the sale of long-term investments 10,133 -
Purchases of property, plant and equipment (18,765) (22,282)
Purchases of software licenses (2,517) (394)
Investment in venture capital partnerships and
equity investments (500) (1,550)
Cash paid in business combinations and asset
acquisitions, net of cash acquired (263,091) (4,896)
--------- ---------
Net cash used for investing activities (274,740) (29,122)
--------- ---------
Cash Flows from Financing Activities:
Principal payments on receivable sale financing (1,719) (796)
Proceeds from issuance of 2015 Notes 350,000 -
Payment of Convertible Senior Notes (187,150) -
Payment of 2015 Notes issuance costs (9,800) -
Purchase of 2015 Notes Hedges (76,635) -
Proceeds from termination of Convertible Senior
Notes Hedges 280 -
Proceeds from sale of 2015 Warrants 37,450 -
Tax benefit from employee stock transactions 59 -
Proceeds from issuance of common stock 8,119 19,601
Stock received for payment of employee taxes on
vesting of restricted stock (4,114) (2,439)
Purchases of treasury stock (39,997) -
--------- ---------
Net cash provided by financing activities 76,493 16,366
--------- ---------
Effect of exchange rate changes on cash and cash
equivalents (106) (1,580)
--------- ---------
Decrease in cash and cash equivalents (93,512) (11,330)
--------- ---------
Cash and Cash Equivalents at End of Period $ 475,603 $ 556,925
========= =========
Cadence Design Systems, Inc.
As of July 28, 2010
Impact of Non-GAAP Adjustments on Forward Looking Diluted
Net Income (Loss) Per Share
(Unaudited)
Three Months Ending Year Ending
October 2, 2010 January 1, 2011
------------------- -------------------
Forecast Forecast
------------------- -------------------
Diluted net income (loss) per
share on a GAAP basis $(0.08) to $(0.06) $(0.01) to $0.03
Amortization of acquired
intangibles 0.03 0.08
Stock-based compensation
expense 0.04 0.16
Non-qualified deferred
compensation expenses - 0.01
Restructuring and other charges
(credits) - (0.01)
Shareholder litigation costs - 0.01
Integration and
acquisition-related costs - 0.01
Other income or expense related
to investments and
non-qualified deferred
compensation plan assets* - (0.02)
Loss on extinguishment of debt - 0.02
Amortization of debt discount 0.02 0.09
Acquisition-related income tax
benefit - (0.25)
Income tax effect of non-GAAP
adjustments - 0.03
------------------- -------------------
Diluted net income per share on
a non-GAAP basis $0.01 to $0.03 $0.12 to $0.16
=================== ===================
* Includes, as applicable, equity in losses or income from investments,
write-down of investments, gains or losses on sale of investments and
gains or losses on non-qualified deferred compensation plan assets
recorded in Other income (expense), net.
Cadence Design Systems, Inc.
As of July 28, 2010
Impact of Non-GAAP Adjustments on Forward Looking Net Income (Loss)
(Unaudited)
Three Months Ending Year Ending
October 2, 2010 January 1, 2011
------------------- -------------------
($ in Millions) Forecast Forecast
------------------- -------------------
Net income (loss) on a GAAP basis $(22) to $(16) $(2) to $8
Amortization of acquired
intangibles 7 21
Stock-based compensation
expense 12 43
Non-qualified deferred
compensation expenses - 2
Restructuring and other charges
(credits) - (1)
Shareholder litigation costs - 3
Integration and
acquisition-related costs 1 3
Other income or expense related
to investments and
non-qualified deferred
compensation plan assets* - (5)
Loss on extinguishment of debt - 5
Amortization of debt discount 6 23
Acquisition-related income tax
benefit - (67)
Income tax effect of non-GAAP
adjustments (1) 7
------------------- -------------------
Net income on a non-GAAP basis $3 to $9 $32 to $42
=================== ===================
* Includes, as applicable, equity in losses or income from investments,
write-down of investments, gains or losses on sale of investments and
gains or losses on non-qualified deferred compensation plan assets
recorded in Other income (expense), net.
Cadence Design Systems, Inc.
(Unaudited)
Revenue Mix by Geography (% of Total Revenue)
2009 2010
---------------------------- ----------
GEOGRAPHY Q1 Q2 Q3 Q4 Year Q1 Q2
---- ---- ---- ---- ---- ---- ----
Americas 42% 48% 43% 51% 46% 40% 46%
Europe 24% 21% 20% 24% 22% 22% 23%
Japan 19% 17% 23% 12% 18% 23% 14%
Asia 15% 14% 14% 13% 14% 15% 17%
Total 100% 100% 100% 100% 100% 100% 100%
Revenue Mix by Product Group (% of Total Revenue)
2009 2010
---------------------------- ----------
PRODUCT GROUP Q1 Q2 Q3 Q4 Year Q1 Q2
---- ---- ---- ---- ---- ---- ----
Functional Verification 20% 23% 21% 22% 22% 22% 26%
Digital IC Design 19% 24% 19% 22% 21% 21% 21%
Custom IC Design 26% 25% 28% 28% 27% 27% 26%
Design for Manufacturing 9% 5% 9% 7% 7% 9% 6%
System Interconnect 12% 10% 11% 11% 11% 9% 10%
Services & Other 14% 13% 12% 10% 12% 12% 11%
Total 100% 100% 100% 100% 100% 100% 100%
Note: Product Group total revenue includes Product + Maintenance
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For more information, please contact: Investors and Shareholders
Jennifer Jordan Cadence Design Systems, Inc. 408-944-7100
investor_relations@cadence.com Media and Industry Analysts Lynne
Cox Cadence Design Systems, Inc. 408-914-6016
publicrelations@cadence.com
Cadence Design Systems (NASDAQ:CDNS)
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From May 2024 to Jun 2024
Cadence Design Systems (NASDAQ:CDNS)
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From Jun 2023 to Jun 2024