[ad_1]
SAN JOSE, Calif .– (BUSINESS WIRE) –
<p class = "web-atom canvas-text Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm" type = "text" content = "Western Digital Corp. (WDC) today reported revenues of $ 3.7 billion for the third quarter of its fiscal year ended March 29, 2019. Operating loss amounted to $ 394 million, with a net loss of $ 581 million (1 , $ 99) per share. With the exception of certain non-GAAP adjustments, the Company achieved non-GAAP earnings of $ 186 million and non-GAAP net income of $ 49 million or $ 0.17 per year. action. GAAP and non-GAAP results include approximately $ 110 million of product cost or market inventory costs, primarily related to certain flash memory products containing DRAM components. "Data-reactid =" 12 "> Western Digital Corp. (WDC) today reported revenue of $ 3.7 billion for the third quarter of its fiscal year ended March 29, 2019. Operating loss amounted to $ 394 million, with a net loss of $ 581 million or $ (1.99) per share, achieved a non-GAAP operating income of $ 186 million and a non-GAAP net income of $ 49 million. USD, or USD 0.17 per share The GAAP and non-GAAP results include lower cost charges or market inventory charges of approximately USD 110 million in product costs, mainly related to certain flash memory products containing DRAM components.
In the same quarter of last year, the company had revenue of $ 5.0 billion, operating income of $ 914 million and net income of $ 61 million or $ 0.20 per share . Non-GAAP operating income for the prior year quarter was $ 1.3 billion and non-GAAP net income was $ 1.1 billion, or $ 3.63. per action.
The Company generated $ 204 million of cash from operations in the third quarter of 2019, for a total of $ 3.8 billion in cash, cash equivalents and available-for-sale securities. The company returned $ 146 million to shareholders in the form of dividends. On February 14, 2019, the Company declared a cash dividend of $ 0.50 per common share, paid to shareholders on April 15, 2019.
"Market conditions have generally been in line with our expectations and, while the economic environment remains sluggish, initial signs of improving trends have been observed," said Steve Milligan, President and Chief Executive Officer. Western Digital. "We expect the demand environment to continue to improve for both flash disk products and hard drives for the remainder of the year 2019. We are working to improve our product portfolio, to drive technological breakthroughs, to resize production levels in our plants and to reduce our cost and expense structure, which allows us to strengthen our position as market conditions increase. improve. "
<p class = "canvas-atom-text-canvas Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm" type = "text" content = "The investor community teleconference to discuss these results and The Company's forecast for the fourth quarter of 2019 will be broadcast live today at 2:00 pm Pacific Time / 5:00 pm (Eastern Standard Time), via teleconference / live webcast. and archived, the company's fourth quarter forecast and earnings presentation can be viewed online at investor.wdc.com. "data-reactid =" 16 "> The conference call on the company's investment results and forecasts for the fourth quarter of 2019 will be broadcast live today at 2:00 pm Pacific time / 5:00 pm Eastern Time Live / Archived Live / Archived Conference / Webcast, the company's fourth quarter forecast and earnings presentation can be found online at investor.wdc.com.
<p class = "canvas-atom canvas-text Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm" type = "text" content = "About Western Digital"data-reactid =" 17 ">About Western Digital
Mb (0) – sm Mt (0.8em) – sm "type =" text "content =" Western Digital creates environments that allow data to thrive. the innovation needed to help customers capture, retain, access and transform an ever-growing diversity of data Wherever data goes from advanced data centers to mobile sensors to personal devices, our industry-leading solutions all offer the possibilities offered by data Western Data's data-centric solutions are made up of Western Digital®, G-Technology ™, SanDisk® and WD® brands. Investor and financial information is available on the Investor Relations website of the Company at the following address: investor.wdc.com. "data-reactid =" 18 "> Western Digital creates environments for data development and is at the forefront of the innovation needed to help customers capture, retain, access and transform more and more data. more diverse data centers, mobile sensors and personal devices all over the world, our state-of-the-art solutions offer all the possibilities offered by data Western Data's data-centric solutions are Western Digital®, G-Technology ™, SanDisk® and WD® brands. Financial and investor information is available on the company's Investor Relations website at investor.wdc.com.
<p class = "canvas-atom canvas-text Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm" type = "text" content = "Forward-looking statements"data-reactid =" 19 ">Forward-looking statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act, 1995, including statements regarding the Company's preliminary financial results for the third quarter of the year. its financial year ended March 29, 2019; expectations regarding market conditions; actions to align our cost and expense structure with business conditions; platform and product portfolio; technological advances; market positioning; and production levels. These forward-looking statements are based on management's current expectations and are subject to risks and uncertainties that could cause actual results to differ materially from those expressed or implied in forward-looking statements. The preliminary financial results of the Company's third quarter ended March 29, 2019, included in this press release, represent the most recent information available to management. The actual results of the Company disclosed in Form 10-Q may differ from these preliminary results as a result of the completion of the Company's financial closing procedures; final adjustments; completion of the examination by the independent and registered accounting firm of the company; and other developments that may arise from here disclosure of the final results. Other risks and uncertainties that could cause actual results to differ materially from those expressed or implied in forward-looking statements include: volatility in the global economic environment; commercial conditions and the growth of the storage ecosystem; impact of restructuring activities and cost reduction initiatives; impact of products and competitive prices; market acceptance and cost of raw materials and specialized product components; competitor actions; unexpected progress in competing technologies; our development and introduction of products based on new technologies and expansion into new data storage markets; risks associated with acquisitions, mergers and joint ventures; difficulties or delays in manufacturing; the outcome of the judicial proceedings; and other risks and uncertainties listed in the Company's filings with the Securities and Exchange Commission ("SEC"), including Form 10-Q filed with the SEC on February 5, 2019, on which you are paying attention to. You should not place undue reliance on these forward-looking statements, which speak only as of the date of publication, and the Company assumes no obligation to update them to reflect new information or events.
Western Digital, the Western Digital logo, G-Technology, SanDisk and WD are registered trademarks or trademarks of Western Digital Corporation or its subsidiaries in the United States and / or other countries.
|
WESTERN DIGITAL CORPORATION CONSOLIDATED CONSOLIDATED BALANCE SHEETS (in millions, unaudited, in accordance with US GAAP) |
|||||||
| March 29
2019 |
June 29 2018 |
||||||
| ASSETS | |||||||
| Active in the short term: | |||||||
| Cash and cash equivalents | $ | 3,682 | $ | 5,005 | |||
| Accounts receivable, net | 1,223 | 2,197 | |||||
| inventories | 3,440 | 2,944 | |||||
| Other current assets | 557 | 492 | |||||
| Total current assets | 8.902 | 10,638 | |||||
| Net property, plant and equipment | 3,031 | 3,095 | |||||
| Notes Receivable and Investments in Flash Ventures | 2,403 | 2,105 | |||||
| Good will | 10,075 | 10,075 | |||||
| Other intangible assets, net | 1,918 | 2,680 | |||||
| Other non-current assets | 584 | 642 | |||||
| Total assets | $ | 26,913 | $ | 29,235 | |||
| LIABILITIES AND SHAREHOLDERS 'EQUITY | |||||||
| Current liabilities: | |||||||
| Accounts payable | $ | 1,577 | $ | 2,265 | |||
| Accounts payable to related parties | 312 | 259 | |||||
| Increased expenses | 1,645 | 1,274 | |||||
| Indemnity to pay | 402 | 479 | |||||
| Slice of long-term debt | 276 | 179 | |||||
| Total current liabilities | 4,212 | 4,456 | |||||
| Long-term debt | 10,309 | 10,993 | |||||
| Other liabilities | 2,178 | 2,255 | |||||
| Total responsibilities | 16,699 | 17,704 | |||||
| Total equity | 10,214 | 11,531 | |||||
| Total liabilities and equity | $ | 26,913 | $ | 29,235 | |||
|
WESTERN DIGITAL CORPORATION STATEMENTS OF CONSOLIDATED PRELIMINARY OPERATIONS (in millions, except per share amounts, unaudited, in accordance with US GAAP) |
||||||||||||||||
| Three months have ended | Nine months ended | |||||||||||||||
| March 29
2019 |
March 30
2018 |
March 29
2019 |
March 30
2018 |
|||||||||||||
| Net business turnover | $ | 3,674 | $ | 5,013 | $ | 12,935 | $ | 15,530 | ||||||||
| Cost of income | 3,095 | 3,086 | 9,648 | 9,677 | ||||||||||||
| Gross profit | 579 | 1,927 | 3,287 | 5,853 | ||||||||||||
| Operating expenses: | ||||||||||||||||
| Research and development | 544 | 602 | 1,659 | 1,823 | ||||||||||||
| Selling, general and administrative expenses | 353 | 376 | 1,018 | 1 121 | ||||||||||||
| Dismissal, impairment of assets and other charges | 76 | 35 | 142 | 135 | ||||||||||||
| Total operating expenses | 973 | 1,013 | 2,819 | 3,079 | ||||||||||||
| Operating income | (394 | ) | 914 | 468 | 2,774 | |||||||||||
| Interest and other expenses, net | (83 | ) | (1,042 | ) | (281 | ) | (1,418 | ) | ||||||||
| Income (loss) before taxes | (477 | ) | (128 | ) | 187 | 1,356 | ||||||||||
| Tax charge (profit) | 104 | (189 | ) | 744 | 1,437 | |||||||||||
| Net profit | $ | (581 | ) | $ | 61 | $ | (557 | ) | $ | (81 | ) | |||||
| Income (loss) per common share | ||||||||||||||||
| Basic | $ | (1.99 | ) | $ | 0.20 | $ | (1.91 | ) | $ | (0.27 | ) | |||||
| Diluted | $ | (1.99 | ) | $ | 0.20 | $ | (1.91 | ) | $ | (0.27 | ) | |||||
| Weighted average number of outstanding shares: | ||||||||||||||||
| Basic | 292 | 298 | 291 | 296 | ||||||||||||
| Diluted | 292 | 308 | 291 | 296 | ||||||||||||
|
WESTERN DIGITAL CORPORATION CONSOLIDATED CONSOLIDATED STATEMENTS PRELIMINARY OF CASH FLOWS (in millions, unaudited, in accordance with US GAAP) |
||||||||||||||||
| Three months have ended | Nine months ended | |||||||||||||||
| March 29
2019 |
March 30
2018 |
March 29
2019 |
March 30
2018 |
|||||||||||||
| Operations activities | ||||||||||||||||
| Net profit | $ | (581 | ) | $ | 61 | $ | (557 | ) | $ | (81 | ) | |||||
| Adjustments to reconcile net income and net cash generated by activities: | ||||||||||||||||
| Depreciation and amortization | 444 | 499 | 1,396 | 1,567 | ||||||||||||
| Stock-based compensation | 84 | 103 | 242 | 299 | ||||||||||||
| Deferred taxes | (28 | ) | (207 | ) | 253 | (336 | ) | |||||||||
| Loss on disposal of assets | 3 | 4 | 4 | 16 | ||||||||||||
| Write off of issue costs and amortization of debt discounts | 9 | 185 | 28 | 208 | ||||||||||||
| Cash bonus on the extinguishment of debt | – | 720 | – | 720 | ||||||||||||
| Non-cash portion of employee layoffs, asset impairment and other charges | – | 16 | – | 16 | ||||||||||||
| Other non-cash operating activities, net | (18 | ) | (31 | ) | 19 | (15 | ) | |||||||||
| Changes in: | ||||||||||||||||
| Accounts receivable, net | 493 | 41 | 975 | (58 | ) | |||||||||||
| inventories | (13 | ) | (389 | ) | (496 | ) | (324 | ) | ||||||||
| Accounts payable | (293 | ) | 235 | (549 | ) | (41 | ) | |||||||||
| Accounts payable to related parties | 2 | 32 | 53 | 76 | ||||||||||||
| Increased expenses | 119 | (184 | ) | 373 | (89 | ) | ||||||||||
| Indemnity to pay | 56 | (15 | ) | (78 | ) | 2 | ||||||||||
| Other assets and liabilities, net | (73 | ) | (43 | ) | (285 | ) | 1,382 | |||||||||
| Net cash provided by operating activities | 204 | 1,027 | 1,378 | 3,342 | ||||||||||||
| Investment activities | ||||||||||||||||
| Purchases of tangible fixed assets | (222 | ) | (213 | ) | (719 | ) | (619 | ) | ||||||||
| Activity related to Flash Ventures, net | (92 | ) | (198 | ) | (288 | ) | (707 | ) | ||||||||
| Acquisitions, net of cash acquired | – | – | – | (99 | ) | |||||||||||
| Other | (3 | ) | 12 | (35 | ) | 19 | ||||||||||
| Net cash used in investing activities | (317 | ) | (399 | ) | (1,042 | ) | (1,406 | ) | ||||||||
| Financing activities | ||||||||||||||||
| Employee share ownership plans | (35 | ) | (50 | ) | (43 | ) | (18 | ) | ||||||||
| Redemption of ordinary shares | – | (155 | ) | (563 | ) | (155 | ) | |||||||||
| Dividends paid to shareholders | (146 | ) | (148 | ) | (438 | ) | (443 | ) | ||||||||
| Settlement of debt hedging contracts | – | – | – | 28 | ||||||||||||
| Debt product, net of issue costs | – | 8,874 | – | 11,832 | ||||||||||||
| Repayment of debt | (38 | ) | (10,467 | ) | (613 | ) | (14,581 | ) | ||||||||
| Net cash used in financing activities | (219 | ) | (1,946 | ) | (1,657 | ) | (3,337 | ) | ||||||||
| Effect of exchange rate changes on cash flow | 1 | 9 | (2 | ) | ten | |||||||||||
| Decrease in cash and cash equivalents | (331 | ) | (1,309 | ) | (1,323 | ) | (1,391 | ) | ||||||||
| Cash and cash equivalents at the beginning of the period | 4,013 | 6,272 | 5,005 | 6,354 | ||||||||||||
| Cash and cash equivalents at the end of the period | $ | 3,682 | $ | 4,963 | $ | 3,682 | $ | 4,963 | ||||||||
|
WESTERN DIGITAL CORPORATION PRELIMINARY RECONCILIATION OF NON-GAAP FINANCIAL MEASURES (in millions, unaudited) |
||||||||||||||||
| Three months have ended | Nine months ended | |||||||||||||||
| March 29
2019 |
March 30
2018 |
March 29
2019 |
March 30
2018 |
|||||||||||||
| Cost of products under GAAP | $ | 3,095 | $ | 3,086 | $ | 9,648 | $ | 9,677 | ||||||||
| Amortization of intangible assets acquired | (188 | ) | (235 | ) | (638 | ) | (788 | ) | ||||||||
| Stock-based compensation charge | (13 | ) | (11 | ) | (37 | ) | (37 | ) | ||||||||
| Fees related to cost reduction initiatives | – | (1 | ) | (7 | ) | 6 | ||||||||||
| Under-utilization cost of manufacturing | (148 | ) | – | (197 | ) | – | ||||||||||
| Non-GAAP revenue cost | $ | 2,746 | $ | 2839 | $ | 8,769 | $ | 8,858 | ||||||||
| GAAP gross margin | $ | 579 | $ | 1,927 | $ | 3,287 | $ | 5,853 | ||||||||
| Amortization of intangible assets acquired | 188 | 235 | 638 | 788 | ||||||||||||
| Stock-based compensation charge | 13 | 11 | 37 | 37 | ||||||||||||
| Fees related to cost reduction initiatives | – | 1 | 7 | (6 | ) | |||||||||||
| Under-utilization cost of manufacturing | 148 | – | 197 | – | ||||||||||||
| Gross margin not in accordance with GAAP | $ | 928 | $ | 2,174 | $ | 4,166 | $ | 6,672 | ||||||||
| Operating expenses in accordance with GAAP | $ | 973 | $ | 1,013 | $ | 2,819 | $ | 3,079 | ||||||||
| Amortization of intangible assets acquired | (41 | ) | (41 | ) | (123 | ) | (122 | ) | ||||||||
| Stock-based compensation charge | (71 | ) | (91 | ) | (205 | ) | (261 | ) | ||||||||
| Dismissal, impairment of assets and other charges | (76 | ) | (35 | ) | (142 | ) | (135 | ) | ||||||||
| Expenses related to the acquisition | – | (2 | ) | – | (12 | ) | ||||||||||
| Fees related to cost reduction initiatives | (3 | ) | 3 | (8 | ) | (18 | ) | |||||||||
| Other | (40 | ) | 3 | (41 | ) | 3 | ||||||||||
| Non-GAAP operating expenses | $ | 742 | $ | 850 | $ | 2,300 | $ | 2,534 | ||||||||
| GAAP operating income | $ | (394 | ) | $ | 914 | $ | 468 | $ | 2,774 | |||||||
| Cost of income adjustments | 349 | 247 | 879 | 819 | ||||||||||||
| Adjustments of operating expenses | 231 | 163 | 519 | 545 | ||||||||||||
| Non-GAAP operating income | $ | 186 | $ | 1,324 | $ | 1,866 | $ | 4,138 | ||||||||
| GAAP interest and other expenses, net | $ | (83 | ) | $ | (1,042 | ) | $ | (281 | ) | $ | (1,418 | ) | ||||
| Net convertible debt activity | 7 | 3 | 20 | 3 | ||||||||||||
| Debt extinguishment costs | – | 894 | – | 896 | ||||||||||||
| Other | (12 | ) | 8 | (19 | ) | 2 | ||||||||||
| Interest and other non-GAAP expenses, net | $ | (88 | ) | $ | (137 | ) | $ | (280 | ) | $ | (517 | ) | ||||
| GAAP tax expense (benefit) | $ | 104 | $ | (189 | ) | $ | 744 | $ | 1,437 | |||||||
| Tax adjustments | (55 | ) | 259 | (537 | ) | (1,230 | ) | |||||||||
| Non-GAAP tax charge | $ | 49 | $ | 70 | $ | 207 | $ | 207 | ||||||||
|
WESTERN DIGITAL CORPORATION PRELIMINARY RECONCILIATION OF NON-GAAP FINANCIAL MEASURES (in millions, except per share amounts, unaudited) |
||||||||||||||||
| Three months have ended | Nine months ended | |||||||||||||||
| March 29
2019 |
March 30
2018 |
March 29
2019 |
March 30
2018 |
|||||||||||||
| GAAP net income | $ | (581 | ) | $ | 61 | $ | (557 | ) | $ | (81 | ) | |||||
| Amortization of intangible assets acquired | 229 | 276 | 761 | 910 | ||||||||||||
| Stock-based compensation charge | 84 | 102 | 242 | 298 | ||||||||||||
| Dismissal, impairment of assets and other charges | 76 | 35 | 142 | 135 | ||||||||||||
| Expenses related to the acquisition | – | 2 | – | 12 | ||||||||||||
| Fees related to cost reduction initiatives | 3 | (2 | ) | 15 | 12 | |||||||||||
| Under-utilization cost of manufacturing | 148 | – | 197 | – | ||||||||||||
| Net convertible debt activity | 7 | 3 | 20 | 3 | ||||||||||||
| Debt extinguishment costs | – | 894 | – | 896 | ||||||||||||
| Other | 28 | 5 | 22 | (1 | ) | |||||||||||
| Tax adjustments | 55 | (259 | ) | 537 | 1,230 | |||||||||||
| Non-GAAP net income | $ | 49 | $ | 1,117 | $ | 1,379 | $ | 3,414 | ||||||||
| Diluted earnings (loss) per common share | ||||||||||||||||
| GAAP | $ | (1.99 | ) | $ | 0.20 | $ | (1.91 | ) | $ | (0.27 | ) | |||||
| Non-GAAP | $ | 0.17 | $ | 3.63 | $ | 4.67 | $ | 11.12 | ||||||||
| Weighted average number of shares outstanding diluted: | ||||||||||||||||
| GAAP | 292 | 308 | 291 | 296 | ||||||||||||
| Non-GAAP | 294 | 308 | 295 | 307 | ||||||||||||
To complete the condensed consolidated financial statements presented in accordance with US generally accepted accounting principles ("GAAP"), the above table presents the cost of non-GAAP revenue; non-GAAP gross margin; non-GAAP operating expenses; non-GAAP operating income; non-GAAP interest and other non-GAAP expenses, net; non-GAAP tax expense; non-GAAP net income; and non-GAAP diluted earnings per common share ("non-GAAP measures"). These non-GAAP measures do not conform to measures prepared in accordance with GAAP or are not an alternative. They may differ from non-GAAP measures used by other companies. The Company believes that the presentation of these non-GAAP measures, in combination with the corresponding GAAP measures, provides investors with useful information to measure the Company's results and compare them to prior periods. Specifically, the Company believes that these non-GAAP measures provide useful information to management and investors as they exclude certain expenses, gains and losses that, in the opinion of the Corporation, are not representative. basic operating results or because they are consistent with financial models and estimates. published by many analysts who follow the company and its peers. As discussed below, these non-GAAP measures exclude amortization of acquired intangible assets, stock-based compensation expense, termination of employment, impairment of assets, acquisition-related expense, expenses related to cost reduction initiatives, debt underutilization charges, debt extinguishment costs, other adjustments and income tax adjustments, and the Company believes that these measures, along with corresponding reconciliations with the GAAP measures, provide additional detail and comparability to assess the results of the company. These non-GAAP measures are among the key indicators used by management to assess the performance of the business, plan and forecast future periods. These measures should be considered in addition to results prepared in accordance with GAAP, but should not be considered a substitute or superiority of GAAP results.
As described above, the Company excludes the following from its non-GAAP measures:
<p class = "canvas-atom canvas-text Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm" type = "text" content = "Amortization of intangible assets acquired. The Company incurs expenses related to the amortization of intangible assets acquired over their economic life. The timing and magnitude of the Company's acquisitions and the related impairment charges have a significant impact on these expenses. "Data-reactid =" 38 ">Amortization of intangible assets acquired. The Company incurs expenses related to the amortization of intangible assets acquired over their economic life. The timing and magnitude of the Company's acquisitions and the related impairment charges have a significant impact on these expenses.
<p class = "canvas-atom canvas-text Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm" type = "text" content = "Stock-based compensation expense. Due to the diversity of share awards used by companies, different methods for determining stock-based compensation expense, subjective assumptions involved in these determinations and the volatility of valuations that may be dictated by market conditions. market beyond the control of the Company, the Company believes that excluding stock-based compensation expense enhances the ability of management and investors to understand and evaluate the underlying performance of its business over time and Compared to peers, the majority of them also exclude stock-based compensation expense from their non-GAAP earnings "data-reactid =" 39 ">Stock-based compensation expense. Due to the diversity of share awards used by companies, different methods for determining stock-based compensation expense, subjective assumptions involved in these determinations and the volatility of valuations that may be dictated by market conditions. market beyond the control of the Company, the Company believes that excluding stock-based compensation expense enhances the ability of management and investors to understand and evaluate the underlying performance of its business over time and compared to peers, the majority of which also exclude stock-based compensation expense from non-GAAP earnings.
<p class = "canvas-atom canvas-text Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm" type = "text" content = "Termination of employment, impairment of assets and other expenses. From time to time, in order to realign the Company's business based on anticipated market demand or realize cost synergies resulting from the integration of acquisitions, the Company may terminate its employees and / or restructure its operations. From time to time, the Company may also incur expenses arising from the impairment of intangible assets and other long-term assets. These expenses (including any reversals of expenses recorded in prior periods) are not consistent in terms of amount and frequency, and the Company believes that they are not representative of the underlying performance of its business. "Data-reactid =" 40 ">Termination of employment, impairment of assets and other expenses. From time to time, in order to realign the Company's business based on anticipated market demand or realize cost synergies resulting from the integration of acquisitions, the Company may terminate its employees and / or restructure its operations. From time to time, the Company may also incur expenses arising from the impairment of intangible assets and other long-term assets. These expenses (including any reversals of expenses recorded in prior periods) are not consistent in terms of amount and frequency, and the Company believes that they are not representative of the underlying performance of its business.
<p class = "canvas-atom canvas-text Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm" type = "text" content = "Expenses related to the acquisition. As part of the Company's business combinations, the Company incurs expenses that it would not otherwise have incurred in the course of its business activities. These expenses include professional services and legal fees, integration services, severance pay, non-cash adjustments to the fair value of acquired inventory, termination costs and retention premiums. The company may also suffer other accounting impacts related to these transactions. These expenses and impacts relate to acquisitions, are inconsistent in amount and frequency, and the Company believes that they are not representative of the underlying performance of its operations. "Data-reactid =" 41 ">Expenses related to the acquisition. As part of the Company's business combinations, the Company incurs expenses that it would not otherwise have incurred in the course of its business activities. These expenses include professional services and legal fees, integration services, severance pay, non-cash adjustments to the fair value of acquired inventory, termination costs and retention premiums. The company may also suffer other accounting impacts related to these transactions. These expenses and impacts relate to acquisitions, are inconsistent in amount and frequency and the Company believes that they are not representative of the underlying performance of its operations.
<p class = "canvas-atom canvas-text Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm" type = "text" content = "Costs related to cost reduction initiatives. As part of the transformation of the Company's activities, the Company incurred expenses related to cost reduction initiatives that do not give rise to any specific accounting treatment as an exit or disposal activity. These expenses, which, according to the company, are not representative of the underlying performance of its business, mainly concern the costs associated with the rationalization of the partners of the company or the suppliers, the transformation of the IT infrastructure of the company, to the integration of the company's product roadmap and accelerated depreciation of assets "data-reactid =" 42 ">Costs related to cost reduction initiatives. Dans le cadre de la transformation des activités de la société, celle-ci a engagé des charges liées à des initiatives de réduction des coûts qui ne donnent pas droit à un traitement comptable particulier en tant qu’activité de sortie ou de cession. Ces charges, qui, selon la société, ne sont pas représentatives de la performance sous-jacente de son activité, concernent principalement les coûts associés à la rationalisation des partenaires de la société ou des fournisseurs, à la transformation de l'infrastructure informatique de la société, à l'intégration de la feuille de route des produits de la société et à l'amortissement accéléré des actifs. .
<p class = "canvas-atom canvas-text Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm" type = "text" content = "Frais de sous-utilisation de fabrication En réponse aux conditions commerciales flash actuelles, la société réduit le nombre de ses ventes de plaquettes à ses installations de fabrication de mémoire flash gérées dans le cadre de son partenariat stratégique avec Toshiba Memory Corporation (TMC). La réduction anormale temporaire de la production a entraîné des frais de sous-utilisation de la fabrication flash, qui sont passés en charges au moment où ils sont engagés. Le montant et la fréquence de ces charges sont incohérents et la société estime que ces charges ne font pas partie des activités courantes de son entreprise. "Data-reactid =" 43 ">Frais de sous-utilisation de fabrication. En réponse aux conditions commerciales flash actuelles, la société réduit le nombre de ses ventes de plaquettes à ses installations de fabrication de mémoire flash gérées dans le cadre de son partenariat stratégique avec Toshiba Memory Corporation (TMC). La réduction anormale temporaire de la production a entraîné des frais de sous-utilisation de la fabrication flash qui sont passés en charges au moment où ils sont engagés. Le montant et la fréquence de ces frais ne sont pas uniformes et la société est d’avis que ces frais ne font pas partie des activités courantes de son entreprise.
<p class = "canvas-atom canvas-text Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm" type = "text" content = "Activité de la dette convertible, nette. La société exclut les intérêts financiers autres qu'en espèces liés à ses billets convertibles, les gains et pertes résultant de la conversion de ses obligations convertibles en obligations de premier rang et de son option d'achat, ainsi que les gains et les pertes non réalisés liés à la variation de la juste valeur de l'option d'exercice et de l'option d'achat. . Ces charges, profits et pertes ne reflètent pas les résultats d'exploitation de la société et celle-ci ne donne aucune indication sur la performance sous-jacente de ses activités. "Data-reactid =" 44 ">Convertible debt activity, net. The company excludes non-cash economic interest expense associated with its convertible notes, the gains and losses on the conversion of its convertible senior notes and call option, and unrealized gains and losses related to the change in fair value of the exercise option and call option. These charges and gains and losses do not reflect the company's operating results, and the company believes are not indicative of the underlying performance of its business.
<p class = "canvas-atom canvas-text Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm" type = "text" content = "Debt extinguishment costs. From time-to-time, the company replaces its existing debt with new financing at more favorable interest rates or utilizes available capital to settle debt early, both of which generate interest savings in future periods. The company incurs debt extinguishment charges consisting of the costs to call the existing debt and/or the write-off of any related unamortized debt issuance costs. These gains and losses do not reflect the company’s operating results, and the company believes are not indicative of the underlying performance of its business." data-reactid="45">Debt extinguishment costs. From time-to-time, the company replaces its existing debt with new financing at more favorable interest rates or utilizes available capital to settle debt early, both of which generate interest savings in future periods. The company incurs debt extinguishment charges consisting of the costs to call the existing debt and/or the write-off of any related unamortized debt issuance costs. These gains and losses do not reflect the company’s operating results, and the company believes are not indicative of the underlying performance of its business.
<p class = "canvas-atom canvas-text Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm" type = "text" content = "Other adjustments. From time-to-time, the company sells or impairs investments or other assets which are not considered necessary to its business operations, or incurs other charges or gains that the company believes are not a part of the ongoing operation of its business. The resulting expense or benefit is inconsistent in amount and frequency." data-reactid="46">Other adjustments. From time-to-time, the company sells or impairs investments or other assets which are not considered necessary to its business operations, or incurs other charges or gains that the company believes are not a part of the ongoing operation of its business. The resulting expense or benefit is inconsistent in amount and frequency.
<p class = "canvas-atom canvas-text Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm" type = "text" content = "Income tax adjustments. Income tax adjustments include the difference between income taxes based on a forecasted annual non-GAAP tax rate and a forecasted annual GAAP tax rate as a result of the timing of certain non-GAAP pre-tax adjustments. The income tax adjustments include the company’s final adjustments for the tax effects of the Tax Cuts and Jobs Act allowed within the one-year measurement period that ended on December 22, 2018, as well as estimates related to the current status of the rules and regulations governing the transition to the Tax Cuts and Jobs Act. These adjustments are excluded because they are infrequent and the company believes that they are not indicative of the underlying performance of its business." data-reactid="47">Income tax adjustments. Income tax adjustments include the difference between income taxes based on a forecasted annual non-GAAP tax rate and a forecasted annual GAAP tax rate as a result of the timing of certain non-GAAP pre-tax adjustments. The income tax adjustments include the company’s final adjustments for the tax effects of the Tax Cuts and Jobs Act allowed within the one-year measurement period that ended on December 22, 2018, as well as estimates related to the current status of the rules and regulations governing the transition to the Tax Cuts and Jobs Act. These adjustments are excluded because they are infrequent and the company believes that they are not indicative of the underlying performance of its business.
<p class = "canvas-atom canvas-text Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm" type = "text" content = "Voir la version source sur businesswire.com: https://www.businesswire.com/news/home/20190429005763/en/" data-reactid="49">Voir la version source sur businesswire.com: https://www.businesswire.com/news/home/20190429005763/en/
[ad_2]
Source link