NETWORK APPLIANCE, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands)
(Unaudited)
October 26, April 30,
2001 2001
ASSETS
CURRENT ASSETS:
Cash and cash equivalents $ 177,760 $ 271,931
Short-term investments 155,505 92,094
Accounts receivable, net 172,329 186,956
Inventories 22,069 22,504
Prepaid expenses and other 22,831 25,745
Deferred income taxes 37,649 36,287
Total current assets 588,143 635,517
RESTRICTED CASH 262,791 193,747
PROPERTY AND EQUIPMENT, net 101,032 103,238
INTANGIBLE ASSETS, net 69,059 79,510
OTHER ASSETS 14,751 24,240
$1,035,776 $1,036,252
========= =========
LIABILITIES AND STOCKHOLDERS' EQUITY
CURRENT LIABILITIES:
Accounts payable $ 48,577 $ 64,892
Income taxes payable 10,771 21,844
Accrued compensation and related benefits 40,797 50,523
Other accrued liabilities 39,816 23,198
Deferred revenue 60,105 58,316
Total current liabilities 200,066 218,773
LONG TERM DEFERRED REVENUE 20,392 12,882
LONG TERM OBLIGATIONS 366 149
220,824 231,804
STOCKHOLDERS' EQUITY 814,952 804,448
$1,035,776 $1,036,252
========= =========
NETWORK APPLIANCE, INC.
PRO FORMA(1) CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(In thousands except per share data)
(Unaudited)
Quarter Ended Six Months Ended
October 26 October 27 October 26 October 27
2001 2000 2001 2000
NET SALES $194,715 $260,777 $395,141 $491,936
COST OF SALES 80,984 99,314 169,061 188,771
GROSS MARGIN 113,731 161,463 226,080 303,165
OPERATING EXPENSES:
Sales and marketing 70,922 72,236 142,564 136,054
Research and development 28,354 28,217 57,437 51,840
General and administrative 10,552 10,150 20,814 19,029
Total operating expenses 109,828 110,603 220,815 206,923
INCOME FROM OPERATIONS 3,903 50,860 5,265 96,242
OTHER INCOME, net 4,735 5,511 10,229 9,891
INCOME BEFORE INCOME TAXES 8,638 56,371 15,494 106,133
PROVISION FOR INCOME TAXES 974 19,448 3,099 36,616
NET INCOME $ 7,664 $ 36,923 $ 12,395 $ 69,517
NET INCOME PER SHARE:
BASIC $ 0.02 $ 0.12 $ 0.04 $ 0.22
DILUTED $ 0.02 $ 0.10 $ 0.04 $ 0.19
SHARES USED IN PER SHARE CALCULATION:
BASIC 330,440 318,223 329,888 315,891
DILUTED 345,615 364,035 347,641 361,906
(1) Pro forma results of operations exclude in-process research and
development, amortization of intangible assets, stock
compensation, restructuring charges, impairment loss on
investments and the related effects on income taxes.
NETWORK APPLIANCE, INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands except per share data)
(Unaudited)
Quarter Ended Six Months Ended
October October October October
26 27 26 27
2001 2000 2001 2000
NET SALES $ 194,715 $ 260,777 $ 395,141 $ 491,936
COST OF SALES 80,984 99,314 169,061 188,771
GROSS MARGIN 113,731 161,463 226,080 303,165
OPERATING EXPENSES:
Sales and marketing 70,922 72,236 142,564 136,054
Research and development 28,354 28,217 57,437 51,840
General and administrative 10,552 10,150 20,814 19,029
Amortization of
intangible assets 5,226 1,273 10,452 1,939
In-process research and
development -- -- -- 26,688
Stock compensation 1,923 443 4,622 872
Restructuring charges 7,980 -- 7,980 --
Total operating expenses 124,957 112,319 243,869 236,422
INCOME (LOSS) FROM OPERATIONS (11,226) 49,144 (17,789) 66,743
OTHER INCOME (LOSS), net:
Interest income and other, net 4,735 5,511 10,229 9,891
Impairment loss on
investments (13,008) -- (13,008) --
Total other income (loss),
net (8,273) 5,511 (2,779) 9,891
INCOME (LOSS) BEFORE
INCOME TAXES (19,499) 54,655 (20,568) 76,634
PROVISION (BENEFIT) FOR
INCOME TAXES (8,288) 19,295 (8,844) 36,298
NET INCOME (LOSS) $ (11,211) $ 35,360 $ (11,724) $ 40,336
NET INCOME (LOSS) PER SHARE:
BASIC $ (0.03) $ 0.11 $ (0.04) $ 0.13
DILUTED $ (0.03) $ 0.10 $ (0.04) $ 0.11
SHARES USED IN PER SHARE CALCULATION:
BASIC 330,440 318,223 329,888 315,891
DILUTED 330,440 364,035 329,888 361,906 |
