By the numbers...
CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands)
(unaudited)
June 30, March 31,
2006 2006
Assets
Cash and short-term
investments $61,274 $57,686
Accounts receivable, net 40,152 42,003
Inventories 46,496 43,867
Other current assets 12,327 12,620
Total current assets 160,249 156,176
Property & equipment, net 23,299 24,049
Other assets 804 605
Total assets $184,352 $180,830
Liabilities and
Stockholders' Equity
Accounts payable $41,218 $38,725
Short-term debt 11,250 11,250
Other current 30,393 31,136
liabilities
Total current liabilities 82,861 81,111
Long-term debt 19,479 22,291
Other long-term 13,919 15,085
liabilities
Total liabilities 116,259 118,487
Stockholders' equity 68,093 62,343
Total liabilities and
stockholders' equity $184,352 $180,830
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except per share amounts)
(unaudited)
Three Months Ended
June 30,
2006 2005
Net sales $66,237 $54,872
Cost of sales 46,365 42,271
Gross profit 19,872 12,601
Operating expenses:
Research and development 4,584 3,701
Selling, general and
administrative 12,975 11,994
Total operating expenses 17,559 15,695
Operating income (loss) 2,313 (3,094)
Other income (expense) (256) (795)
Income (loss) before income
taxes 2,057 (3,889)
Provision for income
taxes 235 277
Net income (loss) $1,822 $(4,166)
Net income (loss) per common share:
Basic $0.02 $(0.04)
Diluted $0.02 $(0.04)
Weighted average shares
outstanding
Basic 97,168 94,942
Diluted 100,953 94,942
UNAUDITED NON-GAAP CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except per share amounts)
Three Months Ended Three Months Ended
June 30, 2006 June 30, 2005
GAAP GAAP
(As Adjust- Non- (As Adjust- Non-
Reported) ments GAAP Reported) ments GAAP
Net sales $66,237 $66,237 $54,872 $54,872
Cost of sales 46,365 $(288) 46,077 42,271 $(54) 42,217
Gross profit 19,872 288 20,160 12,601 54 12,655
Operating expenses:
Research and
development 4,584 (694) 3,890 3,701 (21) 3,680
Selling, general
and administrative 12,975 (1,978) 10,997 11,994 (153) 11,841
Total operating
expenses 17,559 (2,672) 14,887 15,695 (174) 15,521
Operating income
(loss) 2,313 2,960 5,273 (3,094) 228 (2,866)
Other income
(expense) (256) (256) (795) (795)
Income (loss) before
income taxes 2,057 2,960 5,017 (3,889) 228 (3,661)
Provision (benefit)
for income taxes 235 235 277 277
Net income (loss) $1,822 $2,960 $4,782 $(4,166) $228 $(3,938)
Net income (loss) per
common share:
Basic $0.02 $0.03 $0.05 $(0.04) $(0.04)
Diluted $0.02 $0.03 $0.05 $(0.04) $(0.04)
Weighted average
shares outstanding
Basic 97,168 97,168 94,942 94,942
Diluted 100,953 100,953 94,942 94,942
The above non-GAAP adjustments totaling $3.0 and $0.2 million for the three months ended June 30, 2006 and June 30, 2005, respectively, reflect the non-cash charges related to the company's stock-based compensation plans.
To supplement the company's consolidated financial statements presented in accordance with generally accepted accounting principles "GAAP," Stratex Networks, Inc. uses non-GAAP measures of certain components of financial performance, including operating income (loss), net income (loss) and per share data, which are adjusted from results based on GAAP to exclude certain expenses, gains and losses. These non-GAAP measures are provided to enhance investors' overall understanding of the company's current financial performance and the company's prospects for the future. Specifically, the company believes the non-GAAP results provide useful information to both management and investors by excluding certain expenses, gains and losses that may not be indicative of its core operating results. These measures should be considered in addition to results prepared in accordance with GAAP, but should not be considered a substitute for, or superior to, GAAP results. These non- GAAP measures included in this press release have been reconciled to the nearest GAAP measure. |
