Avid 2006 Annual Report Download - page 65

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55
AVID TECHNOLOGY, INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except per share data)
For the Year Ended December 31,
2006 2005 2004
Net revenues:
Products $ 809,002 $ 692,787 $ 528,463
Services 101,576 82,656 61,142
Total net revenues 910,578 775,443 589,605
Cost of revenues:
Products 388,483 308,386 220,246
Services 56,218 45,274 34,842
Amortization of intangible assets 21,193 11,027 408
Total cost of revenues 465,894 364,687 255,496
Gross profit 444,684 410,756 334,109
Operating expenses:
Research and development 141,363 111,334 94,940
Marketing and selling 203,967 170,787 130,123
General and administrative 63,250 47,147 35,468
Amortization of intangible assets 14,460 9,194 3,641
Impairment of goodwill and intangible assets 53,000 — 1,187
Restructuring costs, net 2,613 3,155 —
In-process research and development 879 32,390 —
Total operating expenses 479,532 374,007 265,359
Operating income (loss) (34,848) 36,749 68,750
Interest income 7,991 5,244 2,501
Interest expense (489) (367) (342)
Other income (expense), net (228) 709 (820)
Income (loss) before income taxes (27,574) 42,335 70,089
Provision for (benefit from) income taxes, net 15,353 8,355 (1,612)
Net income (loss) $ (42,927) $ 33,980 $ 71,701
Net income (loss) per common share – basic $ (1.03) $ 0.90 $ 2.21
Net income (loss) per common share – diluted $ (1.03) $ 0.86 $ 2.05
Weighted-average common shares outstanding – basic 41,736 37,762 32,485
Weighted-average common shares outstanding – diluted 41,736 39,517 35,003
The accompanying notes are an integral part of the consolidated financial statements.