Blizzard 2004 Annual Report Download - page 41

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Consolidated Statements of Operations
(In thousands, except per share data)
For the years ended March 31, 2004 2003 2002
Net revenues $947,656 $864,116 $786,434
Costs and expenses:
Cost of sales—product costs 475,541 440,977 435,725
Cost of sales—software royalties and amortization 59,744 79,194 58,892
Cost of sales—intellectual property licenses 31,862 45,002 40,114
Product development 97,859 56,971 40,960
Sales and marketing 128,221 100,646 86,161
General and administrative 44,612 46,479 44,008
Total costs and expenses 837,839 769,269 705,860
Income from operations 109,817 94,847 80,574
Investment income, net 6,175 8,560 2,546
Income before income tax provision 115,992 103,407 83,120
Income tax provision 38,277 37,227 30,882
Net income $ 77,715 $ 66,180 $ 52,238
Basic earnings per share $ 0.58 $ 0.46 $ 0.46
Weighted average common shares outstanding 133,249 144,359 113,966
Diluted earnings per share $ 0.54 $ 0.43 $ 0.39
Weighted average common shares outstanding—assuming dilution 144,893 155,483 133,775
The accompanying notes are an integral part of these consolidated financial statements.
Activision, Inc. — 2004 Annual Report
page 43