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We empower the original
mobile device: you
New ways to work better.
Annual Report 2013

Table of contents

  • Page 1
    Annual Report 2013 We empower the original mobile device: you New ways to work better.

  • Page 2
    ... 190,641 Net revenues Cost of net revenues: Cost of product and license revenues Cost of services and maintenance revenues Amortization of product related intangible assets Total cost of net revenues Gross margin Operating expenses: Research and development Sales, marketing and services General and...

  • Page 3
    ... productivity & work-life harmony 2. Enterprise Cloud Evolution - the rapid transformation of enterprise datacenters into Amazon-style private clouds 3. Cloud Services Build-out - the broad, global investment by service providers, telcos and mobile network operators in next generation infrastructure...

  • Page 4
    ...and operating" computing systems is rapidly moving to "aggregating and delivering" services from a wide range of sources. When information and applications are accessible anywhere from a secure, "mobile workspace" work is no longer a physical place. Meetings go virtual and work goes mobile. Desktops...

  • Page 5
    ...Address of principal executive offices, including zip code) Registrant's Telephone Number, Including Area Code: (954) 267-3000 Securities registered pursuant to Section 12(b) of the Act: Common Stock, $.001 Par Value (Title of each class) The NASDAQ Stock Market LLC (Name of each exchange on which...

  • Page 6
    ... and Director Independence Principal Accounting Fees and Services 55 55 55 55 55 Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities Selected Financial Data Management's Discussion and Analysis of Financial Condition and Results of Operations...

  • Page 7
    .... Citrix solutions help IT and service providers to build, manage and secure virtual and mobile workspaces that seamlessly deliver apps, desktops, data and services to virtually anyone, on any device, over any network or cloud. We market and license our products directly to customers, over the Web...

  • Page 8
    ...leading Citrix XenApp to manage and mobilize Windows applications. FlexCast delivery technology powers all these options for delivering desktops and apps, for different types of users and use cases, while optimizing solution costs. XenDesktop includes HDX technologies to give users a high-definition...

  • Page 9
    ... self-service day-to-day administration. CloudPortal simplifies cloud services by making management consistent and easy through a Web portal for on-boarding, provisioning, adds-moves-changes and usage reports. Citrix CloudPlatformâ„¢ powered by Apache CloudStackâ„¢, provides an advanced open source...

  • Page 10
    ... technical assistance for end-users. Premier Support provides 24x7x365 unlimited-incidents worldwide support for Citrix software products covered by Subscription Advantage. Available at the time of product purchase or with a Subscription Advantage renewal, Premier Support is offered on a per license...

  • Page 11
    ...a day, seven days a week, provide technically robust course content without an instructor and include hands-on practice via virtual labs. Certifications validate key skills and are available for administrators, engineers, architects and sales professionals. • Technology Our products are based on...

  • Page 12
    ... We offer perpetual and term-based software licenses for our products, along with annual subscriptions for software updates, technical support and SaaS. Perpetual licenses allow our customers to use the version of software initially purchased into perpetuity, while term-based licenses are limited to...

  • Page 13
    ...known as Citrix Solution Advisorsâ„¢, Value-Added Distributors, hosted Service Providers, System Integrators, or SIs, Independent Software Vendors, or ISVs, direct over-the-Web and OEMs. These distribution channels are managed by our worldwide sales and services organization. We provide training and...

  • Page 14
    ... Report on Form 10-K for the year ended December 31, 2013. Segment Revenue Our revenues are derived from our Enterprise and Service Provider division products, which primarily include Mobile and Desktop products, Networking and Cloud products and related license updates and maintenance, support...

  • Page 15
    ... of operations and financial condition. See "-Technology Relationships" and Part I-Item 1A entitled "Risk Factors" included in this Annual Report on Form 10-K for the year ended December 31, 2013. Mobile and Desktop Our Desktop and Application Virtualization products are based on an alternative...

  • Page 16
    ...mobile applications, data and virtual desktops - to any device, anywhere. Further, we believe that our end-user experience has a competitive edge when compared to the alternative solutions due to the intuitiveness and self-service features of our offering. Networking and Cloud Our NetScaler products...

  • Page 17
    ... desktop operating systems. Our GoToAssist product has achieved a large market share for Web-based clientless remote support. This product includes a version purpose-built for individual users, consultants and small businesses, positioning Citrix as the only provider of remote support solutions...

  • Page 18
    ...licensing models, promotional programs and product mix, all of which may impact revenue recognition; charges in the event of the impairment of acquired assets, investments or licenses; international market readiness, execution and other risks associated with the markets for our products and services...

  • Page 19
    ..., fewer customer orders and reduced revenues and margins. We sell our products and services in intensely competitive markets. Some of our competitors and potential competitors have significantly greater financial, technical, sales and marketing and other resources than we do. We compete based on our...

  • Page 20
    ..., developing internally or hiring externally, training and retaining highly-skilled managerial, technical, sales and services, finance and marketing personnel are critical to our future, and competition for experienced employees can be intense. In order to attract and retain executives and...

  • Page 21
    ... evolving desktop and application virtualization, collaboration and data sharing, mobility, cloud networking and cloud platform markets, these companies continue to seek to deliver comprehensive IT solutions to end users and combine enterprise-level hardware and software solutions that may compete...

  • Page 22
    ...imposing greater fees or taxes on Web-based services, such as collaboration and data sharing services and audio services, or restricting information exchange over the Web, could result in a decline in the use and adversely affect sales of our products and our results of operations. Our Collaboration...

  • Page 23
    ...timing of the related revenue is difficult to predict. Because sales of our ByteMobile Smart Capacity solutions are focused on the telecommunications market, we are subject to lengthy internal budgeting, approval and competitive evaluation processes that such customers generally require. Overall the...

  • Page 24
    ... future financial results fail to meet the expectations of securities analysts and investors, our stock price could be negatively affected. Sales and renewals of our license updates and maintenance products constitute a large portion of our deferred revenue. We anticipate that sales and renewals of...

  • Page 25
    ... operations and financial condition. We plan to diversify our base of channel relationships by adding and training more channel members with abilities to reach larger enterprise customers and to sell our newer products. We also plan to create relationships with new channel partners, such as systems...

  • Page 26
    ... may not generate sufficient revenue to recoup our investments in them. We may experience a decline in gross margin as the mix of our revenue may include more products with a hardware component and increased sales of our services, both of which have a higher cost than our software products. If we...

  • Page 27
    ... adverse effect on our business, results of operations and financial condition. Further, our 2014 operating plan assumes a significant level of financial performance from our acquisitions that were completed during 2012 and 2013 and if these acquired companies or technologies do not perform as we...

  • Page 28
    ... lines, such as our Enterprise Mobility Management and Desktop and Application Virtualization and Cloud Platform and Cloud Networking products, and related technical services and expansion of our Collaboration and Data products, through product development and acquisitions; • an increase in patent...

  • Page 29
    ... adequately enhance our existing cloud products or meet customer requirements for innovation, quality and price of cloud products. We rely to a significant degree on an informal community of independent open source software programmers to develop and enhance the Xen hypervisor, which is the heart of...

  • Page 30
    ... on our network infrastructure, internal technology systems and website. Significant portions of our computer equipment, intellectual property resources and personnel, including critical resources dedicated to research and development and administrative support functions are presently located at our...

  • Page 31
    ...; analyst reports or recommendations; rumors, announcements, or press articles regarding our or our competitors' operations, management, organization, financial condition, or financial statements; and other events or factors, many of which are beyond our control. The stock market in general, The...

  • Page 32
    ... received no written comments regarding our periodic or current reports from the staff of the Securities and Exchange Commission that were issued 180 days or more preceding the end of our 2013 fiscal year that remain unresolved. ITEM 2. PROPERTIES We lease and sublease office space in the Americas...

  • Page 33
    ...'S COMMON EQUITY, RELATED STOCKHOLDER MATTERS AND ISSUER PURCHASES OF EQUITY SECURITIES Price Range of Common Stock and Dividend Policy Our common stock is currently traded on The NASDAQ Global Select Market under the symbol CTXS. The following table sets forth the high and low sales prices for our...

  • Page 34
    ...Analysis of Financial Condition and Results of Operations. Year Ended December 31, 2013 2012 2011 2010 2009 (In thousands, except per share data) Consolidated Statements of Income Data: Net revenues Cost of net revenues(a) Gross margin Operating expenses Income from operations Interest income Other...

  • Page 35
    .... Citrix solutions help IT and service providers to build, manage and secure virtual and mobile workspaces that seamlessly deliver apps, desktops, data and services to virtually anyone, on any device, over any network or cloud. We market and license our products directly to customers, over the Web...

  • Page 36
    ... 2014 to the first quarter of 2013, consistent with our targeted increase in sales of our hardware products and services. The decrease in Operating income and diluted net income per share when comparing 2013 to 2012 was primarily due to an increase in stock-based compensation costs primarily related...

  • Page 37
    ... date of each acquisition. 2012 Acquisitions ByteMobile In July 2012, we acquired all of the issued and outstanding securities of ByteMobile, a privately-held provider of data and video optimization solutions for mobile network operators. ByteMobile became part of our Enterprise and Service Provider...

  • Page 38
    ...Framehawk solution, which optimizes the delivery of virtual desktops and applications to mobile devices, will be combined with Citrix HDX technologies in the Citrix XenApp and XenDesktop products to deliver an unparalleled user experience over highly latent and erratic mobile network conditions. The...

  • Page 39
    ... sales. For maintenance, technical support, product training and consulting services, we require a purchase order and an executed agreement. For SaaS, we generally require the customer or the reseller to electronically accept the terms of an online services agreement or execute a contract. Delivery...

  • Page 40
    ... with Enterprise and Service Provider division products and services. See Note 2 to our consolidated financial statements included in this Annual Report on Form 10-K for the year ended December 31, 2013 for further information on our revenue recognition. Stock-Based Compensation Under the fair...

  • Page 41
    ...2013 for further information regarding our adoption of the authoritative guidance for stock-based compensation. Valuation and Classification of Investments The authoritative guidance defines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly...

  • Page 42
    ... not deductible for tax purposes. Our revenues are derived from sales of our Enterprise and Service Provider division products, which include our Mobile and Desktop products, Networking and Cloud products and related license updates and maintenance and from sales of our SaaS division's Collaboration...

  • Page 43
    ... as a result of the annual impairment tests completed during the fourth quarters of 2013 and 2012. Income Taxes We are required to estimate our income taxes in each of the jurisdictions in which we operate as part of the process of preparing our consolidated financial statements. At December 31...

  • Page 44
    ... Ended December 31, 2013 2012 2011 2013 Compared to 2012 2012 Compared to 2011 Revenues: Product and licenses Software as a service License updates and maintenance Professional services Total net revenues Cost of net revenues: Cost of product and license revenues Cost of services and maintenance...

  • Page 45
    ... Access product, GoToMyPC; and Remote IT Support products, which primarily include GoToAssist. Year Ended December 31, 2013 2012 2011 (In thousands) 2013 Compared to 2012 2012 Compared to 2011 Revenues: Product and licenses Software as a Service License updates and maintenance Professional Services...

  • Page 46
    ...2013 compared to December 31, 2012 primarily due to increased new and renewal sales of our Subscription Advantage product of $106.2 million; increased sales of our hardware and software maintenance contracts of $44.4 million and increased support contracts primarily related to our Mobile and Desktop...

  • Page 47
    ... currently are targeting cost of product and license revenues will increase when comparing the first quarter of 2014 to the first quarter of 2013 consistent with the targeted increase in sales of our hardware products. Cost of services and maintenance revenues increased during 2013 compared to 2012...

  • Page 48
    ... of personnel related costs and expenses related to outside consultants assisting with information systems, as well as accounting and legal fees. General and administrative expenses increased during 2013 compared to 2012 primarily due to an increase in compensation and employee related costs of $11...

  • Page 49
    ... in General and administrative expense when comparing 2012 to 2011 is an increase in stock-based compensation expense of $13.6 million related to retention-focused stock-based awards granted to new and existing employees and assumed in connection with acquisitions. 2014 Operating Expense Outlook...

  • Page 50
    ... our products and services through our foreign headquarters in Switzerland are currently taxed at lower income tax rates than earnings from our U.S. operations. The federal research and development credit expired on December 31, 2011. On January 2, 2013, the American Taxpayer Relief Act of 2012 was...

  • Page 51
    ...was partially offset by proceeds received from the issuance of common stock under our employee stock-based compensation plans of $73.7 million. During 2012, we generated operating cash flows of $818.5 million. These operating cash flows related primarily to net income of $352.5 million, adjusted for...

  • Page 52
    ..., which require the reporting entity to develop its own assumptions. Available-for-sale securities included in Level 2 are valued utilizing inputs obtained from an independent pricing service, or the Service, which uses quoted market prices for identical or comparable instruments rather than direct...

  • Page 53
    ... in this Annual Report on Form 10-K for the year ended December 31, 2013. A portion of the funds used to repurchase stock over the course of the program was provided by proceeds from employee stock option exercises and the related tax benefit. We are authorized to make open market purchases of our...

  • Page 54
    ... 92,282 $ $ 86,123 - 86,123 $ $ 40,600 - 40,600 $ $ 88,885 - 88,885 (1) (2) (3) In 2012, we entered into a lease to acquire additional office space in Santa Clara, CA. The rental commencement date will not begin until 2015 and the pricing for the lease will not be finalized until a future...

  • Page 55
    ... the volume of sales as the prices of our competitors' products become more or less attractive. We do not anticipate any material adverse impact to our consolidated financial position, results of operations, or cash flows as a result of these foreign exchange forward contracts. Exposure to Interest...

  • Page 56
    .... Management's Annual Report on Internal Control Over Financial Reporting Our management is responsible for establishing and maintaining adequate internal control over financial reporting as such term is defined in Exchange Act Rule 13a - 15(f). Our internal control system was designed to provide...

  • Page 57
    ...the consolidated balance sheets of Citrix Systems, Inc. as of December 31, 2013 and 2012, and the related consolidated statements of income, comprehensive income, equity, and cash flows for each of the three years in the period ended December 31, 2013 and our report dated February 20, 2014 expressed...

  • Page 58
    ... and General Manager Enterprise and Service Provider Division, each entered into a new trading plan in the fourth quarter of 2013 in accordance with Rule 10b5-1 and our policy governing transactions in our securities. We undertake no obligation to update or revise the information provided herein...

  • Page 59
    ... which proxy statement will be filed with the Securities and Exchange Commission not later than 120 days after the close of the Company's fiscal year ended December 31, 2013. ITEM 13. CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS AND DIRECTOR INDEPENDENCE The information required under this item is...

  • Page 60
    PART IV ITEM 15. EXHIBITS, FINANCIAL STATEMENT SCHEDULES (a) 1. Consolidated Financial Statements. For a list of the consolidated financial information included herein, see page F-1. 2. Financial Statement Schedules. The following consolidated financial statement schedule is included in Item 8: ...

  • Page 61
    ... to Amended and Restated 2005 Employee Stock Purchase Plan (incorporated by reference herein to Exhibit 10.17 to the Company's Annual Report on Form 10-K for the year ended December 31, 2012) Citrix Systems, Inc. Executive Bonus Plan Change in Control Agreement dated as of August 4, 2005 by and...

  • Page 62
    ... Act of 2002 XBRL (eXtensible Business Reporting Language). The following materials from Citrix Systems, Inc.'s Annual Report on Form 10-K for the year ended December 31, 2013 formatted in XBRL: (i) the Consolidated Balance Sheets, (ii) the Consolidated Statements of Income, (iii) the Consolidated...

  • Page 63
    ... offices at 175 W. Jackson Boulevard, Suite 900, Chicago, IL 60604 and 3 World Financial Center, Suite 400, New York, NY 10281-1022. (c) Financial Statement Schedule. The Company hereby files as part of this Annual Report on Form 10-K for the year ended December 31, 2013 the consolidated financial...

  • Page 64
    ... Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized, in Fort Lauderdale, Florida on the 20th day of February, 2014. CITRIX SYSTEMS, INC. By...

  • Page 65
    ... following consolidated financial statements of Citrix Systems, Inc. are included in Item 8: Report of Independent Registered Public Accounting Firm Consolidated Balance Sheets - December 31, 2013 and 2012 Consolidated Statements of Income - Years ended December 31, 2013, 2012 and 2011 Consolidated...

  • Page 66
    ...balance sheets of Citrix Systems, Inc. as of December 31, 2013 and 2012, and the related consolidated statements of income, comprehensive income, equity, and cash flows for each of the three years in the period ended December 31, 2013. Our audits also included the financial statement schedule listed...

  • Page 67
    CITRIX SYSTEMS, INC. CONSOLIDATED BALANCE SHEETS December 31, 2013 December 31, 2012 (In thousands, except par value) Assets Current assets: Cash and cash equivalents Short-term investments, available-for-sale Accounts receivable, net of allowances of $5,354 and $6,448 at December 31, 2013 and ...

  • Page 68
    CITRIX SYSTEMS, INC. CONSOLIDATED STATEMENTS OF INCOME Year Ended December 31, 2013 2012 2011 (In thousands, except per share information) Revenues: Product and licenses Software as a service License updates and maintenance Professional services Total net revenues Cost of net revenues: Cost of ...

  • Page 69
    CITRIX SYSTEMS, INC. CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME Year Ended December 31, 2013 2012 (In thousands) 2011 Consolidated net income Other comprehensive income (loss): Change in foreign currency translation adjustment Available for sale securities: Change in net unrealized gains Less:...

  • Page 70
    ... Stock-based compensation expense Common stock issued under employee stock purchase plan Tax deficiency from employer stock plans, net Stock repurchases, net Restricted shares turned in for tax withholding Other Other comprehensive income, net of tax Net income Balance at December 31, 2013...

  • Page 71
    ... Purchases of cost method investments Cash paid for acquisitions, net of cash acquired Cash paid for licensing agreements and product related intangible assets Other Net cash used in investing activities Financing Activities Proceeds from issuance of common stock under stock-based compensation...

  • Page 72
    ... solutions help IT and service providers to build, manage and secure virtual and mobile workspaces that seamlessly deliver apps, desktops, data and services to virtually anyone, on any device, over any network or cloud. Citrix markets and licenses its products directly to customers, over the Web...

  • Page 73
    ...be disposed of are reported at the lower of carrying amount or fair value less costs to sell. For the year ended December 31, 2012, the Company decided to contribute its CloudStack tradename acquired in conjunction with its acquisition of Cloud.com to the Apache Software Foundation. As a result, the...

  • Page 74
    ... product related technologies and patents and is reported as a Cost of net revenues in the accompanying consolidated statements of income. Amortization of other intangible assets includes amortization of customer relationships, trade names and covenants not to compete and is reported as an Operating...

  • Page 75
    ...program for a higher level of service. Software maintenance includes unlimited support with product version upgrades. Professional services revenues are comprised of fees from consulting services related to the implementation of the Company's products and fees from product training and certification...

  • Page 76
    ..., technical support, product training and consulting services, the Company requires a purchase order and an executed agreement. For SaaS, the Company generally requires the customer or the reseller to electronically accept the terms of an online services agreement or execute a contract. • Delivery...

  • Page 77
    ... to use certain software code in its products or in the development of future products in exchange for the payment of fixed fees or amounts based upon the sales of the related product. The licensing agreements generally have terms ranging from one to five years, and generally include renewal options...

  • Page 78
    ... the time of product sales as a reduction of net revenue in the accompanying consolidated statements of income. The total costs the Company recognized related to advertising were approximately $146.5 million, $137.5 million and $130.8 million, during the years ended December 31, 2013, 2012 and 2011...

  • Page 79
    ... asset classes. 3. ACQUISITIONS 2013 Acquisitions Zenprise In January 2013, the Company acquired all of the issued and outstanding securities of Zenprise, Inc. ("Zenprise"), a privately-held leader in mobile device management. Zenprise became part of the Company's Enterprise and Service Provider...

  • Page 80
    ...2013 The purchase prices for the companies acquired during the year ended December 31, 2013, which include Zenprise and the 2013 Other Acquisitions (collectively, the "2013 Acquisitions"), were allocated to the acquired net tangible and intangible assets based on estimated fair values as of the date...

  • Page 81
    ... In July 2012, the Company acquired all of the issued and outstanding securities of ByteMobile, Inc. ("ByteMobile"), a privately-held provider of data and video optimization solutions for mobile network operators. ByteMobile became part of the Company's Enterprise and Service Provider division and...

  • Page 82
    CITRIX SYSTEMS, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS The purchase price for ByteMobile was allocated to the acquired net tangible and intangible assets based on its estimated fair value as of the date of the acquisition. The allocation of the total purchase price is summarized below (in ...

  • Page 83
    ..."). The Framehawk solution, which optimizes the delivery of virtual desktops and applications to mobile devices, will be combined with HDX technology in the Citrix XenApp and XenDesktop products to deliver an unparalleled user experience under adverse network conditions. The total preliminary...

  • Page 84
    ..., which require the reporting entity to develop its own assumptions. Available-for-sale securities included in Level 2 are valued utilizing inputs obtained from an independent pricing service (the "Service") which uses quoted market prices for identical or comparable instruments rather than direct...

  • Page 85
    ...portfolio generally consists of high quality, investment grade securities from diverse issuers with a minimum credit rating of A-/A3 and a minimum weighted-average credit rating of AA-/ Aa3. The Company values these securities based on pricing from the Service, whose sources may use quoted prices in...

  • Page 86
    ... included in the table below. Investments (in thousands) Balance at December 31, 2012 Purchases of Level 3 securities Transfers out of Level 3 Balance at December 31, 2013 $ 3,341 9,700 (2,750) 10,291 $ Transfers out of Level 3 relate to certain of the Company's investments in convertible debt...

  • Page 87
    CITRIX SYSTEMS, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS 7. EMPLOYEE STOCK-BASED COMPENSATION AND BENEFIT PLANS Plans The Company's stock-based compensation program is a long-term retention program that is intended to attract and reward talented employees and align stockholder and employee ...

  • Page 88
    CITRIX SYSTEMS, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS Income Statement Classifications 2013 2012 2011 Cost of services revenues Research and development Sales, marketing and services General and administrative Total Stock Options $ $ 2,540 63,448 65,549 52,404 183,941 $ $ 2,111 54,...

  • Page 89
    ... and service conditions. The number of non-vested stock units underlying each award will be determined within sixty days of the calendar year following the end of a three-year performance period ending December 31, 2015 for the March 2013 awards and December 31, 2014 for the March 2012 awards. The...

  • Page 90
    ... directors. These awards vest monthly in 12 equal installments based on service and, upon vesting, each stock unit represents the right to receive one share of the Company's common stock. The following table summarizes the Company's non-vested stock unit activity for the year ended December 31, 2013...

  • Page 91
    CITRIX SYSTEMS, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS Shares for Tax Withholding During the years ended December 31, 2013, 2012 and 2011, the Company withheld 444,657 shares, 269,745 shares and 182,203 shares, respectively, from stock units that vested. Amounts withheld to satisfy minimum ...

  • Page 92
    ... fiscal year ended December 31, 2014, which are based on amount of usage, of approximately $18.2 million. The Company does not have any purchase obligations beyond December 31, 2014. 10. INCOME TAXES The United States and foreign components of income before income taxes are as follows: 2013 2012 (In...

  • Page 93
    ... assets and liabilities consisted of the following: December 31, 2013 (In thousands) 2012 Deferred tax assets: Accruals and reserves Deferred revenue Tax credits Net operating losses Other Stock based compensation Depreciation and amortization Valuation allowance Total deferred tax assets Deferred...

  • Page 94
    ...tax rate to the statutory federal rate is as follows: Year Ended December 31, 2013 2012 2011 Federal statutory taxes State income taxes, net of federal tax benefit Foreign operations Permanent differences Tax credits Stock option compensation Change in accruals for uncertain tax positions Other 35...

  • Page 95
    ...CODM") evaluates the Company's performance based primarily on profitability from its Enterprise and Service Provider division products and SaaS division products. Segment profit for each segment includes certain research and development, sales, marketing, general and administrative expenses directly...

  • Page 96
    ...,746 2,206,392 $ $ $ Mobile and Desktop revenues are primarily comprised of sales from the Company's desktop and application virtualization products, XenDesktop and XenApp, and the Company's Mobility products, which include XenMobile and related license updates and maintenance and support. F-32

  • Page 97
    ... products which include XenServer, CloudPlatform and CloudPortal and related license updates and maintenance and support. Professional services revenues are primarily comprised of revenues from consulting services and product training and certification services. The following table presents revenues...

  • Page 98
    ... $165 Accrued expenses and other current liabilities $52 The Effect of Derivative Instruments on Financial Performance For the Year ended December 31, (In thousands) Amount of Gain Recognized in Other Comprehensive Income (Loss) (Effective Portion) 2013 2012 Location of Loss Reclassified from...

  • Page 99
    ... information): Year Ended December 31, 2013 2012 2011 Numerator: Net income attributable to Citrix Systems, Inc. stockholders $ Denominator: Denominator for basic earnings per share - weighted-average shares outstanding Effect of dilutive employee stock awards: Employee stock awards Denominator for...

  • Page 100
    ... allocated to Research and development, Sales, marketing and services, and General and administrative are not individually significant. 15. RECENT ACCOUNTING PRONOUNCEMENTS In July 2013, the Financial Accounting Standards Board issued an accounting standard update that provides explicit guidance on...

  • Page 101
    ...of approximately $17.3 million made to the captions "Excess tax benefit from stock based compensation" and "Income taxes, net" for the three months ended March 31, 2013. Accordingly, the adjusted net cash provided by operating activities and net cash used in financing activities for the three months...

  • Page 102
    CITRIX SYSTEMS, INC. SCHEDULE II VALUATION AND QUALIFYING ACCOUNTS Beginning of Period Charged to Costs and Expenses Charged to Other Accounts (In thousands) Balance at End of Period Deductions 2013 Deducted from asset accounts: Allowance for doubtful accounts $ 3,883 Allowance for returns 2,564 ...

  • Page 103
    ... to Amended and Restated 2005 Employee Stock Purchase Plan (incorporated by reference herein to Exhibit 10.17 to the Company's Annual Report on Form 10-K for the year ended December 31, 2012) Citrix Systems, Inc. Executive Bonus Plan Change in Control Agreement dated as of August 4, 2005 by and...

  • Page 104
    ... Act of 2002 XBRL (eXtensible Business Reporting Language). The following materials from Citrix Systems, Inc.'s Annual Report on Form 10-K for the year ended December 31, 2013 formatted in XBRL: (i) the Consolidated Balance Sheets, (ii) the Consolidated Statements of Income, (iii) the Consolidated...

  • Page 105
    ... shows the non-GAAP financial measures used in this Annual Report reconciled to the most directly comparable GAAP financial measures. Twelve Months Ended December 31, 2013 GAAP earnings per share - diluted Add: stock-based compensation Add: amortization of product related intangible assets Add...

  • Page 106
    ..., the Company in the future may exclude amortization primarily related to newly acquired intangible assets, and the related tax effects from financial measures that it releases, and the Company expects to continue to incur stock-based compensation expenses. Annual Report 2013 Citrix Systems, Inc.

  • Page 107
    ...licensing models, promotional programs and product mix, all of which may impact revenue recognition; charges in the event of the impairment of acquired assets, investments or licenses; international market readiness, execution and other risks associated with the markets for our products and services...

  • Page 108
    ....19 279.90 237.71 Peer Group consists of companies with an SIC code of 7372. Comparison of cumulative five year total return $350 $300 $250 $200 $150 $100 $50 $0 2008 2009 2010 S&P 500 Index 2011 Nasdaq Index 2012 2013 Peer Group Citrix Systems, Inc. Annual Report 2013 Citrix Systems, Inc.

  • Page 109
    ... seamlessly deliver apps, desktops, data and services to anyone, on any device, over any network or cloud. This year Citrix is celebrating 25 years of innovation, making IT simpler and people more productive with mobile workstyles. With annual revenue in 2013 of $2.9 billion, Citrix solutions are in...

  • Page 110