Computer Associates 2004 Annual Report Download - page 74

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COMPUTER ASSOCIATES INTERNATIONAL, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
Year Ended March 31,
2004 2003 2002
(in millions, except per share amounts)
Revenue:
Subscription revenue .......................................................................................... $1,961 $1,414 $ 827
Software fees and other .................................................................................... 308 349 388
Maintenance ...................................................................................................... 589 726 924
Financing fees .................................................................................................... 184 290 444
Professional services .......................................................................................... 234 248 303
TOTAL REVENUE................................................................................................ 3,276 3,027 2,886
Operating Expenses:
Amortization of capitalized software costs ........................................................ 463 465 478
Cost of professional services.............................................................................. 220 237 283
Selling, general, and administrative .................................................................... 1,247 1,322 1,675
Product development and enhancements .......................................................... 662 644 656
Commissions and royalties ................................................................................ 267 244 269
Depreciation and amortization of goodwill and other intangible assets ............ 134 140 607
Goodwill impairment .......................................................................................... — 80 31
Other gains/expenses, net.................................................................................. 52 94 35
Shareholder litigation settlement and investigation charge ................................ 168 — —
TOTAL EXPENSES BEFORE INTEREST AND TAXES ........................................ 3,213 3,226 4,034
Income (loss) from continuing operations before interest and taxes ................ 63 (199) (1,148)
Interest expense, net.......................................................................................... 117 169 227
Loss from continuing operations before taxes .................................................. (54) (368) (1,375)
Tax benefit .......................................................................................................... (18) (98) (279)
LOSS FROM CONTINUING OPERATIONS ........................................................ (36) (270) (1,096)
Income (loss) from discontinued operation, inclusive of
realized gain on sale in 2004 of $60, net of income taxes ............................ 61 3 (6)
NET INCOME (LOSS).......................................................................................... $ 25 $ (267) $(1,102)
BASIC EARNINGS (LOSS) PER SHARE
Loss from continuing operations ........................................................................ $ (0.06) $ (0.47) $ (1.90)
Income (loss) from discontinued operation ........................................................ 0.10 0.01 (0.01)
Net income (loss) ................................................................................................ $ 0.04 $ (0.46) $ (1.91)
Basic weighted-average shares used in computation ........................................ 580 575 577
DILUTED EARNINGS (LOSS) PER SHARE
Loss from continuing operations ........................................................................ $ (0.06) $ (0.47) $ (1.90)
Income (loss) from discontinued operation ........................................................ 0.10 0.01 (0.01)
Net income (loss) ................................................................................................ $ 0.04 $ (0.46) $ (1.91)
Diluted weighted-average shares used in computation...................................... 580 575 577
See Accompanying Notes to the Consolidated Financial Statements.
CA 2004 FORM 10-K | PAGE 46