EMC 2006 Annual Report Download - page 47

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Table of Contents
EMC CORPORATION
CONSOLIDATED INCOME STATEMENTS
(in thousands, except per share amounts)
For the Year Ended December 31,
2006
2005
2004
Revenues:
Product sales $ 8,078,042 $ 7,009,026 $ 6,055,121
Services 3,077,048 2,654,929 2,174,367
11,155,090 9,663,955 8,229,488
Costs and expenses:
Cost of product sales 3,906,771 3,363,017 3,040,560
Cost of services 1,335,120 1,108,119 974,321
Research and development 1,254,193 1,004,829 847,899
Selling, general and administrative 3,253,274 2,605,977 2,266,665
In-process research and development 35,410 17,370 17,440
Restructuring charges 162,564 84,221 38,610
Operating income 1,207,758 1,480,422 1,043,993
Investment income 224,949 190,434 156,726
Interest expense (34,123) (7,988) (7,516)
Other expense, net (8,566) (10,625) (8,173)
Income before taxes and cumulative effect of a change in accounting principle 1,390,018 1,652,243 1,185,030
Income tax provision 162,664 519,078 313,841
Income before cumulative effect of a change in accounting principle 1,227,354 1,133,165 871,189
Cumulative effect of a change in accounting principle, net of tax benefit of $808, $0 and $0 (3,372) — —
Net income $ 1,223,982 $ 1,133,165 $ 871,189
Net income per weighted average share, basic:
Income before cumulative effect of a change in accounting principle $ 0.55 $ 0.48 $ 0.36
Cumulative effect of a change in accounting principle — — —
Net income $ 0.54 $ 0.48 $ 0.36
Net income per weighted average share, diluted:
Income before cumulative effect of a change in accounting principle $ 0.54 $ 0.47 $ 0.36
Cumulative effect of a change in accounting principle — — —
Net income $ 0.54 $ 0.47 $ 0.36
Weighted average shares, basic 2,248,431 2,382,977 2,402,198
Weighted average shares, diluted 2,286,304 2,432,582 2,450,570
The accompanying notes are an integral part of the consolidated financial statements.
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