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Table of Contents
VMware, Inc.
CONSOLIDATED STATEMENTS OF INCOME
(in thousands, except per share amounts)
The accompanying notes are an integral part of the consolidated financial statements.
61
For the Year Ended December 31,
2011
2010
2009
Revenues:
License
$
1,841,169
$
1,401,424
$
1,029,442
Services
1,925,927
1,455,919
994,495
3,767,096
2,857,343
2,023,937
Operating expenses
(1)
:
Cost of license revenues
207,398
177,458
126,686
Cost of services revenues
414,589
316,257
233,042
Research and development
775,051
652,968
496,552
Sales and marketing
1,334,346
1,013,281
736,383
General and administrative
300,541
269,386
211,979
Operating income
735,171
427,993
219,295
Investment income
16,157
6,633
8,233
Interest expense with EMC
(3,906
)
(4,069
)
(6,958
)
Other income (expense), net
46,991
(14,182
)
2,879
Income before income taxes
794,413
416,375
223,449
Income tax provision
70,477
58,936
26,351
Net income
$
723,936
$
357,439
$
197,098
Net income per weighted-average share, basic for Class A and Class B
$
1.72
$
0.87
$
0.50
Net income per weighted-average share, diluted for Class A and Class B
$
1.68
$
0.84
$
0.49
Weighted-average shares, basic for Class A and Class B
421,188
409,805
394,269
Weighted-average shares, diluted for Class A and Class B
431,750
423,446
399,776
_______________________
(1) Includes stock-based compensation as follows:
Cost of license revenues
$
1,606
$
1,653
$
1,293
Cost of services revenues
23,389
18,478
14,874
Research and development
174,264
164,435
121,770
Sales and marketing
95,688
73,146
58,610
General and administrative
40,206
33,979
34,909