Adaptec 2003 Annual Report Download - page 19

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ITEM 6. Selected Financial Data
Year Ended December 31, (1)
(in thousands, except for per share data)
2003(2) 2002(3) 2001(4) 2000(5) 1999 (6)
STATEMENT OF OPERATIONS DATA:
Net revenues $ 249,483 $ 218,093 $ 322,738 $ 694,684 $ 295,768
Cost of revenues 87,875 89,542 137,262 166,161 73,439
Gross profit 161,608 128,551 185,476 528,523 222,329
Research and development 119,473 137,734 201,087 178,806 83,676
Marketing, general and administrative 45,974 63,419 90,302 100,589 52,301
Amortization of deferred stock compensation
Research and development 317 2,645 32,506 32,258 3,738
Marketing, general and administrative 691 168 8,678 4,006 1,383
Impairment of property and equipment — 1,824 — — —
Restructuring costs and other special charges 15,314 — 195,186 — —
Impairment of goodwill and purchased
intangible assets — — 269,827 — —
Amortization of goodwill — — 44,010 36,397 1,912
Costs of merger — — — 37,974 866
Acquisition of in process research and
development — — — 38,200 —
Income (loss) from operations (20,161) (77,239) (656,120) 100,293 78,453
Gain on extinguishment of debt 1,700 — — — —
Gain (loss) on investments 2,416 (11,579) (14,591) 58,491 26,800
Provision for (recovery of) income taxes (7,852) (18,858) (17,763) 102,412 41,346
Net income (loss) (7,991) (65,007) (639,054) 75,298 71,829
Net income (loss) per share − basic: (7) $ (0.05) $ (0.38) $ (3.80) $ 0.46 $ 0.49
Net income (loss) per share − diluted: (7) $ (0.05) $ (0.38) $ (3.80) $ 0.41 $ 0.45
Shares used in per share calculation − basic 173,568 170,107 167,967 162,377 146,818
Shares used in per share calculation − diluted 173,568 170,107 167,967 181,891 160,523
BALANCE SHEET DATA:
As of December 31, (1)
(in thousands)
Working capital $ 317,444 $ 229,021 $ 214,471 $ 340,986 $ 191,019
Cash, cash equivalents, short−term
investments, and restricted cash 411,928 416,659 410,729 375,116 214,265
Long−term investment in bonds and notes 41,569 148,894 171,025 — —
Total assets 552,956 728,716 855,341 1,126,090 388,750
Long−term debt (including current portion) 175,000 275,000 275,470 2,333 9,198
Stockholders’ equity 226,297 198,639 272,227 851,318 224,842
(1) The Company’s fiscal year ends on the last Sunday of the calendar year. December 31 has been used as the fiscal year end for
ease of presentation.
(2) Results for the year ended December 31, 2003 include a $15.3 million net charge for restructuring costs, the $1.8 million
elimination of a provision for potential litigation costs, a $2.5 million gain on sale of property and investments, $1.7 million gain on
extinguishment of debt, and a $3.5 million receipt of prior year income taxes. The $15.3 million net charge for restructuring is
comprised of $7.2 million for workforce reduction, $11.9 million for excess facilities, $1.4 for asset impairments, $4.5 million reversal
of excess facilities costs related to our October 2001 restructuring and $0.7million reversal of excess workforce reduction costs related
to our January 2003 restructuring plan.
(3) Results for the year ended December 31, 2002 include a $4.0 million allowance for inventories in excess of twelve−month
demand, recorded in cost of revenues, a $1.8 million write−down for impairment of property and equipment, a $15.3 million charge
for impairment of other investments recorded in gain (loss) on investments and a $3.8 million gain on sale of other investments. In