Autodesk 2006 Annual Report Download - page 126

Download and view the complete annual report

Please find page 126 of the 2006 Autodesk annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 144

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120
  • 121
  • 122
  • 123
  • 124
  • 125
  • 126
  • 127
  • 128
  • 129
  • 130
  • 131
  • 132
  • 133
  • 134
  • 135
  • 136
  • 137
  • 138
  • 139
  • 140
  • 141
  • 142
  • 143
  • 144

Note 15. Quarterly Financial Information (Unaudited)
Summarized quarterly financial information for fiscal 2006 and 2005 is as follows:
1st
quarter
2nd
quarter
3rd
quarter
4th
quarter
Fiscal
year
Fiscal 2006
Net revenues ......................... $ 355.1 $373.0 $ 378.3 $416.8 $ 1,523.2
Gross margin ......................... 311.6 328.5 335.9 376.3 1,352.3
Income from operations ............. 90.6 88.9 93.0 97.3 369.8
Net income .......................... 76.1 75.3 94.5 83.0 328.9
Basic net income per share .......... 0.33 0.33 0.41 0.36 1.44
Diluted net income per share ........ 0.31 0.30 0.38 0.33 1.33
Fiscal 2005
Net revenues ......................... $297.9 $279.6 $300.2 $ 356.1 $ 1,233.8
Gross margin ......................... 256.0 239.3 256.8 312.2 1,064.3
Income from operations ............. 53.5 49.3 53.9 78.2 234.9
Net income .......................... 42.5 39.1 74.1 65.8 221.5
Basic net income per share .......... 0.19 0.17 0.33 0.29 0.98
Diluted net income per share ........ 0.18 0.16 0.30 0.26 0.90
Results for the first and third quarters of fiscal 2006 include non-recurring tax benefits of $1.2 million and
$6.9 million, respectively, and the fourth quarter includes a non-recurring tax charge of $1.3 million. In addition,
results for the second and third quarters of fiscal 2006 include non-recurring tax benefits of $1.9 million and
$10.6 million, respectively, related to the impact of the DRD Legislation on prior fiscal years earnings. The fourth
quarter of fiscal 2006 also includes $7.9 million of in-process research and development expenses and $0.7 million
of intangible amortization, bothrelated to the acquisition of Alias. The acquisition of Alias is described at Note 10,
“Business Combinations.”
Results for the first, second, third and fourth quarters of fiscal 2005 include restructuring charges of
$8.3 million, $3.7 million, $2.9 million and $11.8 million, respectively, which related to corporate restructuring
activities. In addition, results for the third quarter of fiscal 2005 include non-recurring tax benefits of $28.7 million,
of which $15.5 million related to the impact of the DRD Legislation on prior fiscal years earnings and $4.3 million
related to a cumulative catch-up adjustment for the effective tax rate impact of the DRD Legislation on the
current fiscal year.
Note 16. Subsequent Events (Unaudited)
In February 2006, Autodesk entered into an agreement to acquire Constructware for approximately
$46 million cash, which is subject to a working capital adjustment. Constructware provides on-demand
communication and collaboration solutions that streamline design, construction and facility project
management. This acquisition, expected to close in the first quarter offiscal 2007, is intended to enable Autodesk
to rapidly expand its Buzzsaw collaborative project management solution with Constructware’s cost, bid and risk
management capabilities. This acquisition will be integrated into the Platform Technology Division and Other
of the Design Solutions Segment.
AUTODESK, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)
80