Blizzard 2003 Annual Report Download - page 11

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Selected Consolidated Financial Data
The following table summarizes certain selected consolidated financial data, which should be read in con-
junction with our Consolidated Financial Statements and Notes thereto and with Management’s
Discussion and Analysis of Financial Condition and Results of Operations included elsewhere herein. The
selected consolidated financial data presented below as of and for each of the fiscal years in the five-year
period ended March 31, 2003 are derived from our audited consolidated financial statements. The
Consolidated Balance Sheets as of March 31, 2003 and 2002 and the Consolidated Statements of
Operations and Consolidated Statements of Cash Flows for each of the fiscal years in the three-year
period ended March 31, 2003, and the report thereon, are included elsewhere in this Annual Report.
Restated(1)
(In thousands, except per share data)
Year ended March 31, 2003(2) 2002(2) 2001 2000 1999
Statement of Operations Data:
Net revenues $ 864,116 $786,434 $620,183 $572,205 $436,526
Cost of sales—product costs 440,977 435,725 324,907 319,422 260,041
Cost of sales—intellectual property
licenses and software royalties
and amortization 124,196 99,006 89,702 91,238 36,990
Income (loss) from operations 94,847 80,574 39,807 (30,325) 26,667
Income (loss) before income tax
provision (benefit) 103,407 83,120 32,544 (38,736) 23,636
Net income (loss) 66,180 52,238 20,507 (34,088) 14,891
Basic earnings (loss) per share 0.69 0.69 0.37 (0.61) 0.29
Diluted earnings (loss) per share 0.64 0.59 0.33 (0.61) 0.28
Basic weighted average common
shares outstanding 96,239 75,977 55,947 55,556 51,438
Diluted weighted average common
shares outstanding 103,655 89,183 61,650 55,556 53,847
Cash Provided by (Used in):
Operating activities 90,975 111,792 81,565 2,883 (42,341)
Investing activities (155,101) (8,701) (8,631) (25,041) (3,800)
Financing activities 64,090 50,402 2,547 42,028 7,220
As of March 31, 2003(2) 2002(2) 2001 2000 1999
Balance Sheet Data:
Working capital $ 422,500 $333,199 $182,980 $158,225 $136,355
Cash, cash equivalents and
short-term investments 406,954 279,007 125,550 49,985 33,037
Capitalized software development
and intellectual property licenses 107,921 56,742 42,205 40,808 45,016
Goodwill 68,019 35,992 10,316 12,347 21,647
Total assets 704,816 556,887 359,957 309,737 283,345
Long-term debt 2,671 3,122 63,401 73,778 61,143
Shareholders’ equity 597,740 430,091 181,306 132,009 127,190
(1) Consolidated financial information for fiscal years 2002–1999 has been restated for the effect of our three-for-two stock split effected in the
form of a 50% stock dividend to shareholders of record as of May 16, 2003, payable June 6, 2003.
(2) Effective April 1, 2001, we adopted the provisions of Statement of Financial Accounting Standards (“SFAS”) No. 142, “Goodwill and Other
Intangibles.” SFAS No. 142 addresses financial accounting and reporting requirements for acquired goodwill and other intangible assets. Under
SFAS No. 142, goodwill is deemed to have an indefinite useful life and should not be amortized but rather tested at least annually for impair-
ment. In accordance with SFAS No. 142, we have not amortized goodwill during the years ended March 31, 2003 and 2002. See Note 7 of
Notes to the Consolidated Financial Statements included elsewhere in this Annual Report.
Activision 2003