iRobot 2008 Annual Report Download - page 107

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iROBOT CORPORATION
CONSOLIDATED STATEMENTS OF OPERATIONS
December 27,
2008 December 29,
2007 December 30,
2006
Fiscal Year Ended
(In thousands, except per share amounts)
Revenue:
Product revenue ...................................... $281,187 $227,457 $167,687
Contract revenue ..................................... 26,434 21,624 21,268
Total revenue ...................................... 307,621 249,081 188,955
Cost of revenue:
Cost of product revenue(1) .............................. 190,250 147,689 103,651
Cost of contract revenue(1) ............................. 23,900 18,805 15,569
Total cost of revenue ................................ 214,150 166,494 119,220
Gross margin ........................................ 93,471 82,587 69,735
Operating expenses:
Research and development(1) ............................ 17,566 17,082 17,025
Selling and marketing(1) ............................... 46,866 44,894 33,969
General and administrative(1)............................ 28,840 20,919 18,703
Litigation and related expenses(2)......................... — 2,341 —
Total operating expenses.............................. 93,272 85,236 69,697
Operating (loss) income ................................ 199 (2,649) 38
Other income, net .................................... 926 3,151 3,831
Income before income taxes ............................. 1,125 502 3,869
Income tax expense (benefit) ............................ 369 (8,558) 304
Net income ......................................... $ 756 $ 9,060 $ 3,565
Net income per share
Basic .......................................... $ 0.03 $ 0.37 $ 0.15
Diluted......................................... $ 0.03 $ 0.36 $ 0.14
Number of shares used in per share calculations
Basic .......................................... 24,654 24,229 23,516
Diluted......................................... 25,533 25,501 25,601
(1) Stock-based compensation recorded in 2008, 2007 and 2006 breaks down by expense classification as follows:
December 27,
2008 December 29,
2007 December 30,
2006
Fiscal Year Ended
(In thousands)
Cost of product revenue ................................ $ 753 $ 692 $ 326
Cost of contract revenue................................ 462 386 267
Research and development .............................. 359 377 376
Selling and marketing ................................. 1,055 1,074 389
General and administrative .............................. 3,310 2,182 1,211
(2) Consists of costs for litigation relating to lawsuits filed against Robotic FX, Inc. and Jameel Ahed, as well as
settlement costs related to ending the litigation. See Note 11 to the Consolidated Financial Statements included
elsewhere in this Annual Report on Form 10-K for a more detailed discussion of this litigation and related
settlement.
See accompanying Notes to Consolidated Financial Statements
59
Form 10-K