CHKP FY 2007 Earnings Report — Check Point Software Technologies Ltd. Revenue & Financial Results | Market Cap Arena

Check Point Software Technologies Ltd.CHKP

FY 2007 Earnings

Reported March 3, 2008

Quarter Comparison

Revenue

Operating Income

Gross Margin

Net Margin

EPS (Diluted)

Free Cash Flow

Metric	FY 2007	Prior Q	FY 2006	QoQ Change	YoY Change
Revenue	$731M	—	$575M	—	27.1%
Op. Income	$280M	—	$275M	—	1.7%
Gross Margin	88.7%	—	93.7%	—	-4.9pp
Net Margin	38.5%	—	48.3%	—	-9.9pp
EPS (Diluted)	$1.25	—	$1.17	—	6.8%
Free Cash Flow	$358M	—	$323M	—	11.0%

Revenue Flow

Item	Amount
REVENUE	$731M
Cost of Revenue	$82M
GROSS PROFIT	$649M
R&D Expenses	$81M
Selling & Marketing	$0
General & Administrative	$0
SG&A Expenses	$271M
Other Expenses	$0
Operating Expenses	$352M
Cost & Expenses	$434M
OPERATING INCOME	$280M
Interest Income	$0
Interest Expense	$0
Other Income/Expenses	$50M
INCOME BEFORE TAX	$329M
Income Tax Expense	$48M
Net Income from Continuing Ops	$281M
Net Income from Discontinued Ops	$0
Other Adjustments	$0
NET INCOME	$281M
Net Income Deductions	$0
BOTTOM LINE NET INCOME	$281M
D&A	$48M
EBIT	$297M
EBITDA	$345M
EPS	$1
EPS Diluted	$1

Income Statement

Item	Amount
REVENUE	$731M
Cost of Revenue	$82M
GROSS PROFIT	$649M
R&D Expenses	$81M
Selling & Marketing	$0
General & Administrative	$0
SG&A Expenses	$271M
Other Expenses	$0
Operating Expenses	$352M
Cost & Expenses	$434M
OPERATING INCOME	$280M
Interest Income	$0
Interest Expense	$0
Other Income/Expenses	$50M
INCOME BEFORE TAX	$329M
Income Tax Expense	$48M
Net Income from Continuing Ops	$281M
Net Income from Discontinued Ops	$0
Other Adjustments	$0
NET INCOME	$281M
Net Income Deductions	$0
BOTTOM LINE NET INCOME	$281M
D&A	$48M
EBIT	$297M
EBITDA	$345M
EPS	$1
EPS Diluted	$1

Cash Flow Statement

Item	Amount
Net Income	$281M
Depreciation & Amortization	$48M
Stock-Based Compensation	$0
Deferred Income Tax	-$19M
Other Non-Cash Items	$45M
Change in Working Capital	$20M
OPERATING CASH FLOW	$375M
Capital Expenditure	-$17M
Acquisitions (Net)	-$598M
Purchases of Investments	-$188M
Sales/Maturities of Investments	$596M
Other Investing Activities	$0
NET CASH FROM INVESTING	-$206M
Net Debt Issuance	$0
Common Stock Repurchased	-$210M
Common Dividends Paid	$0
Other Financing Activities	$7M
NET CASH FROM FINANCING	-$178M
FREE CASH FLOW	$358M
Net Change in Cash	-$10M

Balance Sheet

Item	Amount
Cash & Equivalents	$510M
Short-Term Investments	$332M
Net Receivables	$202M
Inventory	$0
Other Current Assets	$22M
TOTAL CURRENT ASSETS	$1.1B
PP&E (Net)	$57M
Goodwill	$665M
Intangible Assets	$160M
Long-Term Investments	$0
Tax Assets	$15M
Other Non-Current Assets	$409M
TOTAL NON-CURRENT ASSETS	$1.3B
TOTAL ASSETS	$2.4B
Account Payables	$6M
Short-Term Debt	$0
Deferred Revenue	$274M
Other Current Liabilities	$75M
TOTAL CURRENT LIABILITIES	$390M
Long-Term Debt	$0
Deferred Revenue NC	$0
Deferred Tax Liabilities	$31M
Other Non-Current Liabilities	$107M
TOTAL NON-CURRENT LIABILITIES	$139M
TOTAL LIABILITIES	$512M
Common Stock	$774.0K
Additional Paid-In Capital	$464M
Retained Earnings	$2.3B
Treasury Stock	-$907M
Accum. Other Comp. Income	$1M
Other Equity	$0
TOTAL STOCKHOLDERS' EQUITY	$1.9B
Minority Interest	$0
TOTAL EQUITY	$1.9B
TOTAL LIABILITIES & EQUITY	$2.4B
Total Debt	$0
Net Debt	-$510M