Q2 2018 Earnings

Reported August 23, 2018

Quarter Comparison

Revenue

Operating Income

Gross Margin

Net Margin

EPS (Diluted)

Metric	Q2 2018	Q1 2018	Q2 2017	QoQ Change	YoY Change
Revenue	$161M	$167M	$175M	-3.6%	-8.2%
Op. Income	$19M	$20M	$10M	-6.2%	93.2%
Gross Margin	68.2%	65.8%	61.6%	2.3pp	6.5pp
Net Margin	17.8%	6.1%	5.8%	11.7pp	12.0pp
EPS (Diluted)	$49.44	$17.60	$17.89	180.9%	176.3%

Revenue Flow

Item	Amount
REVENUE	$161M
Cost of Revenue	$51M
GROSS PROFIT	$110M
R&D Expenses	$23M
Selling & Marketing	$54M
General & Administrative	$15M
SG&A Expenses	$69M
Other Expenses	$8M
Operating Expenses	$90M
Cost & Expenses	$142M
OPERATING INCOME	$19M
Interest Income	$3M
Interest Expense	$0
Other Income/Expenses	$14M
INCOME BEFORE TAX	$32M
Income Tax Expense	$4M
Net Income from Continuing Ops	$28M
Net Income from Discontinued Ops	$0
Other Adjustments	$0
NET INCOME	$29M
Net Income Deductions	$0
BOTTOM LINE NET INCOME	$29M
D&A	-$2M
EBIT	$20M
EBITDA	$20M
EPS	$51
EPS Diluted	$49

Income Statement

Item	Amount
REVENUE	$161M
Cost of Revenue	$51M
GROSS PROFIT	$110M
R&D Expenses	$23M
Selling & Marketing	$54M
General & Administrative	$15M
SG&A Expenses	$69M
Other Expenses	$8M
Operating Expenses	$90M
Cost & Expenses	$142M
OPERATING INCOME	$19M
Interest Income	$3M
Interest Expense	$0
Other Income/Expenses	$14M
INCOME BEFORE TAX	$32M
Income Tax Expense	$4M
Net Income from Continuing Ops	$28M
Net Income from Discontinued Ops	$0
Other Adjustments	$0
NET INCOME	$29M
Net Income Deductions	$0
BOTTOM LINE NET INCOME	$29M
D&A	-$2M
EBIT	$20M
EBITDA	$20M
EPS	$51
EPS Diluted	$49

Balance Sheet

Item	Amount
Cash & Equivalents	$266M
Short-Term Investments	$0
Net Receivables	$104M
Inventory	-$246M
Other Current Assets	$124M
TOTAL CURRENT ASSETS	$741M
PP&E (Net)	$11M
Goodwill	$94M
Intangible Assets	$9M
Long-Term Investments	$196M
Tax Assets	$9M
Other Non-Current Assets	$7M
TOTAL NON-CURRENT ASSETS	$326M
TOTAL ASSETS	$1.1B
Account Payables	$26M
Short-Term Debt	$0
Deferred Revenue	$0
Other Current Liabilities	$14M
TOTAL CURRENT LIABILITIES	$242M
Long-Term Debt	$0
Deferred Revenue NC	$0
Deferred Tax Liabilities	$11M
Other Non-Current Liabilities	$19M
TOTAL NON-CURRENT LIABILITIES	$19M
TOTAL LIABILITIES	$1.1B
Common Stock	$33.6K
Additional Paid-In Capital	$391M
Retained Earnings	$267M
Treasury Stock	$0
Accum. Other Comp. Income	$3M
Other Equity	-$657M
TOTAL STOCKHOLDERS' EQUITY	$3M
Minority Interest	$130M
TOTAL EQUITY	$133M
TOTAL LIABILITIES & EQUITY	$1.1B
Total Debt	$0
Net Debt	-$266M