Q2 2016 Earnings

Reported June 29, 2016

Quarter Comparison

Revenue

Operating Income

Gross Margin

Net Margin

EPS (Diluted)

Metric	Q2 2016	Q1 2016	Q2 2015	QoQ Change	YoY Change
Revenue	$3.8B	$3.7B	—	2.9%	—
Op. Income	$288M	$260M	—	10.9%	—
Gross Margin	61.2%	59.3%	—	1.9pp	—
Net Margin	4.1%	3.4%	—	0.7pp	—
EPS (Diluted)	$0.32	$0.26	—	23.7%	—

Revenue Flow

Item	Amount
REVENUE	$3.8B
Cost of Revenue	$1.5B
GROSS PROFIT	$2.3B
R&D Expenses	$26M
Selling & Marketing	$360M
General & Administrative	$693M
SG&A Expenses	$1.1B
Other Expenses	$7M
Operating Expenses	$2.1B
Cost & Expenses	$3.5B
OPERATING INCOME	$288M
Interest Income	$11M
Interest Expense	$59M
Other Income/Expenses	-$68M
INCOME BEFORE TAX	$220M
Income Tax Expense	$48M
Net Income from Continuing Ops	$172M
Net Income from Discontinued Ops	$0
Other Adjustments	$0
NET INCOME	$155M
Net Income Deductions	$0
BOTTOM LINE NET INCOME	$155M
D&A	$560M
EBIT	$279M
EBITDA	$839M
EPS	$0
EPS Diluted	$0

Income Statement

Item	Amount
REVENUE	$3.8B
Cost of Revenue	$1.5B
GROSS PROFIT	$2.3B
R&D Expenses	$26M
Selling & Marketing	$360M
General & Administrative	$693M
SG&A Expenses	$1.1B
Other Expenses	$7M
Operating Expenses	$2.1B
Cost & Expenses	$3.5B
OPERATING INCOME	$288M
Interest Income	$11M
Interest Expense	$59M
Other Income/Expenses	-$68M
INCOME BEFORE TAX	$220M
Income Tax Expense	$48M
Net Income from Continuing Ops	$172M
Net Income from Discontinued Ops	$0
Other Adjustments	$0
NET INCOME	$155M
Net Income Deductions	$0
BOTTOM LINE NET INCOME	$155M
D&A	$560M
EBIT	$279M
EBITDA	$839M
EPS	$0
EPS Diluted	$0

Balance Sheet

Item	Amount
Cash & Equivalents	$2.1B
Short-Term Investments	$296M
Net Receivables	$3.1B
Inventory	$293M
Other Current Assets	$1.4B
TOTAL CURRENT ASSETS	$6.0B
PP&E (Net)	$9.3B
Goodwill	$0
Intangible Assets	$1.6B
Long-Term Investments	$632M
Tax Assets	$526M
Other Non-Current Assets	$1.3B
TOTAL NON-CURRENT ASSETS	$13.4B
TOTAL ASSETS	$19.3B
Account Payables	$773M
Short-Term Debt	$1.5B
Deferred Revenue	$41M
Other Current Liabilities	$3.5B
TOTAL CURRENT LIABILITIES	$5.8B
Long-Term Debt	$4.0B
Deferred Revenue NC	$58M
Deferred Tax Liabilities	$85M
Other Non-Current Liabilities	$1.1B
TOTAL NON-CURRENT LIABILITIES	$5.1B
TOTAL LIABILITIES	$10.9B
Common Stock	$1.1B
Additional Paid-In Capital	$974M
Retained Earnings	$6.3B
Treasury Stock	-$585M
Accum. Other Comp. Income	-$3M
Other Equity	$0
TOTAL STOCKHOLDERS' EQUITY	$7.5B
Minority Interest	$883M
TOTAL EQUITY	$8.4B
TOTAL LIABILITIES & EQUITY	$19.3B
Total Debt	$5.6B
Net Debt	$3.5B