Q2 2018 Earnings

Reported June 29, 2018

Quarter Comparison

Revenue

Operating Income

Gross Margin

Net Margin

EPS (Diluted)

Metric	Q2 2018	Q1 2018	Q2 2017	QoQ Change	YoY Change
Revenue	$4.1B	—	$4.0B	—	1.7%
Op. Income	$279M	—	$306M	—	-8.7%
Gross Margin	28.1%	—	26.5%	—	1.6pp
Net Margin	4.3%	—	3.8%	—	0.5pp
EPS (Diluted)	$0.35	—	$0.31	—	12.9%

Revenue Flow

Item	Amount
REVENUE	$4.1B
Cost of Revenue	$2.9B
GROSS PROFIT	$1.1B
R&D Expenses	$28M
Selling & Marketing	$0
General & Administrative	$0
SG&A Expenses	$783M
Other Expenses	$52M
Operating Expenses	$862M
Cost & Expenses	$3.8B
OPERATING INCOME	$279M
Interest Income	$43M
Interest Expense	$49M
Other Income/Expenses	-$6M
INCOME BEFORE TAX	$274M
Income Tax Expense	$77M
Net Income from Continuing Ops	$196M
Net Income from Discontinued Ops	$0
Other Adjustments	-$1
NET INCOME	$176M
Net Income Deductions	$45.5K
BOTTOM LINE NET INCOME	$176M
D&A	$575M
EBIT	$279M
EBITDA	$854M
EPS	$0
EPS Diluted	$0

Income Statement

Item	Amount
REVENUE	$4.1B
Cost of Revenue	$2.9B
GROSS PROFIT	$1.1B
R&D Expenses	$28M
Selling & Marketing	$0
General & Administrative	$0
SG&A Expenses	$783M
Other Expenses	$52M
Operating Expenses	$862M
Cost & Expenses	$3.8B
OPERATING INCOME	$279M
Interest Income	$43M
Interest Expense	$49M
Other Income/Expenses	-$6M
INCOME BEFORE TAX	$274M
Income Tax Expense	$77M
Net Income from Continuing Ops	$196M
Net Income from Discontinued Ops	$0
Other Adjustments	-$1
NET INCOME	$176M
Net Income Deductions	$45.5K
BOTTOM LINE NET INCOME	$176M
D&A	$575M
EBIT	$279M
EBITDA	$854M
EPS	$0
EPS Diluted	$0

Balance Sheet

Item	Amount
Cash & Equivalents	$1.5B
Short-Term Investments	$583M
Net Receivables	$3.6B
Inventory	$403M
Other Current Assets	$1.1B
TOTAL CURRENT ASSETS	$7.2B
PP&E (Net)	$8.8B
Goodwill	$128M
Intangible Assets	$1.5B
Long-Term Investments	$2.0B
Tax Assets	$219M
Other Non-Current Assets	$364M
TOTAL NON-CURRENT ASSETS	$13.1B
TOTAL ASSETS	$20.3B
Account Payables	$759M
Short-Term Debt	$1.3B
Deferred Revenue	$36M
Other Current Liabilities	$3.9B
TOTAL CURRENT LIABILITIES	$6.2B
Long-Term Debt	$3.2B
Deferred Revenue NC	$77M
Deferred Tax Liabilities	$100M
Other Non-Current Liabilities	$1.1B
TOTAL NON-CURRENT LIABILITIES	$4.4B
TOTAL LIABILITIES	$10.6B
Common Stock	$1.1B
Additional Paid-In Capital	$978M
Retained Earnings	$3.8B
Treasury Stock	-$578M
Accum. Other Comp. Income	$3.5B
Other Equity	$1
TOTAL STOCKHOLDERS' EQUITY	$8.7B
Minority Interest	$1.0B
TOTAL EQUITY	$9.7B
TOTAL LIABILITIES & EQUITY	$20.3B
Total Debt	$4.5B
Net Debt	$3.0B