Financial Highlights and Guidance slide image

Financial Highlights and Guidance

Reconciliation of GAAP to Non-GAAP Data Three Months Ended July 31, 2023 (in thousands, except percentages and per share data) Costs and expenses: GAAP Share-Based Compensation Expenses Other Operating Expenses² Income Tax and Non-GAAP Dilution Effects³ Costs of subscription services $ 255,684 $ (29,988) $ (14,688) $ Costs of professional services 192,416 (28,754) (1,425) Product development 609,677 (161,975) (4,543) Sales and marketing 524,186 (66,632) (11,035) General and administrative 168,546 (64,563) (1,572) | | | | | $ 211,008 162,237 443,159 446,519 102,411 Operating income (loss) 36,257 351,912 33,263 Operating margin 2.0 % 19.7 % 1.9 % 421,432 % 23.6 % Other income (expense), net 45,555 45,555 Income (loss) before provision for (benefit from) 81,812 351,912 33,263 466,987 income taxes Provision for (benefit from) income taxes 3,152 85,575 88,727 Net income (loss) Net income (loss) per share, basic¹ Net income (loss) per share, diluted1 1. 2. 67 6969 $ 78,660 $ $ $ 0.30 0.30 $ $ 1.33 351,912 $ 1.35 $ $ 0.13 33,263 $ $ (85,575) $ (0.33) $ 378,260 1.45 0.13 $ (0.33) $ 1.43 3. GAAP and non-GAAP net income per share are both calculated based upon 261,191 basic and 264,435 diluted weighted-average shares of common stock. Other operating expenses include amortization of acquisition-related intangible assets of $21.2 million and employer payroll tax-related items on employee stock transactions of $12.1 million. We utilize a fixed long-term projected tax rate in our computation of the non-GAAP income tax provision to provide better consistency across the reporting periods. For fiscal 2024, the non-GAAP tax rate is 19%.
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