Financial Highlights and Guidance slide image

Financial Highlights and Guidance

Reconciliation of GAAP to Non-GAAP Data Six Months Ended July 31, 2023 (in thousands, except percentages and per share data) GAAP Share-Based Compensation Expenses Other Operating Expenses² Income Tax and Dilution Effects³ Non-GAAP Costs and expenses: Costs of subscription services Costs of professional services Product development Sales and marketing General and administrative $ 494,711 $ 370,833 (59,250) $ (30,360) $ 405,101 (58,794) (4,440) 307,599 1,210,134 (331,909) (15,800) 862,425 1,042,823 (146,755) (24,784) 871,284 336,120 (124,664) (4,163) 207,293 Operating income (loss) 16,457 721,372 79,547 817,376 Operating margin 0.5% 20.8 % 2.2 % % 23.5 % Other income (expense), net 72,264 72,264 Income (loss) before provision for (benefit from) 88,721 721,372 79,547 889,640 income taxes Provision for (benefit from) income taxes 9,925 159,106 169,031 Net income (loss) $ Net income (loss) per share, basic¹ Net income (loss) per share, diluted¹ 0.30 78,796 $ 0.30 $ $ 721,372 $ 2.77 $ 2.74 79,547 $ 0.31 $ 6969 (159,106) $ 720,609 (0.61) 2.77 $ 0.30 $ (0.60) $ 2.74 1. GAAP and non-GAAP net income per share are both calculated based upon 260,026 basic and 262,923 diluted weighted-average shares of common stock. 2. Other operating expenses include amortization of acquisition-related intangible assets of $42.4 million and employer payroll tax-related items on employee stock transactions of $37.1 million. 3. 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 was 19%.
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