Reconciliation of GAAP to Non-GAAP Data slide image

Reconciliation of GAAP to Non-GAAP Data

Reconciliation of GAAP to Non-GAAP Data Nine Months Ended October 31, 2023 (in thousands, except percentages and per share data) Costs and expenses: GAAP Share-Based Compensation Expenses Other Operating Expenses² Income Tax and Dilution Effects³ Non-GAAP Costs of subscription services $ Costs of professional services 758,551 $ 552,233 (89,793) $ (39,500) $ 629,258 (87,532) (5,537) Product development 1,828,870 (493,934) (18,806) 459,164 1,316,130 Sales and marketing 1,580,639 (211,560) (35,222) General and administrative 512,148 (187,810) (5,468) Operating income (loss) 104,312 1,070,629 104,533 1,333,857 318,870 1,279,474 Operating margin 2.0 % 20.1 % 1.9 % % 24.0 % Other income (expense), net 113,652 113,652 Income (loss) before provision for (benefit from) income taxes 217,964 1,070,629 104,533 1,393,126 Provision for (benefit from) income taxes 25,459 Net income (loss) $ 192,505 69 $ Net income (loss) per share, basic¹ $ Net income (loss) per share, diluted¹ $ 0.74 $ 0.73 $ 1. (0.91) $ GAAP and non-GAAP net income per share are both calculated based upon 260,747 basic and 264,087 diluted weighted-average shares of common stock. 1,070,629 $ 4.11 $ $ 4.05 104,533 $ 0.40 $ 0.40 $ 239,235 (239,235) $ (0.92) $ 264,694 1,128,432 4.33 4.27 2. Other operating expenses include amortization of acquisition-related intangible assets of $58.4 million and employer payroll tax-related items on employee stock transactions of $46.2 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 is 19%.
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