Financial Highlights and Guidance
Reconciliation of GAAP to Non-GAAP Data
Three Months Ended July 31, 2022
(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
$
244,982 $
(25,090) $
(14,596)
$
Costs of professional services
178,103
(25,838)
(775)
Product development
547,835
(147,181)
(2,236)
Sales and marketing
458,701
(59,878)
(9,388)
General and administrative
140,255
(50,020)
(628)
| | | | |
$
EA
205,296
151,490
398,418
Operating income (loss)
(34,078)
308,007
27,623
389,435
89,607
301,552
Operating margin
(2.2)%
20.1 %
1.7 %
%
19.6 %
Other income (expense), net
(32,789)
(32,789)
Income (loss) before provision for (benefit from)
income taxes
(66,867)
308,007
27,623
268,763
Provision for (benefit from) income taxes
(2,709)
53,773
51,064
Net income (loss)
$
Net income (loss) per share, basic¹
$
Net income (loss) per share, diluted¹
$
55959
(64,158) $
308,007
(0.25) $
(0.25) $
1.21
1.21 $
$
SSS
$
0.11
27,623 $
0.11 $
$
(53,773) $
217,699
(0.21) $
0.86
(0.24) $
0.83
1.
2.
3.
GAAP net loss per share is calculated based upon 254,355 basic and diluted weighted-average shares of common stock. Non-GAAP net income per share is calculated
based upon 254,355 basic and 262,931 diluted weighted-average shares of common stock. The numerator used to compute non-GAAP diluted net income per share was
increased by $1.3 million for after-tax interest expense on our convertible senior notes in accordance with the if-converted method.
Other operating expenses include amortization of acquisition-related intangible assets of $21.5 million and employer payroll tax-related items on employee stock
transactions of $6.1 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 2023, the non-GAAP tax rate was 19%. Included in the per share amount is a dilution impact of $0.03 from the conversion of GAAP diluted net loss per share to
non-GAAP diluted net income per share.View entire presentation