California
|
94-2802192
|
|||
(State
or other jurisdiction of incorporation or organization)
|
(I.R.S.
Employer Identification Number)
|
Large
Accelerated Filer x
|
Accelerated
Filer ¨
|
Non-accelerated
Filer ¨
|
PART
I.
|
Financial
Information
|
Page
|
ITEM
1.
|
Financial
Statements (Unaudited):
|
|
3
|
||
4
|
||
5
|
||
6
|
||
ITEM
2.
|
22
|
|
ITEM
3.
|
33
|
|
ITEM
4.
|
33
|
|
PART
II.
|
Other
Information
|
|
ITEM
1.
|
35
|
|
ITEM
1A.
|
35
|
|
ITEM
6.
|
36
|
|
37
|
ITEM
1.
|
CONDENSED
CONSOLIDATED FINANCIAL STATEMENTS
|
March
30
2007
|
December
29,
2006
|
|||||||
(In
thousands)
|
(1)
|
|||||||
ASSETS
|
||||||||
Current
assets:
|
||||||||
Cash
and cash equivalents
|
$ |
63,571
|
$ |
129,621
|
||||
Accounts
receivable, net
|
216,099
|
172,008
|
||||||
Other
receivables
|
12,323
|
6,014
|
||||||
Inventories,
net
|
127,620
|
112,552
|
||||||
Deferred
income taxes
|
29,286
|
25,905
|
||||||
Other
current assets
|
13,456
|
13,026
|
||||||
Total
current assets
|
462,355
|
459,126
|
||||||
Property
and equipment, net
|
53,735
|
47,998
|
||||||
Goodwill
|
653,835
|
374,510
|
||||||
Other
purchased intangible assets, net
|
212,058
|
67,172
|
||||||
Deferred
income taxes
|
407
|
399
|
||||||
Other
assets
|
44,162
|
29,226
|
||||||
Total
non-current assets
|
964,197
|
519,305
|
||||||
Total
assets
|
$ |
1,426,552
|
$ |
978,431
|
||||
LIABILITIES
AND SHAREHOLDERS' EQUITY
|
||||||||
Current
liabilities:
|
||||||||
Current
portion of long-term debt
|
$ |
9,994
|
$ |
--
|
||||
Accounts
payable
|
67,770
|
44,148
|
||||||
Accrued
compensation and benefits
|
38,527
|
47,006
|
||||||
Accrued
liabilities
|
37,325
|
24,973
|
||||||
Deferred
revenue
|
35,039
|
28,060
|
||||||
Accrued
warranty expense
|
9,616
|
8,607
|
||||||
Deferred
income taxes
|
1,334
|
4,525
|
||||||
Income
taxes payable
|
12,951
|
23,814
|
||||||
Total
current liabilities
|
212,562
|
181,133
|
||||||
Non-current
portion of long-term debt
|
160,487
|
481
|
||||||
Deferred
income tax
|
37,400
|
21,633
|
||||||
Other
non-current liabilities
|
58,694
|
27,519
|
||||||
Total
liabilities
|
469,137
|
230,766
|
||||||
Shareholders'
equity:
|
||||||||
Preferred
stock no par value; 3,000 shares authorized; none
outstanding
|
--
|
--
|
||||||
Common
stock, no par value; 180,000 shares authorized; 118,782 and
111,718 shares issued and outstanding at March 30, 2007 and December
29,
2006, respectively
|
616,512
|
435,371
|
||||||
Retained
earnings
|
299,867
|
271,183
|
||||||
Accumulated
other comprehensive income
|
41,036
|
41,111
|
||||||
Total
shareholders' equity
|
957,415
|
747,665
|
||||||
Total
liabilities and shareholders' equity
|
$ |
1,426,552
|
$ |
978,431
|
(1)
|
Derived
from the December 29, 2006 audited Consolidated Financial Statements
included in the Annual Report on Form 10-K of Trimble Navigation
Limited
for fiscal year 2006.
|
Three
Months Ended
|
||||||||
March
30,
2007
|
March
31,
2006
|
|||||||
(In
thousands, except per share data)
|
||||||||
Revenue (1)
|
$ |
285,732
|
$ |
225,854
|
||||
Cost
of sales (1)
|
142,602
|
118,391
|
||||||
Gross
margin
|
143,130
|
107,463
|
||||||
Operating
expenses
|
||||||||
Research
and development
|
31,163
|
24,446
|
||||||
Sales
and marketing
|
42,147
|
32,706
|
||||||
General
and administrative
|
21,642
|
15,761
|
||||||
Restructuring
charges
|
2,692
|
-
|
||||||
Amortization
of purchased intangible assets
|
4,106
|
1,485
|
||||||
In-process
research and development
|
2,112
|
-
|
||||||
Total
operating expenses
|
103,862
|
74,398
|
||||||
Operating
income
|
39,268
|
33,065
|
||||||
Non-operating
income (expense), net
|
||||||||
Interest
income (expense), net
|
(157 | ) |
434
|
|||||
Foreign
currency transaction gain, net
|
357
|
593
|
||||||
Income
from joint ventures
|
2,422
|
1,616
|
||||||
Other
income, net
|
235
|
164
|
||||||
Total
non-operating income, net
|
2,857
|
2,807
|
||||||
Income
before taxes
|
42,125
|
35,872
|
||||||
Income
tax provision
|
13,442
|
10,044
|
||||||
Net
income
|
$ |
28,683
|
$ |
25,828
|
||||
Basic
earnings per share
|
$ |
0.25
|
$ |
0.24
|
||||
Shares
used in calculating basic earnings per share
|
115,449
|
108,484
|
||||||
Diluted
earnings per share
|
$ |
0.24
|
$ |
0.23
|
||||
Shares
used in calculating diluted earnings per share
|
120,896
|
115,718
|
Three
Months Ended
|
||||||||
March
30,
2007
|
March
31,
2006
|
|||||||
(In
thousands)
|
||||||||
Cash
flow from operating activities:
|
||||||||
Net
income
|
$ |
28,683
|
$ |
25,828
|
||||
Adjustments
to reconcile net income to net cash provided by operating activities,
net
of effect of acquisitions:
|
||||||||
Depreciation
expense
|
4,121
|
3,104
|
||||||
Excess
and obsolescence reserve
|
1,055
|
2,710
|
||||||
Amortization
expense
|
7,894
|
2,380
|
||||||
Provision
for doubtful accounts
|
288
|
360
|
||||||
Stock-based
compensation
|
3,353
|
3,230
|
||||||
Non-cash
restructuring expense
|
1,391
|
-
|
||||||
In-process
research and development
|
2,112
|
-
|
||||||
Gain
from joint ventures
|
(2,423 | ) | (1,616 | ) | ||||
Excess
tax benefit for stock-based compensation
|
(2,193 | ) | (3,941 | ) | ||||
Other
|
153
|
414
|
||||||
Add
decrease (increase) in assets:
|
||||||||
Accounts
receivable, net
|
(28,262 | ) | (26,211 | ) | ||||
Other
receivables
|
1,867
|
2,157
|
||||||
Inventories
|
(1,025 | ) |
3,160
|
|||||
Deferred
income taxes
|
(6,402 | ) | (1,880 | ) | ||||
Other
current and non-current assets
|
11,167
|
(6,827 | ) | |||||
Add
increase (decrease) in liabilities:
|
||||||||
Accounts
payable
|
3,265
|
4,361
|
||||||
Accrued
compensation and benefits
|
(11,618 | ) | (6,601 | ) | ||||
Accrued
liabilities
|
2,063
|
3,503
|
||||||
Deferred
revenue
|
3,296
|
5,410
|
||||||
Income
taxes payable
|
12,962
|
7,336
|
||||||
Net
cash provided by operating activities
|
31,747
|
16,877
|
||||||
Cash
flow from investing activities:
|
||||||||
Acquisitions,
net of cash acquired
|
(272,050 | ) | (2,272 | ) | ||||
Acquisition
of property and equipment
|
(3,873 | ) | (4,972 | ) | ||||
Other
|
12
|
-
|
||||||
Net
cash used in investing activities
|
(275,911 | ) | (7,244 | ) | ||||
Cash
flow from financing activities:
|
||||||||
Issuance
of common stock
|
10,474
|
7,149
|
||||||
Excess
tax benefit for stock-based compensation
|
2,193
|
3,941
|
||||||
Proceeds
from long-term debt and revolving credit lines
|
250,000
|
-
|
||||||
Payments
on long-term debt and revolving credit lines
|
(80,000 | ) |
-
|
|||||
Other
|
- |
10
|
||||||
Net
cash provided by financing activities
|
182,667
|
11,100
|
||||||
Effect
of exchange rate changes on cash and cash equivalents
|
(4,553 | ) |
3,062
|
|||||
Net
increase (decrease) in cash and cash equivalents
|
(66,050 | ) |
23,795
|
|||||
Cash
and cash equivalents, beginning of period
|
129,621
|
73,853
|
||||||
Cash
and cash equivalents, end of period
|
$ |
63,571
|
$ |
97,648
|
NOTE
1. OVERVIEW AND BASIS OF
PRESENTATION
|
Cash
consideration
|
$ |
327,370
|
||
Common
stock consideration
|
161,948
|
|||
Merger
costs *
|
5,099
|
|||
Total
Purchase price
|
$ |
494,417
|
Value
to be allocated to assets, based upon merger consideration
|
$ |
494,417
|
||
Less:
value of @Road’s assets acquired:
|
||||
Net
tangible assets acquired
|
82,642
|
|||
Amortizable
intangibles assets:
|
||||
Developed
product technology
|
66,600
|
|||
Customer
relationships
|
75,300
|
|||
Trademarks
and tradenames
|
5,200
|
|||
Subtotal
|
147,100
|
|||
In-process
research and development
|
2,100
|
|||
Goodwill
|
$ |
262,574
|
(in
thousands)
|
As
of
February
16,
2007
|
|||
Cash
and cash equivalents
|
$ |
10,357
|
||
Investments
|
64,371
|
|||
Accounts
receivable, net
|
14,136
|
|||
Inventory
|
15,284
|
|||
Property
and equipment, net
|
5,854
|
|||
Other
assets
|
28,231
|
|||
Total
assets acquired
|
$ |
138,233
|
||
Accounts
payable
|
19,575
|
|||
Deferred
tax liabilities
|
14,746
|
|||
Other
accrued liabilities
|
21,270
|
|||
Total
liabilities assumed
|
$ |
55,591
|
||
Total
net assets acquired
|
$ |
82,642
|
Three
Months Ended
|
||||||||
March
30,
2007
(a)
|
March
31,
2006
(b)
|
|||||||
Pro-forma
revenue
|
$ |
295,206
|
$ |
244,489
|
||||
Pro-forma
net income
|
19,088
|
20,159
|
||||||
Basic
net income per share
|
$ |
0.17
|
$ |
0.18
|
||||
Diluted
net income per share
|
$ |
0.16
|
$ |
0.16
|
(a)
|
The
results of operations include Trimble’s results for the three months ended
March 30, 2007, including @Road beginning from February 17, 2007,
and
@Road historical results from the beginning of its first quarter
of fiscal
2007 to February 16, 2007, including fair value adjustments based
on the
fair values of assets acquired and liabilities assumed as of the
acquisition date of February 16, 2007. Pro-forma revenue
includes a $4.8 million decrease due to deferred revenue write-downs
and
customer contracts where the product was delivered prior to the
acquisition date. Pro-forma net income includes revenue
write-downs, related deferred cost of sales write-downs of $0.7
million,
amortization of intangible assets related to the acquisition of
$5.6 million, interest expense for debt used to purchase @Road of
$2.8 million, and stock-based compensation for @Road options assumed
of
$1.3 million
|
(b)
|
The
results of operations include Trimble’s results for the three months ended
March 31, 2006, including @Road’s historical results for the three months
ended March 31, 2006, including amortization related to fair value
adjustments based on the fair values of assets acquired and liabilities
assumed as of the acquisition date of February 16,
2007. Pro-forma revenue includes a $6.1
million decrease due to deferred revenue write-downs and
customer contracts which the product was delivered prior to the
acquisition date. Pro-forma net income includes revenue
write-downs, related deferred cost of sales write-down of $1.2
million, amortization of intangible assets related to the acquisition
of
$5.6 million, interest expense for debt used to purchase @Road of
$2.8 million, and stock-based compensation for @Road options assumed
of
$1.3 million
|
Three Months Ended |
March
30,
2007
|
March
31,
2006
|
|||||||
(in
thousands)
|
|||||||||
Cost
of sales
|
$ |
342
|
$ |
287
|
|||||
Research
& development
|
729
|
639
|
|||||||
Sales
& marketing
|
767
|
741
|
|||||||
General
& administrative
|
1,514
|
1,563
|
|||||||
Stock-based
compensation expense included in operating expenses
|
3,010
|
2,943
|
|||||||
Total
stock-based compensation
|
3,353
|
3,230
|
|||||||
Tax
benefit
|
(1)
|
(347 | ) | (294 | ) | ||||
Total
stock-based compensation, net of tax
|
$ |
3,006
|
$ |
2,936
|
March
30,
2007
|
March
31,
2006
|
|
Expected
dividend yield
|
-
|
--
|
Expected
stock price volatility
|
41.0%
|
42.0%
|
Risk
free interest rate
|
4.8%
|
4.5%
|
Expected
life of options after vesting
|
3.9
|
4.6
|
Fiscal
years ended
|
March
30,
2007
|
March
31,
2006
|
Expected
dividend yield
|
-
|
--
|
Expected
stock price volatility
|
34.8%
|
34.9%
|
Risk
free interest rate
|
5.2%
|
4.4%
|
Expected
term
|
0.6
year
|
0.5
year
|
As
of
|
March
30,
2007
|
December
29,
2006
|
||||||
(in
thousands)
|
||||||||
Intangible
assets:
|
||||||||
Intangible
assets with definite life:
|
||||||||
Existing
technology
|
$ |
161,672
|
$ |
92,430
|
||||
Trade
names, trademarks, patents, and other intellectual
properties
|
121,187
|
37,690
|
||||||
Total
intangible assets with definite life
|
282,859
|
130,120
|
||||||
Less
accumulated amortization
|
(70,801 | ) | (62,948 | ) | ||||
Total
net intangible assets
|
$ |
212,058
|
$ |
67,172
|
Amortization
Expense
|
||||
2007
(Remaining)
|
$ |
30,354
|
||
2008
|
39,053
|
|||
2009
|
36,006
|
|||
2010
|
33,808
|
|||
2011
|
28,570
|
|||
Thereafter
|
44,268
|
|||
Total
|
$ |
212,058
|
As
of
|
March
30,
2007
|
December
29,
2006
|
||||||
(in
thousands)
|
||||||||
Engineering
and Construction
|
$ |
306,592
|
$ |
296,597
|
||||
Field
Solutions
|
1,556
|
1,517
|
||||||
Mobile
Solutions
|
332,755
|
63,430
|
||||||
Advanced
Devices
|
12,932
|
12,966
|
||||||
Total
Goodwill
|
$ |
653,835
|
$ |
374,510
|
As
of
|
March
30,
2007
|
December
29,
2006
|
||||||
(in
thousands)
|
||||||||
Raw
materials
|
$ |
64,219
|
$ |
66,853
|
||||
Work-in-process
|
13,678
|
6,181
|
||||||
Finished
goods
|
49,723
|
39,518
|
||||||
$ |
127,620
|
$ |
112,552
|
As
of
|
March
30,
2007
|
December
29,
2006
|
||||||
(in
thousands)
|
||||||||
Machinery
and equipment
|
$ |
87,704
|
$ |
79,238
|
||||
Furniture
and fixtures
|
12,577
|
12,399
|
||||||
Leasehold
improvements
|
14,133
|
13,124
|
||||||
Buildings
|
5,689
|
5,689
|
||||||
Land
|
1,231
|
1,231
|
||||||
121,334
|
111,681
|
|||||||
Less
accumulated depreciation
|
(67,599 | ) | (63,683 | ) | ||||
$ |
53,735
|
$ |
47,998
|
As
of
|
March
30,
2007
|
December
29,
2006
|
||||||
(in
thousands)
|
||||||||
Restructuring
reserve
|
$ |
2,447
|
$ |
744
|
||||
Acquisition
costs
|
14,629
|
10,384
|
||||||
Other
accrued liabilities
|
20,249
|
13,845
|
||||||
$ |
37,325
|
$ |
24,973
|
As
of
|
March
30,
2007
|
December
29,
2006
|
||||||
(in
thousands)
|
||||||||
Deferred
compensation
|
$ |
7,521
|
$ |
5,887
|
||||
Pension
|
6,610
|
6,616
|
||||||
Deferred
rent
|
5,776
|
5,327
|
||||||
Deferred
revenue
|
4,987
|
--
|
||||||
FIN
48 liability
|
22,208
|
--
|
||||||
Other
non-current liabilities
|
11,592
|
9,689
|
||||||
$ |
58,694
|
$ |
27,519
|
|
·
|
Engineering
and Construction — Consists of products currently used by survey and
construction professionals in the field for positioning, data collection,
field computing, data management, and machine guidance and control.
The
applications served include surveying, road, runway, construction,
site
preparation and building
construction.
|
|
·
|
Field
Solutions — Consists of products that provide solutions in a variety of
agriculture and geographic information systems (GIS) applications.
In
agriculture these include precise land leveling and machine guidance
systems. In GIS they include handheld devices and software that enable
the
collection of data on assets for a variety of governmental and private
entities.
|
|
·
|
Mobile
Solutions — Consists of products that enable end users to monitor and
manage their mobile assets by communicating location and activity-relevant
information from the field to the office. Trimble offers a range
of
products that address a number of sectors of this market including
truck
fleets, security, and public safety
vehicles.
|
|
·
|
Advanced
Devices — The various operations that comprise this segment were
aggregated on the basis that no single operation accounted for more
than
10% of Trimble’s total revenue, operating income and assets. This segment
is comprised of the Component Technologies, Military and Advanced
Systems,
Applanix and Trimble Outdoors
businesses.
|
Reporting
Segments
|
||||||||||||||||||||
Engineering
and Construction
|
Field
Solutions
|
Mobile Solutions
|
Advanced
Devices
|
Total
|
||||||||||||||||
(In
thousands)
|
||||||||||||||||||||
Three
Months Ended March 30, 2007
|
||||||||||||||||||||
External
net revenues
|
$ |
175,604
|
$ |
50,962
|
$ |
29,857
|
$ |
29,309
|
$ |
285,732
|
||||||||||
Operating
income before corporate allocations
|
42,164
|
16,628
|
1,017
|
3,343
|
63,152
|
|||||||||||||||
Three
Months Ended March 31, 2006
|
||||||||||||||||||||
External
net revenues
|
$ |
146,733
|
$ |
43,042
|
$ |
12,607
|
$ |
23,472
|
$ |
225,854
|
||||||||||
Operating
income before corporate allocations
|
26,377
|
13,908
|
223
|
2,323
|
42,831
|
|||||||||||||||
As
of March 30, 2007
|
||||||||||||||||||||
Accounts
receivable (1)
|
$ |
139,057
|
$ |
38,519
|
$ |
30,175
|
$ |
17,599
|
$ |
225,350
|
||||||||||
Inventories
|
82,301
|
12,259
|
16,873
|
16,187
|
127,620
|
|||||||||||||||
As
of December 29, 2006
|
||||||||||||||||||||
Accounts
receivable (1)
|
$ |
127,567
|
$ |
21,016
|
$ |
15,630
|
$ |
16,474
|
$ |
180,687
|
||||||||||
Inventories
|
82,827
|
10,946
|
1,666
|
17,113
|
112,552
|
(1)
|
As
presented, accounts receivable represents trade receivables, gross,
which
are specified between segments.
|
Three
Months Ended
|
||||||||
March
30,
2007
|
March
31,
2006
|
|||||||
(In
thousands)
|
||||||||
Operating
income:
|
||||||||
Total
for reportable divisions
|
$ |
63,152
|
$ |
42,831
|
||||
Unallocated
corporate expenses
|
(23,884 | ) | (9,766 | ) | ||||
Operating
income
|
$ |
39,268
|
$ |
33,065
|
As
of
|
March
30,
2007
|
December
29,
2006
|
||||||
(in
thousands)
|
||||||||
Assets:
|
||||||||
Accounts
receivable total for reporting segments
|
$ |
225,350
|
$ |
180,687
|
||||
Unallocated
(1)
|
(9,251 | ) | (8,679 | ) | ||||
Total
|
$ |
216,099
|
$ |
172,008
|
Three
Months Ended
|
||||||||
March
30,
2007
|
March
31,
2006
|
|||||||
(In
thousands)
|
||||||||
Engineering
and Construction
|
$ |
176,864
|
$ |
147,457
|
||||
Field
Solutions
|
50,962
|
43,042
|
||||||
Mobile
Solutions
|
29,857
|
12,607
|
||||||
Advanced
Devices
|
29,318
|
23,471
|
||||||
Total
Gross Consolidated Revenue
|
$ |
287,001
|
$ |
226,578
|
||||
Eliminations
|
(1,269 | ) | (724 | ) | ||||
Total
External Consolidated Revenue
|
$ |
285,732
|
$ |
225,854
|
As
of
|
March
30,
2007
|
December
29,
2006
|
||||||
(In
thousands)
|
||||||||
Credit
Facilities:
|
||||||||
Term
loan
|
$ |
100,000
|
$ |
-
|
||||
Revolving
credit facility
|
70,000
|
-
|
||||||
Promissory
notes and other
|
481
|
481
|
||||||
170,481
|
481
|
|||||||
Less
current portion of long-term debt
|
9,994
|
-
|
||||||
Non-current
portion
|
$ |
160,487
|
$ |
481
|
|
Total
|
2007
Remaining
|
2008
|
2009
|
2010
|
2011
|
2012
and Beyond
|
|||||||||||||||||||||
(in
thousands)
|
||||||||||||||||||||||||||||
Term
loan
|
$ |
100,000
|
$ |
7,500
|
$ |
13,750
|
$ |
15,000
|
$ |
18,750
|
$ |
20,000
|
$ |
25,000
|
||||||||||||||
Revolving
credit facility
|
70,000
|
-
|
-
|
-
|
-
|
-
|
70,000
|
|||||||||||||||||||||
Promissory
note and other
|
481
|
-
|
115
|
366
|
-
|
-
|
-
|
|||||||||||||||||||||
Total
debt obligations
|
$ |
170,481
|
$ |
7,500
|
$ |
13,865
|
$ |
15,366
|
$ |
18,750
|
$ |
20,000
|
$ |
95,000
|
Three
Months Ended
|
||||||||
March
30,
2007
|
March
31,
2006
|
|||||||
(In
thousands)
|
||||||||
Beginning
balance
|
$ |
8,607
|
$ |
7,466
|
||||
Warranty
accrued
|
4,456
|
1,492
|
||||||
Warranty
claims
|
(3,447 | ) | (1,513 | ) | ||||
Ending
Balance
|
$ |
9,616
|
$ |
7,445
|
Three
Months Ended
|
||||||||
March
30,
2007
|
March
31,
2006
|
|||||||
(In
thousands, except per share amounts)
|
||||||||
Numerator:
|
||||||||
Income
available to common shareholders:
|
||||||||
Used
in basic and diluted earnings per share
|
$ |
28,683
|
$ |
25,828
|
||||
Denominator:
|
||||||||
Weighted
average number of common shares used in basic earnings per
share
|
115,449
|
108,484
|
||||||
Effect
of dilutive securities (using treasury stock method):
|
||||||||
Common
stock options
|
4,805
|
5,304
|
||||||
Common
stock warrants
|
642
|
1,930
|
||||||
Weighted
average number of common shares and dilutive potential common shares
used
in diluted earnings per share
|
120,896
|
115,718
|
||||||
Basic
earnings per share
|
$ |
0.25
|
$ |
0.24
|
||||
Diluted
earnings per share
|
$ |
0.24
|
$ |
0.23
|
Three
Months Ended
|
||||||||
March
30,
2007
|
March
31,
2006
|
|||||||
(In
thousands)
|
||||||||
Net
income
|
$ |
28,683
|
$ |
25,828
|
||||
Foreign
currency translation adjustments, net of tax
|
(111 | ) |
1,295
|
|||||
Net
unrealized actuarial losses
|
(8 | ) |
-
|
|||||
Net
unrealized gain (loss) on investments
|
44
|
(10 | ) | |||||
Comprehensive
income
|
$ |
28,608
|
$ |
27,113
|
As
of
|
March
30,
2007
|
December
30,
2006
|
||||||
(In
thousands)
|
||||||||
Accumulated
foreign currency translation adjustments
|
41,103
|
$ |
41,214
|
|||||
Net
unrealized actuarial losses
|
(144 | ) | (136 | ) | ||||
Accumulated
net unrealized gain on investments
|
77
|
33
|
||||||
Total
accumulated other comprehensive income
|
41,036
|
$ |
41,111
|
Three
Months Ended
|
||||||||
March
30
2007
|
March
31,
2006
|
|||||||
(in
thousands)
|
||||||||
Total
consolidated revenue
|
$ |
285,732
|
$ |
225,854
|
||||
Gross
margin
|
143,130
|
107,463
|
||||||
Gross
margin %
|
50.1 | % | 47.6 | % | ||||
Total
consolidated operating income
|
$ |
39,268
|
$ |
33,065
|
||||
Operating
income %
|
13.7 | % | 14.6 | % |
Three
Months Ended
|
||||||||
March
30,
2007
|
March
31,
2006
|
|||||||
Engineering
and Construction
|
||||||||
Revenue
|
$ |
175,604
|
$ |
146,733
|
||||
Segment
revenue as a percent of total revenue
|
62 | % | 65 | % | ||||
Operating
income
|
$ |
42,164
|
$ |
26,377
|
||||
Operating
income as a percent of segment revenue
|
24 | % | 18 | % | ||||
Field
Solutions
|
||||||||
Revenue
|
$ |
50,962
|
$ |
43,042
|
||||
Segment
revenue as a percent of total revenue
|
18 | % | 19 | % | ||||
Operating
income
|
$ |
16,628
|
$ |
13,908
|
||||
Operating
income as a percent of segment revenue
|
33 | % | 32 | % | ||||
Mobile
Solutions
|
||||||||
Revenue
|
$ |
29,857
|
$ |
12,607
|
||||
Revenue
as a percent of total revenue
|
10 | % | 6 | % | ||||
Operating
income (loss)
|
$ |
1,017
|
$ |
223
|
||||
Operating
income (loss) as a percent of segment revenue
|
3 | % | 2 | % | ||||
Advanced
Devices
|
||||||||
Revenue
|
$ |
29,309
|
$ |
23,471
|
||||
Segment
revenue as a percent of total revenue
|
10 | % | 10 | % | ||||
Operating
income
|
$ |
3,343
|
$ |
2,323
|
||||
Operating
income as a percent of segment revenue
|
11 | % | 10 | % |
Three
Months Ended
|
||||||||
March
30,
2007
|
March
31,
2006
|
|||||||
(In
thousands)
|
||||||||
Consolidated
segment operating income
|
$ |
63,152
|
$ |
42,831
|
||||
Unallocated
corporate expense
|
(11,188 | ) | (7,425 | ) | ||||
Amortization
of purchased intangible assets
|
(7,892 | ) | (2,341 | ) | ||||
In-process
research and development expense
|
(2,112 | ) | - | |||||
Restructuring
charges
|
(2,692 | ) | - | |||||
Non-operating
income, net
|
2,857
|
2,807
|
||||||
Consolidated
income before income taxes
|
$ |
42,125
|
$ |
35,872
|
Three
Months Ended
|
||||||||
March
30,
2007
|
March
31,
2006
|
|||||||
Research
and development
|
$ |
31,163
|
$ |
24,446
|
||||
Percentage
of revenue
|
10.9 | % | 10.8 | % | ||||
Sales
and marketing
|
$ |
42,147
|
$ |
32,706
|
||||
Percentage
of revenue
|
14.8 | % | 14.5 | % | ||||
General
and administrative
|
$ |
21,642
|
$ |
15,761
|
||||
Percentage
of revenue
|
7.6 | % | 7.0 | % | ||||
Total
|
$ |
94,952
|
$ |
72,913
|
||||
Percentage
of revenue
|
33.2 | % | 32.3 | % |
Three
Months Ended
|
||||||||
(In
thousands)
|
March
30,
2007
|
March
31,
2006
|
||||||
Interest
income
|
$ |
1,243
|
$ |
512
|
||||
Interest expense
|
(1,400 | ) | (78 | ) | ||||
Foreign
currency transaction gain, net
|
357
|
593
|
||||||
Income
from joint ventures
|
2,422
|
1,616
|
||||||
Other
income, net
|
235
|
164
|
||||||
Total
non-operating income, net
|
$ |
2,857
|
$ |
2,807
|
As
of
|
March
30,
2007
|
December
29
2006
|
||||||
(dollars
in thousands)
|
||||||||
Cash
and cash equivalents
|
$ |
63,571
|
$ |
129,621
|
||||
Total
debt
|
$ |
170,481
|
$ |
481
|
Three
Months Ended
|
March
30,
2007
|
March
31,
2006
|
||||||
(dollars
in thousands)
|
||||||||
Cash
provided by operating activities
|
$ |
31,747
|
$ |
16,877
|
||||
Cash
used in investing activities
|
$ | (275,911 | ) | $ | (7,244 | ) | ||
Cash
provided by financing activities
|
$ |
182,667
|
$ |
11,100
|
||||
Net
increase (decrease) in cash and cash equivalents
|
$ | (66,050 | ) | $ |
23,795
|
As
of
|
March
30,
2007
|
December
29
2006
|
||||||
Accounts
receivable days sales outstanding
|
54
|
55
|
||||||
Inventory
turns per year
|
4.2
|
4.1
|
Payments
Due In
|
||||||||||||||||||||
Total
Payments Due
|
Fiscal
2007 (1)
|
Fiscal
2008 and 2009
|
Fiscal
2010 and 2011
|
Thereafter
|
||||||||||||||||
(in
thousands)
|
||||||||||||||||||||