Plantronics Announces First Quarter Fiscal Year 2017 Financial Results
Q1 Results Exceed Guidance; Strong Consumer & Record Unified Communications Revenue; Company Announces New 1,000,000 Share Repurchase Program
/EINPresswire.com/ -- SANTA CRUZ, CA --(Marketwired - August 02, 2016) - Plantronics, Inc. (NYSE: PLT) today announced first quarter fiscal year 2017 financial results. Highlights of the first quarter include the following (comparisons are against the first quarter of fiscal year 2016):
- Net revenues were $223.1 million, an increase of 8% compared with $206.4 million, and above our guidance range of $207 million to $217 million
- GAAP gross margin was 50.7% compared with 52.0%
- Non-GAAP gross margin was 51.1% compared with 52.4%
- GAAP operating income was $31.3 million compared with $29.4 million
- Non-GAAP operating income was $38.7 million compared with $37.5 million
- GAAP diluted earnings per share ("EPS") was $0.62 compared with $0.55, and above our guidance range of $0.45 to $0.55
- Non-GAAP diluted EPS was $0.76 compared with $0.67, and above our guidance range of $0.63 to $0.73
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"Our upside to expectations was driven by record results in Unified Communications and our strongest ever non-holiday quarter in Consumer Stereo Bluetooth products. In addition, our award winning mono Bluetooth product, the Voyager 5200, strengthened our position, resulting in year over year revenue growth and further share gains," stated Ken Kannappan, President & CEO. "We are targeting an improved Non-GAAP operating margin in fiscal year 2017 compared with the prior year."
"Our operating expenses grew at a lower rate than revenues, resulting in operating profit growth of 3.2% and EPS growth of 13%, despite a one-time $5 million charge related to the GN litigation," stated Pam Strayer, Senior Vice President and Chief Financial Officer. "We continue to focus on building a scalable organization and developing new revenue opportunities, while managing our expenses for operating margin expansion in fiscal 2017."
Enterprise net revenues grew by 3% to $155.9 million in the first quarter of fiscal year 2017 compared with $151.8 million in the first quarter of fiscal year 2016.
Consumer net revenues grew by 23% to $67.2 million in the first quarter of fiscal year 2017, up from $54.6 million in the first quarter of fiscal year 2016.
GN Litigation Charge & Expenses
We announced a one-time charge related to GN Netcom of $5.0 million, which was included in Non-GAAP results, in addition to higher than typical litigation costs related to the case of $2.2 million. Despite the materially unfavorable charge and higher than expected litigation costs included in Non-GAAP results, we exceeded previously provided guidance.
Plantronics Announces Quarterly Dividend of $0.15
We are also announcing that we have declared a quarterly dividend of $0.15 per common share, to be paid on September 9, 2016 to all shareholders of record as of the close of business on August 19, 2016.
New 1,000,000 Share Repurchase Program
We are announcing a new 1,000,000 share repurchase program to commence after repurchasing the approximately 90,000 shares remaining under the existing 1,000,000 share repurchase program.
Business Outlook
The following statements are based on our current expectations and many of these statements are forward-looking. Actual results are subject to a variety of risks and uncertainties and may differ materially from our expectations.
We have a "book and ship" business model whereby we fulfill the majority of orders received within 48 hours of receipt of those orders. However, our backlog is occasionally subject to cancellation or rescheduling by our customers on short notice with little or no penalty. Therefore, there is a lack of meaningful correlation between backlog at the end of a fiscal period and net revenues in a succeeding fiscal period.
Our business is inherently difficult to forecast, particularly with continuing uncertainty in regional economic conditions and currency fluctuations, and there can be no assurance that expectations of incoming orders over the balance of the current quarter will materialize.
Subject to the foregoing, we currently expect the following range of financial results for the second quarter of fiscal year 2017 (all amounts assuming currency rates remain stable):
- Net revenues of $215 million to $225 million;
- GAAP operating income of $29 million to $34 million;
- Non-GAAP operating income of $39 million to $44 million, excluding the impact of $8 million from stock-based compensation; and executive severance charges of $2 million
- Assuming approximately 33 million diluted average weighted shares outstanding:
- GAAP diluted EPS of $0.51 to $0.61;
- Non-GAAP diluted EPS of $0.73 to $0.83; and
- Cost of stock-based compensation to be approximately $0.16 per diluted share and the cost of executive severance to be approximately $0.06 per diluted share
Please see our updated Investor Relations Presentation available on our corporate website at www.plantronics.com/ir.
Conference Call and Prepared Remarks
Plantronics is providing a copy of prepared remarks in combination with its press release. These remarks are offered to provide shareholders and analysts with additional time and detail for analyzing results in advance of our quarterly conference call. The remarks will be available in the Investor Relations section of our website in conjunction with the press release.
We have scheduled a conference call to discuss first quarter fiscal year 2017 financial results. The conference call will take place today, August 2, 2016 at 2:00 PM (Pacific Time). All interested investors and potential investors in our stock are invited to participate. To listen to the call, please dial in five to ten minutes prior to the scheduled starting time and refer to the "Plantronics Conference Call." The dial-in from North America is (888) 301-8736 and the international dial-in is (706) 634-7260.
A replay of the call with the conference ID #44577748 will be available until September 3, 2016 at (855) 859-2056 or (800) 585-8367 for callers from North America and at (404) 537-3406 for all other callers. The conference call will also be simultaneously webcast in the Investor Relations section of our corporate website at www.plantronics.com/ir, and the webcast of the conference call will remain available on our website for one month. A reconciliation between our GAAP and non-GAAP results is provided in the tables at the end of this press release.
Use of Non-GAAP Financial Information
To supplement our condensed consolidated financial statements presented on a GAAP basis, we use non-GAAP measures of operating results, including non-GAAP operating income, non-GAAP net income and non-GAAP diluted EPS which exclude certain non-cash expenses and charges that are included in the most directly comparable GAAP measure. These non-cash charges and expenses include stock-based compensation related to stock options, restricted stock and employee stock purchases made under our employee stock purchase plan, purchase accounting amortization, accelerated depreciation, and early lease termination charges, all net of the associated tax impact, tax benefits from the release of tax reserves, transfer pricing, tax deduction and tax credit adjustments, and the impact of tax law changes. We exclude these expenses from our non-GAAP measures primarily because management does not believe they are part of our target operating model. We believe that the use of non-GAAP financial measures provides meaningful supplemental information regarding our performance and liquidity and helps investors compare actual results with our long-term target operating model goals. We believe that both management and investors benefit from referring to these non-GAAP financial measures in assessing our performance and when planning, forecasting and analyzing future periods; however, non-GAAP financial measures are not meant to be considered in isolation or as a substitute for, or superior to, gross margin, operating income, operating margin, net income or EPS prepared in accordance with GAAP.
As a company with significant global operations and sales, fluctuations in foreign currency exchange rates may have a material effect on our reported results. Consequently, we also present supplemental metrics as identified in the reconciliation within this release "on a constant currency basis" which excludes the impact of currency exchange rate fluctuations. The constant currency presentation, which is a non-GAAP measure, is intended to supplement our reported operating results and, when considered in conjunction with the corresponding GAAP measures, facilitate a better understanding of changes in the metrics from period to period and core operations. We calculate constant currency percentages by removing any hedge gains or losses from the particular metric in the current period and then converting our current period local currency financial results using the foreign currency exchange rates in effect during the prior year period and comparing these adjusted amounts to the corresponding current period metric.
Safe Harbor
This release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, including statements relating to: (i) improving Non-GAAP operating margin in fiscal year 2017 as compared to fiscal year 2016; (ii) our intention to focus on scaling the organization and developing new revenue opportunities while managing expenses to expand operation margin in fiscal year 2017; (iii) estimates of GAAP and non-GAAP financial results for the second quarter of fiscal year 2017, including net revenues, operating income and diluted EPS; (iv) our estimates of stock-based compensation and purchase accounting amortization and other related charges, as well as the impact of these non-cash expenses on Non-GAAP operating income and diluted EPS for the second quarter of fiscal year 2017; and (v) our estimate of weighted average shares outstanding for the second quarter of fiscal year 2017, in addition to other matters discussed in this press release that are not purely historical data. We do not assume any obligation to update or revise any such forward-looking statements, whether as the result of new developments or otherwise.
Forward-looking statements involve risks and uncertainties that may cause actual results to differ materially from those contemplated by such statements. Among the factors that could cause actual results to differ materially from those contemplated are:
- Micro and macro-economic conditions in our domestic and international markets;
- our ability to realize and achieve positive financial results projected to arise from UC adoption could be adversely affected by a variety of factors including the following: (i) as UC becomes more widely adopted, the risk that competitors will offer solutions that will effectively commoditize our headsets which, in turn, will reduce the sales prices for our headsets; (ii) our plans are dependent upon adoption of our UC solution by major platform providers and strategic partners such as Microsoft Corporation, Cisco Systems, Inc., Avaya, Inc., and Alcatel-Lucent, and our influence over such providers with respect to the functionality of their platforms or their product offerings, their rate of deployment, and their willingness to integrate their platforms and product offerings with our solutions is limited; (iii) delays or limitations on our ability to timely introduce solutions that are cost effective, feature-rich, stable, and attractive to our customers within forecasted development budgets; (iv) our successful implementation and execution of new and different processes involving the design, development, and manufacturing of complex electronic systems composed of hardware, firmware, and software that works seamlessly and continuously in a wide variety of environments and with multiple devices; (v) our sales model and expertise must successfully evolve to support complex integration of hardware and software with UC infrastructure consistent with changing customer purchasing expectations; (vi) as UC becomes more widely adopted we anticipate that competition for market share will increase, particularly given that some competitors may have superior technical and economic resources; (vii) UC solutions generally, or our solutions in particular, may not be adopted with the breadth and speed in the marketplace that we currently anticipate; (viii) sales cycles for more complex UC deployments are longer as compared to our traditional Enterprise products; (ix) UC may evolve rapidly and unpredictably and our inability to timely and cost-effectively adapt to those changes and future requirements may impact our profitability in this market and our overall margins; and (x) our failure to expand our technical support capabilities to support the complex and proprietary platforms in which our UC products are and will be integrated;
- failure to match production to demand given long lead times and the difficulty of forecasting unit volumes and acquiring the component parts and materials to meet demand without having excess inventory or incurring cancellation charges;
- volatility in prices from our suppliers, including our manufacturers located in China, have in the past and could in the future negatively affect our profitability and/or market share;
- fluctuations in foreign exchange rates;
- with respect to our stock repurchase program, prevailing stock market conditions generally, and the price of our stock specifically;
- the bankruptcy or financial weakness of distributors or key customers, or the bankruptcy of or reduction in capacity of our key suppliers;
- additional risk factors including: interruption in the supply of sole-sourced critical components, continuity of component supply at costs consistent with our plans, and the inherent risks of our substantial foreign operations; and
- seasonality in one or more of our product categories.
For more information concerning these and other possible risks, please refer to our Annual Report on Form 10-K filed with the Securities and Exchange Commission on May 16, 2016 and other filings with the Securities and Exchange Commission, as well as recent press releases. The Securities and Exchange Commission filings can be accessed over the Internet at http://www.sec.gov/edgar/searchedgar/companysearch.html.
Financial Summaries
The following related charts are provided:
- Summary Unaudited Condensed Consolidated Financial Statements
- Unaudited Reconciliations of GAAP Measures to Non-GAAP Measures
- Summary of Unaudited Reconciliations of GAAP Measures to Non-GAAP Measures and Other Unaudited GAAP Data
About Plantronics
Plantronics is a global leader in audio communications for businesses and consumers. We have pioneered new trends in audio technology for over 50 years, creating innovative products that allow people to simply communicate. From Unified Communication solutions to Bluetooth headsets, we deliver uncompromising quality, an ideal experience, and extraordinary service. Plantronics is used by every company in the Fortune 100, as well as 911 dispatch, air traffic control and the New York Stock Exchange. For more information, please visit www.plantronics.com or call (800) 544-4660.
Plantronics is a registered trademark of Plantronics, Inc. The Bluetooth name and the Bluetooth trademarks are owned by Bluetooth SIG, Inc. and are used by Plantronics, Inc. under license. All other trademarks are the property of their respective owners.
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PLANTRONICS, INC.
SUMMARY CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
($ in thousands, except per share data)
UNAUDITED CONSOLIDATED STATEMENTS OF OPERATIONS
----------------------------------------------------------------------------
Three Months Ended
June 30,
------------------------
2015 2016
----------- ------------
Net revenues $ 206,358 $ 223,106
Cost of revenues 99,000 110,033
----------- ------------
Gross profit 107,358 113,073
Gross profit % 52.0% 50.7%
Research, development and engineering 23,194 22,344
Selling, general and administrative 55,678 55,787
(Gain) loss, net from litigation settlements (876) 4,739
Restructuring and other related charges - (1,048)
----------- ------------
Total operating expenses 77,996 81,822
----------- ------------
Operating income 29,362 31,251
Operating income % 14.2% 14.0%
Interest expense (2,741) (7,288)
Other non-operating income and (expense), net (285) 2,352
----------- ------------
Income before income taxes 26,336 26,315
Income tax expense 5,108 5,928
----------- ------------
Net income $ 21,228 $ 20,387
=========== ============
% of net revenues 10.3% 9.1%
Earnings per common share:
Basic $ 0.56 $ 0.63
Diluted $ 0.55 $ 0.62
Shares used in computing earnings per common share:
Basic 38,002 32,243
Diluted 38,943 32,818
Effective tax rate 19.4% 22.5%
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PLANTRONICS, INC.
SUMMARY CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
($ in thousands)
UNAUDITED CONSOLIDATED BALANCE SHEETS
----------------------------------------------------------------------------
March 31, June 30,
2016 2016
---------- -----------
ASSETS
Cash and cash equivalents $ 235,266 $ 227,473
Short-term investments 160,051 171,899
---------- -----------
Total cash, cash equivalents and short-term
investments 395,317 399,372
Accounts receivable, net 128,219 133,155
Inventory, net 53,162 53,912
Other current assets 20,297 26,151
---------- -----------
Total current assets 596,995 612,590
Long-term investments 145,623 132,270
Property, plant and equipment, net 149,735 151,863
Goodwill and purchased intangibles, net 15,827 15,765
Other assets 25,257 19,450
---------- -----------
Total assets $ 933,437 $ 931,938
========== ===========
LIABILITIES AND STOCKHOLDERS' EQUITY
Accounts payable $ 39,133 $ 46,817
Accrued liabilities 70,034 60,670
---------- -----------
Total current liabilities 109,167 107,487
Long-term debt, net of issuance costs 489,609 489,971
Long-term income taxes payable 11,968 12,464
Other long-term liabilities 10,294 11,448
---------- -----------
Total liabilities 621,038 621,370
Stockholders' equity 312,399 310,568
---------- -----------
Total liabilities and stockholders' equity $ 933,437 $ 931,938
========== ===========
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PLANTRONICS, INC.
SUMMARY CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
($ in thousands, except per share data)
UNAUDITED CONSOLIDATED STATEMENTS OF CASH FLOWS
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Three Months Ended
June 30,
------------------------
2015 2016
----------- ------------
Cash flows from operating activities
Net Income $ 21,228 $ 20,387
Adjustments to reconcile net income to net cash
provided by operating activities:
Depreciation and amortization 4,986 5,146
Amortization of debt issuance cost 121 362
Stock-based compensation 8,050 8,413
Excess tax benefit from stock-based
compensation (2,391) (339)
Deferred income taxes 4,146 4,890
Provision for excess and obsolete inventories 402 772
Restructuring charges - (1,048)
Cash payments for restructuring charges - (2,788)
Other operating activities 4,537 (1,920)
Changes in assets and liabilities:
Accounts receivable, net 8,579 (4,529)
Inventory, net 358 (1,486)
Current and other assets (2,869) (672)
Accounts payable 4,958 7,055
Accrued liabilities (6,212) (1,370)
Income taxes (2,419) (2,736)
----------- ------------
Cash provided by operating activities 43,474 30,137
----------- ------------
Cash flows from investing activities
Proceeds from sale of investments 16,375 74,349
Proceeds from maturities of investments 25,425 34,353
Purchase of investments (43,834) (106,711)
Capital expenditures (3,966) (7,579)
----------- ------------
Cash used for investing activities (6,000) (5,588)
----------- ------------
Cash flows from financing activities
Repurchase of common stock (284,444) (18,639)
Employees' tax withheld and paid for restricted
stock and restricted stock units (9,903) (8,792)
Proceeds from issuances under stock-based
compensation plans 3,077 733
Proceeds from revolving line of credit 155,749 -
Repayments of revolving line of credit (190,249) -
Proceeds from bonds issuance, net 489,670 -
Payment of cash dividends (5,828) (4,970)
Excess tax benefit from stock-based compensation 2,391 339
----------- ------------
Cash provided by (used for) financing
activities 160,463 (31,329)
----------- ------------
Effect of exchange rate changes on cash and cash
equivalents 592 (1,013)
----------- ------------
Net increase (decrease) in cash and cash
equivalents 198,529 (7,793)
Cash and cash equivalents at beginning of period 276,850 235,266
Cash and cash equivalents at end of period $ 475,379 $ 227,473
=========== ============
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PLANTRONICS, INC.
UNAUDITED RECONCILIATIONS OF GAAP MEASURES TO NON-GAAP MEASURES
($ in thousands, except per share data)
UNAUDITED CONSOLIDATED STATEMENTS OF OPERATIONS DATA
----------------------------------------------------------------------------
Three Months Ended
June 30,
------------------------
2015 2016
----------- ------------
GAAP Gross profit $ 107,358 $ 113,073
Stock-based compensation 779 842
----------- ------------
Non-GAAP Gross profit $ 108,137 $ 113,915
=========== ============
Non-GAAP Gross profit % 52.4% 51.1%
GAAP Research, development and engineering $ 23,194 $ 22,344
Stock-based compensation (2,359) (2,484)
Purchase accounting amortization (62) (62)
----------- ------------
Non-GAAP Research, development and engineering $ 20,773 $ 19,798
=========== ============
GAAP Selling, general and administrative $ 55,678 $ 55,787
Stock-based compensation (4,912) (5,087)
----------- ------------
Non-GAAP Selling, general and administrative $ 50,766 $ 50,700
=========== ============
GAAP Operating expenses $ 77,996 $ 81,822
Stock-based compensation (7,271) (7,571)
Purchase accounting amortization (62) (62)
Restructuring and other related charges - 1,048
----------- ------------
Non-GAAP Operating expenses $ 70,663 $ 75,237
=========== ============
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PLANTRONICS, INC.
UNAUDITED RECONCILIATIONS OF GAAP MEASURES TO NON-GAAP MEASURES
($ in thousands, except per share data)
UNAUDITED CONSOLIDATED STATEMENTS OF OPERATIONS DATA (CONTINUED)
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Three Months Ended
June 30,
---------------------------
2015 2016
----------- ------------
GAAP Operating income $ 29,362 $ 31,251
Stock-based compensation 8,050 8,413
Purchase accounting amortization 62 62
Restructuring and other related charges - (1,048)
----------- ------------
Non-GAAP Operating income $ 37,474 $ 38,678
=========== ============
GAAP Net income $ 21,228 $ 20,387
Stock-based compensation 8,050 8,413
Purchase accounting amortization 62 62
Restructuring and other related charges - (1,048)
Income tax effect of above items (2,338) (2,753)
Income tax effect of unusual tax items (994)(1) (86)(1)
----------- ------------
Non-GAAP Net income $ 26,008 $ 24,975
=========== ============
GAAP Diluted earnings per common share $ 0.55 $ 0.62
Stock-based compensation 0.21 0.26
Restructuring and other related charges - (0.03)
Income tax effect (0.09) (0.09)
----------- ------------
Non-GAAP Diluted earnings per common share $ 0.67 $ 0.76
=========== ============
Shares used in diluted earnings per common
share calculation 38,943 32,818
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(1) Excluded amounts represent tax benefits from the release of tax
reserves.
Use of Non-GAAP Financial Information
To supplement our condensed consolidated financial statements presented on a GAAP basis, we use non-GAAP measures of operating results, including non-GAAP operating income, non-GAAP net income and non-GAAP diluted EPS which exclude certain non-cash expenses and charges that are included in the most directly comparable GAAP measure. These non-cash charges and expenses include stock-based compensation related to stock options, restricted stock and employee stock purchases made under our employee stock purchase plan, purchase accounting amortization, accelerated depreciation, and early lease termination charges, all net of the associated tax impact, tax benefits from the release of tax reserves, transfer pricing, tax deduction and tax credit adjustments, and the impact of tax law changes. We exclude these expenses from our non-GAAP measures primarily because Plantronics' management does not believe they are part of our target operating model. We believe that the use of non-GAAP financial measures provides meaningful supplemental information regarding our performance and liquidity and helps investors compare actual results with our long-term target operating model goals. We believe that both management and investors benefit from referring to these non-GAAP financial measures in assessing our performance and when planning, forecasting and analyzing future periods; however, non-GAAP financial measures are not meant to be considered in isolation or as a substitute for, or superior to, gross margin, operating income, operating margin, net income or EPS prepared in accordance with GAAP.
Summary of Unaudited Reconciliations of GAAP Measures to Non-GAAP Measures
and other Unaudited GAAP Data
($ in thousands, except per share data)
Q116 Q216 Q316 Q416 Q117
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GAAP Gross profit $107,358 $110,970 $109,516 $106,830 $113,073
Stock-based compensation 779 879 811 837 842
--------- --------- --------- --------- ---------
Non-GAAP Gross profit $108,137 $111,849 $110,327 $107,667 $113,915
========= ========= ========= ========= =========
Non-GAAP Gross profit % 52.4% 52.0% 48.9% 51.3% 51.1%
GAAP Operating expenses $ 77,996 $ 76,874 $ 82,868 $ 88,895 $ 81,822
Stock-based compensation (7,271) (7,953) (6,906) (7,829) (7,571)
Purchase accounting
amortization (62) (63) (62) (63) (62)
Restructuring and other
related charges - - (8,433) (7,727) 1,048
--------- --------- --------- --------- ---------
Non-GAAP Operating
expenses $ 70,663 $ 68,858 $ 67,467 $ 73,276 $ 75,237
========= ========= ========= ========= =========
GAAP Operating income $ 29,362 $ 34,096 $ 26,648 $ 17,935 $ 31,251
Stock-based compensation 8,050 8,832 7,717 8,666 8,413
Purchase accounting
amortization 62 63 62 63 62
Restructuring and other
related charges - - 8,433 7,727 (1,048)
--------- --------- --------- --------- ---------
Non-GAAP Operating income $ 37,474 $ 42,991 $ 42,860 $ 34,391 $ 38,678
========= ========= ========= ========= =========
Non-GAAP Operating income
% 18.2% 20.0% 19.0% 16.4% 17.3%
GAAP Income before income
taxes $ 26,336 $ 24,638 $ 19,829 $ 11,373 $ 26,315
Stock-based compensation 8,050 8,832 7,717 8,666 8,413
Purchase accounting
amortization 62 63 62 63 62
Restructuring and other
related charges - - 8,433 7,727 (1,048)
--------- --------- --------- --------- ---------
Non-GAAP Income before
income taxes $ 34,448 $ 33,533 $ 36,041 $ 27,829 $ 33,742
========= ========= ========= ========= =========
GAAP Income tax expense $ 5,108 $ 6,742 $ 3,541 $ (1,607) $ 5,928
Income tax effect of
above items 2,338 2,656 3,549 6,004 2,753
Income tax effect of
unusual tax items 994 177 1,419 2,386 86
--------- --------- --------- --------- ---------
Non-GAAP Income tax
expense $ 8,440 $ 9,575 $ 8,509 $ 6,783 $ 8,767
========= ========= ========= ========= =========
Non-GAAP Income tax
expense as a % of Non-
GAAP Income before income
taxes 24.5% 28.6% 23.6% 24.4% 26.0%
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Summary of Unaudited Reconciliations of GAAP Measures to Non-GAAP Measures
and other Unaudited GAAP Data (Continued)
($ in thousands, except per share data)
Q116 Q216 Q316 Q416 Q117
----------------------------------------------------------------------------
GAAP Net income $21,228 $17,896 $16,288 $12,980 $20,387
Stock-based compensation 8,050 8,832 7,717 8,666 8,413
Purchase accounting
amortization 62 63 62 63 62
Restructuring and other
related charges - - 8,433 7,727 (1,048)
Income tax effect of above
items (2,338) (2,656) (3,549) (6,004) (2,753)
Income tax effect of unusual
tax items (994) (177) (1,419) (2,386) (86)
-------- -------- -------- -------- --------
Non-GAAP Net income $26,008 $23,958 $27,532 $21,046 $24,975
======== ======== ======== ======== ========
GAAP Diluted earnings per
common share $ 0.55 $ 0.52 $ 0.49 $ 0.39 $ 0.62
Stock-based compensation 0.21 0.26 0.24 0.26 0.26
Restructuring and other
related charges - - 0.25 0.23 (0.03)
Income tax effect (0.09) (0.08) (0.15) (0.24) (0.09)
-------- -------- -------- -------- --------
Non-GAAP Diluted earnings per
common share $ 0.67 $ 0.70 $ 0.83 $ 0.64 $ 0.76
======== ======== ======== ======== ========
Shares used in diluted earnings
per common share calculation 38,943 34,245 33,259 33,038 32,818
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SUMMARY OF UNAUDITED GAAP DATA
($ in thousands)
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Net revenues from unaffiliated
customers:
Enterprise $151,757 $160,468 $158,251 $156,190 $155,897
Consumer 54,601 54,549 67,484 53,607 67,209
-------- -------- -------- -------- --------
Total net revenues $206,358 $215,017 $225,735 $209,797 $223,106
======== ======== ======== ======== ========
Net revenues by geographic area
from unaffiliated customers:
Domestic $117,578 $123,803 $122,075 $119,166 $128,238
International 88,780 91,214 103,660 90,631 94,868
-------- -------- -------- -------- --------
Total net revenues $206,358 $215,017 $225,735 $209,797 $223,106
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Balance Sheet accounts and
metrics:
Accounts receivable, net $127,160 $139,939 $136,402 $128,219 $133,155
Days sales outstanding (DSO) 55 59 54 59 54
Inventory, net $ 55,918 $ 57,760 $ 55,650 $ 53,162 $ 53,912
Inventory turns 7.1 7.2 8.3 7.7 8.2
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Image Available: http://www.marketwire.com/library/MwGo/2016/8/2/11G109049/Images/Plantronics-34b5f5ec5672a7bbaed4d713a2a0e8e1.jpg
INVESTOR CONTACT:
Greg Klaben
Vice President of Investor Relations
(831) 458-7533
MEDIA CONTACT:
George Gutierrez
Sr. Director, Global Communications & Content Strategy
(831) 458-7537
A reconciliation between our GAAP and non-GAAP results is provided in the tables at the end of this press release
