Advertisement
ALIGN TECHNOLOGY, INC.UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS(in thousands, except per share data) Three Months Ended Year Ended ---------------------------- ---------------------------- December 31, December 31, December 31, December 31, 2012 2011 2012 2011 ------------- ------------- ------------- -------------Net revenues $ 142,840 128,905 $ 560,041 479,741Cost of revenues 36,362 33,355 143,653 118,458 ------------- ------------- ------------- -------------Gross profit 106,478 95,550 416,388 361,283 ------------- ------------- ------------- -------------Operating expenses: Sales and marketing 37,769 36,112 152,041 142,174 General and administrative 27,166 22,457 95,840 89,152 Research and development 11,711 9,568 42,869 37,154 Impairment of goodwill 11,926 - 36,591 - Amortization of acquired intangible assets 835 983 3,455 2,443 ------------- ------------- ------------- -------------Total operating expenses 89,407 69,120 330,796 270,923 ------------- ------------- ------------- -------------Profit from operations 17,071 26,430 85,592 90,360Interest and other income (expense), net (672) (84) (1,296) (419) ------------- ------------- ------------- -------------Profit before income taxes 16,399 26,346 84,296 89,941Provision for income taxes 6,840 5,897 25,605 23,225 ------------- ------------- ------------- -------------Net profit $ 9,559 $ 20,449 $ 58,691 $ 66,716 ============= ============= ============= =============Net profit per share - basic $ 0.12 $ 0.26 $ 0.73 $ 0.86 ============= ============= ============= ============= - diluted $ 0.12 $ 0.25 $ 0.71 $ 0.83 ============= ============= ============= =============Shares used in computing net profit per share - basic 81,043 78,737 80,528 77,988 ============= ============= ============= ============= - diluted 82,981 80,849 83,040 80,294 ============= ============= ============= =============ALIGN TECHNOLOGY, INC.UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS(in thousands) December 31, December 31, 2012 2011 --------------- --------------- ASSETSCurrent assets: Cash and cash equivalents $ 306,386 $ 240,675 Restricted cash 1,575 4,026 Marketable securities, short-term 28,485 7,395 Accounts receivable, net 98,992 91,537 Inventories 15,122 9,402 Other current assets 35,233 31,781 --------------- --------------- Total current assets 485,793 384,816Marketable securities, long-term 21,252 -Property and equipment, net 79,191 53,965Goodwill and intangible assets, net 145,013 185,405Deferred tax assets 21,609 22,337Other long-term assets 3,454 2,741 --------------- --------------- Total assets $ 756,312 $ 649,264 =============== =============== LIABILITIES AND STOCKHOLDERS' EQUITYCurrent liabilities: Accounts payable $ 19,549 $ 19,265 Accrued liabilities 74,247 76,600 Deferred revenue 65,239 52,252 --------------- --------------- Total current liabilities 159,035 148,117Other long term liabilities 15,960 10,366 --------------- --------------- Total liabilities 174,995 158,483Total stockholders' equity 581,317 490,781 --------------- --------------- Total liabilities and stockholders' equity $ 756,312 $ 649,264 =============== ===============ALIGN TECHNOLOGY, INC.RECONCILIATION OF GAAP TO NON-GAAP KEY FINANCIAL METRICSReconciliation of GAAP to Non-GAAP Gross Profit(in thousands) Three Months Ended ---------------------------------------------- December 31, September 30, December 31, 2012 2012 2011 -------------- -------------- --------------GAAP Gross profit $ 106,478 $ 100,350 $ 95,550 Acquisition and integration costs related to cost of revenues (1) - 55 139 Amortization of acquired intangible assets related to cost of revenues (2) 201 213 285 Severance and benefit costs related to cost of revenues(3) - 39 579 -------------- -------------- --------------Non-GAAP Gross profit $ 106,679 $ 100,657 $ 96,553 ============== ============== ==============Reconciliation of GAAP to Non-GAAP Gross Profit Scanner and CAD/CAM Services(in thousands) Three Months Ended ---------------------------------------------- December 31, September 30, December 31, 2012 2012 2011 -------------- -------------- --------------GAAP Scanner and CAD/CAM Services gross profit $ 1,848 $ 2,016 $ 1,993 Acquisition and integration costs related to cost of revenues (1) - 55 139 Amortization of acquired intangible assets related to cost of revenues (2) 201 213 285 Severance and benefit costs related to cost of revenues(3) - 39 579 -------------- -------------- --------------Non-GAAP Gross profit $ 2,049 $ 2,323 $ 2,996 ============== ============== ==============Reconciliation of GAAP to Non-GAAP Operating Expenses(in thousands) Three Months Ended ---------------------------------------------- December 31, September 30, December 31, 2012 2012 2011 -------------- -------------- --------------GAAP Operating expenses $ 89,407 $ 95,847 $ 69,120 Acquisition and integration costs related to operating expenses (1) - (179) (1,005) Amortization of acquired intangible assets related to operating expenses (2) (835) (866) (983) Severance and benefit costs related to operating expenses (3) - (105) (256) Impairment of goodwill (4) (11,926) (24,665) - -------------- -------------- --------------Non-GAAP Operating expenses $ 76,646 $ 70,032 $ 66,876 ============== ============== ==============Reconciliation of GAAP to Non-GAAP Profit from Operations(in thousands) Three Months Ended ---------------------------------------------- December 31, September 30, December 31, 2012 2012 2011 -------------- -------------- --------------GAAP Profit from operations $ 17,071 $ 4,503 $ 26,430 Acquisition and integration costs (1) - 234 1,144 Amortization of acquired intangible assets (2) 1,036 1,079 1,268 Severance and benefit costs (3) - 144 835 Impairment of goodwill 11,926 24,665 - -------------- -------------- --------------Non-GAAP Profit from operations $ 30,033 $ 30,625 $ 29,677 ============== ============== ==============Reconciliation of GAAP to Non-GAAP Net Profit(in thousands, except per share amounts) Three Months Ended ---------------------------------------------- December 31, September 30, December 31, 2012 2012 2011 -------------- -------------- --------------GAAP Net profit (loss) $ 9,559 $ (344) $ 20,449 Acquisition and integration costs (1) - 234 1,144 Amortization of acquired intangible assets (2) 1,036 1,079 1,268 Severance and benefit costs (3) - 144 835 Impairment of goodwill (4) 11,926 24,665 - Income tax-related adjustments (5) (193) (2,078) (715) -------------- -------------- --------------Non-GAAP Net profit $ 22,328 $ 23,700 $ 22,981 ============== ============== ==============Diluted Net profit (loss) per share: GAAP $ 0.12 $ (0.00) $ 0.25 ============== ============== ============== Non-GAAP $ 0.27 $ 0.28 $ 0.28 ============== ============== ==============Shares used in computing diluted GAAP Net profit (loss) per share 82,981 81,437 80,849 ============== ============== ==============Shares used in computing diluted Non-GAAP Net profit per share 82,981 83,906 80,849 ============== ============== ==============Reconciliation of GAAP Net Profit to EBITDA and Adjusted EBITDA(in thousands) Three Months Ended ---------------------------------------------- December 31, September 30, December 31, 2012 2012 2011 -------------- -------------- --------------GAAP Net profit (loss) $ 9,559 $ (344) $ 20,449Provision for income taxes 6,840 4,494 5,897Depreciation and amortization (6) 5,278 4,374 4,320 -------------- -------------- --------------EBITDA (7) 21,677 8,524 30,666 -------------- -------------- --------------Adjustments or charges: Acquisition and integration related costs (1) - 234 1,144 Severance and benefit costs (3) - 144 835 Impairment of goodwill (4) 11,926 24,665 - -------------- -------------- --------------EBITDA after adjustments (7) $ 33,603 $ 33,567 $ 32,645 ============== ============== ==============ALIGN TECHNOLOGY, INC.RECONCILIATION OF GAAP TO NON-GAAP KEY FINANCIAL METRICSReconciliation of GAAP to Non-GAAP Gross Profit(in thousands) Year Ended ------------------------------ December 31, December 31, 2012 2011 -------------- --------------GAAP Gross profit $ 416,388 $ 361,283 Acquisition and integration costs related to cost of revenues (1) 261 398 Amortization of acquired intangible assets related to cost of revenues (2) 907 735 Severance and benefit costs related to cost of revenues (3) 474 754 -------------- --------------Non-GAAP Gross profit $ 418,030 $ 363,170 ============== ==============Reconciliation of GAAP to Non-GAAP Gross Profit Scanner and CAD/CAM Services(in thousands) Year Ended ------------------------------ December 31, December 31, 2012 2011 -------------- --------------GAAP Scanner and CAD/CAM Services gross profit $ 10,418 $ 6,640 Acquisition and integration costs related to cost of revenues (1) 261 398 Amortization of acquired intangible assets related to cost of revenues (2) 907 735 Severance and benefit costs related to cost of revenues(3) 474 754 -------------- --------------Non-GAAP Gross profit $ 12,060 $ 8,527 ============== ==============Reconciliation of GAAP to Non-GAAP Operating Expenses(in thousands) Year Ended ------------------------------ December 31, December 31, 2012 2011 -------------- --------------GAAP Operating expenses $ 330,796 $ 270,923 Acquisition and integration costs related to operating expenses (1) (1,010) (9,632) Amortization of acquired intangible assets related to operating expenses (2) (3,455) (2,443) Severance and benefit costs related to operating expenses (3) (306) (328) Impairment of goodwill (4) (36,591) - -------------- --------------Non-GAAP Operating expenses $ 289,434 $ 258,520 ============== ==============Reconciliation of GAAP to Non-GAAP Profit from Operations(in thousands) Year Ended ------------------------------ December 31, December 31, 2012 2011 -------------- --------------GAAP Profit from Operations $ 85,592 $ 90,360 Acquisition and integration costs related to cost of revenues (1) 1,271 10,030 Amortization of acquired intangible assets related to cost of revenues (2) 4,362 3,178 Severance and benefit costs related to cost of revenues (3) 780 1,082 Impairment of goodwill (4) 36,591 - -------------- --------------Non-GAAP Profit from Operations $ 128,596 $ 104,650 ============== ==============Reconciliation of GAAP to Non-GAAP Net Profit(in thousands, except per share amounts) Year Ended ------------------------------ December 31, December 31, 2012 2011 -------------- --------------GAAP Net profit $ 58,691 $ 66,716 Acquisition and integration costs related to cost of revenues (1) 1,271 10,030 Amortization of acquired intangible assets related to cost of revenues (2) 4,362 3,178 Severance and benefit costs related to cost of revenues (3) 780 1,082 Impairment of goodwill (4) 36,591 - Tax effect on non-GAAP adjustments (5) (4,947) (2,862) -------------- --------------Non-GAAP Net profit $ 96,748 $ 78,144 ============== ==============Diluted Net profit per share: GAAP $ 0.71 $ 0.83 ============== ============== Non-GAAP $ 1.17 $ 0.97 ============== ==============Shares used in computing diluted GAAP net profit per share 83,040 80,294 ============== ==============Shares used in computing diluted non-GAAP net profit per share 83,040 80,294 ============== ==============Reconciliation of GAAP Net Profit to EBITDA and Adjusted EBITDA(in thousands) Year Ended ------------------------------ December 31, December 31, 2012 2011 -------------- --------------GAAP Net profit $ 58,691 $ 66,716Provision for income taxes 25,605 23,225Depreciation and amortization (6) 17,811 17,477 -------------- --------------EBITDA (7) 102,107 107,418 -------------- --------------Adjustments or charges: Acquisition and integration related costs (1) 1,271 10,030 Severance and benefit costs (3) 780 1,082 Impairment of goodwill (4) 36,591 - -------------- --------------EBITDA after adjustments (7) $ 140,749 $ 118,530 ============== ==============
