x |
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
¨ |
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
| Delaware |
94-2878499 | |
| (State or other jurisdiction of
incorporation or organization) |
(IRS Employer Identification
No.) |
| 215 Fourier Ave., Fremont, California |
94539 | |
| (Address of principal executive offices) |
(Zip Code) |
| Page No. | ||||
| PART I. FINANCIAL INFORMATION |
||||
| Item 1. |
3 | |||
| 3 | ||||
| 4 | ||||
| 5 | ||||
| 6 | ||||
| Item 2. |
11 | |||
| Item 3. |
28 | |||
| Item 4. |
28 | |||
| PART I. FINANCIAL INFORMATION |
||||
| Item 1. |
28 | |||
| Item 2. |
29 | |||
| Item 3. |
29 | |||
| Item 4. |
29 | |||
| Item 5. |
29 | |||
| Item 6. |
29 | |||
| July 31, 2002 |
October 31, 2001(a) | |||||
| (unaudited) |
||||||
| ASSETS |
||||||
| Current assets: |
||||||
| Cash and cash equivalents |
$ |
68,973 |
$ |
44,309 | ||
| Short-term investments |
|
99,290 |
|
96,497 | ||
| Accounts receivable, net |
|
39,127 |
|
39,831 | ||
| Inventories |
|
122,959 |
|
123,219 | ||
| Income tax receivable |
|
20,602 |
|
41,031 | ||
| Deferred income taxes and other current assets |
|
48,660 |
|
49,457 | ||
| |
|
|
| |||
| Total current assets |
|
399,611 |
|
394,344 | ||
| Long-term investments |
|
106,669 |
|
161,889 | ||
| Property and equipment, net |
|
100,843 |
|
109,528 | ||
| Goodwill from acquisitions, net |
|
39,928 |
|
47,124 | ||
| Other intangible assets, net |
|
28,763 |
|
34,450 | ||
| Other assets |
|
13,085 |
|
10,084 | ||
| |
|
|
| |||
| Total assets |
$ |
688,899 |
$ |
757,419 | ||
| |
|
|
| |||
| LIABILITIES AND STOCKHOLDERS EQUITY |
||||||
| Current liabilities: |
||||||
| Accounts payable |
$ |
17,182 |
$ |
17,510 | ||
| Deferred expenses and other liabilities |
|
35,582 |
|
41,181 | ||
| Deferred profit |
|
4,720 |
|
11,707 | ||
| |
|
|
| |||
| Total current liabilities |
|
57,484 |
|
70,398 | ||
| Other liabilities |
|
3,174 |
|
5,761 | ||
| Minority interest |
|
58 |
|
320 | ||
| Stockholders equity |
|
628,183 |
|
680,940 | ||
| |
|
|
| |||
| Total liabilities and stockholders equity |
$ |
688,899 |
$ |
757,419 | ||
| |
|
|
| |||
(a) |
Derived from the audited consolidated balance sheet included in our Form 10-K for the year ended October 31, 2001. |
| Three Months Ended July
31, |
Nine Months Ended July
31, |
|||||||||||||||
| 2002 |
2001 |
2002 |
2001 |
|||||||||||||
| Net sales |
$ |
47,722 |
|
$ |
52,781 |
|
$ |
121,024 |
|
$ |
264,731 |
| ||||
| Cost of goods soldon net sales |
|
28,510 |
|
|
29,260 |
|
|
73,771 |
|
|
122,532 |
| ||||
| Cost of goods soldspecial charges |
|
|
|
|
|
|
|
|
|
|
45,020 |
| ||||
| |
|
|
|
|
|
|
|
|
|
|
| |||||
| Gross margin |
|
19,212 |
|
|
23,521 |
|
|
47,253 |
|
|
97,179 |
| ||||
| Operating expenses: |
||||||||||||||||
| Research and development |
|
22,179 |
|
|
21,888 |
|
|
62,709 |
|
|
65,506 |
| ||||
| Selling, general and administrative |
|
23,544 |
|
|
22,798 |
|
|
67,641 |
|
|
83,446 |
| ||||
| Amortization of purchased intangibles |
|
5,271 |
|
|
5,987 |
|
|
15,563 |
|
|
17,280 |
| ||||
| Special charges |
|
|
|
|
2,820 |
|
|
|
|
|
6,163 |
| ||||
| |
|
|
|
|
|
|
|
|
|
|
| |||||
| Total operating expenses |
|
50,994 |
|
|
53,493 |
|
|
145,913 |
|
|
172,395 |
| ||||
| |
|
|
|
|
|
|
|
|
|
|
| |||||
| Operating income (loss) |
|
(31,782 |
) |
|
(29,972 |
) |
|
(98,660 |
) |
|
(75,216 |
) | ||||
| Interest and other income, net |
|
2,585 |
|
|
4,463 |
|
|
8,317 |
|
|
14,187 |
| ||||
| |
|
|
|
|
|
|
|
|
|
|
| |||||
| Income (loss) before income tax provision |
|
(29,197 |
) |
|
(25,509 |
) |
|
(90,343 |
) |
|
(61,029 |
) | ||||
| Income tax (benefit) |
|
(10,219 |
) |
|
(9,955 |
) |
|
(31,621 |
) |
|
(22,416 |
) | ||||
| Minority interest (benefit) |
|
(21 |
) |
|
67 |
|
|
(243 |
) |
|
(93 |
) | ||||
| |
|
|
|
|
|
|
|
|
|
|
| |||||
| Net income (loss) |
$ |
(18,957 |
) |
$ |
(15,621 |
) |
$ |
(58,479 |
) |
$ |
(38,520 |
) | ||||
| |
|
|
|
|
|
|
|
|
|
|
| |||||
| Net income (loss) per share |
||||||||||||||||
| Basic |
$ |
(0.31 |
) |
$ |
(0.26 |
) |
$ |
(0.97 |
) |
$ |
(0.65 |
) | ||||
| |
|
|
|
|
|
|
|
|
|
|
| |||||
| Diluted |
$ |
(0.31 |
) |
$ |
(0.26 |
) |
$ |
(0.97 |
) |
$ |
(0.65 |
) | ||||
| |
|
|
|
|
|
|
|
|
|
|
| |||||
| Number of shares used in computing per share amount |
||||||||||||||||
| Basic |
|
60,650 |
|
|
59,865 |
|
|
60,470 |
|
|
59,665 |
| ||||
| |
|
|
|
|
|
|
|
|
|
|
| |||||
| Diluted |
|
60,650 |
|
|
59,865 |
|
|
60,470 |
|
|
59,665 |
| ||||
| |
|
|
|
|
|
|
|
|
|
|
| |||||
| Nine Months Ended July
31, |
||||||||
| 2002 |
2001 |
|||||||
| Cash flows from operating activities: |
||||||||
| Net income (loss) |
$ |
(58,479 |
) |
$ |
(38,520 |
) | ||
| Adjustments to reconcile net income to net cash used in operating activity activities: |
||||||||
| Depreciation and amortization |
|
37,160 |
|
|
43,507 |
| ||
| (Gain) loss on disposal of property and equipment |
|
2,819 |
|
|
1,410 |
| ||
| Non cash special charges |
|
|
|
|
47,407 |
| ||
| Minority interest |
|
(262 |
) |
|
(92 |
) | ||
| Changes in operating assets and liabilities: |
||||||||
| Accounts receivable, inventories and other current assets |
|
16,373 |
|
|
22,724 |
| ||
| Accounts payable, accrued liabilities and income taxes payable |
|
(12,681 |
) |
|
(104,202 |
) | ||
| |
|
|
|
|
| |||
| Net cash used in operating activities |
|
(15,070 |
) |
|
(27,766 |
) | ||
| Cash flows from investing activities: |
||||||||
| Purchases of available-for-sale securities |
|
(115,513 |
) |
|
(177,588 |
) | ||
| Maturities of available-for-sale short-term securities |
|
15,973 |
|
|
39,150 |
| ||
| Sales of available-for-sale securities |
|
148,240 |
|
|
130,215 |
| ||
| Acquisition of property and equipment |
|
(10,717 |
) |
|
(32,876 |
) | ||
| Acquisition of other assets |
|
(4,445 |
) |
|
(23,617 |
) | ||
| Proceeds from the sale of assets |
|
|
|
|
315 |
| ||
| |
|
|
|
|
| |||
| Net cash provided by (used in) investing activities |
|
33,538 |
|
|
(64,401 |
) | ||
| Cash flows from financing activities: |
||||||||
| Issuance of common & treasury stock |
|
5,770 |
|
|
7,297 |
| ||
| Repurchase of common stock |
|
|
|
|
(5,808 |
) | ||
| Other |
|
11 |
|
|
|
| ||
| |
|
|
|
|
| |||
| Net cash provided by (used in) financing activities |
|
5,781 |
|
|
1,489 |
| ||
| Net increase (decrease) in cash and cash equivalents |
|
24,663 |
|
|
(90,678 |
) | ||
| Cash and cash equivalents at beginning of period |
|
44,309 |
|
|
137,401 |
| ||
| |
|
|
||||||