PLANTRONICS INC /CA/ - FORM 8-K - EX-99.1 - Q4 FY11 EARNINGS RELEASE

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8-K - PLANTRONICS INC /CA/	plt8k.htm
EX-99.2 - REPURCHASE AUTHORIZATION - PLANTRONICS INC /CA/	pltex992.htm

PRESS RELEASE



FOR INFORMATION, CONTACT: Greg Klaben Vice President of Investor Relations (831) 458-7533	MEDIA CONTACT: Russell Castronovo Director of Global Communications (831) 458-7598

Plantronics Announces Fourth Quarter and Fiscal Year 2011 Results

Record Fiscal Year Earnings Per Share and Cash Flow from Operations; 7,000,000 Share Repurchase Program Authorized

SANTA CRUZ, CA - May 3, 2011 - Plantronics, Inc. (NYSE: PLT) today announced fourth quarter fiscal year 2011 net revenues of $173.1 million, a 7% increase compared with net revenues of $162.3 million in the fourth quarter of fiscal year 2010. Net revenues were above the guidance range of $167 million - $172 million provided on February 1, 2011. Plantronics' GAAP diluted earnings per share from continuing operations was $0.55 in the fourth quarter of fiscal year 2011 compared with $0.49 in the same quarter of the prior year. Non-GAAP diluted earnings per share from continuing operations for the fourth quarter of fiscal year 2011 increased 15% to $0.61 from $0.53 in the same quarter of the prior year. The difference between GAAP and non-GAAP earnings per share from continuing operations for the fourth quarter of fiscal year 2011 includes stock-based compensation charges, purchase accounting amortization, including accelerated amortization due to the abandonment of an intangible asset, all net of associated tax impact, and a tax benefit from expiration of certain statutes of limitations.

Net revenues for fiscal year 2011 increased 11% to $683.6 million compared with $613.8 million for fiscal year 2010. Plantronics' GAAP diluted earnings per share from continuing operations increased by 44% to $2.23 for fiscal year 2011 compared with $1.55 in fiscal year 2010. Non-GAAP diluted earnings per share from continuing operations for fiscal year 2011 increased by 32% to $2.44 compared with $1.85 in fiscal year 2010.

“Our financial performance in fiscal year 2011 was excellent. Highlights include record annual earnings per share and record generation of cash flow from operations, while we achieved gross and operating margins above our long-term objective,” stated Ken Kannappan, President & CEO. “As we celebrate our 50^th anniversary this year, we believe that our best long-term revenue and profit opportunities are in front of us and that we are well positioned for them.”

“We generated approximately $72 million in cash flow from operations in the fourth quarter and approximately $158 million for the fiscal year. We finished the year with a very strong financial position with $430 million in cash, cash equivalents and short-term investments. We also had $39.3 million in long-term investments at the end of the fiscal year,” stated Barbara Scherer, SVP Finance and Administration & CFO.

Improved economic conditions and the trend toward Unified Communications (“UC”) drove an 18% increase in net revenues of Office and Contact Center (“OCC”) products in the fourth quarter of fiscal 2011 compared to the same period in the prior year. OCC net revenues were $132.0 million in the fourth quarter of fiscal 2011 compared with $111.9 million in the fourth quarter of fiscal year 2010. Sales of UC products were $16.6 million for the fourth quarter of fiscal year 2011 compared with $13.5 million in the third quarter of fiscal year 2011.

Mobile net revenues were $28.1 million in the fourth quarter of fiscal year 2011, a decrease of 22% from $35.8 million in the fourth quarter of fiscal year 2010, due primarily to weak category spending.

GAAP operating income in the fourth quarter of fiscal year 2011 was $34.3 million, resulting in an operating margin of 19.8%, inclusive of a $5.1 million gain related to an agreement to dismiss litigation involving the alleged theft of our trade secrets by a competitor in exchange for a full release and settlement of the claims. This compares to GAAP operating income of $31.7 million and an operating margin of 19.5% in the same quarter of the prior year. Non-GAAP operating income in the fourth quarter of fiscal year 2011 was $39.9 million which resulted in a non-GAAP operating margin of 23.0% compared to previously provided guidance of $40 million to $42 million. In the prior year quarter, non-GAAP operating income was $35.8 million with a non-

GAAP operating margin of 22.1%.

Plantronics completed the sale of Altec Lansing, its Audio Entertainment Group (“AEG”) segment, effective as of December 1, 2009. All results of operations related to AEG (including the loss on the sale) were classified as discontinued operations for all periods presented.

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.

Plantronics' business is inherently difficult to forecast, particularly with continuing uncertainty in global economic conditions, and there can be no assurance that the incoming orders it expects to receive over the balance of the current quarter will materialize.

Plantronics has a “book and ship” business model whereby it ships most orders to customers within 48 hours of its receipt of those orders and, therefore, the level of backlog does not provide reliable visibility into potential future revenues.

Subject to the foregoing, we are currently expecting the following range of financial results for continuing operations for the first quarter of fiscal year 2012:


•	Net revenues of $168 million - $173 million;


•	Non-GAAP operating income of $34.0 million to $37.0 million;


•	Assuming 49 million diluted average weighted shares outstanding:


•	Non-GAAP diluted earnings per share of $0.52 - $0.56;


•	EPS cost of stock-based compensation to be approximately $0.06; and


•	GAAP diluted earnings per share of $0.46 to $0.50.

Plantronics does not intend to update these targets during the quarter or to report on its progress toward these targets. Plantronics will not comment on these targets to analysts or investors except by its press release announcing its first quarter fiscal year 2012 results or by other public disclosure. Any other statements speculating on the progress of the first quarter fiscal year 2012 will not be based on internal information and should be assessed accordingly by investors.

“We are also updating our target business model,” said Barbara Scherer. “For a number of years, we have believed that the right target business model for us was an 18%-20% operating margin. We came out of the economic recession with a lean cost structure and have experienced a rebound of demand for our products as a result of stronger economic conditions as well as the strength of our portfolio and our total value proposition. We exceeded the 20% target in fiscal year 2011 even while investing significantly in UC opportunities, and our financial plan for fiscal year 2012 calls for a similar operating margin while continuing to invest for growth. We have updated our market and financial models and have concluded that a more appropriate target is a 20%-23% operating margin.” Please see our new Investor Relations Presentation available on our corporate website www.plantronics.com/ir.

Plantronics today announced in a separate press release that its Board of Directors has authorized a 7,000,000 share repurchase program.

Dividend Announcement

Plantronics also announced that its Board of Directors declared a quarterly dividend of $0.05 per share. The dividend will be payable on June 10, 2011 to stockholders of record at the close of business on May 20, 2011.

Conference Call Scheduled to Discuss Financial Results

Plantronics has scheduled a conference call to discuss fourth quarter fiscal year 2011 results. The conference call will take place today, May 3, 2011 at 2:00 PM (PDT). All interested investors and potential investors in Plantronics 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." Participants from North America should call (888) 301-8736 and other participants should call (706) 634-7260.

A replay of the call with the conference ID #52161408 will be available for 72 hours at (800) 642-1687 for callers from North America and at (706) 645-9291 for all other callers. The conference call will also be simultaneously web cast at www.plantronics.com under Investor Relations, and the web cast of the conference call will remain available on the Plantronics

website for 30 days.

Use of Non-GAAP Financial Information

Plantronics excludes non-recurring transactions and non-cash expenses and charges such as restructuring and other related charges, the release of tax reserves due to the expiration of certain statutes of limitations, stock-based compensation expenses related to stock options, restricted stock and employee stock purchases, purchase accounting amortization and impairment of goodwill and long-lived assets from non-GAAP income from continuing operations, non-GAAP earnings per diluted share from continuing operations, non-GAAP operating income, non-GAAP gross margin, non-GAAP operating margin and non-GAAP effective tax rate on continuing operations. Plantronics excludes these expenses from its non-GAAP measures primarily because Plantronics does not believe they are reflective of ongoing operating results and are not considered by management as part of Plantronics' target operating model. Plantronics believes that the use of non-GAAP financial measures provides meaningful supplemental information regarding its performance and liquidity, and helps investors compare actual results to its long-term target operating model goals. Plantronics believes that both management and investors benefit from referring to these non-GAAP financial measures in assessing its performance and when planning, forecasting and analyzing future periods, but non-GAAP financial measures are not meant to be considered in isolation or as a substitute for, or superior to, income from operations, net income or earnings per share prepared in accordance with GAAP.

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) our best long-term revenue and profit opportunities are in front of us and that we are well positioned for them (ii) our estimates of GAAP and non-GAAP financial results for the first quarter of fiscal 2012, including revenue, operating income and earnings per share; (iii) our estimated stock-based compensation expense for the first quarter of fiscal 2012; (iv) our estimate of the diluted weighted average shares outstanding in the first quarter of fiscal 2012, (v) trends and our predictions regarding ordering patterns for the first quarter of fiscal 2012, (vi) and our target market and financial model update of our operating margin from 18%-20% to 20%-23%, as well as other matters discussed in this press release that are not purely historical data. Plantronics does 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:


•	economic conditions in both the domestic and international markets;

•

our ability to realize our UC plans and to achieve the financial results projected to arise from UC adoption could be adversely affected by the following factors: (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) UC solutions may not be adopted with the breadth and speed in the marketplace that we currently anticipate; (iii) the development of UC solutions is technically complex and this may delay or obstruct our ability to introduce solutions to the market on a timely basis and that are cost effective, feature rich, stable and attractive to our customers; (iv) as UC becomes more widely adopted we anticipate that competition for market share will increase, and some competitors may have superior technical and economic resources; and (v) our plans are dependent upon adoption of our UC solution by major platform providers such as Microsoft Corporation, Cisco Systems, Inc., Avaya, Inc., Alcatel-Lucent, and IBM, and we have a limited ability to influence such providers with respect to the functionality of their platforms, their rate of deployment, and their willingness to integrate their platforms with our solutions, and our support expenditures may substantially increase over time due to the complex nature of the platforms developed by the major UC providers as these platforms continue to evolve and become more commonly adopted;


•	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 and could negatively affect our profitability and/or market share;


•	fluctuations in foreign exchange rates;


•	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, the inherent risks of our substantial foreign operations, and problems which might affect our manufacturing facilities in Mexico; and


•	impairment losses on the carrying value of our intangible assets and goodwill could be recognized if it is determined the

value is not recoverable which would adversely affect our financial results.

For more information concerning these and other possible risks, please refer to Plantronics' Annual Report on Form 10-K filed with the Securities and Exchange Commission on June 1, 2010, quarterly reports filed on Form 10-Q and other filings with the Securities and Exchange Commission, as well as recent press releases. These 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 GAAP to Non-GAAP Statements of Operations Reconciliations for the Three and Twelve Months ended March 31, 2011 and March 31, 2010


•	Summary Unaudited Statements of Operations and Related Data on a Non-GAAP Basis for Continuing Operations

About Plantronics

Plantronics is a global leader in audio communications for businesses and consumers. We have pioneered new trends in audio technology for 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, the logo design, and Clarity are trademarks or registered trademarks 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.

PLANTRONICS, INC. / 345 Encinal Street / P.O. Box 1802 / Santa Cruz, California 95061-1802

831-426-6060 / Fax 831-426-6098



PLANTRONICS, INC.
SUMMARY CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
($ in thousands, except per share data)

UNAUDITED CONSOLIDATED STATEMENTS OF OPERATIONS
	Three Months Ended						Twelve Months Ended
	March 31,						March 31,
	2011			2010			2011			2010

Net revenues	$	173,077		$	162,282		$	683,602		$	613,837
Cost of revenues	82,536			74,516			321,846			312,767
Gross profit	90,541			87,766			361,756			301,070
Gross profit %	52.3		%	54.1		%	52.9		%	49.0		%

Research, development and engineering	16,703			15,793			63,183			57,784
Selling, general and administrative	44,642			40,185			163,389			143,784
Restructuring and other related charges	—			100			(428		)	1,867
Gain from litigation settlement	(5,100		)	—			(5,100		)	—
Total operating expenses	56,245			56,078			221,044			203,435
Operating income	34,296			31,688			140,712			97,635
Operating income %	19.8		%	19.5		%	20.6		%	15.9		%

Interest and other income (expense), net	503			(548		)	1,118			3,105
Income from continuing operations before income taxes	34,799			31,140			141,830			100,740
Income tax expense from continuing operations	7,616			6,725			31,720			24,287
Income from continuing operations, net of tax	27,183			24,415			110,110			76,453
Discontinued operations:
Loss from operations of discontinued AEG segment (including loss on sale of AEG)	—			(176		)	—			(30,468		)
Income tax benefit on discontinued operations	—			15			—			(11,393		)
Loss on discontinued operations	—			(191		)	—			(19,075		)
Net income	$	27,183		$	24,224		$	110,110		$	57,378

% of net revenues	15.7		%	14.9		%	16.1		%	9.3		%

Earnings (loss) per common share:
Basic



Continuing operations	$	0.57		$	0.51		$	2.31		$	1.58
Discontinued operations	$	—		$	—		$	—		$	(0.39	)
Net income	$	0.57		$	0.50		$	2.31		$	1.18

Diluted
Continuing operations	$	0.55		$	0.49		$	2.23		$	1.55
Discontinued operations	$	—		$	—		$	—		$	(0.39	)
Net income	$	0.55		$	0.49		$	2.23		$	1.16

Shares used in computing earnings (loss) per common share:
Basic	47,989			48,146			47,713			48,504
Diluted	49,464			49,562			49,344			49,331

Tax rate from continuing operations	21.9		%	21.6		%	22.4		%	24.1		%



PLANTRONICS, INC.
SUMMARY CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
($ in thousands, except per share data)

UNAUDITED CONSOLIDATED BALANCE SHEETS
	March 31,		March 31,
	2011		2010
ASSETS
Cash and cash equivalents	$	284,375	$	349,961
Short-term investments	145,581		19,231
Total cash, cash equivalents, and short-term investments	429,956		369,192
Accounts receivable, net	103,289		88,328
Inventory, net	56,473		70,518
Deferred income taxes	11,349		10,911
Other current assets	15,781		21,782
Assets held for sale	—		8,861
Total current assets	616,848		569,592
Long-term investments	39,332		—
Property, plant and equipment, net	70,622		65,700
Intangibles, net	856		3,449
Goodwill	14,005		14,005
Other assets	2,112		2,605
Total assets	$	743,775	$	655,351
LIABILITIES AND STOCKHOLDERS' EQUITY
Accounts payable	$	33,995	$	23,779
Accrued liabilities	57,854		45,837
Total current liabilities	91,849		69,616
Deferred tax liability	3,526		551
Long-term income taxes payable	11,524		12,926
Other long-term liabilities	1,143		924
Total liabilities	108,042		84,017
Stockholders' equity	635,733		571,334
Total liabilities and stockholders' equity	$	743,775	$	655,351



PLANTRONICS, INC.
UNAUDITED GAAP TO NON-GAAP RECONCILIATION
($ in thousands, except per share data)

UNAUDITED CONSOLIDATED STATEMENTS OF OPERATIONS
	Three Months Ended										Twelve Months Ended
	March 31, 2011										March 31, 2011
	GAAP			Excluded				Non-GAAP			GAAP			Excluded				Non-GAAP

Net revenues	$	173,077		$	—			$	173,077		$	683,602		$	—			$	683,602
Cost of revenues	82,536			(2,142		)	⁽¹⁾	80,394			321,846			(4,459		)	⁽¹⁾	317,387
Gross profit	90,541			2,142				92,683			361,756			4,459				366,215
Gross profit %	52.3		%					53.6		%	52.9		%					53.6		%

Research, development and engineering	16,703			(903		)	⁽²⁾	15,800			63,183			(3,841		)	⁽²⁾	59,342
Selling, general and administrative	44,642			(2,547		)	⁽²⁾	42,095			163,389			(10,226		)	⁽²⁾	153,163
Restructuring and other related charges	—			—				—			(428		)	428			⁽³⁾	—
Gain from litigation settlement	(5,100		)	—				(5,100		)	(5,100		)	—				(5,100		)
Total operating expenses	56,245			(3,450		)		52,795			221,044			(13,639		)		207,405
Operating income	34,296			5,592				39,888			140,712			18,098				158,810
Operating income %	19.8		%					23.0		%	20.6		%					23.2		%

Interest and other income (expense), net	503			—				503			1,118			—				1,118
Income from continuing operations before income taxes	34,799			5,592				40,391			141,830			18,098				159,928
Income tax expense from continuing operations	7,616			2,372			⁽⁴⁾	9,988			31,720			7,982			⁽⁵⁾	39,702
Income from continuing operations, net of tax	$	27,183		$	3,220			$	30,403		$	110,110		$	10,116			$	120,226

% of net revenues	15.7		%					17.6		%	16.1		%					17.6		%

Diluted earnings per common share from continuing operations	$	0.55						$	0.61		$	2.23						$	2.44
Shares used in diluted per share calculations	49,464							49,464			49,344							49,344


(1)	Excluded amount represents stock-based compensation and purchase accounting amortization, including $1,400 in accelerated amortization related to the abandonment of an intangible asset.


(2)	Excluded amount represents stock-based compensation and purchase accounting amortization.


(3)	Excluded amount represents restructuring and other related charges.


(4)	Excluded amount represents tax benefit from stock-based compensation, purchase accounting amortization and $490 related to a tax benefit from expiration of certain statutes of limitations.


(5)	Excluded amount represents tax benefit from stock-based compensation, purchase accounting amortization, restructuring and other related charges and $2,092 related to a tax benefit from expiration of certain statutes of limitations.

Use of Non-GAAP Financial Information

To supplement our consolidated financial statements presented on a GAAP basis, Plantronics uses non-GAAP measures of operating results from continuing operations, which are adjusted to exclude non-recurring and non-cash expenses and charges, such as restructuring and other related charges, stock-based compensation expenses related to stock options, restricted stock and employee stock purchases, purchase accounting amortization, impairment of goodwill and long-lived assets, and tax benefits from the expiration of certain statutes of limitations. Plantronics does not believe these expenses and charges are reflective of ongoing operating results and are not part of our target operating model. We have presented non-GAAP statements that only show our results to the income from continuing operations after tax line. The non-GAAP financial measures should not be considered a substitute for, or superior to, financial measures calculated in accordance with GAAP, and the financial results calculated in accordance with GAAP and the reconciliations to those financial statements should be carefully evaluated. The non-GAAP financial measures used by Plantronics may be calculated differently from, and therefore may not be comparable to, similarly titled measures used by other companies.



PLANTRONICS, INC.
UNAUDITED GAAP TO NON-GAAP RECONCILIATION
($ in thousands, except per share data)

UNAUDITED CONSOLIDATED STATEMENTS OF OPERATIONS
	Three Months Ended										Twelve Months Ended
	March 31, 2010										March 31, 2010
	GAAP			Excluded				Non-GAAP			GAAP			Excluded				Non-GAAP

Net revenues	$	162,282		$	—			$	162,282		$	613,837		$	—			$	613,837
Cost of revenues	74,516			(745		)	⁽¹⁾	73,771			312,767			(7,947		)	⁽²⁾	304,820
Gross profit	87,766			745				88,511			301,070			7,947				309,017
Gross profit %	54.1		%					54.5		%	49.0		%					50.3		%

Research, development and engineering	15,793			(951		)	⁽¹⁾	14,842			57,784			(3,404		)	⁽¹⁾	54,380
Selling, general and administrative	40,185			(2,364		)	⁽¹⁾	37,821			143,784			(8,799		)	⁽¹⁾	134,985
Restructuring and other related charges	100			(100		)	⁽³⁾	—			1,867			(1,867		)	⁽³⁾	—
Total operating expenses	56,078			(3,415		)		52,663			203,435			(14,070		)		189,365
Operating income	31,688			4,160				35,848			97,635			22,017				119,652
Operating income %	19.5		%					22.1		%	15.9		%					19.5		%

Interest and other income (expense), net	(548		)	—				(548		)	3,105			—				3,105
Income from continuing operations before income taxes	31,140			4,160				35,300			100,740			22,017				122,757
Income tax expense from continuing operations	6,725			2,404			⁽⁴⁾	9,129			24,287			7,230			⁽⁵⁾	31,517
Income from continuing operations, net of tax	$	24,415		$	1,756			$	26,171		$	76,453		$	14,787			$	91,240

% of net revenues	15.0		%					16.1		%	12.5		%					14.9		%

Diluted earnings per common share from continuing operations	$	0.49						$	0.53		$	1.55						$	1.85
Shares used in diluted per share calculations	49,562							49,562			49,331							49,331


(1)	Excluded amount represents stock-based compensation and purchase accounting amortization.


(2)	Excluded amount represents stock-based compensation, purchase accounting amortization and $5,205 of accelerated depreciation on assets related to restructuring activity.


(3)	Excluded amount represents restructuring and other related charges.


(4)	Excluded amount represents tax benefit from stock-based compensation, purchase accounting amortization and restructuring and other related charges and $1,061

related to a tax benefit from expiration of certain statutes of limitations.


(5)	Excluded amount represents tax benefit from stock-based compensation, purchase accounting amortization and restructuring and other related charges and $2,217 related to a tax benefit from expiration of certain statutes of limitations.

Use of Non-GAAP Financial Information



Summary of Unaudited Statements of Operations and Related Data - Non-GAAP on Income From Continuing Operations
($ in thousands, except per share data)

	Q110			Q210			Q310			Q410			Q111			Q211			Q311			Q411
Net revenues	$	141,162		$	144,458		$	165,935		$	162,282		$	170,685		$	158,255		$	181,585		$	173,077
Cost of revenues	72,036			74,145			84,868			73,771			80,484			71,519			84,990			80,394
Gross profit	69,126			70,313			81,067			88,511			90,201			86,736			96,595			92,683
Gross profit %	49.0		%	48.7		%	48.9		%	54.5		%	52.8		%	54.8		%	53.2		%	53.6		%

Research, development and engineering	12,850			12,733			13,955			14,842			13,923			14,213			15,406			15,800
Selling, general and administrative	31,058			30,823			35,283			37,821			36,273			34,191			40,604			42,095
Gain from litigation settlement	—			—			—			—			—			—			—			(5,100		)
Operating expenses	43,908			43,556			49,238			52,663			50,196			48,404			56,010			52,795
Operating income	25,218			26,757			31,829			35,848			40,005			38,332			40,585			39,888
Operating income %	17.9		%	18.5		%	19.2		%	22.1		%	23.4		%	24.2		%	22.4		%	23.0		%

Income from continuing operations before income taxes	26,565			27,641			33,251			35,300			39,623			39,349			40,565			40,391
Income tax expense from continuing operations	7,172			6,939			8,277			9,129			10,711			11,020			7,983			9,988
Income tax expense as a percent of income from continuing operations before taxes	27.0		%	25.1		%	24.9		%	25.9		%	27.0		%	28.0		%	19.7		%	24.7		%

Income from continuing operations, net of tax	$	19,393		$	20,702		$	24,974		$	26,171		$	28,912		$	28,329		$	32,582		$	30,403

Diluted EPS - continuing operations	$	0.40		$	0.42		$	0.50		$	0.53		$	0.58		$	0.58		$	0.66		$	0.61
Diluted shares outstanding	48,665			49,567			49,625			49,562			49,714			48,524			49,431			49,464


Net revenues from unaffiliated customers:
Office and Contact Center	$	95,923		$	93,503		$	103,096		$	111,875		$	117,580		$	117,951		$	122,949		$	131,992
Mobile	32,310			34,665			46,951			35,830			38,657			27,581			43,208			28,084
Gaming and Computer Audio	8,810			9,015			11,072			10,363			9,325			8,179			10,544			8,688
Clarity	4,119			7,275			4,816			4,214			5,123			4,544			4,884			4,313
Total net revenues	$	141,162		$	144,458		$	165,935		$	162,282		$	170,685		$	158,255		$	181,585		$	173,077



Net revenues by geographic area from unaffiliated customers:
Domestic	$	88,789	$	93,370	$	99,157	$	96,803	$	103,992	$	96,100	$	104,299	$	95,901
International	52,373		51,088		66,778		65,479		66,693		62,155		77,286		77,176
Total net revenues	$	141,162	$	144,458	$	165,935	$	162,282	$	170,685	$	158,255	$	181,585	$	173,077


Balance Sheet accounts and metrics:
Accounts receivable, net ¹	$	88,350	$	103,003	$	113,291	$	88,328	$	96,850	$	94,989	$	111,514	$	103,289
Days sales outstanding (DSO) ¹	56		64		61		49		51		54		55		54
Inventory, net ²	$	90,258	$	78,026	$	70,914	$	70,518	$	78,224	$	69,845	$	64,032	$	56,473
Inventory turns ²	3.2		3.8		4.8		4.2		4.1		4.1		5.3		5.7


¹	Accounts receivable, net is presented on a consolidated basis including discontinued operations as Plantronics does not maintain balance by segment; DSO is calculated on revenues from continuing operations and consolidated Accounts receivable.


²	Inventory, net and inventory turns reflect amounts in continuing operations only.

PLANTRONICS INC /CA/ - FORM 8-K - EX-99.1 - Q4 FY11 EARNINGS RELEASE - May 3, 2011

Attached files

PLANTRONICS INC /CA/ Reports