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Reconciliations of non-GAAP consolidated results of operations to the nearest comparable GAAP measures | ||||||||||||||||||
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The following table presents certain non-GAAP consolidated results before certain items (in millions, except share amounts which are reflected in thousands and per share amounts, unaudited): | ||||||||||||||||||
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Three months ended March 31, 2013 | Three Months Ended March 31, 2014 | |||||||||||||||||
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GAAP | Adjustment | Non-GAAP | GAAP | Adjustment | Non-GAAP | |||||||||||||
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Revenues | $12,951 | 0 | $12,951 | $15,420 | 0 | $15,420 | ||||||||||||
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Costs and expenses: | ||||||||||||||||||
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Cost of revenues | 5,136 | $(99) | (b) | 5,037 | 5,961 | $(95) | (b) | 5,866 | ||||||||||
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Research and development | 1,617 | (338) | (b) | 1,279 | 2,126 | (456) | (b) | 1,670 | ||||||||||
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Sales and marketing | 1,435 | (118) | (b) | 1,317 | 1,729 | (147) | (b) | 1,582 | ||||||||||
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General and administrative | 1,015 | (100) | (b) | 915 | 1,489 | (141) | (b) | 1,348 | ||||||||||
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Total costs and expenses | 9,203 | (655) | 8,548 | 11,305 | (839) | 10,466 | ||||||||||||
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Income from operations | 3,748 | 655 | 4,403 | 4,115 | 839 | 4,954 | ||||||||||||
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Operating margin (a) | 28.9% | 34.0% | 26.7% | 32.1% | ||||||||||||||
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Interest and other income, net | 134 | 0 | 134 | 357 | 0 | 357 | ||||||||||||
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Income from continuing operations before income taxes | 3,882 | 655 | 4,537 | 4,472 | 839 | 5,311 | ||||||||||||
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Provision for income taxes | 354 | 141 | (c) | 495 | 822 | 190 | (c) | 1,012 | ||||||||||
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Net income from continuing operations | 3,528 | 514 | 4,042 | 3,650 | 649 | 4,299 | ||||||||||||
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Net loss from discontinued operations | (182) | 182 | (d) | 0 | (198) | 198 | (d) | 0 | ||||||||||
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Net income | $3,346 | $696 | $4,042 | $3,452 | $847 | $4,299 | ||||||||||||
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Net income per share - diluted | $4.97 | $6.00 | 5.04 | 6.27 | ||||||||||||||
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Shares used in per share calculation - diluted | 673,326 | 673,326 | 685,212 | 685,212 | ||||||||||||||
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(a) |
Operating margin is defined as consolidated income from operations divided by
revenues. Non-GAAP operating margin is defined as non-GAAP consolidated income from operations divided by revenues. |
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(b) | To eliminate stock-based compensation expense. | |||||||||||||||||
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(c) | To eliminate income tax effects related to stock-based compensation expense. | |||||||||||||||||
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(d) | To eliminate net loss from discontinued operations. | |||||||||||||||||