Artificial Intelligence
Micron Technology, Inc. Reports Results for the Fourth Quarter and Full Year of Fiscal 2020
DRAM portfolio strengthened with 1z ramp; High-value NAND shipments reach record levels in FY20
BOISE, Idaho, Sept. 29, 2020 (GLOBE NEWSWIRE) — Micron Technology, Inc. (Nasdaq: MU) today announced results for its fourth quarter and full year of fiscal 2020, which ended Sept. 3, 2020.
Fiscal Q4 2020 highlights
- Revenue of $6.06 billion versus $5.44 billion for the prior quarter and $4.87 billion for the same period last year
- GAAP net income of $988 million, or $0.87 per diluted share
- Non-GAAP net income of $1.23 billion, or $1.08 per diluted share
- Operating cash flow of $2.27 billion versus $2.02 billion for the prior quarter and $2.23 billion for the same period last year
Fiscal 2020 highlights
- Revenue of $21.44 billion versus $23.41 billion for the prior year
- GAAP net income of $2.69 billion, or $2.37 per diluted share
- Non-GAAP net income of $3.24 billion, or $2.83 per diluted share
- Operating cash flow of $8.31 billion versus $13.19 billion for the prior year
“Micron delivered solid fiscal fourth quarter revenue and EPS resulting from strong DRAM sales in cloud, PC and gaming consoles and an extraordinary increase in QLC NAND shipments,” said Micron Technology President and CEO Sanjay Mehrotra. “We look forward to improving market conditions throughout calendar 2021, driven by 5G, cloud and automotive growth, and we are excited by the continued momentum in our product portfolio.”
Quarterly Financial Results | |||||||||||||||||||
(in millions, except per share amounts) | GAAP(1) | Non-GAAP(2) | |||||||||||||||||
FQ4-20 | FQ3-20 | FQ4-19 | FQ4-20 | FQ3-20 | FQ4-19 | ||||||||||||||
Revenue | $ | 6,056 | $ | 5,438 | $ | 4,870 | $ | 6,056 | $ | 5,438 | $ | 4,870 | |||||||
Gross margin | 2,068 | 1,763 | 1,395 | 2,111 | 1,804 | 1,491 | |||||||||||||
percent of revenue | 34.1 | % | 32.4 | % | 28.6 | % | 34.9 | % | 33.2 | % | 30.6 | % | |||||||
Operating expenses | 911 | 875 | 745 | 809 | 823 | 797 | |||||||||||||
Operating income | 1,157 | 888 | 650 | 1,302 | 981 | 694 | |||||||||||||
percent of revenue | 19.1 | % | 16.3 | % | 13.3 | % | 21.5 | % | 18.0 | % | 14.3 | % | |||||||
Net income attributable to Micron | 988 | 803 | 561 | 1,229 | 941 | 637 | |||||||||||||
Diluted earnings per share | 0.87 | 0.71 | 0.49 | 1.08 | 0.82 | 0.56 |
Annual Financial Results | |||||||||||||
(in millions, except per share amounts) | GAAP(1) | Non-GAAP(2) | |||||||||||
FY 20 | FY 19 | FY 20 | FY 19 | ||||||||||
Revenue | $ | 21,435 | $ | 23,406 | $ | 21,435 | $ | 23,406 | |||||
Gross margin | 6,552 | 10,702 | 6,718 | 10,973 | |||||||||
percent of revenue | 30.6 | % | 45.7 | % | 31.3 | % | 46.9 | % | |||||
Operating expenses | 3,549 | 3,326 | 3,299 | 3,172 | |||||||||
Operating income | 3,003 | 7,376 | 3,419 | 7,801 | |||||||||
percent of revenue | 14.0 | % | 31.5 | % | 16.0 | % | 33.3 | % | |||||
Net income attributable to Micron | 2,687 | 6,313 | 3,235 | 7,314 | |||||||||
Diluted earnings per share | 2.37 | 5.51 | 2.83 | 6.35 |
Investments in capital expenditures, net(2) were $2.16 billion for the fourth quarter of 2020 and $7.95 billion for the full year of 2020, which resulted in adjusted free cash flows(2) of $111 million for the fourth quarter of 2020 and $361 million for the full year of 2020. Micron repurchased approximately 824,000 shares of its common stock for $41 million during the fourth quarter of 2020 and 3.6 million shares of its common stock for $176 million during the full year of 2020 and ended the year with cash, marketable investments, and restricted cash of $9.26 billion, for a net cash(2) position of $2.61 billion.
Business Outlook
The following table presents Micron’s guidance for the first quarter of 2021:
FQ1-21 | GAAP(1) Outlook | Non-GAAP(2) Outlook |
Revenue | $5.2 billion ± $200 million | $5.2 billion ± $200 million |
Gross margin | 26.5% ± 1% | 27.5% ± 1% |
Operating expenses | $873 million ± $25 million | $825 million ± $25 million |
Interest (income) expense, net | $37 million | $35 million |
Diluted earnings per share | $0.39 ± $0.07 | $0.47 ± $0.07 |
Further information regarding Micron’s business outlook is included in the prepared remarks and slides, which have been posted at investors.micron.com.
Investor Webcast
Micron will host a conference call on Tuesday, Sept. 29, 2020 at 2:30 p.m. MT to discuss its fourth quarter financial results and provide forward-looking guidance for its first quarter. A live webcast of the call will be available online at investors.micron.com. A webcast replay will be available for one year after the call. For Investor Relations and other company updates, follow @MicronTech on Twitter at twitter.com/MicronTech.
About Micron Technology, Inc.
We are an industry leader in innovative memory and storage solutions. Through our global brands — Micron® and Crucial® — our broad portfolio of high-performance memory and storage technologies, including DRAM, NAND, 3D XPoint™ memory, and NOR, is transforming how the world uses information to enrich life for all. Backed by more than 40 years of technology leadership, our memory and storage solutions enable disruptive trends, including artificial intelligence, 5G, machine learning, and autonomous vehicles, in key market segments like mobile, data center, client, consumer, industrial, graphics, automotive, and networking. Our common stock is traded on Nasdaq under the MU symbol. To learn more about Micron Technology, Inc., visit micron.com.
Micron and the Micron orbit logo are trademarks of Micron Technology, Inc. All other trademarks are the property of their respective owners.
Forward-Looking Statements
This press release contains forward-looking statements regarding the industry, our strategic position, and our financial and operating results. These forward-looking statements are subject to a number of risks and uncertainties that could cause actual results to differ materially. Please refer to the documents we file with the Securities and Exchange Commission, specifically our most recent Form 10-K and Form 10-Q. These documents contain and identify important factors that could cause our actual results to differ materially from those contained in these forward-looking statements. These certain factors can be found at www.micron.com/certainfactors. Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future results, levels of activity, performance, or achievements. We are under no duty to update any of the forward-looking statements after the date of this release to conform these statements to actual results.
(1) | GAAP represents U.S. Generally Accepted Accounting Principles. |
(2) | Non-GAAP represents GAAP excluding the impact of certain activities, which management excludes in analyzing our operating results and understanding trends in our earnings, adjusted free cash flow, net cash, and business outlook. Further information regarding Micron’s use of non-GAAP measures and reconciliations between GAAP and non-GAAP measures are included within this press release. |
MICRON TECHNOLOGY, INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
(In millions, except per share amounts)
(Unaudited)
4th Qtr. | 3rd Qtr. | 4th Qtr. | Year Ended | ||||||||||||
September 3, 2020 |
May 28, 2020 |
August 29, 2019 |
September 3, 2020 |
August 29, 2019 |
|||||||||||
Revenue | $ | 6,056 | $ | 5,438 | $ | 4,870 | $ | 21,435 | $ | 23,406 | |||||
Cost of goods sold | 3,988 | 3,675 | 3,475 | 14,883 | 12,704 | ||||||||||
Gross margin | 2,068 | 1,763 | 1,395 | 6,552 | 10,702 | ||||||||||
Selling, general, and administrative | 231 | 216 | 212 | 881 | 836 | ||||||||||
Research and development | 630 | 649 | 623 | 2,600 | 2,441 | ||||||||||
Other operating (income) expense, net | 50 | 10 | (90) | 68 | 49 | ||||||||||
Operating income | 1,157 | 888 | 650 | 3,003 | 7,376 | ||||||||||
Interest income | 13 | 23 | 57 | 114 | 205 | ||||||||||
Interest expense | (50) | (51) | (39) | (194) | (128) | ||||||||||
Other non-operating income (expense), net | 5 | 10 | (13) | 60 | (405) | ||||||||||
1,125 | 870 | 655 | 2,983 | 7,048 | |||||||||||
Income tax (provision) benefit | (136) | (68) | (71) | (280) | (693) | ||||||||||
Equity in net income (loss) of equity method investees | 1 | 3 | 2 | 7 | 3 | ||||||||||
Net income | 990 | 805 | 586 | 2,710 | 6,358 | ||||||||||
Net income attributable to noncontrolling interests | (2) | (2) | (25) | (23) | (45) | ||||||||||
Net income attributable to Micron | $ | 988 | $ | 803 | $ | 561 | $ | 2,687 | $ | 6,313 | |||||
Earnings per share | |||||||||||||||
Basic | $ | 0.89 | $ | 0.72 | $ | 0.51 | $ | 2.42 | $ | 5.67 | |||||
Diluted | 0.87 | 0.71 | 0.49 | 2.37 | 5.51 | ||||||||||
Number of shares used in per share calculations | |||||||||||||||
Basic | 1,111 | 1,111 | 1,104 | 1,110 | 1,114 | ||||||||||
Diluted | 1,131 | 1,129 | 1,128 | 1,131 | 1,143 |
MICRON TECHNOLOGY, INC.
CONSOLIDATED BALANCE SHEETS
(In millions)
(Unaudited)
As of | September 3, 2020 |
May 28, 2020 |
August 29, 2019 |
||||||
Assets | |||||||||
Cash and equivalents | $ | 7,624 | $ | 8,267 | $ | 7,152 | |||
Short-term investments | 518 | 391 | 803 | ||||||
Receivables | 3,912 | 3,603 | 3,195 | ||||||
Inventories | 5,607 | 5,405 | 5,118 | ||||||
Other current assets | 304 | 233 | 235 | ||||||
Total current assets | 17,965 | 17,899 | 16,503 | ||||||
Long-term marketable investments | 1,048 | 577 | 1,164 | ||||||
Property, plant, and equipment | 31,031 | 30,081 | 28,240 | ||||||
Intangible assets | 334 | 332 | 340 | ||||||
Deferred tax assets | 707 | 775 | 837 | ||||||
Goodwill | 1,228 | 1,228 | 1,228 | ||||||
Operating lease right-of-use assets | 584 | 599 | — | ||||||
Other noncurrent assets | 781 | 514 | 575 | ||||||
Total assets | $ | 53,678 | $ | 52,005 | $ | 48,887 | |||
Liabilities and equity | |||||||||
Accounts payable and accrued expenses | $ | 5,817 | $ | 5,364 | $ | 4,626 | |||
Current debt | 270 | 330 | 1,310 | ||||||
Other current liabilities | 548 | 491 | 454 | ||||||
Total current liabilities | 6,635 | 6,185 | 6,390 | ||||||
Long-term debt | 6,373 | 6,356 | 4,541 | ||||||
Noncurrent operating lease liabilities | 533 | 540 | — | ||||||
Noncurrent unearned government incentives | 643 | 553 | 636 | ||||||
Other noncurrent liabilities | 498 | 453 | 452 | ||||||
Total liabilities | 14,682 | 14,087 | 12,019 | ||||||
Commitments and contingencies | |||||||||
Redeemable noncontrolling interest | — | 98 | 98 | ||||||
Micron shareholders’ equity | |||||||||
Common stock | 119 | 119 | 118 | ||||||
Additional capital | 8,917 | 8,764 | 8,214 | ||||||
Retained earnings | 33,384 | 32,402 | 30,761 | ||||||
Treasury stock | (3,495) | (3,454) | (3,221) | ||||||
Accumulated other comprehensive income (loss) | 71 | (11) | 9 | ||||||
Total Micron shareholders’ equity | 38,996 | 37,820 | 35,881 | ||||||
Noncontrolling interest in subsidiary | — | — | 889 | ||||||
Total equity | 38,996 | 37,820 | 36,770 | ||||||
Total liabilities and equity | $ | 53,678 | $ | 52,005 | $ | 48,887 | |||
MICRON TECHNOLOGY, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(In millions)
(Unaudited)
For the year ended | September 3, 2020 |
August 29, 2019 |
||||
Cash flows from operating activities | ||||||
Net income | $ | 2,710 | $ | 6,358 | ||
Adjustments to reconcile net income to net cash provided by operating activities | ||||||
Depreciation expense and amortization of intangible assets | 5,650 | 5,424 | ||||
Amortization of debt discount and other costs | 26 | 49 | ||||
Stock-based compensation | 328 | 243 | ||||
(Gain) loss on debt prepayments, repurchases, and conversions | (40) | 396 | ||||
Change in operating assets and liabilities | ||||||
Receivables | (723) | 2,431 | ||||
Inventories | (489) | (1,528) | ||||
Accounts payable and accrued expenses | 725 | (174) | ||||
Deferred income taxes, net | 79 | 150 | ||||
Other | 40 | (160) | ||||
Net cash provided by operating activities | 8,306 | 13,189 | ||||
Cash flows from investing activities | ||||||
Expenditures for property, plant, and equipment | (8,223) | (9,780) | ||||
Purchases of available-for-sale securities | (1,857) | (4,218) | ||||
Proceeds from sales of available-for-sale securities | 1,458 | 1,504 | ||||
Proceeds from maturities of available-for-sale securities | 814 | 1,541 | ||||
Proceeds from government incentives | 262 | 748 | ||||
Other | (43) | 120 | ||||
Net cash provided by (used for) investing activities | (7,589) | (10,085) | ||||
Cash flows from financing activities | ||||||
Repayments of debt | (4,366) | (3,340) | ||||
Acquisition of noncontrolling interest in IMFT | (744) | — | ||||
Payments to acquire treasury stock | (251) | (2,729) | ||||
Payments on equipment purchase contracts | (63) | (75) | ||||
Proceeds from issuance of debt | 5,000 | 3,550 | ||||
Proceeds from issuance of stock | 225 | 179 | ||||
Other | (118) | (23) | ||||
Net cash provided by (used for) financing activities | (317) | (2,438) | ||||
Effect of changes in currency exchange rates on cash, cash equivalents, and restricted cash | 11 | 26 | ||||
Net increase (decrease) in cash, cash equivalents, and restricted cash | 411 | 692 | ||||
Cash, cash equivalents, and restricted cash at beginning of period | 7,279 | 6,587 | ||||
Cash, cash equivalents, and restricted cash at end of period | $ | 7,690 | $ | 7,279 |
MICRON TECHNOLOGY, INC.
NOTES
(Unaudited)
Property, Plant, and Equipment
We periodically assess the estimated useful lives of our property, plant, and equipment. Based on our assessment of planned technology node transitions, capital spending, and re-use rates, we revised the estimated useful lives of the existing equipment in our NAND wafer fabrication facilities and our research and development facilities from five years to seven years as of the beginning of the first quarter of 2020. This revision reduced our aggregate depreciation expense by approximately $675 million in 2020, of which approximately $165 million remained capitalized in inventory as of the end of 2020. Adjusting for the effect of the reduced amount of depreciation expense remaining in inventory, the revision in estimated useful lives benefited both operating income and net income by approximately $150 million and diluted earnings per share by approximately $0.13 for the fourth quarter of 2020, and benefited both operating income and net income by approximately $510 million and diluted earnings per share by approximately $0.45 for 2020.
Adoption of Lease Accounting Standard
In the first quarter of 2020, we adopted ASU 2016-02 – Leases (as amended, “ASC 842”), which amends a number of aspects of lease accounting, including requiring lessees to recognize operating leases with a term greater than one year on their balance sheet as a right-of-use asset and corresponding lease liability, measured at the present value of lease payments. In adoption, we applied the modified retrospective method and elected to not recast prior periods. As a result, we recognized $567 million for operating lease liabilities and right-of-use assets and reclassified an additional $66 million of other balances to right-of-use assets to conform to the new presentation requirements of ASC 842.
MICRON TECHNOLOGY, INC.
RECONCILIATION OF GAAP TO NON-GAAP MEASURES
(In millions, except per share amounts)
4th Qtr. | 3rd Qtr. | 4th Qtr. | Year Ended | ||||||||||||
September 3, 2020 |
May 28, 2020 |
August 29, 2019 |
September 3, 2020 |
August 29, 2019 |
|||||||||||
GAAP gross margin | $ | 2,068 | $ | 1,763 | $ | 1,395 | $ | 6,552 | $ | 10,702 | |||||
Stock-based compensation | 37 | 34 | 29 | 139 | 102 | ||||||||||
Start-up and preproduction costs | — | — | 12 | — | 58 | ||||||||||
Employee severance | (1) | — | 47 | — | 73 | ||||||||||
Other | 7 | 7 | 8 | 27 | 38 | ||||||||||
Non-GAAP gross margin | $ | 2,111 | $ | 1,804 | $ | 1,491 | $ | 6,718 | $ | 10,973 | |||||
GAAP operating expenses | $ | 911 | $ | 875 | $ | 745 | $ | 3,549 | $ | 3,326 | |||||
Stock-based compensation | (52) | (48) | (38) | (189) | (141) | ||||||||||
Employee severance | — | — | (32) | — | (43) | ||||||||||
Restructure and asset impairments | (50) | (4) | 122 | (60) | 32 | ||||||||||
Other | — | — | — | (1) | (2) | ||||||||||
Non-GAAP operating expenses | $ | 809 | $ | 823 | $ | 797 | $ | 3,299 | $ | 3,172 | |||||
GAAP operating income | $ | 1,157 | $ | 888 | $ | 650 | $ | 3,003 | $ | 7,376 | |||||
Stock-based compensation | 89 | 82 | 67 | 328 | 243 | ||||||||||
Start-up and preproduction costs | — | — | 12 | — | 58 | ||||||||||
Employee severance | (1) | — | 79 | — | 116 | ||||||||||
Restructure and asset impairments | 50 | 4 | (122) | 60 | (32) | ||||||||||
Other | 7 | 7 | 8 | 28 | 40 | ||||||||||
Non-GAAP operating income | $ | 1,302 | $ | 981 | $ | 694 | $ | 3,419 | $ | 7,801 | |||||
GAAP net income attributable to Micron | $ | 988 | $ | 803 | $ | 561 | $ | 2,687 | $ | 6,313 | |||||
Stock-based compensation | 89 | 82 | 67 | 328 | 243 | ||||||||||
Start-up and preproduction costs | — | — | 12 | — | 58 | ||||||||||
Employee severance | (1) | — | 79 | — | 116 | ||||||||||
Restructure and asset impairments | 50 | 4 | (122) | 60 | (32) | ||||||||||
Amortization of debt discount and other costs | 6 | 4 | 10 | 26 | 49 | ||||||||||
(Gain) loss on debt repurchases and conversions | — | 2 | 10 | (40) | 396 | ||||||||||
Other | 7 | 7 | 13 | 28 | 57 | ||||||||||
Estimated tax effects of above, non-cash changes in net deferred income taxes, assessments of tax exposures, and impact of U.S. income tax reform | 90 | 39 | 7 | 146 | 114 | ||||||||||
Non-GAAP net income attributable to Micron | $ | 1,229 | $ | 941 | $ | 637 | $ | 3,235 | $ | 7,314 | |||||
GAAP weighted-average common shares outstanding – Diluted | 1,131 | 1,129 | 1,128 | 1,131 | 1,143 | ||||||||||
Adjustment for stock-based compensation and capped calls | 11 | 13 | 6 | 10 | 7 | ||||||||||
Non-GAAP weighted-average common shares outstanding – Diluted | 1,142 | 1,142 | 1,134 | 1,141 | 1,150 | ||||||||||
GAAP diluted earnings per share | $ | 0.87 | $ | 0.71 | $ | 0.49 | $ | 2.37 | $ | 5.51 | |||||
Effects of the above adjustments | 0.21 | 0.11 | 0.07 | 0.46 | 0.84 | ||||||||||
Non-GAAP diluted earnings per share | $ | 1.08 | $ | 0.82 | $ | 0.56 | $ | 2.83 | $ | 6.35 |
RECONCILIATION OF GAAP TO NON-GAAP MEASURES, Continued
4th Qtr. | 3rd Qtr. | 4th Qtr. | Year Ended | ||||||||||||
September 3, 2020 |
May 28, 2020 |
August 29, 2019 |
September 3, 2020 |
August 29, 2019 |
|||||||||||
GAAP net cash provided by operating activities | $ | 2,271 | $ | 2,023 | $ | 2,233 | $ | 8,306 | $ | 13,189 | |||||
Investments in capital expenditures, net | |||||||||||||||
Expenditures for property, plant, and equipment, net(1) | (2,268) | (1,937) | (1,983) | (8,154) | (9,634) | ||||||||||
Payments on equipment purchase contracts | (14) | (20) | (21) | (63) | (75) | ||||||||||
Amounts funded by partners | 122 | 35 | 80 | 272 | 754 | ||||||||||
Adjusted free cash flow | $ | 111 | $ | 101 | $ | 309 | $ | 361 | $ | 4,234 |
(1) | Expenditures for property, plant, and equipment, net include proceeds from sales of property, plant, and equipment of $12 million for the fourth quarter of 2020, $7 million for the third quarter of 2020, $45 million for the fourth quarter of 2019, $69 million for the full year of 2020, and $146 million for the full year of 2019. |
As of | September 3, 2020 |
May 28, 2020 |
August 29, 2019 |
||||||
Cash and short-term investments | $ | 8,142 | $ | 8,658 | $ | 7,955 | |||
Current and noncurrent restricted cash | 66 | 53 | 127 | ||||||
Long-term marketable investments | 1,048 | 577 | 1,164 | ||||||
Current and long-term debt | (6,643) | (6,686) | (5,851) | ||||||
Net cash | $ | 2,613 | $ | 2,602 | $ | 3,395 |
The tables above reconcile GAAP to non-GAAP measures of gross margin, operating expenses, operating income, net income attributable to Micron, diluted shares, diluted earnings per share, adjusted free cash flow, and net cash. The non-GAAP adjustments above may or may not be infrequent or nonrecurring in nature, but are a result of periodic or non-core operating activities. We believe this non-GAAP information is helpful in understanding trends and in analyzing our operating results and earnings. We are providing this information to investors to assist in performing analysis of our operating results. When evaluating performance and making decisions on how to allocate our resources, management uses this non-GAAP information and believes investors should have access to similar data when making their investment decisions. We believe these non-GAAP financial measures increase transparency by providing investors with useful supplemental information about the financial performance of our business, enabling enhanced comparison of our operating results between periods and with peer companies. The presentation of these adjusted amounts varies from amounts presented in accordance with U.S. GAAP and therefore may not be comparable to amounts reported by other companies. Our management excludes the following items in analyzing our operating results and understanding trends in our earnings:
- Stock-based compensation;
- Flow-through of business acquisition-related inventory adjustments;
- Acquisition-related costs;
- Start-up and preproduction costs;
- Employee severance;
- Restructure and asset impairments;
- Amortization of debt discount and other costs, including the accretion of non-cash interest expense associated with our convertible debt and MMJ creditor debt;
- Gains and losses from debt repurchases and conversions;
- Gains and losses from business acquisition activities;
- Impact of U.S. income tax reform for the one-time transition tax, release of U.S. valuation allowance, and remeasurement of net deferred taxes reflecting lower U.S. corporate tax rates; and
- The estimated tax effects of above, non-cash changes in net deferred income taxes, and assessments of tax exposures.
Non-GAAP diluted shares are adjusted for the impact of additional shares resulting from the exclusion of stock-based compensation from non-GAAP income. Non-GAAP diluted shares also include the impact of capped calls, which are anti-dilutive in GAAP earnings per share but are expected to mitigate the dilutive effect of convertible notes, based on the average share price for the period the capped calls were outstanding.
MICRON TECHNOLOGY, INC.
RECONCILIATION OF GAAP TO NON-GAAP OUTLOOK
GAAP Outlook | Adjustments | Non-GAAP Outlook | |||||
Revenue | $5.2 billion ± $200 million | — | $5.2 billion ± $200 million | ||||
Gross margin | 26.5% ± 1% | 1% | A | 27.5% ± 1% | |||
Operating expenses | $873 million ± $25 million | $48 million | B | $825 million ± $25 million | |||
Interest (income) expense, net | $37 million | $2 million | C | $35 million | |||
Diluted earnings per share(1) | $0.39 ± $0.07 | $0.08 | A, B, C, D | $0.47 ± $0.07 |
Non-GAAP Adjustments (in millions) |
||||
A | Stock-based compensation – cost of goods sold | $ | 39 | |
A | Other – cost of goods sold | 7 | ||
B | Stock-based compensation – sales, general, and administrative | 25 | ||
B | Stock-based compensation – research and development | 23 | ||
C | Amortization of debt discount and other costs | 2 | ||
D | Tax effects of the above items and non-cash changes in net deferred income taxes | (1) | ||
$ | 95 |
(1) | GAAP earnings per share based on approximately 1.13 billion diluted shares and non-GAAP earnings per share based on approximately 1.15 billion diluted shares. |
The tables above reconcile our GAAP to non-GAAP guidance based on the current outlook. The guidance does not incorporate the impact of any potential business combinations, divestitures, restructuring activities, balance sheet valuation adjustments, strategic investments, financing transactions, and other significant transactions. The timing and impact of such items are dependent on future events that may be uncertain or outside of our control.
Contacts: Farhan Ahmad Investor Relations (408) 834-1927 Erica Rodriguez Pompen Media Relations (408) 834-1873
Artificial Intelligence
Automotive Digital Cockpit Domain Controller Power Expected to Double by 2030
NEW YORK, March 28, 2024 /PRNewswire/ — The lengthening lifecycle of vehicles is driving automotive Original Equipment Manufacturers (OEMs) to plan several years of customer support through regular Over-the-Air (OTA) updates. Achieving this requires a digital Cockpit Domain Controller (CDC) with an architecture that supports long-term updating and maintenance. According to a new report from global technology intelligence firm ABI Research, the computing power of the CDC will increase significantly over the next few years, with graphical computing power and deep-learning processing power (for AI-powered functions) expected to double by 2030 for an average mid-market CDC.
OEMs are beginning to plan for several years of support, both in software patches and bug fixes, and for delivering new added value features to the driving experience. “This support and feature roadmap requires a hardware and software architecture that supports the continuous updating of vehicles over time. OEMs need a system that accommodates quick, targeted updates by shipping vehicles with planned overhead in computing power, software containerization, and robust hypervisors. These can be accommodated by silicon vendors such as NVIDIA or Qualcomm with their suite of high-powered System-on-Chips (SoCs), along with hypervisor and software specialists such as Blackberry QNX. The ecosystem hasn’t fully adjusted to OTA updates in mixed-criticality systems like the digital cockpit domain controller yet, with most OEMs speculating about the level of computing power that is needed for several years of support and few going to their silicon and tier-one partners with roadmaps of planned features,” explains Abu Miah, Smart Mobility and Automotive Analyst at ABI Research.
The computing power of the CDC will increase significantly over time. The Tera Floating-Point Operations per Second (TFLOPS) of an average mid-market CDC is expected to rise from 1 TFLOPS in 2023 to 2.5 TFLOPS by 2030. Miah adds, “One of the primary drivers of this increase is the implementation of a larger number of higher resolution screens in the vehicle to accommodate new high-end gaming and video-on-demand features.”
Building a ‘future-proofed’ CDC is not as simple as throwing compute power at the vehicle. “OEMs, tier ones, and silicon vendors must all work toward an ecosystem of hardware and software agnosticism, modular architecture, and collaborative software development if they are to match customers’ expectations of updates, patches, and bug fixes from the consumer electronics space,” Miah concludes.
These findings are from ABI Research’s Future-Proofing Digital Cockpit Domain Controllers application analysis report. This report is part of the company’s Smart Mobility and Automotive research service, which includes research, data, and ABI Insights. Based on extensive primary interviews, Application Analysis reports present an in-depth analysis of key market trends and factors for a specific technology.
About ABI Research
ABI Research is a global technology intelligence firm uniquely positioned at the intersection of technology solution providers and end-market companies. We serve as the bridge that seamlessly connects these two segments by providing exclusive research and expert guidance to drive successful technology implementations and deliver strategies proven to attract and retain customers.
ABI Research是一家全球性的技术情报公司,拥有得天独厚的优势,充当终端市场公司和技术解决方案提供商之间的桥梁,通过提供独家研究和专业性指导,推动成功的技术实施和提供经证明可吸引和留住客户的战略,无缝连接这两大主体。
For more information about ABI Research’s services, contact us at +1.516.624.2500 in the Americas, +44.203.326.0140 in Europe, +65.6592.0290 in Asia-Pacific, or visit www.abiresearch.com.
Contact Info:
GlobalDeborah Petrara Tel: +1.516.624.2558 [email protected]
Logo – https://mma.prnewswire.com/media/2309035/ABI_Research_2024.jpg
View original content:https://www.prnewswire.co.uk/news-releases/automotive-digital-cockpit-domain-controller-power-expected-to-double-by-2030-302101973.html
Artificial Intelligence
ACL Digital in Collaboration with AWS and Infineon to Participate at Embedded World 2024
SAN JOSE, Calif., March 28, 2024 /PRNewswire/ — ACL Digital, an ALTEN group company, is a pioneer in design-led digital experience, innovation, enterprise IT modernization, and product engineering services, announced that ACL Digital, in collaboration with AWS and Infineon, is going to showcase its AWS IoT & Cloud capabilities at Embedded World 2024, Hall 4 (Booth #4-552) from April 9 to April 11 in Nuremberg, Germany.
ACL Digital, a top-tier AWS Services partner, propels organizations of all sizes to navigate digital transformation to accelerate time-to-market. The company provides comprehensive support, from adopting to modernizing IT infrastructure on AWS. By leveraging expertise in architecture, security, migration, and operations, ACL Digital unlocks the full potential of AWS, streamlining IoT and cloud journeys and fast-tracking business growth and innovation.
The AWS Advanced Tier partnership enables ACL Digital to leverage AWS expertise, its robust support ecosystem and best practices to deliver customer delight.
ACL Digital offers visitors at Embedded World 2024 a chance to experience the exclusive demo of a Smart Stove Solution, built by leveraging the AWS Cloud and Infineon platform and how it has added value to our customers.
With over 100 AWS-certified experts, ACL Digital empowers clients to achieve breakthrough results in their digital transformation. Also, the leading digital transformation company supports global clients in navigating the complexities of cloud implementation, migration and digital transformation with ease and helping them unlock new growth opportunities.
About AWS
Since 2006, Amazon Web Services has been the world’s most comprehensive and broadly adopted cloud. AWS has been continually expanding its services to support virtually any workload, and it now has more than 240 fully featured services for compute, storage, databases, networking, analytics, machine learning and artificial intelligence (AI), Internet of Things (IoT), mobile, security, hybrid, media, and application development, deployment, and management from 105 Availability Zones within 33 geographic regions, with announced plans for 12 more Availability Zones and four more AWS Regions in Malaysia, New Zealand, Thailand, and the AWS European Sovereign Cloud. Millions of customers—including the fastest-growing startups, largest enterprises, and leading government agencies—trust AWS to power their infrastructure, become more agile, and lower costs. To learn more about AWS, visit https://aws.amazon.com .
About Infineon
Infineon Technologies AG is a global semiconductor leader in power systems and IoT. Infineon drives decarbonization and digitalization with its products and solutions. The company has around 58,600 employees worldwide and generated revenue of about €16.3 billion in the 2023 fiscal year (ending 30 September). Infineon is listed on the Frankfurt Stock Exchange (ticker symbol: IFX) and in the USA on the OTCQX International over-the-counter market (ticker symbol: IFNNY). To learn more about Infineon, visit https://www.infineon.com/
About ACL Digital
ACL Digital an ALTEN Group Company, is a digital product innovation and engineering leader. We help our clients design and build innovative products (AI, Cloud, and Mobile ready), content and commerce-driven platforms, and connected, converged digital experiences for the modern world through a design-led Digital Transformation framework.
Headquartered in Silicon Valley, ACL Digital is a leader in design-led digital experience, innovation, enterprise modernization, and product engineering services converging to Technology, Media & Telecom. The company has a workforce of 57,000+ spread across more than 30+ countries.
View original content:https://www.prnewswire.co.uk/news-releases/acl-digital-in-collaboration-with-aws-and-infineon-to-participate-at-embedded-world-2024-302101481.html
Artificial Intelligence
Gilbarco Veeder-Root champions fuel efficiency, clean fuels and diesel rebate solutions in mining
JOHANNESBURG, March 28, 2024 /PRNewswire/ — Global leader in technology solutions OEM Gilbarco Veeder-Root (GVR) is dedicated to enhancing operational performance by delivering comprehensive end-to-end wetstock, industrial, mining, and business-to-business solutions, all tailored to meet the specific needs of the customer.
By encompassing every aspect of mining operations, GVR commercial and industrial Middle East and Africa director Westtar Kapito says, “the company is setting new benchmarks for fuel efficiency, safety and sustainability within the mining industry”.
As part of a holistic approach to mining excellence, Kapito explains that Gilbarco’s integrated fuel and fleet management technology solutions are designed to address the multifaceted challenges of the mining industry.
Some of these facets include wetstock control, equipment maintenance and management, fleet management and automation, compliance monitoring and environmental sustainability, as well as driving productivity and profitability through innovation.
In addition, the introduction of Gilbarco’s clean fuel solution exemplifies the company’s commitment to maintaining equipment integrity and performance.
This technology, GVR says, monitors in real-time the status of up to 16 “clean fuels” key performance matrices, thereby ensuring that dirty fuel is flagged and not transferred into mining equipment which would affect engines and injectors and thus lower productivity.
Gilbarco’s comprehensive site automation solutions empower mining companies with critical data analytic insights, facilitating efficient monitoring and management of fleet and fuel inventory. Gilbarco’s dataFLEX360 platform plays a pivotal role, offering near real-time reporting and analytics to drive informed decision-making and operational agility.
dataFLEX360 is a Web-based, cloud-hosted strategic operational insights platform. The system ensures accurate, reliable and relevant reporting of all fuel, fleet and asset transactions, and provides for proactive corrective measures to reduce complex reporting and gives a consolidated and comprehensive view across all sites and assets.
With reconciliations at its core, dataFLEX360 provides solution accuracy on operational data.
Integral to the company’s solutions is compliance with Global Industry Standards and environmental stewardship, from leak detection to vapour recovery and clean fuel technologies. Gilbarco’s products are designed to ensure compliance and minimise the carbon footprint of mining operations.
Additionally, through the company’s innovative telematics technology and the data generated, it can systematically and seamlessly generate South African Revenue Services- (SARS-) compliant fuel rebate reports for any selected tax period.
GVR’s technology provides a full audit trail required for eligibility for SARS rebates, and its reporting platform simplifies logbook and data gathering required, enabling successful rebate claims and return on investment.
Photo – https://mma.prnewswire.com/media/2373644/Gilbarco_Veeder_Roots_MEA.jpg
View original content:https://www.prnewswire.co.uk/news-releases/gilbarco-veeder-root-champions-fuel-efficiency-clean-fuels-and-diesel-rebate-solutions-in-mining-302102415.html
-
Artificial Intelligence7 days ago
Merkle Launches Global Messaging Solution
-
Artificial Intelligence6 days ago
Document Collaboration Hub (DCH) by Netcare International Now Available on Microsoft AppSource
-
Artificial Intelligence6 days ago
Smartkem Commences Project with RiTdisplay To Develop World’s First Commercially Ready Active-Matrix OLED Display Using OTFT Technology
-
Artificial Intelligence6 days ago
Hexaware Dominates Whitelane Research 2024 BeLux IT Sourcing Study: A Triumph in Continued CSAT Excellence
-
Artificial Intelligence6 days ago
Wine of Moldova offers a glimpse of the future with its game-changing AI tool
-
Artificial Intelligence7 days ago
Volvo Cars taps TDCX to enhance customer experience for Europe
-
Artificial Intelligence6 days ago
World System Integrator Conference (WSIC) 2024 A Showcase of New Initiatives
-
Artificial Intelligence7 days ago
Globant Presents “Taste ID”: the New Ad by GUT Pokes Fun at Legacy Tech Industry