ALTERA CORPORATION
CONSOLIDATED STATEMENTS OF OPERATIONS
(Thousands, except per share data)
(Unaudited)
THREE MONTHS ENDED YEAR ENDED
----------------------------------- --------------------
Dec. 31 Dec. 31 Sept. 30 Dec. 31 Dec. 31
1995 1994 1995 1995 1994
-------- -------- -------- -------- --------
Sales $125,316 $ 59,174 $109,079 $401,598 $198,796
-------- -------- -------- -------- --------
Costs & Expenses:
Cost of Sales 48,451 23,615 42,817 158,808 77,672
Research and Development 10,481 6,521 9,105 33,849 22,249
Research and Development
in Process 23,745 23,745
Selling, General, &
Administrative 21,922 13,191 20,340 74,658 45,771
-------- -------- -------- -------- --------
Total Costs & Expenses 80,854 67,072 72,262 267,315 169,437
-------- -------- -------- -------- --------
Income (Loss) from Operations 44,462 (7,898) 36,817 134,283 29,359
Interest & Other Income, Net 638 668 848 3,608 2,137
-------- -------- -------- -------- --------
Income before Taxes 45,100 (7,230) 37,665 137,891 31,496
Taxes 16,687 2,559 13,936 51,020 16,888
-------- -------- -------- -------- --------
Net Income $28,413 $ (9,789) $23,729 $86,871 $14,608
======== ======== ======== ======== ========
Net Income per Share $ 0.62 $ (0.22) $ 0.52 $ 1.91 $ 0.34
======== ======== ======== ======== ========
Avg. shares and equivalents
used in calculation of
net income per share 45,837 44,614 45,852 45,577 43,246
======== ======== ======== ======== ========
Tax rate 37% -35% 37% 37% 54%
% of Sales
Gross Margin 61% 60% 61% 60% 61%
Research & Development 8% 11% 8% 8% 11%
Selling, General and
Administrative 17% 22% 19% 19% 23%
Income from Operations 36% N/A 34% 33% 15%
Net Income 23% N/A 22% 22% 7%
ALTERA CORPORATION
CONSOLIDATED BALANCE SHEETS
(Thousands)
(Unaudited)
Dec.31 Sept.30 Dec.31
1995 1995 1994
---------- --------- -----------
Assets
Current assets:
Cash and short-term investments $365,219 $341,833 $ 92,594
Accounts receivable, net 54,518 65,497 31,662
Inventories 55,421 42,369 38,477
Other assets 42,849 26,671 14,609
-------- -------- --------
Total Current Assets 518,007 476,370 177,342
Property and equipment, net 54,846 49,203 18,212
Investments & Intangibles 142,701 37,624 18,328
-------- -------- --------
$715,554 $563,197 $213,882
======== ======== ========
Liabilities and Shareholders' Equity
Current Liabilities $ 171,765 $ 97,688 $ 55,863
Long Term Debt 288,600 244,400
Shareholders' Equity 255,189 221,109 158,019
-------- -------- --------
$715,554 $563,197 $213,882
======== ======== ========
Key Ratios & Information
Current assets/current liabilities 3:1 5:1 3:1
Liabilities/Equity 2:1 2:1 1:3
Annualized Quarterly Return on Equity 48% 46% N/A
Quarterly Depreciation Expense 2,531 2,182 1,879
Quarterly Capital Expenditures 8,174 6,905 4,224
Annualized Sales per Employee 591 556 366
ALTERA CORPORATION
CORPORATE PROFILE
Products:
Programmable Logic Chips (95% Dollar Volume)
Development Software and Hardware (5% Dollar Volume)
Market: General Logic Replacement
End Use Markets -
- Communications 57%
- Computer 18%
- Industrial 16%
- Military 4%
- Consumer 4%
- Other 1%
- Serve over 12,200 customers
- Three U.S. distributors - 74 branch locations
- 45% of sales in export markets
- Distributors in all European countries and major Asian markets
Operations:
Corporate Offices: San Jose, CA
Employees: 881
Sales Offices: Atlanta, Austin, Baltimore, Boston, Chicago, Cleveland, Dallas, Denver, Los Angeles, New York, Portland, Raleigh, San Diego, San Jose, Hong Kong, London, Munich, Ottawa, Paris, Seoul, Tokyo, Turin
Financial Highlights: (In thousands, except EPS)
1992 1993 1994* 1995
-------- -------- -------- --------
Sales $101,470 $140,279 $198,796 $401,598
Net Income 11,539 21,195 14,608 86,871
Average Shares 41,286 41,992 43,246 45,577
EPS 0.28 0.51 0.34 1.91
Cash and Investments 50,578 81,637 92,594 365,219
Total Assets 114,693 155,757 213,882 715,554
Shareholdersê Equity 95,606 121,699 158,019 255,187
Return on Average Equity 13% 20% 10% 42%
*Includes Research & Development in Process Charge of $20.2 million on an after-tax basis
Ownership:
Management/Directors/Employees: 5% Nasdaq Symbol: ALTR
Institutional Holdings: 85% Avg. Trading Volume -
Retail/Other: 10% 1.9 million shares/day
Public since March 30, 1988
Research Coverage:
Alex Brown & Sons Erik Jansen (415) 544-2854
Goldman Sachs Rajiv Chaudhri (212) 902-6771
Hambrecht & Quist Charles Boucher (415) 576-3376
UBS Securities Inc. Jon Joseph (212) 821-3645
Merrill Lynch Tom Kurlak (212) 449-2308
Montgomery Securities Brett Hodess (415) 627-2027
Needham & Co. Raj Rajaratnam (212) 371-8300
Prudential Securities Mark Edelstone (415) 395-2623
Robertson Stephens Dan Klesken (415) 693-3329
Smith Barney Jim Barlage (212) 816-5818
Schroeder Wertheim Stuart Johnson (212) 492-6414
Number of Market Makers: 30
Literature
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