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Monolithic Power Systems Announces Results for the Second Quarter Ended June 30, 2023
المصدر: Nasdaq GlobeNewswire / 31 يوليو 2023 15:01:49 America/Chicago
KIRKLAND, Wash., July 31, 2023 (GLOBE NEWSWIRE) -- Monolithic Power Systems, Inc. (“MPS”) (Nasdaq: MPWR), a fabless company with a global footprint that provides high-performance, semiconductor-based power electronic solutions, today announced financial results for the quarter ended June 30, 2023.
The financial results for the quarter ended June 30, 2023 are as follows:
• Revenue was $441.1 million for the quarter ended June 30, 2023, a 2.2% decrease from $451.1 million for the quarter ended March 31, 2023 and a 4.3% decrease from $461.0 million for the quarter ended June 30, 2022. • GAAP gross margin was 56.1% for the quarter ended June 30, 2023, compared with 58.8% for the quarter ended June 30, 2022. • Non-GAAP gross margin (1) was 56.5% for the quarter ended June 30, 2023, excluding the impact of $1.2 million for stock-based compensation expense and $0.3 million for deferred compensation plan expense, compared with 59.0% for the quarter ended June 30, 2022, excluding the impact of $1.2 million for stock-based compensation expense. • GAAP operating expenses were $135.4 million for the quarter ended June 30, 2023, compared with $129.1 million for the quarter ended June 30, 2022. • Non-GAAP operating expenses (1) were $96.0 million for the quarter ended June 30, 2023, excluding $36.8 million for stock-based compensation expense and $2.5 million for deferred compensation plan expense, compared with $92.7 million for the quarter ended June 30, 2022, excluding $41.7 million for stock-based compensation expense and $5.3 million for deferred compensation plan income. • GAAP operating income was $112.3 million for the quarter ended June 30, 2023, compared with $141.9 million for the quarter ended June 30, 2022. • Non-GAAP operating income (1) was $153.1 million for the quarter ended June 30, 2023, excluding $38.0 million for stock-based compensation expense and $2.7 million for deferred compensation plan expense, compared with $179.4 million for the quarter ended June 30, 2022, excluding $42.9 million for stock-based compensation expense and $5.4 million for deferred compensation plan income. • GAAP other income, net, was $6.5 million for the quarter ended June 30, 2023, compared with other expense, net, of $5.1 million for the quarter ended June 30, 2022. • Non-GAAP other income, net (1) was $4.1 million for the quarter ended June 30, 2023, excluding $2.5 million for deferred compensation plan income, compared with non-GAAP other expense, net, of $7,000 for the quarter ended June 30, 2022, excluding $5.1 million for deferred compensation plan expense. • GAAP income before income taxes was $118.9 million for the quarter ended June 30, 2023, compared with $136.8 million for the quarter ended June 30, 2022. • Non-GAAP income before income taxes (1) was $157.2 million for the quarter ended June 30, 2023, excluding $38.0 million for stock-based compensation expense and $0.3 million for net deferred compensation plan expense, compared with $179.4 million for the quarter ended June 30, 2022, excluding $42.9 million for stock-based compensation expense and $0.3 million for net deferred compensation plan income. • GAAP net income was $99.5 million and $2.04 per diluted share for the quarter ended June 30, 2023. Comparatively, GAAP net income was $114.7 million and $2.37 per diluted share for the quarter ended June 30, 2022. • Non-GAAP net income (1) was $137.5 million and $2.82 per diluted share for the quarter ended June 30, 2023, excluding $38.0 million for stock-based compensation expense, $0.3 million for net deferred compensation plan expense and $0.3 million for related tax effects, compared with $157.0 million and $3.25 per diluted share for the quarter ended June 30, 2022, excluding $42.9 million for stock-based compensation expense, $0.3 million for net deferred compensation plan income and $0.3 million for related tax effects. The financial results for the six months ended June 30, 2023 are as follows:
• Revenue was $892.2 million for the six months ended June 30, 2023, a 6.4% increase from $838.7 million for the six months ended June 30, 2022. • GAAP gross margin was 56.8% for the six months ended June 30, 2023, compared with 58.4% for the six months ended June 30, 2022. • Non-GAAP gross margin (1) was 57.1% for the six months ended June 30, 2023, excluding the impact of $2.3 million for stock-based compensation expense and $0.5 million for deferred compensation plan expense, compared with 58.7% for the six months ended June 30, 2022, excluding the impact of $2.5 million for stock-based compensation expense and $0.1 million for deferred compensation plan income. • GAAP operating expenses were $269.9 million for the six months ended June 30, 2023, compared with $251.8 million for the six months ended June 30, 2022. • Non-GAAP operating expenses (1) were $192.0 million for the six months ended June 30, 2023, excluding $72.7 million for stock-based compensation expense, $5.1 million for deferred compensation plan expense and $0.1 million for amortization of purchased intangible assets, compared with $179.2 million for the six months ended June 30, 2022, excluding $80.2 million for stock-based compensation expense, $7.7 million for deferred compensation plan income and $0.1 million for amortization of purchased intangible assets. • GAAP operating income was $236.6 million for the six months ended June 30, 2023, compared with $238.0 million for the six months ended June 30, 2022. • Non-GAAP operating income (1) was $317.2 million for the six months ended June 30, 2023, excluding $75.0 million for stock-based compensation expense, $5.5 million for deferred compensation plan expense and $0.1 million for amortization of purchased intangible assets, compared with $313.1 million for the six months ended June 30, 2022, excluding $82.7 million for stock-based compensation expense, $7.8 million for deferred compensation plan income and $0.1 million for amortization of purchased intangible assets. • GAAP other income, net, was $11.8 million for the six months ended June 30, 2023, compared with other expense, net, of $5.7 million for the six months ended June 30, 2022. • Non-GAAP other income, net (1) was $6.8 million for the six months ended June 30, 2023, excluding $5.0 million for deferred compensation plan income, compared with $1.6 million for the six months ended June 30, 2022, excluding $7.3 million for deferred compensation plan expense. • GAAP income before income taxes was $248.4 million for the six months ended June 30, 2023, compared with $232.3 million for the six months ended June 30, 2022. • Non-GAAP income before income taxes (1) was $324.0 million for the six months ended June 30, 2023, excluding $75.0 million for stock-based compensation expense, $0.5 million for net deferred compensation plan expense and $0.1 million for amortization of purchased intangible assets, compared with $314.6 million for the six months ended June 30, 2022, excluding $82.7 million for stock-based compensation expense, $0.5 million for net deferred compensation plan income and $0.1 million for amortization of purchased intangible assets. • GAAP net income was $209.3 million and $4.30 per diluted share for the six months ended June 30, 2023. Comparatively, GAAP net income was $194.2 million and $4.02 per diluted share for the six months ended June 30, 2022. • Non-GAAP net income (1) was $283.5 million and $5.82 per diluted share for the six months ended June 30, 2023, excluding $75.0 million for stock-based compensation expense, $0.5 million for net deferred compensation plan expense, $0.1 million for amortization of purchased intangible assets and $1.4 million for related tax effects, compared with $275.3 million and $5.70 per diluted share for the six months ended June 30, 2022, excluding $82.7 million for stock-based compensation expense, $0.5 million for net deferred compensation plan income, $0.1 million for amortization of purchased intangible assets and $1.3 million for related tax effects. The following is a summary of revenue by end market (in thousands):
Three Months Ended June 30, Six Months Ended June 30, End Market 2023 2022 2023 2022 Storage and Computing $ 124,543 $ 122,288 $ 244,365 $ 218,874 Enterprise Data 47,982 65,199 95,145 107,708 Automotive 104,394 61,019 209,736 115,565 Industrial 49,729 55,865 97,198 104,403 Communications 49,293 59,299 117,199 114,873 Consumer 65,187 97,334 128,550 177,295 Total $ 441,128 $ 461,004 $ 892,193 $ 838,718
The following is a summary of revenue by product family (in thousands):Three Months Ended June 30, Six Months Ended June 30, Product Family 2023 2022 2023 2022 DC to DC $ 418,175 $ 442,250 $ 843,356 $ 801,099 Lighting Control 22,953 18,754 48,837 37,619 Total $ 441,128 $ 461,004 $ 892,193 $ 838,718
“We continue to execute our long-term strategy,” said Michael Hsing, CEO and founder of MPS.Business Outlook
The following are MPS’s financial targets for the third quarter ending September 30, 2023:
• Revenue in the range of $464.0 million to $484.0 million. • GAAP gross margin between 55.5% and 56.1%. Non-GAAP gross margin (1) between 55.7% and 56.3%, which excludes an estimated impact of stock-based compensation expenses of 0.2%. • GAAP operating expenses, between $129.4 million and $133.4 million. Non-GAAP operating expenses (1) between $96.9 million and $98.9 million, which excludes estimated stock-based compensation expenses in the range of $32.5 million to $34.5 million. • Total stock-based compensation expenses of $33.5 million to $35.5 million. • Interest and other income of $3.0 million to $3.4 million. • Fully diluted shares outstanding between 48.6 million and 49.0 million. (1) Non-GAAP net income, non-GAAP earnings per share, non-GAAP gross margin, non-GAAP operating expenses, non-GAAP other income (expense), net, non-GAAP operating income and non-GAAP income before taxes differ from net income, earnings per share, gross margin, operating expenses, other income (expense), net, operating income and income before taxes determined in accordance with Generally Accepted Accounting Principles in the United States (“GAAP”). Non-GAAP net income and non-GAAP earnings per share exclude the effect of stock-based compensation expense, deferred compensation plan income/expense, amortization of purchased intangible assets and related tax effects. Non-GAAP gross margin excludes the effect of stock-based compensation expense and deferred compensation plan income/expense. Non-GAAP operating expenses exclude the effect of stock-based compensation expense, amortization of purchased intangible assets and deferred compensation plan income/expense. Non-GAAP other income, net excludes the effect of deferred compensation plan income/expense. Non-GAAP operating income excludes the effect of stock-based compensation expense, amortization of purchased intangible assets and deferred compensation plan income/expense. Non-GAAP income before taxes excludes the effect of stock-based compensation expense, amortization of purchased intangible assets and deferred compensation plan income/expense. Projected non-GAAP gross margin excludes the effect of stock-based compensation expense. Projected non-GAAP operating expenses exclude the effect of stock-based compensation expense. These non-GAAP financial measures are not prepared in accordance with GAAP and should not be considered as a substitute for, or superior to, measures of financial performance prepared in accordance with GAAP. A schedule reconciling non-GAAP financial measures is included at the end of this press release. MPS utilizes both GAAP and non-GAAP financial measures to assess what it believes to be its core operating performance and to evaluate and manage its internal business and assist in making financial operating decisions. MPS believes that the inclusion of non-GAAP financial measures, together with GAAP measures, provides investors with an alternative presentation useful to investors’ understanding of MPS’s core operating results and trends. Additionally, MPS believes that the inclusion of non-GAAP measures, together with GAAP measures, provides investors with an additional dimension of comparability to similar companies. However, investors should be aware that non-GAAP financial measures utilized by other companies are not likely to be comparable in most cases to the non-GAAP financial measures used by MPS.
Earnings Webinar
MPS plans to host a Zoom webinar covering its financial results at 2:00 p.m. PT / 5:00 p.m. ET, July 31, 2023. You can access the webinar at: https://mpsic.zoom.us/j/94201186204. The webinar will be archived and available for replay for one year under the Investor Relations page on the MPS website.Safe Harbor Statement
This press release contains, and statements that will be made during the accompanying webinar will contain, forward-looking statements, as that term is defined in the Private Securities Litigation Reform Act of 1995, including under the sections “Business Outlook” and the quote from our CEO herein, including, among other things, (i) projected revenue, GAAP and non-GAAP gross margin, GAAP and non-GAAP operating expenses, stock-based compensation expenses, interest income, and fully diluted shares outstanding, (ii) our outlook for the third quarter of fiscal year 2023 and the near-term, medium-term and long-term prospects of the company, including our performance against our business plan, our ability to grow despite the softening in our business, our industry and the global economic environment, revenue growth in certain of our market segments, potential new business segments, our continued investment into R&D, expected revenue growth, customers' acceptance of our new product offerings, the prospects of our new product development, our expectations regarding market and industry segment trends and prospects, and our projected expansion of capacity and the impact it may have on our business, (iii) our ability to penetrate new markets and expand our market share, (iv) the seasonality of our business, (v) our ability to reduce our expenses, and (vi) statements of the assumptions underlying or relating to any statement described in (i), (ii), (iii), (iv), or (v). These forward-looking statements are not historical facts or guarantees of future performance or events, are based on current expectations, estimates, beliefs, assumptions, goals, and objectives, and involve significant known and unknown risks, uncertainties and other factors that may cause actual results to be materially different from the results expressed by these statements. Readers of this press release and listeners to the accompanying conference call are cautioned not to place undue reliance on any forward-looking statements, which speak only as of the date hereof. Factors that could cause actual results to differ include, but are not limited to, continued adverse changes to the global economy, including due to the Russia-Ukraine conflict and the global economic downturn; adverse events arising from orders or regulations of governmental entities, including such orders or regulations that impact our customers or suppliers, and adoption of new or amended accounting standards; adverse changes in laws and government regulations such as tariffs on imports of foreign goods, export regulations and export classifications, including in foreign countries where MPS has offices or operations; the effect of export controls, trade and economic sanctions regulations and other regulatory or contractual limitations on our ability to sell or develop our products in certain foreign markets, particularly in China; our ability to obtain governmental licenses and approvals for international trading activities or technology transfers, including export licenses; acceptance of, or demand for, MPS’s products, in particular the new products launched recently, being different than expected; our ability to increase market share in our targeted markets; difficulty in predicting or budgeting for future customer demand and channel inventories, expenses and financial contingencies (including as a result of any continuing impact from the COVID-19 pandemic and the Russia-Ukraine conflict); our ability to efficiently and effectively develop new products and receive a return on our R&D expense investment; our ability to attract new customers and retain existing customers; our ability to meet customer demand for our products due to constraints on our third-party suppliers’ ability to manufacture sufficient quantities of our products or otherwise; our ability to expand manufacturing capacity to support future growth; adverse changes in production and testing efficiency of our products; any political, cultural, regulatory, economic, foreign exchange and operational changes in China, where a significant portion of our manufacturing capacity comes from; any market disruptions or interruptions in MPS’s schedule of new product development releases; our ability to manage our inventory levels; adequate supply of our products from our third-party manufacturing partners; adverse changes or developments in the semiconductor industry generally, which is cyclical in nature, and our ability to adjust our operations to address such changes or developments; the ongoing consolidation of companies in the semiconductor industry; competition generally and the increasingly competitive nature of our industry; our ability to realize the anticipated benefits of companies and products that we acquire, and our ability to effectively and efficiently integrate these acquired companies and products into our operations; the risks, uncertainties and costs of litigation in which we are involved; the outcome of any upcoming trials, hearings, motions and appeals; the adverse impact on MPS’s financial performance if its tax and litigation provisions are inadequate; our ability to effectively manage our growth and attract and retain qualified personnel; the effect of epidemics and pandemics, such as the COVID-19 pandemic, on the global economy and on our business; the risks associated with the financial market, economy and geopolitical uncertainties, including the recent banking collapse and the Russia-Ukraine conflict; and other important risk factors identified under the caption “Risk Factors” and elsewhere in MPS’s Securities and Exchange Commission (“SEC”) filings, including, but not limited to, our Annual Report on Form 10-K filed with the SEC on February 24, 2023 and our Quarterly Report on Form 10-Q filed with the SEC on May 5, 2023. The forward-looking statements in this press release and statements made during the accompanying webinar represent MPS’s projections and current expectations, as of the date hereof, not predictions of actual performance. MPS assumes no obligation to update the information in this press release or in the accompanying webinar.About Monolithic Power Systems
Monolithic Power Systems, Inc. (“MPS”) is a fabless company with a global footprint that provides high-performance, semiconductor-based power electronic solutions. MPS’s mission is to reduce energy and material consumption to improve all aspects of quality of life. Founded in 1997 by our CEO Michael Hsing, MPS has three core strengths: deep system-level knowledge, strong semiconductor expertise, and innovative proprietary technologies in the areas of semiconductor processes, system integration, and packaging. These combined advantages enable MPS to deliver reliable, compact, and monolithic solutions that are highly energy-efficient and cost-effective, while providing a consistent return on investment to our stockholders. MPS can be contacted through its website at www.monolithicpower.com or its support offices around the world.Monolithic Power Systems, MPS, and the MPS logo are registered trademarks of Monolithic Power Systems, Inc. in the U.S. and trademarked in certain other countries.
Contact:
Bernie Blegen
Chief Financial Officer
Monolithic Power Systems, Inc.
408-826-0777
investors@monolithicpower.comMonolithic Power Systems, Inc. Condensed Consolidated Balance Sheets (Unaudited, in thousands, except par value) June 30, December 31, 2023 2022 ASSETS Current assets: Cash and cash equivalents $ 506,959 $ 288,607 Short-term investments 433,527 449,266 Accounts receivable, net 169,180 182,714 Inventories 427,432 447,290 Other current assets 95,253 42,742 Total current assets 1,632,351 1,410,619 Property and equipment, net 341,911 357,157 Goodwill 6,571 6,571 Deferred tax assets, net 35,755 35,252 Other long-term assets 204,032 249,286 Total assets $ 2,220,620 $ 2,058,885 LIABILITIES AND STOCKHOLDERS’ EQUITY Current liabilities: Accounts payable $ 70,614 $ 61,461 Accrued compensation and related benefits 66,817 88,260 Other accrued liabilities 113,410 113,679 Total current liabilities 250,841 263,400 Income tax liabilities 54,032 53,509 Other long-term liabilities 76,658 73,374 Total liabilities 381,531 390,283 Commitments and contingencies Stockholders’ equity: Common stock and additional paid-in capital: $0.001 par value; shares authorized: 150,000; shares issued and outstanding: 47,611 and 47,107, respectively 1,055,130 975,276 Retained earnings 827,356 716,403 Accumulated other comprehensive loss (43,397 ) (23,077 ) Total stockholders’ equity 1,839,089 1,668,602 Total liabilities and stockholders’ equity $ 2,220,620 $ 2,058,885 Monolithic Power Systems, Inc. Condensed Consolidated Statements of Operations (Unaudited, in thousands, except per share amounts) Three Months Ended June 30, Six Months Ended June 30, 2023 2022 2023 2022 Revenue $ 441,128 $ 461,004 $ 892,193 $ 838,718 Cost of revenue 193,453 190,043 385,738 348,877 Gross profit 247,675 270,961 506,455 489,841 Operating expenses: Research and development 63,688 57,131 127,397 111,234 Selling, general and administrative 71,662 71,942 142,457 140,585 Total operating expenses 135,350 129,073 269,854 251,819 Operating income 112,325 141,888 236,601 238,022 Other income (expense), net 6,543 (5,092 ) 11,840 (5,726 ) Income before income taxes 118,868 136,796 248,441 232,296 Income tax expense 19,364 22,117 39,135 38,051 Net income $ 99,504 $ 114,679 $ 209,306 $ 194,245 Net income per share: Basic $ 2.10 $ 2.46 $ 4.42 $ 4.17 Diluted $ 2.04 $ 2.37 $ 4.30 $ 4.02 Weighted-average shares outstanding: Basic 47,489 46,675 47,361 46,550 Diluted 48,756 48,286 48,705 48,268 SUPPLEMENTAL FINANCIAL INFORMATION STOCK-BASED COMPENSATION EXPENSE (Unaudited, in thousands) Three Months Ended June 30, Six Months Ended June 30, 2023 2022 2023 2022 Cost of revenue $ 1,150 $ 1,198 $ 2,297 $ 2,505 Research and development 9,313 9,187 17,927 17,588 Selling, general and administrative 27,529 32,530 54,777 62,633 Total stock-based compensation expense $ 37,992 $ 42,915 $ 75,001 $ 82,726 RECONCILIATION OF NET INCOME TO NON-GAAP NET INCOME (Unaudited, in thousands, except per share amounts) Three Months Ended June 30, Six Months Ended June 30, 2023 2022 2023 2022 Net income $ 99,504 $ 114,679 $ 209,306 $ 194,245 Adjustments to reconcile net income to non-GAAP net income: Stock-based compensation expense 37,992 42,915 75,001 82,726 Amortization of purchased intangible assets 33 33 66 66 Deferred compensation plan expense (income), net 260 (302 ) 511 (475 ) Tax effect (280 ) (314 ) (1,367 ) (1,276 ) Non-GAAP net income $ 137,509 $ 157,011 $ 283,517 $ 275,286 Non-GAAP net income per share: Basic $ 2.90 $ 3.36 $ 5.99 $ 5.91 Diluted $ 2.82 $ 3.25 $ 5.82 $ 5.70 Shares used in the calculation of non-GAAP net income per share: Basic 47,489 46,675 47,361 46,550 Diluted 48,756 48,286 48,705 48,268 RECONCILIATION OF GROSS MARGIN TO NON-GAAP GROSS MARGIN (Unaudited, in thousands) Three Months Ended June 30, Six Months Ended June 30, 2023 2022 2023 2022 Gross profit $ 247,675 $ 270,961 $ 506,455 $ 489,841 Gross margin 56.1 % 58.8 % 56.8 % 58.4 % Adjustments to reconcile gross profit to non-GAAP gross profit: Stock-based compensation expense 1,150 1,198 2,297 2,505 Deferred compensation plan expense (income) 280 (48 ) 460 (51 ) Non-GAAP gross profit $ 249,105 $ 272,111 $ 509,212 $ 492,295 Non-GAAP gross margin 56.5 % 59.0 % 57.1 % 58.7 % RECONCILIATION OF OPERATING EXPENSES TO NON-GAAP OPERATING EXPENSES (Unaudited, in thousands) Three Months Ended June 30, Six Months Ended June 30, 2023 2022 2023 2022 Total operating expenses $ 135,350 $ 129,073 $ 269,854 $ 251,819 Adjustments to reconcile total operating expenses to non-GAAP total operating expenses: Stock-based compensation expense (36,842 ) (41,717 ) (72,704 ) (80,221 ) Amortization of purchased intangible assets (33 ) (33 ) (66 ) (66 ) Deferred compensation plan income (expense) (2,469 ) 5,338 (5,073 ) 7,701 Non-GAAP operating expenses $ 96,006 $ 92,661 $ 192,011 $ 179,233 RECONCILIATION OF OPERATING INCOME TO NON-GAAP OPERATING INCOME (Unaudited, in thousands) Three Months Ended June 30, Six Months Ended June 30, 2023 2022 2023 2022 Total operating income $ 112,325 $ 141,888 $ 236,601 $ 238,022 Adjustments to reconcile total operating income to non-GAAP total operating income: Stock-based compensation expense 37,992 42,915 75,001 82,726 Amortization of purchased intangible assets 33 33 66 66 Deferred compensation plan expense (income) 2,748 (5,387 ) 5,533 (7,752 ) Non-GAAP operating income $ 153,098 $ 179,449 $ 317,201 $ 313,062 RECONCILIATION OF OTHER INCOME (EXPENSE), NET, TO NON-GAAP OTHER INCOME, NET (Unaudited, in thousands) Three Months Ended June 30, Six Months Ended June 30, 2023 2022 2023 2022 Total other income (expense), net $ 6,543 $ (5,092 ) $ 11,840 $ (5,726 ) Adjustments to reconcile other income (expense), net to non-GAAP other income (expense), net: Deferred compensation plan expense (income) (2,488 ) 5,085 (5,022 ) 7,277 Non-GAAP other income (expense), net $ 4,055 $ (7 ) $ 6,818 $ 1,551 RECONCILIATION OF INCOME BEFORE INCOME TAXES TO NON-GAAP INCOME BEFORE INCOME TAXES (Unaudited, in thousands) Three Months Ended June 30, Six Months Ended June 30, 2023 2022 2023 2022 Total income before income taxes $ 118,868 $ 136,796 $ 248,441 $ 232,296 Adjustments to reconcile income before income taxes to non-GAAP income before income taxes: Stock-based compensation expense 37,992 42,915 75,001 82,726 Amortization of purchased intangible assets 33 33 66 66 Deferred compensation plan expense (income), net 260 (302 ) 511 (475 ) Non-GAAP income before income taxes $ 157,153 $ 179,442 $ 324,019 $ 314,613 2023 THIRD QUARTER OUTLOOK RECONCILIATION OF GROSS MARGIN TO NON-GAAP GROSS MARGIN (Unaudited) Three Months Ending September
30, 2023Low High Gross margin 55.5 % 56.1 % Adjustment to reconcile gross margin to non-GAAP gross margin: Stock-based compensation expense 0.2 % 0.2 % Non-GAAP gross margin 55.7 % 56.3 % RECONCILIATION OF OPERATING EXPENSES TO NON-GAAP OPERATING EXPENSES (Unaudited, in thousands) Three Months Ending September
30, 2023Low High Operating expenses $ 129,400 $ 133,400 Adjustments to reconcile operating expenses to non-GAAP operating expenses: Stock-based compensation expense (32,500 ) (34,500 ) Non-GAAP operating expenses $ 96,900 $ 98,900