GAAP TO NON-GAAP RECONCILIATION

(Dollars in millions, except per share data)

(Unaudited)

Fourth Quarter of

Fiscal Years

2018

2017

2018

2017

* As Adjusted

* As Adjusted

Dollar

% of

Dollar

% of

Dollar

% of

Dollar

% of

Amount

Revenue

Amount

Revenue

Amount

Revenue

Amount

Revenue

REVENUE:

GAAP revenue:

$         785.5

$    699.8

$       3,108.4

$    2,646.5

Acquired deferred revenue adjustment

( A )

7.4

1.3

23.6

2.8

Non-GAAP Revenue:

$         792.9

$    701.1

$       3,132.0

$    2,649.3

GROSS MARGIN:

GAAP gross margin:

$         435.2

55.4 %

$    359.5

51.4 %

$       1,681.0

54.1 %

$    1,377.6

52.1 %

Acquired deferred revenue adjustment

( A )

7.4

1.3

23.6

2.8

Restructuring charges

( B )

—

2.3

0.5

3.6

Amortization of purchased intangible assets

( C )

28.0

23.3

103.2

85.8

Stock-based compensation

( D )

1.2

1.1

4.5

3.9

Amortization of acquisition-related inventory step-up

( E )

0.2

—

0.2

2.8

Acquisition / divestiture items

( F )

—

—

2.0

—

Non-GAAP gross margin:

$         472.0

59.5 %

$    387.5

55.3 %

$       1,815.0

58.0 %

$    1,476.5

55.7 %

OPERATING EXPENSES:

GAAP operating expenses:

$         345.6

44.0 %

$    303.8

43.4 %

$       1,360.3

43.8 %

$    1,141.9

43.1 %

Restructuring charges

( B )

(1.9)

(0.4)

(8.2)

(6.9)

Amortization of purchased intangible assets

( C )

(18.7)

(16.4)

(76.4)

(63.0)

Stock-based compensation

( D )

(22.6)

(18.7)

(72.4)

(60.9)

Acquisition / divestiture items

( F )

(4.1)

(1.3)

(36.9)

(7.4)

Amortization of acquired capitalized commissions

( G )

1.8

0.4

4.7

1.3

Non-GAAP operating expenses:

$         300.1

37.8 %

$    267.4

38.1 %

$       1,171.1

37.4 %

$    1,005.0

37.9 %

OPERATING INCOME:

GAAP operating income:

$           89.6

11.4 %

$     55.7

8.0 %

$         320.7

10.3 %

$       235.7

8.9 %

Acquired deferred revenue adjustment

( A )

7.4

1.3

23.6

2.8

Restructuring charges

( B )

1.9

2.7

8.7

10.5

Amortization of purchased intangible assets

( C )

46.7

39.7

179.6

148.8

Stock-based compensation

( D )

23.8

19.8

76.9

64.8

Amortization of acquisition-related inventory step-up

( E )

0.2

—

0.2

2.8

Acquisition / divestiture items

( F )

4.1

1.3

38.9

7.4

Amortization of acquired capitalized commissions

( G )

(1.8)

(0.4)

(4.7)

(1.3)

Non-GAAP operating income:

$         171.9

21.7 %

$    120.1

17.1 %

$         643.9

20.6 %

$       471.5

17.8 %

NON-OPERATING INCOME (EXPENSE), NET:

GAAP non-operating income (expense), net:

$          (21.6)

$      (7.1)

$          (42.7)

$        12.5

Acquisition / divestiture items

( F )

1.0

8.6

(0.3)

(0.3)

Debt issuance costs

( H )

—

—

6.7

—

Non-GAAP non-operating income (expense), net:

$          (20.6)

$       1.5

$          (36.3)

$        12.2

GAAP and

GAAP and

GAAP and

GAAP and

Non-GAAP

Non-GAAP

Non-GAAP

Non-GAAP

Tax Rate %

( M )

Tax Rate %

( M )

Tax Rate %

( M )

Tax Rate %

( M )

INCOME TAX PROVISION (BENEFIT):

GAAP income tax provision (benefit):

$          (18.8)

(28)%

$     84.4

174 %

$            (5.3)

(2)%

$       129.7

52 %

Non-GAAP items tax effected

( I )

11.0

10.1

47.8

46.9

Difference in GAAP and Non-GAAP tax rate

( J )

9.3

13.6

27.3

14.8

Tax reform impacts

( K )

17.7

(80.2)

21.3

(80.2)

Reserve release upon statute of limitations expiration

( L )

9.5

—

24.3

—

Non-GAAP income tax provision:

$           28.7

19 %

$     27.9

23 %

$         115.4

19 %

$       111.2

23 %

NET INCOME (LOSS):

GAAP net income (loss) attributable to Trimble Inc.:

$           86.5

$    (35.9)

$         282.8

$       118.4

Acquired deferred revenue adjustment

( A )

7.4

1.3

23.6

2.8

Restructuring charges

( B )

1.9

2.7

8.7

10.5

Amortization of purchased intangible assets

( C )

46.7

39.7

179.6

148.8

Stock-based compensation

( D )

23.8

19.8

76.9

64.8

Amortization of acquisition-related inventory step-up

( E )

0.2

—

0.2

2.8

Acquisition / divestiture items

( F )

5.1

9.9

38.6

7.1

Amortization of acquired capitalized commissions

( G )

(1.8)

(0.4)

(4.7)

(1.3)

Debt issuance costs

( H )

—

—

6.7

—

Non-GAAP tax adjustments

( I ) + ( J ) + ( K ) + ( L )

(47.5)

56.5

(120.7)

18.5

Non-GAAP net income attributable to Trimble Inc.:

$         122.3

$     93.6

$         491.7

$       372.4

DILUTED NET INCOME (LOSS) PER SHARE:

GAAP diluted net income (loss) per share attributable to Trimble Inc.:

$           0.34

$    (0.14)

$           1.12

$        0.46

Acquired deferred revenue adjustment

( A )

0.03

0.01

0.09

0.01

Restructuring charges

( B )

0.01

0.01

0.04

0.04

Amortization of purchased intangible assets

( C )

0.18

0.15

0.71

0.58

Stock-based compensation

( D )

0.10

0.08

0.30

0.25

Amortization of acquisition-related inventory step-up

( E )

—

—

—

0.01

Acquisition / divestiture items

( F )

0.02

0.04

0.15

0.03

Amortization of acquired capitalized commissions

( G )

(0.01)

—

(0.02)

—

Debt issuance costs

( H )

—

—

0.03

—

Non-GAAP tax adjustments

( I ) + ( J )+ ( K ) + ( L )

(0.19)

0.22

(0.48)

0.07

Non-GAAP diluted net income per share attributable to Trimble Inc.:

$           0.48

$     0.37

$           1.94

$        1.45