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DELL TECHNOLOGIES INC. |
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Reconciliation of Selected Non-GAAP Financial Measures |
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(in millions, except percentages; unaudited; continued on next page) |
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Three Months Ended |
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May 3, 2019 |
May 4, 2018 |
Change |
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Net revenue |
$ |
21,908 |
$ |
21,356 |
3% |
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Non-GAAP adjustments: |
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Impact of purchase accounting |
82 |
187 |
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Non-GAAP net revenue |
$ |
21,990 |
$ |
21,543 |
2% |
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Gross margin |
$ |
6,797 |
$ |
5,878 |
16% |
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Non-GAAP adjustments: |
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Amortization of intangibles |
519 |
710 |
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Impact of purchase accounting |
84 |
193 |
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Transaction-related expenses |
(5) |
116 |
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Stock-based compensation expense |
26 |
16 |
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Other corporate expenses |
13 |
6 |
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Non-GAAP gross margin |
$ |
7,434 |
$ |
6,919 |
7% |
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Operating expenses |
$ |
6,247 |
$ |
6,031 |
4% |
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Non-GAAP adjustments: |
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Amortization of intangibles |
(698) |
(812) |
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Impact of purchase accounting |
(17) |
(29) |
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Transaction-related expenses |
(47) |
(50) |
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Stock-based compensation expense |
(237) |
(183) |
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Other corporate expenses |
(10) |
(64) |
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Non-GAAP operating expenses |
$ |
5,238 |
$ |
4,893 |
7% |
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Operating income (loss) |
$ |
550 |
$ |
(153) |
459% |
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Non-GAAP adjustments: |
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Amortization of intangibles |
1,217 |
1,522 |
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Impact of purchase accounting |
101 |
222 |
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Transaction-related expenses |
42 |
166 |
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Stock-based compensation expense |
263 |
199 |
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Other corporate expenses |
23 |
70 |
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Non-GAAP operating income |
$ |
2,196 |
$ |
2,026 |
8% |
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