GAAP TO NON-GAAP RECONCILIATION

(Dollars in millions, except per share data)

(Unaudited)

Second Quarter of

First Two Quarters of

2019

2018

2019

2018

Dollar
Amount

% of
Revenue

Dollar
Amount

% of
Revenue

Dollar
Amount

% of
Revenue

Dollar
Amount

% of
Revenue

REVENUE:

GAAP revenue:

$

854.8

$

785.5

$

1,656.4

$

1,527.7

Acquired deferred revenue adjustment

(A)

1.0

3.8

3.9

6.7

Non-GAAP revenue:

$

855.8

$

789.3

$

1,660.3

$

1,534.4

GROSS MARGIN:

GAAP gross margin:

$

460.6

53.9

%

$

422.7

53.8

%

$

898.9

54.3

%

$

818.9

53.6

%

Acquired deferred revenue adjustment

(A)

1.0

3.8

3.9

6.7

Restructuring charges

(B)

—

0.6

0.2

0.4

Amortization of purchased intangible assets

(C)

23.8

23.9

48.0

47.0

Stock-based compensation

(D)

1.4

1.1

2.7

2.2

Acquisition / divestiture items

(E)

—

—

—

2.0

Non-GAAP gross margin:

$

486.8

56.9

%

$

452.1

57.3

%

$

953.7

57.4

%

$

877.2

57.2

%

OPERATING EXPENSES:

GAAP operating expenses:

$

350.9

41.1

%

$

333.2

42.4

%

$

702.9

42.4

%

$

665.2

43.5

%

Restructuring charges

(B)

(2.9)

(2.2)

(6.4)

(3.8)

Amortization of purchased intangible assets

(C)

(19.7)

(18.7)

(39.8)

(36.1)

Stock-based compensation

(D)

(15.8)

(15.8)

(30.8)

(32.1)

Acquisition / divestiture items

(E)

(2.0)

(8.1)

(3.1)

(22.1)

Amortization of acquired capitalized commissions

(F)

1.6

0.6

3.3

1.1

Non-GAAP operating expenses:

$

312.1

36.5

%

$

289.0

36.6

%

$

626.1

37.7

%

$

572.2

37.3

%

OPERATING INCOME:

GAAP operating income:

$

109.7

12.8

%

$

89.5

11.4

%

$

196.0

11.8

%

$

153.7

10.1

%

Acquired deferred revenue adjustment

(A)

1.0

3.8

3.9

6.7

Restructuring charges

(B)

2.9

2.8

6.6

4.2

Amortization of purchased intangible assets

(C)

43.5

42.6

87.8

83.1

Stock-based compensation

(D)

17.2

16.9

33.5

34.3

Acquisition / divestiture items

(E)

2.0

8.1

3.1

24.1

Amortization of acquired capitalized commissions

(F)

(1.6)

(0.6)

(3.3)

(1.1)

Non-GAAP operating income:

$

174.7

20.4

%

$

163.1

20.7

%

$

327.6

19.7

%

$

305.0

19.9

%

NON-OPERATING INCOME (EXPENSE), NET:

GAAP non-operating income (expense), net:

$

5.7

$

(10.3)

$

(5.4)

$

(7.8)

Acquisition / divestiture items

(E)

(13.1)

0.7

(12.8)

(2.1)

Debt issuance costs

(G)

—

6.7

—

6.7

Non-GAAP non-operating expense, net:

$

(7.4)

$

(2.9)

$

(18.2)

$

(3.2)

GAAP and
Non-GAAP
Tax Rate %

GAAP and
Non-GAAP
Tax Rate %

GAAP and
Non-GAAP
Tax Rate %

GAAP and
Non-GAAP
Tax Rate %

(J)

(J)

(J)

(J)

INCOME TAX PROVISION:

GAAP income tax provision:

$

20.8

18

%

$

15.1

19

%

$

33.6

18

%

$

23.1

16

%

Non-GAAP items tax effected

(H)

9.3

15.4

20.7

24.4

Difference in GAAP and Non-GAAP tax rate

(I)

3.4

—

7.6

9.9

Non-GAAP income tax provision:

$

33.5

20

%

$

30.5

19

%

$

61.9

20

%

$

57.4

19

%

NET INCOME:

GAAP net income attributable to Trimble Inc.:

$

94.6

$

64.1

$

156.9

$

122.6

Acquired deferred revenue adjustment

(A)

1.0

3.8

3.9

6.7

Restructuring charges

(B)

2.9

2.8

6.6

4.2

Amortization of purchased intangible assets

(C)

43.5

42.6

87.8

83.1

Stock-based compensation

(D)

17.2

16.9

33.5

34.3

Acquisition / divestiture items

(E)

(11.1)

8.8

(9.7)

22.0

Amortization of acquired capitalized commissions

(F)

(1.6)

(0.6)

(3.3)

(1.1)

Debt issuance costs

(G)

—

6.7

—

6.7

Non-GAAP tax adjustments

(H)+(I)

(12.7)

(15.4)

(28.3)

(34.3)

Non-GAAP net income attributable to Trimble Inc.:

$

133.8

$

129.7

$

247.4

$

244.2

DILUTED NET INCOME PER SHARE:

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

$

0.37

$

0.25

$

0.62

$

0.49

Acquired deferred revenue adjustment

(A)

—

0.01

0.01

0.03

Restructuring charges

(B)

0.01

0.01

0.03

0.02

Amortization of purchased intangible assets

(C)

0.17

0.17

0.34

0.33

Stock-based compensation

(D)

0.07

0.07

0.13

0.13

Acquisition / divestiture items

(E)

(0.04)

0.03

(0.04)

0.09

Amortization of acquired capitalized commissions

(F)

—

—

(0.01)

—

Debt issuance costs

(G)

—

0.03

—

0.02

Non-GAAP tax adjustments

(H)+(I)

(0.05)

(0.06)

(0.11)

(0.14)

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

$

0.53

$

0.51

$

0.97

$

0.97

Third Quarter of 2019

Fiscal Year 2019

Low End

High End

Low End

High End

FORECASTED DILUTED NET INCOME PER SHARE:

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

$

0.24

$

0.28

$

1.10

$

1.18

Acquired deferred revenue adjustment

(A)

—

—

0.02

0.02

Restructuring charges

(B)

0.01

0.01

0.05

0.05

Amortization of purchased intangible assets

(C)

0.16

0.16

0.66

0.66

Stock-based compensation

(D)

0.08

0.08

0.31

0.31

Acquisition / divestiture items

(E)

0.01

0.01

0.04

0.04

Amortization of acquired capitalized commissions

(F)

(0.01)

(0.01)

(0.03)

(0.03)

Non-GAAP tax adjustments

(H)+(I)

(0.04)

(0.04)

(0.24)

(0.24)

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

$

0.45

$

0.49

$

1.91

$

1.99