Quarterly Financial Review - Non-GAAP (including operational metric) (1) | Three Months Ended
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(In millions) | 2020 |
| 2019 | ||||
Licensing billings (2) | $ | 64.2 |
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| $ | 63.8 |
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Product revenue | $ | 21.8 |
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| $ | 26.6 |
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Contract and other revenue | $ | 12.4 |
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| $ | 13.9 |
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Cost of product revenue | $ | 7.5 |
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| $ | 9.3 |
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Cost of contract and other revenue | $ | 1.6 |
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| $ | 1.6 |
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Total operating expenses | $ | 46.7 |
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| $ | 51.3 |
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Interest and other income (expense), net | $ | (0.6) |
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| $ | 1.0 |
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Diluted share count | 115 |
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| 115 |
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(1) | See "Supplemental Reconciliation of GAAP to Non-GAAP Results" table included below. Note that the applicable
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(2) | Licensing billings is an operational metric that reflects amounts invoiced to our licensing customers during the
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GAAP revenue for the quarter was $61.9 million, with licensing billings of $64.2 million, product revenue of $21.8 million, and contract and other revenue of $12.4 million. Rambus had total GAAP cost of revenue of $13.4 million and operating expenses of $59.5 million. The Company also had total non-GAAP operating expenses of $55.8 million (which includes non-GAAP cost of revenue), at the low end of its expectations through its operational efficiency. The Company's annual product revenue increased 56% year over year as the Company continues to gain market share. The Company made this gain while also improving its operating margins and cash generation. Due to the Company's strong performance and operational efficiency, the Company delivered a strong fourth quarter, in line with revenue and exceeding profitability expectations. The Company had GAAP diluted net loss per share of $0.11. The Company's basic share count was 113 million shares and its diluted share count would have been 115 million shares.
Cash, cash equivalents, and marketable securities as of December 31, 2020 were $502.6 million, a decrease of $17.6 million as compared to September 30, 2020, mainly due to $50.0 million paid in connection with an accelerated share repurchase program, offset by cash provided by operating activities of approximately $42.1 million. Cash provided by operating activities for the year ended December 31, 2020 was $185.5 million, an increase of $56.9 million or 44%, from the same period in the prior year.
2021 First Quarter Outlook
The Company will discuss its full revenue guidance for the first quarter of 2021 during its upcoming conference call. The following table sets forth first quarter outlook for other measures.
(In millions) | GAAP |
| Non-GAAP (1) |
Licensing billings (2) | $60 - $66 |
| $60 - $66 |
Product revenue | $27 - $33 |
| $27 - $33 |
Contract and other revenue | $7 - $13 |
| $7 - $13 |
Total operating costs and expenses | $73 - $69 |
| $61 - $57 |
| Interest and other income (expense), net | $0 |
| ($1) |
| Diluted share count | 116 |
| 116 |
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| (1) | See "Reconciliation of GAAP Forward Looking Estimates to Non-GAAP Forward Looking Estimates" tables included
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| (2) | Licensing billings is an operational metric that reflects amounts invoiced to our licensing customers during the period,
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