GAAP TO NON-GAAP RECONCILIATION | ||||||||||||||||||||||||||||
(Dollars in millions, except per share data) | ||||||||||||||||||||||||||||
(Unaudited) | ||||||||||||||||||||||||||||
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| Third Quarter of |
| First Three Quarters of | |||||||||||||||||||||
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| 2021 |
| 2020 |
| 2021 |
| 2020 | |||||||||||||||||
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| Dollar
| % of
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| Dollar
| % of Revenue |
| Dollar
| % of Revenue |
| Dollar
| % of Revenue | |||||||||||||
REVENUE: |
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| GAAP revenue: |
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| $ | 901.4 |
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| $ | 792.1 |
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| $ | 2,733.1 |
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| $ | 2,318.0 |
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| ||||||
|
| Acquired deferred revenue adjustment | (A) |
| — |
|
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| 0.7 |
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| 0.3 |
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| 4.0 |
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| Non-GAAP revenue: |
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| $ | 901.4 |
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| $ | 792.8 |
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| $ | 2,733.4 |
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| $ | 2,322.0 |
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GROSS MARGIN: |
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| GAAP gross margin: |
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| $ | 504.5 |
| 56.0 | % |
| $ | 439.7 |
| 55.5 | % |
| $ | 1,523.2 |
| 55.7 | % |
| $ | 1,286.4 |
| 55.5 | % | ||
|
| Acquired deferred revenue adjustment | (A) |
| — |
|
|
| 0.7 |
|
|
| 0.3 |
|
|
| 4.0 |
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| |||||||||
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| Amortization of purchased intangible assets | (C) |
| 22.0 |
|
|
| 23.3 |
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|
| 66.1 |
|
|
| 70.0 |
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| |||||||||
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| Acquisition / divestiture items | (D) |
| — |
|
|
| — |
|
|
| — |
|
|
| 1.7 |
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| |||||||||
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| Stock-based compensation / deferred compensation | (E) |
| 2.7 |
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| 2.5 |
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| 7.3 |
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| 5.2 |
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| Restructuring and other costs | (F) |
| — |
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| 0.3 |
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| 0.2 |
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| 1.0 |
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| Non-GAAP gross margin: |
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| $ | 529.2 |
| 58.7 | % |
| $ | 466.5 |
| 58.8 | % |
| $ | 1,597.1 |
| 58.4 | % |
| $ | 1,368.3 |
| 58.9 | % | ||
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OPERATING EXPENSES: |
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| GAAP operating expenses: |
|
| $ | 357.0 |
| 39.6 | % |
| $ | 337.7 |
| 42.6 | % |
| $ | 1,090.0 |
| 39.9 | % |
| $ | 988.5 |
| 42.6 | % | ||
|
| Amortization of acquired capitalized commissions | (B) |
| 1.1 |
|
|
| 1.3 |
|
|
| 3.4 |
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| 4.2 |
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| Amortization of purchased intangible assets | (C) |
| (12.3) |
|
|
| (16.7) |
|
|
| (39.0) |
|
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| (50.2) |
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| Acquisition / divestiture items | (D) |
| (0.2) |
|
|
| (3.7) |
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| (10.3) |
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| (14.7) |
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| Stock-based compensation / deferred compensation | (E) |
| (29.4) |
|
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| (29.5) |
|
|
| (91.8) |
|
|
| (56.7) |
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| Restructuring and other costs | (F) |
| (1.7) |
|
|
| (14.4) |
|
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| (7.7) |
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| (25.7) |
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| Non-GAAP operating expenses: |
|
| $ | 314.5 |
| 34.9 | % |
| $ | 274.7 |
| 34.6 | % |
| $ | 944.6 |
| 34.6 | % |
| $ | 845.4 |
| 36.4 | % | ||
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OPERATING INCOME: |
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| GAAP operating income: |
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| $ | 147.5 |
| 16.4 | % |
| $ | 102.0 |
| 12.9 | % |
| $ | 433.2 |
| 15.9 | % |
| $ | 297.9 |
| 12.9 | % | ||
|
| Acquired deferred revenue adjustment | (A) |
| — |
|
|
| 0.7 |
|
|
| 0.3 |
|
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| 4.0 |
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| Amortization of acquired capitalized commissions | (B) |
| (1.1) |
|
|
| (1.3) |
|
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| (3.4) |
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| (4.2) |
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| Amortization of purchased intangible assets | (C) |
| 34.3 |
|
|
| 40.0 |
|
|
| 105.1 |
|
|
| 120.2 |
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| Acquisition / divestiture items | (D) |
| 0.2 |
|
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| 3.7 |
|
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| 10.3 |
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| 16.4 |
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| Stock-based compensation / deferred compensation | (E) |
| 32.1 |
|
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| 32.0 |
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| 99.1 |
|
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| 61.9 |
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| Restructuring and other costs | (F) |
| 1.7 |
|
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| 14.7 |
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| 7.9 |
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| 26.7 |
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| Non-GAAP operating income: |
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| $ | 214.7 |
| 23.8 | % |
| $ | 191.8 |
| 24.2 | % |
| $ | 652.5 |
| 23.9 | % |
| $ | 522.9 |
| 22.5 | % | ||
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NON-OPERATING INCOME (EXPENSE), NET: |
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| GAAP non-operating income (expense), net: |
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| $ | 9.2 |
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| $ | (5.6) |
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| $ | 23.3 |
|
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| $ | (31.2) |
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| Acquisition / divestiture items | (D) |
| (19.0) |
|
|
| 0.1 |
|
|
| (41.8) |
|
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| 2.5 |
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| Deferred compensation | (E) |
| 0.2 |
|
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| (4.2) |
|
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| (4.0) |
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| (4.8) |
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| Non-GAAP non-operating expense, net: |
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| $ | (9.6) |
|
|
| $ | (9.7) |
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| $ | (22.5) |
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| $ | (33.5) |
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| GAAP and Non-
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| GAAP
Tax Rate
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| GAAP
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| GAAP
| |||||||||||||
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| (I) |
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| (I) |
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| (I) |
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| (I) | |||||||||||||
INCOME TAX PROVISION: |
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| GAAP income tax provision: |
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| $ | 32.7 |
| 20.9 | % |
| $ | 11.6 |
| 12.0 | % |
| $ | 79.0 |
| 17.3 | % |
| $ | 56.8 |
| 21.3 | % | ||
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| Non-GAAP items tax effected | (G) |
| 10.1 |
|
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| 10.3 |
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| 29.6 |
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| 46.2 |
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| Difference in GAAP and Non-GAAP tax rate | (H) |
| (6.3) |
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| 7.3 |
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| 1.9 |
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| (20.7) |
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| Non-GAAP income tax provision: |
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| $ | 36.5 |
| 17.8 | % |
| $ | 29.2 |
| 16.0 | % |
| $ | 110.5 |
| 17.5 | % |
| $ | 82.3 |
| 16.8 | % | ||
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NET INCOME: |
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| GAAP net income attributable to Trimble Inc.: |
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| $ | 124.0 |
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| $ | 84.7 |
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| $ | 377.4 |
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| $ | 209.6 |
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| ||||||
|
| Acquired deferred revenue adjustment | (A) |
| — |
|
|
| 0.7 |
|
|
| 0.3 |
|
|
| 4.0 |
|
| |||||||||
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| Amortization of acquired capitalized commissions | (B) |
| (1.1) |
|
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| (1.3) |
|
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| (3.4) |
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| (4.2) |
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| Amortization of purchased intangible assets | (C) |
| 34.3 |
|
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| 40.0 |
|
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| 105.1 |
|
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| 120.2 |
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| Acquisition / divestiture items | (D) |
| (18.8) |
|
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| 3.8 |
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| (31.5) |
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| 18.9 |
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| Stock-based compensation / deferred compensation | (E) |
| 32.3 |
|
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| 27.8 |
|
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| 95.1 |
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| 57.1 |
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| Restructuring and other costs | (F) |
| 1.7 |
|
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| 14.7 |
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| 7.9 |
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| 26.7 |
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| Non-GAAP tax adjustments | (G) - (H) |
| (3.8) |
|
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| (17.6) |
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| (31.5) |
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| (25.5) |
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| Non-GAAP net income attributable to Trimble Inc.: |
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| $ | 168.6 |
|
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| $ | 152.8 |
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| $ | 519.4 |
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| $ | 406.8 |
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DILUTED NET INCOME PER SHARE: |
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| GAAP diluted net income per share attributable to Trimble Inc.: |
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| $ | 0.49 |
|
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| $ | 0.34 |
|
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| $ | 1.48 |
|
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| $ | 0.83 |
|
| ||||||
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| Acquired deferred revenue adjustment | (A) |
| — |
|
|
| — |
|
|
| — |
|
|
| 0.02 |
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| |||||||||
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| Amortization of acquired capitalized commissions | (B) |
| — |
|
|
| (0.01) |
|
|
| (0.01) |
|
|
| (0.02) |
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| Amortization of purchased intangible assets | (C) |
| 0.13 |
|
|
| 0.16 |
|
|
| 0.41 |
|
|
| 0.48 |
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| Acquisition / divestiture items | (D) |
| (0.07) |
|
|
| 0.02 |
|
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| (0.12) |
|
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| 0.07 |
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| Stock-based compensation / deferred compensation | (E) |
| 0.12 |
|
|
| 0.11 |
|
|
| 0.37 |
|
|
| 0.23 |
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| Restructuring and other costs | (F) |
| 0.01 |
|
|
| 0.05 |
|
|
| 0.03 |
|
|
| 0.10 |
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| Non-GAAP tax adjustments | (G) - (H) |
| (0.02) |
|
|
| (0.07) |
|
|
| (0.12) |
|
|
| (0.10) |
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| Non-GAAP diluted net income per share attributable to Trimble Inc.: |
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| $ | 0.66 |
|
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| $ | 0.60 |
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| $ | 2.04 |
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| $ | 1.61 |
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ADJUSTED EBITDA: |
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| GAAP net income attributable to Trimble Inc.: |
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| $ | 124.0 |
|
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| $ | 84.7 |
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| $ | 377.4 |
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| $ | 209.6 |
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| Non-operating income (expense), net, income tax provision, and net gain attributable to noncontrolling interests |
|
| 23.5 |
|
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| 17.3 |
|
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| 55.8 |
|
|
| 88.3 |
|
| |||||||||
| GAAP operating income: |
|
| 147.5 |
|
|
| 102.0 |
|
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| 433.2 |
|
|
| 297.9 |
|
| ||||||||||
|
| Acquired deferred revenue adjustment | (A) |
| — |
|
|
| 0.7 |
|
|
| 0.3 |
|
|
| 4.0 |
|
| |||||||||
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| Amortization of acquired capitalized commissions | (B) |
| (1.1) |
|
|
| (1.3) |
|
|
| (3.4) |
|
|
| (4.2) |
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| |||||||||
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| Amortization of purchased intangible assets | (C) |
| 34.3 |
|
|
| 40.0 |
|
|
| 105.1 |
|
|
| 120.2 |
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| |||||||||
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| Acquisition / divestiture items | (D) |
| 0.2 |
|
|
| 3.7 |
|
|
| 10.3 |
|
|
| 16.4 |
|
| |||||||||
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| Stock-based compensation / deferred compensation | (E) |
| 32.1 |
|
|
| 32.0 |
|
|
| 99.1 |
|
|
| 61.9 |
|
| |||||||||
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| Restructuring and other costs | (F) |
| 1.7 |
|
|
| 14.7 |
|
|
| 7.9 |
|
|
| 26.7 |
|
| |||||||||
| Non-GAAP operating income: |
|
| 214.7 |
|
|
| 191.8 |
|
|
| 652.5 |
|
|
| 522.9 |
|
| ||||||||||
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| Depreciation expense |
|
| 10.2 |
|
|
| 9.9 |
|
|
| 31.2 |
|
|
| 29.4 |
|
| |||||||||
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| Income from equity method investments, net |
|
| 8.5 |
|
|
| 10.8 |
|
|
| 30.3 |
|
|
| 29.9 |
|
| |||||||||
| Adjusted EBITDA: |
|
| $ | 233.4 |
| 25.9 | % |
| $ | 212.5 |
| 26.8 | % |
| $ | 714.0 |
| 26.1 | % |
| $ | 582.2 |
| 25.1 | % | ||
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| Year 2021 |
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| Low End | High End |
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FORECASTED DILUTED NET INCOME PER SHARE: |
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| Forecasted GAAP diluted net income per share attributable to Trimble Inc.: |
|
| $ | 1.69 |
| $ | 1.77 |
|
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| ||||||||||
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| Acquired deferred revenue adjustment | (A) |
| — |
| — |
|
|
|
|
|
|
|
|
|
| |||||||||||
|
| Amortization of acquired capitalized commissions | (B) |
| (0.02) |
| (0.02) |
|
|
|
|
|
|
|
|
|
| |||||||||||
|
| Amortization of purchased intangible assets | (C) |
| 0.55 |
| 0.55 |
|
|
|
|
|
|
|
|
|
| |||||||||||
|
| Acquisition / divestiture items | (D) |
| 0.06 |
| 0.06 |
|
|
|
|
|
|
|
|
|
| |||||||||||
|
| Stock-based compensation / deferred compensation | (E) |
| 0.50 |
| 0.50 |
|
|
|
|
|
|
|
|
|
| |||||||||||
|
| Restructuring and other costs | (F) |
| 0.03 |
| 0.03 |
|
|
|
|
|
|
|
|
|
| |||||||||||
|
| Non-GAAP tax adjustments | (G) - (H) |
| (0.20) |
| (0.20) |
|
|
|
|
|
|
|
|
|
| |||||||||||
| Forecasted non-GAAP diluted net income per share attributable to Trimble Inc.: |
| $ | 2.61 |
| $ | 2.69 |
|
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|
FOOTNOTES TO GAAP TO NON-GAAP RECONCILIATION