| Three Months Ended | ||
| Non-GAAP Operating Income | July 1, 2023 | |
| (as a percentage of sales) | ||
| GAAP operating loss | (7.4 | )% |
| Stock-based compensation expense | 5.9 | |
| Amortization of intangible assets | 4.7 | |
| Restructuring related charges | 3.5 | |
| Acquisition and integration related costs | 0.2 | |
| Loss on assets and other non-cash expenses | 0.3 | |
| Non-GAAP operating income | 7.2 | % |
| Three Months Ended | |||
| Free Cash Flow (1) | July 1, 2023 | ||
| (in millions) | |||
| Net cash provided by operating activities | $ | 44.9 | |
| Purchases of property and equipment | (39.5 | ) | |
| Free cash flow | $ | 5.4 | |
(1) Free Cash Flow is calculated as net cash provided by operating activities minus property and equipment expenditures.
QORVO, INC. AND SUBSIDIARIES
ADDITIONAL SELECTED NON-GAAP FINANCIAL MEASURES AND RECONCILIATIONS
(In thousands)
(Unaudited)
| Three Months Ended | |||||||||
| July 1, 2023 | April 1, 2023 | July 2, 2022 | |||||||
| GAAP research and development expense | $ | 163,090 | $ | 163,637 | $ | 168,568 | |||
| Less: | |||||||||
| Stock-based compensation expense | 10,356 | 10,286 | 8,966 | ||||||
| Acquisition and integration related costs | 1 | 26 | 61 | ||||||
| Non-GAAP research and development expense | $ | 152,733 | $ | 153,325 | $ | 159,541 | |||
| Three Months Ended | |||||||||
| July 1, 2023 | April 1, 2023 | July 2, 2022 | |||||||
| GAAP selling, general and administrative expense | $ | 105,423 | $ | 82,954 | $ | 101,815 | |||
| Less: | |||||||||
| Stock-based compensation expense | 23,110 | 4,208 | 21,946 | ||||||
| Amortization of intangible assets | 4,383 | 4,711 | 5,569 | ||||||
| Acquisition and integration related costs | — | 7 | 17 | ||||||
| Non-GAAP selling, general and administrative expense | $ | 77,930 | $ | 74,028 | $ | 74,283 | |||
| Three Months Ended | |||||||||
| July 1, 2023 | April 1, 2023 | July 2, 2022 | |||||||
| GAAP other operating expense | $ | 8,693 | $ | 57,105 | $ | 3,008 | |||
| Less: | |||||||||
| Stock-based compensation expense | 30 | — | — | ||||||
| Restructuring related charges | 3,781 | 38,611 | 550 | ||||||
| Acquisition and integration related costs | 1,193 | 2,018 | 6,195 | ||||||
| Goodwill impairment | — | 12,411 | — | ||||||
| Loss (gain) on assets and other non-cash expenses | 1,609 | 4,065 | (3,737 | ) | |||||
| Non-GAAP other operating expense | $ | 2,080 | $ | — | $ | — | |||
| Three Months Ended | |||||||||
| July 1, 2023 | April 1, 2023 | July 2, 2022 | |||||||
| GAAP total operating expense | $ | 277,206 | $ | 303,696 | $ | 273,391 | |||
| Less: | |||||||||
| Stock-based compensation expense | 33,496 | 14,494 | 30,912 | ||||||
| Amortization of intangible assets | 4,383 | 4,711 | 5,569 | ||||||
| Restructuring related charges | 3,781 | 38,611 | 550 | ||||||
| Acquisition and integration related costs | 1,194 | 2,050 | 6,273 | ||||||
| Goodwill impairment | — | 12,411 | — | ||||||
| Loss (gain) on assets and other non-cash expenses | 1,609 | 4,065 | (3,737 | ) | |||||
| Non-GAAP total operating expense | $ | 232,743 | $ | 227,354 | $ | 233,824 | |||
