(1) We define constant currency income from operations as GAAP income from operations excluding the effect of foreign exchange rate movements for GAAP net revenues and operating expenses on a sequential, year-over-year and current year versus prior year basis. Constant currency impact in dollars is calculated by translating the current period GAAP net revenues and operating expenses using the foreign currency exchange rates that were in effect during the previous comparable period and subtracting it by the current period GAAP net revenues and operating expenses.
(2) We define constant currency operating margin as constant currency income from operations as a percentage of constant currency net revenues. Operating margin constant currency impact is the increase or decrease in constant currency operating margin compared to the GAAP operating margin.
(+) Changes and percentages are based on actual values. Certain tables may not sum or recalculate due to rounding. Refer to "About Non-GAAP Financial Measures" section of press release.
ALIGN TECHNOLOGY, INC.
UNAUDITED GAAP TO NON-GAAP RECONCILIATION CONTINUED+
FINANCIAL MEASURES OTHER THAN CONSTANT CURRENCY
(in thousands, except per share data)
|
|
Three Months Ended
|
|
Year Ended
|
||||||||||||
|
|
|
2023 |
|
|
|
2022 |
|
|
|
2023 |
|
|
|
2022 |
|
GAAP gross profit |
|
$ |
669,524 |
|
|
$ |
617,701 |
|
|
$ |
2,706,863 |
|
|
$ |
2,633,775 |
|
Stock-based compensation |
|
|
1,780 |
|
|
|
1,659 |
|
|
|
7,462 |
|
|
|
6,438 |
|
Amortization of intangibles (1) |
|
|
2,773 |
|
|
|
2,610 |
|
|
|
11,182 |
|
|
|
10,134 |
|
Restructuring charges (2) |
|
|
673 |
|
|
|
2,866 |
|
|
|
673 |
|
|
|
2,866 |
|
| Non-GAAP gross profit |
|
$ |
674,750 |
|
|
$ |
624,836 |
|
|
$ |
2,726,180 |
|
|
$ |
2,653,213 |
|
|
|
|
|
|
|
|
|
|
|
||||||||
| GAAP gross margin |
|
|
70.0 |
% |
|
|
68.5 |
% |
|
|
70.1 |
% |
|
|
70.5 |
% |
| Non-GAAP gross margin |
|
|
70.5 |
% |
|
|
69.3 |
% |
|
|
70.6 |
% |
|
|
71.0 |
% |
|
|
|
|
|
|
|
|
|
|
||||||||
| GAAP total operating expenses |
|
$ |
497,979 |
|
|
$ |
505,040 |
|
|
$ |
2,063,525 |
|
|
$ |
1,991,180 |
|
| Stock-based compensation |
|
|
(37,049 |
) |
|
|
(33,029 |
) |
|
|
(146,564 |
) |
|
|
(126,929 |
) |
| Amortization of intangibles (1) |
|
|
(866 |
) |
|
|
(810 |
) |
|
|
(3,497 |
) |
|
|
(3,417 |
) |
| Restructuring and other charges (2) |
|
|
(13,316 |
) |
|
|
(11,453 |
) |
|
|
(13,316 |
) |
|
|
(11,453 |
) |
| Non-GAAP total operating expenses |
|
$ |
446,748 |
|
|
$ |
459,748 |
|
|
$ |
1,900,148 |
|
|
$ |
1,849,381 |
|
|
|
|
|
|
|
|
|
|
|
||||||||
| GAAP income from operations |
|
$ |
171,545 |
|
|
$ |
112,661 |
|
|
$ |
643,338 |
|
|
$ |
642,595 |
|
| Stock-based compensation |
|
|
38,829 |
|
|
|
34,688 |
|
|
|
154,026 |
|
|
|
133,367 |
|
| Amortization of intangibles (1) |
|
|
3,639 |
|
|
|
3,420 |
|
|
|
14,679 |
|
|
|
13,551 |
|
| Restructuring and other charges (2) |
|
|
13,989 |
|
|
|
14,319 |
|
|
|
13,989 |
|
|
|
14,319 |
|
| Non-GAAP income from operations |
|
$ |
228,002 |
|
|
$ |
165,088 |
|
|
$ |
826,032 |
|
|
$ |
803,832 |
|
|
|
|
|
|
|
|
|
|
|
||||||||
| GAAP operating margin |
|
|
17.9 |
% |
|
|
12.5 |
% |
|
|
16.7 |
% |
|
|
17.2 |
% |
| Non-GAAP operating margin |
|
|
23.8 |
% |
|
|
18.3 |
% |
|
|
21.4 |
% |
|
|
21.5 |
% |
|
|
|
|
|
|
|
|
|
|
||||||||
| GAAP net income before provision for income taxes |
|
$ |
172,880 |
|
|
$ |
115,321 |
|
|
$ |
641,204 |
|
|
$ |
599,057 |
|
| Stock-based compensation |
|
|
38,829 |
|
|
|
34,688 |
|
|
|
154,026 |
|
|
|
133,367 |
|
| Amortization of intangibles (1) |
|
|
3,639 |
|
|
|
3,420 |
|
|
|
14,679 |
|
|
|
13,551 |
|
| Restructuring and other charges (2) |
|
|
13,989 |
|
|
|
14,319 |
|
|
|
13,989 |
|
|
|
14,319 |
|
| Non-GAAP net income before provision for income taxes |
|
$ |
229,337 |
|
|
$ |
167,748 |
|
|
$ |
823,898 |
|
|
$ |
760,294 |
|
