- Stock-based compensation;
- Gains and losses from settlements;
- Restructure and asset impairments;
- Goodwill impairment; and
- The estimated tax effects of above, non-cash changes in net deferred income taxes, assessments of tax exposures, certain tax matters related to prior fiscal periods, and significant changes in tax law. The divergence between our GAAP and non-GAAP income tax provision relates to the difference in our GAAP and non-GAAP estimated annual effective tax rates, which are computed separately.
Non-GAAP diluted shares are adjusted for the impact of additional shares resulting from the exclusion of stock-based compensation from non-GAAP income (loss).
|
MICRON TECHNOLOGY, INC.
RECONCILIATION OF GAAP TO NON-GAAP OUTLOOK | ||||||||
| FQ1-25 | GAAP Outlook | Adjustments | Non-GAAP Outlook | |||||
| Revenue | $8.70 billion ± $200 million | — | $8.70 billion ± $200 million | |||||
| Gross margin | 38.5% ± 1.0% | 1.0% | A | 39.5% ± 1.0% | ||||
| Operating expenses | $1.211 billion ± $15 million | $126 million | B | $1.085 billion ± $15 million | ||||
| Diluted earnings per share(1) | $1.54 ± $0.08 | $0.20 | A, B, C | $1.74 ± $0.08 | ||||
|
Non-GAAP Adjustments
(in millions) | ||||
| A | Stock-based compensation – cost of goods sold | $ | 87 | |
| A | Other – cost of goods sold | 4 | ||
| B | Stock-based compensation – research and development | 76 | ||
| B | Stock-based compensation – sales, general, and administrative | 50 | ||
| C | Tax effects of the above items and other tax adjustments | 3 | ||
| $ | 220 | |||
| (1) | GAAP earnings per share based on approximately 1.12 billion diluted shares and non-GAAP earnings per share based on approximately 1.14 billion diluted shares. | |||
The tables above reconcile our GAAP to non-GAAP guidance based on the current outlook. The guidance does not incorporate the impact of any potential business combinations, divestitures, additional restructuring activities, balance sheet valuation adjustments, strategic investments, financing transactions, and other significant transactions. The timing and impact of such items are dependent on future events that may be uncertain or outside of our control.
