Summary
This Form 8-K filing by Synopsys, Inc. (SNPS) on August 20, 2014, announces the company's financial results for its third fiscal quarter ended August 2, 2014, as detailed in an accompanying press release (Exhibit 99.1). The report primarily focuses on the company's financial performance and its use of non-GAAP financial measures. Investors should note that the press release includes financial metrics that deviate from standard U.S. Generally Accepted Accounting Principles (GAAP). Synopsys utilizes non-GAAP measures, such as non-GAAP earnings per share and non-GAAP net income, to provide what management believes is a more insightful view of operational performance and liquidity. These non-GAAP figures exclude items like amortization of acquired intangible assets, stock-based compensation expenses, acquisition-related costs, other significant one-time items (such as restructuring charges and legal/tax settlements), and the tax effects of these adjustments. The company emphasizes that these non-GAAP measures are supplementary and should be considered alongside their GAAP counterparts for a comprehensive understanding.
Key Highlights
- 1Synopsys, Inc. reported its third fiscal quarter financial results on August 20, 2014.
- 2The filing includes a press release detailing the financial results for the quarter ended August 2, 2014.
- 3The company makes use of non-GAAP financial measures in its reporting, which differ from standard GAAP.
- 4Key exclusions in Synopsys' non-GAAP calculations include amortization of acquired intangibles and stock-based compensation.
- 5Acquisition-related costs and significant one-time expenses, such as restructuring charges, are also excluded from non-GAAP measures.
- 6Synopsys states that non-GAAP measures are presented to offer supplemental insights into operational performance and liquidity.
- 7Investors are advised to review these non-GAAP measures in conjunction with the comparable GAAP financial figures.