GAAP Revenue up 3% Sequentially; Non-GAAP Revenue up 2% Sequentially
GAAP Net Income up 35% Sequentially; Non-GAAP Net Income up 23%
Sequentially
Low End of FY 2010 GAAP and non-GAAP EPS Guidance Raised
WESTFORD, Mass.--(BUSINESS WIRE)--Oct. 22, 2009--
NetScout Systems, Inc. (NASDAQ: NTCT):
|
|
Q2 FY 2010
|
|
|
GAAP
|
|
Non-GAAP
|
Revenue
|
|
$59.7 million
|
|
$60.1 million
|
Net income
|
|
$7.1 million
|
|
$9.0 million
|
Net Income per share
|
|
$0.17
|
|
$0.22
|
NetScout
Systems, Inc. (NASDAQ: NTCT), an industry leader for advanced
network and service assurance solutions, today announced financial
results for its second quarter of fiscal year 2010, ended September 30,
2009.
Total GAAP revenue for the second quarter of fiscal year 2010 was $59.7
million, and non-GAAP revenue was $60.1 million. Non-GAAP revenue
excludes the purchase accounting adjustment to record the acquired
Network General deferred revenue at fair value. Product revenue was
$30.6 million on a GAAP and non-GAAP basis. Service revenue was $29.1
million on a GAAP basis and $29.5 million on a non-GAAP basis.
GAAP net income for the quarter was $7.1 million, or net income per
diluted share of $0.17. GAAP income from operations was $11.7 million.
On a non-GAAP basis, net income was $9.0 million, or $0.22 per diluted
share, and non-GAAP income from operations was $14.8 million. Non-GAAP
income from operations excludes the purchase accounting adjustment to
record the acquired Network General deferred revenue at fair value, as
well as share-based compensation expenses and amortization of acquired
intangible assets. Non-GAAP net income excludes these effects as well as
their related impact on the provision for income taxes. A reconciliation
between GAAP and non-GAAP results is included in the attached financial
tables.
“Our results are still being affected by the slow economy and depressed
IT spending across most of our verticals. However, we are seeing signs
of improvement that are appearing in our pipeline, and we continue to
expect the economy and IT spending to improve in the second half of our
fiscal year, which will amplify our normal seasonality. We are
confirming our expectation that our bookings and revenue will accelerate
in Q3 and Q4, on the strength of the pipeline,” said Anil Singhal,
President and CEO of NetScout Systems. “We have maintained focus on cost
and expense management, improving to a 25% non-GAAP operating margin
despite lower revenue and, as a result, we are raising the low end of
our FY 2010 EPS guidance range. We are lowering the high end of our FY
2010 revenue guidance range, recognizing weaker first half revenue.
Looking forward, we see increasing opportunity in the wireless service
provider market and we are stepping up our investment to accelerate our
market share gains there. We are optimistic about our future growth in
service provider and our other major market sectors.”
Second Quarter Financial Highlights:
-
GAAP revenue decreased 13% year-over-year and increased 3%
sequentially. Non-GAAP revenue decreased 18% year-over-year and
increased 2% sequentially.
-
GAAP product revenue decreased 22% year-over-year and increased 8%
sequentially. Non-GAAP product revenue decreased 25% year-over-year
and increased 8 % sequentially.
-
GAAP service revenue decreased 1% year-over-year and 2% sequentially.
Non-GAAP service revenue decreased 8% year-over-year and 3%
sequentially.
-
GAAP operating margin was 20% up from 13% a year ago and up 5 points
sequentially. Non-GAAP operating margin was 25% up from 22% a year ago
and up 4 points sequentially.
-
As of September 30, 2009, total cash and cash equivalents and short
and long-term marketable securities were $142.8 million, up $1.2
million from $141.6 million as of the end of the prior quarter.
Company Highlights:
-
In the second quarter we released the nGenius® InfiniStream
2900 Series appliance, extending our end-to-end Unified Service
Delivery Management strategy by enabling more visibility in more
places. This new appliance has been designed and purpose-built for
deployment in areas where there are cost constraints and extends the
reach of our InfiniStream intelligent Deep Packet Capture technology
closer to the user.
-
We began shipping the newly enhanced version of Sniffer®
Global network analyzer that is integrated with Cisco’s Wireless
Mobility Service Engine to more quickly identify and resolve network
and service performance issues over wireless LAN networks.
-
NetScout was added to Standard & Poor's “S&P SmallCap 600”, effective
September 23, 2009.
-
Recently we announced the availability of nGenius Virtual Agent
software, extending service delivery visibility into applications
contained within a virtual computing environment. As a virtualized
implementation of the company’s widely deployed nGenius Probe
technology, the nGenius Virtual Agent seamlessly extends
high-performance packet-flow monitoring and analysis capabilities
deeper into the data center and private clouds — enabling the IT
organization to regain end-to-end visibility of application traffic
from within virtual servers.
-
Recently we joined the Cisco Developer Network Program in the
program’s Unified Communications technology category. In addition,
NetScout Systems nGenius Performance Manager version 4.6 and Sniffer
Intelligence version 4.6 have successfully completed
interoperability testing with Cisco Systems Unified Communications
Manager 6.1.
Guidance
NetScout has tightened the guidance range, lowering the high end of
revenue guidance and raising the low end of net income per diluted share
guidance for fiscal year 2010. GAAP revenue is now expected to be in the
range of $259 to $269 million and non-GAAP revenue between $260 million
to $270 million. GAAP net income per diluted share is now expected to be
in the range of $0.65 to $0.75 and non-GAAP net income per diluted share
is expected to be between $0.85 and $0.95. The fiscal year 2010 non-GAAP
revenue expectation excludes the purchase accounting adjustment to fair
value of approximately $1.3 million of Network General’s deferred
revenue and the non-GAAP net income per diluted share expectation
excludes the deferred revenue purchase accounting adjustment, as well as
share-based compensation expenses of approximately $5.6 million,
amortization of acquired intangible assets of approximately $5.9
million, and the related impact of these adjustments on the provision
for income taxes of $4.9 million.
Use of Non-GAAP Financial Information
To supplement the financial measures presented in the Company's press
release in accordance with accounting principles generally accepted in
the United States ("GAAP"), the Company also presents non-GAAP measures
relating to revenue, income from operations, net income and net income
per diluted share which were adjusted from amounts determined based on
GAAP to exclude the purchase accounting adjustment representing the fair
value of Network General’s deferred revenue, share-based compensation
expenses, amortization of acquired intangible assets, as well as the
related income tax effects.
These non-GAAP measures are not in accordance with GAAP, should not be
considered an alternative for measures prepared in accordance with GAAP,
and may have limitations in that they do not reflect all of NetScout’s
results of operations as determined in accordance with GAAP. These
non-GAAP measures should only be used to evaluate NetScout’s results of
operations in conjunction with the corresponding GAAP measures. The
presentation of non-GAAP information is not meant to be considered
superior to, in isolation from or as a substitute for results prepared
in accordance with GAAP.
The Company believes these non-GAAP financial measures will enhance the
reader’s overall understanding of NetScout’s current financial
performance and the Company's prospects for the future by providing a
higher degree of transparency for certain financial measures and
providing a level of disclosure that helps investors understand how the
Company plans and measures its own business. The Company believes that
providing these non-GAAP measures affords investors a view of the
Company’s operating results that may be more easily compared to peer
companies and also enables investors to consider the Company’s operating
results on both a GAAP and non-GAAP basis during the period where GAAP
results are affected by the Company’s acquisition of Network General.
Presenting the GAAP measures on their own would not be indicative of the
Company’s core operating results. Furthermore, NetScout believes that
the presentation of non-GAAP measures when shown in conjunction with the
corresponding GAAP measures provide useful information to management and
investors regarding present and future business trends relating to its
financial condition and results of operations.
As discussed above, Company management regularly uses supplemental
non-GAAP financial measures internally to understand, manage and
evaluate its business and to make operating decisions. These non-GAAP
measures are among the primary factors that management uses in planning
and forecasting future periods.
CONFERENCE CALL INSTRUCTIONS
The Company invites shareholders to listen to its conference call today
at 4:30 p.m. ET, which will be webcast live through the Company’s
website at http://www.netscout.com/investors.
Alternatively, people can listen to the call by dialing 866-701-8242 for
U.S./Canada and 763-416-6912 for international callers and using
conference ID: 35698529. A replay of the call will be available after
7:30 p.m. ET on October 22 for approximately one week. The number for
the replay is 800-642-1687 for U.S./Canada and 706-645-9291 for
international callers. The conference ID is: 35698529.
About NetScout Systems
NetScout Systems, Inc. is the market leader in Unified Service Delivery
Management enabling comprehensive end-to-end network and application
assurance. For 25 years, NetScout has delivered breakthrough packet-flow
technology that provides trusted and comprehensive real-time network and
application performance intelligence enabling unified assurance of the
network, applications and users. These solutions enable IT staff to
predict, preempt and resolve network and service delivery problems while
facilitating the optimization and capacity planning of the network
infrastructure. NetScout nGenius® and Sniffer® solutions are deployed at
more than 20,000 of the world’s largest enterprises, government
agencies, and service providers, on over 740,000 network segments to
assure the network, applications, and service delivery to their users
and customers. More information about NetScout Systems is available at http://www.netscout.com.
Safe Harbor
Forward-looking statements in this press release are made pursuant to
the safe harbor provisions of Section 21E of the Securities Exchange Act
of 1934, as amended, and other federal securities laws. Investors are
cautioned that statements in this press release, which are not strictly
historical statements, including the plans, objectives and future
financial performance of NetScout, constitute forward-looking statements
which involve risks and uncertainties. Actual results could differ
materially from the forward-looking statements. Risks and uncertainties
which could cause actual results to differ include, without limitation,
risks and uncertainties associated with slowdowns or downturns in
economic conditions generally and in the market for advanced network and
service assurance solutions specifically, the Company’s relationships
with strategic partners, dependence upon broad-based acceptance of the
Company’s network performance management solutions, the Company’s
ability to achieve and maintain a high rate of growth, introduction and
market acceptance of new products and product enhancements, the ability
of the Company to take advantage of service provider opportunities,
competitive pricing pressures, reliance on sole source suppliers,
successful expansion and management of direct and indirect distribution
channels and dependence on proprietary technology. For a more detailed
description of the risk factors associated with the Company, please
refer to the Company’s Annual Report on Form 10-K for the fiscal year
ended March 31, 2009 and subsequent Quarterly Reports on Form 10-Q on
file with the Securities and Exchange Commission. NetScout assumes no
obligation to update any forward-looking information contained in this
press release or with respect to the announcements described herein.
©2009 NetScout Systems, Inc. All rights reserved. NetScout and the
NetScout logo and nGenius are registered trademarks of NetScout
Systems, Inc.
NetScout Systems, Inc.
|
Condensed Consolidated Statements of Operations
|
(In thousands, except per share data)
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
|
|
Six Months Ended
|
|
|
|
|
September 30,
|
|
September 30,
|
|
|
|
|
2009
|
|
2008
|
|
2009
|
|
2008
|
Revenue:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Product
|
|
$
|
30,631
|
|
|
$
|
39,513
|
|
|
$
|
59,022
|
|
|
$
|
74,430
|
|
Service
|
|
|
29,060
|
|
|
|
29,348
|
|
|
|
58,731
|
|
|
|
55,038
|
|
Total revenue
|
|
|
59,691
|
|
|
|
68,861
|
|
|
|
117,753
|
|
|
|
129,468
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost of revenue:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Product
|
|
|
8,289
|
|
|
|
12,057
|
|
|
|
15,548
|
|
|
|
22,403
|
|
Service
|
|
|
4,584
|
|
|
|
5,289
|
|
|
|
9,493
|
|
|
|
10,280
|
|
Total cost of revenue
|
|
|
12,873
|
|
|
|
17,346
|
|
|
|
25,041
|
|
|
|
32,683
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gross profit
|
|
|
46,818
|
|
|
|
51,515
|
|
|
|
92,712
|
|
|
|
96,785
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating expenses:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Research and development
|
|
|
8,670
|
|
|
|
10,135
|
|
|
|
17,888
|
|
|
|
20,308
|
|
Sales and marketing
|
|
|
21,372
|
|
|
|
25,739
|
|
|
|
43,478
|
|
|
|
49,798
|
|
General and administrative
|
|
|
4,604
|
|
|
|
6,080
|
|
|
|
9,834
|
|
|
|
12,611
|
|
Amortization of acquired intangible assets
|
|
|
491
|
|
|
|
490
|
|
|
|
981
|
|
|
|
981
|
|
Total operating expenses
|
|
|
35,137
|
|
|
|
42,444
|
|
|
|
72,181
|
|
|
|
83,698
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income from operations
|
|
|
11,681
|
|
|
|
9,071
|
|
|
|
20,531
|
|
|
|
13,087
|
|
Interest and other income (expense), net
|
|
|
(715
|
)
|
|
|
(1,428
|
)
|
|
|
(1,434
|
)
|
|
|
(3,181
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income before income tax expense
|
|
|
10,966
|
|
|
|
7,643
|
|
|
|
19,097
|
|
|
|
9,906
|
|
Income tax expense
|
|
|
3,880
|
|
|
|
2,701
|
|
|
|
6,774
|
|
|
|
3,467
|
|
Net income
|
|
$
|
7,086
|
|
|
$
|
4,942
|
|
|
$
|
12,323
|
|
|
$
|
6,439
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic net income per share
|
|
$
|
0.18
|
|
|
$
|
0.13
|
|
|
$
|
0.31
|
|
|
$
|
0.16
|
|
Diluted net income per share
|
|
$
|
0.17
|
|
|
$
|
0.12
|
|
|
$
|
0.30
|
|
|
$
|
0.16
|
|
Weighted average common shares outstanding used in computing:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income per share - basic
|
|
|
40,395
|
|
|
|
39,201
|
|
|
|
40,352
|
|
|
|
39,078
|
|
Net income per share - diluted
|
|
|
41,590
|
|
|
|
41,008
|
|
|
|
41,388
|
|
|
|
40,781
|
|
NetScout Systems, Inc.
|
Reconciliation of GAAP to Non-GAAP Financial Measures
|
|
(In thousands, except per share data)
|
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
|
|
Six Months Ended
|
|
|
|
|
September 30,
|
|
September 30,
|
|
|
|
|
2009
|
|
2008
|
|
2009
|
|
2008
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GAAP Revenue
|
|
$
|
59,691
|
|
|
$
|
68,861
|
|
|
$
|
117,753
|
|
|
$
|
129,468
|
|
Product deferred revenue fair value adjustment
|
|
|
9
|
|
|
|
1,422
|
|
|
|
18
|
|
|
|
1,611
|
|
Service deferred revenue fair value adjustment
|
|
|
378
|
|
|
|
2,723
|
|
|
|
978
|
|
|
|
7,306
|
|
Non-GAAP revenue
|
|
$
|
60,078
|
|
|
$
|
73,006
|
|
|
$
|
118,749
|
|
|
$
|
138,385
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GAAP Gross profit
|
|
$
|
46,818
|
|
|
$
|
51,515
|
|
|
$
|
92,712
|
|
|
$
|
96,785
|
|
Deferred revenue fair value adjustment
|
|
|
387
|
|
|
|
4,145
|
|
|
|
996
|
|
|
|
8,917
|
|
Shared-based compensation expense (1)
|
|
|
85
|
|
|
|
81
|
|
|
|
169
|
|
|
|
147
|
|
Amortization of acquired intangible assets (2)
|
|
|
995
|
|
|
|
995
|
|
|
|
1,990
|
|
|
|
2,007
|
|
Integration expense (3)
|
|
|
-
|
|
|
|
39
|
|
|
|
-
|
|
|
|
286
|
|
Non-GAAP Gross profit
|
|
$
|
48,285
|
|
|
$
|
56,775
|
|
|
$
|
95,867
|
|
|
$
|
108,142
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GAAP Income from operations
|
|
$
|
11,681
|
|
|
$
|
9,071
|
|
|
$
|
20,531
|
|
|
$
|
13,087
|
|
Deferred revenue fair value adjustment
|
|
|
387
|
|
|
|
4,145
|
|
|
|
996
|
|
|
|
8,917
|
|
Shared-based compensation expense (1)
|
|
|
1,284
|
|
|
|
1,188
|
|
|
|
2,567
|
|
|
|
2,379
|
|
Amortization of acquired intangible assets (2)
|
|
|
1,486
|
|
|
|
1,485
|
|
|
|
2,971
|
|
|
|
2,988
|
|
Integration expense (3)
|
|
|
-
|
|
|
|
266
|
|
|
|
-
|
|
|
|
1,089
|
|
Non-GAAP Income from operations
|
|
$
|
14,838
|
|
|
$
|
16,155
|
|
|
$
|
27,065
|
|
|
$
|
28,460
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GAAP Net income
|
|
$
|
7,086
|
|
|
$
|
4,942
|
|
|
$
|
12,323
|
|
|
$
|
6,439
|
|
Deferred revenue fair value adjustment
|
|
|
387
|
|
|
|
4,145
|
|
|
|
996
|
|
|
|
8,917
|
|
Shared-based compensation expense (1)
|
|
|
1,284
|
|
|
|
1,188
|
|
|
|
2,567
|
|
|
|
2,379
|
|
Amortization of acquired intangible assets (2)
|
|
|
1,486
|
|
|
|
1,485
|
|
|
|
2,971
|
|
|
|
2,988
|
|
Integration expense (3)
|
|
|
-
|
|
|
|
266
|
|
|
|
-
|
|
|
|
1,089
|
|
Income tax adjustments (4)
|
|
|
(1,200
|
)
|
|
|
(2,692
|
)
|
|
|
(2,483
|
)
|
|
|
(5,842
|
)
|
Non-GAAP Net income
|
|
$
|
9,043
|
|
|
$
|
9,334
|
|
|
$
|
16,374
|
|
|
$
|
15,970
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GAAP Diluted Net income per share
|
|
$
|
0.17
|
|
|
$
|
0.12
|
|
|
$
|
0.30
|
|
|
$
|
0.16
|
|
Share impact of non-GAAP adjustments identified above
|
|
|
0.05
|
|
|
|
0.11
|
|
|
|
0.10
|
|
|
|
0.23
|
|
Non-GAAP Diluted net income per share
|
|
$
|
0.22
|
|
|
$
|
0.23
|
|
|
$
|
0.40
|
|
|
$
|
0.39
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Shares used in computing non-GAAP diluted net income per share
|
|
|
41,590
|
|
|
|
41,008
|
|
|
|
41,388
|
|
|
|
40,781
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)Share-based compensation expense included in these amounts
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
is as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost of product revenue
|
|
$
|
29
|
|
|
$
|
26
|
|
|
$
|
57
|
|
|
$
|
53
|
|
Cost of service revenue
|
|
|
56
|
|
|
|
55
|
|
|
|
112
|
|
|
|
94
|
|
Research and development
|
|
|
312
|
|
|
|
300
|
|
|
|
620
|
|
|
|
611
|
|
Sales and marketing
|
|
|
545
|
|
|
|
511
|
|
|
|
1,101
|
|
|
|
1,041
|
|
General and administrative
|
|
|
342
|
|
|
|
296
|
|
|
|
677
|
|
|
|
580
|
|
Total share-based compensation expense
|
|
$
|
1,284
|
|
|
$
|
1,188
|
|
|
$
|
2,567
|
|
|
$
|
2,379
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(2)Amortization expense related to acquired software and product
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
technology included in these amounts is as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost of Product Revenue
|
|
$
|
995
|
|
|
$
|
995
|
|
|
$
|
1,990
|
|
|
$
|
2,007
|
|
Operating expenses
|
|
|
491
|
|
|
|
490
|
|
|
|
981
|
|
|
|
981
|
|
Total amortization expense
|
|
$
|
1,486
|
|
|
$
|
1,485
|
|
|
$
|
2,971
|
|
|
$
|
2,988
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(3)Integration expense included in these amounts is as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost of product revenue
|
|
$
|
-
|
|
|
$
|
-
|
|
|
$
|
-
|
|
|
$
|
141
|
|
Cost of service revenue
|
|
|
-
|
|
|
|
39
|
|
|
|
-
|
|
|
|
145
|
|
Research and development
|
|
|
-
|
|
|
|
75
|
|
|
|
-
|
|
|
|
177
|
|
Sales and marketing
|
|
|
-
|
|
|
|
85
|
|
|
|
-
|
|
|
|
199
|
|
General and administrative
|
|
|
-
|
|
|
|
67
|
|
|
|
-
|
|
|
|
427
|
|
Total integration expense
|
|
$
|
-
|
|
|
$
|
266
|
|
|
$
|
-
|
|
|
$
|
1,089
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(4)Reflects the tax effect of non-GAAP adjustments above at the
statutory rate of 38%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NetScout Systems, Inc.
|
Condensed Consolidated Balance Sheets
|
|
(In thousands)
|
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
September 30
|
|
March 31
|
|
2009
|
|
2009
|
|
|
|
|
|
|
|
|
Assets
|
|
|
|
|
|
|
|
Current assets:
|
|
|
|
|
|
|
|
Cash and cash equivalents
|
$
|
84,698
|
|
|
$
|
82,222
|
|
Marketable securities
|
|
29,232
|
|
|
|
24,162
|
|
Accounts receivable, net
|
|
33,159
|
|
|
|
39,827
|
|
Inventories
|
|
7,414
|
|
|
|
6,850
|
|
Refundable income taxes
|
|
6,764
|
|
|
|
8,389
|
|
Deferred income taxes
|
|
2,796
|
|
|
|
2,796
|
|
Prepaid expenses and other current assets
|
|
4,675
|
|
|
|
4,939
|
|
|
|
|
|
|
|
|
|
Total current assets
|
|
168,738
|
|
|
|
169,185
|
|
|
|
|
|
|
|
|
|
Fixed assets, net
|
|
12,434
|
|
|
|
13,848
|
|
Goodwill
|
|
128,177
|
|
|
|
128,177
|
|
Acquired intangible assets, net
|
|
56,639
|
|
|
|
59,610
|
|
Deferred income taxes
|
|
33,006
|
|
|
|
34,941
|
|
Long-term marketable securities
|
|
28,856
|
|
|
|
29,528
|
|
Other assets
|
|
1,668
|
|
|
|
1,445
|
|
Total assets
|
$
|
429,518
|
|
|
$
|
436,734
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Liabilities and Stockholders' Equity
|
|
|
|
|
|
|
|
Current liabilities:
|
|
|
|
|
|
|
|
Accounts payable
|
$
|
8,118
|
|
|
$
|
6,385
|
|
Accrued compensation
|
|
12,674
|
|
|
|
23,156
|
|
Accrued other
|
|
4,849
|
|
|
|
5,407
|
|
Income taxes payable
|
|
4,780
|
|
|
|
1,702
|
|
Long-term debt, current portion
|
|
10,000
|
|
|
|
10,000
|
|
Deferred revenue
|
|
61,937
|
|
|
|
70,815
|
|
|
|
|
|
|
|
|
|
Total current liabilities
|
|
102,358
|
|
|
|
117,465
|
|
|
|
|
|
|
|
|
|
Other long-term liabilities
|
|
684
|
|
|
|
771
|
|
Accrued long-term retirement benefits
|
|
1,485
|
|
|
|
1,330
|
|
Long-term deferred revenue
|
|
8,572
|
|
|
|
8,937
|
|
Long-term debt, net of current portion
|
|
74,356
|
|
|
|
82,500
|
|
Total liabilities
|
|
187,455
|
|
|
|
211,003
|
|
|
|
|
|
|
|
|
|
Stockholders' equity:
|
|
|
|
|
|
|
|
Common stock
|
|
45
|
|
|
|
45
|
|
Additional paid-in capital
|
|
196,957
|
|
|
|
192,844
|
|
Accumulated other comprehensive loss
|
|
(1,565
|
)
|
|
|
(1,461
|
)
|
Treasury stock
|
|
(28,939
|
)
|
|
|
(28,939
|
)
|
Retained earnings
|
|
75,565
|
|
|
|
63,242
|
|
|
|
|
|
|
|
|
|
Total stockholders' equity
|
|
242,063
|
|
|
|
225,731
|
|
|
|
|
|
|
|
|
|
Total liabilities and stockholders' equity
|
$
|
429,518
|
|
|
$
|
436,734
|
|
Source: NetScout Systems, Inc.
NetScout Systems, Inc.
Catherine Taylor, 978-614-4286
Director
of Investor Relations
IR@netscout.com