NetApp, Inc. NTAP reported second-quarter fiscal 2021 non-GAAP earnings of $1.05 per share, which surpassed the Zacks Consensus Estimate by 45.83%. George Kurian, CEO of NetApp, says this about the fiscal Q2 2020 NTAP stock earnings. However, the … [1] Non-GAAP net income excludes, when applicable, (a) amortization of intangible assets, (b) stock-based compensation expenses, (c) litigation settlements, (d) acquisition-related expenses, (e) restructuring charges, (f) asset impairments, (g) gains/losses on the sale or derecognition of assets, and (h) our GAAP tax provision, but includes a non-GAAP tax provision based upon our projected annual non-GAAP effective tax rate for the first three quarters of the fiscal year and an actual non-GAAP tax provision for the fourth quarter of the fiscal year. NetApp records amortization of intangible assets that were acquired in connection with its business combinations. [2]GAAP net income per share and non-GAAP net income per share are calculated using the diluted number of shares. NetApp excludes stock-based compensation expenses from its non-GAAP measures primarily because they are non-cash expenses. Days sales outstanding (DSO) is defined as accounts receivable divided by net revenues, multiplied by the number of days in the quarter. “Our Q2 FY20 results reflect the strength of our business model and value of our innovation. All-flash array annualized net revenue run rate of $2.2 billion increased 29% quarter-over-quarter. As free cash flow is not a measure of liquidity calculated in accordance with GAAP, free cash flow should be considered in addition to, but not as a substitute for, the analysis provided in the statement of cash flows. Consolidated GAAP gross … These non-GAAP financial measures are used to: (1) measure company performance against historical results, (2) facilitate comparisons to our competitors’ operating results and (3) allow greater transparency with respect to information used by management in financial and operational decision making. Net Cash Provided by (Used in) Operating Activities. Management finds it useful to exclude these charges to assess the appropriate level of various operating expenses to assist in budgeting, planning and forecasting future periods and in measuring operational performance. Amortization of intangible assets. NetApp’s management uses these non-GAAP measures in making operating decisions because it believes the measurements provide meaningful supplemental information regarding NetApp’s ongoing operational performance. NetApp is the proven leader when it comes to modernizing and simplifying your storage environment. NetApp excludes the following items from its non-GAAP measures when applicable: A. The Company provided the following financial guidance for the third quarter of fiscal year 2020: Full Fiscal Year 2020 Financial Outlook Q3 FY 2021 results target date: February 24, 2021 Q4 FY 2021 results target date: June 2, 2021 Q1 FY 2022 results target date: August 25, 2021 Q2 FY 2022 results target date: November 30, 2021 About NetApp H. Income tax adjustments. Amortization of intangible assets. Second Quarter Financial Results Net revenues for the second quarter of fiscal year 2017 were $1.34 billion. F. Asset impairments. C. Litigation settlements. This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. We provide a full range of hybrid cloud data services that simplify management of applications and data across cloud and on-premises environments to accelerate digital transformation. NetApp™ cloud data services annualized recurring revenue of approximately $72 million, an increase of 167% year-over-year. Prior to this change, Hybrid FAS and branded E-Series were included in Strategic, while all add-on hardware and OS software were included in Mature. NetApp excludes acquisition-related expenses, including (a) due diligence, legal and other one-time integration charges and (b) write down of assets acquired that NetApp does not intend to use in its ongoing business, from its non-GAAP measures, primarily because they are not related to our ongoing business or cost base and, therefore, cannot be relied upon for future planning and forecasting. Together with our partners, we empower global organizations to unleash the full potential of their data to expand customer touchpoints, foster greater innovation, and optimize their operations. Per Share for the Third Quarter Fiscal 2020: Some items may not add or recalculate due to rounding, View source version on businesswire.com: https://www.businesswire.com/news/home/20191113005832/en/, (Press) Also, upbeat guidance for the fiscal third quarter bodes well. These statements include, but are not limited to, all of the statements made under the Second Quarter of Fiscal Year 2020 Financial Outlook and the Full Fiscal Year 2020 Financial Outlook sections, statements about our free cash flow generation, our ability to navigate the ongoing macroeconomic headwinds, and our ability to capitalize on our Data Fabric strategy. Our industry-leading solutions are built so you can protect and secure your sensitive company data. The amortization of intangible assets varies depending on the level of acquisition activity. NetApp ™ cloud data services annualized recurring revenue of approximately $72 million, an increase of 167% year-over-year. 1 408 822 6403 NetApp management compensates for these limitations by analyzing current and projected results on a GAAP basis as well as a non-GAAP basis. While management views stock-based compensation as a key element of our employee retention and long-term incentives, we do not view it as an expense to be used in evaluating operational performance in any given period. In addition, these non-GAAP measures are not based on any comprehensive set of accounting rules or principles. [3]Gartner Magic Quadrant for Primary Storage, 17 September 2019, Santhosh Rao, John Monroe, Roger W. Cox, Joseph Unsworth. Net income fell 43.6 per cent to $137m. Oct 26 - Oct 27, 2020 Event Content. For second-quarter fiscal 2020, NetApp anticipates net revenues in the range of $1.325-$1.475 billion. NetApp will host a conference call to discuss these results today at 2:30 p.m. Pacific Time. These non-GAAP measures are not in accordance with, or an alternative for, measures prepared in accordance with GAAP, and may be different from non-GAAP measures used by other companies. last year. Shares of NetApp (NASDAQ:NTAP) rose 5.21% after the company reported Q2 results. 1Non-GAAP net income excludes, when applicable, (a) amortization of intangible assets, (b) stock-based compensation expenses, (c) litigation settlements, (d) acquisition-related expenses, (e) restructuring charges, (f) asset impairments, (g) gains/losses on the sale or derecognition of assets, and (h) our GAAP tax provision, but includes a non-GAAP tax provision based upon our projected annual non-GAAP effective tax rate for the first three quarters of the fiscal year and an actual non-GAAP tax provision for the fourth quarter of the fiscal year. Lance Berger NetApp (NASDAQ: NTAP) today reported financial results for the second quarter of fiscal year 2021, which ended on October 30, 2020. “In the second quarter, NetApp again delivered strong results, successfully executing against our plan to scale our cloud business while growing in … NetApp excludes these charges and benefits, when significant, because it does not believe they are reflective of ongoing business and operating results. vs. $257 Mln. E. Restructuring charges. Mature now includes Hybrid FAS products, including all related add-on hardware and OS software, OEM products, and branded E-Series. H. Income tax adjustments. Management believes that these transactions do not reflect the results of our underlying, on-going business and, therefore, cannot be relied upon for future planning or forecasting. Cash conversion cycle (CCC) is defined as DSO plus DIO minus DPO. Amelia Vierra Next cash dividend of $0.48 per share to be paid on January 22, 2020, to shareholders of record as of the close of business on January 3, 2020. NetApp's Q2 shows stabilization as earnings top expectations. To supplement NetApp’s condensed consolidated financial statement information presented in accordance with generally accepted accounting principles in the United States (GAAP), NetApp provides investors with certain non-GAAP measures, including, but not limited to, historical non-GAAP operating results, non-GAAP net income, non-GAAP effective tax rate and free cash flow, and historical and projected non-GAAP earnings per diluted share. We delivered gross margin, operating margin, and EPS all solidly ahead of our guidance ranges. These non-GAAP measures are not in accordance with, or an alternative for, measures prepared in accordance with GAAP, and may be different from non-GAAP measures used by other companies. *Net revenues in the second quarter of fiscal year 2019 included $20 million from enterprise software license agreements which did not repeat in the second quarter of fiscal year 2020. The Company provided the following financial guidance for the third quarter of fiscal year 2020: The Company updated the following financial guidance for the full fiscal year 2020: Next cash dividend of $0.48 per share to be paid on January 22, 2020, to shareholders of record as of the close of business on January 3, 2020. Adjustments to reconcile net income to net cash provided by (used in) operating activities: Changes in assets and liabilities, net of acquisitions of businesses: Deferred revenue and financed unearned services, Changes in other operating assets and liabilities, net, Net cash provided by (used in) operating activities, Acquisitions of businesses, net of cash acquired, Net cash provided by investing activities, Proceeds from issuance of common stock under employee, Payments for taxes related to net share settlement of stock.