SANDISK CORP

CIK:0001000180|SEC Filings

Consolidated Statements of Operations - USD ($) shares in Thousands	3 Months Ended
	Apr. 03, 2016	Mar. 29, 2015
Income Statement
Revenue	$ 1,365,736,000	$ 1,332,241,000
Cost of revenue	794,135,000	762,483,000
Amortization of acquisition-related intangible assets	28,276,000	24,756,000
Total cost of revenue	822,411,000	787,239,000
Gross profit	543,325,000	545,002,000
Operating expenses:
Research and development	244,187,000	222,726,000
Sales and marketing	96,030,000	101,820,000
General and administrative	40,590,000	48,047,000
Amortization of acquisition-related intangible assets	6,397,000	13,681,000
Impairment of acquisition-related intangible assets	0	61,000,000
Restructuring and other	47,000	40,541,000
Western Digital acquisition-related expenses	18,963,000	0
Total operating expenses	406,214,000	487,815,000
Operating income	137,111,000	57,187,000
Interest income	8,847,000	11,025,000
Interest (expense) and other income (expense), net	(24,197,000)	(34,595,000)
Total other income (expense), net	(15,350,000)	(23,570,000)
Income before income taxes	121,761,000	33,617,000
Provision for (benefit from) income taxes	43,408,000	(5,408,000)
Net income	$ 78,353,000	$ 39,025,000
Net income per share:
Basic	$ 0.39	$ 0.18
Diluted	$ 0.37	$ 0.17
Shares used in computing net income per share:
Basic	201,928	211,428
Diluted	209,923	224,049
Cash dividends declared per share	$ 0	$ 0.3

Consolidated Statements of Cash Flows - USD ($)	3 Months Ended
Consolidated Statements of Cash Flows - USD ($)	Apr. 03, 2016	Mar. 29, 2015
Cash flows from operating activities:
Net income	$ 78,353,000	$ 39,025,000
Adjustments to reconcile net income to net cash provided by operating activities:
Deferred taxes	14,553,000	(965,000)
Depreciation	68,356,000	69,081,000
Amortization	70,991,000	83,374,000
Provision for doubtful accounts	(443,000)	330,000
Share-based compensation expense	43,699,000	41,410,000
Excess tax benefit from share-based plans	(5,743,000)	(8,865,000)
Impairment and other	641,000	63,709,000
Other non-operating	(23,733,000)	(4,187,000)
Changes in operating assets and liabilities:
Accounts receivable, net	121,451,000	252,899,000
Inventory	(71,799,000)	(13,945,000)
Other assets	(5,294,000)	(94,673,000)
Accounts payable trade	(16,209,000)	(26,090,000)
Accounts payable to related parties	17,070,000	11,819,000
Other liabilities	63,250,000	(104,057,000)
Total adjustments	276,790,000	269,840,000
Net cash provided by operating activities	355,143,000	308,865,000
Cash flows from investing activities:
Purchases of short and long-term marketable securities	(299,154,000)	(692,656,000)
Proceeds from sales of short and long-term marketable securities	1,361,719,000	1,045,097,000
Proceeds from maturities of short and long-term marketable securities	207,896,000	99,881,000
Acquisition of property and equipment, net	(59,458,000)	(98,287,000)
Notes receivable issuances to Flash Ventures	(45,723,000)	(100,499,000)
Notes receivable proceeds from Flash Ventures	234,524,000	89,693,000
Purchased technology and other assets	16,628,000	(1,500,000)
Net cash provided by investing activities	1,416,432,000	341,729,000
Cash flows from financing activities:
Repayment of debt financing	0	(68,000)
Proceeds from employee stock programs	39,344,000	30,844,000
Excess tax benefit from share-based plans	5,743,000	8,865,000
Dividends paid	(2,574,000)	(64,503,000)
Repurchase of common stock	0	(750,140,000)
Taxes paid related to net share settlement of equity awards	(30,525,000)	(33,759,000)
Net cash provided by (used in) financing activities	11,988,000	(808,761,000)
Effect of changes in foreign currency exchange rates on cash	9,416,000	(896,000)
Net increase (decrease) in cash and cash equivalents	1,792,979,000	(159,063,000)
Cash and cash equivalents at beginning of period	1,478,948,000	809,003,000
Cash and cash equivalents at end of period	3,271,927,000	649,940,000
Supplemental disclosure of cash flow information:
Property and equipment additions not yet paid in cash	62,002,000	136,584,000
Intellectual property purchases not yet paid in cash	$ 8,000,000	$ 0

Consolidated Balance Sheets - USD ($)	Apr. 03, 2016	Jan. 03, 2016
Current assets:
Cash and cash equivalents	$ 3,271,927,000	$ 1,478,948,000
Short-term marketable securities	1,249,367,000	2,527,245,000
Accounts receivable, net	497,183,000	618,191,000
Inventory	881,056,000	809,395,000
Other current assets	253,847,000	226,007,000
Total current assets	6,153,380,000	5,659,786,000
Long-term marketable securities	112,195,000	117,142,000
Property and equipment, net	790,402,000	817,130,000
Notes receivable and investments in Flash Ventures	899,419,000	1,009,989,000
Deferred taxes	310,724,000	325,033,000
Goodwill	831,328,000	831,328,000
Intangible assets, net	266,644,000	296,726,000
Other non-current assets	147,764,000	173,627,000
Total assets	9,511,856,000	9,230,761,000
Current liabilities:
Accounts payable trade	292,797,000	323,280,000
Accounts payable to related parties	194,580,000	177,510,000
Convertible short-term debt	2,175,578,000	913,178,000
Terminated warrant liability	417,934,000	0
Other current accrued liabilities	405,922,000	353,940,000
Deferred income on shipments to distributors and retailers and deferred revenue	205,798,000	235,572,000
Total current liabilities	3,692,609,000	2,003,480,000
Convertible long-term debt	0	1,237,776,000
Non-current liabilities	179,419,000	170,093,000
Total liabilities	$ 3,872,028,000	$ 3,411,349,000
Commitments and contingencies (see Note 13)
Convertible short-term debt conversion obligation	$ 309,753,000	$ 80,488,000
Stockholders' equity:
Common stock	203,000	201,000
Capital in excess of par value	4,611,980,000	5,203,725,000
Retained earnings	812,225,000	733,937,000
Accumulated other comprehensive loss	(94,333,000)	(198,939,000)
Total stockholders' equity	5,330,075,000	5,738,924,000
Total liabilities, convertible short-term debt conversion obligation and stockholders’ equity	$ 9,511,856,000	$ 9,230,761,000