beatandraise : Equity Research with AI and ChatGPT on SEC Edgar

CONDENSED CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED) (USD $) In Millions, except Per Share data, unless otherwise specified	3 Months Ended
	Mar. 31, 2014	Mar. 31, 2013
Revenue	$ 2,502	$ 1,458
Costs and expenses:
Cost of revenue	462	413
Research and development	455	293
Marketing and sales	323	203
General and administrative	187	176
Total costs and expenses	1,427	1,085
Income from operations	1,075	373
Interest and other income/(expense), net	0	(20)
Income before provision for income taxes	1,075	353
Provision for income taxes	433	134
Net income	642	219
Less: Net income attributable to participating securities	3	2
Net income attributable to Class A and Class B common stockholders	639	217
Earnings per share attributable to Class A and Class B common stockholders:
Basic (in dollars per share)	$ 0.25	$ 0.09
Diluted (in dollars per share)	$ 0.25	$ 0.09
Weighted average shares used to compute earnings per share attributable to Class A and Class B common stockholders:
Basic (in shares)	2,545	2,386
Diluted (in shares)	2,609	2,499
Share-based compensation expense included in costs and expenses:
Share-based compensation expense	274	170
Cost of revenue
Share-based compensation expense included in costs and expenses:
Share-based compensation expense	12	8
Research and development
Share-based compensation expense included in costs and expenses:
Share-based compensation expense	181	117
Marketing and sales
Share-based compensation expense included in costs and expenses:
Share-based compensation expense	43	24
General and administrative
Share-based compensation expense included in costs and expenses:
Share-based compensation expense	$ 38	$ 21

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) (USD $) In Millions, unless otherwise specified	3 Months Ended
	Mar. 31, 2014	Mar. 31, 2013
Cash flows from operating activities
Net income	$ 642	$ 219
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	264	233
Lease abandonment	(13)	8
Share-based compensation	274	170
Deferred income taxes	(1)	(7)
Tax benefit from share-based award activity	345	59
Excess tax benefit from share-based award activity	(348)	(62)
Other	9	9
Changes in assets and liabilities:
Accounts receivable	105	54
Prepaid expenses and other current assets	(4)	(1)
Other assets	16	(36)
Accounts payable	(10)	1
Developer partners payable	7	21
Accrued expenses and other current liabilities	(27)	(33)
Other liabilities	26	84
Net cash provided by operating activities	1,285	719
Cash flows from investing activities
Purchases of property and equipment	(363)	(327)
Purchases of marketable securities	(2,974)	(1,508)
Sales of marketable securities	847	699
Maturities of marketable securities	619	903
Acquisitions of businesses, net of cash acquired, and purchases of intangible assets	0	(99)
Other investing activities, net	(1)	6
Net cash used in investing activities	(1,872)	(326)
Cash flows from financing activities
Taxes paid related to net share settlement of equity awards	(3)	(405)
Proceeds from exercise of stock options	1	8
Principal payments on capital lease obligations	(84)	(109)
Excess tax benefit from share-based award activity	348	62
Net cash provided by (used in) financing activities	262	(444)
Effect of exchange rate changes on cash and cash equivalents	0	(8)
Net decrease in cash and cash equivalents	(325)	(59)
Cash and cash equivalents at beginning of period	3,323	2,384
Cash and cash equivalents at end of period	2,998	2,325
Cash paid during the period for:
Interest	4	12
Income taxes	37	9
Non-cash investing and financing activities:
Fair value of shares issued related to acquisitions of businesses and other assets	0	33
Net Change in Accounts Payable Accrued Expenses And Other Current Liabilities
Non-cash investing and financing activities:
Property and equipment expenditures incurred but not yet paid	(3)	47
Capital Lease Obligations
Non-cash investing and financing activities:
Property and equipment expenditures incurred but not yet paid	$ 0	$ 11

CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED) (USD $) In Millions, unless otherwise specified	Mar. 31, 2014	Dec. 31, 2013
Current assets:
Cash and cash equivalents	$ 2,998	$ 3,323
Marketable securities	9,631	8,126
Accounts receivable, net of allowances for doubtful accounts of $31 and $38 as of March 31, 2014 and December 31, 2013, respectively	1,006	1,109
Prepaid expenses and other current assets	425	512
Total current assets	14,060	13,070
Property and equipment, net	3,074	2,882
Goodwill and intangible assets, net	1,682	1,722
Other assets	212	221
Total assets	19,028	17,895
Current liabilities:
Accounts payable	85	87
Developer partners payable	188	181
Accrued expenses and other current liabilities	525	555
Deferred revenue and deposits	38	38
Current portion of capital lease obligations	201	239
Total current liabilities	1,037	1,100
Capital lease obligations, less current portion	191	237
Other liabilities	1,063	1,088
Total liabilities	2,291	2,425
Stockholders' equity:
Common stock, $0.000006 par value; 5,000 million Class A shares authorized, 1,991 million and 1,970 million shares issued and outstanding, including 5 million and 6 million outstanding shares subject to repurchase, as of March 31, 2014 and December 31, 2013, respectively; 4,141 million Class B shares authorized, 573 million and 577 million shares issued and outstanding, including 6 million outstanding shares subject to repurchase, as of March 31, 2014 and December 31, 2013, respectively	0	0
Additional paid-in capital	12,921	12,297
Accumulated other comprehensive income	15	14
Retained earnings	3,801	3,159
Total stockholders' equity	16,737	15,470
Total liabilities and stockholders' equity	$ 19,028	$ 17,895