0001048695-19-000012.txt : 20190424 0001048695-19-000012.hdr.sgml : 20190424 20190424160853 ACCESSION NUMBER: 0001048695-19-000012 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20190424 ITEM INFORMATION: Results of Operations and Financial Condition ITEM INFORMATION: Financial Statements and Exhibits FILED AS OF DATE: 20190424 DATE AS OF CHANGE: 20190424 FILER: COMPANY DATA: COMPANY CONFORMED NAME: F5 NETWORKS INC CENTRAL INDEX KEY: 0001048695 STANDARD INDUSTRIAL CLASSIFICATION: COMPUTER COMMUNICATIONS EQUIPMENT [3576] IRS NUMBER: 911714307 STATE OF INCORPORATION: WA FISCAL YEAR END: 0930 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 000-26041 FILM NUMBER: 19763936 BUSINESS ADDRESS: STREET 1: 401 ELLIOT AVE WEST STREET 2: STE 500 CITY: SEATTLE STATE: WA ZIP: 98119 BUSINESS PHONE: 2062725555 MAIL ADDRESS: STREET 1: 401 ELLIOT AVE WEST STREET 2: STE 500 CITY: SEATTLE STATE: WA ZIP: 98119 FORMER COMPANY: FORMER CONFORMED NAME: F5 LABS INC DATE OF NAME CHANGE: 19990305 8-K 1 ffiv8-k3312019.htm FORM 8-K Document


 

UNITED STATES SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934

Date of Report (Date of Earliest Event Reported):
April 24, 2019
F5 Networks, Inc.
(Exact name of registrant as specified in its charter)
 
 
 
 
 
Washington
 
000-26041
 
91-1714307
 
 
 
 
 
(State or other jurisdiction
 
(Commission
 
(IRS Employer
of incorporation)
 
File Number)
 
Identification No.)
 
 
 
401 Elliott Avenue West
 
 
Seattle, WA
 
98119
(Address of principal executive offices)
 
(Zip Code)
Registrant’s telephone number, including area code (206) 272-5555
Not Applicable
Former name or former address, if changed since last report
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
o Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
o Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter). Emerging growth company ¨
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ¨

 





Item 2.02
Results of Operations and Financial Condition
On April 24, 2019, F5 Networks, Inc. issued a press release regarding its financial results for the second quarter ended March 31, 2019. The press release is attached hereto as Exhibit 99.1. The information in this report shall not be treated as filed for purposes of the Securities Exchange Act of 1934, as amended.
Item 9.01
Financial Statements and Exhibits
(d) Exhibits:





SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
 
 
 
 
 
 
F5 NETWORKS, INC.
 (Registrant)
  
 
Date: April 24, 2019
By:
/s/ François Locoh-Donou
 
 
 
François Locoh-Donou
 
 
 
President and Chief Executive Officer
 





EXHIBIT INDEX
 
 
 
Exhibit No.
 
Description
99.1
 
Press Release of F5 Networks, Inc. announcing quarterly earnings dated April 24, 2019.


EX-99.1 2 q219earningsreleasefinanci.htm EXHIBIT 99.1 Exhibit
Q2 FY19 Earnings Release
 
Page 1 of 4

For more information contact:
 
 
 
 
 
 
 
 
Investor Relations
 
 
 
 
Suzanne DuLong
 
 
 
 
(206) 272-7049
 
 
 
 
s.dulong@f5.com
 
 
 
 
 
 
 
 
 
Public Relations
 
 
 
 
Nathan Misner
 
 
 
 
(206) 272-7494
 
 
 
 
n.misner@f5.com
 
 
 
 

F5 Networks Announces Second Quarter Fiscal Year 2019 Results Including Software Revenue Growth of 30%
Delivers GAAP EPS of $1.93 and non-GAAP EPS of $2.57 per diluted share
SEATTLE, WA - April 24, 2019 - F5 Networks, Inc. (NASDAQ: FFIV) today announced financial results for its fiscal 2019 second quarter ended March 31, 2019.
“The combination of demand for application security and our new software consumption models, including Enterprise Licensing Agreements, helped drive 30% software revenue growth in our second fiscal quarter,” said François Locoh-Donou, F5 President and Chief Executive Officer. “Security use cases are at the forefront of our customer conversations and customers globally rely on F5 to provide consistent application security and reliable performance as they deploy across private, public, hybrid, and multi-cloud environments.”
“Over the last 18 months, as part of our transition to a multi-cloud applications services company, we have made significant shifts in where and how we invest our resources and our customers already are benefitting. In addition to meaningfully expanding our software offerings, during the second quarter we launched F5 Cloud Services and our first SaaS offering on that platform. Our portfolio of solutions to reach every app, anywhere continues to expand at pace," said Locoh-Donou.
Second Quarter Performance Summary
Revenue of $544.9 million for the second quarter of fiscal year 2019 reflects 2% growth from $533.3 million in the second quarter of fiscal year 2018, driven by software solutions revenue growth of 30%.
GAAP net income for the second quarter of fiscal year 2019 was $116.1 million, or $1.93 per diluted share, and includes $39.5 million in stock-based compensation, $3.5 million in costs related to the announced acquisition of NGINX, $2.6 million in facility exit costs and $1.8 million in amortization of purchased intangible assets. This compares with second quarter fiscal year 2018 GAAP net income of $109.6 million, or $1.77 per diluted share.
Non-GAAP net income for the second quarter of fiscal year 2019 was $154.4 million, or $2.57 per diluted share, compared to $143.3 million, or $2.31 per diluted share, in the second quarter of fiscal year 2018. Non-GAAP net income for the second quarter of fiscal year 2019 and the second quarter of fiscal year 2018 excludes the impact of stock-based compensation, amortization of purchased intangible assets, and non-recurring tax expenses and benefits. Non-GAAP net income for the second quarter of fiscal year 2019 also excludes facility exit costs related to the Company’s headquarter move and costs related to the announced acquisition of NGINX.
A reconciliation of net income, earnings per share, and other measures on a GAAP to non-GAAP basis is included in the attached Consolidated Income Statements. Additional information about non-GAAP financial information is included below.
F5 generated $194 million in cash flow from operations in the second fiscal quarter, which contributed to cash and investments totaling $1.6 billion at quarter end.



Q2 FY19 Earnings Release
 
Page 2 of 4

During the second quarter of fiscal year 2019, F5 repurchased approximately 617 thousand shares of its common stock at an average price of $162.06 per share for an aggregate purchase price of $100.0 million.
Business Outlook
Excluding any impact from the acquisition of NGINX, for the third quarter of fiscal year 2019 ending June 30, 2019, the Company expects to deliver revenue in the range of $550 million to $560 million with non-GAAP earnings in the range of $2.54 to $2.57 per diluted share.
All forward-looking non-GAAP measures included in the outlook exclude estimates for amortization of intangible assets, share-based compensation expenses, significant effects of tax legislation and judicial or administrative interpretation of tax regulations, including the impact of income tax reform, non-recurring income tax adjustments, valuation allowance on deferred tax assets, and the income tax effect of non-GAAP exclusions, and do not include the impact of any future acquisitions or divestitures, restructuring charges, facility exit costs, or other non-recurring charges that may occur in the period. F5 is unable to provide a reconciliation of non-GAAP guidance measures to corresponding U.S. generally accepted accounting principles or GAAP measures on a forward-looking basis without unreasonable effort due to the overall high variability and low visibility of most of the foregoing items that have been excluded. Material changes to any one of these items could have a significant effect on our guidance and future GAAP results. Certain exclusions, such as amortization of intangible assets and share-based compensation expenses, are generally incurred each quarter, but the amounts have historically varied and may continue to vary significantly from quarter to quarter.
Live Webcast and Conference Call
F5 will host a live webcast and conference call to review its financial results and outlook today, April 24, 2019, at 1:30 pm PT. The live webcast can be accessed at https://www.f5.com/company/investor-relations. To participate in the live call via telephone in the U.S., dial 866-209-3822. Outside the U.S., dial +1-647-689-5683. Please call 10 minutes prior to the call start time. The webcast replay will be archived on the IR portion of F5’s website at https://www.f5.com/company/investor-relations.
Forward Looking Statements
This press release contains forward-looking statements including, among other things, statements regarding the continuing strength and momentum of F5's business, future financial performance, sequential growth, projected revenues including target revenue and earnings ranges, income, earnings per share, share amount and share price assumptions, share repurchases, demand for application delivery networking, application delivery services, security, and software products, expectations regarding future services and products, expectations regarding future customers, markets and the benefits of products, and other statements that are not historical facts and which are forward-looking statements. These forward-looking statements are subject to the safe harbor provisions created by the Private Securities Litigation Reform Act of 1995. Actual results could differ materially from those projected in the forward-looking statements as a result of certain risk factors. Such forward-looking statements involve risks and uncertainties, as well as assumptions and other factors that, if they do not fully materialize or prove correct, could cause the actual results, performance or achievements of the company, or industry results, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Such factors include, but are not limited to: customer acceptance of our new traffic management, security, application delivery, optimization, and software and F5aaS offerings; the timely development, introduction and acceptance of additional new products and features by F5 or its competitors; competitive factors, including but not limited to pricing pressures, industry consolidation, entry of new competitors into F5’s markets, and new product and marketing initiatives by our competitors; increased sales discounts; uncertain global economic conditions which may result in reduced customer demand for our products and services and changes in customer payment patterns; global economic conditions and uncertainties in the geopolitical environment; overall information technology spending; litigation involving patents, intellectual property, shareholder and other matters, and governmental investigations; natural catastrophic events; a pandemic or epidemic; F5's ability to sustain, develop and effectively utilize distribution relationships; F5's ability to attract, train and retain qualified product development, marketing, sales, professional services and customer support personnel; F5's ability to expand in international markets; the unpredictability of F5's sales cycle; F5’s share repurchase program; future prices of F5's common stock; and other



Q2 FY19 Earnings Release
 
Page 3 of 4

risks and uncertainties described more fully in our documents filed with or furnished to the Securities and Exchange Commission, including our most recent reports on Form 10-K and Form 10-Q and current reports on Form 8-K and other documents that we may file or furnish from time to time, which could cause actual results to vary from expectations. The financial information contained in this release should be read in conjunction with the consolidated financial statements and notes thereto included in F5’s most recent reports on Forms 10-Q and 10-K as each may be amended from time to time. All forward-looking statements in this press release are based on information available as of the date hereof and qualified in their entirety by this cautionary statement. F5 assumes no obligation to revise or update these forward-looking statements.
GAAP to non-GAAP Reconciliation
F5’s management evaluates and makes operating decisions using various operating measures. These measures are generally based on the revenues of its products, services operations and certain costs of those operations, such as cost of revenues, research and development, sales and marketing and general and administrative expenses. One such measure is GAAP net income excluding, as applicable, stock-based compensation, amortization of purchased intangible assets, acquisition-related charges, net of taxes, restructuring charges, significant litigation and other contingencies and certain non-recurring tax expenses and benefits, which is a non-GAAP financial measure under Section 101 of Regulation G under the Securities Exchange Act of 1934, as amended. This measure of non-GAAP net income is adjusted by the amount of additional taxes or tax benefit that the company would accrue if it used non-GAAP results instead of GAAP results to calculate the company’s tax liability.
The non-GAAP adjustments, and F5's basis for excluding them from non-GAAP financial measures, are outlined below:
Stock-based compensation. Stock-based compensation consists of expense for stock options, restricted stock and employee stock purchases through the company’s ESPP. Although stock-based compensation is an important aspect of the compensation of F5’s employees and executives, management believes it is useful to exclude stock-based compensation expenses to better understand the long-term performance of the company’s core business and to facilitate comparison of the company’s results to those of peer companies.
Amortization of purchased intangible assets. Purchased intangible assets are amortized over their estimated useful lives and generally cannot be changed or influenced by management after the acquisition. Management does not believe these charges accurately reflect the performance of the company’s ongoing operations, therefor, they are not considered by management in making operating decisions. However, investors should note that the use of intangible assets contributed to F5’s revenues earned during the periods presented and will contribute to F5’s future period revenues as well.
Acquisition-related charges, net. F5 does not acquire businesses on a predictable cycle and the terms and scope of each transaction can vary significantly and are unique to each transaction. F5 excludes acquisition-related charges from its non-GAAP financial measures to provide a useful comparison of the company’s operating results to prior periods and to its peer companies. Acquisition-related charges consist of planning, execution and integration costs incurred directly as a result of an acquisition.
Restructuring charges. F5 has incurred restructuring charges that are included in its GAAP financial statements, primarily related to workforce reductions and costs associated with exiting facility lease commitments. F5 excludes these items from its non-GAAP financial measures when evaluating its continuing business performance as such items vary significantly based on the magnitude of the restructuring action and do not reflect expected future operating expenses. In addition, these charges do not necessarily provide meaningful insight into the fundamentals of current or past operations of its business.
Significant litigation and other contingencies. F5, from time to time, may incur charges or benefits that are outside of the ordinary course of F5’s business related to litigation and other contingencies. F5 believes it is useful to exclude such charges or benefits, when significant, because it does not consider such amounts to be part of the ongoing operation of F5’s business and because of the singular nature of the claims underlying such matters.
Management believes that non-GAAP net income per share provides useful supplemental information to management and investors regarding the performance of the company’s core business operations and facilitates comparisons to the company’s historical operating results. Although F5’s management finds this non-GAAP



Q2 FY19 Earnings Release
 
Page 4 of 4

measure to be useful in evaluating the performance of the core business, management’s reliance on this measure is limited because items excluded from such measures could have a material effect on F5’s earnings and earnings per share calculated in accordance with GAAP. Therefore, F5’s management will use its non-GAAP earnings and earnings per share measures, in conjunction with GAAP earnings and earnings per share measures, to address these limitations when evaluating the performance of the company’s core business. Investors should consider these non-GAAP measures in addition to, and not as a substitute for, financial performance measures in accordance with GAAP.
F5 believes that presenting its non-GAAP measures of earnings and earnings per share provides investors with an additional tool for evaluating the performance of the company’s core business and is used by management in its own evaluation of the company’s performance. Investors are encouraged to look at GAAP results as the best measure of financial performance. However, while the GAAP results are more complete, the company provides investors these supplemental measures since, with reconciliation to GAAP, it may provide additional insight into the company’s operational performance and financial results.
For reconciliation of these non-GAAP financial measures to the most directly comparable GAAP financial measures, please see the section in our attached Consolidated Income Statements entitled “Non-GAAP Financial Measures.”
About F5
F5 (NASDAQ: FFIV) gives the world’s largest businesses, service providers, governments, and consumer brands the freedom to securely deliver every app, anywhere-with confidence. F5 delivers cloud and security application services that enable organizations to embrace the infrastructure they choose without sacrificing speed and control. For more information, go to f5.com. You can also follow @f5networks on Twitter or visit us on LinkedIn and Facebook for more information about F5, its partners, and technologies.






F5 Networks, Inc.
Consolidated Balance Sheets
(unaudited, in thousands)
 
 
March 31,
 
September 30,
 
 
2019
 
2018
ASSETS
Current assets
 
 
 
 
Cash and cash equivalents
 
$
726,662

 
$
424,707

Short-term investments
 
587,115

 
614,705

Accounts receivable, net of allowances of $2,326 and $2,040
 
321,484

 
295,352

Inventories
 
33,463

 
30,568

Other current assets
 
138,736

 
52,326

Total current assets
 
1,807,460

 
1,417,658

Property and equipment, net
 
208,221

 
145,042

Long-term investments
 
301,357

 
411,184

Deferred tax assets
 
21,551

 
33,441

Goodwill
 
555,965

 
555,965

Other assets, net
 
95,682

 
42,186

Total assets
 
$
2,990,236

 
$
2,605,476

LIABILITIES AND SHAREHOLDERS’ EQUITY
Current liabilities
 
 
 
 
Accounts payable
 
$
68,156

 
$
57,757

Accrued liabilities
 
197,295

 
180,979

Deferred revenue
 
809,336

 
715,697

Total current liabilities
 
1,074,787

 
954,433

Other long-term liabilities
 
95,530

 
65,892

Deferred revenue, long-term
 
352,109

 
299,624

Deferred tax liabilities
 
402

 
35

Total long-term liabilities
 
448,041

 
365,551

Commitments and contingencies
 
 
 
 
Shareholders’ equity
 
 
 
 
Preferred stock, no par value; 10,000 shares authorized, no shares outstanding
 

 

Common stock, no par value; 200,000 shares authorized, 59,695 and 60,215 shares issued and outstanding
 
29,401

 
20,427

Accumulated other comprehensive loss
 
(19,341
)
 
(22,178
)
Retained earnings
 
1,457,348

 
1,287,243

Total shareholders’ equity
 
1,467,408

 
1,285,492

Total liabilities and shareholders’ equity
 
$
2,990,236

 
$
2,605,476






F5 Networks, Inc.
Consolidated Income Statements
(unaudited, in thousands, except per share amounts)
 
 
 
 
Three Months Ended
 
Six Months Ended
 
 
 
March 31,
 
March 31,
 
 
 
2019
 
2018
 
2019
 
2018
 
Net revenues
 
 
 
 
 
 
 
 
 
Products
 
$
237,859

 
$
237,558

 
$
471,736

 
$
464,861

 
Services
 
307,036

 
295,746

 
616,929

 
591,634

 
Total
 
544,895

 
533,304

 
1,088,665

 
1,056,495

 
Cost of net revenues (1)(2)
 
 
 
 
 
 
 
 
 
Products
 
43,547

 
44,127

 
85,957

 
87,392

 
Services
 
44,631

 
45,518

 
88,935

 
89,640

 
Total
 
88,178

 
89,645

 
174,892

 
177,032

 
Gross profit
 
456,717

 
443,659

 
913,773

 
879,463

 
Operating expenses (1)(2)
 
 
 
 
 
 
 
 
 
Sales and marketing
 
170,954

 
169,970

 
335,213

 
337,904

 
Research and development
 
96,314

 
91,056

 
188,352

 
176,945

 
General and administrative
 
46,656

 
39,276

 
89,199

 
79,260

 
Total
 
313,924

 
300,302

 
612,764

 
594,109

 
Income from operations
 
142,793

 
143,357

 
301,009

 
285,354

 
Other income, net
 
7,434

 
2,790

 
14,529

 
4,935

 
Income before income taxes
 
150,227

 
146,147

 
315,538

 
290,289

 
Provision for income taxes
 
34,140

 
36,511

 
68,546

 
92,224

 
Net income
 
$
116,087

 
$
109,636

 
$
246,992

 
$
198,065

 
 
 
 
 
 
 
 
 
 
 
Net income per share — basic
 
$
1.94

 
$
1.79

 
$
4.12

 
$
3.20

 
Weighted average shares — basic
 
59,686

 
61,420

 
59,954

 
61,812

 
 
 
 
 
 
 
 
 
 
 
Net income per share — diluted
 
$
1.93

 
$
1.77

 
$
4.09

 
$
3.18

 
Weighted average shares — diluted
 
60,029

 
62,059

 
60,374

 
62,351

 
 
 
 
 
 
 
 
 
 
 
Non-GAAP Financial Measures
 
 
 
 
 
 
 
 
 
Net income as reported
 
$
116,087

 
$
109,636

 
$
246,992

 
$
198,065

 
Stock-based compensation expense (3)
 
39,494

 
41,320

 
78,183

 
82,268

 
Amortization of purchased intangible assets
 
1,774

 
2,805

 
3,548

 
5,610

 
Facility exit costs
 
2,592

 

 
5,048

 

 
Acquisition-related charges
 
3,530

 

 
3,530

 

 
Tax effects related to above items
 
(9,036
)
 
(10,466
)
 
(19,322
)
 
(19,649
)
 
Tax on deemed repatriation of undistributed foreign earnings
 

 

 

 
7,000

 
Remeasurement of net deferred tax assets due to change in U.S. tax rate
 

 

 

 
11,584

 
Net income excluding stock-based compensation expense, amortization of purchased intangible assets, facility exit costs, acquisition-related charges and non-recurring tax expenses and benefits (non-GAAP) - diluted
 
$
154,441

 
$
143,295

 
$
317,979

 
$
284,878

 
 
 
 
 
 
 
 
 
 
 
Net income per share excluding stock-based compensation expense, amortization of purchased intangible assets, facility exit costs, acquisition-related charges and non-recurring tax expenses and benefits (non-GAAP) - diluted
 
$
2.57

 
$
2.31

 
$
5.27

 
$
4.57

 
 
 
 
 
 
 
 
 
 
 
Weighted average shares - diluted
 
60,029

 
62,059

 
60,374

 
62,351

 
 
 
 
 
 
 
 
 
 
 
(1) Includes stock-based compensation expense as follows:
 
 
 
 
 
 
 
 
 
Cost of net revenues
 
$
4,946

 
$
5,543

 
$
10,034

 
$
10,993

 
Sales and marketing
 
16,359

 
15,555

 
31,878

 
31,033

 
Research and development
 
10,269

 
12,497

 
20,561

 
24,903

 
General and administrative
 
7,920

 
7,725

 
15,710

 
15,339

 
 
 
$
39,494

 
$
41,320

 
$
78,183

 
$
82,268

 
 
 
 
 
 
 
 
 
 
 
(2) Includes amortization of purchased intangible assets as follows:
 
 
 
 
 
 
 
 
 
Cost of net revenues
 
$
1,043

 
$
2,028

 
$
2,086

 
$
4,056

 
Sales and marketing
 
206

 
252

 
412

 
504

 
General and administrative
 
525

 
525

 
1,050

 
1,050

 
 
 
$
1,774

 
$
2,805

 
$
3,548

 
$
5,610

 
 
 
 
 
 
 
 
 
 
 
(3)    Stock-based compensation is accounted for in accordance with the fair value recognition provisions of Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Topic 718, Compensation – Stock Compensation (“FASB ASC Topic 718”)
 
 





F5 Networks, Inc.
Consolidated Statements of Cash Flows
(unaudited, in thousands)
 
 
Six Months Ended
 
 
March 31,
 
 
2019
 
2018
Operating activities
 
 
 
 
Net income
 
$
246,992

 
$
198,065

Adjustments to reconcile net income to net cash provided by operating activities:
 
 
 
 
Realized loss on disposition of assets and investments
 
47

 
52

Stock-based compensation
 
78,183

 
82,268

Provisions for doubtful accounts and sales returns
 
(90
)
 
691

Depreciation and amortization
 
28,246

 
30,049

Deferred income taxes
 
3,606

 
17,642

Changes in operating assets and liabilities:
 
 
 
 
Accounts receivable
 
(24,419
)
 
314

Inventories
 
(2,895
)
 
322

Other current assets
 
(35,735
)
 
5,493

Other assets
 
2,683

 
(1,111
)
Accounts payable and accrued liabilities
 
16,746

 
(5,308
)
Deferred revenue
 
78,046

 
46,235

Net cash provided by operating activities
 
391,410

 
374,712

Investing activities
 
 
 
 
Purchases of investments
 
(211,087
)
 
(353,414
)
Maturities of investments
 
351,600

 
186,961

Sales of investments
 
2,499

 
9,248

Cash provided by sale of fixed asset
 

 
1,000

Purchases of property and equipment
 
(50,056
)
 
(16,246
)
Net cash provided by (used in) investing activities
 
92,956

 
(172,451
)
Financing activities
 
 
 
 
Proceeds from the exercise of stock options and purchases of stock under employee stock purchase plan
 
18,900

 
19,917

Repurchase of common stock
 
(201,045
)
 
(300,046
)
Net cash used in financing activities
 
(182,145
)
 
(280,129
)
Net increase (decrease) in cash, cash equivalents and restricted cash
 
302,221

 
(77,868
)
Effect of exchange rate changes on cash, cash equivalents and restricted cash
 
(265
)
 
576

Cash, cash equivalents and restricted cash, beginning of period
 
425,894

 
674,452

Cash, cash equivalents and restricted cash, end of period
 
$
727,850

 
$
597,160