Segment Information

3 Months Ended

Mar. 31, 2013

Segment Reporting [Abstract]

Segment Information

9. SEGMENT INFORMATION

Infrastructure and SaaS constitute the Company’s two reportable segments. The Company does not engage in intercompany revenue transfers between segments. The Company’s chief operating decision maker (“CODM”) evaluates the Company’s performance based primarily on profitability from its Infrastructure and SaaS segments products. Segment profit for each segment includes certain research and development, sales, marketing and services and general and administrative expenses directly attributable to the segment as well as other corporate costs allocated to the segment and excludes certain expenses that are managed outside of the reportable segments. Costs excluded from segment profit primarily consist of certain restructuring charges, stock-based compensation costs, amortization of product related intangible assets, amortization of other intangible assets, net interest and other income, net. Accounting policies of the Company’s segments are the same as its consolidated accounting policies.

Net revenues and segment profit, classified by the Company’s two reportable segments were as follows (in thousands):

	Three Months Ended
	March 31,
	2013			2012
Net revenues:
Infrastructure	$	535,333		$	468,762
SaaS	137,566			120,733
Consolidated	$	672,899		$	589,495
Segment profit:
Infrastructure	$	113,256		$	117,173
SaaS	22,035			21,136
Unallocated expenses (1):
Amortization of intangible assets	(35,127		)	(27,002		)
Net interest and other income	1,196			3,800
Stock-based compensation	(43,556		)	(30,557		)
Consolidated income before income taxes	$	57,804		$	84,550

(1) Represents expenses presented to management on a consolidated basis only and not allocated to the operating segments.

Revenues by Product Grouping

Revenues by product grouping for the Company’s Infrastructure and SaaS segments were as follows (in thousands):

	Three Months Ended
	March 31,
	2013		2012
Net revenues:
Infrastructure
Mobile and Desktop revenues(1)	$	357,990	$	340,403
Networking and Cloud Solutions revenues(2)	147,493		100,311
Professional services(3)	26,512		25,873
Other	3,338		2,175
Total Infrastructure revenues	535,333		468,762
SaaS revenues	137,566		120,733
Total net revenues	$	672,899	$	589,495

(1) Mobile and Desktop revenues are primarily comprised of sales from the Company’s desktop virtualization products, XenDesktop and XenApp, and the Company's Mobility products which include XenMobile MDM and CloudGateway and related license updates and maintenance and support.

Revenues by Geographic Location

The following table presents revenues by segment and geographic location, for the following periods (in thousands):

	Three Months Ended
	March 31,
	2013		2012
Net revenues:
Infrastructure
Americas	$	296,434	$	252,483
EMEA	174,402		160,071
Asia-Pacific	64,497		56,208
Total Infrastructure revenues	535,333		468,762
SaaS
Americas	116,230		103,227
EMEA	16,743		14,455
Asia-Pacific	4,593		3,051
Total SaaS revenues	137,566		120,733
Total net revenues	$	672,899	$	589,495