Microchip Technology Announces Financial Results for Fourth Quarter and Fiscal Year 2020
RECONCILIATION OF GAAP OPERATING INCOME TO NON-GAAP OPERATING INCOME
| | Three Months Ended | | Twelve Months Ended |
| | March 31, | | March 31, |
| | 2020 | | 2019 | | 2020 | | 2019 |
| Operating income, as reported | $ | 160.7 | | | $ | 284.6 | | | $ | 647.1 | | | $ | 714.3 | |
| Share-based compensation expense | 40.7 | | | 39.1 | | | 170.2 | | | 149.2 | |
COVID-19 shelter-in-place restrictions on manufacturing activities
| 3.3 | | | — | | | 3.3 | | | — | |
| Acquisition-related costs | 10.9 | | | 5.0 | | | 35.8 | | | 44.1 | |
| Professional services associated with certain legal matters | 3.3 | | | — | | | 3.3 | | | — | |
| IT security remediation | 1.1 | | | — | | | 6.8 | | | — | |
| Excess capacity charges to normalize acquired inventory levels | — | | | — | | | — | | | 2.3 | |
| Acquired inventory valuation costs | — | | | 1.8 | | | — | | | 365.7 | |
| Amortization of acquired intangible assets | 248.5 | | | 176.9 | | | 993.9 | | | 674.1 | |
| Special charges (income) and other, net | 17.2 | | | (23.3 | ) | | 46.7 | | | 33.7 | |
| Non-GAAP operating income | $ | 485.7 | | | $ | 484.1 | | | $ | 1,907.1 | | | $ | 1,983.4 | |
| Non-GAAP operating income as a percentage of net sales | 36.6 | % | | 36.4 | % | | 36.2 | % | | 37.1 | % |
