CHECK POINT SOFTWARE FORM 20-F DFN ON-BOA ˆ200FDMqk04gz4yF7
CHECK POINT SOFTWARE FORM 20-F DFN ON-BOA ˆ200FDMqk04iLXik7{Š 200FDMqk04iLXik7 RR Donnelley ProFile wcrdoc1 10.10.12 WCRjacis0in 26-Mar-2012 20:54 EST 229899 FIN 7 7* PAL 09-Apr-2012 13:21 EST CURR PS PMT 1C CHECK POINT SOFTWARE TECHNOLOGIES LTD. AND ITS SUBSIDIARIES CONSOLIDATED STATEMENTS OF INCOME U.S. dollars in thousands (except per share amounts) Year ended December 31, 2009 2010 2011 Revenues: Products and licenses ...................................... $361,633 $ 444,400 $ 503,475 Software updates, maintenance and subscriptions ................ 562,784 653,468 743,511 Total revenues ............................................... 924,417 1,097,868 1,246,986 Operating expenses: *) Cost of products and licenses **) ............................. 61,495 75,426 81,043 Cost of software updates, maintenance and subscriptions **) ....... 43,551 55,721 63,469 Amortization of technology ................................. 28,224 32,826 31,171 Total cost of revenues ..................................... 133,270 163,973 175,683 Research and development .................................. 89,743 105,748 110,147 Selling and marketing ...................................... 220,877 235,301 253,800 General and administrative ................................. 56,409 57,244 65,182 Restructuring and other acquisition related costs ................. 9,101 588 — Total operating expenses ....................................... 509,400 562,854 604,812 Operating income ............................................. 415,017 535,014 642,174 Financial income, net .......................................... 32,058 30,164 39,023 Net gain (impairment net of gains) on sale of marketable securities previously impaired ......................................... (1,277) (785) 2,017 Income before taxes on income .................................. 445,798 564,393 683,214 Taxes on income .............................................. 88,275 111,567 139,248 Net income .................................................. $357,523 $ 452,826 $ 543,966 Basic earnings per Ordinary share ................................ $ 1.71 $ 2.18 $ 2.63 Diluted earnings per Ordinary share .............................. $ 1.68 $ 2.13 $ 2.54 *) Includes stock-based compensation to employees in the following items: Cost of products and licenses ................................ $ 47 $ 49 $ 58 Cost of software updates, maintenance and subscriptions .......... $ 641 $ 984 $ 909 Research and development .................................. $ 6,649 $ 7,325 $ 7,471 Selling and marketing ...................................... $ 5,032 $ 7,279 $ 7,888 General and administrative ................................. $ 18,538 $ 19,543 $ 23,509 **) Not including amortization of technology shown separately below. The accompanying notes are an integral part of the consolidated financial statements. F-7