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SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 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): June 23, 1999
BROADCOM CORPORATION
(Exact Name of Registrant as Specified in Charter)
California 000-23993 33-0480482
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(State or Other Jurisdiction (Commission File Number) (IRS Employer
of Incorporation) Identification No.)
16215 Alton Parkway, Irvine, California 92618
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(Address of Principal Executive Offices) (Zip Code)
Registrant's telephone number, including area code: (949) 450-8700
Not Applicable
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(Former Name or Former Address, if Changed since Last Report)
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ITEM 5. OTHER EVENTS
On May 31, 1999, Broadcom Corporation completed the acquisitions by
merger of Maverick Networks, Epigram, Inc. and Armedia, Inc. Although
individually and in aggregate the three mergers were not significant to Broadcom
as defined in Rule 1-02(w) of Regulation S-X, Broadcom is voluntarily providing
combined pro forma financial information giving effect to the mergers.
The following selected unaudited combined pro forma financial statement
data (the "Pro Forma Financial Data") is based on historical consolidated
financial statements of Broadcom as adjusted to give effect to the business
combinations between Broadcom and Maverick Networks, Epigram, Inc. and Armedia,
Inc., accounted for on a pooling-of-interests basis. Additionally, the Pro Forma
Financial Data reflects adjustments made to (i) conform the accounting policies
of the combining companies and (ii) eliminate intercompany transactions. No
adjustments have been made to give effect to merger-related expenses, which will
be recorded in the quarter ending June 30, 1999. The Pro Forma Financial Data
gives effect to the business combinations as if they had occurred prior to the
beginning of each period presented. The Pro Forma Financial Data is presented
for informational purposes only, does not purport to constitute complete
financial statements, and is not necessarily indicative of future operating
results.
Selected Unaudited Combined Pro Forma Financial Statement Data
(In thousands, except per share amounts)
<TABLE>
<CAPTION>
Three Months Ended
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Mar. 31, June 30, Sept. 30, Dec. 31, Mar. 31,
1998 1998 1998 1998 1999
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<S> <C> <C> <C> <C> <C>
Revenue:
Product revenue $ 35,225 $ 43,268 $ 51,075 $ 68,913 $ 96,062
Development revenue 319 1,900 1,410 1,185 258
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Net revenue 35,544 45,168 52,485 70,098 96,320
Cost of revenue 13,832 20,384 23,658 30,386 40,116
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Gross profit 21,712 24,784 28,827 39,712 56,204
Operating expense:
Research and development 7,699 10,736 13,783 17,277 21,928
Selling, general and administrative 4,828 6,308 7,483 10,842 11,675
---------- ---------- ---------- ---------- ---------
Total operating expense 12,527 17,044 21,266 28,119 33,603
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Income from operations 9,185 7,740 7,561 11,593 22,601
Interest and other income, net 293 1,139 1,104 1,239 1,659
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Income before income taxes 9,478 8,879 8,665 12,832 24,260
Provision for income taxes 4,024 3,976 4,012 6,218 8,491
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Net income $ 5,454 $ 4,903 $ 4,653 $ 6,614 $ 15,769
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Basic earnings per share $ .09 $ .06 $ .05 $ .07 $ .17
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Diluted earnings per share $ .06 $ .05 $ .05 $ .06 $ .15
========== ========== ========== ========== =========
Weighted average shares (basic) 60,748 86,274 87,596 90,784 92,743
========== ========== ========== ========== =========
Weighted average shares (diluted) 87,513 101,213 102,466 105,457 108,249
========== ========== ========== ========== =========
</TABLE>
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SIGNATURE
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.
BROADCOM CORPORATION,
a California corporation
June 23, 1999 By: /s/ WILLIAM J. RUEHLE
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William J. Ruehle
Vice President and
Chief Financial Officer
