This excerpt taken from the WVCM 6-K filed Sep 23, 2008.
Operating expenses increased by 8% versus first half of 2007. This increase is mainly coming from the Stock related expenses. Excluding these expenses, operating expenses would have decreased by 3%. Research and development expenses increased versus last year mainly due to assignment of part of the headcount allocated to a service contract back to research and development projects resulting in the recording of their expenses in operating expenses versus cost of service last year. Sales and marketing expenses increased due to higher activities in these departments. General and Administrative expenses decreased due to cost control and reversal of provision of doubtful account recorded during previous years which were paid by customers in 2008.
The stock based related expenses increase significantly due to the cancellation of the stock option plan granted on June 7, 2007. This stock option plan included 38 beneficiaries including the CEO who were together granted a total of 372,650 stock options at an exercise price of €24.21. The cancellation was agreed to by a large majority of the grantees, representing 96% of the total number of outstanding stock options.
Consequently, under SFAS123R, this cancellation has resulted in an expense of €3.8 million in the first half of 2008.
This excerpt taken from the WVCM 6-K filed Jul 23, 2008.
Operating Expenses: Total operating expenses for the second quarter 2008 of €18.9 million declined as compared to the previous quarter of €22.7 million and €19.6 million in Q2 2007. Excluding stock-based related expenses, operating expenses amounted to €18.2 million versus €17.9 million in first quarter 2008 and €18.9 million a year ago. At June 30, 2008, headcount (salaried employees) stood at 493 increasing from 485 at March 31, 2008.
This excerpt taken from the WVCM 6-K filed Feb 8, 2007.
Operating Expenses: Total operating expenses for the fourth quarter 2006 were €21.2 million, an increase from the third quarter level of €19.3 million. This increase was due largely to an increase in bonus accrual as company performance surpassed certain financial milestones during the quarter, as well as audit costs related to carve-out financial statements for the acquired business. In a year-on-year comparison, the operating expenses increased from €55.3 million to €74.6 million, owing to the major acquisition in 2006.
As indicated in the above table, during the fourth quarter 2006, we continued to have a number of accounting charges related to stock option expenses totaling €0.7 million, and to the amortization of the acquired intangible assets for €1.1 million.
This excerpt taken from the WVCM 6-K filed Apr 27, 2006.
Operating Expenses: Total operating expenses for the first quarter 2006 were 14.4 million compared to 14.0 million in the fourth quarter 2005. Operating expenses in the first quarter 2006 for R&D and Sales & Marketing declined by 9.5% and 4.1% respectively. G&A expenses increased 27.4% compared to the fourth quarter of 2005, mainly the result of an increase in accrual for bad debt as there is risk of non payment from two Asian customers.
This excerpt taken from the WVCM 6-K filed Jul 13, 2005.
Total operating expenses for the first quarter 2005 were €15.5 million, compared to €29.3 million in the fourth quarter 2004 and down 38% compared to the first quarter 2004. This significant decline in operating expenses is a direct result of the restructurings that took place throughout 2004.
In particular research and development, sales and marketing, and general and administrative costs are declining due to significant reductions in headcounts, due to the decision in September 2004 to close both the semiconductor development activity and the development for handset customers, as well as lower office rental costs due to the exit of part of the leases during 2004 and finally, on going cost reduction actions.
Restructuring costs. Wavecom took a charge of approximately €2.1 million during the first quarter of 2005 related to the restructuring plans announced in 2004.
Headcount. Our global headcount was approximately 421 at March 31, 2005, down from approximately 820 at March 31, 2004 and from approximately 516 at December 31, 2004. This headcount figures includes salaried employees (approximately 21% were in notice period before leaving Wavecom) as well as independent contractors, which represented nearly 12% of the March 31, 2005 figure.