v3.10.0.1

Condensed Consolidated Statements of Operations (Unaudited) - USD ($) shares in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Net revenue:
Total net revenue	$ 91,633,000	$ 83,892,000	$ 260,677,000	$ 230,635,000
Cost of revenue:
Total cost of revenue	18,982,000	16,567,000	55,257,000	47,093,000
Gross profit	72,651,000	67,325,000	205,420,000	183,542,000
Operating expenses:
Research and development	18,618,000	15,515,000	56,219,000	47,493,000
Sales and marketing	39,051,000	38,245,000	119,098,000	111,757,000
General and administrative	13,872,000	13,645,000	41,789,000	39,556,000
Restructuring charges	0	0	2,551,000	667,000
Amortization of intangible assets	644,000	133,000	908,000	582,000
Total operating expenses	72,185,000	67,538,000	220,565,000	200,055,000
Income (loss) from operations	466,000	(213,000)	(15,145,000)	(16,513,000)
Gain on sale of business	0	0	0	35,871,000
Other income, net	1,034,000	567,000	2,983,000	633,000
Income (loss) before provision for income taxes	1,500,000	354,000	(12,162,000)	19,991,000
Income tax expense	442,000	724,000	19,620,000	768,000
Net income (loss)	$ 1,058,000	$ (370,000)	$ (31,782,000)	$ 19,223,000
Earnings per share:
Basic	$ 0.03	$ (0.01)	$ (0.91)	$ 0.57
Diluted	$ 0.03	$ (0.01)	$ (0.91)	$ 0.56
Shares used in computing earnings per share:
Basic	35,066	33,907	34,782	33,590
Diluted	35,745	33,907	34,782	34,118
Products and License [Member]
Net revenue:
Total net revenue	$ 23,241,000	$ 26,627,000	$ 62,971,000	$ 66,217,000
Cost of revenue:
Total cost of revenue	1,985,000	1,883,000	5,623,000	5,638,000
Services [Member]
Net revenue:
Total net revenue	68,392,000	57,265,000	197,706,000	164,418,000
Cost of revenue:
Total cost of revenue	$ 16,997,000	$ 14,684,000	$ 49,634,000	$ 41,455,000

The aggregate expense charged against earnings to allocate the cost of intangible assets (nonphysical assets not used in production) in a systematic and rational manner to the periods expected to benefit from such assets. As a noncash expense, this element is added back to net income when calculating cash provided by or used in operations using the indirect method.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 230
-SubTopic 10
-Section 45
-Paragraph 28
-Subparagraph (b)
-URI http://asc.fasb.org/extlink&oid=109223946&loc=d3e3602-108585

Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 350
-SubTopic 30
-Section 50
-Paragraph 2
-Subparagraph (a)(2)
-URI http://asc.fasb.org/extlink&oid=66006027&loc=d3e16323-109275

Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 350
-SubTopic 30
-Section 45
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=6388964&loc=d3e16225-109274

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