2018 Q4 Form 10-K Financial Statement

#000104360419000012 Filed on February 22, 2019

View on sec.gov

Income Statement

Concept 2018 Q4 2018 Q1 2017 Q4
Revenue $1.181B $1.083B $1.240B
YoY Change -4.72% -11.33% -10.54%
Cost Of Revenue $464.2M
YoY Change -2.15%
Gross Profit $710.9M $618.4M $751.2M
YoY Change -5.36% -17.17% -12.42%
Gross Profit Margin 60.19% 57.12% 60.61%
Selling, General & Admin $295.4M
YoY Change 0.24%
% of Gross Profit 47.77%
Research & Development $269.4M
YoY Change -2.46%
% of Gross Profit 43.56%
Depreciation & Amortization $55.70M
YoY Change -0.18%
% of Gross Profit 9.01%
Operating Expenses $562.9M
YoY Change -4.64%
Operating Profit $55.50M
YoY Change -64.49%
Interest Expense $26.00M
YoY Change 2.77%
% of Operating Profit 46.85%
Other Income/Expense, Net -$14.10M
YoY Change -10.19%
Pretax Income $188.4M $41.40M $200.2M
YoY Change -5.89% -70.55% -26.42%
Income Tax $7.000M
% Of Pretax Income 16.91%
Net Earnings $192.2M $34.40M -$148.1M
YoY Change -229.78% -68.38% -178.4%
Net Earnings / Revenue 16.27% 3.18% -11.95%
Basic Earnings Per Share $0.56 $0.10 -$0.40
Diluted Earnings Per Share $0.55 $0.10 -$0.40
COMMON SHARES
Basic Shares Outstanding 345.2M shares 355.3M shares 374.9M shares
Diluted Shares Outstanding 360.6M shares

Balance Sheet

Concept 2018 Q4 2018 Q1 2017 Q4
SHORT-TERM ASSETS
Cash & Short-Term Investments
YoY Change
Cash & Equivalents $2.489B $2.614B $2.007B
Short-Term Investments
Other Short-Term Assets
YoY Change
Inventory $82.00M $96.00M $97.80M
Prepaid Expenses
Receivables $754.6M $850.1M $852.0M
Other Receivables
Total Short-Term Assets $4.582B $3.921B $4.185B
YoY Change 9.49% -1.83% 5.35%
LONG-TERM ASSETS
Property, Plant & Equipment $951.7M $1.014B $1.021B
YoY Change -6.8% -3.48% -4.01%
Goodwill $3.109B $3.096B $3.096B
YoY Change 0.41% 0.55% 0.47%
Intangibles $118.5M $123.8M $128.1M
YoY Change -7.49% -1.67% -1.61%
Long-Term Investments
YoY Change
Other Assets $403.5M $394.4M $415.5M
YoY Change -2.89% 67.4% 75.17%
Total Long-Term Assets $4.782B $5.922B $5.649B
YoY Change -15.36% 4.91% -0.62%
TOTAL ASSETS
Total Short-Term Assets $4.582B $3.921B $4.185B
Total Long-Term Assets $4.782B $5.922B $5.649B
Total Assets $9.363B $9.842B $9.834B
YoY Change -4.78% 2.12% 1.84%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $208.8M $189.2M $217.6M
YoY Change -4.04% -6.29% -1.54%
Accrued Expenses
YoY Change
Deferred Revenue $829.3M $804.9M $1.030B
YoY Change -19.51%
Short-Term Debt
YoY Change
Long-Term Debt Due $349.9M $349.3M $0.00
YoY Change
Total Short-Term Liabilities $1.843B $1.830B $1.738B
YoY Change 6.0% 15.63% 0.13%
LONG-TERM LIABILITIES
Long-Term Debt $1.789B $2.136B
YoY Change -16.25% 0.12%
Other Long-Term Liabilities $119.8M $117.9M $118.8M
YoY Change 0.84% -36.41% -28.48%
Total Long-Term Liabilities $1.909B $117.9M $2.255B
YoY Change -15.35% -94.92% -1.94%
TOTAL LIABILITIES
Total Short-Term Liabilities $1.843B $1.830B $1.738B
Total Long-Term Liabilities $1.909B $117.9M $2.255B
Total Liabilities $4.540B $4.837B $5.153B
YoY Change -11.89% 4.7% 9.78%
SHAREHOLDERS EQUITY
Retained Earnings -$2.831B -$3.031B -$3.356B
YoY Change -15.63% -6.7% 2.25%
Common Stock
YoY Change
Preferred Stock
YoY Change
Treasury Stock (at cost)
YoY Change
Treasury Stock Shares
Shareholders Equity $4.823B $4.325B $4.681B
YoY Change
Total Liabilities & Shareholders Equity $9.363B $9.079B $9.834B
YoY Change -4.78% -5.81% 1.84%

Cashflow Statement

Concept 2018 Q4 2018 Q1 2017 Q4
OPERATING ACTIVITIES
Net Income $192.2M $34.40M -$148.1M
YoY Change -229.78% -68.38% -178.4%
Depreciation, Depletion And Amortization $55.70M
YoY Change -0.18%
Cash From Operating Activities $271.1M
YoY Change -50.4%
INVESTING ACTIVITIES
Capital Expenditures
YoY Change
Acquisitions $22.20M
YoY Change
Other Investing Activities
YoY Change
Cash From Investing Activities $1.112B
YoY Change -11565.98%
FINANCING ACTIVITIES
Cash Dividend Paid $62.10M
YoY Change 63.42%
Common Stock Issuance & Retirement, Net $724.9M
YoY Change 655.1%
Debt Paid & Issued, Net $0.00
YoY Change
Cash From Financing Activities -$803.6M
YoY Change 499.7%
NET CHANGE
Cash From Operating Activities $271.1M
Cash From Investing Activities $1.112B
Cash From Financing Activities -$803.6M
Net Change In Cash $585.9M
YoY Change 42.87%
FREE CASH FLOW
Cash From Operating Activities $271.1M
Capital Expenditures
Free Cash Flow
YoY Change

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CY2018 us-gaap Construction In Progress Expenditures Incurred But Not Yet Paid
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1213600000 USD
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384300000 USD
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384400000 USD
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1955100000 USD
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38900000 USD
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273300000 USD
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500800000 USD
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1800000 USD
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4100000 USD
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924000000 USD
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423200000 USD
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3600000 USD
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100000 USD
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0 USD
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0 USD
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0 USD
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0 USD
CY2017 us-gaap Debt Securities Available For Sale Realized Loss
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0 USD
CY2018 us-gaap Debt Securities Available For Sale Realized Loss
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5400000 USD
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4200000 USD
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490 Investment
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36600000 USD
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-4500000 USD
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42600000 USD
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4300000 USD
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221000000 USD
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280400000 USD
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53300000 USD
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29100000 USD
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33800000 USD
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58600000 USD
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38900000 USD
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1060400000 USD
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0 USD
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25100000 USD
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5300000 USD
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7700000 USD
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12900000 USD
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17200000 USD
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0 USD
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466200000 USD
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474200000 USD
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160600000 USD
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827400000 USD
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140600000 USD
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245200000 USD
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225800000 USD
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200200000 USD
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811800000 USD
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41400000 USD
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150900000 USD
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152000000 USD
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188400000 USD
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532700000 USD
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361200000 USD
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337600000 USD
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372100000 USD
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5400000 USD
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4600000 USD
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234700000 USD
CY2017 us-gaap Income Tax Expense Benefit
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CY2018 us-gaap Income Tax Reconciliation Change In Deferred Tax Assets Valuation Allowance
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CY2016 us-gaap Income Tax Reconciliation Change In Enacted Tax Rate
IncomeTaxReconciliationChangeInEnactedTaxRate
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CY2017 us-gaap Income Tax Reconciliation Change In Enacted Tax Rate
IncomeTaxReconciliationChangeInEnactedTaxRate
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CY2018 us-gaap Income Tax Reconciliation Change In Enacted Tax Rate
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CY2016 us-gaap Income Tax Reconciliation Deductions Qualified Production Activities
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9500000 USD
CY2017 us-gaap Income Tax Reconciliation Deductions Qualified Production Activities
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12400000 USD
CY2018 us-gaap Income Tax Reconciliation Deductions Qualified Production Activities
IncomeTaxReconciliationDeductionsQualifiedProductionActivities
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CY2016 us-gaap Income Tax Reconciliation Foreign Income Tax Rate Differential
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CY2017 us-gaap Income Tax Reconciliation Foreign Income Tax Rate Differential
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CY2018 us-gaap Income Tax Reconciliation Foreign Income Tax Rate Differential
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CY2016 us-gaap Income Tax Reconciliation Income Tax Expense Benefit At Federal Statutory Income Tax Rate
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289600000 USD
CY2017 us-gaap Income Tax Reconciliation Income Tax Expense Benefit At Federal Statutory Income Tax Rate
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284100000 USD
CY2018 us-gaap Income Tax Reconciliation Income Tax Expense Benefit At Federal Statutory Income Tax Rate
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111900000 USD
CY2016 us-gaap Income Tax Reconciliation Nondeductible Expense Share Based Compensation Cost
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10500000 USD
CY2017 us-gaap Income Tax Reconciliation Nondeductible Expense Share Based Compensation Cost
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0 USD
CY2018 us-gaap Income Tax Reconciliation Nondeductible Expense Share Based Compensation Cost
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4700000 USD
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3700000 USD
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5000000 USD
CY2016 us-gaap Income Tax Reconciliation State And Local Income Taxes
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8900000 USD
CY2017 us-gaap Income Tax Reconciliation State And Local Income Taxes
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12000000 USD
CY2018 us-gaap Income Tax Reconciliation State And Local Income Taxes
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7400000 USD
CY2016 us-gaap Income Tax Reconciliation Tax Credits Research
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16800000 USD
CY2017 us-gaap Income Tax Reconciliation Tax Credits Research
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15100000 USD
CY2018 us-gaap Income Tax Reconciliation Tax Credits Research
IncomeTaxReconciliationTaxCreditsResearch
22100000 USD
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193500000 USD
CY2018 us-gaap Income Taxes Paid Net
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181000000 USD
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66600000 USD
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CY2018 us-gaap Increase Decrease In Accounts Payable Trade
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3500000 USD
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263500000 USD
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CY2016 us-gaap Increase Decrease In Accrued Income Taxes Payable
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3100000 USD
CY2017 us-gaap Increase Decrease In Accrued Income Taxes Payable
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447300000 USD
CY2018 us-gaap Increase Decrease In Accrued Income Taxes Payable
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301700000 USD
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55000000 USD
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24700000 USD
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41400000 USD
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-1600000 USD
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CY2018 us-gaap Increase Decrease In Other Accrued Liabilities
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CY2016 us-gaap Increase Decrease In Prepaid Deferred Expense And Other Assets
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43600000 USD
CY2017 us-gaap Increase Decrease In Prepaid Deferred Expense And Other Assets
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CY2018 us-gaap Increase Decrease In Prepaid Deferred Expense And Other Assets
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70900000 USD
CY2016 us-gaap Incremental Common Shares Attributable To Share Based Payment Arrangements
IncrementalCommonSharesAttributableToShareBasedPaymentArrangements
6100000 shares
CY2017 us-gaap Incremental Common Shares Attributable To Share Based Payment Arrangements
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6500000 shares
CY2018 us-gaap Incremental Common Shares Attributable To Share Based Payment Arrangements
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5400000 shares
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97700000 USD
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101200000 USD
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94000000 USD
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26600000 USD
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21400000 USD
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82000000 USD
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60600000 USD
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1200000000 USD
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350000000 USD
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300000000 USD
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31900000 USD
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31900000 USD
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1200000 USD
CY2017 us-gaap Other Comprehensive Income Loss Reclassification Adjustment From Aoci For Sale Of Securities Net Of Tax
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2100000 USD
CY2018 us-gaap Other Comprehensive Income Loss Reclassification Adjustment From Aoci For Sale Of Securities Net Of Tax
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500000 USD
CY2017 us-gaap Other Comprehensive Income Loss Reclassification Adjustment From Aoci For Sale Of Securities Tax
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900000 USD
CY2018 us-gaap Other Comprehensive Income Loss Reclassification Adjustment From Aoci For Sale Of Securities Tax
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0 USD
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1100000 USD
CY2017 us-gaap Other Comprehensive Income Loss Reclassification Adjustment From Aoci On Derivatives Net Of Tax
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5200000 USD
CY2018 us-gaap Other Comprehensive Income Loss Reclassification Adjustment From Aoci On Derivatives Net Of Tax
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1200000 USD
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700000 USD
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2400000 USD
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15700000 USD
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800000 USD
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300000 USD
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4400000 USD
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800000 USD
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4500000 USD
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600000 USD
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4000000 USD
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119800000 USD
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14500000 USD
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1800000 USD
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CY2018 us-gaap Other Than Temporary Impairment Credit Losses Recognized In Earnings Additions Additional Credit Losses
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0 USD
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0 USD
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0 USD
CY2018 us-gaap Payments For Previous Acquisition
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42700000 USD
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324600000 USD
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725800000 USD
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756600000 USD
CY2018 us-gaap Payments For Restructuring
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26300000 USD
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152500000 USD
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150400000 USD
CY2018 us-gaap Payments Of Dividends
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249300000 USD
CY2016 us-gaap Payments To Acquire Available For Sale Securities Debt
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1598000000 USD
CY2017 us-gaap Payments To Acquire Available For Sale Securities Debt
PaymentsToAcquireAvailableForSaleSecuritiesDebt
1882900000 USD
CY2018 us-gaap Payments To Acquire Available For Sale Securities Debt
PaymentsToAcquireAvailableForSaleSecuritiesDebt
1228500000 USD
CY2016 us-gaap Payments To Acquire Businesses Net Of Cash Acquired
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113000000 USD
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PaymentsToAcquireBusinessesNetOfCashAcquired
27000000 USD
CY2018 us-gaap Payments To Acquire Businesses Net Of Cash Acquired
PaymentsToAcquireBusinessesNetOfCashAcquired
16400000 USD
CY2016 us-gaap Payments To Acquire Productive Assets
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214700000 USD
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151200000 USD
CY2018 us-gaap Payments To Acquire Productive Assets
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147400000 USD
CY2017Q4 us-gaap Pension And Other Postretirement Defined Benefit Plans Liabilities Current And Noncurrent
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4300000 USD
CY2018Q4 us-gaap Pension And Other Postretirement Defined Benefit Plans Liabilities Current And Noncurrent
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2500000 USD
CY2017Q4 us-gaap Preferred Stock Par Or Stated Value Per Share
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0.00001
CY2017Q4 us-gaap Preferred Stock Shares Authorized
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187300000 USD
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ShareBasedCompensationArrangementByShareBasedPaymentAwardEquityInstrumentsOtherThanOptionsVestedInPeriodTotalFairValue
200500000 USD
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23000000 shares
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ShareBasedCompensationArrangementByShareBasedPaymentAwardNumberOfSharesAvailableForGrant
33500000 shares
CY2017Q4 us-gaap Sharebased Compensation Arrangement By Sharebased Payment Award Purchase Price Of Common Stock Percent
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0.85 pure
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1026100000 USD
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1070100000 USD
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41300000 USD
CY2017Q4 us-gaap Standard Product Warranty Accrual
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27400000 USD
CY2018Q4 us-gaap Standard Product Warranty Accrual
StandardProductWarrantyAccrual
28000000 USD
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50600000 USD
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30100000 USD
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10300000 USD
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13900000 USD
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9000000 USD
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2600000 USD
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8500000 USD
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4300000 USD
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4400000 USD
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67000000 USD
CY2018Q4 us-gaap Unrecognized Tax Benefits That Would Impact Effective Tax Rate
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175300000 USD
CY2018Q4 us-gaap Unrecorded Unconditional Purchase Obligation Balance On Fifth Anniversary
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5500000 USD
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43100000 USD
CY2018Q4 us-gaap Unrecorded Unconditional Purchase Obligation Balance On Fourth Anniversary
UnrecordedUnconditionalPurchaseObligationBalanceOnFourthAnniversary
8500000 USD
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UnrecordedUnconditionalPurchaseObligationBalanceOnSecondAnniversary
26400000 USD
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11400000 USD
CY2018Q4 us-gaap Unrecorded Unconditional Purchase Obligation Balance Sheet Amount
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97800000 USD
CY2018Q4 us-gaap Unrecorded Unconditional Purchase Obligation Due After Five Years
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2900000 USD
CY2017 us-gaap Valuation Allowance Deferred Tax Asset Change In Amount
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60100000 USD
CY2018 us-gaap Valuation Allowance Deferred Tax Asset Change In Amount
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19200000 USD
CY2016 us-gaap Weighted Average Number Of Diluted Shares Outstanding
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387800000 shares
CY2017 us-gaap Weighted Average Number Of Diluted Shares Outstanding
WeightedAverageNumberOfDilutedSharesOutstanding
384200000 shares
CY2018 us-gaap Weighted Average Number Of Diluted Shares Outstanding
WeightedAverageNumberOfDilutedSharesOutstanding
354400000 shares
CY2016 us-gaap Weighted Average Number Of Shares Outstanding Basic
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381700000 shares
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377700000 shares
CY2018 us-gaap Weighted Average Number Of Shares Outstanding Basic
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CY2018 us-gaap Concentration Risk Credit Risk
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<div style="font-family:Times New Roman;font-size:10pt;"><div style="line-height:120%;text-align:justify;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;font-style:italic;font-weight:bold;">Concentrations of Risk</font></div><div style="line-height:120%;text-align:justify;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div><div style="line-height:120%;text-align:justify;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Financial instruments that subject the Company to concentrations of credit risk consist primarily of cash and cash equivalents, investments, derivatives, and accounts receivable. The Company invests only in high-quality credit instruments and maintains its cash, cash equivalents and available-for-sale investments in fixed income securities with several high-quality institutions. Deposits held with banks, including those held in foreign branches of global banks, may exceed the amount of insurance provided on such deposits. We mitigate the concentration of credit risk in our investment portfolio through diversification of the investments in various industries and asset classes, and limits to the amount of credit exposure to any single issuer and credit rating. </font></div><div style="line-height:120%;text-align:justify;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div><div style="line-height:120%;text-align:justify;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">The Company&#8217;s derivatives expose it to credit risk to the extent that counterparties may be unable to meet the terms of the agreement. To mitigate concentration of risk related to its derivatives, the Company establishes counterparty limits to major credit-worthy financial institutions. In addition, the potential risk of loss with any one counterparty resulting from this type of credit risk is monitored and the derivatives transacted with these entities are relatively short in duration. Therefore, the Company does not expect material losses as a result of defaults by counterparties.</font></div><div style="line-height:120%;text-align:justify;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div><div style="line-height:120%;text-align:justify;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Generally, credit risk with respect to accounts receivable is diversified due to the number of entities comprising the Company's customer base and their dispersion across different geographic locations throughout the world. The Company performs ongoing credit evaluations of its customers and generally does not require collateral on accounts receivable. During the years ended </font><font style="font-family:inherit;font-size:10pt;">December&#160;31, 2018</font><font style="font-family:inherit;font-size:10pt;">, </font><font style="font-family:inherit;font-size:10pt;">2017</font><font style="font-family:inherit;font-size:10pt;">, and </font><font style="font-family:inherit;font-size:10pt;">2016</font><font style="font-family:inherit;font-size:10pt;">, </font><font style="font-family:inherit;font-size:10pt;">no</font><font style="font-family:inherit;font-size:10pt;"> single customer accounted for 10% or more of net revenues. </font></div><div style="line-height:120%;text-align:justify;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div><div style="line-height:120%;text-align:justify;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">The Company relies on sole suppliers for certain of its components such as application-specific integrated circuits ("ASICs") and custom sheet metal. Additionally, the Company relies primarily on a limited number of significant independent contract manufacturers and original design manufacturers for the production of its products. The inability of any supplier or manufacturer to fulfill supply requirements of the Company could negatively impact future operating results. </font></div></div>
CY2018 us-gaap Use Of Estimates
UseOfEstimates
<div style="font-family:Times New Roman;font-size:10pt;"><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;font-style:italic;font-weight:bold;">Use of Estimates</font></div><div style="line-height:120%;text-align:justify;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div><div style="line-height:120%;text-align:justify;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">The preparation of the financial statements and related disclosures in accordance with U.S.&#160;GAAP requires the Company to make judgments, assumptions, and estimates that affect the amounts reported in the Consolidated Financial Statements and the accompanying notes. The Company bases its estimates and assumptions on current facts, historical experience, and various other factors that it believes are reasonable under the circumstances, to determine the carrying values of assets and liabilities that are not readily apparent from other sources. To the extent there are material differences between the Company's estimates and the actual results, the Company's future consolidated results of operation may be affected.</font></div><div style="line-height:120%;text-align:justify;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div></div>

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