Slides
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Fiscal Q4 2026 Earnings Call Supplementary Slides August 5 , 2026 VLAVI VIAVI Solutions
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VIAVI//Public © 2026 Viavi Solutions Inc. 1 Cautionary Language Concerning Forward-Looking Statements This presentation contains forward-looking statements under Section 27A of the Securities Act of 1934. Forward-looking statements are all statements we make other than those dealing specifically with historical matters. These forward-looking statements include, among other things, financial guidance and our expectations regarding the acquired business. Please refer to the Company’s filings with the Securities and Exchange Commission, including our annual report on Form 10-K filed on August 11, 2025 and our quarterly reports on Form 10-Q filed October 30, 2025, January 29, 2026 and April 30, 2026 for additional factors that could cause actual results to materially differ from current expectations. The forward-looking statements included in this presentation are valid only as of today’s date except where otherwise noted. Viavi Solutions Inc. undertakes no obligation to update these statements. This presentation and the Q&A that follows include non-GAAP financial measures which complement the Company’s preliminary consolidated GAAP financial statements. These non-GAAP financial measures are not intended to supersede or replace the Company’s preliminary GAAP financials. We provide a detailed reconciliation of preliminary GAAP results to the non-GAAP results in the Appendix to this presentation and in the “Preliminary Reconciliation of GAAP Measures to Non-GAAP Measures” schedule in our earnings release issued today. This earnings release is located in the Investor Relations section of our web site at https://investor.viavisolutions.com. Note: Amounts presented in all slides are on a continuing operations basis unless otherwise noted.
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2VIAVI//Public © 2026 Viavi Solutions Inc. 112.8% Y/Y 101.6% Y/Y 40.0% Y/Y Fiscal 2026 Summary and Key Highlights (Amounts in $millions, except per share amounts, and other than revenue reflect non-GAAP) KEY METRICS HIGHLIGHTS ■ Revenue growth was mainly driven by: ■ Demand for lab and production and field products, primarily from the data center ecosystem. ■ Demand for aerospace and defense products. ■ Acquisition of certain Spirent product lines and Inertial Labs. ■ Non-GAAP Operating Margin and non-GAAP EPS were up, driven by higher revenue and favorable product mix. ■ Generated operating cash flow of $113.9 million and free cash flow of $82.8 million in FY26. ■ Incurred capex of $31.1 million. ■ Repurchased $30 million of our stock in conjunction with the exchange of convertible notes completed during the first quarter of fiscal 2026. Revenue $1,518.3M Non-GAAP Operating Income $312.9M Non-GAAP Operating Margin 20.6% Non-GAAP EPS $1.00 630 bps Y/Y
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3VIAVI//Public © 2026 Viavi Solutions Inc. 161.5% Y/Y 153.9% Y/Y 52.5% Y/Y Fiscal Q4 2026 Summary and Key Highlights (Amounts in $millions, except per share amounts, and other than revenue reflect non-GAAP) KEY METRICS HIGHLIGHTS ■ Revenue, non-GAAP Operating Margin above the high end of the guidance range. ■ Non-GAAP EPS above the high end of the guidance range. ■ EPS benefitted 2 cents from lower interest costs and tariff refunds during the quarter. ■ Cash flow from operating activities was $66.7 million and free cash flow was $55.6 million. ■ Incurred capex of $11.1 million. ■ No share repurchase during the quarter as we prioritized debt management. Revenue $443.1M Non-GAAP Operating Income $106.4M Non-GAAP Operating Margin 24.0% Non-GAAP EPS $0.34 960 bps Y/Y
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4VIAVI//Public © 2026 Viavi Solutions Inc. Capital Allocation Activities ■ Raised gross proceeds of $575M via follow on public offering of VIAVI stock. ■ Issued ~12.78M shares at $45 per share. ■ Proceeds used to pay off the $450M of outstanding principal amount of Term Loan B. ■ Excess net proceeds will be used to fund working capital or for other general corporate purposes.
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5VIAVI//Public © 2026 Viavi Solutions Inc. Fiscal Q4 2026 NSE Highlights (Amounts in $millions and other than revenue reflect non-GAAP) NSE HIGHLIGHTS ■ Revenue at $353.9 million, above the high end of our guidance range of $340-$348 million, up 69.2% Y/Y driven by: ■ Strong demand for lab and production and field products mainly driven by the data center ecosystem and aerospace & defense products. ■ Acquisition of certain Spirent product lines. ■ Gross Margin at 64.1%, increased 190 basis points Y/Y driven by higher volume and favorable product mix. ■ Operating Margin at 20.0%, above the high end of our guidance range primarily driven by higher fall through. Revenue $353.9M Gross Margin 64.1% Operating Margin 20.0% The Company does not allocate stock-based compensation, including related employer payroll taxes, acquisition-related charges, amortization of intangibles, restructuring, impairment of goodwill or other charges unrelated to core operating performance to its segments. All non-GAAP amounts are reconciled to the corresponding GAAP amounts at the entity level in the Appendix section. 69.2% Y/Y 190 bps Y/Y 1,540 bps Y/Y
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6VIAVI//Public © 2026 Viavi Solutions Inc. 9.6% Y/Y Fiscal Q4 2026 OSP Highlights (Amounts in $millions and other than revenue reflect non-GAAP) OSP HIGHLIGHTS ■ Revenue at $89.2 million, at the high end of guidance range of $87 to $89 million and increased 9.6% Y/Y, primarily driven by strength in anticounterfeiting and other products and 3D sensing. ■ Gross Margin at 55.2%, increased 50 basis points Y/Y, mainly due to higher volume and favorable product mix. ■ Operating Margin at 40.0%, above our guidance range of 38.0%- 38.8% as a result of higher fall through. Revenue $89.2M Gross Margin 55.2% Operating Margin 40.0% 50 bps Y/Y 40 bps Y/Y The Company does not allocate stock-based compensation, including related employer payroll taxes, acquisition-related charges, amortization of intangibles, restructuring, impairment of goodwill or other charges unrelated to core operating performance to its segments. All non-GAAP amounts are reconciled to the corresponding GAAP amounts at the entity level in the Appendix section.
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7VIAVI//Public © 2026 Viavi Solutions Inc. Fiscal Q1 2027 Business Outlook SEGMENT BUSINESS OUTLOOK Revenue VIAVI $450 million to $460 million NSE $360 million to $368 million OSP $90 million to $92 million Non-GAAP Operating Margin VIAVI 27.1%, plus or minus 40 bps NSE 23.1%, plus or minus 50 bps OSP 43.2%, plus or minus 20 bps Non-GAAP EPS $0.40 to $0.42 Non-GAAP Tax $12.0 million, plus or minus $0.5 million Non-GAAP Other (Income) & Expense $2.5 million Non-GAAP Share Count 268.0 million With respect to our business outlook above, the Company has not reconciled GAAP measures to non-GAAP measures presented above. • Fiscal Q1’27 will consist of 14 weeks. • Business outlook for Fiscal Q1'27 includes a net benefit of ~100bps and ~2 cents in non-GAAP Operating Margin and non-GAAP EPS, respectively, from tariff refunds offset by additional week of variable costs, and will primarily benefit NSE.
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8VIAVI//Public © 2026 Viavi Solutions Inc. DATE EVENT LOCATION Aug 17, 2026 Rosenblatt 6th Annual Technology Summit Virtual Aug 24, 2026 Stifel Tech Executive Summit 2026 Deer Valley, UT Sep 23-24, 2026 ECOC Malaga, Spain Fiscal Q1 2027 Events
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Additional Financial Information
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10VIAVI//Public © 2026 Viavi Solutions Inc. Fiscal Q4 2026 Financial Highlights (Amounts in $millions, except per share amounts) FISCAL QUARTER Q4 2026 Q3 2026 Q4 2025 QOQ YOY GAAP Revenue NSE $353.9 $321.5 $209.1 10.1% 69.2% OSP $89.2 $85.3 $81.4 4.6% 9.6% Total $443.1 $406.8 $290.5 8.9% 52.5% Non-GAAP Gross Margin NSE 64.1% 65.3% 62.2% (120 bps) 190 bps OSP 55.2% 50.4% 54.7% 480 bps 50 bps Total 62.3% 62.2% 60.1% 10 bps 220 bps Non-GAAP Operating Margin NSE 20.0% 17.4% 4.6% 260 bps 1,540 bps OSP 40.0% 35.5% 39.6% 450 bps 40 bps Total 24.0% 21.2% 14.4% 280 bps 960 bps Non-GAAP Earnings Per Share $0.34 $0.27 $0.13 25.9% 161.5% GAAP Operating Cash Flow $66.7 $(26.3) $23.8 (353.6%) 180.3% Beginning in the fourth quarter of fiscal 2026, the Company modified its non-GAAP presentation to exclude employer payroll taxes related to stock-based compensation. Prior period results have been recast to conform to the current presentation. All non-GAAP amounts are reconciled to the corresponding GAAP amounts in the Appendix section.
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11VIAVI//Public © 2026 Viavi Solutions Inc. Revenue by Business Segment and Geographic Region (Amounts in $millions) FISCAL QUARTER Q4 2026 Q3 2026 Q4 2025 QOQ YOY Segment Mix NSE $353.9 79.9% $321.5 79.0% $209.1 72.0% 10.1% 69.2% OSP $89.2 20.1% $85.3 21.0% $81.4 28.0% 4.6% 9.6% Total $443.1 100.0% $406.8 100.0% $290.5 100.0% 8.9% 52.5% Region Mix Americas $200.5 45.2% $182.8 44.9% $112.3 38.7% 9.7% 78.5% Asia-Pacific $141.5 31.9% $128.2 31.5% $99.4 34.2% 10.4% 42.4% EMEA $101.1 22.9% $95.8 23.6% $78.8 27.1% 5.5% 28.3% Total $443.1 100.0% $406.8 100.0% $290.5 100.0% 8.9% 52.5%
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12VIAVI//Public © 2026 Viavi Solutions Inc. (1) Includes cash and cash-equivalents, short-term investments and short-term restricted cash. (2) Carrying value equals outstanding principal amount less the unamortized debt issuance costs. Face amount for short-term debt is $250.0 million related to the 2031 0.625% Convertible Notes. (3) Carrying value equals outstanding principal amount less the unamortized debt issuance costs. Face amount for long-term debt is $400.0 million related to the 2029 3.75% High-Yield Notes. FISCAL QUARTER Q4 2026 Total Cash Balance (1) $656.7 Short-term Debt (Carrying Value) (2) $244.8 Long-term Debt (Carrying Value) (3) $397.1 GAAP Cash from Operations $66.7 Balance Sheet Highlights (Amounts in $millions)
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13VIAVI//Public © 2026 Viavi Solutions Inc. Term Notes Summary 2029 HIGH-YIELD NOTES 2031 SENIOR CONVERTIBLE NOTES Issue Size $400.0M $250.0M Current Outstanding * $400.0M $250.0M Coupon 3.75% 0.625% Final Maturity 10/1/2029 3/1/2031 Put Date N/A N/A Call Date 10/1/2024 9/6/2028 Call / Put Price (%) N/A 100% Conversion Price N/A $13.79 Shares Underlying * N/A 18.1M Settlement Par in Cash Par in Cash; Balance in stock & cash * As of June 27, 2026
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14VIAVI//Public © 2026 Viavi Solutions Inc. FISCAL QUARTER Q4 2026 Q3 2026 Q4 2025 QOQ YOY GAAP Revenue $443.1 $406.8 $290.5 8.9% 52.5% Non-GAAP Gross Margin 62.3% 62.2% 60.1% 10 bps 220 bps Non-GAAP Operating Expenses $169.8 $166.6 $132.6 1.9% 28.1% Non-GAAP Operating Profit $106.4 $86.4 $41.9 23.1% 153.9% Non-GAAP Operating Margin 24.0% 21.2% 14.4% 280 bps 960 bps Non-GAAP Net Income $89.1 $68.5 $29.7 30.1% 200.0% Non-GAAP EPS $0.34 $0.27 $0.13 $0.07 $0.21 Income Statement (Amounts in $millions, except per share amounts) Beginning in the fourth quarter of fiscal 2026, the Company modified its non-GAAP presentation to exclude employer payroll taxes related to stock-based compensation. Prior period results have been recast to conform to the current presentation. All non-GAAP amounts are reconciled to the corresponding GAAP amounts in the Appendix section.
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15VIAVI//Public © 2026 Viavi Solutions Inc. GAAP Income Statement (Amounts in $millions, except per share amounts) UNAUDITED Q4 2026 Q3 2026 Q4 2025 QOQ YOYGAAP INCOME STATEMENT Net revenue $ 443.1 $ 406.8 $ 290.5 8.9 % 52.5 % Cost of revenues 168.4 159.7 120.2 5.4 % 40.1 % Amortization of acquired technologies 13.0 13.0 6.8 — % 91.2 % Total cost of revenues 181.4 172.7 127.0 5.0 % 42.8 % Gross profit 261.7 234.1 163.5 11.8 % 60.1 % Operating expenses: Research and development 69.8 71.0 57.2 (1.7) % 22.0 % Selling, general and administrative 124.3 113.6 89.7 9.4 % 38.6 % Amortization of other intangibles 7.3 7.4 1.5 (1.4) % 386.7 % Restructuring and related (benefits) charges (1.0) 17.3 (0.2) (105.8) % 400.0 % Total operating expenses 200.4 209.3 148.2 (4.3) % 35.2 % Income from operations 61.3 24.8 15.3 147.2 % 300.7 % Interest and other (expense) income ,net (7.4) 3.3 1.8 (324.2) % (511.1) % Interest expense (10.4) (14.3) (7.5) (27.3) % 38.7 % Income before income taxes and equity investment earnings 43.5 13.8 9.6 215.2 % 353.1 % Provision for Income Taxes 11.4 7.4 2.2 54.1 % 418.2 % Equity investment earnings 0.6 — 0.6 NM — % Net income $ 32.7 $ 6.4 $ 8.0 410.9 % (308.8) % Net income per share, basic $ 0.14 $ 0.03 $ 0.04 366.7 % 250.0 % Net income per share, diluted $ 0.13 $ 0.03 $ 0.04 333.3 % 225.0 % Shares used in per-share calculation (basic) 239.3 232.0 223.2 3.1 % 7.2 % Shares used in per-share calculation (diluted) 261.0 249.5 227.0 4.6 % 15.0 % UNAUDITED Q4 2026 Q3 2026 Q4 2025 QOQ YOY% TOTAL GAAP REVENUE Gross margin 59.1 % 57.5 % 56.3 % 160 bps 280 bps Research and development 15.8 % 17.5 % 19.7 % (170 bps) (390 bps) Selling, general and administrative 28.1 % 27.9 % 30.9 % 20 bps (280 bps) Total operating expenses 45.2 % 51.5 % 51.0 % (630 bps) (580 bps) Operating margin 13.8 % 6.1 % 5.3 % 770 bps 850 bps NM - Not meaningful
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16VIAVI//Public © 2026 Viavi Solutions Inc. Non-GAAP Income Statement (Amounts in $millions, except per share amounts) UNAUDITED Q4 2026 Q3 2026 Q4 2025 QoQ YoYNON-GAAP INCOME STATEMENT Net revenue $ 443.1 $ 406.8 $ 290.5 8.9 % 52.5 % Cost of revenues 166.9 153.8 116.0 8.5 % 43.9 % Gross profit 276.2 253.0 174.5 9.2 % 58.3 % Operating expenses: Research and development 65.8 67.8 54.6 (2.9) % 20.5 % Selling, general and administrative 104.0 98.8 78.0 5.3 % 33.3 % Total operating expenses 169.8 166.6 132.6 1.9 % 28.1 % Income from operations 106.4 86.4 41.9 23.1 % 153.9 % Interest and other expense, net (7.4) (8.6) (4.5) (14.0) % 64.4 % Income before income taxes and equity investment earnings 99.0 77.8 37.4 27.2 % 164.7 % Provision for income tax 10.5 9.3 8.3 12.9 % 26.5 % Equity investment earnings 0.6 — 0.6 NM — % Net income $ 89.1 $ 68.5 $ 29.7 30.1 % 200.0 % Net income per share, basic $ 0.37 $ 0.30 $ 0.13 23.3 % 184.6 % Net income per share, diluted $ 0.34 $ 0.27 $ 0.13 25.9 % 161.5 % Shares used in per-share calculation (basic) 239.3 232.0 223.2 3.1 % 7.2 % Shares used in per-share calculation (diluted) 261.0 249.5 227.0 4.6 % 15.0 % UNAUDITED Q4 2026 Q3 2026 Q4 2025 QoQ YoY% TOTAL REVENUE Gross margin 62.3 % 62.2 % 60.1 % 10 bps 220 bps Research and development 14.8 % 16.7 % 18.8 % (190 bps) (400 bps) Selling, general and administrative 23.5 % 24.3 % 26.9 % (80 bps) (340 bps) Total operating expenses 38.3 % 41.0 % 45.6 % (270 bps) (730 bps) Operating margin 24.0 % 21.2 % 14.4 % 280 bps 960 bps Beginning in the fourth quarter of fiscal 2026, the Company modified its non-GAAP presentation to exclude employer payroll taxes related to stock-based compensation. Prior period results have been recast to conform to the current presentation. NM - Not meaningful
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Appendix
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18VIAVI//Public © 2026 Viavi Solutions Inc. Reconciliation of GAAP Measures to Non-GAAP Measures (Amounts in $millions) UNAUDITED Q4 2026 Q3 2026 Q4 2025 QOQ YOYGross Profit - GAAP to Non-GAAP Reconciliation GAAP segment gross profit $ 261.7 $ 234.1 $ 163.5 11.8 % 60.1 % Stock-based compensation 1.2 1.1 1.2 9.1 % — % Employer payroll tax on employee share-based awards — 0.1 — (100.0) % NM Amortization of intangibles 13.0 13.0 6.8 — % 91.2 % Other charges unrelated to core operating performance (1) 0.3 3.8 0.4 (92.1) % (25.0) % Amortization of acquisition related inventory step-up — 0.9 2.6 (100.0) % (100.0) % Non-GAAP gross profit $ 276.2 $ 253.0 $ 174.5 9.2 % 58.3 % UNAUDITED Q4 2026 Q3 2026 Q4 2025 QOQ YOYOperating Income - GAAP to Non-GAAP Reconciliation GAAP operating income $ 61.3 $ 24.8 $ 15.3 147.2 % 300.7 % Stock-based compensation 14.2 13.9 12.6 2.2 % 12.7 % Employer payroll tax on employee share-based awards 0.2 0.9 — (77.8) % NM Amortization of intangibles 20.3 20.4 8.3 (0.5) % 144.6 % Change in fair value of contingent consideration 8.7 2.6 (3.4) 234.6 % (355.9) % Acquisition and integration related charges 0.2 0.7 5.6 (71.4) % (96.4) % Other charges unrelated to core operating performance (1) 2.5 4.9 1.1 (49.0) % 127.3 % Amortization of acquisition related inventory step-up — 0.9 2.6 (100.0) % (100.0) % Restructuring and related (benefits) charges (1.0) 17.3 (0.2) (105.8) % 400.0 % Non-GAAP operating income $ 106.4 $ 86.4 $ 41.9 23.1 % 153.9 % UNAUDITED Q4 2026 Q3 2026 Q4 2025 QOQ YOYNet Income GAAP to Non-GAAP Reconciliation GAAP net income $ 32.7 $ 6.4 $ 8.0 410.9 % 308.8 % Stock-based compensation 14.2 13.9 12.6 2.2 % 12.7 % Employer payroll tax on employee share-based awards 0.2 0.9 — (77.8) % NM Amortization of intangibles 20.3 20.4 8.3 (0.5) % 144.6 % Restructuring and related (benefits) charges (1.0) 17.3 (0.2) (105.8) % 400.0 % Change in fair value of contingent consideration 8.7 2.6 (3.4) 234.6 % (355.9) % Acquisition and integration related charges 0.2 0.7 5.6 (71.4) % (96.4) % Other charges unrelated to core operating performance (1) 2.5 4.9 1.1 (49.0) % 127.3 % Amortization of acquisition related inventory step-up — 0.9 2.6 (100.0) % (100.0) % Non-cash interest expense 10.4 2.4 1.2 333.3 % 766.7 % Income taxes 0.9 (1.9) (6.1) (147.4) % (114.8) % Non-GAAP net income $ 89.1 $ 68.5 $ 29.7 30.1 % 200.0 % (1) Other charges consists of net losses related to long-lived assets and other charges unrelated to core operating performance. NM - Not meaningful
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19VIAVI//Public © 2026 Viavi Solutions Inc. Financial Information by Segment (Amounts in $millions and other than revenue reflect non-GAAP) UNAUDITED Q4 2026 Q3 2026 Q4 2025 QOQ YOYSEGMENT RESULTS ($ in millions) Net revenue: Network and Service Enablement $ 353.9 $ 321.5 $ 209.1 10.1 % 69.2 % Optical Securities and Performance Products 89.2 85.3 81.4 4.6 % 9.6 % Total net revenue $ 443.1 $ 406.8 $ 290.5 8.9 % 52.5 % Gross profit Network and Service Enablement $ 227.0 $ 210.0 $ 130.0 8.1 % 74.6 % Optical Securities and Performance Products 49.2 43.0 44.5 14.4 % 10.6 % Total segment gross profit $ 276.2 $ 253.0 $ 174.5 9.2 % 58.3 % Operating income Network and Service Enablement $ 70.7 $ 56.1 $ 9.7 26.0 % 628.9 % Optical Securities and Performance Products 35.7 30.3 32.2 17.8 % 10.9 % Total segment operating income $ 106.4 $ 86.4 $ 41.9 23.1 % 153.9 % UNAUDITED Q4 2026 Q3 2026 Q4 2025 QOQ YOYREVENUE BY SEGMENT (%) Network and Service Enablement 79.9 % 79.0 % 72.0 % 90 bps 790 bps Optical Securities and Performance Products 20.1 % 21.0 % 28.0 % (90 bps) (790 bps) The Company does not allocate stock-based compensation, including related employer payroll taxes, acquisition-related charges, amortization of intangibles, restructuring, impairment of goodwill or other charges unrelated to core operating performance to its segments. All non-GAAP amounts are reconciled to the corresponding GAAP amounts at the entity level on the prior slide. Beginning in the fourth quarter of fiscal 2026, the Company modified its non-GAAP presentation to exclude employer payroll taxes related to stock-based compensation. Prior period results have been recast to conform to the current presentation.
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20VIAVI//Public © 2026 Viavi Solutions Inc. Condensed Balance Sheet (Amounts in $millions) UNAUDITED Q4 2026 Q4 2025BALANCE SHEET (in millions) ASSETS Current assets: Cash and cash equivalents $ 647.8 $ 423.6 Short-term investments 2.0 1.7 Restricted cash 6.9 3.7 Accounts receivable, net 351.3 261.0 Inventories, net 155.3 117.9 Prepayments and other current assets 93.2 77.3 Total current assets 1,256.5 885.2 Property, plant and equipment, net 224.5 231.9 Goodwill, net 700.7 595.7 Intangibles, net 377.6 131.6 Deferred income taxes 74.5 87.2 Other non-current assets 71.8 62.2 Total assets $ 2,705.6 $ 1,993.8 LIABILITIES AND STOCKHOLDERS’ EQUITY Current liabilities: Accounts payable $ 92.2 $ 68.8 Accrued payroll and related expenses 98.4 63.6 Deferred revenue 101.9 74.1 Accrued expenses 27.3 28.7 Short-term debt 244.8 246.2 Other current liabilities 115.9 108.3 Total current liabilities 680.5 589.7 Long-term debt 397.1 396.3 Other non-current liabilities 179.5 227.6 Total stockholders’ equity 1,448.5 780.2 Total liabilities and stockholders’ equity $ 2,705.6 $ 1,993.8