Aviza Technology Announces Fiscal Year 2007 First Quarter Financial Results.Company Reported Net Income of $1.1 Million 1QFY07 Revenues of $62.2 Million Increased 19.6% Over 4QFY06 and 114.9% Over 1QFY06 SCOTTS VALLEY, Calif. -- Aviza Technology, Inc. (NASDAQ NASDAQ in full National Association of Securities Dealers Automated Quotations U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on :AVZA), a supplier of advanced semiconductor capital equipment and process technologies for the global semiconductor industry and related markets, today reported results for the first quarter of fiscal 2007, which ended December 29, 2006. FINANCIAL HIGHLIGHTS - FIRST FISCAL QUARTER ENDED DECEMBER 29, 2006 * Aviza reported net income of $1.1 million for the first quarter of fiscal 2007, or earnings per share of $0.07. * First quarter revenues of $62.2 million increased 19.6% over the fourth quarter of fiscal 2006 and 114.9% over the first quarter of fiscal 2006. This marks the company's fourth consecutive quarter of increased revenues. * First quarter shipments were $62.8 million, compared to $44.6 million for the fourth quarter of fiscal 2006. * Gross margin for the first quarter of fiscal 2007 was 30.3%, compared to 33.1% for the fourth quarter of fiscal 2006 and 24.7% for the first quarter of fiscal 2006. BUSINESS HIGHLIGHTS - FIRST FISCAL QUARTER ENDED DECEMBER 29, 2006 * Aviza received an order for its next-generation single wafer atomic layer deposition A semiconductor manufacturing technique that deposits a single layer on a chip that is only one atom or one molecule thick. As elements on a chip decreased to below 100 nm, this essential technology for making the chip ever smaller became commercial after the turn of the 21st century. (ALD ALD abbr. adrenoleukodystrophy ALD, n.pr See adrenoleukodystrophy. ALD aldolase. ) system, Celsior(TM), from one of the world's leading DRAM manufacturers. The system is scheduled for installation at the DRAM manufacturer's U.S.-based facility and will be utilized for fabricating 90nm DRAM devices on 200mm wafers. This order is part of a series of orders for the Celsior system for high-volume manufacturing in Europe, China, Taiwan and the United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. . * Aviza announced the appointment of Dr. Masaaki Yashiro as President of Aviza Technology Japan K.K. In this role, Dr. Yashiro will be responsible for managing day-to-day operations, supporting Aviza's current customer base in Japan and further broadening and strengthening Aviza's market presence in the region. * Aviza also announced a Joint Development Agreement with BOC (Bell Operating Company) One of 22 companies that was formerly part of AT&T and later organized into seven regional companies. See RBOC. Edwards (now known as The Linde Group), a leading supplier of technology, equipment and support services support services Psychology Non-health care-related ancillary services–eg, transportation, financial aid, support groups, homemaker services, respite services, and other services to the electronics and microelectronics industries, to develop ALD technology for advanced semiconductor manufacturing. The collaboration will utilize BOC Edwards' expertise in chemical precursor formulation and Aviza's advanced ALD hardware technology to optimize deposition processes for high-k materials and metals. * In support of the company's R&D efforts, Aviza announced the award of a multi-year grant of approximately 1.2 million GBP GBP In currencies, this is the abbreviation for the British Pound. Notes: The currency market, also known as the Foreign Exchange market, is the largest financial market in the world, with a daily average volume of over US $1 trillion. , or $2.2 million, from the Welsh Assembly Welsh Assembly n → Parlement gallois Government's Regional Selective Assistance program. Aviza plans to invest 6.4 million GBP over a multi-year period to enhance research, development and engineering capabilities at its Newport facility, where the Company designs, develops and manufactures single-wafer equipment and process technologies. This grant from the Welsh Assembly Government The Welsh Assembly Government (WAG) (Welsh: Llywodraeth Cynulliad Cymru, LlCC) was firstly an executive body of the National Assembly for Wales, consisting of the First Minister and his Cabinet from 1999 to 2007. will enable Aviza to further develop and strengthen its presence in Newport, Wales, in addition to complementing the company's R&D efforts at its Scotts Valley, California Scotts Valley is a small city located in eastern Santa Cruz County, California, United States, about ten miles (16 km) south of San Jose and six miles (10 km) north of the beach in the upland slope of the Santa Cruz Mountains. As of the 2000 census, the city population was 11,385. , global headquarters. FORECAST FOR SECOND FISCAL QUARTER ENDING MARCH 30, 2007 * Aviza expects that revenues for the second quarter of fiscal 2007 will be in the range of $60.0 million to $64.0 million, with operating income Operating Income The profit realized from a business' own operations. Notes: This would not include income from things such as investments in other firms. Also referred to as operating profit or recurring profit. in the range of $2.5 million to $3.0 million. COMPANY REPORTED NET INCOME IN FIRST QUARTER OF FISCAL 2007 Commenting on Aviza's results for the first quarter of fiscal 2007, Jerry Cutini, Aviza's President and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. , said, "We are extremely pleased with our most recent financial results. We once again exceeded our revenue guidance and this marks the fourth consecutive quarter in which we have demonstrated an increase in revenue. While we achieved operational profitability for the first quarter as anticipated, more significant was our reporting net income of $1.1 million." Cutini continued, "These financial achievements highlighted a quarter in which we maintained decisive focus. We achieved continued penetration of our ALD products and augmented our ALD relationships, as well as identified key opportunities in the power IC, wafer level packaging and memory IC markets to increase our revenue channels. Additionally, we enhanced our R&D resources, both externally and internally, and continued to leverage the momentum we established coming into the new fiscal year." Cutini concluded, "We remain confident in the Company's prospects and continue to strategically address the overall growth of our markets." OPERATING RESULTS FOR THE FIRST QUARTER OF FISCAL 2007 ENDED DECEMBER 29, 2006 Aviza's net sales Net Sales The amount a seller receives from the buyer after costs associated with the sale are deducted. Notes: This amount is calculated by subtracting the following items from gross sales: merchandise returned for credit, allowances for damaged or missing goods, freight for the first quarter of fiscal 2007 were $62.2 million, an increase of 19.6% over net sales for the fourth quarter of fiscal 2006 of $52.0 million, and a 114.9% increase over net sales of $28.9 million for the first quarter of fiscal 2006. The increase in revenues for the first quarter of fiscal 2007 is attributable to increased demand from major DRAM customers and continued penetration of the company's Etch and PVD PVD abbr. peripheral vascular disease PVD Peripheral vascular disease, see there systems, coupled with the conversion from "new technology" to "proven technology" of the Deep Silicon (DSi) Etch module in accordance with the Company's revenue recognition policy. The DSi module is designed to offer benefits to production users in system-in-package, wafer level packaging and conventional micro electro mechanical systems (MEMS (MicroElectroMechanical Systems) Tiny mechanical devices that are built onto semiconductor chips and are measured in micrometers. In the research labs since the 1980s, MEMS devices began to materialize as commercial products in the mid-1990s. ) applications. For the first quarter of fiscal 2007, the Company reported shipments of $62.8 million, compared to fourth quarter fiscal 2006 shipments of $44.6 million. The shipment amount includes all systems and parts shipped during the quarter and the related services for which Aviza holds a contract for current or future revenue. Income from operations for the first quarter of fiscal 2007 was $2.7 million, compared to $752,000 reported in the fourth quarter of fiscal 2006. During the first quarter of fiscal 2007, one of the subsidiaries Aviza acquired in connection with the merger transaction with Trikon generated sufficient taxable income Under the federal tax law, gross income reduced by adjustments and allowable deductions. It is the income against which tax rates are applied to compute an individual or entity's tax liability. The essence of taxable income is the accrual of some gain, profit, or benefit to a taxpayer. to begin utilizing net operating loss operating loss The excess of operating expenses over revenue. As with operating income, operating losses exclude revenues and expenses from operations that are not considered a regular part of the business. Also called deficit. Compare operating income. carry forwards acquired as part of the merger. Approximately $150,000, or $0.01 per share, of tax benefits recognized reduced the carrying value Carrying Value Also know as "book value," it is a company's total assets minus intangible assets and liabilities, such as debt. Notes: This is different than market value, as it can be higher or lower depending on the circumstances. of the non current intangible assets acquired in the merger, rather than benefiting income tax expense in accordance with treatment prescribed in SFAS SFAS Statement of Financial Accounting Standards SFAS Special Forces Assessment and Selection SFAS Student Financial Aid Services SFAS Sport Fishing Association of Singapore SFAS Safety Features Actuation System SFAS Statewide Fixed Assets System No. 109, Accounting for Income Taxes. Aviza's net income for the first quarter of fiscal 2007 was $1.1 million, or $0.07 per share, compared to a net loss for the fourth quarter of fiscal 2006 of $779,000, or $0.05 per share. The increase in net income was primarily attributable to an improvement in product mix. Aviza's results of operations for the first quarter of fiscal 2007 included non-cash charges. The Company recorded depreciation expense of $924,000, amortization expense of $514,000 (including $386,000 related to the amortization of debt issuance costs and the fair value of warrants), and SFAS 123R stock-based compensation expense of $437,000. TO ACCESS THE LIVE WEB CAST Investors will have the opportunity to listen to the conference call over the Internet. To listen to the live web cast today at 4:30 p.m. EST / 1:30 p.m. PST PST Paroxysmal supraventricular tachycardia, see there , log on to the Aviza website at www.avizatechnology.com. To access the live conference call today at 4:30 p.m. EST / 1:30 p.m. PST, dial 303-262-2137 or 800-240-2430. TO ACCESS A REPLAY OF THE WEB CAST A digital replay will be available on Aviza's website at www.avizatechnology.com under "Calendar of Events" in the "Investors" section of the website two hours after the conclusion of the conference call. A telephone replay will also be available two hours after the conclusion of the conference call from February 1 to February 3, 2007. You may access the telephone replay by dialing 303-590-3000 or 800-405-2236 and entering confirmation code 11082251#. SAFE HARBOR Safe Harbor 1. A legal provision to reduce or eliminate liability as long as good faith is demonstrated. 2. A form of shark repellent implemented by a target company acquiring a business that is so poorly regulated that the target itself is less attractive. STATEMENT This press release contains forward-looking statements. These forward-looking statements are based on our management's current expectations and beliefs and involve numerous risks and uncertainties that could cause actual results to differ materially from expectations. You should not rely upon these forward-looking statements as predictions of future events because we cannot assure you that the events or circumstances reflected in these statements will be achieved or will occur. These forward-looking statements include, but are not limited to, the statements made by Jerry Cutini and all statements containing the words "believes," "expects," "forecast," "may," "will," "should," "seeks," "intends," "plans," "estimates" or "anticipates" or the negative of these words and phrases Words and Phrases® A multivolume set of law books published by West Group containing thousands of judicial definitions of words and phrases, arranged alphabetically, from 1658 to the present. or other variations of these words and phrases or comparable terminology. Many factors could cause our actual results to differ materially from those projected in these forward-looking statements, including, but not limited to: variability of our revenues and financial performance; risks associated with product development and technological changes; the acceptance of our products in the marketplace by existing and potential future customers; disruption of operations or increases in expenses due to our involvement in litigation An action brought in court to enforce a particular right. The act or process of bringing a lawsuit in and of itself; a judicial contest; any dispute. When a person begins a civil lawsuit, the person enters into a process called litigation. or caused by civil or political unrest or other catastrophic events; general economic conditions and conditions in the semiconductor industry in particular; the continued employment of our key personnel and risks associated with competition. Some of these factors and other important factors are detailed in various Securities and Exchange Commission filings that we have made, particularly in our most recent Annual Report on Form 10-K Form 10-K A report required by the SEC from exchange-listed companies that provides for annual disclosure of certain financial information. Form 10-K See 10-K. and registration statement on Form S-1 (File No. 333-139831), copies of which are available from us without charge. Please review these filings and do not place undue reliance on these forward-looking statements. We assume no obligation to update these forward-looking statements. About Aviza Technology, Inc. Aviza Technology, Inc. designs, manufactures, sells and supports advanced semiconductor capital equipment and process technologies for the global semiconductor industry and related markets. The company's systems are used in a variety of segments of the semiconductor market, such as advanced silicon for memory devices, advanced 3-D packaging and power integrated circuits Power integrated circuits Integrated circuits that are capable of driving a power load. The key feature of a power integrated circuit that differentiates it from other semiconductor technologies is its ability to handle high voltage, high current, or a for communications. Aviza's common stock is publicly traded on the NASDAQ Global Market (NASDAQ GM:AVZA). Aviza is headquartered in Scotts Valley, Calif., with manufacturing, R&D, sales and customer support facilities located in the UK, Germany, France, Taiwan, China, Japan, Korea, Singapore and Malaysia. Additional information about the company can be found at http://www.avizatechnology.com. [TABLE OMITTED] [TABLE OMITTED] |
|
||||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion