Credence Systems Reports Record Results for the Third Fiscal Quarter of 2000.Business Editors/High-Tech Writers FREMONT Fremont (frē`mŏnt). 1 City (1990 pop. 173,339), Alameda co., W Calif., on San Francisco Bay; inc. 1956. Long an agricultural center, with champagne vineyards founded (1870) by Leland Stanford, it still ships fruits and vegetables. , Calif.--(BUSINESS WIRE)--Aug. 10, 2000 Credence Systems Credence Systems Corporation (NASDAQ: CMOS), is a manufacturer of test and analytical equipment for the global semiconductor industry. Founded in 1978, it is publicly traded on the Nasdaq stock market under the symbol CMOS. Corporation (Nasdaq:CMOS (Complementary Metal Oxide Semiconductor) Pronounced "c-moss." The most widely used integrated circuit design. It is found in almost every electronic product from handheld devices to mainframes. ) today reported record results for its third fiscal quarter ended July July: see month. 31, 2000. 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 were $204.0 million, an increase of 289 percent from net sales of $52.4 million in the third quarter of fiscal 1999. Net sales were up 33% sequentially se·quen·tial adj. 1. Forming or characterized by a sequence, as of units or musical notes. 2. Sequent. se·quen , from net sales of $153.8 million in the company's second fiscal quarter. Net income for the third quarter of fiscal 2000 was $41.0 million or $0.74 per diluted di·lute tr.v. di·lut·ed, di·lut·ing, di·lutes 1. To make thinner or less concentrated by adding a liquid such as water. 2. To lessen the force, strength, purity, or brilliance of, especially by admixture. share, compared to net income of $2.9 million in the third quarter of 1999. Net income for the third quarter was up 22% sequentially from the second fiscal quarter of 2000 when the company reported net income of $33.5 million or $0.63 per diluted share. Included in the results of the company's third quarter is an $8.3 million pre-tax pre-tax adj → anterior al impuesto pre-tax adj → avant impôt(s) pre-tax adj → al lordo d'imposta charge associated with the acquisition of in-process research and development ("IPR&D") from TMT TMT 1 Tarsometatarsal 2 Thermomechanical treatment 3 Treatment, see there , Inc. In addition, the company recorded a tax charge of $2.9 million for income taxes associated with this IPR&D charge. Before these special charges, the company's pro-forma net income for the third quarter was $49.3 million or $0.89 per diluted share. Dr. Graham Siddall, Credence's president and chief executive officer said, "Our growth continued to be robust during the quarter and we recorded more revenue in this third quarter than we did in all of fiscal 1999. Credence had a book-to-bill ratio Book-to-Bill Ratio The technology industry's demand-to-supply ratio for orders on a "firm's book" to number of orders filled. Notes: This ratio tells whether the company has more orders than it can deliver (if greater than 1), has the same amount of orders that it can of 1.26 to 1 even after sequential One after the other in some consecutive order such as by name or number. quarter-over-quarter growth in revenue of 33 percent. We believe this growth is the result of market share gains in all of our business segments." Credence's executive vice president and chief financial officer, Dennis Dennis is a male first name derived from the Greco-Roman name Dionysius meaning "servant of Dionysus", the Thracian god of wine, which is ultimately derived from the Greek Dios (Διος, "of Zeus") combined with Nysos or Nysa (Νυσα), where the P. Wolf, said "Our operating performance continued to be strong this quarter with gross margins at 60.4 percent and operating margins Operating Margin A ratio used to measure a company's pricing strategy and operating efficiency. Calculated by: before the IPR&D charge of 34.6 percent. The adjusted operating margin was the highest in our history as we recorded more income in this third fiscal quarter of 2000 than in any full year in our history. We also increased our commitment in the high-growth communications test sector with the acquisition of TMT, Inc. on May 12, 2000 and the acquisition of Modulation modulation, in communications modulation, in communications, process in which some characteristic of a wave (the carrier wave) is made to vary in accordance with an information-bearing signal wave (the modulating wave); demodulation is the process by which Instruments, Inc. on August 1, 2000." The TMT acquisition cost is reflected in "Other assets other assets Assets of relatively small value. For financial reporting purposes, firms frequently combine small assets into a single category rather than listing each item separately. " on the July 31, 2000 balance sheet. Credence Systems Corporation is a leader in the manufacture of automatic test equipment (ATE) for the worldwide semiconductor industry. Credence offers a wide range of products with test capabilities for digital, mixed-signal, and non-volatile memory Refers to memory chips that hold their content without power being applied. It may refer to chips that are not changeable, such as ROMs and PROMs, or to chips that can be rewritten many times such as flash memory. semiconductors. Utilizing its proprietary CMOS technologies, Credence products are designed to meet the strict time-to-market and ownership requirements of its customers. Headquartered in Fremont, the company maintains advanced production and design facilities in Hillsboro, Oregon Hillsboro is a city in and county seat of Washington County, Oregon, United States.GR6 The community began in 1842 and was named Hillsborough in 1850, before incorporation in 1876 as Hillsboro. . Credence, an ISO (1) See ISO speed. (2) (International Organization for Standardization, Geneva, Switzerland, www.iso.ch) An organization that sets international standards, founded in 1946. The U.S. member body is ANSI. 9001 certified See certification. manufacturer, is listed on the Nasdaq National Market under the symbol CMOS. More information is available at http://www.credence.com. Statements in this release that are forward looking and involve known and unknown risks and uncertainties, which may cause the Company's actual results in future periods to be materially different from the future performance suggested in this release. Such factors include, but are not limited to, economic and currency instability instability /in·sta·bil·i·ty/ (-stah-bil´i-te) lack of steadiness or stability. detrusor instability in the Asia Pacific region, fluctuation Fluctuation A price or interest rate change. in customer demand, timing and volume of orders and shipments, competition and pricing pressures, reliability and quality issues, the Company's ability to complete the development of its new products, product mix, overhead absorption absorption [Lat.,=sucking from], taking of molecules of one substance directly into another substance. It is contrasted with adsorption, in which the molecules adhere only to the surface of the second substance. , cyclicality and downturns in the semiconductor industry, continued dependence on "turns" orders to achieve revenue objectives, the Company's ability to have an appropriate amount of production capacity in a timely manner, the timing of new technology, product introductions, the risk of early obsolescence ob·so·les·cent adj. 1. Being in the process of passing out of use or usefulness; becoming obsolete. 2. Biology Gradually disappearing; imperfectly or only slightly developed. and the Company's ability to control expenses (including the ability to identify and successfully institute additional cost-saving measures). Further, the Company operates in an industry sector where securities values are highly volatile and may be influenced by economic and other factors beyond the Company's control. Reference is made to the discussion of risk factors detailed in the Company's filings with the Securities and Exchange Commission, including its reports 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 10-Q. The Company assumes no obligation to update the information in this press release. Note to Editors: Credence, Credence Systems, Kalos, Personal Kalos and Quartet Quartet™ Respiratory care A system for diagnosing and managing obstructive sleep apnea Modes Continuous, bi-level pressure, automatic 'smart' CPAP modes. See Obstructive sleep apnea. are trademarks of Credence Systems Corporation. Other trademarks, which may be mentioned in this release, are the intellectual property of their respective owners.
CREDENCE SYSTEMS CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except per share amounts)
(Unaudited)
Prior
Three Months Quarter Nine Months
Ended Ended Ended
July 31, April 30, July 31,
---------------------------------------------------
2000 1999 2000 2000 1999
---------------------------------------------------
Net sales $204,000 $ 52,378 $153,754 $459,522 $116,968
Cost of goods
sold - on
net sales 80,765 24,826 62,796 186,584 59,103
--------- --------- --------- --------- ---------
Gross margin 123,235 27,552 90,958 272,938 57,865
Operating
expenses:
Research and
development 19,490 9,185 15,525 48,176 26,736
Selling,
general &
administrative 29,885 14,184 24,891 74,120 40,287
Amortization
of purchased
intangibles 3,360 446 1,355 5,491 1,044
In-process
research and
development 8,282 -- -- 8,282 --
Special charges -- -- -- -- 6,231
--------- --------- --------- --------- ---------
Total
operating
expenses 61,017 23,815 41,771 136,069 74,298
--------- --------- --------- --------- ---------
Operating
income (loss) 62,218 3,737 49,187 136,869 (16,433)
Interest and
other income
(expenses), net 5,874 (6) 2,809 9,366 (67)
--------- --------- --------- --------- ---------
Income (loss)
before income
taxes 68,092 3,731 51,996 146,235 (16,500)
Income taxes
(benefit) 27,113 1,352 18,458 54,853 (5,948)
Minority
interest
(benefit) (18) (15) 44 29 (31)
--------- --------- --------- --------- ---------
Net income
(loss) before
extraordinary
items $ 40,997 $ 2,364 $ 33,494 $ 91,353 $(10,583)
========= ========= ========= ========= =========
Gain on
extinguishment
of debt -- 488 -- -- 1,646
Net income
(loss) $ 40,997 $ 2,852 $ 33,494 $ 91,353 $ (8,937)
========= ========= ========= ========= =========
Net income
(loss) per
share
Basic $ 0.82 $ 0.07 $ 0.70 $ 1.94 $ (0.21)
========= ========= ========= ========= =========
Diluted $ 0.74 $ 0.06 $ 0.63 1.75 $ (0.21)
========= ========= ========= ========= =========
Number of
shares used in
computing per
share amount
Basic 49,802 42,514 47,984 47,200 41,748
========= ========= ========= ========= =========
==============
Diluted 55,101 44,232 53,010 52,079 41,748
========= ========= ========= ========= =========
CREDENCE SYSTEMS CORPORATION
CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands)
Prior Quarter
July 31, April 30, October 31,
------------- ------------- ------------
2000 2000 1999
------------- ------------- ------------
(unaudited) (unaudited)
ASSETS
Current assets:
Cash and cash equivalents $ 133,498 $ 201,334 $ 52,104
Short-term investments 142,112 66,414 39,774
Accounts receivable, net 160,248 131,141 71,506
Inventories 73,392 55,701 40,284
Other current assets 24,707 23,954 24,045
--------- --------- ----------
Total current assets 533,957 478,544 227,713
Long-term investments 137,344 181,028 50,005
Property and equipment, net 54,488 48,850 43,063
Other assets 89,452 20,291 19,639
--------- --------- ----------
Total assets $ 815,241 $ 728,713 $ 340,420
========= ========= ==========
LIABILITIES AND STOCKHOLDERS'
EQUITY
Current liabilities:
Accounts payable $ 41,948 $ 40,461 $ 23,611
Accrued liabilities 57,428 38,260 31,163
Income taxes payable 13,430 17,401 6,212
--------- --------- ----------
Total current
liabilities 112,806 96,122 60,986
Convertible subordinated
notes 96,213 96,249 96,610
Long term deferred
tax liability 14,262 867 1,134
Minority interest 312 330 282
Stockholders' equity 591,648 535,145 181,408
--------- --------- ----------
Total liabilities and
stockholders' equity $ 815,241 $ 728,713 $ 340,420
========= ========= ==========
|
|
||||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion