ASM INTERNATIONAL REPORTS IMPROVED THIRD QUARTER
AND NINE MONTHS OPERATING RESULTS
BILTHOVEN, the Netherlands, Nov. 22 /PRNewswire/ -- ASM International N.V. (NASDAQ-NMS: ASMIF), the Netherlands-headquartered manufacturer of semiconductor equipment, today reported improved operating results for the third quarter and nine months ended Sept. 30, 1991. Third quarter revenues advanced 96 percent year to year. The company reported a profit versus a substantial loss in 1990. Nine months revenues were up 48 percent; net income including a gain from the previously reported sale of additional shares in the company's Asian subsidiary, ASM Pacific Technology, Ltd., which is listed on the Hong Kong Stock Exchange, reflected a turnaround from the loss reported for the comparable period in 1990.
For the quarter, per share earnings equaled Dfls 0.09, compared to a loss of Dfls 1.70 for the third quarter of 1990. Nine months earnings per share totaled Dfls 1.03 versus a loss of Dfls 1.88 in the similar period last year.
"Despite weak semiconductor industry demand, all ASM subsidiaries realized sales gains compared to this time last year," commented Arthur H. del Prado, president and chief executive officer. "This growth reflects contributions from a diverse stream of established and newer generation products, covering both wafer processing and assembly and encapsulation equipment.
"In the backend area, ASM Fico is enjoying another good year based on its very strong market position in the tooling and encapsulation markets. ASM Pacific Technology, Ltd. returned to more normal profit levels following a period of heavy investment for new facilities in China and Singapore. These investments were necessary to support future industry growth in this area of the world. The factory in mainland China is now onstream supplying parts and subassemblies for our Hong Kong operations."
The company's front-end operations showed varied strengths. U.S. operations were profitable reflecting the strength of its epitaxial operations "which are technology-driven and thus less affected by problems in the equipment industry." Del Prado said that ASM Epitaxy, which introduced its first reactor three years ago, is now a leader in the world epi market.
"Although our traditional front-end products have been resilient in this market, heavy R&D commitments, particularly for our cluster products and new products set for introduction in the fourth quarter at Semicon/Japan, negatively impacted the overall performance of our front- end groups," he continued. The R&D expenses of the Japanese operations plus delays in capital expenditures by the major Japanese semiconductor manufacturers for 4-megabit production facilities adversely affected the results of ASM's Japanese subsidiary.
During the quarter, the company acquired the assets and technology for the Enhanced Vertical Thermal Reactor (EVTR) from General Signal ThinFilm Company. "This is significant technology and affords us an accelerated market entry. The EVTR complements our technology in the chemical vapor deposition field.
"We expect the fourth quarter to be a continuation of our turnaround momentum for 1991," del Prado concluded. Excluding the amounts related to the technology contract with the USSR which will be completed this year, company backlog stood at Dfls 190 million at Sept. 30, up 6 percent from the level at Sept. 30, 1990, and on a par with comparable backlog figures at the end of the second quarter of the current year.
Advanced Semiconductor Materials International N.V., headquartered in Bilthoven, designs, manufactures and markets equipment and materials used to produce semiconductor devices. The company provides production solutions for the wafer processing, assembly and encapsulation areas through its facilities in Japan, the United States, Europe and Asia. U.S. operations are headquartered in Phoenix, Ariz.
NOTE: At Sept. 30, 1991, 1.8750 Dfls equaled one U.S. dollar.
ASM INTERNATIONAL N.V.
Consolidated Statements of Earnings (Unaudited)
(In Netherlands guilders, thousands except per share)
Periods ended Three Months Nine Months
Sept. 30 1991 1990 1991 1990(A)
Net sales Dfls 141,274 72,075 390,324 264,062
Cost and expenses:
Cost of sales 89,252 49,331 252,916 162,956
Selling, general and admin. 32,025 22,857 92,395 72,388
Research and development 12,505 9,016 31,865 28,514
Interest, net 4,678 3,450 14,118 10,164
Foreign currency transaction
(gains) losses 1,715 65 (121) 393
Total 140,175 84,719 391,173 274,415
Earnings (loss) before income
taxes, non-operating income
and minority interest in net
earnings of subsidiary 1,099 (12,644) (849) (10,353)
Income taxes (credit) (1,061) (409) (1,084) 848
Earnings (loss) before non-
operating income and minority
interest in net earnings of
subsidiary 2,160 (12,235) 235 (11,201)
Non-operating income: gain on
sale of common stock of
subsidiary -- -- 10,155 --
Earnings before minority
interest in net earnings
of subsidiary 2,160 (12,235) 10,390 (11,201)
Minority interest in net
earnings of subsidiary 1,524 382 2,792 2,735
Net earnings (loss) Dfls 636 (12,617) 7,598 (13,936)
Earnings (loss) per share:
Before non-operating income
and minority interest Dfls 0.29 (1.65) 0.03 (1.51)
Before minority interest 0.29 (1.65) 1.40 (1.51)
Net earnings (loss) 0.09 (1.70) 1.03 (1.88)
Weighted average number of
common and common equivalent
shares outstanding 7,404 7,404 7,404 7,404
(A) -- Restated to reflect the correction of an error with regard to the recognition of certain revenues.
/CONTACT: Hans Peter Hukshorn of ASM, in Bilthoven, the Netherlands, 011-31-30-28-18-36; or Mary Jo Dieckhaus, in New York, 212-691-1808, for ASM/
(ASMIF) CO: ASM International N.V. ST: Arizona IN: CPR SU: ERN GK-TS -- NY009 -- 6237 11/22/91 08:35 EST