Income, growth soaring for IPG; Fiber laser firm strong in 4th Q.
OXFORD - Reporting its first financial results as a public company, fiber laser maker IPG Photonics Inc. said yesterday that net income for the fourth quarter ended Dec. 31 rose to $16.6 million from $3.9 million in the same period of 2005.
Revenues increased 23 percent to $42.1 million in the fourth quarter from $34.1 million.
For the year, net income was $29.2 million, up from $7.4 million in 2005. Revenue soared 49 percent to $143.2 million.
IPG, which had an initial public offering of its stock Dec. 12, said it performed "exceedingly well" in the fourth quarter, with growth driven by sales of fiber lasers for materials processing applications. Materials processing accounts for nearly three-quarters of sales. Customers in the automotive, manufacturing, aerospace, industrial, semiconductor and consumer segments use IPG lasers to mark, cut and weld various materials.
IPG also sells fiber lasers and amplifiers for advanced applications, medical uses, such a skin rejuvenation and wrinkle removal, and communications.
On a per diluted share basis in the fourth quarter, IPG reported a net loss of 11 cents, compared with net income of 11 cents per share in the same three months of 2005. The earnings-per-share calculation in the latest period included, among others, the effect of a one-time dividend of $18.3 million related to the conversion of preferred stock in the company's IPO.
For the year, net income per diluted share was 26 cents, up from 16 cents in 2005.
The company reported adjusted earnings per share in the fourth quarter of 17 cents, up from 11 cents in the same period of 2005. Adjusted net income excludes certain charges, a benefit and the effect of the dividend. For the year, adjusted net income was 61 cents per share, up from 21 cents per share in 2005.
IPG reported cash and cash equivalents of $75.7 million at Dec. 31, up from $8.4 million at the end of 2005.
The company said it expects revenues in the first quarter of this year to be in the range of $38 million to $41 million and earnings per diluted share in the range of 10 cents to 14 cents per share.
"Based on our strong backlog and continued robust demand for our products, including growing OEM orders, we anticipate strong financial performance throughout 2007," said Chief Executive Officer Valentin P. Gapontsev in a prepared statement.
Among milestones last year that included the IPO, the company said it won several new orders from original equipment manufacturers, or OEMs, opened a new application center in Germany and won approval for an office in China. It also is bringing on line 30,000 square feet of additional diode-related capacity at its Oxford plant. Diodes are key parts of IPG's lasers.
IPG employs about 1,000 worldwide, including 300 in Oxford.
Contact business editor Andi Esposito by e-mail at firstname.lastname@example.org.
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|Publication:||Telegram & Gazette (Worcester, MA)|
|Article Type:||Financial report|
|Date:||Mar 7, 2007|
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