financials:
GSI Lumonics Inc. and Subsidiaries
Consolidated Balance Sheets
(in thousands of U.S. dollars, except share amounts)
As of December 31,
1999 1998
ASSETS
Current
Cash and cash equivalents $25,272 $24,229
Short-term investments 7,342 8,098
Accounts receivable, less
allowance of $3,197
(1998-$311) 80,448 31,673
Due from related party 3,235 3,844
Inventories 72,727 44,096
Deferred tax assets 24,473 3,214
Other current assets 2,338 5,091
Current portion of swap
contracts 1,411 1,076
Total current assets 217,246 121,321
Property, plant and equipment,
net of accumulated depreciation
of $28,024 (1998 - $24,299) 45,278 32,209
Long-term portion of swap
contracts - 1,076
Other assets 3,851 964
Intangible assets, net of
amortization of $8,689
(1998 - $2,953) 23,347 4,072
$289,722 $159,642
LIABILITIES AND STOCKHOLDERS'
EQUITY
Current
Bank indebtedness $23,100 $7,261
Accounts payable 28,094 5,605
Accrued compensation and
benefits 13,709 3,456
Other accrued expenses and
income taxes 43,067 15,481
Current portion of deferred
compensation 124 -
Current portion of
long-term debt 5,425 3,541
Total current liabilities 113,519 35,344
Long-term debt due after
one year - 3,541
Deferred income tax
liability 2,397 -
Deferred compensation, less
current portion 2,076 -
Total liabilities 117,992 38,885
Commitments and contingencies
Capital stock, no par value;
Issued common shares of
34,298,942
(1998 - 17,056,001) 222,865 138,871
Deficit (44,225) (9,451)
Accumulated other
comprehensive income (6,910) (8,663)
Total stockholders' equity 171,730 120,757
$289,722 $159,642
GSI Lumonics Inc. and Subsidiaries
Consolidated Statements of Operations
(in thousands of U.S. dollars, except share amounts)
Three months ended Year ended
Dec. 31, Dec. 31, Dec. 31, Dec. 31,
1999 1998 1999 1998
Sales $88,667 $33,982 $ 274,550 $ 144,192
Cost of goods sold 54,273 25,205 178,773 103,519
Gross profit 34,394 8,777 95,777 40,673
Operating expenses:
Research and
development 8,676 2,947 28,700 12,985
Selling, general and
administrative 17,931 9,491 64,653 38,191
Amortization of
technology and other
intangibles 1,251 582 4,070 861
Acquired in-process
research and development - - 14,830 -
Restructuring and other
charges - (64) 19,631 2,022
Income (loss) from
operations 6,536 (4,179) (36,107) (13,386)
Gain on sale of assets 1,599 - 1,599 -
Interest income
(expense), net (14) 571 89 1,578
Foreign exchange
transaction gains
(losses) (1,767) (30) (2,911) 632
Income (loss) before
income taxes 6,354 (3,638) (37,330) (11,176)
Income taxes provision
(benefit) 2,115 (1,058) (2,556) (3,260)
Net income (loss) $4,239 $ (2,580) $ (34,774) $(7,916)
Net income (loss) per
common share:
Basic $0.12 $ (0.15) $ (1.14) $ (0.46)
Diluted $0.12 $ (0.15) $ (1.14) $ (0.46)
Weighted average common
shares outstanding
(000's) 34,222 17,044 30,442 17,079
Weighted average common
shares outstanding and
dilutive potential
common shares (000's) 35,755 17,044 30,442 17,079
GSI Lumonics Inc.
Consolidated Statements of Cash Flows
(in thousands of U.S. dollars)
Year ended
December 31, December 31,
1999 1998
Cash flows from operating activities:
Net (loss) for the year $ (34,774) $ (7,916)
Adjustments to reconcile net income
(loss) to net cash (used in)
operating activities:
Acquired in-process research
and development 14,830 -
Gain on sale of assets (1,599) -
Depreciation and amortization 15,177 5,600
Deferred compensation 78 -
Deferred income taxes (1,704) (1,306)
Unrealized currency exchange loss 1,326 330
Changes in current assets and
liabilities:
Accounts Receivable (14,448) 14,408
Inventories 6,084 (8,343)
Other current assets 4,540 (3,321)
Accounts payable, accrued expenses,
and taxes payable 6,073 (6,360)
Net cash (used in) operating
activities (4,417) (6,908)
Cash flows from investing activities:
Merger with General Scanning Inc. 1,451 -
Acquisition of Lumonics Pacific KK (336) -
Acquisition of Meteor Optics Inc. - (1,158)
Sale of assets 3,940 -
Additions to property, plant and
equipment, net (6,219) (13,568)
Maturity of short-term investments 8,208 47,091
Purchase of short-term investments (7,342) (43,522)
(Increase) in other assets (609) (102)
Cash (used in) investing activities (907) (11,259)
Cash flows from financing activities:
Proceeds (payments) of bank
indebtedness, net 7,502 (7,865)
Payments on long-term debt (2,617) (2,325)
Issue of share capital (net of
issue costs) 466 233
Repurchase of common shares - (627)
Cash provided by (used in) financing
activities 5,351 (10,584)
Effect of exchange rates on cash and
cash equivalents 1,016 (3,848)
Increase (decrease) in cash and
cash equivalents 1,043 (32,599)
Cash and cash equivalents,
beginning of year 24,229 56,828
Cash and cash equivalents,
end of year $ 25,272 $ 24,229
GSI Lumonics Inc.
Consolidated Sales Analysis By Market Sector and Geographic Region
[millions of U.S. dollars]
Year ended Year ended
(unaudited) December 31, 1999 December 31, 1998
% of % of
Market Sector: Sales Total Sales Total
Semiconductor $34.5 13% $14.0 10%
Electronics 67.9 25% 30.8 21%
Automotive 12.0 5% 13.6 10%
Aerospace 15.0 5% 13.1 9%
Packaging 11.9 4% 13.5 9%
Emerging 10.3 4% 15.1 10%
Medical/Biotechnology 50.3 18% 4.2 3%
Components 33.4 12% 7.4 5%
Parts & Service 39.3 14% 32.5 23%
Total $274.6 100% 144.2 100%
Geographic Region:
USA $143.0 52% $61.3 43%
Canada 10.8 4% 8.3 6%
Latin & South America 1.6 0% 0.6 0%
Europe 65.3 24% 40.4 28%
Japan 32.7 12% 16.0 11%
Asia-Pacific 21.2 8% 17.6 12%
Total $274.6 100% 144.2 100%
GSI Lumonics Inc.
Consolidated Sales Analysis By Market Sector and Geographic Region
[millions of U.S. dollars]
Three months endedThree months ended
(unaudited) December 31, 1999December 31, 1998
% of % of
Market Sector: Sales Total Sales Total
Semiconductor $12.5 14% $2.0 7%
Electronics 26.1 29% 7.6 22%
Automotive 4.9 6% 4.5 13%
Aerospace 1.3 1% 2.1 6%
Packaging 2.3 3% 4.1 12%
Emerging 1.6 2% 2.5 7%
Medical/Biotechnology 17.9 20% 0.6 2%
Components 10.3 12% 2.0 6%
Parts & Service 11.8 13% 8.6 25%
Total $88.7 100% 34.0 100%
Geographic Region:
USA $51.9 59% $14.1 41%
Canada 4.1 5% 1.9 6%
Latin & South America 0.5 0% 0.2 1%
Europe 17.8 20% 10.4 31%
Japan 9.6 11% 3.1 9%
Asia-Pacific 4.8 5% 4.3 12%
Total $88.7 100% 34.0 100% |
