In case anyone still cares:
SpeedFam-IPEC Announces First Fiscal Quarter Results
CHANDLER, Ariz.--(BUSINESS WIRE)--Sept. 20, 2001--SpeedFam-IPEC, Inc. (Nasdaq: SFAM - news), a global supplier of leading-edge chemical mechanical planarization (CMP) systems for the semiconductor industry, today announced its results for the first fiscal quarter ended Sept. 1, 2001. Total revenue for the first fiscal quarter was $41.1 million, compared with $51.3 million reported for the fourth fiscal quarter of 2001 and with $73.0 million for the same quarter a year ago. The net loss for the quarter was $15.2 million, or $0.50 per share, up from a net loss of $11.7 million, or $0.39 per share, for the fourth quarter and down from a net loss of $69.5 million, or $2.33 per share, for the same quarter a year ago.
During the first quarter of fiscal 2002, the company elected early adoption of FAS 142, ``Goodwill and Other Intangible Assets'', which changes the accounting and measurement of goodwill and intangible assets. In connection with the adoption of FAS 142, the company recorded a $2.6-million goodwill impairment loss that is classified as a cumulative effect of a change in accounting principle. Exclusive of this cumulative effect, the net loss for the first fiscal quarter was $12.6 million, or $0.42 per share. The net loss for the fourth quarter, excluding the gain on sale of land, was $13.5 million, or $0.45 per share. Results for the first quarter of fiscal 2001 included the cumulative effect of a change in accounting principle of $36.5 million, or $1.23 per share, related to the adoption of SAB 101, ``Revenue Recognition in Financial Statements''. The loss for the first quarter of fiscal 2001, excluding one-time charges, was $11.3 million, or $0.38 per share.
``Our focus during this downturn continues to be on placing Momentum(TM) CMP systems at leading device manufacturers, maximizing revenue from our installed base while controlling operating expenses, and preparing the company for success at the upturn,'' said Richard J. Faubert, president and chief executive officer of SpeedFam-IPEC. ``We are pleased with the progress we have made with the placement of Momentum systems and currently have 10 Momentum-based tools installed or pending installation at six leading device manufacturers in the United States, Europe, Korea, and Taiwan. During the quarter, we redoubled our expense control efforts with a reduction in worldwide headcount. In addition, during this downturn, we are focused on implementing procedures, such as reducing supply chain and manufacturing cycle times, which will facilitate a faster ramp at the next upturn. Cumulatively, we believe that these measures have strengthened the company and will position us for success.''
Conference Call
SpeedFam-IPEC, Inc. will host a quarterly conference call today at 5 p.m. Eastern Daylight Time. The live conference call and a subsequent replay will be available via webcast at www.sfamipec.com or www.streetfusion.com, for seven days. A telephonic replay will also be available for seven days after the live call at 703/326-3020, access code no. 5512228.
SpeedFam-IPEC, Inc.
SpeedFam-IPEC, Inc. is a pioneer and innovator in the manufacture of chemical mechanical planarization (CMP) systems used in the fabrication of next-generation semiconductor devices. The company also markets and distributes parts used in CMP and precision surface processing. With headquarters in Chandler, Ariz., and offices throughout the world, SpeedFam-IPEC is publicly traded on Nasdaq under the symbol SFAM. The company's website is www.sfamipec.com.
This news release contains forward-looking statements concerning our financial results, cost control measures and Momentum. These statements are subject to known and unknown risks and uncertainties. Actual results could differ. Savings from our cost control measures may be less than anticipated. The economic downturn may continue longer than anticipated. We may not be successful in reducing supply chain and manufacturing cycle times. Even if we are, we may not be able to maintain or increase our share of the CMP market, due to many factors. We may encounter problems with our Momentum product, such as not having adequate manufacturing capacity, technological problems, and lack of customer acceptance. We may not be able to achieve the high levels of customer satisfaction to obtain repeat business from existing customers. We may not be successful in our efforts to develop new accounts. See SpeedFam-IPEC's filings with the SEC, including the Annual Report on Form 10-K filed on August 24, 2001, for additional risks affecting the company.
SPEEDFAM-IPEC, INC. AND CONSOLIDATED SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(dollars and shares in thousands, except per-share data)
First Quarter Ended
September 1, September 1,
2001 2000(1)
Net sales $ 41,082 $ 73,019
Cost of sales 31,695 57,085
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Gross margin 9,387 15,934
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Operating expenses:
Research and development 12,388 16,557
Selling, general
and administrative 8,120 16,453
Restructuring charges -- 5,123
-------- --------
Total operating expenses 20,508 38,133
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Operating income (loss) (11,121) (22,199)
Other income (expense), net (1,502) (121)
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Income (loss) from
consolidated companies (12,623) (22,320)
Gain (loss) on sale
of joint venture interest -- (10,763)
Equity in net earnings
(loss) of affiliates -- 110
-------- --------
Income (loss) before
cumulative effect of change
in accounting principle (12,623) (32,973)
Cumulative effect
of change in accounting principle (2,582) (36,542)
-------- --------
Net income (loss)
attributable to common stockholders $(15,205) $(69,515)
======== ========
Net income (loss) per share:
Net income (loss) before cumulative
effect of change in
accounting principle $ (0.42) $ (1.10)
Cumulative effect of change
in accounting principle $ (0.08) $ (1.23)
Net income (loss)
attributable to
common stockholders:
Basic $ (0.50) $ (2.33)
Diluted $ (0.50) $ (2.33)
Weighted average
number of shares:
Basic 30,223 29,818
Diluted 30,223 29,818
(1) Restated for the adoption of SAB 101.
SPEEDFAM-IPEC, INC. AND CONSOLIDATED SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands)
September 1, June 2,
2001 2001(2)
ASSETS
Current assets:
Cash, cash equivalents
and short-term investments $ 50,193 $ 60,839
Trade accounts receivable, net 46,592 60,619
Inventories 86,564 83,857
Shipped systems pending acceptance 8,735 13,953
Other current assets 3,504 4,549
-------- --------
Total current assets 195,588 223,817
Property, plant and equipment, net 73,248 75,241
Other assets 15,614 15,827
-------- --------
Total assets $284,450 $314,885
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LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Current portion of long-term debt $ 173 $ 229
Accounts payable 18,257 23,314
Deferred revenue 34,443 46,281
Other current liabilities 20,113 18,085
-------- --------
Total current liabilities 72,986 87,909
Long-term debt 115,105 115,124
Other liabilities 4,976 5,911
-------- --------
Total liabilities 193,067 208,944
Stockholders' equity 91,383 105,941
-------- --------
Total liabilities and
stockholders' equity $284,450 $314,885
======== ========
(2) Certain prior period amounts have been reclassified to conform
with the current year presentation. |
