Brooks Announces Revised Outlook On Q4 FY2001
FRIDAY, SEPTEMBER 28, 2001 1:43 PM
- BusinessWire
CHELMSFORD, Mass., Sep 28, 2001 (BUSINESS WIRE) -- Brooks Automation, Inc. (NASDAQ:BRKS) announced Friday that events of the past few weeks have changed its outlook on anticipated results for its fiscal fourth quarter, ending September 30, 2001. Revenues for the September quarter are likely to be in the range of $60-63 million, down from the $70-80 million mentioned in its press release of July 25, 2001 announcing fiscal 2001 third quarter results. Loss per share could substantially exceed the Company's previously announced expectation for Q4 of breakeven to a loss of $0.10 before amortization of acquired intangible assets and acquisition related charges.
"The world-wide slow down in demand for semiconductor devices continues to impact front-end tool orders which effects about 70% of our business. This and the tragic events of September 11, 2001 are having an adverse impact on our anticipated performance in the last quarter of FY2001 and into FY2002," said Robert J. Therrien, chief executive officer of Brooks Automation. "This situation, when added to the effects of the industry slow down, will result in revenue for the quarter below our previous expectation. Because of these lower revenue levels we expect earnings per share could range from a loss of $0.45 to a loss of $0.50 before amortization of acquired intangible assets, acquisition related charges and one time expenses."
"In response, the company is taking aggressive steps to reduce headcount by 175-200 people, provide the company's standard severance benefits package, close facilities, revalue inventory due to anticipated demand changes in the marketplace, and write down prior investments in information management systems (IMS). The associated one-time, non-recurring charges and integration costs could be up to approximately $25 million."
"As CEO it's my job to provide future guidance for the business. Let's be clear forecasting in this environment is very risky. We are in a serious industry recession, we're in a lousy economy and the horrific events of September 11, 2001 have added more uncertainty to forecasting near-term results. We firmly believe that our continued investment in innovative new products, support of our customers and improvement in our operational processes is the best way to generate long-term premium growth and provide value for both our customers and our shareholders. Our competitive product and service position is strong. We have considerable financial strength in a well-capitalized balance sheet and we are one of the few automation companies with so much liquidity. We expect cash flow from operations to be slightly positive in Q4 and slightly negative to breakeven in the December quarter. We expect December quarter revenues will be in the range of $55-$65 million. We estimate our cost reduction programs have lowered our breakeven revenues to the range of $68-$70 million."
"In a related matter, Brooks expresses its deepest sympathy for those affected by the tragic events in New York City, Washington, DC and southwestern Pennsylvania. The company has established a 100% matching gift program for employees wishing to donate to the "September 11th Fund-United Way." In addition the Company will match contributions given to the "National Disaster Relief Fund" of the American Red Cross."
*** NOTICE OF CONFERENCE CALL ***
What: Conference call to discuss Brooks outlook for Q4 FY 2001
When: Friday, September 28, 2001, 3:00 p.m. (EDT)
How: (Live teleconference) Dial-In Number: 913-981-5517,
Passcode: 630413
Replay: Dial in number: 719-457-0820, Passcode: 630413 available from
September 28, 2001, 8:00 p.m. until October 6, 2001,
12:00 a.m.
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