NMTC ($26-$17)..P/E none.. had reached a new 52 week high of $39 on Jan 7th.....In Line earnings, rev's a little light...warns and reduces guidance for all of next year....
Numerical Tech sees 1st quarter below expectations
SAN JOSE, Calif., Jan. 16 (Reuters) - Numerical Technologies Inc. (NasdaqNM:NMTC - news), a developer of tools and services for the semiconductor industry, said on Wednesday it expects to report pro forma earnings of 4 cents per diluted share on revenues of about $13 million in its first quarter of 2002.
For the full year, the company said it expects to report pro forma earnings of 22 cents per share on revenues of about $60 million.
The consensus estimates among the four analysts polled by Thomson Financial/First Call were first-quarter earnings of 6 cents per share, and full-year 2002 earnings of 30 cents.
Wednesday January 16, 4:06 pm Eastern Time
Press Release
SOURCE: Numerical Technologies, Inc.
Numerical Technologies Reports Record Revenue and Pro Forma Earnings For Fourth Quarter and Fiscal Year, 2001
Fifth Consecutive Quarter of Pro Forma Profitability; Ninth Consecutive Quarter of Growth
SAN JOSE, Calif., Jan. 16 /PRNewswire-FirstCall/ -- Numerical Technologies, Inc. (Nasdaq: NMTC - news) today announced record revenue and record pro forma earnings for its fourth fiscal quarter of 2001 and fiscal year 2001. Fourth quarter revenue was a record $14.2 million, an increase of 67 percent compared with the fourth quarter of 2000, and an increase of 11 percent over the previous quarter. Excluding non-cash charges associated with acquisition-related costs, deferred stock compensation charges and depreciation charges, pro forma net income for the quarter was $2.5 million, or $0.07 per share on a fully dilutive basis, compared with pro forma net income of $1.1 million, or $0.03 per share on a fully dilutive basis, over the same period last year, and pro forma net income of $2.0 million, or $0.06 per share on a fully dilutive basis, last quarter.
These results mark the company's fifth consecutive profitable quarter on a pro forma basis and its ninth consecutive quarter of increasing revenue. The company also had a positive cash flow for the seventh consecutive quarter, and, on a pro forma basis, delivered a pre-tax profit of 29 percent of revenue.
Revenue for fiscal year 2001 was a record $49.0 million, an increase of 110 percent from the prior year. Excluding non-cash charges associated with acquisition-related costs, deferred stock compensation charges and depreciation charges, the pro forma net income for fiscal year 2001 was $6.2 million, or $0.18 per share on a fully dilutive basis, compared with a pro forma loss of ($3.3) million, or ($0.15) per share the prior year. On a pro forma basis, the company delivered a pre-tax profit of more than $10 million, or 21 percent of revenue.
``We are pleased with our results and execution in 2001, generating over $10 million of pro forma pre-tax income compared to a loss in 2000,'' stated Dr. Y. C. (Buno) Pati, chief executive officer of Numerical. ``We are also confident that our technology is well-positioned to enable the semiconductor industry's anticipated ramp to volume 0.13-micron production.''
The company will discuss these results in a conference call at 5 p.m. EST/2 p.m. PST today. The call may also be accessed on the web at ir.numeritech.com . A replay of the conference call will be hosted for five business days at ir.numeritech.com , or may be accessed by dialing 719-457-0820 and using the access code 688830.
About Numerical:
Numerical Technologies, Inc. develops and markets proprietary technology, software tools and services that enable the semiconductor industry to produce subwavelength integrated circuits, i.e., integrated circuits with components smaller than the wavelength of light used to create circuit patterns on silicon. Numerical's products and industry alliances form a comprehensive design-to-silicon solution that enables the creation of smaller, faster and more power-efficient semiconductors using available manufacturing equipment. Numerical customers include the world's leading semiconductor companies, design automation tool vendors, semiconductor equipment suppliers and photomask manufacturers. Additional information about the company is available on the Web at numeritech.com .
SAFE HARBOR:
This release contains forward-looking statements that are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include statements related to the state of demand from the semiconductor industry, the adoption of Numerical's proprietary technology by the semiconductor industry, use of Numerical's technology by customers, availability of semiconductors that incorporate Numerical's technology, ability to integrate the Cadabra and Numerical technology and operations, and Numerical's ability to enable the continued advance of the semiconductor industry. These forward-looking statements are subject to risks and uncertainties, which could cause actual results to differ materially from those projected. Those risks include competitive conditions, business and economic conditions that affect the growth of the semiconductor industry, the rate of adoption of Numerical's technology by the semiconductor industry, litigation related to intellectual property or other issues, and Numerical's ability to protect Numerical's intellectual property rights. For more information about potential factors, which could affect Numerical's financial results, please refer to the prospectus filed on April 7, 2000 and other filings with the Securities and Exchange Commission, copies of which may be accessed through the SEC's Web site at sec.gov. Numerical may, from time to time, make additional written and oral forward-looking statements, including statements contained in its filings with the Securities and Exchange Commission and its reports to shareholders. Numerical does not undertake to update any forward-looking statement that may be made from time to time by or on behalf of Numerical.
NUMERICAL TECHNOLOGIES, INC.
BALANCE SHEETS
(in thousands)
(Unaudited)
December 31, December 31,
2001 2000
ASSETS
Current assets:
Cash $38,964 $30,607
Short-term investments 28,627 23,281
Accounts receivable 7,125 4,983
Prepaid and deposits 5,604 3,177
Total current assets 80,320 62,048
Property and equipment, net 2,885 3,209
Goodwill 128,744 175,402
Other assets 113 315
$212,062 $240,974
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable $2,041 $3,208
Accrued expenses and other liabilities 4,446 4,608
Deferred revenue 9,034 6,320
Total current liabilities 15,521 14,136
Deferred tax liability 7,354 7,704
Stockholders' equity:
Common stock 3 3
Additional paid in capital 319,544 319,541
Receivable from stockholders (4,163) (4,050)
Deferred stock compensation (7,013) (30,609)
Accumulated deficit (119,184) (65,751)
Total stockholders' equity 189,187 219,134
$212,062 $240,974
NUMERICAL TECHNOLOGIES, INC.
PRO FORMA STATEMENTS OF OPERATIONS
(in thousands, except per share data)
(Unaudited)
Three Months Ended Year Ended
Dec. 31, Sept. 30, Dec. 31, Dec. 31,Dec. 31,
2001 2001 2000 2001 2000
Revenue $14,185 $12,824 $8,506 $49,032 $23,340
Costs and expenses:
Cost of revenue 1,041 1,191 946 4,335 2,167
Research and development 4,398 3,970 3,392 16,178 12,627
Sales and marketing 3,248 3,385 2,797 14,064 9,161
General and administrative 1,713 1,674 1,128 6,792 4,494
Total costs and expenses 10,400 10,220 8,263 41,369 28,449
Income (loss) from operations 3,785 2,604 243 7,663 (5,109)
Interest expense -- -- -- -- (893)
Other income, net 382 699 1,000 2,620 2,960
Pro forma income (loss)
before provision for income
taxes 4,167 3,303 1,243 10,283 (3,042)
Pro forma provision for
income taxes 1,667 1,321 146 4,113 253
Pro forma net income (loss) $2,500 $1,982 $1,097 $6,170 $(3,295)
Pro forma net income (loss)
per share
Basic $0.08 $0.06 $0.04 $0.20 $(0.15)
Diluted $0.07 $0.06 $0.03 $0.18 $(0.15)
Weighted average number
of shares outstanding:
Basic 31,207 30,619 28,263 30,445 21,827
Diluted 35,150 35,040 33,435 34,655 21,827
Notes:
1. Pro forma net income (loss) shown above excludes the effect of
non-cash items including 1) amortization of goodwill and other
acquisition-related intangibles of $11.7 million, $11.7 million and
$11.8 million in the three months ended December 31, 2001, September
30, 2001 and December 31, 2000, respectively, and $47.0 million and
$25.6 million in the year ended December 31, 2001 and December 31,
2000, respectively; 2) deferred stock compensation of $1.1 million,
$4.5 million and $3.2 million in the three months ended December 31,
2001, September 30, 2001 and December 31, 2000, respectively, and
$15.9 million and $18.8 million in the year ended December 31, 2001
and December 31, 2000, respectively; 3) depreciation expense of
$486,000, $490,000 and $389,000 in the three months ended December
31, 2001, September 30, 2001 and December 31, 2000, respectively, and
$1.9 million and $1.2 million in the year ended December 31, 2001 and
December 31, 2000, respectively.
2. Pro forma tax provisions exclude the benefit associated with the
amortization of intangible assets.
3. This pro forma information is not prepared in accordance with
generally accepted accounting principles ("GAAP").
4. A reconciliation from pro forma income (loss) before provision for
income taxes to the reported GAAP results is shown in the next table.
5. For periods presented with a loss, all common stock equivalents are
excluded from the computation of diluted shares outstanding because
their effect is antidilutive.
NUMERICAL TECHNOLOGIES, INC.
RECONCILIATION OF PRO FORMA INCOME (LOSS) BEFORE PROVISION FOR INCOME TAXES TO
REPORTED GAAP RESULTS
(in thousands, except per share data)
(Unaudited)
Three Months Ended Year Ended
Dec. 31, Sept. 30, Dec. 31, Dec. 31, Dec. 31,
2001 2001 2000 2001 2000
Pro forma income (loss)
before provision for
income taxes $4,167 $3,303 $1,243 $10,283 $(3,042)
Amortization of
intangible assets 11,710 11,703 11,790 47,043 25,594
Amortization of deferred
stock compensation 1,104 4,525 3,160 15,856 18,766
Depreciation 486 490 389 1,907 1,156
Loss before provision
for income taxes (9,133) (13,415) (14,096) (54,523) (48,558)
Provision for (benefit from)
income taxes (250) 225 146 (1,090) 253
Net loss $(8,883) $(13,640) $(14,242)$(53,433) $(48,811)
Net loss per common
share, basic and
diluted $(0.28) $(0.45) $(0.50) $(1.76) $(2.27)
Weighted average common
shares, basic and
diluted 31,207 30,619 28,263 30,445 21,827
(1) Net loss per common share for the year ended December 31, 2000
includes a non-cash preferred stock dividend of approximately
$778,000 related to the beneficial conversion of warrants exercised
in April 2000.
NUMERICAL TECHNOLOGIES, INC.
STATEMENTS OF OPERATIONS
(in thousands, except per share data)
(Unaudited)
Three Months Ended Year Ended
Dec. 31, Sept. 30, Dec. 31, Dec. 31, Dec. 31,
2001 2001 2000 2001 2000
Revenue $14,185 $12,824 $8,506 $49,032 $23,340
Costs and expenses:
Cost of revenue 1,041 1,191 946 4,335 2,167
Research and development 4,398 3,970 3,392 16,178 12,627
Sales and marketing 3,248 3,385 2,797 14,064 9,161
General and
administrative 1,713 1,674 1,128 6,792 4,494
Amortization and
depreciation 12,196 12,193 12,179 48,950 26,750
Amortization of deferred
stock compensation (*) 1,104 4,525 3,160 15,856 18,766
Total costs and
expenses 23,700 26,938 23,602 106,175 73,965
Loss from operations (9,515) (14,114) (15,096) (57,143) (50,625)
Interest expense -- -- -- -- (893)
Other income, net 382 699 1,000 2,620 2,960
Loss before provision
for income taxes (9,133) (13,415) (14,096) (54,523) (48,558)
Provision for (benefit from)
income taxes (250) 225 146 (1,090) 253
Net loss $(8,883) $(13,640) $(14,242) $(53,433)$(48,811)
Net loss per common
share, basic and
diluted $(0.28) $(0.45) $(0.50) $(1.76) $(2.27)
Weighted average common
shares, basic and
diluted 31,207 30,619 28,263 30,445 21,827
(*) Amortization of
deferred stock
compensation
Cost of revenue $109 $208 $74 $813 $863
Research and development (656) 2,533 1,678 7,344 8,776
Sales and marketing 1,071 1,059 (139) 4,654 3,619
General and
administrative 580 725 1,547 3,045 5,508
$1,104 $4,525 $3,160 $15,856 $18,766
(1) Net loss per common share for the year ended December 31, 2000
includes a non-cash preferred stock dividend of approximately
$778,000 related to the beneficial conversion of warrants exercised
in April 2000.
SOURCE: Numerical Technologies, Inc. |
