Mattson Technology, Inc. Announces Fourth Quarter and Year End 2001 Financial Results
FREMONT, Calif.--(BUSINESS WIRE)--Feb. 28, 2002--Mattson Technology, Inc. (Nasdaq:MTSN - news), a leading supplier of advanced process equipment used to manufacture semiconductors, today is reporting financial results for the fourth quarter and year ended December 31, 2001.
Net sales for the quarter were $48.7 million, an increase of 32.8 percent from $36.6 million in the third quarter of 2001, and an increase of 1.6 percent from the fourth quarter of 2000 net sales of $47.9 million. Shipments for the quarter were $49.5 million, a decrease of 26.5 percent from $67.3 million in the third quarter of 2001, and a decrease of 20.5 percent from the fourth quarter of 2000 shipments of $62.3 million. The results for 2001 reflect the acquisition of the business of the STEAG Semiconductor Division (``STEAG'') and CFM Technologies. Inc. (``CFM''), while results for 2000 reflect the operations of Mattson, pre-merger.
Net loss for the fourth quarter of 2001 was $67.1 million or $(1.81) per share compared to net income of $1.1 million or $0.05 per fully diluted share for the fourth quarter of 2000. Net loss for the fourth quarter of 2001 includes unusual charges aggregating $36.1 million, including impairment charges of $23.0 million, inventory valuation charges of $5.1 million, effects of APB 16 inventory charges of $3.8 million, and restructuring charges of $4.2 million.
Net sales for the year were $230.1 million, an increase of 27.4 percent from fiscal year 2000 net sales of $180.6 million. Shipments for the year were $325.8 million, compared with shipments of $213.2 million in 2000.
Net loss for the year was $336.7 million or $(9.14) per share, compared to fiscal year 2000 net income of $1.5 million or $0.07 per fully diluted share. Net loss for the year 2001 includes unusual charges aggregating $209.1 million, comprised of the following: impairment charges of $150.7 million, inventory valuation charges of $26.4 million, effects of APB 16 inventory charges of $13.8 million, restructuring charges of $8.1 million, and in-process R&D write-offs of $10.1 million. Goodwill and intangible amortization for the year 2001 amounted to $33.5 million.
Gross margin for the fourth quarter of 2001 was a negative 26.5 percent, an increase from a negative gross margin of 54.7 percent for the third quarter of 2001 and a decrease from 49.6 percent gross margin for the fourth quarter of 2000. The gross margin includes the effects of inventory valuation charges of $5.1 million and $21.3 million in the fourth and third quarters of 2001, respectively. Gross margin has also been adversely affected by high fixed production costs relative to production and shipment volumes that reflect deteriorated market conditions in the semiconductor industry in general.
Deferred revenue at the end of the fourth quarter of 2001 was $136.6 million, a slight decrease from $136.9 million at the end of the third quarter of 2001. Bookings for the fourth quarter of 2001 were $19.7 million, a decrease of 21.2 percent from $25.0 million in the third quarter of 2001, and a decrease of 70.7 percent from $67.3 million in the fourth quarter of 2000, resulting in a book-to-bill ratio of 0.4 to 1.0. During the fourth quarter of 2001 backlog was reduced by $23.7 million due to customer cancellations and orders that were pushed out by customers who do not currently need the equipment they ordered. Backlog at end of the fourth quarter of 2001 was $60.0 million, a decrease of 45.4 percent from the $109.9 million at the end of the fourth quarter of 2000.
The company ended the year with cash and cash equivalents, restricted cash and investments of $97.1 million, a decrease of $3.1 million from $100.2 million as of the quarter ended September 30, 2001. Working capital decreased to $74.0 million as of December 31, 2001 from $120.3 million as of September 30, 2001.
David Dutton, president and chief executive officer said, ``2001 proved to be a very difficult year, with the financial effects related to the integration of our acquisitions coming at the same time as a sudden and drastic downturn in the industry. However, I believe that our most difficult challenges are behind us. We have resized the company and are now better aligned with current business conditions. Our new two divisional model brings us much closer to our customers, enabling us to react more quickly to customer demand.''
He continued, ``While we remain focused on controlling costs and enhancing operating efficiency, we continue to invest in the future, working closely with our customers to develop leading-edge technologies and processes. Our leadership in 300mm tools strategically positions us to attract new and additional business, thereby gaining market share when the industry recovers and transitions to these new technologies.''
Attached to this release are condensed consolidated statements of operations and balance sheets.
At 2:00 p.m. (Pacific Time) today, Thursday, February 28th, Mattson will hold a conference call to review the following topics: fourth quarter and 2001 financial results, current business conditions, and the near-term business outlook. The conference call will be publicly available via the Internet (www.mattson.com, under ``Investor Line''), beginning with a live webcast at 2:00 p.m. Pacific Time, February 28, 2002. In addition to the live webcast, replays will be available to the public on the Mattson website for one week following the live broadcast. Users can access the replay one hour after the call.
This press release contains forward looking statements regarding, among other matters, the Company's future prospects and near-term outlook, the effects of our restructuring and cost reduction programs, our enhanced operating efficiency, increases in market share in the 300mm tools market, and changes in customer demand and the effect of the economic downturn. Forward looking statements address matters that are subject to a number of risks and uncertainties that can cause actual results to differ materially. In addition to the general risks associated with the slowdown in the semiconductor industry and development of complex technology, our future results will depend on a variety of factors, including the timing of significant orders, our ability to timely manufacture and deliver ordered products, our ability to bring new systems to market, the timing of new product releases by our competitors, other competitive factors, and risks of integration following the STEAG-CFM acquisitions. Reference is made to the Company's filings with the Securities and Exchange Commission for further discussion of risks and uncertainties regarding the Company's business. The Company assumes no obligation to update the information in this press release.
Mattson Technology Inc., is a leading supplier of thermal, plasma and wet semiconductor processing equipment. The Company's products combine advanced process technology on high productivity platforms, backed by industry-leading support. Since beginning operations in 1989, the company's core vision has been to help bring technology leadership and productivity gains to semiconductor manufacturers worldwide. Headquartered in Fremont, Calif., the company maintains sales and support centers throughout the United States, Europe, Asia/Pacific and Japan. For more information, please contact Mattson Technology Inc., 2800 Bayview Drive, Fremont, Calif. 94538. Telephone: (800) MATTSON. Fax: (510) 252-1750. Internet: www.mattson.com.
-0-
MATTSON TECHNOLOGY, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except per share amounts)
THREE MONTHS ENDED YEAR ENDED
DEC. 31, DEC. 31, DEC. 31, DEC. 31,
2001 2000 (1) 2001 2000 (1)
--------- --------- --------- ---------
(Unaudited)
Net sales $ 48,652 $ 47,879 $ 230,149 $ 180,630
Cost of sales 56,477 24,151 198,350 93,123
Inventory valuation
charges 5,077 -- 26,418 --
--------- --------- --------- ---------
Gross margin (12,902) 23,728 5,381 87,507
--------- --------- --------- ---------
Operating expenses:
Research, development and
engineering 13,371 8,019 61,114 28,540
Selling, general and
administrative 29,257 16,283 110,785 53,608
In-process research and
development -- -- 10,100 --
Amortization of goodwill
and intangibles 4,704 225 33,457 900
Impairment of long-lived
assets and other charges 22,982 -- 150,666 --
--------- --------- --------- ---------
Total operating expenses 70,314 24,527 366,122 83,048
--------- --------- --------- ---------
Income (loss) from
operations (83,216) (799) (360,741) 4,459
Interest and other income,
net 912 2,052 5,016 6,228
--------- --------- --------- ---------
Income (loss) before
provision for income taxes
and cumulative effect of
change in accounting
principle (82,304) 1,253 (355,725) 10,687
Provision (benefit) for
income taxes (15,168) 125 (18,990) 1,068
--------- --------- --------- ---------
Income (loss) before
cumulative effect of
change in accounting
principle (67,136) 1,128 (336,735) 9,619
Cumulative effect of change
in accounting principle,
net of tax benefit (2) -- -- -- (8,080)
--------- --------- --------- ---------
Net income (loss) $ (67,136) $ 1,128 $(336,735) $ 1,539
========= ========= ========= =========
Net income (loss) per
share before cumulative
effect of change in
accounting principle:
Basic $ (1.81) $ 0.06 $ (9.14) $ 0.50
Diluted $ (1.81) $ 0.05 $ (9.14) $ 0.45
Cumulative effect of
change in accounting
principle:
Basic $ -- $ -- $ -- $ (0.42)
Diluted $ -- $ -- $ -- $ (0.38)
Net income (loss) per share:
Basic $ (1.81) $ 0.06 $ (9.14) $ 0.08
Diluted $ (1.81) $ 0.05 $ (9.14) $ 0.07
Shares used in computing net
income (loss) per share:
Basic 37,013 20,306 36,854 19,300
Diluted 37,013 21,070 36,854 21,116
(1) Fiscal 2000 results presented do not include the results of STEAG
and CFM acquired in a purchase transaction on January 1, 2001.
(2) Cumulative effect of change in accounting principle represents
the effect of adopting SAB 101 in the fourth quarter of 2000,
retroactive to January 1, 2000. Results shown above for all
periods reflect the adoption of SAB 101.
MATTSON TECHNOLOGY, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands)
ASSETS
Dec. 31, Dec. 31,
2001 2000
--------- ---------
Current assets:
Cash and cash equivalents $ 64,057 $ 33,431
Restricted cash 27,300 31,995
Short-term investments 5,785 38,814
Accounts receivable, net 38,664 20,425
Advance billings 61,874 40,704
Inventories, net 65,987 43,905
Inventories - delivered systems 74,002 11,528
Deferred tax assets -- 4,010
Prepaid expenses and other current assets 18,321 8,963
--------- ---------
Total current assets 355,990 233,775
Property and equipment, net 33,508 15,953
Long-term investments -- 9,287
Deferred tax assets -- 2,403
Goodwill, intangibles and other assets 43,207 8,250
--------- ---------
Total assets $ 432,705 $ 269,668
========= =========
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Note payable - STEAG AG, a shareholder $ 44,613 $ --
Current portion of long-term debt 289 --
Line of credit 4,589 --
Accounts payable 14,175 15,091
Accrued liabilities 78,459 27,746
Deferred revenue 136,580 40,704
Deferred income taxes 3,241 --
--------- ---------
Total current liabilities 281,946 83,541
--------- ---------
Long-term liabilities:
Long-term debt 1,001 --
Deferred income taxes 8,020 --
--------- ---------
Total long-term liabilities 9,021 --
--------- ---------
Total liabilities 290,967 83,541
--------- ---------
Stockholders' equity:
Common stock 37 20
Additional paid-in capital 497,536 198,835
Accumulated other comprehensive loss (6,553) (181)
Treasury stock (2,987) (2,987)
Retained deficit (346,295) (9,560)
--------- ---------
Total stockholders' equity 141,738 186,127
--------- ---------
$ 432,705 $ 269,668
========= =========
--------------------------------------------------------------------------------
Contact:
Mattson Technology, Inc.
Ludger Viefhues, 510/492-5954 |
