| | KLA-Tencor Reports Operating Results for Fiscal Year 2002
SAN JOSE, Calif.--(BUSINESS WIRE)--July 30, 2002--KLA-Tencor Corporation (Nasdaq:KLAC - News) today announced its operating results for its fourth quarter and 2002 fiscal year, which ended on June 30, 2002. The company reported $47 million in net income and earnings per share of $0.23 on revenues of $373 million for the fourth quarter. In the fourth quarter of fiscal year 2001, by comparison, KLA-Tencor reported net income of $130 million and earnings per share of $0.67 on revenues of $603 million. In a quarter-over-quarter comparison with the March 2002 fiscal third quarter, net income rose 36 percent from $34 million, earnings per share increased 35 percent from $0.17, and revenue rose 4.5 percent from $357 million. For the full fiscal year 2002, KLA-Tencor reported net income of $216 million and earnings per share of $1.10 on revenue of $1.64 billion. This compares with net income of $373 million and earnings per share of $1.93 (prior to the cumulative effect of the implementation of SAB 101 accounting principles) on revenue of $2.1 billion for the 2001 fiscal year.
According to Ken Schroeder, KLA-Tencor's President and Chief Executive Officer, orders gradually increased during the second half of fiscal 2002, as leading chipmakers worked to overcome the challenges of ramping yields on advanced semiconductor manufacturing processes. "Although we are now entering into a flat period, we are confident that a recovery is underway," Schroeder explained. "While the upturn will ultimately depend on macroeconomic factors outside our control, the semiconductor industry must ready itself to meet the inevitable wave of demand for the products driving the world's microelectronics revolution."
Schroeder added that investments in process control will continue to be essential to meet this demand. "Today, these investments are needed to solve the extremely challenging yield issues associated with 130 nm devices. In the future, advanced process control solutions will be required at even greater levels to ensure that global chipmakers are able to maximize yields of these next-generation chips. As the industry's leading yield management company, KLA-Tencor is ideally positioned to capitalize on this investment trend."
KLA-Tencor reports that it ended the year with six months of backlog at current shipping levels. Geographically, the strongest order activity originated from the United States and Asia excluding Japan. These regions were followed by Europe, where bookings remained at historical levels, and Japan which remained below historical levels. Regional orders were largely consistent with spending on next generation IC technologies.
Gross margins for the current quarter were 50.1 percent versus 49.0 percent in the prior quarter. Operating expenses were $140 million, or 37.5% of revenue. Cash and marketable securities were $1.33 billion, an increase of $117 million from the previous quarter.
Forward Looking Statements: Statements in this press release regarding the prospects for an industry "recovery," an "upturn," any future "wave of demand" and current order backlog are forward-looking statements, and are subject to the Safe Harbor provisions created by the Private Securities Litigation Reform Act of 1995. These forward-looking statements are based on current information and expectations, and involve a number of risks and uncertainties. Actual results may differ materially from those projected in such statements due to various factors, including but not limited to: delays or cancellations of orders by customers; shipments or acceptances; inability by the company to meet its production and/or product development schedules; the demand for semiconductors; and new and enhanced product offerings by competitors. For other factors that may cause actual results to differ from those projected, please refer to the company's Form 10-K, Forms 10-Q and other filings with the Securities and Exchange Commission. Actual results could differ materially from those anticipated in forward-looking statements in this release as a result of certain factors, including those set forth in the risk factors described in the company's SEC filings.
About KLA-Tencor: KLA-Tencor is the world leader in yield management and process control solutions for semiconductor manufacturing and related industries. Headquartered in San Jose, Calif., the company has sales and service offices around the world. An S&P 500 company, KLA-Tencor is traded on the Nasdaq National Market under the symbol KLAC. Additional information about the company is available on the Internet at kla-tencor.com
KLA-Tencor Corporation
CONDENSED CONSOLIDATED UNAUDITED BALANCE SHEETS
June 30, June 30,
2002 2001
-------- ---------
(In thousands)
ASSETS
Cash, short-term investments and
marketable securities $1,333,583 $1,143,860
Accounts receivable, net 277,006 402,013
Inventories 323,016 394,406
Land, property and equipment, net 300,560 290,254
Other assets 483,553 514,018
---------- ----------
Total assets $2,717,718 $2,744,551
========== ==========
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable $ 52,988 $ 60,740
Deferred system profit 193,852 422,054
Unearned revenue 54,886 70,974
Other current liabilities 385,764 430,317
---------- ----------
Total current liabilities 687,490 984,085
---------- ----------
Stockholders' equity:
Common stock and capital in
excess of par value 765,946 714,333
Retained earnings 1,259,695 1,043,529
Accumulated other comprehensive
income 4,587 2,604
---------- ----------
Total stockholders' equity 2,030,228 1,760,466
---------- ----------
Total liabilities and
stockholders' equity $2,717,718 $2,744,551
========== ==========
KLA-Tencor Corporation
CONDENSED CONSOLIDATED UNAUDITED STATEMENTS OF OPERATIONS
Three months ended Twelve months ended
June 30, June 30,
2002 2001 2002 2001
----------------------------------------------------------------------
(In thousands,
except per share data)
Revenues $ 373,194 $ 602,642 $1,637,282 $2,103,757
Costs and operating
expenses:
Costs of goods sold 186,112 269,169 814,393 937,152
Research and
development 68,945 89,067 287,408 355,772
Selling, general and
administrative 70,914 85,047 290,588 354,368
Non-recurring
acquisition,
restructure and
other charges -- (2,003) -- (2,003)
-------- -------- -------- --------
Total costs and
operating expenses 325,971 441,280 1,392,389 1,645,289
-------- -------- -------- --------
Income from operations 47,223 161,362 244,893 458,468
Interest income and
other, net 10,960 13,577 42,563 54,116
-------- -------- -------- --------
Income before income
taxes and cumulative
effect of change in
accounting principle 58,183 174,939 287,456 512,584
Provision for income
taxes 11,679 44,985 71,290 139,526
-------- -------- -------- --------
Income before
cumulative effect of
principle, net of
tax benefit 46,504 129,954 216,166 373,058
Cumulative effect of
change in accounting
principle, net of
tax benefit -- -- -- (306,375)
-------- -------- -------- --------
Net income $ 46,504 $ 129,954 $ 216,166 $ 66,683
========== ========== ========== ==========
Earnings per basic
share:
Income before
cumulative effect
of change in
accounting principles $ 0.25 $ 0.70 $ 1.15 $ 2.01
Cumulative effect of
change in accounting
principle $ -- $ -- $ -- ($ 1.65)
-------- -------- -------- --------
Net income $ 0.25 $ 0.70 $ 1.15 $ 0.36
========== ========== ========== ==========
Earnings per diluted
share:
Income before
cumulative effect
of change in
accounting principles $ 0.23 $ 0.67 $ 1.10 $ 1.93
Cumulative effect of
change in accounting
principle $ -- $ -- $ -- ($ 1.59)
-------- -------- -------- --------
Net income $ 0.23 $ 0.67 $ 1.10 $ 0.34
========== ========== ========== ==========
Weighted average
number of shares:
Basic 189,218 186,130 187,667 185,860
========== ========== ========== ==========
Diluted 198,452 194,630 196,594 193,435
========== ========== ========== ==========
--------------------------------------------------------------------------------
Contact:
KLA-Tencor
John Kispert, 408/875-6224 (Chief Financial Officer)
john.kispert@kla-tencor.com
Kern Beare, 408/875-7039 (Media)
kern.beare@kla-tencor.com
Rahul Mathur, 408/875-4094 (Investment Community)
rahul.mathur@kla-tencor.com |
|
