Ian and All: I believe you were looking for a post sometime back in conversations with Cary on the UTEK thread re projections that CYMI will have 30% of its revenues derived from services provided sometime in the future. I believe this is the post:
To: David Liu (317 )
From: John Peckenpaugh
Apr 24 1997 7:35PM EST
Reply #318 of 4526
David and Ken,
I attended the shareholders meeting today. CEO Aikins made a most favorable
impression--great presentation skills--eloquent, with awesome knowledge of Cymer's
product, it's customers, and the industry.
An official 1st qtr report was handed out, in which they mention:
84 lasers were delivered in the first quarter, of which 80 were for semiconductor
photolithograph applications.
The "rolling backlog" stood at $91.4 million as of March 31st.
Gross margins were 40% for the 1st qtr vs 44% in 4th '99, the difference explained as
due to "additional specific warranty reserves" for lasers already shipped.
Aikins, in a question and answer session, stated that Cymer is planning on after
warranty sales of spare parts, maintenance and upgrades to eventually amount to 1/3
of annual sales.
Cymer's world wide support and technical service/training will eventually include 23
key locations, up from 5 currently.
Increases in Net Income for the qtr were despite a 315% increase in income taxes,
based on an effective rate of approximately 37%.
G & A is exceptionally low at 4.9%
Employment stands at 471 (Seems to me an incredibly few people for such a dynamic
business) .
Production rate ramp ups at Cymer and Seiko will begin to meet customer schedules
by mid-year. Cymer is currently behind schedule but has not lost any sales to
competition because of being late.
Projections of future sales of DUV lasers were staggering. 1998 and 1999 are
projected to be huge. To project Cymer sales for those years you would need to
assume Cymer market share %, product pricing, spares and maintenance, currency
fluctuations etc, but $500,000,000 in annual revenue for Cymer in those years is not
out of the question.
We will know it all only in the fullness of time.
John |
