Enhanced Manufacturing Efficiencies and Demand for New Products Add to
Revenues
SAN JOSE, Calif., Feb. 3 /PRNewswire/ -- SDL, Inc. (NASDAQ:SDLI) today
announced quarterly and year end revenue and earnings for the period ended
December 31, 1997. SDL also announced the appointment of Vincent McCord to
the position of Chief Financial Officer.
For the fourth quarter ended December 31, 1997, SDL reported record
revenue of $24.8 million compared to revenue of $21.1 million in the fourth
quarter of 1996. Fourth quarter 1997 net income rose 15% to $1.8 million or
$0.13 per share on a diluted basis compared to net income of $1.6 million or
$0.11 per share on a diluted basis reported for the fourth quarter 1996. The
fourth quarter 1997 results include a one-time charge for in-process R&D in
connection with the acquisition of Mr. Laser, Inc. Absent this one-time
charge, net income was $2.6 million and earnings per share on a diluted basis
were $0.18. Diluted earnings per share for the fourth quarter of 1997 were
computed based on 14.4 million shares, compared to 14.2 million shares in
1996.
For the year ended December 31, 1997, SDL reported record revenue of
$91.4 million and a net loss of $24.7 million, or $1.83 per share on a diluted
basis, compared to revenue of $82.5 million and net income of $7.1 million, or
$0.54 per share on a diluted basis for 1996. The loss in 1997 was due to a
second quarter one-time charge primarily related to the settlement of a
lawsuit. Shares used in the computation of diluted per share amounts for 1997
were 13.5 million shares, compared to 13.2 million shares in 1996.
Commenting on the quarter, Donald R. Scifres, chairman and chief executive
officer, said, "The solid results reflect the successful implementation of our
new front end wafer manufacturing line as well as the increasing demand for
products based on our 980 nm pump module technology. During the quarter, we
experienced substantial yield improvements, especially late in the quarter, in
many of our product lines, with yields on one key line several times higher
than on the old manufacturing line. This substantial yield improvement should
add more production capacity than we originally anticipated, as well as
lowering manufacturing costs for these product lines."
"The accomplishments in 1997 strategically position SDL well for the
upcoming year. Next generation products and the completion of the transition
to our new manufacturing line should allow us to satisfy current customers and
accelerate our efforts to further penetrate emerging markets, such as dense
wavelength division multiplexing, fiber communications, satellite
communications, medical, materials processing and others. In addition, we
plan to implement an aggressive sales and marketing campaign to maximize our
growth prospects in all markets," said Scifres.
McCord Joins SDL as CFO
In other news, SDL today announced the appointment of Vincent McCord,
51, as Chief Financial Officer. McCord joins SDL with more than 20 years
experience at high technology companies. Most notably, McCord was CFO at
QuickLogic Corporation and vice president and corporate controller at LSI
Logic, Inc.
"Vincent's demonstrated track record in budgeting, forecasting, operating
and strategic planning prepares him well for his responsibilities at SDL. We
look forward to working with him," said Scifres.
"With its exciting, award-winning technology and solid growth strategy in
place, SDL has tremendous opportunities in the communications and
optoelectronics markets. I am pleased to be a part of the team," said McCord |
