I guess it is buy on rumor sell on the news. Earnings right on target
ATMI Reports First Quarter Results; Earnings Per Share Increase 85
DANBURY, Conn.--(BUSINESS WIRE)--April 22, 1998--ATMI, Inc. (NASDAQ:ATMI), today announced revenues of $27,400,000 for 1998's first quarter, a 22% increase from revenues of $22,500,000 in the comparable period last year. Net income increased 77% to $4,465,000, compared with last year's $2,516,000. Earnings per share were $.24 on a diluted basis, or 85% higher than last year's $.13 per share. ATMI's financials do not include the previously announced proposed acquisition of NOW Technologies, Inc.
Gene Banucci, CEO said, "ATMI's product mix shifted as expected during the first quarter. Overall equipment and contract revenues declined, while our higher margin consumable revenues--led by the SDS?Gas Source delivery system products--continued to grow. We see equipment revenues continuing to slow over the next few quarters. However, semiconductor unit demand--which drives our consumables business--has, thus far, remained strong. Recently, we have seen a significant slowing at wireless device manufacturers, but logic, memory, and specialty device manufacturers continue to require record levels of ATMI materials."
Dan Sharkey, CFO commented, "Even though industry requirements for new capacity have softened considerably since the fourth quarter of 1997, ATMI's first quarter results were driven by continued strong demand for its consumable products. The SDS? Gas Source product line helped lead ATMI's earnings growth with nearly a 15% sequential revenue increase. ATMI netted almost $63 million from our previously announced follow-on stock offering of 2.26 million shares, which we completed and closed at the end of the quarter. We hope to close our acquisition of NOW Technologies, Inc. during the second quarter following the satisfaction of customary conditions, when we will have a one-time charge of approximately $2 million for fees and other costs associated with the transaction." |
