Earnings...
Wednesday July 29, 7:33 am Eastern Time
Company Press Release
DuPont Photomasks, Inc. Announces Fourth Quarter and
Full Year Fiscal 1998 Results
ROUND ROCK, Texas--(BUSINESS WIRE)--July 29, 1998--DuPont Photomasks, Inc.(Nasdaq:DPMI - news), commonly referred to as DPI, today announced results for the fiscal year and quarter ended June 30, 1998.
Sales for fiscal 1998 reached a record $271.6 million, a 4 percent increase from the previous year's record of $261.2 million. Sales for the quarter were $67.9 million, compared with last year's fourth quarter revenues of $69.9 million.
Net income for fiscal 1998 was $33.5 million ($2.15 per diluted share), compared with the previous year's $36.8 million ($2.37 per diluted share), after excluding the impact of last year's extraordinary gain of $22.2 million ($1.43 per diluted share) from the sale of an equity investment. Net income for the 1998 fourth quarter was $8.3 million ($0.53 per diluted share), versus $8.6 million ($0.55 per diluted share) for the previous year's quarter. Revenue and net
income in fiscal 1998 were negatively impacted by the devaluation of the Korean won and the more recent downturn in the semiconductor industry.
Operating margin for fiscal 1998 was 18.4 percent, compared with 20.6 percent in fiscal 1997. For the quarter, operating margin improved to 18.9 percent, compared with 17.5 percent in the same period last year.
J. Michael Hardinger, chairman and chief executive officer, said, ''As a consequence of the difficult business climate our customers are facing, we are experiencing slower volume growth and more intense pricing pressure, particularly at the trailing edge. This price pressure, combined with the severe devaluation of the Korean won earlier this fiscal year, resulted in a slowdown in our average selling price growth -- and, therefore, our earnings.''
Hardinger continued, ''As we enter fiscal 1999, we intend to combat these continuing pressures with prudent cost and capital management throughout the duration of the slowdown. At the same time, we are firmly committed to investing in technology, regional expansion and capability enhancements that will meet our customers' future demands.''
''Our accelerating emphasis on technology development is especially significant as photomasks grow ever-more critical in the manufacture of cost-effective, leading-edge semiconductors,'' Hardinger said.
DuPont Photomasks, Inc. (DPI)
DPI is the world's largest photomask manufacturer, operating globally from ten strategically located facilities in North America, Europe and Asia. The company produces and supplies photomasks as well as photoblanks (photomask substrates) and pellicles (protective covers for photomasks). DPI is headquartered in Round Rock, and had worldwide sales in fiscal 1998 of over $272 million. DPI maintains a Web site at photomask.com.
NOTE: This release includes forward-looking statements based on management's current plans and expectations. Such statements involve risks and uncertainties which may cause future activities and results of operations to differ from those suggested, including risks associated with industry trends, international currency fluctuations and the need to manage growth. For additional information, please refer to DPI's filings with the Securities and Exchange Commission, specifically the company's most recent Forms 10-K dated Sept. 15, 1997 and 10-Q dated April 22, 1998, which identify important risk factors that could cause actual results to differ from those contained in the forward looking statements. Results for interim periods are not necessarily indicative of results for the year.
DuPont Photomasks, Inc.
Income Statement
(unaudited; $ in thousands, except per share amounts;
quarter and year ended June 30, 1998 and 1997)
Q498 Q497 YTD98 YTD97
Sales $67,891 $69,921 $271,591 $261,185
Cost of Goods Sold 45,174 45,667 179,369 163,319
Selling, General and Administrative
Expense 6,831 8,177 29,509 31,611
Research and Development Expense 3,027 3,816 12,714 12,372
Operating Profit 12,859 12,261 49,999 53,883
Interest (Income) Expense 365 (739) (150) (2,080)
Exchange (Gain) Loss (56) 183 177 796
Income Before Income Taxes, Minority
Interest and Extraordinary Item 12,550 12,817 49,972 55,167
Provision for Income Taxes 4,267 4,486 17,127 19,308
Income Before Minority Interest
and Extraordinary Item 8,283 8,331 32,845 35,859
Minority Interest in Loss of
Majority Owned Joint Venture (261) (687) (903)
Income Before Extraordinary Item 8,283 8,592 33,532 36,762
Extraordinary Item (22,242)
Net Income $8,283 $8,592 $33,532 $59,004
Diluted Earnings Per Share
Before Extraordinary Item $0.53 $0.55 $2.15 $2.37
Extraordinary Item (1.43)
Diluted Earnings Per Share $0.53 $0.55 $2.15 $3.80
Weighted Average Shares
Outstanding 15,604,281 15,597,064 15,612,234 15,520,239
-0-
DuPont Photomasks, Inc.
Balance Sheet
(unaudited; $ in thousands, June 30, 1998 and 1997)
6/30/98 6/30/97
Cash and Cash Equivalents $ 19,688 $ 51,351
Accounts Receivable 50,820 42,643
Inventories 18,236 15,651
Other Current Assets 12,963 12,062
Total Current Assets 101,707 121,707
Property and Equipment 244,650 162,310
Other Assets 5,622 7,562
Total Assets $351,979 $291,579
Accounts Payable $ 40,588 $ 32,096
Other Current Liabilities 28,067 23,529
Total Current Liabilities 68,655 55,625
Other Liabilities 30,367 20,057
Stockholders' Equity 252,957 215,897
Total Liabilities and
Stockholders' Equity $351,979 $291,579
Contact:
DPI Investor Relations
Dianne Schedler, 512/310-6559
or
Investor Relations Partners
Shellie M. Roth, 973/535-8389 |
