Wednesday July 28, 8:43 am Eastern Time
Company Press Release
KLA-Tencor Reports Year End and Fourth Quarter Operating Results
SAN JOSE, Calif.--(BUSINESS WIRE)--July 28, 1999--KLA-Tencor Corporation (Nasdaq:KLAC - news) today announced fourth quarter revenues of $234 million, net income of $26 million and earnings per share of $0.28.
These results compared with revenues of $253 million, net income of $23 million and earnings per share of $0.26 excluding certain non-recurring merger-acquisition costs for the same period of the prior year.
For the 12 months ended June 30, 1999, revenues were $843 million, net income was $67 million, or $0.73 per share, excluding non-recurring restructuring and acquisition charges of $43 million ($28 million after tax). This compares with revenues of $1.2 billion and net income of $156 million, or $1.76 per share for the previous fiscal year, excluding non-recurring merger-acquisition charges.
New order growth for the June quarter was strong and backlog increased across all product lines. The most significant quarter to quarter growth occurred in the Film Measurement and E-Beam Wafer Inspection areas. Film Measurement growth was driven by market share growth from sales of the ASET-F5 and the Quantox gate oxide measurement tool. E-beam wafer inspection growth was fueled by the advanced inspection requirements for 0.18 micron technologies and by the transition to copper dual-damascene.
Geographically, Taiwan had the most significant increase in order volume as foundries invested heavily in increased capacity. Additionally, new orders from Japan were significantly higher than previous levels due to higher investment in yield improvement.
Gross margins increased to 49% during the June quarter from 48% in the March quarter. The increase resulted from both a business shift toward newer products with higher margins and from manufacturing efficiencies derived from higher sales volume.
The financial position of the Company remained strong. Cash flow was positive and cash and investments increased to $755 million during the quarter. The Company continued to have no long-term debt.
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.
KLA-Tencor Corporation is the world leader in yield management and process control solutions for semiconductor manufacturing and related industries. The Company offers a broad portfolio of systems for inspection, metrology, and data analysis, as well as yield management services. KLA-Tencor is traded on the Nasdaq National Market under the symbol KLAC. Additional information on the Company is available on the Internet at www.kla-tencor.com.
KLA-Tencor
CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands)
June 30, June 30,
1998 1999
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ASSETS
Cash, short-term investments
and marketable securities $ 723,481 $ 755,183
Accounts receivable, net 304,140 280,070
Inventories 234,565 195,679
Land, property and equipment, net 140,937 168,335
Other assets 145,274 185,633
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Total assets $1,548,397 $1,584,900
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LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Notes payable $ 21,482 $ 14,567
Accounts payable 46,353 35,249
Other current liabilities 282,848 302,501
---------- ----------
Total current liabilities 350,683 352,317
---------- ----------
Stockholders' equity:
Common stock and capital
in excess of par value 497,583 504,352
Retained earnings 683,836 723,048
Accumulated other
comprehensive income 16,295 5,183
---------- ----------
Total stockholders' equity 1,197,714 1,232,583
---------- ----------
Total liabilities and
stockholders' equity $1,548,397 $1,584,900
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KLA-Tencor
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
Three months ended Year ended
June 30, June 30,
1998 1999 1998 1999
---------- ---------- ---------- ----------
(In thousands, except
per share amounts)
Revenues $ 253,380 $ 233,641 $1,166,325 $ 843,181
Costs and operating
expenses:
Costs of goods sold 129,694 118,815 554,917 447,059
Research and
development 43,395 43,803 181,903 164,699
Selling, general
and administrative 58,586 48,723 242,400 199,057
Non-recurring
acquisition,
restructure
and other charges 19,347 -- 22,474 42,700
---------- ---------- ---------- ----------
Total costs and
operating expenses 251,022 211,341 1,001,694 853,515
---------- ---------- ---------- ----------
Income (loss) from
operations 2,358 22,300 164,631 (10,334)
Interest income and
other, net 11,665 13,599 41,680 60,643
---------- ---------- ---------- ----------
Income before income
taxes 14,023 35,899 206,311 50,309
Provision for income
taxes 10,678 10,052 72,215 11,097
---------- ---------- ---------- ----------
Net income $ 3,345 $ 25,847 $ 134,096 $ 39,212
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Earnings per share:
Basic $ 0.04 $ 0.29 $ 1.58 $ 0.45
========== ========== ========== =========
Diluted $ 0.04 $ 0.28 $ 1.52 $ 0.43
========== ========== ========== =========
Weighted average
number of shares:
Basic 86,550 88,221 85,097 87,737
========== ========== ========== =========
Diluted 88,979 92,915 88,522 91,672
========== ========== ========== =========
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Contact:
KLA-Tencor Corporation
Robert J. Boehlke, 408/875-6285 (CFO)
Roberta Emerson, 408/875-7037 (VP Corp. Comm.) |
