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Technology Stocks : Semi Equipment Analysis -- Ignore unavailable to you. Want to Upgrade?

To: Kirk © who wrote (6178)	10/15/2002 4:25:25 PM
From: The Ox	Read Replies (1) \| Respond to of 95530

FSII: FSI International, Inc. Announces Fourth Quarter and Fiscal Year 2002 Financial Results The Company Begins Fiscal 2003 With $64 Million in Cash and No Debt Tuesday October 15, 4:00 pm ET MINNEAPOLIS--(BUSINESS WIRE)--Oct. 15, 2002--FSI International, Inc. (Nasdaq:FSII - News), a manufacturer of capital equipment for the microelectronics industry, today reported financial results for the fiscal 2002 fourth quarter and the year ended August 31, 2002. Fiscal 2002 Results Fiscal year 2002 sales decreased to $143.4 million, compared to $218.1 million for fiscal 2001. The Company's 2002 fiscal year net loss was $34.7 million or $1.26 per share (diluted), compared to a net loss of $20.7 million or $0.81 per share (diluted) for fiscal year 2001. Realignment and Other Charges In fiscal 2002, the Company recorded a $5.4 million charge in accordance with SFAS 142 for the writeoff of goodwill associated with the 1999 acquisition of YieldUP and a $500,000 realignment charge related to the December 2001 reduction in force. In the aggregate, these charges were $5.9 million or $0.21 per share (diluted). The fiscal 2001 loss includes a $15.0 million or $0.59 per share (diluted) cumulative effect of the change in accounting principle that was recorded in the first quarter of 2001. This change was made based upon guidance of the Securities and Exchange Commission Staff Accounting Bulletin No. 101 (SAB 101). In addition, during fiscal 2001 the Company recorded $2.6 million or $0.10 per share of realignment charges associated with the Company's reductions in force. Fourth Quarter Fiscal 2002 Results Sales for the fiscal 2002 fourth quarter were $30.0 million, compared to $47.5 million for the same period of fiscal 2001. The Company's net loss for the fourth quarter of fiscal 2002 was $14.5 million or $0.50 per share (diluted), as compared to a net loss of $7.4 million or $0.29 per share (diluted) in the fourth quarter of fiscal 2001. Fourth Quarter Other Charges In the fourth quarter of fiscal 2002, the Company recorded the $5.4 million or $0.18 per share writeoff of goodwill. There were no other charges in the fourth quarter of fiscal 2001. Backlog and Deferred Revenue The Company begins fiscal 2003 with $39.6 million in backlog, as compared to $37.1 million in backlog at the beginning of fiscal 2002. Deferred revenue was $7.8 million at the end of fiscal 2002 and represented $4.1 million of deferred profit. Customers can cancel or delay orders; therefore backlog is not necessarily indicative of shipments or revenues in future periods. Balance Sheet Strength Cash, cash equivalents and marketable securities at year end were $63.9 million. As of August 31, 2002, the Company had $100.6 million in working capital, a current ratio of 4.1 to 1 and a book value of $6.10 per share. Outlook Considering the backlog and deferred revenue levels at the end of fiscal 2002, the Company expects first quarter fiscal 2003 revenues to decrease sequentially to $25.0 to $28.0 million from the $30.0 million fourth quarter level.(a) A portion of the expected revenue is subject to obtaining timely acceptance from the Company's customers. Taking into consideration the current backlog and anticipated orders, the Company expects that first quarter fiscal 2003 shipments should increase sequentially from $23.6 million in the fourth quarter to $25.0 to $28.0 million.(a) Orders in backlog are subject to cancellation or delay by the Company's customers. Based upon the gross profit margin associated with deferred revenue, the expected manufacturing capacity utilization rate and the current quarterly operating expense run rate, the Company's expects a loss in the $10.0 to $12.0 million range for the first quarter of fiscal 2003, excluding any non-cash charges related to Metron Technology N.V. ("Metron").(a) As we previously announced on October 9, 2002, the Company and Metron announced the early termination of the distribution agreements between the Company and Metron for Europe and the Asia-Pacific region. As a result, the Company anticipates a non-cash charge related to using 1.154 million of Metron stock as consideration for the $2.750 million early termination fee to be paid by the Company to Metron.(a) The 1.154 million shares of Metron stock owned by the Company are valued on the balance sheet as of August 31, 2002 at $7.1 million or $6.17 per share. The Company would own 1.536 million shares or approximately 11.8 percent of Metron stock after the transaction closes on March 1, 2003.(a) The Company will continue to monitor the carrying value of its investment in Metron.(a) Conference Call Details Investors will have the opportunity to listen to the conference call at 3:30 p.m. CT today over the Internet. The web cast is being distributed over CCBN's Investor Distribution Network to both institutional and individual investors. Individual investors can listen to the call through CCBN's individual investor center at www.companyboardroom.com or by visiting any of the investor sites in CCBN's Individual Investor Network such as America Online's Personal Finance Channel, Fidelity Investments® (Fidelity.com) and others. Institutional investors can access the call via CCBN's password-protected event management site, StreetEvents (www.streetevents.com

To: Kirk © who wrote (6178)	10/15/2002 4:40:48 PM
From: The Ox	Read Replies (1) \| Respond to of 95530

More from INTEL: Revenues flat to up6% next Q-- Revenue in the fourth quarter is expected to be between $6.5 billion and $6.9 billion. -- Gross margin percentage in the fourth quarter is expected to be 49 percent, plus or minus a couple of points, approximately flat with the third quarter. Intel's gross margin percentage varies primarily with revenue levels, product mix and pricing, changes in unit costs, capacity utilization, and timing of factory ramps and associated costs. -- Gross margin percentage for 2002 is expected to be approximately 49 percent, near the low end of the previous expectation of 51 percent, plus or minus a few points, primarily due to lower than expected revenue in the second half, unrealized manufacturing savings in the third quarter, and higher than expected excess capacity charges in the second half. -- Expenses (R&D, excluding in-process R&D, plus MG&A) in the fourth quarter are expected to be approximately flat with $2.1 billion in the third quarter. Expenses, particularly certain marketing- and compensation-related expenses, vary depending on the level of revenue and profits. -- R&D spending for 2002, excluding in-process R&D, is expected to be approximately $4.0 billion. -- Capital spending for 2002 is expected to be approximately $4.7 billion, lower than the previous expectation of between $5.0 billion and $5.2 billion. The majority of the spending reduction is being driven by cost savings within ongoing construction projects. In addition, the company is slightly reducing its fourth-quarter equipment spending by re-using certain equipment from older process technology. -- Gains or losses from equity investments and interest and other in the fourth quarter are expected to be a net loss of $50 million due to the expectation of a net loss on equity investments of approximately $90 million, primarily as a result of impairment charges. Gains or losses from equity securities and interest and other assume no unanticipated events and vary depending on equity market levels and volatility, gains or losses realized on the sale or exchange of securities, impairment charges related to non-marketable and other investments, interest rates, cash balances, and changes in the fair value of derivative instruments. -- The tax rate for 2002 is now expected to be approximately 27.4 percent, excluding the impact of acquisition-related costs and an expected fourth-quarter tax benefit of approximately $65 million related to a small divestiture that closed early in the fourth quarter. The tax rate is lower than the previous expectation of 28.4 percent due to lower than expected profits for the year and a higher percentage of profits expected in low tax jurisdictions. -- Depreciation for the fourth quarter is expected to be approximately $1.2 billion. -- Amortization of acquisition-related intangibles and costs is expected to be approximately $90 million in the fourth quarter.