Axcelis Announces Financial Results For Second Quarter 2015

Purion Market Share Gains as Customer Base Expands

Aug 04, 2015, 16:01 ET from Axcelis Technologies, Inc.

BEVERLY, Mass., Aug. 4, 2015 /PRNewswire/ -- Axcelis Technologies, Inc. (Nasdaq: ACLS) today announced financial results for the second quarter ended June 30, 2015. Recent highlights include:

  • Revenues of $78.4 million, a 7% increase over the first quarter.
  • Operating profit of $7.2 million, a 108.5% increase over the first quarter.
  • Improved gross margin to 34.6% from 31.9% in the first quarter.
  • Increased cash and cash equivalents to $78.1 million from $74.5 million in the first quarter.

The Company reported second quarter revenue of $78.4 million, compared to $73.3 million for the first quarter of 2015. Operating profit for the quarter was $7.2 million, compared to $3.4 million for the first quarter. Net income for the quarter was $5.9 million, or $0.05 per share. This compares to net income for the first quarter of 2015 of $1.9 million, or $0.02 per share. Cash and cash equivalents was $78.1 million at June 30, 2015, compared to $74.5 million on March 31, 2015.

President and CEO Mary Puma said, "Axcelis' top line continued to grow in the second quarter, driven by steady Purion system sales and a robust service business. In particular, the Purion H continues to gain market share, and is the fastest growing new product in Axcelis history. Since the start of the year we have doubled the number of Purion H customers, as well as added three new, non-memory Purion XE customers. The success we are seeing with Purion is positioning us well for future revenue and market share growth, as well as stronger earnings and cash flow."

Business Outlook For the third quarter ending September 30, 2015, Axcelis expects revenues to be $75-80 million. Gross margin in the third quarter is expected to be approximately 34-35%. Third quarter operating profit is forecasted to be $5-7 million with earnings of $0.03-0.05 per share. Cash and cash equivalents in the third quarter is expected to be approximately $80 million.

Second Quarter 2015 Conference Call The Company will host a conference call today at 5:00 pm ET to discuss results for the second quarter 2015. The call will be available to interested listeners via an audio webcast that can be accessed through the Investors page of Axcelis' website at www.axcelis.com, or by dialing 866.588.8911 (707.294.1561 outside North America).  Participants calling into the conference call will be requested to provide the company name, Axcelis Technologies, and pass code: 77665194. Webcast replays will be available for 30 days following the call.

Safe Harbor Statement This press release and the conference call contain forward-looking statements under the SEC safe harbor provisions. These statements, which include our guidance for future financial performance, are based on management's current expectations and should be viewed with caution. They are subject to various risks and uncertainties, many of which are outside the control of the Company, including the timing of orders and shipments, the conversion of orders to revenue in any particular quarter, or at all, the continuing demand for semiconductor equipment, relative market growth, continuity of business relationships with and purchases by major customers, competitive pressure on sales and pricing, increases in material and other production costs that cannot be recouped in product pricing and global economic, political and financial conditions. These risks and other risk factors relating to Axcelis are described more fully in the most recent Form 10-K filed by Axcelis and in other documents filed from time to time with the Securities and Exchange Commission.

About Axcelis: Axcelis (Nasdaq: ACLS), headquartered in Beverly, Mass., has been providing innovative, high-productivity solutions for the semiconductor industry for over 35 years. Axcelis is dedicated to developing enabling process applications through the design, manufacture and complete life cycle support of ion implantation systems, one of the most critical and enabling steps in the IC manufacturing process. Learn more about Axcelis at www.axcelis.com.

Company Contacts

Investor Relations: Doug Lawson 978.787.9552

Editorial/Media: Maureen Hart 978.787.4266

Axcelis Technologies, Inc.

Consolidated Statements of Operations

(In thousands, except per share amounts)

(Unaudited)

Three months ended

June 30,

Six months ended

June 30,

2015

2014

2015

2014

Revenue:

Product

$

72,748

$

34,795

$

140,278

$

89,810

Services

5,689

6,355

11,442

12,180

Total revenue

78,437

41,150

151,720

101,990

Cost of Revenue:

Product

46,560

21,021

91,745

54,823

Services

4,703

5,645

9,421

10,943

Total cost of revenue

51,263

26,666

101,166

65,766

Gross profit

27,174

14,484

50,554

36,224

Operating expenses:

Research and development

7,899

8,845

16,098

18,102

Sales and marketing

5,858

5,037

11,486

10,513

General and administrative

6,231

6,494

12,332

12,975

Restructuring charges

8

160

18

360

Total operating expenses

19,996

20,536

39,934

41,950

Income (loss) from operations

7,178

(6,052)

10,620

(5,726)

Other (expense) income:

Interest income

6

2

9

4

Interest expense

(1,310)

(257)

(2,353)

(508)

Other, net

49

(362)

(384)

(70)

Total other expense

(1,255)

(617)

(2,728)

(574)

Income (loss) before income taxes

5,923

(6,669)

7,892

(6,300)

Income tax provision

40

231

141

426

Net income (loss)

$

5,883

$

(6,900)

$

7,751

$

(6,726)

Net income (loss) per share

Basic

$

0.05

$

(0.06)

$

0.07

$

(0.06)

Diluted

$

0.05

$

(0.06)

$

0.06

$

(0.06)

Shares used in computing net income (loss) per share:

Basic weighted average common shares

113,784

111,212

113,470

110,932

Diluted weighted average common shares

120,612

111,212

119,900

110,932

 

Axcelis Technologies, Inc.

Consolidated Balance Sheets

(In thousands, except per share amounts)

(Unaudited)

June 30,

December 31,

2015

2014

ASSETS

Cash and cash equivalents

$

78,085

$

30,753

Accounts receivable, net

42,002

42,794

Inventories, net

122,001

104,063

Prepaid expenses and other assets

23,209

18,755

Property, plant and equipment, net

29,951

30,464

Restricted cash

65

825

Total assets

$

295,313

$

227,654

LIABILITIES AND STOCKHOLDERS' EQUITY

Accounts payable

$

38,849

$

21,605

Accrued compensation

5,262

4,232

Warranty

2,886

1,352

Income taxes

297

196

Deferred revenue

8,884

7,231

Debt

47,586

14,530

Other liabilities

11,159

10,156

Total liabilities

114,923

59,302

Commitments and contingencies

Stockholders' equity:

Preferred stock, $0.001 par value, 30,000 shares authorized; none issued or outstanding

Common stock, $0.001 par value, 300,000 shares authorized; 114,322 shares issued and 114,202 shares outstanding at June 30, 2015; 112,849 shares issued and 112,729 shares outstanding at December 31, 2014

 

 

114

 

 

113

Additional paid-in capital

523,997

519,068

Treasury stock, at cost, 120 shares at June 30, 2015 and December 31, 2014

(1,218)

(1,218)

Accumulated deficit

(343,136)

(350,887)

Accumulated other comprehensive income

633

1,276

Total stockholders' equity

180,390

168,352

Total liabilities and stockholders' equity

$

295,313

$

227,654

 

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SOURCE Axcelis Technologies, Inc.



RELATED LINKS

http://www.axcelis.com