Axcelis Announces Financial Results for Fourth Quarter and Full Year 2011

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Feb 02, 2012, 04:01 ET

BEVERLY, Mass., Feb. 2, 2012 /PRNewswire/ -- Axcelis Technologies, Inc. (Nasdaq: ACLS) today announced financial results for the fourth quarter and full year ended December 31, 2011. The Company reported fourthquarter revenue of $60.4 million, compared to $72.5 million for the third quarter of 2011. Net loss for the quarter was $2.1 million, or $0.02 per diluted share, which includes a $900 thousand or $0.01 per share charge related to a tax audit in Europe. This compares to net income for the third quarter of 2011 of $1.2 million, or $0.01 per share. Cash and cash equivalents, were $47.0 million at December 31, 2011.

For the full year 2011, the Company reported revenue of $319.4 million compared with $275.2 million in 2010, a 16% increase. Net income for the year was $5.1 million, or $0.05 per share. In addition, the Company generated $1.1 million of cash for the year. In 2010, the Company reported a net loss of $17.6 million, or $0.17 per share, and utilized $6.3 million of cash.

Commenting on the Company's performance, Chairman and CEO Mary Puma said, "Operating results for the fourth quarter were in line with expectations. To best position the Company moving forward, we have taken proactive steps to focus our strategy, significantly reduce our cost structure and optimize our financial performance. These improvements will benefit us as the market recovers."

Fourth Quarter and Full Year 2011 Conference Call
The Company will host a conference call today at 5:00 pm ET to discuss results for the fourth quarter and full year 2011. The call will be available to interested listeners via an audio webcast that can be accessed through Axcelis' home page at www.axcelis.com, or by dialing 1.888.680.0860 (1.617.213.4852 outside North America). Participants calling into the conference call will be requested to provide the company name, Axcelis Technologies, and pass code: 34113857. Webcast replays will be available from 8 pm ET on February 2, 2012 until 11:59 pm on March 3, 2012.

Safe Harbor Statement
This document contains 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, our ability to implement successfully our profit plans, 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 Technologies, Inc. (Nasdaq: ACLS) headquartered in Beverly, Massachusetts, provides innovative, high-productivity solutions for the semiconductor industry. Axcelis is dedicated to developing enabling process applications through the design, manufacture and complete life cycle support of ion implantation and cleaning systems. The company's Internet address is: www.axcelis.com.

Company Contacts:
Maureen Hart (editorial/media) 978.787.4266
[email protected]

Jay Zager (financial community) 978.787.9408
[email protected]

Axcelis Technologies, Inc.
Consolidated Statements of Operations
In thousands, except per share amounts
(Unaudited)


		Three Months ended		Twelve Months ended
		December 31,		December 31,
		2011	2010	2011	2010

Revenue
	Product	$ 52,037	$ 85,638	$ 287,324	$ 242,771
	Services	8,374	7,765	32,092	32,441
		60,411	93,403	319,416	275,212
Cost of revenue
	Product	31,408	56,189	181,241	168,047
	Services	6,380	5,721	23,438	21,327
		37,788	61,910	204,679	189,374

Gross profit		22,623	31,493	114,737	85,838

Operating expenses
	Research and development	12,140	11,042	47,176	39,524
	Sales and marketing	6,524	7,188	29,255	27,549
	General and administrative	5,245	9,083	31,174	32,132
		23,909	27,313	107,605	99,205

Income (loss) from operations		(1,286)	4,180	7,132	(13,367)

Other income (expense)
	Interest income	18	27	42	96
	Other-net	342	(1,929)	297	(3,990)
		360	(1,902)	339	(3,894)

Income (loss) before income taxes		(926)	2,278	7,471	(17,261)

Income taxes (benefits)		1,187	(2,052)	2,394	312

Net income (loss)		$ (2,113)	$ 4,330	$ 5,077	$ (17,573)

Net income (loss) per share
	Basic	$ (0.02)	$ 0.04	$ 0.05	$ (0.17)
	Diluted	$ (0.02)	$ 0.04	$ 0.05	$ (0.17)

Shares used in computing net income (loss) per share
	Basic	106,476	105,163	106,234	104,522
	Diluted	106,476	109,454	109,098	104,522

Axcelis Technologies, Inc.
Consolidated Balance Sheet
In thousands
(Unaudited)
			December 31,
			2011	2010
	ASSETS
Current assets
	Cash and cash equivalents		$ 46,877	$ 45,743
	Accounts receivable, net		35,071	57,888
	Inventories, net		120,023	109,653
	Prepaid expenses and other current assets		10,062	15,346
		Total current assets	212,033	228,630

Property, plant and equipment, net			37,204	38,594
Long-term restricted cash			104	107
Other assets			19,904	13,541
			$ 269,245	$ 280,872

	LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities
	Accounts payable		$ 19,551	$ 36,709
	Accrued compensation		8,285	10,597
	Warranty		3,556	2,556
	Income taxes		495	-
	Deferred revenue		10,786	13,859
	Other current liabilities		4,799	4,408
		Total current liabilities	47,472	68,129

Long-term deferred revenue			1,488	2,417
Other long-term liabilities			5,730	4,759


Stockholders' equity
	Preferred stock		-	-
	Common stock		107	106
	Additional paid-in capital		499,332	493,967
	Treasury stock		(1,218)	(1,218)
	Accumulated deficit		(288,443)	(293,520)
	Accumulated other comprehensive income		4,777	6,232
			214,555	205,567
			$ 269,245	$ 280,872

Axcelis Technologies, Inc.
Consolidated Statements of Cash Flow
In thousands
(Unaudited)
					Twelve months ended
					December 31,
					2011	2010
Cash flows from operating activities
	Net income (loss)				$ 5,077	$ (17,573)
	Adjustments to reconcile net income (loss) to net cash provided by (used for) operating activities:
		Depreciation and amortization			8,497	7,045
		Deferred income taxes			613	(1,409)
		Stock-based compensation expense			4,687	4,088
		Provision for excess inventory			1,015	2,015
		Changes in operating assets & liabilities
			Accounts receivable		22,692	(38,652)
			Inventories		(11,870)	3,549
			Prepaid expenses and other current assets		3,049	(3,469)
			Accounts payable & other current liabilities		(17,940)	32,276
			Deferred revenue		(4,006)	10,601
			Income taxes		507	(1,522)
			Other assets and liabilities		(8,788)	(2,841)
				Net cash provided by (used for) operating activities	3,533	(5,892)
Cash flows from investing activities
		Expenditures for property, plant, and equipment			(2,124)	(1,403)
		Decrease in restricted cash			3	7,056
				Net cash provided by (used for) investing activities	(2,121)	5,653
Cash flows from financing activities
		Financing fees and other expenses			(199)	(523)
		Proceeds from exercise of stock options			288	553
		Proceeds from Employee Stock Purchase Plan			502	569
				Net cash provided by financing activities	591	599
Effect of exchange rate changes on cash					(869)	363
Net increase in cash and cash equivalents					1,134	723
Cash and cash equivalents at beginning of period					45,743	45,020
Cash and cash equivalents at end of period					$ 46,877	$ 45,743