Asyst Technologies Inc., a provider of integrated automation solutions that enhance semiconductor and flat panel display manufacturing productivity, has reported financial results for its fiscal first quarter ended June 30, 2007.
Net sales reached $121.6 million, down from $126.7 million in the prior sequential quarter. Net sales of automated material handling systems (AMHS) were $76.3 million, which compares with $82.2 million in the prior sequential quarter; and tool and fab automation solutions, $45.3 million, up from $44.5 million in the prior sequential quarter. Consolidated gross margin increased to 33 percent.
For the fiscal first quarter, net loss according to GAAP was $0.4 million, which compares with net income of $3.4 million in the prior sequential quarter. Non-GAAP net income for the fiscal first quarter was $5.3 million, which compares with $8.4 million, or $0.17 per share, in the prior sequential quarter. Both GAAP and non-GAAP net income in the prior sequential quarter included the benefit of approximately $4 million, related to the implementation of a new tax structure for the full fiscal year 2007. Non-GAAP net income for the quarter excludes the amortization of intangibles, restructuring charges, and certain non-cash foreign currency translation charges related to the company's previously announced debt refinancing.
Steve Schwartz, Chairperson and CEO of Asyst, said: "We again achieved strong operating performance in the quarter, which helped to drive non-GAAP net income above our guidance. As expected, AMHS bookings were down, which primarily reflects the timing of customer investment decisions. We expect AMHS bookings to increase significantly in the September quarter as customers are making decisions on multiple upcoming projects. We believe that sales are sustainable near current levels for the remainder of calendar 2007 and are optimistic about the prospects for continued business strength in calendar 2008, driven by continued demand for semiconductor memory and resurgence in customer spending related to flat panel display."
Commenting on the company's financial performance and outlook, Michael A. Sicuro, CFO, said: "Through the success of our cost reduction efforts, we were able to again achieve higher gross margins. We reduced selling, general and administrative (SG&A) expenses by more than $2 million in the fiscal first quarter, and expect to hold this level of spending in the current quarter. R&D spending was lower than expected due to timing of certain development projects, but we expect R&D to trend higher in the current quarter as these projects accelerate. We continued a trend of strong cash flow, which enabled the lower cost debt financing announced earlier this week."
The company provided the following guidance for the fiscal second quarter ending Sept. 30, 2007:
• Net sales, GAAP net income and non-GAAP net income are expected to be approximately flat with first quarter levels.
• In calculating non-GAAP net income, the company expects to exclude: $3.5 million of intangibles amortization, net of taxes; $0.5 million of restructuring charges; $3.5 million of non-cash charges related to the early retirement of debt; and a $1 million non-cash gain, net of taxes, on foreign currency translation related to the refinancing of debt.
Asyst
