| Delaware (State or Other
Jurisdiction of Incorporation or Organization) |
95-4344224 (I.R.S.
Employer Identification No.) |
| PAGE | ||||
| PART I. FINANCIAL INFORMATION |
||||
| Item 1. |
Financial Statements |
|||
| 1 | ||||
| 2 | ||||
| 3 | ||||
| 4 | ||||
| Item 2. |
7 | |||
| Item 3. |
23 | |||
| PART II. OTHER INFORMATION AND
SIGNATURES |
||||
| Item 1. |
25 | |||
| Item 2. |
25 | |||
| Item 3. |
25 | |||
| Item 4. |
26 | |||
| Item 5. |
26 | |||
| Item 6. |
26 | |||
| 27 | ||||
| June 30, 2002 |
September 30, 2001 | |||||
| (unaudited) |
||||||
| ASSETS |
||||||
| CURRENT ASSETS: |
||||||
| Cash and cash equivalents |
$ |
71,682 |
$ |
62,529 | ||
| Marketable securities |
|
75,874 |
|
76,102 | ||
| Accounts receivable less allowance for doubtful accounts: |
||||||
| $559 at June 30, 2002 and $1,156 at September 30, 2001 |
|
2,970 |
|
8,004 | ||
| Income taxes receivable |
|
509 |
||||
| Inventories |
|
9,350 |
|
15,852 | ||
| Deferred income taxes |
|
9,296 |
|
9,296 | ||
| Prepaid expenses and other current assets |
|
2,336 |
|
2,306 | ||
| |
|
|
| |||
| Total current assets |
|
172,017 |
|
174,089 | ||
| PROPERTY, PLANT AND EQUIPMENT, Net |
|
30,487 |
|
30,179 | ||
| |
|
|
| |||
| TOTAL |
$ |
202,504 |
$ |
204,268 | ||
| |
|
|
| |||
| LIABILITIES AND STOCKHOLDERS EQUITY |
||||||
| CURRENT LIABILITIES: |
||||||
| Current portion of long-term debt |
$ |
471 |
$ |
471 | ||
| Accounts payable |
|
797 |
|
1,365 | ||
| Accounts payable to related parties |
|
89 |
|
1,260 | ||
| Accrued bonus |
|
2,372 |
|
1,900 | ||
| Accrued expenses |
|
2,007 |
|
2,249 | ||
| Income taxes payable |
|
428 | ||||
| |
|
|
| |||
| Total current liabilities |
|
5,736 |
|
7,673 | ||
| |
|
|
| |||
| LONG-TERM DEBT |
|
1,471 |
|
1,825 | ||
| |
|
|
| |||
| DEFERRED INCOME TAXES |
|
57 |
|
57 | ||
| |
|
|
| |||
| STOCKHOLDERS EQUITY: |
||||||
| Class Acommon stock, $.001 par value; 200,000,000 shares authorized, 42,802,510 and 42,006,602 shares issued and
outstanding at June 30, 2002 and September 30, 2001, respectively. |
|
43 |
|
42 | ||
| Class Bcommon stock $.001 par value; 66,000,000 shares authorized, 66,000,000 shares issued and outstanding at
June 30, 2002 and September 30, 2001, respectively. |
|
66 |
|
66 | ||
| Additional paid-in capital |
|
130,252 |
|
129,707 | ||
| Retained earnings |
|
64,879 |
|
64,898 | ||
| |
|
|
| |||
| Total stockholders equity |
|
195,240 |
|
194,713 | ||
| |
|
|
| |||
| TOTAL |
$ |
202,504 |
$ |
204,268 | ||
| |
|
|
| |||
| Three Months Ended June 30, |
Nine Months Ended June 30, |
|||||||||||||||
| 2002 |
2001 |
2002 |
2001 |
|||||||||||||
| (Unaudited) |
(Unaudited) |
|||||||||||||||
| REVENUE |
$ |
9,837 |
|
$ |
39,364 |
|
$ |
28,298 |
|
$ |
129,161 |
| ||||
| COST OF REVENUE |
|
7,145 |
|
|
26,296 |
|
|
20,594 |
|
|
74,870 |
| ||||
| |
|
|
|
|
|
|
|
|
|
|
| |||||
| GROSS PROFIT |
|
2,692 |
|
|
13,068 |
|
|
7,704 |
|
|
54,291 |
| ||||
| |
|
|
|
|
|
|
|
|
|
|
| |||||
| EXPENSES: |
||||||||||||||||
| Research and development |
|
1,424 |
|
|
780 |
|
|
3,652 |
|
|
2,301 |
| ||||
| Selling and marketing |
|
1,024 |
|
|
1,070 |
|
|
2,904 |
|
|
3,577 |
| ||||
| General and administritive |
|
1,499 |
|
|
1,589 |
|
|
3,883 |
|
|
3,540 |
| ||||
| |
|
|
|
|
|
|
|
|
|
|
| |||||
| Total expenses |
|
3,947 |
|
|
3,439 |
|
|
10,439 |
|
|
9,418 |
| ||||
| |
|
|
|
|
|
|
|
|
|
|
| |||||
| INCOME (LOSS) FROM OPERATIONS |
|
(1,255 |
) |
|
9,629 |
|
|
(2,735 |
) |
|
44,873 |
| ||||
| |
|
|
|
|
|
|
|
|
|
|
| |||||
| OTHER INCOME (EXPENSE): |
||||||||||||||||
| Interest income |
|
758 |
|
|
1,919 |
|
|
2,527 |
|
|
4,822 |
| ||||
| Interest expense |
|
(20 |
) |
|
(42 |
) |
|
(65 |
) |
|
(148 |
) | ||||
| Other income |
|
75 |
|
|
36 |
|
|
241 |
|
|
108 |
| ||||
| |
|
|
|
|
|
|
|
|
|
|
| |||||
| OTHER INCOME, Net |
|
813 |
|
|
1,913 |
|
|
2,703 |
|
|
4,782 |
| ||||
| |
|
|
|
|
|
|
|
|
|
|
| |||||
| INCOME (LOSS) BEFORE INCOME TAXES |
|
(442 |
) |
|
11,542 |
|
|
(32 |
) |
|
49,655 |
| ||||
| INCOME TAX PROVISION (BENEFIT) |
|
(177 |
) |
|
4,617 |
|
|
(13 |
) |
|
19,862 |
| ||||
| |
|
|
|
|
|
|
|
|
|
|
| |||||
| NET INCOME (LOSS) |
$ |
(265 |
) |
$ |
6,925 |
|
$ |
(19 |
) |
$ |
29,793 |
| ||||
| |
|
|
|
|
|
|
|
|
|
|
| |||||
| BASIC EARNINGS (LOSS) PER SHARE |
$ |
0.00 |
|
$ |
0.06 |
|
$ |
0.00 |
|
$ |
0.31 |
| ||||
| |
|
|
|
|
|
|
|
|
|
|
| |||||
| DILUTED EARNINGS (LOSS) PER SHARE |
$ |
0.00 |
|
$ |
0.06 |
|
$ |
0.00 |
|
$ |
0.27 |
| ||||
| |
|
|
|
|
|
|
|
|
|
|
| |||||
| BASIC SHARES OUTSTANDING |
|
108,460 |
|
|
107,613 |
|
|
108,195 |
|
|
97,667 |
| ||||
| |
|
|
|
|
|
|
|
|
|
|
| |||||
| DILUTED SHARES OUTSTANDING |
|
108,460 |
|
|
112,613 |
|
|
108,195 |
|
|
111,279 |
| ||||
| |
|
|
|
|
|
|
|
|
|
|
| |||||
| Nine Months Ended |
||||||||
| June 30, 2002 |
June 30, 2001 |
|||||||
| (Unaudited) |
||||||||
| Operating Activities: |
||||||||
| Net Income (Loss) |
$ |
(19 |
) |
$ |
29,793 |
| ||
| Adjustments to reconcile net income (loss) to net cash provided by operating activities: |
||||||||
| Depreciation |
|
1,787 |
|
|
919 |
| ||
| Amortization of premium on marketable securities |
|
1,554 |
|
|||||
| Tax benefit from exercise of non-qualified stock options |
|
398 |
|
|
4,760 |
| ||
| Changes in operating assets and liabilities: |
||||||||
| Accounts receivable, net |
|
5,034 |
|
|
(1,029 |
) | ||
| Income taxes receivable |
|
(509 |
) |
|||||
| Inventories |
|
6,502 |
|
|
(14,761 |
) | ||
| Prepaid expense and other current assets |
|
(30 |
) |
|
(1,762 |
) | ||
| Other assets |
|
460 |
| |||||
| Accounts payable |
|
(568 |
) |
|
(448 |
) | ||
| Accounts payable to related parties |
|
(1,171 |
) |
|
9,035 |
| ||
| Accrued bonus |
|
472 |
|
|
683 |
| ||
| Accrued expenses |
|
(242 |
) |
|
1,474 |
| ||
| Income taxes payable |
|
(428 |
) |
|
(4,207 |
) | ||
| |
|
|
|
|
| |||
| Net cash provided by operating activities |
|
12,780 |
|
|
24,917 |
| ||
| |
|
|
|
|
| |||
| Investing Activities: |
||||||||
| Purchase of marketable securities |
|
(46,326 |
) |
|
(141,200 |
) | ||
| Maturities of marketable securities |
|
45,000 |
|
|
79,500 |
| ||
| Purchase of property, plant and equipment |
|
(2,095 |
) |
|
(22,801 |
) | ||
| |
|
|
|
|
| |||
| Net Cash used in investing activities |
||||||||