Attached files
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| 8-K - FORM 8-K - Ultra Clean Holdings, Inc. | dp26839_8k.htm |
Exhibit 99.1
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Press Release
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Source: Ultra Clean Holdings, Inc.
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Ultra Clean Reports Third Quarter 2011 Financial Results
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Monday, October 24, 2011 4:45 pm EDT
Company In Line with Third Quarter Guidance and Strengthens Balance Sheet
HAYWARD, Calif., October 24, 2011 /PRNewswire/ -- Ultra Clean Holdings, Inc. (Nasdaq: UCTT), a leading developer and supplier of critical subsystems for the semiconductor capital equipment, flat panel, medical, energy and research industries, today reported its financial results for the third quarter of fiscal year 2011 ended September 30, 2011.
Revenue for the third quarter was $105.3 million, a decrease of 21.3% from the second quarter 2011 and a decrease of 11.1% from the same period a year ago. Semiconductor revenue was 66% of total revenue for the third quarter compared to 74% in the previous quarter and revenue outside the US accounted for 28% of the total revenue for the third quarter compared to 31% for the previous quarter. Gross margin for the third quarter was 12.2%, compared to 14.2% for the second quarter 2011 and 14.5% for the third quarter a year ago.
The company recorded net income of $3.2 million, or $0.14 per share in the third quarter compared to net income of $7.0 million, or $0.30 per share in the second quarter of 2011 and net income of $6.7 million, or $0.29 per share for the third quarter of 2010.
Cash at the end of the third quarter 2011 was $37.9 million, an increase of $0.2 million from the prior quarter. Net liquidity was $12.3 million, an increase of $0.9 million from the prior quarter.
Clarence Granger, Ultra Clean’s Chairman and Chief Executive Officer stated: “Throughout the third quarter we experienced declining demand, primarily from our semiconductor equipment customers. Despite this industry wide challenge we were able to remain within our guidance for both revenue and earnings per share. We are in the process of streamlining our operations with the goal of remaining profitable during this period of market softness. Our balance sheet is the strongest it has ever been and our cash position is at an all-time high.”
Commenting on Ultra Clean’s corporate guidance, Granger noted: “Revenue guidance for the fourth quarter 2011 is $75 million to $80 million, with earnings per share in the range of $0.00 to $0.02. This projection reflects continued declines in demand by our customers during the fourth quarter of 2011. We are forecasting a tax rate of 24% for the fourth quarter.”
Ultra Clean will conduct a conference call today, Monday, October 24, 2011, beginning at 1:45 p.m. PDT at 888-561-5097 (domestic) and 706-679-7569 (international). A replay of the webcast will be available for fourteen days following the conference call at 855-859-2056 (domestic) and 404-537-3406 (international). The confirmation number for the live broadcast and replay is 13115046 (all callers). The conference call will also be webcast live and be available for fourteen days on our website.
About Ultra Clean Holdings, Inc.
Ultra Clean Holdings, Inc. is a leading developer and supplier of critical subsystems for the semiconductor capital equipment, flat panel, medical, energy and research industries. Ultra Clean offers its customers an integrated outsourced solution for gas delivery systems and other subassemblies, improved design-to-delivery cycle times, component neutral design and manufacturing and component testing capabilities. Ultra Clean's customers are primarily original equipment manufacturers for the semiconductor capital equipment, flat panel, medical, energy and research industries. Ultra Clean is headquartered in Hayward, California. Additional information is available at www.uct.com.
Safe Harbor Statement
The foregoing information contains, or may be deemed to contain, "forward-looking statements" (as defined in the US Private Securities Litigation Reform Act of 1995) which reflect our current views with respect to future events and financial performance. We use words such as "anticipates," "believes," "plan," "expect," "future,"' "intends," "may," "will," "should," "estimates," "predicts," "potential," "continue" and similar expressions to identify these forward-looking statements. Forward looking statements included in the press release include estimates made with respect to our fourth quarter 2011 revenue and earnings per share. All forward-looking statements address matters that involve risks and uncertainties. Accordingly, our actual results may differ materially from the results predicted or implied by these forward- looking statements. These risks, uncertainties and other factors include, among others, those identified in "Risk Factors," "Management's Discussion and Analysis of Financial Condition and Results of Operations'' and elsewhere in our annual report on Form 10-K for the year ended December 31, 2010 filed with the Securities and Exchange Commission. Ultra Clean Holdings, Inc. undertakes no obligation to publicly update or review any forward-looking statements, whether as a result of new information future developments or otherwise.
Contact:
Ultra Clean Holdings, Inc.
Casey Eichler
CFO
510/576-4704
Ultra Clean Holdings, Inc
Condensed Consolidated Statements of Income
(Unaudited; in thousands, except per share data)
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For the three months ended
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For the nine months ended
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September 30, 2011
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October 1, 2010
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September 30, 2011
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October 1, 2010
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Sales
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$ | 105,306 | $ | 118,486 | $ | 365,766 | $ | 322,831 | ||||||||
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Cost of goods sold
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92,454 | 101,285 | 316,369 | 278,461 | ||||||||||||
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Gross profit
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12,852 | 17,201 | 49,397 | 44,370 | ||||||||||||
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Operating expenses:
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Research and development
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1,252 | 1,455 | 4,294 | 3,951 | ||||||||||||
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Sales and marketing
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1,679 | 1,861 | 5,754 | 4,923 | ||||||||||||
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General and administrative
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5,611 | 5,359 | 17,359 | 15,781 | ||||||||||||
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Total operating expenses
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8,542 | 8,675 | 27,407 | 24,655 | ||||||||||||
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Income from operations
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4,310 | 8,526 | 21,990 | 19,715 | ||||||||||||
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Interest and other income (expense), net
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(275 | ) | (237 | ) | (1,010 | ) | (534 | ) | ||||||||
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Income before income taxes
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4,035 | 8,289 | 20,980 | 19,181 | ||||||||||||
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Income tax provision
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880 | 1,592 | 5,047 | 2,980 | ||||||||||||
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Net income
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$ | 3,155 | $ | 6,697 | $ | 15,933 | $ | 16,201 | ||||||||
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Net income per share:
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Basic
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$ | 0.14 | $ | 0.31 | $ | 0.70 | $ | 0.75 | ||||||||
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Diluted
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$ | 0.14 | $ | 0.29 | $ | 0.68 | $ | 0.71 | ||||||||
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Shares used in computing net income per share:
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Basic
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22,804 | 21,891 | 22,666 | 21,702 | ||||||||||||
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Diluted
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23,246 | 23,060 | 23,484 | 22,930 | ||||||||||||
Ultra Clean Holdings, Inc
Condensed Consolidated Balance Sheets
(Unaudited; in thousands)
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September 30,
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December 31,
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ASSETS
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2011
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2010
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Current assets:
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Cash and cash equivalents
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$ | 37,872 | $ | 34,654 | ||||
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Accounts receivable
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47,670 | 54,589 | ||||||
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Inventory
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59,267 | 59,288 | ||||||
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Other current assets
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10,216 | 5,935 | ||||||
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Total current assets
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155,025 | 154,466 | ||||||
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Equipment and leasehold improvements, net
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10,293 | 8,971 | ||||||
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Purchased intangibles, net
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8,987 | 8,987 | ||||||
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Other non-current assets
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590 | 571 | ||||||
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Total assets
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$ | 174,895 | $ | 172,995 | ||||
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LIABILITIES & STOCKHOLDERS' EQUITY
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Current liabilities
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Bank borrowings
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$ | 3,071 | $ | 4,110 | ||||
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Accounts payable
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26,931 | 45,957 | ||||||
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Other current liabilities
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11,506 | 7,654 | ||||||
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Total current liabilities
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41,508 | 57,721 | ||||||
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Bank debt and other long-term liabilities
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25,042 | 27,765 | ||||||
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Total liabilities
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66,550 | 85,486 | ||||||
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Stockholders' equity
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Common stock
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104,362 | 99,459 | ||||||
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Retained earnings (deficit)
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3,983 | (11,950 | ) | |||||
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Total stockholders' equity
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108,345 | 87,509 | ||||||
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Total liabilities and stockholders' equity
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$ | 174,895 | $ | 172,995 | ||||