Attached files
| file | filename |
|---|---|
| 8-K - CURRENT REPORT - AEHR TEST SYSTEMS | aehr_8k.htm |
Exhibit 99.1
FOR IMMEDIATE RELEASE
|
Aehr Test Systems
|
Investor Relations Contact:
|
|
Ken Spink
|
Todd
Kehrli or Jim Byers
|
|
Chief Financial Officer
|
MKR
Group, Inc.
|
|
(510) 623-9400 x309
|
(323)
468-2300
|
|
|
aehr@mkr-group.com
|
Aehr Test Systems Reports Second Quarter Fiscal 2019 Financial
Results
Fremont, CA (January 10, 2019) – Aehr Test Systems (NASDAQ:
AEHR), a worldwide supplier of semiconductor test and
burn-in equipment, today announced
financial results for its second quarter of fiscal 2019 ended
November 30, 2018.
Fiscal Second Quarter Financial Results:
●
Net
sales were $5.9 million, compared to $7.9 million in the second
quarter of fiscal 2018.
●
GAAP
net loss was $629,000, or $0.03 per diluted share, compared to GAAP
net income of $60,000, or $0.00 per diluted share, in the second
quarter of fiscal 2018.
●
Non-GAAP
net loss, which excludes the impact of stock-based compensation
expense, was $405,000, or $0.02 per diluted share, compared to
non-GAAP net income of $424,000, or $0.02 per diluted share, in the
second quarter of fiscal 2018.
●
Backlog as of
November 30, 2018 was $4.3 million.
Fiscal First Six Months Financial Results:
●
Net sales were
$10.7 million, compared to $14.9 million in the first six months of
fiscal 2018.
●
GAAP net loss was
$2.1 million, or $0.10 per diluted share, compared to GAAP net
income of $70,000, or $0.00 per diluted share, in the first six
months of fiscal 2018.
●
Non-GAAP net loss
was $1.7 million, or $0.07 per diluted share, compared to non-GAAP
net income of $650,000, or $0.03 per diluted share, in the first
six months of fiscal 2018.
An explanation of the use of non-GAAP financial information and a
reconciliation of the non-GAAP financial measures to the most
directly comparable GAAP financial measures can be found in the
accompanying tables.
Second Quarter and Recent Business Highlights:
●
Received an order
for and shipped a follow-on
FOX-XPTM
Multi-Wafer Test and Burn-in System
and WaferPakTM
Aligner to the company’s lead
customer for wafer level test and burn-in of silicon photonics
devices.
●
Shipped follow-on ABTSTM
Test and Burn-in System to a wireless
communications chipset company for use in high volume production
burn-in of automotive devices.
●
Announced today the addition of a new product in
Aehr Test’s FOX-PTM
platform, the
FOX-NPTM
system, which increases the market
opportunity for the company’s FOXTM
systems and contactors with a low
cost, small footprint entry-level system that provides a
configuration for initial product development, production
qualification and New Production Introduction
(NPI).
●
Received
a commitment and expect an order imminently from a new customer to
use Aehr Test’s FOX-P Platform for test and burn-in of
silicon photonics devices. This additional production test and
burn-in customer plans to utilize Aehr Test’s new FOX-NP
system to begin their production ramp and then transition to high
volume production test and burn-in of 100% of their silicon
photonics devices using Aehr Test’s FOX-XP
systems.
●
Appointed
new Executive Vice President of Sales and Marketing to oversee all
aspects of the Company’s customer facing sales, marketing and
support team, including direct sales, distributors and
representatives in Asia and Europe, and its subsidiaries in Japan
and Germany.
Aehr
Test Systems Reports Second Quarter Fiscal 2019 Financial
Results
January 10, 2019
Page
2 of 7
Gayn Erickson, President and CEO of Aehr Test Systems,
commented:
“While our revenue in the second quarter was lower on a
year-over-year basis, it was in line with the expectations that we
discussed in last quarter’s call for a softer first half of
the fiscal year, with many of our customers’ capacity ramps
expected in the second half of our fiscal year. We continue to feel
positive about the second half, but there are in fact both positive
and negative events that impact our expectations for the fiscal
second half and full year.
“Our lead customer for our FOX-XP system for production wafer
level burn-in of silicon photonics devices continues to drive
increased business for us. This customer, who is one of the
world’s largest semiconductor manufacturers, has a very
strong forecast for their capacity ramp, which will consume the
system capacity they have ordered to date. We continue to expect
orders for a significant number of our WaferPak Contactors by the
end of this fiscal year to populate their FOX-XP systems, as well
as orders for additional FOX-XP systems and WaferPak Contactors
throughout calendar year 2019 and beyond.
“We are pleased to announce that just this week we received a
commitment from a new customer to use our FOX-P Platform for test
and burn-in of silicon photonics devices. This additional
production customer will utilize our new FOX-NP system to begin
their production ramp and then transition to high volume production
test and burn-in of 100% of their silicon photonics devices using
our FOX-XP systems, which have the capacity to test and burn-in
over 4,600 singulated die devices in parallel. We are expecting
imminent placement of an order by this customer for their initial
design verification, qualification and production
needs.
“The FOX-NP system is a new product within Aehr Test’s
FOX-P family that offers a lower cost entry-level system to provide
a configuration and price point for companies to do initial
production qualification and new product introduction, enabling an
easier transition to the FOX-XP for full production test. This new
FOX-NP system is 100% compatible with the FOX-XP system and is
configurable with up to two blades per system compared to up to 18
blades in the FOX-XP system.
Aehr
Test Systems Reports Second Quarter Fiscal 2019 Financial
Results
January 10, 2019
Page
3 of 7
“As we had discussed last quarter, many of our customers had
substantial forecasts for bookings and shipments that we forecasted
by the end of our fiscal year. We have seen push outs of orders for
capacity increases from our installed base due to customer device
delays that do not appear to be related to macro industry trends.
We also believe some of our customers have taken a cautious stance
which has impacted the timing of their orders to Aehr due to
general market concerns and trade uncertainties between the US and
China, as well as slow-downs in the mobile space that have been
widely reported. Specifically, we are seeing orders that are
delayed such that we will no longer be able to ship them within
this current fiscal third quarter and/or our fiscal
year.
“As a result of the current customer product delays and
market conditions, as well as delays in expected orders, we are
lowering our revenue guidance for fiscal 2019 from a range of $30
million to $35 million to a new range of $20 million to $25
million. However, we expect to see an improvement in bookings in
our second half, with an increase in backlog heading into our
fiscal 2020, which begins June 1, 2019.
“We believe that the long-term fundamentals for Aehr Test
Systems have not changed. We continue to see an increase in
semiconductor content in every part of life as well as an increased
need for reliability, security, safety, and confidence in those
semiconductors and electronic products. We also see the macro trend
of semiconductor devices with heterogeneous integration or stacked
die increasing the need for reliability and burn-in of devices
before they are integrated or stacked into multi-die packages. Aehr
Test’s unique products allow our customers to test and
burn-in their devices with the 100% confidence and traceability
which are needed to address the safety, security, and confidence
for mission critical applications. We feel we are very well
positioned to capitalize on these long-term market
trends.”
Management Conference Call and Webcast
Aehr
Test Systems will host a conference call and webcast today at 5:00
p.m. Eastern (2:00 p.m. PT) to discuss its second quarter fiscal
2019 operating results. To access the call dial 800-458-4121 (+1 323-794-2093 outside the United States)
and give the participant pass code 1583827. In addition, a live and
archived webcast of the conference call will be available over the
Internet at www.aehr.com in the Investor
Relations section. A replay of the conference call will also be
available via telephone beginning approximately two hours after
conclusion of the call through 8:00 p.m. ET on January 10, 2019. To
access the replay dial-in information, please click here.
About Aehr Test Systems
Headquartered
in Fremont, California, Aehr Test Systems is a worldwide provider
of test systems for burning-in and testing logic, optical and
memory integrated circuits and has over 2,500 systems installed
worldwide. Increased quality and reliability needs of the
Automotive and Mobility integrated circuit markets are driving
additional test requirements, incremental capacity needs, and new
opportunities for Aehr Test products in package, wafer level, and
singulated die/module level test. Aehr Test has developed and
introduced several innovative products, including the
ABTSTM and
FOX-PTM
families of test and burn-in systems and FOX WaferPakTM Aligner, FOX-XP
WaferPak Contactor, FOX DiePak® Carrier and FOX
DiePak Loader. The ABTS system is used in production and
qualification testing of packaged parts for both lower power and
higher power logic devices as well as all common types of memory
devices. The FOX-XP system is a full wafer contact and singulated
die/module test and burn-in system used for burn-in and functional
test of complex devices, such as leading-edge memories, digital
signal processors, microprocessors, microcontrollers,
systems-on-a-chip, and integrated optical devices. The WaferPak
contactor contains a unique full wafer probe card capable of
testing wafers up to 300mm that enables IC manufacturers to perform
test and burn-in of full wafers on Aehr Test FOX systems. The
DiePak Carrier is a reusable, temporary package that enables IC
manufacturers to perform cost-effective final test and burn-in of
both bare die and modules. For more information, please visit Aehr
Test Systems’ website at www.aehr.com.
Aehr
Test Systems Reports Second Quarter Fiscal 2019 Financial
Results
January 10, 2019
Page
4 of 7
Safe Harbor Statement
This
press release contains certain forward-looking statements based on
current expectations, forecasts and assumptions that involve risks
and uncertainties. These statements are based on information
available to Aehr Test as of the date hereof and actual results
could differ materially from those stated or implied due to risks
and uncertainties. Forward-looking statements include statements
regarding Aehr Test’s expectations, beliefs, intentions or
strategies regarding the future including statements regarding
future market opportunities and conditions, expected product
shipment dates, customer orders or commitments and future operating
results. The risks and uncertainties that could cause Aehr
Test’s results to differ materially from those expressed or
implied by such forward-looking statements include, without
limitation, general market conditions, customer demand and
acceptance of Aehr Test’s products and Aehr Test’s
ability to execute on its business strategy. See Aehr Test’s
recent 10-K, 10-Q and other reports from time to time filed with
the Securities and Exchange Commission for a more detailed
description of the risks facing Aehr Test’s business. Aehr
Test disclaims any obligation to update information contained in
any forward-looking statement to reflect events or circumstances
occurring after the date of this press release.
– Financial Tables to Follow –
|
Aehr Test Systems Reports Second Quarter Fiscal 2019 Financial
Results
|
|
|
January 10, 2019
|
|
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Page 5 of 7
|
AEHR
TEST SYSTEMS AND SUBSIDIARIES
Condensed Consolidated Statements of Operations
(in thousands,
except per share data)
(unaudited)
|
|
Three Months Ended
|
Six Months Ended
|
|||
|
|
Nov 30,
|
Aug 31,
|
Nov 30,
|
Nov 30,
|
Nov 30,
|
|
|
2018
|
2018
|
2017
|
2018
|
2017
|
|
|
|
|
|
|
|
|
Net
sales
|
$5,911
|
$4,740
|
$7,923
|
$10,651
|
$14,893
|
|
Cost of
sales
|
3,513
|
3,187
|
4,792
|
6,700
|
8,844
|
|
Gross
profit
|
2,398
|
1,553
|
3,131
|
3,951
|
6,049
|
|
|
|
|
|
|
|
|
Operating
expenses:
|
|
|
|
|
|
|
Selling,
general and administrative
|
1,977
|
1,879
|
1,854
|
3,856
|
3,645
|
|
Research
and development
|
986
|
1,116
|
1,090
|
2,102
|
2,045
|
|
Total
operating expenses
|
2,963
|
2,995
|
2,944
|
5,958
|
5,690
|
|
|
|
|
|
|
|
|
(Loss)
income from operations
|
(565)
|
(1,442)
|
187
|
(2,007)
|
359
|
|
|
|
|
|
|
|
|
Interest
expense, net
|
(74)
|
(78)
|
(105)
|
(152)
|
(212)
|
|
Other income
(expense), net
|
29
|
9
|
(7)
|
38
|
(67)
|
|
|
|
|
|
|
|
|
(Loss)
income before income tax expense
|
(610)
|
(1,511)
|
75
|
(2,121)
|
80
|
|
|
|
|
|
|
|
|
Income tax
expense
|
(19)
|
(4)
|
(15)
|
(23)
|
(10)
|
|
|
|
|
|
|
|
|
Net
(loss) income
|
(629)
|
(1,515)
|
60
|
(2,144)
|
70
|
|
|
|
|
|
|
|
|
Less: Net
income attributable to the noncontrolling
interest
|
-
|
-
|
-
|
-
|
-
|
|
|
|
|
|
|
|
|
Net (loss)
income attributable to Aehr Test Systems common
shareholders
|
$(629)
|
$(1,515)
|
$60
|
$(2,144)
|
$70
|
|
|
|
|
|
|
|
|
Net (loss)
income per share
|
|
|
|
|
|
|
Basic
|
$(0.03)
|
$(0.07)
|
$0.00
|
$(0.10)
|
$0.00
|
|
Diluted
|
$(0.03)
|
$(0.07)
|
$0.00
|
$(0.10)
|
$0.00
|
|
|
|
|
|
|
|
|
Shares used in
per share calculations:
|
|
|
|
|
|
|
Basic
|
22,294
|
22,190
|
21,645
|
22,242
|
21,531
|
|
Diluted
|
22,294
|
22,190
|
22,883
|
22,242
|
22,937
|
-More-
|
Aehr Test Systems Reports Second Quarter Fiscal 2019 Financial
Results
|
|
|
January 10, 2019
|
|
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Page 6 of 7
|
AEHR TEST SYSTEMS AND SUBSIDIARIES
Reconciliation of GAAP and Non-GAAP Results
(in
thousands, except per share data)
(unaudited)
|
|
Three Months Ended
|
Six Months Ended
|
|||
|
|
Nov 30,
|
Aug 31,
|
Nov 30,
|
Nov 30,
|
Nov 30,
|
|
|
2018
|
2018
|
2017
|
2018
|
2017
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GAAP
net (loss) income
|
$(629)
|
$(1,515)
|
$60
|
$(2,144)
|
$70
|
|
Stock-based
compensation expense
|
224
|
256
|
364
|
480
|
580
|
|
Non-GAAP
net (loss) income
|
$(405)
|
$(1,259)
|
$424
|
$(1,664)
|
$650
|
|
|
|
|
|
|
|
|
GAAP
net (loss) income per diluted share
|
$(0.03)
|
$(0.07)
|
$0.00
|
$(0.10)
|
$0.00
|
|
Non-GAAP
net (loss) income per diluted share
|
$(0.02)
|
$(0.06)
|
$0.02
|
$(0.07)
|
$0.03
|
|
Shares
used in GAAP diluted shares calculation
|
22,294
|
22,190
|
22,883
|
22,242
|
22,937
|
|
Shares
used in non-GAAP diluted shares calculation
|
22,294
|
22,190
|
22,883
|
22,242
|
22,937
|
Non-GAAP
net (loss) income is a non-GAAP measure and should not be
considered a replacement for GAAP results. Non-GAAP net (loss)
income is a financial measure the Company uses to evaluate the
underlying results and operating performance of the business. The
limitation of this measure is that it excludes items that impact
the Company's current period net income. This limitation is best
addressed by using this measure in combination with net (loss)
income (the most directly comparable GAAP financial measure). These
measures are not in accordance with GAAP and may differ from
non-GAAP methods of accounting and reporting used by other
companies.
We
believe these measures enhance investors’ ability to review
the company’s business from the same perspective as the
company’s management and facilitate comparisons of this
period’s results with prior periods.
-More-
|
Aehr Test Systems Reports Second Quarter Fiscal 2019 Financial
Results
|
|
|
January 10, 2019
|
|
|
Page 7 of 7
|
AEHR TEST SYSTEMS AND SUBSIDIARIES
Condensed Consolidated Balance Sheets
(in
thousands, except per share data)
(unaudited)
|
|
November 30,
|
August 31,
|
May 31,
|
|
|
2018
|
2018
|
2018
|
|
ASSETS
|
|
|
|
|
|
|
|
|
|
Current
assets:
|
|
|
|
|
Cash
and cash equivalents
|
$14,002
|
$15,864
|
$16,848
|
|
Accounts
receivable, net
|
3,868
|
2,272
|
2,856
|
|
Inventories
|
9,983
|
9,585
|
9,049
|
|
Prepaid
expenses and other
|
688
|
727
|
703
|
|
Total
current assets
|
28,541
|
28,448
|
29,456
|
|
|
|
|
|
|
Property
and equipment, net
|
1,074
|
1,174
|
1,203
|
|
Other
assets
|
286
|
266
|
296
|
|
Total
assets
|
$29,901
|
$29,888
|
$30,955
|
|
|
|
|
|
|
LIABILITIES AND SHAREHOLDERS' EQUITY
|
|
|
|
|
|
|
|
|
|
Current
liabilities:
|
|
|
|
|
Current
portion of long-term debt
|
$6,110
|
$6,110
|
$6,110
|
|
Accounts
payable
|
1,953
|
1,317
|
1,762
|
|
Accrued
expenses
|
1,487
|
1,498
|
1,646
|
|
Customer
deposits and deferred revenue, short-term
|
2,068
|
2,339
|
1,630
|
|
Total
current liabilities
|
11,618
|
11,264
|
11,148
|
|
|
|
|
|
|
Deferred
rent
|
147
|
145
|
63
|
|
Deferred
revenue, long-term
|
252
|
359
|
459
|
|
Total
liabilities
|
12,017
|
11,768
|
11,670
|
|
|
|
|
|
|
Aehr
Test Systems shareholders' equity
|
17,902
|
18,139
|
19,305
|
|
Noncontrolling
interest
|
(18)
|
(19)
|
(20)
|
|
Total
shareholders' equity
|
17,884
|
18,120
|
19,285
|
|
|
|
|
|
|
Total
liabilities and shareholders' equity
|
$29,901
|
$29,888
|
$30,955
|
###