LIVERMORE, CA--(Marketwired - Oct 29, 2014) - FormFactor, Inc. (
On a GAAP basis, net loss for the third quarter of fiscal 2014 was $(0.3) million, or $0.00 per fully-diluted share, compared to a net loss for the second quarter of fiscal 2014 of $(4.3) million, or $(0.08) per fully-diluted share, and a net loss for the third quarter of fiscal 2013 of $(10.7) million, or $(0.20) per fully-diluted share.
On a non-GAAP basis, net income for the third quarter of fiscal 2014 was $9.0 million, or $0.16 per fully-diluted share, compared to a net income for the second quarter of fiscal 2014 of $4.9 million, or $0.08 per fully-diluted share, and a net loss for the third quarter of fiscal 2013 of $(3.5) million, or $(0.06) per fully-diluted share. A reconciliation of GAAP to non-GAAP net income (loss) and net income (loss) per share is provided in the schedules included below.
Cash generation for the third quarter of fiscal 2014 was $5.3 million, compared to cash generation of $5.0 million for the second quarter of fiscal 2014 and cash generation of $1.8 million for the third quarter of fiscal 2013.
"Q3 marked our second consecutive non-GAAP profitable quarter as we saw strong demand in both our SoC and DRAM businesses," said Tom St. Dennis, CEO and Executive Chairman of FormFactor, Inc. "Our reduced cost structure combined with solid product momentum, in both the SoC and DRAM markets, is showing the earnings leverage that we have on incremental revenue growth. We are very optimistic about our ability to continue to drive revenue growth in 2015 and beyond."
The company has posted its revenue breakdown by region and market segment on the Investors section of its website at www.formfactor.com . FormFactor will conduct a conference call at 1:30 p.m. PDT, or 4:30 p.m. EDT, today.
The public is invited to listen to a live webcast of FormFactor's conference call on the Investors section of the company's web site at www.formfactor.com . A telephone replay of the conference call will be available approximately two hours after the conclusion of the call. The telephone replay will be available through October 31, 2014, 9:00 p.m. PDT, and can be accessed by dialing (855) 859-2056 (domestic) or (404) 537-3406 (international) and entering confirmation code 7559228. Additionally, the replay will be available on the Investors section of our website, www.formfactor.com .
Non-GAAP Financial Measures :
This press release highlights the company's financial results on both a GAAP and a non-GAAP basis. The GAAP results include certain charges that are excluded from non-GAAP results. By publishing the non-GAAP measures, management intends to provide investors with additional information to further analyze the company's performance, core results and underlying trends. FormFactor's management evaluates results and makes operating decisions using both GAAP and non-GAAP measures included in this press release. Non-GAAP results are not prepared in accordance with GAAP, and non-GAAP information should be considered a supplement to, and not a substitute for, financial statements prepared in accordance with GAAP. Investors and potential investors are encouraged to review the reconciliation of non-GAAP financial measures to their most directly comparable GAAP measures attached to this press release.
About FormFactor :
FormFactor, Inc. (
FormFactor, MicroProbe, and the FormFactor and MicroProbe logos are registered or unregistered trademarks of FormFactor, Inc. All other product, trademark, company or service names mentioned herein are the property of their respective owners.
Forward-looking Statements :
Statements in this press release that are not strictly historical in nature are forward-looking statements within the meaning of the federal securities laws, including statements regarding anticipated results, market conditions or trends, expectations and operating plans. These forward-looking statements are based on current information and expectations that are inherently subject to change and involve a number of risks and uncertainties. Actual events or results might differ materially from those in any forward-looking statement due to various factors, including, but not limited to: unexpected changes in demand for the company's products; seasonal industry trends; risks of the company's ability to realize further operational efficiencies, to realize sustainable profitability, to achieve its growth objectives, and to meet customer demand for the company's DRAM, Flash Memory and SoC products; and changes in the market and macro-economic environments. Additional information concerning factors that could cause actual events or results to differ materially from those in any forward-looking statement is contained in the company's Form 10-K for the fiscal year ended December 28, 2013, as filed with the SEC, and subsequent SEC filings, including the company's Quarterly Reports on Forms 10-Q. Copies of the company's SEC filings are available at http://investors.formfactor.com/sec.cfm . The company assumes no obligation to update the information in this press release, to revise any forward-looking statements or to update the reasons actual results could differ materially from those anticipated in forward-looking statements.
FORM-F
| FORMFACTOR, INC. | ||||||||||||||||||
| CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS | ||||||||||||||||||
| (In thousands, except per share amounts) | ||||||||||||||||||
| (Unaudited) | ||||||||||||||||||
| Three Months Ended | Nine Months Ended | |||||||||||||||||
| September 27, 2014 | September 28, 2013 | September 27, 2014 | September 28, 2013 | |||||||||||||||
| Revenues | $ | 73,933 | $ | 67,634 | $ | 197,245 | $ | 182,987 | ||||||||||
| Cost of revenues | 49,791 | 55,088 | 140,754 | 144,961 | ||||||||||||||
| Gross profit | 24,142 | 12,546 | 56,491 | 38,026 | ||||||||||||||
| Operating expenses: | ||||||||||||||||||
| Research and development | 11,198 | 10,301 | 32,019 | 32,145 | ||||||||||||||
| Selling, general and administrative | 13,309 | 12,952 | 38,754 | 41,057 | ||||||||||||||
| Restructuring charges, net | 28 | 143 | 2,084 | 4,215 | ||||||||||||||
| Loss on sale of subsidiary | -- | -- | -- | 300 | ||||||||||||||
| Impairment of long-lived assets | 86 | 15 | 829 | 194 | ||||||||||||||
| Total operating expenses | 24,621 | 23,411 | 73,686 | 77,911 | ||||||||||||||
| Operating loss | (479 | ) | (10,865 | ) | (17,195 | ) | (39,885 | ) | ||||||||||
| Interest income, net | 75 | 95 | 233 | 298 | ||||||||||||||
| Other income (expense), net | 228 | (91 | ) | 6 | 541 | |||||||||||||
| Loss before income taxes | (176 | ) | (10,861 | ) | (16,956 | ) | (39,046 | ) | ||||||||||
| Provision (benefit) for income taxes | 101 | (147 | ) | 358 | (152 | ) | ||||||||||||
| Net loss | $ | (277 | ) | $ | (10,714 | ) | $ | (17,314 | ) | $ | (38,894 | ) | ||||||
| Net loss per share: | ||||||||||||||||||
| Basic and diluted | $ | 0.00 | $ | (0.20 | ) | $ | (0.31 | ) | $ | (0.72 | ) | |||||||
| Weighted-average number of shares used in per share calculations: | ||||||||||||||||||
| Basic and diluted | 56,297 | 54,437 | 55,720 | 54,070 | ||||||||||||||
| FORMFACTOR, INC. | ||||||||||||||||
| RECONCILIATION OF NON-GAAP NET INCOME (LOSS) | ||||||||||||||||
| (In thousands, except per share amounts) | ||||||||||||||||
| (Unaudited) | ||||||||||||||||
| Three Months Ended | Nine Months Ended | |||||||||||||||
| September 27, 2014 | September 28, 2013 | September 27, 2014 | September 28, 2013 | |||||||||||||
| GAAP net loss | $ | (277 | ) | $ | (10,714 | ) | $ | (17,314 | ) | $ | (38,894 | ) | ||||
| Stock-based compensation | 3,934 | 2,958 | 10,023 | 9,125 | ||||||||||||
| Restructuring charges, net | 28 | 143 | 2,084 | 4,215 | ||||||||||||
| Acquisition and integration related expenses | (31 | ) | 106 | 398 | 1,300 | |||||||||||
| Amortization of intangibles, inventory and fixed assets fair value adjustment due to acquisition | 4,983 | 3,955 | 14,885 | 12,947 | ||||||||||||
| Impairment of long-lived assets | 86 | 15 | 829 | 494 | ||||||||||||
| Loss contingency | 307 | -- | 720 | -- | ||||||||||||
| Income tax valuation allowance | -- | -- | -- | 150 | ||||||||||||
| Non-GAAP net income (loss) | $ | 9,030 | $ | (3,537 | ) | $ | 11,625 | $ | (10,663 | ) | ||||||
| Non-GAAP net income (loss) per share: | ||||||||||||||||
| Basic | $ | 0.16 | $ | (0.06 | ) | $ | 0.21 | $ | (0.20 | ) | ||||||
| Diluted | $ | 0.16 | $ | (0.06 | ) | $ | 0.20 | $ | (0.20 | ) | ||||||
| Weighted-average number of shares used in per share calculations: | ||||||||||||||||
| Basic | 56,297 | 54,437 | 55,720 | 54,070 | ||||||||||||
| Diluted | 57,597 | 54,437 | 57,110 | 54,070 | ||||||||||||
| FORMFACTOR, INC. | ||||||||||
| CONDENSED CONSOLIDATED BALANCE SHEETS | ||||||||||
| (In thousands) | ||||||||||
| (Unaudited) | ||||||||||
| September 27, 2014 | December 28, 2013 | |||||||||
| ASSETS | ||||||||||
| Current assets: | ||||||||||
| Cash and cash equivalents | $ | 89,264 | $ | 59,196 | ||||||
| Marketable securities | 65,103 | 91,895 | ||||||||
| Accounts receivable, net | 47,776 | 30,189 | ||||||||
| Inventories, net | 25,902 | 20,707 | ||||||||
| Deferred tax assets | 2,837 | 2,776 | ||||||||
| Refundable income taxes | 782 | 782 | ||||||||
| Prepaid expenses and other current assets | 7,730 | 6,106 | ||||||||
| Total current assets | 239,394 | 211,651 | ||||||||
| Restricted cash | 435 | 435 | ||||||||
| Property, plant and equipment, net | 26,610 | 35,190 | ||||||||
| Goodwill | 30,731 | 30,731 | ||||||||
| Intangibles, net | 42,255 | 57,470 | ||||||||
| Deferred tax assets | 3,881 | 3,960 | ||||||||
| Other assets | 1,225 | 1,271 | ||||||||
| Total assets | $ | 344,531 | $ | 340,708 | ||||||
| LIABILITIES AND STOCKHOLDERS' EQUITY | ||||||||||
| Current liabilities: | ||||||||||
| Accounts payable | $ | 21,267 | $ | 16,313 | ||||||
| Accrued liabilities | 19,102 | 13,985 | ||||||||
| Capital leases, current portion | -- | 270 | ||||||||
| Income taxes payable | 625 | 172 | ||||||||
| Deferred revenue | 5,466 | 7,030 | ||||||||
| Total current liabilities | 46,460 | 37,770 | ||||||||
| Long-term income taxes payable | 2,208 | 2,497 | ||||||||
| Deferred tax liabilities | 3,029 | 3,029 | ||||||||
| Deferred rent and other liabilities | 3,603 | 3,326 | ||||||||
| Total liabilities | 55,300 | 46,622 | ||||||||
| Commitments and contingencies | ||||||||||
| Stockholders' equity: | ||||||||||
| Common stock and capital in excess of par value | 708,496 | 695,686 | ||||||||
| Accumulated other comprehensive loss | (600 | ) | (249 | ) | ||||||
| Accumulated deficit | (418,665 | ) | (401,351 | ) | ||||||
| Total stockholders' equity | 289,231 | 294,086 | ||||||||
| Total liabilities and stockholders' equity | $ | 344,531 | $ | 340,708 | ||||||
Investor Contact: Stan Finkelstein Investor Relations (925) 290-4321 ir@formfactor.com
