CHELMSFORD, Mass., May 6, 2010 (GlobeNewswire via COMTEX) --Brooks Automation, Inc. (Nasdaq:BRKS) announced financial results for the Company's second quarter of fiscal year 2010 ended on March 31, 2010.
Revenues for the second quarter of 2010 were $148.4 million, compared to revenues of $37.3 million in the second quarter of 2009, an increase of 297.7%. Sequentially, revenues grew 39.7% from first quarter revenues of $106.2 million.
Net income attributable to Brooks Automation, Inc. ("Brooks") for the second quarter of fiscal 2010 amounted to $21.0 million, or $0.33 per diluted share. Excluding non-recurring income and special charges the non-GAAP adjusted net income attributable to Brooks for the second quarter of fiscal 2010 was $10.1 million, or $0.16 per diluted share. Non-recurring income during the quarter was a $7.5 million after tax gain from the sale of intellectual property rights and a $3.9 million tax credit from the application of favorable loss carry back provisions introduced by the Worker, Home Ownership and Business Assistance Act. Special charges taken during the quarter were $0.5 million of residual restructuring charges related to past restructuring plans.
The fiscal 2010 second quarter results compare with a net loss attributable to Brooks of $152.5 million, or $2.43 per diluted share in the second quarter of the prior year. Sequentially, the net loss attributable to Brooks was $(2.8) million or $(0.04) per diluted share in the first quarter of 2010. Excluding special charges, the adjusted net loss attributable to Brooks for the second quarter of the prior year was $(36.2) million, or $(0.58) per diluted share. Sequentially, the adjusted net loss for the first quarter, excluding special charges, was $(1.1) million or $(0.02) per diluted share. Special charges are identified in the table included with this release.
Adjusted Earnings (Loss) before Interest, Tax, Depreciation and Amortization for the second quarter of fiscal 2010 was $17.3 million, which compared to ($26.7) million in the prior year period and $5.6 million in the first quarter of fiscal 2010. A reconciliation of non-GAAP measures to the most nearly comparable GAAP measure follows the consolidated statements of operations, balance sheets and statements of cash flows included in this release.
Net cash provided by operating activities for the first half of fiscal 2010 was $9.3 million, which together with proceeds from the sale of intellectual property rights of $7.8 million resulted in an increase of total cash and marketable securities to $125.8 million.
Revenues for the six months ended March 31, 2010 were $254.6 million, a 129.9% increase from $110.7 million for the same prior fiscal year period. Net income attributable to Brooks for the current fiscal year to date was $18.2 million, as compared to the prior year period's net loss of $187.6 million. Excluding non-recurring income and special charges, the adjusted income (loss) from operations was $9.0 million or $0.14 per diluted share in the first half of fiscal 2010 as compared to $(66.0) million or $(1.05) per diluted share in the same prior fiscal year period. Non-recurring income and special charges are identified in the unaudited financial information included in this release.
Commenting on recent activities, Robert J. Lepofsky, Chief Executive Officer of Brooks stated, "Strong demand from our major semiconductor OEM customers drove revenue up 40% sequentially over the December quarter with good profitability. Looking forward, we see solid margin expansion on modest sequential revenue gains in the June quarter and we expect revenue momentum to again accelerate later in the year."
Mr. Lepofsky added, "In addition to managing the production ramp associated with the 238% increase in revenues we saw over the past nine months, the Company maintained its focus on key strategic initiatives. During the March quarter we continued to have numerous favorable engagements that we believe will drive future business in adjacent markets as well as our core semiconductor business. We have expanded our work with leading LED equipment OEM's and the launch of our Simplicity Solutions instrumentation product line has generated significant market interest. Finally, our capability to successfully execute an accelerating growth plan has been enhanced with key additions to our team including the recruitment of Steve Schwartz as the new President of Brooks."
Brooks management will webcast its second quarter earnings conference today at 4:30 p.m. Eastern Time to discuss the attached quarterly results and business highlights. During the call, Company management will respond to questions concerning, but not limited to, the Company's financial performance, business conditions and industry outlook. Their responses could contain information that has not been previously disclosed.
Analysts, investors and members of the media can access the live broadcast available on Brooks' website at www.brooks.com. The call will be archived on this website for convenient on-demand replay.
About Brooks Automation, Inc.
Brooks is a leading worldwide provider of automation, vacuum and instrumentation solutions to the global semiconductor and related industries. Our products and services are meeting the needs of customers across a broad spectrum of applications and industries and the global semiconductor manufacturing sector is our largest served market. When demanding productivity and availability objectives are essential factors for success, customers throughout the world turn to Brooks Automation, Inc. For more information go to www.brooks.com or email sales@brooks.com.
"Safe Harbor Statement" under Section 21E of the Securities Exchange Act of 1934
Some statements in this release are forward-looking statements made under Section 21E of the Securities Exchange Act of 1934. These statements are neither promises nor guarantees but involve risks and uncertainties, both known and unknown, that could cause Brooks' financial and business results to differ materially from our expectations. They are based on the facts known to management at the time they are made. These forward-looking statements include statements regarding our profit and loss and cash flow expectations, our ability to develop further our business in new and adjacent markets, and our ability to achieve financial success in the future. Factors that could cause results to differ from our expectations include the following: volatility of the industries the Company serves, particularly the semiconductor industry; our possible inability to meet increased demand for our products due to difficulties in obtaining components and materials from our suppliers in required quantities and of required quality; the inability of customers to make payments to us when due; the timing and effectiveness of cost reduction and cost control measures; price competition; disputes concerning intellectual property; continuing uncertainties in global political and economic conditions, the impact of global health concerns, and other factors and other risks that we have described in our filings with the Securities and Exchange Commission, including but not limited to our Annual Report on Form 10-K, current reports on Form 8-K and our quarterly reports on Form 10-Q. As a result we can provide no assurance that our future results will not be materially different from those projected. Brooks expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any such statement to reflect any change in our expectations or any change in events, conditions or circumstances on which any such statement is based. Brooks undertakes no obligation to update the information contained in this press release.
BROOKS AUTOMATION, INC.
CONSOLIDATED BALANCE SHEETS
(unaudited)
(In thousands, except share and per share data)
September
March 31, 30,
2010 2009
----------- -----------
Assets
Current assets
Cash and cash equivalents $48,621 $59,985
Marketable securities 35,804 28,046
Accounts receivable, net 67,584 38,428
Inventories, net 103,528 84,738
Prepaid expenses and other
current assets 13,939 9,992
----------- -----------
Total current assets 269,476 221,189
Property, plant and equipment,
net 68,420 74,793
Long-term marketable securities 41,335 22,490
Goodwill 48,138 48,138
Intangible assets, net 13,063 14,081
Equity investment in joint
ventures 28,962 29,470
Other assets 2,613 3,161
----------- -----------
Total assets $472,007 $413,322
=========== ===========
Liabilities and equity
Current liabilities
Accounts payable $66,721 $26,360
Deferred revenue 3,917 2,916
Accrued warranty and retrofit
costs 7,122 5,698
Accrued compensation and
benefits 11,232 14,317
Accrued restructuring costs 4,434 5,642
Accrued income taxes payable 2,197 2,686
Accrued expenses and other
current liabilities 10,753 12,870
----------- -----------
Total current liabilities 106,376 70,489
Accrued long-term restructuring 1,344 2,019
Income taxes payable 11,097 10,755
Long-term pension liability 8,249 7,913
Other long-term liabilities 2,630 2,523
----------- -----------
Total liabilities 129,696 93,699
----------- -----------
Contingencies
Equity
Preferred stock, $0.01 par
value, 1,000,000 shares
authorized,
no shares issued and
outstanding -- --
Common stock, $0.01 par value,
125,000,000 shares authorized,
78,453,069 shares issued and
64,991,200 shares outstanding
at
March 31, 2010, 77,883,173
shares issued and 64,421,304
shares
outstanding at September 30,
2009 785 779
Additional paid-in capital 1,799,781 1,795,619
Accumulated other comprehensive
income 16,766 16,318
Treasury stock at cost,
13,461,869 shares at March 31,
2010 and
September 30, 2009 (200,956) (200,956)
Accumulated deficit (1,274,397) (1,292,631)
----------- -----------
Total Brooks Automation,
Inc. stockholders' equity 341,979 319,129
Noncontrolling interest in
subsidiaries 332 494
----------- -----------
Total equity 342,311 319,623
----------- -----------
Total liabilities and
equity $472,007 $413,322
=========== ===========
BROOKS AUTOMATION, INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
(unaudited)
(In thousands, except per share data)
Three months ended Six months ended
March 31, March 31,
-------------------- --------------------
2010 2009 2010 2009
-------- ---------- -------- ----------
Revenues
Product $133,389 $25,883 $224,910 $84,969
Services 14,964 11,416 29,640 25,776
-------- ---------- -------- ----------
Total revenues 148,353 37,299 254,550 110,745
-------- ---------- -------- ----------
Cost of revenues
Product 97,271 31,909 164,516 85,778
Services 12,132 12,670 24,838 25,859
Impairment of long-lived
assets -- 20,516 -- 20,516
-------- ---------- -------- ----------
Total cost of revenues 109,403 65,095 189,354 132,153
-------- ---------- -------- ----------
Gross profit (loss) 38,950 (27,796) 65,196 (21,408)
-------- ---------- -------- ----------
Operating expenses
Research and development 7,677 7,666 15,218 16,943
Selling, general and
administrative 20,842 25,207 39,821 52,841
Impairment of goodwill -- 71,800 -- 71,800
Impairment of long-lived
assets -- 14,588 -- 14,588
Restructuring charges 484 5,861 2,006 9,966
-------- ---------- -------- ----------
Total operating expenses 29,003 125,122 57,045 166,138
-------- ---------- -------- ----------
Operating income (loss) 9,947 (152,918) 8,151 (187,546)
Interest income 265 646 593 1,543
Interest expense 11 72 27 198
Sale of intellectual
property rights 7,840 -- 7,840 --
Loss on investment -- -- 191 1,185
Other expense, net 91 111 288 149
-------- ---------- -------- ----------
Income (loss) before income
taxes and equity in
earnings
(losses) of joint ventures 17,950 (152,455) 16,078 (187,535)
Income tax provision
(benefit) (2,819) 189 (2,184) 580
-------- ---------- -------- ----------
Income (loss) before equity
in earnings (losses) of
joint ventures 20,769 (152,644) 18,262 (188,115)
Equity in earnings (losses)
of joint ventures 179 11 (191) 312
-------- ---------- -------- ----------
Net income (loss) $20,948 $(152,633) $18,071 $(187,803)
Add: Net loss attributable
to noncontrolling
interests 81 90 163 177
-------- ---------- -------- ----------
Net income (loss)
attributable to Brooks
Automation, Inc. $21,029 $(152,543) $18,234 $(187,626)
======== ========== ======== ==========
======== ========== ======== ==========
Basic net income (loss) per
share attributable to
Brooks
Automation, Inc. common
stockholders $0.33 $(2.43) $0.29 $(2.99)
======== ========== ======== ==========
Diluted net income (loss)
per share attributable to
Brooks
Automation, Inc. common
stockholders $0.33 $(2.43) $0.28 $(2.99)
======== ========== ======== ==========
Shares used in computing
earnings (loss) per share
Basic 63,679 62,844 63,535 62,747
Diluted 64,196 62,844 64,042 62,747
BROOKS AUTOMATION, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(unaudited)
(In thousands)
Six months ended
March 31,
--------------------
2010 2009
-------- ----------
Cash flows from operating activities
Net income (loss) $18,071 $(187,803)
Adjustments to reconcile net income
(loss) to net cash provided
by (used in) operating activities:
Depreciation and amortization 9,460 16,324
Impairment of goodwill -- 71,800
Impairment of long-lived assets -- 35,104
Sale of intellectual property rights (7,840) --
Stock-based compensation 3,561 3,394
Amortization of premium on marketable
securities 368 19
Undistributed (earnings) losses of
joint ventures 191 (312)
(Gain) loss on disposal of long-lived
assets (4) 70
Loss on investment 191 1,185
Changes in operating assets and
liabilities, net of
acquisitions and disposals:
Accounts receivable (29,258) 40,688
Inventories (19,653) 6,522
Prepaid expenses and other current
assets (4,132) 4,254
Accounts payable 40,424 (21,109)
Deferred revenue 1,062 (1,151)
Accrued warranty and retrofit costs 1,414 (1,502)
Accrued compensation and benefits (2,972) (3,486)
Accrued restructuring costs (1,857) 1,898
Accrued expenses and other 235 (2,820)
-------- ----------
Net cash provided by (used in)
operating activities 9,261 (36,925)
-------- ----------
Cash flows from investing activities
Purchases of property, plant and
equipment (1,163) (9.091)
Purchases of marketable securities (70,872) (50,539)
Sale/maturity of marketable securities 43,757 36,735
Proceeds from the sale of intellectual
property rights 7,840 --
Purchase of intangible assets (892) --
Other 243 --
-------- ----------
Net cash used in investing activities (21,087) (22,895)
-------- ----------
Cash flows from financing activities
Proceeds from issuance of common stock,
net of issuance costs 590 675
-------- ----------
Net cash provided by financing
activities 590 675
-------- ----------
Effects of exchange rate changes on cash
and cash equivalents (128) (1,967)
-------- ----------
Net decrease in cash and cash equivalents (11,364) (61,112)
Cash and cash equivalents, beginning of
period 59,985 110,269
-------- ----------
Cash and cash equivalents, end of period $48,621 $49,157
======== ==========
BROOKS AUTOMATION, INC.
Supplemental Information
(In thousands, except per share data)
(unaudited)
Notes on Non-GAAP Financial Measures:
The information in this press release is for: internal managerial purposes; when publicly providing guidance on future results; and as a means to evaluate period-to-period comparisons. These financial measures are used in addition to and in conjunction with results presented in accordance with GAAP and should not be relied upon to the exclusion of GAAP financial measures. Management believes these financial measures provide an additional way of viewing aspects of our operations, that, when viewed with our GAAP results and the accompanying reconciliations to the corresponding GAAP financial measures, provide a more complete understanding of our business. Management strongly encourages investors to review our financial statements and publicly-filed reports in their entirety and not rely on any single measure.
The press release includes financial measures which exclude the effects of non-recurring income and charges such as the sale of intellectual property rights, one-time tax refunds, non-cash impairment charges, restructuring charges and gains or losses on investments. Management believes these measures are useful to investors because it eliminates accounting charges that do not reflect Brooks' day-to-day operations. A table reconciling income (loss) and diluted earnings (loss) per share from continuing operations is presented below:
Quarter Ended
--------------------------------------------------------------------
March 31, 2010 December 31, 2009 March 31, 2009
-------------------- --------------------- -----------------------
$ per share $ per share $ per share
--------- --------- ---------- --------- ------------ ---------
Net income (loss) attributable to Brooks
Automation, Inc. $ 21,029 $ 0.33 $ (2,795) $ (0.04) $ (152,543) $ (2.43)
Impairment charges - cost of revenues -- -- -- -- 20,516 0.33
Impairment charges - operating expense -- -- -- -- 86,388 1.37
Restructuring charges 484 0.01 1,522 0.02 5,861 0.09
Restructuring related inventory charges -- -- -- -- 3,612 0.06
Loss on investment -- -- 191 0.00 -- --
One-time income tax benefit (3,899) (0.06)
Sale of intellectual property rights, net
of tax (7,519) $ (0.12)
--------- --------- ---------- --------- ------------ ---------
Adjusted net income (loss) attributable to
Brooks Automation, Inc. 10,095 0.16 (1,082) (0.02) (36,166) (0.58)
Stock-based compensation 2,044 0.03 1,517 $ 0.02 1,870 0.03
--------- --------- ---------- --------- ------------ ---------
Adjusted net income (loss) attributable to
Brooks Automation, Inc. - excluding
stock-based compensation $ 12,139 $ 0.19 $ 435 $ 0.01 $ (34,296) $ (0.55)
========= ========= ========== ========= ============ =========
Six Months Ended
-------------------------------------------
March 31, 2010 March 31, 2009
------------------ -----------------------
per
$ share $ per share
--------- ------- ------------ ---------
Net income (loss) attributable to Brooks
Automation, Inc. $ 18,234 $ 0.28 $ (187,626) $ (2.99)
Impairment charges - cost of revenues -- -- 20,516 0.33
Impairment charges - operating expense -- -- 86,388 1.38
Restructuring charges 2,006 0.03 9,966 0.16
Restructuring related inventory charges -- -- 3,612 0.06
Loss on investment 191 0.00 1,185 0.02
One-time income tax benefit (3,899) (0.06) -- --
Sale of intellectual property rights, net
of tax (7,519) (0.12) -- --
--------- ------- ------------ ---------
Adjusted net income (loss) attributable to
Brooks Automation, Inc. $ 9,013 0.14 $ (65,959) (1.05)
Stock-based compensation 3,561 0.06 3,394 0.05
--------- ------- ------------ ---------
Adjusted net income (loss) attributable to
Brooks Automation, Inc. -
excluding stock-based compensation $ 12,574 $ 0.20 $ (62,565) $ (1.00)
========= ======= ============ =========
Quarter ended Six months ended
----------------------------------- ----------------------
Mar 31, Dec 31, Mar 31, Mar 31, Mar 31,
2010 2009 2009 2010 2009
--------- ---------- ------------ --------- -----------
Net income (loss) attributable to Brooks
Automation, Inc. $ 21,029 $ (2,795) $ (152,543) 18,234 (187,626)
Less: Interest income (265) (328) (646) (593) (1,543)
Add: Interest expense 11 16 72 27 198
Add: Income tax provision (benefit) (2,819) 635 189 (2,184) 580
Add: Depreciation 3,701 3,846 3,620 7,547 7,776
Add: Amortization of completed technology 472 457 2,331 929 4,662
Add: Amortization of acquired intangible
assets 493 491 1,993 984 3,886
Add: Stock-based compensation 2,044 1,517 1,870 3,561 3,394
Add: Restructuring related inventory charges -- -- 3,612 -- 3,612
Add: Impairment charges - cost of revenues -- -- 20,516 -- 20,516
Add: Impairment charges - operating expense -- -- 86,388 -- 86,388
Add: Restructuring charges 484 1,522 5,861 2,006 9,966
Add: Loss on investment -- 191 -- 191 1,185
Sale of intellectual property rights, pre-tax (7,840) -- -- (7,840) --
--------- ---------- ------------ --------- -----------
Adjusted EBITDA $ 17,310 $ 5,552 $ (26,737) $ 22,862 $ (47,006)
========= ========== ============ ========= ===========
This news release was distributed by GlobeNewswire, www.globenewswire.com
SOURCE: Brooks Automation, Inc.
CONTACT: Brooks Automation, Inc.
Barbara Culhane, Corporate Marketing Manager
978-262-2400
www.brooks.com
