DANBURY, Conn., April 25, 2007 (PRIME NEWSWIRE) -- ATMI, Inc. (Nasdaq:ATMI), today announced that revenues increased 7% to $82.2 million for the first quarter of 2007, compared with $76.9 million in the first quarter of 2006. Net income decreased 15% to $6.3 million, compared with $7.4 million a year ago, while earnings per diluted share were $0.18, compared with $0.20 per diluted share in the first quarter of 2006. The results are within the revised guidance range communicated in the Company's March 29th press release.
Doug Neugold, ATMI Chief Executive Officer, said, "Our first quarter revenue was adversely affected by lower shipments in our packaging product line because of a product quality problem and softer-than-expected flat panel display market demand. The quality issue is being aggressively addressed, both internally and with our affected customers. However, it may have further effect on revenue in the second quarter, which is reflected in our guidance."
Dan Sharkey, Chief Financial Officer, said, "Our first quarter profitability reflected the impact of the packaging quality issue, plus an unfavorable product mix in our materials business. In addition, certain operating expenses were incurred earlier in the year than originally anticipated, including various strategic R&D programs as well as incremental spending for ongoing patent litigation."
Doug Neugold commented, "We are seeing a very high interest level in our new product offerings, and are also encouraged by the improving near-term wafer start growth expectations of many of our larger customers. For the second quarter, we estimate revenues in the $84 - $88 million range, with diluted earnings per share in the $0.22 - $0.27 range."
A conference call (888.822.9375) to discuss the company's first quarter financial results and business outlook will begin at 11:00 a.m. Eastern time, April 25, 2007. A replay (800.642.1687, passcode 6644185) of the call will be available for 48 hours. An audio webcast of the conference call will be available for 30 days on atmi.com.
ATMI provides specialty materials and high-purity materials handling and delivery solutions to the worldwide semiconductor industry. For more information, please visit atmi.com.
Statements contained herein that relate to ATMI's future performance, including, without limitation, statements with respect to ATMI's anticipated results of operations or level of business for 2007 or any other future period, are forward-looking statements within the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such statements are based on current expectations only and are subject to certain risks, uncertainties, and assumptions, including, but not limited to, changes in semiconductor industry growth (including, without limitation, wafer starts) or ATMI's markets; competition, problems, or delays developing and commercializing new products; problems or delays in integrating acquired operations and businesses; and other factors described in ATMI's filings with the Securities and Exchange Commission. Such risks and uncertainties may cause actual results to differ materially from those expressed in our forward-looking statements. ATMI undertakes no obligation to update any forward-looking statements.
ATMI, INC.
SUMMARY STATEMENTS OF INCOME
(in thousands, except per share data)
(Unaudited)
Three Months Ended
-----------------------
March 31,
---------
2007 2006
-------- --------
Revenues $ 82,154 $ 76,936
Cost of revenues 42,880 40,128
-------- --------
Gross profit 39,274 36,808
Operating expenses:
Research and development 7,246 6,129
Selling, general, & administrative 24,552 22,042
-------- --------
Total operating expenses 31,798 28,171
Operating income 7,476 8,637
Other income, net 1,891 2,370
-------- --------
Income before income taxes 9,367 11,007
Income taxes 3,044 3,577
-------- --------
Net income $ 6,323 $ 7,430
======== ========
Diluted earnings per share $ 0.18 $ 0.20
Weighted average shares outstanding 35,584 37,809
ATMI, INC.
SCHEDULE OF EQUITY-BASED COMPENSATION
(in thousands, except per share data)
(Unaudited)
Three Months Ended
-----------------------
March 31,
---------
2007 (a) 2006 (b)
-------- --------
Cost of revenues $ (48) $ 283
Research and development 42 227
Selling, general & administrative 1,867 2,185
-------- --------
Total equity-based compensation expense 1,861 2,695
-------- --------
Benefit from income taxes 655 919
-------- --------
Equity-based compensation Expense, net
of income taxes $ 1,206 $ 1,776
======== ========
(a) Amounts include amortization expense related to stock options of
$1.3 million, and restricted stock awards of $0.6 million
(including performance-based shares), recorded under FAS 123(R).
(b) Amounts include amortization expense related to stock options of
$1.5 million, employee stock purchase plan of $0.2 million, and
restricted stock awards of $1.0 million, recorded under
FAS 123(R).
ATMI, INC.
SUMMARY BALANCE SHEETS
(in thousands)
March 31, December 31,
-------- ------------
2007 2006
-------- --------
(unaudited)
--------
Assets
Cash & marketable securities (a) $207,692 $204,687
Accounts receivable, net 56,778 55,867
Inventories, net 47,718 47,339
Other current assets 21,852 24,341
-------- --------
Total current assets 334,040 332,234
Property, plant, and equipment, net 91,749 92,719
Marketable securities, non-current (a) 7,846 14,379
Other assets 49,166 48,705
-------- --------
Total assets $482,801 $488,037
-------- --------
Liabilities and stockholders' equity
Accounts payable $ 19,995 $ 20,144
Other current liabilities 22,995 30,728
-------- --------
Total current liabilities 42,990 50,872
Non-current liabilities 3,982 1,669
Stockholders' equity 435,829 435,496
-------- --------
Total liabilities & stockholders'
equity $482,801 $488,037
-------- --------
(a) Total cash and marketable securities equaled $215.5 million and
$219.1 million at March 31, 2007 and December 31, 2006,
respectively.