DANBURY, Conn., Oct. 24, 2007 (PRIME NEWSWIRE) -- ATMI, Inc. (Nasdaq:ATMI) today announced revenues increased 11% to $91.1 million in the third quarter of 2007, compared with $82.1 million in the third quarter of 2006. Net income was $11.3 million, compared with $11.4 million a year ago, while earnings per diluted share were $0.32, compared with $0.31 per diluted share in the third quarter of 2006. Earnings in the third quarter of 2006 included a $1.7 million, or $0.04 per diluted share, tax benefit.
For the nine months ended September 30, 2007, revenues were $265.7 million, up 10% from $241.5 million in the comparable 2006 period. Net income decreased 7% to $26.9 million compared with $28.8 million in the first nine months of 2006, and earnings per diluted share decreased to $0.76 from $0.77, which included the $0.04 per diluted share tax benefit in 2006.
Doug Neugold, ATMI Chief Executive Officer, said, "Third quarter revenues reflect strength in memory, logic, and foundry semiconductor production, as well as improving materials packaging sales for flat panel applications, which have begun to rebound after a couple quarters of relatively flat results. Beyond improved wafer starts and flat panel strength, we are very encouraged by customer interest in our new, value-based process efficiency solutions."
Neugold continued, "In particular, RegenSi and AutoClean are gaining customer acceptance, and we continue to expect significant revenue contribution from these and other non-node-specific products in 2008."
Tim Carlson, Chief Financial Officer said, "The third quarter results show evidence of ATMI beginning to see leverage from its growth, as operating expenses declined sequentially from last quarter. Operating margin improved to 17% in the third quarter of 2007 compared to 15% in the third quarter of last year, and 13% in the second quarter of this year."
Carlson continued, "Based on current market demand, momentum in our new product ramps, and customer penetration, we estimate revenues for the fourth quarter in the range of $91 million to $96 million, with earnings per diluted share between $0.31 and $0.36."
Share repurchases were $22.7 million in the third quarter and $45.6 million in the first nine months of 2007.
A conference call (dial-in: 888.822.9375) discussing the company's recent financial results and business outlook will begin at 11:00 a.m. Eastern time, October 24, 2007. A replay of the call will be available for 48 hours at 800.642.1687 (access code 6644834). 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.
ATMI, AutoClean, RegenSi, and SDS are trademarks or registered trademarks in the United States, other countries, or both.
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 Nine Months Ended
------------------ -----------------
September 30, September 30,
------------ ------------
2007 2006 2007 2006
---- ---- ---- ----
Revenues $ 91,131 $ 82,124 $265,717 $241,544
Cost of revenues 45,158 40,216 135,285 120,886
-------- -------- -------- --------
Gross profit 45,973 41,908 130,432 120,658
Operating expenses:
Research and
development 7,225 6,673 21,769 19,030
Selling, general,
and administrative
23,617 22,775 74,407 67,882
-------- -------- -------- --------
Total operating
expenses 30,842 29,448 96,176 86,912
-------- -------- -------- --------
Operating income 15,131 12,460 34,256 33,746
Other income, net 1,761 2,089 5,568 6,699
-------- -------- -------- --------
Income before
income taxes 16,892 14,549 39,824 40,445
Income taxes 5,565 3,195 12,903 11,611
-------- -------- -------- --------
Net income $ 11,327 $ 11,354 $ 26,921 $ 28,834
======== ======== ======== ========
Earnings per
diluted share $ 0.32 $ 0.31 $ 0.76 $ 0.77
Weighted-average
shares outstanding
- diluted
35,044 36,314 35,339 37,232
ATMI, INC.
SCHEDULE OF EQUITY-BASED COMPENSATION
(in thousands, except per share data)
(Unaudited)
Three Months Ended Nine Months Ended
------------------ -----------------
September 30, September 30,
------------ ------------
2007 (1) 2006 (2) 2007 (3) 2006 (4)
------- ------- ------- -------
Cost of revenues $ 118 $ 248 $ 257 $ 742
Research and development 138 205 387 615
Selling, general,
& administrative 1,320 2,055 5,193 6,514
------ ------ ------ ------
Total equity-based
compensation expense 1,576 2,508 5,837 7,871
------ ------ ------ ------
Benefit from income taxes 552 855 1,979 2,684
------ ------ ------ ------
Equity-based compensation
Expense, net of
income taxes $ 1,024 $ 1,653 $ 3,858 $ 5,187
======= ======= ======= =======
(1) Amounts include amortization expense related to stock options
of $0.8 million, and restricted stock awards of $0.7 million,
recorded under FAS 123(R).
(2) Amounts include amortization expense related to stock options
of $1.4 million, employee stock purchase plan of $0.1 million,
and restricted stock awards of $1.0 million, recorded under
FAS 123(R).
(3) Amounts include amortization expense related to stock options
of $3.4 million, and restricted stock awards of $2.2 million,
recorded under FAS 123(R).
(4) Amounts include amortization expense related to stock options
of $4.6 million, employee stock purchase plan of $0.4 million,
and restricted stock awards of $2.6 million, recorded under
FAS 123(R).
ATMI, INC.
SUMMARY BALANCE SHEETS
(in thousands)
Balance Sheet Highlights September 30, December 31,
------------- ------------
2007 2006
---- ----
(Unaudited)
-----------
Assets
Cash & marketable securities (1) $214,690 $204,687
Accounts receivable, net 55,045 55,867
Inventories, net 48,378 47,339
Other current assets 24,371 24,341
-------- --------
Total current assets 342,484 332,234
Property, plant, and equipment, net 102,515 92,719
Marketable securities, non-current (1) -- 14,379
Other assets 47,333 48,705
-------- --------
Total assets $492,332 $488,037
-------- --------
Liabilities and stockholders' equity
Accounts payable $ 22,810 $ 20,144
Other current liabilities 28,371 30,728
-------- --------
Total current liabilities 51,181 50,872
Non-current liabilities 3,944 1,669
Stockholders' equity 437,207 435,496
-------- --------
Total liabilities & stockholders'
equity $492,332 $488,037
-------- --------
(1) Total cash and marketable securities equaled $214.7 million
and $219.1 million at September 30, 2007 and December 31, 2006,
respectively.