CHELMSFORD, Mass., Nov. 9, 2007 (PRIME NEWSWIRE) -- Brooks Automation, Inc. (Nasdaq:BRKS) announced financial results for the Company's fourth quarter and fiscal year 2007 ended on September 30, 2007. The results presented and discussed below, unless otherwise noted, relate to continuing operations for Brooks after the completion of the sale of its software division on March 30, 2007. For financial reporting purposes, the software division has been treated as discontinued operations.
Revenues for the fourth quarter of 2007 were $166.5 million, compared to revenues of $186.8 million in the fourth quarter of 2006, a decrease of 10.9%. Revenues decreased $24.0 million, or 12.6% from fiscal 2007 third quarter revenues of $190.5 million.
Bookings for the fiscal fourth quarter of 2007 amounted to $152.6 million, down 10.5%, or $17.9 million, from fiscal 2007 third quarter bookings of $170.5 million.
Income from continuing operations for the fourth quarter of fiscal 2007 on a Generally Accepted Accounting Principles (GAAP) basis equated to a loss of $1.3 million, or $0.02 per share, compared to 2006 fourth quarter GAAP income from continuing operations of $10.8 million, or $0.14 per diluted share, and GAAP income from continuing operations in the third quarter of fiscal 2007 of $22.9 million, or $0.30 per diluted share. Net income for the fourth quarter of fiscal 2007 included $7.5 million, or $0.11 per diluted share relating to charges for the amortization of intangible assets and restructuring.
Revenues for the full fiscal year 2007 were $743.3 million, a 22.4% increase from prior year revenues of $607.5 million. Full year GAAP income from continuing operations was $54.3 million, or $0.73 per diluted share compared to prior year GAAP income from continuing operations of $22.3 million or $0.31 per diluted share. Income from continuing operations for fiscal 2007 included $17.3 million, $0.23 per diluted share in certain charges comprised primarily of amortization of intangible and restructuring charges. Income from continuing operations for fiscal 2006 included $0.40 per share in certain charges and special items which have been previously disclosed.
Robert J. Lepofsky, Chief Executive Officer commented, "Brooks executed extremely well in fiscal 2007, a year which produced record revenues despite a severely constrained fourth quarter. Under Ed Grady's leadership over the past five years, Brooks has built an impressive platform for significant future growth. We begin fiscal year 2008 well positioned as a very strong strategic supplier to our customers. The differentiated solutions that the highly-talented Brooks teams around the world are delivering today to both OEM and end-user customers are recognized as 'Best in Class.' Looking ahead, our challenge is to translate the incredible potential of the Brooks platform into a source of real growth in shareholder value quarter by quarter in the years ahead."
In providing guidance for the first quarter of fiscal 2008 ending December 31, 2007, Brooks management expects revenues to be in the range of $155.0 million to $165.0 million. Accordingly, GAAP earnings per share are expected to be in the range of ($0.04) to $0.04.
In addition to the financial results that we have presented which are in accordance with GAAP, the Company has also included financial results that exclude certain charges and special items that are not in accordance with GAAP, including amortization of intangibles and restructuring charges. Management believes the presentation of non-GAAP financial measures, which exclude the cost associated with acquisitions and other special items, is useful to investors for comparing prior periods and analyzing ongoing business trends and operating results. A detailed reconciliation of the GAAP to non-GAAP financials discussed in this release is provided in the financial tables.
Brooks Automation management will host a public conference call on Friday, November 9, 2007 at 10:00 a.m. ET 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 may participate in the call by dialing (913)312-0720. Participants outside of the United States and Canada can access the call using the same number. It is recommended that participants dial in five minutes prior to the call's scheduled start time. The call will also be broadcasted live on Brooks' website at www.brooks.com. Additionally, the call will be archived on this website for convenient on-demand replay until Brooks Automation reports fiscal 2008 first quarter results in mid-February, 2008.
About Brooks Automation, Inc.
Brooks is a leading worldwide provider of automation solutions and integrated subsystems to the global semiconductor and related industries. The company's advanced offerings in hardware and services can help customers improve manufacturing efficiencies, accelerate time-to-market and reduce cost of ownership. Brooks' products and global services are used in virtually every semiconductor fab in the world as well as in a number of diverse industries outside of semiconductor manufacturing. For more information see www.brooks.com or email co.csr@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 bookings, revenues, and profit and loss expectations, expected restructuring charges and other charges, our future business strategy and market opportunities, level of capital expenditures and bookings expectations in the semiconductor and discrete manufacturing industries, demand for our new and existing products, purchasing and manufacturing trends among semiconductor manufacturing OEMs, our strategy of sourcing from low cost regions, and the outlook of the semiconductor industry. Factors that could cause results to differ from our expectations include the following: our dependence on the cyclical semiconductor industry; the possibility of downturns in market demand for electronics; 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; a decision by semiconductor manufacturing OEMs not to outsource increasing amounts of their manufacturing operations; our ability to continue to effectively implement our flexible manufacturing model and our supply chain consolidation; the highly competitive nature and rapid technological change that characterizes the industries in which we compete; decisions by customers to accelerate delivery under or to cancel or defer orders that previously had been accepted; decisions by customers to reject the products we ship to them; the possibility that we may not be able to fulfill customer orders within a period of time acceptable to them; the fact that design-in wins do not necessarily translate to significant revenue; the timing and effectiveness of restructuring, cost-cutting, low cost sourcing and expense control measures; intense price competition; disputes concerning intellectual property; expenses associated with legal disputes and litigation; our ability to successfully integrate Synetics' and Helix's operations and employees; the risk that the cost savings and any other synergies from the Synetics and Helix acquisitions may not be fully realized or may take longer to realize than expected; the risk that possible disruption from the Synetics and Helix acquisitions will make it more difficult to maintain relationships with customers and employees; continuing uncertainties in global political and economic conditions, especially arising out of conflict in the Middle East; the potential for the incurrence of material expense and the diversion of management's attention from other business concerns created by the pending investigations by the Securities and Exchange Commission; and other factors and other risks that we have described in our filings with the Securities and Exchange Commission, including but not limited to Brooks' Annual Report on Forms 10-K and 10-K/A, 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.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
FOR THE THREE AND TWELVE MONTHS ENDED SEPTEMBER 30, 2007 AND 2006
(in thousands, except per share data)
(unaudited)
Three months ended Twelve months ended
September 30, September 30,
2007 2006 2007 2006
--------- --------- --------- ---------
Revenues $ 166,503 $ 186,800 $ 743,258 $ 607,494
Cost of revenues 126,516 126,739 523,663 420,844
--------- --------- --------- ---------
Gross profit 39,987 60,061 219,595 186,650
--------- --------- --------- ---------
Gross margin 24.0% 32.2% 29.5% 30.7%
Operating expenses:
Research and development 12,530 13,290 51,715 45,643
Selling, general and
administrative 28,939 33,739 120,421 117,221
Restructuring charges 3,657 782 7,108 4,257
--------- --------- --------- ---------
45,126 47,811 179,244 167,121
--------- --------- --------- ---------
Operating income (loss)
from continuing
operations (5,139) 12,250 40,351 19,529
Interest (income)
expense, net (2,943) (195) (11,314) (4,331)
Gain on investment -- -- 5,110 --
Other (income) expense,
net (419) (403) 119 (1,192)
--------- --------- --------- ---------
Income (loss) from
continuing operations
before income taxes and
minority interests (1,777) 12,848 56,656 25,052
Income tax provision
(benefit) (442) 1,627 2,287 3,372
--------- --------- --------- ---------
Income (loss) from
continuing operations
before minority interests (1,335) 11,221 54,369 21,680
Minority interests in
(income) loss of
consolidated subsidiary (42) 416 68 (666)
--------- --------- --------- ---------
Income (loss) from
continuing operations (1,293) 10,805 54,301 22,346
Income (loss) from
discontinued operations,
net of income taxes -- 5,311 13,273 3,584
Gain on sale of
discontinued operations,
net of income taxes -- -- 83,898 --
--------- --------- --------- ---------
Income (loss) from
discontinued operations,
net of income taxes -- 5,311 97,171 3,584
--------- --------- --------- ---------
Net income (loss) $ (1,293) $ 16,116 $ 151,472 $ 25,930
========= ========= ========= =========
Basic income (loss) per
share:
Continuing operations $ (0.02) $ 0.15 $ 0.74 $ 0.31
Discontinued operations -- 0.07 1.32 0.05
--------- --------- --------- ---------
Basic income (loss) per
share $ (0.02) $ 0.22 $ 2.06 $ 0.36
========= ========= ========= =========
Diluted income (loss) per
share:
Continuing operations $ (0.02) $ 0.14 $ 0.73 $ 0.31
Discontinued operations -- 0.07 1.31 0.05
--------- --------- --------- ---------
Diluted income (loss)
per share $ (0.02) $ 0.22 $ 2.04 $ 0.36
========= ========= ========= =========
Shares used in computing
income (loss) per share:
Basic 69,654 74,494 73,492 72,323
Diluted 69,654 74,697 74,074 72,533
BROOKS AUTOMATION, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands)
(unaudited)
September 30, September 30,
2007 2006
----------- -----------
ASSETS
Cash, cash equivalents and marketable
securities $ 248,334 $ 184,053
Accounts receivable, net 105,904 113,440
Inventories 104,794 99,854
Other current assets 20,489 35,465
----------- -----------
Total current assets 479,521 432,812
Property, plant and equipment, net 80,747 76,667
Long-term marketable securities 26,283 7,307
Intangible assets, net 396,266 406,665
Other assets 32,021 69,126
----------- -----------
Total assets $ 1,014,838 $ 992,577
=========== ===========
LIABILITIES, MINORITY INTERESTS AND
STOCKHOLDERS' EQUITY
Current liabilities $ 142,797 $ 180,179
Long-term liabilities 11,799 12,870
----------- -----------
Total liabilities 154,596 193,049
Minority interests 463 394
Stockholders' equity 859,779 799,134
----------- -----------
Total liabilities, minority interests
and stockholders' equity $ 1,014,838 $ 992,577
=========== ===========
======================================================
Cash, cash equivalents, short-term and
long-term marketable securities
September 30, 2007 $ 274,617
June 30, 2007 $ 369,172
March 31, 2007 $ 320,792
December 31, 2006 $ 184,100
September 30, 2006 $ 191,360
======================================================
BROOKS AUTOMATION, INC.
CALCULATION OF PRO FORMA NET INCOME
FOR THE THREE MONTHS ENDED SEPTEMBER 30, 2007
(in thousands, except per share data)
(unaudited)
U.S. GAAP Adjustments Pro Forma
--------- ----------- ---------
Revenues $ 166,503 $ -- $ 166,503
Cost of revenues 126,516 (2,331)A 124,185
--------- --------- ---------
Gross profit 39,987 2,331 42,318
--------- --------- ---------
Gross margin 24.0% 25.4%
Operating expenses:
Research and development 12,530 12,530
Selling, general and
administrative 28,939 (1,482)B 27,457
Restructuring charges 3,657 (3,657) --
--------- --------- ---------
45,126 (5,139) 39,987
--------- --------- ---------
Operating income (loss) from
continuing operations (5,139) 7,470 2,331
Interest (income) expense, net (2,943) -- (2,943)
Gain on investment -- --
Other (income) expense, net (419) (419)
--------- --------- ---------
Income (loss) from continuing
operations before income taxes
and minority interests (1,777) 7,470 5,693
Income tax provision (benefit) (442) -- (442)
--------- --------- ---------
Income (loss) from continuing
operations before minority
interests (1,335) 7,470 6,135
Minority interests in income of
consolidated subsidiary (42) -- (42)
--------- --------- ---------
Income (loss) from continuing
operations (1,293) 7,470 6,177
Income (loss) from discontinued
operations, net of income taxes -- -- --
--------- --------- ---------
Net income (loss) $ (1,293) $ 7,470 $ 6,177
========= ========= =========
Basic income per share from
continuing operations $ (0.02) $ 0.11 $ 0.09
Basic income (loss) per share
from discontinued operations -- -- --
--------- --------- ---------
Basic income (loss) per share $ (0.02) $ 0.11 $ 0.09
========= ========= =========
Diluted income per share from
continuing operations $ (0.02) $ 0.11 $ 0.09
Diluted income (loss) per share
from discontinued operations -- -- --
--------- --------- ---------
Diluted income (loss) per share $ (0.02) $ 0.11 $ 0.09
========= ========= =========
Shares used in computing earnings
per share
Basic 69,654 69,654 69,654
Diluted 69,654 69,654 70,261
Adjustments:
(A) Amortization of completed
technology -2,331
(B) Amortization of other acquired
intangible assets -1,482
BROOKS AUTOMATION, INC.
CALCULATION OF PRO FORMA NET INCOME
FOR THE TWELVE MONTHS ENDED SEPTEMBER 30, 2007
(in thousands, except per share data)
(unaudited)
U.S. GAAP Adjustments Pro Forma
--------- ----------- ---------
Revenues $ 743,258 $ -- $ 743,258
Cost of revenues 523,663 (9,324)A 514,339
--------- --------- ---------
Gross profit 219,595 9,324 228,919
--------- --------- ---------
Gross margin 29.5% 30.8%
Operating expenses:
Research and development 51,715 51,715
Selling, general and
administrative 120,421 (5,939)B 114,482
Restructuring charges 7,108 (7,108) --
--------- --------- ---------
179,244 (13,047) 166,197
--------- --------- ---------
Operating income from continuing
operations 40,351 22,371 62,722
Interest (income) expense, net (11,314) -- (11,314)
Gain on investment 5,110 (5,110) --
Other (income) expense, net 119 119
--------- --------- ---------
Income from continuing operations
before income taxes and minority
interests 56,656 17,261 73,917
Income tax provision 2,287 -- 2,287
--------- --------- ---------
Income from continuing operations
before minority interests 54,369 17,261 71,630
Minority interests in income of
consolidated subsidiary 68 -- 68
--------- --------- ---------
Income from continuing operations 54,301 17,261 71,562
Income (loss) from discontinued
operations, net of income taxes 97,171 (97,171) --
--------- --------- ---------
Net income $ 151,472 $ (79,910) $ 71,562
========= ========= =========
Basic income (loss) per share from
continuing operations $ 0.74 $ 0.23 $ 0.97
Basic income per share from
discontinued operations 1.32 (1.32) --
--------- --------- ---------
Basic income per share $ 2.06 $ (1.09) $ 0.97
========= ========= =========
Diluted income (loss) per share
from continuing operations $ 0.73 $ 0.23 $ 0.97
Diluted income per share from
discontinued operations 1.31 (1.31) --
--------- --------- ---------
Diluted income per share $ 2.04 $ (1.08) $ 0.97
========= ========= =========
Shares used in computing earnings
(loss) per share
Basic 73,492 73,492 73,492
Diluted 74,074 74,074 74,074
Adjustments:
(A) Amortization of completed
technology -9,324
(B) Amortization of other acquired
intangible assets -5,939