POWAY, Calif., April 24, 2008 -- Cohu, Inc. (NASDAQ:COHU) today announced that net sales were $58.4 million for the first quarter ended March 29, 2008 compared to $53.4 million for the first quarter ended March 31, 2007 and $57.1 million for the fourth quarter ended December 29, 2007. Net income for the first quarter of 2008 was $2.0 million, or $0.08 per share compared to $1.7 million or $0.07 per share for the first quarter of 2007 and $2.0 million or $0.09 per share in the fourth quarter of 2007.
Semiconductor test handling equipment accounted for 76.5% of total first quarter 2008 sales, microwave communications equipment contributed 15.9% and closed circuit television cameras and related equipment were 7.6% of sales for the same period.
Consolidated orders for the first quarter of 2008 were $54.6 million compared to $50.6 million for the fourth quarter of 2007. First quarter 2008 orders for semiconductor equipment increased from $40.7 million in the fourth quarter of 2007 to $44.1 million in the first quarter of 2008. Backlog was $55.7 million at March 29, 2008 compared to $59.5 million at December 29, 2007. Cohu expects second quarter 2008 sales to be approximately $50 million.
James A. Donahue, President and Chief Executive Officer, stated "This was a positive quarter for Cohu. Sales exceeded the high-end of our guidance and gross margin and operating income percentages improved compared to last quarter and fiscal 2007. As expected, results in our microwave equipment operation improved significantly."
Donahue concluded, "We were encouraged that orders for our semiconductor equipment increased 8% from the fourth quarter of 2007. However, business conditions in the back-end semiconductor equipment industry remain challenging and we do not expect this to change in the near term. During the quarter, our new high-speed pick and place handler completed a successful qualification at a second, major U.S. based Integrated Device Manufacturer. Last month, we were honored when Intel presented us with its prestigious Preferred Quality Supplier Award, the eighth consecutive year that we have been recognized with a quality award by Intel."
Certain matters discussed in this release, including statements concerning Cohu's expectations of business conditions, orders and revenues are forward-looking statements that are subject to risks and uncertainties that could cause actual results to differ materially from those projected or forecasted. Such risks and uncertainties include, but are not limited to, the concentration of our revenues from a limited number of customers; our ability to convert new products under development into production on a timely basis, support product development and meet customer delivery and acceptance requirements for next generation equipment; failure to obtain customer acceptance resulting in the inability to recognize revenue and accounts receivable collection problems; inventory write-offs; intense competition in the semiconductor test handler industry; our reliance on patents and intellectual property; compliance with U.S. export regulations; the cyclical and unpredictable nature of capital expenditures by semiconductor manufacturers; difficulties in integrating acquisitions and new technologies and other risks addressed in Cohu's filings with the Securities and Exchange Commission, including the most recently filed Form 10-K and Form 10-Q. Cohu assumes no obligation to update the information in this release.
Cohu is a supplier of test handling, burn-in and thermal solutions used by the global semiconductor industry, microwave communications and closed circuit television equipment.
Cohu will be conducting their conference call on Thursday, April 24, 2008 at 2:00 p.m. Pacific Time. The call will be webcast at www.cohu.com. Replays of the call can be accessed at www.cohu.com.
Full Press Release including Consolidated Statements of Operations and Consolidated Balance Sheets
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