The Company also reported non-GAAP results, with second quarter 2012 net
loss of $0.2 million or $0.01 per share and net loss of
GAAP Results | |||||||
Q2 FY 2012 | Q1 FY 2012 | Q2 FY 2011 | |||||
Net sales | $ 59.4 million | $ 53.3 million | $ 80.9 million | ||||
Net income (loss) | $ (2.1) million | $ (3.2) million | $ 5.1 million | ||||
Income (loss) per share | $(0.09) | $(0.13) | $0.21 | ||||
6 Months 2012 | 6 Months 2011 | ||||||
Net sales | $ 112.7 million | $ 170.6 million | |||||
Net income (loss) | $ (5.3) million | $ 11.6 million | |||||
Income (loss) per share | $(0.22) | $0.47 | |||||
Non-GAAP Results | |||||||
Q2 FY 2012 | Q1 FY 2012 | Q2 FY 2011 | |||||
Non-GAAP net income (loss) | $ (0.2) million | $ (1.5) million | $ 6.8 million | ||||
Non-GAAP income (loss) per share | $(0.01) | $(0.06) | $0.28 | ||||
6 Months 2012 | 6 Months 2011 | ||||||
Non-GAAP net income (loss) | $ (1.6) million | $ 15.5 million | |||||
Non-GAAP income (loss) per share | $(0.07) | $0.63 | |||||
Sales of semiconductor equipment accounted for 82% of fiscal 2012 second quarter sales. Microwave communications equipment and video cameras and related equipment contributed 10% and 8%, respectively, for the same period.
Orders were
Donahue concluded, “The strong orders received during the second quarter are encouraging, but forecasts and near term outlooks from our customers are mixed, due largely to macroeconomic concerns. Successful evaluations of our handling equipment over the last several quarters by multiple customers position us for volume production orders as business conditions improve.”
Use of Non-GAAP Financial Information:
Included within this press release are non-GAAP financial measures that supplement the Company's Condensed Consolidated Statements of Operations prepared under generally accepted accounting principles (GAAP). These non-GAAP financial measures adjust the Company's actual results prepared under GAAP to exclude charges and the related income tax effect for share-based compensation and the amortization of acquired intangible assets. Reconciliations of GAAP to non-GAAP amounts for the periods presented herein are provided in schedules accompanying this release and should be considered together with the Condensed Consolidated Statements of Operations.
These non-GAAP measures are not meant as a substitute for GAAP, but are included solely for informational and comparative purposes. The Company's management believes that this information can assist investors in evaluating the Company’s operational trends, financial performance, and cash generating capacity. Management believes these non-GAAP measures allow investors to evaluate Cohu’s financial performance using some of the same measures as management. However, the non-GAAP financial measures should not be regarded as a replacement for (or superior to) corresponding, similarly captioned, GAAP measures.
Forward Looking Statements:
Certain matters discussed in this release, including statements
concerning
About
For press releases and other information of interest to investors, please visit Cohu’s website at www.cohu.com.
COHU, INC. | ||||||||||||||
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS | ||||||||||||||
(Unaudited) | ||||||||||||||
(in thousands, except per share amounts) | ||||||||||||||
Three Months Ended (1) | Six Months Ended (1) | |||||||||||||
June 30, | June 25, | June 30, | June 25, | |||||||||||
2012 | 2011 | 2012 | 2011 | |||||||||||
Net sales | $ | 59,404 | $ | 80,896 | $ | 112,700 | $ | 170,596 | ||||||
Cost and expenses: | ||||||||||||||
Cost of sales | 41,740 | 54,349 | 79,497 | 115,234 | ||||||||||
Research and development | 8,688 | 9,284 | 17,058 | 18,367 | ||||||||||
Selling, general and administrative | 11,041 | 11,434 | 21,917 | 23,524 | ||||||||||
61,469 | 75,067 | 118,472 | 157,125 | |||||||||||
Income (loss) from operations | (2,065 | ) | 5,829 | (5,772 | ) | 13,471 | ||||||||
Interest and other, net | 89 | 116 | 181 | 226 | ||||||||||
Income (loss) before income taxes | (1,976 | ) | 5,945 | (5,591 | ) | 13,697 | ||||||||
Income tax provision (benefit) | 133 | 895 | (258 | ) | 2,073 | |||||||||
Net income (loss) | $ | (2,109 | ) | $ | 5,050 | $ | (5,333 | ) | $ | 11,624 | ||||
Income (loss) per share: | ||||||||||||||
Basic | $ | (0.09 | ) | $ | 0.21 | $ | (0.22 | ) | $ | 0.48 | ||||
Diluted | $ | (0.09 | ) | $ | 0.21 | $ | (0.22 | ) | $ | 0.47 | ||||
Weighted average shares used in | ||||||||||||||
computing income (loss) per share (2): | ||||||||||||||
Basic | 24,432 | 24,103 | 24,392 | 24,060 | ||||||||||
Diluted | 24,432 | 24,484 | 24,392 | 24,483 | ||||||||||
(1) The three- and six-month periods ended
(2) For the three- and six-month periods ended
COHU, INC. | |||||||
CONDENSED CONSOLIDATED BALANCE SHEETS | |||||||
(Unaudited) | |||||||
(in thousands) | |||||||
June 30, | December 31, | ||||||
2012 | 2011 | ||||||
Assets: | |||||||
Current assets: | |||||||
Cash and investments | $ | 106,622 | $ | 105,002 | |||
Accounts receivable | 42,190 | 41,922 | |||||
Inventories | 72,966 | 82,689 | |||||
Deferred taxes and other | 12,973 | 14,203 | |||||
Total current assets | 234,751 | 243,816 | |||||
Property, plant & equipment, net | 35,557 | 36,981 | |||||
Goodwill | 57,106 | 58,060 | |||||
Intangible assets, net | 19,278 | 21,828 | |||||
Other assets | 1,263 | 923 | |||||
Total assets | $ | 347,955 | $ | 361,608 | |||
Liabilities & Stockholders’ Equity: | |||||||
Current liabilities: | |||||||
Deferred profit | $ | 4,159 | $ | 2,821 | |||
Other current liabilities | 42,273 | 49,050 | |||||
Total current liabilities | 46,432 | 51,871 | |||||
Deferred taxes and other noncurrent liabilities | 17,864 | 18,706 | |||||
Stockholders’ equity | 283,659 | 291,031 | |||||
Total liabilities & stockholders’ equity | $ | 347,955 | $ | 361,608 | |||
COHU, INC. | ||||||||||||||
Supplemental Reconciliation of GAAP Results to Non-GAAP Financial Measures (Unaudited) | ||||||||||||||
(in thousands, except per share amounts) | ||||||||||||||
Three Months Ended | ||||||||||||||
June 30, | March 31, | June 25, | ||||||||||||
2012 | 2012 | 2011 | ||||||||||||
Income (loss) from operations - GAAP basis (a) | $ | (2,065 | ) | $ | (3,707 | ) | $ | 5,829 | ||||||
Non-GAAP adjustments: | ||||||||||||||
Share-based compensation included in (b): | ||||||||||||||
Cost of goods sold | 125 | 105 | 90 | |||||||||||
Research and development | 337 | 323 | 266 | |||||||||||
Selling, general and administrative | 789 | 616 | 582 | |||||||||||
1,251 | 1,044 | 938 | ||||||||||||
Amortization of intangible assets included in (c): | ||||||||||||||
Cost of goods sold | 832 | 847 | 930 | |||||||||||
Selling, general and administrative | 154 | 156 | 171 | |||||||||||
986 | 1,003 | 1,101 | ||||||||||||
Income (loss) from operations - non-GAAP basis (d) | $ | 172 | $ | (1,660 | ) | $ | 7,868 | |||||||
Net income (loss) - GAAP basis | $ | (2,109 | ) | $ | (3,224 | ) | $ | 5,050 | ||||||
Non-GAAP adjustments (as scheduled above) | 2,237 | 2,047 | 2,039 | |||||||||||
Tax effect of non-GAAP adjustments (e) | (291 | ) | (298 | ) | (321 | ) | ||||||||
Net income (loss) - non-GAAP basis | $ | (163 | ) | $ | (1,475 | ) | $ | 6,768 | ||||||
GAAP net income (loss) per share - diluted | $ | (0.09 | ) | $ | (0.13 | ) | $ | 0.21 | ||||||
Non-GAAP net income (loss) per share - diluted (f) | $ | (0.01 | ) | $ | (0.06 | ) | $ | 0.28 | ||||||
Management believes the presentation of these non-GAAP financial measures, when taken together with the corresponding GAAP financial measures, provides meaningful supplemental information regarding the Company's operating performance. Our management uses these non-GAAP financial measures in assessing the Company's operating results, as well as when planning, forecasting and analyzing future periods and these non-GAAP measures allow investors to evaluate the Company’s financial performance using some of the same measures as management. Management views share-based compensation as an expense that is unrelated to the Company’s operational performance as it does not require cash payments and can vary in amount from period to period and the elimination of amortization charges provides better comparability of pre and post-acquisition operating results and to results of businesses utilizing internally developed intangible assets. However, the non-GAAP financial measures should not be regarded as a replacement for corresponding, similarly captioned, GAAP measures. The presentation of non-GAAP financial measures above may not be comparable to similarly titled measures reported by other companies and investors should be careful when comparing our non-GAAP financial measures to those of other companies.
(a) (3.5)%, (7.0)% and 7.2% of net sales, respectively.
(b) To eliminate compensation expense for employee stock options, stock units and our employee stock purchase plan.
(c) To eliminate the amortization of intangible assets acquired in the fiscal 2008 acquisition of Rasco.
(d) 0.3%, (3.1)% and 9.7% of net sales, respectively.
(e) To adjust the provision for income taxes related to the adjustments described in notes (b) and (c) above based on applicable tax rates.
(f) Computed using number of GAAP diluted shares outstanding for each period presented.
COHU, INC. | |||||||||
Supplemental Reconciliation of GAAP Results to Non-GAAP Financial Measures (Unaudited) | |||||||||
(in thousands, except per share amounts) | |||||||||
Six Months Ended | |||||||||
June 30, | June 25, | ||||||||
2012 | 2011 | ||||||||
Income (loss) from operations - GAAP basis (a) | $ | (5,772 | ) | $ | 13,471 | ||||
Non-GAAP adjustments: | |||||||||
Share-based compensation included in (b): | |||||||||
Cost of goods sold | 230 | 182 | |||||||
Research and development | 660 | 602 | |||||||
Selling, general and administrative | 1,405 | 1,202 | |||||||
2,295 | 1,986 | ||||||||
Amortization of intangible assets included in (c): | |||||||||
Cost of goods sold | 1,679 | 2,152 | |||||||
Selling, general and administrative | 310 | 367 | |||||||
1,989 | 2,519 | ||||||||
Income (loss) from operations - non-GAAP basis (d) | $ | (1,488 | ) | $ | 17,976 | ||||
Net income (loss) - GAAP basis | $ | (5,333 | ) | $ | 11,624 | ||||
Non-GAAP adjustments (as scheduled above) | 4,284 | 4,505 | |||||||
Tax effect of non-GAAP adjustments (e) | (589 | ) | (601 | ) | |||||
Net income (loss) - non-GAAP basis | $ | (1,638 | ) | $ | 15,528 | ||||
GAAP net income (loss) per share - diluted | $ | (0.22 | ) | $ | 0.47 | ||||
Non-GAAP net income (loss) per share - diluted (f) | $ | (0.07 | ) | $ | 0.63 | ||||
Management believes the presentation of these non-GAAP financial measures, when taken together with the corresponding GAAP financial measures, provides meaningful supplemental information regarding the Company's operating performance. Our management uses these non-GAAP financial measures in assessing the Company's operating results, as well as when planning, forecasting and analyzing future periods and these non-GAAP measures allow investors to evaluate the Company’s financial performance using some of the same measures as management. Management views share-based compensation as an expense that is unrelated to the Company’s operational performance as it does not require cash payments and can vary in amount from period to period and the elimination of amortization charges provides better comparability of pre and post-acquisition operating results and to results of businesses utilizing internally developed intangible assets. However, the non-GAAP financial measures should not be regarded as a replacement for corresponding, similarly captioned, GAAP measures. The presentation of non-GAAP financial measures above may not be comparable to similarly titled measures reported by other companies and investors should be careful when comparing our non-GAAP financial measures to those of other companies.
(a) (5.1)% and 7.9% of net sales, respectively.
(b) To eliminate compensation expense for employee stock options, stock units and our employee stock purchase plan.
(c) To eliminate the amortization of intangible assets acquired in the
fiscal 2008 acquisition of Rasco for the six months ended
(d) (1.3)% and 10.5% of net sales, respectively
(e) To adjust the provision for income taxes related to the adjustments described in notes (b), (c) and (d) above based on applicable tax rates.
(f) Computed using number of GAAP diluted shares outstanding for each period presented.
Source:
Cohu, Inc.
Jeffrey D. Jones, (858) 848-8106
Investor Relations