-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, KsXKtIjaHoZ+Pa6zaY9pTpu8BvQ8co+TB7Qg+K4kymiMo7fLl62HJ1PUlQwAayBM HBvOkGwCWcVuRNVLQgSXuA== 0000730000-95-000007.txt : 19951024 0000730000-95-000007.hdr.sgml : 19951024 ACCESSION NUMBER: 0000730000-95-000007 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 19950930 FILED AS OF DATE: 19951023 SROS: NASD FILER: COMPANY DATA: COMPANY CONFORMED NAME: SUPERTEX INC CENTRAL INDEX KEY: 0000730000 STANDARD INDUSTRIAL CLASSIFICATION: SEMICONDUCTORS & RELATED DEVICES [3674] IRS NUMBER: 942328535 STATE OF INCORPORATION: CA FISCAL YEAR END: 0331 FILING VALUES: FORM TYPE: 10-Q SEC ACT: 1934 Act SEC FILE NUMBER: 000-12718 FILM NUMBER: 95583350 BUSINESS ADDRESS: STREET 1: 1225 BORDEAUX DR CITY: SUNNYVALE STATE: CA ZIP: 94088-3607 BUSINESS PHONE: 4087440100 MAIL ADDRESS: STREET 1: 1350 BORDEAUX DR CITY: SUNNYVALE STATE: CA ZIP: 94088-3607 10-Q 1 SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) (x) Quarterly Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the quarterly period ended September 30, 1995 or ( ) Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 Commission File Number 0-12718 SUPERTEX, INC. (Registrant) Incorporated in the State of California I.R.S. Employer Identification Number 94-2328535 1235 Bordeaux Drive, Sunnyvale, California 94089 (Address of Principal Executive Offices) Telephone: (408) 744-0100 Indicate by check mark whether the Registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months or for such shorter period that the registrant was required to file such reports, and (2) has been subject to such filing requirements for the past 90 days. Yes X No As of October 12, 1995, 11,909,371 shares of the Registrant's common stock were issued and outstanding. PART I - FINANCIAL INFORMATION Item 1 - Financial Statements SUPERTEX, INC. CONSOLIDATED STATEMENTS OF INCOME (Unaudited) (In thousands, except per share amounts)
Three Months Ended Six Months Ended Sep. 30, Oct. 1, Sep. 30, Oct. 1, 1995 1994 1995 1994 Net Sales $ 10,359 $ 7,644 $ 19,516 $ 14,884 Cost and expenses: Cost of sales 5,422 3,804 10,103 7,441 Research and development 1,321 1,143 2,604 2,090 Selling, general and administration 1,431 1,285 2,694 2,513 Total cost and expenses 8,174 6,232 15,401 12,044 Income from operations 2,185 1,412 4,115 2,840 Other income: Interest income 250 172 541 336 Other income, net 57 18 105 23 Income before provision for income taxes 2,492 1,602 4,761 3,199 Provision for income taxes 773 433 1,476 864 Net income $ 1,719 $ 1,169 $ 3,285 $ 2,335 Net income per share $ 0.14 $ 0.10 $ 0.27 $ 0.20 Shares used in per share computation 12,307 11,869 12,275 11,839 See accompanying notes.
SUPERTEX, INC. CONSOLIDATED BALANCE SHEETS (in thousands, except share data)
(unaudited) Sep. 30, 1995 Mar. 31, 1995 ASSETS Current assets: Cash and cash equivalents $ 442 $ 4,437 Short term investments 18,563 15,019 Trade receivables,net of allowances of $347 and $487 6,841 5,800 Other receivables 254 352 Inventories 7,226 6,637 Deferred income taxes 1,456 1,455 Prepaid expenses 293 169 Total current assets 35,075 33,869 Property and equipment, net 5,927 3,441 TOTAL ASSETS $ 41,002 $ 37,310
LIABILITIES Current liabilities: Trade accounts payable $ 2,887 $ 2,762 Accrued salaries, wages and employee benefits 1,427 1,409 Income taxes payable 1,064 1,014 Other accrued liabilities 572 467 Deferred income on shipment to distributors 625 494 Total current liabilities 6,575 6,146 SHAREHOLDERS' EQUITY Preferred stock, no par value - 10,000,000 shares authorized, none outstanding -- -- Common stock, no par value - 30,000,000 shares authorized, issued and outstanding 11,909,371 and 11,893,411 18,235 18,173 Retained earnings 16,192 12,991 Total shareholders' equity 34,427 31,164 TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY $ 41,002 $ 37,310 See accompanying notes.
SUPERTEX, INC. CONSOLIDATED STATEMENTS OF CASH FLOWS (unaudited) (in thousands)
Six Months Ended Sep. 30, Oct. 1, 1995 1994 CASH FLOWS FROM OPERATING ACTIVITIES Net income $ 3,285 $ 2,335 Non-cash adjustments to net income: Depreciation and amortization 670 465 Provision for doubtful accounts and sales returns 140 336 Provision for excess and obsolete inventories 276 (192) Loss on disposal of assets 0 6 Changes in operating assets and liabilities: Accounts receivable (1,083) (879) Inventories (865) (370) Prepaid expenses (124) (61) Trade accounts payable and accrued expenses 247 136 Income taxes payable 50 (143) Deferred income on shipment to distributors 131 (9) Total adjustments (558) (711) Net cash provided by operating activities 2,727 1,624 CASH FLOWS FROM INVESTING ACTIVITIES Purchases of property and equipment (3,156) (1,070) Purchases of short term investments (22,563) -- Proceeds from maturities of short term investments 19,019 -- Net cash used in investing activities (6,700) (1,070) CASH FLOWS FROM FINANCING ACTIVITIES Stock options exercised 78 43 Repurchase of stock (100) 0 Net cash provided by financing activities (22) 43 NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS (3,995) 597 CASH AND CASH EQUIVALENTS Beginning of period 4,437 17,416 End of period $ 442 $ 18,013 See accompanying notes.
SUPERTEX, INC. NOTES TO FINANCIAL STATEMENTS Note 1 The information for the three months and six months ended September 30, 1995, is unaudited, but includes all adjustments (consisting of normal recurring adjustments) which the Company considers necessary for a fair presentation of the results of operations for those periods. The year-end condensed balance sheet data was derived from audited financial statements, but does not include all disclosures required by generally accepted accounting principles. These financial statements should be read in conjunction with the audited financial statements of Supertex, Inc. for the year ended April 1, 1995, which are included in the Annual Report on Form 10-K (File Number 0-12718). Interim results are not necessarily indicative of results for the full fiscal year. Inventories consisted of: (in thousands) Sep. 30, 1995 Mar. 31, 1995 (unaudited) Finished Goods $ 1,070 $ 901 Work in Progress 4,908 4,699 Raw Materials 1,248 1,037 Net Inventory $ 7,226 $ 6,637 PART I - FINANCIAL INFORMATION Item 2. - Management's Discussion and Analysis of Financial Condition and Results of Operations. RESULTS OF OPERATIONS: NET SALES Net sales for the second quarter ended September 30, 1995 increased 36% to $10,359,000 from $7,644,000 of the same quarter last year. Six months net sales of $19,516,000 increased 31% from the same period last year of $14,884,000. Continued strength in our customers' markets contributed to this increase in sales. Approximately 45% of Supertex's shipments were to international customers during the six months ended September 30, 1995. GROSS MARGIN Gross margin for the second quarter and six months were 48%, compared with 50% for the same quarter and six months of the prior year. A change in the product mix, with resultant higher cost of goods manufactured contributed to this small decrease in gross margin as some of the new products are undergoing learning curve ramp-up issues. Manufacturing costs are expected to be relatively stable from period to period, with small variations of a few percentage points from one period to another as the product mix for a particular period changes slightly. SELLING, GENERAL AND ADMINISTRATIVE Selling, general and administrative expenses for the quarter ended September 30, 1995 were 14% of net sales, a decrease from 17% for the same period of the prior year. For the six months ended September 30, 1995, SG&A expenses were 14% of net sales compared with 17% for the same period last year. The Company benefited from the economy of scale of higher sales volume this year as dollar expenditure in this category increased by a smaller percentage amount than the percentage increase in net sales. RESEARCH AND DEVELOPMENT As a percentage of net sales, R&D expenses were 13% for the three months ended September 30, 1995, compared with 15% for the same period last year. For the six months ended September 30, 1995, R&D expenses were 13% of net sales, compared with 14% for the first six months of last year. Dollar expenditures in this category increases moderately period to period, as the company develops more new products each year. The Company intends to continue to invest heavily in its new product and process development efforts. INTEREST AND OTHER INCOME Interest and other income for the second quarter of the current year was $307,000, a 61% increase from $190,000 for the same period last year. For the six months ended September 30, 1995, interest and other income also increased 80% from the corresponding period of the prior year. Higher interest rates, combined with increased cash available for short-term investments, accounted for this growth. CERTAIN FACTORS The industry in which the Company competes is characterized by extremely rapid technological change and frequent product introductions. The Company believes that long-term growth will depend largely on its ability to continue to enhance existing products and to introduce new products and features that meet changing customer requirements. While the Company has invested heavily in new products and processes, there can be no assurance that it can continue to introduce new products and features on a timely basis or that certain of its products and processes will not be rendered noncompetitive or obsolete by its competitors. LIQUIDITY AND CAPITAL RESOURCES On September 30, 1995, the Company had a total of $19,005,000 in cash, cash equivalents and short term investments compared to $19,456,000 at March 31, 1995. Cash provided by operating activities in the six months ended September 30, 1995 was $2,728,000. The increase was due to net income in the six months ended September 30, 1995 offset by increases in accounts receivable and inventory. Cash used in investing activities during the six months ended September 30, 1995 was $6,699,000. This was primarily due to the purchase of the company's new headquarters facility in July 1995 and purchases of short-term investments. Management believes its current cash and short-term investments will be adequate to meet anticipated operating needs for the next 12 months. Capital expenditures for the twelve months ending September 30, 1996 are expected to be higher than those for the prior 12-month period because capacity expansion is being planned. PART II - OTHER INFORMATION Item 4. - Submission of Matters to a Vote of Security Holders The Company's Annual Shareholders' Meeting was held on August 4, 1995 at 10:00 a.m., at which the following matters were acted upon:
Matter Acted Upon Votes Votes Votes Withheld/ Broker For Against Abstentions Non-Votes 1. Election of Director Henry C. Pao 10,188,284 0 651,583 0 Yunni Pao 10,184,984 0 654,883 0 Benedict C. K. Choy 10,188,784 0 651,083 0 Frank C. Pao 10,188,484 0 651,383 0 Richard E. Siegel 10,188,484 0 651,383 0 2. Addition of 1,000,000 shares to 1991 Stock Options Plan 8,188,838 793,532 38,088 1,819,409 3. Ratification of Coopers and Lybrand L.L.P. as independent accountants for the company for fiscal year ending March 31,1996 10,826,263 8,104 5,500 0
Item 6. - Exhibits and Reports on Form 8-K (a) Exhibits 11.1 Computation of Per Share Amounts (b) Reports on Form 8-K None. SIGNATURE Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized. SUPERTEX, INC. (Registrant) Date: October 16, 1995 By: /s/ Henry C. Pao ------------------------- Dr. Henry C. Pao, President (Principal Executive and Financial Officer) PART II - OTHER INFORMATION Item 6 (a) Exhibit 11.1 Computation of Per Share Amounts (Unaudited) (in thousands, except per share amounts)
Three Months Ended Six Months Ended Sep. 30, Oct. 1, Sep. 30, Oct. 1, 1995 1994 1995 1994 PRIMARY Weighted average shares outstanding 11,906 11,730 11,900 11,725 Common Stock equivalents 401 139 375 114 Total Shares 12,307 11,869 12,275 11,839 Net income $ 1,719 $ 1,169 $ 3,285 $ 2,335 Per share amount $ 0.14 $ 0.10 $ 0.27 $ 0.20 FULLY DILUTED Weighted average shares outstanding 11,906 11,730 11,900 11,725 Common Stock equivalents 420 217 396 153 Total Shares 12,326 11,947 12,296 11,878 Net income $ 1,719 $ 1,169 $ 3,285 $ 2,335 Per share amount $ 0.14 $ 0.10 $ 0.27 $ 0.20 Earnings per share for Financial Statements purposes has been calculated based on the weighted average shares outstanding for each period presented as the dilution from Common Stock Equivalents is less than 3%.
EX-27 2 ARTICLE 5 FIN. DATA SCHEDULE FOR 2ND QTR. 10-Q
5 1,000 6-MOS MAR-30-1996 APR-02-1995 SEP-30-1995 4,178 0 7,188 347 7,226 35,075 17,262 11,335 41,002 6,575 0 18,235 0 0 0 41,002 19,516 19,516 10,103 10,103 2,604 8 0 4,761 1,476 3,285 0 0 0 3,285 .27 .27 Research and Development Expenses
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