EX-99.1 2 exhibit991.htm EXHIBIT 99.1 Exhibit 99.1
Exhibit 99.1

 SUPERTEX, INC.  PRESS RELEASE

 
 FOR IMMEDIATE RELEASE

 Contact:

 Dr. Henry C. Pao
 October 18, 2004    President &  CEO
 

 Tel:

 408-222-8888
 

 Fax:

 408-222-4800
 

 Email:

 investors@supertex.com
 
SUPERTEX REPORTS SECOND FISCAL QUARTER RESULTS
 
Sunnyvale, CA (October 18, 2004) - Supertex, Inc. (NASDAQ: SUPX) today reported net sales of $15,548,000 for its second fiscal quarter ended October 2, 2004, a 26% increase from the $12,315,000 reported for the same quarter of the prior fiscal year, and a 9% increase compared with the prior quarter of $14,242,000. Net income for the quarter increased 329% to $1,916,000 or $0.15 per share on a diluted basis from $447,000 or $0.03 per share on a diluted basis for the same quarter of the prior fiscal year, and increased 3% from $1,860,000 or $0.14 per share on a diluted basis when compared with the prior quarter.

For the six-month period ended October 2, 2004 compared to the same period of the prior fiscal year, net sales increased 20% from $24,794,000 to $29,790,000, and net income increased 209% from $1,223,000 to $3,776,000.

Dr. Henry C. Pao, President and CEO, commented, "The second quarter sales had a more robust sequential growth of 9%, compared to the prior quarter of 5%. Our net inventories, which underwent a transition from legacy products to recently introduced products during the quarter, decreased by $640,000, and is under careful watch and control. Our gross margin improved to 52% from 50% in the prior fiscal quarter primarily due to increased fab utilization resulting from our sales growth. Cash flow from operations was positive in the quarter. Cash, cash equivalents, and short-term investments increased by $3.6 million during the quarter, primarily from operations. Our research and development expenses in the quarter increased $216,000 from prior quarter to $2.7 million dollars, but remain at 17% of net sales. Our sales and marketing expenses went up about $464,000 from prior quarter to $1.9 million dollars or 12% of net sales due to increased activity, including hosting an alternate-year international sales conference in Las Vegas, attended by over 200 sales and marketing people."

"We expect continued sales growth in the second half of the year fueled mainly by our new products, with most of the growth occurring during our fourth quarter," he added.

Forward Looking Statements:

The industry in which we compete is characterized by extreme rapid changes in technology and frequent new product introductions. We believe that our long-term growth will depend largely on our ability to continue to enhance existing products and to introduce new products and features that meet the continually changing requirements of our customers. All statements contained in this press release that are not historical facts are forward-looking statements. They are not guarantees of future performance or events. They are based upon current expectations, estimates, beliefs, and assumptions about the future, which may prove incorrect, and upon our goals and objectives, which may change. Often such statements can be identified by the use of the words such as "will," "intends," "expects," "plans," "believes," "anticipates," and "estimates." An example of a forward-looking statement includes our expectation for continued sales growth during the second half of our fiscal year, fueled mainly by our new products, with most of the growth occurring during our fourth quarter. The forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. They are not guarantees of future performance or events but rather involve a number of risks and uncertainties including, but not limited to, whether we successfully release our new devices into volume production, whether our customers experience the demand we anticipate for their products, including products in the pre-production stage, which incorporate our devices, and whether competitors introduce devices at lower prices than our devices causing price erosion as well as other risk factors detailed in our Form 8-K, 10-K, and 10-Q filings with the Securities and Exchange Commission. Due to these and other risks, our future actual results could differ materially from those discussed above. We undertake no obligation to publicly release updates or revisions to these statements which speak only as of this date.

Conference Call Details
 
The Company will host a conference call at 2:30 p.m. PDT (5:30 p.m. EDT) on October 18, 2004, following the earnings release. President and Chief Executive Officer, Dr. Henry C. Pao and Executive Vice President, Richard E. Siegel will present an overview of the second fiscal quarter financial results, discuss current business conditions and then respond to questions.
 
The call is available live to listen or ask questions to any interested party by dialing 800-540-0559 (domestic) or 785-832-1508 (toll, international) before the scheduled start time, and asking to be connected to the Supertex Second Quarter Investor Call. A recorded replay will be available until 11:59 p.m., November 2, 2004 by dialing 800-283-7928 (domestic) or 402-220-0866 (toll, international).
 
About Supertex
 
Supertex, Inc. is a publicly held mixed signal semiconductor manufacturer, focused in high voltage interface products for use in the telecommunications, networking systems, flat panel displays, medical and industrial electronics industries. Supertex product, corporate and financial information is readily available at www.supertex.com.
 
For further information, contact Henry Pao at Supertex, Inc., 1235 Bordeaux Drive, Sunnyvale, California 94089, 408-222-8888 or visit our Website at http://www.supertex.com.
 


 
SUPERTEX, INC.
 
CONSOLIDATED INCOME STATEMENT INFORMATION
(unaudited)

   
 
Three-months Ended
 
 
Six-months Ended
 
   
 
(in thousands, except per share amounts)
 
   
October 2, 2004

 

September 27, 2003

 

October 2, 2004

 

September 27,2003
 
 
Net sales
 
$
15,548
 
$
12,315
 
$
29,790
 
$
24,794
 
Cost of sales
   
7,431
   
7,523
   
14,500
   
14,812
 
  Gross profit
   
8,117
   
4,792
   
15,290
   
9,982
 
Research and development
   
2,686
   
2,276
   
5,156
   
4,506
 
Selling, general and administrative
   
2,949
   
2,203
   
5,351
   
4,593
 
  Income from operations
   
2,482
   
313
   
4,783
   
883
 
Interest and other income, net
   
377
   
334
   
772
   
888
 
  Income before income taxes
   
2,859
   
647
   
5,555
   
1,771
 
Provision for income taxes
   
943
   
200
   
1,779
   
548
 
  Net income
 
$
1,916
 
$
447
 
$
3,776
 
$
1,223
 
Net income per share
                         
  Basic
 
$
0.15
 
$
0.04
 
$
0.29
 
$
0.10
 
  Diluted
 
$
0.15
 
$
0.03
 
$
0.29
 
$
0.09
 
Shares used in per share computation
                         
  Basic
   
12,943
   
12,723
   
12,924
   
12,705
 
  Diluted
   
13,144
   
13,047
   
13,097
   
12,977
 



 

SUPERTEX, INC.
 
CONSOLIDATED BALANCE SHEET INFORMATION
 
(unaudited)
 
   
October 2, 2004
 
April 3, 2004
 
 
 
(in thousands) 
ASSETS
             
Cash and cash equivalents
 
$
77,805
 
$
71,117
 
Short term investments
   
5,317
   
5,007
 
Accounts receivable, net
   
9,812
   
7,667
 
Inventories, net
   
11,167
   
12,606
 
Deferred income taxes
   
4,989
   
4,989
 
Other current assets
   
674
   
642
 
  Total current assets
   
109,764
   
102,028
 
Property, plant and equipment
   
8,770
   
9,731
 
Other assets
   
96
   
94
 
Deferred income taxes
   
944
   
944
 
TOTAL ASSETS
 
$
119,574
 
$
112,797
 
               
LIABILITIES
             
Trade accounts payable
 
$
3,101
 
$
2,354
 
Accrued salaries, wages and employee benefits
   
8,070
   
7,449
 
Other accrued liabilities
   
389
   
481
 
Deferred revenue
   
3,250
   
3,254
 
Income taxes payable
   
2,175
   
1,485
 
  Total current liabilities
   
16,985
   
15,023
 
               
SHAREHOLDERS' EQUITY
             
Common stock
   
33,404
   
32,134
 
Retained earnings
   
69,185
   
65,640
 
  Total shareholders' equity
   
102,589
   
97,774
 
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY
 
$
119,574
 
$
112,797