-----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, Gu/HGt0F4gFdKdHSCVMvYhrot1dlvzszoPZufXeZnmKO7uWhLRAGLwVb+jP1j8Z7 AktugReVuQlyCfFC+/Xy5w== 0000730000-96-000001.txt : 20030213 0000730000-96-000001.hdr.sgml : 20030213 19960214175706 ACCESSION NUMBER: 0000730000-96-000001 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 19951231 FILED AS OF DATE: 19960215 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: 96520468 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 December 31, 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 January 11, 1996, 11,885,571 shares of the Registrant's common stock were issued and outstanding. Total number of pages: 9 PART I - FINANCIAL INFORMATION Item 1 - Financial Statements SUPERTEX, INC. CONSOLIDATED STATEMENTS OF INCOME (unaudited) (in thousands, except per share amounts)
Three Months Ended Nine Months Ended Dec. 31, Dec. 31, Dec. 31, Dec. 31, 1995 1994 1995 1994 Net sales $ 11,118 $ 8,180 $ 30,634 $ 23,064 Costs and expenses: Costs of sales 5,718 4,167 15,821 11,607 Research and development 1,456 1,143 4,059 3,234 Selling, general and administrative 1,471 1,327 4,165 3,840 Total costs and expenses 8,645 6,637 24,045 18,681 Income from operations 2,473 1,543 6,589 4,383 Other income: Interest income 293 227 855 563 Other income, net 25 13 109 36 Income before provision for income taxes 2,791 1,783 7,553 4,982 Provision for income taxes 865 481 2,342 1,345 Net income $ 1,926 $ 1,302 $ 5,211 $ 3,637 Net income per share $ 0.16 $ 0.11 $ 0.42 $ 0.31 Shares used in per share computation 12,274 12,084 12,275 11,921 See accompanying notes.
SUPERTEX, INC. CONSOLIDATED BALANCE SHEETS (in thousands, except share data)
Dec. 31, 1995 Mar. 31, 1995 (unaudited) ASSETS Current assets: Cash and cash equivalents $ 2,171 $ 4,437 Short term investments 18,282 15,019 Trade accounts receivable, net of allowances of $674 and $487 6,756 5,800 Other accounts receivable 149 352 Inventories 7,112 6,637 Deferred income taxes 1,455 1,455 Prepaid expenses 246 169 Total current assets 36,171 33,869 Property and equipment, net 6,291 3,441 TOTAL ASSETS $ 42,462 $ 37,310
LIABILITIES Current liabilities: Trade accounts payable $ 2,585 $ 2,762 Accrued salaries, wages and employee benefits 1,668 1,409 Income taxes payable 979 1,014 Other accrued liabilities 486 467 Deferred income on shipments to distributors 723 494 Total current liabilities 6,441 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 11,884,071 and 11,893,411 18,235 18,173 Retained earnings 17,786 12,991 Total shareholders' equity 36,021 31,164 TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY $ 42,462 $ 37,310 See accompanying notes.
SUPERTEX, INC. CONSOLIDATED STATEMENTS OF CASH FLOWS (unaudited) (in thousands)
Nine Months Ended Dec. 31, 1995 Dec. 31, 1994 CASH FLOWS FROM OPERATING ACTIVITIES Net income $ 5,211 $ 3,637 Non-cash adjustments to net income: Depreciation and amortization 1,090 785 Provision for doubtful accounts and sales returns 673 630 Provision for excess and obsolete inventories 245 (320) Loss on disposal of assets 8 6 Changes in operating assets and liabilities: Trade and other accounts receivable (1,426) (1,762) Inventories (720) (255) Prepaid expenses (77) (6) Trade accounts payable and accrued expenses 101 39 Income taxes payable (35) 9 Deferred income on shipments to distributors 229 (9) Total adjustments 88 (883) Net cash provided by operating activities 5,299 2,754 CASH FLOWS FROM INVESTING ACTIVITIES Purchases of property and equipment (3,948) (1,288) Purchases of short term investments (39,343) (24,000) Proceeds from maturities of short term investments 36,080 14,000 Net cash used in investing activities (7,211) (11,288) CASH FLOWS FROM FINANCING ACTIVITIES Stock options exercised 147 205 Stock repurchased (501) -- Net cash provided by (used in) financing activities (354) 205 NET DECREASE IN CASH AND CASH EQUIVALENTS (2,266) (8,329) CASH AND CASH EQUIVALENTS Beginning of period 4,437 17,416 End of period $ 2,171 $ 9,087 See accompanying notes.
SUPERTEX, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS Note 1 In the opinion of management, the unaudited financial statements for the three and nine months ended December 31, 1994 and 1995 include all adjustments (consisting of normal recurring adjustments) necessary for a fair presentation of financial condition and results of operations for those periods in accordance with generally accepted accounting principles. 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 March 31, 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): Dec. 31, 1995 Mar. 31, 1995 (unaudited) Finished goods $ 1,447 $ 901 Work-in-process 4,205 4,699 Raw materials 1,460 1,037 $ 7,112 $ 6,637 In October 1995, the Financial Accounting Standards Board issued Statement of Financial Accounting Standards No. 123 (SFAS 123), "Accounting for Stock-Based Compensation," which establishes a fair-value based method of accounting for stock-based compensation. The Company currently follows the requirements of Accounting Principles Board Opinion No. 25, "Accounting for Stock Issued to Employees." The Company plans to adopt the disclosure provisions of SFAS 123 in fiscal 1997. PART I - FINANCIAL INFORMATION Item 2 - Management's Discussion and Analysis of Financial Condition and Results of Operations CERTAIN FACTORS This report contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Actual results could differ materially from those projected in the forward-looking statements as a result of the risk factors set forth below and elsewhere in this report. The industry in which the Company competes is characterized by extreme rapid changes in technology and frequent new product introductions. The Company believes that its long-term growth depend largely on its ability to continue to enhance existing products and to introduce new products and features that meet the continually changing requirements of customers. 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. RESULTS OF OPERATIONS: NET SALES Net sales for the third quarter ended December 31, 1995 increased 36% to $11,118,000 from $8,180,000 for the same quarter of last fiscal year. Net sales for the nine months ended December 31, 1995 increased 33% to $30,634,000 from $23,064,000 for the same period of the last fiscal year. All of the Company's targeted markets showed continued strength and have helped the Company achieve record financial results. Approximately 43% of the Company's sales were to international customers during the nine months ended December 31, 1995. GROSS MARGIN Gross margin for the third quarter of fiscal 1996 was 49% of net sales, the same as the preceding year. Gross margin for the nine months ended December 31, 1995 was 48%, a decrease from 50% for the same period of last fiscal year. Gross margin is expected to be relatively stable from period to period, with small variations from one period to another as slight product mix changes occur. RESEARCH AND DEVELOPMENT As a percentage of net sales, research and development expenses were 13% for the three and nine months ended December 31, 1995, compared with 14% for the same three and nine month periods of last fiscal year. Dollar expenditures in this category increase moderately from 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. SELLING, GENERAL AND ADMINISTRATIVE Selling, general and administrative (SG&A) expenses for the third quarter ended December 31, 1995 were 13% of net sales, a decrease from 16% for the same period of last fiscal year. SG&A expenses for the nine months ended December 31, 1995 were 14% of net sales, compared with 17% for the same period of last fiscal year. The Company continued to benefit from economies of scale as dollar expenditures in this category increased by a smaller percentage than the percentage increase in net sales. INTEREST AND OTHER INCOME Interest and other income for the third quarter of fiscal 1996 was $318,000, an increase of 33% from $240,000 for the same period of last fiscal year. Interest and other income for the nine months ended December 31, 1995 increased 61% to $964,000 from $599,000 for the same period of last fiscal year. Increased funds available for investments and higher interest rates for short-term investments accounted for this growth. PROVISION FOR INCOME TAXES The Company's effective tax rate for the three and nine months ended December 31, 1995 was 31%, an increase from 27% for the same periods of last fiscal year. The Company expects that the effective tax rate will increase in fiscal 1997. LIQUIDITY AND CAPITAL RESOURCES At December 31, 1995, the Company had a total of $20,453,000 in cash, cash equivalents and short term investments compared to $19,456,000 at March 31, 1995. Cash provided by operating activities for the nine months ended December 31, 1995 was $5,299,000. The increase was primarily due to net income of $5,211,000 for the nine months ended December 31, 1995 offset by increases in accounts receivable and inventory. Cash used in investing activities during the nine months ended December 31, 1995 was $7,211,000 new corporate headquarters. Management believes its current cash, cash equivalents and short-term investments will be adequate to meet anticipated operating needs for the next 12 months. Capital expenditures for the next twelve months are expected to be higher than those for the prior twelve-month period because capacity expansion is being planned. RECENT ACCOUNTING PRONOUNCEMENTS In October 1995, the Financial Accounting Standards Board issued Statement of Financial Accounting Standards No. 123 (SFAS 123), "Accounting for Stock-Based Compensation," which establishes a fair-value based method of accounting for stock-based compensation. The Company currently follows the requirements of Accounting Principles Board Opinion No. 25, "Accounting for Stock Issued to Employees." The Company plans to adopt the disclosure provisions of SFAS 123 in fiscal 1997. PART II - OTHER INFORMATION Item 6 - Exhibits and Reports on Form 8-K (a) Exhibits 11.1 Statement Regarding Computation of Net Income per Share (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: January 29, 1996 By: /s/ Henry C. Pao Dr. Henry C. Pao, President (Principal Executive and Financial Officer) Item 6 (a) Exhibit 11.1 Statement Regarding Computation of Net Income per Share (unaudited) (in thousands, except per share amounts)
Three Months Ended Nine Months Ended Dec. 31, Dec 31, Dec. 31, Dec 31, 1995 1994 1995 1994 PRIMARY Weighted average shares outstanding 11,891 11,771 11,897 11,741 Weighted average common stock equivalents 383 313 378 180 Shares used in per share computation 12,274 12,084 12,275 11,921 Net income $ 1,926 $ 1,302 $ 5,211 $ 3,637 Net income per share $ 0.16 $ 0.11 $ 0.42 $ 0.31 FULLY DILUTED Weighted average shares outstanding 11,891 11,771 11,897 11,741 Weighted average common stock equivalents 399 427 397 244 Shares used in per share computation 12,290 12,198 12,294 11,985 Net income $ 1,926 $ 1,302 $ 5,211 $ 3,637 Net income per share $ 0.16 $ 0.11 $ 0.42 $ 0.30 Net income per share is presented under the primary basis as the effect of dilution under the fully diluted basis is not material.
EX-27 2 ARTICLE 5 FINANCIAL DATA SCHEDULE FOR 3RD QTR. 10-Q
5 1,000 9-MOS MAR-30-1996 APR-02-1995 DEC-31-1995 2,171 0 7,430 674 7,112 36,171 17,522 11,231 42,462 6,441 0 18,235 0 0 0 42,462 30,634 30,634 15,821 15,821 4,059 38 0 7,553 2,342 5,211 0 0 0 5,211 .42 .42 Research and Development Expenses
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