EX-99.1 2 b86317exv99w1.htm EX-99.1 exv99w1
Exhibit 99.1
(BROOKS AUTOMATION LOGO)
Press Release
For Immediate Release
Brooks Automation Reports Second Quarter Financial Results
Chelmsford, Massachusetts May 5, 2011 — Brooks Automation, Inc. (Nasdaq: BRKS) announced financial results for the Company’s second quarter of fiscal year 2011 ended on March 31, 2011.
Revenues for the second quarter of fiscal 2011 were $192.7 million, compared to revenues of $148.4 million in the second quarter of fiscal 2010, an increase of 29.9%. Sequentially, revenues increased 8.0% from first quarter fiscal 2011 revenues of $178.4 million. Order bookings for the second quarter of fiscal 2011 were $193.7 million, a 4.7% increase over order bookings in the fiscal first quarter of $184.9 million.
Net income attributable to Brooks Automation, Inc. (“Brooks”) for the second quarter of fiscal 2011 amounted to $26.6 million, or $0.41 per diluted share.
Excluding special charges or non-recurring income, the adjusted net income of $26.8 million or $0.41 per diluted share compares on a sequential basis with $23.7 million or $0.37 per diluted share and improves from income of $10.1 million or $0.16 per diluted share in the second quarter of fiscal 2010. Special charges and non-recurring income and their impact on comparative results are identified in the unaudited table included with this release. Including special charges and non-recurring income, the Net income attributable to Brooks in the first quarter of fiscal 2011 and the second quarter of fiscal 2011 was $23.5 million or $0.36 per diluted share and $21.0 million or $0.33 per diluted share, respectively.
Revenues for the six months ended March 31, 2011 were $371.0 million, a 45.8% increase over revenues of $254.6 million for the six months ended March 31, 2010. Net income attributable to Brooks for the six months ended March 31, 2011 were $50.1 million or $0.77 per diluted share as compared to $18.2 million or $0.28 per diluted share for the six months ended March 31, 2010. Excluding the impact of special charges and non-recurring income, net income increased to $50.5 million or $0.78 per diluted share for the six months ended March 31, 2011 as compared to $9.0 million or $0.14 per diluted share for the six months ended March 31, 2010.
         
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Brooks Automation, Inc. t 15 Elizabeth Drivet Chelmsford, Massachusetts 01824t (978)262-2400t www.brooks.com

 

 

Brooks Automation Reports Second Quarter Financial Results.............page two
Adjusted Earnings before Interest, Tax, Depreciation and Amortization for the second quarter of fiscal 2011 rose to $34.1 million, which compared to $29.9 million in the first quarter of fiscal 2011 and $17.3 million in the second quarter of fiscal 2010. A reconciliation of non-GAAP measures to the most nearly comparable GAAP measure follows the consolidated statements of operations, balance sheets and statements of cash flows included in this release.
Net cash provided by operating activities for the second quarter of fiscal 2011 was $21.2 million, which net of capital expenditures of $1.5 million and other non-operating cash inflow of $0.9 million resulted in an increase of total cash and marketable securities to $178.5 million at March 31, 2011. For the first six months of the fiscal year cash from operating activities has been $38.9 million and the increase in total cash and marketable securities has been $36.1 million.
Martin S. Headley, Executive Vice-President and Chief Financial Officer observed, “Continued gross margin expansion in our Critical Solutions Group and Global Customer Operations drove our growth in Operating Income and Operating Margins. The tragic circumstances in Japan had a modest negative effect on the quarter’s financial results and have created certain supply chain situations that we are monitoring closely for potential impact on the second half of the fiscal year.”
Mr. Headley added “We are actively working through the various closing conditions required to complete our previously announced transaction to sell our contract manufacturing operations to Celestica LLC. We continue to believe that this transaction will close during the June 2011 fiscal quarter.”
Commenting on recent activities, Stephen S. Schwartz, Chief Executive Officer and President of Brooks stated, “The breadth of our technology engagement in terms of both customer and end market application provides for continuing growth even in a period of leveling demands from some of our larger customers in core wafer front end markets. We also expect to continue expanding gross margins at the same time as we ramp up our investments in innovation.”
Brooks management will web cast its second quarter earnings conference at 4:30 p.m. Eastern Time to discuss the attached quarterly results and business highlights. During the call, Company management will respond to questions concerning, but not limited to, the Company’s financial performance, business conditions and industry outlook. Their responses could contain information that has not been previously disclosed.
Analysts, investors and members of the media can access the live broadcast available on Brooks’ website at www.brooks.com. The call will be archived on this website for convenient on-demand replay.
# # #
Brooks Automation, Inc. t 15 Elizabeth Drive t Chelmsford, Massachusetts 01824 t (978)262-2400 t www.brooks.com

 

 

Brooks Automation Reports Second Quarter Financial Results.........page three
About Brooks Automation, Inc.
Brooks is a leading worldwide provider of automation, vacuum and instrumentation solutions to the global semiconductor and related industries. Our products and services are meeting the needs of customers across a broad spectrum of applications and industries and the global semiconductor manufacturing sector is our largest served market. When demanding productivity and availability objectives are essential factors for success, customers throughout the world turn to Brooks Automation, Inc. For more information go to www.brooks.com or email sales@brooks.com.
“Safe Harbor Statement” under Section 21E of the Securities Exchange Act of 1934
Some statements in this release are forward-looking statements made under Section 21E of the Securities Exchange Act of 1934. These statements are neither promises nor guarantees but involve risks and uncertainties, both known and unknown, that could cause Brooks’ financial and business results to differ materially from our expectations. They are based on the facts known to management at the time they are made. These forward-looking statements include statements regarding our revenue and operating margin expectations, our ability to develop further our business in new and adjacent markets, and our ability to achieve financial success in the future. Factors that could cause results to differ from our expectations include the following: volatility of the industries the Company serves, particularly the semiconductor industry; our possible inability to meet demand for our products due to difficulties in obtaining components and materials from our suppliers - particularly those manufacturing in Japan — in required quantities and of required quality; the inability of customers to make payments to us when due; the timing and effectiveness of cost reduction and cost control measures; price competition; disputes concerning intellectual property; continuing uncertainties in global political and economic conditions, and other factors and other risks that we have described in our filings with the Securities and Exchange Commission, including but not limited to our Annual Report on Form 10-K, current reports on Form 8-K and our quarterly reports on Form 10-Q. As a result we can provide no assurance that our future results will not be materially different from those projected. Brooks expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any such statement to reflect any change in our expectations or any change in events, conditions or circumstances on which any such statement is based. Brooks undertakes no obligation to update the information contained in this press release.
Contact:
Barbara Culhane
Corporate Marketing Manager
Brooks Automation, Inc.
978-262-2400
www.brooks.com
Brooks Automation, Inc. t 15 Elizabeth Drive t Chelmsford, Massachusetts 01824 t (978)262-2400 t www.brooks.com

 

 

BROOKS AUTOMATION, INC.
CONSOLIDATED BALANCE SHEETS
(unaudited)
(In thousands, except share and per share data)
                 
    March 31,     September 30,  
    2011     2010  
Assets
                
Current assets
                
Cash and cash equivalents
   $ 59,328     $ 59,823  
Restricted cash
     3,788       —  
Marketable securities
     59,540       49,011  
Accounts receivable, net
     99,646       92,273  
Inventories, net
     126,615       115,787  
Prepaid expenses and other current assets
     6,372       10,437  
 
            
Total current assets
     355,289       327,331  
Property, plant and equipment, net
     60,499       63,669  
Long-term marketable securities
     55,832       33,593  
Goodwill
     48,138       48,138  
Intangible assets, net
     9,265       11,123  
Equity investment in joint ventures
     33,535       31,746  
Other assets
     2,725       2,624  
 
            
Total assets
   $ 565,283     $ 518,224  
 
            
Liabilities and equity
                
Current liabilities
                
Accounts payable
   $ 61,042     $ 65,734  
Deferred revenue
     4,515       4,365  
Accrued warranty and retrofit costs
     7,667       8,195  
Accrued compensation and benefits
     12,919       13,677  
Accrued restructuring costs
     1,553       3,509  
Accrued income taxes payable
     1,294       1,040  
Accrued expenses and other current liabilities
     10,051       11,635  
 
            
Total current liabilities
     99,041       108,155  
Income taxes payable
     12,974       12,446  
Long-term pension liability
     5,754       5,466  
Other long-term liabilities
     3,071       2,805  
 
            
Total liabilities
     120,840       128,872  
 
            
Contingencies
                
Equity
                
Preferred stock, $0.01 par value, 1,000,000 shares authorized, no shares issued and outstanding
     —       —  
Common stock, $0.01 par value, 125,000,000 shares authorized, 79,612,163 shares issued and 66,150,294 shares outstanding at March 31, 2011, 78,869,331 shares issued and 65,407,462 shares outstanding at September 30, 2010
     796       789  
Additional paid-in capital
     1,805,799       1,803,121  
Accumulated other comprehensive income
     21,827       19,510  
Treasury stock at cost, 13,461,869 shares at March 31, 2011 and September 30, 2010
     (200,956 )     (200,956 )
Accumulated deficit
     (1,183,578 )     (1,233,649 )
 
            
Total Brooks Automation, Inc. stockholders’ equity
     443,888       388,815  
Noncontrolling interest in subsidiaries
     555       537  
 
            
Total equity
     444,443       389,352  
 
            
Total liabilities and equity
   $ 565,283     $ 518,224  
 
            
Brooks Automation, Inc. w 15 Elizabeth Drive w Chelmsford, Massachusetts 01824 w (978)262-2400 w www.brooks.com

 

 

BROOKS AUTOMATION, INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
(unaudited)
(In thousands, except per share data)
                                 
    Three months ended     Six months ended  
    March 31,     March 31,  
    2011     2010     2011     2010  
Revenues
                                
Product
   $ 175,211     $ 133,389     $ 336,635     $ 224,910  
Services
     17,440       14,964       34,383       29,640  
 
                        
Total revenues
     192,651       148,353       371,018       254,550  
 
                        
Cost of revenues
                                
Product
     118,863       97,271       228,066       164,516  
Services
     12,114       12,132       23,959       24,838  
 
                        
Total cost of revenues
     130,977       109,403       252,025       189,354  
 
                        
Gross profit
     61,674       38,950       118,993       65,196  
 
                        
Operating expenses
                                
Research and development
     9,442       7,677       18,340       15,218  
Selling, general and administrative
     25,245       20,842       49,723       39,821  
Restructuring charges
     246       484       460       2,006  
 
                        
Total operating expenses
     34,933       29,003       68,523       57,045  
 
                        
Operating income
     26,741       9,947       50,470       8,151  
Interest income
     261       265       536       593  
Interest expense
     28       11       29       27  
Sale of intellectual property rights
     —       7,840       —       7,840  
Loss on investment
     —       —       —       191  
Other (income) expense, net
     (256 )     91       (417 )     288  
 
                        
Income before income taxes and equity in earnings (losses) of joint ventures
     27,230       17,950       51,394       16,078  
Income tax provision (benefit)
     1,035       (2,819 )     2,023       (2,184 )
 
                        
Income before equity in earnings (losses) of joint ventures
     26,195       20,769       49,371       18,262  
Equity in earnings (losses) of joint ventures
     408       179       718       (191 )
 
                        
Net income
   $ 26,603     $ 20,948     $ 50,089     $ 18,071  
Add: Net loss (income) attributable to noncontrolling interests
     (18 )     81       (18 )     163  
 
                        
Net income attributable to Brooks Automation, Inc.
   $ 26,585     $ 21,029     $ 50,071     $ 18,234  
 
                        
Basic net income per share attributable to Brooks Automation, Inc. common stockholders
   $ 0.41     $ 0.33     $ 0.78     $ 0.29  
 
                        
Diluted net income per share attributable to Brooks Automation, Inc. common stockholders
   $ 0.41     $ 0.33     $ 0.77     $ 0.28  
 
                        
Shares used in computing earnings per share
                                
Basic
     64,516       63,679       64,388       63,535  
Diluted
     65,061       64,196       64,801       64,042  
Brooks Automation, Inc. w 15 Elizabeth Drive w Chelmsford, Massachusetts 01824 w (978)262-2400 w www.brooks.com

 

 

BROOKS AUTOMATION, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(unaudited)
(In thousands)
                 
    Six months ended  
    March 31,  
    2011     2010  
Cash flows from operating activities
                
Net income
   $ 50,089     $ 18,071  
Adjustments to reconcile net income to net cash provided by operating activities:
                
Depreciation and amortization
     8,312       9,460  
Sale of intellectual property rights
     —       (7,840 )
Stock-based compensation
     3,616       3,561  
Amortization of premium on marketable securities
     921       368  
Undistributed (earnings) losses of joint ventures
     (718 )     191  
(Gain) loss on disposal of long-lived assets
     14       (4 )
Loss on investment
     —       191  
Changes in operating assets and liabilities, net of acquisitions and disposals:
                
Accounts receivable
     (6,199 )     (29,258 )
Inventories
     (9,744 )     (19,653 )
Prepaid expenses and other current assets
     2,853       (4,132 )
Accounts payable
     (4,807 )     40,424  
Deferred revenue
     92       1,062  
Accrued warranty and retrofit costs
     (538 )     1,414  
Accrued compensation and benefits
     (2,443 )     (2,972 )
Accrued restructuring costs
     (1,956 )     (1,857 )
Accrued expenses and other
     (574 )     235  
 
            
Net cash provided by operating activities
     38,918       9,261  
 
            
Cash flows from investing activities
                
Purchases of property, plant and equipment
     (3,175 )     (1,163 )
Purchases of marketable securities
     (71,225 )     (70,872 )
Sale/maturity of marketable securities
     37,551       43,757  
Increase in restricted cash
     (3,788 )     —  
Proceeds from the sale of intellectual property rights
     —       7,840  
Purchase of intangible assets
     —       (892 )
Other
     —       243  
 
            
Net cash used in investing activities
     (40,637 )     (21,087 )
 
            
Cash flows from financing activities
                
Proceeds from issuance of common stock, net of issuance costs
     681       590  
 
            
Net cash provided by financing activities
     681       590  
 
            
Effects of exchange rate changes on cash and cash equivalents
     543       (128 )
 
            
Net decrease in cash and cash equivalents
     (495 )     (11,364 )
Cash and cash equivalents, beginning of period
     59,823       59,985  
 
            
Cash and cash equivalents, end of period
   $ 59,328     $ 48,621  
 
            
Brooks Automation, Inc. t 15 Elizabeth Drive t Chelmsford, Massachusetts 01824 t (978)262-2400 t www.brooks.com

 

 

BROOKS AUTOMATION, INC.
Supplemental Information
(In thousands, except per share data)
(unaudited)
Notes on Non-GAAP Financial Measures:
The information in this press release is for: internal managerial purposes; when publicly providing guidance on future results; and as a means to evaluate period-to-period comparisons. These financial measures are used in addition to and in conjunction with results presented in accordance with GAAP and should not be relied upon to the exclusion of GAAP financial measures. Management believes these financial measures provide an additional way of viewing aspects of our operations, that, when viewed with our GAAP results and the accompanying reconciliations to the corresponding GAAP financial measures, provide a more complete understanding of our business. Management strongly encourages investors to review our financial statements and publicly-filed reports in their entirety and not rely on any single measure.
The press release includes financial measures which exclude the effects of non-recurring income and special charges such as restructuring charges and gains or losses on investments. Management believes these measures are useful to investors because it eliminates accounting charges that do not reflect Brooks’ day-to-day operations. A table reconciling income and diluted earnings per share from operations is presented below:
Brooks Automation, Inc. t 15 Elizabeth Drive t Chelmsford, Massachusetts 01824 t (978)262-2400 t www.brooks.com

 

 

                                                 
    Quarter ended  
    March 31, 2011     December 31, 2010     March 31, 2010  
    $ per     share     $ per     share     $ per     share  
Net income attributable to Brooks Automation, Inc.
   $ 26,585     $ 0.41     $ 23,486     $ 0.36     $ 21,029     $ 0.33  
 
Restructuring charges
     246       0.00       214       0.00       484       0.01  
One-time income tax benefit
     —       —       —       —       (3,899 )     (0.06 )
Sale of intellectual property rights, net of tax
     —       —       —       —       (7,519 )   $ (0.12 )
 
                                    
Adjusted net income attributable to Brooks Automation, Inc.
     26,831       0.41       23,700       0.37       10,095       0.16  
 
                                                
Stock-based compensation
     2,407       0.04       1,209       0.02       2,044       0.03  
 
                                    
Adjusted net income attributable to Brooks Automation, Inc., excluding stock-based compensation
   $ 29,238     $ 0.45     $ 24,909     $ 0.39     $ 12,139     $ 0.19  
 
                                    
                                 
    Six Months Ended  
    March 31, 2011     March 31, 2010  
    $ per     share     $ per     share  
Net income attributable to Brooks Automation, Inc.
   $ 50,071     $ 0.77     $ 18,234     $ 0.28  
 
                                                
Restructuring charges
     460       0.01       2,006       0.03  
Loss on investment
     —       —       191       0.00  
One-time income tax benefit
     —       —       (3,899 )     (0.06 )
Sale of intellectual property rights, net of tax
     —       —       (7,519 )     (0.12 )
 
                        
Adjusted net income attributable to Brooks Automation, Inc.
   $ 50,531       0.78     $ 9,013       0.14  
 
                                
Stock-based compensation
     3,616       0.06       3,561       0.06  
 
                        
Adjusted net income attributable to Brooks Automation, Inc. — excluding stock-based compensation
   $ 54,147     $ 0.84     $ 12,574     $ 0.20  
 
                        
                                         
    Quarter ended     Six months ended  
    Mar 31,     Dec 31,     Mar 31,     Mar 31,     Mar 31,  
    2011     2010     2010     2011     2010  
Net income attributable to Brooks Automation, Inc.
   $ 26,585     $ 23,486     $ 21,029       50,071       18,234  
 
Less: Interest income
     (261 )     (275 )     (265 )     (536 )     (593 )
Add: Interest expense
     28       1       11       29       27  
Add: Income tax provision (benefit)
     1,035       988       (2,819 )     2,023       (2,184 )
Add: Depreciation
     3,109       3,345       3,701       6,454       7,547  
Add: Amortization of completed technology
     480       479       472       959       929  
Add: Amortization of acquired intangible assets
     449       450       493       899       984  
Add: Stock-based compensation
     2,407       1,209       2,044       3,616       3,561  
Add: Restructuring charges
     246       214       484       460       2,006  
Add: Loss on investment
     —       —       —       —       191  
Sale of intellectual property rights, pre-tax
     —       —       (7,840 )     —       (7,840 )
 
                              
 
Adjusted EBITDA
   $ 34,078     $ 29,897     $ 17,310     $ 63,975     $ 22,862  
Brooks Automation, Inc. t 15 Elizabeth Drive t Chelmsford, Massachusetts 01824 t (978)262-2400 t www.brooks.com