-----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, IVBBHkvZQDFmZTHNCKPIdR5FVwM6AKKBG1Yf1PD01S4edb079Lulm1yv68mibaX6 svCHVJMCm0MWCvrbIvx3Xw== 0000940332-04-000021.txt : 20041025 0000940332-04-000021.hdr.sgml : 20041025 20041025083159 ACCESSION NUMBER: 0000940332-04-000021 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 1 CONFORMED PERIOD OF REPORT: 20041025 ITEM INFORMATION: Results of Operations and Financial Condition FILED AS OF DATE: 20041025 DATE AS OF CHANGE: 20041025 FILER: COMPANY DATA: COMPANY CONFORMED NAME: ANADIGICS INC CENTRAL INDEX KEY: 0000940332 STANDARD INDUSTRIAL CLASSIFICATION: SEMICONDUCTORS & RELATED DEVICES [3674] IRS NUMBER: 222582106 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 000-25662 FILM NUMBER: 041092950 BUSINESS ADDRESS: STREET 1: 141 MT. BETHEL ROAD CITY: WARREN STATE: NJ ZIP: 07059 BUSINESS PHONE: 9086685000 MAIL ADDRESS: STREET 1: 141 MT. BETHEL ROAD CITY: WARREN STATE: NJ ZIP: 07059 8-K 1 q304a.htm ANAD3QEARNINGS anad3qearnings
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, DC  20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 OR 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported) October 25, 2004

ANADIGICS, Inc.
(Exact name of registrant as specified in its chapter)

Delaware
(State or other jurisdiction
of incorporation)		 0-25662(Commission
File Number)		 22-2582106(IRS Employer
Identification No.)
141 Mt. Bethel Road
(Address of principal executive offices)		 07059
(Zip Code)

Registrant's telephone number, including area code  - 908-668-5000
 
Item 2.02 Results of Operations and Financial Condition
 
    On October 25, 2004, ANADIGICS Inc. ("ANADIGICS") is issuing a press release and holding a conference call announcing its financial results for the quarter ending October 2, 2004.   A copy of the release is furnished as Exhibit 99.1 to this Form 8-K.   The information in this Form 8-K and the Exhibit attached hereto is furnished and shall not be deemed "filed" for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended.
 
Item 9.01. Financial Statements and Exhibits
 
(c) Exhibits
 
99.1 Press release issued by ANADIGICS, Inc. dated October  25, 2004.
 
 
 
SIGNATURES
 
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.
 
     
  ANADIGICS, Inc.
 
 		  
 		  
 
Date: October  25,  2004                         By:   /s/ Thomas Shields                
 
  Title Sr. Vice President & CFO
EXHIBIT INDEX
EXHIBIT NO.
 
DESCRIPTION
 
Press Release dated October 25, 2004, announcing ANADIGICS, Inc.’s financial results for the three and nine months ended October 2, 2004

 
ANADIGICS Reports Results for Third Quarter 2004
 
 
  Revenues of $25.1 million; up 10.4% sequentially and 41.1% growth over prior-year quarter
 
 
  EPS Loss reduced to $0.25 from $0.36 last quarter and $0.41 over prior-year quarter
 
 
  Gross Profit increases to 20.9% of revenues; up 560 basis points sequentially
 
 
WARREN, NJ - October 25, 2004 - ANADIGICS, Inc. (Nasdaq: ANAD), a leading supplier of wireless and broadband communications solutions, today reported net sales of $25.1 million and a loss per share of $0.25 for the third quarter ended October 2, 2004.
 
 
Revenue grew sequentially by $2.4 million or 10.4% and increased over the prior-year quarter by $7.3 million or 41.1%. EPS loss was lowered sequentially by $0.11 and reduced over the prior-year quarter by $0.16.
 
 
The Company’s enhanced operating performance in the third quarter resulted from the combination of stronger revenues, increased fab utilization, lower production cost, and reduced operating expenses. The gross profit improved to $5.2 million or 20.9% of revenues. Operating expenses were lowered to $13.4 million.
 
 
Third quarter revenue breakdown:
 
 
·   Wireless revenues in the quarter were $12.0 million, reflecting a sequential increase of 14.1% over the prior quarter and 26.5% over the prior-year quarter.
 
 
·   Broadband revenues in the quarter were $13.1 million, reflecting a sequential increase of 7.2% over the prior quarter and 57.9% over the prior-year quarter.
 
 
"We are pleased with our third quarter results, which were better than our previous financial guidance," said Dr. Bami Bastani, President & CEO of ANADIGICS, Inc. "Our success in this past quarter is a result of market share gains, gross margin improvements, and further streamlining of operating expenses. ANADIGICS’ strategy of providing customers with best-of-breed products and partnering with industry leading chipset suppliers and reference design powerhouses is supporting our long-term revenue and market share growth."
 
The Company maintains a strong balance sheet with total cash and marketable securities of $107.9 million as of October 2, 2004.
 
"Our commitment to achieving targeted operating expense reductions resulting in total annualized savings of $8 million across cost of goods sold, R&D, and SG&A by the end of the fourth quarter of 2004 is being met," remarked Tom Shields, Senior Vice President and Chief Financial Officer of ANADIGICS, Inc. "Over the past few quarters, we have delivered in excess of 70% of the incremental revenue to gross profit and we continue to reduce operating expenses providing for greater leverage in our financial operating model."
 
BUSINESS OUTLOOK
 
We expect a sequential increase in Wireless product revenue for our CDMA and GSM power amplifier modules offset by slightly lower revenue derived from our products used in infrastructure and set-top box applications. Industry conditions, coupled with the existing order pattern for the fourth quarter 2004, indicate expected overall revenue to be flat to down 5% from third-quarter levels. EPS loss is expected to be flat or improve by $0.01 on improved gross profit and lower operating expenses.
 
HIGHLIGHTS OF THE QUARTER
 
October 13, 2004 - ANADIGICS Introduces New Family of 6 mm by 6 mm GSM/GPRS Power Amplifier Modules
 
October 5, 2004 - ANADIGICS Announces Production Volume Shipments to Eastcom
 
September 27, 2004 - ANADIGICS Appoints Takachiho Koheki to Accelerate Growth in Japan
 
September 23, 2004 - ANADIGICS Supplies Power Amplifiers to Topping
 
September 21, 2004 - ANADIGICS Announces Production Volume Shipments of GSM/GPRS Power Amplifier Modules to Ningbo Bird
 
September 21, 2004 - ANADIGICS ANNOUNCES PRICING OF CONVERTIBLE SENIOR NOTES
 
September 16, 2004 - ANADIGICS Announces Production Volume Shipments to Truetel
 
September 14, 2004 - ANADIGICS Supplies GSM/GPRS PA Modules to Lenovo
 
September 10, 2004 - ANADIGICS Announces Production Volume Shipments of 450 MHz CDMA 1X / 1xEV-DO Power Amplifiers
 
September 7, 2004 - ANADIGICS Announces Production KPCS CDMA PA Shipments to Samsung Electronics
 
September 2, 2004 - ANADIGICS Expands Family of Broadband Products with New Active Splitter
 
August 31, 2004 - ANADIGICS Announces Production Volume Shipments of GSM/GPRS PA Modules to Capitel
 
August 26, 2004 - ANADIGICS Opens Shanghai Office
 
August 24, 2004 - ANADIGICS Expands Wireless and Broadband Sales Presence in the United States and Canada
 
August 23, 2004 - ANADIGICS Ships Production Volumes of GSM/GPRS PA Modules to ASUSTEK
 
CONFERENCE CALL
 
ANADIGICS’ senior management will conduct a conference call today at 8:30 a.m. Eastern time. A live audio Webcast will be available at www.anadigics.com. A recording of the call will be available approximately two hours after the end of the call on the ANADIGICS Web site or by dialing (800) 839-5490 (available until November 1).
 
ANADIGICS, Inc. (Nasdaq: ANAD) designs and manufactures radio frequency integrated circuit (RFIC) solutions for growing broadband and wireless communications markets. The Company's innovative high frequency RFICs enable manufacturers of communications equipment to enhance overall system performance, and reduce manufacturing cost and time to market. By utilizing state-of-the-art manufacturing processes for its RFICs, ANADIGICS achieves the high-volume and cost-effective products required by leading companies in its targeted high-growth communications markets. ANADIGICS was the first GaAs IC manufacturer to receive ISO 9001 certification and is certified to the ISO 9001:2000 quality standard.
 
Except for historical information contained herein, this press release contains projections and other forward-looking statements (as that term is defined in the Securities Exchange Act of 1934, as amended). These projections and forward-looking statements reflect the Company's current views with respect to future events and financial performance and can generally be identified as such because the context of the statement will include words such as "believe", "anticipate", "expect", or words of similar import. Similarly, statements that describe our future plans, objectives, estimates or goals are forward-looking statements. No assurances can be given, however, that these events will occur or that these projections will be achieved and actual results and developments could differ materially from those projected as a result of certain factors. Important factors that could cause actual results and developments to be materially different from those expressed or implied by such projections and forward-looking statements include those factors detailed from time to time in our reports filed with the Securities and Exchange Commission, including the Company's annual report on Form 10-K for the year ended December 31, 2003, and those discussed elsewhere herein.

 ANADIGICS, Inc.

Consolidated Statements of Operations

(Unaudited)

(Amounts in thousands, except per shares amounts)

                 
                           
 
          

Three Months Ended 

  

 Nine Months Ended

          October 2, 2004     
July 3, 2004
    
September 27, 2003
    
October 2, 2004
    
September 27, 2003
  
                                       
                                       
Net sales
       
$
25,053
 
$
22,687
 
$
17,750
 
$
68,935
 
$
51,874
 
Cost of sales
          
19,811
   
19,207
   
17,538
   
58,193
   
50,867
 
Gross profit
          
5,242
   
3,480
   
212
   
10,742
   
1,007
 
Research and development expenses
          
7,884
   
8,866
   
8,029
   
25,652
   
23,466
 
Selling and administrative expenses
          
5,482
   
6,099
   
4,795
   
17,371
   
13,834
 
Restructuring and other charges
          
-
   
-
   
-
   
-
   
625
 
Purchased in-process R&D
          
-
   
-
   
-
   
-
   
1,690
 
Operating loss
          
(8,124
)
  
(11,485
)
  
(12,612
)
  
(32,281
)
  
(38,608
)
Interest income
          
469
   
551
   
741
   
1,679
   
2,629
 
Interest expense
          
(955
)
  
(940
)
  
(940
)
  
(2,835
)
  
(2,821
)
Gain on note repurchase
          
327
   
-
   
-
   
327
   
-
 
Other (expense) income
          
(36
)
  
143
   
183
   
308
   
160
 
Net loss
        
$
(8,319
)
$
(11,731
)
$
(12,628
)
$
(32,802
)
$
(38,640
)
                                       
Loss per share
        
$
(0.25
)
$
(0.36
)
$
(0.41
)
$
(1.02
)
$
(1.26
)
                                       
Weighted average common
                                      
shares outstanding
          
32,770
    
32,405
    
30,674
    
32,252
    
30,674
  
 

ANADIGICS, Inc.
          
Condensed Consolidated Balance Sheets
              
(Amounts in thousands)
              
               
   
October 2, 2004
    
December 31, 2003
  
Assets
    
(unaudited
)
      
               
Current assets:
              
Cash and cash equivalents
  
$
24,326
 
$
18,525
 
Marketable securities
    
45,032
   
54,130
 
Accounts receivable
    
14,529
   
12,074
 
Inventory
    
16,743
   
10,321
 
Prepaid expenses and other current assets
    
3,539
   
3,243
 
Total current assets
    
104,169
   
98,293
 
               
Marketable securities
   
38,506
   
48,975
 
               
Plant and equipment, net
    
45,893
   
55,242
 
               
Goodwill and other intangibles, net of amortization
    
6,345
   
1,788
 
Other assets
    
4,612
   
3,600
 
   
$
199,525
 
$
207,898
 
               
Liabilities and stockholders’ equity
              
               
Current liabilities:
              
Accounts payable
  
$
12,159
 
$
9,497
 
Accrued liabilities
    
4,471
   
5,618
 
Accrued restructuring costs
    
1,002
   
1,994
 
Capital lease obligations
    
34
   
84
 
Total current liabilities
    
17,666
   
17,193
 
               
Other long-term liabilities
    
3,108
   
2,959
 
Long-term debt
    
84,700
   
66,700
 
               
Stockholders’ equity
    
94,051
   
121,046
 
   
$
199,525
 
$
207,898
 
               
The condensed balance sheet at December 31, 2003 has been derived from the audited
              
financial statements at such date but does not include all the information and footnotes
              
required by generally accepted accounting principles for complete financial statements.
              
 
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