ANADIGICS, Inc.
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(Exact name of registrant as specified in its charter)
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Delaware
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22-2582106
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(State or other jurisdiction of incorporation or organization)
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(IRS Employer Identification Number)
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141 Mt. Bethel Road, Warren, NJ
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07059
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(Address of prinicipal executive offices)
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(Zip Code)
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908-668-5000
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(Registrants telephone number, including area code)
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ANADIGICS, Inc.
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By: /s/ Terrence G. Gallagher
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Terrence G. Gallagher
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Title: Executive Vice President and Chief Financial Officer
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Dated: February 17, 2015
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Exhibit No.
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Description
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99.1
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Press Release issued by ANADIGICS, Inc., dated February 17, 2015
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·
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Revenue growth in Infrastructure is expected to offset some of the normal seasonal decrease in mobile revenue, which should result in a less-than-typical sequential decline in total revenue of only 10 to 13%
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·
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Non-GAAP gross margin is expected to improve sequentially by approximately 400 basis points
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·
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Operating expenses are expected to be approximately flat, sequentially
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ANADIGICS, INC.
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Consolidated Statements of Operations
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(Amounts in thousands, except per share amounts)
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Three months ended
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Twelve months ended
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December 31, 2014
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December 31, 2013
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December 31, 2014
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December 31, 2013
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|||||||||||||
Unaudited
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Unaudited
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Unaudited
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Audited
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Net sales
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$ | 20,879 | $ | 36,286 | $ | 86,282 | $ | 134,242 | ||||||||
Cost of sales
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17,139 | 31,640 | 76,793 | 125,922 | ||||||||||||
Gross profit
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3,740 | 4,646 | 9,489 | 8,320 | ||||||||||||
Research and development expenses
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5,270 | 9,321 | 26,708 | 38,585 | ||||||||||||
Selling and administrative expenses
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3,640 | 5,574 | 17,094 | 23,813 | ||||||||||||
Restructuring charges
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133 | - | 6,098 | 1,915 | ||||||||||||
Operating loss
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(5,303 | ) | (10,249 | ) | (40,411 | ) | (55,993 | ) | ||||||||
Interest income
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- | 33 | 7 | 237 | ||||||||||||
Interest expense
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(134 | ) | (31 | ) | (303 | ) | (82 | ) | ||||||||
Other income, net
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- | 290 | 1,817 | 1,859 | ||||||||||||
Net loss
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$ | (5,437 | ) | $ | (9,957 | ) | $ | (38,890 | ) | $ | (53,979 | ) | ||||
Net loss per share:
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Basic and diluted
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$ | (0.06 | ) | $ | (0.12 | ) | $ | (0.45 | ) | $ | (0.67 | ) | ||||
Basic and dilutive shares outstanding
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86,591 | 84,039 | 85,810 | 80,991 | ||||||||||||
Unaudited Reconciliation of GAAP to Non-GAAP Financial Measures
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GAAP net loss
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$ | (5,437 | ) | $ | (9,957 | ) | $ | (38,890 | ) | $ | (53,979 | ) | ||||
Stock compensation expense (excluding Restructuring charges)
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Cost of sales
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156 | 127 | 861 | 1,041 | ||||||||||||
Research and development
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294 | 465 | 1,744 | 2,118 | ||||||||||||
Selling and administrative
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151 | 636 | 2,067 | 3,428 | ||||||||||||
Cost of sales charge (1)
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- | 665 | 2,080 | 2,589 | ||||||||||||
Marketable securities redemptions and accretion (2)
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- | (303 | ) | (1,728 | ) | (1,777 | ) | |||||||||
Restructuring charges (3)
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133 | - | 6,098 | 1,915 | ||||||||||||
Non-GAAP net loss
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$ | (4,703 | ) | $ | (8,367 | ) | $ | (27,768 | ) | $ | (44,665 | ) | ||||
Non-GAAP loss per share (*):
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Basic and diluted
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$ | (0.05 | ) | $ | (0.10 | ) | $ | (0.32 | ) | $ | (0.55 | ) | ||||
Supplemental Information
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Infrastructure
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$ | 9,737 | $ | 11,256 | $ | 39,161 | $ | 36,199 | ||||||||
Mobile
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11,142 | 25,030 | 47,121 | 98,043 | ||||||||||||
Net Sales
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$ | 20,879 | $ | 36,286 | $ | 86,282 | $ | 134,242 | ||||||||
Depreciation
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$ | 2,496 | $ | 3,446 | $ | 11,317 | $ | 14,510 | ||||||||
(*) Calculated using related GAAP shares outstanding
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(1) Cost of sales charge for the twelve months ended December 31, 2014 includes $2,080 inventory write-down.
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Cost of sales charge for the three months ended December 31, 2013 includes $665 for product scrap from process standardization
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implementation. The twelve months ended December 31, 2013 includes $756 for customer cost reimbursement, $438 for costs from
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power interruptions, $730 charges for repair and product scrap from accelerated production ramp, and $665 for product scrap from
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process standardization implementation.
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(2) Marketable securities adjustments include realized gains upon redemptions and interest accretion.
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(3) Restructuring for the three months ended December 31, 2014 includes $365 workforce reduction, $479 fixed asset write-downs,
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and $711 realized gain on the sale of certain surplus fixed assets. The twelve months ended December 31, 2014 includes $4,199
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workforce reduction charges and $4,201 fixed asset write-downs, partly offset by $2,302 from realized gains on the sale of certain
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surplus fixed assets identified following the strategic restructuring in the second quarter of 2014. The twelve months ended
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December 31, 2013 included $1,915 workforce reduction charge recorded in the first quarter of 2013.
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ANADIGICS, INC.
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Condensed Consolidated Balance Sheets
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(Amounts in thousands)
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December 31, 2014
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12/31/2013 (*)
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Assets
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Unaudited
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Current assets:
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Cash and cash equivalents
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$ | 18,430 | $ | 20,947 | ||||
Marketable securities
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- | 3,447 | ||||||
Accounts receivable
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5,335 | 15,156 | ||||||
Inventory
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13,844 | 21,114 | ||||||
Prepaid expenses and other current assets
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2,721 | 3,628 | ||||||
Assets held for sale
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335 | - | ||||||
Total current assets
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40,665 | 64,292 | ||||||
Plant and equipment, net
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17,171 | 33,176 | ||||||
Other assets
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180 | 213 | ||||||
$ | 58,016 | $ | 97,681 | |||||
Liabilities and stockholders’ equity
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Current liabilities:
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Accounts payable
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$ | 5,913 | $ | 13,043 | ||||
Accrued liabilities
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3,419 | 4,380 | ||||||
Accrued restructuring costs
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904 | 245 | ||||||
Bank borrowings
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4,000 | - | ||||||
Total current liabilities
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14,236 | 17,668 | ||||||
Other long-term liabilities
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1,122 | 1,604 | ||||||
Stockholders’ equity
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42,658 | 78,409 | ||||||
$ | 58,016 | $ | 97,681 | |||||
(*) The condensed balance sheet at December 31, 2013 has been derived from the audited financial
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||||||||
statements at such date but does not include all the information and footnotes required by U.S.
|
||||||||
generally accepted accounting principles for complete financial statements.
|
·
|
Revenue growth in Infrastructure is expected to offset some of the normal seasonal decrease in mobile revenue, which should result in a less-than-typical sequential decline in total revenue of only 10 to 13%
|
·
|
Non-GAAP gross margin is expected to improve sequentially by approximately 400 basis points
|
·
|
Operating expenses are expected to be approximately flat, sequentially
|
ANADIGICS, INC.
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||||||||||||||||
Consolidated Statements of Operations
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||||||||||||||||
(Amounts in thousands, except per share amounts)
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||||||||||||||||
Three months ended
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Twelve months ended
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|||||||||||||||
December 31, 2014
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December 31, 2013
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December 31, 2014
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December 31, 2013
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|||||||||||||
Unaudited
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Unaudited
|
Unaudited
|
Audited
|
|||||||||||||
Net sales
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$ | 20,879 | $ | 36,286 | $ | 86,282 | $ | 134,242 | ||||||||
Cost of sales
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17,139 | 31,640 | 76,793 | 125,922 | ||||||||||||
Gross profit
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3,740 | 4,646 | 9,489 | 8,320 | ||||||||||||
Research and development expenses
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5,270 | 9,321 | 26,708 | 38,585 | ||||||||||||
Selling and administrative expenses
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3,640 | 5,574 | 17,094 | 23,813 | ||||||||||||
Restructuring charges
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133 | - | 6,098 | 1,915 | ||||||||||||
Operating loss
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(5,303 | ) | (10,249 | ) | (40,411 | ) | (55,993 | ) | ||||||||
Interest income
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- | 33 | 7 | 237 | ||||||||||||
Interest expense
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(134 | ) | (31 | ) | (303 | ) | (82 | ) | ||||||||
Other income, net
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- | 290 | 1,817 | 1,859 | ||||||||||||
Net loss
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$ | (5,437 | ) | $ | (9,957 | ) | $ | (38,890 | ) | $ | (53,979 | ) | ||||
Net loss per share:
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||||||||||||||||
Basic and diluted
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$ | (0.06 | ) | $ | (0.12 | ) | $ | (0.45 | ) | $ | (0.67 | ) | ||||
Basic and dilutive shares outstanding
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86,591 | 84,039 | 85,810 | 80,991 | ||||||||||||
Unaudited Reconciliation of GAAP to Non-GAAP Financial Measures
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||||||||||||||||
GAAP net loss
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$ | (5,437 | ) | $ | (9,957 | ) | $ | (38,890 | ) | $ | (53,979 | ) | ||||
Stock compensation expense (excluding Restructuring charges)
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||||||||||||||||
Cost of sales
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156 | 127 | 861 | 1,041 | ||||||||||||
Research and development
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294 | 465 | 1,744 | 2,118 | ||||||||||||
Selling and administrative
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151 | 636 | 2,067 | 3,428 | ||||||||||||
Cost of sales charge (1)
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- | 665 | 2,080 | 2,589 | ||||||||||||
Marketable securities redemptions and accretion (2)
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- | (303 | ) | (1,728 | ) | (1,777 | ) | |||||||||
Restructuring charges (3)
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133 | - | 6,098 | 1,915 | ||||||||||||
Non-GAAP net loss
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$ | (4,703 | ) | $ | (8,367 | ) | $ | (27,768 | ) | $ | (44,665 | ) | ||||
Non-GAAP loss per share (*):
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||||||||||||||||
Basic and diluted
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$ | (0.05 | ) | $ | (0.10 | ) | $ | (0.32 | ) | $ | (0.55 | ) | ||||
Supplemental Information
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||||||||||||||||
Infrastructure
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$ | 9,737 | $ | 11,256 | $ | 39,161 | $ | 36,199 | ||||||||
Mobile
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11,142 | 25,030 | 47,121 | 98,043 | ||||||||||||
Net Sales
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$ | 20,879 | $ | 36,286 | $ | 86,282 | $ | 134,242 | ||||||||
Depreciation
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$ | 2,496 | $ | 3,446 | $ | 11,317 | $ | 14,510 | ||||||||
(*) Calculated using related GAAP shares outstanding
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||||||||||||||||
(1) Cost of sales charge for the twelve months ended December 31, 2014 includes $2,080 inventory write-down.
|
||||||||||||||||
Cost of sales charge for the three months ended December 31, 2013 includes $665 for product scrap from process standardization
|
||||||||||||||||
implementation. The twelve months ended December 31, 2013 includes $756 for customer cost reimbursement, $438 for costs from
|
||||||||||||||||
power interruptions, $730 charges for repair and product scrap from accelerated production ramp, and $665 for product scrap from
|
||||||||||||||||
process standardization implementation.
|
||||||||||||||||
(2) Marketable securities adjustments include realized gains upon redemptions and interest accretion.
|
||||||||||||||||
(3) Restructuring for the three months ended December 31, 2014 includes $365 workforce reduction, $479 fixed asset write-downs,
|
||||||||||||||||
and $711 realized gain on the sale of certain surplus fixed assets. The twelve months ended December 31, 2014 includes $4,199
|
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workforce reduction charges and $4,201 fixed asset write-downs, partly offset by $2,302 from realized gains on the sale of certain
|
||||||||||||||||
surplus fixed assets identified following the strategic restructuring in the second quarter of 2014. The twelve months ended
|
||||||||||||||||
December 31, 2013 included $1,915 workforce reduction charge recorded in the first quarter of 2013.
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ANADIGICS, INC.
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||||||||
Condensed Consolidated Balance Sheets
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||||||||
(Amounts in thousands)
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||||||||
December 31, 2014
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12/31/2013 (*)
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|||||||
Assets
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Unaudited
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|||||||
Current assets:
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||||||||
Cash and cash equivalents
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$ | 18,430 | $ | 20,947 | ||||
Marketable securities
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- | 3,447 | ||||||
Accounts receivable
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5,335 | 15,156 | ||||||
Inventory
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13,844 | 21,114 | ||||||
Prepaid expenses and other current assets
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2,721 | 3,628 | ||||||
Assets held for sale
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335 | - | ||||||
Total current assets
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40,665 | 64,292 | ||||||
Plant and equipment, net
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17,171 | 33,176 | ||||||
Other assets
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180 | 213 | ||||||
$ | 58,016 | $ | 97,681 | |||||
Liabilities and stockholders’ equity
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||||||||
Current liabilities:
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||||||||
Accounts payable
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$ | 5,913 | $ | 13,043 | ||||
Accrued liabilities
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3,419 | 4,380 | ||||||
Accrued restructuring costs
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904 | 245 | ||||||
Bank borrowings
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4,000 | - | ||||||
Total current liabilities
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14,236 | 17,668 | ||||||
Other long-term liabilities
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1,122 | 1,604 | ||||||
Stockholders’ equity
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42,658 | 78,409 | ||||||
$ | 58,016 | $ | 97,681 | |||||
(*) The condensed balance sheet at December 31, 2013 has been derived from the audited financial
|
||||||||
statements at such date but does not include all the information and footnotes required by U.S.
|
||||||||
generally accepted accounting principles for complete financial statements.
|