EX-99.1 2 f09336exv99w1.htm EXHIBIT 99.1 exv99w1
 

EXHIBIT 99.1

     
Contact:  
Uzi Sasson
   
Vice President, Finance & CFO
   
IXYS Corporation
   
3540 Bassett Street
Santa Clara, California 95054

IXYS Reports Record Profits And Thirteen Consecutive Quarters Of Revenue Growth

Santa Clara, CA. May 18, 2005 — IXYS Corporation (NASDAQ:SYXI) today reported net revenues of $69.0 million for the quarter ended March 31, 2005, which is an increase of 28.6% over the $53.7 million in net revenues for the same quarter in the prior fiscal year.

For the fiscal year ended March 31, 2005, IXYS reported net revenues of $256.6 million, which was a 36.9% increase as compared to $187.4 million in net revenues for the prior fiscal year.

“We are pleased to report our thirteenth consecutive quarter of increased revenues, and our eleventh consecutive quarter of record revenues, with record net quarterly income of $5.8 million and record net yearly income of $16.2 million for our FY05 that just concluded on March 31, 2005. This clearly demonstrated our strong business model that we believe sets us apart from our competition and the majority of the companies in the semiconductor industry, which still faces the challenge of growth with profitability. We have executed our plan of product diversification with power semiconductors and proprietary mixed signal integrated circuits in our traditional industrial, medical and telecommunication markets, combined with an aggressive growth in the consumer market. We ended the March quarter with $78.9 million in backlog, which is our third highest quarterly backlog. Net income for FY05 increased by about $20.7 million over the prior fiscal year,” said Dr. Nathan Zommer, CEO of IXYS. “We have been focusing on bottom line performance, which has also translated to record cash generation of $15.1 million during the year, in spite of investing in R&D and expanding manufacturing capacities in our proprietary wafer fabrication facilities to meet market demand.”

Gross profit was $23.2 million, or 33.6% of net revenues, for the quarter ended March 31, 2005. This represents a 194% increase over gross profit of $7.9 million, or 14.7% percent of net revenues, for the same quarter in the prior fiscal year.

For the fiscal year ended March 31, 2005, gross profit was $79.9 million, or 31.1% of net revenues. This represents an 83.7% increase in gross profit from $43.5 million, or 23.2% of net revenues, for the prior fiscal year.

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Net income in the quarter ended March 31, 2005 was $5.8 million ($0.16 per share, diluted), an increased of $10.9 million, as compared to a net loss of $5.2 million (loss of $0.16 per share, diluted) in the quarter ended March 31, 2004.

For the fiscal year ended March 31, 2005, net income was $16.2 million ($0.46 per share, diluted), an increase of $20.7 million, as compared to net loss of $4.4 million (loss of $0.14 per share, diluted) in the prior fiscal year.

Uzi Sasson, Chief Financial Officer of IXYS, said, “We have seen steady and reasonable growth in our revenues. We expect that the June quarter revenues will be flat as compared to those of the March quarter.” Mr. Sasson added, “We continue to assess our internal controls in light of Section 404 of the Sarbanes-Oxley Act.”

IXYS develops and markets primarily high performance power semiconductors and control ICs that are used in controlling and converting electrical power efficiently in power systems for telecommunications infrastructure, motor drives, medical systems and transportation. IXYS also serves emerging markets with a combination of digital and analog integrated circuits to control flat panel displays, medical instruments and telecommunications products.

Safe Harbor Statement

The foregoing press release contains forward-looking statements. Forward looking statements include those regarding backlog, our revenue growth and our expectations for revenues in the June quarter. Actual results may vary materially from those contained in the forward-looking statements, due to unanticipated adverse variations in demand for our products, the cancellation of orders, unexpected technical challenges, difficulties in marketing and selling our products and delays or disruptions in the manufacture of our products. Further information on other risks that could affect IXYS is detailed and included in IXYS’ 10-Q for the quarter ended December 31, 2004, as filed with the Securities and Exchange Commission. IXYS undertakes no obligation to publicly release the results of any revisions to these forward-looking statements.

Additional information may be obtained by visiting IXYS’ website at http://www.ixys.com, or by contacting IXYS directly.

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IXYS CORPORATION
CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands)
(unaudited)

                 
    March 31,     March 31,  
    2005     2004  
ASSETS                
Current assets:
                
Cash and cash equivalents
   $ 58,299     $ 43,199  
Accounts receivable, net
     41,388       33,131  
Inventories, net
     51,411       48,055  
Prepaid expenses and other current assets
     4,133       1,710  
Deferred income taxes
     7,547       7,769  
 
            
Total current assets
     162,778       133,864  
Plant and equipment, net
     27,814       26,369  
Other assets
     27,409       28,533  
Deferred income taxes
     10,091       9,503  
 
            
Total assets
   $ 228,092     $ 198,269  
 
            
LIABILITIES AND STOCKHOLDERS’ EQUITY                
Current liabilities:
                
Current portion of capitalized lease obligations
   $ 2,733     $ 3,447  
Current portion of notes payable to bank
     0       800  
Accounts payable
     12,962       15,277  
Accrued expenses and other current liabilities
     30,326       18,094  
 
            
Total current liabilities
     46,021       37,618  
Capitalized lease and other long term obligations, net of current portion
     4,566       3,061  
Pension liabilities
     12,230       12,059  
 
            
Total liabilities
     62,817       52,738  
 
            
Common stock
     332       331  
Additional paid-in capital
     151,824       150,617  
Notes receivable from stockholders
     (355 )     (1,388 )
Retained earnings
     5,490       (10,750 )
Accumulated other comprehensive income
     7,984       6,721  
 
            
Stockholders’ equity
     165,275       145,531  
 
            
Total liabilities and stockholders’ equity
   $ 228,092     $ 198,269  
 
            

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IXYS CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except per share data)
(unaudited)

                                 
    Three Months Ended     Twelve Months Ended  
    March 31,     March 31,  
    2005     2004     2005     2004  
Net revenues
   $ 69,023     $ 53,676     $ 256,620     $ 187,442  
Cost of goods sold
     45,853       45,805       176,710       143,948  
 
                        
Gross profit
     23,170       7,871       79,910       43,494  
 
                        
Operating expenses:
                                
Research, development and engineering
     4,431       3,899       18,832       15,811  
Selling, general and administrative
     9,696       10,049       35,449       32,742  
 
                        
Total operating expenses
     14,127       13,948       54,281       48,553  
 
                        
Operating income (loss)
     9,043       (6,077 )     25,629       (5,059 )
Other income (expense), net
     (119 )     (1,115 )     150       (1,014 )
 
                        
Income (loss) before income tax provision
     8,924       (7,192 )     25,779       (6,073 )
Provision (benefit) for income tax expense
     3,134       (2,039 )     9,539       (1,641 )
 
                        
Net income (loss)
   $ 5,790     ($ 5,153 )   $ 16,240     ($ 4,432 )
 
                        
Net income (loss) per share — basic
   $ 0.18     ($ 0.16 )   $ 0.49     ($ 0.14 )
 
                        
Weighted average shares used in per share calculation — basic
     33,034       32,858       33,093       32,434  
 
                        
Net income (loss) per share — diluted
   $ 0.16     ($ 0.16 )   $ 0.46     ($ 0.14 )
 
                        
Weighted average shares used in per share calculation — diluted
     35,299       32,858       35,092       32,434  
 
                        

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