UNITED
STATES
SECURITIES
AND EXCHANGE COMMISSION
Washington,
D.C. 20549
FORM
8-K
CURRENT
REPORT
Pursuant to Section
13 or 15(d) of the
Securities
Exchange Act of 1934
Date
of Report:
May
24, 2012
(Date
of earliest event reported)
IXYS
CORPORATION
(Exact
name of registrant as specified in its charter)
Delaware |
000-26124 |
77-0140882 |
(State or other jurisdiction of incorporation) |
(Commission File No.)
|
(IRS Employer Identification No.) |
1590 Buckeye Drive Milpitas, California 95035 |
(Address of principal executive offices and zip code) |
Registrant’s
telephone number, including area code: (408)
457-9000
Not Applicable
(Former
name or former address, if changed since last report.)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
[ ] Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
[ ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
[ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
[ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Item 2.02 |
Results of Operations and Financial Conditions. |
The following information is furnished and shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in such a filing.
On May 24, 2012, IXYS issued a press release. The text of IXYS’s press release is attached hereto as Exhibit 99.1.
Item 9.01 |
Financial Statements and Exhibits |
(c) | Exhibits |
The following exhibit is furnished (not filed) herewith: |
Exhibit
Number |
Description |
||
99.1 | Text of press release issued by IXYS Corporation, dated May 24, 2012. |
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.
IXYS CORPORATION |
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By: /s/ Uzi Sasson |
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Uzi Sasson, President and Chief |
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Financial Officer (Principal Financial |
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Officer) |
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Date: |
May 24, 2012 |
Exhibit 99.1
IXYS Announces Record Cash and Revenues at, and for the Fiscal Year Ended, March 31, 2012
MILPITAS, Calif.--(BUSINESS WIRE)--May 24, 2012--IXYS Corporation (NASDAQ:IXYS), an international power semiconductor and IC company, today announced results for its fourth quarter and fiscal year ended March 31, 2012.
Net revenues for the fiscal year ended March 31, 2012 were a record $368.0 million, an increase of 1.3% from net revenues of $363.3 million in the prior fiscal year. Net income for the fiscal year ended March 31, 2012 was $30.3 million, or $0.93 per diluted share, as compared to net income of $36.6 million, or $1.14 per diluted share, in the prior fiscal year.
Included in the results for the quarter and year ended March 31, 2012 is a reduction to income of $6.4 million caused by the impairment of goodwill. Excluding the impact of the goodwill impairment, non-GAAP net income for the fiscal year ended March 31, 2012 would have been $35.1 million, or $1.08 per diluted share, as compared to non-GAAP net income of $29.2 million, or $0.91 per diluted share, in the prior fiscal year, where the effect of a tax adjustment and restructuring, impairment and nonperforming asset charges are excluded. These items consist of the release of a valuation allowance against deferred tax assets, the impairment of goodwill and intangible assets, restructuring charges and write-offs of nonperforming assets.
Net revenues for the fourth quarter of fiscal year 2012 were $87.2 million, up 8.9% sequentially from net revenues of $80.0 million in the immediately preceding quarter, and 9.9% lower as compared to net revenues of $96.8 million for the same quarter in the prior fiscal year.
Net income for the fourth quarter of fiscal year 2012 was $3.7 million, or $0.11 per diluted share, as compared to net income of $15.9 million, or $0.49 per diluted share, for the same quarter in the prior fiscal year. On the same basis used in the fiscal year comparison, non-GAAP net income for the quarter ended March 31, 2012 would have been $7.2 million, or $0.22 per diluted share, as compared to non-GAAP net income of $8.0 million, or $0.25 per diluted share, for the same quarter in the prior fiscal year.
“We are pleased to have achieved another year of record revenues and we note that, on a non-GAAP basis, our fundamental operating profitability improved from year-to-year, once the effects of certain accounting adjustments of the last two years are eliminated,” commented Dr. Nathan Zommer, Chairman and CEO. “During the year, we integrated our technology and operational groups, expanded our product range and expanded our total market reach. We created the World of IXYS Ecosystem™, where we provide our customers the total solution, from digital control ICs and our Zilog MCUs, through mixed signal driver and control ICs to RF power and power semiconductors. Very few semiconductor companies can offer these products in combination with a focus on clean energy, power electronics, medical, lighting and the automotive industry. Our strong financial results reflect our sustainable strategy.”
Gross profit for the fiscal year ended March 31, 2012 was $119.6 million, or 32.5% of net revenues, as compared to a gross profit of $122.1 million, or 33.6% of net revenues in the prior fiscal year.
Gross profit was $30.0 million, or 34.4% of net revenues, for the quarter ended March 31, 2012, as compared to gross profit of $31.7 million, or 32.8% of net revenues, for the same quarter in the prior fiscal year. The gross profit margin percentage increased by 5.5 percentage points from the immediately preceding quarter.
“Despite the worldwide economic weakness, our business remains healthy. We have also increased our manufacturing effectiveness, which led, in part, to our improved gross profit margin,” commented President and CFO Uzi Sasson. “We continued our trend of showing consistent growth in stockholders’ equity to a record of $254.1 million at March 31, 2012.”
IXYS’ cash balance at March 31, 2012 was $99.1 million, a record cash balance and an increase of $23.1 million over the cash balance at March 31, 2011.
“The economy continues to be challenging but we have managed to maintain a consistent growth in our cash position. In the March quarter, we generated $6.3 million in cash from operations,” said Mr. Sasson. “However, our internal efforts to be more cost efficient do not grant us immunity to unfavorable market influences and we expect revenues for the June 2012 quarter to be relatively flat as compared to revenues for the March 2012 quarter.”
About IXYS Corporation
Since its founding in Silicon Valley, IXYS Corporation has been developing technology-driven products to improve energy conversion efficiency, generate clean energy, improve automation, and provide advanced products for the transportation, medical and telecommunications industries. IXYS, with its subsidiaries, is a worldwide pioneer in the development of power semiconductors, solid state relays, high voltage integrated circuits (HVIC), and microcontrollers that are necessary in conserving energy and in reducing the world’s dependence on fossil fuels.
Diminishing natural resources, demand for renewable energy and environmental directives for energy efficiency represent a significant challenge. IXYS’ power semiconductors and mixed-signal integrated circuits (IC) play a vital role in reducing energy costs and consumption by optimizing the energy efficiency of everyday products. With an end customer base of over 2,500 telecommunications, transportation, industrial, medical and consumer companies, IXYS is a worldwide recognized provider of advanced semiconductors.
Additional information may be obtained by visiting IXYS’ website at http://www.ixys.com, or by contacting the company directly.
Non-GAAP Financial Information
Included above and within the attached schedules are certain non-GAAP financial figures. Management believes non-GAAP net income and non-GAAP net income per share are useful measures of operating performance because they exclude the impact of the impairment of goodwill in fiscal 2012 and, for fiscal 2011, the release of a valuation allowance against deferred tax assets, the impairment of goodwill and intangible assets, restructuring charges and write-offs of non-performing assets. However, the non-GAAP measures should be considered in addition to, not as a substitute for, or superior to net income and net income per share, or other financial measures prepared in accordance with GAAP.
Safe Harbor Statement
The foregoing press release contains forward-looking statements, including those related to our sustainable strategy, our business remaining healthy, a challenging/weak economy, the trend in our stockholders’ equity, growth in our cash position and our revenues in the June 2012 quarter. Actual results may vary materially from those contained in the forward-looking statements, due to changes in customer delivery schedules, the cancellation of orders, an unanticipated decline in our business, increased competition, cash flow difficulties, unanticipated technological hurdles, manufacturing challenges and constraints, adverse changes in customer demand, declining economic conditions and increasing product costs, among other things. Further information on other factors that could affect IXYS is detailed and included in reports that IXYS has filed with the Securities and Exchange Commission, including its Form 10-Q for the quarter ended December 31, 2011. IXYS undertakes no obligation to publicly release the results of any revisions to these forward-looking statements.
IXYS CORPORATION |
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CONDENSED CONSOLIDATED BALANCE SHEETS | ||||||
(in thousands) | ||||||
(unaudited) | ||||||
March 31, |
March 31, |
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ASSETS | ||||||
Current assets: | ||||||
Cash and cash equivalents | $ | 99,113 | $ | 75,999 | ||
Accounts receivable, net | 48,420 | 55,222 | ||||
Other receivables | 853 | 1,543 | ||||
Inventories, net | 86,240 | 75,839 | ||||
Prepaid expenses and other current assets | 6,081 | 6,742 | ||||
Deferred income taxes | 8,450 | 10,660 | ||||
Total current assets | 249,157 | 226,005 | ||||
Plant and equipment, net | 56,071 | 52,311 | ||||
Other assets | 13,053 | 22,099 | ||||
Deferred income taxes | 25,629 | 24,774 | ||||
Total assets | $ | 343,910 | $ | 325,189 | ||
LIABILITIES AND STOCKHOLDERS' EQUITY | ||||||
Current liabilities: | ||||||
Current portion of capitalized lease obligations | $ | 2,873 | $ | 2,860 | ||
Current portion of notes payable to bank | 1,696 | 1,352 | ||||
Accounts payable | 14,427 | 16,892 | ||||
Accrued expenses and other current liabilities | 22,023 | 22,938 | ||||
Total current liabilities | 41,019 | 44,042 | ||||
Capitalized lease and other long term obligations, net of current portion | 33,783 | 37,373 | ||||
Pension liabilities | 15,001 | 14,545 | ||||
Total liabilities | 89,803 | 95,960 | ||||
Common stock | 378 | 374 | ||||
Additional paid-in capital | 141,445 | 141,138 | ||||
Retained earnings | 110,194 | 79,954 | ||||
Accumulated other comprehensive income | 2,090 | 7,763 | ||||
Stockholders' equity | 254,107 | 229,229 | ||||
Total liabilities and stockholders' equity | $ | 343,910 | $ | 325,189 |
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IXYS CORPORATION | ||||||||||||||||
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS | ||||||||||||||||
(in thousands, except per share data) | ||||||||||||||||
(unaudited) | ||||||||||||||||
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Fiscal Quarter Ended March 31, |
Fiscal Year Ended March 31, |
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2012 | 2011 | 2012 | 2011 | |||||||||||||
Net revenues | $ | 87,181 | $ | 96,761 | $ | 368,004 | $ | 363,273 | ||||||||
Cost of goods sold | 57,226 | 65,044 | 248,384 | 241,175 | ||||||||||||
Gross profit | 29,955 | 31,717 | 119,620 | 122,098 | ||||||||||||
Operating expenses: | ||||||||||||||||
Research, development and engineering | 8,125 | 7,234 | 27,930 | 27,527 | ||||||||||||
Selling, general and administrative | 11,214 | 11,410 | 43,356 | 42,881 | ||||||||||||
Amortization of intangibles | 639 | 1,461 | 2,524 | 6,937 | ||||||||||||
Restructuring and impairment charges | 6,448 | 895 | 6,448 | 1,461 | ||||||||||||
Total operating expenses | 26,426 | 21,000 | 80,258 | 78,806 | ||||||||||||
Operating income | 3,529 | 10,717 | 39,362 | 43,292 | ||||||||||||
Other income (expense), net | (337 | ) | (850 | ) | 1,179 | (392 | ) | |||||||||
Income before income tax provision | 3,192 | 9,867 | 40,541 | 42,900 | ||||||||||||
Provision (benefit) for income tax | (520 | ) | (6,067 | ) | 10,235 | 6,253 | ||||||||||
Net income | $ | 3,712 | $ | 15,934 | $ | 30,306 | $ | 36,647 | ||||||||
Net income per share - basic | $ | 0.12 | $ | 0.51 | $ | 0.97 | $ | 1.17 | ||||||||
Weighted average shares used in per share calculation - basic | 31,288 | 31,312 | 31,344 | 31,235 | ||||||||||||
Net income per share - diluted | $ | 0.11 | $ | 0.49 | $ | 0.93 | $ | 1.14 | ||||||||
Weighted average shares used in per share calculation - diluted | 32,382 | 32,417 | 32,496 | 32,008 |
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GAAP reconciliation to non-GAAP financial measures | ||||||||||||||
(In thousands, except per share amounts) | ||||||||||||||
Quarter Ended | Twelve Months Ended | |||||||||||||
31-Mar-12 | 31-Mar-11 | 31-Mar-12 | 31-Mar-11 | |||||||||||
Net income, as reported (GAAP) | $ | 3,712 | $ | 15,934 | $ | 30,306 | $ | 36,647 | ||||||
Adjustment to GAAP net income, net of taxes | ||||||||||||||
Restructuring, impairment and nonperforming asset charges | 3,494 | 992 | 4,820 | 1,276 | ||||||||||
Valuation allowance (1) | (8,928 | ) | (8,762 | ) | ||||||||||
Non-GAAP net income | $ | 7,206 | $ | 7,998 | $ | 35,126 | $ | 29,161 | ||||||
Net income per share-basic, as reported (GAAP) | $ | 0.12 | $ | 0.51 | $ | 0.97 | $ | 1.17 | ||||||
Adjustment to GAAP net income, net of taxes | ||||||||||||||
Restructuring, impairment and nonperforming asset charges | 0.11 | 0.03 | 0.15 | 0.04 | ||||||||||
Valuation allowance (1) | (0.28 | ) | (0.28 | ) | ||||||||||
Net income per share-basic (non-GAAP) | $ | 0.23 | $ | 0.26 | $ | 1.12 | $ | 0.93 | ||||||
Net income per share-diluted, as reported (GAAP) | $ | 0.11 | $ | 0.49 | $ | 0.93 | $ | 1.14 | ||||||
Adjustment to GAAP net income, net of taxes | ||||||||||||||
Restructuring, impairment and nonperforming asset charges | 0.11 | 0.03 | 0.15 | 0.04 | ||||||||||
Valuation allowance (1) | (0.27 | ) | (0.27 | ) | ||||||||||
Net income per share-diluted (non-GAAP) | $ | 0.22 | $ | 0.25 | $ | 1.08 | $ | 0.91 | ||||||
Weighted average shares used in per share calculation |
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Basic | 31,288 | 31,312 | 31,344 | 31,235 | ||||||||||
Dilutive weighted average shares | 1,094 | 1,105 | 1,152 | 773 | ||||||||||
Diluted | 32,382 | 32,417 | 32,496 | 32,008 | ||||||||||
(1) This valuation allowance release in fiscal 2011 did not have a corresponding adjustment to the deferred tax asset. |
CONTACT:
IXYS Corporation
Uzi Sasson, 408-457-9000
President &
CFO