-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: keymaster@town.hall.org Originator-Key-Asymmetric: MFkwCgYEVQgBAQICAgADSwAwSAJBALeWW4xDV4i7+b6+UyPn5RtObb1cJ7VkACDq pKb9/DClgTKIm08lCfoilvi9Wl4SODbR1+1waHhiGmeZO8OdgLUCAwEAAQ== MIC-Info: RSA-MD5,RSA, ibkh3p/xCcJazCLkDAxztSUbve7K4iwF0YvuDfzEilo6iy6WL2vmL96nMJRbYmNb sY1mIv0E5ZF8hd8VsZDmTQ== 0000097210-95-000004.txt : 19950531 0000097210-95-000004.hdr.sgml : 19950531 ACCESSION NUMBER: 0000097210-95-000004 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 19950402 FILED AS OF DATE: 19950511 SROS: NYSE FILER: COMPANY DATA: COMPANY CONFORMED NAME: TERADYNE INC CENTRAL INDEX KEY: 0000097210 STANDARD INDUSTRIAL CLASSIFICATION: 3825 IRS NUMBER: 042272148 STATE OF INCORPORATION: MA FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 10-Q SEC ACT: 1934 Act SEC FILE NUMBER: 001-06462 FILM NUMBER: 95536522 BUSINESS ADDRESS: STREET 1: 321 HARRISON AVE CITY: BOSTON STATE: MA ZIP: 02118 BUSINESS PHONE: 6174822700 MAIL ADDRESS: STREET 1: 321 HARRISON AVENUE STREET 2: H93 CITY: BOSTON STATE: MA ZIP: 02118 10-Q 1 SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 ______________________ FORM 10-Q __________________ (Mark One) [X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended April 2, 1995 OR [ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from __________ to ______________ Commission File No. 1-6462 TERADYNE, INC. (Exact name of registrant as specified in its charter) Massachusetts 04-2272148 (State or Other Jurisdiction (I.R.S.Employer Incorporation or Organization) Identification No.) 321 Harrison Avenue, Boston, Massachusetts 02118 (Address of principal executive offices) (Zip Code) 617-482-2700 (Registrant's telephone number, including area code) Indicate by check mark whether the registrant: (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to the filing requirements for the past 90 days. Yes X No _ The number of shares outstanding of the registrant's only class of Common Stock as of April 14, 1995 was 38,765,372 shares. TERADYNE, INC. INDEX Page No. Part I. Financial Information: Condensed Consolidated Balance Sheets - April 2, 1995 and December 31, 1994 3 Condensed Consolidated Statements of Income - Quarters Ended April 2, 1995 and April 3, 1994 4 Condensed Consolidated Statements of Cash Flows - Quarters Ended April 2, 1995 and April 3, 1994 5 Notes to Condensed Consolidated Financial Statements 6 Management's Discussion and Analysis of Financial Condition and Results of Operations 7-8 TERADYNE, INC. CONDENSED CONSOLIDATED BALANCE SHEETS (Dollars in thousands) April 2, 1995 Dec.31,1994 ------------- ----------- (Unaudited) ASSETS Current assets: Cash and cash equivalents $147,519 $182,811 Marketable securities 78,083 19,766 Accounts receivable - trade 149,526 129,074 Inventories: Parts 55,681 49,216 Assemblies in progress 40,332 42,667 ------- ------- 96,013 91,883 Refundable income taxes 1,064 Deferred tax assets 14,767 14,767 Prepayments and other current assets 9,357 7,294 ------- ------- Total current assets 495,265 446,659 Property, at cost 408,049 395,248 Less accumulated depreciation (216,934) (211,606) -------- -------- Net property 191,115 183,642 Other assets 29,411 25,641 -------- -------- Total assets $715,791 $655,942 ======== ======== LIABILITIES Current liabilities: Notes payable - banks $ 9,306 $ 8,431 Current portion of long term debt 371 250 Accounts payable - trade 22,337 13,305 Accrued employees' compensation and withholdings 34,364 38,263 Unearned service revenue and customer advances 49,330 46,386 Other accrued liabilities 24,929 27,088 Income taxes payable 12,167 5,437 ------- ------- Total current liabilities 152,804 139,160 Deferred tax liabilities 14,722 14,722 Long-term debt 9,133 8,806 ------- ------- Total liabilities 176,659 162,688 ------- ------- SHAREHOLDERS' EQUITY Common stock $0.125 par value, authorized 75,000,000 shares, issued and outstanding after deduction of reacquired shares 37,162,714 (36,351,527 in 1994) 4,645 4,544 Additional paid-in capital 265,543 248,497 Retained earnings 268,944 240,213 ------- ------- Total shareholders' equity 539,132 493,254 ------- ------- Total liabilities and shareholders' equity $715,791 $655,942 ======== ======== The accompanying notes, together with the Notes to Consolidated Financial Statements included in the Company's Form 10-K for the year ended December 31, 1994 are an integral part of the condensed consolidated financial statements. TERADYNE, INC. CONDENSED CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED) For the Quarters Ended (Dollars in thousands except per share amounts) April 2, 1995 April 3, 1994 ------------- ------------- Net sales $ 213,249 $ 152,012 Expenses: Cost of sales 117,621 85,662 Engineering and development 19,510 15,857 Selling and administrative 34,431 31,871 -------- ------- 171,562 133,390 -------- ------- Income from operations 41,687 18,622 Other income (expense): Interest income 2,963 1,088 Interest expense (449) (470) ------- ------- Income before income taxes 44,201 19,240 Provision for income taxes 15,470 5,772 ------- ------- Net income $ 28,731 $ 13,468 ======== ======== Net income per common share $0.76 $0.36 ====== ====== Shares used in calculations of net income per common share 37,912,000 37,226,000 The accompanying notes, together with the Notes to Consolidated Financial Statements included in the Company's Form 10-K for the year ended December 31, 1994 are an integral part of the condensed consolidated financial statements. TERADYNE, INC. CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) For the Three Months Ended April 2, 1995 April 3, 1994 ------------- ------------- (Dollars in thousands) Cash flows from operating activities: Net income $ 28,731 $ 13,468 Adjustments to reconcile net income to net cash provided by operating activities: Depreciation 7,742 7,908 Amortization 1,006 743 Other non-cash items, net 1,392 967 Changes in operating assets and liabilities: Accounts receivable (20,452) (12,780) Inventories (4,130) (1,376) Refundable income taxes 1,064 1,736 Other assets (7,331) (4,293) Accounts payable and accruals 5,918 (8,935) Income taxes payable 6,730 1,143 ------- ------- Net cash provided by (used in) operating activities 20,670 (1,419) ------- ------ Cash flows from investing activities: Additions to property (12,108) (4,813) Increase in equipment manufactured by the Company (3,176) (518) Purchase of marketable securities (77,591) Maturities of marketable securities 19,766 ------- ----- Net cash used in investing activities (73,109) (5,331) ------- ------ Cash flows from financing activities: Payments of long term debt (208) Issuance of common stock under employee stock option and stock purchase plans 11,815 9,141 Tax benefit from stock options 5,332 2,744 Acquisition of treasury stock (20,536) ------- ------- Net cash flows provided by (used in) financing activities 17,147 (8,859) ------- ------ Decrease in cash and cash equivalents (35,292) (15,609) Cash and cash equivalents at beginning of period 182,811 143,578 -------- -------- Cash and cash equivalents at end of period $147,519 $127,969 ======== ======== Supplementary disclosure of cash flow information: Cash paid during the period for: Interest $ 516 $ 753 Income taxes 2,344 149 The accompanying notes, together with the Notes to Consolidated Financial Statements included in the Company's Form 10-K for the year ended December 31, 1994 are an integral part of the condensed consolidated financial statements. TERADYNE, INC. NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) A. Financial Information The accompanying condensed consolidated financial statements are unaudited. However, in the opinion of management, all adjustments (consisting only of normal recurring accrual entries) necessary for a fair presentation of such information have been made. Management's Discussion and Analysis of Financial Condition and Results of Operations Results of Operations: SELECTED RELATIONSHIPS WITHIN THE CONDENSED CONSOLIDATED STATEMENTS OF INCOME For the Quarters Ended April 2, 1995 April 3, 1994 ------------- ------------- (Dollars in thousands) Net sales $213,249 $152,012 ======== ======== Net income $ 28,731 $ 13,468 ======== ======== Percentage of net sales: Net sales 100% 100% Expenses: Cost of sales 55 56 Engineering and development 9 10 Selling and administrative 16 21 Interest, net (1) 0 ----- ---- 79 87 Income before income taxes 21 13 Provision for income taxes 7 4 ----- ----- Net income 14% 9% ===== ===== Provision for income taxes as a percentage of income before income taxes 35% 30% ===== ===== Sales increased 40% to $213.2 million in the first quarter of 1995 compared to the first quarter of 1994. Sales increased in each of the major product lines of the Company - semiconductor test systems, circuit-board test systems, telecommunications test systems, and backplane connection systems. The largest increases in sales occurred in semiconductor test systems and backplane connection systems. Sales of semiconductor test systems grew as semiconductor manufacturers continued to add capacity in respons ology products in the Company's commercial customer base. As a result of the increase in sales volume, income before taxes increased $25 million to $44.2 million in the first quarter of 1995 compared to the same period in 1994. Incoming orders increased 84% in the first quarter of 1995 to $289 million. Backlog at the end of the first quarter of 1995 was $490 million, compared to $414 million at December 31, 1994. Cost of sales was 55% of sales in the first quarter of 1995 compared to 56% in the first quarter of 1994. This reduction is due to the fact that the increase in sales volume has permitted increased utilization of certain fixed and semi-variable components of the Company's overhead structure. Engineering and development expenses were 9% of sales in the first quarter of 1995, compared to 10% in the first quarter of 1994. This decline is attributed to the dollar amount of these expenses increasing at a lesser rate than sales are increasing. Engineering and development expenses grew $3.7 million in the first quarter of 1995 compared to the first quarter of 1994, as a result of increased investment in new product development of semiconductor test systems. Selling and administrative expenses decreased from 21% of sales to 16% of sales in the first quarter of 1995 compared to the first quarter of 1994, as the dollar amount of these expenses increased only 8% while sales increased 40%. In the first three months of 1995, the Company had net interest income of $2.5 million compared to $0.6 million in the first three months of 1994. This change was due to higher levels of invested cash and higher interest rates in the first three months of 1995 compared to the first three months of 1994. During the first quarter of 1995, the Company's effective tax rate was 35% compared to 31% for the year ended December 31, 1994. The Company was able to operate with an effective tax rate below the federal statutory rate of 35% in 1994 through the utilization of tax credit carryforward and foreign loss carryforward amounts. Changes in Financial Condition During the First Three Months of 1995 - - -------------------------------------------------------------------- During the first three months of 1995, cash and marketable securities increased $23 million to a balance of $226 million. Cash flow provided by operations was $20.7 million. Additional cash of $17.1 million was generated from the Company's employee stock option and stock purchase plans, including the related tax benefit. Cash of $15.3 million was used to fund additions to property, plant and equipment in the first quarter of 1995. 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. TERADYNE, INC. Registrant OWEN W. ROBBINS --------------- Owen W. Robbins Executive Vice President May 3, 1995 EX-27 2
5 1,000 3-MOS DEC-31-1995 APR-02-1995 147,519 78,083 149,526 0 96,013 495,265 408,049 216,934 715,791 152,804 9,133 4,645 0 0 534,487 715,791 213,249 213,249 117,621 117,621 53,941 0 449 44,201 15,470 28,731 0 0 0 28,731 0.76 0.76
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