LIVERMORE, Calif.--(BUSINESS WIRE)--Jan. 31, 2007--FormFactor,
Inc. (Nasdaq:FORM) today announced its financial results for the
fourth quarter and fiscal year 2006, ended December 30, 2006.
Quarterly revenues were $98.7 million, up 2% from $96.8 million in the
third quarter of fiscal 2006, and up 37% from $71.8 million in the
fourth quarter of fiscal 2005. Revenues for the fiscal year ended
December 30, 2006 were $369.2 million, up 55% from $237.5 million in
fiscal year 2005.
Net income for the fourth quarter of fiscal 2006 was $18.9 million
or $0.39 per share on a fully diluted basis, which included $4.6
million or $0.09 per share of incremental FAS 123R stock option
expense, net of tax. This compares to $15.8 million or $0.33 per share
on a fully diluted basis for the third quarter of fiscal 2006, which
included $3.9 million or $0.08 per share of incremental FAS 123R stock
option expense, net of tax. Net income for the fourth quarter of
fiscal 2005 was $10.5 million or $0.25 per share on a fully diluted
basis, which was prior to the adoption of FAS 123R.
Net income for fiscal year 2006 was $60.8 million or $1.29 per
share on a fully diluted basis, which included $13.6 million, or $0.29
per share of incremental FAS 123R stock option expense, net of tax,
compared to $30.2 million or $0.73 per share on a fully diluted basis
for fiscal year 2005.
"We finished 2006 with another record quarter as revenue and
profit reached historical highs. 2006 was an exceptional year for
FormFactor, with 55% annual revenue growth, fueled by strong
contributions to growth from our Memory and Logic businesses. At the
same time, we expanded our product offerings in multiple markets,"
said Igor Khandros, CEO of FormFactor. "We believe the market outlook
for advanced probe cards remains strong as we enter 2007."
The company has posted its revenue breakdown by region and market
segment on the Investors section of its website at www.formfactor.com.
FormFactor will conduct a conference call at 1:30 p.m. PST, or 4:30
p.m. EST, today. The public is invited to listen to a live web cast of
FormFactor's conference call on the Investors section of the company's
website at www.formfactor.com. An audio replay of the conference call
will also be made available approximately two hours after the
conclusion of the call. The audio replay will remain available until
February 2, 2007 at 6:30 p.m. PST and can be accessed by dialing
888-286-8010 or 617-801-6888 and entering confirmation code 84401442.
About FormFactor:
Founded in 1993, FormFactor, Inc. (Nasdaq:FORM) is the leader in
advanced wafer probe cards, which are used by semiconductor
manufacturers to electrically test integrated circuits, or ICs. The
company's wafer sort, burn-in and device performance testing products
move IC testing upstream from post-packaging to the wafer level,
enabling semiconductor manufacturers to lower their overall production
costs, improve yields, and bring next-generation devices to market.
FormFactor is headquartered in Livermore, California with operations
in Europe, Asia and North America. For more information, visit the
company's website at www.formfactor.com.
FormFactor and MicroSpring are registered trademarks of
FormFactor, Inc. All other product, trademark, company or service
names mentioned herein are the property of their respective owners.
Statements in this press release that are not strictly historical
in nature are forward-looking statements within the meaning of the
federal securities laws, including statements regarding business
momentum, demand for our products and future growth. These
forward-looking statements are based on current information and
expectations that are inherently subject to change and involve a
number of risks and uncertainties. Actual events or results might
differ materially from those in any forward-looking statement due to
various factors, including, but not limited to: the demand for certain
semiconductor devices; the rate at which semiconductor manufacturers
implement manufacturing capability changes, make the transition to
smaller nanometer technology nodes and implement tooling cycles; the
company's ability to add manufacturing capacity, ramp production
volume and expand globally, including to execute on its global
manufacturing roadmap; the company's ability to develop and deliver
innovative technologies, and to enforce its intellectual property
rights; and the company's ability to implement and execute processes
and structures for increasing productivity and supporting growth.
Additional information concerning factors that could cause actual
events or results to differ materially from those in any
forward-looking statement is contained in the company's Form 10-K for
the fiscal period ended December 31, 2005 and the company's Form 10-Q
for the quarterly period ended September 30, 2006, filed with the
Securities and Exchange Commission ("SEC"), and subsequent SEC
filings. Copies of the company's SEC filings are available at
http://investors.formfactor.com/edgar.cfm. The company assumes no
obligation to update the information in this press release, to revise
any forward-looking statements or to update the reasons actual results
could differ materially from those anticipated in forward-looking
statements.
FORMFACTOR, INC.
CONSOLIDATED STATEMENTS OF INCOME
(In thousands, except per share data)
(Unaudited)
Three Months Ended Fiscal Years Ended
December December December December
30, 2006 31, 2005 30, 2006 31, 2005
---------- ---------- ---------- ----------
Revenues $98,693 $71,819 $369,213 $237,495
Cost of revenues 47,536 36,618 178,235 130,102
---------- ---------- ---------- ----------
Gross margin 51,157 35,201 190,978 107,393
---------- --------------------- ----------
Operating expenses:
Research and development 13,211 8,887 46,608 28,348
Selling, general and
administrative 18,506 12,461 71,540 43,744
---------- ---------- ---------- ----------
Total operating
expenses 31,717 21,348 118,148 72,092
---------- ---------- ---------- ----------
Operating income 19,440 13,853 72,830 35,301
Interest income 4,986 1,370 15,183 4,282
Other income (expense), net 159 (437) 204 (1,091)
---------- ---------- ---------- ----------
5,145 933 15,387 3,191
Income before income taxes 24,585 14,786 88,217 38,492
Provision for income taxes 5,665 4,306 27,429 8,310
---------- ---------- ---------- ----------
Net income $18,920 $10,480 $60,788 $30,182
========== ========== ========== ==========
Net income per share:
Basic $0.40 $0.26 $1.35 $0.76
========== ========== ========== ==========
Diluted $0.39 $0.25 $1.29 $0.73
========== ========== ========== ==========
Weighted-average number of
shares used in per share
calculations:
Basic 46,813 40,118 45,172 39,547
========== ========== ========== ==========
Diluted 48,701 41,859 47,193 41,590
========== ========== ========== ==========
FORMFACTOR, INC.
CONSOLIDATED BALANCE SHEETS
(In thousands, except per share data)
(Unaudited)
December 30, December 31,
2006 2005
------------ ------------
ASSETS
Current assets:
Cash and cash equivalents $284,131 $31,217
Marketable securities 208,263 180,391
Accounts receivable, net 54,571 43,967
Inventories 24,778 18,404
Deferred tax assets 13,651 11,396
Prepaid expenses and other current assets 12,138 7,169
------------ ------------
Total current assets 597,532 292,544
Restricted cash 2,250 2,250
Property and equipment, net 94,064 81,588
Deferred tax assets 5,814 4,518
Other assets 945 461
------------ ------------
Total assets $700,605 $381,361
============ ============
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable $31,273 $26,369
Accrued liabilities 28,334 20,467
Income tax payable 10,541 9,697
Deferred rent 447 313
Deferred revenue and customer advances 7,273 3,588
------------ ------------
Total current liabilities 77,868 60,434
Deferred rent and other long term liabilities 5,125 3,138
------------ ------------
Total liabilities 82,993 63,572
Stockholders' equity:
Common stock, $0.001 par value 47 40
Additional paid in capital 504,709 268,291
Deferred stock-based compensation - (2,495)
Accumulated other comprehensive loss (244) (359)
Retained earnings 113,100 52,312
------------ ------------
Total stockholders' equity 617,612 317,789
------------ ------------
Total liabilities and stockholders'
equity $700,605 $381,361
============ ============
--30--
CONTACT: FormFactor, Inc.
Ron C. Foster, Chief Financial Officer, 925-290-4024
or
Investor Relations:
Brooke Deterline or Annie Leschin, 925-290-4949
IR@FormFactor.com
