Earnings Release • Feb 19, 2009
Earnings Release
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FOR: BE SEMICONDUCTOR INDUSTRIES N.V. Ratio 6 6921 RW Duiven The Netherlands
Duiven, the Netherlands, February 19, 2009, BE Semiconductor Industries N.V. ("the Company" or "Besi") (Euronext: BESI), a leading manufacturer of assembly equipment for the semiconductor industry, today announced its financial results for the fourth quarter and year ended December 31, 2008.
| (million) | Q4-2008 | Q3-2008 | Change | 2008 | 2007 | Change |
|---|---|---|---|---|---|---|
| Revenue | € 30.6 | € 35.2 | (13.1%) | € 149.4 | € 166.5 | (10.3%) |
| Gross margin pro forma | 28.1% | 36.4% | (8.3) | 33.6% | 36.0% | (2.4) |
| Operating loss pro forma | (€ 4.3) | (€ 0.1) | NM | (€ 3.7) | (€ 1.1) | 236% |
| Net loss pro forma | (€ 3.9) | (€ 0.4) | NM | (€ 4.1) | (€ 1.8) | 128% |
| EPS (basic, diluted) pro forma | (€ 0.13) | (€ 0.01) | NM | (€ 0.13) | (€ 0.05) | 160% |
| Orders | € 18.2 | € 24.2 | (24.8%) | € 126.3 | € 160.7 | (21.4%) |
| Backlog (end of period) | € 25.4 | € 37.8 | (32.8%) | € 25.4 | € 48.3 | (47.4%) |
| Book to bill ratio | 0.60 | 0.69 | (14.0%) | 0.85 | 0.97 | (12.4%) |
| Cash Flow from Operations | € 12.1 | € 3.4 | 256% | € 23.4 | € 0.6 | NM |
| Cash | € 74.0 | € 66.7 | 10.9% | € 74.0 | € 74.8 | (1.1%) |
| Total Debt | € 61.6 | € 59.1 | 4.2% | € 61.6 | € 71.5 | (13.8%) |
* Prior to restructuring charges, goodwill impairment and asset write-downs and gain on retirement of debt. See accompanying tables for an analysis of Besi's 2007 and 2008 income statement and as adjusted for all such charges.
Richard W. Blickman, President and Chief Executive Officer of the Company, commented: "Unprecedented turmoil and uncertainty in financial markets has dramatically weakened the global economy and has directly affected Besi's business. Commencing in the second half of 2008, demand for our assembly equipment declined significantly from both IDMs and subcontractors as many customers have responded to the global economic crisis by delaying, foregoing or cancelling bookings until a clearer picture of the economy develops. As such, our orders declined by 49.5% as compared to the first half of the year and led to a net loss of € 3.9 million in the fourth quarter of 2008 prior to any restructuring charges and asset write-downs. Prior to the fourth quarter, we had managed to operate at roughly break even net income levels for 2008. As a result of deteriorating industry conditions during the latter part of the fourth quarter of 2008, we wrote down the value of goodwill and deferred tax assets by € 27.2 million at year end. Such write downs will not affect Besi's liquidity, cash flow from operations or debt covenants. Further, these write-downs relate to current market realities and in no way alter our constructive view of the future of the semiconductor equipment industry.
On a positive note, our liquidity position strengthened significantly during the year. We generated € 23.4 million of cash flow from operations in 2008 versus € 0.6 million in 2007 which we utilized primarily to reduce indebtedness by approximately € 10 million and to fund the completion and equipment of our Malaysian and Chinese production facilities. We also ended the year with approximately € 46.9 million of cash in excess of our bank debt and capital leases. This liquidity cushion should help us absorb near term anticipated losses until the market can recover from current depressed levels.
Finally, we are pleased to report an agreement signed on January 25, 2009 to acquire the Esec business unit from OC Oerlikon Corporation AG. In combination with Besi's Datacon product portfolio, the addition of Esec significantly will expand our share of the die bonding system market, one of the most rapidly growing segments of the assembly equipment business. It will also expand Besi's market penetration of many key European, American and Asian global accounts as well as its global installed base of equipment from which to increase non system revenue growth. We anticipate closing the transaction in April and are actively at work on transition and integration plans to maximize potential synergies for the benefit of Besi shareholders."
In the fourth quarter of 2008, Besi confirmed its strategic review with shareholders and announced the launch of its Dragon II series of initiatives and actions focused on the full achievement of cost savings in excess of € 15 million by 2010. Such actions primarily include:
The Company is on target to achieve its planned headcount reduction by the second quarter of 2009.
Besi's 13.1% revenue decrease in the fourth quarter of 2008 as compared to the third quarter of 2008 was due primarily to lower die bonding and packaging equipment shipments to Asian customers for both array connect and leadframe applications and to customer push-outs of orders and shipments originally scheduled for the quarter.
Orders for the fourth quarter of 2008 were € 18.2 million, a decrease of € 6.0 million, or 24.8%, as compared to the third quarter of 2008 and € 25.3 million, or 58.2%, as compared to the fourth quarter of 2007 as customers deferred new purchases due to the uncertain economic environment. In particular, our orders declined this quarter as compared to the third quarter of 2008 due to a significant cutback in packaging and plating system capacity by Asian subcontractors. On a customer basis, bookings in the fourth quarter of 2008 as compared to the third quarter of 2008 reflected a 43% decrease in orders by subcontractors and a 14% decrease in orders by IDMs. Approximately 51% and 49% of backlog at December 31, 2008 was represented by array connect and leadframe assembly applications, respectively.
Besi's gross margin excluding restructuring charges for the fourth quarter of 2008 declined to 28.1% as compared to 36.4% in the third quarter of 2008 and 37.2% in the fourth quarter of 2007. Gross margins decreased in comparison to the third quarter of 2008 primarily as a result of substantially lower packaging and plating equipment margins due to the write-off of certain trim and form system inventory and a plating system order as well as significantly lower revenue levels.
Besi's total operating expenses were € 36.6 million in the fourth quarter of 2008 as compared to € 13.4 million in the third quarter of 2008 and € 15.1 million in the fourth quarter of 2007. Included in Besi's fourth quarter operating expenses were (i) € 20.2 million of non-cash goodwill impairment charges of which € 19.7 million was associated with the January 2005 acquisition of Datacon and € 0.5 million was associated with Fico's acquisition of its singulation system product line and (ii) restructuring charges of € 3.5 million related to the Dragon II restructuring plan. Excluding restructuring and impairment charges, Besi's operating expenses were € 12.9 million in the fourth quarter of 2008 as compared to € 13.0 million in the third quarter of 2008 and € 14.8 million in the fourth quarter of 2007.
Net financial income (expense) decreased from income of € 0.9 million in the third quarter of 2008 to expense of € 0.7 million in the fourth quarter of 2008 due to the recognition in the third quarter of 2008 of a € 1.4 million one-time gain from the repurchase at a discount of € 9.7 million of Besi's 5.5% Convertible Notes due 2012.
Besi's income taxes, net increased from € 0.04 million in the third quarter of 2008 to € 5.0 million in the fourth quarter of 2008 due to the write-off of deferred tax assets related to its Dutch subsidiaries aggregating € 7.0 million as a result of current market conditions and prospects.
Besi's revenue declined from € 166.5 million in 2007 to € 149.4 million in 2008, a decrease of 10.3%. Revenue contraction accelerated in the second half of 2008 due to rapidly deteriorating global economic conditions and its associated impact on the semiconductor industry and its suppliers. Besi's operating loss before restructuring charges, goodwill impairment and asset write-downs was € 3.7 million in 2008 as compared to an operating loss of € 1.1 million in 2007. Cost cutting measures and efficiencies from the Dragon program could not fully offset a € 17 million decline in revenue and lower gross margins related thereto and the adverse development of the euro versus the US dollar during the year.
As a result of deteriorating market conditions and uncertain industry prospects during the latter part of the fourth quarter of 2008, Besi recorded non cash charges of € 27.2 million at year end. Including all such charges, Besi had a net loss of € 33.5 million in 2008, or € 1.09 per share, as compared to a net loss in 2007 of € 5.6 million, or € 0.17 per share.
Besi had € 74.0 million and € 74.8 million in cash and cash equivalents at December 31, 2008 and December 31, 2007, respectively. Cash flow from operations increased significantly from € 0.6 million in 2007 to € 23.4 million in 2008 due primarily to lower working capital requirements. Excess cash flow from operations in 2008 was used primarily to reduce debt by € 9.9 million of which € 8.3 million represented the purchase of € 9.7 million principal amount of Besi's 5.5% Convertible Notes at a discount and to fund the completion and equipment of its Malaysian and Chinese production facilities. As a result, at December 31, 2008, Besi's total debt and capital lease obligations were € 61.6 million as compared to € 71.5 million at December 31, 2007 and its net cash and cash equivalents increased from € 3.3 million at December 31, 2007 to € 12.4 million at December 31, 2008. At year end 2008, Besi had € 46.9 million of cash and cash equivalents in excess of its bank borrowings and capital lease obligations outstanding.
Current analyst forecasts for the assembly equipment industry in 2009 vary significantly but generally forecast a substantial contraction in demand for semiconductors and related equipment in comparison to 2008.
Based on its December 31, 2008 backlog and feedback from customers, Besi forecasts for Q1-2009 that:
As a result, the Company anticipates reporting a loss for the first quarter of 2009 in excess of that reported in the fourth quarter of 2008 (excluding impairment and restructuring charges). Based on its solid liquidity position, Besi is able to absorb near term losses until the market recovers and will continue to align its cost structure to current market realities by means of its Dragon restructuring plan.
The management board of Besi will host an analyst and investor conference on Thursday February 19, 2009, at 4 p.m. CET (3 p.m. London time, 10 a.m. New York time) to discuss the 2008 annual and fourth quarter results. The dial-in number for the teleconference is (31) 70 304 3381. A live audio webcast of the conference will be available at Besi's website: www.besi.com. A recording of the audio webcast will remain available at Besi's website.
BE Semiconductor Industries N.V. designs, develops, manufactures, markets and services die sorting, flip chip and multi-chip die bonding, packaging and plating equipment for the semiconductor industry's assembly operations. Its customers consist primarily of leading U.S., European and Asian semiconductor manufacturers, assembly subcontractors and industrial companies which utilize its products for both array connect and conventional leadframe manufacturing processes. For more information about Besi, please visit our website at www.besi.com.
The condensed consolidated statements of operations for the year ended December 31, 2008, condensed consolidated balance sheets as at December 31, 2008 and condensed consolidated cash flow statements for the year ended December 31, 2008 have been derived from the statutory consolidated financial statements of Besi for the year ended December 31, 2008, which have been prepared in accordance with IFRS as adopted by the EU, and on which Ernst & Young Accountants LLP will issue an unqualified auditor's opinion. The Company's consolidated financial statements as of December 31, 2008 will be presented at the 2009 Annual General Meeting of Shareholders for their adoption.
Richard W. Blickman Jan Willem Ruinemans President & CEO Chief Financial Officer Tel. (31) 26 319 4500 Tel. (31) 26 319 4500 [email protected] [email protected]
Uneke Dekkers / Frank Jansen Citigate First Financial Tel. (31) 20 575 4021 / 24
This press release contains statements about management's future expectations, plans and prospects of our business that constitute forward-looking statements, which are found in various places throughout the press release, including , but not limited to, statements relating to expectations of orders, net sales, product shipments, backlog, expenses, timing of purchases of assembly equipment by customers, gross margins, operating results and capital expenditures. The use of words such as "anticipate", "estimate", "expect", "can", "intend", "believes", "may", "plan", "predict", "project", "forecast", "will", "would", and similar expressions are intended to identify forward looking statements, although not all forward looking statements contain these identifying words. The financial guidance set forth under the heading "Outlook" constitute forward looking statements. While these forward looking statements represent our judgments and expectations concerning the development of our business, a number of risks, uncertainties and other important factors could cause actual developments and results to differ materially from those contained in forward looking statements, including our inability to maintain continued demand for our products, the impact of the worldwide economic downturn on our business, failure of anticipated orders to materialize or postponement or cancellation of orders, generally without charges; the volatility in the demand for semiconductors and our products and services; failure to adequately decrease costs and expenses as revenues decline, loss of significant customers, lengthening of the sales cycle, incurring additional restructuring charges in the future, acts of terrorism and violence; risks, such as changes in trade regulations, currency fluctuations, political instability and war, associated with substantial foreign customers, suppliers and foreign manufacturing operations; potential instability in foreign capital markets; the risk of failure to successfully manage our diverse operations; those additional risk factors set forth in Besi's annual report for the year ended December 31, 2007 and other key factors that could adversely affect our businesses and financial performance contained in our filings and reports, including our statutory consolidated statements. We are under no obligation to (and expressly disclaim any such obligation to) update or alter our forward-looking statements whether as a result of new information, future events or otherwise.
(euro in thousands, except share and per share data)
| Year Ended December 31, | |||||
|---|---|---|---|---|---|
| 2008 | 2007 | ||||
| Revenue | 149,399 | 166,471 | |||
| Cost of sales | 99,514 | 109,010 | |||
| Gross profit | 49,885 | 57,461 | |||
| Selling, general and administrative expenses | 41,755 | 41,828 | |||
| Research and development expenses | 16,073 | 21,312 | |||
| Impairment charges | 20,200 | - | |||
| Total operating expenses | 78,028 | 63,140 | |||
| Operating loss | (28,143) | (5,679) | |||
| Financial expense | (503) | (2,270) | |||
| Loss before taxes | (28,646) | (7,949) | |||
| Income tax expense (benefit) | 4,822 | (2,453) | |||
| Net loss | (33,468) | (5,496) | |||
| Attributable to: | |||||
| Equity holders of the parent | (33,576) | (5,600) | |||
| Minority interest | 108 | 104 | |||
| Net loss | (33,468) | (5,496) | |||
| Net loss per share – basic Net loss per share – diluted |
(1.09) (1.09) |
(0.17) (0.17) |
|||
| Number of shares used in computing per share amounts: - basic |
32,168,570 | ||||
| - diluted 1) | 30,740,487 30,740,487 |
32,168,570 | |||
1) The calculation of the diluted loss per share does not assume conversion of the Company's convertible notes due 2012 as such conversion would have an anti-dilutive effect.
The financial information has been derived from the consolidated financial statements prepared in accordance with IFRS, as adopted by the EU.
(euro in thousands, except share and per share data)
| Year Ended December 31, 2008 | |||||||||
|---|---|---|---|---|---|---|---|---|---|
| As reported | Charges* | As Adjusted | |||||||
| Revenue Cost of sales |
149,399 99,514 |
- 314(a) |
149,399 99,200 |
||||||
| Gross profit | 49,885 | 314 | 50,199 | ||||||
| Selling, general and administrative expenses |
41,755 | 3,835(b) | 37,920 | ||||||
| Research and development expenses Impairment charges |
16,073 20,200 |
75(c) 20,200(d) |
15,998 - |
||||||
| Total operating expenses | 78,028 | 24,110 | 53,918 | ||||||
| Operating income (loss) | (28,143) | 24,424 | (3,719) | ||||||
| Financial expenses, net | (503) | (1,373) (e) | (1,876) | ||||||
| Income (loss) before taxes Income tax expense (benefit) |
(28,646) 4,822 |
23,051 6,279(f) |
(5,595) (1,457) |
||||||
| Net income (loss) before minority interest | (33,468) | 29,330 | (4,138) | ||||||
| Net income (loss) per share – basic Net income (loss) per share – diluted |
(1.09) (1.09) |
0.95 0.95 |
(0.13) (0.13) |
||||||
| Number of shares used in computing per share amounts: - basic |
30,740,487 | 30,740,487 | 30,740,487 | ||||||
| - diluted (g) | 30,740,487 | 30,740,487 | 30,740,487 |
* Charges include restructuring, impairment of goodwill, write down of deferred tax assets and gain on repurchase of portion of Convertible Notes outstanding.
(a) Adjustments to cost of sales include severance and social charges of € 0.3 million related to the restructuring of Besi's Meco business unit.
(b) Adjustments to selling, general and administrative expenses include severance and social charges of € 1.0 million, mainly related to the restructuring of Besi's Meco business unit as well as € 1.8 million for consulting expenses in connection with the Dragon II plan and € 1.0 million related to the closing of Besi's Hungarian operations.
(c) Adjustments to research and development expenses include € 0.1 million of severance and social charges related to the restructuring of Besi's Meco business unit.
(d) Impairment charges include an amount of € 19.7 million related to the write down of goodwill related to the acquisition of Datacon and € 0.5 million related to the write down of goodwill at Fico in connection with the acquisition of the singulation product line.
(e) Includes gain on repurchase of € 9.7 million principal amount of Besi's 5.5% Convertible Notes at a discount.
(f) Write down of deferred tax assets of € 7.0 million related to Besi's Dutch subsidiaries as well as tax effect on restructuring charges
(g) The calculation of diluted income (loss) per share does not assume conversion of the Company's 5.5% outstanding Convertible Notes due 2012 into 7,082,927 ordinary shares, which would have an anti-dilutive effect.
(euro in thousands, except share and per share data)
| Year Ended December 31, 2007 | |||||||||
|---|---|---|---|---|---|---|---|---|---|
| As reported | Restructuring Adjustments |
As Adjusted | |||||||
| Revenue | 166,471 | - | 166,471 | ||||||
| Cost of sales | 109,010 | 2,468(a) | 106,542 | ||||||
| Gross profit | 57,461 | 2,468 | 59,929 | ||||||
| Selling, general and administrative expenses |
41,828 | 1,747(b) | 40,081 | ||||||
| Research and development expenses | 21,312 | 327(c) | 20,985 | ||||||
| Total operating expenses | 63,140 | 2,074 | 61,066 | ||||||
| Operating income (loss) | (5,679) | 4,542 | (1,137) | ||||||
| Financial expenses, net | (2,270) | - | (2,270) | ||||||
| Income (loss) before taxes | (7,949) | 4,542 | (3,407) | ||||||
| Income tax expense (benefit) | (2,453) | (796) (d) | (1,657) | ||||||
| Net income (loss) before minority interest | (5,496) | 3,746 | (1,750) | ||||||
| Net income (loss) per share – basic Net income (loss) per share – diluted |
(0,17) (0,17) |
0,12 0,12 |
(0,05) (0,05) |
||||||
| Number of shares used in computing per share amounts: |
|||||||||
| - basic - diluted (e) |
32,168,570 32,168,570 |
32,168,570 32,168,570 |
32,168,570 32,168,570 |
(a) Adjustments to cost of sales related to the restructuring include: (i) severance and social charges of € 0.7 million related to work force reduction, (ii) inventory write-offs of € 1.1 million associated with the common platform initiative at Fico Netherlands and Fico Asia and the transfer of production activities between Datacon and Laurier, (iii) the write-down of patents of € 0.5 million related to the integration of Laurier and Datacon and (iv) other charges of € 0.2 million
(b) Adjustments to selling, general and administrative expenses include € 0.9 million of severance and social charges related to work force reduction, € 0.5 million related to lease termination costs and € 0.3 million related to the write-down of the value of Laurier's trademarks.
(c) Adjustments to research and development expenses include € 0.3 million of severance and social charges related to work force reduction.
(d) Tax benefit assumed at effective tax rate of 18%.
(e) The calculation of diluted income (loss) per share does not assume conversion of the Company's 5.5% outstanding convertible notes due 2012 into 8,975,610 ordinary shares, which would have an anti-dilutive effect.
| At December 31, | ||
|---|---|---|
| 2008 | 2007 | |
| ASSETS | ||
| Cash and cash equivalents | 74,008 | 74,781 |
| Accounts receivable | 23,824 | 41,738 |
| Inventories | 47,053 | 46,824 |
| Income tax receivable | 598 | 8,172 |
| Other current assets | 5,773 | 6,733 |
| Total current assets | 151,256 | 178,288 |
| Assets held for sale | - | 1,575 |
| Property, plant and equipment | 27,307 | 21,210 |
| Goodwill | 43,394 | 63,218 |
| Other intangible assets | 12,965 | 10,162 |
| Deferred tax assets | 5,677 | 8,172 |
| Other non-current assets | 2,280 | 2,380 |
| Total assets | 242,879 | 285,005 |
| LIABILITIES AND EQUITY | ||
| Notes payable to banks | 16,711 | 14,581 |
| Current portion of long-term debt and financial leases | 4,591 | 6,364 |
| Accounts payable | 11,028 | 13,724 |
| Accrued liabilities | 20,699 | 17,698 |
| Total current liabilities | 53,029 | 52,367 |
| Convertible notes | 34,492 | 42,961 |
| Other long-term debt and financial leases | 5,830 | 7,608 |
| Deferred tax liabilities | 622 | 234 |
| Other non-current liabilities | 2,622 | 3,117 |
| Total non-current liabilities | 43,566 | 53,920 |
| Total equity | 146,284 | 178,718 |
| Total liabilities and equity | 242,879 | 285,005 |
(euro in thousands)
The financial information has been derived from the consolidated financial statements prepared in accordance with IFRS, as adopted by the EU.
(tables to follow)
(euro in thousands)
| Year Ended December 31, | |||||
|---|---|---|---|---|---|
| 2008 | 2007 | ||||
| Cash flows from operating activities: | |||||
| Net income (loss) | (33,468) | (5,496) | |||
| Depreciation and amortization | 7,499 | 8,683 | |||
| Impairment Deferred income taxes (benefits) |
20,200 2,791 |
779 (2,998) |
|||
| Other non-cash items | (234) | 2,781 | |||
| Changes in working capital | 26,646 | (3,188) | |||
| Net cash provided by operating activities | 23,434 | 561 | |||
| Cash flows from investing activities: | |||||
| Capital expenditures | (7,519) | (4,036) | |||
| Capitalized development expenses | (3,453) | (338) | |||
| Proceeds from sale of equipment | 607 | 189 | |||
| Net cash used in investing activities | (10,365) | (4,185) | |||
| Cash flows from financing activities: | |||||
| Proceeds (payments) on bank lines of credit | 2,068 | (3,942) | |||
| Proceeds (payments) on debts | (7,560) | (4,377) | |||
| Repurchase of convertible notes | (8,198) | - | |||
| Purchases of own shares | - | (11,033) | |||
| Proceeds from exercised stock options Other financing activities |
- | 46 276 |
|||
| (375) | |||||
| Net cash provided by financing activities | (14,065) | (19,030) | |||
| Net increase (decrease) in cash and cash equivalents | (996) | (22,654) | |||
| Effect of changes in exchange rates on cash | |||||
| and cash equivalents | 223 | (577) | |||
| Cash and cash equivalents at beginning of the period | 74,781 | 98,012 | |||
| Cash and cash equivalents at end of the period | 74,008 | 74,781 |
The financial information has been derived from the consolidated financial statements prepared in accordance with IFRS, as adopted by the EU.
(tables to follow)
(euro in millions, unless stated otherwise)
| REVENUE | Q1-2007 | Q2-2007 Q3-2007 |
Q4-2007 | Q1-2008 | Q2-2008 | Q3-2008 | Q4-2008 | |||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Per product: | ||||||||||||||||
| Array connect Leadframe |
33.8 11.7 |
74% 26% |
29.6 11.6 |
72% 28% |
26.9 9.0 |
75% 25% |
31.2 12.7 |
71% 29% |
21.6 15.5 |
58% 42% |
30.2 16.3 |
65% 35% |
25.5 9.7 |
72% 28% |
23.8 6.8 |
78% 22% |
| Total | 45.5 | 100% | 41.2 | 100% | 35.9 | 100% | 43.9 | 100% | 37.1 | 100% | 46.5 | 100% | 35.2 | 100% | 30.6 | 100% |
| Per geography: | ||||||||||||||||
| Asia Pacific | 26.7 | 59% | 27.5 | 67% | 21.8 | 61% | 28.3 | 64% | 24.4 | 66% | 30.2 | 65% | 22.3 | 64% | 14.5 | 48% |
| Europe and ROW | 12.5 | 27% | 10.1 | 25% | 11.3 | 31% | 12.2 | 28% | 9.2 | 25% | 14.6 | 31% | 10.3 | 29% | 12.4 | 41% |
| USA | 6.3 | 14% | 3.6 | 9% | 2.8 | 8% | 3.4 | 8% | 3.5 | 9% | 1.7 | 4% | 2.6 | 7% | 3.7 | 12% |
| Total | 45.5 | 100% | 41.2 | 100% | 35.9 | 100% | 43.9 | 100% | 37.1 | 100% | 46.5 | 100% | 35.2 | 100% | 30.6 | 100% |
| ORDERS | Q1-2007 | Q2-2007 | Q3-2007 | Q4-2007 | Q1-2008 | Q2-2008 | Q3-2008 | Q4-2008 | ||||||||
| Per product: | ||||||||||||||||
| Array connect | 29.5 | 71% | 27.3 | 65% | 24.8 | 74% | 23.4 | 54% | 26.3 | 67% | 36.6 | 82% | 15.1 | 62% | 13.7 | 75% |
| Leadframe | 12.3 | 29% | 14.8 | 35% | 8.6 | 26% | 20.1 | 46% | 13.1 | 33% | 8.2 | 18% | 9.1 | 38% | 4.5 | 25% |
| Total | 41.8 | 100% | 42.1 | 100% | 33.4 | 100% | 43.5 | 100% | 39.4 | 100% | 44.8 | 100% | 24.2 | 100% | 18.2 | 100% |
| Per geography: | ||||||||||||||||
| Asia Pacific | 26.3 | 63% | 28.2 | 67% | 18.2 | 55% | 28.3 | 65% | 23.9 | 61% | 30.1 | 67% | 14.2 | 59% | 11.0 | 60% |
| Europe and ROW | 10.3 | 25% | 10.9 | 26% | 12.4 | 37% | 12.6 | 29% | 12.4 | 31% | 12.9 | 29% | 7.0 | 29% | 3.6 | 20% |
| USA | 5.2 | 12% | 3.0 | 7% | 2.8 | 8% | 2.6 | 6% | 3.1 | 8% | 1.8 | 4% | 3.0 | 12% | 3.6 | 20% |
| Total | 41.8 | 100% | 42.1 | 100% | 33.4 | 100% | 43.5 | 100% | 39.4 | 100% | 44.8 | 100% | 24.2 | 100% | 18.2 | 100% |
| Per customer type: | ||||||||||||||||
| IDM | 24.1 | 58% | 24.8 | 59% | 19.5 | 58% | 20.6 | 47% | 22.4 | 57% | 21.4 | 48% | 14.8 | 61% | 12.8 | 70% |
| Subcontractors | 17.7 | 42% | 17.3 | 41% | 13.9 | 42% | 22.9 | 53% | 17.0 | 43% | 23.4 | 52% | 9.4 | 39% | 5.4 | 30% |
| Total | 41.8 | 100% | 42.1 | 100% | 33.4 | 100% | 43.5 | 100% | 39.4 | 100% | 44.8 | 100% | 24.2 | 100% | 18.2 | 100% |
| BACKLOG | Mar 31, 2007 | Jun 30, 2007 | Sep 30, 2007 | Dec 31, 2007 | Mar 31, 2008 | Jun 30, 2008 | Sep 30, 2008 | Dec 31, 2008 | ||||||||
| Per product: | ||||||||||||||||
| Array connect | 34.6 | 69% | 32.3 | 63% | 30.2 | 62% | 22.4 | 46% | 27.1 | 54% | 33.5 | 69% | 23.0 | 61% | 12.9 | 51% |
| Leadframe | 15.7 | 31% | 18.9 | 37% | 18.5 | 38% | 25.9 | 54% | 23.5 | 46% | 15.4 | 31% | 14.8 | 39% | 12.5 | 49% |
| Total | 50.3 | 100% | 51.2 | 100% | 48.7 | 100% | 48.3 | 100% | 50.6 | 100% | 48.9 | 100% | 37.8 | 100% | 25.4 | 100% |
| HEADCOUNT 1) | Mar 31, 2007 | Jun 30, 2007 | Sep 30, 2007 | Dec 31, 2007 | Mar 31, 2008 | Jun 30, 2008 | Sep 30, 2008 | Dec 31, 2008 | ||||||||
| Europe | 657 | 55% | 635 | 54% | 641 | 55% | 630 | 55% | 633 | 55% | 651 | 55% | 660 | 55% | 650 | 55% |
| Asia Pacific USA |
471 76 |
39% | 471 76 |
40% | 460 64 |
40% | 461 50 |
41% | 475 51 |
41% | 477 48 |
41% | 490 46 |
41% | 485 47 |
41% |
| 6% | 6% | 5% | 4% | 4% | 4% | 4% | 4% | |||||||||
| Total | 1,204 | 100% | 1,182 | 100% | 1,165 | 100% | 1,141 | 100% | 1,159 | 100% | 1,176 | 100% | 1,196 | 100% | 1,182 | 100% |
| 1) Excluding temporary staff |
(euro in millions, unless stated otherwise)
| OTHER FINANCIAL DATA | Q1-2007 | Q2-2007 | Q3-2007 | Q4-2007 | Q1-2008 | Q2-2008 | Q3-2008 | Q4-2008 | |||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit: | |||||||||||||||||
| Array connect | 12.7 37.6% | 10.2 | 34.5% | 10.1 | 37.5% | 11.6 | 37.2% | 7.7 | 35.6% | 11.3 | 37.4% | 9.3 | 36.4% | 7.0 | 29.4% | ||
| Leadframe | 4.4 37.6% | 4.3 | 37.1% | 3.3 | 36.7% | 4.8 | 37.8% | 5.1 | 32.9% | 5.3 | 32.5% | 3.8 | 39.2% | 2.0 | 29.4% | ||
| Subtotal | 17.1 37.6% | 14.5 | 35.2% | 13.4 | 37.3% | 16.4 | 37.4% | 12.8 | 34.5% | 16.6 | 35.7% | 13.1 | 37.2% | 9.0 | 29.4% | ||
| Amortization of intangibles | (0.5) | -1.0% | (0.5) | -1.1% | (0.5) | -1.4% | (0.1) | -0.3% | (0.3) | -0.9% | (0.3) | -0.7% | (0.3) | -0.8% | (0.4) | -2.3% | |
| Restructuring charges | - | (2.0) | -4.9% | (0.4) | -1.1% | - | - | - | - | (0.3) | |||||||
| Total | 16.6 36.6% | 12.0 | 29.2% | 12.5 | 34.8% | 16.3 | 37.1% | 12.5 | 33.6% | 16.3 | 35.0% | 12.8 | 36.4% | 8.3 | 27.1% | ||
| Selling, general and administrative expenses: | |||||||||||||||||
| SG&A expenses | 9.7 21.3% | 10.0 | 24.3% | 9.6 | 26.7% | 10.3 | 23.5% | 9.5 | 25.6% | 9.4 | 20.2% | 9.2 | 26.1% | 9.3 | 30.4% | ||
| Amortization of intangibles | 0.1 | 0.2% | 0.1 | 0.2% | 0.1 | 0.3% | 0.1 | 0.2% | 0.1 | 0.3% | 0.1 | 0.2% | 0.1 | 0.3% | 0.2 | 0.7% | |
| Restructuring charges | - | 1.2 | 2.9% | 0.3 | 0.8% | 0.3 | 0.7% | - | - | - | - | 0.4 | 1.1% | 3.4 | 11.1% | ||
| Impairment charges | - | - | - | - | - | - | - | 20.2 | 66.0% | ||||||||
| Total | 9.8 21.6% | 11.3 | 27.4% | 10.0 | 27.8% | 10.7 | 24.4% | 9.6 | 25.9% | 9.5 | 20.4% | 9.7 | 27.5% | 33.1 | 108.2% | ||
| Research and development expenses: | |||||||||||||||||
| R&D expenses | 5.4 11.9% | 5.0 | 12.1% | 4.7 | 13.1% | 4.2 | 9.6% | 5.1 | 13.7% | 4.7 | 10.1% | 3.9 | 11.1% | 4.5 | 14.7% | ||
| Capitalization of R&D charges | - | - | - | (0.3) | -0.7% | (0.7) | -1.9% | (0.7) | -1.5% | (0.7) | -2.0% | (1.4) | -4.6% | ||||
| Amortization of intangibles | 0.5 | 1.1% | 0.5 | 1.2% | 0.5 | 1.4% | 0.5 | 1.1% | 0.3 | 0.8% | 0.3 | 0.6% | 0.4 | 1.1% | 0.3 | 1.0% | |
| Restructuring charges | - | 0.1 | 0.2% | 0.2 | 0.6% | - | - | - | - | 0.1 | 0.3% | ||||||
| Total | 5.9 13.0% | 5.6 | 13.6% | 5.4 | 15.1% | 4.4 | 10.0% | 4.7 | 12.7% | 4.3 | 9.2% | 3.6 | 10.2% | 3.5 | 11.4% | ||
| Financial expense (income), net: | |||||||||||||||||
| Interest expense (income), net | 0.5 | 0.5 | 0.5 | 0.5 | 0.5 | 0.5 | (0.9) | 0.5 | |||||||||
| Foreign exchange (gains) \ losses | (0.1) | 0.1 | (0.1) | - | 0.7 | (0.5) | - | 0.1 | |||||||||
| Non recurring charge related to statutory tax review | 0.5 | - | - | - | - | (0.4) | - | - | |||||||||
| Total | 0.9 | 0.6 | 0.4 | 0.5 | 1.2 | (0.4) | (0.9) | 0.6 | |||||||||
| Operating income (loss) | |||||||||||||||||
| as % of net sales | 0.9 | 2.0% | (4.9) | -11.9% | (2.9) | -8.1% | 1.2 | 2.7% | (1.8) | -4.9% | 2.5 | 5.4% | (0.5) | -1.5% | (28.4) | -92.8% | |
| EBITDA | |||||||||||||||||
| as % of net sales | 3.2 | 7.0% | (1.9) | -4.7% | (0.6) | -1.8% | 3.1 | 7.2% | 0.0 | 0.0% | 4.3 | 9.2% | 1.2 | 3.5% | (5.9) | -19.3% | |
| Net income (loss) | |||||||||||||||||
| as % of net sales | 1.6 | 3.5% | (4.7) | -11.4% | (2.7) | -7.5% | 0.4 | 0.9% | (2.1) | -5.7% | 2.2 | 4.8% | 0.4 | 1.0% | (34.0) -111.1% | ||
| Income per share | |||||||||||||||||
| Basic | 0.05 | (0.14) | (0.08) | 0.01 | (0.069) | 0.072 | 0.013 | (1.103) | |||||||||
| Diluted | 0.05 | (0.14) | (0.08) | 0.01 | (0.069) | 0.071 | 0.013 | (1.103) |
BE SEMICONDUCTOR INDUSTRIES N.V. Ratio 6 6921 RW Duiven
Duiven, 19 februari 2009, BE Semiconductor Industries N.V. ("Besi") (Euronext: BESI), een toonaangevende leverancier van assemblagemachines voor de halfgeleiderindustrie, heeft vandaag haar vierde kwartaal- en jaarresultaten 2008 bekend gemaakt.
| (miljoen) | Q4-2008 | Q3-2008 | Delta | 2008 | 2007 | Delta |
|---|---|---|---|---|---|---|
| Omzet | € 30.6 | € 35.2 | (13.1%) | € 149.4 | € 166.5 | (10.3%) |
| Brutomarge pro forma | 28.1% | 36.4% | (8.3) | 33.6% | 36.0% | (2.4) |
| Bedrijfsresultaat pro forma | (€ 4.3) | (€ 0.1) | NM | (€ 3.7) | (€ 1.1) | 236% |
| Nettoverlies pro forma | (€ 3.9) | (€ 0.4) | NM | (€ 4.1) | (€ 1.8) | 128% |
| Winst per aandeel (basic, diluted) | ||||||
| pro forma | (€ 0.13) | (€ 0.01) | NM | (€ 0.13) | (€ 0.05) | 160% |
| Orders | € 18.2 | € 24.2 | (24.8%) | € 126.3 | € 160.7 | (21.4%) |
| Orderportefeuille (per einde periode) | € 25.4 | € 37.8 | (32.8%) | € 25.4 | € 48.3 | (47.4%) |
| Book to bill ratio | 0.60 | 0.69 | (14.0%) | 0.85 | 0.97 | (12.4%) |
| Kasstroom uit bedrijfsactiviteiten | € 12.1 | € 3.4 | 256% | € 23.4 | € 0.6 | NM |
| Liquide middelen | € 74.0 | € 66.7 | 10.9% | € 74.0 | € 74.8 | (1.1%) |
| Totaal schulden | € 61.6 | € 59.1 | 4.2% | € 61.6 | € 71.5 | (13.8%) |
* Exclusief reorganisatiekosten, afwaardering van goodwill en activa, winst op inkoop converteerbare obligaties.
Richard W. Blickman, Chief Executive Officer, lichtte toe: "Nooit eerder vertoonde onzekerheid in de financiële markten heeft de wereldeconomie negatief beïnvloed en een direct effect gehad op Besi. Vanaf de tweede helft van 2008 is de vraag naar onze producten sterk afgenomen, omdat klanten (zowel IDMs als subcontractors) vanwege de economische crisis terughoudend zijn geworden in het plaatsen van orders. Daardoor is de orderontvangst gedaald met 49.5% ten opzichte van de eerste helft van het jaar en heeft dit ertoe geleid dat er een nettoverlies van € 3.9 miljoen is geboekt in het vierde kwartaal van 2008 exclusief reorganisatiekosten en afwaarderingen op activa. In de eerste negen maanden van 2008 was het resultaat min of meer break-even. Vanwege de sterk verslechterde marktomstandigheden hebben we moeten besluiten af te schrijven op goodwill en belastinglatentie ter hoogte van € 27.2 miljoen. Deze afschrijvingen hebben geen effect op onze liquiditeit, operationele kasstromen of bankconvenanten.
Hierbij zij opgemerkt dat de liquiditeitspositie gedurende het jaar aanzienlijk is verbeterd. De operationele kasstroom is toegenomen van € 0.6 miljoen in 2007 tot € 23.4 miljoen in 2008 welke aangewend is voor het terugbrengen van ongeveer € 10 miljoen schuld en de financiering van productiefaciliteiten en machines in Maleisië en China. Per eind 2008 heeft Besi een surplus aan liquide middelen van € 46.9 miljoen vrij van bankschulden. Deze sterke liquiditeitspositie stelt Besi in staat het hoofd te bieden aan de huidige slechte marktomstandigheden.
Ten slotte zijn we verheugd dat we op 25 januari 2009 een overeenkomst zijn aangegaan met OC Oerlikon Corporation AG voor de overname van Esec. Esec in combinatie met Datacon zal ons totale marktaandeel in die bonding machines aanzienlijk verstevigen. Een van de snelst groeiende marksegmenten. Tevens zal Besi hiermee haar marktpositie bij grote wereldwijde klanten versterken en tevens het geïnstalleerde machinepark vergroten. Naar verwachting wordt de transactie in april 2009 afgerond; momenteel werken we aan een integratieplan om zo snel mogelijk maximale synergie voordelen te realiseren voor onze aandeelhouders."
Besi heeft recentelijk het Dragon strategische plan herbevestigd met haar aandeelhouders en heeft diverse initiatieven en acties in gang gezet gericht op een kostenbesparing van meer dan € 15 miljoen in 2010. Deze acties bestaan hoofdzakelijk uit:
De geplande afbouw van personeel zal afgerond zijn in het tweede kwartaal van 2009.
De omzet van Besi is in het vierde kwartaal met 13.1% gedaald in vergelijking met het derde kwartaal van 2008, met name door minder omzet van die bonding en verpakkingsmachines aan klanten in Azië voor zowel array connect als leadframe toepassingen en bovendien hebben enkele klanten orders uitgesteld die gepland waren voor uitlevering in het vierde kwartaal.
De orderontvangst in het vierde kwartaal van 2008 bedroeg € 18.2 miljoen, een daling van € 6.0 miljoen, of 24.8%, in vergelijking tot het derde kwartaal van 2008 en € 25.3 miljoen, of 58.2%, in vergelijking tot het vierde kwartaal van 2007. Met name daalden de orders voor verpakkings- en platingmachines. De orders geplaatst door subcontractors nam af met 43% en met 14% voor IDMs ten opzichte van het derde kwartaal van 2008. Ongeveer 51% van de orderportefeuille bestond uit machines voor array connect toepassingen en 49% voor leadframe toepassingen per ultimo 2008.
De brutomarge van Besi (exclusief reorganisatiekosten) voor het vierde kwartaal van 2008 was 28.1% in vergelijking met 36.4% in het derde kwartaal van 2008 en 37.2% in het vierde kwartaal van 2007. De verslechterde brutomarges in vergelijking met het derde kwartaal van 2008 worden voornamelijk veroorzaakt door onderdekking en afschrijvingen op een plating systeem en bepaalde trim and form machinevoorraad.
Besi's exploitatiekosten waren € 36.6 miljoen in het vierde kwartaal van 2008 in vergelijking tot € 13.4 miljoen in het derde kwartaal 2008 en € 15.1 miljoen in het vierde kwartaal van 2007. De kosten bestaan deels uit (i) € 20.2 miljoen voor een afwaardering van goodwill, waarvan € 19.7 miljoen betrekking heeft op de acquisitie van Datacon in januari 2005 en € 0.5 miljoen voor Fico's acquisitie van een singulation product en (ii) reorganisatiekosten van € 3.5 miljoen als onderdeel van het Dragon II plan.
De operationele kosten bedroegen € 12.9 miljoen in het vierde kwartaal van 2008, exclusief reorganisatie- en afwaarderingskosten, ten opzichte van € 13.0 miljoen in het derde kwartaal 2008 en € 14.8 miljoen in het vierde kwartaal van 2007.
De netto financiële uitgaven (met name rente) bedroegen € 0.7 miljoen in het vierde kwartaal van 2008. Dit in vergelijking tot een bate van € 0.9 miljoen in het derde kwartaal van 2008 voortvloeiend uit de bijzondere bate gerealiseerd op de terugkoop van € 9.7 miljoen van Besi's 5.5% Convertible Notes (2012).
De post belastingen steeg van € 0.04 miljoen in het derde kwartaal naar € 5.0 miljoen in het vierde kwartaal vanwege de afschrijving op latente belastingvorderingen van € 7.0 miljoen bij Nederlandse dochtermaatschappijen.
De omzet is gedaald van € 166.5 miljoen in 2007 naar € 149.4 miljoen in 2008, een daling van 10.3%. De omzetafname heeft hoofdzakelijk plaatsgevonden in de tweede helft van 2008 vanwege een snel verslechterende wereldeconomie en de daaraan gerelateerde halfgeleiderindustrie. Het operationele resultaat van Besi, exclusief reorganisatiekosten, afwaardering van goodwill en activa, was € 3.7 miljoen in 2008 vergeleken met een operationeel verlies van € 1.1 miljoen in 2007. Kostenbesparingen in het kader van het Dragon plan waren ontoereikend om de afname van de omzet, lagere bruto marges en de negatieve ontwikkeling van de euro ten opzichte van de dollar te compenseren.
Het nettoverlies van Besi van € 33.5 miljoen in 2008, of € 1.09 per aandeel, vergeleken met een verlies van € 5.6 million in 2007 of € 0.17 per aandeel.
Per 31 december 2008 bedroeg de kaspositie € 74.0 miljoen in vergelijking met € 74.8 miljoen per 31 december 2007. De operationele kasstroom verbeterde significant van € 0.6 miljoen in 2007 tot € 23.4 miljoen in 2008, met name vanwege een reductie in werkkapitaal. Deze middelen zijn met name aangewend om de schuld te verlagen met € 9.9 miljoen waarvan € 8.3 miljoen betrekking had op de inkoop van de converteerbare obligatie en het financieren van productiefaciliteiten en machines in Maleisië en China. De totale schuld ging omlaag van € 71.5 miljoen per 31 december 2007 naar € 61.6 miljoen per ultimo 2008. De netto kaspositie steeg van € 3.3 miljoen per 31 december 2007 tot € 12.4 miljoen per 31 december 2008. Ultimo 2008 heeft Besi een surplus aan liquide middelen van € 46.9 miljoen vrij van bankschulden.
Op dit moment variëren de voorspellingen van analisten voor 2009 aanzienlijk maar in het algemeen wordt een significante daling verwacht voor de vraag naar halfgeleiders en gerelateerde machines ten opzichte van 2008.
Gebaseerd op de orderportefeuille van 31 december 2008 en de feedback van klanten verwacht Besi voor het eerste kwartaal van 2009:
Dit heeft tot gevolg dat de onderneming verwacht een verlies te rapporteren in het eerste kwartaal dat groter is dan het vierde kwartaal van 2008 (exclusief reorganisatiekosten en afschrijvingen). De sterke liquiditeitspositie stelt Besi in staat om verliezen te absorberen totdat de markt zich herstelt en we zullen deze verliezen minimaliseren door het uitvoeren van het Dragon reorganisatieplan.
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