(Mark One) | ||
þ | ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 | |
For fiscal year ended September 30, | ||
or | ||
¨ | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 | |
For the transition period from to . |
Delaware | 04-3040660 | |
(State or Other Jurisdiction of Incorporation or Organization) | (I.R.S. Employer Identification No.) | |
15 Elizabeth Drive Chelmsford, Massachusetts (Address of Principal Executive Offices) | 01824 (Zip Code) |
Title of Each Class | Name of Each Exchange on Which Registered | |||
Common Stock, $0.01 par value | The NASDAQ Stock Market LLC |
Large accelerated filer þ | Accelerated filer ¨ | Non-accelerated filer ¨ | Smaller reporting company ¨ | |||
(Do not check if a smaller reporting company) |
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Item 1. | Business |
2011 | 2010 | |||||||
Semiconductor capital equipment | 65 | % | 71 | % | ||||
Service and spares | 13 | % | 13 | % | ||||
Industrial capital equipment | 11 | % | 8 | % | ||||
Life sciences | 2 | % | — | |||||
Other adjacent markets | 9 | % | 8 | % | ||||
100 | % | 100 | % |
2014 | 2013 | 2012 | ||||||
Semiconductor capital equipment | 46 | % | 46 | % | 51 | % | ||
Service and spares | 19 | % | 21 | % | 17 | % | ||
Industrial capital equipment | 11 | % | 12 | % | 11 | % | ||
Other adjacent technology markets | 11 | % | 11 | % | 10 | % | ||
Life sciences | 13 | % | 10 | % | 11 | % | ||
100 | % | 100 | % | 100 | % |
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Year Ended September 30, | ||||||||||||
2011 | 2010 | 2009 | ||||||||||
North America | $ | 349,456 | $ | 322,542 | $ | 115,734 | ||||||
Asia/Pacific | 244,524 | 203,172 | 68,393 | |||||||||
Europe | 94,125 | 67,258 | 34,579 | |||||||||
$ | 688,105 | $ | 592,972 | $ | 218,706 | |||||||
Year Ended September 30, | |||||||||||
2014 | 2013 | 2012 | |||||||||
North America | $ | 174,343 | $ | 177,779 | $ | 214,060 | |||||
Asia/Pacific | 198,695 | 154,358 | 183,406 | ||||||||
Europe | 109,810 | 90,303 | 91,517 | ||||||||
$ | 482,848 | $ | 422,440 | $ | 488,983 |
September 30, | |||||||
2014 | 2013 | ||||||
North America | $ | 40,232 | $ | 38,505 | |||
Asia/Pacific | 870 | 1,646 | |||||
Europe/Middle East | 9,081 | 7,355 | |||||
$ | 50,183 | $ | 47,506 |
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Item 1A. | Risk Factors |
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obtain market acceptance of our products and services; timely innovate, develop and commercialize new technologies and applications; adjust to changing market conditions; differentiate our offerings from our competitors' offerings; obtain and maintain intellectual property rights where necessary; continue to develop a comprehensive, integrated product and service strategy; properly price our products and services; and design our products to high standards of manufacturability so that they meet customer requirements. |
tariff and international trade barriers; fewer or less certain legal protections for intellectual property and contract rights abroad; different and changing legal and regulatory requirements in the jurisdictions in which we operate; government currency control and restrictions on repatriation of earnings; fluctuations in foreign currency exchange and interest rates, particularly in Asia and Europe; and political and economic instability, changes, hostilities and other disruptions in regions where we operate. |
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or for intangible assets, a revised useful life. These events and circumstances include significant changes | ||
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Item 1B. | Unresolved Staff Comments |
Item 2. | Properties |
Location | Functions | ||||||||
Square Footage | |||||||||
Expiration | |||||||||
Chelmsford, Massachusetts | Corporate headquarters, training, manufacturing, R&D and | 201,000 | Owned | ||||||
Chelmsford, Massachusetts | Manufacturing | 97,000 | |||||||
Poway, California | Manufacturing, R&D and | sales & support | 67,600 | July 2015 | |||||
R&D and sales & support | 44,900 | August 2018 | |||||||
Manchester, UK | Manufacturing, R&D and | 42,000 | |||||||
Yongin-City, South Korea | Manufacturing, R&D and sales & support | 34,100 | |||||||
Jena, Germany | Manufacturing, R&D and sales & support | 30,100 | |||||||
Sales & support | 28,600 | June |
Item 3. | Legal Proceedings |
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Item 4. |
Item 5. | Market for |
High | Low | |||||||
Fiscal year ended September 30, 2011 | ||||||||
First quarter | $ | 9.48 | $ | 6.37 | ||||
Second quarter | 13.94 | 8.72 | ||||||
Third quarter | 14.59 | 9.96 | ||||||
Fourth quarter | 11.66 | 7.74 | ||||||
Fiscal year ended September 30, 2010 | ||||||||
First quarter | $ | 9.11 | $ | 6.13 | ||||
Second quarter | 10.82 | 7.20 | ||||||
Third quarter | 10.23 | 6.63 | ||||||
Fourth quarter | 9.17 | 5.46 |
Market Price | Dividends Declared | ||||||||||
High | Low | ||||||||||
Fiscal year ended September 30, 2014 | |||||||||||
First quarter | $ | 10.75 | $ | 9.01 | $ | 0.08 | |||||
Second quarter | 11.64 | 9.43 | 0.08 | ||||||||
Third quarter | 11.50 | 8.75 | 0.08 | ||||||||
Fourth quarter | 11.53 | 9.86 | 0.10 | ||||||||
Fiscal year ended September 30, 2013 | |||||||||||
First quarter | $ | 8.24 | $ | 7.00 | $ | 0.08 | |||||
Second quarter | 10.50 | 8.23 | 0.08 | ||||||||
Third quarter | 10.97 | 8.78 | 0.08 | ||||||||
Fourth quarter | 10.56 | 8.74 | 0.08 |
9/29/06 | 9/28/07 | 9/30/08 | 9/30/09 | 9/30/10 | 9/30/11 | |||||||||||||||||||
Brooks Automation, Inc. | 100.00 | 109.12 | 64.06 | 59.23 | 51.42 | 63.01 | ||||||||||||||||||
NASDAQ/AMEX/NYSE | 100.00 | 122.06 | 95.47 | 92.26 | 100.97 | 96.91 | ||||||||||||||||||
Peer Group | 100.00 | 115.49 | 71.97 | 81.63 | 88.50 | 100.16 |
9/30/09 | 9/30/10 | 9/30/11 | 9/30/12 | 9/30/13 | 9/30/14 | |||||||
Brooks Automation, Inc. | 100.00 | 86.80 | 106.38 | 108.40 | 130.06 | 151.69 | ||||||
NASDAQ/NYSE MKT/NYSE | 100.00 | 109.28 | 105.09 | 132.49 | 158.51 | 181.57 | ||||||
Peer Group | 100.00 | 102.67 | 101.89 | 125.13 | 167.58 | 173.52 |
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Maximum | ||||||||||||||||
Number (or | ||||||||||||||||
Approximate | ||||||||||||||||
Total Number of | Dollar Value) of | |||||||||||||||
Total | Shares Purchased as | Shares that May Yet | ||||||||||||||
Number | Average Price | Part of Publicly | be Purchased Under | |||||||||||||
of Shares | Paid | Announced Plans | the Plans or | |||||||||||||
Period | Purchased | per Share | or Programs | Programs | ||||||||||||
July 1 — 31, 2011 | — | $ | — | — | $ | — | ||||||||||
August 1 — 31, 2011 | 1,587 | 9.20 | 1,587 | — | ||||||||||||
September 1 — 30, 2011 | 2,116 | 8.37 | 2,116 | — | ||||||||||||
Total | 3,703 | $ | 8.73 | 3,703 | $ | — | ||||||||||
Period | Total Number of Shares Purchased | Average Price Paid per Share | Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs | Maximum Number (or Approximate Dollar Value) of Shares that May Yet be Purchased Under the Plans or Programs | ||||||||||
July 1 - 31, 2014 | — | $ | — | — | $ | — | ||||||||
August 1 - 31, 2014 | 8,608 | 10.56 | 8,608 | — | ||||||||||
September 1 - 30, 2014 | — | — | — | — | ||||||||||
Total | 8,608 | $ | 10.56 | 8,608 | $ | — |
Item 6. | Selected Financial Data |
Year Ended September 30, | ||||||||||||||||||||
2011(6)(7) | 2010(5) | 2009(4) | 2008(3) | 2007(1)(2) | ||||||||||||||||
(In thousands, except per share data) | ||||||||||||||||||||
Revenues | $ | 688,105 | $ | 592,972 | $ | 218,706 | $ | 526,366 | $ | 743,258 | ||||||||||
Gross profit (loss) | $ | 223,021 | $ | 166,295 | $ | (5,996 | ) | $ | 126,828 | $ | 219,595 | |||||||||
Income (loss) from continuing operations before income taxes and equity in earnings (losses) of joint ventures | $ | 127,576 | $ | 56,064 | $ | (226,917 | ) | $ | (236,152 | ) | $ | 55,636 | ||||||||
Net income (loss) from continuing operations | $ | 128,404 | $ | 59,025 | $ | (227,773 | ) | $ | (236,678 | ) | $ | 54,369 | ||||||||
Net income (loss) attributable to Brooks Automation, Inc. | $ | 128,352 | $ | 58,982 | $ | (227,858 | ) | $ | (235,946 | ) | $ | 151,472 | ||||||||
Basic net income (loss) from continuing operations per share attributable to Brooks Automation, Inc. common stockholders | $ | 1.99 | $ | 0.92 | $ | (3.62 | ) | $ | (3.67 | ) | $ | 0.74 | ||||||||
Diluted net income (loss) from continuing operations per share attributable to Brooks Automation, Inc. common stockholders | $ | 1.97 | $ | 0.92 | $ | (3.62 | ) | $ | (3.67 | ) | $ | 0.73 | ||||||||
Shares used in computing basic earnings (loss) per share | 64,549 | 63,777 | 62,911 | 64,542 | 73,492 | |||||||||||||||
Shares used in computing diluted earnings (loss) per share | 65,003 | 64,174 | 62,911 | 64,542 | 74,074 | |||||||||||||||
Cash dividends per share | $ | 0.08 | $ | — | $ | — | $ | — | $ | — |
Year Ended September 30, | |||||||||||||||||||
2014(1)(2)(3) | 2013(1)(4)(5) | 2012(1)(6)(7)(8) | 2011(1)(9)(10) | 2010(1)(11) | |||||||||||||||
(In thousands, except per share data) | |||||||||||||||||||
Revenue | $ | 482,848 | $ | 422,440 | $ | 488,983 | $ | 653,299 | $ | 562,744 | |||||||||
Gross profit | $ | 167,337 | $ | 132,307 | $ | 159,453 | $ | 207,012 | $ | 152,605 | |||||||||
Operating income (loss) | $ | (2,699 | ) | $ | (16,798 | ) | $ | 1,642 | $ | 70,301 | $ | 39,295 | |||||||
Income (loss) from continuing operations | $ | 1,520 | $ | (7,114 | ) | $ | 131,835 | $ | 121,141 | $ | 52,172 | ||||||||
Income from discontinued operations, net of tax | $ | 30,002 | $ | 4,964 | $ | 5,000 | $ | 9,296 | $ | 7,712 | |||||||||
Net income (loss) attributable to Brooks Automation, Inc. | $ | 31,361 | $ | (2,215 | ) | $ | 136,789 | $ | 130,385 | $ | 59,841 | ||||||||
Basic net income (loss) per share attributable to Brooks Automation, Inc. common stockholders: | |||||||||||||||||||
Income (loss) from continuing operations | $ | 0.02 | $ | (0.11 | ) | $ | 2.02 | $ | 1.88 | $ | 0.82 | ||||||||
Income from discontinued operations, net of tax | 0.45 | 0.08 | 0.08 | 0.14 | 0.12 | ||||||||||||||
Basic net income (loss) per share attributable to Brooks Automation, Inc. | $ | 0.47 | $ | (0.03 | ) | $ | 2.10 | $ | 2.02 | $ | 0.94 | ||||||||
Diluted net income (loss) per share attributable to Brooks Automation, Inc. common stockholders: | |||||||||||||||||||
Income (loss) from continuing operations | $ | 0.02 | $ | (0.11 | ) | $ | 2.01 | $ | 1.86 | $ | 0.81 | ||||||||
Income from discontinued operations, net of tax | 0.44 | 0.08 | 0.08 | 0.14 | 0.12 | ||||||||||||||
Diluted net income (loss) per share attributable to Brooks Automation, Inc. | $ | 0.46 | $ | (0.03 | ) | $ | 2.08 | $ | 2.01 | $ | 0.93 | ||||||||
Dividend declared per share | $ | 0.34 | $ | 0.32 | $ | 0.32 | $ | 0.08 | $ | — |
As of September 30, | ||||||||||||||||||||
2011 | 2010 | 2009 | 2008 | 2007 | ||||||||||||||||
(In thousands) | ||||||||||||||||||||
Total assets | $ | 636,620 | $ | 518,224 | $ | 413,322 | $ | 663,638 | $ | 1,014,838 | ||||||||||
Working capital | $ | 224,785 | $ | 219,176 | $ | 150,700 | $ | 235,795 | $ | 346,883 | ||||||||||
Total Brooks Automation, Inc. stockholders’ equity | $ | 518,009 | $ | 388,815 | $ | 319,129 | $ | 541,995 | $ | 859,779 |
As of September 30, | |||||||||||||||||||
2014 | 2013 | 2012 | 2011 | 2010 | |||||||||||||||
(In thousands) | |||||||||||||||||||
Cash and cash equivalents and marketable securities | $ | 245,456 | $ | 173,362 | $ | 200,231 | $ | 205,818 | $ | 142,427 | |||||||||
Working capital(12) | $ | 98,228 | $ | 105,511 | $ | 121,709 | $ | 95,579 | $ | 107,064 | |||||||||
Total assets | $ | 778,038 | $ | 736,763 | $ | 741,960 | $ | 636,958 | $ | 517,040 | |||||||||
Total capital lease obligation | $ | 8,298 | $ | — | $ | — | $ | — | $ | — | |||||||||
Total equity | $ | 642,889 | $ | 632,656 | $ | 649,301 | $ | 518,936 | $ | 388,168 |
Year Ended September 30, 2011 | ||||||||||||||||
First | Second | Third | Fourth | |||||||||||||
Quarter | Quarter | Quarter(7) | Quarter | |||||||||||||
(In thousands, except per share data) | ||||||||||||||||
Revenues | $ | 178,367 | $ | 192,651 | $ | 186,136 | $ | 130,951 | ||||||||
Gross profit | $ | 57,319 | $ | 61,674 | $ | 56,970 | $ | 47,058 | ||||||||
Net income | $ | 23,486 | $ | 26,603 | $ | 66,189 | $ | 12,126 | ||||||||
Net income attributable to Brooks Automation, Inc. | $ | 23,486 | $ | 26,585 | $ | 66,183 | $ | 12,098 | ||||||||
Basic net income per share attributable to Brooks Automation, Inc. common stockholders | $ | 0.37 | $ | 0.41 | $ | 1.02 | $ | 0.19 | ||||||||
Diluted net income per share attributable to Brooks Automation, Inc. common stockholders | $ | 0.36 | $ | 0.41 | $ | 1.02 | $ | 0.19 |
Year Ended September 30, 2010 | ||||||||||||||||||||
First | Second | Third | Fourth | |||||||||||||||||
Quarter | Quarter(5) | Quarter | Quarter | |||||||||||||||||
(In thousands, except per share data) | ||||||||||||||||||||
Revenues | $ | 106,197 | $ | 148,353 | $ | 156,790 | $ | 181,632 | ||||||||||||
Gross profit | $ | 26,246 | $ | 38,950 | $ | 45,905 | $ | 55,194 | ||||||||||||
Net income (loss) | $ | (2,877 | ) | $ | 20,948 | $ | 16,646 | $ | 24,308 | |||||||||||
Net income (loss) attributable to Brooks Automation, Inc. | $ | (2,795 | ) | $ | 21,029 | $ | 16,572 | $ | 24,176 | |||||||||||
Basic and diluted net income (loss) per share attributable to Brooks Automation, Inc. common stockholders | $ | (0.04 | ) | $ | 0.33 | $ | 0.26 | $ | 0.38 |
Year Ended September 30, 2014 | |||||||||||||||
First Quarter(1) | Second Quarter | Third Quarter(2)(3) | Fourth Quarter(3) | ||||||||||||
(In thousands, except per share data) | |||||||||||||||
Revenue | $ | 117,072 | $ | 125,900 | $ | 117,359 | $ | 122,517 | |||||||
Gross profit | $ | 40,891 | $ | 44,298 | $ | 40,746 | $ | 41,402 | |||||||
Operating income (loss) | $ | 1,458 | $ | 2,396 | $ | (5,910 | ) | $ | (643 | ) | |||||
Income (loss) from continuing operations | $ | 1,919 | $ | 2,103 | $ | (2,764 | ) | $ | 262 | ||||||
Income from discontinued operations, net of tax | $ | 1,577 | $ | 1,162 | $ | 27,263 | $ | — | |||||||
Net income attributable to Brooks Automation, Inc. | $ | 3,448 | $ | 3,189 | $ | 24,476 | $ | 248 | |||||||
Basic net income per share attributable to Brooks Automation, Inc. common stockholders: | |||||||||||||||
Income (loss) from continuing operations | $ | 0.03 | $ | 0.03 | $ | (0.04 | ) | $ | 0.00 | ||||||
Income from discontinued operations, net of tax | 0.02 | 0.02 | 0.41 | — | |||||||||||
Basic net income per share attributable to Brooks Automation, Inc. | $ | 0.05 | $ | 0.05 | $ | 0.37 | $ | 0.00 | |||||||
Diluted net income per share attributable to Brooks Automation, Inc. common stockholders: | |||||||||||||||
Income (loss) from continuing operations | $ | 0.03 | $ | 0.03 | $ | (0.04 | ) | $ | 0.00 | ||||||
Income from discontinued operations, net of tax | 0.02 | 0.02 | 0.40 | — | |||||||||||
Diluted net income per share attributable to Brooks Automation, Inc. | $ | 0.05 | $ | 0.05 | $ | 0.36 | $ | 0.00 |
Year Ended September 30, 2013 | |||||||||||||||
First Quarter(5) | Second Quarter(5) | Third Quarter(5) | Fourth Quarter(4)(5) | ||||||||||||
(In thousands, except per share data) | |||||||||||||||
Revenue | $ | 91,506 | $ | 109,482 | $ | 110,771 | $ | 110,681 | |||||||
Gross profit | $ | 26,281 | $ | 33,083 | $ | 36,075 | $ | 36,868 | |||||||
Operating income (loss) | $ | (14,468 | ) | $ | (3,170 | ) | $ | 2,133 | $ | (1,293 | ) | ||||
Income (loss) from continuing operations | $ | (10,407 | ) | $ | (3,165 | ) | $ | 4,549 | $ | 1,909 | |||||
Income (loss) from discontinued operations, net of tax | $ | 1,188 | $ | 2,654 | $ | (2,981 | ) | $ | 4,103 | ||||||
Net income (loss) attributable to Brooks Automation, Inc. | $ | (9,236 | ) | $ | (538 | ) | $ | 1,544 | $ | 6,015 | |||||
Basic net income (loss) per share attributable to Brooks Automation, Inc. common stockholders: | |||||||||||||||
Income (loss) from continuing operations | $ | (0.16 | ) | $ | (0.05 | ) | $ | 0.07 | $ | 0.03 | |||||
Income (loss) from discontinued operations, net of tax | 0.02 | 0.04 | (0.05 | ) | 0.06 | ||||||||||
Basic net income (loss) per share attributable to Brooks Automation, Inc. | $ | (0.14 | ) | $ | (0.01 | ) | $ | 0.02 | $ | 0.09 | |||||
Diluted net income (loss) per share attributable to Brooks Automation, Inc. common stockholders: | |||||||||||||||
Income (loss) from continuing operations | $ | (0.16 | ) | $ | (0.05 | ) | $ | 0.07 | $ | 0.03 | |||||
Income (loss) from discontinued operations, net of tax | 0.02 | 0.04 | (0.04 | ) | 0.06 | ||||||||||
Diluted net income (loss) per share attributable to Brooks Automation, Inc. | $ | (0.14 | ) | $ | (0.01 | ) | $ | 0.02 | $ | 0.09 |
(1) |
(2) |
(3) | We acquired Dynamic Micro Systems Semiconductor Equipment GmbH, or DMS, in April 2014. The results of DMS have been included in our results of operations from the date of acquisition. Refer to Note 4, “Acquisitions” in the Notes to the Consolidated Financial Statements for additional information regarding this transaction. |
(4) | We acquired certain assets and assumed certain liabilities of Matrical, Inc.’s life science businesses, collectively referred to as Matrical, in August 2013. The results of Matrical have been included in our results of operations from the date of acquisition. Refer to Note 4, “Acquisitions” in the Notes to the Consolidated Financial Statements for additional information regarding this transaction. |
(5) | We acquired Crossing Automation Inc., or Crossing, in October 2012. The results of Crossing have been included in our results of operations from the date of acquisition. Refer to Note 4, “Acquisitions” in the Notes to the Consolidated Financial Statements for additional information regarding this transaction. |
(6) | We acquired the Celigo® product line in December 2011. The results from the Celigo® product line were included in our results of operations from the date of acquisition through March 2014, when we completed the sale of this product line. Refer to Note 4, “Acquisitions” in the Notes to the Consolidated Financial Statements for additional information regarding this transaction. |
(7) | Income |
(8) | Income (loss) from continuing operations and net income (loss) attributable to Brooks Automation, Inc. includes an $8.9 million charge |
(9) | We acquired RTS Life Science Limited, or RTS, in April 2011 and Nexus Biosystems, Inc., or Nexus, in July 2011. The results of RTS and Nexus have been included in our results of operations from the date of each acquisition. |
(11) | Income (loss) | |
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(12) | The calculation of working capital excludes "Cash and cash equivalents" and "Marketable securities," as well as assets and liabilities identifiable within the Granville-Phillips business reported as “Assets held for sale” and “Liabilities held for sale,” respectively, in the Consolidated Balance Sheets. |
Item 7. | Management’s Discussion and Analysis of Financial Condition and Results of Operations |
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Year Ended | ||||
September 30, 2009 | ||||
Reported as cost of sales: | ||||
Completed technology intangible asset impairment | $ | 19,608 | ||
Property, plant and equipment impairment | 1,316 | |||
Subtotal, reported as cost of sales | 20,924 | |||
Reported as operating expense: | ||||
Trade name intangible asset impairment | 1,145 | |||
Customer relationship intangible asset impairment | 13,443 | |||
Subtotal, reported as operating expense | 14,588 | |||
$ | 35,512 | |||
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Less than | One to | Four to | ||||||||||||||||||
Total | One Year | Three Years | Five Years | Thereafter | ||||||||||||||||
Contractual obligations | ||||||||||||||||||||
Operating leases | $ | 24,628 | $ | 6,575 | $ | 13,904 | $ | 2,137 | $ | 2,012 | ||||||||||
Pension funding | 7,895 | 734 | 2,358 | 1,937 | 2,866 | |||||||||||||||
Purchase commitments and other | 48,392 | 47,941 | 451 | — | — | |||||||||||||||
Total contractual obligations | $ | 80,915 | $ | 55,250 | $ | 16,713 | $ | 4,074 | $ | 4,878 | ||||||||||
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Year Ended September 30, | ||||||||||||
2011 | 2010 | 2009 | ||||||||||
Net income (loss) attributable to Brooks Automation, Inc. | $ | 128,352 | $ | 58,982 | $ | (227,858 | ) | |||||
Interest income, net | (1,088 | ) | (1,041 | ) | (2,265 | ) | ||||||
Provision for (benefit from) income taxes | 1,954 | (2,746 | ) | 643 | ||||||||
Depreciation and amortization | 17,249 | 18,420 | 25,856 | |||||||||
EBITDA | $ | 146,467 | $ | 73,615 | $ | (203,624 | ) | |||||
September 30, | |||||||
2014 | 2013 | ||||||
Cash and cash equivalents | $ | 94,114 | $ | 82,971 | |||
Short-term marketable securities | 68,130 | 45,900 | |||||
Long-term marketable securities | 83,212 | 44,491 | |||||
$ | 245,456 | $ | 173,362 |
Year Ended September 30, | ||||||||||||
2011 | 2010 | 2009 | ||||||||||
EBITDA | $ | 146,467 | $ | 73,615 | $ | (203,624 | ) | |||||
Stock-based compensation | 6,752 | 6,567 | 5,817 | |||||||||
Impairment of long-lived assets | — | — | 35,512 | |||||||||
Impairment of goodwill | — | — | 71,800 | |||||||||
Restructuring charges | 1,036 | 2,529 | 12,806 | |||||||||
Restructuring and acquisition related inventory charges | 625 | — | 3,612 | |||||||||
Purchase accounting impact on contracts acquired | 1,270 | — | — | |||||||||
Merger costs | 719 | — | — | |||||||||
Gain on sale of Contract Manufacturing business, pre-tax | (45,009 | ) | — | — | ||||||||
Litigation settlement | (664 | ) | — | — | ||||||||
Sale of intellectual property rights | — | (7,840 | ) | — | ||||||||
Loss on investment | — | 191 | 1,185 | |||||||||
Adjusted EBITDA | $ | 111,196 | $ | 75,062 | $ | (72,892 | ) | |||||
Total | Less than One Year | One to Three Years | Four to Five Years | Thereafter | |||||||||||||||
Operating leases | $ | 12,472 | $ | 5,140 | $ | 5,132 | $ | 2,107 | $ | 93 | |||||||||
Capital lease | 9,544 | 881 | 8,663 | — | — | ||||||||||||||
Pension funding | 2,082 | 309 | 619 | 311 | 843 | ||||||||||||||
Purchase commitments and other | 72,353 | 68,385 | 3,829 | 139 | — | ||||||||||||||
Total contractual obligations | $ | 96,451 | $ | 74,715 | $ | 18,243 | $ | 2,557 | $ | 936 |
Declaration Date | Dividend per Share | Record Date | Payment Date | Total | ||||||||
Fiscal year Ended September 30, 2014 | ||||||||||||
November 12, 2013 | $ | 0.08 | December 6, 2013 | December 27, 2013 | $ | 5,391 | ||||||
February 5, 2014 | 0.08 | March 7, 2014 | March 28, 2014 | 5,408 | ||||||||
May 7, 2014 | 0.08 | June 6, 2014 | June 27, 2014 | 5,344 | ||||||||
July 30, 2014 | 0.10 | September 5, 2014 | September 26, 2014 | 6,732 | ||||||||
Fiscal year Ended September 30, 2013 | ||||||||||||
November 7, 2012 | $ | 0.08 | December 7, 2012 | December 28, 2012 | $ | 5,311 | ||||||
January 30, 2013 | 0.08 | March 8, 2013 | March 29, 2013 | 5,361 | ||||||||
May 8, 2013 | 0.08 | June 7, 2013 | June 28, 2013 | 5,316 | ||||||||
August 7, 2013 | 0.08 | September 6, 2013 | September 27, 2013 | 5,340 |
37
Item 7A. | Quantitative and Qualitative Disclosures About Market Risk |
38
40
September 30, | September 30, | |||||||
2011 | 2010 | |||||||
(In thousands, except share and per share data) | ||||||||
ASSETS | ||||||||
Current assets | ||||||||
Cash and cash equivalents | $ | 58,833 | $ | 59,823 | ||||
Restricted cash | 1,293 | — | ||||||
Marketable securities | 65,695 | 49,011 | ||||||
Accounts receivable, net | 76,701 | 92,273 | ||||||
Inventories, net | 107,654 | 115,787 | ||||||
Prepaid expenses and other current assets | 10,348 | 10,437 | ||||||
Total current assets | 320,524 | 327,331 | ||||||
Property, plant and equipment, net | 68,596 | 63,669 | ||||||
Long-term marketable securities | 81,290 | 33,593 | ||||||
Goodwill | 84,727 | 48,138 | ||||||
Intangible assets, net | 44,314 | 11,123 | ||||||
Equity investment in joint ventures | 34,612 | 31,746 | ||||||
Other assets | 2,557 | 2,624 | ||||||
Total assets | $ | 636,620 | $ | 518,224 | ||||
LIABILITIES AND EQUITY | ||||||||
Current liabilities | ||||||||
Accounts payable | $ | 40,199 | $ | 65,734 | ||||
Deferred revenue | 14,073 | 4,365 | ||||||
Accrued warranty and retrofit costs | 7,438 | 8,195 | ||||||
Accrued compensation and benefits | 17,288 | 13,677 | ||||||
Accrued restructuring costs | 293 | 3,509 | ||||||
Accrued income taxes payable | 4,015 | 1,040 | ||||||
Accrued expenses and other current liabilities | 12,433 | 11,635 | ||||||
Total current liabilities | 95,739 | 108,155 | ||||||
Income taxes payable | 11,728 | 12,446 | ||||||
Long-term pension liability | 7,161 | 5,466 | ||||||
Other long-term liabilities | 3,394 | 2,805 | ||||||
Total liabilities | 118,022 | 128,872 | ||||||
Commitments and contingencies (Note 18) | ||||||||
Equity | ||||||||
Preferred stock, $0.01 par value, 1,000,000 shares authorized, no shares issued and outstanding at September 30, 2011 and 2010 | — | — | ||||||
Common stock, $0.01 par value, 125,000,000 shares authorized, 79,737,189 shares issued and 66,275,320 shares outstanding at September 30, 2011, 78,869,331 shares issued and 65,407,462 shares outstanding at September 30, 2010 | 797 | 789 | ||||||
Additional paid-in capital | 1,809,287 | 1,803,121 | ||||||
Accumulated other comprehensive income | 19,480 | 19,510 | ||||||
Treasury stock at cost, 13,461,869 shares at September 30, 2011 and 2010 | (200,956 | ) | (200,956 | ) | ||||
Accumulated deficit | (1,110,599 | ) | (1,233,649 | ) | ||||
Total Brooks Automation, Inc. stockholders’ equity | 518,009 | 388,815 | ||||||
Noncontrolling interests in subsidiaries | 589 | 537 | ||||||
Total equity | 518,598 | 389,352 | ||||||
Total liabilities and equity | $ | 636,620 | $ | 518,224 | ||||
September 30, 2014 | September 30, 2013 | ||||||
(In thousands, except share and per share data) | |||||||
Assets | |||||||
Current assets | |||||||
Cash and cash equivalents | $ | 94,114 | $ | 82,971 | |||
Restricted cash | — | 177 | |||||
Marketable securities | 68,130 | 45,900 | |||||
Accounts receivable, net | 80,106 | 77,483 | |||||
Inventories | 93,567 | 94,411 | |||||
Deferred tax assets | 19,009 | 16,839 | |||||
Assets held for sale | — | 27,778 | |||||
Prepaid expenses and other current assets | 19,387 | 9,030 | |||||
Total current assets | 374,313 | 354,589 | |||||
Property, plant and equipment, net | 50,183 | 47,506 | |||||
Long-term marketable securities | 83,212 | 44,491 | |||||
Long-term deferred tax assets | 67,563 | 99,146 | |||||
Goodwill | 109,501 | 97,924 | |||||
Intangible assets, net | 59,550 | 60,088 | |||||
Equity method investments | 28,944 | 25,687 | |||||
Other assets | 4,772 | 7,332 | |||||
Total assets | $ | 778,038 | $ | 736,763 | |||
Liabilities and equity | |||||||
Current liabilities | |||||||
Accounts payable | $ | 33,740 | $ | 35,392 | |||
Capital lease obligation | 881 | — | |||||
Deferred revenue | 26,279 | 19,610 | |||||
Accrued warranty and retrofit costs | 6,499 | 7,260 | |||||
Accrued compensation and benefits | 21,663 | 14,225 | |||||
Accrued restructuring costs | 3,475 | 1,412 | |||||
Accrued income taxes payable | 1,808 | 1,058 | |||||
Deferred tax liabilities | 808 | 19 | |||||
Liabilities held for sale | — | 132 | |||||
Accrued expenses and other current liabilities | 18,688 | 13,453 | |||||
Total current liabilities | 113,841 | 92,561 | |||||
Long-term capital lease obligation | 7,417 | — | |||||
Long-term tax reserves | 5,708 | 6,115 | |||||
Long-term deferred tax liabilities | 2,567 | 921 | |||||
Long-term pension liability | 1,774 | 815 | |||||
Other long-term liabilities | 3,842 | 3,695 | |||||
Total liabilities | 135,149 | 104,107 | |||||
Commitments and contingencies (Note 22) | |||||||
Equity | |||||||
Preferred stock, $0.01 par value, 1,000,000 shares authorized, no shares issued or outstanding | — | — | |||||
Common stock, $0.01 par value, 125,000,000 shares authorized, 80,375,777 shares issued and 66,913,908 shares outstanding at September 30, 2014, 80,039,104 shares issued and 66,577,235 shares outstanding at September 30, 2013 | 804 | 800 | |||||
Additional paid-in capital | 1,834,619 | 1,825,499 | |||||
Accumulated other comprehensive income | 15,687 | 22,604 | |||||
Treasury stock at cost, 13,461,869 shares | (200,956 | ) | (200,956 | ) | |||
Accumulated deficit | (1,007,265 | ) | (1,015,991 | ) | |||
Total Brooks Automation, Inc. stockholders’ equity | 642,889 | 631,956 | |||||
Noncontrolling interest in subsidiaries | — | 700 | |||||
Total equity | 642,889 | 632,656 | |||||
Total liabilities and equity | $ | 778,038 | $ | 736,763 |
Year Ended September 30, | ||||||||||||
2011 | 2010 | 2009 | ||||||||||
(In thousands, except per share data) | ||||||||||||
Revenues | ||||||||||||
Product | $ | 611,117 | $ | 531,807 | $ | 167,259 | ||||||
Services | 76,988 | 61,165 | 51,447 | |||||||||
Total revenues | 688,105 | 592,972 | 218,706 | |||||||||
Cost of revenues | ||||||||||||
Product | 411,610 | 377,466 | 155,231 | |||||||||
Services | 53,474 | 49,211 | 48,547 | |||||||||
Impairment of long-lived assets | — | — | 20,924 | |||||||||
Total cost of revenues | 465,084 | 426,677 | 224,702 | |||||||||
Gross profit (loss) | 223,021 | 166,295 | (5,996 | ) | ||||||||
Operating expenses | ||||||||||||
Research and development | 39,846 | 31,162 | 31,607 | |||||||||
Selling, general and administrative | 102,542 | 85,597 | 91,231 | |||||||||
Impairment of goodwill | — | — | 71,800 | |||||||||
Impairment of long-lived assets | — | — | 14,588 | |||||||||
Restructuring charges | 1,036 | 2,529 | 12,806 | |||||||||
Total operating expenses | 143,424 | 119,288 | 222,032 | |||||||||
Operating income (loss) | 79,597 | 47,007 | (228,028 | ) | ||||||||
Interest income | 1,153 | 1,121 | 2,719 | |||||||||
Interest expense | (65 | ) | (80 | ) | (454 | ) | ||||||
Gain on sale of intellectual property rights | — | 7,840 | — | |||||||||
Gain on sale of contract manufacturing business | 45,009 | — | — | |||||||||
Loss on investment | — | (191 | ) | (1,185 | ) | |||||||
Other income, net | 1,882 | 367 | 31 | |||||||||
Income (loss) before income taxes and equity in earnings (losses) of joint ventures | 127,576 | 56,064 | (226,917 | ) | ||||||||
Income tax provision (benefit) | 1,954 | (2,746 | ) | 643 | ||||||||
Income (loss) before equity in earnings (losses) of joint ventures | 125,622 | 58,810 | (227,560 | ) | ||||||||
Equity in earnings (losses) of joint ventures | 2,782 | 215 | (213 | ) | ||||||||
Net income (loss) | $ | 128,404 | $ | 59,025 | $ | (227,773 | ) | |||||
Net income attributable to noncontrolling interests | (52 | ) | (43 | ) | (85 | ) | ||||||
Net income (loss) attributable to Brooks Automation, Inc. | $ | 128,352 | $ | 58,982 | $ | (227,858 | ) | |||||
Basic net income (loss) per share attributable to Brooks Automation, Inc. common stockholders | $ | 1.99 | $ | 0.92 | $ | (3.62 | ) | |||||
Diluted net income (loss) per share attributable to Brooks Automation, Inc. common stockholders | $ | 1.97 | $ | 0.92 | $ | (3.62 | ) | |||||
Shares used in computing earnings (loss) per share | ||||||||||||
Basic | 64,549 | 63,777 | 62,911 | |||||||||
Diluted | 65,003 | 64,174 | 62,911 |
Year ended September 30, | |||||||||||
2014 | 2013 | 2012 | |||||||||
(In thousands, except per share data) | |||||||||||
Revenue | |||||||||||
Product | $ | 387,032 | $ | 335,011 | $ | 402,505 | |||||
Services | 95,816 | 87,429 | 86,478 | ||||||||
Total revenue | 482,848 | 422,440 | 488,983 | ||||||||
Cost of revenue | |||||||||||
Product | 252,688 | 229,411 | 267,448 | ||||||||
Services | 62,823 | 60,722 | 62,082 | ||||||||
Total cost of revenue | 315,511 | 290,133 | 329,530 | ||||||||
Gross profit | 167,337 | 132,307 | 159,453 | ||||||||
Operating expenses | |||||||||||
Research and development | 52,649 | 46,209 | 44,717 | ||||||||
Selling, general and administrative | 111,098 | 96,516 | 97,978 | ||||||||
Restructuring and other charges | 6,289 | 6,380 | 3,153 | ||||||||
Pension settlement | — | — | 8,937 | ||||||||
In-process research and development | — | — | 3,026 | ||||||||
Total operating expenses | 170,036 | 149,105 | 157,811 | ||||||||
Operating income (loss) | (2,699 | ) | (16,798 | ) | 1,642 | ||||||
Interest income | 950 | 1,032 | 1,213 | ||||||||
Interest expense | (202 | ) | (2 | ) | (14 | ) | |||||
Other income, net | 256 | 1,227 | 660 | ||||||||
Income (loss) before income taxes and equity in earnings of equity method investments | (1,695 | ) | (14,541 | ) | 3,501 | ||||||
Income tax benefit | (1,980 | ) | (4,985 | ) | (126,201 | ) | |||||
Income (loss) before equity in earnings of equity method investments | 285 | (9,556 | ) | 129,702 | |||||||
Equity in earnings of equity method investments | 1,235 | 2,442 | 2,133 | ||||||||
Income (loss) from continuing operations | 1,520 | (7,114 | ) | 131,835 | |||||||
Income from discontinued operations, net of tax | 30,002 | 4,964 | 5,000 | ||||||||
Net income (loss) | 31,522 | (2,150 | ) | 136,835 | |||||||
Net income attributable to noncontrolling interests | (161 | ) | (65 | ) | (46 | ) | |||||
Net income (loss) attributable to Brooks Automation, Inc. | $ | 31,361 | $ | (2,215 | ) | $ | 136,789 | ||||
Basic net income (loss) per share attributable to Brooks Automation, Inc. common stockholders: | |||||||||||
Income (loss) from continuing operations | $ | 0.02 | $ | (0.11 | ) | $ | 2.02 | ||||
Income from discontinued operations, net of tax | 0.45 | 0.08 | 0.08 | ||||||||
Basic net income (loss) per share attributable to Brooks Automation, Inc. | $ | 0.47 | $ | (0.03 | ) | $ | 2.10 | ||||
Diluted net income (loss) per share attributable to Brooks Automation, Inc. common stockholders: | |||||||||||
Income (loss) from continuing operations | $ | 0.02 | $ | (0.11 | ) | $ | 2.01 | ||||
Income from discontinued operations, net of tax | 0.44 | 0.08 | 0.08 | ||||||||
Diluted net income (loss) per share attributable to Brooks Automation, Inc. common stockholders | $ | 0.46 | $ | (0.03 | ) | $ | 2.08 | ||||
Dividend declared per share | $ | 0.34 | $ | 0.32 | $ | 0.32 | |||||
Weighted-average shares used in computing earnings (loss) per share: | |||||||||||
Basic | 66,648 | 65,912 | 65,128 | ||||||||
Diluted | 67,644 | 65,912 | 65,722 |
Year Ended September 30, | ||||||||||||
2011 | 2010 | 2009 | ||||||||||
(In thousands) | ||||||||||||
Cash flows from operating activities | ||||||||||||
Net income (loss) | $ | 128,404 | $ | 59,025 | $ | (227,773 | ) | |||||
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities: | ||||||||||||
Depreciation and amortization | 17,249 | 18,420 | 25,856 | |||||||||
Impairment of assets | — | — | 107,312 | |||||||||
Gain on sale of intellectual property rights | — | (7,840 | ) | — | ||||||||
Stock-based compensation | 6,752 | 6,567 | 5,817 | |||||||||
Amortization of premium on marketable securities | 2,283 | 942 | 127 | |||||||||
Undistributed (earnings) losses of joint ventures | (383 | ) | (215 | ) | 213 | |||||||
Gain on sale of contract manufacturing business | (45,009 | ) | — | — | ||||||||
Loss on disposal of long-lived assets | 10 | 4 | 17 | |||||||||
Loss on investment | — | 191 | 1,185 | |||||||||
Changes in operating assets and liabilities, net of acquisitions and disposals: | ||||||||||||
Accounts receivable | 9,916 | (53,163 | ) | 29,963 | ||||||||
Inventories | (19,131 | ) | (31,341 | ) | 21,779 | |||||||
Prepaid expenses and other current assets | 1,806 | (499 | ) | 4,527 | ||||||||
Accounts payable | (15,099 | ) | 39,352 | (10,947 | ) | |||||||
Deferred revenue | 1,841 | 1,487 | (676 | ) | ||||||||
Accrued warranty and retrofit costs | (1,420 | ) | 2,483 | (2,496 | ) | |||||||
Accrued compensation and benefits | 2,036 | (913 | ) | (3,869 | ) | |||||||
Accrued restructuring costs | (3,212 | ) | (4,123 | ) | (5,007 | ) | ||||||
Accrued expenses and other current liabilities | 1,607 | (2,505 | ) | (2,522 | ) | |||||||
Net cash provided by (used in) operating activities | 87,650 | 27,872 | (56,494 | ) | ||||||||
Cash flows from investing activities | ||||||||||||
Purchases of property, plant and equipment | (6,455 | ) | (3,472 | ) | (11,339 | ) | ||||||
Purchases of marketable securities | (186,718 | ) | (117,473 | ) | (59,091 | ) | ||||||
Sale/maturity of marketable securities | 120,095 | 84,546 | 75,628 | |||||||||
Increase in restricted cash | (1,293 | ) | — | — | ||||||||
Proceeds from the sale of the contract manufacturing business | 78,249 | — | — | |||||||||
Acquisitions, net of cash acquired | (88,309 | ) | — | — | ||||||||
Proceeds from the sale of intellectual property rights | — | 7,840 | — | |||||||||
Purchase of intangible assets | — | (892 | ) | — | ||||||||
Other | 181 | 243 | 1,055 | |||||||||
Net cash (used in) provided by investing activities | (84,250 | ) | (29,208 | ) | 6,253 | |||||||
Cash flows from financing activities | ||||||||||||
Proceeds from the issuance of common stock under stock option and stock purchase plans | 1,358 | 1,245 | 1,248 | |||||||||
Common stock dividend paid | (5,180 | ) | — | — | ||||||||
Net cash (used in) provided by financing activities | (3,822 | ) | 1,245 | 1,248 | ||||||||
Effects of exchange rate changes on cash and cash equivalents | (568 | ) | (71 | ) | (1,291 | ) | ||||||
Net decrease in cash and cash equivalents | (990 | ) | (162 | ) | (50,284 | ) | ||||||
Cash and cash equivalents, beginning of year | 59,823 | 59,985 | 110,269 | |||||||||
Cash and cash equivalents, end of year | $ | 58,833 | $ | 59,823 | $ | 59,985 | ||||||
Supplemental disclosures: | ||||||||||||
Cash paid during the year for interest | $ | 65 | $ | 80 | $ | 454 | ||||||
Cash paid (refunded) during the year for income taxes, net | $ | 1,042 | $ | (1,866 | ) | $ | 246 |
Year ended September 30, | |||||||||||
2014 | 2013 | 2012 | |||||||||
(In thousands) | |||||||||||
Net income (loss) | $ | 31,522 | $ | (2,150 | ) | $ | 136,835 | ||||
Comprehensive income (loss), net of tax: | |||||||||||
Change in cumulative translation adjustment | (6,296 | ) | (2,113 | ) | (2,406 | ) | |||||
Change in unrealized gain (loss) on marketable securities | (104 | ) | (135 | ) | 393 | ||||||
Change in fair value on cash flow hedges | (14 | ) | 14 | — | |||||||
Actuarial gain (loss) | (503 | ) | 1,109 | (606 | ) | ||||||
Pension settlement | — | 87 | 8,937 | ||||||||
Comprehensive income (loss), net of tax | 24,605 | (3,188 | ) | 143,153 | |||||||
Comprehensive income attributable to noncontrolling interests | (161 | ) | (65 | ) | (46 | ) | |||||
Comprehensive income (loss) attributable to Brooks Automation, Inc., net of tax | $ | 24,444 | $ | (3,253 | ) | $ | 143,107 |
Total | ||||||||||||||||||||||||||||||||||||||||
Accumulated | Brooks | |||||||||||||||||||||||||||||||||||||||
Common | Other | Automation, | ||||||||||||||||||||||||||||||||||||||
Common | Stock at | Additional | Comprehensive | Comprehensive | Inc. | Noncontrolling | ||||||||||||||||||||||||||||||||||
Stock | Par | Paid-In | Income | Income | Accumulated | Treasury | Stockholders’ | Interests in | Total | |||||||||||||||||||||||||||||||
Shares | Value | Capital | (Loss) | (Loss) | Deficit | Stock | Equity | Subsidiaries | Equity | |||||||||||||||||||||||||||||||
(In thousands, except share data) | ||||||||||||||||||||||||||||||||||||||||
Balance September 30, 2008 | 77,044,737 | $ | 770 | $ | 1,788,891 | $ | 18,063 | $ | (1,064,773 | ) | $ | (200,956 | ) | $ | 541,995 | $ | 409 | $ | 542,404 | |||||||||||||||||||||
Shares issued under stock option, restricted stock and purchase plans, net | 838,436 | 9 | 911 | 920 | 920 | |||||||||||||||||||||||||||||||||||
Stock-based compensation | 5,817 | 5,817 | 5,817 | |||||||||||||||||||||||||||||||||||||
Comprehensive income (loss): | ||||||||||||||||||||||||||||||||||||||||
Net loss | $ | (227,773 | ) | (227,858 | ) | (227,858 | ) | 85 | (227,773 | ) | ||||||||||||||||||||||||||||||
Currency translation adjustments | 4,276 | 4,276 | 4,276 | 4,276 | ||||||||||||||||||||||||||||||||||||
Changes in unrealized gain on marketable securities | 471 | 471 | 471 | 471 | ||||||||||||||||||||||||||||||||||||
Actuarial loss arising in the year | (6,492 | ) | (6,492 | ) | (6,492 | ) | (6,492 | ) | ||||||||||||||||||||||||||||||||
Comprehensive loss | $ | (229,518 | ) | |||||||||||||||||||||||||||||||||||||
Balance September 30, 2009 | 77,883,173 | 779 | 1,795,619 | 16,318 | (1,292,631 | ) | (200,956 | ) | 319,129 | 494 | 319,623 | |||||||||||||||||||||||||||||
Shares issued under stock option, restricted stock and purchase plans, net | 986,158 | 10 | 935 | 945 | 945 | |||||||||||||||||||||||||||||||||||
Stock-based compensation | 6,567 | 6,567 | 6,567 | |||||||||||||||||||||||||||||||||||||
Comprehensive income (loss): | ||||||||||||||||||||||||||||||||||||||||
Net income | $ | 59,025 | 58,982 | 58,982 | 43 | 59,025 | ||||||||||||||||||||||||||||||||||
Currency translation adjustments | 4,229 | 4,229 | 4,229 | 4,229 | ||||||||||||||||||||||||||||||||||||
Changes in unrealized loss on marketable securities | (36 | ) | (36 | ) | (36 | ) | (36 | ) | ||||||||||||||||||||||||||||||||
Actuarial loss arising in the year | (1,001 | ) | (1,001 | ) | (1,001 | ) | (1,001 | ) | ||||||||||||||||||||||||||||||||
Comprehensive income | $ | 62,217 | ||||||||||||||||||||||||||||||||||||||
Balance September 30, 2010 | 78,869,331 | 789 | 1,803,121 | 19,510 | (1,233,649 | ) | (200,956 | ) | 388,815 | 537 | 389,352 | |||||||||||||||||||||||||||||
Shares issued under stock option, restricted stock and purchase plans, net | 867,858 | 8 | (586 | ) | (578 | ) | (578 | ) | ||||||||||||||||||||||||||||||||
Stock-based compensation | 6,752 | 6,752 | 6,752 | |||||||||||||||||||||||||||||||||||||
Common stock dividend declared | (5,302 | ) | (5,302 | ) | (5,302 | ) | ||||||||||||||||||||||||||||||||||
Comprehensive income (loss): | �� | |||||||||||||||||||||||||||||||||||||||
Net income | $ | 128,352 | 128,352 | 128,352 | 52 | 128,404 | ||||||||||||||||||||||||||||||||||
Currency translation adjustments | 1,459 | 1,459 | 1,459 | 1,459 | ||||||||||||||||||||||||||||||||||||
Changes in unrealized loss on marketable securities | (445 | ) | (445 | ) | (445 | ) | (445 | ) | ||||||||||||||||||||||||||||||||
Actuarial loss arising in the year | (1,044 | ) | (1,044 | ) | (1,044 | ) | (1,044 | ) | ||||||||||||||||||||||||||||||||
Comprehensive income | $ | 128,322 | ||||||||||||||||||||||||||||||||||||||
Balance September 30, 2011 | 79,737,189 | $ | 797 | $ | 1,809,287 | $ | 19,480 | $ | (1,110,599 | ) | $ | (200,956 | ) | $ | 518,009 | $ | 589 | $ | 518,598 | |||||||||||||||||||||
Year ended September 30, | |||||||||||
2014 | 2013 | 2012 | |||||||||
(In thousands) | |||||||||||
Cash flows from operating activities | |||||||||||
Net income (loss) | $ | 31,522 | $ | (2,150 | ) | $ | 136,835 | ||||
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | |||||||||||
Depreciation and amortization | 23,459 | 24,155 | 21,620 | ||||||||
Impairment of intangible assets | 398 | 1,960 | — | ||||||||
Impairment of other assets | 2,621 | — | — | ||||||||
Stock-based compensation | 10,912 | 7,757 | 8,647 | ||||||||
Amortization of premium on marketable securities | 1,255 | 1,274 | 2,401 | ||||||||
Undistributed earnings of equity method investments | (1,235 | ) | (2,442 | ) | (2,133 | ) | |||||
Deferred income tax benefit | (1,779 | ) | (2,936 | ) | (122,136 | ) | |||||
Pension settlement | — | 87 | 8,937 | ||||||||
Gain on disposal of businesses | (27,444 | ) | — | — | |||||||
Loss (gain) on disposal of long-lived assets | 13 | (1,394 | ) | (63 | ) | ||||||
Changes in operating assets and liabilities, net of acquisitions and disposals: | |||||||||||
Accounts receivable | 12,098 | 6,422 | (784 | ) | |||||||
Inventories | 9,598 | 15,490 | 5,874 | ||||||||
Prepaid expenses and other current assets | (12,325 | ) | 4,359 | 5,801 | |||||||
Accounts payable | (11,924 | ) | 3,123 | (11,182 | ) | ||||||
Deferred revenue | 5,900 | 8,971 | (4,684 | ) | |||||||
Accrued warranty and retrofit costs | (1,102 | ) | (1,806 | ) | (123 | ) | |||||
Accrued compensation and benefits | 6,783 | (2,625 | ) | (4,878 | ) | ||||||
Accrued restructuring costs | 2,161 | (972 | ) | 1,930 | |||||||
Accrued pension | 997 | (950 | ) | (5,772 | ) | ||||||
Accrued expenses and other current liabilities | 1,873 | (3,934 | ) | (4,252 | ) | ||||||
Net cash provided by operating activities | 53,781 | 54,389 | 36,038 | ||||||||
Cash flows from investing activities | |||||||||||
Purchases of property, plant and equipment | (5,518 | ) | (3,635 | ) | (8,653 | ) | |||||
Purchases of marketable securities | (174,287 | ) | (91,740 | ) | (132,015 | ) | |||||
Sale/maturity of marketable securities | 112,085 | 145,023 | 131,317 | ||||||||
Proceeds from divestitures | 85,369 | — | — | ||||||||
Acquisitions, net of cash acquired | (35,625 | ) | (68,331 | ) | (9,216 | ) | |||||
Decrease in restricted cash | 177 | 586 | 530 | ||||||||
Other investment | — | — | (3,000 | ) | |||||||
Proceeds from the sale of property, plant and equipment | — | 14,082 | — | ||||||||
Payment of deferred leasing cost | — | (3,134 | ) | — | |||||||
Net cash used in investing activities | (17,799 | ) | (7,149 | ) | (21,037 | ) | |||||
Cash flows from financing activities | |||||||||||
Proceeds from issuance of common stock, net of issuance costs | 1,838 | 1,851 | 1,705 | ||||||||
Repayment of capital lease obligations | (239 | ) | — | — | |||||||
Acquisition of noncontrolling interest | (3,189 | ) | — | — | |||||||
Common stock dividend paid | (22,875 | ) | (21,328 | ) | (20,953 | ) | |||||
Net cash used in financing activities | (24,465 | ) | (19,477 | ) | (19,248 | ) | |||||
Effects of exchange rate changes on cash and cash equivalents | (374 | ) | 569 | 53 | |||||||
Net increase (decrease) in cash and cash equivalents | 11,143 | 28,332 | (4,194 | ) | |||||||
Cash and cash equivalents, beginning of year | 82,971 | 54,639 | 58,833 | ||||||||
Cash and cash equivalents, end of year | $ | 94,114 | $ | 82,971 | $ | 54,639 | |||||
Supplemental disclosures: | |||||||||||
Cash paid during the year for interest | $ | 202 | $ | 2 | $ | 14 | |||||
Cash paid (refunded) during the year for income taxes, net | $ | 1,084 | $ | (762 | ) | $ | 4,282 | ||||
Supplemental disclosure of non-cash investing and financing activities: | |||||||||||
Acquisition of buildings and land through capital lease | $ | 8,537 | $ | — | $ | — |
Common Stock Shares | Common Stock at Par Value | Additional Paid-In Capital | Accumulated Other Comprehensive Income | Accumulated Deficit | Treasury Stock | Total Brooks Automation, Inc. Stockholders’ Equity | Noncontrolling Interests in Subsidiaries | Total Equity | ||||||||||||||||||||||||||
(In thousands, except share data) | ||||||||||||||||||||||||||||||||||
Balance September 30, 2011 | 79,737,189 | $ | 797 | $ | 1,809,287 | $ | 17,324 | $ | (1,108,105 | ) | $ | (200,956 | ) | $ | 518,347 | $ | 589 | $ | 518,936 | |||||||||||||||
Shares issued under stock option, restricted stock and purchase plans, net | 53,368 | 1 | (228 | ) | (227 | ) | (227 | ) | ||||||||||||||||||||||||||
Stock-based compensation | 8,647 | 8,647 | 8,647 | |||||||||||||||||||||||||||||||
Common stock dividend declared | (21,208 | ) | (21,208 | ) | (21,208 | ) | ||||||||||||||||||||||||||||
Net income | 136,789 | 136,789 | 46 | 136,835 | ||||||||||||||||||||||||||||||
Currency translation adjustments | (2,406 | ) | (2,406 | ) | (2,406 | ) | ||||||||||||||||||||||||||||
Changes in unrealized gain on marketable securities | 393 | 393 | 393 | |||||||||||||||||||||||||||||||
Actuarial loss arising in the year | (606 | ) | (606 | ) | (606 | ) | ||||||||||||||||||||||||||||
Recognition of pension settlement in earnings | 8,937 | 8,937 | 8,937 | |||||||||||||||||||||||||||||||
Balance September 30, 2012 | 79,790,557 | 798 | 1,817,706 | 23,642 | (992,524 | ) | (200,956 | ) | 648,666 | 635 | 649,301 | |||||||||||||||||||||||
Shares issued under stock option, restricted stock and purchase plans, net | 248,547 | 2 | 186 | 188 | 188 | |||||||||||||||||||||||||||||
Stock-based compensation | 7,607 | 7,607 | 7,607 | |||||||||||||||||||||||||||||||
Common stock dividend declared | (21,252 | ) | (21,252 | ) | (21,252 | ) | ||||||||||||||||||||||||||||
Net loss | (2,215 | ) | (2,215 | ) | 65 | (2,150 | ) | |||||||||||||||||||||||||||
Currency translation adjustments | (2,113 | ) | (2,113 | ) | (2,113 | ) | ||||||||||||||||||||||||||||
Changes in unrealized loss on marketable securities, net of tax of $79 | (135 | ) | (135 | ) | (135 | ) | ||||||||||||||||||||||||||||
Changes in unrealized gain on cash flow hedges, net of tax of $9 | 14 | 14 | 14 | |||||||||||||||||||||||||||||||
Actuarial gain arising in the year, net of tax of $360 | 1,109 | 1,109 | 1,109 | |||||||||||||||||||||||||||||||
Recognition of pension settlement in earnings | 87 | 87 | 87 | |||||||||||||||||||||||||||||||
Balance September 30, 2013 | 80,039,104 | 800 | 1,825,499 | 22,604 | (1,015,991 | ) | (200,956 | ) | 631,956 | 700 | 632,656 | |||||||||||||||||||||||
Shares issued under restricted stock and purchase plans, net | 336,673 | 4 | 386 | 390 | 390 | |||||||||||||||||||||||||||||
Stock-based compensation | 11,062 | 11,062 | 11,062 | |||||||||||||||||||||||||||||||
Common stock dividend declared | (22,635 | ) | (22,635 | ) | (22,635 | ) | ||||||||||||||||||||||||||||
Acquisition of noncontrolling interest | (2,328 | ) | (2,328 | ) | (861 | ) | (3,189 | ) | ||||||||||||||||||||||||||
Net income | 31,361 | 31,361 | 161 | 31,522 | ||||||||||||||||||||||||||||||
Currency translation adjustments | (6,296 | ) | (6,296 | ) | (6,296 | ) | ||||||||||||||||||||||||||||
Changes in unrealized loss on marketable securities, net of tax of $62 | (104 | ) | (104 | ) | (104 | ) | ||||||||||||||||||||||||||||
Changes in unrealized loss on cash flow hedges, net of tax of $9 | (14 | ) | (14 | ) | (14 | ) | ||||||||||||||||||||||||||||
Actuarial loss arising in the year, net of tax of $471 | (503 | ) | (503 | ) | (503 | ) | ||||||||||||||||||||||||||||
Balance September 30, 2014 | 80,375,777 | $ | 804 | $ | 1,834,619 | $ | 15,687 | $ | (1,007,265 | ) | $ | (200,956 | ) | $ | 642,889 | $ | — | $ | 642,889 |
1. | Nature of the Business |
2. | Summary of Significant Accounting Policies |
46
Buildings | 20 - 40 years | |||
Computer equipment and software | 2 - 7 years | |||
Machinery and equipment | 2 - 10 years | |||
Furniture and fixtures | 3 - 10 years |
47
Patents | 7 - 15 years | |||
Completed technology | ||||
Customer relationships |
48
49
Year Ended September 30, | ||||||||||||
2011 | 2010 | 2009 | ||||||||||
Stock options | $ | — | $ | 170 | $ | 292 | ||||||
Restricted stock | 6,248 | 5,944 | 5,092 | |||||||||
Employee stock purchase plan | 504 | 453 | 433 | |||||||||
$ | 6,752 | $ | 6,567 | $ | 5,817 | |||||||
Year ended September 30, | |||||||||||
2014 | 2013 | 2012 | |||||||||
Restricted stock | $ | 10,469 | $ | 7,112 | $ | 7,949 | |||||
Employee stock purchase plan | 445 | 496 | 549 | ||||||||
$ | 10,914 | $ | 7,608 | $ | 8,498 |
Year Ended September 30, | ||||||||||||
2011 | 2010 | 2009 | ||||||||||
Risk-free interest rate | 0.2% | 0.2% | 0.7 | % | ||||||||
Volatility | 50% | 58% | 70 | % | ||||||||
Expected life | 6 months | 6 months | 6 months | |||||||||
Dividend yield | 0% - 3% | 0% | 0 | % |
50
Year ended September 30, | ||||||||
2014 | 2013 | 2012 | ||||||
Risk-free interest rate | 0.1 | % | 0.1 | % | 0.1 | % | ||
Volatility | 25 | % | 32 | % | 45 | % | ||
Expected life | 6 months | 6 months | 6 months | |||||
Dividend yield | 3.40% | 3.30% - 3.40% | 2.75% - 3.30% |
51
52
Year Ended September 30, | |||||||||||
2014 | 2013 | 2012 | |||||||||
Revenue | $ | 18,921 | $ | 28,512 | $ | 30,468 | |||||
Income from discontinued operations | $ | 4,888 | $ | 7,779 | $ | 7,919 | |||||
Gain on the sale of the discontinued operations | 56,804 | — | — | ||||||||
Income tax provision | 31,690 | 2,815 | 2,919 | ||||||||
Income from discontinued operations, net of tax | $ | 30,002 | $ | 4,964 | $ | 5,000 |
September 30, 2013 | |||
Inventory | $ | 3,308 | |
Property, plant and equipment | 364 | ||
Goodwill | 24,106 | ||
Assets held for sale | $ | 27,778 | |
Deferred revenue | $ | 43 | |
Accrued warranty and retrofit costs | 89 | ||
Liabilities held for sale | $ | 132 |
Accounts receivable | $ | 3,156 | ||
Inventory | 1,668 | |||
Other current assets | 1,008 | |||
Property, plant and equipment | 860 | |||
Completed technology | 1,524 | |||
Customer relationships | 577 | |||
Trademarks and trade names | 64 | |||
Goodwill | 3,556 | |||
Accounts payable | (1,397 | ) | ||
Deferred revenue | (5,232 | ) | ||
Other current liabilities | (2,403 | ) | ||
Total purchase price, net of cash acquired | $ | 3,381 | ||
Accounts receivable | $ | 15,262 | |
Inventory | 10,051 | ||
Prepaid and other current assets | 2,727 | ||
Property, plant and equipment | 2,049 | ||
Completed technology | 3,610 | ||
Customer relationships | 7,100 | ||
Goodwill | 11,638 | ||
Accounts payable | (10,393 | ) | |
Accrued liabilities | (5,522 | ) | |
Deferred revenue | (1,309 | ) | |
Long-term deferred tax liabilities | (3,588 | ) | |
Total purchase price, net of cash acquired | $ | 31,625 |
Year ended September 30, | |||||||
2014 | 2013 | ||||||
Revenue | $ | 501,951 | $ | 456,588 | |||
Income (loss) from continuing operations | (4,788 | ) | (10,678 | ) | |||
Net income (loss) attributable to Brooks Automation, Inc. | 25,053 | (5,779 | ) |
53
Accounts receivable | $ | 5,708 | ||
Inventory | 7,481 | |||
Other current assets | 4,522 | |||
Property, plant and equipment | 12,527 | |||
Completed technology | 6,000 | |||
Customer relationships | 31,000 | |||
Trademarks and trade names | 100 | |||
Goodwill | 33,033 | |||
Accounts payable and accrued expenses | (6,563 | ) | ||
Deferred revenue | (3,692 | ) | ||
Other current liabilities | (1,534 | ) | ||
Deferred tax liabilities | (2,584 | ) | ||
Other long-term liabilities | (1,070 | ) | ||
Total purchase price, net of cash acquired | $ | 84,928 | ||
Matrical Assets | Crossing | ||||||
Accounts receivable | $ | 636 | $ | 5,356 | |||
Inventory | 2,095 | 8,668 | |||||
Prepaid and other current assets | 103 | 1,968 | |||||
Property, plant and equipment | 534 | 2,270 | |||||
Completed technology | 500 | 10,530 | |||||
Customer relationships | 1,500 | 20,010 | |||||
Goodwill | 7,076 | 26,453 | |||||
Other long-term assets | — | 885 | |||||
Debt | (902 | ) | — | ||||
Accounts payable | (294 | ) | (3,024 | ) | |||
Deferred revenue | (351 | ) | (319 | ) | |||
Customer deposits | (1,249 | ) | — | ||||
Other current liabilities | (322 | ) | (5,560 | ) | |||
Other long-term liabilities | — | (8,232 | ) | ||||
Total purchase price, net of cash acquired | $ | 9,326 | $ | 59,005 |
Year Ended | ||||||||
September 30, | ||||||||
2011 | 2010 | |||||||
Revenue | $ | 720,989 | $ | 625,128 | ||||
Net income attributable to Brooks Automation, Inc. | 124,114 | 70,205 |
54
5. Marketable Securities |
55
Gross | Gross | |||||||||||||||
Amortized | Unrealized | Unrealized | ||||||||||||||
Cost | Gains | Losses | Fair Value | |||||||||||||
September 30, 2011: | ||||||||||||||||
U.S. Treasury securities and obligations of U.S. government agencies | $ | 53,342 | $ | 17 | $ | (21 | ) | $ | 53,338 | |||||||
Corporate securities | 66,045 | 50 | (203 | ) | 65,892 | |||||||||||
Mortgage-backed securities(1) | 786 | 26 | (3 | ) | 809 | |||||||||||
Other debt securities | 434 | — | — | 434 | ||||||||||||
Municipal securities | 24,915 | 9 | (67 | ) | 24,857 | |||||||||||
Bank certificate of deposits | 1,655 | — | — | 1,655 | ||||||||||||
$ | 147,177 | $ | 102 | $ | (294 | ) | $ | 146,985 | ||||||||
September 30, 2010: | ||||||||||||||||
U.S. Treasury securities and obligations of U.S. government agencies | $ | 38,319 | $ | 62 | $ | (8 | ) | $ | 38,373 | |||||||
Corporate securities | 38,617 | 185 | (4 | ) | 38,798 | |||||||||||
Mortgage-backed securities(2) | 1,771 | 23 | (4 | ) | 1,790 | |||||||||||
Other debt securities | 186 | — | — | 186 | ||||||||||||
Municipal securities | 2,405 | 1 | (2 | ) | 2,404 | |||||||||||
Bank certificate of deposits | 1,053 | — | — | 1,053 | ||||||||||||
$ | 82,351 | $ | 271 | $ | (18 | ) | $ | 82,604 | ||||||||
Amortized Cost | Gross Unrealized Gains | Gross Unrealized Losses | Fair Value | ||||||||||||
September 30, 2014: | |||||||||||||||
U.S. Treasury securities and obligations of U.S. government agencies | $ | 26,052 | $ | 1 | $ | (39 | ) | $ | 26,014 | ||||||
Corporate securities | 74,614 | 23 | (174 | ) | 74,463 | ||||||||||
Mortgage-backed securities | 964 | 36 | — | 1,000 | |||||||||||
Other debt securities | 7,358 | — | (10 | ) | 7,348 | ||||||||||
Municipal securities | 15,888 | 1 | (16 | ) | 15,873 | ||||||||||
Bank certificate of deposits | 26,645 | 2 | (3 | ) | 26,644 | ||||||||||
$ | 151,521 | $ | 63 | $ | (242 | ) | $ | 151,342 | |||||||
September 30, 2013: | |||||||||||||||
U.S. Treasury securities and obligations of U.S. government agencies | $ | 19,528 | $ | 6 | $ | (13 | ) | $ | 19,521 | ||||||
Corporate securities | 35,045 | 11 | (47 | ) | 35,009 | ||||||||||
Mortgage-backed securities | 1,093 | 25 | (1 | ) | 1,117 | ||||||||||
Other debt securities | 88 | — | — | 88 | |||||||||||
Municipal securities | 25,199 | 15 | (7 | ) | 25,207 | ||||||||||
Bank certificate of deposits | 9,451 | — | (2 | ) | 9,449 | ||||||||||
$ | 90,404 | $ | 57 | $ | (70 | ) | $ | 90,391 |
Fair Value | ||||
Due in one year or less | $ | 65,695 | ||
Due after one year through five years | 78,280 | |||
Due after ten years | 3,010 | |||
$ | 146,985 | |||
56
Fair Value | |||
Due in one year or less | $ | 68,130 | |
Due after one year through five years | 79,885 | ||
Due after ten years | 3,327 | ||
$ | 151,342 |
6. Fair Value Measurements |
Fair Value Measurements at Reporting Date Using | ||||||||||||||||
Quoted Prices in | Significant Other | Significant | ||||||||||||||
Active Markets for | Observable | Unobservable | ||||||||||||||
September 30, | Identical Assets | Inputs | Inputs | |||||||||||||
Description | 2011 | (Level 1) | (Level 2) | (Level 3) | ||||||||||||
Assets | ||||||||||||||||
Cash Equivalents | $ | 9,576 | $ | 9,576 | $ | — | $ | — | ||||||||
Available-for-sale securities | 146,985 | 63,331 | 83,654 | — | ||||||||||||
Total Assets | $ | 156,561 | $ | 72,907 | $ | 83,654 | $ | — | ||||||||
Fair Value Measurements at Reporting Date Using | ||||||||||||||||||||||||||||||||
Quoted Prices in | Significant Other | Significant | Fair Value Measurements at Reporting Date Using | |||||||||||||||||||||||||||||
Active Markets for | Observable | Unobservable | ||||||||||||||||||||||||||||||
September 30, | Identical Assets | Inputs | Inputs | |||||||||||||||||||||||||||||
2010 | (Level 1) | (Level 2) | (Level 3) | |||||||||||||||||||||||||||||
Description | September 30, 2014 | Quoted Prices in Active Markets for Identical Assets (Level 1) | Significant Other Observable Inputs (Level 2) | Significant Unobservable Inputs (Level 3) | ||||||||||||||||||||||||||||
Assets | ||||||||||||||||||||||||||||||||
Cash Equivalents | $ | 21,130 | $ | 21,130 | $ | — | $ | — | ||||||||||||||||||||||||
Cash equivalents | $ | 6,404 | $ | 5,166 | $ | 1,238 | $ | — | ||||||||||||||||||||||||
Available-for-sale securities | 82,604 | 38,798 | 43,806 | — | 151,342 | — | 151,342 | — | ||||||||||||||||||||||||
Total Assets | $ | 103,734 | $ | 59,928 | $ | 43,806 | $ | — | $ | 157,746 | $ | 5,166 | $ | 152,580 | $ | — | ||||||||||||||||
Liabilities | ||||||||||||||||||||||||||||||||
Foreign exchange contracts | $ | 58 | $ | — | $ | 58 | $ | — |
Fair Value Measurements at Reporting Date Using | ||||||||||||||||
Description | September 30, 2013 | Quoted Prices in Active Markets for Identical Assets (Level 1) | Significant Other Observable Inputs (Level 2) | Significant Unobservable Inputs (Level 3) | ||||||||||||
Assets | ||||||||||||||||
Cash equivalents | $ | 7,754 | $ | 6,152 | $ | 1,602 | $ | — | ||||||||
Available-for-sale securities | 90,391 | 2,199 | 88,192 | — | ||||||||||||
Foreign exchange contracts | 31 | — | 31 | — | ||||||||||||
Total Assets | $ | 98,176 | $ | 8,351 | $ | 89,825 | $ | — | ||||||||
Liabilities | ||||||||||||||||
Foreign exchange contracts | $ | 5 | $ | — | $ | 5 | $ | — |
57
September 30, | ||||||||
2011 | 2010 | |||||||
Buildings and land | $ | 54,330 | $ | 43,455 | ||||
Computer equipment and software | 68,476 | 69,278 | ||||||
Machinery and equipment | 49,105 | 50,499 | ||||||
Furniture and fixtures | 10,451 | 10,817 | ||||||
Leasehold improvements | 17,301 | 22,758 | ||||||
Capital projects in progress | 1,899 | 1,201 | ||||||
201,562 | 198,008 | |||||||
Less accumulated depreciation and amortization | (132,966 | ) | (134,339 | ) | ||||
Property, plant and equipment, net | $ | 68,596 | $ | 63,669 | ||||
September 30, | |||||||
2014 | 2013 | ||||||
Buildings and land | $ | 47,639 | $ | 38,539 | |||
Computer equipment and software | 59,962 | 72,240 | |||||
Machinery and equipment | 42,104 | 49,947 | |||||
Furniture and fixtures | 4,774 | 9,456 | |||||
Leasehold improvements | 17,771 | 13,937 | |||||
Capital projects in progress | 1,528 | 2,042 | |||||
173,778 | 186,161 | ||||||
Less accumulated depreciation and amortization | (123,595 | ) | (138,655 | ) | |||
Property, plant and equipment, net | $ | 50,183 | $ | 47,506 |
58
Brooks Product Solutions | Brooks Global Services | Brooks Life Science Systems | Other | Total | |||||||||||||||
Gross goodwill at September 30, 2012 | $ | 461,738 | $ | 151,238 | $ | 40,302 | $ | 26,014 | $ | 679,292 | |||||||||
Acquisitions and adjustments during fiscal year 2013 | 20,899 | 5,554 | 7,137 | — | 33,590 | ||||||||||||||
Gross goodwill at September 30, 2013 | 482,637 | 156,792 | 47,439 | 26,014 | 712,882 | ||||||||||||||
Acquisitions and adjustments during fiscal year 2014 | 11,638 | — | (61 | ) | — | 11,577 | |||||||||||||
Gross goodwill at September 30, 2014 | $ | 494,275 | $ | 156,792 | $ | 47,378 | $ | 26,014 | $ | 724,459 | |||||||||
Accumulated goodwill impairments at September 30, 2012 | $ | (437,706 | ) | $ | (151,238 | ) | $ | — | $ | (26,014 | ) | $ | (614,958 | ) | |||||
Impairments recorded during fiscal year 2013 | — | — | — | — | — | ||||||||||||||
Accumulated goodwill impairments at September 30, 2013 | (437,706 | ) | (151,238 | ) | — | (26,014 | ) | (614,958 | ) | ||||||||||
Impairments recorded during fiscal year 2014 | — | — | — | — | — | ||||||||||||||
Accumulated goodwill impairments at September 30, 2014 | $ | (437,706 | ) | $ | (151,238 | ) | $ | — | $ | (26,014 | ) | $ | (614,958 | ) | |||||
Goodwill, less accumulated impairments at September 30, 2013 | $ | 44,931 | $ | 5,554 | $ | 47,439 | $ | — | $ | 97,924 | |||||||||
Goodwill, less accumulated impairments at September 30, 2014 | $ | 56,569 | $ | 5,554 | $ | 47,378 | $ | — | $ | 109,501 |
Year Ended | ||||
September 30, | ||||
2009 | ||||
Reported as cost of sales: | ||||
Completed technology intangible asset impairment | $ | 19,608 | ||
Property, plant and equipment impairment | 1,316 | |||
Subtotal, reported as cost of sales | 20,924 | |||
Reported as operating expense: | ||||
Trade name intangible asset impairment | 1,145 | |||
Customer relationship intangible asset impairment | 13,443 | |||
Subtotal, reported as operating expense | 14,588 | |||
$ | 35,512 | |||
59
Year Ended September 30, | |||||||
2014 | 2013 | ||||||
Reported as cost of revenue: | |||||||
Completed technology intangible asset impairment | $ | 398 | $ | 1,910 | |||
Reported as selling, general and administrative expense: | |||||||
Trademarks and trade name intangible asset impairment | — | 50 | |||||
Total impairment charges | $ | 398 | $ | 1,960 |
Brooks | Brooks | Brooks | ||||||||||||||||||||||
Products | Global | Life Science | Contract | |||||||||||||||||||||
Solutions | Services | Systems | Manufacturing | Other | Total | |||||||||||||||||||
Gross goodwill at September 30, 2009 | $ | 485,844 | $ | 151,238 | $ | — | $ | 18,593 | $ | 7,421 | $ | 663,096 | ||||||||||||
Acquisitions and adjustments during fiscal 2010 | — | — | — | — | — | — | ||||||||||||||||||
Gross goodwill at September 30, 2010 | 485,844 | 151,238 | — | 18,593 | 7,421 | 663,096 | ||||||||||||||||||
Acquisitions and adjustments during fiscal 2011 | — | — | 36,589 | — | — | 36,589 | ||||||||||||||||||
Gross goodwill at September 30, 2011 | $ | 485,844 | $ | 151,238 | $ | 36,589 | $ | 18,593 | $ | 7,421 | $ | 699,685 | ||||||||||||
Accumulated goodwill impairments at September 30, 2009 | $ | (437,706 | ) | $ | (151,238 | ) | $ | — | $ | (18,593 | ) | $ | (7,421 | ) | $ | (614,958 | ) | |||||||
Impairments recorded during fiscal 2010 | — | — | — | — | — | — | ||||||||||||||||||
Accumulated goodwill impairments at September 30, 2010 | (437,706 | ) | (151,238 | ) | — | (18,593 | ) | (7,421 | ) | (614,958 | ) | |||||||||||||
Impairments recorded during fiscal 2011 | — | — | — | — | — | — | ||||||||||||||||||
Accumulated goodwill impairments at September 30, 2011 | $ | (437,706 | ) | $ | (151,238 | ) | $ | — | $ | (18,593 | ) | $ | (7,421 | ) | $ | (614,958 | ) | |||||||
Goodwill, less accumulated impairments at September 30, 2010 | $ | 48,138 | $ | — | $ | — | $ | — | $ | — | $ | 48,138 | ||||||||||||
Goodwill, less accumulated impairments at September 30, 2011 | $ | 48,138 | $ | — | $ | 36,589 | $ | — | $ | — | $ | 84,727 | ||||||||||||
September 30, 2011 | September 30, 2010 | ||||||||||||||||||||||||||||||||||||||||||||||
Accumulated | Net Book | Accumulated | Net Book | ||||||||||||||||||||||||||||||||||||||||||||
Cost | Amortization | Value | Cost | Amortization | Value | September 30, 2014 | September 30, 2013 | ||||||||||||||||||||||||||||||||||||||||
Cost | Accumulated Amortization | Net Book Value | Cost | Accumulated Amortization | Net Book Value | ||||||||||||||||||||||||||||||||||||||||||
Patents | $ | 7,808 | $ | 6,989 | $ | 819 | $ | 7,808 | $ | 6,886 | $ | 922 | $ | 7,808 | $ | 7,300 | $ | 508 | $ | 7,808 | $ | 7,196 | $ | 612 | |||||||||||||||||||||||
Completed technology | 50,975 | 39,235 | 11,740 | 43,502 | 37,108 | 6,394 | 57,155 | 41,539 | 15,616 | 57,050 | 40,354 | 16,696 | |||||||||||||||||||||||||||||||||||
Trademarks and trade names | 3,941 | 3,719 | 222 | 3,779 | 3,379 | 400 | 3,496 | 3,496 | — | 3,564 | 3,554 | 10 | |||||||||||||||||||||||||||||||||||
Customer relationships | 49,029 | 17,496 | 31,533 | 18,860 | 15,453 | 3,407 | 73,389 | 29,963 | 43,426 | 66,687 | 23,917 | 42,770 | |||||||||||||||||||||||||||||||||||
$ | 141,848 | $ | 82,298 | $ | 59,550 | $ | 135,109 | $ | 75,021 | $ | 60,088 | ||||||||||||||||||||||||||||||||||||
$ | 111,753 | $ | 67,439 | $ | 44,314 | $ | 73,949 | $ | 62,826 | $ | 11,123 | ||||||||||||||||||||||||||||||||||||
60
Year ended September 30, | ||||
2012 | $ | 7.8 | ||
2013 | 5.9 | |||
2014 | 5.2 | |||
2015 | 5.1 | |||
2016 | 4.5 | |||
Thereafter | 15.8 | |||
$ | 44.3 | |||
Year ended September 30, | |||
2015 | $ | 11,555 | |
2016 | 10,240 | ||
2017 | 9,536 | ||
2018 | 7,229 | ||
2019 | 6,660 | ||
Thereafter | 14,330 | ||
$ | 59,550 |
61
Year Ended September 30, | ||||||||||||
2011 | 2010 | 2009 | ||||||||||
Net income (loss) attributable to Brooks Automation, Inc. | $ | 128,352 | $ | 58,982 | $ | (227,858 | ) | |||||
Weighted average common shares outstanding used in computing basic earnings (loss) per share | 64,549 | 63,777 | 62,911 | |||||||||
Dilutive common stock options and restricted stock awards | 454 | 397 | — | |||||||||
Weighted average common shares outstanding for purposes of computing diluted earnings (loss) per share | 65,003 | 64,174 | 62,911 | |||||||||
Basic net income (loss) per share attributable to Brooks Automation, Inc. common stockholders | $ | 1.99 | $ | 0.92 | $ | (3.62 | ) | |||||
Diluted net income (loss) per share attributable to Brooks Automation, Inc. common stockholders | $ | 1.97 | $ | 0.92 | $ | (3.62 | ) | |||||
Year ended September 30, | |||||||||||
2014 | 2013 | 2012 | |||||||||
Income (loss) from continuing operations | $ | 1,520 | $ | (7,114 | ) | $ | 131,835 | ||||
Income from discontinued operations, net of tax | 30,002 | 4,964 | 5,000 | ||||||||
Net income (loss) | 31,522 | (2,150 | ) | 136,835 | |||||||
Net income attributable to noncontrolling interests | (161 | ) | (65 | ) | (46 | ) | |||||
Net income (loss) attributable to Brooks Automation, Inc. | $ | 31,361 | $ | (2,215 | ) | $ | 136,789 | ||||
Weighted average common shares outstanding used in computing basic earnings per share | 66,648 | 65,912 | 65,128 | ||||||||
Dilutive common stock options and restricted stock units | 996 | — | 594 | ||||||||
Weighted average common shares outstanding for purposes of computing diluted earnings per share | 67,644 | 65,912 | 65,722 | ||||||||
Basic net income (loss) per share attributable to Brooks Automation, Inc. common stockholders: | |||||||||||
Income (loss) from continuing operations | $ | 0.02 | $ | (0.11 | ) | $ | 2.02 | ||||
Income from discontinued operations, net of tax | 0.45 | 0.08 | 0.08 | ||||||||
Basic net income (loss) per share attributable to Brooks Automation, Inc. | $ | 0.47 | $ | (0.03 | ) | $ | 2.10 | ||||
Diluted net income (loss) per share attributable to Brooks Automation, Inc. common stockholders: | |||||||||||
Income (loss) from continuing operations | $ | 0.02 | $ | (0.11 | ) | $ | 2.01 | ||||
Income from discontinued operations, net of tax | 0.44 | 0.08 | 0.08 | ||||||||
Diluted net income (loss) per share attributable to Brooks Automation, Inc. common stockholders | $ | 0.46 | $ | (0.03 | ) | $ | 2.08 |
Year ended September 30, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Realized gains (losses) on derivative instruments not designated as hedging instruments | $ | 185 | $ | 123 | $ | (151 | ) |
Buy Currency | Notional Amount of Buy Currency | Sell Currency | Maturity | Notional Amount of Sell Currency | Fair Value of Assets | Fair Value of Liabilities | ||||||||||||
U.S. dollar | 1,736 | Japanese yen | October 2014 to December 2014 | 190,000 | $ | — | $ | 11 | ||||||||||
U.S. dollar | 1,395 | Euro | October 2014 | 1,100 | — | 16 | ||||||||||||
U.S. dollar | 656 | Taiwan dollar | October 2014 | 20,000 | — | 5 | ||||||||||||
U.S. dollar | 650 | British pound | October 2014 | 400 | — | 5 | ||||||||||||
U.S. dollar | 731 | Israeli shekel | October 2014 | 2,700 | — | 5 | ||||||||||||
U.S. dollar | 76 | Korean won | October 2014 | 80,000 | — | 1 | ||||||||||||
British pound | 3,513 | Euro | October 2014 | 4,500 | — | 15 | ||||||||||||
$ | — | $ | 58 |
Buy Currency | Notional Amount of Buy Currency | Sell Currency | Maturity | Notional Amount of Sell Currency | Fair Value of Assets | Fair Value of Liabilities | ||||||||||||
U.S. dollar | 2,762 | Japanese yen | October 2013 to December 2013 | 273,000 | $ | 8 | $ | — | ||||||||||
Korean won | 740,000 | U.S. dollar | October 2013 | 688 | — | 2 | ||||||||||||
U.S. dollar | 304 | Israeli shekel | October 2013 | 1,075 | — | 3 | ||||||||||||
U.S. dollar | 231 | Singapore dollar | October 2013 | 290 | — | — | ||||||||||||
$ | 8 | $ | 5 |
Year Ended September 30, | ||||||||||||
2011 | 2010 | 2009 | ||||||||||
Current: | ||||||||||||
Federal | $ | 16 | $ | (3,883 | ) | $ | 16 | |||||
State | 1,356 | 616 | 13 | |||||||||
Foreign | 858 | 521 | 614 | |||||||||
2,230 | (2,746 | ) | 643 | |||||||||
Deferred: | ||||||||||||
Federal | — | — | — | |||||||||
State | — | — | — | |||||||||
Foreign | (276 | ) | — | — | ||||||||
$ | 1,954 | $ | (2,746 | ) | $ | 643 | ||||||
Year Ended September 30, | |||||||||||
2014 | 2013 | 2012 | |||||||||
Current income tax provision (benefit): | |||||||||||
Federal | $ | 15 | $ | 15 | $ | 15 | |||||
State | 177 | 70 | 213 | ||||||||
Foreign | 1,417 | 681 | (1,374 | ) | |||||||
Total current income tax provision (benefit) | 1,609 | 766 | (1,146 | ) | |||||||
Deferred income tax benefit: | |||||||||||
Federal | (2,276 | ) | (5,245 | ) | (121,203 | ) | |||||
State | (35 | ) | (183 | ) | (439 | ) | |||||
Foreign | (1,278 | ) | (323 | ) | (3,413 | ) | |||||
Total deferred income tax benefit | (3,589 | ) | (5,751 | ) | (125,055 | ) | |||||
Income tax benefit | $ | (1,980 | ) | $ | (4,985 | ) | $ | (126,201 | ) |
Year Ended September 30, | ||||||||||||
2011 | 2010 | 2009 | ||||||||||
Domestic | $ | 111,053 | $ | 44,956 | $ | (213,687 | ) | |||||
Foreign | 16,523 | 11,108 | (13,230 | ) | ||||||||
$ | 127,576 | $ | 56,064 | $ | (226,917 | ) | ||||||
Year Ended September 30, | |||||||||||
2014 | 2013 | 2012 | |||||||||
Domestic | $ | (7,338 | ) | $ | (14,747 | ) | $ | (5,715 | ) | ||
Foreign | 5,643 | 206 | 9,216 | ||||||||
$ | (1,695 | ) | $ | (14,541 | ) | $ | 3,501 |
Year Ended September 30, | ||||||||||||
2011 | 2010 | 2009 | ||||||||||
Income tax provision (benefit) computed at federal statutory rate | $ | 45,736 | $ | 19,622 | $ | (79,420 | ) | |||||
State income taxes, net of federal benefit | 1,848 | 699 | (1,308 | ) | ||||||||
Net operating loss carryback refund | — | (3,899 | ) | — | ||||||||
Impairments | — | — | 25,130 | |||||||||
Foreign income taxed at different rates | (1,546 | ) | (1,650 | ) | (1,233 | ) | ||||||
Dividends | (219 | ) | 1,006 | 1,362 | ||||||||
Change in deferred tax asset valuation allowance | (42,608 | ) | (18,423 | ) | 55,211 | |||||||
Reduction in uncertain tax positions | (3,719 | ) | (609 | ) | (712 | ) | ||||||
Other | 2,462 | 508 | 1,613 | |||||||||
Income tax provision (benefit) | $ | 1,954 | $ | (2,746 | ) | $ | 643 | |||||
Year Ended September 30, | |||||||||||
2014 | 2013 | 2012 | |||||||||
Income tax provision (benefit) computed at federal statutory rate | $ | (217 | ) | $ | (4,257 | ) | $ | 1,957 | |||
State income taxes, net of federal benefit | (12 | ) | (101 | ) | 112 | ||||||
Foreign income taxed at different rates | (596 | ) | 493 | (832 | ) | ||||||
Dividends | (1,373 | ) | 115 | 956 | |||||||
Change in deferred tax asset valuation allowance | 453 | 523 | (125,479 | ) | |||||||
Reduction in uncertain tax positions | (1,236 | ) | (1,022 | ) | (3,732 | ) | |||||
Nondeductible compensation | 1,064 | 474 | 1,339 | ||||||||
Tax credits | (704 | ) | (2,002 | ) | (1,195 | ) | |||||
Travel and entertainment | 220 | 124 | 139 | ||||||||
Merger costs | 187 | 251 | — | ||||||||
Other | 234 | 417 | 534 | ||||||||
Income tax benefit | $ | (1,980 | ) | $ | (4,985 | ) | $ | (126,201 | ) |
Year Ended September 30, | ||||||||
2011 | 2010 | |||||||
Accruals and reserves not currently deductible | $ | 10,357 | $ | 9,739 | ||||
Federal, state and foreign tax credits | 22,673 | 18,178 | ||||||
Depreciation | 527 | 7,946 | ||||||
Amortization | — | 4,406 | ||||||
Other assets | 3,304 | 7,463 | ||||||
Net operating loss carryforwards | 119,167 | 139,464 | ||||||
Inventory reserves and valuation | 11,650 | 12,284 | ||||||
Deferred tax assets | 167,678 | 199,480 | ||||||
Intangible amortization | 7,378 | — | ||||||
Other liabilities | — | 540 | ||||||
Deferred tax liabilities | 7,378 | 540 | ||||||
Valuation allowance | 162,208 | 198,940 | ||||||
Net deferred tax liabilities | $ | (1,908 | ) | $ | — | |||
September 30, | |||||||
2014 | 2013 | ||||||
Accruals and reserves not currently deductible | $ | 12,456 | $ | 11,050 | |||
Federal, state and foreign tax credits | 20,434 | 20,084 | |||||
Other assets | 3,523 | 1,859 | |||||
Net operating loss carryforwards | 67,380 | 101,717 | |||||
Inventory reserves and valuation | 9,956 | 9,052 | |||||
Deferred tax assets | 113,749 | 143,762 | |||||
Depreciation and intangible amortization | 12,198 | 12,208 | |||||
Deferred tax liabilities | 12,198 | 12,208 | |||||
Valuation allowance | (18,354 | ) | (16,509 | ) | |||
Net deferred tax asset | $ | 83,197 | $ | 115,045 |
64
Unrecognized | Interest and | |||||||||||
Tax Benefit | Penalties | Total | ||||||||||
Balance at October 1, 2008 | $ | 10,463 | $ | 1,452 | $ | 11,915 | ||||||
Additions for tax positions of prior years | 43 | 483 | 526 | |||||||||
Additions for tax positions related to current year | 228 | 5 | 233 | |||||||||
Reduction for tax positions related to acquired entities in prior years, offset to goodwill | (41 | ) | — | (41 | ) | |||||||
Reductions for tax positions of prior years | (133 | ) | (169 | ) | (302 | ) | ||||||
Reductions from lapses in statutes of limitations | (223 | ) | — | (223 | ) | |||||||
Reductions from settlements with taxing authorities | (426 | ) | (102 | ) | (528 | ) | ||||||
Foreign exchange rate adjustment | (117 | ) | — | (117 | ) | |||||||
Balance at September 30, 2009 | 9,794 | 1,669 | 11,463 | |||||||||
Additions for tax positions of prior years | 3,287 | 506 | 3,793 | |||||||||
Additions for tax positions related to current year | 468 | — | 468 | |||||||||
Reductions for tax positions of prior years | (40 | ) | (19 | ) | (59 | ) | ||||||
Reductions from lapses in statutes of limitations | (413 | ) | — | (413 | ) | |||||||
Reductions from settlements with taxing authorities | (193 | ) | (4 | ) | (197 | ) | ||||||
Foreign exchange rate adjustment | (87 | ) | — | (87 | ) | |||||||
Balance at September 30, 2010 | 12,816 | 2,152 | 14,968 | |||||||||
Additions for tax positions of prior years | 184 | 447 | 631 | |||||||||
Additions for tax positions related to current year | 242 | — | 242 | |||||||||
Reductions from lapses in statutes of limitations | (961 | ) | — | (961 | ) | |||||||
Reductions from settlements with taxing authorities | (3,392 | ) | (610 | ) | (4,002 | ) | ||||||
Foreign exchange rate adjustment | 122 | — | 122 | |||||||||
Balance at September 30, 2011 | $ | 9,011 | $ | 1,989 | $ | 11,000 | ||||||
Unrecognized Tax Benefit | Interest and Penalties | Total | |||||||||
Balance at October 1, 2011 | $ | 9,011 | $ | 1,989 | $ | 11,000 | |||||
Additions for tax positions of prior years | 242 | 247 | 489 | ||||||||
Reductions from lapses in statutes of limitations | (3,125 | ) | (607 | ) | (3,732 | ) | |||||
Foreign exchange rate adjustment | (167 | ) | 15 | (152 | ) | ||||||
Balance at September 30, 2012 | 5,961 | 1,644 | 7,605 | ||||||||
Additions for tax positions of prior years | — | 228 | 228 | ||||||||
Additions for tax positions related to acquired entities | 116 | — | 116 | ||||||||
Reductions from lapses in statutes of limitations | (944 | ) | (78 | ) | (1,022 | ) | |||||
Foreign exchange rate adjustment | 14 | — | 14 | ||||||||
Balance at September 30, 2013 | 5,147 | 1,794 | 6,941 | ||||||||
Additions for tax positions of prior years | — | 286 | 286 | ||||||||
Reductions from lapses in statutes of limitations | (861 | ) | (375 | ) | (1,236 | ) | |||||
Foreign exchange rate adjustment | (24 | ) | — | (24 | ) | ||||||
Balance at September 30, 2014 | $ | 4,262 | $ | 1,705 | $ | 5,967 |
65
September 30, | |||||||
2014 | 2013 | ||||||
Benefit obligation at beginning of fiscal year | $ | 7,107 | $ | 10,181 | |||
Service cost | 406 | 604 | |||||
Interest cost | 154 | 148 | |||||
Actuarial loss (gain) | 968 | (670 | ) | ||||
Benefits paid | (141 | ) | (1,421 | ) | |||
Settlements paid | — | (1,383 | ) | ||||
Curtailment gain | — | (500 | ) | ||||
Foreign currency translation | (281 | ) | 148 | ||||
Benefit obligation at end of fiscal year | $ | 8,213 | $ | 7,107 |
Fair value of assets at beginning of fiscal year | $ | 5,996 | $ | 8,015 | |||
Actual return on plan assets | 98 | 304 | |||||
Disbursements | (264 | ) | (1,573 | ) | |||
Employer contributions | 302 | 292 | |||||
Employee contributions | 200 | 194 | |||||
Settlements paid | — | (1,383 | ) | ||||
Foreign currency translation | (201 | ) | 147 | ||||
Fair value of assets at end of fiscal year | $ | 6,131 | $ | 5,996 |
Accrued benefit obligation | $ | 2,082 | $ | 1,111 |
Year Ended September 30, | ||||||||
2011 | 2010 | |||||||
Benefit obligation at beginning of year | $ | 15,914 | $ | 14,390 | ||||
Acquisition date benefit obligations from entities acquired during the fiscal year | 10,354 | — | ||||||
Service cost | 216 | 100 | ||||||
Interest cost | 796 | 775 | ||||||
Actuarial loss | 2,138 | 1,380 | ||||||
Benefits paid | (356 | ) | (731 | ) | ||||
Foreign currency translation | (994 | ) | — | |||||
Benefit obligation at end of year | $ | 28,068 | $ | 15,914 | ||||
Year Ended | ||||||||
September 30, | ||||||||
2011 | 2010 | |||||||
Fair value of assets at beginning of year | $ | 9,990 | $ | 5,860 | ||||
Acquisition date fair value of assets for entities acquired during the fiscal year | 9,226 | — | ||||||
Actual return (loss) on plan assets | 1,322 | 657 | ||||||
Disbursements | (356 | ) | (731 | ) | ||||
Employer contributions | 778 | 4,204 | ||||||
Employee contributions | 76 | — | ||||||
Foreign currency translation | (863 | ) | — | |||||
Fair value of assets at end of year | $ | 20,173 | $ | 9,990 | ||||
September 30, | ||||||||
2011 | 2010 | |||||||
Funded status/accrued benefit liability | $ | (7,895 | ) | $ | (5,924 | ) | ||
September 30, | ||||||||
2011 | 2010 | |||||||
Accrued compensation and benefits | $ | 734 | $ | 458 | ||||
Long-term pension liability | 7,161 | 5,466 |
September 30, | |||||||
2014 | 2013 | ||||||
Accrued compensation and benefits | $ | 308 | $ | 296 | |||
Long-term pension liability | 1,774 | 815 |
Year Ended September 30, | ||||||||||||
2011 | 2010 | 2009 | ||||||||||
Service cost | $ | 216 | $ | 100 | $ | 100 | ||||||
Interest cost | 796 | 775 | 702 | |||||||||
Expected return on assets | (764 | ) | (604 | ) | (709 | ) | ||||||
Amortization of losses | 458 | 327 | 89 | |||||||||
Settlement loss | — | — | 888 | |||||||||
Net periodic pension cost | $ | 706 | $ | 598 | $ | 1,070 | ||||||
67
Year ended September 30, | |||||||||||
2014 | 2013 | 2012 | |||||||||
Service cost | $ | 406 | $ | 604 | $ | 787 | |||||
Interest cost | 154 | 148 | 984 | ||||||||
Expected return on plan assets | (214 | ) | (247 | ) | (1,072 | ) | |||||
Amortization of losses | 2 | 4 | 620 | ||||||||
Other | — | 160 | — | ||||||||
Net periodic pension cost | 348 | 669 | 1,319 | ||||||||
Settlement loss | — | 87 | 8,937 | ||||||||
Total pension cost | $ | 348 | $ | 756 | $ | 10,256 |
September 30, | ||||||||
2011 | 2010 | |||||||
Net loss | $ | 1,502 | $ | 1,328 | ||||
Amortization of net loss | (458 | ) | (327 | ) | ||||
Total recognized in other comprehensive income | 1,044 | 1,001 | ||||||
Total recognized in net periodic benefit cost and other comprehensive income | $ | 1,750 | $ | 1,599 | ||||
September 30, | ||||||||
2011 | 2010 | |||||||
Projected benefit obligation | $ | 28,068 | $ | 15,914 | ||||
Accumulated benefit obligation | 26,663 | 15,914 | ||||||
Fair value of plan assets | 20,173 | 9,990 |
Year Ended September 30, | ||||||||||||
2011 | 2010 | 2009 | ||||||||||
Discount rate | 3.99 | % | 5.50 | % | 7.12 | % | ||||||
Expected return on plan assets | 4.68 | % | 8.00 | % | 8.00 | % | ||||||
Rate of compensation increase | 1.79 | % | N/A | N/A |
September 30, | |||||||
2014 | 2013 | ||||||
Net loss (gain) | $ | 961 | $ | (791 | ) | ||
Amortization of net loss | (2 | ) | (3 | ) | |||
Curtailment loss | — | (675 | ) | ||||
Settlement loss | — | (87 | ) | ||||
Total recognized in other comprehensive income (loss) | 959 | (1,556 | ) | ||||
Total recognized in net periodic pension cost and other comprehensive income (loss) | $ | 1,307 | $ | (887 | ) |
Year Ended September��30, | ||||||||||||
2011 | 2010 | 2009 | ||||||||||
Discount rate | 3.76 | % | 4.75 | % | 5.50 | % | ||||||
Rate of compensation increase | 1.79 | % | N/A | N/A |
Year Ended September 30, | ||||||||
2014 | 2013 | 2012 | ||||||
Discount rate | 1.55 | % | 2.15 | % | 3.51 | % | ||
Expected return on plan assets | 2.18 | % | 2.17 | % | 2.18 | % | ||
Expected rate of compensation increases | 1.87 | % | 1.89 | % | 1.84 | % |
68
Percentage of | Target | |||||
Plan Assets at | Allocation at | |||||
September 30, | September 30, | |||||
2011 | 2012 | |||||
Equity securities | 17 | % | 15% - 30% | |||
Debt securities | 67 | 50% - 70% | ||||
Other | 4 | 0% - 10% | ||||
Cash | 12 | 0% - 20% | ||||
100 | % | |||||
Debt securities | 73 | |||||
% | ||||||
Equity securities | 6 | |||||
2 | ||||||
Other | 19 | |||||
100 | % | |||||
69
As of September 30, 2011 | ||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | |||||||||||||
Fixed income securities: | ||||||||||||||||
Short duration bond mutual funds | $ | 468 | — | — | $ | 468 | ||||||||||
Intermediate duration bond mutual funds | 1,761 | — | — | 1,761 | ||||||||||||
Long-term duration bond mutual funds | 5,414 | — | — | 5,414 | ||||||||||||
Other investments: | ||||||||||||||||
Global allocation mutual funds | 2,929 | — | — | 2,929 | ||||||||||||
Swiss Life collective foundation | — | 8,046 | — | 8,046 | ||||||||||||
Taiwan collective trust | — | 483 | — | 483 | ||||||||||||
Cash and cash equivalents | 1,072 | — | — | 1,072 | ||||||||||||
Total | $ | 11,644 | $ | 8,529 | $ | — | $ | 20,173 | ||||||||
As of September 30, 2014 | |||||||||||||||
Total | Level 1 | Level 2 | Level 3 | ||||||||||||
Swiss Life collective foundation | $ | 5,608 | $ | — | $ | 5,608 | $ | — | |||||||
Taiwan collective trust | 523 | — | 523 | — | |||||||||||
Total | $ | 6,131 | $ | — | $ | 6,131 | $ | — |
2012 | $ | 1,193 | ||
2013 | 403 | |||
2014 | 797 | |||
2015 | 815 | |||
2016 | 877 | |||
2017-2021 | 6,481 |
2015 | $ | 231 | |
2016 | 54 | ||
2017 | 55 | ||
2018 | 56 | ||
2019 | 57 | ||
2020-2024 | 664 |
70
Currency Translation Adjustments | Unrealized Gains (Losses) on Available-for-Sale Securities | Unrealized Gains (Losses) on Cash Flow Hedges | Pension Liability Adjustments | Total | ||||||||||||||||
Balance at September 30, 2011 | $ | 26,917 | $ | (192 | ) | $ | — | $ | (9,401 | ) | $ | 17,324 | ||||||||
Other comprehensive income before reclassifications | (2,406 | ) | 408 | — | (606 | ) | (2,604 | ) | ||||||||||||
Amounts reclassified from accumulated other comprehensive income | — | (15 | ) | — | 8,937 | 8,922 | ||||||||||||||
Balance at September 30, 2012 | 24,511 | 201 | — | (1,070 | ) | 23,642 | ||||||||||||||
Other comprehensive income before reclassifications | (2,113 | ) | (114 | ) | 14 | 1,109 | (1,104 | ) | ||||||||||||
Amounts reclassified from accumulated other comprehensive income | — | (21 | ) | — | 87 | 66 | ||||||||||||||
Balance at September 30, 2013 | 22,398 | 66 | 14 | 126 | 22,604 | |||||||||||||||
Other comprehensive income before reclassifications | (6,296 | ) | (78 | ) | 79 | (503 | ) | (6,798 | ) | |||||||||||
Amounts reclassified from accumulated other comprehensive income | — | (26 | ) | (93 | ) | — | (119 | ) | ||||||||||||
Balance at September 30, 2014 | $ | 16,102 | $ | (38 | ) | $ | — | $ | (377 | ) | $ | 15,687 |
71
2011 | ||||||||||||||||
Weighted- | ||||||||||||||||
Average | Aggregate | |||||||||||||||
Remaining | Weighted | Intrinsic | ||||||||||||||
Contractual | Average | Value (In | ||||||||||||||
Shares | Term | Price | Thousands) | |||||||||||||
Options outstanding at beginning of year | 764,621 | $ | 18.94 | |||||||||||||
Exercised | (1,554 | ) | $ | 3.62 | ||||||||||||
Forfeited/expired | (392,930 | ) | $ | 23.12 | ||||||||||||
Options outstanding at end of year | 370,137 | 0.9 years | $ | 14.57 | $ | 10 | ||||||||||
Vested and unvested expected to vest at end of year | 370,137 | 0.9 years | $ | 14.57 | $ | 10 | ||||||||||
Options exercisable at end of year | 370,137 | 0.9 years | $ | 14.57 | $ | 10 | ||||||||||
Options available for future grant | 5,266,210 | |||||||||||||||
2014 | ||||||||||||
Shares | Weighted- Average Remaining Contractual Term | Weighted Average Price | Aggregate Intrinsic Value (In Thousands) | |||||||||
Options outstanding at September 30, 2013 | 15,540 | $ | 15.86 | |||||||||
Forfeited/expired | (9,990 | ) | $ | 17.34 | ||||||||
Options outstanding at September 30, 2014 | 5,550 | 0.3 years | $ | 13.20 | $ | — | ||||||
Vested at September 30, 2014 | 5,550 | 0.3 years | $ | 13.20 | $ | — | ||||||
Options exercisable at September 30, 2014 | 5,550 | 0.3 years | $ | 13.20 | $ | — | ||||||
Shares available for future grant | 2,486,983 |
72
2011 | ||||||||
Weighted | ||||||||
Average | ||||||||
Grant-Date | ||||||||
Shares | Fair Value | |||||||
Outstanding at beginning of year | 1,313,203 | $ | 9.40 | |||||
Awards granted | 1,046,000 | 11.27 | ||||||
Awards vested | (652,588 | ) | 11.41 | |||||
Awards canceled | (115,626 | ) | 8.65 | |||||
Outstanding at end of year | 1,590,989 | $ | 10.15 | |||||
2014 | ||||||
Shares | Weighted Average Grant-Date Fair Value | |||||
Outstanding at September 30, 2013 | 2,915,413 | $ | 11.25 | |||
Awards granted | 1,517,057 | $ | 9.49 | |||
Awards vested | (592,857 | ) | $ | 9.48 | ||
Awards canceled | (1,113,128 | ) | $ | 10.28 | ||
Outstanding at September 30, 2014 | 2,726,485 | $ | 11.05 |
Total Units | Time-Based Units | Performance-Based Units | ||||||
Year ended September 30, 2014 | 1,517,057 | 678,307 | 838,750 | |||||
Year ended September 30, 2013 | 1,471,977 | 794,602 | 677,375 | |||||
Year ended September 30, 2012 | 1,887,419 | 767,169 | 1,120,250 |
73
Fiscal 2011 Activity | ||||||||||||||||
Balance | Balance | |||||||||||||||
September 30, | September 30, | |||||||||||||||
2010 | Expense | Utilization | 2011 | |||||||||||||
Facilities and other | $ | 3,509 | $ | 310 | $ | (3,819 | ) | $ | — | |||||||
Workforce-related | — | 726 | (433 | ) | 293 | |||||||||||
$ | 3,509 | $ | 1,036 | $ | (4,252 | ) | $ | 293 | ||||||||
74
Fiscal Year 2014 Activity | |||||||||||||||
Balance September 30, 2013 | Expense | Utilization | Balance September 30, 2014 | ||||||||||||
Facility and other contract termination costs | $ | 155 | $ | 583 | $ | (667 | ) | $ | 71 | ||||||
Workforce-related termination benefits | 1,257 | 5,706 | (3,559 | ) | 3,404 | ||||||||||
$ | 1,412 | $ | 6,289 | $ | (4,226 | ) | $ | 3,475 | |||||||
Fiscal Year 2013 Activity | |||||||||||||||
Balance September 30, 2012 | Expense | Utilization | Balance September 30, 2013 | ||||||||||||
Facility and other contract termination costs | $ | — | $ | 818 | $ | (663 | ) | $ | 155 | ||||||
Workforce-related termination benefits | 2,098 | 5,475 | (6,316 | ) | 1,257 | ||||||||||
$ | 2,098 | $ | 6,293 | $ | (6,979 | ) | $ | 1,412 | |||||||
Fiscal Year 2012 Activity | |||||||||||||||
Balance September 30, 2011 | Expense | Utilization | Balance September 30, 2012 | ||||||||||||
Workforce-related termination benefits | $ | 293 | $ | 3,153 | $ | (1,348 | ) | $ | 2,098 |
Fiscal 2010 Activity | ||||||||||||||||
Balance | Balance | |||||||||||||||
September 30, | September 30, | |||||||||||||||
2009 | Expense | Utilization | 2010 | |||||||||||||
Facilities | $ | 6,289 | $ | 1,584 | $ | (4,364 | ) | $ | 3,509 | |||||||
Workforce-related | 1,372 | 945 | (2,317 | ) | — | |||||||||||
$ | 7,661 | $ | 2,529 | $ | (6,681 | ) | $ | 3,509 | ||||||||
Fiscal 2009 Activity | ||||||||||||||||
Balance | Balance | |||||||||||||||
September 30, | September 30, | |||||||||||||||
2008 | Expense | Utilization | 2009 | |||||||||||||
Facilities | $ | 9,658 | $ | 1,769 | $ | (5,138 | ) | $ | 6,289 | |||||||
Workforce-related | 3,005 | 11,037 | (12,670 | ) | 1,372 | |||||||||||
$ | 12,663 | $ | 12,806 | $ | (17,808 | ) | $ | 7,661 | ||||||||
75
Brooks | Brooks | Brooks | ||||||||||||||||||
Product | Global | Life Science | Contract | |||||||||||||||||
Solutions | Services | Systems | Manufacturing | Total | ||||||||||||||||
Year ended September 30, 2011 | ||||||||||||||||||||
Revenues | ||||||||||||||||||||
Product | $ | 451,287 | $ | 14,786 | $ | 7,715 | $ | 137,329 | $ | 611,117 | ||||||||||
Services | — | 74,058 | 2,930 | — | 76,988 | |||||||||||||||
$ | 451,287 | $ | 88,844 | $ | 10,645 | $ | 137,329 | $ | 688,105 | |||||||||||
Gross profit | $ | 171,801 | $ | 31,750 | $ | 2,260 | $ | 17,210 | $ | 223,021 | ||||||||||
Segment operating income (loss) | $ | 64,921 | $ | 13,293 | $ | (4,684 | ) | $ | 10,649 | $ | 84,179 | |||||||||
Depreciation | $ | 8,597 | $ | 2,481 | $ | 543 | $ | 1,000 | $ | 12,621 | ||||||||||
Assets | $ | 235,322 | $ | 52,354 | $ | 101,331 | $ | — | $ | 389,007 | ||||||||||
Year ended September 30, 2010 | ||||||||||||||||||||
Revenues | ||||||||||||||||||||
Product | $ | 362,524 | $ | 13,740 | $ | — | $ | 155,543 | $ | 531,807 | ||||||||||
Services | — | 61,165 | — | — | 61,165 | |||||||||||||||
$ | 362,524 | $ | 74,905 | $ | — | $ | 155,543 | $ | 592,972 | |||||||||||
Gross profit | $ | 128,479 | $ | 20,354 | $ | — | $ | 17,462 | $ | 166,295 | ||||||||||
Segment operating income | $ | 40,143 | $ | 3,805 | $ | — | $ | 8,335 | $ | 52,283 | ||||||||||
Depreciation | $ | 9,465 | $ | 2,843 | $ | — | $ | 2,255 | $ | 14,563 | ||||||||||
Assets | $ | 227,408 | $ | 53,564 | $ | — | $ | 57,024 | $ | 337,996 | ||||||||||
Year ended September 30, 2009 | ||||||||||||||||||||
Revenues | ||||||||||||||||||||
Product | $ | 132,337 | $ | 7,557 | $ | — | $ | 27,365 | $ | 167,259 | ||||||||||
Services | — | 51,447 | — | — | 51,447 | |||||||||||||||
$ | 132,337 | $ | 59,004 | $ | — | $ | 27,365 | $ | 218,706 | |||||||||||
Gross profit (loss) | $ | 15,140 | $ | 6,478 | $ | — | $ | (6,690 | ) | $ | 14,928 | |||||||||
Segment operating loss | $ | (70,326 | ) | $ | (10,227 | ) | $ | — | $ | (16,128 | ) | $ | (96,681 | ) | ||||||
Depreciation | $ | 8,979 | $ | 3,841 | $ | — | $ | 2,822 | $ | 15,642 | ||||||||||
Assets | $ | 183,861 | $ | 57,151 | $ | — | $ | 24,462 | $ | 265,474 |
Brooks Product Solutions | Brooks Global Services | Brooks Life Science Systems | Total | ||||||||||||
Year ended September 30, 2014 | |||||||||||||||
Revenue | |||||||||||||||
Product | $ | 325,639 | $ | 14,978 | $ | 46,415 | $ | 387,032 | |||||||
Services | — | 79,083 | 16,733 | 95,816 | |||||||||||
$ | 325,639 | $ | 94,061 | $ | 63,148 | $ | 482,848 | ||||||||
Gross profit | $ | 111,746 | $ | 32,168 | $ | 23,423 | $ | 167,337 | |||||||
Segment operating income (loss) | $ | 10,836 | $ | 12,451 | $ | (8,431 | ) | $ | 14,856 | ||||||
Depreciation expense | $ | 8,316 | $ | 2,361 | $ | 2,022 | $ | 12,699 | |||||||
Assets | $ | 252,944 | $ | 58,678 | $ | 103,498 | $ | 415,120 | |||||||
Year ended September 30, 2013 | |||||||||||||||
Revenue | |||||||||||||||
Product | $ | 290,523 | $ | 13,152 | $ | 31,336 | $ | 335,011 | |||||||
Services | — | 75,477 | 11,952 | 87,429 | |||||||||||
$ | 290,523 | $ | 88,629 | $ | 43,288 | $ | 422,440 | ||||||||
Gross profit | $ | 91,255 | $ | 26,912 | $ | 14,140 | $ | 132,307 | |||||||
Segment operating income (loss) | $ | 1,116 | $ | 9,592 | $ | (12,380 | ) | $ | (1,672 | ) | |||||
Depreciation expense | $ | 8,698 | $ | 2,746 | $ | 2,256 | $ | 13,700 | |||||||
Assets | $ | 226,759 | $ | 59,762 | $ | 105,221 | $ | 391,742 | |||||||
Year ended September 30, 2012 | |||||||||||||||
Revenue | |||||||||||||||
Product | $ | 351,432 | $ | 11,324 | $ | 39,749 | $ | 402,505 | |||||||
Services | — | 73,616 | 12,862 | 86,478 | |||||||||||
$ | 351,432 | $ | 84,940 | $ | 52,611 | $ | 488,983 | ||||||||
Gross profit | $ | 113,945 | $ | 25,093 | $ | 20,415 | $ | 159,453 | |||||||
Segment operating income (loss) | $ | 13,330 | $ | 8,898 | $ | (3,139 | ) | $ | 19,089 | ||||||
Depreciation expense | $ | 8,600 | $ | 2,344 | $ | 2,111 | $ | 13,055 |
2011 | 2010 | 2009 | ||||||||||
Segment gross profit | $ | 223,021 | $ | 166,295 | $ | 14,928 | ||||||
Impairment of long-lived assets | — | — | (20,924 | ) | ||||||||
Total gross profit (loss) from continuing operations | $ | 223,021 | $ | 166,295 | $ | (5,996 | ) | |||||
As of and for the Year Ended September 30, | |||||||||||
2014 | 2013 | 2012 | |||||||||
Segment operating income (loss) | $ | 14,856 | $ | (1,672 | ) | $ | 19,089 | ||||
Other unallocated corporate expenses (1) | 5,096 | 3,002 | (1,833 | ) | |||||||
Amortization of acquired intangible assets | 6,170 | 5,694 | 4,164 | ||||||||
Impairment of acquired intangible assets | — | 50 | — | ||||||||
Restructuring and other charges | 6,289 | 6,380 | 3,153 | ||||||||
Pension settlement | — | — | 8,937 | ||||||||
In-process research and development | — | — | 3,026 | ||||||||
Total operating income (loss) | $ | (2,699 | ) | $ | (16,798 | ) | $ | 1,642 |
As of and for the Year Ended | ||||||||||||
September 30, | ||||||||||||
2011 | 2010 | 2009 | ||||||||||
Segment operating income (loss) | $ | 84,179 | $ | 52,283 | $ | (96,681 | ) | |||||
Other unallocated corporate expenses | 1,135 | 778 | 6,592 | |||||||||
Amortization of acquired intangible assets | 2,411 | 1,969 | 4,637 | |||||||||
Impairment of goodwill | — | — | 71,800 | |||||||||
Impairment of long-lived assets | — | — | 35,512 | |||||||||
Restructuring charges | 1,036 | 2,529 | 12,806 | |||||||||
Total operating income (loss) | $ | 79,597 | $ | 47,007 | $ | (228,028 | ) | |||||
Segment assets | $ | 389,007 | $ | 337,996 | ||||||||
Investments in cash equivalents, marketable securities, joint ventures and other unallocated corporate net assets | 247,613 | 180,228 | ||||||||||
Total assets | $ | 636,620 | $ | 518,224 | ||||||||
Segment assets | $ | 415,120 | $ | 391,742 | |||||
Cash, cash equivalents, restricted cash and marketable securities | 245,456 | 173,539 | |||||||
Deferred tax assets | 86,572 | 115,985 | |||||||
Assets held for sale | — | 27,778 | |||||||
Equity method investments | 28,944 | 25,687 | |||||||
Other unallocated corporate net assets | 1,946 | 2,032 | |||||||
Total assets | $ | 778,038 | $ | 736,763 |
(1) | Other unallocated corporate expenses for the fiscal year ended September 30, 2012 includes a credit of $3.3 million related to insurance proceeds received as reimbursement of litigation costs previously incurred. |
Year Ended September 30, | ||||||||||||
2011 | 2010 | 2009 | ||||||||||
North America | $ | 349,456 | $ | 322,542 | $ | 115,734 | ||||||
Asia/Pacific | 244,524 | 203,172 | 68,393 | |||||||||
Europe | 94,125 | 67,258 | 34,579 | |||||||||
$ | 688,105 | $ | 592,972 | $ | 218,706 | |||||||
77
Year Ended September 30, | |||||||||||
2014 | 2013 | 2012 | |||||||||
North America | $ | 174,343 | $ | 177,779 | $ | 214,060 | |||||
Asia/Pacific | 198,695 | 154,358 | 183,406 | ||||||||
Europe | 109,810 | 90,303 | 91,517 | ||||||||
$ | 482,848 | $ | 422,440 | $ | 488,983 |
Year Ended September 30, | ||||||||
2011 | 2010 | |||||||
North America | $ | 55,295 | $ | 60,263 | ||||
Asia/Pacific | 1,920 | 3,076 | ||||||
Europe | 11,381 | 330 | ||||||
$ | 68,596 | $ | 63,669 | |||||
September 30, | |||||||||
2014 | 2013 | ||||||||
North America | $ | 40,232 | $ | 38,505 | |||||
Asia/Pacific | 870 | 1,646 | |||||||
Europe | 9,081 | 7,355 | |||||||
$ | 50,183 | $ | 47,506 |
September 30, | ||||||||
2011 | 2010 | |||||||
Accounts receivable | $ | 77,318 | $ | 92,764 | ||||
Less allowance for doubtful accounts | 617 | 491 | ||||||
$ | 76,701 | $ | 92,273 | |||||
September 30, | |||||||
2014 | 2013 | ||||||
Accounts receivable | $ | 81,270 | $ | 78,460 | |||
Less allowance for doubtful accounts | (1,031 | ) | (863 | ) | |||
Less allowance for sales returns | (133 | ) | (114 | ) | |||
$ | 80,106 | $ | 77,483 |
Balance at | Reversals of | Balance at | ||||||||||||||||||
Beginning of | Bad Debt | Write-offs and | End of | |||||||||||||||||
Description | Period | Provisions | Expense | Adjustments | Period | |||||||||||||||
2011 Allowance for doubtful accounts | $ | 491 | $ | — | $ | — | $ | 126 | $ | 617 | ||||||||||
2010 Allowance for doubtful accounts | 719 | 125 | (192 | ) | (161 | ) | 491 | |||||||||||||
2009 Allowance for doubtful accounts | 1,366 | 419 | — | (1,066 | ) | 719 |
Description | Balance at Beginning of Period | Provisions | Reversals of Bad Debt Expense | Write-offs and Adjustments | Balance at End of Period | |||||||||||||||
2014 Allowance for doubtful accounts | $ | 863 | $ | 438 | $ | (315 | ) | $ | 45 | $ | 1,031 | |||||||||
2013 Allowance for doubtful accounts | 851 | 48 | (143 | ) | 107 | 863 | ||||||||||||||
2012 Allowance for doubtful accounts | 617 | 367 | (130 | ) | (3 | ) | 851 |
September 30, | ||||||||
2011 | 2010 | |||||||
Inventories, net (in thousands) | ||||||||
Raw materials and purchased parts | $ | 65,770 | $ | 79,972 | ||||
Work-in-process | 29,460 | 22,392 | ||||||
Finished goods | 12,424 | 13,423 | ||||||
$ | 107,654 | $ | 115,787 | |||||
Description | Balance at Beginning of Period | Provisions | Write-offs and Adjustments | Balance at End of Period | |||||||||||
2014 Allowance for sales returns | $ | 114 | $ | 19 | $ | — | $ | 133 | |||||||
2013 Allowance for sales returns | — | 72 | 42 | 114 |
September 30, | |||||||
2014 | 2013 | ||||||
Inventories | |||||||
Raw materials and purchased parts | $ | 57,250 | $ | 57,678 | |||
Work-in-process | 20,068 | 19,991 | |||||
Finished goods | 16,249 | 16,742 | |||||
$ | 93,567 | $ | 94,411 |
78
Balance at September 30, 2008 | $ | 8,174 | ||
Accruals for warranties during the year | 8,534 | |||
Settlements made during the year | (11,010 | ) | ||
Balance at September 30, 2009 | 5,698 | |||
Accruals for warranties during the year | 17,948 | |||
Settlements made during the year | (15,451 | ) | ||
Balance at September 30, 2010 | 8,195 | |||
Adjustments for acquisitions and divestitures | 698 | |||
Accruals for warranties during the year | 11,299 | |||
Settlements made during the year | (12,754 | ) | ||
Balance at September 30, 2011 | $ | 7,438 | ||
Balance at September 30, 2011 | $ | 7,438 | |
Adjustments for acquisitions and divestitures | 7 | ||
Accruals for warranties during the year | 13,551 | ||
Costs incurred during the year | (13,750 | ) | |
Balance at September 30, 2012 | 7,246 | ||
Adjustments for acquisitions and divestitures | 1,187 | ||
Accruals for warranties during the year | 9,968 | ||
Costs incurred during the year | (11,141 | ) | |
Balance at September 30, 2013 | 7,260 | ||
Adjustments for acquisitions and divestitures | 364 | ||
Accruals for warranties during the year | 9,969 | ||
Costs incurred during the year | (11,094 | ) | |
Balance at September 30, 2014 | $ | 6,499 |
Sale proceeds | $ | 11,275 | |
Net book value of building and land | (6,095 | ) | |
Deferred leasing costs and other | (3,718 | ) | |
Direct transaction costs | (437 | ) | |
Gain on the sale of building and land | $ | 1,025 |
Year ended September 30, | |||
2015 | $ | 881 | |
2016 | 881 | ||
2017 | 881 | ||
2018 | 6,901 | ||
Total minimum lease payments | 9,544 | ||
Less amounts representing interest | 1,246 | ||
Total capital lease obligation | 8,298 | ||
Less current portion of capital lease obligation | 881 | ||
Long-term capital lease obligation | $ | 7,417 |
Operating | Sublease | |||||||
Leases | Income | |||||||
Year ended September 30, 2012 | $ | 6,575 | $ | 60 | ||||
2013 | 6,348 | — | ||||||
2014 | 4,695 | — | ||||||
2015 | 2,861 | — | ||||||
2016 | 1,286 | — | ||||||
Thereafter | 2,863 | — | ||||||
$ | 24,628 | $ | 60 | |||||
Year ended September 30, 2015 | $ | 5,140 | |
2016 | 3,384 | ||
2017 | 1,748 | ||
2018 | 1,401 | ||
2019 | 706 | ||
Thereafter | 93 | ||
$ | 12,472 |
79
80
81
Item 9. | Changes In and Disagreements With Accountants on Financial Accounting and Financial Disclosure |
Item 9A. | Controls and Procedures |
provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that our receipts and expenditures are being made only in accordance with authorization of our management and directors; and provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use or disposition of our assets that could have a material effect on the financial statements. |
Item 9B. | Other Information |
Item 10. | Directors, Executive Officers and Corporate Governance |
Item 11. | Executive Compensation |
Item 12. | Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters |
Item 13. | Certain Relationships and Related Transactions, and Director Independence |
Item 14. | Principal Accountant Fees and Services |
Item 15. | Exhibits and Financial Statement Schedules |
83
Exhibit | ||||
No. | Description | |||
3 | .01 | Certificate of Incorporation of the Company (incorporated herein by reference to Exhibit 3.1 of the Company’s registration statement onForm S-4 (Reg.No. 333-127945), filed on August 30, 2005 (the “HelixS-4”), as amended on September 22, 2005). | ||
3 | .02 | Certificate of Designations of the Company’s Series A Junior Participating Preferred Stock (incorporated herein by reference to Exhibit 3.03 of the Company’s registration statement onForm S-3(Reg. No. 333-34487), filed on August 27, 1997). | ||
3 | .03 | Certificate of Amendment of the Company’s Certificate of Incorporation (incorporated herein by reference to Exhibit 3.1 of the HelixS-4, as amended on September 22, 2005). | ||
3 | .04 | Certificate of Amendment of the Company’s Certificate of Incorporation (incorporated herein by reference to Exhibit 3.4 of the HelixS-4). | ||
3 | .05 | Certificate of Increase of Shares Designated as the Company’s Series A Junior Participating Preferred Stock (incorporated herein by reference to Exhibit 3.5 of the HelixS-4). | ||
3 | .06 | Certificate of Ownership and Merger of PRI Automation, Inc. into the Company (incorporated herein by reference to Exhibit 3.6 of the HelixS-4). | ||
3 | .07 | Certificate of Change of Registered Agent and Registered Office of the Company (incorporated herein by reference to Exhibit 3.8 of the HelixS-4). | ||
3 | .08 | Certificate of Amendment of Certificate of Incorporation of the Company (incorporated herein by reference to Exhibit 3.9 to the Company’s annual report onForm 10-K for the fiscal year ended September 30, 2010, as filed on November 23, 2010 (“201010-K”)). | ||
3 | .09 | Certificate of Amendment of Certificate of Incorporation of the Company (incorporated herein by reference to Exhibit 3.10 to the Company’s 201010-K). | ||
3 | .10 | Certificate of Increase of Shares Designated as Series A Junior Participating Preferred Stock (incorporated herein by reference to Exhibit 3.12 to the Company’s 201010-K). | ||
3 | .11 | Amended and Restated Bylaws (incorporated herein by reference to Exhibit 3.01 of the Company’s current report onForm 8-K, filed on February 11, 2008). | ||
4 | .01 | Specimen Certificate for shares of the Company’s common stock (incorporated herein by reference to the Company’s registration statement onForm S-3 (Reg.No. 333-88320), filed on May 15, 2002). | ||
10 | .01 | Shareholders’ Agreement, dated as of June 30, 2006, among Yaskawa Electric Corporation, Brooks Automation, Inc. and Yaskawa Brooks Automation, Inc. (incorporated herein by reference to Exhibit 10.01 to the Company’s 201010-K). | ||
10 | .02 | U.S. Robot Supply Agreement, made as of June 30, 2006, by and between Brooks Automation, Inc. and Yaskawa Electric Corporation (incorporated herein by reference to Exhibit 10.02 to the 201010-K). | ||
10 | .03 | Brooks Japan Robot Supply Agreement, made as of June 30, 2006, by and between Yaskawa Brooks Automation, Inc. and Brooks Automation, Inc. (incorporated herein by reference to Exhibit 10.03 to the Company’s 201010-K). | ||
10 | .04 | Basic agreement between the Company and Ulvac Corporation dated August 17, 1981 (incorporated by reference to Exhibit 10.13 of the registration statement onForm S-2 (Reg.No. 2-84880) filed by Helix Technology Corporation)). | ||
10 | .05 | Form of Indemnification Agreement for directors and officers of the Company (incorporated herein by reference to the Company’s registration statement onForm S-1 (Reg.No. 333-87296), filed on December 13, 1994 (the “BrooksS-1”)). | ||
10 | .06 | Employment Agreement, effective as of January 28, 2008, by and between Brooks Automation, Inc. and Martin S. Headley (incorporated herein by reference to Exhibit 10.1 to the Company’s current report onForm 8-K filed on January 31, 2008). | ||
10 | .07 | Employment Agreement, effective as of October 26, 2005, by and between Brooks Automation, Inc. and Steven A. Michaud (incorporated herein by reference to Exhibit 10.09 to the Company’s annual report onForm 10-K for the fiscal year ended September 30, 2008, filed on November 26, 2008 (the “200810-K”)). |
84
Exhibit | ||||
No. | Description | |||
10 | .08 | Employment Agreement, effective as of April 5, 2010, by and between Brooks Automation, Inc. and Stephen S. Schwartz (incorporated herein by reference to Exhibit 10.01 to the Company’s quarterly report onForm 10-Q for the fiscal quarter ended March 31, 2010, filed on May 6, 2010). | ||
10 | .09 | 1993 Nonemployee Director Stock Option Plan (incorporated herein by reference to Exhibit 99.1 to the Company’s registration statement onForm S-8 (Reg.No. 333-22717), filed on March 4, 1997). | ||
10 | .10 | 1995 Employee Stock Purchase Plan, as amended (incorporated herein by reference to Exhibit 10.13 to the Company’s 201010-K). | ||
10 | .11 | Amended and Restated 2000 Equity Incentive Plan, restated as of December 29, 2008 (incorporated herein by reference to Exhibit 10.01 to the Company’s quarterly report onForm 10-Q for the fiscal quarter ended December 31, 2008, filed on February 9, 2009). | ||
10 | .12 | Helix Technology Corporation 1996 Equity Incentive Plan (incorporated herein by reference to Exhibit 4.1 of the Company’s registration statement onForm S-8 (Reg.No. 333-129724), filed on November 16, 2005). | ||
10 | .13 | Helix Technology Corporation Amended and Restated Stock Option Plan for Non-Employee Directors (incorporated herein by reference to Exhibit 4.2 of the Company’s registration statement onForm S-8 (Reg.No. 333-129724), filed on November 16, 2005). | ||
10 | .14 | Form of 2000 Equity Incentive Plan New Employee Nonqualified Stock Option Agreement (incorporated herein by reference to Exhibit 10.18 to the Company’s 201010-K). | ||
10 | .15 | Form of 2000 Equity Incentive Plan Existing Employee Nonqualified Stock Option Agreement (incorporated herein by reference to Exhibit 10.19 to the Company’s 201010-K). | ||
10 | .16 | Form of 2000 Equity Incentive Plan Director Stock Option Agreement (incorporated herein by reference to Exhibit 10.20 to the Company’s 201010-K). | ||
10 | .17 | Form of Restricted Stock Agreement (incorporated herein by reference to Exhibit 10.21 to the Company’s 201010-K). | ||
10 | .18 | Form of Restricted Stock Unit Award Notice. | ||
10 | .19 | Non-Employee Directors Stock Grant/Restricted Stock Unit Election Form (incorporated herein by reference to Exhibit 10.40 to the Company’s 201010-K). | ||
10 | .20 | Brooks Automation, Inc. Deferred Compensation Plan, as amended (incorporated herein by reference to Exhibit 10.25 to the Company’s 201010-K). | ||
10 | .21 | AmendmentNo. 2008-01 to the Brooks Automation, Inc. Deferred Compensation Plan (incorporated herein by reference to Exhibit 10.01 to the Company’s quarterly report onForm 10-Q for the quarter ended June 30, 2008, filed on August 8, 2008). | ||
10 | .22 | Helix Technology Corporation Employees’ Pension Plan, as amended and restated including amendments effective through December 31, 2010. | ||
10 | .23 | Lease between the Company and BerCar II, LLC for 12 Elizabeth Drive, Chelmsford, Massachusetts dated October 23, 2002 (incorporated herein by reference to Exhibit 10.28 to the Company’s 200810-K). | ||
10 | .24 | First Amendment to Lease between the Company and BerCar II, LLC for 12 Elizabeth Drive, Chelmsford, Massachusetts dated November 1, 2002 (incorporated herein by reference to Exhibit 10.29 to the Company’s 200810-K). | ||
10 | .25 | Lease, dated May 14, 1999, between MUM IV, LLC as Lessor and the Company as Lessee (incorporated herein by reference to Exhibit 10.30 to the 201010-K). | ||
10 | .26 | Factory Lease Advanced Agreement among Sang Chul Park, Young Ja Kim, Joon Ho Park, Brooks Automation Asia, Ltd. and Brooks Automation Korea, Inc. (incorporated herein by reference to Exhibit 10.36 to the Company’s 201010-K). | ||
10 | .27 | Lease dated September 6, 2001 between The Harry Friedman and Edith B. Friedman Revocable Living Trust Dated May 15, 1986 et al as Lessor and the Company (IGC — Polycold Systems Inc.) as Lessee (incorporated herein by reference to Exhibit 10.37 to the Company’s 201010-K). | ||
10 | .28 | Lease dated August 8, 2008 between the Company and Koll/Intereal Bay Area for 4051 Burton Drive, Santa Clara, CA (incorporated herein by reference to Exhibit 10.38 to the Company’s 200810-K). |
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Exhibit | ||||
No. | Description | |||
10 | .29 | Standard Industrial lease dated May 31, 2010 by and between Brooks Automation, Inc. (formerly Nexus Biosystems, Inc.) and Crest Partners-Poway One Danielson for 14100 Danielson Street, Building 100, Poway, California. | ||
10 | .30 | Agreement and Plan of Merger among Nexus Biosystems, Inc. and Spurs Acquisition, Inc., a wholly-owned subsidiary of Brooks Automation, Inc., and Telegraph Hill Partners Management Company LLC, dated as of July 25, 2011 (incorporated herein by reference to Exhibit 2.1 to the Company’s current report onForm 8-K, filed on July 29, 2011). | ||
10 | .31 | Master Purchase and Sale Agreement by and among Brooks Automation, Inc., Celestica Oregon LLC, 2281392 Ontario Inc., and, for the limited purposes set forth therein, Celestica, Inc., dated as of April 20, 2011 (incorporated herein by reference to Exhibit 2.1 to the Company’s current report onForm 8-K, filed on April 26, 2011). | ||
21 | .01 | Subsidiaries of the Company. | ||
23 | .01 | Consent of PricewaterhouseCoopers LLP (Independent registered public accounting firm for the Company). | ||
31 | .01 | Rule 13a-14(a), 15d-14(a) Certification. | ||
31 | .02 | Rule 13a-14(a), 15d-14(a) Certification. | ||
32 | Section 1350 Certification. | |||
101 | The following material from the Company’s Annual Report onForm 10-K, for the year ended September 30, 2011, formatted in XBRL (Extensible Business Reporting Language): (i) the Consolidated Balance Sheets; (ii) the Consolidated Statements of Operations; (iii) the Consolidated Statements of Cash Flows; and (iv) the Notes to Consolidated Financial Statements. |
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Exhibit No. | Description | |
3.01 | Restated Certificate of Incorporation of the Company (incorporated herein by reference to Exhibit 3.01 to the Company’s registration statement on Form S-3 (Reg. No. 333-189582), filed on June 25, 2013). | |
3.02 | Amended and Restated Bylaws (incorporated herein by reference to Exhibit 3.01 of the Company's current report on Form 8-K, filed on February 11, 2008). | |
4.01 | Specimen Certificate for shares of the Company's common stock (incorporated herein by reference to the Company's registration statement on Form S-3 (Reg. No. 333-88320), filed on May 15, 2002). | |
10.01 | Shareholders’ Agreement, dated as of June 30, 2006, among Yaskawa Electric Corporation, Brooks Automation, Inc. and Yaskawa Brooks Automation, Inc. (incorporated herein by reference to Exhibit 10.01 to the Company's 2010 10-K, filed on November 23, 2010 (the "2010 10-K")). | |
10.02 | U.S. Robot Supply Agreement, made as of June 30, 2006, by and between Brooks Automation, Inc. and Yaskawa Electric Corporation (incorporated herein by reference to Exhibit 10.02 to the 2010 10-K). | |
10.03 | Brooks Japan Robot Supply Agreement, made as of June 30, 2006, by and between Yaskawa Brooks Automation, Inc. and Brooks Automation, Inc. (incorporated herein by reference to Exhibit 10.03 to the 2010 10-K). | |
10.04 | Basic agreement between the Company and Ulvac Corporation dated August 17, 1981 (incorporated herein by reference to Exhibit 10.13 of the registration statement on Form S-2 (Reg. No. 2-84880) filed by Helix Technology Corporation). | |
10.05 | Form of Indemnification Agreement for directors and officers of the Company (incorporated herein by reference to the Company's registration statement on Form S-1 (Reg. No. 333-87296), filed on December 13, 1994 (the “Brooks S-1”)). | |
10.06 | Employment Agreement, effective as of April 5, 2010, by and between Brooks Automation, Inc. and Stephen S. Schwartz (incorporated herein by reference to Exhibit 10.01 to the Company's quarterly report on Form 10-Q for the fiscal quarter ended March 31, 2010, filed on May 6, 2010). | |
10.07 | Offer letter dated December 1, 2011 between the Company and Mark D. Morelli (incorporated herein by reference to Exhibit 10.08 to the Company's annual report on Form 10-K for the fiscal year ended September 30, 2012, as filed on November 21, 2012 (the “2012 10-K”)). | |
10.08 | Offer letter dated September 5, 2013 between the Company and Lindon G. Robertson (incorporated herein by reference to Exhibit 10.11 to the Company's 2013 10-K, filed on November 22, 2013). | |
10.09 | 1995 Employee Stock Purchase Plan, as amended (incorporated herein by reference to Exhibit 10.13 to the 2010 10-K). | |
10.10 | Second Amended and Restated 2000 Equity Incentive Plan, restated as of May 7, 2013 (incorporated herein by reference to Exhibit 10.01 to the Company's current report on Form 8-K, filed on May 9, 2013). | |
10.11 | Helix Technology Corporation 1996 Equity Incentive Plan (incorporated herein by reference to Exhibit 4.1 of the Company's registration statement on Form S-8 (Reg. No. 333-129724), filed on November 16, 2005). | |
10.12 | Form of 2000 Equity Incentive Plan New Employee Nonqualified Stock Option Agreement (incorporated herein by reference to Exhibit 10.18 to the 2010 10-K). | |
10.13 | Form of 2000 Equity Incentive Plan Existing Employee Nonqualified Stock Option Agreement (incorporated herein by reference to Exhibit 10.19 to the 2010 10-K). | |
10.14 | Form of 2000 Equity Incentive Plan Director Stock Option Agreement (incorporated herein by reference to Exhibit 10.20 to the 2010 10-K). | |
10.15 | Form of Restricted Stock Agreement (incorporated herein by reference to Exhibit 10.21 to the 2010 10-K). | |
10.16 | Form of Restricted Stock Unit Award Notice (incorporated herein by reference to Exhibit 10.18 to the Company's annual report on Form 10-K for the fiscal year ended September 30, 2011, as filed on November 28, 2011 (the “2011 10-K”)) . | |
10.17 | Non-Employee Directors Stock Grant/Restricted Stock Unit Election Form (incorporated herein by reference to Exhibit 10.40 to the 2010 10-K). | |
10.18 | Brooks Automation, Inc. Deferred Compensation Plan, as amended (incorporated herein by reference to Exhibit 10.25 to the 2010 10-K). | |
10.19 | Amendment No. 2008-01 to the Brooks Automation, Inc. Deferred Compensation Plan (incorporated herein by reference to Exhibit 10.01 to the Company's quarterly report on Form 10-Q for the quarter ended June 30, 2008, filed on August 8, 2008). | |
10.20 | Lease between the Company and BerCar II, LLC for 12 Elizabeth Drive, Chelmsford, Massachusetts dated October 23, 2002 (incorporated herein by reference to Exhibit 10.28 to the Company's 2008 10-K filed on November 26, 2008 (the "2008 10-K")). | |
10.21 | First Amendment to Lease between the Company and BerCar II, LLC for 12 Elizabeth Drive, Chelmsford, Massachusetts dated November 1, 2002 (incorporated herein by reference to Exhibit 10.29 to the 2008 10-K). | |
10.21.1 | Amendment to Lease between the Company and BerCar II, LLC for 12 Elizabeth Drive, Chelmsford, Massachusetts dated September 30, 2013 (incorporated herein by reference to Exhibit 10 to the Company's quarterly report on Form 10-Q for the quarter ended March 30, 2014, filed on May 8, 2014). | |
10.22 | Lease, dated May 14, 1999, between MUM IV, LLC as Lessor and the Company as Lessee (incorporated herein by reference to Exhibit 10.30 to the 2010 10-K). | |
10.23 | Lease dated September 6, 2001 between The Harry Friedman and Edith B. Friedman Revocable Living Trust Dated May 15, 1986 et al as Lessor and the Company (IGC - Polycold Systems Inc.) as Lessee (incorporated herein by reference to Exhibit 10.37 to the 2010 10-K). | |
10.24 | Lease dated August 8, 2008 between the Company and Koll/Intereal Bay Area for 4051 Burton Drive, Santa Clara, CA (incorporated herein by reference to Exhibit 10.38 to the 2008 10-K). | |
10.25 | Standard Industrial lease dated May 31, 2010 by and between Brooks Automation, Inc. (formerly Nexus Biosystems, Inc.) and Crest Partners-Poway One Danielson for 14100 Danielson Street, Building 100, Poway, California (incorporated herein by reference to Exhibit 10.29 to the 2011 10-K). | |
10.26 | Purchase Agreement dated July 31, 2013 between Brooks Automation, Inc. and Ram Management Co., Inc. (incorporated herein by reference to Exhibit 10.01 to the Company's current report on Form 8-K filed on August 5, 2013). | |
10.27 | Asset Purchase Agreement dated March 17, 2014 by and between Brooks Automation, Inc. and MKS Instruments, Inc., as amended (incorporated herein by reference to Exhibit 10.1 to the Company's current report on Form 8-K, filed on May 30, 2014). | |
10.28 | Share Purchase and Transfer Agreement, effective as of April 29, 2014, by and among Brooks Automation, Inc., Brooks Automation (Germany) GmbH, DMS Beteiligungs GmbH, and HSH Nordbank AG (incorporated herein by reference to Exhibit 2.1 to the Company's current report on Form 8-K, filed on May 5, 2014). | |
16.1 | Letter of PricewaterhouseCoopers LLP dated November 27, 2012 (incorporated herein by reference to Exhibit 16.1 to the Company's current report on Form 8-K filed on November 27, 2012). | |
21.01 | Subsidiaries of the Company. | |
23.01 | Consent of BDO (Independent registered public accounting firm for the Company). | |
23.02 | Consent of PricewaterhouseCoopers LLP (Independent registered public accounting firm for the Company). | |
31.01 | Certification of the Company's Principal Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002. | |
31.02 | Certification of the Company's Principal Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002. | |
32 | Certification of the Company's Principal Executive Officer and Principal Financial Officer pursuant to Section 906 of the Sarbanes-Oxley Act of 2002. | |
101 | The following material from the Company's Annual Report on Form 10-K, for the year ended September 30, 2014, formatted in XBRL (Xtensible Business Reporting Language): (i) the Consolidated Balance Sheets; (ii) the Consolidated Statements of Operations; (iii) the Consolidated Statements of Comprehensive Income (Loss) (iv) the Consolidated Statements of Cash Flows; (v) the Consolidated Statements of Changes in Equity; and (vi) the Notes to Consolidated Financial Statements. |
BROOKS AUTOMATION, INC. | |
By: | / |
Stephen S. Schwartz Chief Executive Officer |
Signature | Title | Date | ||||
Director and Chief Executive Officer | ||||||
Stephen S. Schwartz | (Principal Executive Officer) | |||||
/S/LINDONG. ROBERTSON | Executive Vice President and | November 13, 2014 | ||||
Lindon G. Robertson | Chief Financial Officer | |||||
/ | November | |||||
David Pietrantoni | Corporate Controller | |||||
(Principal Accounting Officer) | ||||||
/ | Director | November | ||||
A. Clinton Allen | ||||||
/ | Director | November | ||||
Robyn C. Davis | ||||||
/ | Director | November 13, 2014 | ||||
Joseph R. Martin | ||||||
/ | Director | November 13, 2014 | ||||
John K. McGillicuddy | ||||||
/ | Director | November 13, 2014 | ||||
Krishna G. Palepu | ||||||
/ | Director | November | ||||
Kirk P. Pond | ||||||
/ | Director | November | ||||
Alfred Woollacott III | ||||||
/ | Director | November | ||||
Mark S. Wrighton | ||||||
/ | Director | November 13, 2014 | ||||
Ellen M. Zane |
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