Exhibit 99.1
Vicor Corporation Reports Results for the First Quarter Ended March 31, 2014ANDOVER, MA -- (Marketwired - April 22, 2014) - Vicor Corporation (NASDAQ: VICR) today reported financial results for the first quarter ended March 31, 2014.
Revenues for the first quarter ended March 31, 2014 increased to $53,233,000, compared to $41,946,000 for the corresponding period a year ago, but decreased from $55,258,000 for the fourth quarter of 2013.
Gross margin increased to $22,792,000 for the first quarter of 2014, compared to $16,607,000 for the corresponding period a year ago, but decreased from $23,431,000 for the fourth quarter of 2013. Gross margin, as a percentage of revenue increased to 42.8% for the first quarter of 2014 compared to 39.6% for the first quarter of 2013, and increased on a sequential basis from 42.4% for the fourth quarter of 2013.
Net loss for the first quarter was ($5,378,000), or ($0.14) per share, compared to a net loss of ($4,990,000), or ($0.12) per share, for the corresponding period a year ago and a net loss of ($13,102,000), or ($0.34) per share, for the fourth quarter of 2013. In the fourth quarter of 2013, the Company increased the reserve for all remaining federal net deferred tax assets on the balance sheet as of December 31, 2013 by approximately $10,200,000, which was recorded in the statement of operations as a corresponding increase in the fourth quarter tax provision.
Total backlog at the end of the first quarter was $41,562,000, compared to $44,659,000 at the end of the fourth quarter of 2013.
Commenting on the first quarter of 2014, Patrizio Vinciarelli, Chief Executive Officer, stated, "First quarter results were as anticipated, with an improvement in the performance of the Brick Business Unit offset by a a reduction in VI Chip revenues due a major product transition underway with VI Chip's largest customer. Demand for new VI Chip and Picor products is rising and we look forward to revenue growth in the second half to absorb abnormally high operating expense levels projected through the end of the year."
Depreciation and amortization for the first quarter of 2014 was approximately $2,443,000, and capital additions totaled $1,554,000. For the same period of 2013, depreciation and amortization was $2,494,000 and capital additions totaled $1,171,000. Cash and cash equivalents decreased by $6,032,000 to approximately $50,307,000 at the end of the first quarter of 2014 from $56,339,000 at the end of 2013.
For more information on Vicor and its products, please visit the Company's website at www.vicorpower.com.
Earnings Conference Call
Vicor will be holding its investor conference call today, Tuesday, April 22, 2014 at 5:00 p.m. Eastern Time. Shareholders interested in participating in the call should call 888-339-2688 at approximately 4:50 p.m. and use the Passcode 34423648. Internet users may listen to a real-time audio broadcast of the conference call on the Investor Relations section of Vicor's website at www.vicorpower.com. Please go to the website at least 15 minutes prior to the call to register, download and install any necessary software. For those who cannot participate in the conference call, a replay will be available, shortly after the conclusion of the call, through May 7, 2014. The replay dial-in number is 888-286-8010 and the Passcode is 30401713. In addition, a webcast replay of the conference call will also be available on the Investor Relations section of Vicor's website at www.vicorpower.com beginning shortly after the conclusion of the call.
This press release contains certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Any statement in this press release that is not a statement of historical fact is a forward-looking statement, and, the words "believes," "expects," "anticipates," "intend," "estimate," "plans," "assumes," "may," "will," "would," "should," "continue," "prospective," "project," and other similar expressions identify forward-looking statements. Forward-looking statements also include statements regarding bookings, shipments, revenue, profitability, targeted markets, increase in manufacturing capacity and utilization thereof, future products and capital resources. These statements are based upon management's current expectations and estimates as to the prospective events and circumstances that may or may not be within the company's control and as to which there can be no assurance. Actual results could differ materially from those projected in the forward-looking statements as a result of various factors, including those economic, business, operational and financial considerations set forth in Vicor's Annual Report on Form 10-K for the year ended December 31, 2013, under Part I, Item I - "Business," under Part I, Item 1A - "Risk Factors," under Part I, Item 3 - "Legal Proceedings," and under Part II, Item 7 - "Management's Discussion and Analysis of Financial Condition and Results of Operations." The risk factors set forth in the Annual Report on Form 10-K may not be exhaustive. Therefore, the information contained in the Annual Report on Form 10-K should be read together with other reports and documents filed with the Securities and Exchange Commission from time to time, including Forms 10-Q, 8-K and 10-K, which may supplement, modify, supersede or update those risk factors. Vicor does not undertake any obligation to update any forward-looking statements as a result of future events or developments.
Vicor Corporation designs, develops, manufactures and markets modular power components and complete power systems based upon a portfolio of patented technologies. Headquartered in Andover, Massachusetts, Vicor sells its products primarily to customers in the higher-performance, higher-power segments of the power systems market, including aerospace and defense electronics, enterprise and high performance computing, industrial equipment and automation, telecommunications and network infrastructure, and vehicles and transportation markets.
VICOR CORPORATION
CONSOLIDATED STATEMENT OF OPERATIONS
(Thousands except for per share amounts)
QUARTER ENDED
(Unaudited)
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MAR 31, MAR 31,
2014 2013
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Net revenues $ 53,233 $ 41,946
Cost of revenues 30,441 25,339
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Gross margin 22,792 16,607
Operating expenses:
Sales & administration 17,980 13,887
Research & development 10,251 9,855
Severance charge - 1,361
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Total operating expenses 28,231 25,103
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Loss from operations (5,439) (8,496)
Other income, net 30 15
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Loss before income taxes (5,409) (8,481)
Provision (benefit) for income taxes 17 (3,495)
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Consolidated net loss (5,426) (4,986)
Less: Net income (loss) attributable to
noncontrolling interest (48) 4
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Net loss attributable to Vicor Corporation $ (5,378) $ (4,990)
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Net loss per share attributable to Vicor
Corporation:
Basic $ (0.14) $ (0.12)
Diluted $ (0.14) $ (0.12)
Shares outstanding:
Basic 38,541 41,167
Diluted 38,541 41,167
VICOR CORPORATION
CONSOLIDATED BALANCE SHEET
(Thousands)
MAR 31, DEC 31,
2014 2013
(Unaudited) (Unaudited)
----------- -----------
Assets
Current assets:
Cash and cash equivalents $ 50,307 $ 56,339
Short-term investments 643 463
Accounts receivable, net 31,769 27,683
Inventories, net 29,521 29,696
Deferred tax assets 131 131
Other current assets 4,666 4,212
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Total current assets 117,037 118,524
Long-term investments 5,045 5,188
Property and equipment, net 39,176 40,092
Other assets 1,830 1,836
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$ 163,088 $ 165,640
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Liabilities and Equity
Current liabilities:
Accounts payable $ 8,148 $ 8,677
Accrued compensation and benefits 9,136 8,104
Accrued expenses 4,890 2,841
Income taxes payable 15 15
Deferred revenue 1,095 1,018
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Total current liabilities 23,284 20,655
Long-term deferred revenue 868 974
Long-term income taxes payable 1,337 1,339
Deferred income taxes 335 335
Equity:
Vicor Corporation stockholders' equity:
Capital stock 170,223 169,984
Retained earnings 103,267 108,645
Accumulated other comprehensive loss (417) (526)
Treasury stock (138,927) (138,927)
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Total Vicor Corporation stockholders' equity 134,146 139,176
Noncontrolling interest 3,118 3,161
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Total equity 137,264 142,337
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$ 163,088 $ 165,640
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For further information contact:
James A. Simms
Chief Financial Officer
Voice: 978-470-2900
Facsimile: 978-749-3439
