Asyst (ASYT) 8-K Asyst Technologies Reports Results for First Quarter of Fiscal 2006

Exhibit 99.1

News Release

FOR IMMEDIATE RELEASE

ASYST TECHNOLOGIES REPORTS RESULTS FOR
FIRST QUARTER OF FISCAL 2006

FREMONT, Calif., Aug. 4, 2005 – Asyst Technologies, Inc., (Nasdaq NM: ASYT), a leading provider of integrated automation solutions that enhance semiconductor and flat panel display manufacturing productivity, today announced consolidated financial results for its fiscal first quarter ended June 30, 2005.

     Consolidated net loss for the fiscal first quarter on a GAAP basis was $3.6 million, or $(0.08) per share. This compares with a GAAP net loss of $1.8 million, or $(0.04) per share, in the fourth quarter of fiscal 2005. On a non-GAAP basis, the company reported a net loss for the fiscal first quarter of $0.9 million, or $(0.02) per share, compared with a non-GAAP net loss of $1.4 million, or ($0.03) per share, in the prior sequential quarter. A table reconciling GAAP net loss to non-GAAP net loss is provided as part of this release.

     Consolidated net sales for the fiscal first quarter were $117.5 million, down 18% from $143.6 million in the prior sequential quarter. Net sales for the fiscal first quarter at Asyst Shinko, Inc. (ASI), the company’s 51%-owned joint venture with Shinko Electric Co., Ltd., were $77.4 million, compared with $103.9 million in the fourth quarter of fiscal 2005. Net sales for the fiscal first quarter at ATI were $40.1 million, which was essentially flat with $39.7 million in the prior sequential quarter.

     In the fiscal first quarter, consolidated gross margin was 29%, up from 26% in the fourth quarter of fiscal 2005. Gross margin at ASI was 26%, up from 22% in the prior sequential quarter, reflecting improved sales mix. Gross margin at ATI was 34%, flat with the prior sequential quarter.

     Total net bookings for the fiscal first quarter were $109 million, which compares with $130 million in the prior sequential quarter. Bookings at ASI were $77 million and included $20 million of flat panel display (FPD) manufacturing automation. ASI’s semiconductor bookings declined as expected, following an aggregate $197 million of semiconductor AMHS bookings over the prior two quarters. ATI bookings in the quarter were $32 million, which compares with $44 million in the fourth quarter of fiscal 2005. However the company views the ATI bookings environment as essentially flat, as customers pulled-in several million of fiscal first quarter bookings to the prior quarter.

     “We are continuing to achieve margin improvements at both ATI and ASI,” said Steve Schwartz, chairman and CEO. “At ASI, our sales mix improved significantly, as only 8% of sales were attributable to our large, low-margin flat panel AMHS project, compared with 26% of sales in the prior quarter. At ATI, we managed to hold gross margin flat despite the impact from recognizing revenue on a large number of our Spartan™ Sorters from early in the production cycle when product costs were substantially higher than they are today.

     “Our semiconductor sales have been tracking roughly flat for the past two quarters at ATI and ASI, slightly better than the downward trend in the industry. We expect our semiconductor sales to continue to track essentially flat in the September quarter. We believe we have near-term opportunities to gain semiconductor AMHS market share and see potential for current customers to accelerate AMHS expansion activity in 2006. In flat panel display, our fiscal first quarter sales declined significantly from fiscal fourth quarter levels, reflecting the near-completion of our large, low-margin flat panel project in Taiwan. We booked $20 million of new flat panel projects in the first quarter at good margins, and are focused on winning profitable potential flat panel opportunities in future quarters.”

Outlook

For the fiscal second quarter ending Sept. 30, 2005, the company provided the following guidance. This guidance is forward-looking, and actual results may differ materially:

• Consolidated net sales are expected to be in the range of $105 to $115 million.

• GAAP net loss is expected to be $3 to $5 million, or $(0.06) to $(0.10) per share.

• On a non-GAAP basis, the company expects to report a net loss of $1 million to $3 million, or $(0.02) to $(0.06) per share. To reconcile net loss under GAAP to non-GAAP net loss, the company expects to exclude:

- $2.1 million related to the amortization of intangibles, net of taxes and minority interest

- $0.4 million of stock-based compensation expense, as part of selling, general & administrative expense

Contact:	John Swenson
	Vice President, Investor Relations & Corporate Communications
	Asyst Technologies, Inc.
	510-661-5000

About Our Non-GAAP Operating Results and Adjustments

To supplement our consolidated financial results prepared under generally accepted accounting principles (“GAAP”), we use a non-GAAP measure of operating results that is GAAP net income (loss) adjusted to exclude certain costs, expenses and gains. Our non-GAAP net income (loss) gives an indication of our baseline performance before gains, losses or other charges that are considered by management to be outside of our core operating results. In addition, our non-GAAP net income (loss) is among the primary indicators management uses as a basis for planning and forecasting future periods. This measure is not in accordance with, or an alternative for, GAAP and may be materially different from non-GAAP measures used by other companies. We compute non-GAAP net income (loss) by adjusting GAAP net income (loss) for the impact of amortization of acquisition-related intangibles, restructuring and impairment charges, costs related to events outside the normal course of business, and other non-cash charges and gains. The presentation of this additional information should not be considered in isolation or as a substitute for net income (loss) prepared in accordance with GAAP.

About Asyst

Asyst Technologies, Inc. is a leading provider of integrated automation solutions that enable semiconductor and flat panel display (FPD) manufacturers to increase their manufacturing productivity and protect their investment in materials during the manufacturing process. Encompassing isolation systems, work-in-process materials management, substrate-handling robotics, automated transport and loading systems, and connectivity automation software, Asyst’s modular, interoperable solutions allow chip and FPD manufacturers, as well as original equipment manufacturers, to select and employ the value-assured, hands-off manufacturing capabilities that best suit their needs. Asyst’s homepage ishttp://www.asyst.com

Conference Call Details

A live webcast of the conference call to discuss the quarter’s financial results will take place today, Aug.4, 2005, at 5:00 p.m. Eastern Time. The webcast will be publicly available on Asyst’s website athttp://www.asyst.com and accessible by going to the investor relations page and clicking on the “webcast” link. For more information, including this press release, any non-GAAP financial measures that may be discussed on the webcast as well as the most directly comparable GAAP financial measures and a reconciliation of the difference between those GAAP and non-GAAP financial measures, as well as any other material financial and other statistical information contained in the webcast, please visit Asyst’s website atwww.asyst.com. A replay of the Webcast may be accessed via the same procedure. In addition, a standard telephone instant replay of the conference call is available by dialing (303) 590-3000, followed by the passcode 11036356#. The audio instant replay is available from Aug. 4 at 7:00 p.m. Eastern Time through Aug. 18 at 11:59 p.m. Eastern Time.

“Safe Harbor” Statement under the Private Securities Litigation Reform Act of 1995

Except for statements of historical fact, the statements in this press release are forward-looking. Such statements are subject to a number of risks and uncertainties that could cause actual results to differ materially from the statements made. These factors include, but are not limited to: the possibility that previously disclosed matters within ASI comprising a material weakness in the company’s internal control over its consolidated financial reporting could prevent the company from timely meeting its future reporting requirements; the possibility that the company’s failure timely to meet its future reporting requirements could result in proceedings being initiated against the company, including possible de-listing of the company’s common stock from trading on the Nasdaq National Market; the volatility of semiconductor industry cycles; our ability to achieve forecasted revenues and maintain and improve gross margins through outsourced manufacturing, reduced operating expenses, and improved management of cash flows (and the timing and degree of any such improvements in gross margins, reductions in operating expenses and management of cash flows); failure to respond to rapid demand shifts; dependence on a few significant customers; the transition of the industry from 200mm wafers to 300mm wafers and the timing and scope of decisions by manufacturers to transition and expand fabrication facilities; continued risks associated with the acceptance of new products and product capabilities; the risk that customers will delay, reduce or cancel planned projects or bookings and thus delay recognition or the amount of our anticipated revenue; competition in the semiconductor equipment industry and specifically in AMHS; failure to complete planned restructuring and outsourcing programs; failure to retain and attract key employees; and other factors more fully detailed in the company’s annual report on Form 10-K for the year ended March 31, 2005, and other reports we file with the Securities and Exchange Commission.

Asyst is a registered trademark and Spartan is a trademark of Asyst Technologies, Inc. Asyst Shinko is a registered trademark of Asyst Shinko, Inc. All Rights Reserved.

(Tables to follow)

ASYST TECHNOLOGIES, INC.

CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands)

	June 30,		March 31,
	2005		2005
	(unaudited)		(1)
ASSETS
CURRENT ASSETS:
Cash, cash equivalents and short-term investments	$	105,961	$	101,180
Accounts receivable, net		189,748		189,943
Inventories		36,703		33,515
Prepaid expenses and other		27,355		33,971
Total current assets		359,767		358,609
LONG-TERM ASSETS:
Property and equipment, net		14,492		15,458
Goodwill		62,354		64,014
Intangible assets, net		34,611		40,898
Other assets		4,644		4,795
Total long-term assets		116,101		125,165
Total assets	$	475,868	$	483,774
LIABILITIES, MINORITY INTEREST AND SHAREHOLDERS’ EQUITY
CURRENT LIABILITIES:
Short-term loans and notes payable	$	53,034	$	20,563
Current portion of long-term debt and capital leases		2,639		2,757
Accounts payable		102,412		123,155
Accrued liabilities		59,718		70,439
Deferred revenue		5,066		6,013
Total current liabilities		222,869		222,927
LONG-TERM LIABILITIES:
Convertible notes		86,250		86,250
Long-term debt and capital leases, net of current portion		1,800		2,500
Deferred tax and other long-term liabilities		15,601		18,319
Total long-term liabilities		103,651		107,069
MINORITY INTEREST		64,460		63,855
SHAREHOLDERS’ EQUITY:		84,888		89,923
Total liabilities, minority interest and shareholders’ equity	$	475,868	$	483,774

(1) Derived from March 31, 2005 audited financial statements

ASYST TECHNOLOGIES, INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited; in thousands, except per share data)

	Three Months Ended
	June 30, 2005			March 31, 2005			June 30, 2004
							(Restated)
NET SALES	$	117,451		$	143,573		$	139,425
COST OF SALES		83,717			106,828			112,330
Gross profit		33,734			36,745			27,095
OPERATING EXPENSES:
Research and development		7,067			7,510			9,679
Selling, general and administrative		19,177			21,427			16,850
Amortization of acquired intangible assets		4,918			5,258			5,052
Restructuring and other charges		95			107			219
Total operating expenses		31,257			34,302			31,800
Operating income (loss)		2,477			2,443			(4,705	)
Other income (expense), net		(559	)		335			(556	)
Income (loss) before provision for income taxes and minority interest		1,918			2,778			(5,261	)
PROVISION FOR BENEFIT FROM INCOME TAXES		(3,101	)		(633	)		1,654
MINORITY INTEREST		(2,404	)		(3,926	)		1,321
NET (LOSS)	$	(3,587	)	$	(1,781	)	$	(2,286	)
BASIC AND DILUTED NET LOSS PER SHARE	$	(0.08	)	$	(0.04	)	$	(0.05	)
SHARES USED IN THE PER SHARE CALCULATION		47,812			47,678			47,179

ASYST TECHNOLOGIES, INC.

RECONCILIATION OF GAAP NET LOSS TO NON-GAAP NET LOSS
(Unaudited; in thousands, except per share data)

	Three Months Ended
	Jun 30, 2005			Mar 31, 2005			Jun 30, 2004
							(Restated)
GAAP net loss	$	(3,587	)	$	(1,781	)		(2,286	)
Adjustments:
Stock based compensation expense		534			566			418
Amortization of intangible assets		4,918			5,258			5,052
Restructuring and other charges		95			107			219
Release of deferred tax valuation allowance		—			(2,161	)
Income tax benefit relating to amortization of intangible assets		(1,630	)		(2,508	)		(1,641	)
Minority interest relating to the ASI adjustments above		(1,209	)		(839	)		(1,163	)
Non-GAAP net income (loss)	$	(879	)	$	(1,358	)	$	599
Basic and diluted non-GAAP net income (loss) per share	$	(0.02	)	$	(0.03	)	$	0.01
Basic and diluted non-GAAP net income (loss) per share	$	(0.02	)	$	(0.03	)	$	0.01
Shares used in the per share calculation — basic		47,812			47,678			47,179
Shares used in the per share calculation — diluted		47,812			47,678			54,381

SUPPLEMENTAL FINANCIAL INFORMATION
(Unaudited; in thousands, except per share data)

	Three Months Ended June 30, 2005
							Consolidated
	ATI			ASI			Under GAAP
SUPPLEMENTAL STATEMENT OF OPERATIONS
NET SALES	$	40,074		$	77,377		$	117,451
COST OF SALES		26,620			57,097			83,717
Gross profit		13,454			20,280			33,734
OPERATING EXPENSES:
Research and development		5,123			1,944			7,067
Selling, general and administrative		12,767			6,410			19,177
Amortization of acquired intangible assets		820			4,098			4,918
Restructuring and other charges		95			—			95
Total operating expenses		18,805			12,452			31,257
Operating income (loss)		(5,351	)		7,828			2,477
Other (expense), net		(352	)		(207	)		(559	)
Income (loss) before (provision for) income taxes and minority interest		(5,703	)		7,621			1,918
PROVISION FOR FROM INCOME TAXES		(408	)		(2,693	)		(3,101	)
MINORITY INTEREST		(3	)		(2,401	)		(2,404	)
NET INCOME (LOSS)	$	(6,114	)	$	2,527		$	(3,587	)
Basic net income (loss) per share	$	(0.13	)	$	0.05		$	(0.08	)
Diluted net income (loss) per share	$	(0.13	)	$	0.05		$	(0.08	)
Shares used in the per share calculation — basic		47,812			47,812			47,812
Shares used in the per share calculation — diluted		47,812			47,953			47,812