Exhibit 99.1
[LOGO]AEHR TEST SYSTEMS
FOR IMMEDIATE RELEASE
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CONTACTS:
AT FINANCIAL RELATIONS BOARD
Amy Cozamanis Laurie Berman
Investor/Analyst Contact General Inquiries
(310) 854-8314 (310) 854-8315
AEHR TEST SYSTEMS REPORTS
THIRD QUARTER RESULTS FOR FISCAL 2005
FREMONT, CA (MARCH 24, 2005) - Aehr Test Systems (Nasdaq: AEHR), a leading
supplier of semiconductor test and burn-in equipment, today announced
financial results for the third quarter of fiscal 2005 ended February 28,
2005.
Net sales decreased slightly to $2.1 million in the third quarter of fiscal
2005, compared with $2.2 million in the third quarter of fiscal 2004. The
Company's net loss narrowed to $1.2 million, or $0.16 per diluted share, in
the third quarter of fiscal 2005, compared with a net loss of $1.7 million,
or $0.24 per diluted share, in the same period of the prior year.
"Our level of net sales for the quarter was lower than we had anticipated.
Three MAX systems, originally planned to ship in the third quarter of fiscal
2005, are now expected to ship in the current quarter," stated Rhea Posedel,
chairman and chief executive officer of Aehr Test Systems. "Despite our
reduced net sales level, we made significant operational progress during the
quarter. Importantly, we successfully completed another key milestone on our
FOX(TM) full wafer contact tester development project, validating our ability
to reliably test product wafers. And, after the completion of one remaining
milestone, we believe we will start shipping FOX testers later this calendar
year.
"During the quarter, we also received several system orders from new
customers, including one for an MTX-Fp+ massively parallel memory test and
burn-in system and another for a next generation MAX test during burn-in
system for advanced logic devices," continued Mr. Posedel. "The next
generation MAX system is part of a configurable product line that provides
our customers with highly cost-effective testing and burn-in solutions for
logic devices, especially those incorporating the latest built-in self-test
capabilities."
In the first nine months of fiscal 2005, net sales increased 29 percent to
$12.8 million, compared with $9.9 million in the first nine months of fiscal
2004. The Company's net loss in the first nine months of fiscal 2005
narrowed to $3.1 million, or $0.42 per diluted share, compared with a net
loss of $3.5 million, or $0.48 per diluted share, in the same period of the
prior fiscal year.
At February 28, 2005, cash, short-term investments and long-term investments
were $9.4 million, compared to $11.8 million at the end of fiscal 2004. Aehr
Test ended the third quarter of fiscal 2005 with no outstanding debt and
shareholders' equity of $19.1 million, or $2.57 per diluted share.
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Aehr Test Systems Reports Third Quarter Results for Fiscal 2005
March 24, 2005
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"Orders in the third quarter of fiscal 2005 improved from the low point seen
in the preceding quarter," said Gary Larson, vice president and chief
financial officer of Aehr Test Systems. "Although we are maintaining a
somewhat cautious outlook, we expect fourth quarter orders to continue to
improve over the level of the previous quarter. As a result, we anticipate
solid growth in fourth quarter net sales over the quarter just reported."
MANAGEMENT CONFERENCE CALL
Management of Aehr Test will host a conference call and webcast today,
Thursday, March 24, 2005 at 5:00 p.m. Eastern (2:00 p.m. Pacific) to discuss
the Company's fiscal 2005 third quarter results. The conference call will be
accessible live via the Internet at www.aehr.com. Please go to the website
at least fifteen minutes early to register, download and install any
necessary audio software. A replay of the webcast will be available for 90
days.
ABOUT AEHR TEST SYSTEMS
Headquartered in Fremont, California, Aehr Test Systems is a leading
worldwide provider of systems for burning-in and testing DRAM and logic
integrated circuits and has an installed base of more than 2,000 systems
worldwide. Aehr Test has developed and introduced several innovative
products, including the FOX, MTX, MAX3 and MAX4 systems, and the DiePak(R)
carrier. The FOX system is a full wafer contact test and burn-in system.
The MTX system is a massively parallel test system designed to reduce the
cost of memory testing by performing both test and burn-in on thousands of
devices simultaneously. The MAX system can effectively burn-in and
functionally test complex devices, such as digital signal processors,
microprocessors, microcontrollers and systems-on-a-chip. The DiePak carrier
is a reusable, temporary package that enables IC manufacturers to perform
cost-effective final test and burn-in of bare die. For more information,
please visit the Company's website at www.aehr.com.
SAFE HARBOR STATEMENT
This release contains forward-looking statements that involve risks and
uncertainties relating to projections regarding industry growth and customer
demand for Aehr Test's products as well as projections regarding Aehr Test's
future financial performance. Actual results may differ materially from
projected results and should not be considered as an indication of future
performance. These risks and uncertainties include, without limitation,
economic conditions in Asia and elsewhere, world events, acceptance by
customers of the FOX, MTX, MAX and DiePak technologies, acceptance by
customers of products shipped upon receipt of a purchase order and the ability
of new products to meet customer needs or perform as described, the Company's
development and manufacture of a commercially successful wafer-level test and
burn-in system, and the potential emergence of alternative technologies, each
of which could adversely affect demand for Aehr Test's products in calendar
year 2005. See Aehr Test's most recent 10-K and 10-Q reports and other
reports from time to time filed with the Securities and Exchange Commission
(SEC) for a more detailed description of the risks facing our business and
factors that could cause actual results to differ materially from projected
results. The Company disclaims any obligation to update information contained
in any forward-looking statement to reflect events or circumstances occurring
after the date of this press release.
{Financial Tables to Follow}
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Aehr Test Systems Reports Third Quarter Results for Fiscal 2005
March 24, 2005
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AEHR TEST SYSTEMS AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except per share data)
(Unaudited)
Three Months Ended Nine Months Ended
February 28, February 29, February 28, February 29,
------------------------- -------------------------
2005 2004 2005 2004
------------ ------------ ------------ ------------
Net sales................................... $ 2,084 $2,166 $12,810 $ 9,928
Cost of sales............................... 1,281 1,356 9,452 6,150
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Gross profit................................ 803 810 3,358 3,778
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Operating expenses:
Selling, general and administrative....... 1,265 1,414 3,812 4,197
Research and development.................. 868 1,134 2,885 3,492
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Total operating expenses................ 2,133 2,548 6,697 7,689
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Loss from operations........................ (1,330) (1,738) (3,339) (3,911)
Interest income............................. 40 36 96 306
Other income, net........................... 13 13 209 174
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Loss before income taxes.................... (1,277) (1,689) (3,034) (3,431)
Income tax expense (benefit)................ (54) 28 112 43
------------ ------------ ------------ ------------
Net Loss.................................... $(1,223) $(1,717) $(3,146) $(3,474)
============ ============ ============ ============
Net loss per share
Basic................................... $ (0.16) $(0.24) $ (0.42) $ (0.48)
Diluted................................. $ (0.16) $(0.24) $ (0.42) $ (0.48)
Shares used in per share calculations:
Basic................................... 7,426 7,270 7,410 7,203
Diluted................................. 7,426 7,270 7,410 7,203
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Aehr Test Systems Reports Third Quarter Results for Fiscal 2005
March 24, 2005
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AEHR TEST SYSTEMS AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands, except per share data)
February 28, May 31,
2005 2004
(Unaudited)
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ASSETS
Current assets:
Cash and cash equivalents .......................... $ 4,668 $ 4,041
Short-term investments ............................. 3,991 6,492
Accounts receivable................................. 2,838 4,205
Inventories ........................................ 7,393 7,989
Prepaid expenses and other ......................... 510 492
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Total current assets ........................... 19,400 23,219
Property and equipment, net .......................... 1,242 1,289
Long-term investments ................................ 719 1,292
Goodwill ............................................. 274 274
Other assets, net .................................... 786 738
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Total assets ................................... $22,421 $26,812
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LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities:
Accounts payable ................................... $ 479 $ 1,838
Accrued expenses ................................... 2,011 2,100
Deferred revenue ................................... 532 337
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Total current liabilities ...................... 3,022 4,275
Deferred lease commitment ............................ 339 333
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Total liabilities .............................. 3,361 4,608
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Shareholders' equity:
Common stock, $.01 par value outstanding:
7,426 and 7,389 shares at February 28, 2005
and May 31, 2004, respectively.................... 74 74
Additional paid-in capital ......................... 37,410 37,322
Accumulated other comprehensive income.............. 1,291 1,379
Accumulated deficit ................................ (19,715) (16,571)
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Total shareholders' equity ..................... 19,060 22,204
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Total liabilities and shareholders' equity ..... $22,421 $26,812
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