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 FOURTH QUARTER
AND FISCAL 2005 RESULTS
FREMONT, CA (JULY 19, 2005) - Aehr Test Systems (Nasdaq: AEHR), a leading
supplier of semiconductor test and burn-in equipment, today announced
financial results for the fourth quarter and fiscal year ended May 31, 2005.
Net sales were $3.3 million in the fourth quarter of fiscal 2005, compared
with $5.9 million in the fourth quarter of fiscal 2004. The Company reported
a net loss of $1.7 million, or $0.23 per diluted share, in the fourth quarter
of fiscal 2005, compared with a net loss of $484,000, or $0.07 per diluted
share, in the same period of the prior year.
"As anticipated, net sales grew compared to the third quarter of fiscal 2005,
as we completed shipment of several MAX systems during the fourth quarter,"
said Rhea Posedel, chairman and chief executive officer of Aehr Test Systems.
"Current quote activity is the strongest we've seen in the last few years.
During the fourth quarter of last year and the first quarter of this year,
we've received orders for our MAX system from two new customers in Asia.
Additionally, a current customer, who is a leading wireless communications IC
manufacturer, placed a multi-system MAX order. We have also received multi-
system, follow-on orders for our MTX-Fp+ products, valued at nearly $3
million," said Mr. Posedel.
"In June we announced the availability of the latest member of our FOX(TM)
family of products, the FOX-1 full wafer contact test and burn-in system.
After completion of the final milestone of the full wafer contact tester
development program, we expect to begin shipment of our FOX-1 systems in
calendar year 2005. In addition to our development partner, a number of IC
manufacturers have shown interest in our FOX products, which parallel test an
entire wafer with a single touchdown and provide wafer level burn-in and
test.
"We are upbeat about the progress we've made as well as our future prospects.
However, we also recognize the need for bottom line improvement. We believe
that, if we are able to execute on our goals of growing net sales while
controlling expenses, we should be able to markedly improve the Company's
financial results this fiscal year," said Mr. Posedel.
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Aehr Test Systems Reports Fourth Quarter and Fiscal 2005 Results
July 19, 2005
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Fiscal 2005 net sales increased to $16.1 million, compared with $15.8 million
in fiscal 2004. The Company's net loss in fiscal 2005 was $4.9 million, or
$0.66 per diluted share, compared with a net loss of $4.0 million, or $0.55
per diluted share, in fiscal 2004.
At May 31, 2005, cash, short-term investments and long-term investments were
$9.2 million, compared to $11.8 million at the end of fiscal 2004. Aehr Test
ended the fourth quarter of fiscal 2005 with no outstanding debt and
shareholders' equity of $17.5 million, or $2.33 per diluted share. The
Company's order backlog, net of cancellations, at the end of fiscal 2005 was
$4.9 million.
"Given the levels of quote activity we're currently experiencing, we expect a
significant improvement in net sales in the first quarter of fiscal 2006,
when compared with net sales for the quarter just reported," said Gary
Larson, vice president and chief financial officer of Aehr Test Systems.
"Additionally, we expect full year fiscal 2006 net sales to increase
considerably over those of fiscal 2005."
MANAGEMENT CONFERENCE CALL
Management of Aehr Test will host a conference call and webcast today,
Tuesday, July 19, 2005 at 5:00 p.m. Eastern (2:00 p.m. Pacific) to discuss
the Company's fourth quarter and fiscal 2005 results. The conference call
will be accessible live via the Internet at www.aehr.com. Please go to the
website at least 15 minutes early to register, download and install any
necessary audio software. A replay of the webcast will be available at
www.aehr.com 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 memory and logic
integrated circuits and has an installed base of more than 2,500 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, conversion of quote
activity to purchase orders and 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
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Aehr Test Systems Reports Fourth Quarter and Fiscal 2005 Results
July 19, 2005
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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 Fourth Quarter and Fiscal 2005 Results
July 19, 2005
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AEHR TEST SYSTEMS AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except per share data)
Three Months Ended Year Ended
May 31, May 31,
(Unaudited)
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2005 2004 2005 2004
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Net sales...................................... $ 3,270 $5,872 $16,080 $15,800
Cost of sales.................................. 2,366 3,942 11,817 10,092
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Gross profit................................... 904 1,930 4,263 5,708
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Operating expenses:
Selling, general and administrative.......... 1,403 1,375 5,215 5,572
Research and development..................... 1,138 1,153 4,023 4,645
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Total operating expenses................... 2,541 2,528 9,238 10,217
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Loss from operations........................... (1,637) (598) (4,975) (4,509)
Interest income................................ 58 28 155 333
Other income (expense), net.................... (123) 119 86 293
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Loss before income taxes....................... (1,702) (451) (4,734) (3,883)
Income tax expense............................. 24 33 136 76
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Net Loss....................................... $(1,726) $ (484) $(4,870) $(3,959)
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Net loss per share
Basic...................................... $ (0.23) $(0.07) $ (0.66) $ (0.55)
Diluted.................................... $ (0.23) $(0.07) $ (0.66) $ (0.55)
Shares used in per share calculations:
Basic...................................... 7,450 7,385 7,420 7,248
Diluted.................................... 7,450 7,385 7,420 7,248
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Aehr Test Systems Reports Fourth Quarter and Fiscal 2005 Results
July 19, 2005
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AEHR TEST SYSTEMS AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands, except per share data)
May 31, May 31,
2005 2004
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ASSETS
Current assets:
Cash and cash equivalents .......................... $ 4,952 $ 4,041
Short-term investments ............................. 3,813 6,492
Accounts receivable................................. 2,537 4,205
Inventories ........................................ 7,140 7,989
Prepaid expenses and other ......................... 585 492
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Total current assets ........................... 19,027 23,219
Property and equipment, net .......................... 1,232 1,289
Long-term investments ................................ 409 1,292
Goodwill ............................................. 274 274
Other assets, net .................................... 527 738
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Total assets ................................... $21,469 $26,812
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LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities:
Accounts payable ................................... $ 1,050 $ 1,838
Accrued expenses ................................... 1,943 2,100
Deferred revenue ................................... 692 337
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Total current liabilities ...................... 3,685 4,275
Deferred revenue ..................................... 21 26
Deferred lease commitment ............................ 311 307
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Total liabilities .............................. 4,017 4,608
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Shareholders' equity:
Common stock, $.01 par value outstanding:
7,482 and 7,389 shares at May 31, 2005
and May 31, 2004, respectively.................... 75 74
Additional paid-in capital ......................... 37,568 37,322
Accumulated other comprehensive income.............. 1,250 1,379
Accumulated deficit ................................ (21,441) (16,571)
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Total shareholders' equity ..................... 17,452 22,204
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Total liabilities and shareholders' equity ..... $21,469 $26,812
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