Exhibit 99.1
ANADIGICS REPORTS RESULTS FOR SECOND QUARTER 2003
Revenues increase to $18.0 Million or 11.8% over Q1 '03
Cash and Marketable Securities of $135.1 Million
WARREN, NJ--July 28, 2003--ANADIGICS, Inc. (Nasdaq:ANAD), a leading supplier of
wireless and broadband communications solutions, today announced second quarter
2003 net sales of $18.0 million. This compares to revenues of $16.1 million in
the first quarter of 2003. The "GAAP" EPS loss was ($0.45) and included a charge
of $1.7 million or $0.06 per share relating to the purchased in-process research
and development resulting from the acquisition of the WLAN Power Amplifier
business from RF Solutions.
Wireless revenues were $9.0 million, up 4.9% from first quarter 2003 revenues of
$8.6 million. CDMA revenues accounted for greater than 90% of Wireless revenues.
Broadband revenues were $9.0 million, up 20% from first quarter 2003 revenues of
$7.5 million. The favorable revenue increase was achieved both through the
shipments of WLAN power amplifiers and increased revenue growth in cable
infrastructure products.
"In 2003, ANADIGICS introduced several new products that will play a critical
role in driving our CDMA and GSM revenue growth," said Dr. Bami Bastani,
President & CEO of ANADIGICS, Inc. "The Company has attained a leadership
position in WLAN as demonstrated by achieving an industry milestone with the
shipment of over 1 million InGaP power amplifiers in less than 100 days".
The Company's gross profit increased to $0.6 million, up from breakeven in the
first quarter 2003. Total operating expenses (including R&D and SG&A) were $12.6
million, reflecting the additional quarterly expense following the acquisition
of RF Solutions' Power Amplifier business.
The Company's balance sheet remains strong. The cash balance (including
marketable securities) was $135.1 million at June 28, 2003 compared to $144.6
million on March 29, 2003. During the quarter, the company used $2.9 million in
cash to fund the RF Solutions acquisition and $0.6 million for capital
expenditures.
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HIGHLIGHTS OF THE QUARTER
o ANADIGICS Leads the WLAN Industry in InGaP HBT Power Amplifier
Shipments
July 9, 2003 - ANADIGICS announced that the Company has
shipped more than one million WLAN InGaP HBT Power Amplifiers (PA)
since its announcement of the acquisition of a wireless local area
network (WLAN) PA product line in April, 2003. ANADIGICS' InGaP HBT
power amplifiers deliver high linearity and efficiency to support the
more stringent RF performance requirements of emerging WLAN standards.
o ANADIGICS Announces Measure to Reduce Issued Stock Options as a
Percentage of Total Options and Shares Outstanding
July 7, 2003 - ANADIGICS announced that its Board of Directors has
approved a measure to reduce the Company's issued stock options as a
percentage of total options and shares outstanding from a current level
of 20 percent to 15 percent, a reduction of 5 percentage points. The
measure is a voluntary employee stock option exchange program which
allows Company employees and officers who hold options with exercise
prices above $10.00 to exchange three (3) options for one new stock
option priced at fair market value six months and one day after their
existing options are cancelled. The Chairman of the Board and outside
Directors are excluded from participating in the program.
o ANADIGICS Offers High-Performance Power Amplifier Module for 2.4 GHz
Wireless LAN Applications
June 26, 2003 - ANADIGICS, Inc. (Nasdaq: ANAD), a leading supplier of
wireless and broadband communications solutions, has today announced
the AWL6152, a high-performance Power Amplifier Module for 802.11b and
802.11g Wireless Local Area Network (WLAN) applications, at the 802.11
Planet conference, World Trade Center, Boston, MA.
o ANADIGICS Expands Portfolio of Gain Block Amplifiers for Wireless
Infrastructure Systems
June 10, 2003 - ANADIGICS added to its family of gain block amplifiers
for wireless infrastructure systems with the launch of four new high
performance devices at the 2003 IEEE International Microwave Symposium
in Philadelphia, PA. The new gain block amplifiers utilize the
Company's InGaP HBT technology to deliver low distortion and high
linearity for cellular base stations across a wide range of
applications including the W-CDMA, CDMA, TDMA, GSM, PCS, MMDS, and UMTS
standards.
o ANADIGICS' Two New Patents Reward Wafer Processing Innovation
May 28, 2003 - ANADIGICS received two new patents relating to the
improvement of its semiconductor manufacturing processes. The patents
are for a newly developed wafer demount gas distribution tool (US
Patent No: 6,470,946) and for a wafer demount receptacle for separating
the thinned wafer from the mounting carrier (US Patent No: 6,491,083).
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o ANADIGICS' New Infrastructure Amplifiers Enhance Performance for
Advanced CATV Services
May 13, 2003 - ANADIGICS launched the ACA2404 power doubler line
amplifier and the ADA1200 linear amplifier at the SCTE Cable-Tech Expo
in Philadelphia, PA. The high linearity ACA2404 provides +58dBmV output
power so that fewer amplifiers are necessary in CATV infrastructure
systems, thereby enabling systems providers to reduce installation
costs. The ADA1200 functions as a high linearity CATV drop amplifier
with low noise and low distortion.
o ANADIGICS Expands CATV Product Offering To Deliver Higher Performance
and Greater Functionality in Set-Top Boxes
May 12, 2003 - ANADIGICS expanded its CATV subscriber product portfolio
with the launch of two new downconverters that incorporate dual
synthesizers, and a new reverse path amplifier, for use in CATV set-top
boxes and cable modems. The announcement was made from the Company's
booth at this year's SCTE Cable-Tech Expo, Philadelphia May 11-14,
2003.
o ANADIGICS Introduces New Family of 3mm x 3mm InGaP HBT Power Amplifier
Modules
April 24, 2003 - ANADIGICS launched a new family of 3mm x 3mm InGaP HBT
(indium gallium phosphide heterojunction bipolar transistor) power
amplifier (PA) modules designed for use in Cellular, U.S. PCS and
Korean PCS handsets. The new additions to ANADIGICS' portfolio have
been developed to provide CDMA handset providers with smaller modules
that offer high levels of efficiency while maximizing board space and
ensuring a rapid migration path from 4mm x 4mm modules.
CONFERENCE CALL
ANADIGICS' senior management will conduct a conference call today at 8:30 AM
Eastern time. A live audio Webcast will be available at www.anadigics.com. A
recording of the call will be available approximately two hours after the end of
the call on the ANADIGICS Web site or by dialing (888) 276-5316 (available until
August 4).
ANADIGICS, Inc. (Nasdaq: ANAD) designs and manufactures radio frequency
integrated circuit (RFIC) solutions for growing broadband and wireless
communications markets. The Company's innovative high frequency RFICs enable
manufacturers of communications equipment to enhance overall system performance,
and reduce manufacturing cost and time to market. By utilizing state-of-the-art
manufacturing processes for its RFICs, ANADIGICS achieves the high-volume and
cost-effective products required by leading companies in its targeted
high-growth communications markets. ANADIGICS was the first GaAs IC manufacturer
to receive ISO 9001 certification.
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Except for historical information contained herein, this press release contains
forward-looking statements that involve risks and uncertainties, including, but
not limited to, order rescheduling or cancellation, changes in customers'
forecasts of product demand, timely product and process development and
protection of the associated intellectual property rights, individual product
pricing pressure, variation in production yield, changes in estimated product
lives, difficulties in obtaining components and assembly and test services
needed for production of integrated circuits, change in economic conditions of
the various markets the Company serves, as well as the other risks detailed from
time to time in the Company's reports filed with the Securities and Exchange
Commission, including the report on Form 10-K for the year ended December 31,
2002. Actual results could differ materially from the Company's forward-looking
statements. These forward-looking statements can generally be identified as such
because the context of the statement will include words such as "believe",
"anticipate", "expect", or words of similar import. Similarly, statements that
describe the Company's future plans, objectives, estimates, or goals are
forward-looking statements. Important factors that could cause actual results
and developments to be materially different from those expressed or implied by
such statements include those factors discussed herein.
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ANADIGICS, Inc.
Condensed Consolidated Statements of Operations
(amounts in thousands, except share and per share amounts)
(Unaudited)
Three Months Ended Six Months Ended
----------------------------------- -----------------------------------
June 28, 2003 June 29, 2002 June 28, 2003 June 29, 2002
--------------- --------------- --------------- ---------------
Net sales $ 18,037 $ 23,021 $ 34,124 $ 42,542
Cost of sales 17,430 18,832 33,509 37,837
--------------- --------------- --------------- ---------------
Gross profit 607 4,189 615 4,705
Research and development expenses 8,170 7,699 15,327 15,277
Selling and administrative expenses 4,450 5,656 8,968 10,935
Restructuring and other charges -- -- 625 5,959
Purchased in-process research and development 1,690 -- 1,690 --
--------------- --------------- --------------- ---------------
Operating loss (13,703) (9,166) (25,995) (27,466)
Interest income 874 1,735 1,887 3,416
Interest expense (940) (1,422) (1,881) (2,864)
Other (expense) income (2) -- (23) 2
--------------- --------------- --------------- ---------------
Net loss before cumulative effect of accounting
change (13,771) (8,853) (26,012) (26,912)
Cumulative effect of accounting change -- -- -- (8,010)
--------------- --------------- --------------- ---------------
Net loss $ (13,771) $ (8,853) $ (26,012) $ (34,922)
=============== =============== =============== ===============
Basic and diluted loss per share
Net loss before cumulative effect of accounting
change $ (0.45) $ (0.29) $ (0.85) $ (0.88)
=============== =============== =============== ===============
Net loss $ (0.45) $ (0.29) $ (0.85) $ (1.14)
=============== =============== =============== ===============
Weighted average common and
dilutive securities outstanding 30,674,033 30,579,575 30,674,033 30,575,202
=============== =============== =============== ===============
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ANADIGICS, Inc.
Condensed Consolidated Balance Sheets
(amounts in thousands, except share and per share amounts)
June 28, 2003 December 31, 2002
--------------- -----------------
Assets (unaudited)
Current assets:
Cash and short-term investments $ 95,667 $ 98,381
Accounts receivable 10,019 9,016
Inventory 12,660 13,277
Prepaid expenses and other current assets 3,797 4,600
--------------- ---------------
Total current assets 122,143 125,274
Marketable securities 39,440 57,137
Plant and equipment, net 61,487 68,600
Goodwill and other intangibles, net of amortization 1,280 --
Other assets 4,115 4,660
--------------- ---------------
$ 228,465 $ 255,671
=============== ===============
Liabilities and stockholders' equity
Current liabilities:
Accounts payable $ 6,449 $ 7,434
Accrued liabilities 4,776 4,733
Accrued restructuring costs 2,525 2,956
Current maturities of capital lease obligations 113 --
--------------- ---------------
Total current liabilities 13,863 15,123
Other long-term liabilities 2,918 2,760
Long-term debt, less current portion 66,700 66,700
Stockholders' equity 144,984 171,088
--------------- ---------------
$ 228,465 $ 255,671
=============== ===============