Exhibit 99.1
BROOKS AUTOMATION REPORTS RESULTS FOR FISCAL 2005
THIRD QUARTER ENDED JUNE 30, 2005
CHELMSFORD, Mass., Aug. 1 /PRNewswire-FirstCall/ -- Brooks Automation, Inc.
(Nasdaq: BRKS), which develops and produces hardware, software and systems that
enable manufacturing efficiencies for the semiconductor and other complex
manufacturing industries, today announced results for its third quarter of
fiscal 2005 ended June 30, 2005.
Revenues for the third quarter of fiscal 2005 were $113.8 million, a 12.1
percent sequential decrease from the preceding quarter revenues of $129.5
million and a decline of 26.0 percent from a year ago revenues of $153.8 million
for the same period. Bookings during the quarter were $93.9 million, a
sequential decrease of 18.4 percent over the preceding quarter reported bookings
of $115.1 million.
Net income for the third quarter of fiscal 2005 on a GAAP ("Generally
Accepted Accounting Principles") basis was $0.9 million, or $0.02 earnings per
diluted share, which compares to a loss in the immediately preceding quarter of
$2.5 million, or $0.06 loss per share. The net impact on EPS in the third
quarter from the charges related to restructuring and amortization of acquired
intangible assets was $0.04 per share. The net impact on EPS in the second
quarter from charges related to restructuring, amortization of acquired
intangible assets and other charges was $0.18 per share.
Edward C. Grady, president and chief executive officer of Brooks
Automation, said "The business environment was relatively soft going into our
third quarter and remains so as we enter the current quarter. Software orders in
particular were much lighter than expected in the past quarter. We recognized
the possibility of a timing impact entering the quarter but the magnitude was
greater than anticipated. While revenues in the third quarter were slightly
below our guidance primarily due to push-outs by two key software customers, we
met guidance for earnings and maintained a strong balance sheet. During the
quarter, we continued to focus on meeting customer commitments, staying on track
with new product development and introductions, and controlling expenses. We
displayed many of our new and future products to our top customers at SEMICON
West in July and received a very favorable response. We continued to make
significant progress in positioning Brooks as a key outsourcing partner to major
tier one OEM customers, especially in the vacuum automation market. I am
particularly proud of the milestone that our team achieved by shipping our new
MagnaTran(TM) vacuum robot for use by a major OEM on one of its market-leading
tool platforms. We believe the outsourcing trend by large OEMs will continue,
and Brooks is working to be the supplier of choice for these customers by
leveraging our leading technology, attractive cost of ownership and strong
customer support."
Mr. Grady commented on the financial outlook for the next quarter. "While
we expect the business environment to remain challenging in our fiscal fourth
quarter ending on September 30, 2005, we do see indications that order rates and
shipments in the December quarter should improve. We expect revenues for Brooks
in the September quarter to be in the range of $100 to $105 million, or down
approximately 10% compared to our quarter just ended, with net income reflecting
the lower revenues with GAAP loss per share of $0.07 to $0.13. Restructuring,
amortization of acquired intangible assets and other charges are estimated to
account for $0.03 per share. Bookings, which have been difficult to forecast,
are expected to be flat-to-up 5 percent in the next quarter. During the June
quarter we took actions to reduce cost and we expect to continue these actions
as we convert our Jena facility in Germany from primary manufacturing to a local
final integration center by the end of the quarter."
"On a separate note," continued Mr. Grady, "we are excited by the upcoming
acquisition of Helix Technology, which we announced on July 11. Upon completion,
which is expected in the fourth calendar quarter of 2005, I believe this
transaction will significantly strengthen the financial performance of Brooks
throughout the business cycles while improving our position as a major vacuum
systems supplier for top tier OEM customers. We expect this transaction to be
significantly accretive to Brooks' earnings in our fiscal year 2006. We are
excited by the opportunities presented by this strategic combination with Helix
as we continue to focus on bringing value to our shareholders, employees and
customers."
Completion of the Helix acquisition is subject to the applicable
Hart-Scott-Rodino waiting period, stockholder approval of each company and other
customary closing conditions.
Business Segment Data
The following table (unaudited) summarizes the three business segments of
Brooks for fiscal Q3.
Factory Factory
Equipment Automation Automation
Automation Hardware Software Total
------------ ------------ ------------ ------------
Three months ended June 30, 2005:
Revenues, in thousands $ 69,385 $ 21,938 $ 22,437 $ 113,760
Gross margin, in thousands $ 18,864 $ 5,789 $ 15,432 $ 40,085
Gross margin, % 27.2% 26.4% 68.8% 35.2%
Operating margin, in thousands $ 3,107 $ 383 $ 23 $ 3,513
Amortization of acquired
intangible assets $ 737
Restructuring charges $ 928
Total income from continuing operations $ 1,848
In Q3, the Company sold substantially all of the assets of its Specialty
Equipment and Life Sciences Division, previously reported in the "Other"
business segment, and has adjusted its financial statements accordingly to
reflect this business as a discontinued operation.
Q3 Fiscal 2005 Highlights
* Captured 12 new design-in wins at OEM customers in Q3.
* Shipped new MagnaTran 8(TM) vacuum transfer robot to major OEM in
North America, displacing the OEM's current internally-developed
robot.
* Received acceptance of new Marathon 2(TM) vacuum transport system
from Asian customer.
* Shipped first production HX vacuum system for Gen-7 flat panel
OEM customer in Korea.
* Shipped evaluation units of new Jet(TM) atmospheric equipment
front end module (EFEM) to two customers.
* Captured 6 new design-in wins for lithography automation from
customers in North America, Asia and Europe.
* Booked new order from a Korean Gen-7 LCD customer for Material
Control System (MCS) software, the second major LCD customer
using Brooks' MCS in Korea.
* Booked new order for FACTORYworks(TM) Manufacturing Execution
System (MES) from high tech customer in China, continuing Brooks
Software success in this important region.
* Participated in SAP's SAPPHIRE '05 international customer
conference in Boston, MA, May 17-19, showcasing the
interoperability of Brooks Manufacturing and SAP Business
Applications.
* Announced the certification of Brooks' Integration Gateway
through SAP's "Powered by SAP NetWeaver(TM)" program. The
Integration Gateway will enable interoperability of Brooks'
real-time manufacturing software with SAP's business solutions.
Conference Call and Webcast
Brooks Automation will host a conference call at 4:15 p.m. Eastern, August
1, 2005 to review its third fiscal quarter results. On the call, management will
discuss the information contained in this announcement and answer related
questions.
Conference Call Date: Monday, August 1, 2005
Time: 4:15 p.m. Eastern
Dial in #: (719) 457-2630
Passcode: 8030472
A live Webcast of this conference call will be available in the investor
relations section of the Brooks Automation web site, http://investor.brooks.com
under the title "Brooks Automation Fiscal 2005 Third Quarter Earnings Webcast."
An archive of this Webcast will be made available following the conference call,
and can be accessed for at least the next twelve months on the section for
Webcasts at http://investor.brooks.com under the title "Brooks Automation Fiscal
2005 Third Quarter Earnings Webcast." A telephone replay will also be made
available following the call at the following number: (719) 457-0820 beginning
at 7:00 p.m. Eastern, Monday, August 1, 2005, and available 7 days. The passcode
for the replay is 8030472.
About Brooks Automation, Inc.
Brooks Automation (Nasdaq: BRKS) is a leading worldwide provider of
automation solutions to the global semiconductor and related industries. The
company's factory and tool automation hardware, software and professional
services can manage every wafer, reticle and data movement in the fab, helping
customers improve throughput and yield while reducing both cost and time to
market. Brooks products and services are used in virtually every fab in the
world as well as by many customers in industries outside of semiconductor
manufacturing. For more information, visit http://www.brooks.com.
Participants in Solicitation
Brooks, Helix and their respective directors and executive officers and
other members of management and employees may be deemed to be participants in
the solicitation of proxies from Brooks and Helix stockholders in respect of the
proposed transaction. Information regarding Brooks' participants is available in
Brooks' Annual Report on Form 10-K for the year ended September 30, 2004, and
the proxy statement, dated January 10, 2005, for its 2005 annual meeting of
stockholders, which are filed with the SEC. Information regarding Helix's
participants is available in Helix's Annual Report on Form 10-K for the year
ended December 31, 2004, and the proxy statement, dated May 2, 2005, for its
2005 annual meeting of stockholders, which are filed with the SEC. Additional
information regarding interests of such participants will be included in the
Registration Statement containing the Joint Proxy Statement/Prospectus to be
filed with the SEC.
"Safe Harbor" Statement under Section 21E of the Securities Exchange Act of
1934:
Some statements in this release are forward-looking statements made under
Section 21E of the Securities Exchange Act of 1934. These statements are neither
promises nor guarantees but involve risks and uncertainties, both known and
unknown, that could cause Brooks' financial and business results to differ
materially from our expectations. They are based on the facts known to
management at the time they are made. These forward-looking statements include
statements regarding our bookings, revenues, and profit and loss expectations,
expected restructuring charges and other charges, our future business strategy
and market opportunities, level of capital expenditures and bookings
expectations in the semiconductor and discrete manufacturing industries, demand
for our products, purchasing and manufacturing trends among semiconductor
manufacturing OEMs, the benefits of the proposed transaction with Helix and the
outlook of the semiconductor and discrete manufacturing industries. Factors that
could cause results to differ from our expectations include the following: our
dependence on the cyclical semiconductor industry; the possibility of downturns
in market demand for electronics; our possible inability to meet increased
demand for our products due to difficulties in obtaining components and
materials from our suppliers in required quantities and of required quality; a
decision by semiconductor manufacturing OEMs not to outsource increasing amounts
of their manufacturing operations; our ability to continue to effectively
implement our flexible manufacturing model and our supply chain consolidation;
the highly competitive nature and rapid technological change that characterizes
the industries in which we compete; decisions by customers to accelerate
delivery under or to cancel or defer orders that previously had been accepted;
decisions by customers to reject the products we ship to them; the possibility
that we may not be able to fulfill customer orders within a period of time
acceptable to them; the acceptance of our software products and services in
industries outside of the semiconductor industry; the fact that design-in wins
do not necessarily translate to significant revenue; the timing and
effectiveness of restructuring, cost-cutting and expense control measures;
intense price competition; disputes concerning intellectual property; the risk
that the Helix acquisition will not be completed because a closing condition
will not be satisfied; our ability to successfully integrate Helix's operations
and employees; the risk that the cost savings and any other synergies from the
Helix acquisition may not be fully realized or may take longer to realize than
expected; the risk that possible disruption from the Helix acquisition will make
it more difficult to maintain relationships with customers and employees;
continuing uncertainties in global political and economic conditions, especially
arising out of conflict in the Middle East; and other factors and other risks
that we have described in our filings with the Securities and Exchange
Commission, including but not limited to Brooks' Annual Report on Form 10-K,
current reports on Form 8-k and our quarterly reports on Form 10-Q. As a result
we can provide no assurance that our future results will not be materially
different from those projected. Brooks expressly disclaims any obligation or
undertaking to release publicly any updates or revisions to any such statement
to reflect any change in our expectations or any change in events, conditions or
circumstances on which any such statement is based. Brooks undertakes no
obligation to update the information contained in this press release.
All trademarks contained herein are the property of their respective
owners.
Contact:
Mark Chung
Director of Investor Relations
Brooks Automation, Inc.
Telephone: (978) 262-2459
mark.chung@brooks.com
BROOKS AUTOMATION, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands)
June 30, September 30,
2005 2004
------------ -------------
ASSETS
Cash, cash equivalents and marketable
securities $ 301,637 $ 255,367
Accounts receivable, net 90,982 124,004
Inventories 57,708 71,891
Other current assets 14,105 9,873
Total current assets 464,432 461,135
Property, plant and equipment, net 56,517 58,810
Long-term marketable securities 48,087 73,743
Intangible assets, net 66,678 68,963
Other assets 4,755 8,388
Total assets $ 640,469 $ 671,039
LIABILITIES, MINORITY INTERESTS AND
STOCKHOLDERS' EQUITY
Current liabilities $ 136,181 $ 166,998
Convertible subordinated notes 175,000 175,000
Other long-term liabilities 12,087 15,228
Total liabilities 323,268 357,226
Minority interests 991 918
Stockholders' equity 316,210 312,895
Total liabilities,
minority interests and
stockholders' equity $ 640,469 $ 671,039
Cash, cash equivalents, short-
term and long-term marketable
securities
June 30, 2005 $ 349,724
March 31, 2005 $ 351,214
December 31, 2004 $ 338,377
September 30, 2004 $ 329,110
June 30, 2004 $ 321,385
March 31, 2004 $ 309,808
BROOKS AUTOMATION, INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except per share data)
Three months ended Nine months ended
June 30, June 30,
---------------------------- ----------------------------
2005 2004 2005 2004
------------ ------------ ------------ ------------
Revenues $ 113,760 $ 153,787 $ 360,447 $ 372,709
Cost of revenues 73,675 96,512 234,436 234,575
Gross profit 40,085 57,275 126,011 138,134
Operating expenses:
Research and development 16,069 16,520 48,075 48,542
Selling, general and
administrative 20,503 22,385 60,695 62,143
Amortization of acquired
intangible assets 737 912 2,364 2,772
Restructuring and acquisition-
related charges 928 884 9,487 3,052
38,237 40,701 120,621 116,509
Income from continuing operations 1,848 16,574 5,390 21,625
Interest expense (income), net 90 1,138 646 3,654
Other (income) expense, net (640) 339 (706) 536
Income from continuing operations
before income taxes and minority
interests 2,398 15,097 5,450 17,435
Income tax provision 1,251 2,711 4,265 5,553
Income from continuing operations
before minority interests 1,147 12,386 1,185 11,882
Minority interests in income
(loss) of consolidated subsidiary (136) (65) 72 184
Income from continuing operations 1,283 12,451 1,113 11,698
Loss from discontinued operations,
net of income taxes (357) (123) (3,554) (2,007)
Net income (loss) $ 926 $ 12,328 $ (2,441) $ 9,691
Basic income (loss) per share from
continuing operations $ 0.03 $ 0.28 $ 0.02 $ 0.28
Basic income (loss) per share from
discontinued operations (0.01) (0.00) (0.08) (0.05)
Basic income (loss) per share $ 0.02 $ 0.28 $ (0.05) $ 0.23
Diluted income (loss) per share
from continuing operations $ 0.03 $ 0.28 $ 0.02 $ 0.27
Diluted income (loss) per share
from discontinued operations (0.01) (0.00) (0.08) (0.05)
Diluted income (loss) per share $ 0.02 $ 0.27 $ (0.05) $ 0.23
Shares used in computing earnings
(loss) per share
Basic 44,999 44,562 44,857 42,458
Diluted 45,216 44,983 45,124 43,011
SOURCE Brooks Automation, Inc.
-0- 08/01/2005
/CONTACT: Mark Chung, Director of Investor Relations of
Brooks Automation, Inc., +1-978- 262-2459, mark.chung@brooks.com/
/First Call Analyst: /
/FCMN Contact: /
/Web site: http://www.brooks.com/