inTEST Corporation Announces Fourth Quarter Results and Record Quarterly Revenues and Net Earnings
CHERRY HILL, N.J., March 1 /PRNewswire/ -- inTEST Corporation (Nasdaq: INTT) today announced fourth quarter and year-end results. Net earnings for the quarter ended December 31, 1999 were a record $2.1 million or $.31 per diluted share compared with a loss of $362,000 or $(.06) per diluted share for the comparable period in 1998. Net earnings for the quarter ended December 31, 1999 increased $747,000 or 56% over net earnings for the quarter ended September 30, 1999. The following is summary financial information for the periods ended December 31, 1999 and 1998:
Three Months Twelve Months
Ended Ended
12/31/99 12/31/98 12/31/99 12/31/98
(000 omitted except for (000 omitted except for
per share earnings) per share earnings)
Net revenues $13,104 $3,837 $34,496 $19,075
Gross margin 7,310 1,887 18,891 10,673
Operating income (loss) 3,225 (746) 6,322 2,518
Net earnings (loss) 2,088 (362) 4,094 1,927
Net earnings (loss)
per share - basic $0.32 $(0.06) $0.63 $0.31
Weighted average shares
outstanding - basic 6,536 6,536 6,536 6,170
Net earnings (loss) per
share - diluted $0.31 $(0.06) $0.62 $0.31
Weighted average shares
outstanding - diluted 6,683 6,536 6,626 6,186
inTEST Corporation had record net revenues of $13.1 million for the quarter ended December 31, 1999, an increase of $3.0 million or 30% over the September 30, 1999 quarter. The growth in both net revenues and net earnings reflects the current industry-wide strong market for automatic test equipment, demand for which has shown significant quarter-to-quarter increases throughout 1999. For the twelve months ended December 31, 1999, net revenues of the Company (including the net revenues of its TestDesign division which was acquired on August 3, 1998) were a record $34.5 million, an increase of $15.4 million or 81% over the comparable prior period. The growth in net revenues in 1999 over 1998 excluding the net revenues of TestDesign were $8.7 million or 49%. Net earnings for 1999 were $4.1 million, an increase of $2.2 million or 112% over the 1998 period. Excluding TestDesign, net earnings increased $1.4 million or 60%.
Robert E. Matthiessen, President and CEO said, "We are quite pleased with the record results for both the quarter and the year. During this extremely busy period for us, we have taken steps to increase productivity and decrease turn-around time. Improvements in our manufacturing methods and systems are currently being implemented in our largest manufacturing plant located in Cherry Hill. Our TestDesign product division has moved into a larger and improved facility. We have recently completed the renovation of our UK manufacturing facility to provide for the installation of new production equipment, and our manufacturing operation in Singapore, launched in the third quarter of 1999, is now fully operational. All of these accomplishments are designed to improve our ability to operate efficiently at the ever-increasing levels of business we are encountering. While demand for the Company's products continues to be strong around the world, it appears that the significant quarter-over-quarter growth achieved in 1999 will be flattening out in 2000. However, we still believe that the basic underlying factors driving semiconductor equipment demand are healthy and we are planning accordingly," concluded Mr. Matthiessen.
inTEST Corporation is a leader in providing test head positioning and connection apparatus to the global semiconductor manufacturing community. The Company's products improve the utilization and cost-effectiveness of automatic test equipment required in the manufacture of integrated circuits. Headquartered in Cherry Hill, New Jersey, the Company has manufacturing facilities in New Jersey, California, the UK and Singapore and design, sales, service and support offices in New Jersey, California, Texas, Arizona, Oregon, the UK, Japan and Singapore.
Certain matters in this news release are forward-looking statements which are subject to risks and uncertainties that could cause actual results to differ materially from those projected. Such risks and uncertainties include, but are not limited to, a decline in the demand for semiconductor devices, changes in rates of capital expenditures by semiconductor manufacturers, progress of product development programs, costs associated with the integration of acquired operations, and other factors set forth in the Company's SEC filings, including its Form 10-K filed for the year ended December 31, 1998.
There will be a conference call hosted by management on Wednesday, March 1, 2000 at 5:30 p.m. EST. This call will be broadcast live on the Internet and can be accessed through www.vcall.com. It is recommended that participants register at least 10 minutes prior to the broadcast. The call will be archived for 30 days.
SELECTED FINANCIAL DATA
(In thousands, except per share data)
Consolidated Statements of Earnings Data:
Three Months Twelve Months
Ended Ended
Dec. 31, Dec. 31,
1999 1998 1999 1998
Net revenues $13,104 $3,837 $34,496 $19,075
Gross margin 7,310 1,887 18,891 10,673
Operating expenses:
Selling expense 1,702 1,064 4,869 3,346
Research and
development expense 964 596 3,209 1,934
General and
administrative
expense 1,419 973 4,491 2,875
Operating income (loss) 3,225 (746) 6,322 2,518
Income tax expense
(benefit) 1,252 (252) 2,635 1,099
Net earnings (loss) 2,088 (362) 4,094 1,927
Net earnings (loss) per
share - basic $0.32 $(0.06) $0.63 $0.31
Weighted average shares
outstanding - basic 6,536 6,536 6,536 6,170
Net earnings (loss) per
share - diluted $0.31 $(0.06) $0.62 $0.31
Weighted average shares
outstanding - diluted 6,683 6,536 6,626 6,186
Consolidated Balance Sheets Data:
As of:
12/31/99 12/31/98
Cash and cash equivalents $12,018 $8,468
Trade accounts and notes
receivable, net 6,473 3,275
Inventories 3,826 2,521
Total current assets 23,211 15,304
Net machinery and equipment 1,785 835
Total assets 31,620 23,218
Accounts payable 2,480 969
Accrued expenses 1,946 1,023
Total current liabilities 6,234 1,992
Total stockholders' equity 25,386 21,226
SOURCE inTEST Corporation