SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Form 8-K
Current Report Pursuant to Section 13 or 15(d) of
the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): February 27, 2001
(Exact Name of Registrant as Specified in Charter)
|
Delaware |
0-22529 (Commission File Number) |
22-2370659 (I.R.S. Employer of Incorporation) |
7 Esterbrook Lane, Cherry Hill, New Jersey 08003
(Address of Principal Executive Offices, including Zip Code)
Registrant's telephone number, including area code: (856) 424-6886
Item 5. Other Events.
On February 27, 2001, inTEST Corporation, a Delaware corporation, announced its financial performance for the quarter and year ended December 31, 2000. A copy of inTEST's press release announcing these financial results is attached as Exhibit 99 hereto and incorporated by reference herein.
Item 7. Financial Statements and Exhibits.
(c) Exhibits:
99 Press Release, dated February 27, 2001
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
inTEST CORPORATION
By: /s/ Hugh T. Regan, Jr.
Hugh T. Regan, Jr.
Treasurer, Secretary and
Chief Financial Officer
Date: March 5, 2001
EXHIBIT INDEX
99 Press Release, dated February 27, 2001
EXHIBIT 99
inTEST CORPORATION ANNOUNCES FINANCIAL RESULTS FOR
FOURTH QUARTER AND YEAR END
CHERRY HILL, NEW JERSEY - February 27, 2001... inTEST Corporation (NASDAQ:INTT) today announced its financial performance for the quarter and year ended December 31, 2000. Net revenues for the quarter were $21.6 million, a 12% increase over the
comparable prior period. Net earnings for the fourth quarter were $473,000 or $.06 per diluted share, down from $3.7 million or $.45 per diluted share for the comparable period in 1999. While the net revenues achieved were within the revised forecast
provided by the Company in late December, the net earnings per diluted share were less than the revised guidance of $.10 to $.12 per share, primarily as a result of approximately $950,000 in additions to the obsolescence reserve, which reduced earnings by
approximately $.07 per diluted share net of income tax. The additions to the inventory obsolescence reserve, which normally approximate $150,000 per quarter, were made against certain recently discontinued product lines, as well as other products where
the Company does not see significant future demand relative to current inventory levels.
For the year ended December 31, 2000, the Company's net earnings were $.75 per diluted share compared to $.74 per diluted share for 1999. Included in the results for the year were $2.7 million of costs related to the merger with Temptronic, which was
completed on March 9, 2000, as well as $415,000 of expenses associated with the withdrawn offering of common shares. Net earnings for the year ended December 31, 2000, adjusted to eliminate these non-recurring costs net of their tax impact, were $9.1
million or $1.07 per diluted share. While net revenues for 2000 were up 64% over 1999, net earnings excluding the non-recurring charges increased by 48%. The lower percentage increase in net earnings excluding non-recurring charges reflects both the
change in customer mix from end-user to OEM's as well as the effect of certain previously disclosed events during the fourth quarter.
Robert E. Matthiessen, President and CEO said, "2000 was a strong year for inTEST, with record annual net revenues of $87.7 million and record annual orders for our products of $98.1 million, which grew 53% over the comparable prior period. While we
continue to remain optimistic about our products and the strength of our customer relationships, the general economic outlook for the semiconductor capital equipment industry does not support the growth previously experienced. With many of our customers
on capital equipment spending holds, it is difficult to predict what the future requirements of our customers will be, but we remain prepared to respond to those demands as they arise. In response to this slowdown, we have implemented an across the board
cost containment program that is designed to reduce the Company's overall costs by 10%." Mr. Matthiessen commented further, "These cost containment measures are not the only solutions we will use to manage our profitability, as we also plan to pursue
market growth strategies and product development programs that will position the Company for the anticipated growth in the market during the second half of the year."
Hugh T. Regan, Jr., Treasurer and CFO said, "Consistent with the current consensus industry predictions that 2001 will follow a downward trend with an upturn possibly later in the year, the Company forecasts that net revenues will range from $19.0 to
$20.0 million in the first quarter of 2001 and from $17.0 to $18.5 million in the second quarter 2001. Diluted earnings per share are anticipated to be $.10 to $.12 per share for the first quarter and $.02 to $.04 per share for the second quarter of 2001."
inTEST Corporation (www.intest.com) is a leading independent designer, manufacturer and marketer of docking and manipulator hardware products, temperature management systems and customized interface solutions that are used by semiconductor manufacturers
to perform final testing of integrated circuits and wafer products. Headquartered in Cherry Hill, New Jersey, inTEST has manufacturing facilities in New Jersey, Massachusetts, California, the UK and Singapore. In addition, inTEST also has offices in Japan
and Germany, which provide design, sales, service and support, with additional support offices in Arizona and Texas.
The statements by Messrs. Matthiessen and Regan contain forward-looking statements that are based upon management's current expectations and are subject to risks and uncertainties that could cause actual results to differ materially from these
forward-looking statements. In addition to the factors discussed above, such risks and uncertainties include, but are not limited to, changes in business conditions and the economy, generally; a decline in the demand for integrated circuits; changes in
rates of, and timing of, capital expenditures by semiconductor manufacturers; progress of product development programs; increases in raw material and fabrication costs associated with our products; costs associated with, and progress in, the integration
of acquired operations; and other risk factors set forth from time to time in our SEC filings including, but not limited to, our report on Form 10-Q for the quarter ended September 30, 2000.
As previously announced, there will be a conference call hosted by management on Tuesday, February 27, 2001 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 Ended |
Twelve Months Ended |
||||||||||||||
|
|
2000 |
|
1999 |
|
2000 |
|
1999 |
||||||||
|
Net revenues |
$21,589 |
|
$19,309 |
|
$87,651 |
|
$53,585 |
||||||||
|
Gross margin |
7,814 |
|
10,029 |
|
39,556 |
|
26,710 |
||||||||
|
Operating expenses: |
|
|
|
|
|
|
|
||||||||
|
Selling expense |
3,432 |
|
2,744 |
|
11,711 |
|
8,418 |
||||||||
|
Engineering and product development expense |
1,914 |
|
1,369 |
|
6,576 |
|
4,864 |
||||||||
|
General and administrative expense |
1,931 |
|
2,211 |
|
7,273 |
|
6,101 |
||||||||
|
Merger-related costs |
- |
|
- |
|
2,672 |
|
- |
||||||||
|
Write-off of deferred offering costs |
- |
|
- |
|
415 |
|
- |
||||||||
|
Operating income |
537 |
|
3,705 |
|
10,909 |
|
7,327 |
||||||||
|
Income tax expense |
289 |
|
42 |
|
5,200 |
|
1,425 |
||||||||
|
Net earnings |
473 |
|
3,732 |
|
6,379 |
|
6,133 |
||||||||
|
|
|
|
|
|
|
|
|
||||||||
|
Net earnings per share - basic |
$0.06 |
|
$0.46 |
|
$0.78 |
|
$0.76 |
||||||||
|
Weighted average shares outstanding - basic |
8,244 |
|
8,123 |
|
8,201 |
|
8,084 |
||||||||
|
|
|
|
|
|
|
|
|
||||||||
|
Net earnings per share - diluted |
$0.06 |
|
$0.45 |
|
$0.75 |
|
$0.74 |
||||||||
|
Weighted average shares outstanding - diluted |
8,425 |
|
8,358 |
|
8,470 |
|
8,266 |
||||||||
Consolidated Balance Sheets Data:
|
As of: |
|||
|
12/31/00 |
12/31/99 |
||
|
Cash and cash equivalents |
$5,680 |
$12,047 |
|
|
Trade accounts and notes receivable, net |
14,752 |
10,020 |
|
|
Inventories |
12,559 |
7,972 |
|
|
Total current assets |
34,601 |
32,208 |
|
|
Net machinery and equipment |
5,087 |
2,697 |
|
|
Total assets |
46,371 |
43,015 |
|
|
Accounts payable |
4,563 |
5,195 |
|
|
Accrued expenses |
3,568 |
3,011 |
|
|
Total current liabilities |
8,427 |
11,424 |
|
|
Total stockholders' equity |
37,944 |
31,458 |
|