FormFactor, Inc. Reports Fourth Quarter and Annual Results
February 7, 2012
Also Announces Board of Director Changes
LIVERMORE, Calif. — February 7, 2012 — FormFactor, Inc. (Nasdaq: FORM) today announced its financial results for the fourth quarter of fiscal 2011 that ended on December 31, 2011. Quarterly revenues were $30.2 million, down 42% from $52.1 million in the third quarter of fiscal 2011, and down 31% from $43.9 million in the fourth quarter of fiscal 2010.
For fiscal 2011, FormFactor posted revenue of $169.3 million, down 10% from $188.6 million in fiscal 2010.
On a GAAP basis, net loss for the fourth quarter of fiscal 2011 was $27.0 million or $(0.54) per fully-diluted share, compared to a net loss for the third quarter of fiscal 2011 of $9.9 million or $(0.20) per fully-diluted share, and a net loss for the fourth quarter of fiscal 2010 of $20.4 million or $(0.40) per fully-diluted share. Net loss for fiscal 2011 was $66.0 million or $(1.31) per fully diluted share, compared to a net loss of $188.3 million or $(3.75) per fully-diluted share for fiscal 2010.
On a Non-GAAP basis, net loss for the fourth quarter of fiscal 2011 was $22.4 million, or $(0.45) per fully-diluted share, compared to a net loss for the third quarter of fiscal 2011 of $6.2 million or $(0.12) per fully-diluted share, and a net loss for the fourth quarter of fiscal 2010 of $14.9 million or $(0.29) per fully-diluted share. On a non-GAAP basis, net loss for fiscal 2011 was $53.5 million, or $(1.06) per fully-diluted share, compared to a net loss for fiscal 2010 of $98.4 million or $(1.96) per fully-diluted share. A reconciliation of GAAP to non-GAAP net loss and net loss per share is provided in the schedules included below.
Cash usage including stock repurchases for the fourth quarter was $19.3 million, compared to cash usage of $8.6 million for the third quarter of fiscal 2011 and cash usage of $24.2 million for the fourth quarter of fiscal 2010. Stock buyback for the fourth quarter was $7.5 million, compared to stock buyback of $5.5 million for the third quarter of fiscal 2011 and $0.6 million for the fourth quarter of fiscal 2010.
“During Q4 we faced deteriorating industry conditions in the DRAM industry as well as other parts of the PC supply chain, which resulted in significantly lower demand for our DRAM test products,” said Tom St. Dennis, CEO of FormFactor. “Despite these challenges, we remain focused on continued improvement in operational performance as well as new product development for the SOC market.”
The Company also today announced that Jim Prestridge has made the decision to not run for re- election as a director of the Company at its 2012 Annual Meeting of Stockholders.
Carl Everett, Chairman of the Board of FormFactor, stated: “We regretfully accepted Jim’s decision to step down as a director after our upcoming Annual Meeting. On behalf of the whole board, we thank Jim for his invaluable service and contribution to the Company over the past ten years. We will miss his guidance and contribution and wish Jim all the best in all his future endeavors.”
The company has posted its revenue breakdown by region and market segment on the Investors section of its website at www.formfactor.com. FormFactor will conduct a conference call at 1:30 p.m. PST, or 4:30 p.m. EST, today.
The public is invited to listen to a live webcast of FormFactor’s conference call on the Investors section of the company’s website at www.formfactor.com. A telephone replay of the conference call will be available approximately two hours after the conclusion of the call. The telephone replay will be available through February 09, 2012, 9:00 p.m. Pacific Standard Time, and can be accessed by dialing (855) 859-2056 (domestic) or (404) 537-3406 (international) and entering confirmation code 13947545. Additionally, the replay will be available on the Investors section of our website, www.formfactor.com.
Non-GAAP Financial Measures:
This press release highlights the company’s financial results on both a GAAP and a non-GAAP basis. The GAAP results include certain charges that are excluded from non-GAAP results. By publishing the non-GAAP measures, management intends to provide investors with additional information to further analyze the company’s performance, core results and underlying trends. FormFactor’s management evaluates results and makes operating decisions using both GAAP and non-GAAP measures included in this press release. Non-GAAP results are not prepared in accordance with GAAP, and non-GAAP information should be considered a supplement to, and not a substitute for, financial statements prepared in accordance with GAAP. Investors and potential investors are encouraged to review the reconciliation of non-GAAP financial measures to their most directly comparable GAAP measures attached to this press release.