LIVERMORE, Calif., May 03, 2017 (GLOBE NEWSWIRE) -- FormFactor, Inc. (Nasdaq:FORM) today announced its financial results for the first quarter of fiscal 2017 ended April 1, 2017. Quarterly revenues were $128.8 million, up 4% from $123.9 million reported in the fourth quarter of fiscal 2016 and up 140% from $53.6 million for the first quarter of fiscal 2016.
“FormFactor delivered record quarterly revenue in the first quarter driven by robust demand from all our customers,” said Mike Slessor, CEO of FormFactor, Inc. “We continue to see strong momentum across all our product lines, as our large customers continue their technology node transitions and new design introductions. We are in a stronger position than we were one year ago, and are benefitting from significant scale, diversified market drivers, and a broad portfolio of leading test and measurement products. Our focus remains on execution to drive continued revenue growth and EPS expansion.”
First Quarter Highlights
On a GAAP basis, net income for the first quarter of fiscal 2017 was $5.2 million, or $0.07 per fully-diluted share, compared to a net loss for the fourth quarter of fiscal 2016 of ($15.4) million, or ($0.22) per fully-diluted share, and a net loss for the first quarter of fiscal 2016 of $(13.8) million, or $(0.24) per fully-diluted share.
On a non-GAAP basis, net income for the first quarter of fiscal 2017 was $17.3 million, or $0.24 per fully-diluted share, compared to a net income for the fourth quarter of fiscal 2016 of $14.4 million, or $0.20 per fully-diluted share, and net loss for the first quarter of fiscal 2016 of $(6.3) million, or $(0.11) per fully-diluted share. A reconciliation of GAAP to non-GAAP net income (loss) and net income (loss) per share is provided in the schedules included below.
Cash generation in the first quarter of fiscal 2017 was $13.0 million, compared to cash generation in the fourth quarter of fiscal 2016 of $2.1 million and cash usage of $(0.4) million for the first quarter of fiscal 2016. Free cash flow for the first quarter of fiscal 2017 was $15.5 million. A reconciliation of net cash provided from operating activities to free cash flow generation is provided in the schedules included below.
Dr. Slessor added, “We have grown incrementally more positive on our view of 2017 overall, and despite typical visibility challenges, we now expect revenues for the second half of 2017 to approach the revenue levels we are delivering in the first half.”
For the second quarter ending on July 1, 2017, FormFactor is providing the following guidance*:
|Revenue||$130 million to $138 million||—||$130 million to $138 million|
|Gross Margin||37% to 40%||$7.0 million||42% to 45%|
|Net income per diluted share||$0.08 to $0.14||$0.16||$0.24 to $0.30|
|*This guidance assumes consistent foreign currency rates|
|**Reconciling items are stock based compensation and amortization of intangibles and integration expenses|
The company has posted its revenue breakdown by region and market segment on the Investor Relations section of its website at www.formfactor.com. FormFactor will conduct a conference call at 1:30 p.m. PDT, or 4:30 p.m. EDT, today.
The public is invited to listen to a live webcast of FormFactor’s conference call on the Investor Relations section of the company’s web site at www.formfactor.com. A telephone recording of the conference call will be available approximately two hours after the conclusion of the call. The recording will be available by telephone through May 5, 2017, 8:30 p.m. PDT, and can be accessed by dialing (855) 859-2056 (domestic) or (404) 537-3406 (international) and entering confirmation code 7884430. The recording will also be available on the Investor Relations section of our website, www.formfactor.com.
Use of Non-GAAP Financial Information:
To supplement our condensed consolidated financial results prepared under generally accepted accounting principles, or GAAP, we disclose certain non-GAAP measures of non-GAAP net income (loss) and non-GAAP earnings per fully-diluted share that are adjusted from the nearest GAAP financial measure to exclude certain costs, expenses and gains. Reconciliations of the adjustments to GAAP results for the three months ended April 1, 2017 are provided below. Information regarding the ways in which management uses non-GAAP financial information to evaluate its business, management's reasons for using this non-GAAP financial information, and limitations associated with the use of non-GAAP financial information, is included under “About our Non-GAAP Net Income (loss) and Adjustments” following the tables below.
FormFactor, Inc. (NASDAQ:FORM), is a worldwide leader in essential test technologies and expertise, including a broad portfolio of high-performance probe cards, engineering probes, probe stations and reliability test systems. For semiconductor companies and scientific institutions, FormFactor delivers access to electrical information from wafers, integrated circuits (ICs), IC packages, optical devices, and more. Customers use FormFactor’s products and services to lower overall production costs, improve their yields, and enable complex next-generation ICs. The Company services customers through its network of facilities in Asia, Europe, and North America. For more information, visit the Company’s website at
This press release contains forward-looking statements within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995, including with respect to the Company’s future financial and operating results, the Company’s plans, strategies and objectives for future operations, the anticipated results of the acquisition of Cascade Microtech and anticipated stock repurchases. These statements are based on management’s current expectations and beliefs as of the date hereof, and are subject to a number of risks and uncertainties, many of which are beyond the Company’s control, that could cause actual results to differ materially from those described in the forward-looking statements. These forward-looking statements include, but are not limited to, statements concerning gross margins and profitability; future financial and operating results; benefits of the acquisition of Cascade Microtech; potential synergies and cost savings; the ability of the Company to drive growth and expand customer and partner relationships; the plans, strategies and objectives of the Company for future operations; the expected development, performance, market share or competitive performance relating to the Company’s products and services; anticipated stock repurchases; and other statements regarding the Company’s business. Forward-looking statements may contain words such as “may,” “might,” “will,” “expect,” “plan,” “anticipate,” and “continue,” the negative or plural of these words and similar expressions, and include the assumptions that underlie such statements. The following factors, among others, could cause actual results to differ materially from those described in the forward-looking statements: failure of the Company to realize the anticipated benefits of the acquisition of Cascade Microtech; the Company’s ability to remain in compliance with the terms of its debt financing; changes in demand for the Company’s products; industry seasonality; risks to the Company’s ability to realize operational efficiencies; changes in the market, macro-economic environments, and other factors, including those set forth in the Company’s most current annual report on Form 10-K, quarterly reports on Form 10-Q and other filings by the Company with the U.S. Securities and Exchange Commission. No assurances can be given that any of the events anticipated by the forward-looking statements will transpire or occur, or if any of them do so, what impact they will have on the results of operations or financial condition of the Company. Unless required by law, the Company is under no obligation (and expressly disclaims any such obligation) to update or revise its forward-looking statements whether as a result of new information, future events, or otherwise.