Q3 Figures for 2013 Published
- Solid Order Intake of € 34.3 million
- Q3-Sales reached € 38.9 million
- EBIT improved to € 1.8 million
- Net Cash position increased to € 21.9 million
- Order Backlog of € 97.6 million
Garching, 7. November 2013 - SUSS MicroTec published its report for the third quarter of the fiscal year 2013 today. When looking at the third quarter only, order intake decreased from € 36.6 million to € 34.3 million. Sales decreased by 4.4% to € 38.9 million, compared to € 40.7 million in the corresponding quarter 2012. The EBIT increased by 12.5% in the third quarter to € 1.8 million after € 1.6 million in the previous year.
In the first three quarters of 2013 SUSS MicroTec generated sales of € 94.0 million, 13% less than the € 108.6 million of the prior year. Despite the volatile macroeconomic environment, order entry was robust but decreased year on year to € 105.9 million (prior year: € 117.0 million). This leads to an order backlog of € 97.6 million as of September 30, 2012 (September 30, 2012: € 102.4 million).
The group's largest division – Lithography – posted sales of € 64.9 million after € 81.1 million in the previous year. The Photomask Equipment division achieved sales of € 15.7 million (previous year: € 8.6 million). The Substrate Bonder division displayed lower sales of € 9.8 million after € 15.3 million in 2012.
Earnings before interest and tax (EBIT) came in at € -13.2 million (previous year: € 3.1 million). The EBIT for the first nine month of the year 2013 included a one-time effect of € -6.0 million. The one-time effect resulted from the refocusing of the product line permanent bonding. The write-offs are mainly on capitalized development costs, which originate from the years prior to 2008, as well as on no longer needed demonstration tools and inventories. The EBIT for the first nine months of the year 2012 included one-time currency effects of € -0.4 million. These effects result from the settlement of company-internal foreign currency credits by SÜSS MicroTec AG against SUSS MicroTec, Inc. in connection with the acquisition of Tamarack in March 2012. Adjusted EBIT for the first nine months of the year 2013 amounted to € -7.2 million (previous year: € 3.5 million). The weaker margins in the coater/developer division, especially the unfavorable product mix between 200mm and 300mm coating tools and the negative EBIT impact resulting from SUSS MicroTec Photonic Systems (former Tamarack Scientific) are weighing on the margins in 2013.
Earnings after taxes (EAT) for continued operations amounted to € -10.5 million, compared to 0.8 € million in the previous year. Earnings after taxes for the continued and discontinued operations amounted to € -10.5 million (prior year: 2.3 € million). The EAT for 2012 includes a tax free gain of € 1.5 million resulting from the sale of the Test Business in 2010. The basic earnings per share (EPS) for the continued and discontinued operations totaled -0.55 € (previous year: 0.04 €).Net liquidity amounted to € 21.9 million (September 30, 2012: € 30.7 million).
The Free Cash Flow for the first nine months, before security transactions and extraordinary effects as well as M&A transactions, was € -9.9 million (previous year: € -6.2 million). It includes the € 8.9 million purchase price (including ancillary costs) for the real estate in Garching.
Strategic Management Decision
Due to a reevaluation of the business situation in permanent bonding and the ongoing losses in this product line the management has decided to expand the restructuring measures, which have been taken in the second quarter this year, and to cease production of cluster systems for permanent bonding applications. The development and production of the successful manual permanent bonding systems are not affected by this strategic action. In this context one-off expenses of € 8.3 million can be expected in the fourth quarter 2013. This one-off effect includes € 6.7 million for write-offs on inventories (raw materials, unfinished goods as well as demonstration tools) and € 1.6 million of precautionary provisions formed for single customer projects. With this move the management expects to pronouncedly reduce the losses of the Substrate Bonding Division.
SUSS MicroTec announces a revision of the full year guidance 2013. The sales expectation of formerly € 150 million is revised to a bandwidth of € 125 to € 135 million. The reason is a potential delay in the sales recognition of several machines, which have already been shipped but are still waiting for final acceptance of the customer. The tools include temporary and permanent bond cluster systems for international customers. Due to the lower overall sales level, the EBIT will most likely not reach in the original range of minus € 10 to minus € 15 million. Taking the one-off expenses into account an EBIT in the range of minus € 22 to minus € 27 million can be expected. The EBIT for 2013 includes approximately € 14.3 million charges for the restructuring of the product line permanent bonding.
For the fourth quarter 2013, the Company expects a robust order intake in the range of € 30 to € 40 million.