Attached files
Exhibit 99.1
[LOGO]AEHR TEST SYSTEMS
FOR IMMEDIATE RELEASE
Aehr Test Systems Investor Relations Contact:
Ken Spink Todd Kehrli or Jim Byers
Chief Financial Officer MKR Group, Inc.
(510) 623-9400 x309 (323) 468-2300
aehr@mkr-group.com
Aehr Test Systems Reports Financial Results for the Fourth Quarter and
Fiscal Year Ended May 31, 2016
Begins Fiscal 2017 With Strong Bookings Momentum
Fremont, CA (July 26, 2016) - Aehr Test Systems (NASDAQ: AEHR), a worldwide
supplier of semiconductor test and burn-in equipment, today announced
financial results for its fourth quarter and fiscal year ended May 31,
2016.
Fiscal Year Financial Results:
- Net sales were $14.5 million, up 45% from $10.0 million in fiscal 2015.
- GAAP net loss was $6.8 million, or $0.52 loss per diluted share, compared
to a GAAP net loss of $6.6 million, or $0.55 loss per diluted share, in
fiscal 2015
- Non-GAAP net loss was $5.8 million, or $0.44 loss per diluted share,
compared to a non-GAAP net loss of $5.7 million, or $0.47 loss per diluted
share, in fiscal 2015.
Fiscal Fourth Quarter Results:
- Net sales were $1.6 million, compared to $1.8 million in the fourth
quarter of fiscal 2015.
- GAAP net loss was $3.1 million, or $0.23 loss per diluted share, compared
to a GAAP net loss of $1.9 million, or $0.15 loss per diluted share, in
the same quarter a year ago.
- Non-GAAP net loss was $2.8 million, or $0.21 loss per diluted share,
compared to a non-GAAP net loss of $1.6 million, or $0.13 loss per diluted
share, in the same quarter a year ago.
An explanation of the use of non-GAAP financial information and a
reconciliation of the non-GAAP financial measures to the most directly
comparable GAAP financial measures can be found in this release.
Recent Business Highlights:
- Received order for new FOX-XPTM production test cell totaling over $4.5
million that includes a FOX-XP Multi-Wafer Test and Burn-in System, a
FOX-XP WaferPakTM Aligner, and an initial set of FOX-XP WaferPak
Contactors.
- Shipped initial FOX-1P Single-Wafer Test System to lead customer for
final on-site qualification and acceptance.
- Received follow-on order of more than $500,000 for multiple WaferPak
full-wafer contactors for FOX-15 Multi-Wafer Burn-In and Test Systems
from a leading supplier of automotive and
Aehr Test Systems Reports Financial Results for the Fourth Quarter and
Fiscal Year Ended May 31, 2016
July 26, 2016
Page 2 of 6
industrial integrated circuits.
- Received $4 million in follow-on orders for multiple ABTSTM Burn-in and
Test Systems from a leading multi-national integrated circuit
manufacturer.
Gayn Erickson, President and CEO of Aehr Test Systems, commented:
"We continue to make significant progress on the rollout of our next
generation FOX-P platform of wafer level test and burn-in products, and
we move into fiscal 2017 with greater optimism and expectations for a
stronger year with significant bookings and revenue growth.
"We delivered to and received customer acceptance of our first FOX-XP
Wafer Level Test and Burn-in System, multiple WaferPak Contactor designs
and applications programs from our initial lead customer last quarter.
This system and the WaferPak Contactors are being used for reliability
and qualification test of integrated devices intended for a very high
volume application. With the initial single slot system ordered, delivered
and approved, and the success of the device qualification tests that are
being run on this system, we are expecting production orders from this
customer to meet their first quarter of calendar 2017 capacity needs,
with a capacity ramp continuing through calendar 2018.
"In early June, we received the first order for our FOX-XP production
test cell, totaling over $4.5 million, which includes a FOX-XP system
configured to enable up to 18 wafers to be burned in and tested
simultaneously. This second lead customer is one of the world's largest
semiconductor manufacturers and is forecasting device capacity growth
that will drive the need for additional production burn-in capacity for
multiple years into the future.
"During the quarter, we also received approval from our lead customer
for our initial FOX-1P Single Wafer Test System and we have now shipped
this system to the customer's facility for final acceptance. While our
development and checkout of this next generation system with this customer
has taken longer than planned, the pre-shipment qualification testing
by the customer was very thorough and we expect a smooth acceptance of
this initial system at the customer's site. Shipment of the multiple
follow-on production systems already in backlog and in final integration
and test on our manufacturing floor is expected within the next quarter.
"As we announced in a separate release today, we have received $4 million
in follow-on orders for our Advanced Burn-in and Test Systems (ABTS) from
a major semiconductor customer, which is encouraging for our base business.
The customer is running at full capacity in their production burn-in area
and needed to add capacity both to satisfy increasing demand for existing
products and for products that are just beginning their production ramp.
"We are off to a strong start for fiscal 2017 and see bookings momentum
building with over $8.5 million in bookings this fiscal quarter, which
began June 1st. We are excited to have two top tier lead customers for
our FOX-XP systems that represent a significant opportunity for Aehr Test,
not only with the initial applications but also with other application
areas at both of these customers.
"With our new product offerings, Aehr Test offers a differentiated solution
and compelling value proposition with our full turnkey application to
address the new opportunities in the mobile, automotive, sensors, and
IOT markets. Our ability to cost effectively test devices in wafer form
or devices that are too small to handle in traditional packaged part burn-in
system creates a significant opportunity for us moving forward."
Aehr Test Systems Reports Financial Results for the Fourth Quarter and
Fiscal Year Ended May 31, 2016
July 26, 2016
Page 3 of 6
Management Conference Call
Aehr Test Systems will host a conference call and webcast today at 5:00
p.m. Eastern (2:00 p.m. PT) to discuss its fiscal 2016 fourth quarter
and full year operating results. To access the call dial 888-510-1785
(+1 719-457-2661 outside the United States) and give the participant pass
code 4651520. In addition, a live and archived webcast of the conference
call will be available over the Internet at www.aehr.com in the Investor
Relations section. A replay of the conference call will also be available
via telephone beginning approximately two hours after conclusion of the
call through 8:00 p.m. ET on August 2, 2016. To access the replay dial-in
information, please click here.
About Aehr Test Systems
Headquartered in Fremont, California, Aehr Test Systems is a worldwide
provider of test systems for burning-in and testing logic and memory
integrated circuits and has an installed base of more than 2,500 systems
worldwide. Increased quality and reliability needs of the Automotive
and Mobility integrated circuit markets are driving additional test
requirements, capacity needs and opportunities for Aehr Test products
in package and wafer level test. Aehr Test has developed and introduced
several innovative products, including the ABTSTM and FOX families of
test and burn-in systems and WaferPak contactors. The ABTS systems
are used in production and qualification testing of packaged parts for
both low-power and high-power logic as well as memory devices. The
FOX family of systems includes single and multi-wafer full wafer contact
test and burn-in systems used for burn-in and functional test of complex
devices, such as leading-edge memories, digital signal processors,
microprocessors, microcontrollers and systems-on-a-chip. The WaferPak
contactor contains a unique full wafer probe card capable of testing
wafers up to 300mm that enables IC manufacturers to perform test and
burn-in of full wafers on Aehr Test FOX systems. For more information,
please visit Aehr Test's website at www.aehr.com.
Safe Harbor Statement
This press release contains certain forward-looking statements based
on current expectations, forecasts and assumptions that involve risks
and uncertainties. These statements are based on information available
to Aehr Test as of the date hereof and actual results could differ
materially from those stated or implied due to risks and uncertainties.
Forward-looking statements include statements regarding Aehr Test's
expectations, beliefs, intentions or strategies regarding the future
including statements regarding future market opportunities and conditions,
expected product shipment dates, customer orders or commitments and future
operating results. The risks and uncertainties that could cause Aehr Test's
results to differ materially from those expressed or implied by such
forward-looking statements include, without limitation, general market
conditions, customer demand and acceptance of Aehr Test's products and
Aehr Test's ability to execute on its business strategy. See Aehr Test's
recent 10-K, 10-Q and other reports from time to time filed with the
Securities and Exchange Commission for a more detailed description of the
risks facing Aehr Test's business. Aehr Test disclaims any obligation
to update information contained in any forward-looking statement to
reflect events or circumstances occurring after the date of this press
release.
-Financial Tables to Follow-
Aehr Test Systems Reports Financial Results for the Fourth Quarter and
Fiscal Year Ended May 31, 2016
July 26, 2016
Page 4 of 6
AEHR TEST SYSTEMS AND SUBSIDIARIES
Condensed Consolidated Statements of Operations
(in thousands, except per share data)
(unaudited)
Three Months Ended Year Ended
---------------------------- -------------------
May 31, Feb 29, May 31, May 31, May 31,
2016 2016 2015 2016 2015
-------- --------- -------- -------- ---------
Net sales $ 1,571 $ 1,677 $ 1,818 $ 14,501 $ 10,018
Cost of sales 1,669 1,508 1,136 9,356 6,180
-------- -------- -------- -------- --------
Gross (loss) profit (98) 169 682 5,145 3,838
-------- -------- -------- -------- --------
Operating expenses:
Selling, general and administrative 1,722 1,695 1,526 6,975 6,470
Research and development 1,046 1,293 967 4,324 4,062
-------- -------- -------- -------- --------
Total operating expenses 2,768 2,988 2,493 11,299 10,532
-------- -------- -------- -------- --------
Loss from operations (2,866) (2,819) (1,811) (6,154) (6,694)
Interest expense (168) (165) (101) (605) (130)
Other (expense) income, net (23) (24) 10 (16) 211
-------- -------- -------- -------- --------
Loss before income tax
benefit (expense) (3,057) (3,008) (1,902) (6,775) (6,613)
Income tax benefit (expense) 1 33 2 (10) (34)
-------- -------- -------- -------- --------
Net loss (3,056) (2,975) (1,900) (6,785) (6,647)
Less: Net income attributable to the
noncontrolling interest -- -- -- -- --
-------- -------- -------- -------- --------
Net loss attributable to
Aehr Test Systems common
shareholders $(3,056) $ (2,975) $(1,900) $(6,785) $ (6,647)
======== ======== ======== ======== ========
Net loss per share
Basic $ (0.23) $ (0.23) $ (0.15) $ (0.52) $ (0.55)
Diluted $ (0.23) $ (0.23) $ (0.15) $ (0.52) $ (0.55)
Shares used in per share calculations:
Basic 13,190 13,164 12,751 13,091 12,047
Diluted 13,190 13,164 12,751 13,091 12,047
-more-
Aehr Test Systems Reports Financial Results for the Fourth Quarter and
Fiscal Year Ended May 31, 2016
July 26, 2016
Page 5 of 6
AEHR TEST SYSTEMS AND SUBSIDIARIES
Reconciliation of GAAP and Non-GAAP Results
(in thousands, except per share data)
(unaudited)
Three Months Ended Year Ended
-------------------------- -----------------
May 31, Feb 29, May 31, May 31, May 31,
2016 2016 2015 2016 2015
-------- -------- -------- -------- --------
GAAP net loss $(3,056) $(2,975) $(1,900) $(6,785) $(6,647)
Stock-based compensation expense 230 213 303 1,016 997
------- ------- ------- ------- -------
Non-GAAP net loss $(2,826) $(2,762) $(1,597) $(5,769) $(5,650)
======= ======= ======= ======= =======
GAAP net loss per diluted share $ (0.23) $ (0.23) $ (0.15) $ (0.52) $ (0.55)
======= ======= ======= ======= =======
Non-GAAP net loss per diluted share $ (0.21) $ (0.21) $ (0.13) $ (0.44) $ (0.47)
======= ======= ======= ======= =======
Shares used in diluted shares calculation 13,190 13,164 12,751 13,091 12,047
======= ======= ======= ======= =======
Shares used in non-GAAP diluted shares
calculation 13,190 13,164 12,751 13,091 12,047
======= ======= ======= ======= =======
______________________________________________________________________
Non-GAAP net loss is a non-GAAP measure and should not be considered a
replacement for GAAP results. Non-GAAP net loss is a financial measure
the Company uses to evaluate the underlying results and operating performance
of the business. The limitation of this measure is that it excludes items
that impact the Company's current period net income. This limitation is best
addressed by using this measure in combination with net loss (the most directly
comparable GAAP financial measure). These measures are not in accordance
with GAAP and may differ from non-GAAP methods of accounting and reporting
used by other companies.
We believe these measures enhance investors' ability to review the company's
business from the same perspective as the company's management and facilitate
comparisons of this period's results with prior periods.
-more-
Aehr Test Systems Reports Financial Results for the Fourth Quarter and
Fiscal Year Ended May 31, 2016
July 26, 2016
Page 6 of 6
AEHR TEST SYSTEMS AND SUBSIDIARIES
Condensed Consolidated Balance Sheets
(in thousands, except per share data)
(unaudited)
May 31, February 29, May 31,
2016 2016 2015
----------- ---------- --------
ASSETS
Current assets:
Cash and cash equivalents $ 939 $ 2,472 $ 5,527
Accounts receivable, net 522 1,947 1,383
Inventories 7,033 7,378 7,123
Prepaid expenses and other 254 297 262
-------- -------- --------
Total current assets 8,748 12,094 14,295
Property and equipment, net 1,204 1,251 478
Other assets 94 94 95
-------- -------- --------
Total assets $10,046 $13,439 $14,868
======== ======== ========
LIABILITIES AND SHAREHOLDERS' EQUITY (DEFICIT)
Current liabilities:
Line of credit $ 1,100 $ 2,000 $ --
Current portion of long-term debt 4,862 -- --
Accounts payable 1,413 1,883 724
Accrued expenses 1,553 1,458 1,045
Customer deposits and deferred revenue, short-term 1,714 2,026 4,750
-------- -------- --------
Total current liabilities 10,642 7,367 6,519
Long-term debt -- 3,917 3,791
Income taxes payable -- -- 8
Deferred revenue, long-term 127 127 --
-------- -------- --------
Total liabilities 10,769 11,411 10,318
Aehr Test Systems Shareholders' equity (deficit) (703) 2,047 4,568
Noncontrolling interest (20) (19) (18)
-------- -------- --------
Total shareholders' equity (deficit) (723) 2,028 4,550
-------- -------- --------
Total liabilities and
shareholders' equity (deficit) $10,046 $13,439 $14,868
======== ======== ========
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