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Cascade Microtech Inc. Reports Operating Results (10-Q)

August 06, 2009 | About:
10qk

Cascade Microtech Inc. (CSCD) filed Quarterly Report for the period ended 2009-06-30.

Cascade Microtech designs develops and manufactures advanced wafer probing solutions for the electrical measurement and test of integrated circuits or ICs. Cascade\'s engineering probe stations and analytical probes are used in research and development to perform precise electrical measurements on increasingly complex and high speed ICs. Cascade\'s production probe cards reduce manufacturing costs of complex and high speed ICs by identifying defective ICs early in the process and by testing multiple ICs concurrently. Cascade Microtech Inc. has a market cap of $57.3 million; its shares were traded at around $4.3 with and P/S ratio of 0.7.

Highlight of Business Operations:

Revenues decreased to $24.1 million in the first six months of 2009 compared to $40.0 million in the first six months of 2008, as uncertainty in the world economic environment impacted demand for semiconductors and semiconductor equipment. However, revenues increased to $12.6 million in the second quarter of 2009 compared to $11.5 million in the first quarter of 2009 as a result of increased sales of probes and sockets in the production market. The increase in probes and sockets sales resulted in an overall increase in gross margin to 37.9% in the second quarter of 2009 compared to 33.6% in the first quarter of 2009 as fixed overhead costs related to the production of probes and sockets were recovered.

Revenue decreased $6.7 million, or 34.6%, to $12.6 million in the three-month period ended June 30, 2009 compared to $19.3 million in the same period of 2008 and decreased $15.9 million, or 39.9%, to $24.1 million in the six-month period ended June 30, 2009 compared to $40.0 million in the same period of 2008.

Systems revenue decreased $3.6 million, or 37.0%, to $6.2 million in the three-month period ended June 30, 2009 compared to $9.8 million in the same period of 2008 and decreased $8.1 million, or 39.6%, to $12.3 million in the six-month period ended June 30, 2009 compared to $20.4 million in the same period of 2008.

Probes and Sockets revenue decreased $3.1 million, or 32.1%, to $6.4 million in the three-month period ended June 30, 2009 compared to $9.5 million in the same period of 2008 and decreased $7.9 million, or 40.1%, to $11.8 million in the six-month period ended June 30, 2009 compared to $19.7 million in the same period of 2008. These decreases were primarily the result of lower unit sales driven by the overall decrease in worldwide semiconductor production.

Cost of sales decreased $3.1 million, or 28.0%, to $7.8 million in the three-month period ended June 30, 2009 compared to $10.9 million in the same period of 2008 and decreased $6.5 million, or 29.3%, to $15.4 million in the six-month period ended June 30, 2009 compared to $21.9 million in the same period of 2008.

Research and development expenses decreased $1.0 million, or 35.7%, to $1.8 million in the three-month period ended June 30, 2009 compared to $2.8 million in the same period of 2008 and decreased $1.9 million, or 33.5%, to $3.8 million in the six-month period ended June 30, 2009 compared to $5.7 million in the same period of 2008.

Read the The complete ReportCSCD is in the portfolios of Arnold Schneider of Schneider Capital Management.

Rating: 4.0/5 (4 votes)

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