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Tegal Corporation Reports First Quarter Fiscal 2011 Financial Results

^{Published on 2010-08-13 06:11:25 - Market Wire}
 

PETALUMA, Calif.--([ BUSINESS WIRE ])--Tegal Corporation (NASDAQ:TGAL), an innovator of specialized production solutions for the fabrication of advanced MEMS, power ICs and optoelectronic devices, today announced financial results for the first quarter of fiscal year 2011, which ended June 30, 2010.

"Results of the restructuring of the Company that we have implemented over the past several months will not be fully realized until our December quarter, following the closing of our Petaluma manufacturing facility"

Revenues for the first quarter of fiscal 2011 were $0.3 million, a decrease from the $1.1 million for the same quarter last year and a decrease of $2.8 million from the fourth quarter of fiscal 2010. Tegal reported a net loss of ($2.5) million, or ($0.29) per share, for the quarter, compared to a net loss of ($2.6) million, or ($0.31) per share in the comparable quarter one year ago. The reported net loss for the fourth quarter fiscal 2010 was ($5.4) million or ($0.64) per share.

aResults of the restructuring of the Company that we have implemented over the past several months will not be fully realized until our December quarter, following the closing of our Petaluma manufacturing facility,a said Thomas Mika, President and CEO, Tegal Corporation. aStrategically, we continue to be focused on MEMS and TSV applications, while we seek partners that can take full advantage of our leading technical position in deep silicon etch. We are evaluating several strategic alternatives for the Company, including possible business combinations in these markets and in related, higher growth markets.a

Mr. Mika continued, aWhile still challenging, we do expect our results to improve next quarter. In Q1, we received an order for an additional Tegal 4200 SEa" DRIE cluster tool process module from a leading EU-based supplier of MEMS and Power IC devices. At the end of Q1, our systems backlog was $4.0M an increase of $1.8M from the beginning of the quarter.a

Cash at the end of the fiscal first quarter of 2011 was $6.2 million, a $1.1 million decrease from the end of the March quarter.

Safe Harbor Statement

Except for historical information, matters discussed in this news release contain forward-looking statements within the meaning of Section 27A of the Securities Act and Section 21E of the Exchange Act. Forward-looking statements, which are based on assumptions and describe our future plans, strategies and expectations, are generally identifiable by the use of the words "anticipate," "believe," "estimate," "expect," "intend," "project" or similar expressions. These forward-looking statements are subject to risks, uncertainties and assumptions about the Company including, but not limited to industry conditions, economic conditions, acceptance of new technologies and market acceptance of the Company's products and services. All forward-looking statements attributable to us or persons acting on our behalf are expressly qualified in their entirety by the cautionary statements in this paragraph. For a further discussion of these risks and uncertainties, please refer to the Company's periodic filings with the Securities and Exchange Commission.

About Tegal Corporation

Tegal is an innovator of specialized production solutions for the fabrication of advanced MEMS, power ICs and optoelectronic devices found in products like smart phones, networking gear, and digital imaging. The Companya™s plasma etch tools enable sophisticated manufacturing techniques, such as 3D interconnect structures formed by intricate silicon etch, also known as Deep Reactive Ion Etching (DRIE). Tegal combines proven expertise with practical system strategies to deliver application-specific solutions that are robust and reliable, and deliver exceptional process quality and high yields at a lower overall cost of ownership. Headquartered in Petaluma, California, the company has more than 35 years of expertise and innovation in specialized technologies, over 100 patents, and has shipped and installed more than 1900 systems worldwide. Please visit us on the web at [ www.tegal.com ].