-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, M2LNtWD8OLT1KiSbjEsoOtzNvs9NJhNx3w35FgRofMztFU5xi+M95cnthZcxjrtE odI0FZ2Xqs1d7V/1p/GqSg== 0000820318-03-000013.txt : 20030807 0000820318-03-000013.hdr.sgml : 20030807 20030806184539 ACCESSION NUMBER: 0000820318-03-000013 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20030630 ITEM INFORMATION: ITEM INFORMATION: Financial statements and exhibits FILED AS OF DATE: 20030807 FILER: COMPANY DATA: COMPANY CONFORMED NAME: II-VI INC CENTRAL INDEX KEY: 0000820318 STANDARD INDUSTRIAL CLASSIFICATION: OPTICAL INSTRUMENTS & LENSES [3827] IRS NUMBER: 251214948 STATE OF INCORPORATION: PA FISCAL YEAR END: 0630 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 000-16195 FILM NUMBER: 03827386 BUSINESS ADDRESS: STREET 1: 375 SAXONBURG BLVD CITY: SAXONBURG STATE: PA ZIP: 16056 BUSINESS PHONE: 724-352-4455 MAIL ADDRESS: STREET 1: 375 SAXONBURG BLVD CITY: SAXONBURG STATE: PA ZIP: 16056 8-K 1 r-8k063003.txt SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 8-K Current Report Pursuant to Section 13 or 15(d) of The Securities Exchange Act of 1934 Date of Report (date of earliest event reported): August 6, 2003 -------------- II-VI INCORPORATED ------------------ (Exact name of registrant as specified in its charter) Pennsylvania 0-16195 25-1214948 ------------ ------- ---------- (State or other jurisdiction (Commission (IRS Employer of incorporation) File Number) Identification Number) 375 Saxonburg Boulevard, Saxonburg, Pennsylvania 16056 ------------------------------------------------ ----- (Address of principal executive offices) (ZIP Code) Registrant's telephone number, including area code: 724-352-4455 ------------ Former name or former address, if changed, since last report: Not Applicable Item 7. Financial Statements and Exhibits --------------------------------- Exhibit No. Description - ---------- ----------- 12.1 Press Release Item 12. Results of Operations and Financial Condition --------------------------------------------- On August 6, 2003, II-VI Incorporated issued a press release announcing its financial results for the quarter and fiscal year ended June 30, 2003. A copy of the press release is furnished as Exhibit 12.1 to this report. SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized. II-VI INCORPORATED (Registrant) Date: August 6, 2003 By: /s/ Carl J. Johnson Chairman and Chief Executive Officer Date: August 6, 2003 By: /s/ Craig A. Creaturo Chief Accounting Officer and Treasurer EXHIBIT INDEX Exhibit No. Description - ----------- ----------- 12.1 Press Release EX-12 3 ex1201.txt August 6, 2003 Craig A. Creaturo Chief Accounting Officer and Treasurer (724) 352-4455 ccreaturo@ii-vi.com II-VI Homepage: www.ii-vi.com II-VI INCORPORATED REPORTS RECORD QUARTER AND FISCAL YEAR REVENUES AND EARNINGS PITTSBURGH, PA., August 6, 2003 -- II-VI Incorporated (NASDAQ NMS: IIVI) today reported results for its fourth fiscal quarter and fiscal year ended June 30, 2003. Net earnings for the quarter ended June 30, 2003 were a record $3,626,000 ($0.25 per share-diluted). These results compare with net earnings of $2,016,000 ($0.14 per share-diluted) in the fourth quarter of last fiscal year. For the fiscal year ended June 30, 2003, net earnings were a record $11,620,000 ($0.81 per share-diluted). This compares with net earnings of $7,264,000 ($0.51 per share-diluted) for the last fiscal year. Bookings for the quarter ended June 30, 2003 increased 17% to $32,359,000 from $27,594,000 in the fourth quarter of last fiscal year. Bookings for the fiscal year ended June 30, 2003 increased 16% to $136,337,000 from $117,047,000 for the last fiscal year. Bookings are defined as customer orders received that are expected to be converted into revenues during the next 12 months. Revenues for the quarter ended June 30, 2003 increased 9% to a record $32,852,000 from $30,108,000 in the fourth quarter of last fiscal year. Revenues for the fiscal year ended June 30, 2003 increased 13% to a record $128,210,000 from $113,688,000 for the last fiscal year. Francis J. Kramer, president and chief operating officer said, "We are pleased to have achieved record revenues and earnings for both the quarter and fiscal year ended June 30, 2003. Revenue growth reflects the general strength of our product offering and, more specifically, growth in our infrared optics business including the acquisition of a majority ownership in our distributor in Germany. Earnings increases resulted from a variety of factors, including improved production efficiencies, savings achieved through the consolidation of infrared optics operations, higher external research and development funding and significantly reduced interest expense." Kramer continued, "During this past fiscal year, we reduced total debt by nearly $11 million or over 30%. This was achieved through a combination of strong cash flow from operations and prudent capital expenditures. At June 30, 2003 the interest rate on the remainder of our outstanding debt approximated 2.5%." Segment Bookings and Revenues Bookings for the quarter ended June 30, 2003 for infrared optics increased approximately 20% to $18.0 million from $15.1 million in the fourth quarter of last fiscal year. Bookings for the fiscal year ended June 30, 2003 for infrared optics increased approximately 40% to $79.3 million from $55.7 million for the last fiscal year. Revenues for the quarter ended June 30, 2003 for infrared optics increased approximately 10% to $18.0 million from $16.3 million in the fourth quarter of the last fiscal year. Revenues for the fiscal year ended June 30, 2003 for infrared optics increased approximately 20% to $73.8 million from $61.8 million for the last fiscal year. Bookings for the quarter ended June 30, 2003 for near-infrared optics increased approximately 10% to $6.1 million from $5.6 million in the fourth quarter of last fiscal year. Bookings for the fiscal year ended June 30, 2003 for near-infrared optics increased approximately 5% to $24.8 million from $23.4 million for the last fiscal year. Revenues for the quarter ended June 30, 2003 for near- infrared optics increased to $6.1 million from $5.9 million in the fourth quarter of the last fiscal year. Revenues for the fiscal year ended June 30, 2003 for near-infrared optics increased to $22.8 million from $22.7 million for the last fiscal year. Bookings for the quarter ended June 30, 2003 for military optics decreased approximately 25% to $4.5 million from $6.0 million in the fourth quarter of the last fiscal year. Bookings for the fiscal year ended June 30, 2003 for military optics decreased approximately 20% to $23.1 million from $29.3 million for the last fiscal year. Revenues for the quarter ended June 30, 2003 for military optics increased approximately 10% to $6.6 million compared to $6.0 million in the fourth quarter of the last fiscal year. Revenues for the fiscal year ended June 30, 2003 for military optics increased approximately 5% to $23.0 million from $22.0 million for the last fiscal year. Combined bookings for the quarter ended June 30, 2003 for the eV PRODUCTS division and silicon carbide products were $3.8 million compared to $0.9 million in the fourth quarter of the last fiscal year. Combined bookings for the fiscal year ended June 30, 2003 for these same two groups were $9.2 million compared to $8.6 million for the last fiscal year. Revenues for the quarter ended June 30, 2003 from these two groups were $2.1 million compared to $2.0 million in the fourth quarter ended June 30, 2003 of the last fiscal year. Revenues for the fiscal year ended June 30, 2003 for these two groups were $8.6 million compared to $7.1 million for the last fiscal year. Outlook The Company's first fiscal quarter historically has displayed slight seasonality due to slower transaction flow from European and Japanese customers during these summer months. For the first fiscal quarter ending September 30, 2003, the Company currently forecasts revenues to range from $31 million to $33 million and earnings per share to range from $0.17 to $0.22. For the fiscal year ending June 30, 2004, the Company currently expects revenues to range from $138 million to $142 million and earnings per share to range from $0.88 to $0.96. As discussed in more detail below, actual results may differ from these forecasts due to factors such as changes in product demand, competition and general economic conditions. Webcast Information The Company will host a conference call at 10:00 a.m. EDT on Thursday, August 7, 2003 to discuss these results. The conference call will be broadcast live over the Internet and can be accessed by all interested parties from the Company's web site at www.ii-vi.com as well as at http://www.firstcallevents.com/service/ajwz386675737gf12.html. Please allow extra time prior to the call to visit the site and, if needed, download the media software required to listen to the Internet broadcast. A replay of the webcast will be available for 2 weeks following the call. Headquartered in Saxonburg, Pennsylvania, II-VI Incorporated designs, manufactures and markets optical and opto-electronic components, devices and materials for infrared, near-infrared, visible light, x-ray and gamma-ray instrumentation. The Company's infrared optics business manufactures optical and opto-electronic components sold under the II-VI and Laser Power brand names and used primarily in high-power CO2 lasers. The Company's near-infrared optics business manufactures near-infrared and visible light products for industrial, scientific and medical instruments and laser gain material and products for solid-state YAG and YLF lasers at the Company's VLOC subsidiary. The Company's military infrared optics business manufactures infrared products for military applications under the Exotic Electro-Optics brand name. The Company's eV PRODUCTS division manufactures and markets solid-state x-ray and gamma-ray detection materials and products for use in medical, industrial, environmental and scientific applications. The Company's Wide Band Gap Materials (WBG) group manufactures and markets single crystal silicon carbide substrates for use in solid- state lighting, wireless infrastructure, RF electronics and power switching industries. This press release contains forward-looking statements as defined by Section 21E of the Securities Exchange Act of 1934. Any information which is not historical in nature constitutes such forward-looking statements. Actual results may differ from the results described in any forward-looking statements due to, among other things, changes in market demand for infrared, near-infrared and military infrared optics, and products of the eV PRODUCTS division and Wide Band Gap Materials group, the Company's ability to maintain or increase market share, the Company's ability to effectively address market opportunities, and general market and economic conditions throughout the world. Additional information on potential factors that could affect the Company's financial results was included in the Company's Form 10-K/A for the year ended June 30, 2002 as filed with the Securities and Exchange Commission. CONTACT: Craig A. Creaturo, Chief Accounting Officer and Treasurer of II-VI Incorporated, 724-352-4455, or e-mail, ccreaturo@ii-vi.com. II-VI Incorporated and Subsidiaries Condensed Consolidated Statements of Earnings (Unaudited) (000 except per share data) Three Months Ended June 30, 2003 2002 -------- -------- Revenues Net sales $29,798 $27,948 Contract research and development 3,054 2,160 -------- -------- 32,852 30,108 Costs, Expenses & Other (Income) Expense Cost of goods sold 16,543 17,257 Contract research and development 3,234 2,302 Internal research and development 714 953 Selling, general and administrative 6,959 5,900 Interest expense 150 231 Other (income) expense, net (97) 1,424 -------- -------- 27,503 28,067 -------- -------- Earnings Before Income Taxes 5,349 2,041 Income Taxes 1,723 25 -------- -------- Net Earnings $ 3,626 $ 2,016 ======== ======== Diluted Earnings Per Share $ 0.25 $ 0.14 ======== ======== Average Shares Outstanding - Diluted 14,556 14,354 II-VI Incorporated and Subsidiaries Condensed Consolidated Statements of Earnings (Unaudited) (000 except per share data) Year Ended June 30, 2003 2002 -------- -------- Revenues Net sales $117,210 $106,061 Contract research and development 11,000 7,627 -------- -------- 128,210 113,688 -------- -------- Costs, Expenses & Other Expense Cost of goods sold 69,408 69,732 Contract research and development 10,436 6,905 Internal research and development 2,660 4,441 Selling, general and administrative 28,510 21,245 Interest expense 849 1,444 Other expense 297 411 -------- -------- 112,160 104,178 -------- -------- Earnings Before Income Taxes 16,050 9,510 Income Taxes 4,430 2,246 -------- -------- Net Earnings $ 11,620 $ 7,264 ======== ======== Diluted Earnings Per Share $ 0.81 $ 0.51 ======== ======== Average Shares Outstanding - Diluted 14,390 14,314 II-VI Incorporated and Subsidiaries Condensed Consolidated Balance Sheets (Unaudited) ($000) June 30, June 30, 2003 2002 ---------- --------- Assets Current Assets Cash and cash equivalents $ 15,583 $ 9,610 Accounts receivable, net 22,086 21,541 Inventories 24,384 19,741 Deferred income taxes 3,794 3,457 Other current assets 1,968 1,488 ---------- --------- Total Current Assets 67,815 55,837 Property, Plant & Equipment, net 57,954 60,711 Goodwill, net 28,987 28,987 Investments 1,792 1,850 Other Intangible Assets, net 4,643 3,233 Other Assets 1,602 1,283 ---------- --------- $162,793 $151,901 Liabilities and Shareholders' Equity Current Liabilities Accounts payable $ 6,115 $ 3,970 Current portion of long-term debt 6,923 5,068 Other current liabilities 14,577 11,053 ---------- --------- Total Current Liabilities 27,615 20,091 Long-Term Debt--less current portion 16,782 29,435 Other Liabilities, primarily deferred income taxes 6,875 4,715 Shareholders' Equity 111,521 97,660 ---------- --------- $162,793 $151,901 # # # # -----END PRIVACY-ENHANCED MESSAGE-----