Year end revenues up 28% Year over Year; Company Reports Non-GAAP
Net Income of $550,000 or $0.02 Per Share ANN ARBOR, Mich., June 29
/PRNewswire-FirstCall/ -- Advanced Photonix, Inc.(R) (NYSE Amex:
API) (the "Company") today reported its fourth quarter and year end
fiscal 2009 results ending March 31, 2009. Financial Highlights for
the Fourth Quarter and Fiscal Year Ended March 31, 2009 -- Net
Sales for the quarter were $6.1 million, an increase of $875,000,
16.7% over the fourth quarter ended March 31, 2008. The increase
was led by military sales (up 79%). -- Net sales for the fiscal
year were $29.7 million, an increase of 28% over the prior year.
The increase was broad based across the Company's markets, led by
the military, telecommunications and industrial/non destructive
testing markets. -- Gross profit margin for Q4 2009 was 38% of
sales compared to 34% for the quarter ended March 31, 2008. This
improvement in gross profit margin was due primarily to higher
revenues and product mix. -- Gross profit margin for the year to
date was 44% compared to 38% for the prior year. -- The operating
loss for the quarter narrowed to $1.4 million as compared to an
operating loss of $1.9 million for the quarter ended March 31,
2008. -- Operating loss year to date was $1.7 million compared to
an operating loss of $6.0 million for the prior year. -- Quarterly
net loss was $1.5 million or $0.06 per diluted share, as compared
to a net loss of $3.1 million, or $0.13 per diluted share, for the
quarter ended March 31, 2008. -- Net loss for the year was $2.0
million or $0.08 per diluted share, as compared to $9.6 million, or
$0.44 per diluted share for the prior year period. -- The Non-GAAP
net loss for the fourth quarter of fiscal 2009 was $884,000 or
$0.04 per diluted share, as compared to a Non-GAAP net loss of $1.1
million or $.05 per diluted share, for the fourth quarter last
year. The Company reported full-year Non-GAAP net income of
$550,000, or $0.02 per diluted share, as compared to a Non-GAAP
loss of $2.4 million, or $0.11 per diluted share, for the
comparable prior year period. -- EBITDA (which is defined as GAAP
earnings before interest, taxes, depreciation, and amortization),
was a negative $603,000 for the fourth quarter of fiscal 2009 as
compared to a negative EBITDA of $1 million for the quarter ended
March 31, 2008. For the year to date, the Company reported positive
EBITDA of $1.6 million as compared to a negative EBITDA of $2.8
million for the comparable prior-year period. Richard Kurtz,
Chairman and Chief Executive Officer, commented, "We are pleased
with the results of our fiscal year, especially considering these
tough economic times. We are particularly proud to have reported
significant revenue growth, non-GAAP earnings of $0.02 per share,
an improvement of $0.13 per share, and growth in EBITDA of $4.4
million. In these uncertain and difficult times, we are fortunate
to have three product platforms that are all contributing to help
meet our growth targets. As our platform revenue mix changes next
year, we expect to see ongoing improvement in revenues and EBITDA
growth. The start of our fiscal year will be slower mainly due to
the macroeconomic environment, but the growth of our HSOR and the
stability of our other product platforms will support our growth
plans and we remain cautiously optimistic that we can continue to
grow despite the generally adverse economic conditions." Operating
Expenses The Company's total operating expenses for the quarter
were $3.8 million, essentially flat compared to the $3.7 million
reported for the fourth quarter last year. As a percent of revenue,
total operating expenses were 61.4% compared to 70.0% for the
fourth quarter last year, demonstrating operating leverage inherent
in the Company's business model. For the year, total operating
expenses were $14.6 million, or 49.2% of revenue, compared to $14.9
million, or 64.1% of revenue last year. Balance Sheet The Company
completed the year with $2.6 million in cash compared to $1.6
million as of March 31, 2008. Working capital as of March 31, 2009
was $4.1 million and the Company reported a current ratio of 1.7 to
1. The Company will hold a conference call to discuss the results
for the fourth quarter and fiscal year ended March 31, 2009 on
Monday, June 29, 2009, at 4:30 PM EST. Participants can dial into
the conference call at 888.679.8035 (617.213.4848) for
international) using the passcode 35004386. A question and answer
period will take place at the end of the discussion. Participants
may pre-register for the call at
http://phx.corporate-ir.net/playerlink.zhtml?c=99458&s=wm&e=2285796
Pre-registrants will be issued a pin number to use when dialing
into the live call which will provide quick access to the
conference by bypassing the operator upon connection. The call will
be webcast live by CCBN and can be accessed at Advanced Photonix's
web site at http://investor.advancedphotonix.com/ or at
http://www.earnings.com/. Forward-looking Statements: The
information contained herein includes forward looking statements
that are based on assumptions that management believes to be
reasonable but are subject to inherent uncertainties and risks
including, but not limited to, risks associated with the move of
our wafer fabrication facilities, technological obsolescence of
existing product lines and technological obstacles which may
prevent or slow the development and/or manufacture of new products,
limited (or slower than anticipated) customer acceptance of new
products which have been and are being developed by the Company and
a decline in the general demand for optoelectronic products.
CONSOLIDATED BALANCE SHEETS Assets March 31, 2009 March 31, 2008
Current Assets: Cash and cash equivalents $2,572,000 $1,582,000
Accounts receivable, net of allowance 3,284,000 3,202,000
Inventories, net of allowances 3,669,000 4,131,000 Prepaid expenses
and other current Assets 252,000 195,000 Total current assets
9,777,000 9,110,000 Equipment & Leasehold Improvements, at cost
11,470,000 10,847,000 Accumulated depreciation (7,148,000)
(6,090,000) Net Equipment and Leasehold Improvements 4,322,000
4,757,000 Goodwill, net of accumulated amortization 4,579,000
4,579,000 Patents, net 705,000 538,000 Intangible assets, net
8,270,000 10,333,000 Deferred tax asset, net of current portion - -
Other assets 388,000 386,000 Total assets $28,041,000 $29,703,000
Liabilities and shareholders' equity Current liabilities Line of
credit $- $1,300,000 Accounts payable and accrued expenses
2,485,000 2,066,000 Compensation and related withholdings 1,037,000
527,000 Current portion of long-term debt-related parties 1,401,000
900,000 Current portion of long-term debt 787,000 522,000 Total
current liabilities 5,710,000 5,315,000 Long term debt, less
current portion 2,992,000 3,706,000 Long term debt, bank line of
credit 1,394,000 - Long term debt, less current portion-related
parties - 951,000 Total liabilities 10,096,000 9,972,000
Shareholders' equity Class A common stock, $.001 par value,
50,000,000 shares authorized 2009 - 24,089,726 shares issued and
outstanding; 2008 - 23,977,678 shares issued and outstanding 24,000
24,000 Additional paid-in capital 52,400,000 52,150,000 Accumulated
deficit (34,479,000) (32,443,000) Total shareholders' equity
17,945,000 19,731,000 Total liabilities and shareholders' equity
$28,041,000 $29,703,000 Consolidated Statement of Operations Three
months ended Twelve months ended March 31, March 31, March 31,
March 31, 2009 2008 2009 2008 Net Sales $6,111,000 $5,236,000
$29,675,000 $23,215,000 Cost of Sales 3,778,000 3,451,000
16,744,000 14,340,000 Gross Margin 2,333,000 1,785,000 12,931,000
8,875,000 Other Operating Expenses Research & Development
1,355,000 1,272,000 4,676,000 4,218,000 General &
Administrative 1,119,000 1,035,000 4,871,000 4,593,000 Amortization
520,000 493,000 2,081,000 1,963,000 Goodwill/Intangible impairment
- - - - Wafer Fab Consolidation 35,000 224,000 300,000 1,256,000
Dodgeville Consolidation - - - 534,000 Sales & Marketing
724,000 645,000 2,659,000 2,312,000 Total Other Operating Expenses
3,753,000 3,669,000 14,587,000 14,876,000 Net Operating Loss
(1,420,000) (1,884,000) (1,656,000) (6,001,000) Other (Income)
& Expense Other (Income)/Expense - (49,000) 2,000 (23,000)
Income tax - deferred - 1,225,000 - 1,225,000 Interest Income
(3,000) (14,000) (28,000) (96,000) Interest Expense-Related Parties
17,000 34,000 94,000 162,000 Interest Expense - Warrant discount -
- - 1,672,000 Interest Expense 63,000 59,000 311,000 687,000 Other
(Income) & Expense 77,000 1,255,000 379,000 3,627,000 Net Loss
$(1,497,000) $(3,139,000) $(2,035,000) $(9,628,000) Net earnings
per share $(0.06) $(0.13) $(0.08) $(0.44) Diluted earnings per
share $(0.06) $(0.13) $(0.08) $(0.44) Weighted number of shares
outstanding 24,121,000 23,926,000 24,074,000 21,770,000
Anti-diluted weighted number of shares 24,177,000 24,352,000
24,130,000 22,195,000 Non-GAAP Financial Measures The Company
provides Non-GAAP Net Income and EBITDA as supplemental financial
information regarding the Company's operational performance. These
Non-GAAP financial measures are not in accordance with, or an
alternative for, generally accepted accounting principles in the
United States. Non-GAAP Net Income and EBITDA should not be
considered in isolation from or as a substitute for financial
information presented in accordance with generally accepted
accounting principles, and may be different from similar measures
used by other companies. Reconciliation of Non-GAAP Net Income and
EBITDA to GAAP net income and loss are set forth in the financial
schedule section below. Reconciliation of Non-GAAP Income to GAAP
Income Three months ended Twelve months ended March 31, March 31,
March 31, March 31, 2009 2008 2009 2008 Net Income (Loss)
$(1,497,000) $(3,139,000) $(2,035,000) $(9,628,000) Add Back:
Interest Expense - Convertible notes - - - 268,000 Interest expense
- Warrant (Fair Value) - - - 1,672,000 Amortization - prepaid
finance expense - 70,000 - 70,000 Amortization -
intangibles/patents 520,000 493,000 2,081,000 1,963,000 Stock
Option Compensation Expense 58,000 28,000 204,000 230,000 Income
Taxes - deferred - 1,225,000 - 1,225,000 Other Expense - DV
Consolidation - - - 534,000 Other Expense - Wafer Fabrication
35,000 224,000 300,000 1,256,000 Subtotal - Add backs 613,000
2,040,000 2,585,000 7,218,000 Non-GAAP Income $(884,000)
$(1,099,000) $550,000 $(2,410,000) Net earnings per share $(0.04)
$(0.05) $0.02 $(0.11) Diluted earnings per share $(0.04) $(0.05)
$0.02 $(0.11) Weighted Number of shares outstanding 24,121,000
23,926,000 24,074,000 21,770,000 Diluted shares outstanding
24,177,000 24,352,000 24,130,000 22,195,000 Reconciliation of
EBITDA to GAAP income/(loss) Three months ended Twelve months ended
March 31, March 31, March 31, March 31, 2009 2008 2009 2008 Net
Income (Loss) $(1,497,000) $(3,139,000) $2,035,000) $(9,628,000)
Add Back: Net Interest expense (income) 78,000 80,000 377,000
753,000 Interest expense - Warrant (Fair Value) - - - 1,672,000
Depreciation Expense 296,000 272,000 1,157,000 1,130,000 Income
Taxes - deferred - 1,225,000 - 1,225,000 Amortization - prepaid
finance expense - 70,000 - 70,000 Amortization 520,000 493,000
2,081,000 1,963,000 Subtotal - Add backs 894,000 2,140,000
3,615,000 6,813,000 EBITDA $(603,000) $(999,000) $1,580,000
$(2,815,000) Advanced Photonix, Inc.(R) (NYSE Amex API) is a
leading vertically integrated optoelectronic semiconductor
manufacturer of optoelectronic solutions, high-speed optical
receivers and terahertz instrumentation to a global OEM customer
base. Products include patented silicon (Si), indium phosphide
(InP) and gallium arsinide (GaAs) based APD, PIN, and FILTRODE(R)
photodetectors; high-speed optical receivers; and the T-Ray(TM)
4000 THz product platform. More information on Advanced Photonix
can be found at http://www.advancedphotonix.com/. Contact: Richard
Kurtz, Advanced Photonix, Inc. (734) 864-5600 Cameron Donahue,
Hayden IR (651) 653-1854 DATASOURCE: Advanced Photonix, Inc.
CONTACT: Richard Kurtz of Advanced Photonix, Inc., +1-734-864-5600;
or Cameron Donahue of Hayden IR, +1-651-653-1854, for Advanced
Photonix, Inc. Web Site: http://www.advancedphotonix.com/
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