Teradyne Reports Revenue Growth in Second Quarter and First Half 2016

Teradyne, Inc. (NYSE: TER) reported revenue of $532 million for the second quarter of 2016 of which $435 million was in Semiconductor Test, $49 million in System Test, $25 million in Industrial Automation, and $22 million in Wireless Test. GAAP net loss for the second quarter was $(223.5) million or $(1.10) per share, which included a Wireless Test goodwill and intangible asset impairment charge of $338.3 million. On a non-GAAP basis, Teradyne’s net income in the second quarter was $112.4 million, or $0.55 per diluted share, which excluded the Wireless Test goodwill and intangible asset impairment charge as well as acquired intangible asset amortization, restructuring and other charges and discrete income tax adjustments.

Orders in the second quarter of 2016 were $471 million of which $391 million were in Semiconductor Test, $30 million in System Test, $26 million in Industrial Automation, and $23 million in Wireless Test.

“Strong customer demand for our semiconductor test products drove second quarter revenue to the highest level in 4 years and contributed to our highest first half revenue in 15 years,” said CEO and President Mark Jagiela. “On the bookings front, we saw continued solid System-on-a-Chip test demand in the mobile device market, record orders for our Magnum family of memory test systems, and another quarter of explosive growth in collaborative robot demand.

“At the same time, we’ve seen a significant decline in the projected size of the wireless production test market served by our Wireless Test segment. In light of this, we’ve written down the goodwill and intangible asset carrying values of this segment. While disappointing, we’re taking the actions necessary to put the business on a solid financial foundation for the future.

“Looking ahead, our guidance for the third quarter reflects continued strength in Industrial Automation, seasonal patterns in Semiconductor Test, and continued weakness in Wireless Test.”

Guidance for the third quarter of 2016 is revenue of $375 million to $405 million, with GAAP net income of $0.22 to $0.30 per diluted share and non-GAAP net income of $0.23 to $0.30 per diluted share. Non-GAAP guidance excludes acquired intangible asset amortization and includes non-GAAP tax adjustments.

Webcast

A conference call to discuss the second quarter results, along with management's business outlook, will follow at 10 a.m. ET, Thursday, July 28. Interested investors should access the webcast at www.teradyne.com and click on "Investors" at least five minutes before the call begins. Presentation materials will be available starting at 10 a.m. ET. A replay will be available on the Teradyne website at www.teradyne.com/investors.

Non-GAAP Results

In addition to disclosing results that are determined in accordance with GAAP, Teradyne also discloses non-GAAP results of operations that exclude certain income items and charges. These results are provided as a complement to results provided in accordance with GAAP. Non-GAAP income from operations and non-GAAP net income exclude goodwill and intangible asset impairment charges, acquired intangible asset amortization, pension actuarial gains and losses, fair value inventory step-up related to Universal Robots, discrete income tax adjustments, restructuring and other, and a gain from the sale of an equity investment. GAAP requires that these items be included in determining income from operations and net income. Non-GAAP income from operations, non-GAAP net income, non-GAAP income from operations and non-GAAP net income as a percentage of revenue, and non-GAAP net income per share are non-GAAP measures presented to provide meaningful supplemental information regarding Teradyne's baseline performance before gains, losses or other charges that may not be indicative of Teradyne’s current core business or future outlook. These non-GAAP measures are used to make operational decisions, to determine employee compensation, to forecast future operational results, and for comparison with Teradyne’s business plan, historical operating results and the operating results of Teradyne’s competitors. Non-GAAP gross margin excludes pension actuarial gains and losses. GAAP requires that these items be included in determining gross margin. Non-GAAP gross margin dollar amount and percentage are non-GAAP measures that management believes provide useful supplemental information for management and the investor. Management uses non-GAAP gross margin as a performance measure for Teradyne’s current core business and future outlook and for comparison with Teradyne’s business plan, historical gross margin results and the gross margin results of Teradyne’s competitors. Management believes each of these non-GAAP measures provides useful supplemental information for investors, allowing greater transparency to the information used by management in its operational decision making and in the review of Teradyne’s financial and operational performance, as well as facilitating meaningful comparisons of Teradyne’s results in the current period compared with those in prior and future periods. A reconciliation of each available GAAP to non-GAAP financial measure discussed in this press release is contained in the attached exhibits and on the Teradyne website at www.teradyne.com by clicking on "Investors" and then selecting the "GAAP to Non-GAAP Reconciliation" link. The non-GAAP financial measures discussed in this press release may not be comparable to similarly titled measures used by other companies. The presentation of non-GAAP measures is not meant to be considered in isolation, as a substitute for, or superior to, financial measures or information provided in accordance with GAAP.

About Teradyne

« Previous Page 1 | 2 | 3 | 4  Next Page »



Review Article Be the first to review this article
Featured Video
Editorial
Jobs
Director, Industrial Machinery Solutions- SISW PLM for Siemens AG at Livonia, Michigan
Product Design Engineer - Softgoods for Apple Inc at Cupertino, California
GIS Business Development Professional for Surveying And Mapping, LLC at , Any State in the USA
ASIC Architects and Hardware Engineers at D. E. Shaw Research for D. E. Shaw Research at New York, New York
GIS Developer for City of Ithaca at ithaca, New York
Senior Highway Engineer for RS&H at Jacksonville, Florida
Upcoming Events
AeroDef Manufacturing 2021 at (Long Beach Convention Center Long Beach CA - Nov 16 - 18, 2021
Westec 2021 at Long Beach Convention Center Long Beach CA - Nov 16 - 18, 2021
3D Collaboration & Interoperability Congress at Golden CO - Feb 21 - 24, 2022
IMTS 2022 at McCormick Place Chicago IL - Sep 12 - 17, 2022



© 2021 Internet Business Systems, Inc.
670 Aberdeen Way, Milpitas, CA 95035
+1 (408) 882-6554 — Contact Us, or visit our other sites:
AECCafe - Architectural Design and Engineering EDACafe - Electronic Design Automation GISCafe - Geographical Information Services TechJobsCafe - Technical Jobs and Resumes ShareCG - Share Computer Graphic (CG) Animation, 3D Art and 3D Models
  Privacy PolicyAdvertise