Shares of Veeco Instruments, Inc. (VECO) soared 14 percent in extended trading on Monday after the semiconductor equipment maker reported results for the first quarter that significantly topped analysts' expectations.
The company also provided earnings guidance for the second quarter, above Street view, and backed earnings and revenue outlook for the full-year 2012.
"We are executing well during the downturn in MOCVD demand. Veeco's first quarter revenue reached the top of our guidance at $140 million. Adjusted EBITA and non-GAAP earnings per share were $25 million and $0.49, respectively, on strong performance on the gross margin line and good expense management," CEO John Peeler said in a statement.
The Plainview, New York-based company reported net income from continuing operations of $16.46 million or $0.42 per share for the first quarter, sharply lower than $57.98 million or $1.36 per share in the prior-year quarter.
Excluding items, adjusted net income from continuing operations for the quarter declined to $18.96 million or $0.49 per share from $61.31 million or $1.44 per share in the year-ago quarter.
On average, 19 analysts polled by Thomson Reuters expected the company to report earnings of $0.19 per share for the first quarter. Analysts' estimates typically exclude special items.
Revenues for the quarter dropped to $139.9 million from $254.7 million in the same quarter last year, but topped twenty-one Wall Street analysts' consensus estimate of $126.03 million.
Veeco's first-quarter bookings were weak and totaled $113 million, down from $231 million a year ago. The company's book-to-bill ratio for the quarter was 0.81 to 1, and quarter-end backlog was $305 million.
Veeco is focused on keeping our infrastructure lean and discretionary costs low, while at the same time developing next-generation technology solutions to drive future growth," Peeler added.
Looking ahead to the second quarter, Veeco expects adjusted earnings in a range of $0.29 to $0.48 per share, on anticipated revenues between $120 million and $145 million. Analysts expect earnings of $0.23 per share on quarterly revenues of $128.22 million.
For fiscal 2012, Veeco continues to expect annual revenues between $500 million and $600 million. Street is currently looking for full-year 2012 revenues of $535.02 million.
"With leading market share, strong LED customer relationships, technology leadership, and lowest cost of ownership production systems, Veeco is poised for substantive long term growth in LED lighting," Peeler concluded.
VECO closed Monday's regular trading session at $30.19, down $0.16 or 0.53% on a volume of 2.55 million shares. However, the stock soared $4.21 or 13.95% in after-hours trading.
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