TTM Technologies, Inc. Reports Record Fourth Quarter and Fiscal Year 2010 Results
SANTA ANA, CA - February 10, 2011 - TTM Technologies, Inc. (Nasdaq: TTMI),
a major global printed circuit board (PCB) manufacturer, today reported results
for the fourth quarter and fiscal year 2010, ended December 31, 2010.
Fourth Quarter 2010 Highlights
Fiscal Year 2010 Highlights
- Net sales increased 6 percent sequentially to a record $377.9 million
- GAAP net income attributable to stockholders grew 14 percent sequentially to $33.0
million, or $0.41 per diluted share
- Non-GAAP net income attributable to stockholders increased sequentially 13 percent
to $39.7 million, or $0.49 per diluted share
- Gross margin increased sequentially to 23.8 percent
- The combination with Meadville Holdings Ltd. was again highly accretive to GAAP
earnings, adding more than $0.20 per diluted share in the fourth quarter
- Completed combination with Meadville on April 9, 2010
- Net sales increased to $1.2 billion
- GAAP net income attributable to stockholders grew to $71.5 million, or $1.01 per
- Non-GAAP net income attributable to stockholders increased to $105.5 million, or
$1.49 per diluted share
- Gross margin increased to 21.5 percent
Net sales for the fourth quarter of 2010 increased to $377.9 million from $357.8
million in the third quarter of 2010.
Operating income for the fourth quarter of 2010 increased to $52.6 million from
$45.7 million in the third quarter of 2010.
GAAP net income attributable to stockholders for the fourth quarter of 2010 was
$33.0 million, or $0.41 per diluted share, compared to $29.1 million, or $0.36 per
diluted share, for the third quarter of 2010. The results for both the third and
fourth quarters of 2010 included foreign exchange gains that contributed approximately
$0.02 per diluted share each quarter.
On a non-GAAP basis, net income attributable to stockholders for the fourth quarter
of 2010 was $39.7 million, or $0.49 per diluted share. This compares to non-GAAP
net income attributable to stockholders of $35.0 million, or $0.43 per diluted share,
in the third quarter of 2010.
EBITDA for the fourth quarter of 2010 was $76.5 million, or 20.2 percent of net
sales, compared to $66.9 million, or 18.7 percent of net sales, for the third quarter
"Our better than expected results for the fourth quarter capped a remarkable year
for TTM and demonstrate the continuing success of our strategic growth initiatives
as well as the strength of our market position," said Kent Alder, President and
CEO of TTM. "Strong demand for our advanced technology products, including PCBs
used in touchpad tablets, networking equipment and smartphones, contributed to the
record fourth quarter revenue and profitability. We continue to benefit from robust
growth in our Asia Pacific operations and solid performance in our North America
operations. Additionally, we are leveraging our global footprint, highly efficient
operations and low cost structure to increase TTM’s margins."
For the fiscal year 2010, the increase in sales, operating income, net income and
EBITDA were primarily due to the combination with Meadville.
Net sales for fiscal year 2010 increased to $1.2 billion from $582.5 million in
fiscal year 2009.
Operating income for fiscal year 2010 increased to $125.6 million from $18.5 million
in fiscal year 2009.
GAAP net income attributable to stockholders for fiscal year 2010 was $71.5 million,
or $1.01 per diluted share, compared to $4.9 million, or $0.11 per diluted share,
for fiscal year 2009
On a non-GAAP basis, net income attributable to stockholders for fiscal year 2010
was $105.5 million, or $1.49 per diluted share. This compares to fiscal year 2009
non-GAAP net income attributable to stockholders of $30.7 million, or $0.70 per
EBITDA for fiscal year 2010 was $193.4 million, or 16.3 percent of net sales, compared
to $42.0 million, or 7.2 percent of net sales, for fiscal year 2009.
Please refer to the tables below for a reconciliation between GAAP and non-GAAP
net income attributable to stockholders as well as EBITDA.
"2010 was a milestone year for TTM," said Alder. "We completed the transformative
combination with Meadville, achieved record revenue and profitability, and generated
strong cash flow to fund expansion. We made great strides in positioning TTM to
take advantage of the growth in the global PCB market. As we enter 2011, we are
excited about the multiple growth drivers we see for our business and believe we
are well positioned for success as our momentum continues."
The Company’s guidance for the first quarter of 2011 reflects normal seasonality.
For the first quarter of 2011, TTM estimates revenue will be in the range of $338
million to $358 million, GAAP earnings attributable to stockholders in a range from
$0.27 to $0.36 per diluted share and non-GAAP earnings attributable to stockholders
in a range from $0.35 to $0.44 per diluted share.
To Access the Live Webcast/Conference Call
The company will host a conference call and webcast to discuss the fourth quarter
and fiscal year 2010 results and the first quarter 2011 outlook on Thursday, February
10, 2011, at 4:30 p.m. Eastern Time (1:30 p.m. Pacific Time).
To listen to the live webcast, log on to the TTM Technologies website at
www.ttmtech.com. To access the live conference call, dial 1-800-762-8795
To Access a Replay of the Webcast
The call will be available for replay until February 17, 2011, on TTM Technologies'
website at www.ttmtech.com.
A telephone replay also will be available beginning two hours after the conclusion
of the conference call. You may access the telephone replay by dialing 1-303-590-3030
or 1-800-406-7325 and entering confirmation code 4402248.
About Our Non-GAAP Financial Measures
This release includes information about the Company's non-GAAP net income attributable
to stockholders and non-GAAP earnings per share attributable to stockholders, which
are non-GAAP financial measures. Management believes that both measures -- which
add back amortization of intangibles, stock-based compensation expense, non-cash
interest expense on debt, asset impairment and restructuring charges, inventory
adjustments, costs related to the Meadville Holdings transaction and miscellaneous
closing costs as well as the associated tax impact of these charges -- provide additional
useful information to investors regarding the Company's ongoing financial condition
and results of operations.
A material limitation associated with the use of the above non-GAAP financial measures
is that they have no standardized measurement prescribed by GAAP and may not be
comparable with similar non-GAAP financial measures used by other companies. The
Company compensates for these limitations by providing full disclosure of each non-GAAP
financial measure and reconciliation to the most directly comparable GAAP financial
measure. However, the non-GAAP financial measures should not be considered in isolation
from, or as a substitute for, financial information prepared in accordance with
Safe Harbor Statement
This release contains forward-looking statements that relate to future events or
performance. These statements reflect the company's current expectations, and the
company does not undertake to update or revise these forward-looking statements,
even if experience or future changes make it clear that any projected results expressed
or implied in this or other company statements will not be realized. Furthermore,
readers are cautioned that these statements involve risks and uncertainties, many
of which are beyond the company's control, which could cause actual results to differ
materially from the forward-looking statements. These risks and uncertainties include,
but are not limited to, the company's dependence upon the electronics industry,
the impact of the current economic crisis, the company's dependence upon a small
number of customers, the unpredictability of and potential fluctuation in future
revenues and operating results, increased competition from low-cost foreign manufacturers
and other "Risk Factors" set forth in the company's most recent SEC filings.
TTM Technologies, Inc. is a major global printed circuit board manufacturer, focusing
on quick-turn and technologically advanced PCBs and the backplane and sub-system
assembly business. TTM stands for time-to-market, representing how the company’s
time-critical, one-stop manufacturing services enable customers to shorten the time
required to develop new products and bring them to market. Additional information
can be found at www.ttmtech.com.
- Tables Follow -
TTM Technologies, Inc. Reports 2010 Fourth Quarter
and Fiscal Year Results