LTX-Credence Announces Second Quarter Results

MILPITAS, Calif., Feb. 24, 2011 (GLOBE NEWSWIRE) -- LTX-Credence Corporation (Nasdaq:LTXC), a global provider of focused, cost-optimized ATE solutions, today announced financial results for its fiscal quarter ended January 31, 2011.

Sales for the quarter were $52,549,000, compared to the prior quarter sales of $75,647,000. Net income for the quarter was $4,705,000, or $0.09 per diluted share on a GAAP basis. Excluding the impact of expenses related to the proposed merger with Verigy, Ltd. (Nasdaq:VRGY) totaling approximately $2,800,000, and amortization of purchased intangible assets of $1,490,000, net income for the quarter was $8,995,000, or $0.18 per diluted share on a non-GAAP basis.   

Dave Tacelli, chief executive officer and president, commented, "As predicted, revenues declined sequentially, and were slightly below guidance, while our earnings exceeded the high end of guidance of $0.11 to $0.16 per share by $0.02 as the business model continues to deliver strong results during this mid-cycle correction.

"During the quarter, we introduced two new products. PAx, an X-Series based tester, is focused on the RF power amplifier and front end module market. We expect PAx to strengthen our position as the leading supplier of commercial test equipment for RF power amplifier and front end module devices and already have multiple customers using it for volume production testing. We also introduced the ASLx, the first product to combine technology from LTX and Credence into a new test solution that provides more functionality and enhanced multi-site test capability for the analog/power semiconductor market. The ASLx also preserves our customers' investments by maintaining compatibility with the approximately 3,500 ASL test systems currently being used around the world for production testing of analog/power devices.

"Our guidance for the third fiscal quarter confirms what many have been predicting, that our industry would experience a mid-cycle correction through the first calendar quarter of 2011, but would return to growth following that correction."