This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Hutchinson Technology Reports First Quarter Results

TSA+ suspensions accounted for 85% of first quarter shipments, unchanged from the preceding quarter. "We are very pleased with the levels of quality and output we are realizing from our existing TSA+ and DSA capacity," said Penn. "Our manufacturing proficiency is enabling us to meet increasing customer demand for DSA suspensions."

Penn said that the company's operation in Thailand accounted for 18% of assembly production in the fiscal first quarter.  "We have qualified additional products at our Thailand site and remain on track to have about one-half of our total assembly output produced there by the end of our fiscal 2013 third quarter," said Penn. 

Cash and investments at the end of the 2013 first quarter totaled $57.5 million, up $2.6 million compared with the preceding quarter.  Cash used by operations totaled $1.6 million in the fiscal 2013 first quarter, while capital spending totaled $5.1 million. Outstanding borrowings on the company's revolving line of credit totaled $4.1 million at the end of the fiscal 2013 first quarter compared with none at the end of the preceding quarter.

After the end of the fiscal 2013 first quarter, as previously announced, the company issued $12.2 million of 10.875% Senior Secured Second Lien Notes due 2017 and used the proceeds to repurchase $18.7 million of its 8.50% Convertible Senior Notes.  This reduced the company's outstanding debt with a first put date in 2015 from $58.5 million to $39.8 million.  Combined with the planned redemption in the fiscal 2013 second quarter of the remaining $11.9 million of its 3.25% Convertible Subordinated Notes, the total principal amount of the company's outstanding long-term debt will be reduced to $131.0 million from $149.3 million.

Regarding the company's outlook, Penn said the company expects its fiscal 2013 second quarter suspension assembly shipments to range from 95 million to 105 million, anticipating slightly lower demand for disk drives and a delay in some program ramps to the second half of fiscal 2013.  Gross profit is expected to decline on the lower volume in the second quarter and on lower shipments of development products.  

2 of 3

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 16,880.36 -31.75 -0.19%
S&P 500 1,970.07 +0.12 0.01%
NASDAQ 4,462.9020 +20.2040 0.45%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs