Compound Semiconducter Equipment Sales Boost Aixtron

Higher revenue pushed the company's earnings up 68% in the fourth quarter.
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On March 12, 2009,

Aixtron AG


reported that its Q4 FY08 earnings surged 68.4% on higher revenue. Net income stood at EUR 4.10 million compared to a profit of EUR 2.44 million in the prior year's quarter.

Total revenue soared 52.3% to EUR 82.34 million from EUR 54.07 million a year ago, driven by increased sales of compound semiconductor equipment and other equipment. Technology-wise, sales of silicon semiconductor equipment dropped 82.3% to EUR 1.40 million from EUR 7.90 million, while sales of compound semiconductor equipment and other equipment almost doubled to EUR 74.80 million from EUR 38.00 million. In addition, other products sales declined 25.6% to EUR 6.10 million from EUR 8.20 million in Q4 FY07. Geographically, revenue from Asia surged 89.0% to EUR 68.40 million from EUR 36.20 million. On the flip side, revenue from Europe and the U.S. decreased 17.6% and 27.3% to EUR 7.50 million and EUR 6.40 million, respectively.

Recently, Aixtron AG received a triple order for MOCVD tools from Tonghui Electronics Corp. The company also received an order from the National Taiwan University (NTU). As of December 31, 2008, the company had an order backlog of EUR 105.00 million.

For FY08, total revenue advanced 27.7% to EUR 274.40 million from EUR 214.82 million in the previous year. Net income for the year increased 33.3% to EUR 22.99 million or EUR 0.25 per share from EUR 17.25 million or EUR 0.19 per share in FY07.

Looking forward, the company expects to remain profitable based on expected revenue of EUR 170.00 million for FY09. Management plans to recommend payment of a dividend of EUR 0.09 per share, in a shareholders' meeting scheduled for May 20, 2009.