Aehr Test Systems (AEHR) Q4 2011 Earnings Call July 19, 2011 5:00 pm ET Executives Gary Larson - Chief Financial Officer, Principal Accounting Officer and Vice President of Finance Lasse Glassen - Senior Vice President of Financial Relations Board Division Rhea Posedel - Founder, Chairman and Chief Executive Officer Analysts John Nelson - State of Wisconsin Investment Board Geoffrey Scott Presentation Operator
Now I'd like to introduce our Chairman and CEO, Rhea Posedel. Rhea?Rhea Posedel Thank you, Gary. Good afternoon, and welcome to our conference call for the fourth quarter of fiscal 2011. Net sales for the fourth quarter of fiscal 2011 were $3.7 million, slightly higher than the fourth quarter of fiscal 2010, but down 12% on a sequential quarter basis compared to net sales of $4.2 million in the previous quarter. The net loss for the quarter was $144,000, an improvement from the prior quarter's net loss of $946,000. During the fourth quarter, we benefited from an increase in ABTS system revenues. The balance of the shipments came mostly from FOX-1 WaferPak contactors and system upgrades for wafer sort testing at NOR Flash. These WaferPak shipments indicate to us that Spansion, a key customer and leading NOR flash producer, is achieving ongoing cost and throughput benefits with our FOX full wafer contact solution. We had a number of additional highlights that I'd like to bring to your attention. First, Spansion continues to invest in upgrading their FOX-1 full wafer parallel testers and buying WaferPak contactors for new and existing devices. During the fourth quarter, we announced booking over $2 million in orders for FOX-1 WaferPak contactors and services. Second, we're pleased to report that Spansion has moved all of their FOX-1 testers from TI's facility in Aizu, Japan. About half were moved to their Fab 25 facility in Austin, Texas. Most importantly, a number of FOX-1 testers have been placed at a leading Taiwanese test subcontractor. Having FOX-1s in use at a leading wafer sort test subcon could potentially help us sell FOX-1s and WaferPak contactors to other Taiwanese IC producers. Third, we are pleased to announce on June 2 that we sold our ownership in ESA, our distributor in Southeast Asia for nearly $1.4 million in cash.
Fourth, we are pleased to report that we received an evaluation PO for a new ABTS-L56i burn-in system from a leading logic and analog integrated device manufacturer. The target application is for burn-in of their high-power logic devices requiring individual temperature control per device. Even though this isn't a booking until our customer validates that the ABTS can pass their qualification process, we believe this is a major milestone. This customer has a high-interest level in the ABTS-L56i because it offers higher capacity at a lower cost per device than competitive systems. If successful with this qualification, which could take 3 to 5 months, we believe this customer has the potential to order significant quantities over a number of years.Read the rest of this transcript for free on seekingalpha.com