On another note, the management of Mattson Technology will be participating in both the Oppenheimer and Morgan Stanley conferences scheduled in August and the Rodman & Renshaw conference in September. We look forward to seeing many of you at the event.And with that, I'll turn the call over to Dave. Dave? David Dutton Thank you, Laura, and good afternoon, everyone. Thank you for joining us for our second quarter 2011 financial results conference call. I would like to provide you with an outline for today's call. First, I'll give you an overview of the business. Then Andy will provide the financial results. And last, I will close with our business outlook and guidance. The second quarter marked our 9th consecutive quarter of growth, one in which we grew at a robust rate of 9% over the first quarter, driven by continued strength of our new etch business, plus gains in the strip business. In the first half of 2011, our revenue was slightly under $100 million, over 20% higher than the second half of 2010, an accomplishment that few in our industry can match. As you'll see when I discuss guidance, in the first 3 quarters of 2011, we expect to do as much business as we did in the entirety of 2010. We expect to significantly outgrow 2010 in a year where the industry is flat to slightly up. We grew our cash by over $5 million operationally during the quarter and ensured our ability to continue to fund this growth rate by raising $13 million through our stock offering in May. Our cash position is now over $42 million with no debt. As part of our growth plan, we put in the extra investment to ensure that we could support our new positions, a critical factor for our customers. This early investment has kept our breakeven higher, but we have been able to grow 20% in the first half of 2011 while keeping OpEx flat. This is an indication that the effort we make to deliver the right product with the right resources in place is successful. Due to the investments we made in our new product support, with the increasing volume, our bottom line will continue to improve, and I expect this to continue as we grow in the future.
Our gross margin improvement efforts are beginning to show real results. And with less Aspen III in our product mix next quarter, we expect to see solid improvements in our margins and expect further progress as we move through the second half 2011.We also significantly expanded our product positions. During the second quarter, we continue to book and ship etch tools, further extending into new applications. The paradigmE etch system is now in volume production for DRAM and has established itself at advanced NAND production. The Alpine is running volume production etchbacks at a leading foundry and is established in the growing packaging market. Beyond etch, our market share growth in strip continues as a result of our low-cost, high-productivity strategy. In the second quarter, we shipped strip tools to 4 of the top 5 CapEx spenders, as identified by Gartner, showing our continued strength as a strip leader. In RTP, we have been selling our Helios product to a NAND flash expansion, which is a new position gained over the last cycle. We recently shipped our Millios millisecond anneal system to a major customer for 20-nanometer and below processes. This shipment is a new customer for the Millios product and demonstrates a growing recognition of our technical strength for 20-nanometer and beyond millisecond annealing. As we described at our Analyst and Investor Day on May 18, we are a much different company than we were during the last cycle, which ended in 2007. At that time, we had 2 products competing in capacity-driven markets, with a served available market of about $800 million. We invested heavily during the downturn and strength in the product portfolio in these 2 core markets. But more importantly, we successfully launched our paradigmE and Alpine etch products to compete in the much larger etch market. With these new etch products, we bring differentiated technology for our customers as they attack the many challenges of Moore's Law in ever smaller geometries. And we deliver this with superior cost of ownership advantages to help our customers fully deliver on Moore's Law. Read the rest of this transcript for free on seekingalpha.com