2019 Form 10-K Financial Statement

#000155837020001167 Filed on February 21, 2020

View on sec.gov

Income Statement

Concept 2019 2018 Q4 2018 Q3
Revenue $419.3M $98.97M $126.8M
YoY Change -22.64% -29.15% -1.97%
Cost Of Revenue $261.2M $63.70M $80.37M
YoY Change -25.03% -24.44% 1.99%
Gross Profit $158.2M $35.26M $46.39M
YoY Change -18.34% -36.36% -8.15%
Gross Profit Margin 37.72% 35.63% 36.59%
Selling, General & Admin $79.75M $21.20M $20.19M
YoY Change -13.37% -26.13% -32.26%
% of Gross Profit 50.41% 60.13% 43.52%
Research & Development $90.56M $25.00M $23.54M
YoY Change -7.36% 2.88% -2.31%
% of Gross Profit 57.24% 70.9% 50.76%
Depreciation & Amortization $34.40M $8.900M $4.600M
YoY Change -31.2% -50.0% -72.46%
% of Gross Profit 21.74% 25.24% 9.92%
Operating Expenses $197.8M $50.50M $50.26M
YoY Change -67.54% -24.06% -24.08%
Operating Profit -$39.58M -$15.24M -$3.873M
YoY Change -90.47% 37.31% -75.33%
Interest Expense $22.09M -$4.500M $5.602M
YoY Change 2.64% -6.25% -219.19%
% of Operating Profit
Other Income/Expense, Net -$20.97M
YoY Change
Pretax Income -$77.96M -$143.5M -$8.652M
YoY Change -82.03% 628.43% -66.98%
Income Tax $777.0K $2.900M $300.0K
% Of Pretax Income
Net Earnings -$78.73M -$144.7M -$9.000M
YoY Change -80.66% 1602.35% -62.03%
Net Earnings / Revenue -18.78% -146.2% -7.1%
Basic Earnings Per Share -$1.66 -$3.11 -$0.19
Diluted Earnings Per Share -$1.66 -$3.11 -$0.19
COMMON SHARES
Basic Shares Outstanding 47.48M 46.98M
Diluted Shares Outstanding 47.48M 46.98M

Balance Sheet

Concept 2019 2018 Q4 2018 Q3
SHORT-TERM ASSETS
Cash & Short-Term Investments $244.5M $260.5M $265.6M
YoY Change -6.14% -20.47% -17.28%
Cash & Equivalents $129.3M $212.3M $214.3M
Short-Term Investments $115.3M $48.19M $52.10M
Other Short-Term Assets $27.30M $26.10M $27.20M
YoY Change 4.6% -48.01% -49.63%
Inventory $133.1M $156.3M $149.8M
Prepaid Expenses
Receivables $71.00M $66.81M $98.30M
Other Receivables $0.00 $0.00 $0.00
Total Short-Term Assets $475.9M $520.1M $540.9M
YoY Change -8.5% -12.9% -10.24%
LONG-TERM ASSETS
Property, Plant & Equipment $90.20M $80.28M $80.60M
YoY Change 12.33% -5.61% -4.5%
Goodwill $184.3M
YoY Change -39.99%
Intangibles $85.15M
YoY Change
Long-Term Investments
YoY Change
Other Assets $8.600M $29.13M $32.50M
YoY Change -72.26% 2.58% 16.91%
Total Long-Term Assets $342.2M $380.7M $509.7M
YoY Change -10.11% -51.83% -36.63%
TOTAL ASSETS
Total Short-Term Assets $475.9M $520.1M $540.9M
Total Long-Term Assets $342.2M $380.7M $509.7M
Total Assets $818.1M $900.8M $1.051B
YoY Change -9.18% -35.08% -25.33%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $21.30M $39.61M $65.00M
YoY Change -46.21% -21.25% 21.04%
Accrued Expenses $41.20M $46.50M $40.40M
YoY Change -11.4% -19.97% -38.51%
Deferred Revenue
YoY Change
Short-Term Debt $0.00 $0.00 $0.00
YoY Change
Long-Term Debt Due
YoY Change
Total Short-Term Liabilities $118.2M $160.1M $171.7M
YoY Change -26.17% -28.64% -25.77%
LONG-TERM LIABILITIES
Long-Term Debt $300.1M $287.4M $284.4M
YoY Change 4.42% 4.28% 4.25%
Other Long-Term Liabilities $19.60M $9.906M $9.200M
YoY Change 97.98% -6.55% -16.36%
Total Long-Term Liabilities $319.7M $297.3M $293.6M
YoY Change 7.53% 3.88% 3.45%
TOTAL LIABILITIES
Total Short-Term Liabilities $118.2M $160.1M $171.7M
Total Long-Term Liabilities $319.7M $297.3M $293.6M
Total Liabilities $443.6M $463.0M $472.5M
YoY Change -4.19% -15.41% -15.84%
SHAREHOLDERS EQUITY
Retained Earnings -$620.0M
YoY Change
Common Stock $1.062B
YoY Change
Preferred Stock
YoY Change
Treasury Stock (at cost) $5.872M
YoY Change
Treasury Stock Shares $522.7K
Shareholders Equity $374.5M $437.8M $578.1M
YoY Change
Total Liabilities & Shareholders Equity $818.1M $900.8M $1.051B
YoY Change -9.18% -35.08% -25.33%

Cashflow Statement

Concept 2019 2018 Q4 2018 Q3
OPERATING ACTIVITIES
Net Income -$78.73M -$144.7M -$9.000M
YoY Change -80.66% 1602.35% -62.03%
Depreciation, Depletion And Amortization $34.40M $8.900M $4.600M
YoY Change -31.2% -50.0% -72.46%
Cash From Operating Activities -$7.416M $1.700M $18.00M
YoY Change -80.35% -91.37% -27.71%
INVESTING ACTIVITIES
Capital Expenditures $10.87M -$6.900M -$2.000M
YoY Change -14.07% 0.0% -72.6%
Acquisitions
YoY Change
Other Investing Activities -$65.00M $4.000M $10.40M
YoY Change 1060.71% -88.83% -23.53%
Cash From Investing Activities -$75.87M -$2.900M $8.400M
YoY Change 314.64% -110.0% 33.33%
FINANCING ACTIVITIES
Cash Dividend Paid
YoY Change
Common Stock Issuance & Retirement, Net
YoY Change
Debt Paid & Issued, Net
YoY Change
Cash From Financing Activities 126.0K 0.000 -9.500M
YoY Change -101.1% -100.0% 533.33%
NET CHANGE
Cash From Operating Activities -7.416M 1.700M 18.00M
Cash From Investing Activities -75.87M -2.900M 8.400M
Cash From Financing Activities 126.0K 0.000 -9.500M
Net Change In Cash -83.13M -1.200M 16.90M
YoY Change 23.16% -102.65% -43.1%
FREE CASH FLOW
Cash From Operating Activities -$7.416M $1.700M $18.00M
Capital Expenditures $10.87M -$6.900M -$2.000M
Free Cash Flow -$18.29M $8.600M $20.00M
YoY Change -63.71% -67.67% -37.89%

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CY2019 us-gaap Fiscal Period
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<p style="font-family:'Times New Roman';font-size:10pt;margin:0pt;"><i style="font-style:italic;">(b) Basis of Presentation</i></p><p style="font-family:'Times New Roman';font-size:12pt;margin:0pt;"><span style="font-size:10pt;visibility:hidden;">​</span></p><p style="font-family:'Times New Roman';font-size:12pt;margin:0pt;"><span style="font-size:10pt;">The accompanying audited Consolidated Financial Statements of the Company have been prepared in accordance with United States generally accepted accounting principles (“GAAP”). The Company reports interim quarters on a </span><span style="font-size:10pt;">13</span><span style="font-size:10pt;">-week basis ending on the last Sunday of each period, which is determined at the start of each year. The Company’s fourth quarter always ends on the last day of the calendar year, December 31. During 2019 the interim quarters ended on March 31, June 30, and September 29, and during 2018 the interim quarters ended on April 1, July 1, and September 30. The Company reports these interim quarters as March 31, June 30, and September 30 in its interim consolidated financial statements.</span></p>
CY2019Q4 us-gaap Fiscal Period Duration
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CY2019 us-gaap Use Of Estimates
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<p style="font-family:'Times New Roman';font-size:10pt;margin:0pt;"><i style="font-style:italic;">(c) Use of Estimates</i></p><p style="font-family:'Times New Roman';font-size:12pt;margin:0pt;"><span style="font-size:10pt;visibility:hidden;">​</span></p><p style="font-family:'Times New Roman';font-size:10pt;margin:0pt;">The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Although these estimates are based on management’s knowledge of current events and actions it may undertake in the future, these estimates may ultimately differ from actual results. Significant items subject to such estimates and assumptions include: (i) stand-alone selling prices for the Company’s products and services; (ii) allowances for doubtful accounts; (iii) inventory obsolescence; (iv) the useful lives and expected future cash flows of property, plant, and equipment and identifiable intangible assets; (v) the fair value of the Company’s reporting unit and related goodwill; (vi) investment valuations and the valuation of derivatives, deferred tax assets, and assets acquired in business combinations; (vii) the recoverability of long-lived assets; (viii) liabilities for product warranty and legal contingencies; (ix) share-based compensation; (x) lease term and incremental borrowing rates used in determining operating lease assets and liabilities; and (xi) income tax uncertainties.</p>
CY2019 veco Percentage Of Retention Revenue
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Depreciation
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CY2019 us-gaap Concentration Risk Credit Risk
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<p style="font-family:'Times New Roman';font-size:10pt;margin:0pt;"><i style="font-style:italic;">(m) Concentration of Credit Risk</i></p><p style="font-family:'Times New Roman';font-size:12pt;margin:0pt;"><span style="font-size:10pt;visibility:hidden;">​</span></p><p style="font-family:'Times New Roman';font-size:10pt;margin:0pt;">Financial instruments that potentially subject the Company to concentrations of credit risk consist primarily of cash and cash equivalents, investments, derivative financial instruments used in hedging activities, and accounts receivable. The Company invests in a variety of financial instruments and, by policy, limits the amount of credit exposure with any one financial institution or commercial issuer. Historically, the Company has not experienced any material credit losses on its investments. </p><p style="font-family:'Times New Roman';font-size:12pt;margin:0pt;"><span style="font-size:10pt;visibility:hidden;">​</span></p><p style="font-family:'Times New Roman';font-size:10pt;margin:0pt;">The Company maintains an allowance reserve for potentially uncollectible accounts for estimated losses resulting from the inability of its customers to make required payments. The Company evaluates its allowance for doubtful accounts based on a combination of factors. In circumstances where specific invoices are deemed to be uncollectible, the Company provides a specific allowance for bad debt against the amount due to reduce the net recognized receivable to the amount reasonably expected to be collected. The Company also provides allowances based on its write-off history. The allowance for doubtful accounts totaled $0.6 million and $0.3 million at December 31, 2019 and 2018, respectively.</p><p style="font-family:'Times New Roman';font-size:12pt;margin:0pt;"><span style="font-size:10pt;visibility:hidden;">​</span></p><p style="font-family:'Times New Roman';font-size:12pt;margin:0pt;"><span style="font-size:10pt;">To further mitigate the Company’s exposure to uncollectable accounts, the Company may request certain customers provide a negotiable irrevocable letter of credit drawn on a reputable financial institution. These irrevocable letters of credit are typically issued to mature between </span><span style="-sec-ix-hidden:_aea6840e_86ae_468b_acfb_122bd7c327e2"><span style="color:#000000;font-family:'Times New Roman';font-size:10pt;font-style:normal;font-weight:normal;text-align:left;">zero</span></span><span style="font-size:10pt;"> and </span><span style="font-size:10pt;">90 days</span><span style="font-size:10pt;"> from the date the documentation requirements are met, typically when a system ships or upon receipt of final acceptance from the customer. The Company, at its discretion, may monetize these letters of credit on a non-recourse basis after they become negotiable but before maturity. The fees associated with the monetization are included in “Selling, general, and administrative” in the Consolidated Statements of Operations and were immaterial for the years ended December 31, 2019, 2018, and 2017.</span></p><p style="font-family:'Times New Roman';font-size:12pt;margin:0pt;"><span style="font-size:10pt;visibility:hidden;">​</span></p>
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CY2018 us-gaap Weighted Average Number Of Diluted Shares Outstanding
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38000
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5000
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16000
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48189000
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28945000
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16000
CY2018Q4 us-gaap Debt Securities Available For Sale Continuous Unrealized Loss Position12 Months Or Longer
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0
CY2019Q4 us-gaap Debt Securities Available For Sale Continuous Unrealized Loss Position12 Months Or Longer
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0
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15333000
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7067000
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2670000
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2841000
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2213000
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4390000
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6011000
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26600000
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1156000
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4932000
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5020000
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