2020 Q4 Form 10-K Financial Statement

#000155837021001358 Filed on February 22, 2021

View on sec.gov

Income Statement

Concept 2020 Q4 2020 2019 Q4
Revenue $138.9M $454.2M $113.2M
YoY Change 22.74% 8.3% 14.38%
Cost Of Revenue $82.10M $259.9M $68.20M
YoY Change 20.38% -0.49% 7.06%
Gross Profit $56.85M $194.3M $44.97M
YoY Change 26.41% 22.82% 27.54%
Gross Profit Margin 40.91% 42.78% 39.73%
Selling, General & Admin $20.70M $76.25M $19.10M
YoY Change 8.38% -4.39% -9.91%
% of Gross Profit 36.41% 39.24% 42.47%
Research & Development $21.40M $78.99M $21.70M
YoY Change -1.38% -12.77% -13.2%
% of Gross Profit 37.65% 40.66% 48.25%
Depreciation & Amortization $7.700M $30.70M $8.600M
YoY Change -10.47% -10.76% -3.37%
% of Gross Profit 13.55% 15.8% 19.12%
Operating Expenses $46.20M $171.7M $45.40M
YoY Change 1.76% -13.17% -10.1%
Operating Profit $10.65M $22.57M -$430.0K
YoY Change -2575.58% -157.01% -97.18%
Interest Expense -$6.500M $24.74M -$4.700M
YoY Change 38.3% 12.02% 4.44%
% of Operating Profit -61.06% 109.63%
Other Income/Expense, Net -$7.841M -$21.00M
YoY Change -62.61%
Pretax Income -$700.0K -$8.464M -$32.50M
YoY Change -97.85% -89.14% -77.35%
Income Tax -$600.0K -$73.00K $400.0K
% Of Pretax Income
Net Earnings -$102.0K -$8.391M -$32.87M
YoY Change -99.69% -89.34% -77.28%
Net Earnings / Revenue -0.07% -1.85% -29.04%
Basic Earnings Per Share $0.00 -$0.17 -$0.69
Diluted Earnings Per Share $0.00 -$0.17 -$0.69
COMMON SHARES
Basic Shares Outstanding 49.61M 48.36M 48.90M
Diluted Shares Outstanding 48.36M

Balance Sheet

Concept 2020 Q4 2020 2019 Q4
SHORT-TERM ASSETS
Cash & Short-Term Investments $319.4M $319.4M $244.5M
YoY Change 30.61% 30.63% -6.11%
Cash & Equivalents $129.6M $129.6M $129.3M
Short-Term Investments $189.8M $189.8M $115.3M
Other Short-Term Assets $20.40M $20.40M $27.30M
YoY Change -25.27% -25.27% 4.6%
Inventory $145.9M $145.9M $133.1M
Prepaid Expenses
Receivables $79.99M $101.2M $45.67M
Other Receivables $0.00 $0.00 $0.00
Total Short-Term Assets $586.9M $586.9M $475.9M
YoY Change 23.34% 23.32% -8.5%
LONG-TERM ASSETS
Property, Plant & Equipment $65.27M $75.50M $75.71M
YoY Change -13.79% -16.3% -5.7%
Goodwill $181.9M $181.9M
YoY Change 0.0% -1.28%
Intangibles $46.19M $61.52M
YoY Change -24.92% -27.75%
Long-Term Investments
YoY Change
Other Assets $6.019M $7.500M $7.036M
YoY Change -14.45% -12.79% -75.85%
Total Long-Term Assets $311.1M $311.2M $342.2M
YoY Change -9.08% -9.06% -10.12%
TOTAL ASSETS
Total Short-Term Assets $586.9M $586.9M $475.9M
Total Long-Term Assets $311.1M $311.2M $342.2M
Total Assets $898.1M $898.1M $818.1M
YoY Change 9.78% 9.78% -9.18%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $33.66M $33.70M $21.28M
YoY Change 58.15% 58.22% -46.28%
Accrued Expenses $44.90M $44.90M $41.20M
YoY Change 8.98% 8.98% -11.4%
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 $146.7M $146.7M $118.2M
YoY Change 24.07% 24.11% -26.13%
LONG-TERM LIABILITIES
Long-Term Debt $321.1M $321.1M $300.1M
YoY Change 7.01% 7.0% 4.41%
Other Long-Term Liabilities $10.35M $16.70M $9.336M
YoY Change 10.85% -14.8% -5.75%
Total Long-Term Liabilities $331.5M $337.8M $309.4M
YoY Change 7.13% 5.66% 4.07%
TOTAL LIABILITIES
Total Short-Term Liabilities $146.7M $146.7M $118.2M
Total Long-Term Liabilities $331.5M $337.8M $309.4M
Total Liabilities $489.7M $489.7M $443.6M
YoY Change 10.4% 10.39% -4.2%
SHAREHOLDERS EQUITY
Retained Earnings -$707.3M -$698.9M
YoY Change 1.2% 12.73%
Common Stock $1.114B $1.072B
YoY Change 3.95% 0.92%
Preferred Stock
YoY Change
Treasury Stock (at cost)
YoY Change
Treasury Stock Shares
Shareholders Equity $408.4M $408.4M $374.5M
YoY Change
Total Liabilities & Shareholders Equity $898.1M $898.1M $818.1M
YoY Change 9.78% 9.78% -9.18%

Cashflow Statement

Concept 2020 Q4 2020 2019 Q4
OPERATING ACTIVITIES
Net Income -$102.0K -$8.391M -$32.87M
YoY Change -99.69% -89.34% -77.28%
Depreciation, Depletion And Amortization $7.700M $30.70M $8.600M
YoY Change -10.47% -10.76% -3.37%
Cash From Operating Activities $15.40M $43.02M $15.60M
YoY Change -1.28% -680.11% 817.65%
INVESTING ACTIVITIES
Capital Expenditures -$3.500M $6.802M -$2.700M
YoY Change 29.63% -37.44% -60.87%
Acquisitions
YoY Change
Other Investing Activities -$28.50M -$65.00M -$19.20M
YoY Change 48.44% 0.0% -580.0%
Cash From Investing Activities -$31.90M -$71.79M -$21.90M
YoY Change 45.66% -5.37% 655.17%
FINANCING ACTIVITIES
Cash Dividend Paid
YoY Change
Common Stock Issuance & Retirement, Net
YoY Change
Debt Paid & Issued, Net
YoY Change
Cash From Financing Activities -1.500M 29.10M 300.0K
YoY Change -600.0% 22993.65%
NET CHANGE
Cash From Operating Activities 15.40M 43.02M 15.60M
Cash From Investing Activities -31.90M -71.79M -21.90M
Cash From Financing Activities -1.500M 29.10M 300.0K
Net Change In Cash -18.00M 332.0K -6.000M
YoY Change 200.0% -100.4% 400.0%
FREE CASH FLOW
Cash From Operating Activities $15.40M $43.02M $15.60M
Capital Expenditures -$3.500M $6.802M -$2.700M
Free Cash Flow $18.90M $36.22M $18.30M
YoY Change 3.28% -298.04% 112.79%

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<p style="font-family:'Times New Roman','Times','serif';font-size:10pt;margin:0pt;"><i style="font-style:italic;">(b) Basis of Presentation</i></p><p style="font-family:'Times New Roman','Times','serif';font-size:12pt;margin:0pt;"><span style="font-size:10pt;visibility:hidden;">​</span></p><p style="font-family:'Times New Roman','Times','serif';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 2020 the interim quarters ended on March 29, June 28, and September 27, and during 2019 the interim quarters ended on March 31, June 30, and September 29. The Company reports these interim quarters as March 31, June 30, and September 30 in its interim consolidated financial statements.</span></p>
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<p style="font-family:'Times New Roman','Times','serif';font-size:10pt;margin:0pt;"><i style="font-style:italic;">(c) Use of Estimates</i></p><p style="font-family:'Times New Roman','Times','serif';font-size:12pt;margin:0pt;"><span style="font-size:10pt;visibility:hidden;">​</span></p><p style="font-family:'Times New Roman','Times','serif';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>
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<p style="font-family:'Times New Roman','Times','serif';font-size:10pt;margin:0pt;"><i style="font-style:italic;">(m) Concentration of Credit Risk</i></p><p style="font-family:'Times New Roman','Times','serif';font-size:12pt;margin:0pt;"><span style="font-size:10pt;visibility:hidden;">​</span></p><p style="font-family:'Times New Roman','Times','serif';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','Times','serif';font-size:12pt;margin:0pt;"><span style="font-size:10pt;visibility:hidden;">​</span></p><p style="font-family:'Times New Roman','Times','serif';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. Finally, the Company also considers its current expectations of future economic conditions, including the impact of COVID-19, when estimating its allowance for doubtful accounts. The allowance for doubtful accounts totaled $0.7 million and $0.6 million at December 31, 2020 and 2019, respectively.</p><p style="font-family:'Times New Roman','Times','serif';font-size:12pt;margin:0pt;"><span style="font-size:10pt;visibility:hidden;">​</span></p><p style="font-family:'Times New Roman','Times','serif';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:Hidden_Bze29UPbLE-VoDDa9M58Zg;"><span style="color:#000000;font-family:'Times New Roman','Times','serif';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 </span></p><p style="font-family:'Times New Roman','Times','serif';font-size:12pt;margin:0pt;"><span style="font-size:10pt;">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, 2020, 2019, and 2018.</span></p><p style="font-family:'Times New Roman','Times','serif';font-size:12pt;margin:0pt;"><span style="font-size:10pt;visibility:hidden;">​</span></p>
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CY2020 veco Irrevocable Letters Of Credit Maturity Period Maximum
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