Ultra Clean Issues Mid-Quarter Update
Company Lowers Third Quarter Revenue Guidance and
HAYWARD, CA — August 21, 2012 /
PR Newswire / — Ultra Clean
Holdings, Inc. (Nasdaq: UCTT),
a leading developer and supplier of critical subsystems for the semiconductor
capital equipment, flat panel, medical, energy, and research industries,
today provided a mid-quarter update for its third quarter ending September
The company is revising its revenue guidance for the third quarter of
2012 to range between $96 million to $101 million. While the company
is not providing new earnings per share guidance it is reconfirming the
forecasted tax rate for the quarter. During the company's second
quarter earnings conference call on July 23, 2012 the company stated
that it expected revenue for the third quarter of 2012 to range between
$107 million to $112 million, with earnings per share in the range of
$0.10 to $0.14. In addition, the company forecasted a tax rate of 32%
for the third quarter and a tax rate of 28% for the year.
Clarence Granger, Ultra Clean's Chairman and Chief Executive Officer
stated: "As discussed during our second quarter conference call,
we continue to see a decline in demand within the semiconductor capital
equipment industry in the second half of 2012. This decline has been
greater than previously expected but we project it to flatten out during
the fourth quarter of 2012. The decline is occurring primarily on the
UCT side of our business. During this difficult time in the industry
we will continue our focus on operational improvement and inventory management.
Additionally, one of our larger semiconductor equipment customers has
decided to insource a portion of their gas panel business in the future.
While this decision will not have a material impact on our revenue in
the second half of 2012, it could have a negative quarterly impact of
7% to 9% on total revenue by the end of 2013." Mr. Granger
added: "It's disappointing that our long-term partnership
with this customer will be diminished in the future but we will continue
to provide the same level of support and commitment that customers have
come to expect from UCT.
On July 3, we announced that UCT completed the merger with Advanced
Integration Technologies which we continue to believe will significantly
strengthen the value proposition for existing customers and open up many
new business opportunities going forward." The integration of the
two companies is on track. "The business rational for this combination
is clear to our customers and potential new customers as we continue
to identify new ways that we can add value and support them in the future"
stated Mr. Granger.
Ultra Clean will conduct a conference call today, Tuesday, August 21,
beginning at 2:00 p.m. PDT at 866-297-2991 (domestic) and 706-679-7569
(international). A replay of the webcast will be available for fourteen
days following the conference call at 855-859-2056 (domestic) and 404-537-3406
(international). The confirmation number for the live broadcast and replay
is 23227554 (all callers). The conference call will also be webcast live
and be available for fourteen days on our website.
About Ultra Clean Holdings, Inc.
Ultra Clean Holdings, Inc. is a leading developer and supplier of critical
subsystems for the semiconductor capital
equipment, flat panel, medical, energy and research industries. Ultra
Clean offers its customers an integrated outsourced solution for gas
delivery systems and other subassemblies, improved design-to-delivery
cycle times, component neutral design and manufacturing and component
testing capabilities. Ultra Clean's customers are primarily original
equipment manufacturers for the semiconductor capital equipment, flat
panel, medical, energy and research industries. Ultra Clean is headquartered
in Hayward, California. Additional information is available at UCT.com.
Safe Harbor Statement
The foregoing information contains, or may be deemed to contain, "forward-looking
statements" (as defined in the US Private Securities Litigation
Reform Act of 1995) which reflect our current views with respect to future
events and financial performance. We use words such as "anticipates," "projection,"
"forecast," "believes," "plan," "expect," "future," "intends," "may," "will," "should," "estimates," "predicts," and
similar expressions to identify these forward-looking statements. Forward
looking statements included in this press release include our expectations
with respect to third quarter 2012 revenue and earnings per share and
our forecasted tax rate for the third quarter of fiscal 2012 and the
full fiscal year 2012. All forward-looking statements address matters
that involve risks and uncertainties. Accordingly, our actual results
may differ materially from the results predicted or implied by these
forward- looking statements. These risks, uncertainties and other factors
also include, among others, those identified in "Risk Factors," "Management's
Discussion and Analysis of Financial Condition and Results of Operations,''
and elsewhere in our annual report on Form 10-K for the year ended December
30, 2011 and our quarterly report on Form 10-Q for the quarter ended
March 30, 2012 and June 29, 2012 filed with the Securities and Exchange
Commission. Ultra Clean Holdings, Inc. undertakes no obligation to publicly
update or review any forward-looking statements, whether as a result
of new information future developments or otherwise.