CVD Reports 88% Revenue Increase in Q3
CENTRAL ISLIP, N.Y., (Business Wire) – November 17, 2014 – (NASDAQ: CVV – News) CVD Equipment Corporation, a leading provider of custom chemical vapor deposition systems, today announced its financial results for the three and nine months ended September 30, 2014.
Revenue rose 88% to $8,867,000 for the three months ended September 30, 2014 compared to $4,707,000 for the three months ended September 30, 2013. Revenue for the current quarter also exceeded by 45% the revenue of $6,107,000 for the prior quarter ended June 30, 2014. Year to date revenue rose 49% to $19,360,000 for the nine months ended September 30, 2014 compared to $13,004,000 for the nine months ended September 30, 2013.
Bookings increased by 139% to approximately $27,500,000 for the nine months ended September 30, 2014 compared to $11,500,000 for the nine months ended September 30, 2013. The backlog as of September 30, 2014 increased to $12,058,000 compared to $3,990,000 as of September 30, 2013. Although timing for completion of backlog varies depending on the product mix and can be as long as two years, the Company believes a significant portion of its current backlog will be completed within the next twelve months.
Net income for the three months ended September 30, 2014 was $858,000 or $0.14 per share basic and diluted compared to a net loss of ($438,000) or ($0.07) per share basic and diluted for the three months ended September 30, 2013. For the nine month period ended September 30, 2014 net income was $792,000 or $0.13 per basic and diluted share compared to a net loss of ($5,000) or $0.00 per basic and diluted share for the nine months ended September 30, 2013.
Cash increased $1,995,000 to approximately $11,400,000 from $9,401,000 at June 30, 2014 as we continued to maintain a strong cash position.
Subsequent to the close of Q-3, by Opinion and Order dated November 13, 2014 the US District Court, SDNY granted a motion by Taiwan Glass for partial summary judgment and ordered the entry of judgment in favor of Taiwan Glass against the Company in the amount of $3,564,000 plus interest. The Court has scheduled a conference for November 21, 2014 to determine how to proceed. The Company is considering its options, including the appeal of the judgment. The result of this decision will be accounted for on a prospective basis.
Leonard Rosenbaum, President and Chief Executive Officer stated: “We are pleased with the growth in orders and revenue which we have experienced so far this year and we are continuing to pursue additional opportunities in our key markets. These efforts continue to be successful as our bookings momentum has continued into Q-4 and our three principal markets: aerospace manufacturing; medical device manufacturing and research laboratories (university and industrial) continue to show significant activity. We anticipate that our orders and revenue will continue to grow through the end of the year and beyond.
“Our Application Laboratory continues to advance technology for Graphene, Nanowires and Nanotube materials and work with potential end users to apply this technology to advance nano materials into large volume, value added products. Custom CVD solutions and systems which we provide help enable our industrial customers to scale up their production requirements.
“With regards to the judgment, we disagree with and are very disappointed with the Court’s ruling in connection with this contractual dispute regarding events which took place over five years ago. However, this will not affect our determination or ability to continue to build upon our many successes and we remain confident that we will continue to grow orders and revenue as well as the reputation of CVD as a leading designer and manufacturer of custom and standard state-of-the-art equipment.”
CVD Equipment Corporation
Comparison of Consolidated Statements of Operations
(000) except per share information
[table style=”1″]
|
Three Months Ended |
Nine Months Ended |
||||||
|---|---|---|---|---|---|---|---|
|
9/30/2014 |
9/30/2013 |
9/30/2014 |
9/30/2013 |
||||
| Revenue |
$8,867 |
$4,707 |
$19,360 |
$13,004 |
|||
| Gross profit |
3,309 |
1,749 |
7,328 |
4,321 |
|||
| Operating income/(loss) |
1,212 |
(588) |
1,320 |
(415) |
|||
| Pre-tax income/(loss) |
1,197 |
(614) |
1,289 |
(512) |
|||
| Net income/(loss) |
858 |
(438) |
792 |
(5) |
|||
| Net earnings | |||||||
|
0.14 |
$ (0.07) |
$ 0.13 |
$ 0.00 |
|||
|
0.14 |
$ (0.07) |
$ 0.13 |
$ 0.00 |
|||
| Stock Outstanding | |||||||
|
6,140,707 |
6,071,825 |
6,120,474 |
6,062,898 |
|||
|
6,255,472 |
6,071,825 |
6,236,557 |
6,177,832 |
|||
[/table]
Earnings release should be read in conjunction with Company’s Annual Report on Form 10-K for fiscal year ended December 31, 2013
About CVD Equipment Corporation
CVD Equipment Corporation (NASDAQ: CVV) is a designer and manufacturer of custom and standard state-of-the-art equipment used in the development, design and manufacture of advanced electronic components, materials and coatings for research and industrial applications. CVD offers a broad range of chemical vapor deposition, gas control, and other equipment that is used by customers to research, design and manufacture semiconductors, solar cells, graphene, carbon nanotubes, nanowires, LEDs, MEMS, smart glass coatings, batteries, ultra capacitors, medical coatings, industrial coatings and equipment for surface mounting of printed circuit components. CVD’s application laboratory focuses on higher efficiency nano and nano to macro material manufacturing for a wide variety of growth markets, which are marketed through our wholly owned subsidiary CVD Materials Corporation.
The Private Securities Litigation Reform Act of 1995 provides a “safe harbor” for forward-looking statements. Certain information included in this press release (as well as information included in oral statements or other written statements made or to be made by CVD Equipment Corporation) contains statements that are forward-looking. All statements other than statements of historical fact are hereby identified as “forward-looking statements, “as such term is defined in Section 27A of the Securities Exchange Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Such forward looking information involves a number of known and unknown risks and uncertainties that could cause actual results to differ materially from those discussed or anticipated by management. Potential risks and uncertainties include, among other factors, conditions, success of CVD Equipment Corporation’s growth and sales strategies, the possibility of customer changes in delivery schedules, cancellation of orders, potential delays in product shipments, delays in obtaining inventory parts from suppliers and failure to satisfy customer acceptance requirements.
For further information about CVD Equipment Corporation please contact Karen Hamberg Phone: (631) 981-7081, Fax: (631) 981-7095 or Email:investorrelations@CVDequipment.com or Sales@CVDequipment.com