UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549
FORM 8-K CURRENT REPORT
Pursuant to Section 13 or 15(d) of the |
Date of Report: July 26, 2016
(Date of earliest event reported)
Vicor Corporation
(Exact name of registrant as specified in its charter)
Delaware
(State or other jurisdiction
of incorporation)
0-18277
(Commission File Number)
04-2742817
(IRS Employer
Identification Number)
25 Frontage Road, Andover, Massachusetts
(Address of principal executive offices)
01810
(Zip Code)
(978) 470-2900
(Registrant's telephone number, including area code)
Not Applicable
(Former Name or Former Address, if changed since last report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
- o Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
- o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
- o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
- o Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
- o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
|
Item 2.02. Results of Operations and Financial Condition On July 26, 2016, Vicor Corporation issued a press release announcing its financial results for the second quarter of 2016. The full text of that press release is attached as Exhibit 99.1 hereto and incorporated by reference herein. The information furnished under this Item 2.02, including the Exhibit attached hereto, shall not be deemed "filed" for any purpose, including for purposes of Section 18 of the Securities and Exchange Act of 1934 (the "Exchange Act") or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933 or the Exchange Act, regardless of any general incorporation language in such filing.
Item 9.01. Financial Statements and Exhibits
(a) Financial statements:
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
|
|
Dated: July 26, 2016 |
VICOR CORPORATION
By: /s/ James A. Simms |
|
|
|
| Exhibit No. | Description |
| 99.1 | Press Release of Vicor Corporation dated July 26, 2016 |
Exhibit 99.1
Vicor Corporation Reports Results for the Second Quarter Ended June 30, 2016ANDOVER, MA -- (Marketwired - July 26, 2016) - Vicor Corporation (NASDAQ: VICR) today reported financial results for the second quarter and six months ended June 30, 2016. These results will be discussed later today at 5:00 p.m. Eastern Time, during management's quarterly investor conference call. The details for the call are presented below.
Revenues for the second quarter ended June 30, 2016 decreased to $52,941,000, compared to $56,119,000 for the corresponding period a year ago, but increased from $46,027,000 for the first quarter of 2016. Second quarter bookings increased to $52,514,000 from $48,096,000 for the corresponding period a year ago, and increased from $49,000,000 for the first quarter of 2016.
Gross margin decreased to $24,471,000 for the second quarter of 2016, compared to $26,510,000 for the corresponding period a year ago, but increased from $19,316,000 for the first quarter of 2016. Gross margin, as a percentage of revenue, decreased to 46.2% for the second quarter of 2016, compared to 47.2% for the second quarter of 2015, but increased from 42.0% for the first quarter of 2016.
Net loss for the second quarter was ($544,000), or ($0.01) per share, compared to net income of $805,000, or $0.02 per diluted share, for the corresponding period a year ago and a net loss of ($5,351,000), or ($0.14) per share, for the first quarter of 2016.
Revenues for the six months ended June 30, 2016, decreased 17.6% to $98,968,000 from $120,136,000 for the corresponding period a year ago. Net loss for the six month period was ($5,895,000), or ($0.15) per share, compared to net income of $4,176,000, or $0.11 per diluted share, for the corresponding period a year ago.
Cash used for operating activities totaled $3,171,000 for the second quarter of 2016, compared to cash provided by operations of $7,206,000 for the corresponding period a year ago. Cash and cash equivalents sequentially decreased by $5,557,000 to approximately $54,153,000 at the end of the second quarter of 2016 from $59,710,000 at the end of the first quarter of 2016.
Total backlog at the end of the second quarter of 2016 was $41,674,000, compared to $42,096,000 at the end of the first quarter, and $39,073,000 at the end of 2015.
Commenting on the second quarter, Dr. Patrizio Vinciarelli, Chief Executive Officer, stated, "Vicor saw incremental improvement with sequential increases in bookings and revenue. Our second quarter consolidated gross margin recovered four points, reflecting higher production volumes. Despite operating expense containment, we recorded a small net loss. Over the next two quarters, we expect slow progress in demand reflecting unpredictable delays in the ramp of certain major new programs and macroeconomic uncertainty. However, our differentiated products continue to gain traction, and we are confident that technological leadership will be the engine of growth for years to come. We are achieving additional design wins and expanding the markets and applications served. Earlier design wins are now yielding purchase orders, contributing to confidence in our 2017 outlook."
Dr. Vinciarelli continued, "Short-term challenges and uncertainty remain in numerous markets. Until we achieve a substantial mix of large programs, quarterly results may be affected by sudden and unexpected changes in shipment schedules. Recent high-profile focus on our 48 Volt to Point of Load solutions is contributing to a broadening of our customer base within enterprise computing. We have also been successful in penetrating wireless telecom and, notably, automotive applications. We are pleased to see strength in the initial uptake of new products in our legacy markets, such as rail and defense electronics. All of this supports my continued confidence in our strategy to redefine the market for high performance, cost effective modular power solutions."
For more information on Vicor and its products, please visit the Company's website at www.vicorpower.com.
Earnings Conference Call
Vicor will be holding its investor conference call today, Tuesday, July 26, 2016 at 5:00 p.m. Eastern Time. Shareholders interested in participating in the call should call 888-339-2688 at approximately 4:50 p.m. and use the Passcode 35796268. Internet users may listen to a real-time audio broadcast of the conference call on the Investor Relations section of Vicor's website at www.vicorpower.com. Please go to the website at least 15 minutes prior to the call to register, download and install any necessary software. For those who cannot participate in the conference call, a replay will be available, shortly after the conclusion of the call, through August 10, 2016. The replay dial-in number is 888-286-8010 and the Passcode is 36834933. In addition, a webcast replay of the conference call will also be available on the Investor Relations section of Vicor's website at www.vicorpower.com beginning shortly after the conclusion of the call.
This press release contains certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Any statement in this press release that is not a statement of historical fact is a forward-looking statement, and, the words "believes," "expects," "anticipates," "intend," "estimate," "plans," "assumes," "may," "will," "would," "should," "continue," "prospective," "project," and other similar expressions identify forward-looking statements. Forward-looking statements also include statements regarding bookings, shipments, revenue, profitability, targeted markets, increase in manufacturing capacity and utilization thereof, future products and capital resources. These statements are based upon management's current expectations and estimates as to the prospective events and circumstances that may or may not be within the company's control and as to which there can be no assurance. Actual results could differ materially from those projected in the forward-looking statements as a result of various factors, including those economic, business, operational and financial considerations set forth in Vicor's Annual Report on Form 10-K for the year ended December 31, 2015, under Part I, Item I -- "Business," under Part I, Item 1A -- "Risk Factors," under Part I, Item 3 -- "Legal Proceedings," and under Part II, Item 7 -- "Management's Discussion and Analysis of Financial Condition and Results of Operations." The risk factors set forth in the Annual Report on Form 10-K may not be exhaustive. Therefore, the information contained in the Annual Report on Form 10-K should be read together with other reports and documents filed with the Securities and Exchange Commission from time to time, including Forms 10-Q, 8-K and 10-K, which may supplement, modify, supersede or update those risk factors. Vicor does not undertake any obligation to update any forward-looking statements as a result of future events or developments.
Vicor Corporation designs, develops, manufactures and markets modular power components and complete power systems based upon a portfolio of patented technologies. Headquartered in Andover, Massachusetts, Vicor sells its products primarily to customers in the higher-performance, higher-power segments of the power systems market, including aerospace and defense electronics, enterprise and high performance computing, industrial equipment and automation, telecommunications and network infrastructure, and vehicles and transportation markets.
VICOR CORPORATION
CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS
(Thousands except for per share
amounts)
QUARTER ENDED SIX MONTHS ENDED
(Unaudited) (Unaudited)
-------------------- --------------------
JUNE 30, JUNE 30, JUNE 30, JUNE 30,
2016 2015 2016 2015
--------- --------- --------- ---------
Net revenues $ 52,941 $ 56,119 $ 98,968 $ 120,136
Cost of revenues 28,470 29,609 55,181 64,735
--------- --------- --------- ---------
Gross margin 24,471 26,510 43,787 55,401
Operating expenses:
Selling, general and
administrative 14,315 15,086 28,331 29,948
Research and development 10,757 10,631 21,486 21,050
--------- --------- --------- ---------
Total operating expenses 25,072 25,717 49,817 50,998
--------- --------- --------- ---------
Income (loss) from operations (601) 793 (6,030) 4,403
Other income (expense), net 64 39 139 10
--------- --------- --------- ---------
Income (loss) before income taxes (537) 832 (5,891) 4,413
Less: Provision for income taxes 13 61 35 200
--------- --------- --------- ---------
Consolidated net income (loss) (550) 771 (5,926) 4,213
Less: Net income (loss)
attributable to noncontrolling
interest (6) (34) (31) 37
--------- --------- --------- ---------
Net Income (loss) attributable to
Vicor Corporation $ (544) $ 805 $ (5,895) $ 4,176
========= ========= ========= =========
Net income (loss) per share
attributable to Vicor
Corporation:
Basic $ (0.01) $ 0.02 $ (0.15) $ 0.11
Diluted $ (0.01) $ 0.02 $ (0.15) $ 0.11
Shares outstanding:
Basic 38,801 38,750 38,798 38,719
Diluted 38,801 39,293 38,798 39,221
VICOR CORPORATION
CONDENSED CONSOLIDATED BALANCE SHEET
(Thousands)
JUNE 30, DEC 31,
2016 2015
(Unaudited) (Unaudited)
----------- -----------
Assets
Current assets:
Cash and cash equivalents $ 54,153 $ 62,980
Accounts receivable, net 28,008 25,982
Inventories, net 26,130 23,442
Other current assets 3,288 3,102
----------- -----------
Total current assets 111,579 115,506
Deferred tax assets 11 15
Long-term investments 2,579 2,866
Property, plant and equipment, net 37,853 37,450
Other assets 2,127 1,708
----------- -----------
$ 154,149 $ 157,545
=========== ===========
Liabilities and Equity
Current liabilities:
Accounts payable $ 8,858 $ 7,470
Accrued compensation and benefits 9,702 8,349
Accrued expenses 2,266 2,568
Accrued severance charges - 195
Income taxes payable 9 31
Deferred revenue 1,894 1,988
----------- -----------
Total current liabilities 22,729 20,601
Long-term deferred revenue 410 468
Contingent consideration obligations 327 144
Long-term income taxes payable 180 192
Deferred income taxes - 55
----------- -----------
Total liabilities 23,646 21,460
Equity:
Vicor Corporation stockholders' equity:
Capital stock 175,568 174,850
Retained earnings 93,790 99,685
Accumulated other comprehensive loss (146) (577)
Treasury stock (138,927) (138,927)
----------- -----------
Total Vicor Corporation stockholders' equity 130,285 135,031
Noncontrolling interest 218 1,054
----------- -----------
Total equity 130,503 136,085
----------- -----------
$ 154,149 $ 157,545
=========== ===========
For further information contact: James A. Simms Chief Financial Officer Voice: 978-470-2900 Facsimile: 978-749-3439 invrel@vicorpower.com