UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
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Form 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): August 25, 1998
ROFIN-SINAR TECHNOLOGIES, INC.
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(Exact name of registrant as specified in its charter)
Delaware 000-21377 38-3306461
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(State of other jurisdiction of (Commission (I.R.S. Employer
incorporation or organization) File Number) Identification No.)
45701 Mast Street, Plymouth, MI 48170
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(Address of principal executive offices) (Zip Code)
(734) 455-5400
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(Registrant's telephone number, including area code)
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(Former name, former address and former fiscal year,
if changed since last report)
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ITEM 5 - OTHER EVENTS
The registrant released its earnings for the third quarter of fiscal 1998 on
August 11, 1998 per the attached exhibit.
ITEM 7 - FINANCIAL STATEMENTS, PRO FORMA FINANCIAL INFORMATION AND EXHIBITS
A) Not Applicable
B) Not Applicable
C) Exhibits:
99 - Press Release dated August 11, 1998
SIGNATURES
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.
ROFIN-SINAR TECHNOLOGIES, INC.
By: /s/ GUNTHER BRAUN
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Gunther Braun
Chief Financial Officer
Dated: August 25, 1998
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Contact: USA Derek Heins
Rofin-Sinar
734-455-5400
-or-
Europe Thorsten Frauenpreiss
Rofin-Sinar
011-49-40-73363-256
ROFIN-SINAR REPORTS RESULTS FOR THIRD QUARTER FISCAL 1998;
SALES OF $29 MILLION AND NET INCOME OF $1.25 MILLION; STRONG MARKING SALES
Plymouth, MI / Hamburg, Germany, August 11th, 1998 - ROFIN-SINAR
Technologies, Inc. (NASDAQ: RSTI), one of the world's leading developers and
manufacturers of high performance laser sources, today announced the results
for its third fiscal quarter and nine month ended June 30, 1998.
FINANCIAL HIGHLIGHTS
(in thousands, except per share data)
Three months ended % Change Nine months ended % Change
6/30/98 6/30/97 6/30/98 6/30/97
-------- -------- ------- -------
Net sales $28,902 $31,209 - 7.4% $87,075 $98,677 - 11.8%
Net income $ 1,250 $ 1,511 - 17.3% $ 5,221 $ 6,677 - 21.8%
Earnings per share
"Diluted basis" $0.11 $0.13 $0.45 $0.57
Weighted average
shares outstanding 11.7 mill 11.6 mill 11.6 mill 11.6 mill
The diluted earnings per share calculation is based on the weighted-average
shares outstanding and the potential dilution from common stock equivalents
(stock options) for each period presented, which was 11.7 million and 11.6
million for the fiscal ended June 30, 1998 and 1997 and 11.6 million for the
nine months ended June 30, 1998 and 1997, respectively.
Dr. Peter Wirth, Chairman and CEO commented, " In the first nine months our
marking and micromachining division experienced a healthy increase in sales
of 14% despite the negative $-exchange rate effect. Weak markets in North
America and the Far East for cutting and welding applications caused the
decrease in total sales."
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FINANCIAL REVIEW
- -Third Quarter-
Net sales totaled $28.9 million for the third quarter ending June 30, 1998, a
decrease of 7.4% over the comparable period in 1997. Gross profit totaled
$10.0 million or 34.5% of sales compared to $12.0 million or 38.6% of sales
in 1997, caused by a larger content of lower margin systems in the marking
business and lower unit shipments of cutting and welding. Net income was
$1.25 million and represented 4.3% of net sales. Earnings per share diluted
equaled $0.11 based upon 11.7 million common shares outstanding.
Sales for laser marking products showed an increase of 9.3% to $10.1 million,
whereas sales of laser products for cutting and welding applications
decreased by 14.5% to $18.8 million. North American sales remained flat in
the comparable periods, whereas the European/Asian sales declined by 10% as a
consequence of fewer laser units shipped for cutting and welding applications
and the strengthening of the US-dollar.
The diffusion-cooled Slab laser clearly dominated the CO2-laser shipments for
the first time, accounting for over 75% of all CO2-lasers shipped this
quarter.
R&D net spending in the third quarter was $2.6 million, or 8.8% of net sales
compared to $2.1 million, or 6.7% of net sales, in the third quarter of
fiscal 1997. Governmental R&D grants accounted of $0.2 million in the
current quarter.
- - Nine Months-
For the nine months ended June 30, 1998, net sales totaled $87.1 million, a
decrease of 11.8% over the comparable period in 1997. Of the $11.6 million
decrease, $5.8 million was caused by the strengthening of the U.S. dollar
against European and Asian currencies. Gross profit for the period was down
to $32.0 million from $36.3 million in 1997, a 11.8% decrease. Nine months
net income in 1998 decreased by 21.8% to $5.2 million. Net sales of cutting
and welding laser products decreased by 20.8% to $57.7 million, while net
sales of lasers for marking increased by 13.7% to $29.4 million.
On a geographical basis, Rofin-Sinar's net sales in North America in the
first nine months totaled $27.4 million (1997: $35.7 million). In
Europe/Asia, net sales decreased by 5.2% to $59.7 million (1997: $63.0
million).
Order entry for the third quarter was $29.7 million. This resulted in an
order backlog on June 30, 1998 of $30.4 million.
As we noted three months ago, the company expects that revenue for cutting
and welding lasers will be affected by lower market activity in North America
and Japan. The company believes that its significant investment in diode
technology and low-power CO2-lasers has put it in a strong competitive
position to exploit current and new markets, while its success with the
proprietary Slab-laser technology is expected to continue.
Headquartered in Plymouth, Michigan, and Hamburg, Germany, Rofin-Sinar
Technologies, Inc. designs, develops, engineers and manufactures industrial
laser products for cutting, welding and marking a wide range of materials.
With production facilities in the US, Germany, UK and Japan, Rofin-Sinar is
one of the world's leading designers and manufacturers of industrial lasers
and currently has more than 5,000 laser units installed worldwide and serves
more than 1,500 customers. Rofin-Sinar's common shares trade on the NASDAQ
National Market System under the symbol RSTI. Additional information is
available on Rofin-Sinar's home page: http://www.rofin.com.
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ROFIN-SINAR TECHNOLOGIES, INC.
CONSOLIDATED STATEMENTS OF EARNINGS
(in thousands, except per share data)
Three months Nine months
ended ended
(unaudited) (unaudited)
6/30/98 6/30/97 6/30/98 6/30/97
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- - Cutting/Welding $18,753 $21,922 $57,693 $72,842
- - Marking 10,149 9,287 29,382 25,835
Net Sales 28,902 31,209 87,075 98,677
Costs of goods sold 18,941 19,163 55,105 62,395
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Gross profit 9,961 12,046 31,970 36,282
Selling, general and
administrative expenses 5,319 6,103 16,640 17,636
Special charge 0 1,350 0 1,350
Research and development
expenses 2,566 2,083 7,280 6,958
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Income from operations 2,076 2,510 8,050 10,338
Net interest expense (income) (207) (211) (607) (662)
Other expenses (income) (127) (198) (548) (590)
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Income before income taxes 2,410 2,919 9,205 11,590
Income tax expense 1,160 1,408 3,984 4,913
Net income 1,250 1,511 5,221 6,677
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Net income per common share
"diluted" basis $0.11 $0.13 $0.45 $0.57
The diluted earnings per share calculation is based on the weighted-average
shares outstanding and the potential dilution from common stock equivalents
(stock options) for each period presented, which was 11.7 million and 11.6
million for the quarters and nine months ended June 30, 1998 and 1997 and
11.6 million for the nine months ended June 30, 1998 and 1997, respectively.
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ROFIN-SINAR TECHNOLOGIES, INC.
CONSOLIDATED BALANCE SHEETS
(in thousands)
(UNAUDITED) (AUDITED)
At At
6/30/98 9/30/97
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ASSETS
Cash and cash equivalents $ 36,431 $ 40,743
Trade accounts receivable, net 31,225 27,148
Inventories, net 32,989 28,731
Other current assets 5,644 5,345
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Total current assets 106,289 101,967
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Net Property and equipment 22,483 22,118
Other non-current assets 6,883 8,104
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Total non-current assets 29,366 30,222
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Total assets $ 135,655 $ 132,189
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LIABILITIES AND STOCKHOLDERS' EQUITY
Short-term debt 15,323 18,569
Accounts payable, trade 7,171 5,837
Other current liabilities 19,559 22,554
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Total current liabilities 42,053 46,960
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Long-term debt 3,317 0
Other non-current liabilities 3,924 3,304
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Total liabilities 49,294 50,264
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Net stockholders' equity 86,361 81,925
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Total liabilities and stockholders' equity $ 135,655 $ 132,189
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Certain information included in this press release is forward-looking and is
subject to important risks and uncertainties that could cause actual results
to differ. Actual results could differ materially based on numerous factors,
including currency risk, competition, risk relating to sales growth in CO2-,
Nd:YAG lasers and Diode lasers, cyclicality, conflicting patents and other
intellectual property rights of third parties, potential infringement claims
and future capital requirements. These forward looking statements represent
the Company's best judgment as of the date of this release based in part on
preliminary information and certain assumptions which management believes to
be reasonable. The Company disclaims any obligation to update these forward
looking statements.
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