UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
Quarterly Report Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
For the quarterly period ended June 30, 1995
Commission File Number 0-12718
SUPERTEX, INC.
(Registrant)
Incorporated in the State of California
I.R.S. Employer Identification Number 94-2328535
1235 Bordeaux Drive, Sunnyvale, California 94089
(Address of Principal Executive Offices)
Telephone: (408) 744-0100
Indicate by check mark whether the Registrant (1) has filed all
reports required to be filed by Section 13 or 15(d) of the
Securities Exchange Act of 1934 during the preceding 12 months
or for such shorter period that the registrant was required to
file such reports, and (2) has been subject to such filing
requirements for the past 90 days.
Yes [x] No [ ]
As of July 31, 1995, 11,895,311 shares of the Registrant's
common stock were issued and outstanding.
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PART I - FINANCIAL INFORMATION
Item 1. - Financial Statements
SUPERTEX, INC.
CONSOLIDATED STATEMENTS OF INCOME
(unaudited)
(in thousands, except per share amounts)
<CAPTION>
Three Months Ended
June 30, 1995 June 30, 1994
<S> <C> <C>
Net sales $ 9,157 $ 7,240
Cost and expenses:
Cost of sales 4,681 3,636
Research and development 1,282 948
Selling, general and administrative 1,263 1,228
Total costs and expenses 7,226 5,812
Income from operations 1,931 1,428
Other income:
Interest income 312 164
Other income, net 27 5
Income before provision
for income taxes 2,270 1,597
Provision for income taxes 704 431
Net income $ 1,566 $ 1,166
Net income per share $ .13 $ .10
Shares used in per share computation 12,246 11,814
<FN>
See accompanying notes.
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<TABLE>
SUPERTEX, INC.
CONSOLIDATED BALANCE SHEETS
(unaudited)
(in thousands, except share data)
<CAPTION>
June 30, 1995 March 31, 1995
<S> <C> <C>
ASSETS
Current assets:
Cash and cash equivalents $ 4,178 $ 4,437
Short term investments 16,521 15,019
Trade receivables,
net of allowances of $348 and $487 5,904 5,800
Other receivables 308 352
Inventories 6,768 6,637
Deferred income taxes 1,455 1,455
Prepaid expenses 231 169
Total current assets 35,365 33,869
Property and equipment, net 3,605 3,441
TOTAL ASSETS $ 38,970 $ 37,310
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<TABLE>
<CAPTION>
LIABILITIES
<S> <C> <C>
Current liabilities:
Trade accounts payable $ 2,173 $ 2,762
Accrued salaries, wages
and employee benefits 1,311 1,409
Income taxes payable 1,681 1,014
Other accrued liabilities 490 467
Deferred income on shipments
to distributors 584 494
Total current liabilities 6,239 6,146
SHAREHOLDERS' EQUITY
Preferred stock, no par value -
10,000,000 shares authorized,
none outstanding -- --
Common stock, no par value -
30,000,000 shares authorized;
issued and outstanding
11,895,311 and 11,893,411 18,174 18,173
Retained earnings 14,557 12,991
Total shareholders' equity 32,731 31,164
TOTAL LIABILITIES AND
SHAREHOLDERS' EQUITY $ 38,970 $ 37,310
<FN>
See accompanying notes.
</TABLE>
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<TABLE>
SUPERTEX, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(unaudited)
(in thousands)
<CAPTION>
Three Months Ended
June 30, 1995 June 30, 1994
<S> <C> <C>
CASH FLOWS FROM OPERATING ACTIVITIES
Net income $ 1,566 $ 1,166
Non-cash adjustments to net income:
Depreciation and amortization 320 217
Provision for doubtful accounts
and sales returns (10) 342
Provision for excess
and obsolete inventories 383 (71)
Loss on disposal of assets -- 6
Changes in operating assets and liabilities:
Accounts receivable (50) (675)
Inventories (514) (229)
Prepaid expenses (62) (66)
Trade accounts payable
and accrued expenses (664) (154)
Income taxes payable 667 412
Deferred income on shipments
to distributors 90 (22)
Total adjustments 160 (240)
Net cash provided by
operating activities 1,726 926
CASH FLOWS FROM INVESTING ACTIVITIES
Purchases of property and equipment (484) (426)
Purchases of short term investments (11,502) --
Proceeds from maturities of
short term investments 10,000 --
Net cash used in investing activities (1,986) (426)
CASH FLOWS FROM FINANCING ACTIVITIES
Stock options exercised 1 22
Net cash provided by financing activities 1 22
NET INCREASE (DECREASE) IN CASH
AND CASH EQUIVALENTS (259) 522
CASH AND CASH EQUIVALENTS:
End of period $ 4,178 $ 17,938
<FN>
See accompanying notes.
</TABLE>
<PAGE>
SUPERTEX, INC.
NOTES TO FINANCIAL STATEMENTS
Note 1:
The information for the three months ended June 30, 1995, is
unaudited, but includes all adjustments (consisting of normal
recurring adjustments) which the Company considers necessary for
a fair presentation of the results of operations for the period.
The year-end condensed balance sheet data was derived from
audited financial statements, but does not include all
disclosures required by generally accepted accounting
principles. These financial statements should be read in
conjunction with the audited financial statements of Supertex,
Inc. for the fiscal year ended March 31, 1995, which are
included in the Annual Report on Form 10-K (File Number
0-12718).
The Company uses a 52-53 week fiscal year ending the Saturday
nearest March 31. The Company's fiscal years and fiscal periods
in the accompanying financial statements have been shown ending
on March 31 and June 30, respectively. Fiscal years 1995 and
1994 comprise 52 weeks, and fiscal periods ending June 30, 1995
and 1994 comprise 13 weeks.
Interim results are not necessarily indicative of results for
the full fiscal year.
Inventories consisted of (in thousands):
June 30, 1995 March 31, 1995
(unaudited)
Finished Goods $ 995 $ 901
Work-in-process 4,697 4,699
Raw Materials 1,076 1,037
$ 6,768 $ 6,637
<PAGE>
PART I - FINANCIAL INFORMATION
Item 2. - Management's Discussion and Analysis of Financial
Condition and Results of Operations.
RESULTS OF OPERATIONS:
NET SALES
Net sales for the quarter ended June 30, 1995 of $9,157,000 were
up 26% from the same period last year of $7,240,000. Continued
strength in sales and new orders for our telecommunication
product line contributed to this increase.
GROSS MARGIN
Gross margin was 49%, compared with 50% for the same period of
the prior year. Manufacturing costs were relatively stable,
with a slight increase in cost of goods manufactured due to
product mix changes.
SELLING, GENERAL AND ADMINISTRATIVE
Expenses for selling, general and administrative were 14% of net
sales, a decrease from 17% for the same period last year.
Dollar expenditures in this category were fairly constant
compared with last year, although, as a percentage of net sales,
such expenditures were lower due to higher net sales.
RESEARCH AND DEVELOPMENT
As a percentage of net sales, research and development costs for
the first quarter of fiscal 1996 were 14% of net sales, compared
with 13% for the same period of the prior fiscal year. Research
and development expenditures increased in dollar terms from
$948,000 last year to $1,282,000 this year. The Company intends
to continue to invest heavily in its new product and process
development efforts.
INTEREST AND OTHER INCOME
Interest and other income for the first quarter of fiscal 1996
were $339,000 compared with $169,000 for the same period last
year. This increase was primarily due to interest income on
short term investments. The interest earned in the first
quarter of fiscal 1996 was higher than in the same period of the
prior year due to slightly higher interest rates and increased
cash available for investment.
LIQUIDITY AND CAPITAL RESOURCES
On June 30, 1995, the Company had $20,699,000 in cash and cash
equivalents and short term investments compared with
$19,456,000 on March 31, 1995. Management believes its current
cash and cash equivalents and short term investments will be
adequate to meet anticipated capital needs for the next twelve
months. Capital expenditures for fiscal 1996 are expected to be
at approximately the same level as in fiscal 1995.
CERTAIN FACTORS
The industry in which the Company competes is characterized by
extremely rapid technological change and frequent product
introductions. The Company believes that long term growth will
depend largely on its ability to continue to enhance existing
products and to introduce new products and features that meet
changing customer requirements. While the Company has invested
heavily in new products and processes, there can be no assurance
that it can continue to introduce products and features on a
timely basis or that certain of its products and processes will
not be rendered noncompetitive or obsolete by its competitors.
<PAGE>
PART II - OTHER INFORMATION
Item 6 - Exhibits and Reports on Form 8-K
(a) Exhibits
11.1 Computation of Per Share Amounts
(b) Reports on Form 8-K
None.
SIGNATURE
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 thereunto duly authorized.
SUPERTEX, INC.
(Registrant)
Date: July 31, 1995
By:
/s/ Dr. Henry C. Pao -----------------------------
Dr. Henry C. Pao
President
(Principal Executive and Financial Officer)
PART II - OTHER INFORMATION
Exhibit 11.1
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<CAPTION>
Computation of Per Share Amounts
(unaudited)
(in thousands, except per share amounts)
Three Months Ended
June 30, 1995 June 30, 1994
<S> <C> <C>
PRIMARY
Weighted average shares outstanding 11,895 11,721
Common stock equivalents 351 93
Total shares 12,246 11,814
Net income $ 1,566 $ 1,166
Net income per share $ 0.13 $ 0.10
FULLY DILUTED
Weighted average shares outstanding 11,895 11,721
Common stock equivalents 373 93
Total share 12,268 11,814
Net income $ 1,566 $ 1,166
Net income per share $ 0.13 $ 0.10
<FN>
Net income per share for financial statement purposes has been
calculated on the primary basis as the dilution under the fully
diluted basis is less than 3%.
</TABLE>
<TABLE> <S> <C>
<ARTICLE> 5
<MULTIPLIER> 1,000
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> MAR-30-1996
<PERIOD-START> APR-02-1995
<PERIOD-END> JUL-01-1995
<CASH> 4,178
<SECURITIES> 0
<RECEIVABLES> 6,252
<ALLOWANCES> 348
<INVENTORY> 6,768
<CURRENT-ASSETS> 35,365
<PP&E> 14,592
<DEPRECIATION> 10,987
<TOTAL-ASSETS> 38,970
<CURRENT-LIABILITIES> 6,239
<BONDS> 0
<COMMON> 18,174
0
0
<OTHER-SE> 14,557
<TOTAL-LIABILITY-AND-EQUITY> 38,970
<SALES> 9,157
<TOTAL-REVENUES> 9,157
<CGS> 4,681
<TOTAL-COSTS> 4,681
<OTHER-EXPENSES> 1,282<F1>
<LOSS-PROVISION> (10)
<INTEREST-EXPENSE> 0
<INCOME-PRETAX> 2,270
<INCOME-TAX> 704
<INCOME-CONTINUING> 1,566
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 1,566
<EPS-PRIMARY> .13
<EPS-DILUTED> .13
<FN>
<F1> Research and Development Expenses
</FN>
</TABLE>
