EXTON, PA, May 17, 2000 (PRIMEZONE) -- CFM Technologies, Inc. (Nasdaq:CFMT) today announced that it expects net sales for the second fiscal quarter ended April 30, 2000, to be approximately $12 million, representing a 78% increase over net sales in the year-ago quarter and a slight sequential decrease over its first quarter. The Company took a charge of approximately $0.9 million following the decision of a customer to return a tool and will report a loss before taxes for the quarter of approximately $ 3.9 million.
Roger A. Carolin, President and Chief Executive Officer, noted, "During the quarter, strong sales quotation and discussion activity continued. Backlog at the end of the quarter was $7.9 million. Looking ahead, based on the current backlog, we expect the level of sales for the third quarter to be similar to that in the second quarter."
In the second fiscal quarter the Company will record a valuation allowance against its deferred tax assets in the amount of approximately $1.60 per share as the Company believes the realization of the deferred tax assets is uncertain based on available information.
At April 30, 2000, the Company's book value was approximately $6.15 per share.
The Company expects to report final second quarter fiscal 2000 results on May 23, 2000, after the close of the market.
The discussion above regarding the Company's expectation of future sales, gross margins, backlog and order activity includes certain forward-looking statements on these subjects. As such, actual results may vary materially from such expectations. Factors which could cause actual results to differ from expectations include variations in the level of orders, which can be affected by general economic conditions including the current economic and financial conditions in Asia; the timing of the recovery in the semiconductor industry, difficulties or delays in product functionality or performance, the timing of future product releases, failure to respond adequately to either changes in technology or customer preferences, risks of nonpayment of accounts receivable, changes in budgeted costs or failure to realize a successful outcome to pending patent litigation.
CFM Technologies, Inc. is a leading manufacturer of advanced cleaning equipment for the semiconductor industry. Its systems provide superior contamination control and processing capabilities using a totally enclosed processing chamber. Watermarks and other drying defects are eliminated through CFM's Direct-DisplaceTM IPA vapor drying technology. CFM historically has invested in technical innovations to lower cost of ownership.