Date: February 18, 2021
|
NOVA MEASURING INSTRUMENTS LTD.
(Registrant) By: /s/ Dror David —————————————— Dror David Chief Financial Officer |
Company Contact:
Dror David, Chief Financial Officer
Nova Measuring Instruments Ltd.
Tel: +972-73-229-5760
E-mail: info@novami.com
www.novami.com
|
Investor Relations Contact:
Miri Segal
MS-IR LLC
Tel: +917-607-8654
E-mail: msegal@ms-ir.com
|
• |
Quarterly record revenue of $76.3 million, up 18% year-over-year
|
• |
GAAP net income of $13.7 million, or $0.47 per diluted share, up 9% year-over-year on a per-share basis
|
• |
Non-GAAP net income of $15.9 million, or $0.55 per diluted share, up 8% year-over-year on a per-share basis
|
• |
Initial revenues recognized from multiple customers for Nova ELIPSON™, a newly launched materials metrology solution
|
• |
Record quarterly materials metrology revenue, driven by expansion into leading Logic and Foundry customers
|
• |
Record annual revenue of $269.4 million, up 20% year-over-year
|
• |
GAAP net income of $47.9 million, or $1.65 per diluted share, up 35% year-over-year on a per-share basis
|
• |
Non-GAAP net income of $59.6 million, or $2.06 per diluted share, up 30% year-over-year on a per-share basis
|
GAAP Results ($K)
|
|||||
Q4 2020
|
Q3 2020
|
Q4 2019
|
FY 2020
|
FY 2019
|
|
Revenues
|
$76,303
|
$69,485
|
$64,625
|
$269,396
|
$224,909
|
Net Income
|
$13,657
|
$13,896
|
$12,385
|
$47,907
|
$35,171
|
Earnings per Diluted Share
|
$0.47
|
$0.48
|
$0.43
|
$1.65
|
$1.23
|
NON-GAAP Results ($K)
|
|||||
Q4 2020
|
Q3 2020
|
Q4 2019
|
FY 2020
|
FY 2019
|
|
Net Income
|
$15,872
|
$16,511
|
$14,561
|
$59,638
|
$45,523
|
Earnings per Diluted Share
|
$0.55
|
$0.57
|
$0.51
|
$2.06
|
$1.59
|
• |
$76 million to $83 million in revenue
|
• |
$0.41 to $0.53 in diluted GAAP EPS
|
• |
$0.55 to $0.66 in diluted non-GAAP EPS
|
As of December 31,
|
||||||||
|
2020
|
2019
|
||||||
ASSETS
|
||||||||
Current assets
|
||||||||
Cash and cash equivalents
|
232,304
|
31,748
|
||||||
Short-term interest-bearing bank deposits
|
191,567
|
154,533
|
||||||
Trade accounts receivable, net
|
63,314
|
51,603
|
||||||
Inventories
|
61,734
|
48,362
|
||||||
Other current assets
|
9,782
|
16,685
|
||||||
Total current assets
|
558,701
|
302,931
|
||||||
Non-current assets
|
||||||||
Interest-bearing bank deposits
|
2,547
|
2,813
|
||||||
Restricted interest-bearing bank deposits
|
1,476
|
2,000
|
||||||
Deferred tax assets
|
2,869
|
4,554
|
||||||
Other long-term assets
|
462
|
437
|
||||||
Severance pay funds
|
1,281
|
1,210
|
||||||
Operating lease right-of-use assets
|
29,109
|
28,256
|
||||||
Property and equipment, net
|
34,168
|
30,566
|
||||||
Intangible assets, net
|
5,059
|
7,562
|
||||||
Goodwill
|
20,114
|
20,114
|
||||||
Total non-current assets
|
97,085
|
97,512
|
||||||
Total assets
|
655,786
|
400,443
|
||||||
LIABILITIES AND SHAREHOLDERS' EQUITY
|
||||||||
Current liabilities
|
||||||||
Trade accounts payable
|
24,096
|
20,706
|
||||||
Deferred revenues
|
4,717
|
2,256
|
||||||
Operating lease current liabilities
|
3,703
|
2,777
|
||||||
Other current liabilities
|
28,418
|
20,493
|
||||||
Total current liabilities
|
60,934
|
46,232
|
||||||
Non-current liabilities
|
||||||||
Convertible senior notes, net
|
178,808
|
-
|
||||||
Accrued severance pay
|
3,719
|
3,294
|
||||||
Operating lease long-term liabilities
|
31,905
|
30,536
|
||||||
Other long-term liability
|
8,882
|
5,842
|
||||||
Total non-current liabilities
|
223,314
|
39,672
|
||||||
Shareholders' equity
|
371,538
|
314,539
|
||||||
Total liabilities and shareholders' equity
|
655,786
|
400,443
|
Three months ended
December 31,
|
Year ended
December 31,
|
|||||||||||||||
2020
|
2019
|
2020
|
2019
|
|||||||||||||
Revenues:
|
||||||||||||||||
Products
|
61,741
|
47,015
|
209,320
|
167,200
|
||||||||||||
Services
|
14,562
|
17,610
|
60,076
|
57,709
|
||||||||||||
Total revenues
|
76,303
|
64,625
|
269,396
|
224,909
|
||||||||||||
Cost of revenues:
|
||||||||||||||||
Products
|
22,633
|
18,854
|
78,555
|
67,300
|
||||||||||||
Services
|
11,347
|
11,138
|
37,918
|
35,789
|
||||||||||||
Total cost of revenues
|
33,980
|
29,992
|
116,473
|
103,089
|
||||||||||||
Gross profit
|
42,323
|
34,633
|
152,923
|
121,820
|
||||||||||||
Operating expenses:
|
||||||||||||||||
Research and development, net
|
15,753
|
9,722
|
53,015
|
44,508
|
||||||||||||
Sales and marketing
|
8,089
|
7,270
|
29,321
|
28,213
|
||||||||||||
General and administrative
|
1,009
|
2,502
|
12,514
|
10,066
|
||||||||||||
Amortization of acquired intangible assets
|
626
|
656
|
2,503
|
2,625
|
||||||||||||
Total operating expenses
|
25,477
|
20,150
|
97,353
|
85,412
|
||||||||||||
Operating income
|
16,846
|
14,483
|
55,570
|
36,408
|
||||||||||||
Financing income (expense), net
|
(1,335
|
)
|
826
|
926
|
3,078
|
|||||||||||
Income before tax on income
|
15,511
|
15,309
|
56,496
|
39,486
|
||||||||||||
Income tax expenses
|
1,854
|
2,924
|
8,589
|
4,315
|
||||||||||||
Net income for the period
|
13,657
|
12,385
|
47,907
|
35,171
|
||||||||||||
Earnings per share:
|
||||||||||||||||
Basic
|
0.49
|
0.44
|
1.71
|
1.26
|
||||||||||||
Diluted
|
0.47
|
0.43
|
1.65
|
1.23
|
||||||||||||
Shares used for calculation of earnings per share
(in thousands): |
||||||||||||||||
Basic
|
28,146
|
27,965
|
28,097
|
27,895
|
||||||||||||
Diluted
|
28,999
|
28,689
|
28,950
|
28,574
|
Three months ended
December 31,
|
Year ended
December 31,
|
|||||||||||||||
2020
|
2019
|
2020
|
2019
|
|||||||||||||
Cash flows from operating activities:
|
||||||||||||||||
Net income for the period
|
13,657
|
12,385
|
47,907
|
35,171
|
||||||||||||
Adjustments to reconcile net income to net cash
provided by operating activities: |
||||||||||||||||
Depreciation and amortization
|
2,596
|
1,086
|
9,729
|
10,398
|
||||||||||||
Share-based compensation
|
2,231
|
1,430
|
6,949
|
5,092
|
||||||||||||
Net effect of exchange rate fluctuation
|
(1,187
|
)
|
(106
|
)
|
(1,584
|
)
|
(510
|
)
|
||||||||
Amortization of debt discount and issuance costs
|
868
|
-
|
868
|
-
|
||||||||||||
Change in deferred tax assets, net
|
535
|
73
|
(193
|
)
|
(681
|
)
|
||||||||||
Change in accrued severance pay, net
|
162
|
100
|
354
|
470
|
||||||||||||
Change in trade accounts receivable
|
(22,217
|
)
|
(4,549
|
)
|
(11,711
|
)
|
1,928
|
|||||||||
Change in inventories
|
(1,219
|
)
|
1,669
|
(16,271
|
)
|
(7,518
|
)
|
|||||||||
Change in other current and long-term assets
|
1,655
|
(1,561
|
)
|
6,878
|
(6,161
|
)
|
||||||||||
Change in trade accounts payable
|
1,228
|
2,117
|
3,255
|
1,691
|
||||||||||||
Change in other current and long-term liabilities
|
7,241
|
4,190
|
11,611
|
2,540
|
||||||||||||
Change in short term deferred revenues
|
926
|
(1,459
|
)
|
2,461
|
(1,728
|
)
|
||||||||||
Net cash provided by operating activities
|
6,476
|
15,375
|
60,253
|
40,692
|
||||||||||||
Cash flow from investment activities:
|
||||||||||||||||
Change in short-term and long-term interest-bearing bank deposits
|
10,125
|
(4,392
|
)
|
(36,016
|
)
|
(4,181
|
)
|
|||||||||
Purchase of property and equipment
|
(1,570
|
)
|
(5,648
|
)
|
(6,443
|
)
|
(21,269
|
)
|
||||||||
Net cash provided by (used in) investment activities
|
8,555
|
(10,040
|
)
|
(42,459
|
)
|
(25,450
|
)
|
|||||||||
Cash flows from financing activities:
|
||||||||||||||||
Proceeds from the issuance of convertible senior notes, net of issuance costs
|
193,588
|
-
|
193,588
|
-
|
||||||||||||
Purchases of treasury shares
|
(10,000
|
)
|
-
|
(12,549
|
)
|
(7,159
|
)
|
|||||||||
Shares issued upon exercise of options
|
-
|
125
|
367
|
492
|
||||||||||||
Net cash provided by (used in) financing activities
|
183,588
|
125
|
181,406
|
(6,667
|
)
|
|||||||||||
Effect of exchange rate fluctuations on cash and cash equivalents
|
972
|
68
|
1,356
|
296
|
||||||||||||
Increase in cash and cash equivalents
|
199,591
|
5,528
|
200,556
|
8,871
|
||||||||||||
Cash and cash equivalents – beginning of period
|
32,713
|
26,220
|
31,748
|
22,877
|
||||||||||||
Cash and cash equivalents – end of period
|
232,304
|
31,748
|
232,304
|
31,748
|
Three months ended
|
||||||||||||
December 31,
2020 |
September 30,
2020 |
December 31,
2019 |
||||||||||
GAAP gross profit
|
42,323
|
39,657
|
34,633
|
|||||||||
Stock-based compensation expenses *
|
415
|
414
|
269
|
|||||||||
Non-GAAP gross profit
|
42,738
|
40,071
|
34,902
|
|||||||||
GAAP gross margin as a percentage of revenues
|
55
|
%
|
57
|
%
|
54
|
%
|
||||||
Non-GAAP gross margin as a percentage of revenues
|
56
|
%
|
58
|
%
|
54
|
%
|
||||||
GAAP operating income
|
16,846
|
15,528
|
14,483
|
|||||||||
Stock-based compensation expenses *
|
2,231
|
1,946
|
1,430
|
|||||||||
Amortization of acquired intangible assets
|
626
|
625
|
656
|
|||||||||
One-time income related to a transaction made by a financial institution without Company authorization
|
(2,850
|
)
|
-
|
-
|
||||||||
Non-GAAP operating income
|
16,853
|
18,099
|
16,569
|
|||||||||
GAAP operating margin as a percentage of revenues
|
22
|
%
|
22
|
%
|
22
|
%
|
||||||
Non-GAAP operating margin as a percentage of revenues
|
22
|
%
|
26
|
%
|
26
|
%
|
||||||
GAAP net income
|
13,657
|
13,896
|
12,385
|
|||||||||
Stock-based compensation expenses *
|
2,231
|
1,946
|
1,430
|
|||||||||
Amortization of acquired intangible assets
|
626
|
625
|
656
|
|||||||||
Amortization of debt discount and issuance costs
|
868
|
-
|
-
|
|||||||||
One-time income related to a transaction made by a financial institution without Company authorization
|
(2,850
|
)
|
-
|
-
|
||||||||
Revaluation of operating lease liabilities
|
1,364
|
161
|
269
|
|||||||||
Tax effect of non-GAAP adjustments
|
(24
|
)
|
(117
|
)
|
(179
|
)
|
||||||
Non-GAAP net income
|
15,872
|
16,511
|
14,561
|
|||||||||
GAAP basic earnings per share
|
0.49
|
0.49
|
0.44
|
|||||||||
Non-GAAP basic earnings per share
|
0.56
|
0.59
|
0.52
|
|||||||||
GAAP diluted earnings per share
|
0.47
|
0.48
|
0.43
|
|||||||||
Non-GAAP diluted earnings per share
|
0.55
|
0.57
|
0.51
|
|||||||||
Shares used for calculation of earnings per share
(in thousands): |
||||||||||||
Basic
|
28,146
|
28,168
|
27,965
|
|||||||||
Diluted
|
28,999
|
29,020
|
28,689
|
Year ended December 31,
|
||||||||
2020
|
2019
|
|||||||
GAAP gross profit
|
152,923
|
121,820
|
||||||
Stock-based compensation expenses *
|
1,364
|
1,003
|
||||||
Facilities transition costs
|
-
|
703
|
||||||
Non-GAAP gross profit
|
154,287
|
123,526
|
||||||
GAAP gross margin as a percentage of revenues
|
57
|
%
|
54
|
%
|
||||
Non-GAAP gross margin as a percentage of revenues
|
57
|
%
|
55
|
%
|
||||
GAAP operating income
|
55,570
|
36,408
|
||||||
Stock-based compensation expenses *
|
6,949
|
5,092
|
||||||
Amortization of acquired intangible assets
|
2,503
|
2,625
|
||||||
One-time expense related to a transaction made by a financial institution without Company authorization, net
|
150
|
-
|
||||||
Facilities transition costs
|
-
|
2,329
|
||||||
Non-GAAP operating income
|
65,172
|
46,454
|
||||||
GAAP operating margin as a percentage of revenues
|
21
|
%
|
16
|
%
|
||||
Non-GAAP operating margin as a percentage of revenues
|
24
|
%
|
21
|
%
|
||||
GAAP net income
|
47,907
|
35,171
|
||||||
Stock-based compensation expenses *
|
6,949
|
5,092
|
||||||
Amortization of acquired intangible assets
|
2,503
|
2,625
|
||||||
Amortization of debt discount and issuance costs
|
868
|
-
|
||||||
One-time expense related to a transaction made by a financial institution without Company authorization, net
|
150
|
-
|
||||||
Facilities transition costs
|
-
|
2,329
|
||||||
Revaluation of operating lease liabilities
|
2,053
|
1,410
|
||||||
Tax effect of non-GAAP adjustments
|
(792
|
)
|
(1,104
|
)
|
||||
Non-GAAP net income
|
59,638
|
45,523
|
||||||
GAAP basic earnings per share
|
1.71
|
1.26
|
||||||
Non-GAAP basic earnings per share
|
2.12
|
1.63
|
||||||
GAAP diluted earnings per share
|
1.65
|
1.23
|
||||||
Non-GAAP diluted earnings per share
|
2.06
|
1.59
|
||||||
Shares used for calculation of earnings per share
(in thousands): |
||||||||
Basic
|
28,097
|
27,895
|
||||||
Diluted
|
28,950
|
28,574
|
Low
|
High
|
|||||||
Estimated GAAP net income per diluted share
|
0.41
|
0.53
|
||||||
Estimated non-GAAP items:
|
||||||||
Stock-based compensation expenses
|
0.09
|
0.09
|
||||||
Amortization of acquired intangible assets
|
0.02
|
0.02
|
||||||
Amortization of debt discount and issuance costs
|
0.04
|
0.04
|
||||||
Tax effect of non-GAAP adjustments
|
(0.01
|
)
|
(0.02
|
)
|
||||
Estimated non-GAAP net income per diluted share
|
0.55
|
0.66
|