• Posted by: Technology Staff Editor
• On: 11/08/2007 09:19:59
• In: Information Technology

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SAN JOSE, Calif. -- After exiting one market -- and experiencing a tough quarter -- Axcelis Technologies Inc. has moved to reduce its headcount.
Recently, Axcelis exited the rapid thermal processing (RTP) and curing product market. The company reported revenues of $107.6 million, compared to $110.1 million for the second quarter of 2007.

Net loss for the third quarter was $8.2 million or $0.08 per share, of which $0.05 is attributable to a charge for impairment of goodwill relating to the discontinuance of future development of RTP and curing products.

This compares to net income for the second quarter of $4.7 million or $0.05 per share. In the corresponding quarter for the previous year, the company reported revenues of $122.8 million and net income of $12.5 million, or $0.12 per share.

"Increasing weakness in the semiconductor market has caused a more significant softening in our base business than we had anticipated. During the quarter, we experienced a push out of several shipments, driven mainly by changes in the timing of memory projects," said Chairman and CEO Mary Puma, in a statement.

"As we previously announced, we are streamlining operations to focus on our core implant and dry strip product lines,'' Puma said. ''We have implemented other significant cost-out actions, including a reduction in force and an extended holiday shutdown, that will reduce our operating expenses by approximately 10 percent."

Axcelis' financial outlook for the fourth quarter of 2007 includes revenues in the range of $80 million to $95 million. The company also forecasts a fourth quarter loss per share in the range of $0.07 to $0.13 of which $0.02 is attributed to a restructuring of the business.