DTM Corporation Reports Earnings of $0.21 Per
Share for the Fourth Quarter And $0.45 for the Year
AUSTIN, Texas, Jan. 24 DTM Corporation
today announced that net income for the quarter ended December 31, 2000 was
$1.6 million, or $0.21 per diluted share. This compares to 1999's fourth
quarter net income of $1.0 million, or $0.14 per share. Income before income
taxes increased by 46% over the comparable prior period amount. Revenues for
the quarter ended December 31, 2000 were $11.9 million, a 21% increase over
the comparable prior period revenues of $9.8 million.
For the year ended December 31, 2000, net income was $3.3 million, or
$0.45 per diluted share. This compares to 1999's net income of $1.7 million,
or $0.25 per share. Income before income taxes increased by 92% over the
prior year. Revenues for the year ended December 31, 2000 were $40.0 million,
a 21% increase over the comparable prior year period revenues of
$33.0 million.
Based upon nine consecutive quarters of profitability and an assessment of
future operations, a valuation allowance was decreased in the quarter by an
amount equal to the current portion of deferred tax assets at
December 31, 2000. This non-cash tax benefit has increased our net income for
2000 by $611,000, or $0.08 per diluted share.
John S. Murchison, III, DTM's President and CEO, said, "This was a very
good quarter. Revenues and profits reached an all time high. These results
were fueled by another strong contribution from continuing revenues and
machine sales to customers in the United States and Europe. Continuing
revenues include service contracts, support services and sales of sintering
materials.
"We continued to make good progress on a number of fronts in the fourth
quarter in establishing new markets for our selective laser sintering
technology. As we ended the year, we were working closely with leading
aerospace and medical device companies on integrating our selective laser
sintering into certain of their manufacturing processes.
"Customer adoption of the LaserForm ST-100 metal powder system for the
production of prototype tooling and functional prototype metal parts continued
at a very fast pace during the fourth quarter. It is worth noting that
approximately one-half of the machines we sold in the second half of 2000 were
equipped to process the LaserForm ST-100 metal powder material.
"We believe the small volume manufacturing market and the applications for
LaserForm ST-100 metal powder system will have a positive impact on 2001
operating results."*
Conference call
We will hold a conference call with the financial community to discuss our
results on Friday morning, January 25, 2001 at 9:00 AM CST. All investors may
listen to the conference by dialing 1-888-243-1119 as early as 10 minutes
prior to the conference. Only invited analysts will be permitted to enter
into the discussion. A recording of this call can be heard for 24 hours
following the completion of the scheduled call by dialing 800-633-8284
(domestic) or 858-812-6440 (international) and entering the reservation number
17780949.
About DTM Corporation
We market a system called the Sinterstation(R). It uses computer-
generated 3-dimensional drawings to quickly produce accurate, durable parts by
fusing powdered materials into solid objects with a laser. The parts are then
used in dozens of ways: as models, prototypes, molds, tooling, and
patterns -- even as final products.
With a Sinterstation, our customers like Boeing, Daimler Chrysler,
Whirlpool and others can go from their design files to plastic, metal, or
ceramic parts in hours or days, rather than weeks or months. By creating
parts directly from their computer drawings, they can test, produce, and
market their new products sooner -- and often with less cost.
Our customers say they prefer the Sinterstation to other options because it
is the fastest, most flexible, adaptable "rapid manufacturing" solution on the
market today.
For additional product information and investor services, visit the
company's Website at http://www.dtm-corp.com or call us at +1.512.339.2922.
Forward Looking Statement and Safe Harbor Disclaimer:
*Certain of the statements are forward-looking statements that involve
risks and uncertainties that could cause actual results to differ materially
and adversely from those set forth in the forward-looking statements,
including, without limitation: the markets being developed may not develop;
price reductions, reduced margins and loss of market share may occur as a
result of competition; quarterly fluctuations in operating results and the
difficulty in predicting results of operations may adversely affect stock
prices; additional capital sufficient to finance the business may not be
available, when needed, or if available might cause significant dilution;
dependence on a single product that is priced at the high end of the range for
today's rapid prototyping products has caused it to be adversely affected in a
soft market; intellectual property and proprietary rights may not be valid or
infringe the rights of others; ongoing litigation with a competitor may have
an unfavorable outcome, significant international operations have inherent
exposures; actions by controlling shareholder could adversely affect stock
prices; potential liabilities could result from undetected errors or defects
in products; and the stock price could be volatile, regardless of financial
performance.
The Company cautions that the foregoing list of important factors is not
exclusive. The Company does not undertake to update any written or oral
forward-looking statement that may be made from time to time by or on behalf
of the Company.
Note to Editors: Sinterstation(R)and SLS(R) are registered trademarks of
DTM Corporation in the United States. DTM(TM), LaserForm(TM), CastForm(TM),
DuraForm(TM) and SandForm(TM) are trademarks of DTM Corporation in the United
States.
DTM Corporation
Consolidated Statement of Income
Three Months Ended December 31,
Unaudited 2000 1999
(In thousands, except
per share amounts)
Revenues
Products $ 10,030 $8,339
Service and support 1,840 1,503
11,870 9,842
Cost of sales:
Products 4,481 3,797
Service and support 1,346 853
5,827 4,650
Gross profit 6,043 5,192
Operating expenses:
Selling, general and administrative 3,400 3,246
Research and development 885 709
4,285 3,955
Operating income 1,758 1,237
Other income (expense):
Interest expense, net (19) (42)
(19) (42)
Income before income taxes 1,739 1,195
Income tax expense 161 226
Net income $1,578 $969
Earnings per share:
Basic earnings per share $0.22 $0.14
Diluted earnings per share $0.21 $0.14
Weighted average shares outstanding:
Basic 7,074 6,974
Diluted 7,417 7,028
DTM Corporation
Consolidated Statement of Income
Year Ended December 31,
Unaudited 2000 1999
(In thousands, except
per share amounts)
Revenues
Products $ 33,794 $ 28,555
Service and support 6,216 4,494
40,010 33,049
Cost of sales:
Products 15,071 12,968
Service and support 4,269 2,924
19,340 15,892
Gross profit 20,670 17,157
Operating expenses:
Selling, general and administrative 13,007 12,091
Research and development 3,254 2,865
16,261 14,956
Operating income 4,409 2,201
Other income (expense):
Interest expense, net (110) (96)
Gain on sale of assets --- 129
(110) 33
Income before income taxes 4,299 2,234
Income tax expense 971 515
Net income $3,328 $1,719
Earnings per share:
Basic earnings per share $0.47 $0.25
Diluted earnings per share $0.45 $0.25
Weighted average shares outstanding:
Basic 7,042 6,785
Diluted 7,327 6,858
DTM Corporation
Consolidated Balance Sheets
Unaudited December 31,
2000 1999
(In thousands)
Assets
Current assets:
Cash $2,529 $1,505
Accounts receivable, net 8,411 6,377
Inventories 3,643 2,652
Prepaid expenses and other 502 589
Deferred income taxes 611 ---
Total current assets 15,696 11,123
Property, net 1,842 1,406
Capitalized software development costs, net 360 418
Patent and license fees, net 489 734
Total assets $18,387 $13,681
Liabilities and shareholders' equity
Current liabilities:
Bank line of credit $ --- $ ---
Accounts payable 3,062 2,219
Deferred revenues and customer deposits 2,432 2,128
Employee and agent compensation 1,582 1,502
Income taxes 501 509
Total current liabilities 7,577 6,358
Shareholders' equity:
Common stock - 7,076,780 shares
outstanding at December 31, 2000 1 1
Additional paid-in capital 54,241 54,016
Accumulated deficit (43,288) (46,616)
Accumulated other comprehensive loss (144) (78)
Total shareholders' equity 10,810 7,323
Total liabilities and shareholders' equity $18,387 $13,681
Contact:
Geoff Kreiger +1.512.339.2922
