DTM Corporation Reports Record Second Quarter Income of $0.11 Per Share And Record Revenue of $10.3 Million
19 July 2000
DTM Corporation Reports Record Second Quarter Income of $0.11 Per Share And Record Revenue of $10.3 Million
AUSTIN, Texas, July 18 DTM Corporation
today announced that net income for the quarter ended June 30, 2000 was
$763,000, or $0.11 per share. This was an increase of 159% from 1999's second
quarter income of $295,000, or $0.04 per share. DTM's revenues for the
quarter ended June 30, 2000 were $10.3 million, a 36% increase over the
comparable prior period revenues of $7.6 million.
For the six months ended June 30, 2000, net income was $1,125,000, or
$0.16 per share. This was an increase of 98% from 1999's first half net
income of $569,000, or $0.09 per share. DTM's revenues for the six months
ended June 30, 2000 were $18,486,000, a 19% increase over the comparable prior
year period revenues of $15,571,000.
John S. Murchison, III, DTM's President and CEO, said, "This was a very
good quarter. Top line growth was exceptional with good contribution from
both continuing revenues and machine sales. Continuing revenues include
service contracts, support services and sales of sintering materials and were
at a record level for the second quarter. Machine shipments were also at a
record level. While sales were good in all of our primary geographic markets,
they were particularly strong in the Pacific Rim and Europe as a result of
machines purchased by customers in each of those areas. This overall strength
in our business led to a record for second quarter earnings."
"During the quarter we continued to make good progress with new product
and market initiatives. Beta testing of our new metal powder, LaserForm ST-
100, has been very positive and the product launch is scheduled for later this
year. We believe that applications for this powder, which include metal
functional prototypes and tooling, will allow us to continue to grow the
prototype market segment. In addition, there is also a growing interest in
the use of DTM's selective laser sintering products for small lot
manufacturing. We believe DTM's selective laser sintering products are well
suited for such applications and that this market will become an increasingly
important part of our business."
About DTM Corporation
DTM develops, manufactures, and markets advanced rapid prototyping and
manufacturing systems that include the Sinterstation(R) 2500plus. All
Sinterstation systems utilize a process called SLS(R) selective laser
sintering and any of several plastic or metal SLS materials to create
three-dimensional objects from CAD designs. Leading manufacturers throughout
the world, in a range of industries, use Sinterstation systems to rapidly
create production-quality parts, functional prototypes, and tooling for their
products. Sinterstation users can realize numerous benefits as they develop
and manufacture products: ability to efficiently produce low-volume/high-value
products or to even customize every product to the customer's exact needs;
time savings; lower development costs, more efficient testing; capability to
prototype and test more design options; and the competitive advantage
associated with bringing new products to market faster.
Additionally, product designers can design complex part shapes that could
not be fabricated under conventional methods. Unlike competing technologies
and systems that are used primarily to create visualization models, DTM's
systems address industry's growing need for rapidly produced, durable,
testable prototypes and end-use parts.
DTM Corporation
Consolidated Statement of Income
Three Months Ended June 30,
Unaudited 2000 1999
(In thousands, except per
share amounts)
Revenues
Products $ 8,865 $ 6,657
Service and support 1,468 942
10,333 7,599
Cost of sales:
Products 3,878 2,967
Service and support 989 580
4,867 3,547
Gross profit 5,466 4,052
Operating expenses:
Selling, general and administrative 3,481 2,913
Research and development 840 788
4,321 3,701
Operating income 1,145 351
Other income (expense):
Interest expense, net (36) (21)
Gain on sale of assets --- 79
(36) 58
Income before income taxes 1,109 409
Income tax expense 346 114
Net income $ 763 $ 295
Earnings per share:
Basic earnings per share $ 0.11 $ 0.04
Diluted earnings per share $ 0.11 $ 0.04
Weighted average shares outstanding:
Basic 7,030 6,717
Diluted 7,222 6,717
DTM Corporation
Consolidated Statement of Income
Six Months Ended June 30,
Unaudited 2000 1999
(In thousands, except per
share amounts)
Revenues
Products $ 15,664 $ 13,648
Service and support 2,822 1,923
18,486 15,571
Cost of sales:
Products 7,003 6,081
Service and support 1,902 1,160
8,905 7,241
Gross profit 9,581 8,330
Operating expenses:
Selling, general and administrative 6,177 6,191
Research and development 1,714 1,450
7,891 7,641
Operating income 1,690 689
Other income (expense):
Interest expense, net (55) (28)
Gain on sale of assets --- 129
(55) 101
Income before income taxes 1,635 790
Income tax expense 510 221
Net income $ 1,125 $ 569
Earnings per share:
Basic earnings per share $ 0.16 $ 0.09
Diluted earnings per share $ 0.16 $ 0.09
Weighted average shares outstanding:
Basic 7,018 6,594
Diluted 7,222 6,616
DTM Corporation
Consolidated Balance Sheets
Unaudited June 30,
2000 1999
(In thousands)
Assets
Current assets:
Cash $ 1,141 $ 489
Accounts receivable, net 8,002 6,127
Inventories 2,767 2,757
Prepaid expenses and other 634 389
Total current assets 12,544 9,762
Property, net 1,524 956
Capitalized software
development costs, net 392 502
Patent and license fees, net 609 843
Total assets $ 15,069 $ 12,063
Liabilities and shareholders' equity
Current liabilities:
Bank line of credit $ 997 $ ---
Accounts payable 1,793 2,650
Deferred revenues
and customer deposits 2,302 2,123
Employee and agent compensation 966 968
Income taxes 440 221
Total current liabilities 6,498 5,962
Shareholders' equity:
Common stock - 7,047,595 shares
outstanding at June 30, 2000 1 1
Additional paid-in capital 54,172 54,022
Accumulated deficit (45,491) (47,766)
Accumulated other comprehensive loss (111) (156)
Total shareholders' equity 8,571 6,101
Total liabilities
and shareholders' equity $ 15,069 $ 12,063