SAN JOSE, Calif. -- Amid the downturn and ongoing losses, fab tool maker FSI International Inc. plans to take several cost-cutting measures, including layoffs.
''The global economic downturn is continuing to adversely impact credit availability, consumer confidence and technology spending,'' said Don Mitchell, FSI chairman and chief executive, in a statement. ''As a result, most semiconductor manufacturers are experiencing low factory utilization levels and have reduced or delayed their capital investments. Even though it is reported that several device producers have recently started to experience improved utilization levels, we anticipate that this situation will persist until at least early calendar 2010.''
This, in turn, means one thing: cost cutting. ''In response, in March we implemented a further reduction in management salaries, established two shutdown weeks, reduced our headcount and enacted other cost reduction initiatives,'' he added.
FSI also posted its results. Second quarter fiscal 2009 sales were $8.6 million, compared to $21.4 million for the same period in fiscal 2008. The company's net loss for the second quarter of fiscal 2009 was $9.4 million, or minus $0.30 per share, compared to a net loss of $1.0 million, or mimus $0.03 per share, for the second quarter of fiscal 2008.
Second quarter revenues were below the company's previously provided guidance range, as it was unable to recognize revenue for a system that was accepted by a customer and paid for in full during the second quarter.
Given the quarter-to-date orders, the company expects third quarter orders between $10.0-to-$12.0 million as compared to $11.5 million in the second quarter of fiscal 2009. The company expects third quarter fiscal 2009 revenues of $13-to-$15 million.