What was the impact of the Photop Technologies, Inc. acquisition on the financial results?

The acquisition of Photop Technologies, Inc. on January 4, 2010, had a significant positive impact on the company's financial results for the quarter ended March 31, 2010. Photop's results were included for the first time, contributing $20.2 million in revenue and positively impacting segment earnings, particularly in the Near-Infrared Optics segment. The acquisition also added $36.3 million in goodwill to the balance sheet and resulted in an increase in total assets and liabilities.

How did the company's revenue and earnings performance compare to the prior year's quarter?

The company demonstrated substantial growth compared to the prior year's quarter. Revenues increased by 52% to $97.5 million, driven by increased demand across key segments and the inclusion of Photop. Net earnings attributable to II-VI Incorporated more than doubled, growing by 114% to $10.3 million. This strong performance translated into a 106% increase in diluted EPS, rising to $0.33 from $0.16 in the prior year's quarter.

What is the company's outlook regarding liquidity and future operations?

The company maintains a strong liquidity position with $97.2 million in cash and cash equivalents and $59.1 million in available borrowing capacity under its credit facility. Management believes its cash flow from operations, cash reserves, and borrowing capacity are sufficient to fund working capital needs, capital expenditures, debt payments, and internal growth for the remainder of fiscal year 2010 and into fiscal year 2011. The significant increase in bookings also signals positive momentum for future revenue generation.

How did the company's various business segments perform during the quarter?

The Infrared Optics segment saw a 30% increase in revenue, driven by improved industrial markets. The Near-Infrared Optics segment experienced exceptional growth with a 225% revenue increase, largely due to the Photop acquisition. The Military & Materials segment reported a 13% revenue increase, primarily from demand for raw materials at PRM and the sapphire product line at EEO. The Compound Semiconductor Group's revenue grew by 13%, boosted by WBG's silicon carbide wafer shipments, though Marlow experienced lower demand.

COHR 10-Q Quarterly Report Q3 FY2010 — Revenue, Net Income, EPS

01—Abstract

Summary

Summary of the 10-Q filed May 7, 2010. Cited figures are marked; the original filing is the authoritative source.

COHERENT CORP. (COHR) reported a strong third quarter for fiscal year 2010, with revenues increasing by 52% year-over-year to $97.5 million^a.

This growth was primarily driven by the successful integration of its recent acquisition, Photop Technologies, Inc., which contributed significantly to the Near-Infrared Optics segment's performance. Overall net earnings attributable to II-VI Incorporated surged by 114% to $10.3 million^b, or $0.33 per diluted share. The company also saw a substantial increase in bookings, up 77% year-over-year, indicating robust demand across its key segments, particularly Infrared Optics and Military & Materials.

The balance sheet reflects significant growth in total assets, largely due to the Photop acquisition, which added $62.3 million^c in goodwill. While the company's debt levels remain relatively low, it has maintained a strong liquidity position with $97.2 million in cash and cash equivalents and significant available borrowing capacity. Management expresses confidence in its ability to fund operations and growth initiatives.

02—Key points

Key Highlights

Revenue increased by 52% year-over-year to $97.5 million for the three months ended March 31, 2010.
Net earnings attributable to II-VI Incorporated more than doubled, increasing by 114% to $10.3 million for the quarter.
Diluted Earnings Per Share (EPS) grew by 106% to $0.33 for the three months ended March 31, 2010.
Bookings saw a significant increase of 77% year-over-year, reaching $109.9 million, indicating strong future demand.
The acquisition of Photop Technologies, Inc., completed in January 2010, significantly contributed to revenue and asset growth, adding $36.3 million in goodwill.
Total assets grew by approximately 31% to $483.4 million from $368.3 million year-over-year, largely due to the acquisition.
The company maintained a strong liquidity position with $97.2 million in cash and cash equivalents.

03—One dollar

04—Financials

Financial Highlights

10-QQ3 FY2010filed May 7, 2010

Revenue$97.53M39.8% Gross Margin Net Income$10.31M10.6% Net Margin EPS (Diluted)$0.17 Cash & Equivalents$97.20M Free Cash Flow$19.58M

Financial Statements

Revenue	$97.53M
Cost of Revenue	$58.70M
Gross Profit	$38.83M
R&D Expenses	$3.24M
SG&A Expenses	$18.98M
Operating Expenses	$83.08M
Interest Expense	$1K
Net Income	$10.31M
EPS (Basic)	$0.17
EPS (Diluted)	$0.17

05—Questions

Frequently Asked Questions

What was the impact of the Photop Technologies, Inc. acquisition on the financial results?
The acquisition of Photop Technologies, Inc. on January 4, 2010, had a significant positive impact on the company's financial results for the quarter ended March 31, 2010. Photop's results were included for the first time, contributing $20.2 million in revenue and positively impacting segment earnings, particularly in the Near-Infrared Optics segment. The acquisition also added $36.3 million in goodwill to the balance sheet and resulted in an increase in total assets and liabilities.
How did the company's revenue and earnings performance compare to the prior year's quarter?
The company demonstrated substantial growth compared to the prior year's quarter. Revenues increased by 52% to $97.5 million, driven by increased demand across key segments and the inclusion of Photop. Net earnings attributable to II-VI Incorporated more than doubled, growing by 114% to $10.3 million. This strong performance translated into a 106% increase in diluted EPS, rising to $0.33 from $0.16 in the prior year's quarter.
What is the company's outlook regarding liquidity and future operations?
The company maintains a strong liquidity position with $97.2 million in cash and cash equivalents and $59.1 million in available borrowing capacity under its credit facility. Management believes its cash flow from operations, cash reserves, and borrowing capacity are sufficient to fund working capital needs, capital expenditures, debt payments, and internal growth for the remainder of fiscal year 2010 and into fiscal year 2011. The significant increase in bookings also signals positive momentum for future revenue generation.
How did the company's various business segments perform during the quarter?
The Infrared Optics segment saw a 30% increase in revenue, driven by improved industrial markets. The Near-Infrared Optics segment experienced exceptional growth with a 225% revenue increase, largely due to the Photop acquisition. The Military & Materials segment reported a 13% revenue increase, primarily from demand for raw materials at PRM and the sapphire product line at EEO. The Compound Semiconductor Group's revenue grew by 13%, boosted by WBG's silicon carbide wafer shipments, though Marlow experienced lower demand.

06—Continue

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