10-KPeriod: FY2001

ENTEGRIS INC Annual Report, Year Ended Aug 25, 2001

Filed November 23, 2001For Securities:ENTG

Summary

Entegris, Inc. (ENTG) operates as a critical provider of materials integrity management solutions for the semiconductor and other high-technology industries, focusing on protecting and transporting sensitive materials throughout complex manufacturing processes. The company offers a broad portfolio of over 10,000 standard and customized products, including wafer carriers, chemical delivery systems, and packaging solutions. Fiscal year 2001 saw flat net sales compared to 2000, driven by strong performance in the first half followed by a significant industry downturn in the latter half. Despite revenue stability, the company incurred non-recurring charges related to the termination of a distribution agreement and facility closures. Entegris continues to invest in expanding its technological leadership, broadening its product offerings through acquisitions (such as Atcor Corporation and Critical Clean Solutions), and pursuing strategic growth in new industries. Looking ahead, Entegris anticipates lower full-year sales in 2002, particularly in the first half, due to ongoing semiconductor industry weakness. The company remains focused on innovation, operational efficiency, and leveraging its global infrastructure to navigate industry cycles and capitalize on long-term growth trends.

Key Highlights

  • 1Entegris is a leading provider of materials integrity management solutions for the semiconductor industry, offering over 10,000 products.
  • 2Fiscal 2001 net sales were flat at $342.4 million, reflecting a strong first half followed by a sharp industry downturn in the second half.
  • 3The company made strategic acquisitions in fiscal 2001, including Atcor Corporation and Critical Clean Solutions, to broaden its service offerings.
  • 4International sales represented 50% of net sales in fiscal 2001, up from 48% in fiscal 2000, indicating continued global reach.
  • 5Entegris experienced significant non-recurring charges in fiscal 2001, totaling $13.1 million, related to distribution agreement termination and facility closures.
  • 6The company is actively investing in R&D and product development, particularly for next-generation 300mm wafer products, to maintain technological leadership.
  • 7Entegris anticipates lower sales in fiscal 2002, especially in the first half, due to the ongoing cyclical downturn in the semiconductor industry.

Frequently Asked Questions

Entegris provides essential materials integrity management solutions that protect and transport critical materials within the semiconductor and other high-tech manufacturing industries. With over 10,000 products, the company holds a leading position by offering a comprehensive portfolio to ensure the purity and integrity of materials throughout the complex manufacturing process.

Fiscal year 2001 saw Entegris achieve flat net sales of $342.4 million, a slight improvement from fiscal 2000. This stability was achieved despite a significant industry downturn in the second half of the year, which offset strong performance in the first half. The company also incurred significant non-recurring charges totaling $13.1 million, impacting profitability.

Entegris' growth strategy involves expanding its technological leadership, broadening its product and service offerings through both internal R&D and strategic acquisitions (like those completed in fiscal 2001), and expanding its presence in key markets such as Japan. The company also aims to apply its expertise to new industries beyond microelectronics.

Entegris faces significant risks including the cyclical nature of the semiconductor industry, which can lead to fluctuating revenues and profits. Other risks include rapid technological change, dependence on key suppliers, international operational challenges, potential product liability claims, and the challenge of customer adoption of new technologies like 300mm wafer products.