01—Abstract
Summary
Summary of the 10-K filed August 6, 2010. Cited figures are marked; the original filing is the authoritative source.
KLA-Tencor Corporation's 2010 10-K filing showcases a company navigating the semiconductor industry landscape.
As a leading provider of process control and yield management solutions, the company's performance is closely tied to the cyclical nature of semiconductor manufacturing capital expenditures. The filing details the company's financial position and operational highlights for the fiscal year ended June 30, 2010. Investors should note the company's market capitalization and its status as a large accelerated filer, indicating its significant size and regulatory compliance.
The report provides a comprehensive overview of KLA-Tencor's business, risk factors, financial statements, and corporate governance. The focus for investors would be on the company's ability to maintain its competitive edge in a rapidly evolving technological environment, manage its risks effectively, and generate consistent financial returns. The detailed financial data, including balance sheets, income statements, and cash flow statements, will be crucial for a thorough understanding of the company's financial health and operational performance during this period.
02—Key points
Key Highlights
- KLA-Tencor Corporation (KLAC) filed its annual report on Form 10-K for the fiscal year ended June 30, 2010.
- The company is a large accelerated filer, indicating a significant market capitalization and adherence to stringent SEC reporting requirements.
- The filing includes detailed financial statements covering Consolidated Balance Sheets, Statements of Operations, Stockholders' Equity, and Cash Flows for the relevant periods.
- Key exhibits include agreements related to past acquisitions (ADE Corporation, ICOS Vision Systems Corporation NV) and various equity incentive plans, stock option plans, and employee stock purchase plans.
- The report outlines the company's business, risk factors, properties, and legal proceedings, providing a broad operational and legal overview.
- The aggregate market value of the registrant's common stock held by non-affiliates was $6.2 billion as of December 31, 2009.
- Valuation and qualifying accounts, including allowances for doubtful accounts and deferred tax assets, are detailed in Schedule II, showing fluctuations and management of these reserves.
03—One dollar
Follow one dollar
Of each $1.00 of revenue in FY2010, KLA Corp kept $0.12.
- Revenue$1.82B100.0%
- Cost of revenue−$815.7M44.8%
- Gross profit$1.01B55.2%
- Operating costs−$690.9M37.9%
- Operating income$314.2M17.3%
- Interest, other & tax−$101.9M5.6%
- Net income$212.3M11.7%
Where FY2010 revenue went
$1.82B- Cost of revenue: $815.7M, 45% of revenue
- SG&A: $361.4M, 20% of revenue
- R&D: $329.6M, 18% of revenue
- Net income: $212.3M, 12% of revenue
- Interest, other & tax: $101.9M, 5.6% of revenue
Kept 12% as net incomeNet income $212.3M · 12%
Full revenue history →04—Financials
Financial Highlights
Figures from 10-KFY2010filed August 6, 2010Financial Statements
FY2010 against FY2009
| Line item | FY2010FY2009 | Change |
|---|---|---|
| Revenue | $1.82B$1.52B | +19.8% |
| Cost of Revenue | $815.66M$864.82M | −5.7% |
| Gross Profit | $1.01B$655.39M | +53.4% |
| R&D Expenses | $329.56M$371.46M | −11.3% |
| SG&A Expenses | $361.37M$415.13M | −12.9% |
| Operating Expenses | $1.51B$2.10B | −28.2% |
| Operating Income | $314.17M-$577.94M | +154.4% |
| Interest Expense | $54.52M$55.34M | −1.5% |
| Net Income | $212.30M-$523.37M | +140.6% |
| EPS (Basic) | $0.12$-0.31 | +140.4% |
| EPS (Diluted) | $0.12$-0.31 | +140.1% |
| Shares Outstanding (Basic) | 1.71B1.70B | +0.2% |
| Shares Outstanding (Diluted) | 1.73B1.70B | +1.6% |
05—Questions
Frequently Asked Questions
What is KLA-Tencor's primary business according to this filing?
KLA-Tencor Corporation is engaged in providing process control and yield management solutions for the semiconductor and related industries. This involves designing, manufacturing, and servicing equipment used in the fabrication of integrated circuits.
What is the financial health of KLA-Tencor as indicated by this 2010 10-K?
The filing includes detailed financial statements (Balance Sheets, Statements of Operations, Cash Flows) for the fiscal year ended June 30, 2010. Investors would need to examine these statements, particularly revenue trends, profitability, cash generation, and balance sheet strength, to assess the company's financial health at that time. The report also lists the market capitalization as of December 31, 2009, at $6.2 billion for non-affiliates.
What are some of the key risks that KLA-Tencor faces?
While the specific risks are detailed in Item 1A of the report, generally, companies in the semiconductor equipment industry face risks related to the cyclical nature of the semiconductor market, rapid technological changes, intense competition, global economic conditions, and supply chain disruptions.
What is the significance of KLA-Tencor being a 'large accelerated filer'?
Being a large accelerated filer means KLA-Tencor meets specific SEC criteria for filer status, generally based on its public float and reporting history. This designation indicates that the company is of significant size and is subject to more frequent and detailed reporting requirements, providing investors with more comprehensive and timely information.
06—Continue