10 maj: Danske/CEO: Et stort udestående med Moody's
10 maj: Mindre lokalbanker øjner bedre tider
10-05-2012 15:57:00

Applied Materials To Restructure Solar Business, Record Charges

Relateret indhold

By Shara Tibken

Of DOW JONES NEWSWIRES

NEW YORK -(Dow Jones)- Applied Materials Inc. (AMAT) said it plans to restructure its solar business to better cope with challenging conditions in that industry.

Applied Materials--the largest provider of machines used in making semiconductors, solar panels and displays--said it will record restructuring charges of $70 million to $100 million, or 4 cents to 6 cents a share, over the next 12 to 18 months, starting in the fiscal third quarter ending in July.

The charge includes severance costs for about 250 employee positions, inventory charges, fixed asset impairment charges, and costs for lease terminations. Applied Materials said the inventory charges of up to $15 million, or 1 cent a share, will be included in both its adjusted and unadjusted earnings. Applied Materials also expects as much as $55 million in cash expenditures under its plan.

Shares, down 26% over the past 12 months, rose 1% to $11.19 in recent trading.

The Santa Clara, Calif., company, best known for its semiconductor manufacturing equipment business, regularly experiences sharp boom-and-bust cycles triggered by fluctuations in supplies of chip and demand for them. The company has broadened its business to include tools used in making solar panels and displays used in computers and TVs. But supply gluts for manufacturers in those businesses have slowed plans to boost production capacity in the past year and have hurt Applied Materials' results.

The company in February reported a 77% decline in profit for the first fiscal quarter on revenue that slid 19%. The numbers were better than Applied Materials predicted, and it provided an upbeat forecast for the fiscal second quarter. However, it later forecast weaker-than-expected guidance for the fiscal year, which it blamed on its solar and display businesses.

Applied Materials in March said it would cut additional costs from its solar operations to counteract the weakness. The company at the time said it planned to lower its fiscal 2013 solar breakeven level, or the amount of revenue needed to be profitable, to $500 million from $800 million.

The company on Thursday said its restructuring steps will help it meet the breakeven point.

As part of the restructuring plan unveiled Thursday, Applied Materials said it will relocate manufacturing operations for is precision wafering system solar business to Asia from Cheseaux, Switzerland. PWS business operations and customer support functions will be relocated primarily to Treviso, Italy, and Xi'an, China--locations of other Applied Materials operations. PWS' headquarters and new product development will remain in Switzerland.

The company said the plan also includes "significant" reductions in development activities for the light-emitting diode equipment market.

-By Shara Tibken, Dow Jones Newswires; 212-416-2189; shara.tibken@dowjones.com

(END) Dow Jones Newswires

May 10, 2012 09:57 ET (13:57 GMT)

Copyright (c) 2012 Dow Jones & Company, Inc.

Opret kommentar

Relateret debat

  • 1 uge
  • 1 måned
  • 1 År
Ingen indlæg

Genmab/Sydbank: Lancering af Darzalex i Europa er tempofyldt

24-01-2017 16:40:01
Genmab rider med på bølgen af et stærkere salg fra den amerikanske partner Johnson & Johnson af kræftmidlet Darzalex i fjerde kvartal end ventet.Og der er gode ..

Vestas henter ordre på 110 MW i Kina - NY

24-01-2017 12:51:46
Vindmølleproducenten Vestas har sikret sig en ordre på 110 megawatt (MW) i Kina.Det fremgår af en meddelelse fra Vestas tirsdag over middag.Ordren er på møller ..

Aktier/middag: Genmab løftet til tops før partnerregnskab

24-01-2017 11:17:43
Biotekselskabet Genmab stiger tirsdag middag mest i det danske C20 Cap-indeks. Årsagen er efter alt at dømme, at den amerikanske partner Johnson & Johnson freml..

Mest læste nyheder

  • 24 timer
  • 48 timer
  • 1 uge
1
Vestas/Nykredit: Positiv melding fra Trump-lejren om PTC
2
KORR: Aktier/tendens: Regnskab sætter spotlys på Genmab
3
Aktier/tendens: Regnskaber sætter spotlys på Genmab og Novo
4
Novo Nordisk får 20 kr. ekstra på kursmålet hos Goldman
5
Genmab: Amerikansk partner leverer stærkt salg af Darzalex - NY2

Relaterede aktiekurser

Applied Materials Inc 34,03 0,8% Stigning i aktiekurs

Køb- og salgsanbefalinger

  • Trend
  • Pengemaskinen

Copyright Euroinvestor A/S 2017  Disclaimer Privatlivspolitik
Aktieinformation leveres af Interactive Data.
Data er forsinket 15-20 minutter iht. de enkelte børsers regler om videredistribution.
 
24. januar 2017 22:23:55
(UTC+01:00) Brussels, Copenhagen, Madrid, Paris
Version: LiveBranchBuild_20170120.2 - EUROWEB2 - 2017-01-24 22:23:55 - 2017-01-24 22:23:55 - 1 - Website: OKAY

Når du besøger Euroinvestor.dk accepterer du, at der anvendes cookies, som vi og vores samarbejdspartnere benytter til funktionalitet, statistik og markedsføring. Læs mere om cookies på Euroinvestor.dk her

x