Emcore's revenues receive boost from Ortel
The revenue growth can be attributed to Emcore s Ortel division, which contributed approximately $7.1 million of materials-related revenues to the March 2003 quarter. Emcore acquired Ortel, the West Coast optoelectronics business of Agere Systems, in January 2003 for $26.2 million in cash.
Emcore s systems-related revenues for the first quarter of 2003 were $10.8 million, a sequential decrease of 22%. However, the company s materials-related revenues were up 80% sequentially at $16.9 million.
Revenues for the six months ended March 31, 2003 were $50.9 million, an increase of 21% from the $42.2 million reported in the six months ended March 31, 2002. For the latest six-month period, systems-related revenues increased 68% to $24.6 million compared to the year-ago period, while materials-related revenues decreased 5% to $26.3 million.
Emcore estimates that its revenues will increase by around 20% in the June 2003 quarter, and will be in the range of $32-34 million.
As a result of increased operating expenses due to the Ortel acquisition, Emcore s net loss increased on a sequential basis to $12.5 million, or $0.34 loss per share, in the first quarter of 2003, compared with $2.9 million or $0.08 per share in the December 2002 quarter. In the year-ago period, the company s net loss was much larger at $68.7 million or $1.88 per share.
"We continue to meet the challenges in our target markets, and we are very excited about the recent acquisition of Ortel and the opportunities it creates for our company," said Reuben Richards, president and CEO of Emcore. "Ortel complements our current portfolio of solutions for high speed data and telecommunications networking systems, and allows us to extend our leadership into a new market area for CATV and Fiber to the User applications (FTTX).
"We are also pleased that Emcore s cost cutting measures have resulted in considerable improvement to our bottom line and cash flows." said Richards. "The significant decline in operating expenses from prior year and expected sequential revenue growth demonstrates Emcore s commitment to streamlining its operations and improving shareholder value."
