FEIC » Topics » Service and Components

This excerpt taken from the FEIC 8-K filed Oct 8, 2009.

Service and Components

The increase in the Service and Components gross margin in 2008 compared to 2007 was primarily due to improvements in parts usage, partially offset by an increase in labor costs in Europe as we realigned our European operations to service higher-end units. In addition, we gained efficiencies as revenues grew.

The decrease in the Service and Components gross margin in 2007 compared to 2006 was primarily due to increased headcount and travel costs, partially offset by higher revenues from a larger installed base.

These excerpts taken from the FEIC 10-Q filed May 7, 2009.

Service and Components

The $1.2 million, or 3.4%, decrease in Service and Component sales in the first quarter of 2009 compared to the first quarter of 2008 was due primarily to a $1.3 million decrease related to currency fluctuations and decreased sales of our components as a result of industry-wide reductions in semiconductor capital equipment spending. These factors were partially offset by an increase in service due to a larger install base.

Service and Components

The increase in the Service and Components gross margin in the first quarter of 2009 compared to the

 

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first quarter of 2008 was primarily due to improvement in part usage and lower repair and distribution costs.

These excerpts taken from the FEIC 10-K filed Feb 20, 2009.

Service and Components

The $10.3 million, or 8.0%, increase in Service and Components sales in 2008 compared to 2007 was due primarily to a higher volume of service contracts as our installed base continues to grow. Component sales include sales of individual components as well as equipment refurbishment.

The $8.6 million, or 7.2%, increase in Service and Component sales in 2007 compared to 2006 was due primarily to a larger installed base and the fact that the installed base had newer, higher-priced tools, which typically carry higher-priced service contracts. Component sales decreased $0.6 million, or 7.9%, in 2007 compared to 2006, primarily due to weakness in the Electronics market in the second half of 2007 and the timing of orders and shipments.

 

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Service and Components

The $10.3 million, or 8.0%, increase in Service and Components sales in 2008 compared to 2007 was due primarily to a higher volume of service contracts as our installed base continues to grow. Component sales include sales of individual components as well as equipment refurbishment.

The $8.6 million, or 7.2%, increase in Service and Component sales in 2007 compared to 2006 was due primarily to a larger installed base and the fact that the installed base had newer, higher-priced tools, which typically carry higher-priced service contracts. Component sales decreased $0.6 million, or 7.9%, in 2007 compared to 2006, primarily due to weakness in the Electronics market in the second half of 2007 and the timing of orders and shipments.

 

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Service and Components

The increase in the Service and Components gross margin in 2008 compared to 2007 was primarily due to improvements in parts usage, partially offset by an increase in labor costs in Europe as we realigned our European operations to service higher-end units. In addition, we gained efficiencies as revenues grew.

The decrease in the Service and Components gross margin in 2007 compared to 2006 was primarily due to increased headcount and travel costs, partially offset by higher revenues from a larger installed base.

Service and Components

The increase in the Service and Components gross margin in 2008 compared to 2007 was primarily due to improvements in parts usage, partially offset by an increase in labor costs in Europe as we realigned our European operations to service higher-end units. In addition, we gained efficiencies as revenues grew.

The decrease in the Service and Components gross margin in 2007 compared to 2006 was primarily due to increased headcount and travel costs, partially offset by higher revenues from a larger installed base.

Service and
Components

The increase in the Service and Components gross margin in 2008 compared to 2007 was primarily due to improvements in parts usage, partially
offset by an increase in labor costs in Europe as we realigned our European operations to service higher-end units. In addition, we gained efficiencies as revenues grew.

FACE="Times New Roman" SIZE="2">The decrease in the Service and Components gross margin in 2007 compared to 2006 was primarily due to increased headcount and travel costs, partially offset by higher revenues from a larger installed base.


Service and
Components

The increase in the Service and Components gross margin in 2008 compared to 2007 was primarily due to improvements in parts usage, partially
offset by an increase in labor costs in Europe as we realigned our European operations to service higher-end units. In addition, we gained efficiencies as revenues grew.

FACE="Times New Roman" SIZE="2">The decrease in the Service and Components gross margin in 2007 compared to 2006 was primarily due to increased headcount and travel costs, partially offset by higher revenues from a larger installed base.


This excerpt taken from the FEIC 10-Q filed Oct 31, 2008.

Service and Components

The increase in the Service and Components gross margin in the thirteen week period ended September 28, 2008 compared to the same period of 2007 was primarily due to improvements in parts usage, partially offset by an increase in labor costs in Europe as we realigned our European operations to service higher-end units in the thirty-nine week period ended September 28, 2008 compared to the same period of 2007. In addition, a shift in the mix to more Research and Industry and less Electronics negatively affected our Service and Components gross margin. The Electronics business typically has higher margins due to the complexity of the tools.

 

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This excerpt taken from the FEIC 10-Q filed Aug 1, 2008.

Service and Components

The increase in the Service and Components gross margin in the thirteen week period ended June 29, 2008 compared to the same period of 2007 was primarily due to improvements in parts usage, partially offset by an increase in labor costs in Europe as we realigned our European operations to service higher-end units in the twenty-six week period ended June 29, 2008 compared to the same period of 2007. In addition, a shift in the mix to more Research and Industry and less Electronics negatively affected our Service and Components gross margin. The Electronics business typically has higher margins due to the complexity of the tools.

 

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This excerpt taken from the FEIC 10-Q filed May 2, 2008.

Service and Components

The decrease in the Service and Components gross margin in the first quarter of 2008 compared to the first quarter of 2007 was primarily due to an increase in labor and parts costs in Europe as we realigned our European operations to service higher-end units. In addition, a shift in the mix to more Research and Industry and less Electronics negatively affected our Service and Components gross margin. The Electronics business typically has higher margins due to the complexity of the tools.

These excerpts taken from the FEIC 10-K filed Feb 29, 2008.

Service and Components

 

The decrease in the Service and Components gross margin in 2007 compared to 2006 was primarily due to increased headcount and travel costs, partially offset by higher revenues from a larger installed base.

 

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The increase in the Service and Components gross margin in 2006 compared to 2005 was primarily due to efficiencies gained as net sales increased and a reduction in inventory write-downs in 2006 compared to 2005, partially offset by higher repair costs and material usage.

 

Service and Components



 



The decrease in the Service and
Components gross margin in 2007 compared to 2006 was primarily due to increased
headcount and travel costs, partially offset by higher revenues from a larger
installed base.



 



32
















 



The increase in the Service and
Components gross margin in 2006 compared to 2005 was primarily due to
efficiencies gained as net sales increased and a reduction in inventory
write-downs in 2006 compared to 2005, partially offset by higher repair costs
and material usage.



 



This excerpt taken from the FEIC 10-Q filed Nov 2, 2007.

Service and Components

The decreases in the Service and Components gross margins in the thirteen and thirty-nine week periods ended September 30, 2007 compared to the same periods of 2006 were primarily due to increased headcount and  travel costs. The increased headcount is in anticipation of increased service needs due to increased sales. These factors were partially offset by higher revenues from a larger installed base.

 

This excerpt taken from the FEIC 10-Q filed Aug 2, 2007.

Service and Components

The decrease in the Service and Components gross margin in the thirteen week period ended July 1, 2007 compared to the same period of the prior year was primarily due to increased headcount in anticipation of higher sales and the need for more technicians for system installations and increased travel costs. This decrease was offset in the twenty-six week period ended July 1, 2007 compared to the same period of 2006 due to higher revenues from a larger installed base.

This excerpt taken from the FEIC 10-Q filed May 4, 2007.

Service and Components

The increase in the Service and Components gross margin in the first quarter of 2007 compared to the first quarter of 2006 was primarily due to fewer inventory write-offs and higher volumes, which led to better utilization of facilities.

This excerpt taken from the FEIC 10-K filed Mar 1, 2007.

Service and Components

The increase in the Service and Components gross margin in 2006 compared to 2005 was primarily due to efficiencies gained as net sales increased and a reduction in inventory write-downs in 2006 compared to 2005, partially offset by higher repair costs and material usage.

The decrease in the Service and Components gross margin in 2005 compared to 2004 was primarily due to higher parts costs in the service organization as a percentage of revenues in 2005 compared to 2004. The increase in parts costs was the result of general price increases, increased inventory write-offs and increased parts usage for products under service contracts. In addition, a shift in mix between new component sales versus component refurbishments, as well as an overall decrease in component volume contributed to the decrease in gross margins. The margins on our refurbishment work are typically greater than those on our new components.

This excerpt taken from the FEIC 10-Q filed Nov 3, 2006.

Service and Components

The decreases in the Service and Components gross margins in the thirteen and thirty-nine week periods ended October 1, 2006 compared to the same periods of 2005 were primarily due to higher repair costs, material usage and inventory write-offs, which occurred in the first quarter of 2006.

This excerpt taken from the FEIC 10-Q filed Aug 4, 2006.

Service and Components

The decrease in the Service and Components gross margins in the twenty-six week period ended July 2, 2006 compared to the same period of 2005 was primarily due to higher repair costs, material usage and inventory write-offs, which occurred in the first quarter of 2006.

This excerpt taken from the FEIC 8-K filed May 15, 2006.

Service and Components

 

The decrease in margins in our service segment in 2005 compared to 2004 was primarily due to higher parts costs in the service organization as a percentage of revenues in 2005 compared to 2004. The increase in parts costs was the result of general price increases and increased parts usage for products under service contracts. Component gross margins also decreased primarily due to a shift in mix between new components sales versus component refurbishments, as well as an overall decrease in volume to cover fixed costs. The margins on our refurbishment work are typically greater than those on our new components.

 

The decrease in margins in service in 2004 compared to 2003 primarily was due to increases in parts, labor and travel related expenses to support our products introduced in 2003, including the Certus products, our small stage DualBeam systems and our CLM 3D Metrology Systems in both the United States and Europe. We increased headcount in the service segment of our business by approximately 8%, or 38 people, in 2004 compared to 2003. Component gross margins also decreased primarily due to decreases in units produced, as well as a shift in mix of component products produced in 2004 compared to 2003.

 


This excerpt taken from the FEIC 10-Q filed May 10, 2006.

Service and Components

 

The decrease in the Service and Components gross margin in the first quarter of 2006 compared to the first quarter of 2005 was primarily due to higher repair costs, material usage and inventory write-offs.

 

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