News Details

Veeco Reports Fourth Quarter and Fiscal Year 2015 Financial Results

February 22, 2016

PLAINVIEW, NY -- (Marketwired) -- 02/22/16 -- Fourth Quarter 2015 Highlights

  • Revenues of $106.5 million, down 6% compared with the same period last year
  • GAAP net loss per share of $0.25 and Non-GAAP earnings per share of $0.01
  • Non-GAAP adjusted EBITDA of $4.4 million 

Full Year 2015 Highlights

  • Revenues of $477.0 million, an increase of 21% compared to 2014
  • GAAP net loss per share of $0.80 and Non-GAAP earnings per share of $0.54
  • Non-GAAP adjusted EBITDA of $41.7 million 

Veeco Instruments Inc. (NASDAQ: VECO) announced financial results for its fourth quarter and fiscal year ended December 31, 2015. Results are reported in accordance with U.S. generally accepted accounting principles ("GAAP") and are also reported adjusting for certain items ("Non-GAAP"). A reconciliation between GAAP and Non-GAAP operating results is provided at the end of this press release.

      
 U.S. Dollars in millions, except per share data    
    4th Quarter Full Year
GAAP Results Q4 '15 Q4 '14 2015 2014  
Revenue $106.5 $113.6 $477.0 $392.9  
Net income (loss) ($9.8) ($56.9) ($32.0) ($66.9)  
Diluted earnings (loss) per share ($0.25) ($1.44) ($0.80) ($1.70)  
           
    4th Quarter Full Year
Non-GAAP Results Q4 '15 Q4 '14 2015 2014  
Adjusted EBITDA $4.4 $8.3 $41.7 $2.6  
Net income (loss) $0.6 $5.1 $22.1 ($4.1)  
Diluted earnings (loss) per share $0.01 $0.13 $0.54 ($0.10)  
                     

"We ended 2015 on a positive note, delivering solid Q4 revenue and adjusted EBITDA and exceeding the high end of our guidance range for gross margin. Q4 bookings doubled sequentially to $107 million, bolstered by record-level orders for our Precision Surface Processing ("PSP") products. PSP has enabled us to significantly expand our footprint in the RF and MEMS markets and also gain entry into the high growth Advanced Packaging space. With focus and execution, we exceeded our 2015 revenue plans for PSP which contributed to annual revenue growth of 21 percent for the company," commented John R. Peeler, Chairman and Chief Executive Officer.

"Entering 2016, we continue to face a weak macro-economic environment and challenging LED industry conditions. As a result, we expect investments for Metal Organic Chemical Vapor Deposition ("MOCVD") equipment will remain soft through the first half of this year. During this time, we continue to strengthen our product portfolio and recently introduced the TurboDisc® K475i™ MOCVD reactor to complement our industry leading EPIK™ 700 MOCVD product. We remain focused on positioning the Company for long term growth and are encouraged by our prospects," Mr. Peeler concluded.

Guidance and Outlook

The following guidance is provided for Veeco's first quarter 2016:

  • Revenue is expected to be in the range of $70 million to $80 million
  • Adjusted EBITDA (loss) is expected to be in the range of ($9) million to ($5) million
  • GAAP earnings (loss) per share are expected to be in the range of ($0.62) to ($0.52)
  • Non-GAAP earnings (loss) per share are expected to be in the range of ($0.35) to ($0.25)

Please refer to the tables at the end of this press release for further details.

Conference Call Information

A conference call reviewing these results has been scheduled for today, February 22, 2016 starting at 5:00pm ET. To join the call, dial 1-888-438-5491 (toll free) or 1-719-785-1765 and use passcode 4400150. The call will also be webcast live on the Veeco website at ir.veeco.com. A replay of the webcast will be made available on the Veeco website beginning at 8:00pm ET this evening. We will post an accompanying slide presentation to our website prior to the beginning of the call.

About Veeco

Veeco's process equipment solutions enable the manufacture of LEDs, displays, power electronics, compound semiconductors, hard disk drives, semiconductors, MEMS and wireless chips. We are the leader in MOCVD, MBE, Ion Beam, Wet Etch single wafer processing and other advanced thin film process technologies. Our high performance systems drive innovation in energy efficiency, consumer electronics and network storage and allow our customers to maximize productivity and achieve lower cost of ownership. For information on our company, products and worldwide service and support, please visit www.veeco.com.

To the extent that this news release discusses expectations or otherwise makes statements about the future, such statements are forward-looking and are subject to a number of risks and uncertainties that could cause actual results to differ materially from the statements made. These factors include the risks discussed in the Business Description and Management's Discussion and Analysis sections of Veeco's Annual Report on Form 10-K for the year ended December 31, 2014 and in our subsequent quarterly reports on Form 10-Q, current reports on Form 8-K and press releases. Veeco does not undertake any obligation to update any forward-looking statements to reflect future events or circumstances after the date of such statements.

   
   
Veeco Instruments Inc. and Subsidiaries  
Condensed Consolidated Statements of Operations  
(In thousands, except per share amounts)  
   
  Three months ended December 31,     For the year ended December 31,  
 
  2015     2014     2015     2014  
Net sales $ 106,543     $ 113,569     $ 477,038     $ 392,873  
Cost of sales   67,757       75,695       299,797       257,991  
Gross profit   38,786       37,874       177,241       134,882  
Operating expenses, net:                              
  Selling, general, and administrative   21,036       24,490       90,188       89,760  
  Research and development   20,639       20,424       78,543       81,171  
  Amortization   5,802       4,195       27,634       13,146  
  Restructuring   1,170       884       4,679       4,394  
  Asset impairment         55,306       126       58,170  
  Changes in contingent consideration                     (29,368 )
  Other, net   98       (2,848 )     (697 )     (3,182 )
Total operating expenses, net   48,745       102,451       200,473       214,091  
Operating income (loss)   (9,959 )     (64,577 )     (23,232 )     (79,209 )
  Interest income, net   145       314       586       855  
Income (loss) before income taxes   (9,814 )     (64,263 )     (22,646 )     (78,354 )
Income tax expense (benefit)   (26 )     (7,351 )     9,332       (11,414 )
Net income (loss) $ (9,788 )   $ (56,912 )   $ (31,978 )   $ (66,940 )
                               
Income (loss) per common share:                              
  Basic $ (0.25 )   $ (1.44 )   $ (0.80 )   $ (1.70 )
  Diluted $ (0.25 )   $ (1.44 )   $ (0.80 )   $ (1.70 )
                               
Weighted average number of shares:                              
  Basic
  39,794       39,446       39,742       39,350  
  Diluted
  39,794       39,446       39,742       39,350  
                                 
 
 
Veeco Instruments Inc. and Subsidiaries
Condensed Consolidated Balance Sheets
(In thousands)
       
       
  December 31, 2015   December 31, 2014
Assets          
Current assets:          
  Cash and cash equivalents $ 269,232   $ 270,811
  Short-term investments   116,050     120,572
  Restricted cash       539
  Accounts receivable, net   49,524     60,085
  Inventories   77,469     61,471
  Deferred cost of sales   2,100     5,076
  Prepaid expenses and other current assets   22,760     23,132
  Assets held for sale   5,000     6,000
  Deferred income taxes       7,976
    Total current assets   542,135     555,662
Property, plant and equipment, net   79,590     78,752
Intangible assets, net   131,674     159,308
Goodwill   114,908     114,959
Deferred income taxes   1,384     1,180
Other assets   21,098     19,594
    Total assets $ 890,789   $ 929,455
           
Liabilities and stockholders' equity          
Current liabilities:          
  Accounts payable $ 30,074   $ 18,111
  Accrued expenses and other current liabilities   49,393     48,418
  Customer deposits and deferred revenue   76,216     96,004
  Income taxes payable   6,208     5,441
  Deferred income taxes       120
  Current portion of long-term debt   340     314
    Total current liabilities   162,231     168,408
Deferred income taxes   11,211     16,397
Long-term debt   1,193     1,533
Other liabilities   1,539     4,185
    Total liabilities   176,174     190,523
           
    Total stockholders' equity   714,615     738,932
           
      Total liabilities and stockholders' equity $ 890,789   $ 929,455
                 
   
   
Veeco Instruments Inc. and Subsidiaries  
Reconciliation of GAAP to Non-GAAP Financial Data  
(In thousands, except per share data)  
(Unaudited)  
                                 
          Non-GAAP Adjustments          
Three months ended
December 31, 2015
  GAAP     Share-based Compensation     Acquisition Related     Other       Non-GAAP  
Net sales   $ 106,543     $     $     $       $ 106,543  
Cost of sales     67,757       (393 )                   67,364  
Gross profit     38,786       393                     39,179  
  Gross margin     36.4 %                               36.8 %
Operating expenses, net:                                          
  Selling, general, and administrative     21,036       (2,277 )     (188 )             18,571  
  Research and development     20,639       (1,292 )                   19,347  
  Amortization     5,802             (5,802 )              
  Restructuring     1,170                   (1,170 )        
  Other, net     98                           98  
Total operating expenses, net     48,745       (3,569 )     (5,990 )     (1,170 )       38,016  
Operating income (loss)     (9,959 )     3,962       5,990       1,170         1,163  
  Interest income, net     145                           145  
Income (loss) before income taxes     (9,814 )     3,962       5,990       1,170         1,308  
Income tax expense (benefit)     (26 )                 760    (a   734  
Net income (loss)   $ (9,788 )   $ 3,962     $ 5,990     $ 410       $ 574  
                                           
Income (loss) per common share:                                          
  Basic earnings per share   $ (0.25 )                             $ 0.01  
  Diluted earnings per share   $ (0.25 )                             $ 0.01  
                                           
Weighted average number of shares:                                          
  Basic shares     39,794                                 40,644  
  Diluted shares     39,794                                 40,731  
                                           
Non-GAAP operating income                                     $ 1,163  
  Depreciation                                       3,282  
    Adjusted EBITDA                                     $ 4,445  

Note:  Amounts may not calculate precisely due to rounding.                   
                      
(a) Primarily due to a change in deferred tax liabilities related to the PSP acquisition.               
                      
This table includes financial measures adjusted for the impact of certain items; these financial measures are therefore not calculated in accordance with U.S. generally accepted accounting principles ("GAAP"). These Non-GAAP financial measures exclude items such as: share-based compensation expense; nonrecurring charges relating to restructuring initiatives, non-cash asset impairments, certain other non-operating gains and losses, and acquisition-related items such as one-time transaction costs, non-cash amortization of acquired intangible assets, incremental nonrecurring compensation, and the stepped-up cost of sales associated with the purchase accounting of acquired inventory. 
 
These Non-GAAP financial measures may be different from Non-GAAP financial measures used by other companies. Non-GAAP financial measures should not be considered as a substitute for, or superior to, measures of financial performance prepared in accordance with GAAP. By excluding these items, Non-GAAP financial measures are intended to facilitate meaningful comparisons to historical operating results, competitors' operating results, and estimates made by securities analysts. Management is evaluated on key performance metrics including adjusted EBITDA, which is used to determine management incentive compensation as well as forecast future periods. These Non-GAAP financial measures may be useful to investors in allowing for greater transparency of supplemental information used by management in its financial and operational decision-making. In addition, similar Non-GAAP financial measures have historically been reported to investors; the inclusion of comparable numbers provides consistency in financial reporting. Investors are encouraged to review the reconciliation of the Non-GAAP financial measures used in this news release to their most directly comparable GAAP financial measures. 
 
   
   
Veeco Instruments Inc. and Subsidiaries  
Reconciliation of GAAP to Non-GAAP Financial Data  
(In thousands, except per share data)  
(Unaudited)  
                                   
          Non-GAAP Adjustments          
Three months ended
December 31, 2014
  GAAP     Share-based Compensation     Acquisition Related       Other       Non-GAAP  
Net sales   $ 113,569     $     $       $       $ 113,569  
Cost of sales     75,695       (657 )     (5,175 ) (a )           69,863  
Gross profit     37,874       657       5,175                 43,706  
  Gross margin     33.3 %                                 38.5 %
Operating expenses:                                            
  Selling, general, and administrative     24,490       (2,667 )     (3,242 ) (b )           18,581  
  Research and development     20,424       (1,185 )                     19,239  
  Amortization     4,195             (4,195 )                
  Restructuring     884                     (884 )        
  Asset impairment     55,306                     (55,306 )        
  Other, net     (2,848 )                   3,142   (c )   294  
Total operating expenses, net     102,451       (3,852 )     (7,437 )       (53,048 )       38,114  
Operating income (loss)     (64,577 )     4,509       12,612         53,048         5,592  
  Interest income, net     314                             314  
Income (loss) before income taxes     (64,263 )     4,509       12,612         53,048         5,906  
Income tax expense (benefit)     (7,351 )           2,705   (d )   5,428   (e )   782  
Net income (loss)   $ (56,912 )   $ 4,509     $ 9,907       $ 47,620       $ 5,124  
                                             
Income (loss) per common share:                                            
  Basic earnings per share   $ (1.44 )                               $ 0.13  
  Diluted earnings per share   $ (1.44 )                               $ 0.13  
                                             
Weighted average number of shares:                                            
  Basic shares     39,446                                   39,446  
  Diluted shares     39,446                                   40,072  
                                             
Non-GAAP operating income                                       $ 5,592  
  Depreciation                                         2,728  
    Adjusted EBITDA                                       $ 8,320  

Note:  Amounts may not calculate precisely due to rounding. 
                    
(a) The inventory fair value step-up associated with the PSP acquisition's purchase accounting.         
(b) One-time PSP acquisition related transaction costs.                 
(c) One-time cumulative translation gain related to the liquidation of our Japanese subsidiary.         
(d) Valuation allowance reversal associated with the recognition of deferred tax liabilities related to the PSP acquisition.     
(e) $4.9 million tax liability reversal related to an incentive tax rate in a foreign subsidiary as well as utilization of the 'with or without' method. 
                    
This table includes financial measures adjusted for the impact of certain items; these financial measures are therefore not calculated in accordance with U.S. generally accepted accounting principles ("GAAP"). These Non-GAAP financial measures exclude items such as: share-based compensation expense; nonrecurring charges relating to restructuring initiatives, non-cash asset impairments, certain other non-operating gains and losses, and acquisition-related items such as one-time transaction costs, non-cash amortization of acquired intangible assets, incremental nonrecurring compensation, and the stepped-up cost of sales associated with the purchase accounting of acquired inventory. 
 
These Non-GAAP financial measures may be different from Non-GAAP financial measures used by other companies. Non-GAAP financial measures should not be considered as a substitute for, or superior to, measures of financial performance prepared in accordance with GAAP. By excluding these items, Non-GAAP financial measures are intended to facilitate meaningful comparisons to historical operating results, competitors' operating results, and estimates made by securities analysts. Management is evaluated on key performance metrics including adjusted EBITDA, which is used to determine management incentive compensation as well as forecast future periods. These Non-GAAP financial measures may be useful to investors in allowing for greater transparency of supplemental information used by management in its financial and operational decision-making. In addition, similar Non-GAAP financial measures have historically been reported to investors; the inclusion of comparable numbers provides consistency in financial reporting. Investors are encouraged to review the reconciliation of the Non-GAAP financial measures used in this news release to their most directly comparable GAAP financial measures. 
 
   
   
Veeco Instruments Inc. and Subsidiaries  
Reconciliation of GAAP to Non-GAAP Financial Data  
(In thousands, except per share data)  
(Unaudited)  
                                   
          Non-GAAP Adjustments          
For the year ended
December 31, 2015
  GAAP     Share-based Compensation     Acquisition Related       Other       Non-GAAP  
Net sales   $ 477,038     $     $       $       $ 477,038  
Cost of sales     299,797       (2,495 )     (1,311 ) (a )           295,991  
Gross profit     177,241       2,495       1,311                 181,047  
  Gross margin     37.2 %                                 38.0 %
Operating expenses, net:                                            
  Selling, general, and administrative     90,188       (11,474 )     (563 )               78,151  
  Research and development     78,543       (4,031 )                     74,512  
  Amortization     27,634             (27,634 )                
  Restructuring     4,679                     (4,679 )        
  Asset impairment     126                     (126 )        
  Other, net     (697 )                   (395 ) (b )   (1,092 )
Total operating expenses, net     200,473       (15,505 )     (28,197 )       (5,200 )       151,571  
Operating income (loss)     (23,232 )     18,000       29,508         5,200         29,476  
  Interest income, net     586                             586  
Income (loss) before income taxes     (22,646 )     18,000       29,508         5,200         30,062  
Income tax expense (benefit)     9,332                     (1,334 ) (c )   7,998  
Net income (loss)   $ (31,978 )   $ 18,000     $ 29,508       $ 6,534       $ 22,064  
                                             
Income (loss) per common share:                                            
  Basic earnings per share   $ (0.80 )                               $ 0.54  
  Diluted earnings per share   $ (0.80 )                               $ 0.54  
                                             
Weighted average number of shares:                                            
  Basic shares     39,742                                   40,759  
  Diluted shares     39,742                                   40,905  
                                             
Non-GAAP operating income                                       $ 29,476  
  Depreciation                                         12,216  
    Adjusted EBITDA                                       $ 41,692  

Note:  Amounts may not calculate precisely due to rounding.                 
                    
(a) The inventory fair value step-up associated with the PSP acquisition's purchase accounting. 
(b) The non-GAAP adjustment relates to a nonrecurring legal settlement. 
(c) Primarily due to a change in deferred tax liabilities related to the PSP acquisition.              
                    
This table includes financial measures adjusted for the impact of certain items; these financial measures are therefore not calculated in accordance with U.S. generally accepted accounting principles ("GAAP"). These Non-GAAP financial measures exclude items such as: share-based compensation expense; nonrecurring charges relating to restructuring initiatives, non-cash asset impairments, certain other non-operating gains and losses, and acquisition-related items such as one-time transaction costs, non-cash amortization of acquired intangible assets, incremental nonrecurring compensation, and the stepped-up cost of sales associated with the purchase accounting of acquired inventory. 
 
These Non-GAAP financial measures may be different from Non-GAAP financial measures used by other companies. Non-GAAP financial measures should not be considered as a substitute for, or superior to, measures of financial performance prepared in accordance with GAAP. By excluding these items, Non-GAAP financial measures are intended to facilitate meaningful comparisons to historical operating results, competitors' operating results, and estimates made by securities analysts. Management is evaluated on key performance metrics including adjusted EBITDA, which is used to determine management incentive compensation as well as forecast future periods. These Non-GAAP financial measures may be useful to investors in allowing for greater transparency of supplemental information used by management in its financial and operational decision-making. In addition, similar Non-GAAP financial measures have historically been reported to investors; the inclusion of comparable numbers provides consistency in financial reporting. Investors are encouraged to review the reconciliation of the Non-GAAP financial measures used in this news release to their most directly comparable GAAP financial measures. 
 
   
   
Veeco Instruments Inc. and Subsidiaries  
Reconciliation of GAAP to Non-GAAP Financial Data  
(In thousands, except per share data)  
(Unaudited)  
                                   
          Non-GAAP Adjustments          
For the year ended
December 31, 2014
  GAAP     Share-based Compensation     Acquisition Related       Other       Non-GAAP  
Net sales   $ 392,873     $     $       $       $ 392,873  
Cost of sales     257,991       (2,456 )     (5,175 ) (a )           250,360  
Gross profit     134,882       2,456       5,175                 142,513  
  Gross margin     34.3 %                                 36.3 %
Operating expenses, net:                                            
  Selling, general, and administrative     89,760       (11,859 )     (3,242 ) (b )           74,659  
  Research and development     81,171       (4,498 )                     76,673  
  Amortization     13,146             (13,146 )                
  Restructuring     4,394                     (4,394 )        
  Asset impairment     58,170                     (58,170 )        
  Changes in contingent consideration     (29,368 )                   29,368          
  Other, net     (3,182 )                   3,142   (c )   (40 )
Total operating expenses, net     214,091       (16,357 )     (16,388 )       (30,054 )       151,292  
Operating income (loss)     (79,209 )     18,813       21,563         30,054         (8,779 )
  Interest income, net     855                             855  
Income (loss) before income taxes     (78,354 )     18,813       21,563         30,054         (7,924 )
Income tax expense (benefit)     (11,414 )           2,705   (d )   4,908   (e )   (3,801 )
Net income (loss)   $ (66,940 )   $ 18,813     $ 18,858       $ 25,146       $ (4,123 )
                                             
Income (loss) per common share:                                            
  Basic earnings per share   $ (1.70 )                               $ (0.10 )
  Diluted earnings per share   $ (1.70 )                               $ (0.10 )
                                             
Weighted average number of shares:                                            
  Basic shares     39,350                                   39,350  
  Diluted shares     39,350                                   39,350  
                                             
Non-GAAP operating income (loss)                                       $ (8,779 )
  Depreciation                                         11,426  
    Adjusted EBITDA                                       $ 2,647  

Note:  Amounts may not calculate precisely due to rounding.                 
                    
(a) The inventory fair value step-up associated with the PSP acquisition's purchase accounting.         
(b) One-time PSP acquisition related transaction costs.                 
(c) One-time cumulative translation gain related to the liquidation of our Japanese subsidiary.         
(d) Valuation allowance reversal associated with the recognition of deferred tax liabilities related to the PSP acquisition.     
(e) $4.9 million tax liability reversal related to an incentive tax rate in a foreign subsidiary as well as utilization of the 'with or without' method. 
  
This table includes financial measures adjusted for the impact of certain items; these financial measures are therefore not calculated in accordance with U.S. generally accepted accounting principles ("GAAP"). These Non-GAAP financial measures exclude items such as: share-based compensation expense; nonrecurring charges relating to restructuring initiatives, non-cash asset impairments, certain other non-operating gains and losses, and acquisition-related items such as one-time transaction costs, non-cash amortization of acquired intangible assets, incremental nonrecurring compensation, and the stepped-up cost of sales associated with the purchase accounting of acquired inventory. 
 
These Non-GAAP financial measures may be different from Non-GAAP financial measures used by other companies. Non-GAAP financial measures should not be considered as a substitute for, or superior to, measures of financial performance prepared in accordance with GAAP. By excluding these items, Non-GAAP financial measures are intended to facilitate meaningful comparisons to historical operating results, competitors' operating results, and estimates made by securities analysts. Management is evaluated on key performance metrics including adjusted EBITDA, which is used to determine management incentive compensation as well as forecast future periods. These Non-GAAP financial measures may be useful to investors in allowing for greater transparency of supplemental information used by management in its financial and operational decision-making. In addition, similar Non-GAAP financial measures have historically been reported to investors; the inclusion of comparable numbers provides consistency in financial reporting. Investors are encouraged to review the reconciliation of the Non-GAAP financial measures used in this news release to their most directly comparable GAAP financial measures. 
 
   
   
Veeco Instruments Inc. and Subsidiaries  
Reconciliation of GAAP to Non-GAAP Financial Data  
(In millions, except per share data)  
(Unaudited)  
                               
              Non-GAAP Adjustments            
Guidance for the three months ended March 31, 2016 GAAP     Share-based Compensation   Acquisition Related   Non-GAAP  
Net sales $ 70   - $ 80     $ -   $ -   $ 70   - $ 80  
                                           
Gross profit   25   -   30       1     -     26   -   31  
  Gross margin   36 % -   38 %                 37 % -   39 %
                                           
                                           
Operating income   (23 ) -   (19 )     5     5     (13 ) -   (9 )
  Depreciation                               4       4  
    Adjusted EBITDA                             $ (9 ) - $ (5 )
                                           
                                           
Net income (loss)   (24 ) -   (20 )     5     5     (14 ) -   (10 )
                                           
Income (loss) per diluted common share $ (0.62 ) - $ (0.52 )               $ (0.35 ) - $ (0.25 )
  Weighted average number of shares   39       39                   39       39  

Note:  Amounts may not calculate precisely due to rounding.                     
                        
This table includes financial measures adjusted for the impact of certain items; these financial measures are therefore not calculated in accordance with U.S. generally accepted accounting principles ("GAAP"). These Non-GAAP financial measures exclude items such as: share-based compensation expense; nonrecurring charges relating to restructuring initiatives, non-cash asset impairments, certain other non-operating gains and losses, and acquisition-related items such as one-time transaction costs, non-cash amortization of acquired intangible assets, incremental nonrecurring compensation, and the stepped-up cost of sales associated with the purchase accounting of acquired inventory. 
 
These Non-GAAP financial measures may be different from Non-GAAP financial measures used by other companies. Non-GAAP financial measures should not be considered as a substitute for, or superior to, measures of financial performance prepared in accordance with GAAP. By excluding these items, Non-GAAP financial measures are intended to facilitate meaningful comparisons to historical operating results, competitors' operating results, and estimates made by securities analysts. Management is evaluated on key performance metrics including adjusted EBITDA, which is used to determine management incentive compensation as well as forecast future periods. These Non-GAAP financial measures may be useful to investors in allowing for greater transparency of supplemental information used by management in its financial and operational decision-making. In addition, similar Non-GAAP financial measures have historically been reported to investors; the inclusion of comparable numbers provides consistency in financial reporting. Investors are encouraged to review the reconciliation of the Non-GAAP financial measures used in this news release to their most directly comparable GAAP financial measures. 

Veeco Contacts:

Investors:
Shanye Hudson
516-677-0200 x1272 
shudson@veeco.com

Media:
Jeffrey Pina
516-677-0200 x1222
jpina@veeco.com

Source: Veeco Instruments Inc.