Ultratech, Inc. (NASDAQ:UTEK) a leading supplier of lithography, laser-processing and inspection systems used to manufacture semiconductor devices and high-brightness LEDs (HB-LEDs), today announced unaudited results for the three-month period ended October 1, 2016.

For the third quarter of fiscal 2016, Ultratech reported net sales of $48.6 million as compared to $33.1 million during the third quarter of fiscal 2015.

On a GAAP basis, Ultratech’s net income for the third quarter of fiscal 2016 was $5.5 million, or $0.20 per share, as compared to net loss of $6.1 million, or $0.22 per share, for the same quarter last year.

On a non-GAAP basis, Ultratech’s net income for the third quarter of fiscal 2016 was $8.0 million, or $0.29 per share, as compared to net loss of $1.3 million, or $0.05 per share, for the same quarter last year.

Arthur W. Zafiropoulo, Chairman and Chief Executive Officer, stated, “Our third quarter revenues increased by 47 percent as compared with a year ago, driven by higher sales of our inspection, laser spike annealing, and advanced packaging product lines. As compared with the second quarter of 2016, sales were lower by approximately one percent, due in part to the timing of shipments for our LSA systems which we believe was impacted by the recent typhoons in Taiwan. In the third quarter of 2016, we saw continued strength in sales of our inspection products, which grew by 70 percent in the quarter. Looking ahead, we expect increased sales of our LSA tools as our foundry customers continue to expect an extended 28nm production node.”

At October 1, 2016, Ultratech had $267.0 million in cash, cash equivalents and short-term investments. Working capital was $334.4 million and stockholders’ equity was $13.34 per share based on 26,868,613 total shares outstanding as of October 1, 2016.

Conference Call Information

The conference call will be broadcast live over the Internet beginning at 11:00 a.m. Eastern Time / 8:00 a.m. Pacific Time today. To listen to the call, dial 800-310-1961 (toll free) or 719-325-2309 (international) 10 minutes prior to the start time. The passcode is 6523806. A live webcast will also be available on the Investor Relations section of Ultratech’s website at http://ir.ultratech.com. A replay of the call will be available at the same location or by dialing 888-203-1112 and entering access code 6523806.

Non-GAAP Financial Measures

Ultratech prepares its financial statements in accordance with generally accepted accounting principles (GAAP) for the United States and supplements its GAAP financial results by providing non-GAAP measures to evaluate the operating performance of the company. Ultratech’s presentation of non-GAAP net income is defined as GAAP net income excluding the impact of share-based compensation, restructuring, amortization of purchased intangible assets and non-recurring legal expenses. Management believes the presentation of this non-GAAP measure provides useful information to both management and investors by enhancing the overall understanding of Ultratech’s core operating performance and enabling the comparison of Ultratech’s results of operations to its historical results operations as well as to the results of operations of its competitors. Ultratech believes excluding share-based compensation enhances the ability of management and investors to evaluate its performance without reference to this expense and to provide an alternate measure for comparing Ultratech’s performance historically and to its competitors. Further, management believes presenting a non-GAAP financial measure that excludes restructuring, amortization of purchased intangible assets and non-recurring legal expenses provides management and investors an alternate measure to evaluate Ultratech’s performance without reference to charges that it does not believe are reflective of its core operating performance or ongoing operations. A description of the non-GAAP calculations and a reconciliation to comparable GAAP financial measures are provided in the accompanying table entitled “Reconciliation of GAAP Net Income (Loss) to Non-GAAP Net Income (Loss).” Readers are reminded that non-GAAP information is merely a supplement to, and not a replacement for, GAAP financial measures.