Entegris Reports Third-Quarter Sales of $184 Million

Entegris Reports Third-Quarter Sales of $184 Million

Advanced Product Sales Remain Strong; Non-GAAP EPS of $0.16; Bertrand Loy,
COO, to Succeed Gideon Argov as CEO

BILLERICA, Mass., Oct. 24, 2012 (GLOBE NEWSWIRE) -- Entegris, Inc.
(Nasdaq:ENTG) today reported its financial results for the Company's third
quarter ended September 29, 2012 and announced a CEO succession.

The Company recorded third-quarter sales of $184.4 million, a decline of 2
percent sequentially, and a 7 percent increase from the prior year third
quarter. The third-quarter operating margin was 14.7 percent. Excluding
amortization of intangible assets of $2.4 million and a one-time pre-tax
charge of $3.9 million, or $0.02 per share, triggered by the CEO transition,
the third-quarter adjusted operating margin was 18.1 percent. Net income for
the third quarter was $18.0 million, or $0.13 per share. Non-GAAP earnings per
share of $0.16 in the third quarter of 2012 compared to $0.16 in the second
quarter of 2012 and $0.17 in the third quarter of 2011. A reconciliation table
of GAAP to non-GAAP earnings per share and operating margin is contained in
this press release.

For the first nine months of fiscal 2012, sales were $548.1 million, down 6.4
percent from the first nine months of 2011. Non-GAAP earnings per diluted
share for the first nine months of 2012 were $0.46 per share versus $0.64 per
share for the same period a year ago.

The Company generated $33.3 million and $76.8 million in cash from operations
in the third quarter and first nine months of 2012, respectively, and ended
the third quarter with $315.8 million in cash, cash equivalents, and
short-term investments on the balance sheet and no debt.

Gideon Argov, president and chief executive officer, said: "We are pleased
with our third-quarter performance. Although trends in the semiconductor
industry softened in the quarter as expected, there was strong demand for our
advanced filtration and wafer handling solutions as we continue to benefit
from the industry's ramp of 28 nanometer and next-generation semiconductor fab
processes. We also achieved our target operating model and generated strong
cash flow during the quarter."

Entegris also announced that Bertrand Loy, currently chief operating officer
will succeed Gideon Argov as president and CEO as part of a management
succession and transition plan. Effective November 1, 2012, Bertrand Loy will
be promoted to president and elected to the Entegris Board of Directors.
Gideon Argov will continue to serve as chief executive officer and director of
Entegris until November 27, 2012 when Mr. Loy will assume the position of
chief executive officer.

Paul Olson, Entegris' chairman of the board, said, "The board has been
developing a robust succession process with Gideon and Bertrand over the past
two years. Bertrand is the perfect choice to lead Entegris going forward. He
brings a keen intellect, excellent financial and operating skills, a global
mindset, industry recognition, and a proven track record over the course of
his 17-year career serving in senior financial and operating executive roles
for Entegris and its predecessor company, Mykrolis. On behalf of the board, I
want to thank Gideon for his eight years of insightful leadership and for
creating an excellent foundation on which to build for Entegris."

Mr. Argov said, "Entegris is an exceptional company and it has been an honor
and privilege to lead it through a period of transformation change. With the
company on a solid financial footing and performing well, the time is right to
make this transition. I leave the Company in good hands to continue to grow
and extend its market leadership."

Mr. Loy said, "I am excited to be named as the next chief executive officer of
Entegris. Together with Gideon and the global Entegris teams, we have built a
highly successful platform focused on helping leading technology companies
improve their yields and advance their process technologies. I look forward to
leading Entegris into a very promising future."

Fourth-Quarter Outlook

For the fiscal fourth quarter ending December 31, 2012, the Company expects
revenue of $160 to $170 million and EPS to range between $0.09 and $0.11. On a
non-GAAP basis, EPS is expected to range from $0.10 to $0.12, which reflects
net income adjusted for expected amortization expense of $2.3 million or $0.01
per share.

Third-Quarter Results Conference Call Details

Entegris will hold a conference call to discuss its results for the third
quarter on Wednesday, October 24, 2012, at 10:00 a.m. Eastern Time.
Participants should dial 1-719-325-2354 or toll-free 1-888-466-4462,
referencing confirmation code 6466198. Participants are asked to dial in 5 to
10 minutes prior to the start of the call. A replay of the call will be
available starting October 24 at 1:00 p.m. (ET) until December 7, 2012. The
replay can be accessed by using passcode 6466198 after dialing 1-719-457-0820
or 1-888-203-1112. A live and on-demand webcast of the call can also be
accessed from the investor relations section of Entegris' website at
www.entegris.com.

About Entegris

Entegris is a leading provider of a wide range of products for purifying,
protecting and transporting critical materials used in processing and
manufacturing in the semiconductor and other high-tech industries. Entegris is
ISO 9001 certified and has manufacturing, customer service and/or research
facilities in the United States, China, France, Germany, Israel, Japan,
Malaysia, Singapore, South Korea and Taiwan. Additional information can be
found at www.entegris.com.

The Entegris, Inc. logo is available at
http://www.globenewswire.com/newsroom/prs/?pkgid=3700

Non-GAAP Information

The Company's consolidated financial statements are prepared in conformity
with accounting principles generally accepted in the United States (GAAP).
Adjusted EBITDA and Adjusted Operating Income, together with related measures
thereof, and non-GAAP EPS are considered "Non-GAAP financial measures" under
the rules and regulations of the SEC. These financial measures are provided as
a complement to financial measures provided in accordance with GAAP. We
provide non-GAAP financial measures in order to better assess and reflect
operating performance. Management believes the non-GAAP measures help indicate
our baseline performance before certain gains, losses or other charges and
credits that may not be indicative of our business or future outlook. We
believe these non-GAAP measures will aid investors' overall understanding of
our results by providing a higher degree of transparency for certain expenses
and providing a level of disclosure that will help investors understand how we
plan and measure our business. The presentation of non-GAAP measures is not
meant to be considered in isolation, as a substitute for, or superior to,
financial measures or information provided in accordance with GAAP. The
calculations of Adjusted EBITDA, Adjusted Operating Income, together with
related measures thereof, and non-GAAP EPS are included elsewhere in this
release.

Forward-Looking Statements

Certain information contained in this press release may constitute
forward-looking statements within the meaning of the Private Securities
Litigation Reform Act of 1995. These forward-looking statements are based on
current management expectations only as of the date of this press release, and
involve substantial risks and uncertainties that could cause actual results to
differ materially from the results expressed in, or implied by, these
forward-looking statements. Statements that include such words as
"anticipate," "believe," "estimate," "expect," "forecast," "may," "will,"
"should" or the negative thereof and similar expressions as they relate to
Entegris or our management are intended to identify such forward-looking
statements. These statements are not guarantees of future performance and
involve risks, uncertainties and assumptions that are difficult to predict.
These risks include, but are not limited to, fluctuations in the market price
of Entegris' stock, Entegris' future operating results, other acquisition and
investment opportunities available to Entegris, general business and market
conditions and other factors. Additional information concerning these and
other risk factors may be found in previous financial press releases issued by
Entegris and Entegris' periodic public filings with the Securities and
Exchange Commission, including discussions appearing under the headings "Risks
Relating to our Business and Industry," "Manufacturing Risks," "International
Risks," and "Risks Related to Owning Our Securities" in Item 1A of our Annual
Report on Form 10–K for the fiscal year ended December 31, 2011, as well as
other matters and important factors disclosed previously and from time to time
in the filings of Entegris with the U.S. Securities and Exchange Commission.
Except as required under the federal securities laws and the rules and
regulations of the Securities and Exchange Commission, we undertake no
obligation to update publicly any forward-looking statements contained herein.

Entegris, Inc. and Subsidiaries
Condensed Consolidated Statements of Operations
(In thousands, except per share data)
(Unaudited)
                                                                   
                                            Three Months Ended
                                            September 29, October 1, June 30,
                                             2012          2011       2012
Net sales                                    $184,449      $173,014   $188,233
Cost of sales                                102,517       98,186     105,487
Gross profit                                 81,932        74,828     82,746
Selling, general and administrative expenses 39,095        33,533     35,989
Engineering, research and development        13,314        11,957     12,726
expenses
Amortization of intangible assets            2,389         2,505      2,420
Operating income                            27,134        26,833     31,611
Interest (income) expense, net               (40)          (38)       30
Other expense (income), net                  1,481         315        (671)
Income before income taxes and equity in net 25,693        26,556     32,252
income of affiliates
Income tax expense                          7,656         4,582      10,579
Equity in net income of affiliates           --            (14)       --
Net income                                  $18,037       $21,988    $21,673
                                                                   
Basic net income per common share:           $0.13         $0.16      $0.16
Diluted net income per common share:         $0.13         $0.16      $0.16
                                                                   
Weighted average shares outstanding:                                
Basic                                        137,453       134,995    137,303
Diluted                                      138,499       136,305    138,196


Entegris, Inc. and Subsidiaries
Condensed Consolidated Statements of Operations
(In thousands, except per share data)
(Unaudited)
                                                                  
                                                     Nine months ended
                                                     September 29, October 1,
                                                      2012          2011
Net sales                                             $548,085      $585,337
Cost of sales                                         307,163       327,021
Gross profit                                          240,922       258,316
Selling, general and administrative expenses          110,132       108,449
Engineering, research and development expenses        38,029        36,951
Amortization of intangible assets                     7,259         7,763
Operating income                                     85,502        105,153
Interest (income) expense, net                        (12)          650
Other expense (income), net                           648           (1,643)
Income before income taxes and equity in net income   84,866        106,146
of affiliates
Income tax expense                                   27,300        22,550
Equity in net income of affiliates                    (3)           (489)
Net income                                           57,569        84,085
Net income attributable to noncontrolling interest    --            400
Net income attributable to Entegris, Inc.             $57,569       $83,685
                                                                  
Amounts attributable to Entegris, Inc.:                             
Basic net income per common share:                    $0.42         $0.62
Diluted net income per common share:                  $0.42         $0.62
                                                                  
Weighted average shares outstanding:                               
Basic                                                 137,119       134,410
Diluted                                               138,247       135,954


Entegris, Inc. and Subsidiaries
Condensed Consolidated Balance Sheets
(In thousands)
(Unaudited)
                                                           
                                         September 29, 2012 December 31, 2011
ASSETS                                                      
Cash, cash equivalents                   $307,830           $273,593
Short-term investments                    7,997              --
Accounts receivable, net                  111,334            107,223
Inventories                               102,817            93,937
Deferred tax assets, deferred tax charges 15,475             15,805
and refundableincome taxes
Other current assets and assets held for  14,054             12,441
sale
Total current assets                      559,507            502,999
                                                           
Property, plant and equipment, net        151,245            130,554
                                                           
Intangible assets                         51,243             56,453
Deferred tax assets – non-current         26,300             25,119
Other assets                              8,852              9,538
Total assets                              $797,147           $724,663
                                                           
LIABILITIES AND EQUITY                                       
Accounts payable                          $32,973            $30,609
Accrued liabilities                       46,982             47,841
Income tax payable and deferred tax       11,669             14,144
liabilities
Total current liabilities                 91,624             92,594
                                                           
Other liabilities                         22,566             23,831
Shareholders' equity                      682,957            608,238
Total liabilities and shareholders'       $797,147           $724,663
equity


Entegris, Inc. and Subsidiaries
Condensed Consolidated Statements of Cash Flows
(In thousands)
(Unaudited)
                                                              
                          Three Months Ended       Nine Months Ended        
                          September 29, October 1, September 29, October 1,
                           2012          2011       2012          2011
Operating activities:                                          
Net income                $18,037       $21,988    $57,569       $84,085
Adjustments to reconcile
net income to net cash                                         
provided by operating
activities:
Depreciation              7,349         6,763      20,862        20,292
Amortization               2,389         2,505      7,259         7,763
Stock-based compensation   4,096         1,822      8,030         5,784
expense
Other                      (861)         (250)      515           (550)
Changes in operating                                           
assets and liabilities:
Trade accounts and notes   6,045         25,811     (4,290)       15,684
receivable
Inventories                1,374         (1,815)    (9,623)       (4,204)
Accounts payable and       784           (7,264)    1,528         (14,838)
accrued liabilities
Income taxes payable and   (3,225)       (2,868)    (546)         (851)
refundable income taxes
Other                      (2,673)       2,906      (4,483)       (395)
Net cash provided by       33,315        49,598     76,821        112,770
operating activities
Investing activities:                                          
Acquisition of property    (8,999)       (9,563)    (39,116)      (24,146)
and equipment
Purchase of short-term     (7,996)       --         (7,996)       --
investments
Other                      1             95         (2,777)       (604)
Net cash used in investing (16,994)      (9,468)    (49,889)      (24,750)
activities
Financing activities:                                          
Issuance of common stock   495           323        4,689         5,656
Other                      509           72         909           (1,085)
Net cash provided by       1,004         395        5,598         4,571
financing activities
Effect of exchange rate    3,640         (2,933)    1,707         492
changes on cash
Increase in cash and cash  20,965        37,592     34,237        93,083
equivalents
Cash and cash equivalents  286,865       189,445    273,593       133,954
at beginning of period
Cash and cash equivalents  $307,830      $227,037   $307,830      $227,037
at end of period


Entegris, Inc. and Subsidiaries
Segment Information
(In thousands)
(Unaudited)
                                                               
                           Three Months Ended            Nine Months Ended
                            September October 1, June 30, September October 1,
Net sales                   29,       2011       2012     29,       2011
                            2012                          2012
Contamination Control       $112,876  $110,015   $123,144 $351,572  $378,896
Solutions
Microenvironments           54,421    42,738     44,565   139,691   142,034
Specialty Materials         17,152    20,261     20,524   56,822    64,407
Total net sales             $184,449  $173,014   $188,233 $548,085  $585,337
                                                               
                           Three Months Ended            Nine Months Ended
                            September October 1, June 30, September October 1,
Segment profit             29,       2011       2012     29,       2011
                            2012                          2012
Contamination Control       $27,166   $29,522    $34,683  $93,917   $114,230
Solutions
Microenvironments           16,771    6,790      8,523    30,823    23,758
Specialty Materials         2,112     4,675      4,404    11,184    13,915
Total segment profit       46,049    40,987     47,610   135,924   151,903
Amortization of             (2,389)   (2,505)    (2,420)  (7,259)   (7,763)
intangibles
Unallocated expenses        (16,526)  (11,649)   (13,579) (43,163)  (38,987)
Total operating income     $27,134   $26,833    $31,611  $85,502   $105,153


Entegris, Inc. and Subsidiaries
Reconciliation of GAAP to Adjusted Operating Income and Adjusted
EBITDA
(In thousands)
(Unaudited)
                                                         
                       Three Months Ended          Nine Months Ended
                        September October  June 30, September October
                       29,       1,       2012     29,       1,
                        2012      2011              2012      2011
Net sales               $184,449  $173,014 $188,233 $548,085  $585,337
Net income attributable $18,037   $21,988  $21,673  $57,569   $83,685
to Entegris, Inc.
Adjustments to net
incomeattributable to                                    
Entegris, Inc.
Netincomeattributable
to noncontrolling       --        --       --       --        400
interest
Equity in net income of --        (14)     --       (3)       (489)
affiliates
Income tax expense     7,656     4,582    10,579   27,300    22,550
Other expense (income), 1,481     315      (671)    648       (1,643)
net
Interest (income)       (40)      (38)     30       (12)      650
expense, net
GAAP – Operating        27,134    26,833   31,611   85,502    105,153
income
Amortization of         2,389     2,505    2,420    7,259     7,763
intangibleassets
Miscellaneous corporate 3,928     --       --       3,928     --
charge
Gain associated with    --        (726)    --       --        (726)
pension curtailment
Adjusted operating      33,451    28,612   34,031   96,689    112,190
income
Depreciation            7,349     6,763    7,026    20,862    20,292
Adjusted EBITDA         $40,800   $35,375  $41,057  $117,551  $132,482
                                                         
Adjusted operating      18.1%     16.5%    18.1%    17.6%     19.2%
margin
Adjusted EBITDA – as a  22.1%     20.4%    21.8%    21.4%     22.6%
% of net sales
                                                                        


Entegris, Inc. and Subsidiaries
Reconciliation of GAAP to Non-GAAP Earnings per Share
(In thousands)
(Unaudited)
                                                          
                         Three Months Ended         Nine Months Ended
                          September October June 30, September October
                         29,       1,      2012     29,       1,
                          2012      2011             2012      2011
GAAP net income
attributable to Entegris, $18,037   $21,988 $21,673  $57,569   $83,685
Inc.
Adjustments to net income
attributable to Entegris,                                  
Inc.:
Amortization of           2,389     2,505   2,420    7,259     7,763
intangible assets
Accelerated write-off of  --        --      --       --        282
debt issuance costs
Miscellaneous corporate   3,928     --      --       3,928     --
charge
Gain associated with      --        (726)   --       --        (726)
pension curtailment
Gain associated with      --        --      (1,522)  (1,522)   (1,523)
equity investments
Tax effect of adjustments
to net income             (2,301)   (457)   (616)    (3,802)   (2,492)
attributable to Entegris,
Inc.
Non-GAAP net income
attributable to Entegris, $22,053   $23,310 $21,955  $63,432   $86,989
Inc.
                                                          
Diluted earnings per
common share attributable $0.13     $0.16   $0.16    $0.42     $0.62
to Entegris, Inc.:
Effect of adjustments to
net income attributable   $0.03     $0.01   $0.00    $0.04     $0.02
to Entegris, Inc.
Diluted non-GAAP earnings
per common share          $0.16     $0.17   $0.16    $0.46     $0.64
attributable to Entegris,
Inc.:
                                                                        

CONTACT: Steven Cantor
         VP of Corporate Relations
         T +1 978 436 6750
         irelations@entegris.com

Entegris, Inc.
 
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