BTU International Reports Fourth Quarter and Fiscal Year 2012 Results

BTU International Reports Fourth Quarter and Fiscal Year 2012 Results

NORTH BILLERICA, Mass., Feb. 26, 2013 (GLOBE NEWSWIRE) -- BTU International,
Inc. (Nasdaq:BTUI), a leading supplier of advanced thermal processing
equipment to the electronics manufacturing and alternative energy markets,
today announced its financial results for the fourth quarter and fiscal year
ended on December 31, 2012.

Fourth quarter net sales were $13.1 million, down 7.5 percent compared to
$14.1 million in the preceding quarter, and down 12.1 percent compared to
$14.9 million for the same quarter a year ago. Net loss for the fourth quarter
of 2012 was $4.4 million, or ($0.47) per diluted share, compared to a net loss
of $2.4 million, or ($0.25) per diluted share, in the preceding quarter and
compared to a net loss of $2.3 million, or ($0.25) per diluted share, in the
fourth quarter of 2011.

Net sales for the year were $58.1 million, down 23.7 percent compared to $76.1
million for the year 2011. Net loss for 2012 was $11.0 million, or ($1.16) per
diluted share, compared to a net loss of $2.7 million, or ($0.29) per diluted
share, for the year 2011.

Comments

Commenting on the company's performance, Paul J. van der Wansem, BTU chairman
and CEO, said, "Our electronics and nuclear business were key contributors and
provided the bulk of the revenues in 2012. We continued to invest in our
electronics business and at the end of 2012, we launched our innovative
Dynamo™ product platform which is specifically designed for high-volume
consumer electronics applications. In the alternative energy sector, we are
still in the solar winter, which started in the early part of 2011. This has
not only impacted our revenues and related expenses, but also contributed
negatively in recording significant inventory write-downs as well as extra
provisions for accounts receivable from some of our solar customers. We
continued to take steps to reduce expenses and manage the downturn in solar
without affecting our ability to compete when this market recovers. We ended
the year with over $20 million of cash and a solid balance sheet."

Outlook

"We expect first quarter revenues to be in the $11 million to $12 million
range primarily driven by our electronics, parts and service business. Gross
margins are expected to continue to be affected by under-absorption in our
factories. Operating expenses for the first quarter of 2013 are expected to be
essentially flat as a percentage of sales compared with the fourth quarter of
2012," concluded van der Wansem.

Teleconference and Simultaneous Webcast

BTU will be discussing its financial results, along with its outlook for the
first quarter of 2013, in a conference call to be held today, February 26, at
5:00 p.m. Eastern Time. The dial-in number to participate in the conference
call is 877-303-9139. A live and archived webcast of the conference call will
be available on BTU's website at www.btu.com.

About BTU International

BTU International is a global supplier and technology leader of advanced
thermal processing equipment and processes to the electronics manufacturing
and alternative energy markets. BTU equipment is used in the production of
printed circuit board assemblies and semiconductor packaging as well as in the
manufacturing of solar cells and nuclear fuel. BTU has operations in North
Billerica, Massachusetts and Shanghai, China with direct sales and service in
the U.S.A., Asia and Europe. Information about BTU International is available
at www.btu.com.

The BTU International, Inc. logo is available at
http://www.globenewswire.com/newsroom/prs/?pkgid=15718

"Safe Harbor" Statement under the Private Securities Litigation Reform Act of
1995

This news release contains expressed or implied forward-looking statements
regarding, among other things, the company's expected revenues, gross margins
and operating expenses and financial performance for the first quarter of
fiscal year 2013. Such statements are neither promises nor guarantees but
rather are subject to risks and uncertainties, which could cause actual
results to differ materially from those described in the forward-looking
statements. Such statements are made pursuant to the "safe harbor" provisions
established by the federal securities laws, and are based on the assumptions
and expectations of the company's management at the time such statements are
made. Important factors that could cause actual results to differ include the
acceptance of new products, particularly in the alternative energy market,
general market conditions governing supply and demand, the impact of
competitive products and pricing and other risks detailed in the company's
filings with the Securities and Exchange Commission. Actual results may vary
materially. Accordingly, you should not place undue reliance on any
forward-looking statements. All information set forth in this press release is
as of February 26, 2013, and, unless otherwise required by law, the company
disclaims any obligation to revise or update this information in order to
reflect future events or developments.



BTU INTERNATIONAL, INC.
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except share and per share data)
                                                              
                          Three Months Ended        Twelve Months Ended
                          December 31, December 31, December 31, December 31,
                           2012         2011         2012         2011
                                                              
Net sales                  $13,082    $14,878    $58,089    $76,128
Costs of goods sold        10,714      11,033      41,617      47,542
                                                              
Gross profit               2,368       3,845       16,472      28,586
                                                              
Operating expenses:                                            
                                                              
Selling, general and       5,387       4,800       20,965      22,721
administrative
Research, development and  1,329       1,511       5,450       7,056
engineering
Restructuring              248         49          424         401
                                                              
Operating loss             (4,596)     (2,515)     (10,367)    (1,592)
                                                              
Interest income            17          23          63          77
Interest expense           (116)       (109)       (462)       (481)
Foreign exchange gain      (169)       33          (224)       (139)
(loss)
Other income               56          134         58          365
                                                              
Loss before provision for  (4,808)     (2,434)     (10,932)    (1,770)
income taxes
                                                              
Provision (benefit) for    (365)       (111)       65          952
income taxes
                                                              
Net loss                   $(4,443)   $(2,323)   $(10,997)  $(2,722)
                                                              
Loss per share:                                                
Basic                      $(0.47)    $(0.25)    $(1.16)    $(0.29)
Diluted                    $(0.47)    $(0.25)    $(1.16)    $(0.29)
                                                              
Weighted average number of                                     
shares outstanding:
Basic shares               9,516,130   9,481,014   9,509,240   9,433,736
Effect of dilutive options --          --          --          --
                                                              
Diluted shares             9,516,130   9,481,014   9,509,240   9,433,736




BTU INTERNATIONAL, INC.
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands, except share data)
                                                      
                                                      
                                          December 31, December 31,
Assets                                     2012         2011
                                                      
Current assets                                         
Cash and cash equivalents                  $20,218    $18,948
Accounts receivable, net                   9,623       12,422
Inventories                                9,547       17,510
Other current assets                       4,131       2,064
                                                      
Total current assets                       43,519      50,944
                                                      
Property, plant and equipment, net         4,669       5,650
                                                      
Other assets, net                          481         124
                                                      
Total assets                               $48,669    $56,718
                                                      
Liabilities and stockholders' equity                   
                                                      
Current liabilities                                    
Current portion of long-term debt          $400       $379
Trade accounts payable                     5,185       3,527
Other current liabilities                  6,040       5,404
                                                      
Total current liabilities                  11,625      9,310
                                                      
Long-term debt, less current portion       7,564       7,956
                                                      
                                                      
Total liabilities                          19,189      17,266
                                                      
Total stockholders' equity                 29,480      39,452
                                                      
Total liabilities and stockholders' equity $48,669    $56,718

CONTACT: Company Contact:
         Peter Tallian
         Chief Operating Officer
         BTU International, Inc.
         Phone: (978) 667-4111

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