Nanometrics Incorporated (NASDAQ:NANO) Q4 2014 Earnings Conference Call - Final Transcript
Feb 02, 2015 • 04:30 pm ET
Good day, ladies and gentlemen and welcome to the Nanometrics fourth quarter and full year 2014 financial results conference call. A Q&A session will be held at the end of the conference. Until that time, all participants will be in a listen-only mode. Please note that this conference call is being recorded today, February 2, 2015.
At this time, I like to turn the call over to your host, Claire McAdams, please begin.
Thank you and good afternoon everyone. Welcome to the Nanometrics fourth quarter and full year 2014 financial results conference call. On today's call are Dr. Timothy Stultz, President and CEO; and Jeffrey Andreson, CFO. Shortly, Tim will provide a recap of the fourth quarter and full year and our perspective looking forward. Then, Jeff will discuss our financial results in more detail after which we will open up the call for Q&A.
The press release detailing our financial results was distributed over the wire services shortly after 1 PM Pacific this afternoon. The press release and supplemental financial information are also available on our website at nanometrics.com.
(Forward-Looking Cautionary Statements)
I will now turn the call over to Tim Stultz. Tim?
Thank you, Claire. Good afternoon everyone and thank you for taking the time to join us on our call today. Today, I'll begin by briefly speaking to the highlights of the December quarter then turn to key achievements and milestones made in 2014 with a particular focus on the relevance to our business opportunities and prospects. I will finish by providing our perspective on the industry outlook and guidance for the March quarter. Following my prepared remarks, Jeff will provide you with a more detailed review of our financial performance.
Our December quarter came in largely as expected with a strong snap back in revenues, up 46% over the previous quarter and at the high end of our guidance range. Fourth quarter sales benefited from the resumption of memory spending by one of our largest customers, driven largely by DRAM investments, as well as revenue contributions from recent tool of record positions wins as evidenced by our record quarterly sales to both TSMC and Micron.
Turning to the calendar year 2014, our year-on-year revenue growth outpaced industry investments in wafer fab equipment largely driven by the strong growth in our primary served markets of optical critical dimension metrology, as well as market share gains at several of the top spending of that some of the top spenders in the industry.
Notably, our revenues from product serving the semiconductor industry were up 32% versus WFE growth estimated to be approximately 12% for the year. Perhaps the most significant achievement of 2014 with the addition of new major accounts and expanded tool of record positions to our revenue mix. In the fourth quarter we had four 10% customers. Samsung, Micron, TSMC and Toshiba. And for the first time in our history, we have four 10% customers for the full year, with a very narrow mix of (inaudible).