Kulicke and Soffa Industries, Inc. (NASDAQ:KLIC) Q1 2017 Earnings Conference Call - Final Transcript
Feb 02, 2017 • 08:00 am ET
Greetings, and welcome to the Kulicke & Soffa first fiscal quarter 2017 results call. At this time, all participants are in a listen-only mode. A brief question and answer session will follow the formal presentation. (Operator Instructions) As a reminder, this conference is being recorded.
It is now my pleasure to introduce your host, Joseph Elgindy, Director of Investor Relations and Strategic Initiatives for Kulicke & Soffa. Joseph, you may begin.
Thanks, Melissa. Welcome, everyone, to Kulicke & Soffa's first quarter fiscal 2017 conference call. Joining us on the call today are Dr. Fusen Chen, our President and Chief Executive Officer, and Jonathan Chou, our Executive Vice President and Chief Financial Officer.
For those of you who have not received a copy of today's results, the release as well as the latest investor presentation are both available in the Investor Relations section of our website at Kns.com.
(Forward-Looking Cautionary Statements)
I would now like to turn the call over to Fusen Chen for the business overview. Please go ahead, Fusen.
Thanks, Joe. We are very pleased to have exceeded our guidance, with $149.6 million of revenue in the December quarter.
While this reasonably surpassed our expectations, it represents a 38% improvement over last year's December quarter. This strong pipeline performance results in the strongest December quarter earnings per share over the past eight years.
While we continue to execute against our advanced packaging roadmap, this improvement is largely related to a strengthening environment within our core wire, wedge, and the consumables business, facilitated through our significant alignment in memory, automotive, and the industrial applications.
After meeting with many investors over the prior months, it has become evident that additional clarifications regarding our core business would be helpful. I want to take a moment to clarify the strength and the resilience of this sizeable and dynamic market.
Within wire bonding, our leadership position continues to facilitate the most challenging high I/O count in the stacked die applications. While some of the advanced packaging variations are derived from a mass reflow approach, a material portion of SiP and effectively all 3D packages in modern production are addressed by our existing ball bonding product family.
In alignment with our historical IR presentations and the upcoming quarterly filings, I would like to highlight our three advanced packaging platforms, APAMA, hybrid, and the ATPremier Plus.
ATPremier Plus is our wafer level stud bumping platform within our advanced packaging family. We have a dominant market position with this dedicated and advanced packaging solution, serving the growing microelectromechanical system and the CMOS market segments.
Through 2017, we are targeting that our collective advanced packaging related offering will represent around 15% of our total equipment business. In addition to our advanced packaging target, we anticipate an improving environment for our high performance wire-based solutions, where we have dominant market shares.
With a healthy iteration rate and improving semiconductor forecasts and a strong alignment to major industry trends within our core business, we are also examining ways to better