ATMI Reports Second Quarter Financial Results

ATMI Reports Second Quarter Financial Results 


DANBURY, Conn., July 20  /PRNewswire-FirstCall/ -- ATMI, Inc. (NASDAQ:ATMI), a
supplier of materials and materials packaging to the world's leading
semiconductor manufacturers, today announced revenues of $69.3 million for the
second quarter of 2005, an increase of 14% from $61 million in the second
quarter of 2004, and a 5% increase from $66.1 million in the first quarter of
2005.

Net income for the second quarter of 2005 grew 37% to $8.0 million, or $0.22
per diluted share, compared with $5.8 million from continuing operations, or
$0.18 per diluted share, for the second quarter of 2004. Reported net income
for the second quarter of 2004 was $7.9 million, or $0.25 per diluted share,
which included $2.1 million or $0.07 of earnings from our discontinued
operations, all of which were sold during 2004. The 2005 three- and six-month
earnings per share calculations include the weighted-average effect of the
conversion of $115 million of convertible debt into an incremental 5.183
million common shares in April 2005.

Doug Neugold, ATMI President and Chief Executive Officer, said, "The
strengthening in wafer starts that began at the end of the last quarter
continued through this quarter, and appears to be broad based. Our interactions
with customers at Semicon West regarding existing technologies reinforce our
optimism about the SDS and packaging product lines. We expect advanced
technology ramps to continue in the second half, which should further
strengthen ATMI's revenue growth. Our main focus at this point is ensuring that
we achieve our manufacturing ramps in support of our key customers."

For the six months ended June 30, 2005, revenues were $135.4 million, an
increase of 16% compared with revenues of $117.0 million for the first half of
2004. Net income was $14.0 million, or $0.41 per diluted share, compared with
$9.8 million from continuing operations, or $0.31 per diluted share, last year.
Reported net income for the first six months of 2004 was $14.0 million, or
$0.44 per diluted share, which includes $0.13 per diluted share of earnings
from discontinued operations in 2004.

Dan Sharkey, ATMI Chief Financial Officer said, "Our wafer start-driven
business delivered another quarter of solid revenue growth, and generated
approximately $14 million of cash from operations. Gross margins at 50.3% were
flat when compared with 50.3% for the second quarter of 2004, but down from the
51.7% generated in the first quarter of this year. The sequential margin
decline resulted from operating parallel facilities in preparation for the move
of our packaging manufacturing operations, along with a slight impact from
product mix."

"With wafer start momentum picking up, we expect revenues in the second half to
grow nicely. For the third quarter, we anticipate revenues between $70 million
and $74 million, with earnings per diluted share between $0.21 and $0.25. This
is based on our belief that worldwide wafer starts should show additional
strength and that copper wafer starts will maintain their current outsized
growth rate."

ATMI provides specialty materials and materials packaging to the worldwide
semiconductor industry. For more information, please visit
http://www.atmi.com/.

Statements contained herein that relate to ATMI's future performance,
including, without limitation, statements with respect to ATMI's anticipated
results of operations or level of business for 2005 or any other future period,
are forward-looking statements within the safe harbor provisions of the Private
Securities Litigation Reform Act of 1995. Such statements are based on current
expectations only and are subject to certain risks, uncertainties, and
assumptions, including, but not limited to, changes in semiconductor industry
growth (including, without limitation, wafer starts) or ATMI's markets;
competition, problems, or delays developing and commercializing new products;
problems or delays in integrating acquired operations and businesses; and other
factors described in ATMI's filings with the Securities and Exchange
Commission. Such risks and uncertainties may cause actual results to differ
materially from those expressed in our forward- looking statements. ATMI
undertakes no obligation to update any forward- looking statements.

Note: A conference call (800.289.0743) discussing financial results will begin
at 11:00 a.m. Eastern time, July 20, 2005. A replay (888.203.1112, PIN 5433323)
of the call will be available for 48 hours. An audio webcast of the conference
call will be available for 30 days on http://www.atmi.com/.

                                ATMI, INC.
                       SUMMARY STATEMENTS OF INCOME
                  (in thousands, except per share data)

                                                    Three Months Ended
                                                         June 30,
                                                    2005         2004
  Revenues                                        $69,269      $60,978
  Cost of revenues                                 34,457       30,299
  Gross profit                                     34,812       30,679
  Operating expenses
    R & D                                           5,711        4,786
    S, G, & A                                      18,506       16,196
                                                   24,217       20,982

  Operating income                                 10,595        9,697
  Other income (expense), net                       1,297         (886)
  Income before income taxes                       11,892        8,811
  Income taxes                                      3,925        2,996
  Income from continuing operations                 7,967        5,815
  Income from operations of discontinued
   operations                                         ---        1,714
  Gain on disposal of discontinued operations         ---          333
  Net income                                       $7,967       $7,862

  Diluted earnings per share from continuing
   operations                                       $0.22        $0.18
  Diluted earnings per share from operations
   of discontinued operations                         ---        $0.06
  Diluted earnings per share from gain on
   disposal of discontinued operations                ---        $0.01
  Diluted earnings per share                        $0.22        $0.25

  Weighted average shares outstanding              37,034       31,711


                                ATMI, INC.
                       SUMMARY STATEMENTS OF INCOME
                  (in thousands, except per share data)

                                                       Six Months Ended
                                                           June 30,
                                                       2005         2004
  Revenues                                           $135,366     $116,997
  Cost of revenues                                     66,370       59,091
  Gross profit                                         68,996       57,906
  Operating expenses
    R & D                                              10,995        9,527
    S, G, & A                                          37,940       31,880
                                                       48,935       41,407

  Operating income                                     20,061       16,499
  Other income (expense), net                             964       (1,583)
  Income before income taxes                           21,025       14,916
  Income taxes                                          7,007        5,133
  Income from continuing operations                    14,018        9,783
  Income from operations of discontinued
   operations                                             ---        2,834
  Gain on disposal of discontinued operations             ---        1,357
  Net income                                          $14,018      $13,974

  Diluted earnings per share from continuing
   operations                                           $0.41        $0.31
  Diluted earnings per share from operations
   of discontinued   operations                           ---        $0.09
  Diluted earnings per share from gain on
   disposal of discontinued operations                    ---        $0.04
  Diluted earnings per share                            $0.41        $0.44

  Weighted average shares outstanding                  34,533       31,747


                                ATMI, INC.
                          SUMMARY BALANCE SHEETS
                              (in thousands)
  Balance Sheet Highlights                      June 30,     December 31,
                                                  2005           2004

  Assets
     Cash & marketable securities               $254,091       $238,960
     Accounts receivable, net                     43,294         43,680
     Inventory, net                               38,185         36,918
     Other current assets                         27,114         31,340
        Total current assets                     362,684        350,898
     Fixed assets, net                            77,975         69,758
     Other assets                                 44,660         49,444
          Total assets                          $485,319       $470,100

  Liabilities and stockholders' equity
     Accounts payable                             $9,341        $16,174
     Short-term debt                                  81            220
     Other current liabilities                    32,752         37,875
       Total current liabilities                  42,174         54,269
     Long-term debt                                   37        115,084
     Other long-term liabilities                   3,242          3,171
     Stockholders' equity                        439,866        297,576
      Total liabilities & stockholders' equity  $485,319       $470,100


DATASOURCE: ATMI, Inc.



CONTACT:  Dean Hamilton of ATMI, [phone] Direct, or

[phone] ext. 4202, 



Web site:  http://www.atmi.com/ 

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