Annual report pursuant to Section 13 and 15(d)

Business Segments

v3.5.0.2
Business Segments
12 Months Ended
Sep. 30, 2016
Segment Reporting [Abstract]  
Business Segments
Business Segments

Following the Company's acquisition of BTU, an evaluation was conducted of the Company's organizational structure. Beginning with the second quarter of fiscal 2015, the Company made changes to its reportable segments. Prior period amounts have been revised to conform to the current period segment reporting structure. The Company’s three reportable segments are as follows:
Solar - In the Company’s Solar segment, we are a leading supplier of thermal processing systems, including related automation, parts and services, to the solar/photovoltaic industry and also offer PECVD (plasma-enhanced chemical vapor deposition) equipment to the global solar market.

Semiconductor - In the Company’s Semiconductor segment, we design, manufacture, sell and service thermal processing equipment and related controls for use by leading semiconductor manufacturers, and in electronics, automotive and other industries.

Polishing - In the Company's Polishing segment, the Company produces consumables and machinery for lapping (fine abrading) and polishing of materials, such as sapphire substrates, optical components, silicon wafers, numerous types of crystal materials, ceramics and metal components.

On December 24, 2014, the Company acquired a 51% controlling interest in SoLayTec, and on January 30, 2015, the Company completed its acquisition of BTU. Beginning in the second quarter of 2015, SoLayTec’s business is included in the results for the solar segment, and BTU’s business is included in the results for the semiconductor segment. See Note 13, “Acquisitions”, for additional information with respect to the Company’s recent acquisitions.

Information concerning our business segments is as follows:
 
Years ended September 30,
 
2016
 
2015
 
2014
 
(dollars in thousands)
Net revenue:
 
 
 
 
 
Solar*
$
60,946

 
$
56,689

 
$
36,069

Semiconductor
50,637

 
37,250

 
9,779

Polishing
8,725

 
10,944

 
10,653

 
$
120,308

 
$
104,883

 
$
56,501

Operating income (loss):
 
 
 
 
 
Solar*
$
(6,696
)
 
$
(5,056
)
 
$
(11,010
)
Semiconductor
3,904

 
(1,268
)
 
851

Polishing
1,588

 
2,250

 
2,805

Non-segment related
(6,704
)
 
(9,447
)
 
(5,735
)
 
$
(7,908
)
 
$
(13,521
)
 
$
(13,089
)
* The financial statement of business units included in the Solar segment include some sales of equipment and parts to the semiconductor, silicon wafer and MEMS industries, comprising less than 25% of the Solar segment revenue
 
Years ended September 30,
 
2016
 
2015
 
2014
 
(dollars in thousands)
Capital expenditures:
 
 
 
 
 
Solar
$
235

 
$
411

 
$
282

Semiconductor
692

 
136

 
110

Polishing
51

 
63

 
70

 
$
978

 
$
610

 
$
462

Depreciation and amortization expense:
 
 
 
 
 
Solar
$
2,014

 
$
2,940

 
$
2,236

Semiconductor
870

 
318

 
40

Polishing
90

 
99

 
134

 
$
2,974

 
$
3,357

 
$
2,410


 
September 30,
2016
 
September 30,
2015
 
(dollars in thousands)
Identifiable assets:
 
 
 
Solar
$
42,962

 
$
45,717

Semiconductor
51,985

 
46,912

Polishing
4,819

 
5,793

Non-segment related
18,664

 
27,034

 
$
118,430

 
$
125,456

Goodwill:
 
 
 
Solar
$
5,328

 
$
5,344

Semiconductor
5,063

 
4,463

Polishing
728

 
728

 
$
11,119

 
$
10,535

Geographic Regions

The Company has operations in The Netherlands, United States, France and China. Revenues, operating income (loss) and identifiable assets by geographic region are as follows:
 
Years Ended September 30,
 
2016
 
2015
 
2014
 
(dollars in thousands)
Net revenue:
 
The Netherlands
$
52,189

 
$
46,982

 
$
31,779

United States
44,299

 
37,483

 
20,433

France
8,758

 
8,387

 
4,218

China
11,799

 
9,725

 
71

Other
3,263

 
2,306

 

 
$
120,308

 
$
104,883

 
$
56,501

 
 
 
 
 
 
Operating income (loss):
 
 
 
 
 
The Netherlands
$
(7,773
)
 
$
(9,069
)
 
$
(9,403
)
United States
(1,396
)
 
(5,541
)
 
(207
)
France
(783
)
 
(330
)
 
(611
)
China
1,530

 
986

 
(2,868
)
Other
514

 
433

 

 
$
(7,908
)
 
$
(13,521
)
 
$
(13,089
)
 
 
 
 
 
 
 
 
 
As of September 30,
 
 
 
2016
 
2015
Net long-lived assets
(excluding intangibles and goodwill)
 
 
 
 
 
The Netherlands
 
 
$
4,996

 
$
6,677

United States
 
 
10,171

 
10,162

France
 
 
241

 
346

China
 
 
552

 
576

 
 
 
$
15,960

 
$
17,761