Rudolph Technologies, Inc (RTEC) reported its third quarter 2010 earnings (GAAP figures provided by the company.) of 28 cents per share beating the Zacks Consensus Estimate of 26 cents per share. The earnings also increased 275.0% from a loss of 16 cents per share in the previous year quarter.

The Non-GAAP earnings provided by the company was 34 cents per share.

Revenue increased 124.4% from the previous year quarter of $23.3 to $52.3 million. The revenue also beat the Zacks Consensus of $52.0 million marginally. The international and domestic sales represented 84.0% and 16.0% of revenues respectively. Revenues from the front end of the semiconductor customers were 66.0% and the back end of the customers were 34.0%.

 

Gross profit increased 208.4% to $29.3 million from the comparable previous year quarter. Gross margins increased from 41% in the previous year quarter to 56% in light of higher revenues and lower reserves due to better inventory utilization.

 

Operating income increased 308.0% to $10.4 million from the year-ago quarter. Operating margins increased from (21%) from the year ago quarter to 19.9%.

The company expects success in the new product segment targeting the transparent and the metal film Metrology market.

Estimates for the quarter had been trending down in the run-up to the earnings release, with one analyst dropped estimates in the last 30 days and none raising estimates. The full-year estimate for next year has been trending down in recent days, with one negative revision in the last thirty days. The Zacks Consensus Estimate for 2010 is 83 cents per share. The full-year Zacks Consensus Estimate for 2011 is 94 cents per share.

We currently have a Zacks # 3 rank for Rudolph Technologies which translates into a Hold rating in the short term.

 
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