ToerJazz became the Biggest Specialty Foundry
17 February, 2013
"In 2012, we had over 450 full mask set tape outs and left the year with more than 400 new design wins"
Record full year revenues of $638.8 million
TowerJazz announced its financial results for the fourth quarter and full year, ended December 31, 2012. Record full year revenues of $638.8 million, up 5% year-over-year, $164 million EBITDA for 2012, reflecting 26% EBITDA margins and up 6% year-over-year.
Russell Ellwanger, Chief Executive Officer of TowerJazz, commented that the resuts are cementing TowerJazz’s position as the #1 specialty foundry. “2012 was a strategically significant year for the company. We acquired the Nishiwaki factory with an understanding of long term capacity needs of our business. This demand is being realized and satisfied in the Nishiwaki factory with the press released Vishay-Siliconix advanced technology transfer, a very large Asian based fabless existing customer transferring its highest volume flow to Nishiwaki and multiple new Japanese and Korean customer engagements. Our recent introduction of an advanced SOI Switch platform opens a new market for us and has already realized over 25 customer tape-outs. In 2012, we had over 450 full mask set tape outs and left the year with more than 400 new design wins. These numbers are at record levels and a strong indicator of customer traction and continued growth.
“In the immediate, we see revenue reduction as per the planned contractual decrease in the Micron volume agreement in Nishiwaki. We see this as short term, corrected by the qualification and ramp of the above mentioned Nishiwaki based activities, as well as other strategic initiatives in new markets such as the SOI Switch. Our worldwide presence and specialty technology offerings have enabled us to create a competitive advantage for our customers and we expect further market share growth in our chosen value add segments during 2013.”
The company forecasts revenues of $110 to $120 million in the first quarter of 2013. A decline from $147.6 million in the fourth quarter. “We view this revenue level as short term in line with the Micron volume agreement. Based upon tape out activity and specific engagements, we foresee growth throughout the year.”