Intevac(US:IVAC)2023-05-06 14:50Company Overview - Intevac is a global supplier for hard disk drive (HDD) manufacturing and a key enabler of process advancement[26] - The company has approximately 65% market share of worldwide media capacity[6] - Intevac has a strong cash balance to make strategic investments in support of key customers[23, 45] - The company has issued or pending over 120 patents[25] HDD Market - HDDs serve over 85% of storage industry needs (in Exabytes) over SSD[36] - HDD media capacity utilization has decreased from >90% to <40% in the last five quarters[20] - The HDD market has transitioned from being user-driven to Cloud-driven[53] TRIO Platform - Intevac introduced the TRIO™ system, combining Drum and In-Line coating systems[16] - The TRIO™ system is uniquely capable of depositing customized, application-specific coatings onto a variety of substrate sizes[13] - A new partnership was signed in 2022 with a leading display glass company to deploy TRIO™[12] - One TRIO Patent has been issued (11,456,162) and 9 patents are pending[48] Financial Performance & Outlook - Q1 2023 revenue was $11.5 million with a 41% gross margin[57] - Q1 2023 operating expenses were $9.2 million, resulting in an EPS of ($0.15)[57] - The order backlog was $121 million, and total cash and investments were $85 million as of Q1 2023[57] - Q2 2023 revenue is projected to be $8 million - $9 million, with full-year revenue between $36 million - $40 million[40] - Full-year gross margin is expected to be 35-38%, and full-year operating expenses are projected at $34 million[40] - The company's market capitalization is $172 million, with a deemed enterprise value of $87 million[59]