Helix Technology Corporation Reports Fourth Quarter and Full Year 2004

    Business Editors

    MANSFIELD, Mass.--(BUSINESS WIRE)--Jan. 28, 2005--Helix Technology Corporation (Nasdaq: HELX) today announced financial results for both the fourth quarter and the full year 2004. Net income for the fourth quarter ended December 31, 2004, was $6.2 million, or $0.24 per diluted share, which includes a non-cash adjustment of $3.7 million to reverse a previously established valuation allowance against our net deferred taxes. Excluding this adjustment, net income for the fourth quarter was $2.5 million, or $0.10 per diluted share, compared with $0.8 million, or $0.03 per diluted share, for the fourth quarter of 2003. Sales for the fourth quarter of 2004 were $34.9 million, versus $31.7 million a year ago.
    Net income for the twelve months ended December 31, 2004, was $23.0 million, or $0.88 per diluted share, compared with a net loss of $11.1 million, or $(0.43) per diluted share reported for 2003. Excluding the impact of the discrete non-cash deferred tax valuation adjustment for each of the respective years, net income was $19.3 million, or $0.74 per diluted share, for 2004, compared with a net loss of $2.5 million, or $(0.10) per diluted share, for 2003. Sales for 2004 were $159.7 million, compared with $105.9 million in 2003.
    Helix President, James Gentilcore, said, "Our full year performance reflects the hard work of an organization committed to operational excellence and strong asset management throughout the business cycle. While the fourth quarter brought clearer evidence of an industry-wide slowdown, the Polycold Systems Inc. acquisition, on schedule to close on February 15, will have an immediate and positive impact on our revenue and earnings performance."
    Helix Technology Corporation is a global leader in the development and application of innovative solutions in the field of vacuum technology. Our CTI-Cryogenics and Granville-Phillips product offerings provide a broad range of components and subsystems that are key to the manufacture of semiconductors, flat panel displays and data storage devices. In addition, our highly regarded Global Support activity provides critical ongoing operational support services to semiconductor device producers throughout the world.

    This press release contains forward-looking statements, including statements regarding the future performance of the Company's business and the semiconductor capital equipment industry, which are subject to a number of important factors that may cause actual results to differ materially from those indicated. These factors include, among others; the successful integration of Polycold into the operations of Helix, market acceptance of and demand for the Company's products, the success of the Company's strategic initiatives, including its global support operations, the health of the global semiconductor capital equipment market and the timing and scope of any change in industry conditions, the Company's success in sustaining order bookings, and other risks contained in Exhibit 99.1 to the Company's Annual Report on Form 10-K and its other filings with the Securities and Exchange Commission. The Company assumes no obligation to update the information in this press release.

HELIX REPORTS RESULTS

CONSOLIDATED STATEMENTS OF OPERATIONS

Fourth Quarter Twelve Months (unaudited) (unaudited) (in thousands except per share amounts) 2004 2003 2004 2003

Net sales $ 34,921 $31,732 $ 159,674 $ 105,883 Costs and expenses: Cost of sales 21,177 19,870 95,849 69,836 Research and development 2,984 2,519 10,826 10,082 Selling, general, and administrative 9,539 8,338 35,623 31,280 -------- ------- --------- --------- 33,700 30,727 142,298 111,198 Operating income (loss) 1,221 1,005 17,376 (5,315) Joint venture income 1,279 421 3,508 1,181 Interest and other income 373 217 1,065 913 Income (loss) before taxes 2,873 1,643 21,949 (3,221) Income tax provision (benefit) (3,317) 850 (1,028) 7,915 Net income (loss) $ 6,190 $ 793 $ 22,977 $ (11,136)

Net income (loss) per weighted average share: Basic $ 0.24 $ 0.03 $ 0.88 $ (0.43) Diluted $ 0.24 $ 0.03 $ 0.88 $ (0.43)

Weighted average shares: Basic 26,114 26,099 26,110 26,099 Diluted 26,167 26,181 26,187 26,099

SUMMARY BALANCE SHEETS (unaudited) (audited) (in thousands) 12/31/04 12/31/03

Assets Cash, cash equivalents, and investments $ 76,336 $ 67,387 Accounts receivable 24,100 21,033 Inventories 21,595 22,032 Other current assets 9,465 1,934 Fixed and other assets 35,489 33,604 Total Assets $ 166,985 $ 145,990

Liabilities and Stockholders' Equity Total liabilities $ 27,378 $ 27,184 Stockholders' equity 139,607 118,806 Total Liabilities and Stockholders' Equity $ 166,985 $ 145,990

    The Company's annual report on Form 10-K is available to any stockholder upon request.

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CONTACT: Helix Technology Corporation Beverly L. Couturier, 508-337-5111

KEYWORD: MASSACHUSETTS INDUSTRY KEYWORD: MANUFACTURING HARDWARE SOURCE: Helix Technology Corporation

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