Veeco Instruments Inc.

Currently holding for the Veco Instruments Incorporated Corporate Hosted Q4 Near End 2021 Earnings Call. At this time, we're assembling our audience and we'll be underway in about one minute. And we thank you for your patience in holding. And I say, please remain in the line. today and welcome to the Vico Instruments Incorporated corporate hosted Q4 and year end 2021 earnings call. At this time, I would like to turn the conference over to Anthony Bencivenga, head of investor relations. Please go ahead, sir.

Thank you, and good afternoon, everyone. Joining me on the call today are Bill Miller, VECO's Chief Executive Officer, and John Kiernan, our Chief Financial Officer. Today's earnings release is available on the VECO website. Please note that we have prepared a slide presentation to accompany today's webcast. We encourage you to follow along with the slides on VECO.com. This call is being recorded by VECO Instrument Your participation implies consent to our recording. To the extent this call discusses expectations about market conditions, market acceptance, and future sales of the company's products, future disclosures, future earnings expectations, or otherwise make statements about the future, such statements are forward-looking and are subject to a number of risks and uncertainties that could cause actual results to differ materially from the statements made, including as a result of the COVID-19 pandemic. These factors are discussed in the business description, management's discussion and analysis, and risk factor sections of the company's report on Form 10-K, an annual report to shareholders, and in our subsequent quarterly reports on Form 10-Q, current reports on Form 8-K, and press releases. VECO does not undertake any obligation to update any forward-looking statements, including those made on this call, to reflect future events or circumstances after the date of such statements. call, management may address non-GAAP financial measures. Information regarding such non-GAAP financial measures, including reconciliation to GAAP measures of performance, is available on our website. With that, I will turn the call over to our CEO, Bill Miller.

Thank you, Anthony. Good afternoon, everyone, and thank you for joining the call. I hope you and your families are well. I'm excited to talk to you today about the progress we made in Q4 and over the course of 2021. I'd like to start by thanking the VECO United team for outstanding execution through the ongoing pandemic and dynamic supply chain environment. To begin today, I'd like to share some exciting news. We recently won a laser annealing application at a new Leading Edge Logic customer. This is a key milestone for us as we execute our growth strategy. More on that in a few minutes. But first, I'll take you through our 2021 and fourth quarter highlights. John will provide a financial update and guidance. And then I'll discuss our markets and technologies before taking your questions. Reflecting on the year, I'm proud of what our VECO United team has accomplished. I think of 2021 as an inflection point at VECO where we completed our transformation and we're now squarely executing our growth strategy. We continue our focus on innovation with R&D projects supporting laser annealing, ion beam deposition for semiconductor applications, and MOCBD for power electronics and photonics applications. We now have a more robust evaluation program in place with systems installed and performing well at many customer sites. We made great progress on our capacity expansion and shipped first systems from the new San Jose facility And we enhanced both our service capability and our service offerings, focusing on our customers' needs for system uptime and spare parts availability. Results of our growth strategy were reflected in our P&L with significant revenue growth in 2021 and profitability growing faster than revenue. We had a record year in our semiconductor market, and we had a record year with our wet processing systems. We made further improvements to our capital structure. Also, we issued a long-term model at our analyst day in September, demonstrating our optimism and confidence in our future performance. And lastly, we continue to make great strides improving our governance, our commitment to corporate responsibility, and our VECO United culture. All in, we're thrilled with our progress in 21 and equally as excited about our growth prospects going forward. Switching gears to our full-year financial highlights, 2021 was a significant year of growth for Beco. Revenue for the full year was $583 million, 28% growth over 2020, driven by semiconductor and data storage performance. This growth came with significant profitability, driving $87 million in non-GAAP operating income and $1.43 or 66% growth in diluted non-GAAP EPS. We had significant cash flow from operations of $68 million, a 58% increase over 2020. Our order intake grew faster than our revenue throughout the year as well. With bookings of $661 million and a book-to-bill ratio of 1.13, we ended the year with $440 million in backlog. Now, for a look at our Q4 2021 highlights. Q4 marked another quarter of solid execution, driven primarily by strength in our semiconductor market. Revenue came in at $153 million, which was above the midpoint of our guidance. and diluted non-GAAP EPS came in at 43 cents, which was near the high end of our guidance. We achieved non-GAAP operating income of $25 million. In addition, we generated $17 million in cash flow from operations. With Q4's performance, we exit 2021 on a positive note with strong order momentum, increased backlog, and focus on execution. And with that, I'll turn the call over to John for more details on our financials.