First Quarter 2016 Results Summary:

•  Revenues of $78 million, down 21% compared with the same period last year
• GAAP net loss per share of $0.40 and Non-GAAP net loss per share of $0.15
• Non-GAAP adjusted EBITDA of negative $2.1 million

Veeco Instrument announced financial results for its first fiscal quarter ended March 31, 2016. Results are reported in accordance with U.S. generally accepted accounting principles ("GAAP") and are also reported adjusting for certain items ("Non-GAAP"). A reconciliation between GAAP and Non-GAAP operating results is provided at the end of this press release.

"Although business conditions remain challenging, Veeco executed well in the first quarter. We achieved revenue at the high end of our guided range; expanded non-GAAP gross margin to nearly 42%, as well as exceeded expectations for adjusted EBITDA and earnings per share," commented John Peeler, Chairman and Chief Executive Officer.

"LED industry conditions remain weak. As we navigate this challenging environment, we are assessing our cost structure to align with the current business outlook while positioning the company for future growth,” said Peeler.

An industry insider revealed to LEDinside, even though Veeco MOCVD market shares is way ahead of Aixtron in the LED industry , there are few new MOCVD installations in 2016.

"We are prioritizing investments in areas that offer meaningful growth. We're focused on qualifying our Precision Surface Processing ("PSP") systems for additional Advanced Packaging applications and have made progress in our customer engagements for Through Silicon Via ("TSV") applications. We are also leveraging our expertise in Metal Organic Chemical Vapor Deposition ("MOCVD") to capture emerging opportunities for Gallium-Nitride ("GaN") based power devices and to strengthen our position for Arsenic Phosphide applications including automotive lighting. These efforts support our strategy to enhance growth and improve the stability of our revenue stream," Peeler concluded.