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TTM Technologies Inc. Reports First Quarter 2001 Cash Earnings of $0.23 Per Share; EBITDA Growth of 53 Percent
REDMOND, Wash., April 26 /PRNewswire/ -- TTM Technologies, Inc.
(Nasdaq: TTMI), a leading manufacturer of time-critical, technologically
advanced printed circuit boards, today reported results for the quarter ended
April 2, 2001.

First-Quarter Results
The company posted solid revenue growth and profitability in the first
quarter, despite challenging industry conditions. Net sales increased
9 percent to $46.0 million from $42.1 million for the first quarter of 2000.
This increase resulted entirely from organic growth. Gross profit increased
49 percent to $18.3 million, as gross profit margins expanded to 39.8 percent
in the first quarter of 2001, compared to 29.2 percent for the same period in
2000.

Operating income increased 71 percent to $12.6 million for the first
quarter of 2001, compared to $7.3 million for the first quarter of 2000.
Operating margins increased from 17.4 percent in the first quarter of 2000 to
27.3 percent in the first quarter of 2001. Net income was $7.6 million, or
$0.19 per diluted share, for the first quarter of 2001, compared to
$2.1 million, or $0.07 per diluted share, for the same period in 2000.
Diluted cash earnings per share were $0.23 for the first quarter of 2001,
compared to $0.10 in the year-ago period.

EBITDA increased 53 percent to $15.7 million for the first quarter of
2001, compared to $10.3 million for the same period in 2000. EBITDA margins
expanded from 24.5 percent in the first quarter of 2000 to 34.2 percent in the
first quarter of 2001.

For the first quarter of 2001, quick-turn business as a percentage of
total revenues increased to approximately 38 percent, compared to
approximately 27 percent for the first quarter of 2000. In addition, the
percentage of revenues generated by the networking and high-end computing end
markets expanded from 51 percent in the first quarter of 2000 to 60 percent in
the first quarter of 2001.

"We managed operations very effectively during the first quarter, despite
the widespread slowdown in the electronics industry," said Kent Alder,
President and CEO of TTM Technologies. "We maintained strong margins and
controlled expenses, even as we committed greater resources to sales and
marketing. Our strong balance sheet and cash flow give us financial
flexibility and the ability to invest in our quick-turn capacity and
technological capabilities. As a result, we are well positioned to capitalize
on a recovery in the electronics market."

"New customer acquisition is the major focus of our quick-turn strategy.
In the first quarter, the company continued to increase its customer base,
adding a significant number of new customers," Alder stated. "We also
expanded the total number of salespeople -- including sales management, direct
sales, and sales reps -- from 48 at the end of 2000 to 85 currently, well on
our way to our established objective of doubling our sales force in 2001."

Return on Invested Capital
TTM's return on invested capital (ROIC), based on tax-effected EBITA,
expanded in the first quarter of 2001. The annualized rate of return for the
first quarter of 2001 increased to 23 percent from 16 percent for the year-ago
period.

Outlook
"Despite the sharp slowdown in the electronics industry, the prototype
portion of our quick-turn business remains healthy," stated Alder. "However,
we have experienced a significant slowdown in our volume segment.
Consequently, we expect to fall short of our previously issued full year
guidance of $220 to $224 million in revenues and cash earnings per share of
$0.85 to $0.90 for 2001. Given the deteriorating industry environment
throughout the first quarter and lack of visibility, we expect our second
quarter revenues will be down 25 to 30 percent from first quarter levels.
However, we are unable to provide earnings guidance at this time.
Furthermore, although we are optimistic relative to a rebound in demand in the
second half of the year, we are uncertain about the exact timing of a market
recovery."

TTM Technologies, Inc. is a leading supplier of time-critical,
technologically advanced printed circuit boards to original equipment
manufacturers and electronic manufacturing services companies. TTM stands for
time-to-market, representing how the company's time-critical, one-stop
manufacturing services enable customers to shorten the time required to
develop new products and bring them to market. TTM completed its IPO in
September 2000 and trades on the Nasdaq National Market System under the
symbol "TTMI".

Conference Call/Webcast
The company will conduct a conference call to discuss its first-quarter
performance and outlook today at 11 a.m. eastern/8 a.m. pacific time. The
call will be simulcast, and available for replay until May 10, 2001, on the
company's website at www.ttmtech.com .

This release contains forward-looking statements that relate to future
events or performance. These statements reflect the company's current
expectations, and the company does not undertake to update or revise these
forward-looking statements, even if experience or future changes make it clear
that any projected results expressed or implied in this or other company
statements will not be realized. Furthermore, readers are cautioned that
these statements involve risks and uncertainties, many of which are beyond the
company's control, that could cause actual results to differ materially from
the forward-looking statements. These risks and uncertainties include, but
are not limited to, the company's dependence upon the electronics industry,
the company's dependence upon a small number of customers, and the other
"Factors That May Affect Future Results" set forth in the company's Form 10-K
for 2000.

                             TTM TECHNOLOGIES, INC.

                         Selected Financial Information
                      (In thousands, except per share data)

                                                          First Quarter

                                                      2001              2000

        CONSOLIDATED STATEMENTS OF INCOME

        Net sales                                  $46,001           $42,080
        Cost of goods sold                          27,705            29,802

        Gross profit                                18,296            12,278

        Operating expenses:
         Sales and marketing                         2,464             1,879
         General and administrative                  2,076             1,244
         Amortization of intangibles                 1,202             1,202
         Amortization of deferred retention bonus       --               462
         Management fees                                --               150
          Total operating expenses                   5,742             4,937

        Operating income                            12,554             7,341

        Interest expense                              (864)           (3,811)
        Amortization of debt issuance costs            (10)             (241)
        Interest income and other, net                 158               109

        Income before income taxes                  11,838             3,398
        Income tax provision                        (4,276)           (1,275)

        Net income                                 $ 7,562           $ 2,123

        Earnings per common share:
          Basic                                    $  0.20           $  0.07
          Diluted                                     0.19              0.07
          Cash (diluted)**                            0.23              0.10

        Weighted average common shares:
          Basic                                     37,353            29,925
          Diluted                                   38,922            32,029

        ** Fully diluted EPS plus amortization of intangibles


      SELECTED BALANCE SHEET DATA
                                     As of April 2,           As of Dec. 31,
                                         2001                     2000

    Cash                               $ 23,724                $  9,294
    Accounts receivable, net             20,932                  33,690
    Inventories                           6,133                   6,893
    Total current assets                 51,216                  50,296
    Net PP                             44,681                  44,774
    Other assets                        107,161                 107,063
    Total assets                        203,058                 202,133

    Current maturities of long-term
     debt                              $  7,313                $  7,031
    Other current liabilities            16,179                  21,079
    Long-term liabilities                34,312                  36,281
    Shareholders' equity                145,254                 137,742
    Total liabilities and
     shareholders' equity               203,058                 202,133


    SUPPLEMENTAL DATA
                                                           First Quarter

                                                        2001           2000

    EBITDA***                                        $15,712        $10,301
    EBITA****                                         13,756          9,155

    Gross margin                                        39.8%          29.2%
    EBITDA margin                                       34.2           24.5
    Operating margin                                    27.3           17.4

    Return on Invested Capital (tax-effected)           23.4%          16.0%

    End Market Breakdown:
                                                           First Quarter

                                                        2001           2000

    Networking/communications                           39.5%          24.4%
    High-end computing                                  20.2           26.4
    Industrial/Medical                                  25.7           18.5
    Computer peripherals                                 9.4           21.3
    Handheld                                             3.2            4.2
    Other                                                2.0            5.2

    ***  EBITDA (earnings before interest, taxes, depreciation and
         amortization) is the sum of operating income, management fees,
         amortization of deferred retention bonus, amortization of
         intangibles and depreciation expense.

    **** EBITA (earnings before interest, taxes and amortization) is the sum
         of operating income, management fees amortization of deferred
         retention bonus and amortization of intangibles.

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SOURCE TTM Technologies, Inc.