Revenue for Veeco Instruments up by 250 percent

Surging demand for equipment to make energy-efficient LED lighting helped pushed the second-quarter revenue of Plainview-based Veeco Instruments Inc. up by about 250 percent.

Revenue rose to a record $253 million from $72.2 million in the second quarter of 2009, the company said in a statement late Monday. Net income jumped to $52.4 million, compared with a loss of $14.7 million a year ago in the midst of the economic slowdown. Earnings per share climbed to $1.20 from a loss of 47 cents a share a year ago. The company said it is on track to reach the $1-billion annual revenue mark for the first time this year.

"This is our fourth quarter of increasing orders," said Debra Wasser, senior vice president of investor relations. "It's really all about LED industry growth."

The company makes precision equipment that manufacturers use to make LED lighting (light-emitting diodes), which is considered more energy efficient; to make hard drives for electronic equipment; photovoltaic solar cells for solar panels and microscopes for technology research. Veeco generates three-quarters of its sales overseas, Wasser said.

In its statement the company noted it had experienced "accelerating demand" from LED companies expanding their facilities in China. The demand for the lighting is up because of its increased use in flat-panel televisions and in residential and industrial markets, Wasser said.

"We are gaining share as a leading provider of equipment and penetrating the top-tier LED manufacturers around the world," she said. "We have dramatically expanded our manufacturing capacity to meet this demand."

The company, which has manufacturing facilities throughout the United States and sales and service facilities worldwide, has a little more than 1,200 employees, including 300 on Long Island. That total number is up by 150 from last year, Wasser said. Despite the good news, Veeco's stock, which gained $1.93 cents a share in Nasdaq trading Monday, dropped $1.26 Tuesday to close at $43.43 a share.

Patrick Ho, who follows the company at the securities firm Stifel Nicolaus & Co. in Dallas, said that after the "blowout earnings," the stock should be up $2 to $3, but the market has a general perception that company orders will peak in the fourth quarter. "I think that is contributing to the sell-off," he said.