MKS Instruments, Inc. announced unaudited consolidated earnings results for the fourth quarter and full year ended December 31, 2017. For the quarter, the company reported total net revenues of $511,800,000, income from operations of $120,016,000, income from operations before income taxes of $110,997,000 and net income of $77,638,000 or $1.41 per diluted share compared to the total net revenues of $405,140,000, income from operations of $62,514,000, income from operations before income taxes of $49,556,000 and net income of $45,487,000 or $0.83 per diluted share for the same quarter a year ago. Non-GAAP net earnings were $94,616,000 or $1.71 per share compared to the $57,196,000 or $1.05 per share for the same quarter year ago. Non-GAAP income from operations was $132,771,000 compared to the $83,438,000 for the same quarter year ago. Non-GAAP income before income taxes was $127,735,000 compared to the $72,910,000 for the same quarter year ago. Net cash provided by operating activities was $80,786,000 compared to the $52,721,000 for the same quarter year ago. Purchases of property, plant and equipment were $13,431,000 compared to the $7,164,000 for the same quarter year ago. EBITDA was $137,866,000 compared to the $81,108,000 for the same quarter year ago. Adjusted EBITDA was $145,207,000 compared to the $95,560,000 for the same quarter year ago.

For the year, the company reported total net revenues of $1,915,977,000, income from operations of $406,634,000, income from operations before income taxes of $447,625,000 and net income of $339,132,000 or $6.16 per diluted share compared to the total net revenues of $1,295,342,000, income from operations of $157,267,000, income from operations before income taxes of $127,977,000 and net income of $104,809,000 or $1.94 per diluted share for the previous year. Non-GAAP net earnings were $328,184,000 or $5.96 per share compared to the $164,021,000 or $3.03 per share for the previous year. Non-GAAP income from operations was $470,859,000 compared to the $242,198,000 for the previous year. Non-GAAP income before income taxes was $446,399,000 compared to the $218,482,000 for the same period year ago. Net cash provided by operating activities was $355,222,000 compared to the $180,098,000 for the same period year ago. Purchases of property, plant and equipment were $31,287,000 compared to the $19,123,000 for the same period year ago. EBITDA was $558,150,000 compared to the $221,954,000 for the same period year ago. Adjusted EBITDA was $529,398,000 compared to the $297,421,000 for the same period year ago. Non-GAAP operating profit was over $150 million, which compares to an annual run rate of approximately $60 million prior to the acquisition.

For the first quarter ending March 31, 2018, the company expected sales may range from $510 to $550 million, and at these volumes, GAAP net income could range from $1.68 to $1.95 per diluted share and non-GAAP net earnings could range from $1.86 to $2.12 per diluted share. This financial guidance incorporates assumptions made based upon the company's current interpretation of the 2017 Tax Cut and Jobs Act, and may change as additional clarification and implementation guidance is issued. Non-GAAP net interest expense is estimated to be approximately $3.6 million and the non-GAAP tax rate to be approximately 19%. Given these assumptions, first quarter non-GAAP net earnings could range $102.9 million to $117.7 million. In the first quarter, amortization of intangible assets is expected to be approximately $11 million. GAAP interest expense is estimated to be approximately $4.5 million. GAAP net income is expected to range from $93.2 million to $108.1 million. At illustrated revenue level of $2.2 billion, the company estimate that non-GAAP gross margin could be 48%, non-GAAP operating margin could be 27%.