POWAY, Calif.--(BUSINESS WIRE)--Cohu, Inc. (NASDAQ: COHU), a global supplier of equipment and services optimizing semiconductor manufacturing yield and productivity, today provided a business update: Cohu expects fourth quarter 2023 revenue in-line with guidance at approximately $137 million Demand for test and inspection equipment remained soft through fourth quarter 2023 and has continued in first quarter 2024 Cohu expects first quarter 2024 revenue to be approximately 20% lower than fourth quarter ...

Cohu, Inc. (NASDAQ:COHU) Q3 2023 Earnings Conference Call November 2, 2023 4:30 PM ET Company Participants Jeffrey Jones - Chief Financial Officer Luis Müller - Chief Executive Officer Conference Call Participants Charles Shi - Needham & Company Brian Chin - Stifel, Nicolaus & Company Robert Mertens - TD Cowen Christian Schwab - Craig-Hallum Capital Group LLC Craig Ellis - B. Riley Securities Operator Good day, and thank you for standing by. Welcome to Cohu’s Third Quarter 2023 Financial Results Conference ...

November 2, 2023 Page 1 Forward Looking Statements: Actual results and future business conditions could differ materially from those contained in any forward-looking statement as a result of various factors, including, without limitation: cyclical COVID19 pandemic impacts; new product investments and product enhancements which may not be commercially successful; inability to effectively manage multiple manufacturing sites in Asia and secure reliable and cost-effective raw materials; failure of sole source c ...

Part I Financial Information [Financial Statements](index=4&type=section&id=Item%201.%20Financial%20Statements) Presents Cohu, Inc.'s unaudited condensed consolidated financial statements for Q3 2023, covering key financial positions and performance Condensed Consolidated Balance Sheets Condensed Consolidated Balance Sheet Data (in thousands) | Account | Sep 30, 2023 (Unaudited) | Dec 31, 2022 | | :--- | :--- | :--- | | **Total Current Assets** | $718,567 | $764,851 | | **Total Assets** | **$1,167,518** | **$1,227,414** | | **Total Current Liabilities** | $128,444 | $160,872 | | **Total Liabilities** | $221,282 | $298,573 | | **Total Stockholders' Equity** | $946,236 | $928,841 | | **Total Liabilities and Stockholders' Equity** | **$1,167,518** | **$1,227,414** | Condensed Consolidated Statements of Income Income Statement Highlights (in thousands, except per share data) | Metric | Q3 2023 | Q3 2022 | Nine Months 2023 | Nine Months 2022 | | :--- | :--- | :--- | :--- | :--- | | **Net Sales** | $150,804 | $206,687 | $499,096 | $621,670 | | **Income from Operations** | $7,402 | $33,707 | $42,938 | $98,314 | | **Net Income** | $3,915 | $24,882 | $30,184 | $75,219 | | **Diluted EPS** | $0.08 | $0.51 | $0.63 | $1.53 | Condensed Consolidated Statements of Comprehensive Income (Loss) Comprehensive Income (Loss) (in thousands) | Metric | Q3 2023 | Q3 2022 | Nine Months 2023 | Nine Months 2022 | | :--- | :--- | :--- | :--- | :--- | | **Net Income** | $3,915 | $24,882 | $30,184 | $75,219 | | **Other Comprehensive Loss, net of tax** | $(10,406) | $(23,021) | $(6,953) | $(45,144) | | **Comprehensive Income (Loss)** | $(6,491) | $1,861 | $23,231 | $30,075 | Condensed Consolidated Statements of Stockholders' Equity - Total stockholders' equity increased from **$928.8 million** at December 31, 2022, to **$946.2 million** at September 30, 2023. The increase was primarily driven by **net income of $30.2 million**, partially offset by **common stock repurchases of $10.9 million** and an increase in **accumulated other comprehensive loss of $7.0 million**[58](index=58&type=chunk)[16](index=16&type=chunk) Condensed Consolidated Statements of Cash Flows Cash Flow Summary for the Nine Months Ended (in thousands) | Cash Flow Activity | Sep 30, 2023 | Sep 24, 2022 | | :--- | :--- | :--- | | **Net cash provided by operating activities** | $98,769 | $85,295 | | **Net cash provided by (used in) investing activities** | $12,255 | $(58,325) | | **Net cash used in financing activities** | $(56,007) | $(78,685) | | **Effect of exchange rate changes on cash** | $(3,972) | $(6,088) | | **Net increase (decrease) in cash** | $51,045 | $(57,803) | | **Cash and cash equivalents at end of period** | $293,386 | $232,398 | Notes to Unaudited Condensed Consolidated Financial Statements - On January 30, 2023, the company completed the acquisition of MCT Worldwide, LLC for a purchase price of **$26.8 million**. The acquisition was accounted for as a business combination, and MCT's results have been included since the acquisition date[115](index=115&type=chunk) - During the first nine months of 2023, the company prepaid **$34.1 million** of its Term Loan Credit Facility, resulting in a **loss on debt extinguishment of $0.4 million**. The outstanding principal as of September 30, 2023, was approximately **$30.2 million**[149](index=149&type=chunk) - The company initiated a restructuring program related to the MCT acquisition, incurring **$2.0 million** in charges during the first nine months of 2023. This program includes consolidating manufacturing operations in Malaysia[155](index=155&type=chunk)[130](index=130&type=chunk) - Subsequent to the quarter end, on October 2, 2023, Cohu completed the acquisition of Equiptest Engineering Pte Ltd. (EQT) for a cash payment of **66.0 million Singapore dollars**[234](index=234&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations (MD&A)](index=34&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses financial performance, noting significant net sales decline in Q3 and YTD 2023 due to macroeconomic factors and reduced demand Results of Operations Q3 2023 vs Q3 2022 Performance (in millions) | Metric | Q3 2023 | Q3 2022 | Change (%) | | :--- | :--- | :--- | :--- | | **Net Sales** | $150.8 | $206.7 | -27.0% | | **Gross Margin %** | 47.0% | 47.4% | -0.4 p.p. | | **Net Income** | $3.9 | $24.9 | -84.3% | Nine Months 2023 vs Nine Months 2022 Performance (in millions) | Metric | Nine Months 2023 | Nine Months 2022 | Change (%) | | :--- | :--- | :--- | :--- | | **Net Sales** | $499.1 | $621.7 | -19.7% | | **Gross Margin %** | 47.5% | 46.7% | +0.8 p.p. | | **Net Income** | $30.2 | $75.2 | -59.8% | - The decrease in net sales was primarily driven by lower demand for automotive, industrial, mobility (including 5G-related products), and computing applications due to the current macroeconomic environment[282](index=282&type=chunk)[212](index=212&type=chunk) Liquidity and Capital Resources - As of September 30, 2023, the company had cash, cash equivalents, and short-term investments of **$387.6 million**, a slight increase from **$385.6 million** at the end of 2022[295](index=295&type=chunk) - Net cash provided by operating activities for the first nine months of 2023 was **$98.8 million**, up from **$85.3 million** in the same period of 2022[223](index=223&type=chunk)[18](index=18&type=chunk) - During the first nine months of 2023, the company repurchased **309,985 shares** of its common stock for **$10.9 million**. As of September 30, 2023, **$71.1 million** remained available under the share repurchase program[299](index=299&type=chunk)[173](index=173&type=chunk) - Total indebtedness was reduced to **$41.4 million** at September 30, 2023, primarily through a **$34.1 million** prepayment of the Term Loan Credit Facility during the first nine months of the year[204](index=204&type=chunk)[352](index=352&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=48&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company faces interest rate risk from variable-rate debt and investments, and foreign currency exchange risk from its international operations - The company is exposed to interest rate risk on its **$30.2 million** Term Loan Credit Facility, which has a variable interest rate based on SOFR plus a margin. The effective rate was **8.9%** at September 30, 2023[331](index=331&type=chunk) - A hypothetical **10% devaluation** of the U.S. Dollar against the functional currencies of its foreign operations would result in an approximate **$37.0 million** positive translation adjustment to stockholders' equity[333](index=333&type=chunk) [Controls and Procedures](index=49&type=section&id=Item%204.%20Controls%20and%20Procedures) Management, including CEO and CFO, concluded disclosure controls and procedures were effective as of September 30, 2023, with no material internal control changes - The principal executive officer and principal financial officer concluded that the company's disclosure controls and procedures were **effective** at the reasonable assurance level as of the end of the period[334](index=334&type=chunk)[361](index=361&type=chunk) - No changes in internal control over financial reporting occurred during the quarter that have materially affected, or are reasonably likely to materially affect, internal controls[335](index=335&type=chunk) Part II Other Information [Legal Proceedings](index=50&type=section&id=Item%201.%20Legal%20Proceedings) The company is involved in ordinary course legal proceedings, which management does not expect to materially affect financial position or results - The company states that it is not currently involved in any legal proceedings that are expected to have a **material adverse effect** on its financial condition[231](index=231&type=chunk)[336](index=336&type=chunk) [Risk Factors](index=50&type=page&id=Item%201A.%20Risk%20Factors) Updates 2022 Form 10-K risk factors, covering financial institution instability, semiconductor market downturn, AI use, and geopolitical instability - The company identifies risks related to the instability of financial institutions, highlighting the potential for **loss of cash deposits exceeding FDIC limits**[363](index=363&type=chunk)[337](index=337&type=chunk) - A significant downturn in the semiconductor mobility market, with sales declining **56.7%** in the last twelve months, and recent weakening in automotive and industrial segments are cited as having an **adverse impact on sales**[365](index=365&type=chunk)[339](index=339&type=chunk) - Risks associated with the use of Artificial Intelligence (AI) are disclosed, including potential for **incorrect data**, **regulatory actions**, and **diminished human oversight**[340](index=340&type=chunk)[342](index=342&type=chunk) - Geopolitical instability, particularly in Asia (Taiwan Strait), the conflict in Ukraine, and conflict in the Middle East, are noted as risks that could **disrupt manufacturing, supply chains, and sales**[343](index=343&type=chunk)[368](index=368&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=51&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) The company reported no unregistered equity sales and detailed common stock repurchases, including 133,100 shares for $4.7 million in Q3 2023 Issuer Purchases of Equity Securities (Q3 2023) | Period | Total Shares Purchased | Weighted-Average Price Paid per Share | Total Cost (in thousands) | | :--- | :--- | :--- | :--- | | Jul 2 - Jul 29, 2023 | 0 | N/A | $0 | | Jul 30 - Aug 26, 2023 | 43,000 | $35.72 | $1,540 | | Aug 27 - Sep 30, 2023 | 90,000 | $34.80 | $3,134 | | **Total** | **133,000** | **$35.10** | **$4,674** | - As of September 30, 2023, approximately **$71.1 million** remained available for future repurchases under the company's share repurchase program[345](index=345&type=chunk) [Defaults Upon Senior Securities](index=52&type=section&id=Item%203.%20Defaults%20Upon%20Senior%20Securities) The company reported no defaults upon senior securities during the period - There were **no defaults** upon senior securities[370](index=370&type=chunk)[347](index=347&type=chunk) [Exhibits](index=53&type=section&id=Item%206.%20Exhibits) This section lists Form 10-Q exhibits, including CEO and CFO certifications under Sarbanes-Oxley Act and Inline XBRL documents - The report includes certifications from the Chief Executive Officer and Chief Financial Officer as required by Sections 302 and 906 of the Sarbanes-Oxley Act of 2002[350](index=350&type=chunk)

Got it. Got it, Luis. ThatÂ's very helpful. So the auto handler market share is still pretty robust, right? Yes, itÂ's absolutely robust. ItÂ's very solid. Got it. And then just like, just another question. Is the orders are growing in September. Is it fair to assume your December revenue should be sequentially better than September? And along the same path, if you look into next year, are the main puts and takes on gross margins still the fact that if you have more mobility test equipment thatÂ's better fo ...

Q2'23 Financial Results Forward Looking Statements: These and other risks and uncertainties are discussed more fully in Cohu's filings with the SEC, including our most recent Form 10-K and Form 10-Q, and the other filings made by Cohu with the SEC from time to time, which are available via the SEC's website at www.sec.gov. Except as required by applicable law, Cohu does not undertake any obligation to revise or update any forward-looking statement, or to make any other forward-looking statements, whether as ...

Financial Data and Key Metrics Changes - Cohu reported Q1 2023 revenue of $179.4 million, aligning with the midpoint of guidance, with a non-GAAP gross margin of 48.2%, an increase of 210 basis points year-over-year [3][7][10] - Non-GAAP operating income was 19.1% of revenue, and adjusted EBITDA was 21.1% [10] - Cash and investments at the end of Q1 totaled $324 million, with a net cash position of approximately $280 million after debt repayment of $35.3 million [8][10] Business Line Data and Key Metrics Changes - The recurring business contributed 43% of Q1 revenue with a gross margin of approximately 53%, growing at a three-year CAGR of 6.4% [3][4] - The systems business accounted for 57% of Q1 revenue with a gross margin of about 45%, improving by 250 basis points year-over-year [5] - Test cell utilization was estimated at 77% at the end of Q1, down 2 points quarter-over-quarter, with automotive and industrial remaining the strongest segments [5][10] Market Data and Key Metrics Changes - Automotive revenue was up 43% year-over-year in Q1, with significant design wins in the automotive sector [22] - Mobility revenue increased a few percentage points sequentially, benefiting from the recently acquired MCT business [5] - The company anticipates challenges in demand for the second half of 2023 due to a weak economic outlook affecting the semiconductor market recovery [13] Company Strategy and Development Direction - Cohu is focusing on aligning investments with key global trends, particularly in industrial automation and autonomous vehicles [3][13] - The company is expanding its manufacturing capacity in the Philippines, with plans to start production at a new facility in early 2024 [4][8] - Cohu aims to increase its participation in automotive and industrial markets, particularly in electric drivetrains and autonomous vehicle technologies [5][22] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in delivering strong profitability and cash flows despite macroeconomic headwinds [13] - The company expects to see stability in computing and potential recovery in mobility towards the end of the year [61] - There is a cautious outlook for the second half of 2023, with visibility into Q3 but uncertainty beyond that [35][49] Other Important Information - Cohu's sustainability efforts include increasing the use of renewable energy to 26% and maintaining a strong safety and ethics record [13] - The company repurchased 3.5 million shares in Q1 and expects total CapEx for 2023 to be around $20 million [8][10] Q&A Session Summary Question: What is the outlook for the second half of the year? - Management indicated that there is decent visibility into Q3, but beyond that, it remains uncertain [35][49] Question: How is the automotive market performing? - Automotive revenue is up 43% year-over-year, with significant design wins in the sector [22] Question: What are the lead times for products? - Lead times for handlers are about 22 weeks, with no dramatic changes quarter-over-quarter [18][59] Question: How is the silicon carbide opportunity developing? - Silicon carbide revenue is expected to be around 2-3% of total revenue annually, with ongoing discussions with customers [62] Question: What is the expected growth for the contactor business? - The contactor business is anticipated to grow to $200 million, representing 20% of the revenue target of $1 billion [32][42]

Cohu, Inc. (NASDAQ:COHU) Q4 2022 Earnings Conference Call February 16, 2023 4:30 PM ET Company Participants Jeffrey Jones - SVP, Finance & CFO Luis Muller - President, CEO & Director Conference Call Participants Craig Ellis - B. Riley Securities Brian Chin - Stifel, Nicolaus & Company David Duley - Steelhead Securities Kinney Chin - Cowen and Company Operator Good day, and thank you for standing by. Welcome to Cohu's Fourth Quarter and Full Year 2022 Financial Results Conference Call. [Operator Instructions ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D. C. 20549 FORM 10-K (Mark One) ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2022 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number 1-4298 COHU, INC. (Exact name of registrant as specified in its charter) Delaware 95-1934119 Incorporation or Organiza ...

October 27, 2022 October 27, 2022 Page 1 Q3'22 Financial Results 詹 Cohu Cautionary Statement Regarding Forward Looking Statements Forward Looking Statements: Certain statements contained in this release and accompanying materials may be considered forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995, including statements regarding a resilient recurring business with profitability through industry cycles; estimated test cell utilization; mix of recurring ...