Group 1: Recent Purchases by Billionaires - Warren Buffett's Berkshire Hathaway made significant purchases in UnitedHealth Group and Nucor during the quarter ending June 30 [5][6] - UnitedHealth's stock has dropped due to investigations and allegations, but Buffett sees potential as the company meets Medicare Advantage enrollment targets [6] - Nucor, a major low-cost steelmaker, is strategically diversifying into building parts for data centers, presenting a favorable entry point for long-term investors [7] Group 2: Bill Ackman's Investments - Bill Ackman of Pershing Square Capital Management invested heavily in Amazon and Alphabet, with a concentrated portfolio of only 12 holdings valued at $13.7 billion [8] - Amazon continues to grow, with second-quarter net sales up 13% year over year, driven by its marketplace and AWS [8] - Alphabet is leveraging AI to enhance its search revenue growth, countering concerns about AI threatening its market position [9] Group 3: Stanley Druckenmiller's Strategy - Stanley Druckenmiller's Duquesne Family Office focused on Entegris and Microsoft as top purchases in the second quarter [10] - Microsoft shows strong growth potential with a diverse portfolio, including Office, Azure, and Xbox, reporting fourth-quarter revenue up 18% year over year [11] - Entegris supports the semiconductor industry with purification solutions, positioning itself as a critical player in the fast-growing chip market [12]

Group 1 - Entegris Inc shares crossed above their 200-day moving average of $89.13, reaching a high of $89.36 per share on Monday [2] - The current trading price of Entegris Inc shares is approximately $88.96, reflecting an increase of about 1.8% on the day [2] - The 52-week range for Entegris Inc shares is between a low of $60.7501 and a high of $117.88 [2]

Group 1 - Entegris (NASDAQ: ENTG) is identified as a well-positioned company despite being considered pricey, with the conclusion drawn even after a decline in share prices [1] - The company faces tough market conditions and has a significant amount of debt, which may impact its performance [1] Group 2 - The investing group "Value In Corporate Events" provides members with opportunities to capitalize on major corporate events such as IPOs, mergers & acquisitions, and earnings reports [1] - The group covers approximately 10 major events each month, focusing on identifying the best investment opportunities [1]

Core Insights - Entegris reported Q2 2025 GAAP revenue of $792.4 million, exceeding consensus estimates of $765.4 million, and Non-GAAP EPS of $0.66, above the projected $0.64, despite a 2.5% year-over-year decline in GAAP revenue [1][2] - Profitability measures showed contraction, with margins down in the Advanced Purity Solutions segment, while Materials Solutions saw margin expansion [1][7] - Management highlighted tariff impacts and continued softness in semiconductor capital spending as ongoing challenges [1][6] Financial Performance - Q2 2025 GAAP revenue was $792.4 million, a 2.5% decline from Q2 2024's $812.7 million [2] - Non-GAAP EPS was $0.66, down 7.0% from $0.71 in Q2 2024 [2] - Advanced Purity Solutions segment revenue was $439.9 million, a decline of 6.9% year-over-year, while Materials Solutions segment revenue was $354.9 million, up 3.7% compared to Q2 2024 [5][6] Business Overview - Entegris manufactures advanced materials and contamination control solutions critical for semiconductor manufacturing, including CMP slurries and deposition materials [3] - The company focuses on semiconductor device miniaturization, rising demands for purity, and expanding its product portfolio [4] Strategic Focus - Entegris aims to help customers meet strict yield and performance standards while managing risks from geopolitical shifts and supply-chain complexity [4] - Recent priorities include ramping new facilities in Taiwan and Colorado Springs and strengthening collaborations with semiconductor manufacturers [4] Operational Highlights - Gross margin, adjusted operating margin, and adjusted EBITDA margin declined compared to Q2 2024, with adjusted operating margin down by 1.1 percentage points [7] - Facility qualification work in Taiwan is expected to reach an annualized run rate above $120 million by late 2025 [8] - The company declared a quarterly dividend payment of $15.2 million, unchanged from the prior quarter [9] Product Performance - CMP consumables remain a growth driver, with nearly 20% year-on-year growth due to demand for advanced packaging and new logic nodes [10] - Advanced filter products for high bandwidth memory and logic applications continue to gain traction [10] Outlook - For Q3 2025, management guided GAAP net sales of $780 million to $820 million, with Non-GAAP diluted EPS expected in the $0.68 to $0.75 range [11] - Sequential improvement is anticipated in the second half of 2025 as tariff effects are addressed and advanced semiconductor node transitions gather momentum [11] - No full-year financial guidance was provided due to ongoing uncertainty in trade policies and semiconductor capital spending [12]

Core Insights - Entegris reported revenue of $792.4 million for the quarter ended June 2025, reflecting a year-over-year decline of 2.5% and an EPS of $0.66 compared to $0.71 a year ago [1] - The revenue exceeded the Zacks Consensus Estimate of $766.77 million by 3.34%, and the EPS also surpassed the consensus estimate of $0.65 by 1.54% [1] Financial Performance - Advanced Purity Solutions (APS) net sales were $439.9 million, below the two-analyst average estimate of $455.85 million [4] - Materials Solutions (MS) net sales reached $354.9 million, exceeding the two-analyst average estimate of $343.85 million, representing a year-over-year increase of 3.7% [4] - Adjusted segment profit for APS was $105.8 million, lower than the estimated $113.85 million [4] - Adjusted segment profit for MS was $75.5 million, surpassing the estimated $67.6 million [4] Stock Performance - Entegris shares have returned +12.8% over the past month, outperforming the Zacks S&P 500 composite's +3.4% change [3] - The stock currently holds a Zacks Rank 2 (Buy), indicating potential for outperformance in the near term [3]

Financial Data and Key Metrics Changes - Revenue for the second quarter was $792 million, down 3% year on year but up 2% sequentially [11] - Gross margin on a GAAP basis was 44.4%, and on a non-GAAP basis, it was 46.6%, generally in line with guidance [12] - Non-GAAP EPS was $0.66 per share, at the high end of guidance [12] Business Line Data and Key Metrics Changes - Materials Solutions sales were $355 million, up 4% year on year, driven by CMP slurries and pads, selective etch, and deposition materials [13] - Advanced Purity Solutions sales were $440 million, down 7% year on year but up 1% sequentially, primarily due to a decline in facilities-based CapEx investments [14] Market Data and Key Metrics Changes - Asia customers represent approximately 70% of total revenue, with expectations to serve about 85% of China demand from Asian manufacturing sites by the end of the year [8][36] - The semiconductor market is expected to remain dynamic, with AI-enabled applications driving growth in advanced logic and HBM, while mainstream logic and NAND demand remains subdued [10] Company Strategy and Development Direction - The company is focused on optimizing its global manufacturing footprint and supply chain to enhance efficiency and reduce lead times [8] - Investments in new manufacturing facilities in Taiwan and Colorado are expected to ramp up production volumes in the fourth quarter [6][9] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism for a stronger second half of the year, despite ongoing trade policy volatility and uncertainty impacting semiconductor demand [11] - The company remains committed to reducing gross leverage to below four times and prioritizing debt repayment [17] Other Important Information - Free cash flow was $79 million in the first half of the year, with expectations for a free cash flow margin in the low double digits for 2025 [15] - The company has implemented cost reduction initiatives expected to deliver $15 million in annual savings [15] Q&A Session Summary Question: Industry conditions in semiconductors - Management described the current industry conditions as mixed, with strong AI-related demand but subdued fab utilization levels in mainstream logic and NAND [25][26] Question: China business and order resumption - The China business started slow in Q2 but saw an 8% sequential increase in the latter part of the quarter after tariffs were put on hold [29][30] Question: Q3 guidance scenarios - Guidance for Q3 reflects a mix of favorable wafer start environment and ongoing tariff uncertainties impacting customer buying patterns [33][34] Question: Inventory adjustment process impact - Management indicated that inventory management is a balancing act impacting gross margins, with a focus on optimizing free cash flow [81][70] Question: Differences in sales channels - Fab revenue was up sequentially, while sales to equipment makers and chemical suppliers were down modestly, reflecting a soft industry CapEx environment [74]

Financial Data and Key Metrics Changes - Revenue for Q2 2025 was $792 million, down 3% year on year but up 2% sequentially [11] - Gross margin on a GAAP basis was 44.4%, and on a non-GAAP basis, it was 46.6%, generally in line with guidance [12] - Non-GAAP EPS was $0.66 per share, at the high end of guidance [12] Business Line Data and Key Metrics Changes - Materials Solutions sales were $355 million, up 4% year on year, driven by CMP slurries and pads, selective etch, and deposition materials [13] - Advanced Purity Solutions sales were $440 million, down 7% year on year but up 1% sequentially, primarily due to a decline in facilities-based CapEx investments [14] Market Data and Key Metrics Changes - Asia customers represent approximately 70% of total revenue, with expectations to serve about 70% of this demand from non-U.S. manufacturing sites by year-end [7][8] - The China business saw a sequential increase of 8% in Q2, reflecting a recovery after tariffs were put on hold [32] Company Strategy and Development Direction - The company is focused on expanding its global manufacturing footprint and optimizing supply chains to mitigate trade policy volatility [7][8] - Investments in new manufacturing sites in Taiwan and Colorado are expected to ramp up volumes significantly in Q4 [6] Management's Comments on Operating Environment and Future Outlook - The semiconductor market remains dynamic, with mixed conditions; AI-related demand is strong, but overall fab utilization levels are subdued [10][28] - The company expects a stronger second half performance, despite ongoing uncertainties in trade policies and capital spending [11][57] Other Important Information - Free cash flow was $79 million in the first half of the year, with expectations for a low double-digit free cash flow margin in 2025 [15] - The company has paid down $50 million of its term loan, resulting in gross debt of approximately $4 billion [16] Q&A Session Summary Question: Industry conditions in semiconductors - The current industry conditions are mixed, with strong AI-related demand but subdued fab utilization levels in mainstream logic and NAND [27][28] Question: China business activity - The China business started slow in Q2 but saw an 8% sequential increase in the latter part of the quarter after tariffs were put on hold [32] Question: Q3 guidance scenarios - The guidance for Q3 reflects a mix of favorable wafer start environment and ongoing tariff uncertainties, making it difficult to predict exact impacts [36][37] Question: Inventory adjustment process - The inventory adjustment process is ongoing, and while it impacts gross margins, the focus remains on optimizing free cash flow [83] Question: Transition of U.S. business to Asia - The company expects to serve about 85% of China demand from Asian manufacturing sites by year-end, with a goal of reaching 95% next year [39][66]

Financial Performance Summary - Entegris' net sales for Q2 2025 were $792.4 million, a decrease of 2.5% compared to Q2 2024 ($812.7 million), but an increase of 2.5% compared to Q1 2025 ($773.2 million) [5, 6] - The company's GAAP net income for Q2 2025 was $52.8 million, a decrease of 22% compared to Q2 2024 ($67.7 million) and a decrease of 16.1% compared to Q1 2025 ($62.9 million) [5] - Diluted earnings per common share (GAAP) for Q2 2025 were $0.35, a decrease of 22.2% compared to Q2 2024 ($0.45) and a decrease of 14.6% compared to Q1 2025 ($0.41) [5] - Adjusted EBITDA for Q2 2025 was $216.7 million, representing 27.3% of net sales, compared to $226.3 million (27.8% of net sales) in Q2 2024 [6] Segment Performance - Materials Solutions (MS) segment net sales for Q2 2025 were $354.9 million, an increase of 3.7% year-over-year (YoY) and 4.0% sequentially [8] - Advanced Purity Solutions (APS) segment net sales for Q2 2025 were $439.9 million, a decrease of 6.9% YoY but an increase of 1.4% sequentially [10] - Adjusted segment profit for APS was $105.8 million, with an adjusted segment profit margin of 24.1% [10] Balance Sheet and Cash Flow - Entegris' cash and cash equivalents at the end of Q2 2025 were $376.8 million, compared to $320.0 million in Q2 2024 and $340.9 million in Q1 2025 [13] - Long-term debt, including current maturities, was $3.9878 billion in Q2 2025, compared to $4.1222 billion in Q2 2024 [13] - Free cash flow for Q2 2025 was $47.0 million, compared to $51.9 million in Q2 2024 [14] Q3 2025 Outlook - The company expects net sales to be in the range of $780 million to $820 million [15, 16] - The company expects Non-GAAP net income to be in the range of $104 million to $115 million [16] - The company expects diluted non-GAAP earnings per common share to be in the range of $0.68 to $0.75 [16]

Financial Performance - Entegris reported quarterly earnings of $0.66 per share, exceeding the Zacks Consensus Estimate of $0.65 per share, but down from $0.71 per share a year ago, representing an earnings surprise of +1.54% [1] - The company posted revenues of $792.4 million for the quarter, surpassing the Zacks Consensus Estimate by 3.34%, but down from $812.65 million year-over-year [2] - Over the last four quarters, Entegris has surpassed consensus EPS estimates two times and topped consensus revenue estimates two times [2] Stock Performance and Outlook - Entegris shares have declined approximately 6.3% since the beginning of the year, while the S&P 500 has gained 8.3% [3] - The company's earnings outlook is crucial for investors, as it includes current consensus earnings expectations for upcoming quarters and any recent changes to those expectations [4] - The current consensus EPS estimate for the next quarter is $0.75 on revenues of $820.04 million, and for the current fiscal year, it is $2.94 on revenues of $3.26 billion [7] Industry Context - The Electronics - Manufacturing Machinery industry, to which Entegris belongs, is currently ranked in the bottom 32% of over 250 Zacks industries, indicating potential challenges ahead [8] - Empirical research suggests a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can impact Entegris's stock performance [5][6]

[Executive Summary & Business Update](index=1&type=section&id=Executive%20Summary%20%26%20Business%20Update) This section provides an overview of Entegris' second-quarter 2025 financial performance, CEO commentary on industry trends, third-quarter outlook, segment details, and company profile [Second Quarter 2025 Highlights](index=1&type=section&id=Second%20Quarter%202025%20Highlights) Entegris reported Q2 2025 revenue above guidance, with sequential growth driven by unit-driven solutions. GAAP diluted EPS was $0.35, and non-GAAP diluted EPS was $0.66, with gross and operating margins within guidance | Metric | Value (Jun 28, 2025) | Value (Mar 29, 2025) | YoY Change (vs Jun 29, 2024) | | :--------------------------------- | :------------------- | :------------------- | :----------------------------- | | Net sales | $792.4 million | $773.2 million | -2.5% | | Gross margin (GAAP) | 44.4 % | 46.1 % | -1.8 pp | | Operating margin (GAAP) | 13.4 % | 15.8 % | -2.6 pp | | Net income (GAAP) | $52.8 million | $62.9 million | -22.0% | | Diluted EPS (GAAP) | $0.35 | $0.41 | -22.2% | | Adjusted gross margin (Non-GAAP) | 44.6 % | 46.1 % | -1.6 pp | | Adjusted operating margin (Non-GAAP) | 20.9 % | 22.1 % | -1.1 pp | | Adjusted EBITDA (Non-GAAP) | 27.3 % | 28.5 % | -0.5 pp | | Diluted EPS (Non-GAAP) | $0.66 | $0.67 | -7.0% | [CEO Commentary & Industry Outlook](index=1&type=section&id=CEO%20Commentary%20%26%20Industry%20Outlook) CEO Bertrand Loy highlighted Q2 revenue growth driven by unit-driven solutions and noted significant growth in advanced logic and HBM due to AI-enabled applications. Despite subdued overall fab activity and short-term macroeconomic uncertainties, Entegris anticipates stronger performance in H2 2025 and maintains a highly optimistic long-term industry outlook, leveraging its materials science expertise - Q2 revenue grew **2% sequentially** and exceeded guidance, driven by demand for unit-driven solutions, particularly CMP consumables, selective etch, and deposition materials[2](index=2&type=chunk) - AI-enabled applications are driving significant growth in advanced logic and HBM, while overall fab activity remains subdued[2](index=2&type=chunk) - Entegris expects stronger business performance in the second half of 2025 and maintains a strong long-term growth outlook for the market and the company, emphasizing its expertise in materials science and purity[2](index=2&type=chunk) [Third Quarter 2025 Outlook](index=2&type=section&id=Third%20Quarter%202025%20Outlook) Entegris provided guidance for the third quarter ending September 27, 2025, projecting sales between $780 million and $820 million, with corresponding GAAP and non-GAAP net income and diluted EPS ranges | Metric | Guidance Range (Sep 27, 2025) | | :--------------------------------- | :------------------------------ | | Sales | $780 million - $820 million | | GAAP Net Income | $65 million - $76 million | | GAAP Diluted EPS | $0.43 - $0.50 | | Non-GAAP Net Income | $104 million - $115 million | | Non-GAAP Diluted EPS | $0.68 - $0.75 | | Adjusted EBITDA as % of sales | ~27.5% | [Segment Overview](index=2&type=section&id=Segment%20Overview) Entegris operates two primary segments: Materials Solutions (MS), focused on materials-based solutions for device performance, and Advanced Purity Solutions (APS), providing contamination-control solutions for critical liquid chemistries and gases in semiconductor manufacturing - Materials Solutions (MS) segment provides materials-based solutions such as chemical vapor and atomic layer deposition materials, CMP slurries and pads, ion implantation specialty gases, and formulated etch and clean materials[6](index=6&type=chunk) - Advanced Purity Solutions (APS) segment offers filtration, purification, and contamination-control solutions to improve yield, device reliability, and cost by ensuring the purity of critical liquid chemistries and gases[7](index=7&type=chunk) [About Entegris](index=2&type=section&id=About%20Entegris) Entegris is a leading global supplier of critical advanced materials and process solutions for the semiconductor and other high-technology industries, with approximately 8,000 employees and ISO 9001 certification across its global operations - Entegris is a leading supplier of critical advanced materials and process solutions for the semiconductor and other high-technology industries[10](index=10&type=chunk) - The company has approximately **8,000 employees globally** and is ISO 9001 certified, with manufacturing, customer service, and research facilities in multiple countries[10](index=10&type=chunk) [Financial Results](index=5&type=section&id=Financial%20Results) This section details Entegris' condensed consolidated financial statements, including statements of operations, balance sheets, cash flows, and segment performance for recent periods [Condensed Consolidated Statements of Operations](index=5&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations) This section presents Entegris' GAAP income statement data for both the three-month and six-month periods ended June 28, 2025, detailing net sales, gross profit, operating income, and net income [Three Months Ended June 28, 2025](index=5&type=section&id=Three%20Months%20Ended%20June%2028%2C%202025) This subsection provides a detailed breakdown of Entegris' GAAP financial performance for the three months ended June 28, 2025, compared to prior periods | Metric | Jun 28, 2025 ($ millions) | Jun 29, 2024 ($ millions) | Mar 29, 2025 ($ millions) | | :---------------------------------- | :------------------------ | :------------------------ | :------------------------ | | Net sales | 792.4 | 812.7 | 773.2 | | Cost of sales | 440.9 | 436.9 | 416.7 | | Gross profit | 351.5 | 375.8 | 356.5 | | Operating income | 106.1 | 130.1 | 122.3 | | Net income | 52.8 | 67.7 | 62.9 | | Diluted earnings per common share | $0.35 | $0.45 | $0.41 | [Six Months Ended June 28, 2025](index=6&type=section&id=Six%20Months%20Ended%20June%2028%2C%202025) This subsection presents Entegris' GAAP financial results for the six months ended June 28, 2025, compared to the same period in the prior year | Metric | Jun 28, 2025 ($ millions) | Jun 29, 2024 ($ millions) | | :---------------------------------- | :------------------------ | :------------------------ | | Net sales | 1,565.6 | 1,583.7 | | Cost of sales | 857.6 | 856.1 | | Gross profit | 708.0 | 727.6 | | Operating income | 228.4 | 247.7 | | Net income | 115.7 | 113.0 | | Diluted earnings per common share | $0.76 | $0.74 | [Condensed Consolidated Balance Sheets](index=7&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) As of June 28, 2025, Entegris' total assets increased to $8,449.5 million, driven by higher cash and inventories. Shareholders' equity also saw an increase, while total liabilities remained relatively stable | Metric | Jun 28, 2025 ($ millions) | Dec 31, 2024 ($ millions) | Change ($ millions) | | :--------------------------------- | :------------------------ | :------------------------ | :------------------ | | Total current assets | 1,705.5 | 1,616.3 | +89.2 | | Total assets | 8,449.5 | 8,394.6 | +54.9 | | Total current liabilities | 517.2 | 525.2 | -8.0 | | Long-term debt | 3,937.8 | 3,981.1 | -43.3 | | Shareholders' equity | 3,809.1 | 3,691.5 | +117.6 | [Condensed Consolidated Statements of Cash Flows](index=8&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) For the six months ended June 28, 2025, operating activities provided $253.9 million in cash, while investing activities used $174.9 million. Financing activities used $40.2 million, leading to an overall increase in cash and cash equivalents to $376.8 million | Metric | Jun 28, 2025 ($ millions) | Jun 29, 2024 ($ millions) | | :--------------------------------------- | :------------------------ | :------------------------ | | Net cash provided by operating activities | 253.9 | 258.4 | | Net cash (used in) provided by investing activities | (174.9) | 121.8 | | Net cash used in financing activities | (40.2) | (509.9) | | Increase (decrease) in cash and cash equivalents | 47.6 | (136.9) | | Cash and cash equivalents at end of period | 376.8 | 320.0 | [Segment Financial Performance](index=9&type=section&id=Segment%20Financial%20Performance) In Q2 2025, Materials Solutions (MS) saw sequential growth in net sales and segment profit. Advanced Purity Solutions (APS) also had sequential net sales growth but experienced a decrease in segment profit. For the six-month period, MS improved both sales and profit, while APS saw declines | Segment | Jun 28, 2025 (3M) ($ millions) | Jun 29, 2024 (3M) ($ millions) | Mar 29, 2025 (3M) ($ millions) | Jun 28, 2025 (6M) ($ millions) | Jun 29, 2024 (6M) ($ millions) | | :------------------------ | :----------------------------- | :----------------------------- | :----------------------------- | :----------------------------- | :----------------------------- | | Materials Solutions | 354.9 | 342.3 | 341.4 | 696.3 | 692.3 | | Advanced Purity Solutions | 439.9 | 472.6 | 433.9 | 873.8 | 895.9 | | Total net sales | 792.4 | 812.7 | 773.2 | 1,565.6 | 1,583.7 | | Segment | Jun 28, 2025 (3M) ($ millions) | Jun 29, 2024 (3M) ($ millions) | Mar 29, 2025 (3M) ($ millions) | Jun 28, 2025 (6M) ($ millions) | Jun 29, 2024 (6M) ($ millions) | | :------------------------ | :----------------------------- | :----------------------------- | :----------------------------- | :----------------------------- | :----------------------------- | | Materials Solutions | 72.5 | 70.3 | 75.0 | 147.5 | 137.4 | | Advanced Purity Solutions | 95.9 | 122.6 | 108.1 | 204.0 | 233.8 | | Total segment profit | 168.4 | 192.9 | 183.1 | 351.5 | 371.2 | [Non-GAAP Financial Measures & Reconciliations](index=2&type=section&id=Non-GAAP%20Financial%20Measures%20%26%20Reconciliations) This section provides detailed reconciliations of Entegris' GAAP financial results to non-GAAP measures, offering insights into adjusted performance metrics [Non-GAAP Information Disclosure](index=2&type=section&id=Non-GAAP%20Information%20Disclosure) Entegris provides supplemental non-GAAP financial measures to offer investors and analysts additional insights into the company's ongoing results and baseline performance, excluding certain non-recurring items. These measures are also utilized by management for business understanding, performance evaluation, and operational decision-making - Non-GAAP financial measures are provided to offer additional and meaningful information for assessing ongoing results and understanding baseline performance before certain non-indicative charges[11](index=11&type=chunk) - Management uses non-GAAP measures to understand and manage the business, evaluate segment performance, and make operating decisions[11](index=11&type=chunk) [Reconciliation of GAAP Gross Profit to Adjusted Gross Profit](index=10&type=section&id=Reconciliation%20of%20GAAP%20Gross%20Profit%20to%20Adjusted%20Gross%20Profit) This section reconciles GAAP gross profit to adjusted gross profit, primarily by adding back restructuring costs, to provide a clearer view of the company's core gross margin performance | Metric | Jun 28, 2025 | Jun 29, 2024 | Mar 29, 2025 | | :-------------------------------- | :----------- | :----------- | :----------- | | Gross profit-GAAP | $351.5 | $375.8 | $356.5 | | Restructuring costs | 2.1 | — | 0.2 | | Adjusted gross profit | $353.6 | $375.8 | $356.7 | | Gross margin - as a % of net sales | 44.4 % | 46.2 % | 46.1 % | | Adjusted gross margin - as a % of net sales | 44.6 % | 46.2 % | 46.1 % | [Reconciliation of GAAP Segment Profit to Adjusted Operating Income](index=11&type=section&id=Reconciliation%20of%20GAAP%20Segment%20Profit%20to%20Adjusted%20Operating%20Income) This reconciliation adjusts GAAP segment profit for items such as restructuring costs, loss/gain on sale of business, and impairment of long-lived assets, to arrive at adjusted operating income for each segment and the total company | Metric | Jun 28, 2025 ($ millions) | Jun 29, 2024 ($ millions) | Mar 29, 2025 ($ millions) | | :------------------------------------ | :------------------------ | :------------------------ | :------------------------ | | MS segment profit | 72.5 | 70.3 | 75.0 | | APS segment profit | 95.9 | 122.6 | 108.1 | | Total segment profit | 168.4 | 192.9 | 183.1 | | Total adjusted operating income | 165.4 | 178.9 | 170.8 | [Reconciliation of GAAP Net Income to Adjusted Operating Income and Adjusted EBITDA](index=12&type=section&id=Reconciliation%20of%20GAAP%20Net%20Income%20to%20Adjusted%20Operating%20Income%20and%20Adjusted%20EBITDA) This section provides a detailed reconciliation from GAAP net income to adjusted operating income and Adjusted EBITDA, incorporating adjustments for non-operating items, integration costs, restructuring, and amortization of intangible assets | Metric | Jun 28, 2025 | Jun 29, 2024 | Mar 29, 2025 | | :------------------------------------ | :----------- | :----------- | :----------- | | Net income (GAAP) | $52.8 | $67.7 | $62.9 | | GAAP - Operating income | 106.1 | 130.1 | 122.3 | | Adjusted operating income | 165.4 | 178.9 | 170.8 | | Adjusted operating margin - as a % of net sales | 20.9 % | 22.0 % | 22.1 % | | Adjusted EBITDA | $216.7 | $226.3 | $220.7 | | Adjusted EBITDA - as a % of net sales | 27.3 % | 27.8 % | 28.5 % | [Reconciliation of GAAP Net Income and Diluted EPS to Non-GAAP Net Income and Diluted Non-GAAP EPS](index=13&type=section&id=Reconciliation%20of%20GAAP%20Net%20Income%20and%20Diluted%20EPS%20to%20Non-GAAP%20Net%20Income%20and%20Diluted%20Non-GAAP%20EPS) This reconciliation details the adjustments made to GAAP net income and diluted earnings per common share to arrive at their non-GAAP counterparts, including integration costs, restructuring, and amortization of intangible assets, along with their tax effects | Metric | Jun 28, 2025 | Jun 29, 2024 | Mar 29, 2025 | | :------------------------------------ | :----------- | :----------- | :----------- | | GAAP net income | $52.8 | $67.7 | $62.9 | | Non-GAAP net income | $100.6 | $107.1 | $101.5 | | Diluted earnings per common share (GAAP) | $0.35 | $0.45 | $0.41 | | Diluted non-GAAP earnings per common share | $0.66 | $0.71 | $0.67 | [Reconciliation of Reported Net Sales to Adjusted Net Sales (excluding divestiture)](index=14&type=section&id=Reconciliation%20of%20Reported%20Net%20Sales%20to%20Adjusted%20Net%20Sales%20%28excluding%20divestiture%29) This section reconciles reported net sales to adjusted net sales by excluding the impact of divestitures, specifically the PIM business divested in Q1 2024, to provide a comparable view of ongoing sales performance | Metric | Jun 28, 2025 (3M) ($ millions) | Jun 29, 2024 (3M) ($ millions) | Mar 29, 2025 (3M) ($ millions) | Jun 28, 2025 (6M) ($ millions) | Jun 29, 2024 (6M) ($ millions) | | :------------------------------------------ | :----------------------------- | :----------------------------- | :----------------------------- | :----------------------------- | :----------------------------- | | Net sales | 792.4 | 812.7 | 773.2 | 1,565.6 | 1,583.7 | | Less: divestiture | — | — | — | — | (33.9) | | Adjusted net sales (excluding divestiture) | 792.4 | 812.7 | 773.2 | 1,565.6 | 1,549.8 | [Reconciliation of GAAP Outlook to Non-GAAP Outlook](index=15&type=section&id=Reconciliation%20of%20GAAP%20Outlook%20to%20Non-GAAP%20Outlook) This section provides a reconciliation of Entegris' third-quarter GAAP financial outlook to its non-GAAP outlook, detailing adjustments for operating income, net income, and diluted EPS to offer a comprehensive view of expected performance | Metric | GAAP Outlook (Sep 27, 2025) | Non-GAAP Outlook (Sep 27, 2025) | | :------------------------------------ | :---------------------------- | :------------------------------ | | Net sales | $780 - $820 | $780 - $820 | | Operating income | $113 - $135 | $159 - $181 (Adjusted) | | Operating margin - as a % of net sales | 14.5% - 16.4% | 20.4% - 22.1% (Adjusted) | | Adjusted EBITDA - as a % of net sales | N/A | ~27.5% | | Net income | $65 - $76 | $104 - $115 | | Diluted earnings per common share | $0.43 - $0.50 | $0.68 - $0.75 | [Additional Information](index=2&type=section&id=Additional%20Information) This section provides details on the second-quarter results conference call and important cautionary notes regarding forward-looking statements [Second-Quarter Results Conference Call](index=2&type=section&id=Second-Quarter%20Results%20Conference%20Call) Entegris announced details for its conference call to discuss Q2 2025 results, including dial-in information and access to the live webcast, replay, and management's presentation - A conference call to discuss Q2 2025 results was scheduled for Wednesday, July 30, 2025, at **9:00 a.m. Eastern Time**[8](index=8&type=chunk) - Participants can dial **800-579-2543** or **+1 785-424-1789**, referencing confirmation ID: ENTGQ225, and access the live webcast and replay online[8](index=8&type=chunk) - Management's slide presentation concerning the results will be posted on the Investor Relations section of www.entegris.com[9](index=9&type=chunk) [Cautionary Note on Forward-Looking Statements](index=4&type=section&id=Cautionary%20Note%20on%20Forward-Looking%20Statements) This section serves as a disclaimer, indicating that the news release contains forward-looking statements based on current expectations, which are subject to substantial risks and uncertainties that could cause actual results to differ materially. Entegris explicitly states it undertakes no obligation to update these statements - The news release contains forward-looking statements based on current management expectations, which are not guarantees of future performance and involve substantial risks and uncertainties[13](index=13&type=chunk) - Key risks include fluctuations in semiconductor demand, global economic uncertainty, raw material shortages, supply chain interruptions, geopolitical instability, export controls, and the ability to innovate and integrate acquisitions[13](index=13&type=chunk) - Entegris undertakes no obligation to update publicly any forward-looking statements or information contained herein[13](index=13&type=chunk)