Revenue and Financial Performance - Revenue for the nine months ended March 30, 2025, decreased by $45.9 million to $560.6 million, primarily due to weaker demand in industrial and energy markets, partially offset by growth in automotive products [133]. - Revenue for the three months ended March 30, 2025, was $185.4 million, down 8% from $200.7 million in the same period in 2024 [142]. - Power Products revenue decreased by 5% to $107.5 million, while Materials Products revenue fell by 21% to $77.9 million for the three months ended March 30, 2025 [142]. - For the nine months ended March 30, 2025, net cash used in operating activities increased to $469.2 million, a 9% increase from $431.8 million in the same period last year [171]. Profitability and Margins - Gross margin decreased to -17.1% from 12.4%, impacted by underutilization costs related to the Mohawk Valley Fab and restructuring costs from the Durham Fab [133]. - Gross profit for the three months ended March 30, 2025, was a loss of $22.5 million, compared to a profit of $22.5 million in the same period in 2024, resulting in a gross margin of (12.1)% [143]. - Diluted loss per share was $6.88, up from $3.18 year-over-year [133]. Expenses and Investments - Operating loss increased to $747.6 million compared to $299.4 million in the previous year [133]. - Research and development expenses decreased by 20% to $42.2 million for the three months ended March 30, 2025, representing 23% of revenue [144]. - Sales, general and administrative expenses decreased by 26% to $41.1 million for the three months ended March 30, 2025, representing 22% of revenue [145]. - Factory start-up costs increased by 63% to $23.5 million for the three months ended March 30, 2025, due to construction costs for a new manufacturing facility [147]. - Cash used in investing activities decreased significantly by 84%, from $1,571.4 million to $254.5 million, primarily due to reduced capital expenditures [171]. Debt and Cash Position - Cash, cash equivalents, and short-term investments totaled $1,329.6 million as of March 30, 2025, down from $2,174.6 million at June 30, 2024 [133]. - Long-term debt increased to $6,511.8 million as of March 30, 2025, compared to $6,161.1 million at June 30, 2024 [133]. - As of March 30, 2025, the company had approximately $1,329.6 million in unrestricted cash and cash equivalents, compared to scheduled debt repayments of $575 million and debt service costs of $322 million over the next 12 months [160]. Capital Investment and Future Plans - The company incurred approximately $0.8 billion in net capital investment for the nine months ended March 30, 2025, with an additional $0.2 billion expected in Q4 of fiscal 2025 [137]. - Major expansion projects at the Mohawk Valley Fab and Siler City, NC facility are nearing substantial completion, with gross capital investment expected to decrease significantly to approximately $0.2 billion in fiscal 2026 [138]. - The company anticipates gross capital investment to decrease significantly to approximately $0.2 billion in fiscal 2026 [168]. - The company expects to need additional funding for capacity expansions and may consider reducing capital expenditures to preserve working capital [156]. Design Wins and Market Position - Design-wins for the third quarter of fiscal 2025 were the second highest in company history, indicating a ramp-up in previously reported design-ins [139]. - The company is focused on transitioning from 150mm to 200mm silicon carbide devices as part of its 2025 Restructuring Plan [136]. Non-Operating and Other Expenses - Non-operating expense, net, was $90.9 million for the three months ended March 30, 2025, an increase of 114% compared to $42.4 million in the same period in 2024 [151]. - Loss on disposal or impairment of long-lived assets was $31.1 million for the three months ended March 30, 2025, a significant increase from $0.6 million in the same period in 2024 [148]. Funding and Tax Refunds - In Q3 fiscal 2025, the company received an initial federal cash tax refund of $186.5 million related to AMIC claims under Section 48D of the Internal Revenue Code [158]. - The company expects to submit for approximately $600 million in cash tax refunds related to AMIC over the next 12 months [160]. - The company raised approximately $200.0 million through the sale of 27.8 million additional shares of common stock as part of an at-the-market program [157]. Supplier Agreements and Market Value - The company has take-or-pay supplier agreements requiring a minimum of $209.9 million in purchases over the next five years [169]. - As of March 30, 2025, the market value of MACOM common stock held by the company was approximately $70.1 million, with a potential decrease of $7.0 million if market values hypothetically drop by 10% [180].

Core Viewpoint - Wolfspeed reported a non-GAAP loss of 72 cents per share for Q3 fiscal 2025, which was better than the Zacks Consensus Estimate by 12.2%, but revenues of $185.4 million decreased 7.6% year over year, missing the consensus mark by 0.48% [1] Revenue Breakdown - Power Products accounted for 58% of total revenues, generating $107.5 million, a 5.3% increase year over year, while Materials Products contributed 42% with revenues of $77.9 million, down 21% year over year [2] Operating Performance - The non-GAAP gross margin was 2.2%, significantly down from 14.9% in the prior year, impacted by $26.3 million in underutilization costs [3] - Sales, general and administrative expenses were $41.1 million, representing 22.2% of total revenues, a decrease of 26.3% year over year [3] - Research and development expenses were $42.2 million, or 22.8% of total revenues, down 19.6% year over year, with restructuring charges of $57 million incurred during the quarter [4] - The non-GAAP operating loss widened to $110.8 million from $77.7 million in the year-ago quarter [4] Financial Position - As of March 30, 2025, Wolfspeed had cash, cash equivalents, and short-term investments totaling $1.3 billion, with long-term debt at $3.47 billion [5] - Free cash outflow was $168 million, consisting of $142 million in operating cash outflow and $26 million in capital expenditures, net of $192 million in reimbursements from 48D cash tax refunds [5] Guidance - For fiscal year 2025, Wolfspeed anticipates total revenues of approximately $756 million, with power and material revenues expected to be $410 million and $345 million, respectively, and a non-GAAP gross margin of around 2.1% [6] - For fiscal year 2026, the company projects revenues of $850 million [6] Market Position - Wolfspeed currently holds a Zacks Rank of 4 (Sell), while Chegg, GCT Semiconductor Holding, and Magnachip Semiconductor are better-ranked stocks in the sector, each carrying a Zacks Rank of 2 (Buy) [7]

Company Performance - Wolfspeed reported a quarterly loss of $0.72 per share, better than the Zacks Consensus Estimate of a loss of $0.82, but worse than a loss of $0.62 per share a year ago, indicating an earnings surprise of 12.20% [1] - The company posted revenues of $185.4 million for the quarter ended March 2025, missing the Zacks Consensus Estimate by 0.48%, and down from $200.7 million year-over-year [2] - Over the last four quarters, Wolfspeed has surpassed consensus EPS estimates three times, but has topped consensus revenue estimates only once [2] Stock Outlook - Wolfspeed shares have declined approximately 38.3% since the beginning of the year, compared to a decline of 4.3% for the S&P 500 [3] - The current consensus EPS estimate for the upcoming quarter is -$0.80 on revenues of $194.77 million, and for the current fiscal year, it is -$3.30 on revenues of $756.27 million [7] - The estimate revisions trend for Wolfspeed is currently unfavorable, resulting in a Zacks Rank 4 (Sell), indicating expected underperformance in the near future [6] Industry Context - The Semiconductor - Discretes industry, to which Wolfspeed belongs, is currently ranked in the bottom 15% of over 250 Zacks industries, suggesting a challenging environment [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which could impact Wolfspeed's stock performance [5]

Financial Data and Key Metrics Changes - The company generated revenue of $185 million in Q3 2025, which is in line with the guidance midpoint and represents a 2.2% sequential increase [19] - Non-GAAP gross margin was 2.2%, driven by contributions from Mohawk Valley, offset by lower utilization at the Durham 150mm device fab [20] - Adjusted EPS was negative $0.72 per share, exceeding the high end of the guidance range [20] - The company ended the quarter with over $1.3 billion in cash and liquidity, including $200 million from an equity offering and $192 million from tax refunds [22] Business Line Data and Key Metrics Changes - Power revenue reached $107 million, primarily driven by significant growth in automotive revenue, while industrial and energy revenues saw a slight decrease [19] - Materials revenue was $78 million, largely affected by slowing demand from materials customers across the device market [19] - Mohawk Valley contributed $78 million in revenue, showing a 50% sequential growth and over 175% year-over-year growth [12][19] Market Data and Key Metrics Changes - The company is actively engaged with customers on sampling 200mm materials and pursuing new contracts for 200mm wafer supply, indicating strong market engagement [12] - The transition to a fully automated 200mm manufacturing footprint is expected to enhance competitiveness in high-growth areas of the silicon carbide market [17] Company Strategy and Development Direction - The company aims to improve its capital structure and financial performance while focusing on silicon carbide technology as a long-term growth driver [13][14] - A strategic decision has been made to exit the 150mm device market, aligning the company to pursue growth in high-value verticals [17] - The company is targeting a reduction in its non-GAAP EBITDA breakeven point to approximately $800 million annually [17] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's strategic direction and potential for long-term growth under new leadership [27] - The focus will be on reaccelerating revenue growth and enhancing profitability through operational excellence and quality assurance [9][10] - Management acknowledged the challenges but emphasized that actions taken are designed to position the company for growth and success [18] Other Important Information - The company is undergoing a restructuring process, with projected restructuring charges of $400 million to $450 million for fiscal 2025 [21] - The company has engaged external experts to identify additional cost-saving measures beyond current initiatives [14] Summary of Q&A Session - No questions were taken during the conference call, as stated by the operator [5]

Financial Data and Key Metrics Changes - The company generated revenue of $185 million in Q3 2025, which is in line with guidance and represents a 2.2% sequential increase [18] - Non-GAAP gross margin was 2.2%, driven by contributions from Mohawk Valley, offset by lower utilization at the Durham 150mm device fab [19] - Adjusted EPS was negative $0.72 per share, exceeding the high end of the guidance range [19] - The company ended the quarter with over $1.3 billion in cash and liquidity, boosted by a $192 million cash tax refund [21][22] Business Line Data and Key Metrics Changes - Power revenue reached $107 million, primarily driven by significant growth in automotive revenue, slightly offset by decreases in industrial and energy revenues [18] - Materials revenue was $78 million, largely due to slowing demand from materials customers across the device market [18] - Mohawk Valley contributed $78 million, showing a 50% sequential growth and over 175% year-over-year growth [19] Market Data and Key Metrics Changes - The company is actively engaged with customers on sampling 200mm materials and pursuing new contracts for 200mm wafer supply, indicating strong market engagement [11] - The transition to 200mm manufacturing is expected to result in lower costs and higher quality wafers, aligning with high-growth areas of the silicon carbide market [15] Company Strategy and Development Direction - The company is focused on improving its capital structure and financial performance, with a target of achieving approximately $200 million of positive unlevered operating cash flow in fiscal 2026 [16] - The strategic decision to transition to a pure play 200mm silicon carbide producer is aimed at reducing operating expenditures and accelerating the path to profitability [15][27] - The company is pursuing opportunities in specialized markets such as AI data centers, energy storage, EVs, and aerospace and defense [9] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's strategic direction and potential for long-term growth under new leadership [25] - The company is committed to returning to core innovation and focusing on technologies where silicon carbide delivers the greatest impact [26] - Management acknowledged the challenges faced but emphasized that actions taken are designed to position the company for growth and success [17] Other Important Information - The company is undergoing significant restructuring, including a 30% reduction in the senior leadership team and a 25% reduction in total company employment [20] - Restructuring charges for fiscal 2025 are projected at $400 million to $450 million, with $57 million incurred in the latest quarter [20] - The company is in the final stages of transitioning to 200mm manufacturing and simplifying its operational footprint [14] Q&A Session Summary - No questions were taken during the conference call, as noted in the initial remarks [4]

Exhibit 99.1 Wolfspeed Reports Financial Results for the Third Quarter of Fiscal Year 2025 DURHAM, N.C. May 8, 2025 -- Wolfspeed, Inc. (NYSE: WOLF) today announced its results for the third quarter of fiscal 2025. Quarterly Financial Highlights (Continuing operations only. All comparisons are to the third quarter of fiscal 2024.) "At the beginning of the year, the Company outlined a plan focused on strengthening our capital structure, improving our path to profitability, and raising cost effective capital t ...

Wolfspeed (WOLF) is set to report its third-quarter fiscal 2025 results on May 8.For third-quarter fiscal 2025, WOLF expects non-GAAP net loss between 76 cents and 88 cents per share. Revenues are expected to be between $170 million and $200 million.The Zacks Consensus Estimate for third-quarter fiscal 2025 loss is pegged at 82 cents per share, unchanged over the past 30 days. Wolfspeed reported a loss of 62 cents per share in the year-ago quarter.The consensus estimate for revenues is pegged at $186.3 mill ...

由于一些利好消息传出后空头被挤压， Wolfspeed (NYSE：WOLF ) 上个月出现了大幅的单日波动。 Wolfspeed 专注于碳化硅半导体，其在效率和性能方面比传统硅具有一些优势。 这项技术对于高需求应用来说是必需的，包括电动汽车、工业电力系统和可再生能源解决方案。 这是一家利基芯片公司，它的成功将取决于这项技术如何发展，以及上述行业的整体需求。 Wolfspeed 的股价在过去两年里下跌了 80% 以上。它一度看起来像是一只前景看好的成长型股票，但现 在情况已不再如此。2016 年以来，该公司的收入开始稳步下降，虽然自 2020 年以来有所增长，但该公 司现在也面临着资产负债表问题。 Wolfspeed 的债务负担非常高，超过 40 亿美元。如果该公司的自由现金流不是负数，这或许不是什么大 问题。 作者 | James Foord 编译 | 华尔街大事件 如果现金消耗持续下去，该公司很可能需要在 2026 年或以后进一步筹集资金，这当然意味着可能的股 东股权稀释。 如果你把所有这些因素综合起来，那么该股票拥有约 40% 的空头流通量就不足为奇了。 但上个月空头遭遇了残酷的挤压。 上个月，多种因素 ...

作者 | James Foord 编译 | 华尔街大事件 由于一些利好消息传出后空头被挤压， Wolfspeed ( NYSE： WOLF ) 上个月出现了大幅的单日波动。 Wolfspeed 专注于碳化硅半导体，其在效率和性能方面比传统硅具有一些优势。 这项技术对于高需求应用来说是必需的，包括电动汽车、工业电力系统和可再生能源解决方案。 这是一家利基芯片公司，它的成功将取决于这项技术如何发展，以及上述行业的整体需求。 如果现金消耗持续下去，该公司很可能需要在 2026 年或以后进一步筹集资金，这当然意味着可能的股东股权稀释。 如果你把所有这些因素综合起来，那么该股票拥有约 40% 的空头流通量就不足为奇了。 但上个月空头遭遇了残酷的挤压。 上个月，多种因素共同作用，推动 Wolfspeed 股价上涨逾 50%。 首先，该公司解雇了其 首席财务官尼尔·雷诺兹（Neill Reynolds） 。虽然目前还没有明确的继任者，但市场已经将此视为一个积极的举措。 Wolfspeed 的股价在过去两年里下跌了 80% 以上。它一度看起来像是一只前景看好的成长型股票，但现在情况已不再如此。2016 年以 来，该公司的收入 ...

James Foord is an economist by trade and has been analyzing global markets for the past decade. He leads the investing group The Pragmatic Investor where the focus is on building robust and truly diversified portfolios that will continually preserve and increase wealth.Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, but may initiate a beneficial Long position through a purchase of the stock, or the purchase of call options or similar derivat ...