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Teradyne(TER) - 2024 Q4 - Annual Results
TERTeradyne(TER)2025-01-30 12:00

Financial Performance - Q4 2024 revenue reached 753million,a12753 million, a 12% increase from Q4 2023's 671 million, driven by strong demand in AI-related sectors[5] - GAAP net income for Q4 2024 was 146.3million,or146.3 million, or 0.90 per diluted share, compared to 145.6million,or145.6 million, or 0.89 per diluted share in Q3 2024[1] - Non-GAAP net income for Q4 2024 was 155.0million,or155.0 million, or 0.95 per diluted share, up from 0.79perdilutedshareinQ42023[1]−TotalrevenueforFY2024was0.79 per diluted share in Q4 2023[1] - Total revenue for FY 2024 was 2.82 billion, up from 2.68billioninFY2023[1]−ForthequarterendedDecember31,2024,netincomewas2.68 billion in FY 2023[1] - For the quarter ended December 31, 2024, net income was 146.253 million, an increase from 117.054millioninthesamequarterof2023,representingagrowthof25.0117.054 million in the same quarter of 2023, representing a growth of 25.0%[15] - For the twelve months ended December 31, 2024, net revenues increased to 2,819.9 million, up from 2,676.3millionin2023,representingagrowthof5.42,676.3 million in 2023, representing a growth of 5.4%[19] - Net income on a GAAP basis for 2024 was 542.4 million, representing 19.2% of net revenues, with diluted earnings per share of 3.32,upfrom3.32, up from 448.8 million and 2.73in2023[19]−Non−GAAPnetincomefor2024was2.73 in 2023[19] - Non-GAAP net income for 2024 was 525.1 million, or 18.6% of net revenues, with diluted earnings per share of 3.22,comparedto3.22, compared to 479.6 million and 3.11in2023[19]RevenueSegments−SemiconductorTestsegmentgenerated3.11 in 2023[19] Revenue Segments - Semiconductor Test segment generated 561 million in revenue, with Integrated Systems Test contributing 19millioninQ42024[1][3]−Grossprofit(non−GAAP)forthequarterwas19 million in Q4 2024[1][3] - Gross profit (non-GAAP) for the quarter was 447.3 million, representing 59.4% of net revenues, compared to 59.7% in the previous quarter and 56.6% in the same quarter last year[16] - Income from operations (non-GAAP) was 163.2million,or21.7163.2 million, or 21.7% of net revenues, down from 22.4% in the previous quarter but up from 20.1% in the same quarter last year[16] Guidance and Projections - Guidance for Q1 2025 anticipates revenue between 660 million and 700million,withGAAPnetincomeperdilutedshareprojectedbetween700 million, with GAAP net income per diluted share projected between 0.48 and 0.59[2]−Year−over−yearrevenueaccelerationisexpectedin2025,withcontinuedinvestmentinAIcomputeandmemorysectors[2]−Firstquarter2025revenueguidanceisprojectedbetween0.59[2] - Year-over-year revenue acceleration is expected in 2025, with continued investment in AI compute and memory sectors[2] - First quarter 2025 revenue guidance is projected between 660 million and 700million,withGAAPnetincomeperdilutedshareexpectedtobebetween700 million, with GAAP net income per diluted share expected to be between 0.48 and 0.59[22]−Non−GAAPnetincomeperdilutedshareforthefirstquarter2025isprojectedtobebetween0.59[22] - Non-GAAP net income per diluted share for the first quarter 2025 is projected to be between 0.58 and 0.68[22]ExpensesandLiabilities−OperatingexpensesforQ42024totaled0.68[22] Expenses and Liabilities - Operating expenses for Q4 2024 totaled 293.7 million, compared to 284.4millioninQ32024[11]−Thecompanyincurredrestructuringandotherexpensestotaling284.4 million in Q3 2024[11] - The company incurred restructuring and other expenses totaling 4.554 million for the quarter ended December 31, 2024, compared to 4.578millioninthepreviousquarter[12]−Totalliabilitiesdecreasedto4.578 million in the previous quarter[12] - Total liabilities decreased to 889.420 million from 960.927million,areductionof7.4960.927 million, a reduction of 7.4% year-over-year[14] - Restructuring and other expenses totaled 15.6 million in 2024, down from 21.3millionin2023[20]CashFlowandAssets−CashdividenddeclaredpercommonshareforQ42024was21.3 million in 2023[20] Cash Flow and Assets - Cash dividend declared per common share for Q4 2024 was 0.12, consistent with Q4 2023[11] - Cash and cash equivalents at the end of the period were 553.354million,downfrom553.354 million, down from 757.571 million at the end of 2023, a decrease of 27.0%[15] - The company reported total assets of 3.709billionasofDecember31,2024,comparedto3.709 billion as of December 31, 2024, compared to 3.487 billion in 2023, indicating an increase of 6.4%[14] - Operating cash flow for the twelve months ended December 31, 2024, was 672.176million,upfrom672.176 million, up from 585.231 million in 2023, an increase of 14.9%[15] Legal and Other Charges - Legal settlement charges for the quarter included 3.6millionrelatedtoajudgmentagainstthecompanyforpatentinfringement[17]−Thecompanyreportedalossonforeignexchangeoptionsof3.6 million related to a judgment against the company for patent infringement[17] - The company reported a loss on foreign exchange options of 7.5 million, which accounted for -1.1% of net income[18] - The company reported a legal settlement charge of 3.6millionin2024,whichaccountedfor0.13.6 million in 2024, which accounted for 0.1% of net revenues[19] Stock and Share Transactions - The company repurchased common stock amounting to 143.521 million during the quarter ended December 31, 2024[15] - The diluted shares included 0.5 million shares from the convertible note hedge transaction for the quarter ended September 29, 2024[13] - Non-GAAP weighted average diluted common shares included 0.5 million shares from the convertible note hedge transaction for the quarter ended September 29, 2024[18]