Cohu(US:COHU)2024-10-31 20:08Revenue and Sales Performance - Third quarter 2024 revenue was $95.3 million, with approximately 67% being recurring revenue[1] - Year-to-date net sales for the first nine months of 2024 totaled $307.7 million, down from $499.1 million in the same period of 2023[3] - The company expects fourth quarter 2024 sales to be in the range of $95 million +/- $7 million[5] Profit and Loss - The company reported a GAAP loss of $18.1 million or $0.39 per share for Q3 2024[1] - Non-GAAP loss for Q3 2024 was $3.8 million or $0.08 per share[2] - GAAP net income for September 28, 2024, was a loss of $18.1 million, compared to a profit of $3.9 million in the same period last year[16] - Non-GAAP net income for September 28, 2024, was a loss of $3.8 million, down from a profit of $16.9 million in September 2023[16] - The net income (loss) on a GAAP basis for the three months ended September 28, 2024, was $(18,056,000), or (18.9)% of net sales[20] - For the nine months ended September 28, 2024, the net income (loss) on a GAAP basis was $(48,460,000)[21] Gross Margin and Profit - Gross margin for Q3 2024 was 46.8%, while non-GAAP gross margin was 47.1%[1] - GAAP gross profit for the three months ended September 28, 2024, was $44,657,000, representing a gross profit margin of 46.8%[20] - Non-GAAP gross profit for the same period was $44,907,000, with a margin of 47.1%[20] - For the nine months ended September 28, 2024, GAAP gross profit was $140,828,000, with a margin of 45.8%[21] - The company reported a non-GAAP gross profit of $141,553,000 for the nine months ended September 28, 2024[21] Operating Expenses - Income from operations on a GAAP basis was a loss of $15.8 million for the quarter ending September 28, 2024, compared to a profit of $7.4 million in the same quarter last year[16] - Operating expenses on a GAAP basis for the three months ended September 28, 2024, were $60,426,000[20] - Non-GAAP operating expenses for the same period were $45,239,000[20] Cash and Investments - Total cash and investments at the end of Q3 2024 were $269.2 million[4] - Cash and investments dropped from $335.7 million to $269.2 million, a decrease of about 20%[15] Assets and Liabilities - Total current assets decreased from $638.8 million in December 2023 to $542.5 million in September 2024, a decline of approximately 15%[15] - Total liabilities decreased from $1,150.4 million in December 2023 to $1,032.3 million in September 2024, a decline of about 10%[15] - Long-term debt decreased significantly from $34.3 million in December 2023 to $7.9 million in September 2024, a reduction of approximately 77%[15] Shareholder Actions - Cohu repurchased 315,000 shares of its common stock for approximately $8.1 million during Q3 2024[4] Strategic Focus - Cohu is focused on developing new products aligned with growth opportunities in data centers and building recurring software revenue[5] - The company completed acquisitions of MCT Worldwide, LLC and Equiptest Engineering Pte. Ltd. in 2023, enhancing its operational capabilities[14] Amortization and Compensation - The company incurred $4.2 million in share-based compensation in the quarter ending September 28, 2024, compared to $3.3 million in the same quarter last year[16] - The amortization of purchased intangible assets increased from $8.9 million in September 2023 to $9.8 million in September 2024[16] EBITDA - Adjusted EBITDA for the three months ended September 28, 2024, was $2,148,000, accounting for 2.3% of net sales[20] - Adjusted EBITDA for the nine months ended September 28, 2024, was $9,019,000, representing 2.9% of net sales[22]