AXT(US:AXTI)2025-05-01 20:15Financial Performance - Revenue for Q1 2025 was $19.4 million, down 22.8% from $25.1 million in Q4 2024 and down 14.8% from $22.7 million in Q1 2024[4] - GAAP gross margin for Q1 2025 was (6.4)%, a significant decline from 17.6% in Q4 2024 and 26.9% in Q1 2024[4] - Non-GAAP gross margin for Q1 2025 was (6.1)%, compared to 17.9% in Q4 2024 and 27.3% in Q1 2024[5] - GAAP net loss for Q1 2025 was $8.8 million, or $0.20 per share, compared to a net loss of $5.1 million, or $0.12 per share, in Q4 2024[7] - Non-GAAP net loss for Q1 2025 was $8.2 million, or $0.19 per share, compared to a net loss of $4.3 million, or $0.10 per share, in Q4 2024[7] - GAAP net loss for Q1 2025 was $8.798 million, compared to a net loss of $2.083 million in Q1 2024, representing a significant increase in losses[16] - Non-GAAP net loss for Q1 2025 was $8.152 million, compared to a net loss of $1.274 million in Q1 2024, indicating a worsening financial performance year-over-year[16] - GAAP loss from operations for Q1 2025 was $10.275 million, up from a loss of $3.347 million in Q1 2024, reflecting increased operational challenges[16] - Non-GAAP loss from operations for Q1 2025 was $9.629 million, compared to a loss of $2.538 million in Q1 2024, highlighting a decline in operational efficiency[16] - GAAP gross profit for Q1 2025 was $(1.241) million, a decrease from a gross profit of $6.094 million in Q1 2024, indicating a significant drop in profitability[16] - Non-GAAP gross profit for Q1 2025 was $(1.178) million, down from $6.199 million in Q1 2024, further emphasizing the decline in revenue generation[16] - GAAP net loss per diluted share for Q1 2025 was $(0.20), compared to $(0.05) in Q1 2024, reflecting a deterioration in per-share performance[16] - Non-GAAP net loss per diluted share for Q1 2025 was $(0.19), compared to $(0.03) in Q1 2024, indicating a negative trend in earnings per share[16] - Total shares used to compute diluted net income per share increased to 43,554 thousand in Q1 2025 from 42,987 thousand in Q1 2024[16] - Stock-based compensation expense for Q1 2025 was $646 thousand, compared to $809 thousand in Q1 2024, showing a reduction in compensation costs[16] Operational Challenges - The decline in gross margin was primarily due to a 58% reduction in indium phosphide sales, yield reduction on gallium arsenide wafers, and under-absorbed factory overhead[5] - AXT is taking a more measured approach to market share expansion to improve execution and production levels[3] Strategic Focus - The company is focusing on growth opportunities in China, particularly in high-speed data center connectivity and LIDAR for autonomous driving[2] - The STAR Market IPO application for Tongmei is under review, with hopes to complete the process in the coming months[6] Asset Management - AXT's total assets as of March 31, 2025, were $333.5 million, a decrease from $339.3 million as of December 31, 2024[15]