Photronics(PLAB) - 2025 Q2 - Quarterly Results

Revenue Performance - Revenue for Q2 FY2025 was $211.0 million, a decrease of 3% year-over-year and 1% sequentially[3]. - Integrated Circuit (IC) revenue was $155.9 million, down 3% year-over-year but up 1% sequentially[3]. - Flat Panel Display (FPD) revenue was $55.1 million, down 2% year-over-year and 5% sequentially[3]. - For Q3 FY2025, revenue guidance is expected to be between $200 million and $208 million, with non-GAAP net income per diluted share between $0.35 and $0.41[4]. Net Income and Earnings Per Share - GAAP net income attributable to shareholders was $8.9 million, or $0.15 per diluted share, compared to $36.3 million, or $0.58 per diluted share in Q2 FY2024[3]. - Non-GAAP net income attributable to shareholders was $24.3 million, or $0.40 per diluted share, down from $28.7 million, or $0.46 per diluted share in Q2 FY2024[3]. - GAAP net income attributable to Photronics, Inc. shareholders for the three months ended May 4, 2025, was $8.861 million, a decrease from $42.851 million in the previous quarter[18]. - Non-GAAP net income attributable to Photronics, Inc. shareholders was $24.259 million, compared to $32.383 million in the previous quarter[18]. - GAAP diluted earnings per share attributable to Photronics, Inc. shareholders decreased to $0.15 from $0.68 in the previous quarter[18]. - Non-GAAP diluted earnings per share attributable to Photronics, Inc. shareholders was $0.40, down from $0.52 in the previous quarter[18]. Cash Flow and Investments - Cash generated from operating activities was $31.5 million, with $60.5 million invested in organic growth and $72.1 million returned to shareholders through stock repurchases[9]. - Cash, cash equivalents, and short-term investments at the end of the quarter totaled $558.4 million[9]. - The company repurchased $72 million of its stock during the quarter as part of its strategy to return cash to shareholders[2]. Foreign Exchange Impact - Foreign exchange (FX) gain/loss for the quarter was a loss of $31.111 million, compared to a gain of $18.443 million in the previous quarter[18]. - Estimated tax effects of FX gain/loss were $(8.337) million, compared to $5.152 million in the previous quarter[18]. - Estimated noncontrolling interest effects related to FX were $(7.376) million, compared to $2.823 million in the previous quarter[18]. Management Changes - The transition of CEO from Dr. Frank Lee to Mr. George Macricostas was announced, with Dr. Lee remaining involved in Asia operations[1]. Overall Financial Performance - The company experienced a decrease in non-GAAP adjustments, with effects of $(0.25) per share compared to $(0.16) in the previous quarter[18]. - Overall, the financial performance indicates a significant decline in both net income and earnings per share compared to the previous quarter[18].