Workflow
Amtech Systems(ASYS) - 2025 Q3 - Quarterly Report

Cautionary Statement Regarding Forward-Looking Statements This statement warns that forward-looking statements are subject to risks and uncertainties, and actual results may differ materially - Forward-looking statements are identified by words such as 'may,' 'plan,' 'anticipate,' 'seek,' 'will,' 'expect,' 'intend,' 'estimate,' 'believe,' 'continue,' 'predict,' 'potential,' 'project,' 'should,' 'would,' 'could,' 'likely,' 'future,' 'target,' 'forecast,' 'goal,' 'observe,' and 'strategy' or their negatives8 - Key risk factors that could cause actual results to differ materially include future economic conditions, changes in tariffs/trade policies, demand for products/services, execution of growth initiatives, competition, cyclical nature of the semiconductor industry, pricing pressures, new technologies, regulatory developments, litigation, pandemics, cybersecurity incidents, and adverse developments affecting financial institutions8 - The Company undertakes no obligation to update or publicly revise any forward-looking statement after the date of this Quarterly Report10 PART I. FINANCIAL INFORMATION This section presents the company's condensed consolidated financial statements and management's discussion and analysis Item 1. Condensed Consolidated Financial Statements Unaudited condensed consolidated financial statements are presented for the periods ended June 30, 2025, and September 30, 2024 Condensed Consolidated Balance Sheets Total assets and shareholders' equity decreased from September 2024 to June 2025, mainly due to goodwill impairment | (in millions) | June 30, 2025 (Unaudited) | September 30, 2024 | | :--------------------------------------- | :------------------------ | :------------------- | | Assets | | | | Cash and cash equivalents | $15.563 | $11.086 | | Accounts receivable, net | $19.047 | $21.989 | | Inventories | $19.620 | $26.867 | | Total current assets | $57.755 | $64.376 | | Property, Plant and Equipment - Net | $10.445 | $11.647 | | Right-of-Use Assets - Net | $17.856 | $16.596 | | Intangible Assets - Net | $1.135 | $4.004 | | Goodwill | $0.908 | $21.261 | | Total Assets | $89.464 | $118.953 | | Liabilities and Shareholders' Equity | | | | Accounts payable | $6.899 | $5.356 | | Contract liabilities | $6.399 | $8.965 | | Total current liabilities | $18.840 | $19.599 | | Total Liabilities | $37.746 | $36.595 | | Total Shareholders' Equity | $51.718 | $82.358 | | Total Liabilities and Shareholders' Equity | $89.464 | $118.953 | - Total Assets decreased by $29.489 million (24.8%) from $118.953 million at September 30, 2024, to $89.464 million at June 30, 202512 - Goodwill saw a significant decrease from $21.261 million to $0.908 million, reflecting impairment charges12 - Total Shareholders' Equity decreased by $30.640 million (37.2%) from $82.358 million to $51.718 million, largely due to an increase in retained deficit12 Condensed Consolidated Statements of Operations The company reported a net loss for the nine months ended June 30, 2025, driven by impairment charges, despite a quarterly net income | (in millions, except per share data) | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | Nine Months Ended June 30, 2025 | Nine Months Ended June 30, 2024 | | :------------------------------------ | :------------------------------- | :------------------------------- | :------------------------------ | :------------------------------ | | Revenues, net | $19.557 | $26.749 | $59.522 | $77.102 | | Gross profit | $9.132 | $9.758 | $18.169 | $26.428 | | Operating income (loss) | $0.915 | $0.816 | $(30.328) | $(6.755) | | Goodwill impairment | — | — | $20.353 | $6.370 | | Intangible asset impairment | — | — | $2.569 | $0.430 | | Net income (loss) | $0.106 | $0.438 | $(31.394) | $(7.950) | | Net income (loss) per basic share | $0.01 | $0.03 | $(2.20) | $(0.56) | - Net revenues decreased by 27% for the three months ended June 30, 2025, and by 23% for the nine months ended June 30, 2025, compared to the respective prior year periods13 - Operating income for the three months ended June 30, 2025, increased to $0.915 million from $0.816 million in the prior year, while operating loss for the nine months ended June 30, 2025, significantly widened to $(30.328) million from $(6.755) million13 Condensed Consolidated Statements of Comprehensive Income (Loss) Comprehensive income was reported for the quarter, but a substantial comprehensive loss for the nine months due to net loss | (in millions) | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | Nine Months Ended June 30, 2025 | Nine Months Ended June 30, 2024 | | :------------------------------ | :------------------------------- | :------------------------------- | :------------------------------ | :------------------------------ | | Net income (loss) | $0.106 | $0.438 | $(31.394) | $(7.950) | | Foreign currency translation adjustment | $0.239 | $(0.099) | $(0.357) | $0.120 | | Comprehensive income (loss) | $0.345 | $0.339 | $(31.751) | $(7.830) | - Comprehensive income for the three months ended June 30, 2025, was $0.345 million, slightly up from $0.339 million in the prior year15 - Comprehensive loss for the nine months ended June 30, 2025, was $(31.751) million, a significant increase from $(7.830) million in the prior year, mainly due to the increased net loss15 Condensed Consolidated Statements of Shareholders' Equity Shareholders' equity significantly decreased over nine months due to net loss, partially offset by stock compensation | (in millions) | September 30, 2024 | June 30, 2025 | | :------------------------------ | :----------------- | :------------ | | Common Stock | $0.143 | $0.143 | | Additional Paid-In Capital | $128.466 | $129.577 | | Accumulated Other Comprehensive Loss | $(0.720) | $(1.077) | | Retained Deficit | $(45.531) | $(76.925) | | Total Shareholders' Equity | $82.358 | $51.718 | - Total Shareholders' Equity decreased by $30.640 million from $82.358 million at September 30, 2024, to $51.718 million at June 30, 202517 - The Retained Deficit increased by $31.394 million, from $(45.531) million to $(76.925) million, reflecting the net loss for the period17 - Additional Paid-In Capital increased by $1.111 million, primarily due to stock compensation expense and stock options exercised17 Condensed Consolidated Statements of Cash Flows Operating cash flow decreased, investing activities used less cash,