Axcelis(US:ACLS)2025-11-04 13:17Financial Performance - Revenue for Q3 2025 was $213.6 million, a decrease of 16.7% from $256.6 million in Q3 2024[6] - GAAP Gross Margin for Q3 2025 was 41.6%, down from 42.9% in Q3 2024[6] - GAAP Diluted Earnings Per Share (EPS) for Q3 2025 was $0.83, compared to $1.49 in Q3 2024, representing a decline of 44.4%[6] - Non-GAAP Diluted EPS for Q3 2025 was $1.21, down from $1.72 in Q3 2024, a decrease of 29.7%[6] - Axcelis reported a net income of $25.986 million for Q3 2025, a decline of 46.5% from $48.576 million in Q3 2024[6] - Non-GAAP operating margin for Q3 2025 was 18.2%, down from 21.7% in Q3 2024[6] - Adjusted EBITDA for Q3 2025 was $43.202 million, compared to $59.674 million in Q3 2024, reflecting a decrease of 27.5%[6] - Non-GAAP gross profit for the three months ended September 30, 2025, was $89,305 thousand, a decrease of 19.1% from $110,324 thousand in the prior year[27] - Non-GAAP operating income for the three months ended September 30, 2025, was $38,874 thousand, down 30.3% from $55,768 thousand in the same period of 2024[27] - Cash, cash equivalents, and restricted cash at the end of the period increased to $195,127 thousand from $126,719 thousand year-over-year[20] - Total liabilities decreased slightly to $331,796 thousand as of September 30, 2025, from $335,991 thousand at December 31, 2024[17] Future Projections - The company expects Q4 2025 revenues to be approximately $215 million, with GAAP EPS projected at $0.76 and non-GAAP EPS at $1.12[7] - GAAP diluted EPS for the three months ended December 31, 2025, is $0.76[34] - Non-GAAP diluted EPS for the same period is $1.12, reflecting adjustments for transaction and integration costs, restructuring, and stock-based compensation[34] Mergers and Acquisitions - Axcelis announced a merger with Veeco Instruments, aiming to enhance capabilities in the semiconductor equipment sector[4] - The company announced a merger agreement with Veeco Instruments on October 1, 2025, which will incur transaction and integration costs[28] - Transaction and integration costs related to the merger agreement with Veeco Instruments amount to $0.19 per share[35] - Restructuring costs, primarily for early retirement programs and severance, contribute $0.05 per share due to global cost-saving initiatives[35] - The adjusted tax rate used for non-GAAP adjustments is 14%, impacting the income tax effect by $(0.06) per share[34] Shareholder Actions - The company has over $590 million in cash and investments, providing flexibility for strategic initiatives[4] - The company repurchased common stock amounting to $32,335 thousand during the three months ended September 30, 2025[20]