Amtech Systems(ASYS) - 2026 Q1 - Quarterly Results

Financial Performance - Net revenue for Q1 FY 2026 was $19.0 million, a decrease from $19.8 million in Q4 FY 2025 and $24.4 million in Q1 FY 2025[6] - The company reported a GAAP net income of $0.1 million, or $0.01 per diluted share, down from $1.1 million, or $0.07 per share in the previous quarter[11] - Revenues for the three months ended December 31, 2025, were $18,973,000, a decrease of 22.4% compared to $24,385,000 in the same period of 2024[27] - Net income for the three months ended December 31, 2025, was $108,000, down from $312,000 in the same period of 2024, with net income per diluted share remaining at $0.01[27][31] Cash Flow and Liquidity - Operating cash flow increased by 43% compared to Q1 FY 2025, reaching $4.1 million[4] - Cash and cash equivalents increased to $22.1 million from $17.9 million in the prior quarter, with no debt reported[12] - Cash and cash equivalents increased to $22,078,000 as of December 31, 2025, compared to $17,904,000 at the end of the previous quarter[29] Margins and Profitability - The gross margin improved to 44.8% in Q1 FY 2026, up from 38.4% in the same period last year[8] - Gross profit for the same period was $8,493,000, resulting in a gross margin of 45%, compared to a gross profit of $9,363,000 and a gross margin of 38% in the prior year[30] - Adjusted EBITDA for the three months ended December 31, 2025, was $1,444,000, reflecting a strong operational performance despite lower net income[32] Customer Demand and Orders - Customer orders totaled $20.7 million, with a backlog of $21.6 million, indicating strong demand for AI-related products[5] - The book-to-bill ratio was 1.1, driven by AI applications, with some deliveries expected to extend into Q3 FY 2026[4] - For Q2 FY 2026, the company expects revenues to range from $19.0 million to $21.0 million, with an adjusted EBITDA margin in the high single digits[15] Expenses and Cost Management - SG&A expenses rose by $0.5 million sequentially but decreased by $1.2 million compared to Q1 FY 2025 due to cost reduction efforts[9] - Research and development expenses increased by $0.3 million sequentially, reflecting growth initiatives[10] Balance Sheet and Liabilities - Total assets rose to $94,145,000 as of December 31, 2025, up from $92,873,000 at the end of September 2025[28] - Total liabilities increased to $40,049,000 as of December 31, 2025, compared to $39,488,000 at the end of the previous quarter[28] - Contract liabilities increased to $7,132,000 as of December 31, 2025, compared to $6,461,000 at the end of September 2025[28] Inventory and Foreign Currency - The company reported a write-down of inventory amounting to $318,000 for the quarter, compared to $632,000 in the same period of 2024[29] - The company experienced a foreign currency loss of $198,000 during the quarter, contrasting with a gain of $401,000 in the same period of the previous year[27]