AXCELIS ANNOUNCES FINANCIAL RESULTS FOR SECOND QUARTER 2022

Rhea-AI Summary

Axcelis Technologies (ACLS) reported robust financial results for Q2 2022, achieving $221.2 million in revenue, a rise from $203.6 million in Q1. The operating profit increased to $54.1 million, with net income at $44.2 million or $1.32 per diluted share. Gross margin improved to 44.8%. The company experienced record system bookings of $432.8 million and backlog reaching $869.5 million. For FY 2022, revenue is projected to exceed $875 million, with a gross margin of approximately 42.5%.

Positive

• Q2 revenue increased to $221.2 million, up from $203.6 million in Q1.
• Operating profit rose to $54.1 million from $48.9 million in Q1.
• Net income reached $44.2 million or $1.32 per diluted share, compared to $41.6 million or $1.22 per diluted share in Q1.
• Gross margin improved to 44.8% from 44.1% in Q1.
• Record systems backlog at $869.5 million.
• Bookings of $432.8 million in Q2.
• Revenue guidance raised to over $875 million for full year 2022.

Negative

• Cash decreased to $287.9 million from $297.9 million, after share repurchases.

System Bookings and Backlog Continue to Hit Record Levels

BEVERLY, Mass., Aug. 3, 2022 /PRNewswire/ -- Axcelis Technologies, Inc. (Nasdaq: ACLS) today announced financial results for the second quarter 2022.

Highlights for the second quarter are as follows:

• The Company reported second quarter revenue of $221.2 million, compared to $203.6 million for the first quarter of 2022.
• Operating profit for the quarter was $54.1 million, compared to $48.9 million for the first quarter.
• Net income for the quarter was $44.2 million, or $1.32 per diluted share, compared to $41.6 million, or $1.22 per diluted share in the first quarter.
• Gross margin for the quarter was 44.8%, compared to 44.1% in the first quarter.
• Record systems backlog of $869.5 million and bookings of $432.8 million in the second quarter.
• Cash, cash equivalents and restricted cash were $287.9 million on June 30, 2022, compared to $297.9 million on March 31, 2022. This is net of $12.5 million of repurchased shares in the second quarter.

President and CEO Mary Puma commented, "Axcelis delivered outstanding second quarter financial performance well above our guidance due to robust demand and our strong execution. It is an exciting time for Axcelis with significant growth in the ion implant TAM, solid customer demand for our products and long term growth prospects in the power device market. System bookings and shipments continue to hit record levels. As a result, Axcelis now expects to achieve revenue of greater than $875 million in 2022."

Business Outlook
For the third quarter ending September 30, 2022, Axcelis expects revenues of $220 - $228 million. Gross margin in the third quarter is expected to be approximately 42%. Third quarter operating profit is forecast to be between $44.5 - $47.5 million with earnings per diluted share between $1.10 - $1.15. For the full year, the Company expects to achieve revenue of greater than $875 million with gross margins of approximately 42.5%.

Second Quarter 2022 Conference Call
The Company will host a call to discuss the results for the second quarter 2022 on Thursday, August 4, 2022 at 8:30 a.m. ET. The call will be available to interested listeners via an audio webcast that can be accessed through the Investors page of Axcelis' website at www.axcelis.com, or by registering as a Participant here:

https://register.vevent.com/register/BI9300aa06c3a84686ae778970f11de3e8

Webcast replays will be available for 30 days following the call.

Safe Harbor Statement
This press release and the conference call contain forward-looking statements under the Private Securities Litigation Reform Act safe harbor provisions. These statements, which include our expectations for spending in our industry and guidance for future financial performance, are based on management's current expectations and should be viewed with caution. They are subject to various risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements, many of which are outside the control of the Company, including that customer decisions to place orders or our product shipments may not occur when we expect, that orders may not be converted to revenue in any particular quarter, or at all, whether demand will continue for the semiconductor equipment we produce or, if not, whether we can successfully meet changing market requirements, and whether we will be able to maintain continuity of business relationships with and purchases by major customers. Increased competitive pressure on sales and pricing, increases in material and other production costs that cannot be recouped in product pricing and instability caused by changing global economic, political or financial conditions could also cause actual results to differ materially from those in our forward-looking statements. These risks and other risk factors relating to Axcelis are described more fully in the most recent Form 10-K filed by Axcelis and in other documents filed from time to time with the Securities and Exchange Commission.

About Axcelis:
Axcelis (Nasdaq: ACLS), headquartered in Beverly, Mass., has been providing innovative, high-productivity solutions for the semiconductor industry for over 40 years. Axcelis is dedicated to developing enabling process applications through the design, manufacture and complete life cycle support of ion implantation systems, one of the most critical and enabling steps in the IC manufacturing process. Learn more about Axcelis at www.axcelis.com.

Company Contacts

Investor Relations:
Doug Lawson
978.787.9552

Editorial/Media:
Maureen Hart
978.787.4266

 

Axcelis Technologies, Inc. Consolidated Statements of Operations (In thousands, except per share amounts) (Unaudited)
		Three months ended						Six months ended
			June 30,					June 30,
		2022			2021			2022			2021
Revenue:
Product		$	213,926		$	140,156		$	410,458		$	266,765
Services			7,251			7,118			14,314			13,285
Total revenue			221,177			147,274			424,772			280,050
Cost of revenue:
Product			115,754			76,688			223,395			147,022
Services			6,242			6,572			12,429			12,579
Total cost of revenue			121,996			83,260			235,824			159,601
Gross profit			99,181			64,014			188,948			120,449
Operating expenses:
Research and development			18,731			16,623			35,704			32,308
Sales and marketing			12,703			12,177			23,994			22,564
General and administrative			13,602			11,217			26,180			21,230
Total operating expenses			45,036			40,017			85,878			76,102
Income from operations			54,145			23,997			103,070			44,347
Other (expense) income:
Interest income			352			40			447			73
Interest expense			(1,250)			(1,274)			(2,768)			(2,303)
Other, net			(5,051)			(15)			(6,669)			(1,168)
Total other expense			(5,949)			(1,249)			(8,990)			(3,398)
Income before income taxes			48,196			22,748			94,080			40,949
Income tax provision			4,007			3,842			8,276			5,563
Net income		$	44,189		$	18,906		$	85,804		$	35,386
Net income per share:
Basic		$	1.34		$	0.56		$	2.59		$	1.05
Diluted		$	1.32		$	0.55		$	2.54		$	1.03
Shares used in computing net income per share:
Basic weighted average common shares			33,096			33,677			33,170			33,696
Diluted weighted average common shares			33,562			34,311			33,770			34,473

 

Axcelis Technologies, Inc. Consolidated Balance Sheets (In thousands, except per share amounts) (Unaudited)
		June 30,			December 31,
		2022			2021
ASSETS
Current assets:
Cash and cash equivalents		$	287,167		$	294,923
Accounts receivable, net			146,120			104,410
Inventories, net			213,063			194,984
Prepaid expenses and other current assets			33,378			24,929
Total current assets			679,728			619,246
Property, plant and equipment, net			35,572			34,972
Operating lease assets			10,879			9,242
Finance lease assets, net			18,590			19,238
Long-term restricted cash			753			757
Deferred income taxes			33,715			35,454
Other assets			32,499			34,331
Total assets		$	811,736		$	753,240
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable		$	49,410		$	38,025
Accrued compensation			17,150			30,732
Warranty			8,348			6,424
Income taxes			321			887
Deferred revenue			62,685			60,454
Current portion of finance lease obligation			1,101			979
Other current liabilities			13,955			12,639
Total current liabilities			152,970			150,140
Long-term finance lease obligation			45,822			46,415
Long-term deferred revenue			8,864			7,982
Other long-term liabilities			17,153			9,744
Total liabilities			224,809			214,281
Stockholders' equity:
Common stock, $0.001 par value, 75,000 shares authorized; 33,094 shares issued and outstanding at June 30, 2022; 33,240 shares issued and outstanding at December 31, 2021			33			33
Additional paid-in capital			549,401			559,883
Retained earnings (accumulated deficit)			39,582			(22,722)
Accumulated other comprehensive (loss) income			(2,089)			1,765
Total stockholders' equity			586,927			538,959
Total liabilities and stockholders' equity		$	811,736		$	753,240

 

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SOURCE Axcelis Technologies, Inc.

FAQ

What were Axcelis Technologies' Q2 2022 earnings results?

Axcelis reported Q2 2022 revenue of $221.2 million, with net income of $44.2 million or $1.32 per diluted share.

What is the outlook for Axcelis Technologies for Q3 2022?

For Q3 2022, Axcelis expects revenues between $220 million and $228 million, with gross margins around 42%.

How much has Axcelis Technologies booked in systems backlog?

Axcelis has a record systems backlog of $869.5 million as of Q2 2022.

What is the projected revenue for Axcelis Technologies for the full year 2022?

Axcelis expects to exceed $875 million in revenue for the full year 2022.