AXCELIS ANNOUNCES FINANCIAL RESULTS FOR THIRD QUARTER 2022

Rhea-AI Summary

Axcelis Technologies reported a strong financial performance in Q3 2022, with revenue of $229.2 million, up from $221.2 million in Q2. Operating profit decreased slightly to $53.2 million, while net income was $40.3 million, or $1.21 per diluted share, down from $44.2 million or $1.32 per diluted share. Gross margin improved to 45.1%. The company also reported a record systems backlog of $1.1 billion and booking of $337.1 million. For Q4 2022, Axcelis expects revenue of $232-240 million and operating profit of $41-45 million.

Positive

• Revenue increased to $229.2 million in Q3 2022, up from $221.2 million in Q2.
• Gross margin improved to 45.1%, up from 44.8%.
• Record systems backlog reached $1.1 billion.
• Bookings totaled $337.1 million in Q3.
• Cash and short-term investments rose to $342.1 million from $287.2 million.

Negative

• Net income decreased to $40.3 million in Q3, down from $44.2 million in Q2.
• Operating profit declined to $53.2 million, compared to $54.1 million in Q2.
• Q4 gross margin expected to decrease to 40-41%.

System Backlog Continues to Hit Record Levels

BEVERLY, Mass., Nov. 2, 2022 /PRNewswire/ -- Axcelis Technologies, Inc. (Nasdaq: ACLS) today announced financial results for the third quarter of 2022.

Highlights for the third quarter are as follows:

• Revenue for the quarter was $229.2 million, compared to $221.2 million for the second quarter of 2022.
• Operating profit for the quarter was $53.2 million, compared to $54.1 million for the second quarter.
• Net income for the quarter was $40.3 million, or $1.21 per diluted share, compared to $44.2 million, or $1.32 per diluted share in the second quarter.
• Gross margin for the quarter was 45.1%, compared to 44.8% in the second quarter.
• Record systems backlog of $1.1 billion and bookings of $337.1 million in the third quarter.
• Cash, cash equivalents and short-term investments were $342.1 million on September 30, 2022, compared to $287.2 million on June 30, 2022. This is net of $12.5 million of repurchased shares in the third quarter.

President and CEO Mary Puma commented, "We are pleased that Axcelis delivered strong third quarter financial performance well above our guidance, due to robust demand for our Purion products and strong execution by the Axcelis team. Axcelis is well positioned for growth in 2023, driven by continued strength in the highly implant intensive power market."

Business Outlook
For the fourth quarter ending December 31, 2022, Axcelis expects revenues of $232-240 million. Gross margin in the fourth quarter is expected to be approximately 40-41%. Fourth quarter operating profit is forecast to be between $41-45 million with earnings per diluted share of $1.00-1.10. For the full year, the Company expects to achieve revenue of greater than $885 million with gross margins of greater than 43%.

Third Quarter 2022 Conference Call
The Company will host a call to discuss the results for the third quarter of 2022 on Thursday, November 3, 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/BI9be1e3f05ec14c00a451864e1872d4f5. 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						Nine months ended
			September 30,					September 30,
		2022			2021			2022			2021
Revenue:
Product		$	221,540		$	169,151		$	631,998		$	435,916
Services			7,635			7,543			21,949			20,828
Total revenue			229,175			176,694			653,947			456,744
Cost of revenue:
Product			118,992			93,201			342,387			240,223
Services			6,862			6,981			19,291			19,560
Total cost of revenue			125,854			100,182			361,678			259,783
Gross profit			103,321			76,512			292,269			196,961
Operating expenses:
Research and development			20,563			16,707			56,267			49,015
Sales and marketing			14,573			11,415			38,567			33,979
General and administrative			14,983			11,996			41,163			33,226
Total operating expenses			50,119			40,118			135,997			116,220
Income from operations			53,202			36,394			156,272			80,741
Other (expense) income:
Interest income			1,111			51			1,558			124
Interest expense			(1,333)			(1,269)			(4,101)			(3,572)
Other, net			(7,971)			(963)			(14,640)			(2,131)
Total other expense			(8,193)			(2,181)			(17,183)			(5,579)
Income before income taxes			45,009			34,213			139,089			75,162
Income tax provision			4,726			6,698			13,002			12,261
Net income		$	40,283		$	27,515		$	126,087		$	62,901
Net income per share:
Basic		$	1.22		$	0.82		$	3.81		$	1.87
Diluted		$	1.21		$	0.81		$	3.75		$	1.83
Shares used in computing net income per share:
Basic weighted average common shares			33,011			33,537			33,116			33,643
Diluted weighted average common shares			33,389			34,089			33,638			34,339

 

Axcelis Technologies, Inc.
Consolidated Balance Sheets
(In thousands, except per share amounts)
(Unaudited)
		September 30,			December 31,
		2022			2021
ASSETS
Current assets:
Cash and cash equivalents		$	308,552		$	294,923
Short-term investments			33,576			—
Accounts receivable, net			173,893			104,410
Inventories, net			226,507			194,984
Prepaid expenses and other current assets			32,614			24,929
Total current assets			775,142			619,246
Property, plant and equipment, net			38,778			34,972
Operating lease assets			11,893			9,242
Finance lease assets, net			18,265			19,238
Long-term restricted cash			749			757
Deferred income taxes			28,372			35,454
Other assets			33,062			34,331
Total assets		$	906,261		$	753,240
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable		$	54,020		$	38,025
Accrued compensation			28,557			30,732
Warranty			8,482			6,424
Income taxes			540			887
Deferred revenue			101,169			60,454
Current portion of finance lease obligation			1,164			979
Other current liabilities			13,924			12,639
Total current liabilities			207,856			150,140
Long-term finance lease obligation			45,508			46,415
Long-term deferred revenue			21,420			7,982
Other long-term liabilities			16,587			9,744
Total liabilities			291,371			214,281
Stockholders' equity:
Common stock, $0.001 par value, 75,000 shares authorized; 32,937 shares issued and outstanding at September 30, 2022; 33,240 shares issued and outstanding at December 31, 2021			33			33
Additional paid-in capital			549,735			559,883
Retained earnings (accumulated deficit)			70,893			(22,722)
Accumulated other comprehensive (loss) income			(5,771)			1,765
Total stockholders' equity			614,890			538,959
Total liabilities and stockholders' equity		$	906,261		$	753,240

 

 

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SOURCE Axcelis Technologies, Inc.

FAQ

What were Axcelis Technologies' Q3 2022 revenue figures?

Axcelis reported revenue of $229.2 million for Q3 2022.

How did Axcelis' net income change in Q3 2022?

Net income for Q3 2022 was $40.3 million, down from $44.2 million in Q2.

What is the outlook for Axcelis in Q4 2022?

Axcelis expects Q4 2022 revenues of $232-240 million and operating profit between $41-45 million.

What was the systems backlog for Axcelis in Q3 2022?

Axcelis reported a record systems backlog of $1.1 billion in Q3 2022.

What are the earnings per share for Axcelis in Q3 2022?

Earnings per diluted share for Q3 2022 were $1.21.