Nova Reports Record Third Quarter 2024 Financial Results
Nova (NVMI) reported record financial results for Q3 2024, with revenue reaching $179.0 million, up 14% QoQ and 39% YoY. The company achieved record GAAP net income of $51.3 million ($1.60 per diluted share) and record non-GAAP net income of $56.1 million ($1.74 per diluted share). Performance was driven by record revenue in materials metrology and advanced packaging solutions. For Q4 2024, Nova expects revenue between $181-191 million and projects annual growth of approximately 28% at mid-point, outperforming the WFE Index.
Nova (NVMI) ha riportato risultati finanziari record per il terzo trimestre del 2024, con un fatturato che ha raggiunto 179,0 milioni di dollari, in aumento del 14% rispetto al trimestre precedente e del 39% rispetto allo stesso trimestre dell'anno precedente. L'azienda ha raggiunto un utile netto GAAP record di 51,3 milioni di dollari (1,60 dollari per azione diluita) e un utile netto non GAAP record di 56,1 milioni di dollari (1,74 dollari per azione diluita). Le performance sono state sostenute da ricavi record nel settore della metrologia dei materiali e delle soluzioni di imballaggio avanzato. Per il quarto trimestre del 2024, Nova prevede un fatturato compreso tra 181 e 191 milioni di dollari e stima una crescita annuale di circa il 28% a punto medio, superando l'Indice WFE.
Nova (NVMI) reportó resultados financieros récord para el tercer trimestre de 2024, con ingresos alcanzando 179,0 millones de dólares, un aumento del 14% en comparación con el trimestre anterior y del 39% en comparación con el año anterior. La compañía logró un ingreso neto GAAP récord de 51,3 millones de dólares (1,60 dólares por acción diluida) y un ingreso neto no GAAP récord de 56,1 millones de dólares (1,74 dólares por acción diluida). El rendimiento fue impulsado por ingresos récord en metrología de materiales y soluciones de empaquetado avanzado. Para el cuarto trimestre de 2024, Nova espera ingresos entre 181 y 191 millones de dólares y proyecta un crecimiento anual de aproximadamente 28% en el punto medio, superando el Índice WFE.
노바(NVMI)는 2024년 3분기 기록적인 재무 결과를 발표했으며, 매출은 1억 7900만 달러에 도달했고, 전분기 대비 14%, 전년 대비 39% 증가했습니다. 이 회사는 GAAP 기준 순이익 5130만 달러(희석 주당 1.60 달러)와 비 GAAP 기준 순이익 5610만 달러(희석 주당 1.74 달러)의 기록적인 수치를 달성했습니다. 성과는 소재 측정 및 첨단 포장 솔루션 분야에서의 기록적인 수익에 의해 촉진되었습니다. 2024년 4분기 동안 노바는 매출이 1억 8100만 달러에서 1억 9100만 달러 사이가 될 것으로 예상하며, 중간값 기준으로 연간 약 28% 성장할 것으로 전망하고 있습니다. 이는 WFE 지수를 초과하는 수치입니다.
Nova (NVMI) a annoncé des résultats financiers records pour le troisième trimestre 2024, avec des revenus atteignant 179,0 millions de dollars, en hausse de 14 % par rapport au trimestre précédent et de 39 % par rapport à l'année précédente. L'entreprise a enregistré un revenu net GAAP record de 51,3 millions de dollars (1,60 dollar par action diluée) et un revenu net non-GAAP record de 56,1 millions de dollars (1,74 dollar par action diluée). Les performances ont été soutenues par des revenus record dans la métrologie des matériaux et les solutions d'emballage avancées. Pour le quatrième trimestre 2024, Nova s'attend à des revenus compris entre 181 et 191 millions de dollars et prévoit une croissance annuelle d'environ 28 % au point moyen, dépassant l'Indice WFE.
Nova (NVMI) hat für das dritte Quartal 2024 record finanzielle Ergebnisse berichtet, wobei der Umsatz 179,0 Millionen Dollar erreichte, was einem Anstieg von 14 % gegenüber dem Vorquartal und 39 % gegenüber dem Vorjahr entspricht. Das Unternehmen erzielte ein GAAP-Nettoeinkommen von 51,3 Millionen Dollar (1,60 Dollar pro verwässertem Anteil) und ein Rekord von non-GAAP-Nettoeinkommen von 56,1 Millionen Dollar (1,74 Dollar pro verwässertem Anteil). Die Leistung wurde durch Rekordumsätze in der Materialmetrologie und in fortschrittlichen Verpackungslösungen getragen. Für das vierte Quartal 2024 erwartet Nova einen Umsatz zwischen 181 und 191 Millionen Dollar und prognostiziert ein jährliches Wachstum von etwa 28 % im Durchschnitt, was den WFE-Index übertrifft.
- Record quarterly revenue of $179.0 million, up 39% YoY
- Record GAAP net income of $51.3 million, up 51% YoY
- Record non-GAAP net income of $56.1 million, up 41% YoY
- Strong Q4 guidance with revenue projected at $181-191 million
- Expected annual growth of 28% outperforming WFE Index
- Gross margin declined to 57% from 59% in Q2 2024
- Operating expenses increased to $52.1 million from $46.9 million QoQ
Insights
Nova's Q3 2024 results demonstrate exceptional financial performance with record-breaking metrics across the board. The
The forward guidance for Q4 2024 (
The record performance in materials metrology and advanced packaging segments signals Nova's growing importance in critical semiconductor manufacturing processes. Their success in dimensional and chemical metrology solutions positions them well as the industry transitions to more complex chip architectures. The increased demand for leading-edge capacity metrology tools indicates strong market adoption of Nova's advanced technology solutions.
The outperformance versus the WFE Index suggests Nova is capturing market share in key growth segments. This is particularly significant given the current focus on semiconductor manufacturing expansion and the push for more sophisticated process control in advanced nodes.
REHOVOT,
Third Quarter 2024 Highlights:
- Record Quarterly revenue of
$179.0 million 14% QoQ increase, exceeding the Company guidance and up39% YoY. - Record GAAP net income of
$51.3 million $1.60 13% QoQ increase and up51% YoY. - Record non-GAAP net income of
$56.1 million $1.74 8% increase QoQ, and up41% YoY. - Record revenue for materials metrology driven by demand for leading edge capacity.
- Record revenues from advanced packaging, driven by demand for dimensional and chemical metrology solutions.
GAAP Results (K) | |||
Q3 2024 | Q2 2024 | Q3 2023 | |
Revenues | |||
Net Income | |||
Earnings per Diluted Share | |||
Non-GAAP Results (K) | |||
Q3 2024 | Q2 2024 | Q3 2023 | |
Net Income | |||
Earnings per Diluted Share | |||
A reconciliation between GAAP operating results and non-GAAP operating results is provided following the financial |
"Nova delivered another record quarter, exceeding the high end of the guidance in revenue and profit, with robust performance across all our product lines," said Gaby Waisman, President and CEO. "Our solid results were driven by record sales for our materials metrology portfolio and the strong performance of our Optical CD solutions, fueled by an increasing demand for advanced nodes. With our fourth-quarter guidance established, Nova is set to outperform the WFE Index with an annual growth of approximately
2024 Fourth Quarter Financial Outlook
Management provided an outlook for the fourth quarter, the period ending December 31, 2024. Based on current estimates, management expects:
$181 million $191 million $1.51 $1.70 $1.72 $1.91
Total revenues for the third quarter of 2024 were
Gross margin in the third quarter of 2024 was
Operating expenses in the third quarter of 2024 were
On a GAAP basis, the Company reported net income of
On a non-GAAP basis, the Company reported net income of
Nova will host a conference call today, November 7, 2024, at 8:30 a.m. Eastern Time, to discuss the Company's third quarter 2024 financial results and outlook. To attend the conference call, please dial one of the following teleconferencing numbers. Please begin by placing your calls five minutes before the conference call commences. If you are unable to connect using the toll-free numbers, please try the international dial-in number.
INTERNATIONAL Dial-in Number: 1-412-317-0519
At:
8:30 a.m. Eastern Time
5:30 a.m. Pacific Time
The conference call will also be webcast live from a Link on Nova's website at https://www.novami.com/investors/events/.
A replay of the conference call will be available from November 7, 2024, at 11:30 a.m. Eastern Time until August 15, 2024, at 11:59 p.m. Eastern Time. To access the replay, please dial one of the following numbers:
Replay Dial-in
Replay Dial-in INTERNATIONAL: 1-412-317-0088
Replay Pin Number: 1869305
A replay will also be available for 90 days on Nova's website link at https://www.novami.com/investors/events/.
About Nova
Nova is a leading innovator and key provider of material, optical and chemical metrology solutions for advanced process control in semiconductor manufacturing. Nova delivers continuous innovation by providing state-of-the-art, high-performance metrology solutions for effective process control throughout the semiconductor fabrication lifecycle. Nova's product portfolio, which combines high-precision hardware and cutting-edge software, provides its customers with deep insight into developing and producing the most advanced semiconductor devices. Nova's unique capability to deliver innovative solutions enables its customers to improve performance, enhance product yields and accelerate time to market. Nova acts as a partner to semiconductor manufacturers from its offices worldwide. Additional information may be found on Nova's website link - https://www.novami.com/.
Nova is traded on the Nasdaq and TASE, Nasdaq ticker symbol NVMI.
Use of Non-GAAP Adjusted Financial Measures
This press release provides financial measures that exclude amortization of acquired intangible assets, stock-based compensation expenses, revaluation of operating lease liabilities and remeasurement of intercompany loans, amortization of issuance costs and tax effect of non-GAAP adjustment, as applicable, and are therefore not calculated in accordance with generally accepted accounting principles (GAAP). Management believes that these non-GAAP financial measures provide meaningful supplemental information regarding Nova's performance because they reflect our operational results and enhance management's and investors' ability to evaluate Nova's performance before charges or benefits considered by management to be outside Nova's ongoing operating results. The presentation of this non-GAAP financial information is not intended to be considered in isolation or as a substitute for the financial information prepared and presented in accordance with GAAP. Management believes that it is in the best interest of its investors to provide financial information that will facilitate comparison of both historical and future results and allow greater transparency to supplemental information used by management in its financial and operational decision making. A reconciliation of each GAAP to non-GAAP financial measure discussed in this press release is contained in the accompanying financial tables.
This press release contains forward-looking statements within the meaning of safe harbor provisions of the Private Securities Litigation Reform Act of 1995 relating to future events or our future performance, such as statements regarding, but not limited to, anticipated growth opportunities and projections about our business and its future revenues, expenses and profitability. Forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause our actual results, levels of activity, performance or achievements to differ materially from any future results, levels of activity, performance or achievements expressed or implied in those forward-looking statements. Factors that may affect our results, performance, circumstances or achievements include, but are not limited to, the following: increased information technology security threats and sophisticated computer crime; foreign political and economic risks including supply-chain difficulties; regulations that could restrict our operations such as economic sanctions and export restrictions; changes in
(Tables to Follow)
NOVA LTD. | ||
CONDENSED CONSOLIDATED BALANCE SHEETS | ||
( | ||
As of | ||
September 30, | December 31, | |
ASSETS | 2024 | 2023 |
Current assets | ||
Cash and cash equivalents | 153,963 | 107,574 |
Short-term interest-bearing bank deposits | 207,570 | 119,850 |
Marketable securities | 239,570 | 216,258 |
Trade accounts receivable, net | 114,386 | 111,256 |
Inventories | 161,654 | 138,198 |
Other current assets | 18,731 | 17,084 |
Total current assets | 895,874 | 710,220 |
Non-current assets | ||
Marketable securities | 201,126 | 191,351 |
Interest-bearing bank deposits and restricted deposits | 7,715 | 6,254 |
Deferred tax assets | 27,159 | 23,583 |
Operating lease right-of-use assets | 39,008 | 41,856 |
Property plant and equipment, net | 69,260 | 66,874 |
Intangible assets, net | 35,155 | 39,184 |
Goodwill | 50,438 | 50,080 |
Other long-term assets | 7,699 | 4,405 |
Total non-current assets | 437,560 | 423,587 |
Total assets | 1,333,434 | 1,133,807 |
LIABILITIES AND SHAREHOLDERS' EQUITY | ||
Current liabilities | ||
Convertible senior notes, net | 198,648 | 197,678 |
Trade accounts payable | 46,862 | 35,158 |
Deferred revenues | 57,039 | 41,978 |
Operating lease current liabilities | 6,442 | 6,703 |
Other current liabilities | 58,559 | 41,294 |
Total current liabilities | 367,550 | 322,811 |
Non-current liabilities | ||
Operating lease long-term liabilities | 36,249 | 39,762 |
Long-term deferred tax liability | 9,452 | 10,574 |
Other long-term liabilities | 12,863 | 9,908 |
Total non-current liabilities | 58,564 | 60,244 |
Shareholders' equity | 907,320 | 750,752 |
Total liabilities and shareholders' equity | 1,333,434 | 1,133,807 |
NOVA LTD. | ||||
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS | ||||
( | ||||
Three months ended | Nine months ended | |||
2024 | 2023 | 2024 | 2023 | |
Revenues: | ||||
Products | 143,638 | 99,971 | 379,804 | 300,929 |
Services | 35,336 | 28,837 | 97,826 | 82,774 |
Total revenues | 178,974 | 128,808 | 477,630 | 383,703 |
Total cost of revenues | 77,641 | 56,567 | 200,475 | 164,538 |
Gross profit | 101,333 | 72,241 | 277,155 | 219,165 |
Operating expenses: | ||||
Research and development, net | 29,083 | 21,372 | 79,348 | 66,753 |
Sales and marketing | 16,594 | 12,438 | 49,110 | 38,887 |
General and administrative | 6,425 | 4,283 | 16,628 | 14,924 |
Total operating expenses | 52,102 | 38,093 | 145,086 | 120,564 |
Operating income | 49,231 | 34,148 | 132,069 | 98,601 |
Financing income, net | 11,030 | 4,797 | 24,991 | 15,153 |
Income before taxes on income | 60,261 | 38,945 | 157,060 | 113,754 |
Income tax expenses | 8,982 | 5,256 | 23,779 | 15,512 |
Net income for the period | 51,279 | 33,689 | 133,281 | 98,242 |
Earnings per share: | ||||
Basic | 1.76 | 1.17 | 4.58 | 3.42 |
Diluted | 1.60 | 1.06 | 4.15 | 3.09 |
Shares used in calculation of earnings per share | ||||
Basic | 29,099 | 28,870 | 29,078 | 28,754 |
Diluted | 32,238 | 31,983 | 32,303 | 32,033 |
NOVA LTD. | ||||||
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS | ||||||
( | ||||||
Three months ended | Nine months ended | |||||
2024 | 2023 | 2024 | 2023 | |||
Cash flows from operating activities: | ||||||
Net income | 51,279 | 33,689 | 133,281 | 98,242 | ||
Adjustments to reconcile net income to net cash provided by operating activities: | ||||||
Depreciation of property and equipment | 2,886 | 2,772 | 8,707 | 7,588 | ||
Amortization of intangible assets | 1,467 | 1,477 | 4,376 | 4,396 | ||
Amortization of premium and accretion of discount on marketable securities, net | (1,933) | (818) | (5,358) | (1,867) | ||
Amortization of debt discount and issuance costs | 326 | 324 | 970 | 960 | ||
Share-based compensation | 6,194 | 4,571 | 18,860 | 12,632 | ||
Net effect of exchange rate fluctuation | (3,019) | 2,589 | (1,084) | 4,345 | ||
Changes in assets and liabilities: | ||||||
Trade accounts receivable, net | (19,859) | (9,258) | (2,855) | 17,423 | ||
Inventories | (4,495) | 6,173 | (24,773) | (28,851) | ||
Other current and long-term assets | (5,007) | (2,673) | (5,574) | (5,391) | ||
Deferred tax, net | (2,524) | (1,713) | (4,873) | (6,056) | ||
Operating lease right-of-use assets | 964 | 1,150 | 3,109 | 2,791 | ||
Trade accounts payable | 5,573 | (9,452) | 11,197 | (16,725) | ||
Deferred revenues | 2,780 | 15,051 | 15,059 | 11,683 | ||
Operating lease liabilities | (536) | (2,050) | (4,035) | (5,312) | ||
Other current and long-term liabilities | 12,758 | 4,938 | 19,613 | (1,680) | ||
Accrued severance pay, net | 123 | (83) | 124 | (252) | ||
Net cash provided by operating activities | 46,977 | 46,687 | 166,744 | 93,926 | ||
Cash flows from investment activities: | ||||||
Change in short-term and long-term interest-bearing bank deposits | (7,240) | (52,415) | (89,256) | (61,025) | ||
Investment in marketable securities | (65,264) | (68,737) | (211,812) | (166,877) | ||
Proceeds from maturity of marketable securities | 52,224 | 66,329 | 188,976 | 150,644 | ||
Purchase of property and equipment | (3,914) | (3,555) | (9,094) | (9,587) | ||
Net cash provided by (used in) investing activities | (24,194) | (58,378) | (121,186) | (86,845) | ||
Cash flows from financing activities: | ||||||
Purchases of treasury shares | - | - | - | (112) | ||
Proceeds from exercise of options | 70 | 7 | 70 | 122 | ||
Net cash provided by financing activities | 70 | 7 | 70 | 10 | ||
Effect of exchange rate fluctuations on cash and cash equivalents | 757 | (1,026) | 761 | (2,332) | ||
Changes in cash and cash equivalents and restricted cash | 23,610 | (12,710) | 46,389 | 4,759 | ||
Cash and cash equivalents and restricted cash -beginning of period | 130,353 | 129,190 | 107,574 | 111,721 | ||
Cash and cash equivalents - end of period | 153,963 | 116,480 | 153,963 | 116,480 | ||
NOVA LTD. | ||||
RECONCILIATION OF GAAP TO NON-GAAP RESULTS | ||||
( | ||||
Three months ended | ||||
September 30, | June 30, | September 30, | ||
GAAP gross profit | 101,333 | 92,561 | 72,241 | |
Stock-based compensation* | 1,722 | 1,723 | 1,173 | |
Amortization of acquired intangible assets | 1,380 | 1,356 | 1,369 | |
Non-GAAP gross profit | 104,435 | 95,640 | 74,783 | |
GAAP gross margin as a percentage of revenues | 57 % | 59 % | 56 % | |
Non-GAAP gross margin as a percentage of revenues | 58 % | 61 % | 58 % | |
GAAP operating income | 49,231 | 45,618 | 34,148 | |
Stock-based compensation* | 6,194 | 6,294 | 4,571 | |
Amortization of acquired intangible assets | 1,467 | 1,441 | 1,477 | |
Non-GAAP operating income | 56,892 | 53,353 | 40,196 | |
GAAP operating margin as a percentage of revenues | 28 % | 29 % | 27 % | |
Non-GAAP operating margin as a percentage of revenues | 32 % | 34 % | 31 % | |
GAAP net income | 51,279 | 45,142 | 33,689 | |
Stock-based compensation* | 6,194 | 6,294 | 4,571 | |
Amortization of acquired intangible assets | 1,467 | 1,441 | 1,477 | |
Amortization of issuance costs | 326 | 322 | 324 | |
Revaluation of operating lease and intercompany loans | (2,309) | (69) | 423 | |
Tax effect of non-GAAP adjustments | (901) | (1,174) | (1,079) | |
Non-GAAP net income | 56,056 | 51,956 | 39,405 | |
GAAP basic earnings per share | 1.76 | 1.55 | 1.17 | |
Non-GAAP basic earnings per share | 1.93 | 1.79 | 1.36 | |
GAAP diluted earnings per share | 1.60 | 1.41 | 1.06 | |
Non-GAAP diluted earnings per share | 1.74 | 1.61 | 1.23 | |
Shares used for calculation of earnings per share | ||||
Basic | 29,099 | 29,048 | 28,870 | |
Diluted | 32,238 | 32,239 | 31,983 | |
* Stock-based compensation for the three months ended Sep 30, 2024 included in – Cost of revenues - 1,722; Research and | ||||
NOVA LTD. | ||
SUPPLEMENTAL INFORMATION - RECONCILIATION OF FOURTH QUARTER 2024 | ||
GAAP TO NON-GAAP GUIDANCE | ||
( | ||
Low | High | |
Estimated GAAP net income per diluted share | 1.51 | 1.70 |
Estimated non-GAAP items: | ||
Stock-based compensation | 0.20 | 0.20 |
Amortization of acquired intangible assets | 0.04 | 0.04 |
Amortization of issuance costs | 0.01 | 0.01 |
Tax effect of non-GAAP adjustments | (0.04) | (0.04) |
Estimated non-GAAP net income per diluted share | 1.72 | 1.91 |
Company Contact:
Guy Kizner, Chief Financial Officer
Tel: +972-73-229-5760
E-mail - investors@novami.com
Nova website link - https://www.novami.com/
Investor Relations Contact:
Miri Segal MS-IR LLC
Tel: +917-607-8654
E-mail - msegal@ms-ir.com
Logo - https://mma.prnewswire.com/media/1446151/Nova_Logo.jpg
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SOURCE Nova
FAQ
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