Photronics Reports Third Quarter Fiscal 2024 Results and Share Repurchase Authorization
Photronics, Inc. (NASDAQ:PLAB) reported its Q3 fiscal 2024 results. Revenue decreased 6% year-over-year to $211.0 million. GAAP Net income was $34.4 million, or $0.55 per diluted share. Non-GAAP Net income was $32.0 million, or $0.51 per diluted share. IC revenue fell 4% to $155.9 million, while FPD revenue dropped 10% to $55.1 million. The company generated $75.1 million in operating cash flow and invested $24.4 million in capital expenditures. Photronics ended the quarter with $606.4 million in cash and short-term investments. The Board authorized an increase in the share repurchase program to $100 million. For Q4 fiscal 2024, the company expects revenue between $213 million and $221 million and non-GAAP EPS between $0.48 and $0.54.
Photronics, Inc. (NASDAQ:PLAB) ha riportato i risultati del terzo trimestre fiscale 2024. I ricavi sono diminuiti del 6% rispetto all'anno precedente, raggiungendo 211,0 milioni di dollari. L'utile netto secondo i principi contabili GAAP è stato di 34,4 milioni di dollari, o 0,55 dollari per azione diluita. L'utile netto non GAAP è stato di 32,0 milioni di dollari, o 0,51 dollari per azione diluita. I ricavi dei chip (IC) sono scesi del 4% a 155,9 milioni di dollari, mentre i ricavi dai display a pannello (FPD) sono diminuiti del 10% a 55,1 milioni di dollari. L'azienda ha generato 75,1 milioni di dollari di flusso di cassa operativo e ha investito 24,4 milioni di dollari in spese in conto capitale. Photronics ha chiuso il trimestre con 606,4 milioni di dollari in contante e investimenti a breve termine. Il Consiglio ha autorizzato un aumento nel programma di riacquisto delle azioni a 100 milioni di dollari. Per il quarto trimestre fiscale 2024, l'azienda prevede ricavi tra 213 milioni e 221 milioni di dollari e un utile per azione non GAAP compreso tra 0,48 e 0,54 dollari.
Photronics, Inc. (NASDAQ:PLAB) ha reportado sus resultados del tercer trimestre fiscal 2024. Los ingresos disminuyeron un 6% en comparación con el año anterior, alcanzando 211.0 millones de dólares. La utilidad neta según GAAP fue de 34.4 millones de dólares, o 0.55 dólares por acción diluida. La utilidad neta no GAAP fue de 32.0 millones de dólares, o 0.51 dólares por acción diluida. Los ingresos de circuitos integrados (IC) cayeron un 4% a 155.9 millones de dólares, mientras que los ingresos de FPD disminuyeron un 10% a 55.1 millones de dólares. La compañía generó 75.1 millones de dólares en flujo de caja operativo e invirtió 24.4 millones de dólares en gastos de capital. Photronics cerró el trimestre con 606.4 millones de dólares en efectivo e inversiones a corto plazo. La Junta autorizó un aumento en el programa de recompra de acciones a 100 millones de dólares. Para el cuarto trimestre fiscal 2024, la empresa espera ingresos entre 213 millones y 221 millones de dólares y un EPS no GAAP entre 0.48 y 0.54 dólares.
Photronics, Inc. (NASDAQ:PLAB)는 2024 회계연도 3분기 실적을 발표했습니다. 수익은 전년 대비 6% 감소하여 2억 1,100만 달러에 이르렀습니다. GAAP 기준 순익은 3,440만 달러, 즉 희석 주당 0.55 달러였습니다. 비-GAAP 기준 순익은 3,200만 달러, 즉 희석 주당 0.51 달러였습니다. 반도체(IC) 매출은 4% 감소하여 1억 5,590만 달러에 이르렀고, FPD 매출은 10% 감소하여 5,510만 달러로 떨어졌습니다. 회사는 운영 현금 흐름으로 7,510만 달러를 생성하였고, 자본 지출에 2,440만 달러를 투자했습니다. Photronics는 6억 6,400만 달러의 현금 및 단기 투자로 분기를 마감했습니다. 이사회는 주식 매입 프로그램을 1억 달러로 늘리는 것을 승인했습니다. 2024 회계연도 4분기에 대해 회사는 수익을 2억 1,300만 달러에서 2억 2,100만 달러로 예상하고 있으며, 비-GAAP 기준 주당 순이익(EPS)은 0.48에서 0.54 달러 사이로 예상하고 있습니다.
Photronics, Inc. (NASDAQ:PLAB) a publié ses résultats pour le troisième trimestre de l'exercice 2024. Les revenus ont diminué de 6 % par rapport à l'année précédente, atteignant 211,0 millions de dollars. Le bénéfice net selon les normes GAAP s'élevait à 34,4 millions de dollars, soit 0,55 dollar par action diluée. Le bénéfice net non GAAP était de 32,0 millions de dollars, soit 0,51 dollar par action diluée. Les revenus des circuits intégrés (IC) ont chuté de 4 % à 155,9 millions de dollars, tandis que les revenus des panneaux FPD ont baissé de 10 % à 55,1 millions de dollars. L'entreprise a généré un flux de trésorerie d'exploitation de 75,1 millions de dollars et a investi 24,4 millions de dollars dans des dépenses en capital. Photronics a terminé le trimestre avec 606,4 millions de dollars en liquidités et investissements à court terme. Le conseil a autorisé une augmentation du programme de rachat d'actions à 100 millions de dollars. Pour le quatrième trimestre de l'exercice 2024, l'entreprise prévoit des revenus compris entre 213 millions et 221 millions de dollars et un BPA non GAAP compris entre 0,48 et 0,54 dollar.
Photronics, Inc. (NASDAQ:PLAB) hat seine Ergebnisse für das dritte Quartal des Geschäftsjahres 2024 veröffentlicht. Der Umsatz sank um 6 % im Vergleich zum Vorjahr auf 211,0 Millionen Dollar. Der GAAP-Nettogewinn betrug 34,4 Millionen Dollar, oder 0,55 Dollar pro verwässerter Aktie. Der Non-GAAP-Nettogewinn betrug 32,0 Millionen Dollar, oder 0,51 Dollar pro verwässerter Aktie. Der Umsatz aus integrierten Schaltungen (IC) fiel um 4 % auf 155,9 Millionen Dollar, während der Umsatz aus FPD um 10 % auf 55,1 Millionen Dollar75,1 Millionen Dollar an operativem Cashflow und investierte 24,4 Millionen Dollar in Investitionen. Photronics schloss das Quartal mit 606,4 Millionen Dollar in Bar- und kurzfristigen Anlagen ab. Der Vorstand genehmigte eine Erhöhung des Aktienrückkaufprogramms auf 100 Millionen Dollar. Für das vierte Quartal des Geschäftsjahres 2024 erwartet das Unternehmen einen Umsatz von 213 Millionen bis 221 Millionen Dollar und einen Non-GAAP EPS von 0,48 bis 0,54 Dollar.
- GAAP Net income increased to $34.4 million ($0.55 per share) from $27.0 million ($0.44 per share) in Q3 2023
- Non-GAAP Net income rose to $32.0 million ($0.51 per share) from $28.7 million ($0.46 per share) in Q2 2024
- Strong cash position with $606.4 million in cash and short-term investments
- Board authorized an increase in share repurchase program to $100 million
- Q4 fiscal 2024 guidance suggests potential revenue growth
- Revenue decreased 6% year-over-year to $211.0 million
- IC revenue fell 4% year-over-year to $155.9 million
- FPD revenue dropped 10% year-over-year to $55.1 million
- Market softness in some segments impacted photomask demand
- Slower photomask demand recovery due to customer order patterns and rising semiconductor channel inventory
Insights
Photronics' Q3 FY2024 results reveal a mixed financial picture. While revenue declined
The company's strong cash position (
However, the Q4 guidance of
The photomask industry is facing short-term headwinds due to semiconductor channel inventory issues and reduced chip design activity. However, long-term prospects remain promising, driven by megatrends like AI, supply chain regionalization and edge computing.
Photronics' market leadership position is important in this environment. The company's ability to optimize margins despite lower demand demonstrates adaptability. The
The expanded share repurchase program may boost investor confidence, but it's essential to balance this with investments in growth opportunities. As the industry recovers, Photronics' strategic positioning and ability to capitalize on emerging trends will be key factors in its performance.
Photronics' results reflect the broader semiconductor industry's cyclical nature. The slowdown in photomask demand, particularly in IC and FPD segments, aligns with the current chip inventory correction phase. However, the company's focus on margin optimization through mix and sales strategy adjustments is commendable.
Long-term industry drivers like AI and edge computing remain strong, which bodes well for future photomask demand. Photronics' emphasis on "smart investment and deployment strategies" suggests a balanced approach to navigating current market conditions while preparing for future growth.
The company's ability to maintain profitability and generate strong cash flow (
BROOKFIELD, Conn., Aug. 29, 2024 (GLOBE NEWSWIRE) -- Photronics, Inc. (NASDAQ:PLAB), a worldwide leader in photomask technologies and solutions, today reported financial results for its third quarter of fiscal year 2024 ended July 28, 2024.
“Market softness in some segments during the quarter impacted photomask demand, reducing both IC and FPD revenue,” said Frank Lee, chief executive officer. “The photomask demand recovery that started to take shape early in the third quarter slowed during the period due to select regional and end-use customer order patterns. This was combined with broader customer focus on rising semiconductor channel inventory that limited chip design activity through the quarter. In response, we tuned our mix and sales strategy, allowing us to optimize margins despite lower demand. Megatrends such as AI, supply chain regionalization, and edge computing are driving secular photomask value and demand, supporting our optimistic view of the long-term global photomask industry outlook. Our leadership position gives us confidence we can drive future margins while at the same time execute smart investment and deployment strategies that can deliver top line growth and shareholder value.”
Third Quarter Fiscal 2024 Results
- Revenue was
$211.0 million , down6% year-over-year and3% sequentially. - GAAP Net income attributable to Photronics, Inc. shareholders was
$34.4 million , or$0.55 per diluted share, compared with$27.0 million , or$0.44 per diluted share in the third quarter of 2023 and$36.3 million , or$0.58 per diluted share in the second quarter of 2024. - Non-GAAP Net income attributable to Photronics, Inc. shareholders was
$32.0 million , or$0.51 per diluted share, compared with$31.6 million , or$0.51 per diluted share in the third quarter of 2023 and$28.7 million , or$0.46 per diluted share in the second quarter of 2024. - IC revenue was
$155.9 million , down4% year-over-year and3% sequentially. - FPD revenue was
$55.1 million , down10% from the same quarter last year and2% sequentially. - Cash generated from operating activities was
$75.1 million , and cash invested in organic growth through capital expenditures was$24.4 million . - Cash and Short-term investments at the end of the quarter were
$606.4 million , and Debt was$20.1 million .
Share Repurchase
In addition, the Board of Directors has authorized an increase of the Company’s existing share repurchase program from the
“This announcement is a testament to our ability to generate strong cash flows and maintain a solid balance sheet over various economic conditions,” continued Dr. Lee. “We are taking this step to demonstrate our commitment to enhancing shareholder returns by returning cash to our shareholders and investing in the value we see in our equity.”
This authorization does not obligate the Company to repurchase any dollar amount or number of shares of common stock. The repurchase program may be suspended or discontinued at any time.
Fourth Quarter Fiscal 2024 Guidance
For the fourth quarter of fiscal 2024, Photronics expects Revenue to be between
Webcast
A webcast to discuss these results is scheduled for 8:30 a.m. Eastern time on Thursday, August 29, 2024. The call will be broadcast live and on-demand on the Events and Presentations link on the Photronics website. Analysts and investors who wish to participate in the Q&A portion of the call should click here. It is suggested that participants register fifteen minutes prior to the call's scheduled start time.
About Photronics
Photronics is a leading worldwide manufacturer of integrated circuit (IC) and flat panel display (FPD) photomasks. High precision quartz plates that contain microscopic images of electronic circuits, photomasks are a key element in the IC and FPD manufacturing process. Founded in 1969, Photronics has been a trusted photomask supplier for over 50 years. As of October 31, 2023, the company had approximately 1,885 employees. The company operates 11 strategically located manufacturing facilities in Asia, Europe, and North America. Additional information on the company can be accessed at www.photronics.com.
Forward-Looking Statements
Certain statements in this press release constitute “forward-looking statements” regarding our industry, our strategic position, and our financial and operating results. These forward-looking statements are subject to a number of risks and uncertainties that could cause actual results, performance or achievements to differ materially. Please refer to the documents we file with the Securities and Exchange Commission. These documents contain and identify important factors that could cause our actual results to differ materially from those contained in these forward-looking statements. These certain factors can be found in our most recent SEC filings. Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future results, levels of activity, performance, or achievements. We are under no duty to update any of the forward-looking statements after the date of this release to conform these statements to actual results.
Non-GAAP Financial Measures
Non-GAAP Net Income attributable to Photronics, Inc. shareholders and non-GAAP earnings per share are "non-GAAP financial measures" as such term is defined by Regulation G of the Securities and Exchange Commission, and may differ from similarly named non-GAAP financial measures used by other companies. The attached financial supplement reconciles Photronics, Inc. financial results under GAAP to non-GAAP financial information. We believe these non-GAAP financial measures that exclude certain items are useful for analysts and investors to evaluate our future on-going performance because they enable a more meaningful comparison of our projected performance with our historical results. These non-GAAP metrics are not a measure of consolidated operating results under U.S. GAAP and should not be considered as an alternative to Net income (loss), Net income (loss) per share, or any other measure of consolidated results under U.S. GAAP. The items excluded from these non-GAAP metrics, but included in the calculation of their closest GAAP equivalent, are significant components of the condensed consolidated statement of income and must be considered in performing a comprehensive assessment of overall financial performance. Please refer to the non-GAAP reconciliations below.
| PHOTRONICS, INC. | |||||||||||||||||
| Condensed Consolidated Statements of Income | |||||||||||||||||
| (in thousands, except per share amounts) | |||||||||||||||||
| (Unaudited) | |||||||||||||||||
| Three Months Ended | Nine Months Ended | ||||||||||||||||
| July 28, | April 28, | July 30, | July 28, | July 30, | |||||||||||||
| 2024 | 2024 | 2023 | 2024 | 2023 | |||||||||||||
| Revenue | $ | 210,984 | $ | 217,000 | $ | 224,206 | $ | 644,318 | $ | 664,603 | |||||||
| Cost of goods sold | 135,846 | 137,749 | 137,405 | 410,674 | 413,323 | ||||||||||||
| Gross Profit | 75,138 | 79,251 | 86,801 | 233,644 | 251,280 | ||||||||||||
| Operating Expenses: | |||||||||||||||||
| Selling, general and administrative | 19,436 | 18,996 | 18,032 | 56,753 | 52,728 | ||||||||||||
| Research and development | 3,555 | 4,292 | 3,505 | 11,291 | 10,287 | ||||||||||||
| Total Operating Expenses | 22,991 | 23,288 | 21,537 | 68,044 | 63,015 | ||||||||||||
| Other operating gain | 1 | 89 | - | 90 | - | ||||||||||||
| Operating Income | 52,148 | 56,052 | 65,264 | 165,690 | 188,265 | ||||||||||||
| Non-operating (loss) income, net | 10,145 | 20,534 | (911 | ) | 26,931 | (1,764 | ) | ||||||||||
| Income Before Income Tax Provision | 62,293 | 76,586 | 64,353 | 192,621 | 186,501 | ||||||||||||
| Income tax provision | 14,124 | 20,214 | 16,098 | 48,998 | 50,023 | ||||||||||||
| Net Income | 48,169 | 56,372 | 48,255 | 143,623 | 136,478 | ||||||||||||
| Net income attributable to noncontrolling interests | 13,781 | 20,121 | 21,296 | 46,804 | 55,604 | ||||||||||||
| Net income attributable to Photronics, Inc. shareholders | $ | 34,388 | $ | 36,251 | $ | 26,959 | $ | 96,819 | $ | 80,874 | |||||||
| Earnings per share: | |||||||||||||||||
| Basic | $ | 0.56 | $ | 0.59 | $ | 0.44 | $ | 1.57 | $ | 1.32 | |||||||
| Diluted | $ | 0.55 | $ | 0.58 | $ | 0.44 | $ | 1.55 | $ | 1.31 | |||||||
| Weighted-average number of common shares outstanding: | |||||||||||||||||
| Basic | 61,815 | 61,771 | 61,233 | 61,681 | 61,089 | ||||||||||||
| Diluted | 62,414 | 62,409 | 61,974 | 62,369 | 61,650 | ||||||||||||
| PHOTRONICS, INC. | |||||||
| Condensed Consolidated Balance Sheets | |||||||
| (in thousands) | |||||||
| (Unaudited) | |||||||
| July 28, | October 31, | ||||||
| 2024 | 2023 | ||||||
| Assets | |||||||
| Current assets: | |||||||
| Cash and cash equivalents | $ | 537,331 | $ | 499,292 | |||
| Short-term investments | 69,046 | 12,915 | |||||
| Accounts receivable | 199,926 | 194,927 | |||||
| Inventories | 55,472 | 49,963 | |||||
| Other current assets | 30,865 | 28,353 | |||||
| Total current assets | 892,640 | 785,450 | |||||
| Property, plant and equipment, net | 722,638 | 709,244 | |||||
| Other assets | 29,823 | 31,527 | |||||
| Total assets | $ | 1,645,101 | $ | 1,526,221 | |||
| Liabilities and Equity | |||||||
| Current liabilities: | |||||||
| Current portion of long-term debt | $ | 20,090 | $ | 6,621 | |||
| Accounts payable and accrued liabilities | 171,036 | 178,602 | |||||
| Total current liabilities | 191,126 | 185,223 | |||||
| Long-term debt | 28 | 17,998 | |||||
| Other liabilities | 40,518 | 47,391 | |||||
| Equity: | |||||||
| Photronics, Inc. shareholders' equity | 1,067,994 | 975,008 | |||||
| Noncontrolling interests | 345,435 | 300,601 | |||||
| Total equity | 1,413,429 | 1,275,609 | |||||
| Total liabilities and equity | $ | 1,645,101 | $ | 1,526,221 | |||
| PHOTRONICS, INC. | |||||||||
| Condensed Consolidated Statements of Cash Flows | |||||||||
| (in thousands) | |||||||||
| (Unaudited) | |||||||||
| Nine Months Ended | |||||||||
| July 28, | July 30, | ||||||||
| 2024 | 2023 | ||||||||
| Cash flows from operating activities: | |||||||||
| Net income | $ | 143,623 | $ | 136,478 | |||||
| Adjustments to reconcile net income to net cash | |||||||||
| provided by operating activities: | |||||||||
| Depreciation and amortization | 61,613 | 59,523 | |||||||
| Share-based compensation | 9,841 | 5,874 | |||||||
| Changes in operating assets, liabilities and other | (22,003 | ) | (6,319 | ) | |||||
| Net cash provided by operating activities | 193,074 | 195,556 | |||||||
| Cash flows from investing activities: | |||||||||
| Purchases of property, plant and equipment | (87,733 | ) | (78,813 | ) | |||||
| Purchases of short-term investments | (100,558 | ) | (9,837 | ) | |||||
| Proceeds from maturities of short-term investments | 44,696 | 22,500 | |||||||
| Government incentives | 1,541 | 2,033 | |||||||
| Other | (4 | ) | (116 | ) | |||||
| Net cash used in investing activities | (142,058 | ) | (64,233 | ) | |||||
| Cash flows from financing activities: | |||||||||
| Repayments of debt | (4,500 | ) | (16,351 | ) | |||||
| Proceeds from share-based arrangements | 1,074 | 1,241 | |||||||
| Net settlements of restricted stock awards | (3,002 | ) | (1,292 | ) | |||||
| Net cash used in financing activities | (6,428 | ) | (16,402 | ) | |||||
| Effects of exchange rate changes on cash, cash equivalents, and restricted cash | (6,454 | ) | 13,813 | ||||||
| Net increase in cash, cash equivalents, and restricted cash | 38,134 | 128,734 | |||||||
| Cash, cash equivalents, and restricted cash, beginning of period | 501,867 | 322,409 | |||||||
| Cash, cash equivalents, and restricted cash, end of period | $ | 540,001 | $ | 451,143 | |||||
| PHOTRONICS, INC. | ||||||||||||
| Reconciliation of GAAP Net income attributable to Photronics, Inc. shareholders to Non-GAAP Net income | ||||||||||||
| (in thousands) | ||||||||||||
| (Unaudited) | ||||||||||||
| Three Months ended | ||||||||||||
| July 28, | April 28, | July 30, | ||||||||||
| 2024 | 2024 | 2023 | ||||||||||
| GAAP Net income attributable to Photronics, Inc. shareholders | $ | 34,388 | $ | 36,251 | $ | 26,959 | ||||||
| FX (gain) loss | (4,068 | ) | (14,766 | ) | 4,543 | |||||||
| Estimated tax effects of FX (gain) loss | 914 | 3,743 | (1,193 | ) | ||||||||
| Estimated noncontrolling interest effects of above | 681 | 3,489 | 1,328 | |||||||||
| Non-GAAP Net income attributable to Photronics, Inc. shareholders | $ | 31,915 | $ | 28,717 | $ | 31,637 | ||||||
| Weighted-average number of common shares outstanding - Diluted | 62,414 | 62,409 | 61,974 | |||||||||
| GAAP Diluted earnings per share | $ | 0.55 | $ | 0.58 | $ | 0.44 | ||||||
| Effects of non-GAAP adjustments above | (0.04 | ) | (0.12 | ) | 0.07 | |||||||
| Non-GAAP Diluted earnings per share | $ | 0.51 | $ | 0.46 | $ | 0.51 | ||||||
For Further Information:
Eric Rivera
Chief Financial Officer
203.740.5301
investorrelations@photronics.com
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