Axcelis Announces Financial Results for Second Quarter 2026

August 6, 2026 at 7:00 AM EDT

Q2 2026 Highlights:

  • Revenue of $215.2 million
  • GAAP Gross Margin of 42.4%, and Non-GAAP Gross Margin of 42.7%
  • GAAP Operating Margin of 9.4% and Non-GAAP Operating Margin of 14.7%
  • GAAP Diluted Earnings Per Share of $0.75, and Non-GAAP Diluted Earnings Per Share of $1.06

BEVERLY, Mass., Aug. 6, 2026 /PRNewswire/ -- Axcelis Technologies, Inc. (Nasdaq: ACLS) today announced financial results for the second quarter ended June 30, 2026.

Axcelis

President and CEO Russell Low commented, "We executed well in the second quarter, delivering results that exceeded our forecasts driven by stronger system shipments and higher CS&I volume." Low continued, "Demand in the Memory market remains robust, and we are also benefitting from positive momentum in our Power market. In General Mature, we are encouraged by improving engagement and utilization trends as customers respond to growing end-demand in data center, industrial and automotive segments. As a result, we now expect to deliver year-over-year revenue growth in 2026, with momentum carrying through to 2027. We are focused on satisfying the remaining conditions to complete our pending merger with Veeco and look forward to closing the transaction in the second half of 2026."

Senior Vice President and Interim CFO David Ryzhik stated, "Axcelis delivered better than expected revenue and operating income in our second quarter, reflecting the attractive operating leverage in our business." Ryzhik concluded, "With improving systems demand in our markets and continued strength in our CS&I aftermarket business, we anticipate that Axcelis' financial performance will continue to improve over the balance of 2026."

Results Summary

(In thousands, except per share amounts and percentages)


Three months ended June 30,

2026

2025

Revenue

$

215,175

$

194,544

Gross margin

42.4 %

44.9 %

Operating margin

9.4 %

14.9 %

Net income

$

23,291

$

31,376

Diluted earnings per share

$

0.75

$

0.98








Non-GAAP Results

Three months ended June 30,

2026

2025

Non-GAAP gross margin

42.7 %

45.2 %

Non-GAAP operating margin

14.7 %

17.7 %

Adjusted EBITDA

$

35,972

$

38,872

Non-GAAP net income

$

32,968

$

36,013

Non-GAAP diluted earnings per share

$

1.06

$

1.13

Business Outlook
For the third quarter ending September 30, 2026, Axcelis expects revenues of approximately $230 million, GAAP earnings per diluted share of approximately $0.76, and non-GAAP earnings per share of approximately $1.11.

Please refer to Third Quarter 2026 Outlook under the "Notes on our Non-GAAP Financial Information" section of this document for detail relating to the computation of non-GAAP earnings per diluted share as well as the Safe Harbor Statement section of this document.

Second Quarter 2026 Conference Call
The Company will host a call to discuss the results for the second quarter 2026 today at 8:30 a.m. ET. The call will be available via 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-conf.media-server.com/register/BIf61211144e3b4baeb4c13ba3b1f529fa
Webcast replays will be available for 30 days following the call.

Use of Non-GAAP Financial Results
This press release includes financial measures that are not presented in accordance with U.S. generally accepted accounting principles ("non-GAAP financial measures"). These non-GAAP financial measures include non-GAAP gross profit, non-GAAP gross margin, non-GAAP operating income, non-GAAP operating margin, non-GAAP income tax provision, Adjusted EBITDA, non-GAAP net income, and non-GAAP diluted earnings per share, and reflect adjustments for the impact of share-based compensation expense, certain items related to restructuring and severance charges and any associated adjustments and transaction and integration costs associated with the merger agreement with Veeco Instruments announced on October 1, 2025.

Reconciliations of these non-GAAP financial measures to the most directly comparable financial measures calculated and presented in accordance with GAAP are provided in the financial tables included in this release.

For further information regarding these non-GAAP financial measures, please refer to the tables presenting reconciliations of our non-GAAP results to our GAAP results and the "Notes on Our Non-GAAP Financial Information" at the end of this press release.

Safe Harbor Statement
This press release contains, and the conference call will 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, including with respect to the imposition of tariffs on our products or components of our products, 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 45 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.

CONTACTS:

Investor Relations Contact:
David Ryzhik
Senior Vice President and Interim CFO
Telephone: (978) 787-2352
Email: David.Ryzhik@axcelis.com

Press/Media Relations Contact:
Maureen Hart
Senior Director, Corporate & Marketing Communications
Telephone: (978) 787-4266
Email: Maureen.Hart@axcelis.com

 

Axcelis Technologies, Inc.

Consolidated Statements of Operations

(In thousands, except per share amounts)

(Unaudited)



Three months ended  

Six months ended





June 30,


June 30,




2026

2025

2026

2025

Revenue:












Product

$

200,488

$

183,402

$

388,497

$

366,226

Services

14,687

11,142

25,634

20,881

Total revenue

215,175

194,544

414,131

387,107

Cost of revenue:












Product

106,998

95,462

212,734

189,962

Services

16,988

11,739

29,627

21,034

Total cost of revenue

123,986

107,201

242,361

210,996

Gross profit

91,189

87,343

171,770

176,111

Operating expenses:












Research and development

28,977

27,064

57,493

54,192

Sales and marketing

19,554

15,003

36,908

30,127

General and administrative

22,377

16,311

49,138

33,668

Total operating expenses

70,908

58,378

143,539

117,987

Income from operations

20,281

28,965

28,231

58,124

Other income (expense):












Interest income

4,575

5,481

9,037

11,082

Interest expense

(1,263)

(1,355)

(2,554)

(2,722)

Other, net

1,755

1,906

1,259

1,597

Total other income

5,067

6,032

7,742

9,957

Income before income taxes

25,348

34,997

35,973

68,081

Income tax provision

2,057

3,621

3,468

8,126

Net income

$

23,291

$

31,376

$

32,505

$

59,955

Net income per share:












Basic

$

0.76

$

0.99

$

1.06

$

1.87

Diluted

$

0.75

$

0.98

$

1.05

$

1.87

Shares used in computing net income per share:












Basic weighted average shares of common stock

30,805

31,847

30,764

32,051

Diluted weighted average shares of common stock

31,134

31,882

31,084

32,103

 

Axcelis Technologies, Inc.

Consolidated Balance Sheets

(In thousands, except per share amounts)

(Unaudited)



June 30,


December 31,




2026

2025

ASSETS

Current assets:






Cash and cash equivalents

$

154,996

$

145,451

Short-term investments

247,220

228,802

Accounts receivable, net

154,149

168,479

Inventories, net

338,174

329,010

Prepaid income taxes

4,863

4,658

Prepaid expenses and other current assets

80,369

66,802

Total current assets

979,771

943,202

Property, plant and equipment, net

58,022

56,146

Operating lease assets

27,568

28,927

Finance lease assets, net

13,516

14,154

Long-term restricted cash

10,633

10,627

Deferred income taxes

78,815

79,895

Long-term investments

174,829

182,396

Other assets

43,684

46,004

Total assets

$

1,386,838

$

1,361,351


Current liabilities:






Accounts payable

$

58,807

$

42,309

Accrued compensation

20,010

34,233

Warranty

9,634

9,516

Income Taxes

2,833

11,383

Deferred revenue

81,679

65,494

Current portion of finance lease obligation

1,722

1,575

Other current liabilities

25,416

33,150

Total current liabilities

200,101

197,660

Long-term finance lease obligation

39,845

40,754

Long-term deferred revenue

36,863

43,445

Other long-term liabilities

44,208

44,815

Total liabilities

321,017

326,674








Stockholders' equity:






Common stock, $0.001 par value, 75,000 shares authorized; 30,881 shares issued and
outstanding at June 30, 2026; 30,717 shares issued and outstanding at December 31, 2025

31

31

Additional paid-in capital

536,152

533,309

Retained earnings

536,044

503,539

Accumulated other comprehensive loss

(6,406)

(2,202)

Total stockholders' equity

1,065,821

1,034,677

Total liabilities and stockholders' equity

$

1,386,838

$

1,361,351

 

Axcelis Technologies, Inc.

Condensed Consolidated Statements of Cash Flows

(In thousands)

(Unaudited)


Three months ended

Six months ended

June 30,

June 30,

2026

2025

2026

2025

Cash flows from operating activities







Net income

$

23,291

$

31,376

$

32,505

$

59,955

Adjustments to reconcile net income to net cash provided by operating
activities:











Depreciation and amortization

4,439

4,515

8,875

8,824

Stock-based compensation expense

6,425

5,421

11,324

10,324

Other

(645)

(9,335)

3,160

(11,017)

Change in other assets and liabilities, net

(15,137)

7,750

(19,352)

11,436

Net cash provided by operating activities

18,373

39,727

36,512

79,522













Cash flows from investing activities











Expenditures for property, plant and equipment and capitalized software

(3,554)

(1,985)

(5,393)

(6,945)

Other changes in investing activities, net

(2,543)

(2,628)

(11,343)

42,801

Net cash (used in) provided by investing activities

(6,097)

(4,613)

(16,736)

35,856













Cash flows from financing activities











Repurchase of common stock

(244)

(45,337)

(244)

(63,515)

Other changes from financing activities, net

(7,608)

(1,650)

(9,005)

(3,582)

Net cash used in financing activities

(7,852)

(46,987)

(9,249)

(67,097)













Effect of exchange rate changes on cash and cash equivalents

(252)

1,643

(976)

1,935

Net increase (decrease) in cash, cash equivalents and restricted cash

4,172

(10,230)

9,551

50,216













Cash, cash equivalents and restricted cash at beginning of period

161,457

191,510

156,078

131,064

Cash, cash equivalents and restricted cash at end of period

$

165,629

$

181,280

$

165,629

$

181,280

 

Axcelis Technologies, Inc. 

Schedule Reconciling Selected Non-GAAP Financial Measures

(In thousands, except per share amounts)


Three months ended June 30,

Six months ended June 30,


2026

2025

2026

2025

GAAP gross Profit

$

91,189

$

87,343

$

171,770

$

176,111

Restructuring1

—

—

—

226

Stock-based compensation

755

569

1,197

922

Non-GAAP gross profit

$

91,944

$

87,912

$

172,967

$

177,259

Non-GAAP gross margin

42.7 %

45.2 %

41.8 %

45.8 %












GAAP operating expense

$

70,908

$

58,378

$

143,539

$

117,987

Transaction and integration2

(4,827)

—

(15,225)

(481)

Bad debt expense

—

—

(65)

—

Restructuring1

—

29

—

(894)

Stock-based compensation

(5,670)

(4,852)

(10,127)

(9,402)

Non-GAAP operating expense

$

60,411

$

53,555

$

118,122

$

107,210












GAAP operating income

$

20,281

$

28,965

$

28,231

$

58,124

Transaction and integration2

4,827

—

15,225

481

Bad debt expense

—

—

65

—

Restructuring1

—

(29)

—

1,120

Stock-based compensation

6,425

5,421

11,324

10,324

Non-GAAP operating income

$

31,533

$

34,357

$

54,845

$

70,049

Non-GAAP operating margin

14.7 %

17.7 %

13.2 %

18.1 %












GAAP income tax provision

$

2,057

$

3,621

$

3,468

$

8,126

Income tax effect of non-GAAP
adjustments3 

1,575

755

3,726

1,670

Non-GAAP income tax provision

$

3,632

$

4,376

$

7,194

$

9,796












GAAP net income

$

23,291

$

31,376

$

32,505

$

59,955

Transaction and integration2

4,827

—

15,225

481

Bad debt expense

—

—

65

—

Restructuring1

—

(29)

—

1,120

Stock-based compensation

6,425

5,421

11,324

10,324

Income tax effect of non-GAAP
adjustments3 

(1,575)

(755)

(3,726)

(1,670)

Non-GAAP net income

$

32,968

$

36,013

$

55,393

$

70,210












GAAP diluted EPS

$

0.75

$

0.98

$

1.05

$

1.87

Transaction and integration2

0.16

—

0.49

.01

Bad debt expense

—

—

—

—

Restructuring1

—

—

—

0.03

Stock-based compensation

0.21

0.17

0.36

0.32

Income tax effect of non-GAAP
adjustments3 

(0.05)

(0.02)

(0.12)

(0.05)

Non-GAAP diluted EPS

$

1.06

$

1.13

$

1.78

$

2.19


Note 1:

Restructuring and other costs primarily related to early retirement programs and severance costs, due to global cost-saving initiatives.

Note 2:

Transaction and integration costs include expenses associated with the merger agreement with Veeco Instruments, announced on October 1, 2025. Transaction and integration costs for the six months ended June 30, 2025 include $481,000 of expenses that were not reflected as a GAAP to Non-GAAP reconciliation line item when the Company reported second quarter 2025 results, given that they occurred prior to transaction announcement on October 1, 2025.

Note 3:

Impact of taxes from non-GAAP adjustments, uses adjusted tax rate of 14%.

Figures may not sum due to rounding.

 

Axcelis Technologies, Inc.

Reconciliation of Net Income to Adjusted EBITDA

(In thousands, except percentages)


Three months ended June 30,

Six months ended June 30,


2026

2025

2026

2025

Net Income

$

23,291

$

31,376

$

32,505

$

59,955

Other (income)/expense

(5,067)

(6,032)

(7,742)

(9,957)

Income tax provision

2,057

3,621

3,468

8,126

Depreciation & amortization

4,439

4,515

8,875

8,824

Subtotal

24,720

33,480

37,106

66,948

Transaction and integration1

4,827

—

15,225

481

Bad debt expense

—

—

65

—

Restructuring2

—

(29)

—

1,120

Stock-based compensation

6,425

5,421

11,324

10,324

Adjusted EBITDA

$

35,972

$

38,872

$

63,720

$

78,873

Adjusted EBITDA margin

16.7 %

20.0 %

15.4 %

20.4 %


Note 1:

Transaction and integration costs for the six months ended June 30, 2025 include $481,000 of expenses that were not reflected as a GAAP to Non-GAAP reconciliation line item when the Company reported second quarter 2025 results, given that they occurred prior to transaction announcement on October 1, 2025.

Note 2:

Restructuring and other costs primarily related to early retirement programs and severance costs, due to global cost-saving initiatives.

 

Axcelis Technologies, Inc.

Third Quarter 2026 Outlook

GAAP to Non-GAAP Diluted Earnings Per Share


Three months ended

September 30, 2026

GAAP diluted EPS

$

0.76

Transaction and Integration1

0.19

Stock-based compensation

0.21

Income tax effect of non-GAAP adjustments2

(0.06)

Non-GAAP diluted EPS

$

1.11


Note 1:

Transaction and Integration costs include expenses associated with the merger agreement with Veeco Instruments, announced on October 1, 2025.

Note 2:

Impact of taxes from non-GAAP adjustments, uses adjusted tax rate of 14%.

Figures may not sum due to rounding.

 

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SOURCE Axcelis Technologies, Inc.