AXCELIS ANNOUNCES FINANCIAL RESULTS FOR THIRD QUARTER 2022

November 2, 2022 at 4:01 PM EDT

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.