|
|
|
|
|||||
|
|
|
SINGAPORE, Aug. 6, 2025 /PRNewswire/ -- Kulicke and Soffa Industries, Inc. (NASDAQ: KLIC) ("Kulicke & Soffa," "K&S," "our," or the "Company"), today announced financial results of its third fiscal quarter ended June 28, 2025. The Company reported third quarter net revenue of $148.4 million, net loss of $3.3 million, representing EPS of $(0.06) per fully diluted share, and non-GAAP net income of $3.8 million, representing non-GAAP EPS of $0.07 per fully diluted share.
Quarterly Results - U.S. GAAP | |||
Fiscal Q3 2025 | Change vs. Fiscal Q3 2024 | Change vs. Fiscal Q2 2025 | |
Net Revenue | $148.4 million | down 18.3% | down 8.4% |
Gross Margin | 46.7 % | up 10 bps | up 2180 bps |
Loss from Operations | $(6.1) million | down 173.6% | up 92.8% |
Operating Margin | (4.1) % | down 870 bps | up 4820 bps |
Net Loss | $(3.3) million | down 126.8% | up 96.1% |
Net Margin | (2.2) % | down 900 bps | up 5000 bps |
EPS – Diluted | $(0.06) | down 127.3% | up 96.2% |
Quarterly Results - Non-GAAP | |||
Fiscal Q3 2025 | Change vs. Fiscal Q3 2024 | Change vs. Fiscal Q2 2025 | |
Income from Operations | $1.6 million | down 90.0% | up 105.8% |
Operating Margin | 1.1 % | down 760 bps | up 1800 bps |
Net Income | $3.8 million | down 80.5% | up 113.5% |
Net Margin | 2.5 % | down 810 bps | up 1970 bps |
EPS – Diluted | $0.07 | down 80.0% | up 113.5% |
A reconciliation between the GAAP and non-GAAP adjusted results is provided in the financial tables included at the end of this press release. See also the "Use of non-GAAP Financial Results" section of this press release.
Fusen Chen, Kulicke & Soffa's President and Chief Executive Officer, stated, "We continue to execute on multiple technology transitions supported by parallel customer engagements. As we expand our portfolio, we are unlocking new opportunities across general semiconductor, memory, automotive, and industrial markets. Additionally, we are encouraged by positive market feedback of our latest solutions and also by recent order momentum within our highest-volume regions."
Third Quarter Fiscal 2025 Financial Highlights
Fourth Quarter Fiscal 2025 Outlook
K&S currently expects net revenue in the fourth quarter of fiscal 2025 ending October 4, 2025 to be approximately $170 million +/- $10 million, GAAP diluted EPS to be approximately $0.08 +/- 10%, and non-GAAP diluted EPS to be approximately $0.22 +/- 10%.
A reconciliation between the GAAP and non-GAAP financial outlook is provided in the financial tables included at the end of this press release.
Earnings Conference Webcast
A webcast to discuss these results will be held on August 6, 2025, beginning at 4:30 pm ET. The live webcast link, supplemental earnings presentation, and archived webcast will be available at investor.kns.com. To access the audio-only portion of the live webcast, parties may call +1-877-407-8037, or internationally, +1-201-689-8037.
An audio-only replay of the webcast will also be available approximately one hour after the completion of the live call by calling +1-877-660-6853, or internationally, +1-201-612-7415 and referencing access code 13750875.
Use of Non-GAAP Financial Results
In addition to U.S. GAAP ("GAAP") results, this press release also contains the following non-GAAP financial results: income from operations, operating margin, net income, net margin, net income per fully diluted share and adjusted free cash flow. The Company's non-GAAP results exclude amortization related to intangible assets acquired through business combinations, costs associated with restructuring and severance, equity-based compensation, acquisition and integration costs, impairment relating to assets acquired through business combinations, long-lived asset impairment relating to business cessation or disposal, impairment relating to equity investments, income tax expense/benefit arising from discrete tax items triggered by acquisition, disposal of business (both via a sale or an abandonment), restructuring and significant changes in tax laws, gain/loss on disposal of business, as well as tax benefits or expenses associated with the foregoing non-GAAP items. The non-GAAP adjustments may or may not be infrequent or nonrecurring in nature, but are a result of periodic or non-core operating activities. These non-GAAP measures are consistent with the way management analyzes and assesses the Company's operating results. The Company believes these non-GAAP measures enhance investors' understanding of the Company's underlying operational performance, as well as their ability to compare the Company's period-to-period financial results and the Company's overall performance to that of its competitors.
Management uses both GAAP metrics as well as these non-GAAP metrics to evaluate the Company's operating and financial results. Non-GAAP financial measures may not provide information that is directly comparable to that provided by other companies in the Company's industry, as other companies in the industry may calculate non-GAAP financial results differently. In addition, there are limitations in using non-GAAP financial measures because the non-GAAP financial measures are not prepared in accordance with GAAP, may be different from non-GAAP financial measures used by other companies and exclude expenses that may have a material impact on the Company's reported financial results. The presentation of non-GAAP items is meant to supplement, but not substitute for, GAAP financial measures or information. The Company believes the presentation of non-GAAP results in combination with GAAP results provides better transparency to the investment community when analyzing business trends, providing meaningful comparisons with prior period performance and enhancing investors' ability to view the Company's results from management's perspective. A reconciliation of each non-GAAP financial measure to the most directly comparable GAAP measure discussed in this press release is contained in the financial tables at the end of this press release.
About Kulicke & Soffa
Kulicke & Soffa is a global leader in semiconductor assembly technology, advancing device performance across automotive, compute, industrial, memory and communications markets. Founded on innovation in 1951, K&S is uniquely positioned to overcome increasingly dynamic process challenges – creating and delivering long-term value by aligning technology with opportunity.
Caution Concerning Results, Forward-Looking Statements and Certain Risks Related to our Business
In addition to historical statements, this press release contains statements relating to future events and our future results. These statements are "forward-looking" statements within the meaning of the Private Securities Litigation Reform Act of 1995. While these forward-looking statements represent our judgments and future expectations concerning our business, including the importance and competitiveness of our advanced display products and other emerging technology transitions, a number of risks, uncertainties and other important factors could cause actual developments and results to differ materially from our expectations. These factors include, but are not limited to, failures, delays or other problems arising from the negotiations with the applicable works council or trade unions; failures, delays or other problems arising from regulatory or judicial review of the activities concerning the Company's intended cessation of its Electronics Assembly equipment business, the persistent macroeconomic headwinds on our business, actual or potential inflationary pressures, interest rate and risk premium adjustments, falling customer sentiment, or economic recession caused directly or indirectly by geopolitical tensions, our ability to develop, manufacture and gain market acceptance of new products, our ability to operate our business in accordance with our business plan and the other factors listed or discussed in our Annual Report on Form 10-K for the fiscal year ended September 28, 2024, filed on November 14, 2024, and our other filings with the Securities and Exchange Commission. Kulicke and Soffa Industries, Inc. is under no obligation to (and expressly disclaims any obligation to) update or alter its forward-looking statements whether as a result of new information, future events or otherwise.
Contact:
Kulicke and Soffa Industries, Inc.
Joseph Elgindy
Finance
P: +1-215-784-7518
KULICKE AND SOFFA INDUSTRIES, INC. CONSOLIDATED CONDENSED STATEMENTS OF OPERATIONS (In thousands, except per share and employee data) (Unaudited) | |||||||
Three months ended | Nine months ended | ||||||
June 28, 2025 | June 29, 2024 | June 28, 2025 | June 29, 2024 | ||||
Net revenue | $ 148,413 | $ 181,650 | $ 476,523 | $ 524,913 | |||
Cost of sales | 79,170 | 96,920 | 279,812 | 343,816 | |||
Gross profit | 69,243 | 84,730 | 196,711 | 181,097 | |||
Selling, general and administrative | 39,596 | 38,516 | 126,224 | 119,359 | |||
Research and development | 35,741 | 37,937 | 110,769 | 112,451 | |||
Gain relating to cessation of business | — | — | (75,987) | — | |||
Impairment charges | — | — | 39,817 | 44,472 | |||
Operating expenses | 75,337 | 76,453 | 200,823 | 276,282 | |||
(Loss) / Income from operations | (6,094) | 8,277 | (4,112) | (95,185) | |||
Interest income | 6,008 | 8,060 | 17,982 | 26,807 | |||
Interest expense | (32) | (20) | (95) | (60) | |||
(Loss) / Income before income taxes | (118) | 16,317 | 13,775 | (68,438) | |||
Provision for income taxes | 3,171 | 4,053 | 19,941 | 12,685 | |||
Net (loss) / income | $ (3,289) | $ 12,264 | $ (6,166) | $ (81,123) | |||
Net (loss) / income per share: | |||||||
Basic | $ (0.06) | $ 0.22 | $ (0.12) | $ (1.45) | |||
Diluted | $ (0.06) | $ 0.22 | $ (0.12) | $ (1.45) | |||
Cash dividends declared per share | $ 0.205 | $ 0.20 | $ 0.615 | $ 0.60 | |||
Weighted average shares outstanding: | |||||||
Basic | 52,692 | 55,280 | 53,265 | 56,028 | |||
Diluted | 52,692 | 55,724 | 53,265 | 56,028 | |||
Three months ended | Nine months ended | ||||||
Supplemental financial data: | June 28, 2025 | June 29, 2024 | June 28, 2025 | June 29, 2024 | |||
Depreciation and amortization | $ 3,917 | $ 4,944 | $ 13,941 | $ 19,896 | |||
Capital expenditures | 2,733 | 3,266 | $ 7,560 | $ 10,645 | |||
Equity-based compensation expense: | |||||||
Cost of sales | 376 | 315 | 1,146 | 1,037 | |||
Selling, general and administrative | 4,527 | 4,300 | 13,186 | 14,083 | |||
Research and development | 2,189 | 1,748 | 6,394 | 5,332 | |||
Total equity-based compensation | $ 7,092 | $ 6,363 | $ 20,726 | $ 20,452 | |||
As of | |||||||
June 28, 2025 | June 29, 2024 | ||||||
Number of employees | 2,625 | 2,790 | |||||
KULICKE AND SOFFA INDUSTRIES, INC. CONSOLIDATED CONDENSED BALANCE SHEETS (In thousands) (Unaudited) | |||
As of | |||
June 28, 2025 | September 28, 2024 | ||
ASSETS | |||
Current assets | |||
Cash and cash equivalents | $ 246,481 | $ 227,147 | |
Short-term investments | 310,000 | 350,000 | |
Accounts and other receivable, net of allowance for doubtful | 173,839 | 193,909 | |
Inventories, net | 158,330 | 177,736 | |
Prepaid expenses and other current assets | 41,551 | 46,161 | |
Total current assets | 930,201 | 994,953 | |
Property, plant and equipment, net | 59,534 | 64,823 | |
Operating right-of-use assets | 29,266 | 35,923 | |
Goodwill | 69,522 | 89,748 | |
Intangible assets, net | 5,908 | 25,239 | |
Deferred tax assets | 17,827 | 17,900 | |
Equity investments | 6,107 | 3,143 | |
Other assets | 6,531 | 8,433 | |
TOTAL ASSETS | $ 1,124,896 | $ 1,240,162 | |
LIABILITIES AND SHAREHOLDERS' EQUITY | |||
Current liabilities | |||
Accounts payable | $ 52,735 | $ 58,847 | |
Operating lease liabilities | 6,566 | 7,718 | |
Accrued expenses and other current liabilities | 98,928 | 90,802 | |
Income taxes payable | 30,235 | 26,427 | |
Total current liabilities | 188,464 | 183,794 | |
Deferred tax liabilities | 35,812 | 34,594 | |
Income taxes payable | 20,042 | 31,352 | |
Operating lease liabilities | 29,783 | 33,245 | |
Other liabilities | 13,269 | 13,168 | |
TOTAL LIABILITIES | $ 287,370 | $ 296,153 | |
SHAREHOLDERS' EQUITY | |||
Preferred stock, without par value: Authorized 5,000 shares; issued - | $ — | $ — | |
Common stock, without par value: Authorized 200,000 shares; | 612,332 | 596,703 | |
Treasury stock, at cost, 32,990 and 31,510 shares, respectively | (957,392) | (881,830) | |
Retained earnings | 1,203,768 | 1,242,558 | |
Accumulated other comprehensive loss | (21,182) | (13,422) | |
TOTAL SHAREHOLDERS' EQUITY | $ 837,526 | $ 944,009 | |
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | $ 1,124,896 | $ 1,240,162 | |
KULICKE AND SOFFA INDUSTRIES, INC. CONSOLIDATED CONDENSED STATEMENTS OF CASH FLOWS (In thousands) (Unaudited) | |||||||
Three months ended | Nine months ended | ||||||
(in thousands) | June 28, 2025 | June 29, 2024 | June 28, 2025 | June 29, 2024 | |||
Net cash provided by / (used in) | $ 7,380 | $ 26,897 | $ 106,159 | $ (582) | |||
Net cash provided by / (used in) | (17,463) | 36,594 | 26,161 | (20,518) | |||
Net cash used in financing | (32,606) | (55,933) | (114,564) | (141,729) | |||
Effect of exchange rate changes | 2,651 | (389) | 1,578 | 344 | |||
Changes in cash and cash | (40,038) | 7,169 | 19,334 | (162,485) | |||
Cash and cash equivalents, | 286,519 | 359,748 | 227,147 | 529,402 | |||
Cash and cash equivalents, end | $ 246,481 | $ 366,917 | $ 246,481 | $ 366,917 | |||
Short-term investments | 310,000 | 235,000 | 310,000 | 235,000 | |||
Total cash, cash equivalents and | $ 556,481 | $ 601,917 | $ 556,481 | $ 601,917 | |||
Reconciliation of U.S. GAAP to Non-GAAP Income from Operations and Operating Margin (In thousands, except percentages) (Unaudited) | ||||||
Three months ended | ||||||
June 28, 2025 | June 29, 2024 | March 29, 2025 | ||||
Net revenue | $ 148,413 | $ 181,650 | $ 161,986 | |||
U.S. GAAP (loss) / income from operations | (6,094) | 8,277 | (84,667) | |||
U.S. GAAP operating margin | (4.1) % | 4.6 % | (52.3) % | |||
Pre-tax non-GAAP items: | ||||||
Amortization related to intangible assets | 308 | 1,250 | 1,171 | |||
Restructuring | 287 | — | 8,806 | |||
Equity-based compensation | 7,092 | 6,363 | 7,493 | |||
Impairment charges | — | — | 39,817 | |||
Non-GAAP income / (loss) from operations | $ 1,593 | $ 15,890 | $ (27,380) | |||
Non-GAAP operating margin | 1.1 % | 8.7 % | (16.9) % | |||
Reconciliation of U.S. GAAP Net Income to Non-GAAP Net Income and Non-GAAP Net Margin and U.S. GAAP net income per share to Non-GAAP net income per share (In thousands, except percentages and per share data) (Unaudited) | |||||||
Three months ended | |||||||
June 28, 2025 | June 29, 2024 | March 29, 2025 | |||||
Net revenue | $ 148,413 | $ 181,650 | $ 161,986 | ||||
U.S. GAAP net (loss) / income | (3,289) | 12,264 | (84,519) | ||||
U.S. GAAP net margin | (2.2) % | 6.8 % | (52.2) % | ||||
Non-GAAP adjustments: | |||||||
Amortization related to intangible assets | 308 | 1,250 | 1,171 | ||||
Restructuring | 287 | — | 8,806 | ||||
Equity-based compensation | 7,092 | 6,363 | 7,493 | ||||
Impairment charges | — | — | 39,817 | ||||
Net income tax benefit on non-GAAP items | (626) | (568) | (639) | ||||
Total non-GAAP adjustments | $ 7,061 | $ 7,045 | $ 56,648 | ||||
Non-GAAP net income / (loss) | $ 3,772 | $ 19,309 | $ (27,871) | ||||
Non-GAAP net margin | 2.5 % | 10.6 % | (17.2) % | ||||
U.S. GAAP net (loss) / income per share: | |||||||
Basic | $ (0.06) | $ 0.22 | $ (1.59) | ||||
Diluted(a) | $ (0.06) | $ 0.22 | $ (1.59) | ||||
Non-GAAP adjustments per share:(b) | |||||||
Basic | $ 0.13 | $ 0.13 | $ 1.07 | ||||
Diluted | $ 0.13 | $ 0.13 | $ 1.07 | ||||
Non-GAAP net income / (loss) per share: | |||||||
Basic | $ 0.07 | $ 0.35 | $ (0.52) | ||||
Diluted(c) | $ 0.07 | $ 0.35 | $ (0.52) | ||||
Weighted average shares outstanding: | |||||||
Basic | 52,692 | 55,280 | 53,311 | ||||
Diluted | 52,866 | 55,724 | 53,311 | ||||
(a) | GAAP diluted net earnings per share reflects any dilutive effect of outstanding restricted stock, but that effect is excluded when calculating GAAP diluted net loss per share because it would be anti-dilutive. |
(b) | Non-GAAP adjustments per share include amortization related to intangible assets acquired through business combinations, costs associated with restructuring and severance, equity-based compensation expenses, impairment relating to assets acquired through business combinations, long-lived asset impairment relating to business cessation or disposal, gain relating to disposal or cessation of business, and income tax effects associated with the foregoing non-GAAP items. |
(c) | Non-GAAP diluted net earnings per share reflects any dilutive effect of outstanding restricted stock, but that effect is excluded when calculating Non-GAAP diluted net loss per share because it would be anti-dilutive. |
Reconciliation of U.S. GAAP Cash provided by Operating Activities to Non-GAAP Adjusted Free Cash Flow (In thousands, except percentages) (unaudited) | |||||||
Three months ended | |||||||
June 28, 2025 | June 29, 2024 | March 29, 2025 | |||||
U.S. GAAP net cash provided by operating | $ 7,380 | $ 26,897 | $ 79,877 | ||||
Purchases of property, plant and equipment | (2,090) | (2,683) | (1,954) | ||||
Proceeds from sales of property, plant and | 147 | — | 60 | ||||
Non-GAAP adjusted free cash flow | $ 5,437 | $ 24,214 | $ 77,983 | ||||
Reconciliation of U.S. GAAP to Non-GAAP Outlook (In millions, except per share data) (Unaudited) | ||||||
Fourth quarter of fiscal 2025 ending October 4, 2025 | ||||||
GAAP Outlook | Adjustments | Non-GAAP Outlook | ||||
Net revenue | $170 million +/- $10 million | — | $170 million +/- $10 million | |||
Operating expenses | $75.5 million +/- 2% | $7.5 million B,C | $68.0 million +/- 2% | |||
Diluted EPS(1) | $0.08 +/- 10%% | $0.14 A, B, C, D | $0.22 +/- 10% | |||
Non-GAAP Adjustments | ||||||
A. Equity-based compensation - Cost of sales | 0.4 | |||||
B. Equity-based compensation - Selling, general and administrative and Research and | 7.2 | |||||
C. Amortization related to intangible assets | 0.3 | |||||
D. Net income tax effect of the above items | (0.6) | |||||
(1) GAAP and non-GAAP diluted EPS based on approximately 52.0 million diluted weighted average shares outstanding. |
The tables above reconcile our GAAP to non-GAAP guidance based on the current outlook. The guidance does not incorporate the impact of any potential business combinations, divestitures, restructuring activities, strategic investments and other significant transactions. The timing and impact of such items are dependent on future events that may be uncertain or outside of our control.
SOURCE Kulicke & Soffa Industries, Inc.
| Aug-06 | |
| Aug-06 | |
| Aug-06 | |
| Aug-06 | |
| Aug-05 | |
| Aug-04 | |
| Jul-31 | |
| Jul-24 | |
| Jul-22 | |
| Jul-18 | |
| Jul-14 | |
| Jul-11 | |
| Jul-10 | |
| Jul-10 | |
| Jul-09 |
Join thousands of traders who make more informed decisions with our premium features. Real-time quotes, advanced visualizations, backtesting, and much more.
Learn more about FINVIZ*Elite
