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Published: 2024-02-07 00:00:00 ET
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EX-99.1 2 tm245218d1_ex99-1.htm EXHIBIT 99.1

Exhibit 99.1

 

 

News Release

 

Axcelis Announces Financial Results for Fourth Quarter and Full Year 2023

 

Record Revenue for 2023, Achieving Year-Over-Year Growth of 23%

 

BEVERLY, Mass. — Feb. 7, 2024—Axcelis Technologies, Inc. (Nasdaq: ACLS) today announced financial results for the fourth quarter and full year ended December 31, 2023.

 

Highlights include:

 

  · Record full year revenue, operating profit and EPS, enabling the Company to surpass its $1.1 billion revenue model.

 

  · Continued strong growth from the Purion Power Series™ product line.

 

  · Significant increase in Purion™ installed base drove record CS&I revenue.

 

  · Year-end systems backlog of $1.2 billion.

 

For the full year 2023, the Company reported revenue of $1.13 billion, compared with $920 million for the full year 2022, an increase of 23% and a company record. Systems revenue for the year was $883.6 million, compared to $692.1 million in 2022, an increase of 28%, also a company record. Operating profit was $265.8 million in 2023, compared to $212.4 million in 2022, a 25% increase and a company record. Net income for the year was $246.3 million with diluted earnings per share of $7.43, compared to net income of $183.1 million and diluted earnings per share of $5.46 in 2022, resulting in a 35% net income year over year increase. Gross margin for the year was 43.5%, compared to 43.7% in 2022.

 

The Company reported fourth quarter revenue of $310.3 million, compared to $292.3 million for the third quarter of 2023. Operating profit for the quarter was $79.1 million, compared to $71.7 million for the third quarter. Net income for the quarter was $71.1 million, or $2.15 per diluted share, compared to $65.9 million, or $1.99 per diluted share in the third quarter. Gross margin for the quarter was 44.4%, unchanged from the third quarter. The fourth quarter ended with bookings of $235.5 million and a systems backlog of $1.2 billion.

 

President and CEO Russell Low commented, “2023 was another outstanding year for Axcelis. As a result of strong execution by the Axcelis team and robust demand for the Purion Power Series product family, we achieved 23% year-over-year revenue growth during an industry downturn. We have developed a large and diverse customer base in the power market, and we continue to win business from new customers as well as expand our product footprint with existing customers. We believe that the mature process technology and memory segments, two markets in which Axcelis is well-positioned, will recover in the second half of the year, enabling strong growth in 2025.”

 

 

 

 

 

News Release

 

Executive Vice President and Chief Financial Officer Jamie Coogan said, “We are extremely pleased with our 2023 results, and excited about our future growth. Our revenue and earnings per share finished above our revised guidance, and we ended the quarter with robust cash flow and a strong balance sheet. As we look to 2024, we will continue to make investments in R&D while managing expenses, setting us up to achieve our $1.3 billion revenue model in 2025.”

 

Business Outlook
For the first quarter ending March 31, 2024, Axcelis expects revenues of approximately $242 million. First quarter operating profit is forecast to be approximately $45 million with earnings per diluted share of around $1.22. Gross margin in the first quarter is expected to be approximately 43.5%, and for the full year we expect it to improve year over year but could fluctuate quarter to quarter. We expect full year 2024 revenue to be similar to 2023, with revenue weighted toward the second half.

 

Fourth Quarter and Full Year 2023 Conference Call
The Company will release financial results for the fourth quarter and full year 2023 on Wednesday, February 7, 2024, at 4:00 p.m. Eastern Time (ET). The Company will host a call to discuss the results for the fourth quarter and full year 2023 on Thursday, February 8, 2024, 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://edge.media-server.com/mmc/p/su3u4oev. 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.

 

 

 

 

 

News Release

 

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.

 

Company Contacts

 

Investor Relations:

Doug Lawson
978.787.9552

 

Editorial/Media:

Maureen Hart
978.787.4266

 

 

 

 

 

News Release

 

Axcelis Technologies, Inc.

Consolidated Statements of Operations

(In thousands, except per share amounts)

(Unaudited)

 

   Three months ended   Twelve months ended 
   December 31,   December 31, 
   2023   2022   2023   2022 
Revenue:                
Product  $300,603   $258,584   $1,095,650   $890,582 
Services   9,685    7,467    34,954    29,416 
Total revenue   310,288    266,051    1,130,604    919,998 
Cost of revenue:                    
Product   163,801    149,717    608,112    492,104 
Services   8,591    6,813    31,191    26,104 
Total cost of revenue   172,392    156,530    639,303    518,208 
Gross profit   137,896    109,521    491,301    401,790 
Operating expenses:                    
Research and development   24,911    22,089    96,907    78,356 
Sales and marketing   16,659    15,032    62,805    53,599 
General and administrative   17,275    16,311    65,794    57,474 
Total operating expenses   58,845    53,432    225,506    189,429 
Income from operations   79,051    56,089    265,795    212,361 
Other income (expense):                    
Interest income   5,375    2,993    18,199    4,551 
Interest expense   (1,320)   (1,475)   (5,347)   (5,576)
Other, net   4,300    8,189    (48)   (6,451)
Total other income (expense)   8,355    9,707    12,804    (7,476)
Income before income taxes   87,406    65,796    278,599    204,885 
Income tax provision   16,350    8,804    32,336    21,806 
Net income  $71,056   $56,992   $246,263   $183,079 
Net income per share:                    
Basic  $2.17   $1.74   $7.52   $5.54 
Diluted  $2.15   $1.71   $7.43   $5.46 
Shares used in computing net income per share:                    
Basic weighted average shares of common stock   32,708    32,823    32,758    33,043 
Diluted weighted average shares of common stock   33,031    33,262    33,165    33,542 

 

 

 

 

 

News Release

 

Axcelis Technologies, Inc.

Consolidated Balance Sheets

(In thousands, except per share amounts)

(Unaudited)

 

   December 31,   December 31, 
   2023   2022 
ASSETS
Current assets:          
Cash and cash equivalents  $167,297   $185,595 
Short-term investments   338,851    246,571 
Accounts receivable, net   217,964    169,773 
Inventories, net   306,482    242,406 
Prepaid expenses and other current assets   49,397    33,300 
Total current assets   1,079,991    877,645 
Property, plant and equipment, net   53,971    39,664 
Operating lease assets   30,716    12,146 
Finance lease assets, net   16,632    17,942 
Long-term restricted cash   6,654    752 
Deferred income taxes   53,428    31,701 
Other assets   40,575    33,791 
Total assets  $1,281,967   $1,013,641 
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:          
Accounts payable  $54,400   $62,346 
Accrued compensation   31,445    35,540 
Warranty   14,098    8,299 
Income taxes   6,164    4,304 
Deferred revenue   164,677    123,471 
Current portion of finance lease obligation   1,511    1,229 
Other current liabilities   12,834    12,943 
Total current liabilities   285,129    248,132 
Long-term finance lease obligation   43,674    45,185 
Long-term deferred revenue   46,208    31,306 
Other long-term liabilities   42,074    21,762 
Total liabilities   417,085    346,385 
           
Stockholders’ equity:          
Common stock, $0.001 par value, 75,000 shares authorized; 32,685 shares issued and outstanding at December 31, 2023; 32,775 shares issued and outstanding at December 31, 2022   33    33 
Additional paid-in capital   547,189    550,299 
Retained earnings   319,506    118,892 
Accumulated other comprehensive loss   (1,846)   (1,968)
Total stockholders’ equity   864,882    667,256 
Total liabilities and stockholders’ equity  $1,281,967   $1,013,641