ACLS Axcelis Technologies Inc

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

FORM 8-K

 

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

 

Date of Report (Date of earliest event reported): February 10, 2025

 

Axcelis Technologies, Inc.

(Exact name of registrant as specified in its charter)

 

Delaware		000-30941		34-1818596
(State or other jurisdiction		(Commission		(IRS Employer
of incorporation)		File Number)		Identification No.)

 

108 Cherry Hill Drive, Beverly, Massachusetts		01915
(Address of principal executive offices)		(Zip Code)

 

Registrant’s telephone number, including area code: (978) 787-4000

 

(Former name or former address, if changed since last report.)

 

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2.):

 

¨	Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

¨	Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

¨	Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

¨	Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

 

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

 

Emerging growth company ¨

 

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ¨

 

Securities registered pursuant to Section 12(b) of the Act:

 

Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Common Stock, par value $0.001 per share	ACLS	NASDAQ Global Select Market

 

 

Item 2.02 Results of Operations and Financial Condition

 

On February 10, 2025, Axcelis Technologies, Inc. (the “Company”) issued a press release regarding its financial results for its quarter and year ended December 31, 2024. The Company’s press release is attached as Exhibit 99.1 to this Current Report on Form 8-K and incorporated by reference herein.

 

Item 9.01 Financial Statements and Exhibits.

 

Exhibit No.		Description
99.1		Press Release dated February 10, 2025. Filed herewith
104		Cover Page Interactive Data File (embedded within the Inline XBRL document)

 

 

SIGNATURE

 

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

 

Date: February 10, 2025	Axcelis Technologies, Inc.
	By:	/s/ James Coogan
		James Coogan
		Executive Vice President
		and Chief Financial Officer

 

 

 

Exhibit 99.1

 

 

 

Axcelis Announces Financial Results for Fourth Quarter and Full Year 2024

 

Q4 Highlights:

 

	·	Revenue of $252.4 million
	·	Operating Margin of 21.6%
	·	Diluted earnings per share of $1.54

 

BEVERLY, Mass.— Feb. 10, 2025—Axcelis Technologies, Inc. (Nasdaq: ACLS) today announced financial results for the fourth quarter and full year ended December 31, 2024.

 

For the full year 2024, the Company reported revenue of $1.02 billion, compared with $1.13 billion for the full year 2023. Systems revenue for the year was $782.6 million, compared to $883.6 million in 2023. Operating profit was $210.8 million in 2024, compared to $265.8 million in 2023. Net income for the year was $201 million with diluted earnings per share of $6.15, compared to net income of $246.3 million and diluted earnings per share of $7.43 in 2023. Gross margin for the year was 44.7%, compared to 43.5% in 2023.

 

The Company reported fourth quarter revenue of $252.4 million, compared to $256.6 million for the third quarter of 2024. Gross margin for the quarter was 46.0%, compared to 42.9% in the third quarter. Operating profit for the quarter was $54.5 million, compared to $46.9 million for the third quarter. Net income for the quarter was $50 million, or $1.54 per diluted share, compared to $48.6 million, or $1.49 per diluted share in the third quarter.

 

President and CEO Russell Low commented, “Axcelis exited the year on a strong note, with fourth quarter revenue and profitability exceeding our expectations. As we look ahead to 2025, we anticipate a near term cyclical digestion period, as customers absorb the robust investments they’ve made into mature node capacity over the past few years – particularly in China. We are focused on capturing the long-term growth opportunities that lie ahead by investing in product innovation, managing our costs, and working closely with customers on their technology roadmaps – all of which will put us in an even stronger position for the next upturn.”

 

Executive Vice President and Chief Financial Officer Jamie Coogan said, “We are pleased with our financial execution in 2024. Despite a decline in revenue, we were able to deliver higher gross margins, generate solid free cash flow, return capital to shareholders via buyback, and exit the year with a stronger balance sheet that allows us to invest during this cyclical digestion period and drive long term value creation.”

 

 

 

 

Business Outlook

 

For the first quarter ending March 31, 2025, Axcelis expects revenues of approximately $185 million, and earnings per diluted share of approximately $0.38.

 

Fourth Quarter and Full Year 2024 Conference Call

 

The Company will host a call to discuss the results for the fourth quarter and full year 2024 on Tuesday, February 11, 2025, 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.vevent.com/register/BIb4b94bbc1cf744869eeb20b9a9be88a7
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 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, Investor Relations and Corporate Strategy

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								Twelve months ended
		December 31,								December 31,
		2024				2023				2024				2023
Revenue:
Product		$	241,254			$	300,603			$	976,881			$	1,095,650
Services			11,163				9,685				40,984				34,954
Total revenue			252,417				310,288				1,017,865				1,130,604
Cost of revenue:
Product			125,402				163,801				524,451				608,112
Services			10,792				8,591				38,760				31,191
Total cost of revenue			136,194				172,392				563,211				639,303
Gross profit			116,223				137,896				454,654				491,301
Operating expenses:
Research and development			27,654				24,911				105,497				96, 907
Sales and marketing			16,563				16,659				68,046				62,805
General and administrative			17,475				17,275				70,317				65,794
Total operating expenses			61,692				58,845				243,860				225,506
Income from operations			54,531				79,051				210,794				265,795
Other income (expense):
Interest income			6,277				5,375				24,403				18,199
Interest expense			(1,444	)			(1,320	)			(5,462	)			(5,347	)
Other, net			(719	)			4,300				539				(48	)
Total other income			4,114				8,355				19,480				12,804
Income before income taxes			58,645				87,406				230,274				278,599
Income tax provision			8,689				16,350				29,282				32,336
Net income		$	49,956			$	71,056			$	200,992			$	246,263
Net income per share:
Basic		$	1.54			$	2.17			$	6.17			$	7.52
Diluted		$	1.54			$	2.15			$	6.15			$	7.43
Shares used in computing net income per share:
Basic weighted average shares of common stock			32,424				32,708				32,552				32,758
Diluted weighted average shares of common stock			32,514				33,031				32,704				33,165

 

 

 

 

Axcelis Technologies, Inc.

Consolidated Balance Sheets

(In thousands, except per share amounts)

(Unaudited)

 

		December 31,				December 31,
		2024				2023
ASSETS
Current assets:
Cash and cash equivalents		$	123,512			$	167,297
Short-term investments			447,831				338,851
Accounts receivable, net			203,149				217,964
Inventories, net			282,225				306,482
Prepaid income taxes			6,420				—
Prepaid expenses and other current assets			60,471				49,397
Total current assets			1,123,608				1,079,991
Property, plant and equipment, net			53,784				53,971
Operating lease assets			29,621				30,716
Finance lease assets, net			15,346				16,632
Long-term restricted cash			7,552				6,654
Deferred income taxes			68,277				53,428
Other assets			50,593				40,575
Total assets		$	1,348,781			$	1,281,967
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable		$	46,928			$	54,400
Accrued compensation			25,536				31,445
Warranty			13,022				14,098
Income taxes			—				6,164
Deferred revenue			94,673				164,677
Current portion of finance lease obligation			1,345				1,511
Other current liabilities			26,018				12,834
Total current liabilities			207,522				285,129
Long-term finance lease obligation			42,329				43,674
Long-term deferred revenue			43,501				46,208
Other long-term liabilities			42,639				42,074
Total liabilities			335,991				417,085
Stockholders’ equity:
Common stock, $0.001 par value, 75,000 shares authorized; 32,365 shares issued and outstanding at December 31, 2024; 32,685 shares issued and outstanding at December 31, 2023			32				33
Additional paid-in capital			548,654				547,189
Retained earnings			470,318				319,506
Accumulated other comprehensive loss			(6,214	)			(1,846	)
Total stockholders’ equity			1,012,790				864,882
Total liabilities and stockholders’ equity		$	1,348,781			$	1,281,967

 

 

 

 

Axcelis Technologies, Inc.

Condensed Consolidated Statements of Cash Flows

(In thousands)

(Unaudited)

 

		Three months ended								Twelve months ended
		December 31,								December 31,
		2024				2023				2024				2023
Cash flows from operating activities
Net income		$	49,956			$	71,056			$	200,992			$	246,263
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization			4,267				3,581				15,809				13,069
Stock-based compensation expense			5,380				5,239				20,951				18,269
Other			(442	)			(14,565	)			(11,532	)			(23,503	)
Change in operating assets and liabilities, net			(46,381	)			264				(85,402	)			(97,229	)
Net cash provided by operating activities			12,780				65,575				140,818				156,869
Cash flows from investing activities
Expenditures for property, plant and equipment and capitalized software			(4,658	)			(10,153	)			(12,181	)			(20,656	)
Other changes in investing activities, net			13,779				(16,526	)			(96,545	)			(80,202	)
Net cash provided by (used in) investing activities			9,121				(26,679	)			(108,726	)			(100,858	)
Cash flows from financing activities
Repurchase of common stock			(15,131	)			(15,001	)			(60,489	)			(52,499	)
Other changes from financing activities, net			588				(22	)			(10,703	)			(15,769	)
Net cash used in financing activities			(14,543	)			(15,023	)			(71,192	)			(68,268	)
Effect of exchange rate changes on cash and cash equivalents			(3,013	)			1,128				(3,787	)			(139	)
Net increase (decrease) in cash, cash equivalents and restricted cash			4,345				25,001				(42,887	)			(12,396	)
Cash, cash equivalents and restricted cash at end of period		$	131,064			$	173,951			$	131,064			$	173,951

 

 

v3.25.0.1

Cover	Feb. 10, 2025
Cover [Abstract]
Document Type	8-K
Amendment Flag	false
Document Period End Date	Feb. 10, 2025
Entity File Number	000-30941
Entity Registrant Name	Axcelis Technologies, Inc.
Entity Central Index Key	0001113232
Entity Tax Identification Number	34-1818596
Entity Incorporation, State or Country Code	DE
Entity Address, Address Line One	108 Cherry Hill Drive
Entity Address, City or Town	Beverly
Entity Address, State or Province	MA
Entity Address, Postal Zip Code	01915
City Area Code	978
Local Phone Number	787-4000
Written Communications	false
Soliciting Material	false
Pre-commencement Tender Offer	false
Pre-commencement Issuer Tender Offer	false
Title of 12(b) Security	Common Stock, par value $0.001 per share
Trading Symbol	ACLS
Security Exchange Name	NASDAQ
Entity Emerging Growth Company	false

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