AXT, Inc. Announces First Quarter 2024 Financial Results
2024年5月3日 - 5:05AM
AXT, Inc. (NasdaqGS: AXTI), a leading manufacturer of compound
semiconductor wafer substrates, today reported financial results
for the first quarter, ended March 31, 2024.
Management Qualitative
Comments
“We are pleased with our first quarter results,”
said Morris Young, chief executive officer. “We exceeded our Q1
revenue and profitability guidance, delivering 11 percent
sequential growth in our revenues and 54 percent sequential
improvement in our non-GAAP net income. Across our product lines,
new catalysts, such as artificial intelligence, are providing
exciting incremental opportunities for advanced compound
semiconductor materials. We understand from our customers that our
indium phosphide substrates are currently being utilized for
high-speed optical components for artificial intelligence
interconnects and we are working closely with a number of customers
building next-generation lasers for use in data center
transceivers. As we look ahead, we remain steadfastly focused on
business efficiency and accelerating our return to
profitability.”
First Quarter 2024 Results
- Revenue for the first quarter of
2024 was $22.7 million, compared with $20.4 million for the fourth
quarter of 2023 and $19.4 million for the first quarter of
2023.
- GAAP gross margin was 26.9 percent
of revenue for the first quarter of 2024, compared with 22.6
percent of revenue for the fourth quarter of 2023 and 26.3 percent
for the first quarter of 2023.
- Non-GAAP gross margin, after
excluding charges for stock-based compensation, was 27.3 percent of
revenue for the first quarter of 2024, compared with 23.2 percent
of revenue for the fourth quarter of 2023 and 26.9 percent for the
first quarter of 2023.
- GAAP operating expenses were $9.4
million for the first quarter of 2024, compared with $8.2 million
for the fourth quarter of 2023 and $9.5 million for the first
quarter of 2023.
- Non-GAAP operating expenses were
$8.7 million for the first quarter of 2024, compared with $7.5
million for the fourth quarter of 2023 and $8.7 million for the
first quarter of 2023.
- GAAP operating loss for the first
quarter of 2024 was an operating loss of ($3.3) million, compared
with an operating loss of ($3.6) million for the fourth quarter of
2023 and an operating loss of ($4.4) million for the first quarter
of 2023.
- Non-GAAP operating loss for the
first quarter of 2024 was an operating loss of ($2.5) million,
compared with an operating loss of ($2.7) million for the fourth
quarter of 2023 and an operating loss of ($3.5) million for the
first quarter of 2023.
- Non-operating income and expense,
taxes and minority interest for the first quarter of 2024 was a net
gain of $1.3 million, compared with a net loss of ($0.1) million in
the fourth quarter of 2023 and a net gain of $1.1 million for the
first quarter of 2023.
- GAAP net loss, after minority
interests, for the first quarter of 2024 was a net loss of ($2.1)
million, or ($0.05) per share, compared with a net loss of ($3.6)
million or ($0.09) per share for the fourth quarter of 2023 and a
net loss of ($3.3) million or ($0.08) per share for the first
quarter of 2023.
- Non-GAAP net loss in the first
quarter of 2024 was a net loss of ($1.3) million, or ($0.03) per
share, compared with a net loss of ($2.8) million or ($0.07) per
share in the fourth quarter of 2023 and a net loss of ($2.4)
million or ($0.06) per share for the first quarter of 2023.
STAR Market Listing Update
On January 10, 2022, AXT announced that Beijing
Tongmei Xtal Technology Co., Ltd. (“Tongmei”), its subsidiary in
Beijing, China, submitted to the Shanghai Stock Exchange (the
“SSE”) its application to list its shares in an initial public
offering (the “IPO”) on the SSE’s Sci-Tech innovAtion boaRd (the
“STAR Market”) and the application was accepted for review.
Subsequently, Tongmei responded to several rounds of questions
received from the SSE. On July 12, 2022, the SSE approved the
listing of Tongmei’s shares in an IPO on the STAR Market. On August
1, 2022, the China Securities Regulatory Commission (the “CSRC”)
accepted for review Tongmei’s IPO application. The STAR Market IPO
remains subject to review and approval by the CSRC and other
authorities. The process of going public on the STAR Market
includes several periods of review and, therefore, is a lengthy
process. Subject to review and approval by the CSRC and other
authorities, Tongmei hopes to accomplish this goal in the coming
months. AXT has posted a brief summary of the plan and the process
on its website at http://www.axt.com.
Conference Call
The company will host a conference call to
discuss these results today at 1:30 p.m. PT. The conference call
can be accessed at (800) 715-9871 (passcode 4378083). The call will
also be simulcast at www.axt.com. Replays will be available at
(800) 770-2030 (passcode 4378083) until May 16, 2024. Financial and
statistical information to be discussed in the call will be
available on the company’s website immediately prior to
commencement of the call. Additional investor information can be
accessed at http://www.axt.com or by calling the company’s Investor
Relations Department at (510) 438-4700.
About AXT, Inc.
AXT is a material science company that develops
and manufactures high-performance compound and single element
semiconductor substrate wafers comprising indium phosphide (InP),
gallium arsenide (GaAs) and germanium (Ge). The company’s wafer
substrates are used when a typical silicon wafer substrate cannot
meet the performance requirements of a semiconductor or
optoelectronic device. End markets include 5G infrastructure, data
center connectivity (silicon photonics), passive optical networks,
LED lighting, lasers, sensors, power amplifiers for wireless
devices and satellite solar cells. AXT’s worldwide headquarters are
in Fremont, California where the company maintains sales,
administration and customer service functions. AXT has its Asia
headquarters in Beijing, China and manufacturing facilities in
three separate locations in China. In addition, as part of its
supply chain strategy, the company has partial ownership in more
than ten companies in China producing raw materials and consumables
for its manufacturing process. For more information, see AXT’s
website at http://www.axt.com.
Safe Harbor Statement
The foregoing paragraphs contain forward-looking
statements within the meaning of the Federal securities laws,
including, for example, statements regarding the timing and
completion of the proposed listing of shares of Tongmei on the STAR
Market. Additional examples of forward-looking statements include
statements regarding the market demand for our products, our
product mix, our growth prospects and opportunities for continued
business expansion, including technology trends, new applications
and the ramping of Tier-1 customers, our market opportunity, our
ability to lead our industry, our relocation, our expectations with
respect to our business prospects and financial results, including
our gross margin performance, and our development of larger
diameter substrates that we believe will enable the next generation
of technology innovation across a number of end-markets. These
forward-looking statements are based upon assumptions that are
subject to uncertainties and factors relating to the company’s
operations and business environment, which could cause actual
results to differ materially from those expressed or implied in the
forward-looking statements contained in the foregoing discussion.
These uncertainties and factors include but are not limited to: the
requests for redemptions by private equity funds in China of
investments in Tongmei, the administrative challenges in satisfying
the requirements of various government agencies in China in
connection with the listing of shares of Tongmei on the STAR
Market, continued open access to companies to list shares on the
STAR Market, investor enthusiasm for new listings of shares on the
STAR Market and geopolitical tensions between China and the United
States. Additional uncertainties and factors include, but are not
limited to: the timing and receipt of significant orders; the
cancellation of orders and return of product; emerging applications
using chips or devices fabricated on our substrates; end-user
acceptance of products containing chips or devices fabricated on
our substrates; our ability to bring new products to market;
product announcements by our competitors; the ability to control
costs and improve efficiency; the ability to utilize our
manufacturing capacity; product yields and their impact on gross
margins; the relocation of manufacturing lines and ramping of
production; possible factory shutdowns as a result of air pollution
in China or COVID-19; COVID-19 or other outbreaks of a contagious
disease; tariffs and other trade war issues; the financial
performance of our partially owned supply chain companies; policies
and regulations in China; and other factors as set forth in the
company’s Annual Report on Form 10-K, quarterly reports on Form
10-Q and other filings made with the Securities and Exchange
Commission. Each of these factors is difficult to predict and many
are beyond the company’s control. The company does not undertake
any obligation to update any forward-looking statement, as a result
of new information, future events or otherwise.
FINANCIAL TABLES TO FOLLOW
|
AXT, INC. |
CONDENSED CONSOLIDATED STATEMENTS OF
OPERATIONS |
(Unaudited, in thousands, except per share
data) |
|
|
|
Three Months Ended |
|
|
March 31, |
|
|
2024 |
|
2023 |
|
|
|
|
|
|
|
Revenue |
|
$ |
22,688 |
|
|
$ |
19,405 |
|
Cost of revenue |
|
|
16,594 |
|
|
|
14,295 |
|
Gross profit |
|
|
6,094 |
|
|
|
5,110 |
|
Operating expenses: |
|
|
|
|
|
|
Selling, general and administrative |
|
|
6,227 |
|
|
|
5,952 |
|
Research and development |
|
|
3,214 |
|
|
|
3,595 |
|
Total operating expenses |
|
|
9,441 |
|
|
|
9,547 |
|
Loss from operations |
|
|
(3,347 |
) |
|
|
(4,437 |
) |
Interest expense, net |
|
|
(349 |
) |
|
|
(397 |
) |
Equity in income of
unconsolidated joint ventures |
|
|
890 |
|
|
|
1,034 |
|
Other income, net |
|
|
1,032 |
|
|
|
282 |
|
Loss before provision for
income taxes |
|
|
(1,774 |
) |
|
|
(3,518 |
) |
Provision for income
taxes |
|
|
274 |
|
|
|
148 |
|
Net loss |
|
|
(2,048 |
) |
|
|
(3,666 |
) |
Less: Net (income) loss attributable to noncontrolling interests
and redeemable noncontrolling interests |
|
|
(35 |
) |
|
|
318 |
|
Net loss attributable to AXT,
Inc. |
|
$ |
(2,083 |
) |
|
$ |
(3,348 |
) |
Net loss attributable to
AXT, Inc. per common share: |
|
|
|
|
|
|
Basic |
|
$ |
(0.05 |
) |
|
$ |
(0.08 |
) |
Diluted |
|
$ |
(0.05 |
) |
|
$ |
(0.08 |
) |
Weighted-average number of
common shares outstanding: |
|
|
|
|
|
|
Basic |
|
|
42,987 |
|
|
|
42,498 |
|
Diluted |
|
|
42,987 |
|
|
|
42,498 |
|
AXT, INC. |
CONDENSED CONSOLIDATED BALANCE SHEETS |
(Unaudited, in thousands) |
|
|
|
March 31, |
|
December 31, |
|
|
2024 |
|
2023 |
|
|
|
|
|
|
|
ASSETS |
|
|
|
|
|
|
Current assets: |
|
|
|
|
|
|
Cash and cash equivalents |
|
$ |
25,793 |
|
|
$ |
37,752 |
|
Restricted cash |
|
|
13,807 |
|
|
|
12,362 |
|
Short-term investments |
|
|
1,667 |
|
|
|
2,140 |
|
Accounts receivable, net |
|
|
25,058 |
|
|
|
19,256 |
|
Inventories |
|
|
85,943 |
|
|
|
86,503 |
|
Prepaid expenses and other current assets |
|
|
11,474 |
|
|
|
12,643 |
|
Total current assets |
|
|
163,742 |
|
|
|
170,656 |
|
Property, plant and equipment,
net |
|
|
163,122 |
|
|
|
166,348 |
|
Operating lease right-of-use
assets |
|
|
2,657 |
|
|
|
2,799 |
|
Other assets |
|
|
19,443 |
|
|
|
18,898 |
|
Total assets |
|
$ |
348,964 |
|
|
$ |
358,701 |
|
LIABILITIES,
REDEEMABLE NONCONTROLLING INTERESTS AND STOCKHOLDERS’
EQUITY |
|
|
|
|
|
|
Current liabilities: |
|
|
|
|
|
|
Accounts payable |
|
$ |
10,262 |
|
|
$ |
9,617 |
|
Accrued liabilities |
|
|
12,697 |
|
|
|
19,019 |
|
Short-term loans |
|
|
49,048 |
|
|
|
52,921 |
|
Total current liabilities |
|
|
72,007 |
|
|
|
81,557 |
|
Noncurrent operating lease
liabilities |
|
|
2,211 |
|
|
|
2,351 |
|
Other long-term
liabilities |
|
|
9,655 |
|
|
|
5,647 |
|
Total liabilities |
|
|
83,873 |
|
|
|
89,555 |
|
|
|
|
|
|
|
|
Redeemable noncontrolling
interests |
|
|
40,581 |
|
|
|
41,663 |
|
|
|
|
|
|
|
|
Stockholders’ equity: |
|
|
|
|
|
|
Preferred stock |
|
|
3,532 |
|
|
|
3,532 |
|
Common stock |
|
|
44 |
|
|
|
44 |
|
Additional paid-in capital |
|
|
239,257 |
|
|
|
238,452 |
|
Accumulated deficit |
|
|
(34,123 |
) |
|
|
(32,040 |
) |
Accumulated other comprehensive loss |
|
|
(7,626 |
) |
|
|
(5,999 |
) |
Total AXT, Inc. stockholders’ equity |
|
|
201,084 |
|
|
|
203,989 |
|
Noncontrolling interests |
|
|
23,426 |
|
|
|
23,494 |
|
Total stockholders’ equity |
|
|
224,510 |
|
|
|
227,483 |
|
Total liabilities, redeemable noncontrolling interests and
stockholders’ equity |
|
$ |
348,964 |
|
|
$ |
358,701 |
|
AXT, INC. |
Reconciliation of Statements of Operations Under GAAP and
Non-GAAP |
(Unaudited, in thousands) |
|
|
|
Three Months Ended |
|
|
March 31, |
|
|
2024 |
|
2023 |
GAAP gross profit |
|
$ |
6,094 |
|
|
$ |
5,110 |
|
Stock-based compensation
expense |
|
|
105 |
|
|
|
106 |
|
Non-GAAP gross profit |
|
$ |
6,199 |
|
|
$ |
5,216 |
|
|
|
|
|
|
|
|
GAAP operating expenses |
|
$ |
9,441 |
|
|
$ |
9,547 |
|
Stock-based compensation
expense |
|
|
704 |
|
|
|
809 |
|
Non-GAAP operating
expenses |
|
$ |
8,737 |
|
|
$ |
8,738 |
|
|
|
|
|
|
|
|
GAAP loss from operations |
|
$ |
(3,347 |
) |
|
$ |
(4,437 |
) |
Stock-based compensation
expense |
|
|
809 |
|
|
|
915 |
|
Non-GAAP loss from
operations |
|
$ |
(2,538 |
) |
|
$ |
(3,522 |
) |
|
|
|
|
|
|
|
GAAP net loss |
|
$ |
(2,083 |
) |
|
$ |
(3,348 |
) |
Stock-based compensation
expense |
|
|
809 |
|
|
|
915 |
|
Non-GAAP net loss |
|
$ |
(1,274 |
) |
|
$ |
(2,433 |
) |
|
|
|
|
|
|
|
GAAP net loss per diluted
share |
|
$ |
(0.05 |
) |
|
$ |
(0.08 |
) |
Stock-based compensation
expense per diluted share |
|
$ |
0.02 |
|
|
$ |
0.02 |
|
Non-GAAP net loss per diluted
share |
|
$ |
(0.03 |
) |
|
$ |
(0.06 |
) |
|
|
|
|
|
|
|
Shares used to compute diluted
net income per share |
|
|
42,987 |
|
|
|
42,498 |
|
Contacts:
Gary Fischer
Chief Financial Officer
(510) 438-4700
Leslie Green
Green Communications Consulting, LLC
(650) 312-9060
AXT (NASDAQ:AXTI)
過去 株価チャート
から 9 2024 まで 10 2024
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から 10 2023 まで 10 2024