Axcelis Announces Financial Results for Second Quarter 2025

Q2 Highlights:

• Revenue of $194.5 million
• GAAP Gross Margin of 44.9%, and Non-GAAP Gross Margin of 45.2%
• GAAP Operating Margin of 14.9% and Non-GAAP Operating Margin of 17.7%
• GAAP Diluted earnings per share of $0.98, and Non-GAAP Diluted earnings per share of $1.13

BEVERLY, Mass., Aug. 5, 2025 -- Axcelis Technologies, Inc. (Nasdaq: ACLS) today announced financial results for the second quarter ended June 30, 2025.

President and CEO Russell Low commented, "Axcelis delivered strong results in the second quarter despite the cyclical digestion period in many of our markets, demonstrating the value we provide our customers and the strength of our team. We are deepening customer engagement, expanding our footprint in high-value applications, and seeing continued momentum in our CS&I business supported by our growing installed base. As we look ahead, we remain focused on innovation, customer collaboration, and disciplined execution to deliver on our strategic initiatives and position Axcelis to drive long term growth and profitability."

Executive Vice President and Chief Financial Officer Jamie Coogan said, "We generated strong profitability and cash flow in the second quarter, reflecting disciplined cost control and favorable mix. We increased our share repurchase activity to $45 million during the quarter, reflecting our confidence in the attractive long-term fundamentals of our business. Our strong balance sheet enables us to continue repurchasing shares in a disciplined and opportunistic manner, while also investing in our business."

Business Outlook
For the third quarter ending September 30, 2025, Axcelis expects revenues of approximately $200 million, GAAP earnings per diluted share of approximately $0.87, and non-GAAP earnings per share of approximately $1.00.

Please refer to Third Quarter Outlook under the "Notes on our Non-GAAP Financial Information" section of this document for detail relating to the computation of non-GAAP earnings per diluted share as well as the Safe Harbor Statement section of this document.

Second Quarter 2025 Conference Call
The Company will host a call today to discuss the results 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-conf.media-server.com/register/BI26107577cb204cb0baebc5afe993b0d1
Webcast replays will be available for 30 days following the call.

Use of Non-GAAP Financial Results
This press release includes financial measures that are not presented in accordance with U.S. generally accepted accounting principles ("non-GAAP financial measures"). These non-GAAP financial measures include non-GAAP gross profit, non-GAAP gross margin, non-GAAP operating income, non-GAAP operating margin, non-GAAP income tax provision, Adjusted EBITDA, non-GAAP net income, and non-GAAP diluted earnings per share, and reflect adjustments for the impact of share-based compensation expense and certain items related to restructuring and severance charges and any associated adjustments.

Reconciliations of these non-GAAP financial measures to the most directly comparable financial measures calculated and presented in accordance with GAAP are provided in the financial tables included in this release.

For further information regarding these non-GAAP financial measures, please refer to the tables presenting reconciliations of our non-GAAP results to our GAAP results and the "Notes on Our Non-GAAP Financial Information" at the end of this press release.

Safe Harbor Statement
This press release contains, and the conference call will 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, including with respect to the imposition of tariffs on our products or components of our products, 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:
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