Amtech Reports Fiscal 2026 First Quarter Results
TEMPE, Ariz.--( BUSINESS WIRE)--Amtech Systems, Inc. ("Amtech") (NASDAQ: ASYS), a manufacturer of equipment and consumables enabling AI semiconductor device packaging and advanced substrate fabrication, today reported results for its first quarter ended December 31, 2025.
Fiscal 2026 First Quarter Financial and Operational Results:
(1) See GAAP to non-GAAP and EBITDA and Adjusted EBITDA reconciliation in schedules following this release.
Management Comments
“Equipment demand for AI infrastructure was strong in the quarter and accounted for 35% of our Thermal Processing Solutions (TPS) segment revenue, up from 30% in the prior quarter,” commented Mr. Bob Daigle, Chief Executive Officer of Amtech. “Our book-to-bill ratio was 1.1 in the quarter, driven by AI applications with some deliveries stretching into Q3 to align with customer factory buildouts. We expect strength in demand for equipment powering AI applications to result in increased bookings on a sequential quarterly basis through the end of fiscal 2026."
"We are generating strong operating cash flow driven by high quality revenue streams, the cost structure improvements achieved over the last two years and improved collections in the quarter. The first quarter of fiscal 2026 marks the ninth consecutive quarter of positive operating cash flow. We ended the first quarter with $22.1 million of cash, up from $17.9 million in the prior quarter, with no debt. We believe growth opportunities driven by AI infrastructure investments and our differentiated capabilities combined with strong operating leverage that result from our asset-lite, semi-fabless business model position us well to deliver meaningful shareholder value.”
GAAP and Non-GAAP Financial Results
(in millions, except per share amounts)
Q1
Q4
Q1
FY 2026
FY 2025
FY 2025
Revenues, net
$
19.0
$
19.8
$
24.4
Gross profit
$
8.5
$
8.8
$
9.4
Gross margin
44.8
%
44.4
%
38.4
%
Non-GAAP gross profit (1)
$
8.5
$
8.8
$
9.4
Non-GAAP gross margin (1)
44.8
%
44.4
%
38.4
%
GAAP net income
$
0.1
$
1.1
$
0.3
GAAP net income per diluted share
$
0.01
$
0.07
$
0.02
Non-GAAP net income (1)
$
0.4
$
1.4
$
0.8
Non-GAAP net income per diluted share (1)
$
0.03
$
0.10
$
0.06
(1) See GAAP to non-GAAP reconciliation in schedules following this release.
Net revenues decreased sequentially from the prior quarter, driven primarily by lower demand for silicon carbide polishing consumables that was partially offset by strong demand for reflow ovens used in AI applications. The decrease in net revenues as compared to the same period last year reflects these changes as well as lower demand for high-temperature belt furnaces and product line rationalization of diffusion furnaces which are part of the Thermal Processing Systems division. These declines versus the prior year were partially offset by higher AI-related revenues for advanced packaging and other thermal applications.
GAAP gross margin increased on a percentage basis but decreased by $0.3 million sequentially from the prior quarter and $0.9 million compared to the same prior year period due to the Company’s product line rationalization with a focus on growing higher margin product lines including its AI advanced packaging solutions. Gross margin as a percentage of sales increased to 44.8% in the fiscal 2026 first quarter from 38.4% in the same period of the prior year and 44.4% in the fiscal 2025 fourth quarter.
Selling, General & Administrative (“SG&A”) expenses increased $0.5 million sequentially from the prior quarter and decreased $1.2 million compared to the fiscal 2025 first quarter. The increase from the prior quarter is primarily due to incentive compensation, professional fees and insurance. The decrease from the prior year period is primarily due to cost reduction efforts and structural changes to reduce fixed costs.
Research, Development, and Engineering expenses increased by $0.3 million sequentially from the prior quarter and were relatively flat compared to the same period of the prior year. The increase from the prior quarter is primarily due to growth initiatives.
GAAP net income for the first quarter of fiscal 2026 was $0.1 million, or $0.01 per share. This compares to GAAP net income of $1.1 million, or $0.07 per share, for the preceding quarter, and GAAP net income of $0.3 million, or $0.02 per share, for the first quarter of fiscal 2025.
Unrestricted cash and cash equivalents at December 31, 2025, were $22.1 million, compared to $17.9 million at September 30, 2025, due primarily to the Company's focus on operational cash generation, working capital optimization, strong accounts receivable collections from customers, and accounts payable management.
In discussing financial results in this press release, the Company refers to certain financial measures that are adjusted from the financial results prepared in accordance with United States generally accepted accounting principles ("GAAP"). All non-GAAP amounts exclude certain adjustments which may include but are not limited to stock compensation expense, severance expense, expenses related to discontinued product lines, gain on the sale of assets, moving expenses, amortization of acquired intangible assets, acquisition expenses, goodwill and intangible asset impairment, inventory write-down of mature node semiconductor products, and any income tax changes related to acquisitions. A tabular reconciliation of financial measures prepared in accordance with GAAP to the non-GAAP financial measures is included at the end of this press release.
Outlook
For the second fiscal quarter ending March 31, 2026, the Company expects revenues in the range of $19.0 to $21.0 million. With the benefit of previously implemented structural and operational cost reductions, Amtech expects to deliver solid operating leverage, resulting in adjusted EBITDA margin in the high single digits.
A portion of Amtech's results is denominated in Renminbis, a Chinese currency. The outlook provided in this press release is based on an assumed exchange rate between the United States Dollar and the Renminbi. Changes in the value of the Renminbi in relation to the United States Dollar could cause actual results to differ from expectations.
Share Repurchase Program
On December 9, 2025, the Company’s effectuated a share repurchase program for a period of one-year pursuant to which Amtech may purchase up to $5 million of its common stock. As of today, no shares were repurchased under the program.
Conference Call
Amtech Systems will host a conference call at 5:00 pm ET today, February 5, 2026, to discuss fiscal first quarter financial results. The call will be available to interested parties by dialing 1-412-317-6060. A live webcast of the conference call will be available in the Investor Relations section of Amtech’s website at: https://www.amtechsystems.com/investors/events.
A replay of the webcast will be available in the Investor Relations section of the company’s website at http://www.amtechsystems.com/conference.htm shortly after the conclusion of the call and will remain available for approximately 30 calendar days.
About Amtech Systems, Inc.
Amtech Systems, Inc. (NASDAQ: ASYS) provides equipment, consumables and services for AI semiconductor device packaging and advanced wafer substrate fabrication. Our products include advanced packaging and electronics assembly equipment for applications such as AI GPUs and advanced automotive electronics. Consumable and other solutions are used in fabricating semiconductor devices, such as silicon carbide (SiC) and silicon (Si) power devices, digital and analog devices, power electronic packages, advanced semiconductor packages and electronic assemblies. We sell these products to semiconductor device and module manufacturers worldwide, particularly in Asia, North America and Europe. To learn more about Amtech, please visit our website at https://www.amtechsystems.com.
Cautionary Note Regarding Forward-Looking Statements
Certain information contained in this press release is forward-looking in nature. All statements in this press release, or made by management of Amtech Systems, Inc. and its subsidiaries ("Amtech"), other than statements of historical fact, are hereby identified as "forward-looking statements" (as such term is defined in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995). The forward-looking statements in this press release relate only to events or information as of the date on which the statements are made in this press release. Examples of forward-looking statements include statements regarding Amtech's future financial results, delivering profitable growth, creating long-term value for our shareholders, long term future prospects, operating results, business strategies, projected costs, the optimization and reduction of structural costs, products under development, competitive positions, plans and objectives of Amtech and its management for future operations, efforts to improve operational efficiencies and effectiveness and profitably grow our revenue, and enhancements to our technologies and expansion of our product portfolio. In some cases, forward-looking statements can be identified by terminology such as "may," "plan," "anticipate," "seek," "will," "expect," "intend," "estimate," "believe," "continue," "predict," "potential," "project," "should," "would," "could", "likely," "future," "target," "forecast," "goal," "observe," and "strategy" or the negative of these terms or other comparable terminology used in this press release or by our management, which are intended to identify such forward-looking statements. These statements are not guarantees of future performance and involve risks, uncertainties and assumptions that are difficult to predict. The Form 10-K that Amtech filed with the Securities and Exchange Commission (the "SEC") for the most recently completed fiscal year-ended September 30, listed various important factors that could affect the Company's future operating results and financial condition and could cause actual results to differ materially from historical results and expectations based on forward-looking statements made in this document or elsewhere by Amtech or on its behalf. These factors can be found under the heading "Risk Factors" in the Form 10-K and in our subsequently filed Quarterly Reports on Form 10-Qs, and investors should refer to them. Because it is not possible to predict or identify all such factors, any such list cannot be considered a complete set of all potential risks or uncertainties. Except as required by law, we undertake no obligation to publicly update forward-looking statements, whether as a result of new information, future events, or otherwise.
Amtech Systems may use its website ( www.amtechsystems.com), investor relations page ( https://www.amtechsystems.com/investors), and LinkedIn page ( https://www.linkedin.com/company/amtechsystems) to disclose material non-public information and for complying with its disclosure obligations under Regulation FD. Accordingly, investors and other interested parties should monitor these sites, in addition to following Amtech Systems press releases, Securities and Exchange Commission (SEC) filings, public conference calls and public presentations/webcasts.
References in this press release are made to non-GAAP (Generally Accepted Accounting Principles) financial measures, including profitability and operating/net income excluding one-time items, EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization), Adjusted EBITDA (AEBITDA), which excludes equity compensation, and AEBITDA excluding one-time items. These measures are provided as a supplement to GAAP results and offer additional insights into the Company's results and facilitate the comparison of results. Reconciliations are available in the tables full earnings results press releases.
AMTECH SYSTEMS, INC.
(NASDAQ: ASYS)
(Unaudited)
Summary Financial Information
(in thousands, except percentages)
Three Months Ended
December 31,
2025
September 30,
2025
December 31,
2024
Amtech Systems, Inc.
Revenues, net
$
18,973
$
19,842
$
24,385
GAAP gross profit
$
8,493
$
8,813
$
9,363
Non-GAAP gross profit
$
8,493
$
8,813
$
9,363
GAAP gross margin
45
%
44
%
38
%
Non-GAAP gross margin
45
%
44
%
38
%
Operating income
$
775
$
1,841
$
339
New orders
$
20,654
$
18,514
$
18,070
Backlog
$
21,571
$
19,889
$
18,998
Thermal Processing Solutions Segment
Revenues, net
$
13,980
$
14,590
$
18,684
GAAP gross profit
$
6,592
$
6,562
$
7,329
Non-GAAP gross profit
$
6,592
$
6,562
$
7,329
GAAP gross margin
47
%
45
%
39
%
Non-GAAP gross margin
47
%
45
%
39
%
Operating income
$
2,931
$
3,040
$
2,874
New orders
$
16,195
$
14,081
$
13,167
Backlog
$
16,870
$
14,655
$
15,328
Semiconductor Fabrication Solutions Segment
Revenues, net
$
4,993
$
5,252
$
5,701
GAAP gross profit
$
1,901
$
2,251
$
2,034
Non-GAAP gross profit
$
1,901
$
2,251
$
2,034
GAAP gross margin
38
%
43
%
36
%
Non-GAAP gross margin
38
%
43
%
36
%
Operating (loss) income
$
(299
)
$
277
$
(358
)
New orders
$
4,459
$
4,433
$
4,903
Backlog
$
4,701
$
5,234
$
3,670
AMTECH SYSTEMS, INC.
(NASDAQ: ASYS)
(Unaudited)
Condensed Consolidated Statements of Operations
(in thousands, except per share data)
Three Months Ended December 31,
2025
2024
Revenues, net
$
18,973
$
24,385
Cost of sales
10,480
15,022
Gross profit
8,493
9,363
Selling, general and administrative
6,878
8,051
Research, development and engineering
840
876
Loss on disposal of fixed assets
—
24
Severance expense
—
73
Operating income
775
339
Interest income
115
5
Interest expense
(7
)
(7
)
Foreign currency (loss) gain
(198
)
401
Other
4
19
Income before income tax provision
689
757
Income tax provision
581
445
Net income
$
108
$
312
Income Per Share:
Net income per basic share
$
0.01
$
0.02
Net income per diluted share
$
0.01
$
0.02
Weighted average shares outstanding:
Basic
14,362
14,272
Diluted
14,679
14,300
AMTECH SYSTEMS, INC.
(NASDAQ: ASYS)
(Unaudited)
Condensed Consolidated Balance Sheets
(in thousands, except share data)
December 31,
2025
September 30,
2025
Assets
Current Assets
Cash and cash equivalents
$
22,078
$
17,904
Accounts receivable (less allowance for credit losses of $117 and $113 at
December 31, 2025 and September 30, 2025, respectively)
17,287
19,878
Inventories
19,043
18,743
Income taxes receivable
68
80
Other current assets
3,880
3,572
Total current assets
62,356
60,177
Property, Plant and Equipment - Net
9,857
10,227
Right-of-Use Assets - Net
17,813
18,293
Intangible Assets - Net
1,047
1,091
Goodwill
908
908
Deferred Income Taxes - Net
1,023
1,023
Other Assets
1,141
1,154
Total Assets
$
94,145
$
92,873
Liabilities and Shareholders’ Equity
Current Liabilities
Accounts payable
$
7,974
$
7,735
Accrued compensation and related taxes
1,733
1,609
Accrued warranty expense
370
394
Other accrued liabilities
662
726
Current maturities of finance lease liabilities and long-term debt
139
126
Current portion of long-term operating lease liabilities
1,980
1,903
Contract liabilities
7,132
6,461
Income taxes payable
1,547
1,528
Total current liabilities
21,537
20,482
Finance Lease Liabilities and Long-Term Debt
162
168
Long-Term Operating Lease Liabilities
16,817
17,316
Income Taxes Payable
671
663
Other Long-Term Liabilities
862
859
Total Liabilities
40,049
39,488
Commitments and Contingencies
Shareholders’ Equity
Preferred stock; 100,000,000 shares authorized; none issued
—
—
Common stock; $0.01 par value; 100,000,000 shares authorized; shares
issued and outstanding: 14,390,135 and 14,354,797 at December 31, 2025
and September 30, 2025, respectively
144
144
Additional paid-in capital
130,420
130,057
Accumulated other comprehensive loss
(719
)
(959
)
Retained deficit
(75,749
)
(75,857
)
Total Shareholders’ Equity
54,096
53,385
Total Liabilities and Shareholders’ Equity
$
94,145
$
92,873
AMTECH SYSTEMS, INC.
(NASDAQ: ASYS)
(Unaudited)
Condensed Consolidated Statements of Cash Flows
(in thousands)
Three Months Ended December 31,
2025
2024
Operating Activities
Net income
$
108
$
312
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization
614
752
Write-down of inventory
318
632
Non-cash share-based compensation expense
249
333
Loss on disposal of fixed assets
—
24
Provision for allowance for credit losses
4
19
Changes in operating assets and liabilities:
Accounts receivable
2,586
1,148
Inventories
(618
)
624
Other assets
184
146
Accounts payable
381
1,608
Accrued income taxes
39
14
Accrued and other liabilities
(433
)
(438
)
Contract liabilities
671
(2,307
)
Net cash provided by operating activities
4,103
2,867
Investing Activities
Purchases of property, plant and equipment
(277
)
(143
)
Net cash used in investing activities
(277
)
(143
)
Financing Activities
Proceeds from the exercise of stock options
192
150
Payments on long-term debt
(33
)
(24
)
Payment of payroll taxes on stock-based compensation through shares withheld
(28
)
—
Net cash provided by financing activities
131
126
Effect of Exchange Rate Changes on Cash and Cash Equivalents
217
(722
)
Net Increase in Cash and Cash Equivalents
4,174
2,128
Cash and Cash Equivalents, Beginning of Period
17,904
11,086
Cash and Cash Equivalents, End of Period
$
22,078
$
13,214
AMTECH SYSTEMS, INC.
(NASDAQ: ASYS)
(Unaudited)
Reconciliation of GAAP to Non-GAAP Financial Measures
(in thousands, except per share data)
Three Months Ended
December 31,
2025
September 30,
2025
December 31,
2024
Amtech Systems, Inc. Gross Profit:
GAAP gross profit
$
8,493
$
8,813
$
9,363
Non-GAAP gross profit
$
8,493
$
8,813
$
9,363
GAAP gross margin
45
%
44
%
38
%
Non-GAAP gross margin
45
%
44
%
38
%
Thermal Processing Solutions Segment Gross Profit:
GAAP gross profit
$
6,592
$
6,562
$
7,329
Non-GAAP gross profit
$
6,592
$
6,562
$
7,329
GAAP gross margin
47
%
45
%
39
%
Non-GAAP gross margin
47
%
45
%
39
%
Semiconductor Fabrication Solutions Segment Gross Profit:
GAAP gross profit
$
1,901
$
2,251
$
2,034
Non-GAAP gross profit
$
1,901
$
2,251
$
2,034
GAAP gross margin
38
%
43
%
36
%
Non-GAAP gross margin
38
%
43
%
36
%
AMTECH SYSTEMS, INC.
(NASDAQ: ASYS)
(Unaudited)
Reconciliation of GAAP to Non-GAAP Financial Measures
(in thousands, except per share data)
Three Months Ended
December 31,
2025
September 30,
2025
December 31,
2024
Consolidated Net Income:
GAAP net income
$
108
$
1,068
$
312
Amortization of acquired intangible assets
27
27
108
Stock compensation expense
249
268
333
Severance expense
-
23
73
Non-GAAP net income
$
384
$
1,386
$
826
Net Income per Diluted Share:
GAAP net income per diluted share
$
0.01
$
0.07
$
0.02
Amortization of acquired intangible assets
-
0.01
0.01
Stock compensation expense
0.02
0.02
0.02
Severance expense
-
-
0.01
Non-GAAP net income per diluted share
$
0.03
$
0.10
$
0.06
AMTECH SYSTEMS, INC.
(NASDAQ: ASYS)
(Unaudited)
Reconciliation of Net Income to EBITDA and Adjusted EBITDA
(in thousands, except per share data)
Three Months Ended December 31, 2025
Amtech Systems, Inc. EBITDA:
GAAP net income
$
108
Interest income
(115
)
Interest expense
7
Income tax provision
581
Depreciation and amortization expense
614
EBITDA
1,195
Stock compensation expense
249
Adjusted EBITDA
$
1,444