Thu, Apr 10, 8:07 PM (16 days ago)
**AEHR Test Systems (AEHR) Q3 2025 Financial Summary** **Financial Health & Performance:** - **Revenue:** Q3 2025 revenue was $18.3 million, up 142% from Q3 2024 ($7.6 million). Nine-month revenue was $44.9 million, down 10% from $49.6 million in 2024. - **Profit Margins:** Gross margin decreased to 39.2% in Q3 2025 from 41.7% in Q3 2024. Nine-month gross margin was 43.8%, down from 48.6%. - **Net Income:** Q3 2025 net loss was $0.64 million, compared to a loss of $1.47 million in Q3 2024. Nine-month net loss was $1.01 million, compared to a profit of $9.29 million in 2024. - **Cash Flow:** Operating cash flow was negative $5.1 million in nine months of 2025, compared to positive $0.53 million in 2024. Investing activities used $13.2 million, up from $17.3 million in 2024. **Key Metrics & Trends:** - **Revenue Growth:** Driven by increased shipments of systems and contactors, particularly to AI and power semiconductor customers. - **Geographic Performance:** Revenue increased in the U.S. and Europe but declined in Asia due to softness in power semiconductor demand. - **Operating Expenses:** Research and development (R&D) and selling, general, and administrative (SG&A) expenses increased due to higher legal fees, acquisition-related costs, and employee-related expenses. - **Acquisition Impact:** The acquisition of Incal Technology contributed $8.9 million in revenue and $0.4 million in net income. **Uncertainties & Future Operations:** - **Legal Proceedings:** Ongoing legal cases in China and the U.S. may impact financial results. - **Geopolitical Risks:** Tensions between the U.S. and China could affect operations and growth prospects. - **Market Demand:** Softness in power semiconductor demand for electric vehicles may continue to impact revenue. - **Cash Position:** Existing cash resources and anticipated funds from operations are expected to meet cash requirements for the next twelve months. **Ticker:** AEHR