News Release
Axcelis Announces Financial Results for Second Quarter 2026
Q2 2026 Highlights:
| · Revenue of $215.2 million |
| · GAAP Gross Margin of 42.4%, and Non-GAAP Gross Margin of 42.7% |
| · GAAP Operating Margin of 9.4% and Non-GAAP Operating Margin of 14.7% |
| · GAAP Diluted Earnings Per Share of $0.75, and Non-GAAP Diluted Earnings Per Share of $1.06 |
BEVERLY, Mass., Aug. 6, 2026—Axcelis Technologies, Inc. (Nasdaq: ACLS) today announced financial results for the second quarter ended June 30, 2026.
President and CEO Russell Low commented, “We executed well in the second quarter, delivering results that exceeded our forecasts driven by stronger system shipments and higher CS&I volume.” Low continued, “Demand in the Memory market remains robust, and we are also benefitting from positive momentum in our Power market. In General Mature, we are encouraged by improving engagement and utilization trends as customers respond to growing end-demand in data center, industrial and automotive segments. As a result, we now expect to deliver year-over-year revenue growth in 2026, with momentum carrying through to 2027. We are focused on satisfying the remaining conditions to complete our pending merger with Veeco and look forward to closing the transaction in the second half of 2026.”
Senior Vice President and Interim CFO David Ryzhik stated, “Axcelis delivered better than expected revenue and operating income in our second quarter, reflecting the attractive operating leverage in our business.” Ryzhik concluded, “With improving systems demand in our markets and continued strength in our CS&I aftermarket business, we anticipate that Axcelis’ financial performance will continue to improve over the balance of 2026.”
Results Summary
(In thousands, except per share amounts and percentages)
| Three months ended June 30, | |||||
| 2026 | 2025 | ||||
| Revenue | $215,175 | $194,544 | |||
| Gross margin | 42.4 % | 44.9 % | |||
| Operating margin | 9.4 % | 14.9 % | |||
| Net income | $23,291 | $31,376 | |||
| Diluted earnings per share | $0.75 | $0.98 |
| Non-GAAP Results | |||||
| Three months ended June 30, | |||||
| 2026 | 2025 | ||||
| Non-GAAP gross margin | 42.7 % | 45.2 % | |||
| Non-GAAP operating margin | 14.7 % | 17.7 % | |||
| Adjusted EBITDA | $35,972 | $38,872 | |||
| Non-GAAP net income | $32,968 | $36,013 | |||
| Non-GAAP diluted earnings per share | $1.06 | $1.13 |
Business Outlook
For the third quarter ending September 30, 2026, Axcelis expects revenues of approximately $230 million, GAAP earnings per diluted share of approximately $0.76, and non-GAAP earnings per share of approximately $1.11.
Please refer to Third Quarter 2026 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 2026 Conference Call
The Company will host a call to discuss the results for the second quarter 2026 today 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/BIf61211144e3b4baeb4c13ba3b1f529fa
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, certain items related to restructuring and severance charges and any associated adjustments and transaction and integration costs associated with the merger agreement with Veeco Instruments announced on October 1, 2025.
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.
News 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:
Investor Relations Contact:
David Ryzhik
Senior Vice President and Interim CFO
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
News Release
Axcelis Technologies, Inc.
Consolidated Statements of Operations
(In thousands, except per share amounts)
(Unaudited)
Three months ended Six months ended June 30, June 30, 2026 2025 2026 2025 Revenue: Product $200,488 $183,402 $388,497 $366,226 Services 14,687 11,142 25,634 20,881 Total revenue 215,175 194,544 414,131 387,107 Cost of revenue: Product 106,998 95,462 212,734 189,962 Services 16,988 11,739 29,627 21,034 Total cost of revenue 123,986 107,201 242,361 210,996 Gross profit 91,189 87,343 171,770 176,111 Operating expenses: Research and development 28,977 27,064 57,493 54,192 Sales and marketing 19,554 15,003 36,908 30,127 General and administrative 22,377 16,311 49,138 33,668 Total operating expenses 70,908 58,378 143,539 117,987 Income from operations 20,281 28,965 28,231 58,124 Other income (expense): Interest income 4,575 5,481 9,037 11,082 Interest expense (1,263 ) (1,355 ) (2,554 ) (2,722 ) Other, net 1,755 1,906 1,259 1,597 Total other income 5,067 6,032 7,742 9,957 Income before income taxes 25,348 34,997 35,973 68,081 Income tax provision 2,057 3,621 3,468 8,126 Net income $23,291 $31,376 $32,505 $59,955 Net income per share: Basic $0.76 $0.99 $1.06 $1.87 Diluted $0.75 $0.98 $1.05 $1.87 Shares used in computing net income per share: Basic weighted average shares of common stock 30,805 31,847 30,764 32,051 Diluted weighted average shares of common stock 31,134 31,882 31,084 32,103
News Release
Axcelis Technologies, Inc.
Consolidated Balance Sheets
(In thousands, except per share amounts)
(Unaudited)
June 30, December 31, 2026 2025 ASSETS Current assets: Cash and cash equivalents $154,996 $145,451 Short-term investments 247,220 228,802 Accounts receivable, net 154,149 168,479 Inventories, net 338,174 329,010 Prepaid income taxes 4,863 4,658 Prepaid expenses and other current assets 80,369 66,802 Total current assets 979,771 943,202 Property, plant and equipment, net 58,022 56,146 Operating lease assets 27,568 28,927 Finance lease assets, net 13,516 14,154 Long-term restricted cash 10,633 10,627 Deferred income taxes 78,815 79,895 Long-term investments 174,829 182,396 Other assets 43,684 46,004 Total assets $1,386,838 $1,361,351 Current liabilities: Accounts payable $58,807 $42,309 Accrued compensation 20,010 34,233 Warranty 9,634 9,516 Income Taxes 2,833 11,383 Deferred revenue 81,679 65,494 Current portion of finance lease obligation 1,722 1,575 Other current liabilities 25,416 33,150 Total current liabilities 200,101 197,660 Long-term finance lease obligation 39,845 40,754 Long-term deferred revenue 36,863 43,445 Other long-term liabilities 44,208 44,815 Total liabilities 321,017 326,674 Stockholders’ equity: Common stock, $0.001 par value, 75,000 shares authorized; 30,881 shares issued and outstanding at June 30, 2026; 30,717 shares issued and outstanding at December 31, 2025 31 31 Additional paid-in capital 536,152 533,309 Retained earnings 536,044 503,539 Accumulated other comprehensive loss (6,406) (2,202) Total stockholders’ equity 1,065,821 1,034,677 Total liabilities and stockholders’ equity $1,386,838 $1,361,351
News Release
Axcelis Technologies, Inc.
Condensed Consolidated Statements of Cash Flows
(In thousands)
(Unaudited)
Three months ended Six months ended June 30, June 30, 2026 2025 2026 2025 Cash flows from operating activities Net income $23,291 $31,376 $32,505 $59,955 Adjustments to reconcile net income to net cash provided by operating activities: Depreciation and amortization 4,439 4,515 8,875 8,824 Stock-based compensation expense 6,425 5,421 11,324 10,324 Other (645 ) (9,335 ) 3,160 (11,017 ) Change in other assets and liabilities, net (15,137 ) 7,750 (19,352 ) 11,436 Net cash provided by operating activities 18,373 39,727 36,512 79,522 Cash flows from investing activities Expenditures for property, plant and equipment and capitalized software (3,554 ) (1,985 ) (5,393 ) (6,945 ) Other changes in investing activities, net (2,543 ) (2,628 ) (11,343 ) 42,801 Net cash (used in) provided by investing activities (6,097 ) (4,613 ) (16,736 ) 35,856 Cash flows from financing activities Repurchase of common stock (244 ) (45,337 ) (244 ) (63,515 ) Other changes from financing activities, net (7,608 ) (1,650 ) (9,005 ) (3,582 ) Net cash used in financing activities (7,852 ) (46,987 ) (9,249 ) (67,097 ) Effect of exchange rate changes on cash and cash equivalents (252 ) 1,643 (976 ) 1,935 Net increase (decrease) in cash, cash equivalents and restricted cash 4,172 (10,230 ) 9,551 50,216 Cash, cash equivalents and restricted cash at beginning of period 161,457 191,510 156,078 131,064 Cash, cash equivalents and restricted cash at end of period $165,629 $181,280 $165,629 $181,280
News Release
Axcelis Technologies, Inc.
Schedule Reconciling Selected Non-GAAP Financial Measures
(In thousands, except per share amounts)
Three months ended June 30, Six months ended June 30, 2026 2025 2026 2025 GAAP gross Profit $91,189 $87,343 $171,770 $176,111 Restructuring1 — — — 226 Stock-based compensation 755 569 1,197 922 Non-GAAP gross profit $91,944 $87,912 $172,967 $177,259 Non-GAAP gross margin 42.7 % 45.2 % 41.8 % 45.8 % GAAP operating expense $70,908 $58,378 $143,539 $117,987 Transaction and integration2 (4,827 ) — (15,225 ) (481 ) Bad debt expense — — (65 ) — Restructuring1 — 29 — (894 ) Stock-based compensation (5,670 ) (4,852 ) (10,127 ) (9,402 ) Non-GAAP operating expense $60,411 $53,555 $118,122 $107,210 GAAP operating income $20,281 $28,965 $28,231 $58,124 Transaction and integration2 4,827 — 15,225 481 Bad debt expense — — 65 — Restructuring1 — (29 ) — 1,120 Stock-based compensation 6,425 5,421 11,324 10,324 Non-GAAP operating income $31,533 $34,357 $54,845 $70,049 Non-GAAP operating margin 14.7 % 17.7 % 13.2 % 18.1 % GAAP income tax provision $2,057 $3,621 $3,468 $8,126 Income tax effect of non-GAAP adjustments3 1,575 755 3,726 1,670 Non-GAAP income tax provision $3,632 $4,376 $7,194 $9,796 GAAP net income $23,291 $31,376 $32,505 $59,955 Transaction and integration2 4,827 — 15,225 481 Bad debt expense — — 65 — Restructuring1 — (29 ) — 1,120 Stock-based compensation 6,425 5,421 11,324 10,324 Income tax effect of non-GAAP adjustments3 (1,575 ) (755 ) (3,726 ) (1,670 ) Non-GAAP net income $32,968 $36,013 $55,393 $70,210 GAAP diluted EPS $0.75 $0.98 $1.05 $1.87 Transaction and integration2 0.16 — 0.49 .01 Bad debt expense — — — — Restructuring1 — — — 0.03 Stock-based compensation 0.21 0.17 0.36 0.32 Income tax effect of non-GAAP adjustments3 (0.05 ) (0.02 ) (0.12 ) (0.05 ) Non-GAAP diluted EPS $1.06 $1.13 $1.78 $2.19
News Release
Note 1: Restructuring and other costs primarily related to early retirement programs and severance costs, due to global cost-saving initiatives.
Note 2: Transaction and integration costs include expenses associated with the merger agreement with Veeco Instruments, announced on October 1, 2025. Transaction and integration costs for the six months ended June 30, 2025 include $481,000 of expenses that were not reflected as a GAAP to Non-GAAP reconciliation line item when the Company reported second quarter 2025 results, given that they occurred prior to transaction announcement on October 1, 2025.
Note 3: Impact of taxes from non-GAAP adjustments, uses adjusted tax rate of 14%.
Figures may not sum due to rounding.
Axcelis Technologies, Inc.
Reconciliation of Net Income to Adjusted EBITDA
(In thousands, except percentages)
| Three months ended June 30, Six months ended June 30, | ||||||||||||||
| 2026 | 2025 | 2026 | 2025 | |||||||||||
| Net Income | $23,291 | $31,376 | $32,505 | $59,955 | ||||||||||
| Other (income)/expense | (5,067 | ) | (6,032 | ) | (7,742 | ) | (9,957 | ) | ||||||
| Income tax provision | 2,057 | 3,621 | 3,468 | 8,126 | ||||||||||
| Depreciation & amortization | 4,439 | 4,515 | 8,875 | 8,824 | ||||||||||
| Subtotal | 24,720 | 33,480 | 37,106 | 66,948 | ||||||||||
| Transaction and integration1 | 4,827 | — | 15,225 | 481 | ||||||||||
| Bad debt expense — — | 65 | — | ||||||||||||
| Restructuring2 — | (29 | ) | — | 1,120 | ||||||||||
| Stock-based compensation | 6,425 | 5,421 | 11,324 | 10,324 | ||||||||||
| Adjusted EBITDA | $35,972 | $38,872 | $63,720 | $78,873 | ||||||||||
| Adjusted EBITDA margin | 16.7 % | 20.0 % | 15.4 % | 20.4 % |
Note 1: Transaction and integration costs for the six months ended June 30, 2025 include $481,000 of expenses that were not reflected as a GAAP to Non-GAAP reconciliation line item when the Company reported second quarter 2025 results, given that they occurred prior to transaction announcement on October 1, 2025.
Note 2: Restructuring and other costs primarily related to early retirement programs and severance costs, due to global cost-saving initiatives.
Axcelis Technologies, Inc.
Third Quarter 2026 Outlook
GAAP to Non-GAAP Diluted Earnings Per Share
| Three months ended September 30, 2026 | ||
| GAAP diluted EPS | $0.76 | |
| Transaction and Integration1 | 0.19 | |
| Stock-based compensation | 0.21 | |
| Income tax effect of non-GAAP adjustments2 | (0.06 | ) |
| Non-GAAP diluted EPS | $1.11 |
Note 1: Transaction and Integration costs include expenses associated with the merger agreement with Veeco Instruments, announced on October 1, 2025.
Note 2: Impact of taxes from non-GAAP adjustments, uses adjusted tax rate of 14%.
Figures may not sum due to rounding.