Axcelis Beats Guidance for First Quarter 2020

Company Announces Strong Financial Performance and Timing and Availability of First Quarter Results and Conference Call

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Apr 14, 2020, 08:00 ET

BEVERLY, Mass., April 14, 2020 /PRNewswire/ -- Axcelis Technologies, Inc. (Nasdaq: ACLS) today provided updated financial guidance for the first quarter of 2020. The Company expects revenue for the first quarter of 2020 to be approximately $118 million, above the $115 million prior guidance. Gross margin of between 37.5% and 38.0% is up from the previous gross margin guidance of 37.0%. Favorable mix and lower cost drove improved margins, offsetting some of the margin pressure caused by the successful closure of three evaluation systems. As a result, the Company expects earnings per diluted share of approximately $0.30, up from the previous guidance of approximately $0.21. First quarter operating profit is forecasted to be approximately $12.5 million, up from the previous guidance of approximately $9.5 million.

President and CEO Mary Puma said, "Our priorities are ensuring the health and safety of our employees while continuing to serve our customers. I want to thank Axcelis employees in our factory, global field locations and those at home in the US and around the world who are working diligently to meet our customer commitments. We also want to thank our suppliers and customers for their support as we strive to meet the continuing high level of customer interest in our Purion products."

Kevin Brewer, executive vice president and CFO said, "As a result of everyone's extraordinary efforts, we delivered a strong financial quarter, beating guidance and ending with a very strong cash position at $181.4 million. In the quarter we repurchased $7.5 million of our common stock, but have suspended the repurchase program while we continue to invest in the business during these difficult times."

First Quarter 2020 Conference Call
Axcelis Technologies will release financial results for the first quarter 2020 on Tuesday, May 5, 2020 at 4:00 p.m. Eastern Time (ET). The Company will host a call to discuss the results for the first quarter 2020 on Wednesday, May 6, 2020 at 8:30 am ET. The call will be available to interested listeners via an audio webcast that can be accessed through the Investors page of Axcelis' website at www.axcelis.com, or by dialing 866.588.8911 (707.294.1561 outside North America). Participants calling into the conference call will be requested to provide the company name, Axcelis Technologies, and Audience Passcode: 1738978. Webcast replays will be available for 30 days following the call.

Safe Harbor Statement
This press release contains forward-looking statements under the Private Securities Litigation Reform Act safe harbor provisions. These statements, which include our 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 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 40 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.

Company Contact
Investor Relations and Editorial/Media:
Doug Lawson
978.787.9552

SOURCE Axcelis Technologies, Inc.