Photronics (PLAB - Free Report) reported fourth-quarter fiscal 2023 non-GAAP earnings of 60 cents per share, which surpassed the Zacks Consensus Estimate by 13.21% and increased 17.6% year over year.
Revenues of $227.5 million inched up 1.5% year over year.
Quarter Details
Integrated Circuit revenues climbed 1% sequentially and 5% year over year to $164.5 million. The top line benefited from the strong revenue performance of high-end IC masks (using 28 nanometer and smaller technology), which jumped 27% sequentially. However, mainstream revenues decreased 9%.
FPD revenues rose 17% year over year to $63 million. Sequentially, revenues increased 3%. Photronics’ high-end revenues increased 7%.
China revenues declined from 53% of total revenues in the fiscal third quarter to 44% in the reported quarter.
Fourth-quarter fiscal 2023 gross margin expanded 150 basis points (bps) year over year to 37.3%.
Research & development expenses, as a percentage of revenues, decreased 30 bps year over year to 1.5%. However, sales and marketing expenses, as a percentage of revenues, increased 40 bps year over year to 7.4%.
Operating income was $64.8 million, up 7% year over year. Operating margin expanded 150 bps year over year to 28.5%.
Balance Sheet & Cash Flow
As of Oct 31, 2023, cash and cash equivalents were $512.2 million, while long-term debt was $18 million.
Cash generated from operating activities was $106.6 million and cash invested in organic growth through capital expenditures was $52.5 million.
Guidance
For the first quarter of fiscal 2024, Photronics expects revenues between $217 million and $225 million.
Earnings are expected between 45 cents and 53 cents per share.
Zacks Rank & Stocks to Consider
Photronics currently has a Zacks Rank #3 (Hold).
Flex (FLEX - Free Report) , Badger Meter (BMI - Free Report) and Ceridian HCM are some better-ranked stocks in the broader sector, each currently sporting a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Flex shares have gained 5.8% in the past three months. The long-term earnings growth rate is pegged at 12.39%.
Badger Meter shares have declined 1.7% in the past three months. The long-term earnings growth rate is pegged at 20.39%.
Ceridian shares have lost 2.4% over the same timeframe. The long-term earnings growth rate is pegged at 44.15%.
Top 5 Dividend Stocks for Your Retirement
Zacks targets 5 well-established companies with solid fundamentals and a history of raising dividends. More importantly, they have the resources and will to likely pay them in the future.
Click now for a Special Report packed with unconventional wisdom and insights you simply won’t get from your neighborhood financial planner.
See our Top 5 now – the report is FREE >>
Photronics (PLAB - Free Report) reported fourth-quarter fiscal 2023 non-GAAP earnings of 60 cents per share, which surpassed the Zacks Consensus Estimate by 13.21% and increased 17.6% year over year.
Revenues of $227.5 million inched up 1.5% year over year.
Quarter Details
Integrated Circuit revenues climbed 1% sequentially and 5% year over year to $164.5 million. The top line benefited from the strong revenue performance of high-end IC masks (using 28 nanometer and smaller technology), which jumped 27% sequentially. However, mainstream revenues decreased 9%.
FPD revenues rose 17% year over year to $63 million. Sequentially, revenues increased 3%. Photronics’ high-end revenues increased 7%.
China revenues declined from 53% of total revenues in the fiscal third quarter to 44% in the reported quarter.
Fourth-quarter fiscal 2023 gross margin expanded 150 basis points (bps) year over year to 37.3%.
Research & development expenses, as a percentage of revenues, decreased 30 bps year over year to 1.5%. However, sales and marketing expenses, as a percentage of revenues, increased 40 bps year over year to 7.4%.
Operating income was $64.8 million, up 7% year over year. Operating margin expanded 150 bps year over year to 28.5%.
Balance Sheet & Cash Flow
As of Oct 31, 2023, cash and cash equivalents were $512.2 million, while long-term debt was $18 million.
Cash generated from operating activities was $106.6 million and cash invested in organic growth through capital expenditures was $52.5 million.
Guidance
For the first quarter of fiscal 2024, Photronics expects revenues between $217 million and $225 million.
Earnings are expected between 45 cents and 53 cents per share.
Zacks Rank & Stocks to Consider
Photronics currently has a Zacks Rank #3 (Hold).
Flex (FLEX - Free Report) , Badger Meter (BMI - Free Report) and Ceridian HCM are some better-ranked stocks in the broader sector, each currently sporting a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Flex shares have gained 5.8% in the past three months. The long-term earnings growth rate is pegged at 12.39%.
Badger Meter shares have declined 1.7% in the past three months. The long-term earnings growth rate is pegged at 20.39%.
Ceridian shares have lost 2.4% over the same timeframe. The long-term earnings growth rate is pegged at 44.15%.
Top 5 Dividend Stocks for Your Retirement
Zacks targets 5 well-established companies with solid fundamentals and a history of raising dividends. More importantly, they have the resources and will to likely pay them in the future.
Click now for a Special Report packed with unconventional wisdom and insights you simply won’t get from your neighborhood financial planner.
See our Top 5 now – the report is FREE >>
Get the latest research report on BMI - FREE
Get the latest research report on FLEX - FREE
Get the latest research report on PLAB - FREE