We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Kulicke and Soffa Q4 Earnings Miss Estimates, Revenues Decrease Y/Y
Read MoreHide Full Article
Kulicke and Soffa Industries (KLIC - Free Report) reported fourth-quarter fiscal 2024 non-GAAP earnings of 34 cents per share, which missed the Zacks Consensus Estimate by 5.56%. The bottom line dropped 33.3% year over year.
KLIC’s earnings lagged the Zacks Consensus Estimate in two of the trailing four quarters, beating in the remaining two, the average negative earnings surprise being 117.34%.
Revenues declined 10.4% year over year to $181.3 million but surpassed the consensus estimate by 0.73%.
Kulicke and Soffa’s stock has declined 16.6% against the Zacks Computer and Technology sector’s rise of 29.3% in the year-to-date period. Shares were unchanged in after-hours trading following the results.
Kulicke and Soffa Industries, Inc. Price, Consensus and EPS Surprise
In terms of end-market, revenues from General Semiconductor grew 11% sequentially (excluding contributions from the TCB business) to $84 million.
Revenues from the Automotive and Industrial segment rose 42.3% year over year to $37 million.
LED revenues were weak in the reported quarter, achieving only $2 million due to challenges in the traditional wire bonded and high-bright lighting market. Despite the decline, the company remains committed to promoting the adoption of its Luminex system — a laser-based mini-LED placement technology.
The Memory segment has grown significantly year over year to $19 million from $2 million.
The APS segment reached $40 million in the reported quarter, reflecting a 2.4% decline from $41 million in the prior-year period.
Kulicke and Soffa’s Operating Details
In the fourth quarter of fiscal 2024, the gross margin expanded by 100 basis points (bps) year over year to $87.7 million, which was 48.3% of net revenues.
Operating expenses rose 11.3% year over year to $85 million due to 14.1% growth in selling, general and administrative expenses, and a 3% increase in research and development expenses.
Non-GAAP operating income declined 51.7% year over year to $12.7 million, whereas the operating margin contracted by 600 bps to 7%.
KLIC’s Balance Sheet & Cash Flow
As of Sept. 28, 2023, Kulicke and Soffa’s cash, cash equivalents and short-term investments were $577.1 million.
The cash flow from operating activities was $31.6 million compared with $26.9 million in the previous quarter.
The adjusted free cash flow was $29.2 million against the free cash outflow of $24.2 million in the previous quarter.
The company repurchased 1 million shares of its common stock for $42.7 million.
KLIC’s Q1 Guidance
For first-quarter fiscal 2025, net revenues are expected to be $165 million (+/- $10 million).
The company anticipates non-GAAP operating expenses to rise to $70.5 million (+/-2%).
Non-GAAP earnings are anticipated to be 28 cents per share (+/-10%). The Zacks Consensus Estimate is pegged at 37 cents per share, unchanged over the past 30 days.
Zacks Rank & Stocks to Watch
Kulicke & Soffa currently carries a Zacks Rank #3 (Hold).
NVIDIA (NVDA - Free Report) , Dell Technologies (DELL - Free Report) and Workday (WDAY - Free Report) are some better-ranked stocks that investors can consider in the broader sector.
Image: Bigstock
Kulicke and Soffa Q4 Earnings Miss Estimates, Revenues Decrease Y/Y
Kulicke and Soffa Industries (KLIC - Free Report) reported fourth-quarter fiscal 2024 non-GAAP earnings of 34 cents per share, which missed the Zacks Consensus Estimate by 5.56%. The bottom line dropped 33.3% year over year.
KLIC’s earnings lagged the Zacks Consensus Estimate in two of the trailing four quarters, beating in the remaining two, the average negative earnings surprise being 117.34%.
Find the latest EPS estimates and surprises on Zacks Earnings Calendar.
Revenues declined 10.4% year over year to $181.3 million but surpassed the consensus estimate by 0.73%.
Kulicke and Soffa’s stock has declined 16.6% against the Zacks Computer and Technology sector’s rise of 29.3% in the year-to-date period. Shares were unchanged in after-hours trading following the results.
Kulicke and Soffa Industries, Inc. Price, Consensus and EPS Surprise
Kulicke and Soffa Industries, Inc. price-consensus-eps-surprise-chart | Kulicke and Soffa Industries, Inc. Quote
KLIC’s End-Market Details
In terms of end-market, revenues from General Semiconductor grew 11% sequentially (excluding contributions from the TCB business) to $84 million.
Revenues from the Automotive and Industrial segment rose 42.3% year over year to $37 million.
LED revenues were weak in the reported quarter, achieving only $2 million due to challenges in the traditional wire bonded and high-bright lighting market. Despite the decline, the company remains committed to promoting the adoption of its Luminex system — a laser-based mini-LED placement technology.
The Memory segment has grown significantly year over year to $19 million from $2 million.
The APS segment reached $40 million in the reported quarter, reflecting a 2.4% decline from $41 million in the prior-year period.
Kulicke and Soffa’s Operating Details
In the fourth quarter of fiscal 2024, the gross margin expanded by 100 basis points (bps) year over year to $87.7 million, which was 48.3% of net revenues.
Operating expenses rose 11.3% year over year to $85 million due to 14.1% growth in selling, general and administrative expenses, and a 3% increase in research and development expenses.
Non-GAAP operating income declined 51.7% year over year to $12.7 million, whereas the operating margin contracted by 600 bps to 7%.
KLIC’s Balance Sheet & Cash Flow
As of Sept. 28, 2023, Kulicke and Soffa’s cash, cash equivalents and short-term investments were $577.1 million.
The cash flow from operating activities was $31.6 million compared with $26.9 million in the previous quarter.
The adjusted free cash flow was $29.2 million against the free cash outflow of $24.2 million in the previous quarter.
The company repurchased 1 million shares of its common stock for $42.7 million.
KLIC’s Q1 Guidance
For first-quarter fiscal 2025, net revenues are expected to be $165 million (+/- $10 million).
The company anticipates non-GAAP operating expenses to rise to $70.5 million (+/-2%).
Non-GAAP earnings are anticipated to be 28 cents per share (+/-10%). The Zacks Consensus Estimate is pegged at 37 cents per share, unchanged over the past 30 days.
Zacks Rank & Stocks to Watch
Kulicke & Soffa currently carries a Zacks Rank #3 (Hold).
NVIDIA (NVDA - Free Report) , Dell Technologies (DELL - Free Report) and Workday (WDAY - Free Report) are some better-ranked stocks that investors can consider in the broader sector.
NVIDIA sports a Zacks Rank #1 (Strong Buy), and Dell Technologies and Workday carry a Zacks Rank #2 (Buy) each. You can see the complete list of today’s Zacks #1 Rank stocks here.
NVIDIA’s shares have jumped 196.3% year to date. NVDA is set to report third-quarter fiscal 2025 results on Nov. 20.
Dell Technologies’ shares have gained 75.8% year to date. DELL is set to report its third-quarter fiscal 2025 results on Nov. 26.
Workday’s shares have lost 1.7% year to date. WDAY is set to report its third-quarter fiscal 2025 results on Nov. 26.