AIXTRON (AIXA) Q2 2024 earnings summary

Executive summary

• Q2 2024 order intake was €176 million, nearly flat year-over-year, mainly from power electronics, with revenues at €132 million, in the upper half of guidance.

• H1 2024 revenues remained stable at €250.1 million, matching H1 2023, driven by strong SiC and GaN power electronics demand.

• SiC and GaN systems drove 86% of Q2 equipment orders, with SiC accounting for 57% and GaN for 29%.

• Expansion of production footprint in Italy and new innovation center in Germany signal preparation for future growth.

Financial highlights

• Q2 2024 revenues were €131.8 million, down 24% year-over-year; H1 2024 revenues were €250.1 million, flat year-over-year.

• Q2 2024 gross profit was €49.1 million (gross margin 37%), down from 42% year-over-year due to product mix.

• Q2 2024 EBIT was €12.9 million, down 71% year-over-year; H1 2024 EBIT was €22.8 million, down 53% year-over-year.

• Free cash flow in H1 2024 was €-56.5 million, improved from €-80.1 million last year, reflecting high CapEx.

• Cash and equivalents at June 30, 2024, were €79.4 million, down from €181.7 million at year-end, mainly due to CapEx and a €45 million dividend.

Outlook and guidance

• FY 2024 revenue guidance adjusted to €620–660 million (previously €630–720 million); EBIT margin now 22%–25% (was 24%–26%).

• Gross margin guidance unchanged at 43%–45%.

• Q3 2024 revenues expected between €150–180 million, with shipments weighted toward Q4.

• Order momentum expected to remain strong in Q3 and Q4, similar to Q2 levels.