Companies

AXT Inc

NASDAQ: AXTI
$66.92
â–² $1.74 (+2.67%) today
Markets closed · 5:30pm ET

Q4 2024 Earnings

Reported Feb 20, 2025, 4:11pm ET · SEC source
$-0.10
Miss −138.10%
EPS · est. $-0.04
$25.1M
Beat +4.89%
Revenue · est. $23.9M
+12.9%
Beating market
AXTI vs S&P since report
4 quarters
Consecutive EPS beats

Market Reaction

% change · around the report
−20%0+20%Feb 20Feb 21report 4:11pm ETearnings−1.6%−15.3%
−20%0+20%Feb 20Feb 21earnings−1.6%−15.3%
AXTI −15.3%S&P 500 −1.6%
−20%0+20%Feb 20Feb 21report 4:11pm ETearnings−2.0%−16.4%
−20%0+20%Feb 20Feb 21earnings−2.0%−16.4%
AXTI −16.4%NASDAQ −2.0%
−20%0+20%+40%Feb 19Feb 28report 4:11pm ETearnings−2.7%−11.7%
−20%0+20%+40%Feb 19Feb 28earnings−2.7%−11.7%
AXTI −11.7%S&P 500 −2.7%
−20%0+20%+40%Feb 19Feb 28report 4:11pm ETearnings−5.4%−11.7%
−20%0+20%+40%Feb 19Feb 28earnings−5.4%−11.7%
AXTI −11.7%NASDAQ −5.4%
−31.00%
Day of report
−15.19%
Next session
+1.27%
One week
+8.86%
30 days

S&P 500 over the same 30 days: −4.08%.

Did AXTI Beat Earnings? Q4 2024 Results

AXT, Inc. reported Q4 2024 non-GAAP EPS of -$0.10, missing the -$0.04 consensus estimate by 150%. Revenue came in at $25.1 million, representing 22.9% YoY growth from $20.4 million in Q4 2023. GAAP gross margin declined to 17.6% from 24.0% in the prior quarter, pressuring profitability despite top-line gains. For the full fiscal year 2024, revenue grew 31% to $99.4 million, while the non-GAAP net loss improved 40% year over year. The company made meaningful progress penetrating the cell phone market, which represents a roughly $100 million addressable opportunity, and expanded its presence in cloud and data center infrastructure. AXT's subsidiary Tongmei continues to pursue its STAR Market IPO listing in China, pending CSRC approval. Operating expenses rose significantly in Q4, with SG&A increasing to $6.4 million and R&D spending climbing to $4.1 million, reflecting investments in next-generation connectivity materials.

Key Takeaways
  • 31% year-over-year revenue growth for fiscal year 2024
  • Successful penetration of the cell phone market, estimated at ~$100M addressable market
  • Growth in cloud and data center infrastructure market revenue
  • 21% improvement in non-GAAP gross profit year over year
  • 40% improvement in non-GAAP net loss year over year

“Our growth in 2024 showed a year of improvement for AXT in several key areas. We delivered a 31 percent increase in revenue, a 21 percent improvement in non-GAAP gross profit, and a 40 percent improvement in non-GAAP net loss. Over the last twelve months we have aggressively advanced the technical specifications of our materials to help our global customer base solve complex, next-generation connectivity challenges. As such, 2024 marked a meaningful year of our revenue growth into the cloud and data center infrastructure market, as well as our successful penetration of the cell phone market, which is close to a $100M addressable market, and before now, largely untapped by AXT. Through our product success, world-class manufacturing, and unique supply chain, we have built a valuable company poised to address the rapidly growing market opportunities ahead of us.”

AXT CEO, on the earnings call

Forward Guidance & Outlook

AXT did not provide specific forward-looking financial guidance for Q1 2025 or full year 2025. However, the CEO expressed optimism about the company being 'poised to address the rapidly growing market opportunities ahead,' citing progress in cloud and data center infrastructure as well as penetration into the cell phone market. The company's subsidiary Tongmei hopes to accomplish its STAR Market IPO listing in the coming months, subject to CSRC and other regulatory approvals.

AXTI YoY Financials

Q4 2024 vs Q4 2023 · SEC filings Q4 2023 Q4 2024
$-20,000,000$0$20.0M$20.4M$25.1MRevenue$4.6M$4.4MGross Profit$-22,978,010$-6,165,000Operating Income$-8,552,698$-5,088,000Net Income
$-20,000,000$0$20.0MRevenueGross ProfitOperating IncomeNet Income

Figures from SEC filings and company reports. Not investment advice.