Companies /Technology

Onto Innovation Inc

NYSE: ONTO Semiconductor Equipment & Materials
$267.21
▼ $3.58 (−1.32%) today
Markets closed · 8:47pm ET

Q3 2025 Earnings

Reported Nov 6, 2025, 4:05pm ET · SEC source
$0.92
Beat +2.51%
EPS · est. $0.90
$218.2M
Miss −1.06%
Revenue · est. $220.5M
+18.6%
Beating market
ONTO vs S&P since report
1 quarter
Consecutive EPS beats

Market Reaction

% change · around the report
−8%−4%0+4%Nov 6Nov 7report 4:05pm ETearnings+0.1%+5.1%
−8%−4%0+4%Nov 6Nov 7earnings+0.1%+5.1%
ONTO +5.1%S&P 500 +0.1%
−8%−4%0+4%Nov 6Nov 7report 4:05pm ETearnings−0.2%+5.1%
−8%−4%0+4%Nov 6Nov 7earnings−0.2%+5.1%
ONTO +5.1%NASDAQ −0.2%
−4%0+4%+8%Nov 5Nov 14report 4:05pm ETearnings+0.1%−1.0%
−4%0+4%+8%Nov 5Nov 14earnings+0.1%−1.0%
ONTO −1.0%S&P 500 +0.1%
−4%0+4%+8%Nov 5Nov 14report 4:05pm ETearnings−0.5%−1.0%
−4%0+4%+8%Nov 5Nov 14earnings−0.5%−1.0%
ONTO −1.0%NASDAQ −0.5%
+5.57%
Day of report
+1.42%
Next session
−8.03%
One week
+21.05%
30 days

S&P 500 over the same 30 days: +2.47%.

Did ONTO Beat Earnings? Q3 2025 Results

Onto Innovation delivered a mixed but broadly constructive Q3 2025, beating earnings expectations while falling just short on revenue, as the semiconductor process control company navigated a year of meaningful volume headwinds. Non-GAAP EPS of $0.92 cleared the $0.90 consensus by 2.51%, though revenue of $218.19 million trailed the $220.54 million estimate by 1.06% and declined 13.5% year-over-year, reflecting lower shipment volumes and margin compression that pushed GAAP net income down to $28.22 million from $53.05 million a year earlier. The standout operational highlight was the full qualification of the company's Dragonfly 3Di technology by two major high bandwidth memory customers, positioning Onto at the center of AI-driven advanced packaging demand. A record $83.40 million in quarterly operating cash flow underscored balance sheet resilience, with cash and equivalents reaching $983.93 million. Looking ahead, management guided Q4 revenue to $250 million to $265 million, with non-GAAP EPS of $1.18 to $1.33, a guidance range since updated upward following the completed Semilab acquisition, signaling confidence that the revenue trough is now in the rearview mirror.

Key Takeaways
  • Revenue and EPS exceeded midpoint of previously announced guidance ranges
  • Record cash from operations of approximately $83.4 million, representing 185% conversion of non-GAAP net income
  • Non-GAAP gross margin held relatively steady at 54.0% vs 54.5% year-over-year despite revenue decline

“The qualification of the 3Di technology for 3D bump metrology by two customers supporting HBM and another customer supporting 2.5D logic applications for AI is another great step forward by the Onto Innovation team in advancing our leadership in advanced packaging process control.”

Onto Innovation CEO, on the earnings call

Forward Guidance & Outlook

For Q4 2025 (ending January 3, 2026), Onto Innovation expects revenue of $250 million to $265 million, gross margin of 53.5% to 55%, non-GAAP operating margin of 24% to 26%, GAAP diluted EPS of $0.85 to $1.00, and non-GAAP diluted EPS of $1.18 to $1.33. The outlook implies a meaningful sequential acceleration from Q3 levels, supported by next-generation Dragonfly system shipments and continued Atlas G6 deliveries.

ONTO YoY Financials

Q3 2025 vs Q3 2024 · SEC filings Q3 2024 Q3 2025
$0$70.0M$140.0M$210.0M$252.2M$218.2MRevenue$136.4M$110.6MGross Profit$53.1M$23.7MOperating Income$53.1M$28.2MNet Income
$0$70.0M$140.0M$210.0MRevenueGross ProfitOperating IncomeNet Income

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