Had it not been for the collapse of the solar PV industry in 2011, the LED business would have gotten a lot more attention. Shares are down anywhere from -67% to -22% for LED-related companies like Applied Materials Inc. (NASDAQ: AMAT), Cree Inc. (NASDAQ: CREE), Rubicon Technology Inc. (NASDAQ: RBCN), SemiLEDS Corp. (NASDAQ: LEDS), and Aixtron SE (NASDAQ: AIXG).
SemiLEDS reported a smaller than expected loss about a month ago, but also said that negative gross margins would continue. In its forecast last night, Veeco said that revenue would total $120-$145 million in the second quarter and adjusted EPS would be $0.29-$0.48. The consensus estimates had been for revenue of $128.2 million and adjusted EPS of $0.23. The company expects to garner revenue of $500-$600 million for the full fiscal year.
The company’s CEO had this to say:
While [equipment] bookings grew modestly in the first quarter, we have not yet seen a clear inflection in customer buying patterns. LED customers remain cautious about capacity investment plans and it is still unclear when the [equipment] market will recover. Some positive signs are emerging, including increasing tool utilization rates in Korea, Taiwan and China, and a pick-up in customer quoting activity.
Veeco’s shares are up more than 14% today at $34.45 in a 52-week range of $20.35-$57.67. The other LED makers are also up, with Rubicon getting the biggest boost of about 7.6%. That’s probably because Rubicon has not yet reported first quarter results nor has the company set a date yet to do so.
Paul Ausick
Contact [email protected] for any questions or corrections.
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