Aehr Test Systems' Earnings Call: 2 Key Things Investors Should Know
Last week, Aehr Test Systems (NASDAQ: AEHR), which makes semiconductor test and reliability qualification equipment, released its fiscal second-quarter 2024 report. Investors disliked the report, sending shares tumbling 16.8% on the following day.
The results for the quarter ended on Nov. 30, 2023, did not spark the sell-off. Indeed, they were strong, driven heavily by demand for the company's wafer-level burn-in equipment from manufacturers of silicon carbide (SiC) semiconductors for use in electric vehicles (EVs). Revenue grew 45% year over year to $21.4 million, beating Wall Street's expectation of $20.9 million. Adjusted earnings per share (EPS) jumped 44% to $0.23, topping the analyst consensus estimate of $0.19.
The catalyst for the stock sell-off was management's lowering of its full-year guidance for fiscal 2024, which ends on May 31. The company now expects annual revenue from $75 million to $85 million, which represents a growth rate of 15% to 30% year over year. Its prior outlook was revenue of at least $100 million. It also projects net income on the basis of generally accepted accounting principles (GAAP) of between 20% and 25% of revenue. Its prior outlook for this metric was at least $28 million.
Source Fool.com
