Kulicke and Soffa Reports $161.986 Million Revenue and $84.519 Million Net Loss for Quarter Ended March 29, 2025

Kulicke and Soffa Industries, Inc. reported a net revenue of $161.986 million for the three months ended March 29, 2025, a decrease of 5.9% compared to $172.074 million for the same period in 2024. For the six months, revenue also declined by 4.4% to $328.110 million from $343.263 million year-over-year. The company experienced a significant increase in gross profit, which rose to $40.384 million for the quarter, up 145.2% from $16.471 million in the prior year, primarily due to a reduction in cost of sales, which fell by 21.9% to $121.602 million. Despite these improvements, Kulicke and Soffa reported a net loss of $84.519 million for the quarter, compared to a loss of $102.680 million in the same quarter last year.

The company’s financial performance reflects strategic changes, including the planned cessation of its Electronics Assembly (EA) equipment business, which was approved by the Board of Directors on March 25, 2025. This decision aims to refocus on core semiconductor assembly opportunities and is expected to be completed by the first half of fiscal 2026. The cessation has led to impairment charges totaling $39.817 million, impacting the company's goodwill and intangible assets. Additionally, the company recorded a gain of $75.987 million related to the reimbursement from the cancellation of Project W, which contributed positively to the financial results for the six-month period.

Operationally, Kulicke and Soffa's customer base remains concentrated in the Asia/Pacific region, with approximately 86.3% of net revenue for the quarter derived from international shipments. The company reported a total of 52,769,348 shares of common stock outstanding as of May 2, 2025. The company’s cash and cash equivalents increased to $286.519 million, up from $227.147 million at the end of the previous fiscal year, indicating a stronger liquidity position. However, the company also noted challenges in the semiconductor market, including inventory adjustments by customers and macroeconomic pressures affecting demand.

Looking ahead, Kulicke and Soffa anticipates continued volatility in the semiconductor industry, driven by macroeconomic factors and geopolitical tensions. The company plans to leverage its strong cash position to invest in product development and pursue growth opportunities while managing costs effectively. The ongoing wind-down of the EA equipment business is expected to enhance overall financial performance in the long term, although the company remains cautious about potential impacts from external market conditions.