Onto Innovation Reports 35.3% Revenue Growth to $343.1 Million in Latest Quarter

Onto Innovation Inc. reported significant financial growth in its latest quarterly results, with revenue reaching $343.1 million for the three months ended June 30, 2026, a 35.3% increase from $253.6 million in the same period last year. For the six months ended June 30, 2026, revenue totaled $635.1 million, up 22.1% from $520.2 million in the prior year. The company's gross profit for the quarter was $183.3 million, translating to a gross margin of 53.4%, compared to 48.2% in the same quarter of the previous year. Net income for the quarter was $60.1 million, or $1.21 per diluted share, compared to $33.9 million, or $0.69 per diluted share, in the prior year.

The company experienced notable changes in its operating expenses, which increased to $119.7 million for the quarter, up from $89.9 million a year earlier. This rise was attributed to higher research and development costs, increased sales and marketing expenses, and general administrative costs, reflecting the company's commitment to innovation and market expansion. The increase in operating expenses was partially offset by a favorable sales mix, with a shift towards higher-margin products contributing to improved profitability.

Strategically, Onto Innovation has been active in expanding its market presence. The company completed the acquisition of Semilab USA LLC in November 2025, which has since contributed to revenue growth. Additionally, Onto Innovation announced a definitive agreement to acquire a 27% stake in Rigaku Holdings Corporation for approximately $710 million, expected to close in the second half of 2026. This acquisition is anticipated to enhance the company's capabilities in the semiconductor market.

Operationally, Onto Innovation reported an increase in its employee headcount to approximately 1,867 as of June 30, 2026, reflecting its growth initiatives. The company also reported a significant increase in cash and cash equivalents, totaling $1.25 billion, up from $346.1 million at the beginning of the year. This increase was primarily driven by the issuance of $1.5 billion in convertible senior notes, which provided substantial liquidity for future investments and operational needs.

Looking ahead, Onto Innovation remains optimistic about its growth trajectory, driven by strong demand in the semiconductor market and ongoing investments in research and development. The company expects to leverage its enhanced financial position to capitalize on emerging opportunities and continue delivering value to its shareholders.