Shares of Cohu (NASDAQ: COHU), a global supplier of equipment and services for semiconductor manufacturing, are soaring 5.21% in pre-market trading on Friday. This surge follows the company's impressive second-quarter 2025 financial results and optimistic third-quarter outlook, which were released after market close on Thursday.

Cohu significantly outperformed analyst expectations in Q2, reporting adjusted earnings per share of $0.02 compared to the anticipated loss of $0.02 per share. Revenue also beat estimates, coming in at $107.7 million versus the expected $106 million, representing a 2.85% year-over-year increase. The company's gross margin for the quarter stood at 43.7%, with a non-GAAP gross margin of 44.4%. Additionally, Cohu's test cell utilization improved, increasing by 3 percentage points quarter-over-quarter to reach 75%.

Investors are particularly encouraged by Cohu's optimistic outlook for the third quarter. The company expects Q3 sales to be in the range of $125 million, plus or minus $7 million, suggesting continued growth momentum. Furthermore, Cohu highlighted several positive business developments, including a $28 million design-win order for the mobile and automotive sectors, the introduction of a new Eclipse handler model, and the qualification of its ULTRA-S contactor for precision analog IC testing. These factors, combined with the company's strong financial performance, appear to be driving investor confidence and contributing to the stock's pre-market surge.