Overview
AXT Q3 revenue increases to $28 mln, beating analyst expectations
Adjusted EPS for Q3 beats estimates, reflecting improved performance
Indium phosphide revenue grows over 250% sequentially, reaching a three-year high
Outlook
Company anticipates growth opportunities in 2026 driven by data center trends
AXT focuses on gross margin recovery and expense discipline for future growth
Result Drivers
INDIUM PHOSPHIDE DEMAND - Co reports over 250% sequential growth in indium phosphide revenues, driven by data center applications
GROSS MARGIN FOCUS - Co aims to drive gross margin recovery and expansion through operating expense discipline and inventory reduction
DATA CENTER TRENDS - Co sees strong market trends in data center upgrades as a key opportunity for growth in 2026
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q3 Revenue | Beat | $28 mln | $19.80 mln (5 Analysts) |
Q3 Adjusted EPS | Beat | -$0.03 | -$0.12 (5 Analysts) |
Q3 Adjusted Net Income | Beat | -$1.20 mln | -$5.42 mln (4 Analysts) |
Q3 Adjusted Gross Margin | 22.40% |
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 5 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"
The average consensus recommendation for the semiconductors peer group is "buy"
Wall Street's median 12-month price target for AXT Inc is $4.00, about 76.7% below its October 29 closing price of $7.07
Press Release: ID:nBw51538Xa
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)