MKS Instruments Reports Fourth Quarter and Full-Year 2024 Financial Results

MKS Instruments, Inc., a global provider of enabling technologies for semiconductor, electronics, and industrial applications, has released its financial results for the fourth quarter and full year of 2024. The company reported strong performance despite a mixed demand environment, showcasing its robust technology portfolio and strategic initiatives.

Financial Highlights

For the fourth quarter of 2024, MKS Instruments reported:

• Quarterly revenue of $935 million, surpassing the midpoint of guidance.
• Quarterly GAAP net income of $90 million, with net income per diluted share of $1.33.
• Quarterly Adjusted EBITDA of $237 million and Non-GAAP net earnings per diluted share of $2.15, both above the midpoint of guidance.

For the full year of 2024, the company achieved:

• Total net revenues of $3.586 billion.
• GAAP net income of $190 million, with net income per diluted share of $2.81.
• Non-GAAP net earnings of $444 million, with Non-GAAP net earnings per diluted share of $6.58.

Business and Operational Highlights

The company's revenue segments showed varied performance:

• Semiconductor segment revenue was $400 million for Q4 2024, up from $378 million in Q3 2024.
• Electronics & Packaging segment revenue was $254 million for Q4 2024, up from $231 million in Q3 2024.
• Specialty Industrial segment revenue was $281 million for Q4 2024, slightly down from $287 million in Q3 2024.

Operationally, MKS Instruments maintained a healthy gross margin of 47.2% for Q4 2024 and continued to generate strong operating cash flow.

Strategic Initiatives and Corporate Developments

Key strategic initiatives and corporate developments include:

• Completion of another repricing of the term loan B and a voluntary principal prepayment of $100 million in January 2025.
• Payment of a cash dividend of $15 million or $0.22 per diluted share during Q4 2024.
• Continued focus on cost management and cash generation, contributing to robust financial performance.

Management's Perspective

John T.C. Lee, President and CEO, highlighted the company's strong finish to 2024, emphasizing the broad and deep technology portfolio that positions MKS Instruments well for future opportunities. CFO Ram Mayampurath noted the company's healthy gross margin, earnings per share growth, and increased operating cash flow as indicators of robust financial health and effective cost management.

Future Outlook

For the first quarter of 2025, MKS Instruments expects:

• Revenue of $910 million, plus or minus $40 million.
• GAAP net income of $43 million, plus or minus $19 million.
• Adjusted EBITDA of $217 million, plus or minus $23 million.
• GAAP net income per diluted share of $0.63, plus or minus $0.28.
• Non-GAAP net earnings per diluted share of $1.40, plus or minus $0.27.

The guidance reflects the current business environment, including the impact of recently announced U.S. import tariffs.

SEC Filing: MKS INSTRUMENTS INC [ MKSI ] - 8-K - Feb. 12, 2025