AXT Inc. Reports Significant Revenue Growth in Q3 2024

AXT Inc., a leading manufacturer of compound semiconductor substrates and raw materials, has released its Form 10-Q report for the third quarter of 2024. The report highlights significant financial improvements and provides insights into the company's operational performance and future outlook.

Financial Highlights

• Revenue: $23.645 million for the three months ended September 30, 2024, compared to $17.366 million for the same period in 2023, reflecting a significant increase driven by higher sales in substrates and raw materials.
• Gross Profit: $5.682 million for the three months ended September 30, 2024, up from $1.866 million in the same period in 2023, indicating improved cost management and increased sales volume.
• Loss from Operations: $(3.406) million for the three months ended September 30, 2024, compared to $(6.727) million for the same period in 2023, showing a reduction in operating losses due to higher gross profit.
• Net Loss: $(2.887) million for the three months ended September 30, 2024, compared to $(6.415) million for the same period in 2023, demonstrating a narrowing of net losses.
• Net Loss Attributable to AXT, Inc.: $(2.937) million for the three months ended September 30, 2024, compared to $(5.823) million for the same period in 2023.
• Net Loss Attributable to AXT, Inc. per Common Share - Basic and Diluted: $(0.07) for the three months ended September 30, 2024, compared to $(0.14) for the same period in 2023.

Business Highlights

• Revenue Segments: The company reported revenue from two main product lines: Substrates and Raw Materials. Substrates generated $15,007,000 for the three months ended September 30, 2024, compared to $10,385,000 in the same period in 2023. Raw Materials and Other contributed $8,638,000, up from $6,981,000 in the previous year.
• Geographical Performance: China remains the largest market, with revenues of $13,807,000 for the three months ended September 30, 2024, up from $10,307,000 in 2023. Other significant markets include Taiwan and Europe, with revenues of $2,140,000 and $2,720,000 respectively.
• Future Outlook: The company plans to continue its strategic investments in private companies in China to secure raw materials at competitive costs. Additionally, there is an intention to construct facilities at the ChaoYang LiMei location to increase production capacity when market conditions are favorable.

SEC Filing: AXT Inc. Reports Significant Revenue Growth in Q3 2024 [ NASDAQ:AXTI ] - 10-Q - Nov. 12, 2024