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SINGAPORE - Kulicke & Soffa Industries, Inc. (NASDAQ:KLIC) shares rose 5% after the semiconductor assembly equipment maker reported fourth-quarter earnings that exceeded analyst expectations and provided an optimistic outlook for the coming quarter.
The company posted adjusted earnings of $0.28 per share for its fiscal fourth quarter ended October 4, 2025, beating the analyst consensus of $0.22. Revenue came in at $177.6 million, surpassing the expected $168.3 million and showing a 19.6% increase from the previous quarter, though slightly down 2.1% YoY.
"We continue to focus on multiple technology engagements and are increasingly encouraged by improving end market dynamics and order activity," said Lester Wong, Kulicke & Soffa’s Interim Chief Executive Officer and Chief Financial Officer. "Our global operations and supply chain teams are preparing for increased customer demand over the coming quarters."
The company’s guidance for the first quarter of fiscal 2026 also topped expectations. Kulicke & Soffa forecast revenue of approximately $190 million (±$10 million) and adjusted earnings of $0.33 per share (±10%), both ahead of analyst estimates of $167 million in revenue and $0.23 in EPS.
The strong performance came despite ongoing challenges in the semiconductor industry. The company maintained a solid financial position with $510.7 million in cash, cash equivalents, and short-term investments as of October 4, 2025.
Gross margin for the fourth quarter improved to 45.7%, up from 42.5% for the full fiscal year. During the quarter, the company repurchased 0.5 million shares of common stock at a cost of $16.7 million, continuing its commitment to returning value to shareholders.
For the full fiscal year 2025, Kulicke & Soffa reported net revenue of $654.1 million and adjusted earnings of $0.21 per share, while generating $96.6 million in adjusted free cash flow.
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