EQS-News: Continued order momentum from Optoelectronics in Q2

Continued order momentum from Optoelectronics in Q2

Strong pull from AI data center communication continues / G10-AsP firmly established as the "tool of record" / Revenues at upper end of guidance range / Strong free cash flow / FY 2025 guidance confirmed

 

Herzogenrath, Germany, July 31, 2025 – AIXTRON SE (FSE: AIXA, ISIN DE000A0WMPJ6) reported revenues of EUR 137.4 million for the second quarter and EUR 249.9 million for the first half of the year (H1/2024: EUR 250.1 million). This places the company well at the upper end of its Q2 guidance range of EUR 120 million to EUR 140 million, reflecting a strong performance in a generally soft market environment.

 

Demand in the optoelectronics segment continues to gain momentum, fueled by increasing requirements for datacom lasers particularly for AI data centers. The G10 product series remains a key driver of success: The G10-AsP has been firmly established as the new tool of record in the laser market, and a major SiC volume order from China was won and successfully fulfilled by shipping the G10-SiC. The gallium nitride (GaN) and silicon carbide (SiC) power segments remain soft, with demand mostly driven by Asian customers.

 

AIXTRON confirms the guidance for the full year 2025 (revenues between EUR 530 million and EUR 600 million, gross margin of around 41% to 42%, EBIT margin of around 18% to 22%).

 

"Our strategy of targeting diverse, uncorrelated end markets continues to prove its value. While the SiC and GaN power electronics markets have not reached the turning point, we are seeing continued momentum in the datacom laser market. Our G10-AsP tool has firmly established itself as the tool of record, with volume orders coming from many of the leading laser manufacturers. Although a broader market recovery has yet to take shape, our strong execution keeps us firmly on track," said Dr. Felix Grawert, CEO of AIXTRON SE.

 

Order intake and order backlog

SiC tool demand particularly benefited from the transition from 150 mm to 200 mm wafers, as well as from the need for higher-productivity tools in response to increasing cost sensitivity of customers. One large volume order for G10-SiC from China was received and completed in H1/2025. Order intake in the first six months of 2025 amounted to EUR 250.7 million, in-line with expectations (H1/2024: EUR 296.0 million). In the second quarter 2025 order intake came in at EUR 118.5 million (Q2/2024: EUR 175.7 million). As of June 30, 2025, equipment order backlog stood at EUR 284.6 million (June 30, 2024: EUR 400.6 million), virtually unchanged from the EUR 289.3 million at the end of 2024.

 

Gross profit and gross margin

AIXTRON recorded a gross profit of EUR 89.9 million in the first six months of 2025 (H1/2024: EUR 92.9 million), with a gross margin of 36% (H1/2024: 37%). This includes one-off expenses in the mid-single-digit million EUR range related to the implemented personnel reduction in the operations area. Adjusted for this effect, the gross margin slightly exceeds the previous year's level at around 38%, mainly due to an improved product mix.

 

Operating expenses and operating result

Operating expenses decreased by 11% in the second quarter 2025, totaling EUR 32.2 million (Q2/2024: EUR 36.3 million). Research and development expenses, which account for the largest share, were reduced by 24% to EUR 36.0 million in the first six months of 2025 (H1/2024: EUR 47.5 million) due to reduced external contract work and consumables costs. Strong exchange rate changes led to expenses from exchange rate valuation EUR 4.6 million in the first six months of 2025 (H1/2024: expense of EUR 1.9m).

 

The operating result (EBIT) in the first six months of 2025 was EUR 26.9 million, corresponding to an EBIT margin of 11%, which was above the previous year (H1/2024: EUR 22.8 million; 9%). This includes the one-time expenses mentioned above. Adjusted for this effect, the EBIT margin was significantly higher than the previous year at around 13%, mainly due to the improved product mix and lower R&D expenses. The profit for the period in the first six months of 2025 came in at EUR 24.3 million (H1/2024: EUR 22.0 million).

 

Strong improvement in free cash flow

Cash flow from operating activities in the second quarter 2025 was EUR 50.0 million, significantly above the previous year's level (Q2/2024: EUR 20.2 million), driven primarily by continued inventory reductions. Year-over-year, inventories have been reduced by EUR 120 million (June 30, 2025: EUR 327.9 million; June 30, 2024: EUR 447.9 million). Free cash flow benefited from improved operating cash flow and significantly lower capital expenditures compared to the previous year, amounting to EUR 71.1 million in the first six months of 2025 (H1/2024: EUR -56.5 million). This corresponds to an improvement of EUR 127.6 million year-over-year.

 

As of June 30, 2025, following the dividend payment of EUR 16.9 million, AIXTRON reported cash and cash equivalents, including other current financial assets, of EUR 114.8 million (December 31, 2024: EUR 64.6 million). The equity ratio increased to 87%, underscoring AIXTRON's strong financial position (December 31, 2024: 83%).

 

"The continuation of the positive trend in our free cash flow underlines that we are progressing as planned. We are further reducing working capital, driven by ongoing inventory optimization. Rebuilding our strong cash position remains a key priority to ensure full strategic flexibility," said Dr. Christian Danninger, CFO of AIXTRON SE.

 

2025 full year guidance confirmed

Based on the current market development, the current tariffs situation and the budget rate of 1.10 USD/EUR, the Executive Board confirms the guidance for the fiscal year 2025 published on February 27, 2025. The Executive Board expects revenues in a range of EUR 530 million to EUR 600 million, a gross margin of 41% to 42% and an EBIT margin of 18% to 22% for the 2025 fiscal year.

 

These figures include one-off expenses in a mid-single-digit million EUR range related to the implemented personnel reduction in the operations area. This measure is expected to result in annualized savings in the mid-single-digit million EUR range, corresponding to an improvement in the gross margin and EBIT margin of around 1 percentage point.

 

An average USD/EUR exchange rate of 1.20 in the second half of fiscal year 2025 could reduce the full-year gross- and EBIT margin by around 1 percentage point.

 

The Executive Board will continue to monitor the impact of US tariff policies on the global economy and any resulting countermeasures, in order to continuously assess the potential effects on its supply chain and production, as well as on customer demand and thus on AIXTRON's business development, and to take corrective actions if necessary.

 

For the third quarter of 2025, the Executive Board expects revenues in the range of EUR 110 million to EUR 140 million.

 

 

Key figures at a glance

 

						+/-						+/-
in EUR million		H1 2025		H1 2024		%		Q2 2025		Q2 2024		%
Order intake		250.7		296.0		-15		118.5		175.7		-33
Order backlog (Equipment only)		284.6		400.6		-29		284.6		400.6		-29
Revenue		249.9		250.1		0		137.4		131.8		4
Gross profit		89.9		92.9		-3		55.7		49.1		13
%		36%		37%		-1pp		41%		37%		4pp
EBIT		26.9		22.8		18		23.6		12.9		83
%		11%		9%		2pp		17%		10%		7pp
Profit for the period		24.3		22.0		10		19.2		11.2		71
%		10%		9%		1pp		14%		8%		6pp
Net cash provided by operating activities		85.1		12.8		n.m.*		50.0		20.2		n.m.*
Free cash flow		71.1		-56.5		n.m.*		41.3		-23.4		n.m.*
Earnings per share (in EUR)		0.22		0.20		10		0.18		0.10		80

* not meaningful  due to too high period fluctuations

 

Financial information

The presentation on the results for the first six months of 2025 is available at:

www.aixtron.com/en/investors/publications/ir-presentations.

 

The complete financial tables of the Group (income statement, other comprehensive income, balance sheet, cash flow statement and statement of changes in equity) related to this press release are available as part of the Half-Year Group Financial Report H1/2025 at:

www.aixtron.com/en/investors/publications.

 

Investor conference call

In conjunction with the release of the H1/2025 results, AIXTRON will host a conference call (in English) for analysts and investors on Thursday, July 31, 2025 at 3:00 p.m. CEST (06:00 a.m. PST, 09:00 a.m. EST).

 

Please register for the event online at "Analyst Conference Call – Q2/2025". You will then receive an email with your personal access details.

 

An audio recording or transcript can be found after the conference at:

www.aixtron.com/en/investors/events/conference-calls.

 

Contact

 

Media & Investors:

Christian Ludwig

Vice President Investor Relations & Corporate Communications

fon +49 (2407) 9030-444

e-mail c.ludwig@aixtron.com

 

About AIXTRON

AIXTRON SE is a leading provider of deposition equipment to the semiconductor industry. The Company was founded in 1983 and is headquartered in Herzogenrath (near Aachen), Germany, with subsidiaries and sales offices in Asia, United States and in Europe. AIXTRON´s technology solutions are used by a diverse range of customers worldwide to build advanced components for electronic and optoelectronic applications based on compound semiconductor materials. Such components are used in a broad range of innovative applications, technologies, and industries. These include Laser and LED applications, display technologies, data transmission, SiC and GaN power management and conversion, communication, signaling and lighting as well as a range of other leading-edge applications.

 

Our registered trademarks: AIXACT®, AIX-Multi-Ject®, AIXTRON®, Close Coupled Showerhead®, EXP®, EPISON®, Gas Foil Rotation®, Multi-Ject®, OVPD®, Planetary Reactor®, PVPD®, STExS®, TriJet®.

 

For further information on AIXTRON (FSE: AIXA, ISIN DE000A0WMPJ6) please visit our website at: www.aixtron.com

 

 

Forward-Looking Statements

This document may contain forward-looking statements regarding the business, results of operations, financial condition and earnings outlook of AIXTRON. These statements may be identified by words such as “may”, “will”, “expect”, “anticipate”, “contemplate”, “intend”, “plan”, “believe”, “continue” and “estimate” and variations of such words or similar expressions. These forward-looking statements are based on our current assessments, expectations and assumptions, of which many are beyond control of AIXTRON, and are subject to risks and uncertainties. You should not place undue reliance on these forward-looking statements. Should these risks or uncertainties materialize or should underlying expectations not occur or assumptions prove incorrect, actual results, performance or achievements of AIXTRON may materially vary from those described explicitly or implicitly in the relevant forward-looking statement. This could result from a variety of factors, such as actual customer orders received by AIXTRON, the level of demand for deposition technology in the market, the timing of final acceptance of products by customers, the condition of financial markets and access to financing for AIXTRON, general conditions in the market for deposition plants and macroeconomic conditions, cancellations, rescheduling or delays in product shipments, production capacity constraints, extended sales and qualification cycles, difficulties in the production process, the general development in the semi-conductor industry, increased competition, fluctuations in exchange rates, availability of public funding, fluctuations and/or changes in interest rates, delays in developing and marketing new products, a deterioration of the general economic situation and any other factors discussed in any reports or other announcements , in particular in the chapter Risks in the Annual Report, filed by AIXTRON. Any forward-looking statements contained in this document are based on current expectations and projections of the executive board based on information available the date hereof. AIXTRON undertakes no obligation to revise or update any forward-looking statements as a result of new information, future events or otherwise, unless expressly required to do so by law.

This document is an English language translation of a document in German language. In case of discrepancies, the German language document shall prevail and shall be the valid version.