AXT Inc ( (AXTI) ) has released its Q2 earnings. Here is a breakdown of the information AXT Inc presented to its investors.
Elevate Your Investing Strategy:
- Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
AXT, Inc. is a material science company specializing in the development and manufacturing of high-performance compound semiconductor substrate wafers, such as indium phosphide, gallium arsenide, and germanium, which are used in various advanced technology applications.
In its second quarter of 2025 financial results, AXT, Inc. reported a decrease in revenue compared to both the previous quarter and the same quarter last year. Despite the challenges, the company highlighted progress in improving gross margins and noted a rise in AI-related demand for indium phosphide substrates in China.
Key financial metrics revealed that AXT, Inc. experienced a revenue decline to $18.0 million from $19.4 million in the previous quarter and $27.9 million in the same quarter last year. The company’s GAAP gross margin improved to 8.0% from a negative margin in the previous quarter, though it was significantly lower than the previous year’s margin. The net loss narrowed to $7.0 million from $8.8 million in the previous quarter.
Strategically, AXT, Inc. is making strides in the Chinese market with the shipment of indium phosphide substrates outside China after obtaining export permits. The company is also progressing with the listing of its subsidiary, Beijing Tongmei Xtal Technology Co., Ltd., on the Shanghai Stock Exchange’s STAR Market, which remains under regulatory review.
Looking ahead, AXT, Inc. is focused on enhancing its competitive positioning through superior product performance and supporting next-generation technology requirements globally. The company remains committed to navigating the challenges in the demand environment and improving its financial performance.