Strong Financial Performance
Despite flat year-over-year revenue of $3.6 billion, MKS Instruments achieved a 190 basis point expansion in gross margin, increased earnings per share by 49%, and improved free cash flow by $178 million.
Debt Management and Interest Expense Reduction
The company executed an upsized $1.4 billion convertible note offering and made voluntary prepayments of $426 million on its term loan facility. These actions, along with a slight improvement in the interest rate environment, reduced the annual interest expense run-rate by over $130 million.
Growth in Semiconductor and Electronics Markets
In Q4, revenue grew 5% year-over-year, driven by double-digit growth in electronics and packaging and semiconductor end markets. Semiconductor revenue increased 6% sequentially, mainly due to DRAM and logic foundry demand.
Recognition in Industry
MKS was named to U.S. News & World Report’s Best Companies to Work For in its industry and recognized by Newsweek and Statista as one of America’s most responsible companies for 2025.