AEIS Advanced Energy Industries Inc

• Q4 revenue was $415.4 million, above the high end of guidance
• Q4 GAAP EPS from continuing operations was $1.29; Q4 Non-GAAP EPS was $1.30, above the mid-point of guidance
• 2024 revenue was $1.48 billion
• 2024 GAAP EPS from continuing operations was $1.49; 2024 Non-GAAP EPS was $3.71
• 2024 cash flow from continuing operations was $132.9 million

Advanced Energy Industries, Inc. (Nasdaq: AEIS), a global leader in highly engineered, precision power conversion, measurement, and control solutions, today announced financial results for the fourth quarter and year ended December 31, 2024.

“Fourth quarter results exceeded our guidance, with total revenue resuming year-over-year growth on better-than-expected demand in our semiconductor and data center computing markets,” said Steve Kelley, president and CEO of Advanced Energy. “Customers are embracing our best-in-class products, which we believe will drive meaningful share gains as markets recover.”

Quarter Results

Revenue was $415.4 million in the fourth quarter of 2024, compared with $374.2 million in the third quarter of 2024 and $405.3 million in the fourth quarter of 2023.

GAAP net income from continuing operations was $49.1 million or $1.29 per diluted share in the quarter, compared with GAAP net loss of $14.1 million or a loss of $0.38 per diluted share in the prior quarter, and GAAP net income of $37.9 million or $1.01 per diluted share a year ago.

GAAP net income in the fourth quarter included a one-time, net tax benefit of $15.0 million as a result of an intercompany transfer of assets as part of the company streamlining its legal entity structure. GAAP net loss in the third quarter reflected a $28.5 million restructuring charge as part of our previously announced manufacturing consolidation. GAAP net income in the fourth quarter of 2023 included a restructuring and impairment charge of $18.1 million as part of the factory and cost optimization plan and a tax benefit of $25.6 million as a result of the release of a deferred tax asset valuation allowance.

Non-GAAP net income was $49.4 million or $1.30 per diluted share in the fourth quarter of 2024. This compares with $37.0 million or $0.98 per diluted share in the third quarter of 2024, and $46.7 million or $1.24 per diluted share in the fourth quarter of 2023.

Advanced Energy generated $82.7 million in cash flow from continuing operations during the quarter and paid $3.8 million in quarterly dividends.

Full Year 2024 Results

2024 revenue was $1.48 billion, a 10% decrease from $1.66 billion in 2023.

GAAP net income from continuing operations was $56.3 million or $1.49 per diluted share in 2024, compared with $130.7 million or $3.46 per diluted share in 2023.

GAAP net income for the year included a one-time, net tax benefit of $15.0 million as a result of an intercompany transfer of assets as part of the company streamlining its legal entity structure and a $29.6 million restructuring charge as part of our previously announced manufacturing consolidation. GAAP net income in 2023 included a restructuring and impairment charge of $27.0 million as part of the factory and cost optimization plan and a tax benefit of $25.6 million as a result of the release of a deferred tax asset valuation allowance.

The Company generated $132.9 million in cash flow from operating activities from continuing operations, repurchased $1.8 million of common stock at an average price of $93.58, and paid $15.4 million in dividends. The Company used $355.0 million of cash on hand to prepay the term loan. At year-end, outstanding debt was $564.7 million, representing the 2028 convertible notes, net of unamortized issuance costs. Cash and equivalents at year-end were $722.1 million.

Non-GAAP net income was $140.3 million or $3.71 per diluted share in 2024. This compares with $184.0 million or $4.88 per diluted share in 2023.

A reconciliation of GAAP and non-GAAP measures is provided in the tables below.

First Quarter 2025 Guidance

Based on the Company’s current view, beliefs, and assumptions, guidance is within the following ranges:

 

 

 

 

 

 

 

 

Q1 2025

Revenue

$392 million +/- $20 million

GAAP EPS from continuing operations

$0.48 +/- $0.25

Non-GAAP EPS

$1.03 +/- $0.25

Conference Call

Management will host a conference call today, February 12, 2025, at 2:30 p.m. Eastern Time to discuss the fourth quarter financial results. To participate in the live earnings conference call, please dial 877-407-0890 approximately ten minutes prior to the start of the meeting and an operator will connect you. International participants can dial +1-201-389-0918. A webcast will also be available on our investor web page at ir.advancedenergy.com in the Events & Presentations section. The archived webcast will be available approximately two hours following the end of the live event.

About Advanced Energy

Advanced Energy Industries, Inc. (Nasdaq: AEIS) is a global leader in the design and manufacture of highly engineered, precision power conversion, measurement and control solutions for mission-critical applications and processes. Advanced Energy’s power solutions enable customer innovation in complex applications for a wide range of industries including semiconductor equipment, industrial production, medical and life sciences, data center computing, networking, and telecommunications. With engineering know-how and responsive service and support for customers around the globe, the Company builds collaborative partnerships to meet technology advances, propels growth of its customers, and innovates the future of power. Advanced Energy has devoted four decades to perfecting power. It is headquartered in Denver, Colorado, USA. For more information, visit www.advancedenergy.com.

Advanced Energy | Precision. Power. Performance. Trust.

Non-GAAP Measures

This release includes measures, such as non-GAAP net income and non-GAAP earnings per share (“EPS”) that are not prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”). Management uses non-GAAP net income and non-GAAP EPS to evaluate business performance without the impacts of certain non-cash charges and other charges which are not part of our usual operations. We use these non-GAAP measures to assess performance against business objectives and make business decisions, including developing budgets and forecasting future periods. In addition, management’s incentive plans include these non-GAAP measures as criteria for achievements. These non-GAAP measures are not prepared in accordance with U.S. GAAP and may differ from non-GAAP methods of accounting and reporting used by other companies. However, we believe these non-GAAP measures provide additional information that enables readers to evaluate our business from the perspective of management. The presentation of this additional information should not be considered a substitute for results prepared in accordance with U.S. GAAP.

The non-GAAP results presented below exclude the impact of non-cash related charges, such as stock-based compensation, amortization of intangible assets, and long-term unrealized foreign exchange gains and losses. In addition, we exclude discontinued operations and other non-recurring items such as acquisition-related costs, facility expansion and related costs, and restructuring expenses, as they are not indicative of future performance. The tax effect of our non-GAAP adjustments represents the anticipated annual tax rate applied to each non-GAAP adjustment after consideration of their respective book and tax treatments.

Forward-Looking Statements

This press release and statements we make on the above announced conference call contain, in addition to historical information, forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Statements in this press release or the conference call that are not historical information are forward-looking statements. For example, statements relating to our beliefs, expectations, and plans are forward-looking statements, as are statements that certain actions, conditions, or circumstances will continue. The inclusion of words such as "anticipate," "expect," "estimate," "can," "may," "might," "continue," "enables," "plan," "intend," "should," "could," "would," "likely," "potential," or "believe," and similar expressions and the negative versions thereof indicate forward-looking statements; however, not all forward-looking statements may contain such words or expressions. These forward-looking statements are based upon information available as of the date of this press release and management’s current estimates, forecasts, and assumptions. Although we believe that our expectations reflected in or suggested by these forward-looking statements are reasonable, we may not achieve the results, performance, plans, or objectives expressed or implied by such forward-looking statements. Forward-looking statements involve risks and uncertainties, which are difficult to predict and many of which are beyond our control.

Risks and uncertainties to which our forward-looking statements are subject include, but are not limited to: volatility and business fluctuations in the industries in which we operate; our ability to achieve design wins with new and existing customers; our ability to accurately forecast and meet customer demand; risks related to global economic conditions, such as the impact of escalating global conflicts on macroeconomic conditions, economic uncertainty, market volatility, rising interest rates, inflation, or recession; customer price sensitivity; concentration of our customer base; risks associated with breach of our information security measures; difficulties with the implementation of our enterprise resource planning and other enterprise-wide information technology system applications; our loss of or inability to attract and retain key personnel; risks associated with our manufacturing footprint optimization and movement of manufacturing locations for certain products; disruptions to our manufacturing operations or those of our customers or suppliers; our ability to successfully identify, close, integrate and realize anticipated benefits from our acquisitions; quality issues or unanticipated costs in fulfilling our warranty obligations (including our discontinued solar inverter product line); risks inherent in our international operations, including the effect of trade and export controls, political and geographical risks, the impact of tariffs on our supply or products, and fluctuations in currency exchange rates; our ability to enforce, protect, and maintain our proprietary technology and intellectual property rights; regulatory risk related to our supply chain; legal matters, claims, investigations, and proceedings; changes to tax laws and regulations or our tax rates; changes in federal, state, local and foreign regulations, including with respect to privacy and data protection, and environmental regulation; the effect of our debt obligations and restrictive covenants on our ability to operate our business; risks related to our unfunded pension obligations; our estimates of the fair value of intangible assets; the potential impact of dilution related to our convertible debt, hedge, and warrant transactions; and certain risks relating to ownership of our common stock.

Actual results could differ materially and adversely from those expressed in any forward-looking statements, and readers are cautioned not to place undue reliance on forward-looking statements. Factors that could contribute to these differences or prove our forward-looking statements, by hindsight, to be overly optimistic or unachievable include, but are not limited to, the risks and uncertainties listed above and described in Advanced Energy’s Form 10-K, Forms 10-Q and other reports and statements filed with the Securities and Exchange Commission (the “SEC”). These reports and statements are available on the SEC’s website at www.sec.gov. Copies may also be obtained from Advanced Energy’s investor relations page at ir.advancedenergy.com or by contacting Advanced Energy’s investor relations at 970-407-6555. Forward-looking statements are made and based on information available to us on the date of this press release. Aspirational goals and targets discussed on the conference call or in the presentation materials should not be interpreted in any respect as guidance. We assume no obligation to update the information in this press release or provide the reasons why our actual results may differ.

ADVANCED ENERGY INDUSTRIES, INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED)

(in thousands, except per share data)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended

 

Year Ended

 

 

December 31,

 

September 30,

 

December 31,

 

 

2024

 

2023

 

2024

 

2024

 

2023

Revenue, net

 

$

415,403

 

$

405,271

 

$

374,217

 

$

1,482,042

 

$

1,655,810

 

Cost of revenue

 

 

260,698

 

 

262,405

 

 

240,149

 

 

952,699

 

 

1,063,412

 

Gross profit

 

 

154,705

 

 

142,866

 

 

134,068

 

 

529,343

 

 

592,398

 

Gross margin %

 

 

37.2

%

 

35.3

%

 

35.8

%

 

35.7

%

 

35.8

%

 

 

 

 

 

 

 

 

 

 

 

 

Operating expenses:

 

 

 

 

 

 

 

 

 

 

 

Research and development

 

 

56,102

 

 

49,025

 

 

53,561

 

 

211,834

 

 

202,439

 

Selling, general, and administrative

 

 

58,164

 

 

54,932

 

 

56,237

 

 

224,538

 

 

221,034

 

Amortization of intangible assets

 

 

5,527

 

 

7,068

 

 

6,772

 

 

26,046

 

 

28,254

 

Restructuring, asset impairments, and other charges

 

 

902

 

 

18,071

 

 

28,546

 

 

30,318

 

 

26,977

 

Total operating expenses

 

 

120,695

 

 

129,096

 

 

145,116

 

 

492,736

 

 

478,704

 

Operating income (loss)

 

 

34,010

 

 

13,770

 

 

(11,048

)

 

36,607

 

 

113,694

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest income

 

 

7,078

 

 

12,810

 

 

11,018

 

 

42,860

 

 

27,092

 

Interest expense

 

 

(4,644

)

 

(7,198

)

 

(6,378

)

 

(25,105

)

 

(16,566

)

Other income (expense), net

 

 

4,137

 

 

(3,184

)

 

(8,139

)

 

(1,985

)

 

(1,759

)

Income from continuing operations, before income tax

 

 

40,581

 

 

16,198

 

 

(14,547

)

 

52,377

 

 

122,461

 

Income tax benefit

 

 

(8,481

)

 

(21,693

)

 

(400

)

 

(3,929

)

 

(8,288

)

Income (loss) from continuing operations

 

 

49,062

 

 

37,891

 

 

(14,147

)

 

56,306

 

 

130,749

 

Loss from discontinued operations, net of income tax

 

 

(188

)

 

(389

)

 

(758

)

 

(2,092

)

 

(2,465

)

Net income (loss)

 

$

48,874

 

$

37,502

 

$

(14,905

)

$

54,214

 

$

128,284

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic weighted-average common shares outstanding

 

 

37,536

 

 

37,297

 

 

37,532

 

 

37,476

 

 

37,480

 

Diluted weighted-average common shares outstanding

 

 

38,000

 

 

37,585

 

 

37,532

 

 

37,839

 

 

37,750

 

 

 

 

 

 

 

 

 

 

 

 

 

Earnings (loss) per share attributable to Advanced Energy Industries, Inc:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Continuing operations:

 

 

 

 

 

 

 

 

 

 

 

Basic earnings (loss) per share

 

$

1.31

 

$

1.02

 

$

(0.38

)

$

1.50

 

$

3.49

 

Diluted earnings (loss) per share

 

$

1.29

 

$

1.01

 

$

(0.38

)

$

1.49

 

$

3.46

 

 

 

 

 

 

 

 

 

 

 

 

 

Discontinued operations:

 

 

 

 

 

 

 

 

 

 

 

Basic loss per share

 

$

(0.01

)

$

(0.01

)

$

(0.02

)

$

(0.06

)

$

(0.07

)

Diluted loss per share

 

$

—

 

$

(0.01

)

$

(0.02

)

$

(0.06

)

$

(0.07

)

 

 

 

 

 

 

 

 

 

 

 

 

Net income (loss):

 

 

 

 

 

 

 

 

 

 

 

Basic earnings (loss) per share

 

$

1.30

 

$

1.01

 

$

(0.40

)

$

1.45

 

$

3.42

 

Diluted earnings (loss) per share

 

$

1.29

 

$

1.00

 

$

(0.40

)

$

1.43

 

$

3.40

 

 

ADVANCED ENERGY INDUSTRIES, INC.

CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED)

(in thousands)

 

 

 

 

 

 

 

 

 

December 31,

 

December 31,

 

 

2024

 

2023

ASSETS

 

 

 

 

 

 

Current assets:

 

 

 

 

 

 

Cash and cash equivalents

 

$

722,086

 

$

1,044,556

Accounts receivables, net

 

 

265,315

 

 

282,430

Inventories

 

 

360,411

 

 

336,137

Other current assets

 

 

41,511

 

 

48,771

Total current assets

 

 

1,389,323

 

 

1,711,894

 

 

 

 

 

 

 

Property and equipment, net

 

 

185,604

 

 

167,665

Operating lease right-of-use assets

 

 

96,305

 

 

95,432

Other assets

 

 

155,269

 

 

136,448

Goodwill and intangible assets, net

 

 

435,393

 

 

445,318

Total assets

 

$

2,261,894

 

$

2,556,757

 

 

 

 

 

 

 

LIABILITIES AND STOCKHOLDERS’ EQUITY

 

 

 

 

 

 

 

 

 

 

 

 

 

Current liabilities:

 

 

 

 

 

 

Accounts payable

 

$

143,502

 

$

141,850

Other accrued expenses

 

 

152,894

 

 

156,254

Current portion of long-term debt

 

 

—

 

 

20,000

Current portion of operating lease liabilities

 

 

17,826

 

 

17,744

Total current liabilities

 

 

314,222

 

 

335,848

 

 

 

 

 

 

 

Long-term debt

 

 

564,695

 

 

895,679

Other long-term liabilities

 

 

176,267

 

 

181,048

Long-term liabilities

 

 

740,962

 

 

1,076,727

 

 

 

 

 

 

 

Total liabilities

 

 

1,055,184

 

 

1,412,575

Deferred compensation

 

 

3,539

 

 

—

 

 

 

 

 

 

 

Total stockholders' equity

 

 

1,203,171

 

 

1,144,182

Total liabilities and stockholders’ equity

 

$

2,261,894

 

$

2,556,757

 

ADVANCED ENERGY INDUSTRIES, INC.

CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS (UNAUDITED)

(in thousands)

 

 

 

 

 

 

 

 

 

Year Ended December 31,

 

 

2024

 

2023

CASH FLOWS FROM OPERATING ACTIVITIES:

 

 

 

 

 

 

Net income

 

$

54,214

 

 

$

128,284

 

Less: loss from discontinued operations, net of income tax

 

 

(2,092

)

 

 

(2,465

)

Income from continuing operations, net of income tax

 

 

56,306

 

 

 

130,749

 

 

 

 

 

 

 

 

Adjustments to reconcile net income to net cash from operating activities:

 

 

 

 

 

 

Depreciation and amortization

 

 

68,455

 

 

 

66,533

 

Stock-based compensation

 

 

45,940

 

 

 

31,001

 

Amortization and write off of debt issuance costs and debt discount

 

 

3,771

 

 

 

1,330

 

Deferred income tax benefit

 

 

(20,505

)

 

 

(33,940

)

Other

 

 

1,165

 

 

 

439

 

Changes in operating assets and liabilities, net of assets acquired

 

 

(22,208

)

 

 

16,813

 

Net cash from operating activities from continuing operations

 

 

132,924

 

 

 

212,925

 

Net cash from operating activities from discontinued operations

 

 

(2,177

)

 

 

(3,988

)

Net cash from operating activities

 

 

130,747

 

 

 

208,937

 

 

 

 

 

 

 

 

CASH FLOWS FROM INVESTING ACTIVITIES:

 

 

 

 

 

 

Purchases of long-term investments

 

 

(2,991

)

 

 

(3,746

)

Purchases of property and equipment

 

 

(56,788

)

 

 

(61,005

)

Acquisitions, net of cash acquired

 

 

(13,762

)

 

 

-

 

Net cash from investing activities

 

 

(73,541

)

 

 

(64,751

)

 

 

 

 

 

 

 

CASH FLOWS FROM FINANCING ACTIVITIES:

 

 

 

 

 

 

Proceeds from long-term borrowings

 

 

-

 

 

 

575,000

 

Payment of fees for long-term borrowings

 

 

(105

)

 

 

(13,880

)

Payments on long-term borrowings

 

 

(355,000

)

 

 

(20,000

)

Dividend payments

 

 

(15,369

)

 

 

(15,222

)

Payment for purchase of note hedges

 

 

-

 

 

 

(115,000

)

Proceeds from sale of warrants

 

 

-

 

 

 

74,865

 

Purchase and retirement of common stock

 

 

(1,770

)

 

 

(40,000

)

Net payments related to stock-based awards

 

 

(4,849

)

 

 

(79

)

Net cash from financing activities

 

 

(377,093

)

 

 

445,684

 

 

 

 

 

 

 

 

EFFECT OF CURRENCY TRANSLATION ON CASH

 

 

(2,583

)

 

 

(4,132

)

 

 

 

 

 

 

 

NET CHANGE IN CASH AND CASH EQUIVALENTS

 

 

(322,470

)

 

 

585,738

 

CASH AND CASH EQUIVALENTS, beginning of period

 

 

1,044,556

 

 

 

458,818

 

CASH AND CASH EQUIVALENTS, end of period

 

$

722,086

 

 

$

1,044,556

 

 

ADVANCED ENERGY INDUSTRIES, INC.

SUPPLEMENTAL INFORMATION (UNAUDITED)

(in thousands)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net Revenue by Market

 

Three Months Ended

 

Year Ended

 

 

December 31,

 

September 30,

 

December 31,

 

 

2024

 

2023

 

2024

 

2024

 

2023

Semiconductor Equipment

 

$

226,838

 

$

191,375

 

$

197,497

 

$

792,559

 

$

743,794

Industrial and Medical

 

 

76,818

 

 

108,600

 

 

76,837

 

 

316,177

 

 

474,449

Data Center Computing

 

 

88,673

 

 

62,853

 

 

80,653

 

 

284,192

 

 

249,874

Telecom and Networking

 

 

23,074

 

 

42,443

 

 

19,230

 

 

89,114

 

 

187,693

Total

 

$

415,403

 

$

405,271

 

$

374,217

 

$

1,482,042

 

$

1,655,810

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net Revenue by Geographic Region

 

Three Months Ended

 

Year Ended

 

 

December 31,

 

September 30,

 

December 31,

 

 

2024

 

2023

 

2024

 

2024

 

2023

North America

 

$

187,382

 

$

187,240

 

$

175,691

 

$

669,946

 

$

724,481

Asia

 

 

194,744

 

 

169,700

 

 

163,212

 

 

661,854

 

 

713,571

Europe

 

 

32,302

 

 

47,501

 

 

34,892

 

 

147,560

 

 

212,368

Other

 

 

975

 

 

830

 

 

422

 

 

2,682

 

 

5,390

Total

 

$

415,403

 

$

405,271

 

$

374,217

 

$

1,482,042

 

$

1,655,810

 

ADVANCED ENERGY INDUSTRIES, INC.

SELECTED OTHER DATA (UNAUDITED)

(in thousands)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Reconciliation of Non-GAAP measure - Operating expenses and operating income, excluding certain items

 

Three Months Ended

 

Year Ended

 

 

December 31,

 

September 30,

 

December 31,

 

 

2024

 

 

2023

 

 

2024

 

2024

 

 

2023

 

Gross profit from continuing operations, as reported

 

$

154,705

 

 

$

142,866

 

 

$

134,068

 

 

$

529,343

 

 

$

592,398

 

Adjustments to gross profit:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Stock-based compensation

 

 

1,063

 

 

 

472

 

 

 

1,046

 

 

 

3,994

 

 

 

2,059

 

Facility expansion, relocation costs and other

 

 

2,084

 

 

 

1,146

 

 

 

868

 

 

 

4,421

 

 

 

2,334

 

Acquisition-related costs

 

 

—

 

 

 

44

 

 

 

—

 

 

 

(13

)

 

 

238

 

Non-GAAP gross profit

 

 

157,852

 

 

 

144,528

 

 

 

135,982

 

 

 

537,745

 

 

 

597,029

 

Non-GAAP gross margin

 

 

38.0

%

 

 

35.7

%

 

 

36.3

%

 

 

36.3

%

 

 

36.1

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Operating expenses from continuing operations, as reported

 

 

120,695

 

 

 

129,096

 

 

 

145,116

 

 

 

492,736

 

 

 

478,704

 

Adjustments:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Amortization of intangible assets

 

 

(5,527

)

 

 

(7,068

)

 

 

(6,772

)

 

 

(26,046

)

 

 

(28,254

)

Stock-based compensation

 

 

(10,574

)

 

 

(7,716

)

 

 

(10,868

)

 

 

(41,946

)

 

 

(28,942

)

Acquisition-related costs

 

 

(1,184

)

 

 

(1,372

)

 

 

(1,581

)

 

 

(5,965

)

 

 

(4,026

)

Facility expansion, relocation costs and other

 

 

(734

)

 

 

—

 

 

 

(488

)

 

 

(1,222

)

 

 

(189

)

Restructuring, asset impairments, and other charges

 

 

(902

)

 

 

(18,071

)

 

 

(28,546

)

 

 

(30,318

)

 

 

(26,977

)

Non-GAAP operating expenses

 

 

101,774

 

 

 

94,869

 

 

 

96,861

 

 

 

387,239

 

 

 

390,316

 

Non-GAAP operating income

 

$

56,078

 

 

$

49,659

 

 

$

39,121

 

 

$

150,506

 

 

$

206,713

 

Non-GAAP operating margin

 

 

13.5

%

 

 

12.3

%

 

 

10.5

%

 

 

10.2

%

 

 

12.5

%

 

ADVANCED ENERGY INDUSTRIES, INC.

SELECTED OTHER DATA (UNAUDITED)

(in thousands, except per share data)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Reconciliation of Non-GAAP measure - Income excluding certain items

 

Three Months Ended

 

Year Ended

 

 

December 31,

 

September 30,

 

December 31,

 

 

2024

 

 

2023

 

 

2024

 

2024

 

 

2023

 

Income (loss) from continuing operations, less non-controlling interest, net of income tax

 

$

49,062

 

 

$

37,891

 

 

$

(14,147

)

 

$

56,306

 

 

$

130,749

 

Adjustments:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Amortization of intangible assets

 

 

5,527

 

 

 

7,068

 

 

 

6,772

 

 

 

26,046

 

 

 

28,254

 

Acquisition-related costs

 

 

1,184

 

 

 

1,416

 

 

 

1,581

 

 

 

5,952

 

 

 

4,264

 

Facility expansion, relocation costs, and other

 

 

2,818

 

 

 

1,146

 

 

 

1,356

 

 

 

5,643

 

 

 

2,523

 

Restructuring, asset impairments, and other charges

 

 

902

 

 

 

18,071

 

 

 

28,546

 

 

 

30,318

 

 

 

26,977

 

Unrealized foreign currency loss (gain)

 

 

(4,203

)

 

 

2,728

 

 

 

3,993

 

 

 

(3,512

)

 

 

(89

)

Other costs included in other income (expense), net

 

 

(853

)

 

 

—

 

 

 

3,665

 

 

 

2,812

 

 

 

(1,516

)

Tax effect of non-GAAP adjustments, including certain discrete tax benefits

 

 

(14,271

)

 

 

(28,030

)

 

 

(4,172

)

 

 

(19,563

)

 

 

(31,303

)

Non-GAAP income, net of income tax, excluding stock-based compensation

 

 

40,166

 

 

 

40,290

 

 

 

27,594

 

 

 

104,002

 

 

 

159,859

 

Stock-based compensation, net of tax

 

 

9,193

 

 

 

6,387

 

 

 

9,412

 

 

 

36,292

 

 

 

24,181

 

Non-GAAP income, net of income tax

 

$

49,359

 

 

$

46,677

 

 

$

37,006

 

 

$

140,294

 

 

$

184,040

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Reconciliation of Non-GAAP measure - Weighted-average common shares adjusted for stock awards

 

Three Months Ended

 

Year Ended

 

 

December 31,

 

September 30,

 

December 31,

 

 

2024

 

 

2023

 

 

2024

 

2024

 

 

2023

 

Diluted weighted-average common shares outstanding

 

 

38,000

 

 

 

37,585

 

 

 

37,532

 

 

 

37,839

 

 

 

37,750

 

Dilutive effect of stock awards

 

 

—

 

 

 

—

 

 

 

360

 

 

 

—

 

 

 

—

 

Non-GAAP diluted weighted-average common shares outstanding

 

 

38,000

 

 

 

37,585

 

 

 

37,892

 

 

 

37,839

 

 

 

37,750

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Reconciliation of non-GAAP measure - per share earnings excluding certain items

 

Three Months Ended

 

Year Ended

 

 

December 31,

 

September 30,

 

December 31,

 

 

2024

 

2023

 

2024

 

2024

 

2023

Diluted earnings (loss) per share from continuing operations, as reported

 

$

1.29

 

$

1.01

 

$

(0.38

)

 

$

1.49

 

$

3.46

Add back:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Per share impact of non-GAAP adjustments, net of tax

 

 

0.01

 

 

0.23

 

 

1.36

 

 

 

2.22

 

 

1.42

Non-GAAP earnings per share

 

$

1.30

 

$

1.24

 

$

0.98

 

 

$

3.71

 

$

4.88

 

Reconciliation of Q1 2025 Guidance

Low End

High End

 

Revenue

 

$372 million

 

$412 million

 

Reconciliation of non-GAAP earnings per share

 

 

 

 

GAAP earnings per share

$

0.23

 

$

0.73

 

Stock-based compensation

 

0.35

 

 

0.35

 

Amortization of intangible assets

 

0.15

 

 

0.15

 

Restructuring, asset impairments, and other charges

 

0.17

 

 

0.17

 

Tax effects of excluded items

 

(0.12

)

 

(0.12

)

Non-GAAP earnings per share

$

0.78

 

$

1.28

 

 

View source version on businesswire.com: https://www.businesswire.com/news/home/20250212434708/en/

For more information, contact:

Andrew Huang Advanced Energy Industries, Inc. 970-407-6555 ir@aei.com