Earnings To Watch: Kulicke and Soffa (KLIC) Reports Q3 Results Tomorrow

Semiconductor production equipment company Kulicke & Soffa (NASDAQ: KLIC) will be reporting results tomorrow after market close. Here’s what you need to know.

Kulicke and Soffa met analysts’ revenue expectations last quarter, reporting revenues of $181.7 million, down 4.9% year on year. It was a mixed quarter for the company, with an impressive beat of analysts’ EBITDA estimates but underwhelming revenue guidance for the next quarter.

Is Kulicke and Soffa a buy or sell going into earnings? Read our full analysis here, it’s free.

This quarter, analysts are expecting Kulicke and Soffa’s revenue to decline 10.9% year on year to $180.3 million, improving from the 29.3% decrease it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.35 per share.

The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Kulicke and Soffa has missed Wall Street’s revenue estimates three times over the last two years.

Looking at Kulicke and Soffa’s peers in the semiconductor manufacturing segment, some have already reported their Q3 results, giving us a hint as to what we can expect. Teradyne delivered year-on-year revenue growth of 4.8%, beating analysts’ expectations by 3%, and Lam Research reported revenues up 19.7%, topping estimates by 2.7%. Teradyne traded down 11.1% following the results while Lam Research was up 4.8%.

Read our full analysis of Teradyne’s results here and Lam Research’s results here.

Inflation progressed towards the Fed’s 2% goal at the end of 2023, leading to strong stock market performance. 2024 has been a bumpier ride as the market switches between optimism and pessimism around rate cuts thanks to mixed inflation data, and while some of the semiconductor manufacturing stocks have fared somewhat better, they have not been spared, with share prices down 5.9% on average over the last month. Kulicke and Soffa is up 2.3% during the same time and is heading into earnings with an average analyst price target of $51.67 (compared to the current share price of $47.68).

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