Kulicke and Soffa (KLIC) Q2 2024 Earnings Report

Overview of QQ2 2024 financials with YoY and QoQ context where available:
- Revenue: $172.1 million. YoY change: -0.55%; QoQ change: +0.52% (per incomeMetrics). In GAAP terms, management highlighted a revenue base largely tied to semiconductor end markets with a rebound in Ball Bonder activity but offset by weakness in LED, automotive and industrial segments.
- Gross Profit: $72.48 million, gross margin 42.12%. YoY change: -13.81%; QoQ change: -7.73% (grossProfitMargin). Note: the earnings call commentary cited a markedly different “gross margin” figure (9.6%) in some prepared remarks, which appears inconsistent with the reported GAAP gross margin; the GAAP data shown here reflect gross margin of 42.12% consistent with the income statement.
- Operating Income: -$57.72 million (operating margin -33.54%). YoY change: large decline driven by impairment charges; QoQ change reported as a large deterioration due to non-operating impairment related items (ratio data show significant negative movement).
- Net Income: -$102.68 million (net margin -59.67%). YoY change: -782.67%; QoQ change: -1204.92% (per incomeMetrics). Reflects the impairment charge and ongoing top‑line pressure in a weak macro environment.
- Earnings per Share (EPS): -$1.83 (diluted -$1.83). YoY change: -803.85%; QoQ change: -1243.75%.
- Free Cash Flow: -$26.72 million; Operating cash flow: -$20.15 million. These cash flow dynamics reflect the impairment‑related non-cash charge and ongoing working capital needs amid a challenging quarter.
- Balance Sheet and Liquidity: Cash and cash equivalents $359.75 million; total cash and short‑term investments $634.75 million; total debt $41.33 million; net debt is negative by approximately $318.42 million. Current ratio 6.34, quick ratio 5.25, and cash ratio 2.17, underscoring a strong liquidity cushion to weather cyclicality and fund strategic initiatives.
- Shareholder Returns and Capital Allocation: Share repurchases of $37.3 million in the March quarter (approximately 40% higher than the December quarter). Net of impairment, the company remains active in capital return and balance sheet optimization while maintaining R&D and product investment.