AXCELIS TECHNOLOGIES INC Q1 FY26 Results

We executed well in the first quarter, delivering results slightly above expectations, reflecting the strength of our CS&I business and meaningful acceleration in Memory. Demand in DRAM and HBM was again a clear highlight, with strong sequential growth building on our momentum exiting 2025. CS&I remains an area of focus for Axcelis and is becoming an increasingly important strategic driver of our business across cycles, particularly as our installed base expands. We continue to anticipate 2026 revenue will be relatively flat compared to 2025, as growth in Memory is offset by a continued digestion of capacity in our Power and General Mature markets. That said, we are encouraged by our bookings activity in the first quarter and the robust customer engagement we are having across a wide array of opportunities, which positions Axcelis for increased momentum exiting 2026 and into 2027. We look forward to completing our merger with Veeco, which we expect to close in the second half of 2026.

We ended the first quarter with a strong balance sheet, including approximately $570 million of cash, and continued to generate attractive free cash flow, providing ample flexibility to fund our growth objectives and maintain a value-creative capital allocation strategy. As we look to the balance of the year, we are well positioned to execute, supported by firming order trends, an anticipated increase in revenue in the second half, and continued investments in innovation to capture attractive opportunities ahead.