Kulicke & Soffa Reports Third Quarter 2026 Results

SINGAPORE, Aug. 5, 2026 — Kulicke and Soffa Industries, Inc. (NASDAQ: KLIC) ("Kulicke & Soffa," "K&S," "our," or the "Company"), today announced financial results of its third fiscal quarter ended July 4, 2026. The Company reported third quarter net revenue of $330.4 million, net income of $57.4 million, representing EPS of $1.07 per fully diluted share, and non-GAAP net income of $64.2 million, representing non-GAAP EPS of $1.20 per fully diluted share.

Quarterly Results

Fiscal Q3 2026

Fiscal Q3 2025

Fiscal Q2 2026

Net Revenue (in thousands)

$330,409

$148,413

$242,621

GAAP EPS – Diluted

$1.07

$(0.06)

$0.66

Non GAAP EPS - Diluted

$1.20

$0.07

$0.79

A reconciliation between the GAAP and non-GAAP adjusted results is provided in the financial tables included at the end of this press release. See also the "Use of non-GAAP Financial Results" section of this press release.

Lester Wong, Kulicke & Soffa's Interim Chief Executive Officer and Chief Financial Officer, stated, "We see strong sequential growth in the third quarter and demand conditions continue to improve across all end markets. We remain closely engaged to support the evolving technology requirements of our industry, and remain committed to address the immediate and long-term production needs of our customers."

Kulicke & Soffa anticipates its expanded Advanced Solutions production facility will be completed, as scheduled, within the second half of fiscal 2027.

Third Quarter Fiscal 2026 Financial Highlights

• Net revenue of $330.4 million.
• Gross margin of 47.8%.
• Net income of $57.4 million or $1.07 per share; non-GAAP net income of $64.2 million or $1.20 per fully diluted share.
• GAAP cash flow from operations of $45.2 million; Adjusted free cash flow of $41.0 million.
• The Company repurchased a total of 5.0 thousand shares of common stock at a cost of $0.5 million.

Fourth Quarter Fiscal 2026 Outlook

K&S currently expects net revenue in the fourth quarter of fiscal 2026 ending October 3, 2026 to be approximately $375 million +/- $20 million, GAAP diluted EPS to be approximately $1.29 +/- 10%, and non-GAAP diluted EPS to be approximately $1.42 +/- 10%.

A reconciliation between the GAAP and non-GAAP financial outlook is provided in the financial tables included at the end of this press release.

Earnings Conference Webcast

A webcast to discuss these results will be held on August 6, 2026, beginning at 8:00 am ET. The live webcast link, supplemental earnings presentation, and archived webcast will be available at investor.kns.com. To access the audio-only portion of the live webcast, parties may call +1-877-407-8037, or internationally, +1-201-689-8037.

An audio-only replay of the webcast will also be available approximately one hour after the completion of the live call by calling +1-877-660-6853, or internationally, +1-201-612-7415 and referencing access code 13757798.

Use of Non-GAAP Financial Results

In addition to U.S. GAAP ("GAAP") results, this press release also contains the following non-GAAP financial results: income from operations, operating margin, net income, net margin, net income per fully diluted share and adjusted free cash flow. The Company's non-GAAP results exclude amortization related to intangible assets acquired through business combinations, costs associated with restructuring and severance, equity-based compensation, acquisition and integration costs, impairment relating to assets acquired through business combinations, long-lived asset impairment relating to business cessation or disposal, impairment relating to equity investments, income tax expense/benefit arising from discrete tax items triggered by acquisition, disposal of business (both via a sale or an abandonment), restructuring and significant changes in tax laws, gain/loss on disposal of business, as well as tax benefits or expenses associated with the foregoing non-GAAP items. The non-GAAP adjustments may or may not be infrequent or nonrecurring in nature, but are a result of periodic or non-core operating activities. These non-GAAP measures are consistent with the way management analyzes and assesses the Company's operating results. The Company believes these non-GAAP measures enhance investors' understanding of the Company's underlying operational performance, as well as their ability to compare the Company's period-to-period financial results and the Company's overall performance to that of its competitors.

Management uses both GAAP metrics as well as these non-GAAP metrics to evaluate the Company's operating and financial results. Non-GAAP financial measures may not provide information that is directly comparable to that provided by other companies in the Company's industry, as other companies in the industry may calculate non-GAAP financial results differently. In addition, there are limitations in using non-GAAP financial measures because the non-GAAP financial measures are not prepared in accordance with GAAP, may be different from non-GAAP financial measures used by other companies and exclude expenses that may have a material impact on the Company's reported financial results. The presentation of non-GAAP items is meant to supplement, but not substitute for, GAAP financial measures or information. The Company believes the presentation of non-GAAP results in combination with GAAP results provides better transparency to the investment community when analyzing business trends, providing meaningful comparisons with prior period performance and enhancing investors' ability to view the Company's results from management's perspective. A reconciliation of each non-GAAP financial measure to the most directly comparable GAAP measure discussed in this press release is contained in the financial tables at the end of this press release.

About Kulicke & Soffa

Kulicke & Soffa is a global leader in semiconductor assembly technology, advancing device performance across automotive, compute, industrial, memory and communications markets. Founded on innovation in 1951, K&S is uniquely positioned to overcome increasingly dynamic process challenges – creating and delivering long-term value by aligning technology with opportunity.

Caution Concerning Results, Forward-Looking Statements and Certain Risks Related to our Business

In addition to historical statements, this press release contains statements relating to future events and our future results. These statements are "forward-looking" statements within the meaning of the Private Securities Litigation Reform Act of 1995. While these forward-looking statements represent our judgments and future expectations concerning our business, including the importance and competitiveness of our products and other emerging technology transitions, a number of risks, uncertainties and other important factors could cause actual developments and results to differ materially from our expectations. These factors include, but are not limited to, failures or delays in completing the Company's cessation of its Electronics Assembly equipment business, the persistent macroeconomic headwinds on our business, actual or potential inflationary pressures, interest rate and risk premium adjustments, falling customer sentiment, or economic recession caused directly or indirectly by geopolitical tensions, our ability to develop, manufacture and gain market acceptance of new products, our ability to expand, consolidate or relocate manufacturing and other facilities, our ability to operate our business in accordance with our business plan and the other factors listed or discussed in our Annual Report on Form 10-K for the fiscal year ended October 4, 2025, filed on November 20, 2025, and our other filings with the Securities and Exchange Commission. Kulicke and Soffa Industries, Inc. is under no obligation to (and expressly disclaims any obligation to) update or alter its forward-looking statements whether as a result of new information, future events or otherwise.

Contact

Kulicke and Soffa Industries, Inc.

Joseph Elgindy Finance P: +1-215-784-7518

KULICKE AND SOFFA INDUSTRIES, INC. CONSOLIDATED CONDENSED STATEMENTS OF OPERATIONS (In thousands, except per share data) (Unaudited)

Three months ended

Nine months ended

July 4, 2026

June 28, 2025

July 4, 2026

June 28, 2025

Net revenue

$ 330,409

$ 148,413

$ 772,655

$ 476,523

Cost of sales

172,460

79,170

396,047

279,812

Gross profit

157,949

69,243

376,608

196,711

Selling, general and administrative

45,769

39,596

129,270

126,224

Research and development

43,914

35,741

122,686

110,769

Gain relating to cessation of business

—

—

—

(75,987)

Impairment charges

—

—

—

39,817

Operating expenses

89,683

75,337

251,956

200,823

Income / (Loss) from operations

68,266

(6,094)

124,652

(4,112)

Interest income

4,529

6,008

13,268

17,982

Interest expense

(34)

(32)

(111)

(95)

Income / (Loss) before income taxes

72,761

(118)

137,809

13,775

Provision for income taxes

15,345

3,171

28,449

19,941

Net income / (loss)

$ 57,416

$ (3,289)

$ 109,360

$ (6,166)

Net income / (loss) per share:

Basic

$ 1.10

$ (0.06)

$ 2.09

$ (0.12)

Diluted

$ 1.07

$ (0.06)

$ 2.06

$ (0.12)

Cash dividends declared per share

$ 0.205

$ 0.205

$ 0.615

$ 0.615

Weighted average shares outstanding:

Basic

52,333

52,692

52,326

53,265

Diluted

53,429

52,692

53,190

53,265

KULICKE AND SOFFA INDUSTRIES, INC. CONSOLIDATED CONDENSED BALANCE SHEETS (In thousands) (Unaudited)

As of

July 4, 2026

October 4, 2025

ASSETS

Current assets

Cash and cash equivalents

$ 368,573

$ 215,708

Short-term investments

148,000

295,000

Accounts and other receivable, net

329,498

183,538

Inventories, net

227,118

160,225

Prepaid expenses and other current assets

31,796

47,064

Total current assets

1,104,985

901,535

Property, plant and equipment, net

66,274

58,993

Operating right-of-use assets

32,567

32,193

Goodwill

69,522

69,522

Intangible assets, net

4,676

5,600

Deferred tax assets

16,258

16,109

Equity investments

10,789

6,978

Investment in debt securities

10,000

10,000

Other assets

4,015

3,412

TOTAL ASSETS

$ 1,319,086

$ 1,104,342

LIABILITIES AND SHAREHOLDERS' EQUITY

Current liabilities

Accounts payable

$ 116,887

$ 57,178

Operating lease liabilities

6,083

6,178

Accrued expenses and other current liabilities

159,774

97,786

Income taxes payable

38,069

27,029

Total current liabilities

320,813

188,171

Deferred tax liabilities

34,496

35,533

Income taxes payable

10,684

16,580

Operating lease liabilities

32,035

32,372

Other liabilities

9,101

10,195

TOTAL LIABILITIES

$ 407,129

$ 282,851

SHAREHOLDERS' EQUITY

Common stock, without par value

634,232

620,043

Treasury stock, at cost

(976,708)

(974,202)

Retained earnings

1,276,677

1,199,500

Accumulated other comprehensive loss

(22,244)

(23,850)

TOTAL SHAREHOLDERS' EQUITY

$ 911,957

$ 821,491

TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY

$ 1,319,086

$ 1,104,342

KULICKE AND SOFFA INDUSTRIES, INC. CONSOLIDATED CONDENSED STATEMENTS OF CASH FLOWS (In thousands) (Unaudited)

Three months ended

Nine months ended

(in thousands)

July 4, 2026

June 28, 2025

July 4, 2026

June 28, 2025

Net cash provided by operating activities

$ 45,216

$ 7,380

$ 46,554

$ 105,003

Net cash (used in)/provided by investing activities

(3,711)

(17,463)

134,982

26,161

Net cash used in financing activities

(11,361)

(32,606)

(29,532)

(113,408)

Effect of exchange rate changes on cash and cash equivalents

565

2,651

861

1,578

Changes in cash and cash equivalents

30,709

(40,038)

152,865

19,334

Cash and cash equivalents, beginning of period

337,864

286,519

215,708

227,147

Cash and cash equivalents, end of period

$ 368,573

$ 246,481

$ 368,573

$ 246,481

Short-term investments

148,000

310,000

148,000

310,000

Total cash, cash equivalents and short-term investments

$ 516,573

$ 556,481

$ 516,573

$ 556,481

Reconciliation of U.S. GAAP to Non-GAAP Income from Operations and Operating Margin (In thousands, except percentages) (Unaudited)

Three months ended

July 4, 2026

June 28, 2025

April 4, 2026

Net revenue

$ 330,409

$ 148,413

$ 242,621

U.S. GAAP income / (loss) from operations

68,266

(6,094)

38,566

U.S. GAAP operating margin

20.7 %

(4.1) %

15.9 %

Pre-tax non-GAAP items:

Amortization related to intangible assets

308

308

307

Restructuring

190

287

418

Equity-based compensation

7,044

7,092

6,991

Non-GAAP income from operations

$ 75,808

$ 1,593

$ 46,282

Non-GAAP operating margin

22.9 %

1.1 %

19.1 %

Reconciliation of U.S. GAAP Net Income to Non-GAAP Net Income and Non-GAAP Net Margin and U.S. GAAP net income per share to Non-GAAP net income per share (In thousands, except percentages and per share data) (Unaudited)

Three months ended

July 4, 2026

June 28, 2025

April 4, 2026

Net revenue

$ 330,409

$ 148,413

$ 242,621

U.S. GAAP net income / (loss)

57,416

(3,289)

35,148

U.S. GAAP net margin

17.4 %

(2.2) %

14.5 %

Non-GAAP adjustments:

Amortization related to intangible assets

308

308

307

Restructuring

190

287

418

Equity-based compensation

7,044

7,092

6,991

Net income tax benefit on non-GAAP items

(730)

(626)

(728)

Total non-GAAP adjustments

$ 6,812

$ 7,061

$ 6,988

Non-GAAP net income

$ 64,228

$ 3,772

$ 42,136

Non-GAAP net margin

19.4 %

2.5 %

17.4 %

U.S. GAAP net income / (loss) per share:

Basic

$ 1.10

$ (0.06)

$ 0.67

Diluted(a)

$ 1.07

$ (0.06)

$ 0.66

Non-GAAP adjustments per share:(b)

Basic

$ 0.13

$ 0.13

$ 0.14

Diluted

$ 0.13

$ 0.13

$ 0.13

Non-GAAP net income per share:

Basic

$ 1.23

$ 0.07

$ 0.81

Diluted(c)

$ 1.20

$ 0.07

$ 0.79

Weighted average shares outstanding:

Basic

52,333

52,692

52,327

Diluted

53,429

52,866

53,121

(a)

GAAP diluted net earnings per share reflects any dilutive effect of outstanding restricted stock, but that effect is excluded when calculating GAAP diluted net loss per share because it would be anti-dilutive.

(b)

Non-GAAP adjustments per share include amortization related to intangible assets acquired through business combinations, costs associated with restructuring and severance, equity-based compensation expenses, and income tax effects associated with the foregoing non-GAAP items.

(c)

Non-GAAP diluted net earnings per share reflects any dilutive effect of outstanding restricted stock, but that effect is excluded when calculating Non-GAAP diluted net loss per share because it would be anti-dilutive.

Reconciliation of U.S. GAAP Cash provided by Operating Activities to Non-GAAP Adjusted Free Cash Flow (In thousands, except percentages) (unaudited)

Three months ended

July 4, 2026

June 28, 2025

April 4, 2026

U.S. GAAP net cash provided by operating activities

$ 45,216

$ 7,380

$ 10,271

Purchases of property, plant and equipment

(4,277)

(2,090)

(4,077)

Proceeds from sales of property, plant and equipment

18

147

74

Non-GAAP adjusted free cash flow

$ 40,957

$ 5,437

$ 6,268

Reconciliation of U.S. GAAP to Non-GAAP Outlook (In millions, except per share data) (Unaudited)

Fourth quarter of fiscal 2026 ending October 3, 2026

GAAP Outlook

Adjustments

Non-GAAP Outlook

Net revenue

$375 million +/- $20 million

—

$375 million +/- $20 million

Operating expenses

$95.1 million +/- 2%

$7.6 million B,C,D

$87.5 million +/- 2%

Diluted EPS(1)

$1.29 +/- 10%

$0.13 A - E

$1.42 +/- 10%

Non-GAAP Adjustments

A. Equity-based compensation - Cost of sales

0.4

B. Equity-based compensation - Selling, general and administrative and Research and development

6.6

C. Amortization related to intangible assets

0.3

D. Restructuring expenses

0.7

E. Net income tax effect of the above items

(0.8)

(1) GAAP and non-GAAP diluted EPS based on approximately 53.0 million diluted weighted average shares outstanding.

The tables above reconcile our GAAP to non-GAAP guidance based on the current outlook. The guidance does not incorporate the impact of any potential business combinations, divestitures, unannounced restructuring activities, strategic investments and other significant transactions. The timing and impact of such items are dependent on future events that may be uncertain or outside of our control.