Germany's Aixtron Q3 revenue rises on AI demand

Overview

• Germany semiconductor equipment maker's Q3 revenue rose 54% yr/yr on strong AI-driven demand

• Q3 gross margin improved to 48% from 39% a year ago

• Company confirms full-year 2026 guidance, citing strong order backlog and production ramp

Outlook

• Aixtron confirms 2026 revenue guidance of EUR 560 mln ± EUR 30 mln

• Company expects 2026 gross margin of about 42% and EBIT margin between 17% and 20%

• Aixtron sees strong order intake continuing, driven by optoelectronics and power electronics demand

Result Drivers

• AI DEMAND - Co said strong demand for equipment used in laser applications for AI data-center communications drove Q3 order intake and revenue

• OPTOELECTRONICS GROWTH - Optoelectronics accounted for 68% of Q3 equipment orders, reflecting high demand for AI-driven optical connectivity, per CEO Dr. Felix Grawert

• POWER ELECTRONICS RECOVERY - Co said momentum in GaN and SiC power electronics improved in Q3, with first orders for capacity expansions and a growing pipeline

Company press release:

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 8 "strong buy" or "buy", 10 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the semiconductor equipment & testing peer group is "buy"

• Wall Street's median 12-month price target for Aixtron SE is €44.00, about 39.8% above its October 28 closing price of €31.47

• The stock recently traded at 25 times the next 12-month earnings vs. a P/E of 52 three months ago

Reuters Recommended Reads

• Oct 27 - Switzerland's INFICON Q3 sales jump, lifts FY outlook on firm semiconductor demand

• Oct 27 - Netherlands' ASM International Q3 revenue jumps on strong growth in memory sales

• Oct 28 - Chip tool maker ASM expects to exceed 2027 sales goal on strong AI demand, CEO says

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)