Canada's 5N Plus Q3 revenue, adj EBITDA beat estimates
Overview
Canada specialty semiconductors producer's Q3 revenue rose 30%, beating analyst expectations
Adjusted EBITDA for Q3 beat analyst expectations
Outlook
5N Plus expects to achieve high end of 2026 adj EBITDA guidance of $100-$105 mln
Company expects to continue operating in a complex environment with rising cost pressures
Company remains focused on productivity initiatives and capacity expansion to achieve economies of scale
Result Drivers
HIGHER VOLUMES - Co said Q3 revenue and Adjusted EBITDA growth were driven by higher volumes in Specialty Semiconductors and Performance Materials
CAPACITY EXPANSION - Co said it operated at high capacity and ramped additional production to support customer demand
INPUT COST PRESSURES - Co said adjusted gross margin improved sequentially despite input cost pressures
Company press release:
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q3 Revenue | Beat | $136.40 mln | $119.15 mln (8 Analysts) |
Q3 Adjusted EBITDA | Beat | $31.10 mln | $26.44 mln (8 Analysts) |
Q3 Adjusted Gross Margin | 31.40% |
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 7 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"
The average consensus recommendation for the semiconductors peer group is "buy"
Wall Street's median 12-month price target for 5N Plus Inc. is C$45.00, about 73.5% above its October 30 closing price of C$25.93
The stock recently traded at 22 times the next 12-month earnings vs. a P/E of 29 three months ago
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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.)