AXCELIS TECHNOLOGIES INC Segments Disclosure
Note 17. Business Segment and Geographic Region Information
We operate in one business segment, which is the manufacture of capital equipment for the semiconductor chip manufacturing industry. The principal market for semiconductor capital equipment is semiconductor chip manufacturers. Substantially all sales are made directly by us to our customers located in the United States, Europe and Asia Pacific.
The Company’s chief operating decision maker (“CODM”) is our chief executive officer. The CODM assesses financial performance for the company and decides how to allocate resources based on consolidated net income, such as determining the amount of resources to allocate to research and development projects, stock repurchases, or other growth opportunities. Segment asset information is provided to the CODM but it is not used to allocate resources.
The following table presents selected financial information with respect to the Company’s single operating segment for the years ended December 2025, 2024, and 2023:
Year ended December 31, | |||||||||
2025 | | 2024 | | 2023 | |||||
(in thousands) | |||||||||
Revenue: | $ | 839,048 | $ | 1,017,865 | $ | 1,130,604 | |||
Less: | |||||||||
Cost of revenue | 462,200 | 563,211 | 639,303 | ||||||
Research and development | 108,958 | 105,497 | 96,907 | ||||||
Sales and marketing | 65,368 | 68,046 | 62,805 | ||||||
General and administrative | 83,207 | 70,317 | 65,794 | ||||||
Total other income | 18,934 | 19,480 | 12,804 | ||||||
Income tax provision | 18,011 | 29,282 | 32,336 | ||||||
Segment Net Income | $ | 120,238 | $ | 200,992 | $ | 246,263 | |||
Reconciliation of profit or loss Adjustments and reconciling items | - | - | - | ||||||
Net income | $ | 120,238 | $ | 200,992 | $ | 246,263 | |||
The above table includes depreciation expense and amortization expense of $17.6 million, $15.8 million and $13.1 million, for the years ended December 31, 2025, 2024, and 2023, respectively.
Our ion implantation systems product line includes high current, medium current and high energy implanters. Other legacy processing products include curing and thermal processing systems. In addition to new equipment, we provide post-sales equipment service and support, including spare parts, equipment upgrades, used equipment, maintenance services and customer training.
Revenue by product lines is as follows:
Year ended December 31, |
| |||||||||
| 2025 | | 2024 | | 2023 |
| ||||
(in thousands) |
| |||||||||
Ion implantation systems and services | $ | 824,098 | $ | 1,001,045 | $ | 1,111,278 | ||||
Other systems and services |
| 14,950 |
| 16,820 |
| 19,326 | ||||
Total revenue | $ | 839,048 | $ | 1,017,865 | $ | 1,130,604 | ||||
Revenue and long-lived assets by geographic region, based on the physical location of the operation recording the sale or the asset, are as follows:
| | Long-Lived |
| ||||
Revenue | Assets |
| |||||
(in thousands) |
| ||||||
2025 | |||||||
United States | $ | 482,641 | $ | 91,183 | |||
Europe |
| 49,954 |
| 263 | |||
Asia Pacific |
| 306,453 |
| 4,624 | |||
$ | 839,048 | $ | 96,070 | ||||
2024 | |||||||
United States | $ | 632,028 | $ | 94,132 | |||
Europe |
| 38,089 |
| 311 | |||
Asia Pacific |
| 347,748 |
| 4,512 | |||
$ | 1,017,865 | $ | 98,955 | ||||
2023 | |||||||
United States | $ | 749,288 | $ | 86,482 | |||
Europe |
| 45,583 |
| 382 | |||
Asia Pacific |
| 335,733 |
| 4,040 | |||
$ | 1,130,604 | $ | 90,904 | ||||
Long-lived assets consist of property, plant and equipment, net, and assets manufactured for internal use, net. Operations in Asia Pacific consist of manufacturing, sales and service organizations. Operations in Europe consist of sales and service organizations.
International revenue, which includes export sales from U.S. manufacturing facilities to foreign customers and sales by foreign subsidiaries and branches, was $702.0 million (83.7% of total revenue), $873.8 million (85.8% of total revenue) and $950.4 million (84.1% of total revenue) in 2025, 2024 and 2023, respectively.
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Feb 26, 2026 | Showing above |
| 2024 | Feb 28, 2025 | |
| 2023 | Feb 23, 2024 | |
| 2022 | Feb 24, 2023 | |
| 2021 | Feb 25, 2022 | |
| 2020 | Feb 26, 2021 | |
| 2019 | Mar 2, 2020 | |
| 2018 | Mar 11, 2019 | |
| 2017 | Mar 14, 2018 | |
| 2016 | Mar 14, 2017 | |
| 2015 | Mar 4, 2016 | |
About Segments Disclosures
Segment disclosures break a company into its reportable operating units, revealing revenue, profit, and asset allocation that consolidated financial statements obscure. Under ASC 280, segments must match how the chief operating decision maker views the business, providing a window into internal management structure and resource allocation priorities.
Key signals: compare segment margins to identify which units drive profitability and which destroy value. Watch for changes in the number of reportable segments — segment aggregation or disaggregation often coincides with strategic shifts or attempts to obscure declining performance. Intersegment elimination patterns reveal internal pricing practices. The reconciliation between segment totals and consolidated figures exposes corporate overhead allocation and unallocated items. Geographic revenue concentration highlights regulatory and currency exposure. Compare segment-level capital expenditure against segment revenue to assess where management is investing for future growth versus harvesting existing assets.