AMTECH SYSTEMS INC Debt Disclosure
11. Long-Term Debt
Our finance lease liabilities and long-term debt consists of the following, in thousands:
|
|
September 30, |
|
|||||
|
|
2025 |
|
|
2024 |
|
||
Finance leases |
|
|
294 |
|
|
|
290 |
|
Less: current portion of finance lease liabilities |
|
|
(126 |
) |
|
|
(101 |
) |
Finance Lease Liabilities and Long-Term Debt |
|
$ |
168 |
|
|
$ |
189 |
|
Interest expense on finance lease liabilities and long-term debt was $25,000 and $0.6 million in 2025 and 2024, respectively.
Annual maturities relating to our long-term debt as of September 30, 2025 are as follows, in thousands:
|
|
Annual |
|
|
2026 |
|
$ |
126 |
|
2027 |
|
|
101 |
|
2028 |
|
|
27 |
|
2029 |
|
|
21 |
|
2030 |
|
|
19 |
|
Thereafter |
|
|
— |
|
Total long-term debt |
|
$ |
294 |
|
Loan and Security Agreement
On January 17, 2023, we entered into a Loan and Security Agreement (the “Loan Agreement”) among Amtech, its U.S. based wholly owned subsidiaries Bruce Technologies, Inc., BTU International, Inc., Intersurface Dynamics, Incorporated, P.R. Hoffman Machine Products, Inc., and Entrepix, Inc., and UMB Bank, N.A., national banking association. The Loan Agreement provided for (i) a term loan (the “Term Loan”) in the amount of $12.0 million maturing January 17, 2028, and (ii) a revolving loan facility (the “Revolver”) with an availability of $8.0 million maturing January 17, 2024, each of which were secured by a first priority lien on substantially all of our assets. The recorded amount of the Term Loan had an interest rate of 6.38% and the Revolver had a floating per annum rate of interest equal to the Prime Rate, adjusted daily.
The Loan Agreement was fully repaid in the fourth quarter of 2024 and was subsequently terminated effective September 11, 2024. See the disclosure in our prior filings with the SEC for a discussion of the financial covenants that were in effect under the Loan Agreement, our failure to comply with the Debt to EBITDA and Fixed Charge Coverage Ratio covenants thereunder, and the Forbearance and Modification Agreement that we operated under prior to terminating this credit facility.
Finance Lease Obligations
Our finance lease obligations totaled $0.3 million as of September 30, 2025 and September 30, 2024, respectively.
The current and long-term portions of our finance leases are included in the current and long-term portions of finance lease liabilities and long-term debt in the table above and in our Consolidated Balance Sheets as of September 30, 2025 and 2024.
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Dec 10, 2025 | Showing above |
| 2024 | Dec 12, 2024 | |
| 2023 | Dec 14, 2023 | |
About Debt Disclosures
Debt disclosures detail a company's borrowing structure — the types of instruments, interest rates, maturity schedule, and covenant restrictions that define its financial obligations and flexibility. This section is essential for assessing refinancing risk, interest rate exposure, and the margin of safety against financial distress.
Key signals: the maturity schedule reveals concentration risk — large maturities within 1-2 years during tight credit markets can force dilutive refinancing or asset sales. Compare the fair value of debt against carrying amount to gauge whether the market views the company's credit risk differently than the balance sheet suggests. Watch covenant compliance disclosures for tightening cushions, especially leverage and interest coverage ratios. Variable-rate debt exposure quantifies sensitivity to interest rate changes. Secured versus unsecured mix affects recovery rates and future borrowing capacity. Compare net debt-to-EBITDA against industry peers and covenant limits to assess financial health.