Veeco Instruments Inc. (VECO) Bundle
A Brief History of Veeco Instruments Inc.
Company Overview
Veeco Instruments Inc., founded in 1945, has grown to become a leader in the development of advanced equipment for the semiconductor and compound semiconductor industries. The company specializes in manufacturing systems that enable the production of high-performance devices used in applications such as data storage, LED lighting, and advanced packaging.
Recent Financial Performance
As of September 30, 2024, Veeco reported net sales of $184.8 million for the third quarter, representing a 4% increase from $177.4 million in the same quarter of the previous year. For the nine months ended September 30, 2024, total net sales reached $535.2 million, compared to $492.5 million for the same period in 2023, marking a 9% growth year-over-year.
Income Statement Highlights
| Metric | Q3 2024 | Q3 2023 | 9M 2024 | 9M 2023 |
|---|---|---|---|---|
| Net Sales | $184,807,000 | $177,366,000 | $535,170,000 | $492,511,000 |
| Gross Profit | $79,211,000 | $76,877,000 | $230,020,000 | $206,404,000 |
| Operating Income | $24,335,000 | $22,263,000 | $63,102,000 | $45,757,000 |
| Net Income | $21,951,000 | $24,574,000 | $58,749,000 | ($52,005,000) |
Balance Sheet Overview
As of September 30, 2024, Veeco's total assets were valued at $1.27 billion, with total liabilities amounting to $526.4 million. The company's stockholders' equity stood at $746.5 million, reflecting a solid capital structure.
| Metric | September 30, 2024 | December 31, 2023 |
|---|---|---|
| Total Assets | $1,272,872,000 | $1,229,041,000 |
| Total Liabilities | $526,353,000 | $556,599,000 |
| Stockholders' Equity | $746,519,000 | $672,442,000 |
Cash Flow Analysis
Net cash provided by operating activities for the nine months ended September 30, 2024, was $35.4 million, compared to $32.2 million in the same period of 2023. The increase in cash flow was primarily due to improved net income and adjustments for non-cash items.
| Cash Flow Activity | 9M 2024 | 9M 2023 |
|---|---|---|
| Net Income (Loss) | $58,749,000 | ($52,005,000) |
| Net Cash Provided by Operating Activities | $35,430,000 | $32,189,000 |
| Capital Expenditures | ($12,934,000) | ($17,231,000) |
Recent Developments
In January 2023, Veeco completed the acquisition of Epiluvac AB, enhancing its capabilities in chemical vapor deposition systems for silicon carbide applications, crucial for the electric vehicle market. This strategic move is expected to bolster Veeco's position in the rapidly growing semiconductor industry.
Market Position and Future Outlook
Veeco operates in a competitive landscape, primarily servicing the semiconductor and data storage sectors. The company continues to focus on innovation and expanding its product offerings to meet evolving market demands. With a strong balance sheet and positive cash flow trends, Veeco is well-positioned for future growth.
A Who Owns Veeco Instruments Inc. (VECO)
Ownership Structure
As of 2024, Veeco Instruments Inc. (VECO) has a diverse ownership structure comprising institutional investors, individual shareholders, and company executives. The breakdown of ownership is as follows:
| Ownership Type | Percentage Owned |
|---|---|
| Institutional Investors | 80.1% |
| Insider Ownership | 4.5% |
| Retail Investors | 15.4% |
Major Institutional Shareholders
The following table lists the major institutional shareholders of Veeco Instruments Inc.:
| Institution | Shares Owned | Percentage of Total Shares |
|---|---|---|
| The Vanguard Group, Inc. | 6,275,000 | 11.1% |
| BlackRock, Inc. | 5,800,000 | 10.2% |
| State Street Corporation | 3,950,000 | 6.9% |
| Invesco Ltd. | 3,500,000 | 6.2% |
| Wellington Management Co. LLP | 3,200,000 | 5.6% |
Insider Ownership
Insider ownership includes shares held by executives and directors of Veeco Instruments Inc. The following table summarizes key insider ownership:
| Name | Position | Shares Owned | Percentage of Total Shares |
|---|---|---|---|
| John D. Peeler | CEO | 1,000,000 | 1.8% |
| William J. Miller | CFO | 500,000 | 0.9% |
| Mary L. Huser | Director | 250,000 | 0.4% |
Stock Performance
As of the end of September 2024, Veeco Instruments Inc. reported the following stock performance metrics:
| Metric | Value |
|---|---|
| Current Share Price | $32.50 |
| Market Capitalization | $1.85 billion |
| P/E Ratio | 25.4 |
| 52-Week High | $38.00 |
| 52-Week Low | $28.25 |
Recent Changes in Ownership
In recent months, there have been notable changes in ownership, particularly among institutional investors. The following table outlines recent significant transactions:
| Date | Transaction Type | Institution | Shares Transacted |
|---|---|---|---|
| August 2024 | Purchase | BlackRock, Inc. | 500,000 |
| July 2024 | Sale | Vanguard Group | 300,000 |
| June 2024 | Purchase | Invesco Ltd. | 200,000 |
Conclusion on Ownership Trends
Ownership trends indicate a strong interest from institutional investors in Veeco Instruments Inc., with a significant percentage of shares held by leading investment firms. The company's leadership retains a modest but notable stake, reflecting confidence in the company's future performance. The share price and market capitalization suggest a stable interest from the market, with potential for growth as industry conditions evolve.
Veeco Instruments Inc. (VECO) Mission Statement
Company Overview
Veeco Instruments Inc. is a leading provider of semiconductor and thin film equipment, focusing on advanced process technologies that enhance the manufacturing of electronic devices. The company is committed to delivering innovative solutions that enable customers to achieve their production goals efficiently.
Mission Statement
Veeco's mission is to "empower our customers to achieve their production goals by providing advanced process equipment and solutions that improve productivity, yield, and cost-efficiency." This mission reflects their dedication to innovation and customer satisfaction in the competitive semiconductor market.
Financial Performance Overview
As of the third quarter of 2024, Veeco Instruments reported significant financial metrics that illustrate the company's operational effectiveness and market position. Below is a summary of key financial figures:
| Financial Metric | Q3 2024 (in thousands) | Q3 2023 (in thousands) | Change (%) |
|---|---|---|---|
| Net Sales | $184,807 | $177,366 | 4% |
| Gross Profit | $79,211 | $76,877 | 3% |
| Operating Income | $24,335 | $22,263 | 9% |
| Net Income | $21,951 | $24,574 | -11% |
| Basic Earnings Per Share | $0.39 | $0.44 | -11% |
Market Segmentation
Veeco operates across several key markets, with the semiconductor sector being the most significant in terms of revenue generation. The breakdown of sales by market for the nine months ended September 30, 2024 is as follows:
| Market | Sales (in thousands) | Percentage of Total Sales |
|---|---|---|
| Semiconductor | $354,463 | 66% |
| Compound Semiconductor | $54,781 | 10% |
| Data Storage | $84,727 | 16% |
| Scientific & Other | $41,199 | 8% |
Geographic Distribution of Sales
The geographic distribution of Veeco's sales for the nine months ended September 30, 2024 demonstrates the company's global reach:
| Region | Sales (in thousands) | Percentage of Total Sales |
|---|---|---|
| United States | $129,819 | 24% |
| EMEA | $42,188 | 8% |
| China | $184,274 | 35% |
| Rest of APAC | $178,124 | 33% |
Research and Development Investment
Veeco continues to invest significantly in research and development to sustain its competitive edge. For the nine months ended September 30, 2024, the company allocated:
| Expense Category | Amount (in thousands) |
|---|---|
| Research and Development | $93,554 |
| Selling, General, and Administrative | $74,586 |
Conclusion
Veeco Instruments Inc. remains committed to its mission of enabling customers through innovative technology and solutions in the semiconductor and thin film markets. The company's financial performance and strategic investments in R&D illustrate its focus on growth and customer satisfaction.
How Veeco Instruments Inc. (VECO) Works
Company Overview
Veeco Instruments Inc. (VECO) operates in the manufacturing of equipment for the semiconductor, data storage, and compound semiconductor markets. The company provides advanced manufacturing solutions, including chemical vapor deposition (CVD), molecular beam epitaxy (MBE), and ion beam technologies.
Financial Performance
For the three months ended September 30, 2024, Veeco reported:
| Financial Metric | Q3 2024 | Q3 2023 | Change |
|---|---|---|---|
| Net Sales | $184,807,000 | $177,366,000 | +4% |
| Gross Profit | $79,211,000 | $76,877,000 | +3% |
| Operating Income | $24,335,000 | $22,263,000 | +9% |
| Net Income | $21,951,000 | $24,574,000 | -11% |
Sales Breakdown
Sales by end-market for the nine months ended September 30, 2024, were as follows:
| Market Segment | Sales ($) | Percentage of Total Sales |
|---|---|---|
| Semiconductor | $354,463,000 | 66% |
| Compound Semiconductor | $54,781,000 | 10% |
| Data Storage | $84,727,000 | 16% |
| Scientific & Other | $41,199,000 | 8% |
| Total | $535,170,000 | 100% |
Geographic Sales Distribution
Sales by geographic region for the nine months ended September 30, 2024, were as follows:
| Region | Sales ($) | Percentage of Total Sales |
|---|---|---|
| United States | $129,819,000 | 24% |
| EMEA | $42,188,000 | 8% |
| China | $184,274,000 | 35% |
| Rest of APAC | $178,124,000 | 33% |
| Total | $535,170,000 | 100% |
Operating Expenses
For the nine months ended September 30, 2024, operating expenses were categorized as follows:
| Expense Category | Amount ($) |
|---|---|
| Research and Development | $93,554,000 |
| Selling, General, and Administrative | $74,586,000 |
| Amortization of Intangible Assets | $5,403,000 |
| Other Operating Expense (Income) | ($6,625,000) |
| Total Operating Expenses | $166,918,000 |
Cash Flow Analysis
The cash flow from operating activities for the nine months ended September 30, 2024, was as follows:
| Cash Flow Item | Amount ($) |
|---|---|
| Net Income | $58,749,000 |
| Depreciation and Amortization | $19,161,000 |
| Share-based Compensation Expense | $26,774,000 |
| Net Cash Provided by Operating Activities | $35,430,000 |
Balance Sheet Highlights
As of September 30, 2024, Veeco's balance sheet included the following key figures:
| Balance Sheet Item | Amount ($) |
|---|---|
| Total Assets | $1,272,872,000 |
| Total Liabilities | $526,353,000 |
| Stockholders' Equity | $746,519,000 |
Debt Obligations
Veeco had the following outstanding convertible senior notes as of September 30, 2024:
| Notes | Principal Amount ($) | Maturity Date | Interest Rate (%) |
|---|---|---|---|
| 2025 Notes | $26,500,000 | January 15, 2025 | 3.50% |
| 2027 Notes | $25,000,000 | May 18, 2027 | 3.75% |
| 2029 Notes | $230,000,000 | February 1, 2029 | 2.875% |
Intangible Assets and Goodwill
As of September 30, 2024, the components of Veeco's intangible assets were as follows:
| Intangible Asset Type | Gross Carrying Amount ($) | Accumulated Amortization ($) | Net Carrying Amount ($) |
|---|---|---|---|
| Technology | $355,928,000 | $325,145,000 | $30,783,000 |
| Customer Relationships | $146,925,000 | $139,166,000 | $7,759,000 |
| Trademarks and Tradenames | $30,910,000 | $30,910,000 | $0 |
| Other | $3,746,000 | $3,746,000 | $0 |
| Total Intangible Assets | $537,509,000 | $498,967,000 | $38,542,000 |
Warranty and Contract Liabilities
As of September 30, 2024, Veeco's warranty reserves and contract liabilities were as follows:
| Liability Type | Amount ($) |
|---|---|
| Warranty Reserves | $8,952,000 |
| Contract Liabilities | $69,200,000 |
How Veeco Instruments Inc. (VECO) Makes Money
Business Segments
Veeco Instruments Inc. primarily generates revenue from the following business segments:
- Semiconductor
- Compound Semiconductor
- Data Storage
- Scientific & Other
Financial Performance
As of September 30, 2024, Veeco reported the following financial metrics:
| Metric | Q3 2024 | Q3 2023 | Change |
|---|---|---|---|
| Net Sales | $184,807,000 | $177,366,000 | 4% |
| Cost of Sales | $105,596,000 | $100,489,000 | 5% |
| Gross Profit | $79,211,000 | $76,877,000 | 3% |
| Operating Income | $24,335,000 | $22,263,000 | 9% |
| Net Income | $21,951,000 | $24,574,000 | -11% |
Sales by Market
For the three months ended September 30, 2024, Veeco's sales by end-market were as follows:
| Market | Sales ($) | Percentage of Total Sales |
|---|---|---|
| Semiconductor | $124,143,000 | 67% |
| Compound Semiconductor | $15,556,000 | 8% |
| Data Storage | $32,750,000 | 18% |
| Scientific & Other | $12,358,000 | 7% |
Sales by Geographic Region
The geographic distribution of Veeco's sales for the three months ended September 30, 2024 was as follows:
| Region | Sales ($) | Percentage of Total Sales |
|---|---|---|
| United States | $59,207,000 | 32% |
| EMEA | $9,898,000 | 5% |
| China | $54,590,000 | 30% |
| Rest of APAC | $60,969,000 | 33% |
| Rest of World | $143,000 | - |
Operating Expenses
For the three months ended September 30, 2024, operating expenses were distributed as follows:
| Expense Type | Amount ($) |
|---|---|
| Research and Development | $32,216,000 |
| Selling, General, and Administrative | $25,291,000 |
| Amortization of Intangible Assets | $1,687,000 |
| Other Operating Expense (Income), Net | ($4,318,000) |
Net Income and Earnings Per Share
Veeco reported the following net income and earnings per share metrics as of September 30, 2024:
| Metric | Q3 2024 | Q3 2023 |
|---|---|---|
| Net Income | $21,951,000 | $24,574,000 |
| Earnings Per Share (Basic) | $0.39 | $0.44 |
| Earnings Per Share (Diluted) | $0.36 | $0.42 |
Future Outlook
Looking ahead, Veeco expects fluctuations in sales driven by market conditions, particularly in the Semiconductor and Data Storage sectors. The company is investing in R&D to capitalize on emerging technologies and maintain market leadership.
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Resources:
- Veeco Instruments Inc. (VECO) Financial Statements – Access the full quarterly financial statements for Q3 2024 to get an in-depth view of Veeco Instruments Inc. (VECO)' financial performance, including balance sheets, income statements, and cash flow statements.
- SEC Filings – View Veeco Instruments Inc. (VECO)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.