Cohu Raises Compute Outlook as Sales Climb
The chip-equipment maker projected third-quarter sales of $170 million at the midpoint.
Cohu Inc. (COHU) reported a 38% increase in second-quarter sales as demand tied to artificial-intelligence computing helped lift test-cell utilization and earnings.
The quarter extended Cohu’s recovery, with sales rising about 19% sequentially and estimated test-cell utilization reaching approximately 80% at the end of June.
Net sales rose to $149.0 million from $107.7 million a year earlier and $125.1 million in the first quarter. The GAAP net loss narrowed to $0.2 million, or $0.00 a share, from $16.9 million, or $0.36 a share, a year earlier. Non-GAAP net income increased to $14.1 million, or $0.26 a share, from $0.7 million, or $0.02 a share.
The semiconductor test-equipment maker posted GAAP operating income of $0.3 million after losses of $11.2 million in the first quarter and $17.2 million a year earlier. Non-GAAP operating margin widened to 10.1% from 2.6% sequentially, while adjusted EBITDA margin rose to 12.3% from 5.6%.
Margins remained below first-quarter levels despite the stronger sales. GAAP gross margin narrowed to 45.4% from 46.3% sequentially, while non-GAAP operating expenses declined to $52.7 million from $55.0 million.
Cohu raised its fiscal-2026 high-performance-computing revenue estimate to between $100 million and $110 million. The company also increased its estimate of the annual AI-driven compute opportunity pipeline to approximately $850 million.
For the third quarter, Cohu expects sales of $170 million, plus or minus $7 million, representing an increase of about 14% at the midpoint. Restructuring charges declined to $0.6 million in the second quarter, and first-half charges fell to $1.4 million from $7.8 million a year earlier.