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Quarterly Earnings Review February 5, 2026 1 Kulicke & Soffa Nasdaq: KLIC Q1F26 Ended January 3, 2026
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2 Earnings Review Safe Harbor In addition to historical statements, this presentation contains statements relating to future events and our future results based on management’s expectations as of February 4, 2026. These statements are “forward-looking” statements within the meaning of the Private Securities Litigation Reform Act of 1995. While these forward-looking statements represent our judgments and future expectations concerning our business, a number of risks, uncertainties and other important factors could cause actual developments and results to differ materially from our expectations. These factors include, but are not limited to, the factors listed or discussed in our 2025 Annual Report on Form 10-K and our other filings with the Securities and Exchange Commission. Kulicke and Soffa Industries, Inc. is under no obligation to (and expressly disclaims any obligation to) update or alter its forward-looking statements whether as a result of new information, future events or otherwise. A reconciliation of non-GAAP items is included in this presentation and available within our most recently filed earnings release. Use of Non-GAAP Financial Results In addition to U.S. GAAP ("GAAP") results, this presentation also contains the following non-GAAP financial results: income from operations, operating margin, operating expenses, net income, net margin, net income per fully diluted share and adjusted free cash flow. The Company's non-GAAP results exclude amortization related to intangible assets acquired through business combinations, costs associated with restructuring and severance, equity-based compensation, acquisition and integration costs, impairment relating to assets acquired through business combinations, long-lived asset impairment relating to business cessation or disposal, impairment relating to equity investments, income tax expense/benefit arising from discrete tax items triggered by acquisition, disposal of business (both via a sale or an abandonment), restructuring and significant changes in tax laws, gain/loss on disposal of business, as well as tax benefits or expenses associated with the foregoing non-GAAP items. The non-GAAP adjustments may or may not be infrequent or nonrecurring in nature, but are a result of periodic or non-core operating activities. These non-GAAP measures are consistent with the way management analyzes and assesses the Company’s operating results. The Company believes these non-GAAP measures enhance investors’ understanding of the Company’s underlying operational performance, as well as their ability to compare the Company’s period-to-period financial results and the Company’s overall performance to that of its competitors. Management uses both GAAP metrics as well as these non-GAAP metrics to evaluate the Company's operating and financial results. Non-GAAP financial measures may not provide information that is directly comparable to that provided by other companies in the Company’s industry, as other companies in the industry may calculate non-GAAP financial results differently. In addition, there are limitations in using non-GAAP financial measures because the non-GAAP financial measures are not prepared in accordance with GAAP, may be different from non-GAAP financial measures used by other companies and exclude expenses that may have a material impact on the Company’s reported financial results. The presentation of non-GAAP items is meant to supplement, but not substitute for, GAAP financial measures or information. The Company believes the presentation of non-GAAP results in combination with GAAP results provides better transparency to the investment community when analyzing business trends, providing meaningful comparisons with prior period performance and enhancing investors' ability to view the Company's results from management's perspective. A reconciliation of each non-GAAP financial measure to the most directly comparable GAAP measure presented in this presentation is contained in the Appendix to this presentation.
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Revenue $199.6M Net Income $16.8M Non-GAAP Net Income* $23.1M EPS $0.32 Non-GAAP EPS* $0.44 3 Q1F26 Results Q1F26 Update Internally Focused & Optimized for Growth *Please see Non-GAAP Reconciliation for a reconciliation of non-GAAP financial measures to the most directly comparable GAAP measures. Overview • Demand growth — faster & stronger than expected ◦ Led by General Semiconductor & Memory ◦ Data center - a critical driver to the incremental outlook ◦ Auto/Industrial showing signs of improvement • Near-term focus ◦ Operational production ramp ◦ Multiple parallel technology transitions ▪ Advanced Dispense ▪ Power Semiconductor ▪ Advanced Packaging • Improved FY26 visibility • New solution demand remains robust • Ramping production to support customers
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General Semi Technology & capacity related demand supports Data Center growth Auto & Industrial Strengthening market dynamics — 15% sequential QoQ increase Memory Enterprise SSD (NAND) as well as DRAM transitions APS Higher productivity of installed base — up 14% over same period last year General Semi 125 1Q Avg 1Q254Q251Q26 $— $100 $200 —% 80.0% Auto & Industrial 14 1Q Avg 1Q254Q251Q26 $— $50 $100 —% 40% Memory 16 1Q Avg 1Q254Q251Q26 $— $25 $50 —% 20% APS 45 1Q Avg 1Q254Q251Q26 $— $50 $100 —% 30% Q1F26 Revenue Composition By End Market As a percent of total Company revenue Revenue per quarter (millions USD) Quarter Avg = Period avg over 5 preceding years
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• Expanding portfolio with ACELONTM • Recurring & new customer interest • Adjacent opportunities across served markets • Market leading portfolio • Higher level of assembly complexity • Recently launched - Asterion® pin-welding system with SonotrodeTM technology • Broadening customer adoption of Fluxless ThermoCompression (FTC) • HBM system shipped Q1F26 • Robust FTC process and material handling capabilities 5 Q1F26 Update Aligned with Technology Transitions ThermoCompression Advanced Dispense Vertical Wire Power Semiconductor • AP solution for shrink challenges • High-volume production still anticipated in FY26 with major Memory customer • Long-term transition to stacked DRAM - Mobile HBM or LPWIO DRAM are favorable
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Operational model beginning highlight leverage Higher revenue drove higher EPS Q1F26 Financial Results $199.6M Up 12.4% Q/Q $74.2M Up $4.4M Q/Q 12.6% $0.44 6 *Please see Non-GAAP Reconciliation for a reconciliation of non-GAAP financial measures to the most directly comparable GAAP measures. Delivering on technology & capacity requirements
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$Millions, except %, EPS, and share count Q1F25 4Q25 Q1F26 Q/Q Y/Y Revenue $166.1 $177.6 $199.6 $22.0 $33.5 Gross Margin 52.4% 45.7% 49.6% 390 bps -280 bps Operating Expenses $0.4 $80.3 $81.1 $0.8 $80.7 Operating Income $86.6 $0.9 $17.8 $16.9 $(68.8) Non-GAAP Net Income* $20.2 $14.9 $23.1 $8.2 $2.9 Diluted EPS $1.51 $0.12 $0.32 $0.20 $(1.19) Non-GAAP Diluted EPS* $0.37 $0.28 $0.44 $0.16 $0.07 Diluted Share Count 54.2 M 52.5 M 52.5 M 0.0 M (1.7) M *Please see Non-GAAP Reconciliation for a reconciliation of non-GAAP financial measures to the most directly comparable GAAP measures. 7 Income Statement Q1F26 Summary Items
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$Millions Q1F26 Q4F25 Q3F25 Q2F25 Q1F25 Accounts and Other Receivables $215.8 $183.5 $173.8 $173.9 $247.9 Inventory $176.5 $160.2 $158.3 $155.7 $185.1 Accounts Payable $68.9 $57.2 $52.7 $48.4 $49.0 Net Cash* $284.3 $322.5 $368.0 $398.5 $369.2 Working Capital Days** 323 362 450 425 458 Share Repurchases $6.7 $16.7 $21.6 $21.3 $36.9 Dividends $10.7 $10.6 $10.8 $10.9 $11.0 Balance Sheets & Cash Flow Q1F26 Summary Items 8 *Net cash = Total Cash & Investments less Current Liabilities **Calculated using ending period values
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Ramping production as demand broadens Strengthening General Semi & Memory dynamics Outlook Q2F26 9 $230M +/- $10M Operational model demonstrating leverage potential 49.0% +/- 100 bps $0.67 +/- 10% $73.0M +/- 2% *Please see Non-GAAP Reconciliation for composition of Non-GAAP guidance items. *
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For additional information investor.kns.com investor@kns.com Earnings Review Q&A
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Three months ended January 3, 2026 December 28, 2024 October 4, 2025 Net revenue $ 199,625 $ 166,124 177,558 U.S. GAAP income from operations 17,820 86,649 888 U.S. GAAP operating margin 8.9 % 52.2 % 0.5 % Pre-tax non-GAAP items: Amortization related to intangible assets 308 1,246 308 Restructuring 1,997 829 2,797 Equity-based compensation 5,330 6,141 7,800 Gain relating to cessation of business — (75,987) — Other income – escrow release on sale of subsidiary (304) — — Non-GAAP income from operations $ 25,151 $ 18,878 $ 11,793 Non-GAAP operating margin 12.6 % 11.4 % 6.6 % Reconciliation of U.S. GAAP to Non-GAAP Income from Operations and Operating Margin (In thousands, except percentages) (Unaudited) Non-GAAP Reconciliations
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Reconciliation of U.S. GAAP to Non-GAAP Operating Expenses (In thousands) (Unaudited) Non-GAAP Reconciliations Three months ended January 3, 2026 December 28, 2024 October 4, 2025 U.S. GAAP operating expenses $ 81,135 $ 435 $ 80,322 Total Non-GAAP adjustments Equity-based compensation - Selling, general and administrative 2,892 3,739 5,036 Equity-based compensation - Research and development 2,001 2,019 2,343 Amortization related to intangible assets 308 1,246 308 Restructuring 1,997 829 2,797 Other income – escrow release on sale of subsidiary (304) — — Gain relating to cessation of business — (75,987) — Non-GAAP operating expenses $ 74,241 $68,589 $ 69,838
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Three months ended January 3, 2026 December 28, 2024 October 4, 2025 Net revenue $ 199,625 $ 166,124 $ 177,558 U.S. GAAP net income 16,796 81,642 6,379 U.S. GAAP net margin 8.4 % 49.1 % 3.6 % Non-GAAP adjustments: Amortization related to intangible assets 308 1,246 308 Restructuring 1,997 829 2,797 Equity-based compensation 5,330 6,141 7,800 Gain relating to cessation of business — (75,987) — Other income – escrow release on sale of subsidiary (304) — — Net income tax (benefit) / expense on non-GAAP items (986) 6,349 (2,411) Total non-GAAP adjustments $ 6,345 $ (61,422) $ 8,494 Non-GAAP net income $ 23,141 $ 20,220 $ 14,873 Non-GAAP net margin 11.6 % 12.2 % 8.4 % Reconciliation of U.S. GAAP Net Income to Non-GAAP Net Income and Non-GAAP Net Margin and U.S. GAAP net income per share to Non-GAAP net income per share (In thousands, except percentages and per share data) (Unaudited) Non-GAAP Reconciliations
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Three months ended January 3, 2026 December 28, 2024 October 4, 2025 U.S. GAAP net income per share: Basic $ 0.32 $ 1.52 $ 0.12 Diluted(a) $ 0.32 $ 1.51 $ 0.12 Non-GAAP adjustments per share:(b) Basic $ 0.12 $ (1.14) $ 0.16 Diluted $ 0.12 $ (1.14) $ 0.16 Non-GAAP net income per share: Basic $ 0.44 $ 0.38 $ 0.28 Diluted(c) $ 0.44 $ 0.37 $ 0.28 Weighted average shares outstanding: Basic 52,319 53,791 52,093 Diluted 52,464 54,212 52,464 Reconciliation of U.S. GAAP Net Income to Non-GAAP Net Income and Non-GAAP Net Margin and U.S. GAAP net income per share to Non-GAAP net income per share (In thousands, except percentages and per share data) (Unaudited) Non-GAAP Reconciliations (a) GAAP diluted net earnings per share reflects any dilutive effect of outstanding restricted stock, but that effect is excluded when calculating GAAP diluted net loss per share because it would be anti-dilutive. (b) Non-GAAP adjustments per share include amortization related to intangible assets acquired through business combinations, costs associated with restructuring and severance, equity-based compensation expenses, impairment relating to assets acquired through business combinations, long-lived asset impairment relating to business cessation or disposal, gain relating to disposal or cessation of business, and income tax effects associated with the foregoing non-GAAP items. (c) Non-GAAP diluted net earnings per share reflects any dilutive effect of outstanding restricted stock, but that effect is excluded when calculating Non-GAAP diluted net loss per share because it would be anti-dilutive.
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Three months ended January 3, 2026 December 28, 2024 October 4, 2025 U.S. GAAP net cash (used in) / provided by operating activities $ (8,933) $ 18,902 $ 7,406 Purchases of property, plant and equipment (2,676) (10,202) (2,957) Proceeds from sales of property, plant and equipment 1 — — Non-GAAP adjusted free cash flow $ (11,608) $ 8,700 $ 4,449 Reconciliation of U.S. GAAP Cash provided by Operating Activities to Non-GAAP Adjusted Free Cash Flow (In thousands) (unaudited) Non-GAAP Reconciliations
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Non-GAAP Adjustments A. Equity-based compensation - Cost of sales 0.4 B. Equity-based compensation - Selling, general and administrative and Research and development 6.4 C. Amortization related to intangible assets 0.3 D. Restructuring expenses 0.7 E. Net income tax effect of the above items (0.7) Reconciliation of U.S. GAAP to Non-GAAP Outlook (In millions, except per share data) (Unaudited) (1) GAAP and non-GAAP diluted EPS based on approximately 52.0 million diluted weighted average shares outstanding. The tables above reconcile our GAAP to non-GAAP guidance based on the current outlook. The guidance does not incorporate the impact of any potential business combinations, divestitures, unannounced restructuring activities, strategic investments and other significant transactions. The timing and impact of such items are dependent on future events that may be uncertain or outside of our control. Non-GAAP Reconciliations Second quarter of fiscal 2026 ending April 4, 2026 GAAP Outlook Adjustments Non-GAAP Outlook Net revenue $230 million +/- $10 million — $230 million +/- $10 million Operating expenses $80.4 million +/- 2% $7.4 million B,C, D $73.0 million +/- 2% Diluted EPS(1) $0.53 +/- 10%% $0.14 A - E $0.67 +/- 10%