AXT Sees Q4 Revenue Fall to $23M, GAAP Loss Widens to $3.5M
AXT posted Q4 2025 revenue of $23.0 million, down from $28.0 million in Q3, with GAAP net loss widening to $3.5 million as gross margin rose to 20.9%. Full-year revenue dropped to $88.3 million with GAAP loss of $21.3 million, and Q1 2026 growth is forecast on indium phosphide demand.
1. Q4 2025 Results
AXT’s fourth-quarter revenue declined to $23.0 million from $28.0 million in Q3 2025 and $25.1 million a year earlier. GAAP gross margin improved to 20.9% while GAAP net loss widened to $3.5 million, reflecting export permit restrictions during the quarter.
2. Fiscal Year 2025 Performance
For the full year, revenue fell to $88.3 million from $99.4 million in 2024, with GAAP gross margin of 12.7%. The company recorded a GAAP net loss of $21.3 million, compared with a $5.1 million net loss in 2024.
3. Q1 2026 Outlook
Management expects sequential revenue growth in the first quarter of 2026, driven by rising indium phosphide demand tied to expanding AI infrastructure. The forecast reflects optimism despite ongoing export permit challenges.