Press Release

Photronics Reports Full Year and Fourth Quarter Fiscal 2025 Results

December 10, 2025 at 7:00 AM EST
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BROOKFIELD, Conn., Dec. 10, 2025 (GLOBE NEWSWIRE) -- Photronics, Inc. (NASDAQ:PLAB), a worldwide leader in photomask technologies and solutions, today reported financial results for its full year and fourth quarter of fiscal year 2025 ended October 31, 2025.

Commenting on the fourth-quarter performance, Chairman and CEO George Macricostas said, "Photronics delivered very good results in our fiscal fourth quarter achieving record high end revenue with particular strength in the United States. We continue to see positive forecasts from our customers in the U.S. validating our U.S. investment plans, while our Korea capability extension is also anticipated to help diversify our geographic revenue mix and increase our exposure to leading-edge chip designs in the future.”

Full Year Fiscal 2025 Results

  • Revenue was $849.3 million, down 2.0% year-over-year.
  • GAAP net income attributable to Photronics, Inc. shareholders was $136.4 million, or $2.28 per diluted share, compared with $130.7 million, or $2.09 per diluted share in 2024.
  • Favorable impact associated with the deferred tax valuation allowance reduction of $16.8 million.
  • Non-GAAP net income attributable to Photronics, Inc. shareholders was $120.6 million, or $2.01 per diluted share, compared with $127.6 million, or $2.05 per diluted share in 2024.
  • IC revenue was $615.1 million, down 4% year-over-year.
  • FPD revenue was $234.2 million, up 2% year-over-year.
  • Cash generated from operating activities was $247.8 million, and cash invested in organic growth through capital expenditures was $188.1 million.

Fourth Quarter Fiscal 2025 Results

  • Revenue was $215.8 million, down 3.1% year-over-year and up 2.6% sequentially.
  • GAAP Net income attributable to Photronics, Inc. shareholders was $61.8 million, or $1.07 per diluted share, compared with $33.9 million, or $0.54 per diluted share, in the fourth quarter of 2024 and $22.9 million, or $0.39 per diluted share, in the third quarter of 2025.
  • Favorable impact associated with the deferred tax valuation allowance reduction of $16.8 million.
  • Non-GAAP Net income attributable to Photronics, Inc. shareholders was $34.6 million, or $0.60 per diluted share, compared with $37.1 million, or $0.59 per diluted share in the fourth quarter of 2024 and $29.4 million, or $0.51 per diluted share, in the third quarter of 2025.
  • IC revenue was $157.4 million, down 4% year-over-year and up 7% sequentially.
  • FPD revenue was $58.3 million, down 1% from the same quarter last year and down 7% sequentially.
  • Cash, cash equivalents and short-term investments at the end of the quarter were $588.2 million, of which $422.3 million was associated with our Joint Ventures, of which we own 50.01%.
  • Cash generated from operating activities was $87.8 million, cash invested in organic growth through capital expenditures was $67.5 million.

First Quarter Fiscal 2026 Guidance

For the first quarter of fiscal 2026, Photronics expects Revenue to be between $217 million and $225 million and non-GAAP Net income attributable to Photronics, Inc. shareholders to be between $0.51 and $0.59 per diluted share.

Webcast

A webcast to discuss these results is scheduled for 8:30 a.m. Eastern time on December 10, 2025. The call will be broadcast live and on-demand on the Events and Presentations link on the Photronics website. Analysts and investors who wish to participate in the Q&A portion of the call should click here. It is suggested that participants register fifteen minutes prior to the call's scheduled start time.

About Photronics

Photronics is a leading worldwide manufacturer of integrated circuit (IC) and flat panel display (FPD) photomasks. High precision quartz plates that contain microscopic images of electronic circuits, photomasks are a key element in the IC and FPD manufacturing process. Founded in 1969, Photronics has been a trusted photomask supplier for over 56 years. The company operates 11 strategically located manufacturing facilities in Asia, Europe, and North America. Additional information on the company can be accessed at www.photronics.com.

Forward-Looking Statements

Certain statements in this press release constitute “forward-looking statements” regarding our industry, our strategic position, and our financial and operating results. These forward-looking statements are subject to a number of risks and uncertainties that could cause actual results, performance or achievements to differ materially. Please refer to Item 1A “Risk Factors” in our Annual Report on Form 10-K for the fiscal year ended October 31, 2024 and other subsequent filings with the Securities and Exchange Commission. These documents contain and identify important factors that could cause our actual results to differ materially from those contained in these forward-looking statements. Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future results, levels of activity, performance, or achievements. We are under no duty to update any of the forward-looking statements after the date of this release to conform these statements to actual results.

Non-GAAP Financial Measures

Non-GAAP Net Income attributable to Photronics, Inc. shareholders and non-GAAP diluted earnings per share attributable to Photronics, Inc. shareholders are "non-GAAP financial measures" as such term is defined by Regulation G of the Securities and Exchange Commission, and may differ from similarly named non-GAAP financial measures used by other companies. The attached financial supplement reconciles Photronics, Inc. financial results under GAAP to non-GAAP financial information. We believe these non-GAAP financial measures that exclude certain items are useful for analysts and investors to evaluate our on-going performance because they enable a more meaningful comparison of our projected performance with our historical results. These non-GAAP metrics are not a measure of consolidated operating results under U.S. GAAP and should not be considered as an alternative to Net income (loss), Net income (loss) per share, or any other measure of consolidated results under U.S. GAAP. The items excluded from these non-GAAP metrics, but included in the calculation of their closest GAAP equivalent, are significant components of the condensed consolidated statement of income and must be considered in performing a comprehensive assessment of overall financial performance. Please refer to the non-GAAP reconciliations below.

Totals presented may not sum due to rounding.

PHOTRONICS, INC.
Condensed Consolidated Statements of Income
(in thousands, except per share amounts)
(Unaudited)
         
         
        Three Months Ended   Year Ended
        October 31,   August 3,   October 31,   October 31,   October 31,
          2025       2025       2024       2025       2024  
                         
Revenue       $ 215,770     $ 210,394     $ 222,628     $ 849,294     $ 866,946  
                         
Cost of goods sold       140,236       139,539       140,326       549,464       551,000  
                         
Gross Profit         75,534       70,855       82,302       299,830       315,946  
Gross margin %       35.0 %     33.7 %     37.0 %     35.3 %     36.4 %
                         
Operating Expenses:                    
                         
Selling, general and administrative   20,001       18,423       21,008       75,625       77,760  
                         
Research and development     3,185       4,271       5,285       15,804       16,576  
                         
Total Operating Expenses     23,186       22,694       26,293       91,429       94,336  
                         
Other operating expense     (241 )     -       (182 )     (240 )     (92 )
                         
Operating Income     52,107       48,161       55,827       208,161       221,518  
Operating Margin     24.1 %     22.9 %     25.1 %     24.5 %     25.6 %
                         
Other income (loss) , net     23,855       (9,428 )     (1,034 )     13,623       25,897  
                         
Income Before Income Tax Provision   75,962       38,733       54,793       221,784       247,415  
                         
Income tax (benefit) provision   (2,659 )     9,594       14,568       31,550       63,567  
                         
Net Income         78,621       29,139       40,225       190,234       183,848  
                         
Net income attributable to noncontrolling interests   16,820       6,248       6,356       53,829       53,160  
                         
Net income attributable to Photronics, Inc. shareholders $ 61,801     $ 22,891     $ 33,869     $ 136,405     $ 130,688  
                         
Earnings per share attributed to Photronics, Inc. shareholders:                
                         
Basic       $ 1.07     $ 0.40     $ 0.55     $ 2.29     $ 2.12  
                         
Diluted       $ 1.07     $ 0.39     $ 0.54     $ 2.28     $ 2.09  
                         
Weighted-average number of common shares outstanding:                
                         
Basic         57,600       57,937       61,863       59,606       61,726  
                         
Diluted         57,977       58,068       62,456       59,920       62,391  
                         


PHOTRONICS, INC.
Condensed Consolidated Balance Sheets
(in thousands)
(Unaudited)
 
             
        October 31,   October 31,
        2025
   2024
             
Assets            
             
Current assets:          
Cash and cash equivalents $ 492,256   $ 598,485
Short-term investments     95,909     42,184
Accounts receivable     195,921     200,830
Inventories       61,767     56,527
Other current assets     44,199     33,036
             
Total current assets     890,052     931,062
             
Property, plant and equipment, net   854,436     745,257
Other assets       60,046     35,740
             
Total assets     $ 1,804,534   $ 1,712,059
             
             
             
Liabilities and Equity        
             
Current liabilities:          
Current portion of long-term debt $ 11   $ 17,972
Accounts payable and accrued liabilities   165,862     165,839
             
Total current liabilities     165,873     183,811
             
Long-term debt       13     25
Other liabilities       41,341     47,464
             
Equity:            
Photronics, Inc. shareholders' equity   1,173,589     1,120,864
Noncontrolling interests     423,718     359,895
Total equity       1,597,307     1,480,759
             
Total liabilities and equity   $ 1,804,534   $ 1,712,059
             


PHOTRONICS, INC.
Condensed Consolidated Statements of Cash Flows
(in thousands)
(Unaudited)
               
               
          Year Ended
          October 31,   October 31,
            2025       2024  
               
Cash flows from operating activities:        
Net income       $ 190,234     $ 183,848  
Adjustments to reconcile net income to net cash      
provided by operating activities:        
Depreciation and amortization     77,605       82,805  
Share-based compensation     13,388       13,890  
Changes in operating assets, liabilities and other   (33,429 )     (19,099 )
               
Net cash provided by operating activities   247,798       261,444  
               
Cash flows from investing activities:        
Purchases of property, plant and equipment   (188,137 )     (130,942 )
Purchases of short-term investments   (129,649 )     (100,558 )
Proceeds from maturities of short-term investments   76,823       72,836  
Government incentives       2,158       2,229  
Other         (94 )     (30 )
               
Net cash used in investing activities     (238,899 )     (156,465 )
               
Cash flows from financing activities:        
Repayments of debt       (17,972 )     (6,621 )
Common stock repurchases     (97,422 )     -  
Proceeds from share-based arrangements   2,231       1,916  
Net settlements of restricted stock awards   (2,094 )     (3,025 )
               
Net cash used in financing activities     (115,257 )     (7,730 )
               
Effects of exchange rate changes on cash, cash equivalents, and restricted cash           228       2,127  
               
Net (decrease) increase in cash, cash equivalents, and restricted cash   (106,130 )     99,376  
Cash, cash equivalents, and restricted cash, beginning of period   601,243       501,867  
               
Cash, cash equivalents, and restricted cash, end of period $ 495,113     $ 601,243  
               


PHOTRONICS, INC.
Reconciliation of U.S. GAAP net income and diluted earnings per share attributable to Photronics, Inc. shareholders to non-GAAP net income and diluted earnings per share attributable to Photronics, Inc. shareholders
(in thousands, except per share amounts)
(Unaudited)
                   
                   
  Three Months ended   Year Ended
  October 31,   August 3,   October 31,   October 31,   October 31,
    2025       2025       2024       2025       2024  
                   
                   
U.S. GAAP net income attributable to Photronics, Inc. shareholders $ 61,801     $ 22,891     $ 33,869     $ 136,405     $ 130,688  
FX (gain) loss   (18,615 )     14,258       7,758       8,310       (2,168 )
Estimated tax effects of FX (gain) loss   4,781       (3,663 )     (1,936 )     (2,066 )     477  
Estimated noncontrolling interest effects of above   3,341       (4,130 )     (2,637 )     (5,342 )     (1,407 )
Reversal of deferred tax valuation allowance   (16,751 )     -       -       (16,751 )     -  
                   
Non-GAAP net income attributable to Photronics, Inc. shareholders $ 34,557     $ 29,356     $ 37,054     $ 120,556     $ 127,590  
                   
Weighted-average number of common shares outstanding - Diluted   57,977       58,068       62,456       59,920       62,391  
                   
                   
U.S. GAAP diluted earnings per share attributable to Photronics, Inc. shareholders $ 1.07     $ 0.39     $ 0.54     $ 2.28     $ 2.09  
Effects of non-GAAP adjustments above   (0.47 )     0.12       0.05       (0.27 )     (0.04 )
Non-GAAP diluted earnings per share attributable to Photronics, Inc. shareholders $ 0.60     $ 0.51     $ 0.59     $ 2.01     $ 2.05  
                   


For Further Information:
Ted Moreau
VP, Investor Relations
469.395.8175
tmoreau@photronics.com


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Source: Photronics, Inc.