Cohu (COHU) Investor presentation summary

Strategic positioning

• Broad semiconductor test and inspection portfolio spans thermal handlers, inspection/metrology, testers, test interfaces and software, targeting HPC/AI, HBM, power, automotive, industrial and mobile markets.

• Estimated 2026 serviceable addressable market expanded 70% to $3.4B, with opportunities including AI data center processors, HBM inspection, ADAS, electrification and industrial automation.

• Q2'26 revenue was $149M, non-GAAP gross margin was 45.5%, and cash and investments were $498M as of June 27, 2026; installed systems totaled 25,400.

HPC and AI growth opportunities

• Estimated annual sales opportunity at selected HPC customers totaled $850M, comprising ~$650M in systems and ~$200M in recurring revenue.

• 15 customers in qualification and engagement represented an estimated $610–690M revenue opportunity; FY26 HPC revenue outlook was raised to ~$100–110M.

• Received $26M in follow-on orders for Eclipse systems with active thermal control; qualification is underway at multiple fabless customers for GPU, ASIC accelerator and networking processor testing.

• Additional HBM inspection orders were received from a leading memory manufacturer; FY26 revenue outlook for the activity was ~$20M.

• Secured Diamond orders for power management ICs and digital controllers used in a leading AI GPU rack-scale server; the power management market for AI accelerators is forecast to grow at ~25%+ CAGR over the next few years.

Recurring revenue and financial model

• LTM recurring revenue was $297M, ~57% of consolidated revenue; LTM service revenue was $133M and service-contract renewal rate was 88%.

• Service infrastructure included 25,400 installed systems, 108 customers, ~440 field engineers, ~13-year average tenure and support across 280+ high-volume manufacturing facilities in 30 countries.

• Mid-term model targets $600–800M revenue, 48–50% non-GAAP gross margin, 18–26% adjusted EBITDA and $1.50–$3.25 non-GAAP EPS; FY26 revenue outlook was up ~35% YoY.

• FY25 revenue was $453M; the mid-term model indicates ~15% CAGR, with growth drivers including HPC, software analytics and recovering core markets.