PDF Solutions (PDFS) Q4 2023 earnings summary

Executive summary

• FY 2023 revenue reached a record $165.8M, up 12% YoY; analytics revenue rose 17% to $152.1M.

• GAAP net income was $3.1M for FY 2023 versus a $3.4M loss in FY 2022; non-GAAP net income increased to $28.5M from $22.9M.

Financial highlights

• Q4 2023 revenue was $41.1M versus $40.5M YoY and $42.4M QoQ; FY revenue was $165.8M versus $148.5M in 2022.

• Q4 GAAP net income was $0.9M, or $0.02 diluted EPS, versus $0.5M and $0.01 YoY; FY GAAP net income was $3.1M, or $0.08 diluted EPS.

• Q4 non-GAAP net income was $5.7M, or $0.15 diluted EPS, versus $7.4M and $0.19 YoY; FY non-GAAP net income was $28.5M, or $0.73 diluted EPS, versus $22.9M and $0.60.

Outlook and guidance

• 2024 H1 revenue expected to be flat YoY; H2 revenue expected to grow 20% YoY, reflecting near-term industry weakness and a strong pipeline.

• Distributed manufacturing, energy electrification and AI cited as macro trends with potential to drive significant growth.