"The potential for a solution that can do test and burn-in screening of devices, while still in wafer form is remarkable, and Aehr is the first and only company in the world to demonstrate and successfully achieve this for production burn-in at the wafer level."
— Gayn Erickson
03Detailed Report
AEHR
Aehr Test Systems
Period
Q3 2025
CurrencyUSD
Report TypeQuarterly Earnings
GeneratedJun 24, 2026
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Executive Summary
Aehr Test Systems achieved outstanding results in Q3 2025, with revenues reaching $18.3 million, representing a remarkable 142% increase year-over-year. This surge was primarily driven by the introduction and successful sales of the high-power FOX-XP systems for AI processor testing, which marks a significant diversification from the company’s traditional focus on silicon carbide. Management emphasized the importance of expanding into high-growth markets, notably AI processors and gallium nitride semiconductors, where recent wins have reduced revenue dependency on silicon carbide from 90% to less than 40%. Although the company is facing headwinds from potential tariffs that could affect supply chain and customer orders, management remains optimistic about navigating these challenges and exceeding current financial forecasts.
Key Performance Indicators
Revenue
Increasing
18.31M
QoQ: 36.08% | YoY: 142.06%
Gross Profit
Increasing
7.18M
39.24% margin
QoQ: 33.02% | YoY: 127.60%
Operating Income
Increasing
-1.12M
QoQ: 26.04% | YoY: 45.31%
Net Income
Increasing
-643.00K
QoQ: 37.45% | YoY: 56.29%
EPS
Increasing
-0.02
QoQ: 37.75% | YoY: 57.65%
Revenue Trend
Margin Analysis
Financial Highlights
Q3 2025 Key Financial Metrics:
- Revenue: $18.3 million (YoY: +142%, QoQ: +36%)
- Gross Profit: $7.18 million (Gross Margin: 39.2%)
- Operating Income: -$1.12 million
- Net Income: -$0.64 million (EPS: -$0.0216)
- Cash Position: $31.4 million
- Current Ratio: 5.71
- Total Assets: $145.6 million
- Total Equity: $124.2 million
The significant revenue growth reflects a strategic shift into higher-margin, high-growth markets and successful product offerings. However, the operating loss indicates ongoing investment needs to support growth initiatives and market expansion.
Income Statement
Metric
Value
YoY Change
QoQ Change
Revenue
18.31M
142.06%
36.08%
Gross Profit
7.18M
127.60%
33.02%
Operating Income
-1.12M
45.31%
26.04%
Net Income
-643.00K
56.29%
37.45%
EPS
-0.02
57.65%
37.75%
Key Financial Ratios
Gross Profit Margin
Fair
39.20%
Gross profit margin is moderate, room for improvement in cost management
Operating Profit Margin
Weak
-0.06%
Operating margin is below industry norms, profitability concerns
Net Profit Margin
Weak
-0.04%
Net profit margin is below industry norms, profitability concerns
Return on Assets
Weak
0.00%
Return on assets suggests inefficient capital allocation
Return on Equity
Weak
-0.01%
Return on equity suggests inefficient capital allocation
Current Ratio
Strong
5.71
Current ratio indicates excellent liquidity and financial flexibility
Debt to Equity
Conservative
0.05
Debt-to-equity shows conservative leverage and low financial risk
P/E Ratio
Negative
-111.44x
Negative earnings make P/E ratio not meaningful
Price to Book
Fair Value
2.31x
Price-to-book ratio reasonable for profitable companies
Management Insights Available for Members
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