Ichor (NASDAQ: ICHR) reported Q4 EPS of $0.32, $0.03 worse than the analyst estimate of $0.35. Revenue for the quarter came in at $141 million versus the consensus estimate of $144.38 million.

Highlights for the fourth quarter of 2018:

• Revenues of $141 million;
• Generated $31 million of free cash flow;
• Gross margin of 15.2% on a GAAP basis and 15.3% on a non-GAAP basis;
• Net earnings of $0.15 per diluted share on a GAAP basis and $0.32 on a non-GAAP basis;
• Completed $30 million of share repurchases in the fourth quarter.

“2018 was Ichor’s strongest year on record, with 26% revenue growth year-over-year, along with increasing gross margin, operating margin, and earnings per share, compared to 2017,” commented Chairman and CEO Tom Rohrs. “Along with the rest of the industry, we experienced a significant slowdown in business in the second half of the year, and conditions in the fourth quarter were more challenging than forecast. In spite of the second-half decline in industry spending, we delivered revenue growth for the year that well-outpaced the overall growth in the wafer fabrication equipment industry, primarily due to the contribution from strategic acquisitions, as well as strong execution in our core gas panel business. We demonstrated the strength of our variable manufacturing cost structure by generating record profits and free cash flows for the year. As we continue to navigate through this challenging business environment, we expect to continue delivering solid profitability while we execute on our strategy to expand our market share within our served markets through continued design wins and close collaboration with our customers.”

GUIDANCE:

Ichor sees Q1 2019 EPS of $0.23-$0.31, versus the consensus of $0.40. Ichor sees Q1 2019 revenue of $131-141 million, versus the consensus of $150.7 million.

For earnings history and earnings-related data on Ichor (ICHR) click here.