MKS Instruments (NASDAQ: MKSI) reported Q1 EPS of $1.12, $0.05 better than the analyst estimate of $1.07. Revenue for the quarter came in at $464 million versus the consensus estimate of $460.65 million.

• Quarterly revenue of $464 million
• GAAP net income of $12.5 million, or $0.23 per diluted share
• Non-GAAP net earnings of $61.3 million, or $1.12 per diluted share
• Successfully completed acquisition of Electro Scientific Industries, Inc. (“ESI”) in the quarter

“We’re very pleased with our continued strong execution across the standalone MKS business. Excluding the ESI acquisition, revenue and Non-GAAP net earnings were both above the mid-point of our guidance range for the first quarter,” said Gerald Colella, Chief Executive Officer.

Mr. Colella added, “Our strong customer relationships and technical capabilities have also resulted in a number of important design wins, as we take full advantage of the current moderation in the semiconductor market. The acquisition of ESI further advances our Surround the WorkpieceSM offerings and expands our solutions for Advanced Markets. We plan to leverage this advanced systems expertise and deep technical understanding of laser materials processing interactions to provide rich and robust solutions to meet the challenges of our customers’ evolving technology needs.”

“ESI integration efforts are proceeding ahead of schedule and we are on target to realize $15 million of annualized cost synergies over the next 18 to 36 months,” said Seth Bagshaw, Senior Vice President and Chief Financial Officer. “Furthermore, we exited the quarter with a strong balance sheet and liquidity with over $460 million of cash and short-term investments and trailing twelve-month net leverage ratio of under 1 times.”

GUIDANCE:

MKS Instruments sees Q2 2019 EPS of $0.89-$1.26, versus the consensus of $1.37. MKS Instruments sees Q2 2019 revenue of $460-510 million, versus the consensus of $507.97 million.

For earnings history and earnings-related data on MKS Instruments (MKSI) click here.