MKS Instruments (NASDAQ: MKSI) reported Q2 EPS of $1.62, $0.44 better than the analyst estimate of $1.18. Revenue for the quarter came in at $544 million versus the consensus estimate of $491.82 million.

“We are pleased with our strong financial performance, particularly given the global factory and supply chain disruptions we faced entering the quarter. This is a validation of our world class operational execution and our unique offering of critical enabling technologies. Robust year-over-year Semiconductor Market revenue growth of 50% was driven by broad-based demand across our portfolio – in particular for our Power Solutions business, where we delivered record revenue led by demand from leading-edge semiconductor applications,” said John TC Lee, President and Chief Executive Officer.

Mr. Lee added, “We are encouraged with the continued stabilization in our Advanced Markets, with strong growth in PCB drilling applications, primarily offset by lower revenue from certain industrial applications.”

“The sequential improvement in our second quarter non-GAAP operating margin is a testament to our ability to drive operating leverage in our financial model. We will continue to manage our business with a focus on sustainable and profitable growth,” said Seth H. Bagshaw, Senior Vice President and Chief Financial Officer.

Mr. Bagshaw added, “We delivered record operating and free cash flow in the second quarter, and our balance sheet remains strong, as our net leverage ratio exiting the second quarter further decreased to 0.5 times.”

GUIDANCE:

MKS Instruments sees Q3 2020 EPS of $1.55-$1.95, versus the consensus of $1.13. MKS Instruments sees Q3 2020 revenue of $535-585 million, versus the consensus of $474.05 million.

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