Veeco Instruments Inc. · NASDAQ:VECO
Veeco Instruments — Q4 2025 Earnings Presentation
37 slides from Veeco Instruments's earnings presentation, Feb 25, 2026
Slide 1: Veeco Instruments Investor Presentation
Veeco Instruments Investor Presentation January 2026 1
Slide 2: Disclaimer
Disclaimer No Offer or Solicitation This communication is not intended to and shall not constitute an offer to purchase or the solicitation of an offer to buy or sell any securities, or a solicitation of any vote or approval, nor shall there be any sale of securities in any jurisdiction in which suc
Slide 3: Contents
Contents Overview Veeco at a Glance Who is Veeco? Role in the Semi Manufacturing Strategy & SAM Opportunities Available Market SAM Opportunities Why Own Veeco? Financials Revenue by End-Market Historical Financials Customers, Resource Alignment, Veeco Team & ESG Backup & Financial Tables 3
Slide 4: Veeco at a Glance
at a glance $ $717M 2024 Revenue Global provider of semiconductor capital equipment ~1200 Employees Differentiated Solving customers Financial strength technologies with high value materials and flexibility opportunities to challenges ~350 expand SAM Patents 4
Slide 5: Who is Veeco?
Who is ? Strong History Semiconductor Solving materials challenges Compound Semiconductor 2019- Today Data Storage 2010 - Today Differentiated Laser 1990’s - Today MOCVD Technology Fabricated Annealing & Ion Beam Growth Focus Deposition technologies Ion Beam Technologies for 70%+ of LED’s globally S
Slide 6: Critical Role in Semi Manufacturing
Critical Role in Semi Manufacturing Representative Process Steps FRONT END BACK END Ion Inspection/ Advanced Deposition Lithography Etch Annealing Implantation Metrology Packaging IBD IBD Wet LSA NSA Processing Litho 300 EUV Veeco Technologies are Critical for Several Semi Manufacturing Process Step
Slide 7: Strategy & SAM Opportunities
Strategy & SAM Opportunities 7
Slide 8: Available Market
Available Market Total Veeco SAM Veeco’s Served Available Market projected to grow to ~$4.4B ~$4.4B Projected CAGR ~15% Semiconductor opportunity projected to ~$2.5B grow to ~$2.7B driven by Laser Annealing, Ion Beam Deposition, and Advanced Packaging equipment Compound Semiconductor opportunity pro
Slide 9: Semi SAM Expansion To Drive Outperformance
Semi SAM Expansion To Drive Outperformance Industry Enabling Technologies Markets Inflections GAA/BSPD Advanced Logic Device Shrink - EUV/High NA Lithography 20% LSA NSA IBD IBD EUV 15% Memory 300 10% HBM/3D Devices 5% 0% Advanced 3D Packaging For AI Wet 2025-2029 CAGR WFE Growth * Veeco Semi SAM Pr
Slide 10: Semiconductor SAM Projected Growth
Semiconductor SAM Projected Growth Key Growth Drivers 2025 2029 Total SAM ~$2.7B Advanced Laser Spike • PTOR at 3 Tier 1 logic and 1 HBM DRAM customer Projected ~18% CAGR Packaging Annealing • Shipped 2nd HBM customer a LSA evaluation system ~$600M ~$850M Ion Beam (LSA) in Q4 2025 ~$1.3B Deposition
Slide 11: Nanosecond Annealing Opportunity
Nanosecond Annealing Opportunity 2000 NSA Future (nanosecond) Traditional Temperature (°C) LSA Lamp Based • Scaling challenges driving the need for new annealing capabilities 1000 (sub millisecond) (sub second) • NSA broadening Laser Annealing adoption to new leading-edge Logic and Memory applicatio
Slide 12: IBD300 – 300mm Front End Semi Opportunity
IBD300– 300mm Front End Semi Opportunity ILLUSTRATION OF GRAIN SIZE AND DISTRIBUTION TODAY FUTURE Incumbent Technology IBD • Industry leader in Ion Beam Technology • Lower resistance metals essential for customer scaling and have direct impact on device performance, speed, and battery life • IBD ach
Slide 13: Technologies for Artificial Intelligence
Technologies for Artificial Intelligence GPU High-Bandwidth Memory (HBM) DRAM Advanced Packaging Current PTOR Current PTOR Current PTOR • Laser-Spike Annealing (LSA) • Laser-Spike Annealing (LSA) • Wet Processing for micro-bump flux • IBD for EUV mask blanks • IBD for EUV mask blanks clean Additiona
Slide 14: Semi Evaluations Capture Industry Inflections
Semi Evaluations Capture Industry Inflections Forecasted Revenue Tools at Tier 1 Customer Per Application Win System Customer 100K wspm* Logic 2 $40-50M LSA Memory 1 $40-50M Logic 2 $50-60M NSA Memory 0 $40-50M Logic 0 $50-60M IBD300 Memory 2 $30-40M *Evaluations typically compete to win several app
Slide 15: Compound Semiconductor Projected SAM Growth
Compound Semiconductor Projected SAM Growth Total SAM Key Growth ~$1.2B Drivers 2025 2029 Projected ~12% CAGR • Single wafer MOCVD platform for 200 and 300mm GaN wafer sizes ~$0.7B GaN Power ~$100M ~$300M • Shipped 300mm evaluation for GaN on Si Power to leading Power Device customer Photonics • Bat
Slide 16: Why Own Veeco?
Why own ? Enabling SAM Expansion Technologies For to Deliver Industry Outperformance Inflections Long-Term Investment 2 3 Strategy to WFE Growth Drive Long- Term Value 1 4 16
Slide 17: Financials
Financials €eC
Slide 18: Revenue by End-Market
Revenue by End-Market $717M $646M $666M $583M $454M 2020 2021 2022 2023 2024 Semiconductor Compound Semiconductor Data Storage Scientific & Other Semiconductor CAGR of ~30% drives increase from 37% of total 2020 revenue to >60% in 2024 18 Amounts may not calculate precisely due to rounding.
Slide 19: Historical Financials (Non-GAAP)
Historical Financials (Non-GAAP) Revenue ($m) Gross Margin (%) ~800 717 ~45% 646 666 43% 44% 43% 583 42% 42% 454 2020 2021 2022 2023 2024 Target 2020 2021 2022 2023 2024 Target Model1 Model1 Operating Income (%) Diluted EPS ($) ~20% 1.74 16% 16% 1.57 1.69 15% 15% 1.43 12% 0.86 2020 2021 2022 2023 20
Slide 20: Customers, Resource Alignment, Veeco Team & ESG
Customers, Resource Alignment, Veeco Team & ESG 20
Slide 21: Serving a Diverse Customer Base
Serving a Diverse Customer Base Compound Data Semiconductor Semiconductor Storage RF Logic Memory Power Photonics Power Device MicroLED RF Filter & HDD Foundries OSATs IDMs Producers Fabs Amplifier Fabs Manufacturers 21 RF – Radio Frequency OSAT – Outsourced Semiconductor Assembly and Test IDM – Int
Slide 22: Resources Aligned for Growth
Resources Aligned for Growth Strategic Optimization of our R&D In 2022 we completed our capacity build-out of a new Spending Portfolio leased facility in San Jose to support manufacturing our Semiconductor products. R&D Applied to Semiconductor ~150% Increase 2020 2024 R&D Manufacturing • Increasing
Slide 23: Strong Management with Deep Semi Experience
Strong Management with Deep Semi Experience Bill Miller Susan Wilkerson Peter Porshnev Jean-Charles Bossert CEO Global Customer Engineering Global Operations Operations John Kiernan Adrian Devasahayam Robert CFO Product Organization Bradshaw CAO Veeco United Team is Committed to Making a Material Di
Slide 24: Sustainability Goals: Commitment to Corporate Responsibility
Sustainability Goals: Commitment to Corporate Responsibility “Making a material difference as a Environment sustainable and transparent company • Renewable Energy is at the core of the Veeco United team” • Emissions Reduction –Bill Miller, CEO • Hazardous Chemical Management Social • Representation
Slide 25: Backup and Financial Tables
Backup and Financial Tables 25
Slide 26: Q3 Revenue by Market & Region
Q3 Revenue by Market & Region Revenue by Market Revenue by Region Scientific ROW is & Other negligible 16% China Compound 28% Semiconductor 7% $166M 6% Data United States Storage APAC 49% 16% 71% Semiconductor EMEA 7% Revenue Trend ($M) Q3 24 Q2 25 Q3 25 Revenue Trend ($M) Q3 24 Q2 25 Q3 25 Semicond
Slide 27: Q3 Operating Results
Q3 Operating Results GAAP Non-GAAP Non-GAAP Q3 25 In millions Guidance (except per share amounts) Q2 25 Q3 25 Q2 25 Q3 25 (as of Aug 7th, 2025) Revenue $166.1 $165.9 $166.1 $165.9 $150M - $170M Gross Profit 68.7 67.7 70.7 69.5 Gross Margin 41.4% 40.8% 42.6% 41.9% 40% - 42% Operating Expenses 56.4 57
Slide 28: Balance Sheet and Cash Flow Highlights
Balance Sheet and Cash Flow Highlights $ millions Q2 25 Q3 25 Cash & Short-Term 355 369 Investments Accounts Receivable 107 116 Inventories 259 263 Accounts Payable 50 44 Long-Term Debt 225 226 Cash Flow from Operations 9 16 Capital Expenditures 3 3 DSO (days) 58 63 DIO (days) 237 239 DPO (days) 46
Slide 29: Q4 2025 Guidance
Q4 2025 Guidance GAAP Non-GAAP Revenue $155M - $175M $155M - $175M Gross Margin 36% - 38% 37% - 39% Operating Expenses $62M - $64M ~$48M Net Income (Loss) ($4M) - $3M $10M - $19M Diluted Earnings Per Share (Loss) ($0.07) - $0.05 $0.16 - $0.32 A reconciliation of GAAP to Non-GAAP financial measures c
Slide 30: Historical Revenue by End-Market
Historical Revenue by End-Market $M 2022 2023 2024 2025 Q1 Q2 Q3 Q4 FY Q1 Q2 Q3 Q4 FY Q1 Q2 Q3 Q4 FY Q1 Q2 Q3 Semi 77.6 97.5 100.4 93.8 369.4 93.1 106.3 98.2 115.2 412.7 120.4 109.9 124.1 112.1 466.6 123.8 123.9 118.3 Compound 37.1 31.1 28.1 24.9 121.2 21.2 24.1 25.7 16.3 87.3 21.0 18.2 15.6 22.8 77
Slide 31: Convertible Notes – Outstanding
Convertible Notes – Outstanding As of September 30, 2025 Annual Initial Principal Carrying Annual Non- Convertible Notes Coupon Cash Conversion Amount Value Cash Interest Interest Price Convertible Notes Due June 230M 226M 2.875% 6.6M 1.1M 29.22 2029
Slide 32: Effect of Convertible Notes on Diluted EPS
Effect of Convertible Notes on Diluted EPS (Effective Q3 2025) 2029 Convertible Notes (GAAP and Non-GAAP)* Incremental Average Stock Dilutive Price per Shares (in Common Share thousands) $29.00 - $30.00 205 $31.00 452 $32.00 684 $33.00 902 $34.00 1,106 $35.00 1,300 $36.00 1,482 $37.00 1,655 $38.00 1
Slide 33: Note on Reconciliation Tables
Note on Reconciliation Tables These tables include financial measures adjusted for the impact of certain items; these financial measures are therefore not calculated in accordance with U.S. generally accepted accounting principles (“GAAP”). These Non- GAAP financial measures exclude items such as: s
Slide 34: Supplemental Information—GAAP to Non-GAAP Reconciliation
Supplemental Information—GAAP to Non-GAAP Reconciliation In millions, except per share amounts 2024 2023 2022 2021 2020 $ millions 2024 2023 2022 2021 2020 GAAP Basic weighted average shares 56.4 53.8 49.9 49.1 48.4 Net sales $717.3 $666.4 $646.1 $583.3 $454.2 GAAP Diluted weighted average shares 61
Slide 35: Supplemental Information—GAAP to Non-GAAP Reconciliation
Supplemental Information—GAAP to Non-GAAP Reconciliation $ millions, except per share amounts Q2 25 Q3 25 $ millions Q2 25 Q3 25 GAAP Basic weighted average shares 59.1 60.1 Net sales $166.1 $165.9 GAAP Diluted weighted average shares 60.2 61.0 GAAP gross profit 68.7 67.7 GAAP Basic EPS $0.20 $0.18
Slide 36: Q3 2025 Actual: GAAP to Non-GAAP Reconciliation
Q3 2025 Actual: GAAP to Non-GAAP Reconciliation $ millions Non-GAAP Adjustments Share-Based GAAP Compensation Amortization Other Non-GAAP Net Sales $165.9 $165.9 Gross Profit 67.7 1.8 — — 69.5 Gross Margin 40.8% 41.9% Operating Expenses $57.1 (7.4) (0.8) (2.7) $46.3 Operating Income $10.6 9.1 0.8 2.
Slide 37: Q4 2025 Guidance
Q4 2025 Guidance ($ millions, except per share amounts) Reconciliation of GAAP to non-GAAP Financial Data Non-GAAP Adjustments Share-Based GAAP Compensation Amortization Other Non-GAAP Net Sales $155–$175 $155–$175 Gross Profit 57–68 2 — — 58–69 Gross Margin 36%–38% 37%–39% Operating Expenses $62–$6