+44 (0)24 7671 8970
More publications     •     Advertise with us     •     Contact us
News Article

AXT Revenue Grows 15 Percent Year on Year


2020 was a year of solid improvement, capped off by strong InP growth

AXT, a manufacturer of compound semiconductor substrates, has reported financial results for Q4 and its fiscal year, ended December 31, 2020.

“2020 was a year of solid improvement for AXT, capped off by strong InP growth, particularly in 5G, in Q4, which is typically a seasonally down quarter,” said Morris Young, CEO.

“We completed the relocation of our GaAs manufacturing, elevated our business and manufacturing processes to meet Tier-1 standards, and expanded capacity in response to increasing demand. Now, with the gathering momentum of 5G and its related technologies, the technology progression in data center connectivity, and new applications emerging in healthcare and consumer devices, we believe AXT is in a strong position to lead our industry and enable many of the defining trends of the coming decade.”

Q4 2020 Results

Revenue for Q4 2020 was $27.0 million, compared with $25.5 million in the third quarter of 2020 and $18.4 million for Q4 2019. Gross margin was 34 percent of revenue for Q4 2020, compared with 35 percent of revenue in the third quarter of 2020 and 21 percent for Q4 2019. Operating expenses were $7.2 million in Q4 2020, primarily due to substantial investment in R&D and year-end employee bonuses. This compares with $6.6 million in the third quarter of 2020 and $6.7 million for Q4 2019.

Operating income for Q4 2020 was $1.9 million, compared with operating income of $2.2 million in the third quarter of 2020 and an operating loss $2.8 million for Q4 2019.Net income in Q4 2020 was $2.1 million, or $0.05 per share, compared with net income of $1.0 million or $0.02 per share in the third quarter of 2020, and a net loss of $2.0 million or $0.05 per share for Q4 2019.

2020 Year Results

Revenue for 2020 was $95.4 million, an increase of 15 percent from $83.3 million in 2019. Gross margin for 2020 was 32 percent of revenue, up from 30 percent of revenue in 2019.

Operating expenses for 2020 were $26.3 million, compared with $25.1 million in 2019. Operating income for 2020 was $3.9 million compared with an operating loss in fiscal 2019 of $0.3 million.

Net income for fiscal 2020 was $3.2 million, or $0.07 per share, compared with a net loss of $2.6 million, or $0.07 per share for fiscal 2019.

STAR Market Listing Update

AXT previously announced on November 16, 2020 a plan to access China’s capital markets and progress to an initial public offering by Beijing Tongmei Xtal Technology Co., Ltd its wafer manufacturing company in China, on the Shanghai Stock Exchange’s Sci-Tech innovAtion boaRd (STAR).

The first major step in this process is engaging reputable private equity firms in China to invest funds in Tongmei.

In January 2021, AXT completed the private equity investment funding in Tongmei. A number of private equity firms have invested approximately $49 million in exchange for an approximately 7.28 percent minority interest in Tongmei.

Going public on the STAR Market includes several periods of review and, therefore, is a lengthy process. Tongmei expects to accomplish this goal in mid-2022.

CS International to return to Brussels – bigger and better than ever!

The leading global compound semiconductor conference and exhibition will once again bring together key players from across the value chain for two-days of strategic technical sessions, dynamic talks and unrivalled networking opportunities.

Join us face-to-face on 18-19 April 2023

  • View the agenda.
  • 3 for the price of 1. Register your place and gain complementary access to TWO FURTHER industry leading conferences: PIC International and Power Electronics International.
  • Email info@csinternational.net  or call +44 (0)24 7671 8970 for more details.


Fairview releases waveguide frequency multipliers
Zuken and CSA Catapult present R&D results
Chips per car to rise to over a thousand
CML launches low power GaAs pHEMT gain blocks
European pilot line for perovskite tandem PVs
Transphorm opens GaN application lab in China
Sivers Semi signs $16.4 million satcoms deal
Meeting demand for purified graphite
Indium Precision Au-Based Die-Attach Preforms at SPIE Photonics West
ROHM and BASiC Semiconductor form a strategic partnership
Indium Introduces LED Paste for Advanced Mini/MicroLED Applications
SiC to service buses and trucks
STMicroelectronics and Soitec cooperate on SiC substrate manufacturing technology
Midsummer signs four LOI’s for 224 MW of thin film panels
OLED display technology in smartphones on the rise
Innoscience signs global deal with Richardson RFPD
Onsemi ramps SiC production
Fairview releases temperature-compensated amps
Kyocera develops novel GaN laser chip
BluGlass partners with Ganvix on green VCSELs
Scantinel lands €10M for next gen LiDAR
Researchers control light quanta with sound waves
Rohm, Mazda, and Imasen sign SiC e-Axle deal
HKUST team develops way to couple III-V and silicon
Veeco appoints Lena Nicolaides to board
Filtronic opens design centre in Manchester
Hunan Sanan secures $524M SiC order from NEV brand
BluGlass shows feasible reliability of GaN laser diodes
Perovskite-CIGS tandem is over 21 percent efficient
Silanna UV targets nitrate sensing applications
BorgWarner to invest $500M in Wolfspeed
UK orders Nexperia to divest Newport Wafer Fab
Search the news archive

To close this popup you can press escape or click the close icon.
Register - Step 1

You may choose to subscribe to the Compound Semiconductor Magazine, the Compound Semiconductor Newsletter, or both. You may also request additional information if required, before submitting your application.

Please subscribe me to:


You chose the industry type of "Other"

Please enter the industry that you work in:
Please enter the industry that you work in: