PDF Solutions® Reports Third Quarter 2026 Financial Results
Nine-month GAAP net income reached $15.903 million, compared with a $592,000 loss a year earlier.
Sentiment and the balance of points
Rhea-AI Sentiment reads the wording of the document, how positive or negative its language is on a 1 to 5 scale. The balance of points shown with the takes weighs what the document actually discloses, so the two can disagree, for example when a trial that missed its main goal is described in upbeat language.
Rhea-AI Summary
PDF Solutions (Nasdaq: PDFS) reported record third-quarter 2026 revenue of $68.3 million, up 20% from the comparable quarter last year. Revenue also increased from $61.5 million in the second quarter. For the quarter ended September 30, GAAP net income reached $6.841 million, or $0.16 per diluted share, versus $1.294 million, or $0.03 per diluted share, a year earlier.
GAAP gross margin rose to 73% from 72% a year earlier, while operating margin increased to 12% from 8%. Non-GAAP diluted earnings were $0.40, compared with $0.25 a year earlier. Ending backlog, representing business awaiting recognition as revenue, fell to $247.2 million from $270.7 million in the second quarter and $292.0 million a year earlier. The company reaffirmed its 20% annual revenue growth target for 2026, based on results through the third quarter and its fourth-quarter pipeline.
How this balance works
Rhea-AI gives every point it takes from this document a weight. Minor counts 1, Moderate 3 and Major 9, so one Major point outweighs several Minor ones. The bar adds up the weights on each side, and when neither side holds more than 65% of the total the balance reads Mixed.
It reads the document as published, with the same rules for every company, and it does not look at what the market expected or at how the stock traded, so a point can be objectively good on a day the stock falls.
Rhea-AI Sentiment measures something else, the tone of the wording.
Hollow bars mark forward-looking points. How the balance works
Positive
- Moderate pointThird-quarter revenue of $68.3 million rose 20% year over year, from $61.5 million sequentially.
- Moderate point. Forward-looking: it has not happened yet and may not happen.2026 annual revenue growth target of 20% reaffirmed by the company.
- Moderate pointThird-quarter GAAP net income of $6.841 million exceeded $4.271 million sequentially and $1.294 million a year earlier.
- Moderate pointThird-quarter GAAP gross margin of 73% improved from 69% sequentially and 72% a year earlier.
- Moderate pointThird-quarter GAAP operating margin of 12% increased from 8% both sequentially and a year earlier.
- Moderate pointThird-quarter platform revenue of $58.331 million rose from $49.130 million sequentially and $48.001 million a year earlier.
- Moderate pointNine-month GAAP net income of $15.903 million reversed a $592,000 loss a year earlier.
- Moderate pointNine-month GAAP operating margin of 10% improved from 2% a year earlier.
- Moderate pointCash and cash equivalents of $107.131 million at September 30 increased from $42.220 million at December 31, 2025.
7 minor points
- Minor pointThird-quarter GAAP diluted EPS of $0.16 rose from $0.10 sequentially and $0.03 a year earlier.
- Minor pointThird-quarter volume-based revenue of $10.003 million exceeded $9.114 million a year earlier but fell from $12.399 million sequentially.
- Minor pointThird-quarter non-GAAP diluted EPS of $0.40 increased from $0.27 sequentially and $0.25 a year earlier.
- Minor pointNine-month revenue of $189.993 million increased from $156.621 million a year earlier.
- Minor pointNine-month GAAP diluted EPS of $0.38 compared with a $0.02 loss a year earlier.
- Minor pointNine-month selling, general and administrative expenses of $57.445 million declined from $63.060 million a year earlier.
- Minor pointLong-term debt, net, of $63.096 million at September 30 declined from $64.763 million at December 31, 2025.
Negative
- Moderate pointEnding backlog of $247.2 million declined from $270.7 million sequentially and $292.0 million a year earlier.
- Moderate pointNine-month research and development expense of $55.090 million increased from $44.976 million a year earlier.
- Moderate pointThird-quarter diluted weighted-average shares of 42.976 million increased from 39.619 million a year earlier.
- Minor pointThird-quarter research and development expense of $19.446 million rose from $17.316 million sequentially and $15.435 million a year earlier.
- Minor pointThird-quarter selling, general and administrative expenses of $20.969 million exceeded $18.984 million sequentially and $19.944 million a year earlier.
4 minor points
- Minor pointThird-quarter stock-based compensation expense of $8.472 million rose from $5.998 million sequentially and $6.264 million a year earlier.
- Minor pointNine-month GAAP gross margin of 71% declined from 72% a year earlier.
- Minor pointNine-month interest expense of $3.318 million increased from $2.791 million a year earlier.
- Minor pointAccounts receivable, net, of $96.869 million at September 30 increased from $82.938 million at December 31, 2025.
News Explained
At
Key Figures
- Total revenue
- $68.3 million
- Third quarter 2026
- Revenue growth
- 20%
- Third quarter 2026 year over year
- GAAP gross margin
- 73%
- Third quarter 2026
- Non-GAAP gross margin
- 77%
- Third quarter 2026
- GAAP diluted EPS
- $0.16
- Third quarter 2026
- Non-GAAP diluted EPS
- $0.40
- Third quarter 2026
- Ending backlog
- $247.2 million
- Third quarter 2026; compared with $270.7 million in Q2 2026 and $292.0 million in Q3 2025
- Annual revenue growth target
- 20%
- 2026 target reaffirmed
Previous Earnings Reports
-
Reported revenue growth, higher margins and reaffirmed the 2026 annual growth target.
-
Reported year-over-year revenue growth and reaffirmed annual revenue growth and margin targets.
-
Reported record quarterly and full-year revenue and ended the year with backlog.
-
Reported record quarterly revenue and reaffirmed annual revenue growth guidance.
-
Reported record quarterly revenue and year-over-year growth with annual growth guidance.
24h Move is the share-price change in the day after each event; other market factors may also have contributed.
Key Terms
gaap financial
non-gaap financial
saas technical
stock-based compensation financial
AI-generated analysis. How Rhea-AI works. Not financial advice.
SANTA CLARA, Calif., Nov. 05, 2026 (GLOBE NEWSWIRE) -- PDF Solutions, Inc. (Nasdaq: PDFS), a leading provider of comprehensive data solutions for the semiconductor and electronics ecosystem, today announced financial results for its third quarter ended September 30, 2026.
Financial Highlights of Third Quarter 2026
- Record quarterly total revenues of
$68.3 million , up20% over last year’s comparable quarter - GAAP gross margin of
73% and non-GAAP gross margin of77% - GAAP operating margin of
12% and non-GAAP operating margin of28% - GAAP diluted earnings per share (EPS) of
$0.16 and non-GAAP diluted EPS of$0.40 - Ending backlog of
$247.2 million
Total revenues for the third quarter of 2026 were
GAAP gross margin for the third quarter of 2026 was
GAAP operating margin for the third quarter of 2026 was
GAAP net income for the third quarter of 2026 was
Ending backlog for the third quarter of 2026 was
Financial Outlook
“In the third quarter of 2026, PDF Solutions continued its growth trajectory with total revenues
PDF Solutions® Reports Third Quarter 2026 Financial Results
Conference Call
As previously announced, PDF Solutions will discuss these results on a live conference call beginning at 2:00 p.m. Pacific Time / 5:00 p.m. Eastern Time today. To participate on the live call, analysts and investors should pre-register at: https://edge.media-server.com/mmc/p/j2asc9y9/. We encourage participants to dial into the call ten minutes ahead of the scheduled time. The teleconference will also be webcast simultaneously on the Company’s website at https://ir.pdf.com/webcasts. A replay of the conference call webcast will be available after the call on the Company’s investor relations website. A copy of this press release, including the disclosure and reconciliation of certain non-GAAP financial measures to the comparable GAAP measures, which non-GAAP measures may be used periodically by PDF Solutions’ management when discussing financial results with investors and analysts, will also be available on PDF Solutions’ website at http://www.pdf.com/press-releases on and following the date of this release.
Third Quarter 2026 Financial Commentary Available Online
A Management Report reviewing the Company’s third quarter 2026 financial results will be furnished to the Securities and Exchange Commission on Form 8-K and published on the Company’s website at http://ir.pdf.com/financial-reports. Analysts and investors are encouraged to review this commentary prior to participating in the conference call.
Information Regarding Use of Non-GAAP Financial Measures
In addition to providing results that are determined in accordance with accounting principles generally accepted in the United States of America (“GAAP”), PDF Solutions also provides certain non-GAAP financial measures. Non-GAAP gross profit and margin exclude stock-based compensation expense and the amortization of acquired technology under costs of revenues. Non-GAAP income from operations and operating margin exclude stock-based compensation expense, amortization of acquired intangible assets, and the effects of certain non-recurring items, such as expenses for certain legal proceedings, and acquisition-related and integration costs. Non-GAAP net income excludes stock-based compensation expense, amortization of acquired intangible assets, amortization of debt issuance costs, and the effects of certain non-recurring items, such as expenses for certain legal proceedings, acquisition-related and integration costs, recovery from previously written-off property and equipment, and their related income tax effects, as applicable, as well as adjustments for the valuation allowance for deferred tax assets and reconciling items. PDF Solutions management uses non-GAAP financial measures to evaluate the Company’s operating performance and make strategic decisions because these measures exclude items that management believes are not indicative of ongoing operating results and that can vary significantly between periods. These non-GAAP results should not be considered an alternative to, or a substitute for, GAAP financial information, and may differ from similarly titled non-GAAP measures used by other companies. In particular, these non-GAAP financial measures are not a substitute for GAAP measures of income or loss as a measure of performance, or to cash flows from operating, investing and financing activities as a measure of liquidity. A reconciliation of the comparable GAAP financial measures to the non-GAAP financial measures is provided at the end of the Company’s unaudited condensed consolidated financial statements presented below.
PDF Solutions® Reports Third Quarter 2026 Financial Results
About PDF Solutions
PDF Solutions (Nasdaq: PDFS) provides comprehensive data solutions designed to empower organizations across the semiconductor and electronics industry ecosystems to improve the yield and quality of their products and operational efficiency for increased profitability. The Company’s products and services are used by Fortune 500 companies across the semiconductor ecosystem to achieve smart manufacturing goals by connecting and controlling equipment, collecting data generated during manufacturing and test operations, and performing advanced analytics and machine learning to enable profitable, high-volume manufacturing.
Founded in 1991, PDF Solutions is headquartered in Santa Clara, California, with operations across North America, Europe, and Asia. The Company (directly or through one or more subsidiaries) is an active member of SEMI, INEMI, TPCA, IPC, the OPC Foundation, and DMDII. For the latest news and information about PDF Solutions or to find office locations, visit https://www.pdf.com/.
Characterization Vehicle, Cimetrix, CV, DirectScan, eProbe, PDF Solutions, Sapience, secureWISE, and logos therefor are trademarks or registered trademarks of PDF Solutions, Inc. or its subsidiaries.
Forward-Looking Statements
This press release and the planned conference call include forward-looking statements regarding the Company’s future expected business performance and financial results, including statements regarding backlog, the Company’s growth trajectory, capabilities of the Exensio Aurora architecture, fourth quarter 2026 pipeline, annual growth target for 2026, and other statements identified by words such as “could,” “expects,” “intends,” “may,” “plans,” “potential,” “should,” “will,” “would,” or similar expressions and the negatives of those terms, that are subject to future events and circumstances. Other than statements of historical fact, all statements contained in this press release and the planned conference call are forward-looking statements within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. Actual results could differ materially from those expressed in these forward-looking statements. Risks and uncertainties that could cause results to differ materially include risks associated with: the effectiveness of the Company’s business and technology strategies; current semiconductor industry trends and competition; rates of adoption of the Company’s solutions by new and existing customers; project milestones or delays and performance criteria achieved; cost and schedule of new product development and investments in research and development; the continuing impact of macroeconomic conditions, including inflation, changing interest rates and tariffs, energy prices, the evolving trade regulatory environment and geopolitical tensions, armed conflicts, government shutdowns, and other trends impacting the semiconductor industry, the Company’s customers, operations, and supply and demand for its products; supply chain disruptions; changes in laws and regulations, including tax and data privacy laws and regulations, or the interpretation or enforcement thereof; the success of the Company’s strategic growth opportunities and partnerships; recent and future acquisitions, strategic alliances and relationships and the Company’s ability to successfully integrate acquired businesses and technologies; whether the Company can successfully convert backlog into revenue; customers’ production volumes under contracts that provide Gainshare; the sufficiency of the Company’s cash resources and anticipated funds from operations; the Company’s ability to obtain additional financing if needed and its ability to use support and updates for certain open-source software; and other risks and uncertainties discussed in PDF Solutions’ periodic public filings with the Securities and Exchange Commission, including, without limitation, its Annual Report on Form 10-K for the year ended December 31, 2025, Quarterly Reports on Form 10-Q, and Current Reports on Form 8-K and any amendments to such reports. All forward-looking statements made in this press release and the conference call are made as of the date hereof, and PDF Solutions does not assume any obligation to update such statements nor the reasons why actual results could differ materially from those projected in such statements.
PDF Solutions® Reports Third Quarter 2026 Financial Results
PDF SOLUTIONS, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED)
(In thousands)
| September 30, | December 31, | |||||||
| 2026 | 2025 | |||||||
| ASSETS | ||||||||
| Current assets: | ||||||||
| Cash and cash equivalents | $ | 107,131 | $ | 42,220 | ||||
| Accounts receivable, net | 96,869 | 82,938 | ||||||
| Prepaid expenses and other current assets | 53,185 | 38,735 | ||||||
| Total current assets | 257,185 | 163,893 | ||||||
| Property and equipment, net | 104,333 | 81,609 | ||||||
| Operating lease right-of-use assets, net | 7,439 | 4,778 | ||||||
| Goodwill | 94,990 | 95,005 | ||||||
| Intangible assets, net | 46,060 | 52,194 | ||||||
| Deferred tax assets, net | 541 | 69 | ||||||
| Other non-current assets | 30,408 | 21,149 | ||||||
| Total assets | $ | 540,956 | $ | 418,697 | ||||
| LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||||
| Current liabilities: | ||||||||
| Accounts payable | $ | 12,639 | $ | 17,076 | ||||
| Accrued compensation and related benefits | 20,154 | 22,437 | ||||||
| Accrued and other current liabilities | 8,275 | 8,719 | ||||||
| Operating lease liabilities ‒ current portion | 2,025 | 1,982 | ||||||
| Deferred revenues ‒ current portion | 32,776 | 19,441 | ||||||
| Current portion of long-term debt, net | 2,237 | 2,236 | ||||||
| Total current liabilities | 78,106 | 71,891 | ||||||
| Long-term income taxes | 5,331 | 4,273 | ||||||
| Operating lease liabilities – non-current portion | 6,278 | 3,838 | ||||||
| Long-term debt, net | 63,096 | 64,763 | ||||||
| Other non-current liabilities | 5,137 | 2,910 | ||||||
| Total liabilities | 157,948 | 147,675 | ||||||
| Stockholders’ equity: | ||||||||
| Common stock and additional paid-in capital | 641,287 | 533,509 | ||||||
| Treasury stock, at cost | (177,433 | ) | (165,808 | ) | ||||
| Accumulated deficit | (78,725 | ) | (94,628 | ) | ||||
| Accumulated other comprehensive loss | (2,121 | ) | (2,051 | ) | ||||
| Total stockholders’ equity | 383,008 | 271,022 | ||||||
| Total liabilities and stockholders’ equity | $ | 540,956 | $ | 418,697 | ||||
PDF Solutions® Reports Third Quarter 2026 Financial Results
PDF SOLUTIONS, INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED)
(In thousands, except per share amounts)
| Three Months Ended | Nine Months Ended | |||||||||||||||||||
| September 30, | June 30, | September 30, | September 30, | September 30, | ||||||||||||||||
| 2026 | 2026 | 2025 | 2026 | 2025 | ||||||||||||||||
| Revenues (1): | ||||||||||||||||||||
| Platform | $ | 58,331 | $ | 49,130 | $ | 48,001 | $ | 158,397 | $ | 128,522 | ||||||||||
| Volume-based | 10,003 | 12,399 | 9,114 | 31,596 | 28,099 | |||||||||||||||
| Total revenues | 68,334 | 61,529 | 57,115 | 189,993 | 156,621 | |||||||||||||||
| Costs and Expenses: | ||||||||||||||||||||
| Costs of revenues | 18,593 | 19,107 | 15,840 | 54,638 | 43,681 | |||||||||||||||
| Research and development | 19,446 | 17,316 | 15,435 | 55,090 | 44,976 | |||||||||||||||
| Selling, general, and administrative | 20,969 | 18,984 | 19,944 | 57,445 | 63,060 | |||||||||||||||
| Amortization of acquired intangible assets | 1,040 | 1,058 | 1,069 | 3,157 | 2,515 | |||||||||||||||
| Income from operations | 8,286 | 5,064 | 4,827 | 19,663 | 2,389 | |||||||||||||||
| Interest expense | (1,123 | ) | (1,106 | ) | (1,238 | ) | (3,318 | ) | (2,791 | ) | ||||||||||
| Interest income and other, net | 1,189 | 666 | (102 | ) | 2,447 | 964 | ||||||||||||||
| Income before income tax expense | 8,352 | 4,624 | 3,487 | 18,792 | 562 | |||||||||||||||
| Income tax expense | (1,511 | ) | (353 | ) | (2,193 | ) | (2,889 | ) | (1,154 | ) | ||||||||||
| Net income (loss) | $ | 6,841 | $ | 4,271 | $ | 1,294 | $ | 15,903 | $ | (592 | ) | |||||||||
| Net income (loss) per share: | ||||||||||||||||||||
| Basic | $ | 0.16 | $ | 0.10 | $ | 0.03 | $ | 0.39 | $ | (0.02 | ) | |||||||||
| Diluted | $ | 0.16 | $ | 0.10 | $ | 0.03 | $ | 0.38 | $ | (0.02 | ) | |||||||||
| Weighted average common shares used to calculate net income (loss) per share: | ||||||||||||||||||||
| Basic | 42,193 | 40,932 | 39,500 | 41,003 | 39,247 | |||||||||||||||
| Diluted | 42,976 | 41,776 | 39,619 | 41,718 | 39,247 | |||||||||||||||
| (1 | ) | In the fourth quarter of 2025, the Company updated its presentation of revenue categories. The Company now presents revenue in the following categories: Platform and Volume-based. Platform revenue is derived from the following primary offerings: licenses for software (other than Cimetrix runtime licenses) and related software maintenance and technical support services; SaaS; engineering services; fixed fees associated with CV systems; and licenses and purchase contracts for DirectScan systems. Volume-based revenue is derived from Cimetrix runtime licenses, secureWISE data, and Gainshare. Prior periods Condensed Consolidated Statements of Operations have been reclassified to conform to the new revenue presentation. The change in presentation of revenue does not change the Company’s total revenues or costs of revenues. |
PDF Solutions® Reports Third Quarter 2026 Financial Results
PDF SOLUTIONS, INC.
RECONCILIATION OF GAAP GROSS PROFIT AND MARGIN TO NON-GAAP GROSS PROFIT AND MARGIN (UNAUDITED)
(Dollars in thousands)
| Three Months Ended | Nine Months Ended | |||||||||||||||||||
| September 30, | June 30, | September 30, | September 30, | September 30, | ||||||||||||||||
| 2026 | 2026 | 2025 | 2026 | 2025 | ||||||||||||||||
| GAAP | ||||||||||||||||||||
| Total revenues | $ | 68,334 | $ | 61,529 | $ | 57,115 | $ | 189,993 | $ | 156,621 | ||||||||||
| Costs of revenues | 18,593 | 19,107 | 15,840 | 54,638 | 43,681 | |||||||||||||||
| GAAP gross profit | $ | 49,741 | $ | 42,422 | $ | 41,275 | $ | 135,355 | $ | 112,940 | ||||||||||
| GAAP gross margin | 73 | % | 69 | % | 72 | % | 71 | % | 72 | % | ||||||||||
| Non-GAAP | ||||||||||||||||||||
| GAAP gross profit | $ | 49,741 | $ | 42,422 | $ | 41,275 | $ | 135,355 | $ | 112,940 | ||||||||||
| Adjustments to reconcile GAAP to non-GAAP gross profit: | ||||||||||||||||||||
| Stock-based compensation expense | 1,593 | 1,258 | 1,274 | 4,130 | 3,873 | |||||||||||||||
| Amortization of acquired technology under costs of revenues | 958 | 998 | 998 | 2,954 | 2,674 | |||||||||||||||
| Non-GAAP gross profit | $ | 52,292 | $ | 44,678 | $ | 43,547 | $ | 142,439 | $ | 119,487 | ||||||||||
| Non-GAAP gross margin | 77 | % | 73 | % | 76 | % | 75 | % | 76 | % | ||||||||||
RECONCILIATION OF GAAP INCOME FROM OPERATIONS AND OPERATING MARGIN TO NON-GAAP INCOME FROM OPERATIONS AND OPERATING MARGIN (UNAUDITED)
(Dollars in thousands)
| Three Months Ended | Nine Months Ended | |||||||||||||||||||
| September 30, | June 30, | September 30, | September 30, | September 30, | ||||||||||||||||
| 2026 | 2026 | 2025 | 2026 | 2025 | ||||||||||||||||
| GAAP income from operations | $ | 8,286 | $ | 5,064 | $ | 4,827 | $ | 19,663 | $ | 2,389 | ||||||||||
| GAAP operating margin | 12 | % | 8 | % | 8 | % | 10 | % | 2 | % | ||||||||||
| Adjustments to reconcile GAAP to non-GAAP income from operations: | ||||||||||||||||||||
| Stock-based compensation expense | 8,472 | 5,998 | 6,264 | 20,866 | 19,059 | |||||||||||||||
| Amortization of acquired intangible assets | 1,998 | 2,056 | 2,067 | 6,111 | 5,189 | |||||||||||||||
| Expenses for certain legal proceedings (1) | 436 | 501 | 170 | 1,147 | 397 | |||||||||||||||
| Acquisition-related and integration costs | 30 | 30 | 22 | 68 | 4,526 | |||||||||||||||
| Non-GAAP income from operations | $ | 19,222 | $ | 13,649 | $ | 13,350 | $ | 47,855 | $ | 31,560 | ||||||||||
| Non-GAAP operating margin | 28 | % | 22 | % | 23 | % | 25 | % | 20 | % | ||||||||||
| (1 | ) | Represents legal costs and expenses related mainly to a certain arbitration proceeding, which are expected to continue until this matter is fully resolved. |
PDF Solutions® Reports Third Quarter 2026 Financial Results
PDF SOLUTIONS, INC.
RECONCILIATION OF GAAP NET INCOME (LOSS) TO NON-GAAP NET INCOME (UNAUDITED)
(In thousands, except per share amounts)
| Three Months Ended | Nine Months Ended | |||||||||||||||||||
| September 30, | June 30, | September 30, | September 30, | September 30, | ||||||||||||||||
| 2026 | 2026 | 2025 | 2026 | 2025 | ||||||||||||||||
| GAAP net income (loss) | $ | 6,841 | $ | 4,271 | $ | 1,294 | $ | 15,903 | $ | (592 | ) | |||||||||
| Adjustments to reconcile GAAP net income (loss) to non-GAAP net income: | ||||||||||||||||||||
| Stock-based compensation expense | 8,472 | 5,998 | 6,264 | 20,866 | 19,059 | |||||||||||||||
| Amortization of acquired intangible assets | 1,998 | 2,056 | 2,067 | 6,111 | 5,189 | |||||||||||||||
| Expenses for certain legal proceedings (1) | 436 | 501 | 170 | 1,147 | 397 | |||||||||||||||
| Acquisition-related and integration costs | 30 | 30 | 22 | 68 | 4,526 | |||||||||||||||
| Recovery from previously written-off property and equipment | — | — | — | — | (663 | ) | ||||||||||||||
| Amortization of debt issuance costs | 64 | 60 | 54 | 189 | 130 | |||||||||||||||
| Tax impact of valuation allowance for deferred tax assets and reconciling items (2) | (680 | ) | (1,544 | ) | (66 | ) | (3,102 | ) | (2,825 | ) | ||||||||||
| Non-GAAP net income | $ | 17,161 | $ | 11,372 | $ | 9,805 | $ | 41,182 | $ | 25,221 | ||||||||||
| GAAP net income (loss) per diluted share | $ | 0.16 | $ | 0.10 | $ | 0.03 | $ | 0.38 | $ | (0.02 | ) | |||||||||
| Non-GAAP net income per diluted share | $ | 0.40 | $ | 0.27 | $ | 0.25 | $ | 0.99 | $ | 0.64 | ||||||||||
| Weighted average common shares used in GAAP net income (loss) per diluted share calculation | 42,976 | 41,776 | 39,619 | 41,718 | 39,247 | |||||||||||||||
| Weighted average common shares used in non-GAAP net income per diluted share calculation | 42,976 | 41,776 | 39,619 | 41,718 | 39,390 | |||||||||||||||
| (1 | ) | Represents legal costs and expenses related mainly to a certain arbitration proceeding, which are expected to continue until this matter is fully resolved. |
| (2 | ) | The difference between the GAAP and non-GAAP income tax provisions is primarily due to the valuation allowance on a GAAP basis and non-GAAP adjustments. For example, on a GAAP basis, the Company does not receive a deferred tax benefit for foreign tax credits or research and development credits after the valuation allowance. The Company’s non-GAAP tax rate and resulting non-GAAP tax expense is not calculated with a full U.S. federal or state valuation allowance due to the Company’s cumulative non-GAAP income and management’s conclusion that it is more likely than not to utilize its net deferred tax assets (DTAs). Each reporting period, management evaluates the need for a valuation allowance and may place a valuation allowance against its U.S. net DTAs on a non-GAAP basis if it concludes it is more likely than not that it will not be able to utilize some or all of its U.S. DTAs on a non-GAAP basis. |
| Company Contacts: | ||
| Adnan Raza | Sonia Segovia | |
| Chief Financial Officer | Investor Relations | |
| Tel: (408) 280-7900 | Tel: (408) 938-6491 | |
| Email: adnan.raza@pdf.com | Email: sonia.segovia@pdf.com |
FAQ
AI-generated questions and answers. How Rhea-AI works. Not financial advice.
What were PDF Solutions' third-quarter 2026 revenue and earnings?
PDF Solutions reported $68.3 million in revenue and GAAP diluted earnings of $0.16 per share for the quarter ended September 30, 2026. Revenue increased 20% from the comparable quarter last year. GAAP net income was $6.841 million, compared with $1.294 million a year earlier.
What is PDF Solutions' revenue growth target for 2026?
PDF Solutions reaffirmed its 20% annual revenue growth target for 2026. The company based that target on actual results through the third quarter and its pipeline for the fourth quarter.
What does PDF Solutions exclude from non-GAAP net income?
PDF Solutions excludes stock-based compensation, amortization of acquired intangible assets and debt issuance costs, certain non-recurring items and related tax effects from non-GAAP net income, as applicable. Adjustments also include deferred-tax valuation allowances and reconciling items. Non-GAAP results are not a substitute for GAAP financial information.