AXT, Inc. (Nasdaq: AXTI) swings to Q2 2026 profit on revenue jump

Rhea-AI Filing Summary

AXT, Inc. reported strong second quarter 2026 results, with revenue of $47,589 thousand, up from $17,974 thousand a year earlier. GAAP net income attributable to AXT was $11,128 thousand, compared with a net loss of $7,008 thousand in the prior-year quarter, or diluted EPS of $0.17 versus $(0.16).

Management said the business has reached an inflection point, citing strong customer demand for data center optical connectivity, added manufacturing capacity, improved productivity, and the company’s highest quarterly indium phosphide revenue to date. Non-GAAP net income was $11,890 thousand, or $0.19 per diluted share. As of June 30, 2026, cash and cash equivalents were $412,167 thousand and total assets were $1,097,192 thousand, while total liabilities were $145,344 thousand. AXT scheduled a conference call for 1:30 p.m. PT on July 30, 2026 to discuss these results.

Positive

• Q2 revenue rose to $47,589 thousand from $17,974 thousand.
• Swing to GAAP net income of $11,128 thousand from loss.
• Non-GAAP diluted EPS improved to $0.19 from $(0.15).
• Cash and cash equivalents increased to $412,167 thousand at June 30, 2026.
• Management reported highest quarterly indium phosphide revenue to date.

Negative

• None.

Filing Explained

Q2 results were furnished, not filed, while the balance sheet separately reports investments, restricted cash, and short-term loans.

This Form 8-K furnishes AXT’s second-quarter results rather than filing them, so the release is not automatically incorporated by reference into the company’s other filings.

At June 30, 2026, the balance sheet reported $412,167 thousand in cash and cash equivalents, $33,050 thousand in restricted cash, $5,031 thousand in short-term investments, $298,600 thousand in long-term investments, and $84,233 thousand in short-term loans. The cash figure is therefore reported separately from investments and loans, rather than as a net liquidity figure.

8-K Event Classification

2 items: 2.02, 9.01

2 items

Item 2.02 Results of Operations and Financial Condition Financial

Disclosure of earnings results, typically an earnings press release or preliminary financials.

Item 9.01 Financial Statements and Exhibits Exhibits

Financial statements, pro forma financial information, and exhibit attachments filed with this report.

Key Figures

Revenue: $47,589 thousand GAAP net income attributable to AXT, Inc.: $11,128 thousand Non-GAAP net income: $11,890 thousand +5 more

8 metrics

Revenue $47,589 thousand Three months ended June 30, 2026; up from $17,974 thousand in 2025

GAAP net income attributable to AXT, Inc. $11,128 thousand Three months ended June 30, 2026; vs net loss of $7,008 thousand in 2025

Non-GAAP net income $11,890 thousand Excludes stock-based compensation; three months ended June 30, 2026

GAAP diluted EPS $0.17 Net income per diluted share, three months ended June 30, 2026

Non-GAAP diluted EPS $0.19 Non-GAAP net income per diluted share, three months ended June 30, 2026

Cash and cash equivalents $412,167 thousand Balance sheet amount as of June 30, 2026

Total assets $1,097,192 thousand Consolidated total assets as of June 30, 2026

Total liabilities $145,344 thousand Total liabilities as of June 30, 2026

Key Terms

indium phosphide, non-GAAP financial measures, redeemable noncontrolling interests, stock-based compensation expense, +1 more

5 terms

indium phosphide technical

"In Q2, we recorded our highest quarterly indium phosphide revenue to date."

Indium phosphide is a high-performance semiconductor material used to make chips, lasers and detectors that carry and process light and very fast electrical signals. Think of it as a specialized road surface designed for high-speed light traffic—better suited than ordinary silicon for fiber-optic communications, high-frequency electronics and some sensors. Investors care because demand and supply for this material affect companies in telecom, data centers, photonics and semiconductor supply chains, influencing costs, production capacity and technology competitiveness.

non-GAAP financial measures financial

"the company provides certain non-GAAP financial measures that exclude stock-based compensation"

Non-GAAP financial measures are numbers companies use to show their financial performance that exclude certain expenses or income. They help investors see how the company might perform without one-time costs or other unusual items, giving a different perspective from official reports. However, since they can be adjusted, they don’t always tell the full story and should be looked at alongside standard financial figures.

redeemable noncontrolling interests financial

"Redeemable noncontrolling interests | | | 39,735"

A redeemable noncontrolling interest is a minority ownership stake in a company that the holder can force the company to buy back at a set price or under certain conditions. For investors this matters because it creates a future cash obligation and can be treated more like a liability than permanent equity, affecting a company’s reported debt, net income and valuation — think of it as a part-owner who can cash out, forcing the business to pay them.

stock-based compensation expense financial

"Non-GAAP results exclude stock-based compensation expense."

Stock-based compensation expense is the value that a company records when it gives employees or executives shares or options to buy shares as part of their pay. It matters because it shows the true cost of paying employees this way, which can affect the company's profits and how investors see its financial health.

equity in income (loss) of unconsolidated joint ventures financial

"Equity in income (loss) of unconsolidated joint ventures | | | 417"

Earnings Snapshot

Revenue: $47,589 thousand

Three months ended June 30, 2026

Revenue $47,589 thousand vs $17,974 thousand for three months ended June 30, 2025

GAAP net income attributable to AXT, Inc. $11,128 thousand vs net loss of $7,008 thousand for three months ended June 30, 2025

Non-GAAP net income $11,890 thousand vs non-GAAP net loss of $6,375 thousand for three months ended June 30, 2025

GAAP diluted EPS $0.17 vs $(0.16) for three months ended June 30, 2025

Non-GAAP diluted EPS $0.19 vs $(0.15) for three months ended June 30, 2025

AI-generated analysis. How Rhea-AI works. Not financial advice.

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FAQ

What were AXT (AXTI)'s Q2 2026 revenues and profits?

AXT reported Q2 2026 revenue of $47,589 thousand, up from $17,974 thousand in Q2 2025. GAAP net income attributable to AXT was $11,128 thousand, compared with a net loss of $7,008 thousand a year earlier, with diluted EPS of $0.17 versus $(0.16).

How did AXT (AXTI)'s non-GAAP results compare in Q2 2026?

Non-GAAP net income for Q2 2026 was $11,890 thousand, versus a non-GAAP net loss of $6,375 thousand in Q2 2025. Non-GAAP diluted EPS was $0.19, compared with a non-GAAP diluted loss per share of $(0.15) a year earlier.

What balance sheet changes did AXT (AXTI) report as of June 30, 2026?

As of June 30, 2026, AXT held $412,167 thousand in cash and cash equivalents, up from $120,266 thousand at December 31, 2025. Total assets were $1,097,192 thousand, with total liabilities of $145,344 thousand and total stockholders’ equity of $912,113 thousand.

What growth drivers did AXT (AXTI) management highlight for Q2 2026?

Management cited an inflection point driven by strong data center optical connectivity demand, added manufacturing capacity, and improved productivity. They also noted recording their highest quarterly indium phosphide revenue to date and emphasized investments in capacity, technology and an integrated supply chain for optical and AI infrastructure markets.

When is AXT (AXTI)'s conference call for its Q2 2026 results?

AXT scheduled a conference call on July 30, 2026 at 1:30 p.m. PT to discuss its second quarter 2026 results. Investors can access the call by telephone at (833) 461-5787 using passcode 630205921, and via webcast at the company’s website, www.axt.com.

How did AXT (AXTI)'s gross profit and operating income change in Q2 2026?

Q2 2026 GAAP gross profit was $21,366 thousand, compared with $1,433 thousand in Q2 2025. GAAP income from operations reached $10,423 thousand, versus a loss from operations of $6,745 thousand a year earlier, reflecting improved profitability on higher revenue.

false 0001051627 0001051627 2026-07-30 2026-07-30

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): July 30, 2026

AXT, INC.

(Exact name of registrant as specified in its charter)

Delaware		000-24085		94-3031310
(State or other jurisdiction of incorporation)		(Commission File Number)		(IRS Employer Identification No.)

4281 Technology Drive

Fremont, California 94538

(Address of principal executive offices) (Zip Code)

Registrant’s telephone number, including area code: (510) 438-4700

Not Applicable

(Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8‑K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐ Soliciting material pursuant to Rule 14a‑12 under the Exchange Act (17 CFR 240.14a‑12)

☐ Pre-commencement communications pursuant to Rule 14d‑2(b) under the Exchange Act (17 CFR 240.14d‑2(b))

☐ Pre-commencement communications pursuant to Rule 13e‑4(c) under the Exchange Act (17 CFR 240.13e‑4(c))

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Securities registered pursuant to Section 12(b) of the Act:

Title of each class:		Trading Symbol		Name of each exchange on which registered:
Common Stock, $0.001 par value		AXTI		The NASDAQ Stock Market LLC

Item 2.02 Results of Operations and Financial Condition

On July 30, 2026, AXT, Inc. issued a press release announcing its financial results for the quarter ended June 30, 2026. A copy of the Company’s press release, announcing the results, is attached hereto as Exhibit 99.1 and incorporated herein by reference.

The information in Exhibit 99.1 hereto discussing the Company’s results of operations and financial condition for the quarter ended June 30, 2026, is being “furnished” in accordance with General Instruction B.2 of Form 8‑K and shall not be deemed to be “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that section, or Sections 11 and 12(a)(2) of the Securities Act of 1933, as amended. The information contained herein and in the accompanying exhibit shall not be incorporated by reference into any filing of the Registrant, whether made before or after the date hereof, regardless of any general incorporation language in such filing, unless expressly incorporated by specific reference to such filing.

Item 9.01 Financial Statements and Exhibits

(d) Exhibits

99.1 Press release dated July 30, 2026, regarding the financial results of AXT, Inc. for the quarter ended June 30, 2026.

EXHIBIT INDEX

Exhibit Number		Description
99.1		Press release dated July 30, 2026, regarding the financial results of AXT, Inc. for the quarter ended June 30, 2026.
104		Cover Page Interactive Data File (embedded within the Inline XBRL document)

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

	AXT, INC.
Date: July 30, 2026	By:	/s/ Gary L. Fischer
		Gary L. Fischer
		Chief Financial Officer and Corporate Secretary

      Exhibit 99.1

AXT, Inc. Second Quarter 2026 Results

July 30, 2026

Page 1 of 6

AXT, Inc. Announces Second Quarter 2026 Financial Results

FREMONT, Calif., July 30, 2026 – AXT, Inc. (NasdaqGS: AXTI), a leading manufacturer of compound semiconductor wafer substrates, today reported financial results for the second quarter, ended June 30, 2026.

Management Qualitative Comments

“This is an incredibly exciting time for AXT,” said Morris Young, chief executive officer. “We have reached an inflection point in our business where strong customer demand for data center optical connectivity coupled with our continued success in adding manufacturing capacity and improving productivity are driving a step-function increase in our revenue. In Q2, we recorded our highest quarterly indium phosphide revenue to date. We are working closely with our direct customers as well as major end customers to understand their expected demand and roadmaps. We believe AXT is entering one of the most consequential chapters in our company’s history. The investments we are making today—in capacity, in technology, and in our uniquely integrated supply chain—position us to meet the extraordinary demand we see building across the optical and AI infrastructure markets.” 

Second Quarter 2026 Results

In order to provide better clarity on its operational and financial results, AXT reports its financial results on both a GAAP and non-GAAP basis. Non-GAAP results exclude stock-based compensation expense. Investors can find GAAP to non-GAAP reconciliation tables in the financial statements in this earnings release.

● Revenue for the second quarter of 2026 was $47.6 million, compared with $26.9 million for the first quarter of 2026 and $18.0 million for the second quarter of 2025.

● GAAP gross margin was 44.9 percent of revenue for the second quarter of 2026, compared with 29.6 percent of revenue for the first quarter of 2026 and 8.0 percent for the second quarter of 2025.

● Non-GAAP gross margin, after excluding charges for stock-based compensation, was 45.0 percent of revenue for the second quarter of 2026, compared with 29.9 percent of revenue for the first quarter of 2026 and 8.2 percent for the second quarter of 2025.

● GAAP net income, after minority interests, for the second quarter of 2026 was a net income of $11.1 million, or $0.17 diluted income per share, compared with a net loss of $1.6 million, or $0.03 per share, for the first quarter of 2026 and a net loss of $7.0 million, or $0.16 per share, for the second quarter of 2025.

● Non-GAAP net income for the second quarter of 2026 was a net income of $11.9 million, or $0.19 per share, compared with a net loss of $0.6 million, or $0.01 per share, for the first quarter of 2026 and a net loss of $6.4 million, or $0.15 per share, for the second quarter of 2025.

AXT, Inc. Second Quarter 2026 Results

July 30, 2026

Page 2 of 6

Conference Call

The company will host a conference call to discuss these results today at 1:30 p.m. PT. The conference call can be accessed at (833) 461-5787 (passcode 630205921). The call will also be simulcast at www.axt.com. The webcast will be available at http://www.axt.com until July 30, 2027. Additional investor information can be accessed at http://www.axt.com.

About AXT, Inc.

AXT is a material science company that develops and manufactures high-performance compound and single element semiconductor wafer substrates comprising indium phosphide (InP), gallium arsenide (GaAs) and germanium (Ge). The company’s wafer substrates are used when a typical silicon wafer substrate cannot meet the performance requirements of a semiconductor or optoelectronic device. End markets include 5G infrastructure, data center connectivity (silicon photonics), passive optical networks, LED lighting, lasers, sensors, power amplifiers for wireless devices and satellite solar cells. AXT’s worldwide headquarters are in Fremont, California where the company maintains sales, administration and customer service functions. AXT has its Asia headquarters in Beijing, China and manufacturing facilities in three separate locations in China. In addition, as part of its supply chain strategy, the company has partial ownership in more than ten companies in China producing raw materials and consumables for its manufacturing process. For more information, see AXT’s website at http://www.axt.com.

Note Regarding Use of Non-GAAP Financial Measures

As discussed above, the company provides certain non-GAAP financial measures that exclude stock-based compensation in addition to, and not as a substitute for, or because it believes that such information is superior to, financial measures calculated in accordance with GAAP. The company believes that non-GAAP financial measures, when taken collectively, may be helpful to investors because they provide consistency and comparability with past financial performance and provide better comparability with our peer companies, many of which also use similar non-GAAP financial measures. Further, the company believes that these non-GAAP financial measures offer an important analytical tool to help investors understand the company’s core operating results and trends. In addition, management uses non-GAAP financial measures to compare the company’s performance relative to forecasts and strategic plans and to benchmark its performance externally against peer companies. However, non-GAAP financial information is presented for supplemental informational purposes only, has limitations as an analytical tool and should not be considered in isolation or as a substitute for financial information presented in accordance with GAAP. In addition, other companies may calculate similarly-titled non-GAAP financial measures differently or may use other measures to evaluate their performance, all of which could reduce the usefulness of the company’s non-GAAP financial measures as tools for comparison. The company encourages investors to carefully consider its results under GAAP, as well as its supplemental non‐GAAP information and the reconciliation between these presentations, to more fully understand its business. A reconciliation of our GAAP consolidated financial statements to our non-GAAP consolidated financial statements is provided below.

AXT, Inc. Second Quarter 2026 Results

July 30, 2026

Page 3 of 6

Forward-Looking Statements

The foregoing paragraphs contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, or the Securities Act, and Section 21E of the Securities Exchange Act of 1934, as amended, or the Exchange Act. For example, our plans and ability to increase manufacturing capacity and to enable our industry to meet future demands and needs for our indium phosphide wafer substrates. Statements relating to our expectations regarding the receipt of export permits for our indium phosphide substrates, results of operations, market and customer demand for our products, our ability to expand our markets or increase sales, emerging applications using chips or devices fabricated on our substrates, including the use of indium phosphide wafer substrates in artificial intelligence (“AI”) applications, product yields and gross margins, expense levels, our investments in capital projects, ramping production at our sites, our ability to utilize or increase our manufacturing capacity, and our belief that we have adequate cash and investments to meet our needs are also forward-looking statements. The words “believe,” “may,” “will,” “estimate,” “continue,” “anticipate,” “intend,” “expect,” “could,” “would,” “project,” “plan,” “potentially,” “likely,” and similar expressions and variations thereof are intended to identify forward-looking statements, but are not the exclusive means of identifying such statements. These statements appear in this press release and elsewhere, include statements regarding the intent, belief or current expectations of our management that are subject to known and unknown risks, uncertainties and assumptions which could cause actual results to differ materially from those expressed or implied in the forward-looking statement. These risks, uncertainties and assumptions include, but are not limited to, the receipt of export permits for our indium phosphide substrates, the withdrawal, cancellations or requests for redemptions by private equity funds in China of their investments in Tongmei, the administrative challenges in satisfying the requirements of various government agencies in China in connection with the investments in Tongmei, geopolitical tensions between China and the United States, and other factors described and captioned “Risk Factors” in  the company’s Annual Report on Form 10-K, quarterly reports on Form 10-Q and other filings made with the Securities and Exchange Commission. Each of these factors is difficult to predict and many are beyond the company’s control. The company does not undertake any obligation to update any forward-looking statement, as a result of new information, future events or otherwise. You are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, and that actual results may differ materially from those projected in the forward-looking statements as a result of various factors.

###

FINANCIAL TABLES TO FOLLOW

AXT, Inc. Second Quarter 2026 Results

July 30, 2026

Page 4 of 6

AXT, INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(Unaudited, in thousands, except per share data)

		Three Months Ended								Six Months Ended
		June 30,								June 30,
		2026				2025				2026				2025
Revenue		$	47,589			$	17,974			$	74,513			$	37,330
Cost of revenue			26,223				16,541				45,169				37,138
Gross profit			21,366				1,433				29,344				192
Operating expenses:
Selling, general and administrative			7,292				5,653				13,843				11,569
Research and development			3,651				2,525				6,663				5,643
Total operating expenses			10,943				8,178				20,506				17,212
Income (loss) from operations			10,423				(6,745	)			8,838				(17,020	)
Interest income (expense), net			4,728				(202	)			4,829				(471	)
Equity in income (loss) of unconsolidated joint ventures			417				(171	)			770				77
Other income (expense), net			(436	)			23				(360	)			377
Income (loss) before provision for income taxes			15,132				(7,095	)			14,077				(17,037	)
Provision for income taxes			2,102				579				2,532				653
Net income (loss)			13,030				(7,674	)			11,545				(17,690	)
Less: Net (income) loss attributable to noncontrolling interests and redeemable noncontrolling interests			(1,902	)			666				(2,037	)			1,884
Net income (loss) attributable to AXT, Inc.		$	11,128			$	(7,008	)		$	9,508			$	(15,806	)
Net income (loss) attributable to AXT, Inc. per common share:
Basic		$	0.18			$	(0.16	)		$	0.16			$	(0.36	)
Diluted		$	0.17			$	(0.16	)		$	0.16			$	(0.36	)
Weighted-average number of common shares outstanding:
Basic			61,227				43,710				57,274				43,630
Diluted			63,474				43,710				59,642				43,630

AXT, Inc. Second Quarter 2026 Results

July 30, 2026

Page 5 of 6

AXT, INC.

CONDENSED CONSOLIDATED BALANCE SHEETS

(Unaudited, in thousands)

		June 30,				December 31,
		2026				2025
ASSETS
Current assets:
Cash and cash equivalents		$	412,167			$	120,266
Restricted cash			33,050				8,100
Short-term investments			5,031				—
Accounts receivable, net			36,675				26,849
Inventories			96,322				81,651
Prepaid expenses and other current assets			15,558				9,690
Total current assets			598,803				246,556
Long-term investments			298,600				—
Property, plant and equipment, net			174,924				161,860
Operating lease right-of-use assets			1,766				1,982
Other assets			23,099				23,353
Total assets		$	1,097,192			$	433,751
LIABILITIES, REDEEMABLE NONCONTROLLING INTERESTS AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable		$	14,373			$	12,947
Accrued liabilities			27,052				14,798
Short-term loans			84,233				62,796
Total current liabilities			125,658				90,541
Noncurrent operating lease liabilities			1,164				1,441
Other long-term liabilities			18,522				7,138
Total liabilities			145,344				99,120
Redeemable noncontrolling interests			39,735				38,056
Stockholders’ equity:
Preferred stock			3,532				3,532
Common stock			66				55
Additional paid-in capital			943,758				339,922
Accumulated deficit			(55,416	)			(64,924	)
Accumulated other comprehensive loss			(4,666	)			(5,295	)
Total AXT, Inc. stockholders’ equity			887,274				273,290
Noncontrolling interests			24,839				23,285
Total stockholders’ equity			912,113				296,575
Total liabilities, redeemable noncontrolling interests and stockholders’ equity		$	1,097,192			$	433,751

AXT, Inc. Second Quarter 2026 Results

July 30, 2026

Page 6 of 6

AXT, INC.

Reconciliation of Statements of Operations Under GAAP and Non-GAAP

(Unaudited, in thousands)

		Three Months Ended								Six Months Ended
		June 30,								June 30,
		2026				2025				2026				2025
GAAP gross profit		$	21,366			$	1,433			$	29,344			$	192
Stock-based compensation expense			65				47				130				110
Non-GAAP gross profit		$	21,431			$	1,480			$	29,474			$	302
GAAP operating expenses		$	10,943			$	8,178			$	20,506			$	17,212
Stock-based compensation expense			697				586				1,667				1,169
Non-GAAP operating expenses		$	10,246			$	7,592			$	18,839			$	16,043
GAAP income (loss) from operations		$	10,423			$	(6,745	)		$	8,838			$	(17,020	)
Stock-based compensation expense			762				633				1,797				1,279
Non-GAAP income (loss) from operations		$	11,185			$	(6,112	)		$	10,635			$	(15,741	)
GAAP net income (loss)		$	11,128			$	(7,008	)		$	9,508			$	(15,806	)
Stock-based compensation expense			762				633				1,797				1,279
Non-GAAP net income (loss)		$	11,890			$	(6,375	)		$	11,305			$	(14,527	)
GAAP net income (loss) per diluted share		$	0.17			$	(0.16	)		$	0.16			$	(0.36	)
Stock-based compensation expense per diluted share		$	0.01			$	0.01			$	0.03			$	0.03
Non-GAAP net income (loss) per diluted share		$	0.19			$	(0.15	)		$	0.19			$	(0.33	)
Shares used to compute diluted net income per share			63,474				43,710				59,642				43,630

Filing Exhibits & Attachments

5 documents

Press Releases

• EX-99.1 EXHIBIT 99.1 210.8 KB

Other Documents

• EX-101 XBRL TAXONOMY EXTENSION SCHEMA 3.5 KB
• EX-101 XBRL TAXONOMY EXTENSION DEFINITION LINKBASE 11.2 KB
• EX-101 XBRL TAXONOMY EXTENSION LABEL LINKBASE 15.0 KB
• EX-101 XBRL TAXONOMY EXTENSION PRESENTATION LINKBASE 11.3 KB