Advanced Energy Industries, Inc.

advancedenergy.com

What Do They Do?

Sells plasma power and other power-conversion products, measurement and control equipment, and repair services to equipment makers, distributors, and end users.

How Do They Make Money?

Most customers have net-30 terms. Product sales are counted when goods ship, and non-warranty service work when complete; maintenance and extended-warranty fees are collected upfront for service over the plan term.

FY2025 revenue by product or service revenue

Segment	Share	How money arrives
Semiconductor Equipment Sold outright	47% FY2022: 50%	Sold outright
Data Center Computing Sold outright	33% FY2022: 18%	Sold outright
Industrial and Medical Sold outright	16% FY2022: 23%	Sold outright
Telecom and Networking Sold outright	5.0% FY2022: 8.7%	Sold outright
Product Sold outright	90% FY2022: 91%	Sold outright
Services and other	10% FY2022: 8.6%

Who Are Their Customers?

Equipment makers and end users buy directly or through distributors; the company also sells to distributors, which support its indirect sales.

Customers above 10% of revenue, FY2025

of revenue from three customers (23%, 19%, 12%)

FY2023: 22% from one customer

Do Revenues Turn Into Profits?

Yes. It kept 8 cents of every revenue dollar as net income in FY2025 and turned 7 cents into free cash flow.

Operating income, FY2025

9% of revenue

▲ +359% vs FY2024 ($36.6M, 2%)

Net income, FY2025

8% of revenue

▲ +174% vs FY2024 ($54.2M, 4%)

Free cash flow, FY2025

7% of revenue

▲ +70% vs FY2024 ($74M, 5%)

How Are They Changing?

Since the FY2025 annual report

Latest quarter: Q2 FY2026, the three months to Jun 30, 2026

Revenue: ▲ +30%; vs $441.5M in Q2 FY2025
Net income: ▲ +115%; vs $25.2M in Q2 FY2025

Product share of revenue vs 89.7% in Q2 FY2025

Aug 3, 2026 Gives third-quarter revenue and earnings-per-share guidance Revenue guidance is $640 million +/- $20 million, and GAAP earnings per share guidance is $2.38 +/- $0.25.

Growing. Revenue grew 24% in 4 years, from $1.5B in FY2021 to $1.8B in FY2025, about 5% a year.

Revenue over time

Semiconductor Equipment Data Center Computing Industrial and Medical Telecom and Networking Product Services and other

$2B$1B$0

FY2021 FY2022 FY2023 FY2024 FY2025

Who Do They Compete With?

Competes with COMET Holding, Daihen, MKS Instruments, TRUMPF Hüttinger, Delta Electronics, Flex, Lite-On Technology, Cosel, MEAN WELL Enterprises, TDK-Lambda, XP Power, and Kexin Communication Technologies

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