REHOVOT, Israel, May 14, 2026 /PRNewswire/ -- Nova $(NVMI)$ today announced financial results for the first quarter, the three-month period ended March 31, 2026.
First Quarter 2026 Highlights:
-- Record quarterly revenue of $235.3 million, a 6% increase QoQ, exceeding
the Company guidance.
-- Record GAAP net income of $69.3 million, or $2.04 per diluted share, a 5%
increase QoQ, exceeding the Company guidance.
-- Record non-GAAP net income of $80.3 million, or $2.33 per diluted share,
a 9% increase QoQ, exceeding the Company guidance.
-- Record revenues from memory devices, fueled by robust demand for advanced
DRAM
-- Record sales of Nova Metrion platform, driven by increased adoption in
memory and logic advanced nodes manufacturing. .
-- Record sales of Nova AncoScene front-end chemical metrology solution,
attributable to market share gains and new customer wins.
GAAP Results (K)
Q1 2026 Q4 2025 Q1 2025
--------------------------- -------- -------- --------
Revenues $235,308 $222,624 $213,356
--------------------------- -------- -------- --------
Net Income $69,259 $64,888 $64,823
--------------------------- -------- -------- --------
Earnings per Diluted Share $2.04 $1.94 $2.03
--------------------------- -------- -------- --------
Non-GAAP Results (K)
Q1 2026 Q4 2025 Q1 2025
--------------------------- ------- ------- -------
Net Income $80,265 $72,239 $69,958
--------------------------- ------- ------- -------
Earnings per Diluted Share $2.33 $2.14 $2.18
--------------------------- ------- ------- -------
(A reconciliation between GAAP operating results and non-GAAP operating results is provided following the financial statements included in this release. See also "Use of Non-GAAP Adjusted Financial Measures" section.)
Management Comments
"This was a record quarter for Nova across every dimension," said Gaby Waisman, President and CEO. "We achieved record revenue and profitability, with service revenue and multiple product lines, spanning optical, materials, and chemical metrology, each reaching all-time high. These results reflect the strength of our portfolio and our continued focus on execution. We are solidifying our investments in technology and infrastructure, in anticipation of continued industry growth. With strong customer engagement, we are well positioned to capitalize on the market momentum ahead."
2026 Second Quarter Financial Outlook
Management provided an outlook for the second quarter, the period ending June 30, 2026. Based on current estimates, management expects:
-- $245 million to $255 million in revenue -- $2.10 to $2.24 in diluted GAAP EPS -- $2.34 to $2.48 in diluted non-GAAP EPS
2026 First Quarter Results
Total revenues for the first quarter of 2026 were $235.3 million, an increase of 6% compared with the fourth of 2025 and an increase of 10% compared with the first quarter of 2025.
Gross margin in the first quarter of 2026 was 57.7%, compared with 57.6%, in the fourth quarter of 2025 and 57.3% in the first quarter of 2025.
Operating expenses in the first quarter of 2026 were $64.9 million, compared with $67.5 million in the fourth quarter of 2025 and $59.1 million in the first quarter of 2025.
On a GAAP basis, the Company reported net income of $69.3 million, or $2.04 per diluted share, in the first quarter of 2026. This is compared with net income of $64.7 million, or $1.94 per diluted share, in the fourth quarter of 2025, and $64.8 million, or 2.03 per diluted share, in the first quarter of 2025.
On a non-GAAP basis, the Company reported net income of $ 80.3 million, or $2.33 per diluted share, in the first quarter of 2026. This is compared with net income of $ 72.2 million, or $2.14 per diluted share, in the fourth quarter of 2025, and $70.0 million, or $2.18 per diluted share, in the first quarter of 2025.
Conference Call Information
Nova will host a conference call today, May 14, 2026, at 8:30 a.m. Eastern Time, to discuss the Company's first quarter of 2026 financial results and outlook. To attend the conference call, please dial one of the following teleconference numbers. Please begin by placing your calls five minutes before the conference call commences. If you are unable to connect using the toll-free numbers, please try the international dial-in number.
U.S. TOLL-FREE Dial-in Number: 1-833-816-1427
ISRAEL TOLL-FREE Dial-in Number: 1-809-213-284
INTERNATIONAL Dial-in Number: 1-412-317-0519
At:
8:30 a.m. Eastern Time
5:30 a.m. Pacific Time
3:30 p.m. Israel Time
The conference call will also be webcast live from a Link on Nova's website at https://www.novami.com/investors/events/.
A replay of the conference call will be available from May 14, 2026, at 11:30 a.m. Eastern Time until August 15, 2026, at 11:59 p.m. Eastern Time. To access the replay, please dial one of the following numbers:
Replay Dial-in U.S. TOLL-FREE: 1-877-344-7529
Replay Dial-in INTERNATIONAL: 1-412-317-0088
Replay Pin Number: 1869305
A replay will also be available for 90 days on Nova's website link at https://www.novami.com/investors/events/.
About Nova
Nova is a leading innovator and key provider of material, optical and chemical metrology solutions for advanced process control in semiconductor manufacturing. Nova delivers continuous innovation by providing state-of-the-art, high-performance metrology solutions for effective process control throughout the semiconductor fabrication lifecycle. Nova's product portfolio, which combines high-precision hardware and cutting-edge software, provides its customers with deep insight into developing and producing the most advanced semiconductor devices. Nova's unique capability to deliver innovative solutions enables its customers to improve performance, enhance product yields and accelerate time to market. Nova acts as a partner to semiconductor manufacturers from its offices worldwide. Additional information may be found on Nova's website link - https://www.novami.com/.
Nova is traded on the Nasdaq and TASE, Nasdaq ticker symbol NVMI.
Use of Non-GAAP Adjusted Financial Measures
This press release provides financial measures that exclude amortization of acquired intangible assets, inventory step-up, stock-based compensation expenses, acquisition related expenses, revaluation of operating lease liabilities and remeasurement of intercompany loans, amortization of debt issuance costs, discrete tax reserve release, net and tax effect of non-GAAP adjustment, as applicable, and are therefore not calculated in accordance with generally accepted accounting principles (GAAP). Management believes that these non-GAAP financial measures provide meaningful supplemental information regarding Nova's performance because they reflect our operational results and enhance management's and investors' ability to evaluate Nova's performance before charges or benefits considered by management to be outside Nova's ongoing operating results. The presentation of this non-GAAP financial information is not intended to be considered in isolation or as a substitute for the financial information prepared and presented in accordance with GAAP. Management believes that it is in the best interest of its investors to provide financial information that will facilitate comparison of both historical and future results and allow greater transparency to supplemental information used by management in its financial and operational decision making. A reconciliation of each GAAP to non-GAAP financial measure discussed in this press release is contained in the accompanying financial tables.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of safe harbor provisions of the Private Securities Litigation Reform Act of 1995 relating to future events or our future performance, such as statements regarding, but not limited to, anticipated growth opportunities and projections about our business and its future revenues, expenses and profitability. Forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause our actual results, levels of activity, performance or achievements to differ materially from any future results, levels of activity, performance or achievements expressed or implied in those forward-looking statements. Factors that may affect our results, performance, circumstances or achievements include, but are not limited to, the following: risks related to information technology security threats, sophisticated computer crime, and data privacy; foreign political and economic risks including supply-chain difficulties; regulations that could restrict our operations such as economic sanctions and export restrictions; changes in U.S. trade policies and taxation; market instability including inflation and recessionary pressures; risks related to doing business with China; catastrophic events; inability to protect our intellectual property; open source technology exposure; risks related to the use of artificial intelligence technologies; challenges related to implementing our new ERP system; failure to compete effectively or to respond to rapid technological changes; consolidation in our industry; difficulty in predicting the length and strength of any downturn or expansion period of the market we target; factors that adversely affect the pricing and demand for our product lines; dependency on a small number of large customers; dependency on a single manufacturing facility per product line; dependency on a limited number of suppliers; difficulty in integrating current or future acquisitions; lengthy sales cycle and customer delays in orders; risks related to conditions in Israel, including Israel's conflicts with
certain parties in the region; risks related to our convertible senior notes and capped call transactions; currency fluctuations and quarterly fluctuations in our operating results; and risks related to additional costs and expenses if there is a change in our status as a foreign private issuer. We cannot guarantee future results, levels of activity, performance or achievements. The matters discussed in this press release also involve risks and uncertainties summarized under the heading "Risk Factors" in Nova's Annual Report on Form 20-F for the year ended December 31, 2025, filed with the Securities and Exchange Commission on February 17, 2026. These factors are updated from time to time through the filing of reports and registration statements with the Securities and Exchange Commission. Nova Ltd. does not assume any obligation to update the forward-looking information contained in this press release.
(Tables to Follow)
NOVA LTD.
CONDENSED CONSOLIDATED BALANCE SHEETS
(U.S. dollars in thousands) - (Unaudited)
As of
-----------------------
March 31, December 31,
--------- ------------
ASSETS 2026 2025
--------- ------------
Current assets
Cash and cash equivalents 421,816 214,462
Short-term interest-bearing bank deposits 333,296 512,250
Marketable securities 343,432 321,798
Trade accounts receivable, net 176,917 151,929
Inventories 178,850 183,671
Other current assets 35,605 26,692
--------- ------------
Total current assets 1,489,916 1,410,802
--------- ------------
Non-current assets
Marketable securities 567,850 584,731
Interest-bearing bank deposits and restricted
deposits 11,020 12,508
Deferred tax assets 38,887 38,819
Operating lease right-of-use assets 56,764 57,731
Property plant and equipment, net 101,788 102,625
Intangible assets, net 42,559 45,819
Goodwill 89,283 90,807
Other long-term assets 17,624 16,704
--------- ------------
Total non-current assets 925,775 949,744
--------- ------------
Total assets 2,415,691 2,360,546
========= ============
LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities
Convertible senior notes, net 732,630 -
Trade accounts payable 54,102 46,982
Deferred revenues 49,092 67,163
Operating lease current liabilities 9,508 8,204
Other current liabilities 98,529 102,186
--------- ------------
Total current liabilities 943,861 224,535
--------- ------------
Non-current liabilities
Convertible senior notes, net - 731,680
Operating lease long-term liabilities 58,033 59,271
Long-term deferred tax liability 9,330 10,221
Other long-term liabilities 16,881 16,591
--------- ------------
Total non-current liabilities 84,244 817,763
--------- ------------
Shareholders' equity 1,387,586 1,318,248
--------- ------------
Total liabilities and shareholders' equity 2,415,691 2,360,546
========= ============
NOVA LTD.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(U.S. dollars in thousands, except per share data) - (Unaudited)
Three months ended March
31,
--------------------------
2026 2025
------------ ------------
Revenues:
Products 186,263 173,942
Services 49,045 39,414
------------ ------------
Total revenues 235,308 213,356
------------ ------------
Total cost of revenues 99,620 91,053
------------ ------------
Gross profit 135,688 122,303
Operating expenses:
Research and development, net 37,083 33,234
Sales and marketing 20,264 19,788
General and administrative 7,505 6,049
------------ ------------
Total operating expenses 64,852 59,071
------------ ------------
Operating income 70,836 63,232
Financing income, net 13,048 12,937
------------ ------------
Income before taxes on income 83,884 76,169
Income tax expenses 14,625 11,346
------------ ------------
Net income for the period 69,259 64,823
============ ============
Earnings per share:
Basic 2.18 2.22
============ ============
Diluted 2.04 2.03
============ ============
Shares used in calculation of earnings per share
(in thousands):
Basic 31,790 29,262
============ ============
Diluted 34,439 32,062
============ ============
NOVA LTD.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(U.S. dollars in thousands) - (Unaudited)
Three months ended December
31,
-----------------------------
2026 2025
--------------- ------------
Cash flows from operating activities:
Net income 69,259 64,823
Adjustments to reconcile net income to net cash
provided by operating activities:
Depreciation of property and equipment 3,496 3,086
Amortization of intangible assets 2,315 1,816
Amortization of premium and accretion of
discount on marketable securities, net (1,257) (1,543)
Amortization of debt issuance costs 950 290
Share-based compensation 7,305 6,376
Net effect of exchange rate fluctuation 55 (3,877)
Changes in assets and liabilities:
Trade accounts receivable, net (25,613) 15,475
Inventories 4,086 (9,099)
Other current and long-term assets (9,493) (13,088)
Deferred tax, net (621) (2,636)
Operating lease right-of-use assets 956 478
Trade accounts payable 7,308 (43)
Deferred revenues (19,673) (7,439)
Operating lease liabilities 77 (862)
Other current and long-term liabilities 918 14,815
Accrued severance pay, net 9 (23)
--------------- ------------
Net cash provided by operating activities 40,077 68,549
--------------- ------------
Cash flows from investment activities:
Acquisition of subsidiary, net of acquired cash - (51,697)
Change in short-term and long-term
interest-bearing bank deposits 180,215 (2,286)
Investment in marketable securities (130,323) (82,270)
Proceeds from maturity of marketable securities 121,881 79,068
Purchase of property and equipment (4,049) (8,857)
--------------- ------------
Net cash provided by (used in) investing
activities 167,724 (66,042)
--------------- ------------
Cash flows from financing activities:
Purchases of treasury shares - (20,002)
Net cash used in financing activities - (20,002)
--------------- ------------
Effect of exchange rate fluctuations on cash
and cash equivalents (765) 771
Changes in cash and cash equivalents and
restricted cash 207,036 (16,724)
Cash and cash equivalents and restricted cash
-beginning of period 214,780 157,779
--------------- ------------
Cash and cash equivalents - end of period 421,816 141,055
=============== ============
NOVA LTD.
RECONCILIATION OF GAAP TO NON-GAAP RESULTS
(U.S. dollars in thousands, except percentage and per share data) -
(Unaudited)
Three months ended
-------------------------------------
March 31, December 31, March 31,
2026 2025 2025
---------- ------------- ----------
GAAP gross profit 135,688 128,233 122,303
Stock-based compensation* 2,072 1,990 1,847
Amortization of acquired intangible
assets 2,119 2,342 1,670
Acquisition related inventory
step-up - - 1,348
========== ============= ==========
Non-GAAP gross profit 139,879 132,565 127,168
========== ============= ==========
GAAP gross margin as a percentage of
revenues 58 % 58 % 57 %
Non-GAAP gross margin as a percentage
of revenues 59 % 60 % 60 %
GAAP operating income 70,836 60,733 63,232
Stock-based compensation* 7,305 6,977 6,376
Acquisition related inventory
step-up - - 1,348
Acquisition related expenses - - 859
Amortization of acquired intangible
assets 2,315 2,544 1,816
Discrete tax reserve release, net - 203 -
---------- ------------- ----------
Non-GAAP operating income 80,456 70,457 73,631
========== ============= ==========
GAAP operating margin as a percentage
of revenues 30 % 27 % 30 %
Non-GAAP operating margin as a
percentage of revenues 34 % 32 % 35 %
GAAP net income 69,259 64,688 64,823
Stock-based compensation* 7,305 6,977 6,376
Acquisition related inventory
step-up - - 1,348
Acquisition related expenses - - 859
Amortization of acquired intangible
assets 2,315 2,544 1,816
Amortization of debt issuance costs 950 980 290
Revaluation of operating lease and
intercompany loans 2,540 1,642 (4,796)
Discrete tax reserve release, net - (4,229) -
Tax effect of non-GAAP adjustments (2,104) (363) (758)
---------- ------------- ----------
Non-GAAP net income 80,265 72,239 69,958
========== ============= ==========
GAAP basic earnings per share 2.18 2.09 2.22
========== ============= ==========
Non-GAAP basic earnings per share 2.52 2.33 2.39
========== ============= ==========
GAAP diluted earnings per share 2.04 1.94 2.03
Non-GAAP diluted earnings per share 2.33 2.14 2.18
Shares used for calculation of
earnings per share (in thousands):
Basic 31,790 31,025 29,262
========== ============= ==========
Diluted 34,439 33,830 32,062
========== ============= ==========
* Stock-based compensation for the three months ended March 31, 2026,
included in - Cost of revenues - 2,072; Research and development, net -
3,033; Sales and marketing - 1,551; General and administrative - 649.
NOVA LTD.
SUPPLEMENTAL INFORMATION - RECONCILIATION OF SECOND QUARTER 2026
GAAP TO NON-GAAP GUIDANCE
(U.S. dollars) (Unaudited)
Low High
Estimated GAAP net income per diluted share 2.10 2.24
Estimated non-GAAP items:
Stock-based compensation 0.20 0.20
Amortization of acquired intangible assets 0.06 0.06
Amortization of debt issuance costs 0.03 0.03
Tax effect of non-GAAP adjustments (0.05) (0.05)
Estimated non-GAAP net income per diluted share 2.34 2.48
Company Contact:
Guy Kizner, Chief Financial Officer
Tel: +972-73-229-5760
E-mail - investors@novami.com
Nova website link - https://www.novami.com/
Investor Relations Contact:
Miri Segal MS-IR LLC
Tel: +917-607-8654
E-mail - msegal@ms-ir.com
Logo: https://mma.prnewswire.com/media/1446151/Nova_Logo.jpg
View original content:https://www.prnewswire.com/news-releases/nova-reports-record-first-quarter-2026-financial-results-302772245.html
SOURCE Nova
(END) Dow Jones Newswires
May 14, 2026 07:30 ET (11:30 GMT)
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