Aehr Test Systems (NASDAQ: AEHR), a global distributor of test and reliability equipment for memory integrated circuits, reported its financial results for the third quarter of fiscal 2021 ended in February 2021, dragging AEHR stock price down.
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Vehicular integrated circuits has had an increased demand for improved reliability and quality, especially in the automobile market which have climbing needs for additional test requirements, to increase the reliability of the product and for higher production needs, as well as new opportunities for the company’s products
AEHR’S 52-week high was at $3.60, while the Company’s 52-week low was at $1.15. Price action of the last quarter increased by26.07%.
AEHR Third Quarter Financial Results:
AEHR had reported NET sales of $5.3 million for the quarter ended February 2021, versus$6.1 million in the third quarter of February 2020. However, Bookings saw a surge as they generated $8M in the fiscal quarter reported in 2021 compared to $3M in the third quarter of 2020.
In Accordance to Generally Accepted Accounting Principles (GAAP)a net loss of $735,000 took place, which accounts for a loss of $0.03 per diluted share, versus a net income of $245,000 was generated, or $0.01 per diluted share, in the third quarter of fiscal 2020. The net loss included $299,000 as a component replacement for system reliability.
Furthermore, Gayn Erickson, President and CEO of Aehr Test Systems, reaffirmed faith of the investors by announcing the company’s economic recovery during the pandemic by stating:
“During our fiscal third quarter we began to see signs of recovery from several customer production ramp delays and push outs of forecasted orders that we experienced related to COVID-19. Our improved bookings and revenue in the quarter reflect significant increased activity with both current and new customer engagements as business conditions began to improve”
For the next quarter which will end May 31, 2021, AEHRpredicts to generate revenue of $7.0 million, which will be 33% higher from the previous quarter, and produce a higher profit.
AEHR operates in the remunerative field of testing reliability of integrated circuits which is an extremely significant branch of the automobile industry. The growing demand for this lucrative field has proven to anticipate great sales, however AEHN stock were down in pre-market today as financial quarter reports were released.