Overview

* Aehr fiscal Q1 revenue declines to $11.0 mln but beats analyst expectations

* Adjusted net income for fiscal Q1 beats estimates, driven by AI processor demand

* Adjusted income from operations missed analyst expectations, per LSEG data

* Shares fell about 6% after the bell following quarterly report

Outlook

* Company expects broad-based growth across AI and other markets

* Aehr anticipates silicon carbide growth strengthening into fiscal 2027

* Company remains cautious due to ongoing tariff-related uncertainty

Result Drivers

* AI PROCESSOR DEMAND - Strong demand for AI processors drove growth in Sonoma ultra-high-power packaged part burn-in systems

* HYPERSCALER ORDERS - Lead production customer, a world-leading hyperscaler, placed multiple follow-on orders for Sonoma systems, requesting shorter lead times

* SONOMA ENHANCEMENTS - Enhancements to the Sonoma system, including increased power-per-device and full automation, received positive customer feedback, driving new applications and orders

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q1 Sales Beat $10.97 $10.80

mln mln (3

Analysts

)

Q1 Beat $171,000 $41,300

Adjusted (3

Net Analysts

Income )

Q1 Net -$2.08

Income mln

Q1 Miss -$1.83 -$453,30

Adjusted mln 0 (3

Income Analysts

from )

Operatio

ns

Analyst Coverage

* The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 1 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the semiconductor equipment & testing peer group is "buy."

* Wall Street's median 12-month price target for Aehr Test Systems ( AEHR ) is $16.50, about 88% below its October 3 closing price of $31.02

* The stock recently traded at 184 times the next 12-month earnings vs. a P/E of 68 three months ago

Press Release:

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)