• Revenue of $973 million, above the high end of guidance
  • GAAP net income of $62 million and net income per diluted share of $0.92, each above the midpoint of guidance
  • Adjusted EBITDA of $240 million, above the high end of guidance, and Non-GAAP net earnings per diluted share of $1.77, at the high end of guidance

ANDOVER, Mass., Aug. 06, 2025 (GLOBE NEWSWIRE) -- MKS Inc. (NASDAQ: MKSI), a global provider of enabling technologies that transform our world, today reported its financial results for the second quarter of 2025.

“We delivered revenue and adjusted EBITDA above the high end of our guidance, driven by strong year over year growth in our Semiconductor and Electronics & Packaging end markets,” said John T.C. Lee, President and Chief Executive Officer. “Our results reflect growing demand for products and solutions addressing advanced packaging and AI-related applications, underscoring our strength in enabling technologies that help customers solve their biggest challenges.”

Mr. Lee added, “We continue to execute exceptionally well for our customers, exercise agility to mitigate trade policy instability and generate strong cash flows for debt prepayment. Looking ahead, we are focused on creating durable value for both our customers and shareholders.”

“We delivered a strong quarter with improved sales, profitability and cash generation,” said Ram Mayampurath, Executive Vice President and Chief Financial Officer. “We are also progressing well on deleveraging our balance sheet with a $100 million prepayment in June followed by another $100 million prepayment in August.”

Selected GAAP and Non-GAAP Financial Measures
(In millions, except per share data)
Three Months Ended Six Months Ended
Q2 2025 Q1 2025 Q2 2024 Q2 2025 Q2 2024
Net Revenues
Semiconductor $ 432 $ 413 $ 369 $ 846 $ 720
Electronics & Packaging 266 253 229 519 437
Specialty Industrial 275 270 289 545 598
Total net revenues $ 973 $ 936 $ 887 $ 1,910 $ 1,755
GAAP Financial Measures
Gross margin 46.6 % 47.4 % 47.3 % 47.0 % 47.5 %
Operating margin 13.9 % 11.9 % 14.4 % 12.9 % 13.3 %
Net income $ 62 $ 52 $ 23 $ 114 $ 37
Net income per diluted share $ 0.92 $ 0.77 $ 0.33 $ 1.69 $ 0.55
Non-GAAP Financial Measures
Gross margin 46.6 % 47.4 % 47.3 % 47.0 % 47.5 %
Operating margin 20.8 % 20.2 % 21.7 % 20.5 % 21.0 %
Net earnings $ 119 $ 116 $ 103 $ 235 $ 183
Diluted earnings per diluted share $ 1.77 $ 1.71 $ 1.53 $ 3.48 $ 2.71

Additional Financial Information

At June 30, 2025, the Company had $674 million in cash and cash equivalents, $3.1 billion of secured term loan principal outstanding, $1.4 billion of convertible senior notes outstanding and up to $675 million of additional borrowing capacity under a revolving credit facility, subject to certain leverage ratio requirements. In June 2025, the Company made a voluntary principal prepayment of $100 million on its USD term loan B. In August 2025, the Company made an additional voluntary principal prepayment of $100 million on its USD term loan B.

Third Quarter 2025 Guidance

  • Revenue of $960 million, plus or minus $40 million
  • Gross margin of 46.5%, plus or minus 1.0%
  • GAAP operating expenses of $318 million, plus or minus $5 million and Non-GAAP operating expenses of $252 million, plus or minus $5 million
  • GAAP net income of $67 million, plus or minus $21 million and Non-GAAP net earnings of $121 million, plus or minus $19 million
  • GAAP net income per diluted share of $0.99, plus or minus $0.31 and Non-GAAP net earnings per diluted share of $1.80, plus or minus $0.29
  • Adjusted EBITDA of $232 million, plus or minus $24 million

The guidance for the third quarter is based on the current business environment, including the impact of U.S. import tariffs and the imposition of retaliatory actions taken by other countries up through but not including the date of this release. The Company will continue to monitor and adapt to changes in the business environment as needed.

Conference Call Details

A conference call with management will be held on Thursday, August 7, 2025 at 8:30 a.m. (Eastern Time). To participate in the call by phone, participants should visit the Investor Relations section of MKS’ website at investor.mks.com and click on Events & Presentations, where you will be able to register online and receive dial-in details. We encourage participants to register and dial in to the conference call at least 15 minutes before the start of the call to ensure a timely connection. A live and archived webcast and related presentation materials will be available on the Investor Relations section of the MKS website.

About MKS Inc.

MKS Inc. enables technologies that transform our world. We deliver foundational technology solutions to leading edge semiconductor manufacturing, electronics and packaging, and specialty industrial applications. We apply our broad science and engineering capabilities to create instruments, subsystems, systems, process control solutions and specialty chemicals technology that improve process performance, optimize productivity and enable unique innovations for many of the world's leading technology and industrial companies. Our solutions are critical to addressing the challenges of miniaturization and complexity in advanced device manufacturing by enabling increased power, speed, feature enhancement, and optimized connectivity. Our solutions are also critical to addressing ever-increasing performance requirements across a wide array of specialty industrial applications. Additional information can be found at www.mks.com.

Use of Non-GAAP Financial Results

This press release includes financial measures that are not in accordance with U.S. generally accepted accounting principles (“Non-GAAP financial measures”). These Non-GAAP financial measures should be viewed in addition to, and not as a substitute for, MKS’ reported results under U.S. generally accepted accounting principles (“GAAP”), and may be different from Non-GAAP financial measures used by other companies. In addition, these Non-GAAP financial measures are not based on any comprehensive set of accounting rules or principles. MKS management believes the presentation of these Non-GAAP financial measures is useful to investors for comparing prior periods and analyzing ongoing business trends and operating results. For further information regarding these Non-GAAP financial measures, please refer to the tables presenting reconciliations of our Non-GAAP results to our GAAP results and the “Notes on Our Non-GAAP Financial Information” at the end of this press release.

SAFE HARBOR FOR FORWARD-LOOKING STATEMENTS

This press release contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 regarding the future financial performance, business prospects and growth of MKS Inc. (“MKS,” the “Company,” “our,” or “we”). These statements are only predictions based on current assumptions and expectations. Any statements that are not statements of historical fact (including statements containing the words “will,” “projects,” “intends,” “believes,” “plans,” “anticipates,” “expects,” “estimates,” “forecasts,” “continues” and similar expressions) should be considered to be forward-looking statements. Actual events or results may differ materially from those in the forward-looking statements set forth herein. Among the important factors that could cause actual events to differ materially from those in the forward-looking statements that we make are the level and terms of our substantial indebtedness and our ability to service such debt; our entry into the chemicals technology business through our acquisition of Atotech Limited (“Atotech”) in August 2022 (the “Atotech Acquisition”), which has exposed us to significant additional liabilities; the risk that we are unable to realize the anticipated benefits of the Atotech Acquisition; risks related to cybersecurity, data privacy and intellectual property; competition from larger, more advanced or more established companies in our markets; the ability to successfully grow our business, including through growth of the Atotech business, and financial risks associated with that acquisition and potential future acquisitions, including goodwill and intangible asset impairments; manufacturing and sourcing risks, including those associated with limited and sole source suppliers and the impact and duration of supply chain disruptions, component shortages, and price increases; changes in global demand; risks associated with doing business internationally, including geopolitical conflicts, such as the conflict in the Middle East, trade compliance, trade protection measures, such as import tariffs by the United States or retaliatory actions taken by other countries, regulatory restrictions on our products, components or markets, particularly the semiconductor market, and unfavorable currency exchange and tax rate fluctuations, which risks become more significant as we grow our business internationally and in China specifically; conditions affecting the markets in which we operate, including fluctuations in capital spending in the semiconductor, electronics manufacturing and automotive industries, and fluctuations in sales to our major customers; disruptions or delays from third-party service providers upon which our operations may rely; the ability to anticipate and meet customer demand; the challenges, risks and costs involved with integrating or transitioning global operations of the companies we have acquired; risks associated with the attraction and retention of key personnel; potential fluctuations in quarterly results; dependence on new product development; rapid technological and market change; acquisition strategy; volatility of stock price; risks associated with chemical manufacturing and environmental regulation compliance; risks related to defective products; financial and legal risk management; and the other important factors described under the heading “Risk Factors” in Part I, Item 1A of our Annual Report on Form 10-K for the year ended December 31, 2024 and any subsequent Quarterly Reports on Form 10-Q, each as filed with the U.S. Securities and Exchange Commission. MKS is under no obligation to, and expressly disclaims any obligation to, update or alter these forward-looking statements, whether as a result of new information, future events or otherwise, even if subsequent events cause our views to change, after the date of this press release. Amounts reported in this press release are preliminary and subject to finalization prior to the filing of our Quarterly Report on Form 10-Q for the quarter ended June 30, 2025.

Company Contact :
Paretosh Misra
Vice President, Investor Relations
Telephone: (978) 284-4705
Email: [email protected]


MKS Inc.
Unaudited Consolidated Statements of Operations
(In millions, except per share data)
Three Months Ended Six Months Ended
June 30, March 31, June 30, June 30, June 30,
2025 2025 2024 2025 2024
Net revenues:
Products $ 848 $ 819 $ 770 $ 1,668 $ 1,524
Services 125 117 117 242 231
Total net revenues 973 936 887 1,910 1,755
Cost of revenues:
Products 463 437 412 900 810
Services 57 55 56 113 111
Total cost of revenues (exclusive of amortization shown separately below) 520 492 468 1,013 921
Gross profit 453 444 419 897 834
Research and development 76 70 66 145 136
Selling, general and administrative 175 185 161 361 331
Acquisition and integration costs — — 2 — 3
Restructuring and other 5 16 2 21 5
Fees and expenses related to amendments to the Term Loan Facility — 2 — 2 3
Amortization of intangible assets 62 60 61 122 123
Income from operations 135 111 127 246 233
Interest income (4 ) (3 ) (5 ) (7 ) (11 )
Interest expense 55 53 79 108 166
Loss on extinguishment of debt 2 3 38 5 47
Other (income) expense, net 10 (1 ) (7 ) 9 (10 )
Income before income taxes 72 59 22 131 41
Provision (benefit) for income taxes 10 7 (1 ) 17 4
Net income $ 62 $ 52 $ 23 $ 114 $ 37
Net income per share:
Basic $ 0.92 $ 0.77 $ 0.34 $ 1.69 $ 0.56
Diluted $ 0.92 $ 0.77 $ 0.33 $ 1.69 $ 0.55
Cash dividends per common share $ 0.22 $ 0.22 $ 0.22 $ 0.44 $ 0.44
Weighted average shares outstanding:
Basic 67.2 67.4 67.3 67.3 67.2
Diluted 67.4 67.7 67.5 67.5 67.5



MKS Inc.
Unaudited Consolidated Balance Sheet
(In millions)
June 30, December 31,
2025 2024
ASSETS
Cash and cash equivalents $ 674 $ 714
Trade accounts receivable, net 649 615
Inventories 918 893
Other current assets 243 252
Total current assets 2,484 2,474
Property, plant and equipment, net 801 771
Right-of-use assets 283 238
Goodwill 2,570 2,479
Intangible assets, net 2,267 2,272
Other assets 421 356
Total assets $ 8,826 $ 8,590
LIABILITIES AND STOCKHOLDERS' EQUITY
Short-term debt $ 51 $ 50
Accounts payable 355 341
Other current liabilities 426 384
Total current liabilities 832 775
Long-term debt, net 4,357 4,488
Non-current deferred taxes 504 504
Non-current accrued compensation 152 141
Non-current lease liabilities 258 211
Other non-current liabilities 170 149
Total liabilities 6,273 6,268
Stockholders' equity:
Common stock — —
Additional paid-in capital 2,078 2,067
Retained earnings 559 503
Accumulated other comprehensive loss (84 ) (248 )
Total stockholders' equity 2,553 2,322
Total liabilities and stockholders' equity $ 8,826 $ 8,590



MKS Inc.
Unaudited Consolidated Statements of Cash Flows
(In millions)
Three Months Ended Six Months Ended
June 30, March 31, June 30, June 30, June 30,
2025 2025 2024 2025 2024
Cash flows from operating activities:
Net income $ 62 $ 52 $ 23 $ 114 $ 37
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization 87 85 86 172 175
Unrealized loss (gain) on derivatives not designated as hedging instruments 2 2 (3 ) 4 —
Amortization of debt issuance costs and original issue discounts 7 6 8 13 16
Loss on extinguishment of debt 2 3 38 5 47
Stock-based compensation 12 22 11 34 26
Provision for excess and obsolete inventory 10 17 14 27 25
Deferred income taxes (44 ) (37 ) (59 ) (80 ) (95 )
Other (1 ) 1 2 — 4
Changes in operating assets and liabilities 28 (10 ) 2 17 (46 )
Net cash provided by operating activities 165 141 122 306 189
Cash flows from investing activities:
Proceeds from sale of long-lived assets 2 — — 2 1
Purchases of property, plant and equipment (29 ) (18 ) (26 ) (47 ) (45 )
Net cash used in investing activities (27 ) (18 ) (26 ) (45 ) (44 )
Cash flows from financing activities:
Repurchase of common stock — (45 ) — (45 ) —
Proceeds from borrowings — — 1,400 — 2,161
Payments of borrowings (113 ) (113 ) (1,269 ) (225 ) (2,075 )
Purchase of capped calls related to Convertible Notes — — (167 ) — (167 )
Payments of deferred financing fees — — (31 ) — (33 )
Dividend payments (15 ) (15 ) (15 ) (30 ) (30 )
Net payments related to employee stock awards — (5 ) (2 ) (5 ) (11 )
Other financing activities (1 ) (2 ) (3 ) (4 ) (4 )
Net cash used in financing activities (129 ) (180 ) (87 ) (309 ) (159 )
Effect of exchange rate changes on cash and cash equivalents 10 (2 ) (4 ) 8 (11 )
Increase (decrease) in cash and cash equivalents 19 (59 ) 5 (40 ) (25 )
Cash and cash equivalents at beginning of period 655 714 845 714 875
Cash and cash equivalents at end of period $ 674 $ 655 $ 850 $ 674 $ 850



The following supplemental Non-GAAP earnings information is presented to aid in understanding MKS’ operating results:
MKS Inc.
Schedule Reconciling Selected Non-GAAP Financial Measures
(In millions, except per share data)
Three Months Ended Six Months Ended
June 30, March 31, June 30, June 30, June 30,
2025 2025 2024 2025 2024
Net income $ 62 $ 52 $ 23 $ 114 $ 37
Acquisition and integration costs — — 2 — 3
Restructuring and other 5 16 2 21 5
Amortization of intangible assets 62 60 61 122 123
Loss on extinguishment of debt 2 3 38 5 47
Amortization of debt issuance costs 5 5 5 9 11
Fees and expenses related to amendments to the Term Loan Facility — 2 — 2 3
Tax effect of Non-GAAP adjustments (17 ) (22 ) (28 ) (38 ) (46 )
Non-GAAP net earnings $ 119 $ 116 $ 103 $ 235 $ 183
Non-GAAP net earnings per diluted share $ 1.77 $ 1.71 $ 1.53 $ 3.48 $ 2.71
Weighted average diluted shares outstanding 67.4 67.7 67.5 67.5 67.5
Net cash provided by operating activities $ 165 $ 141 $ 122 $ 306 $ 189
Purchases of property, plant and equipment (29 ) (18 ) (26 ) (47 ) (45 )
Free cash flow $ 136 $ 123 $ 96 $ 259 $ 144
GAAP and Non-GAAP gross profit $ 453 $ 444 $ 419 $ 897 $ 834
GAAP and Non-GAAP gross margin 46.6 % 47.4 % 47.3 % 47.0 % 47.5 %
Operating expenses $ 318 $ 332 $ 292 $ 651 $ 601
Acquisition and integration costs — — 2 — 3
Restructuring and other 5 16 2 21 5
Amortization of intangible assets 62 60 61 122 123
Fees and expenses related to amendments to the Term Loan Facility — 2 — 2 3
Non-GAAP operating expenses $ 251 $ 254 $ 227 $ 505 $ 467
Income from operations $ 135 $ 111 $ 127 $ 246 $ 233
Operating margin 13.9 % 11.9 % 14.4 % 12.9 % 13.3 %
Acquisition and integration costs — — 2 — 3
Restructuring and other 5 16 2 21 5
Amortization of intangible assets 62 60 61 122 123
Fees and expenses related to amendments to the Term Loan Facility — 2 — 2 3
Non-GAAP income from operations $ 202 $ 189 $ 192 $ 392 $ 367
Non-GAAP operating margin 20.8 % 20.2 % 21.7 % 20.5 % 21.0 %
Interest expense, net $ 51 $ 50 $ 74 $ 101 $ 155
Amortization of debt issuance costs 5 5 5 9 11
Non-GAAP interest expense, net $ 46 $ 45 $ 69 $ 92 $ 144
Net income $ 62 $ 52 $ 23 $ 114 $ 37
Interest expense, net 51 50 74 101 155
Other (income) expense, net 10 (1 ) (7 ) 9 (10 )
Provision (benefit) for income taxes 10 7 (1 ) 17 4
Depreciation 26 25 25 51 52
Amortization 62 60 61 122 123
Stock-based compensation 12 22 11 34 26
Acquisition and integration costs — — 2 — 3
Restructuring and other 5 16 2 21 5
Loss on extinguishment of debt 2 3 38 5 47
Fees and expenses related to amendments to the Term Loan Facility — 2 — 2 3
Adjusted EBITDA $ 240 $ 236 $ 228 $ 476 $ 445
Adjusted EBITDA margin 24.7 % 25.2 % 25.7 % 24.9 % 25.4 %



MKS Inc.
Schedule Reconciling Selected Non-GAAP Financial Measures
(In millions, except per share data)
Three Months Ended June 30, 2025 Three Months Ended March 31, 2025
Income Before Income Taxes Provision
for Income Taxes 		Effective
Tax Rate 		Income  Before Income Taxes Provision
for Income Taxes 		Effective
Tax Rate
GAAP $ 72 $ 10 13.6 % $ 59 $ 7 12.3 %
Restructuring and other 5 — 16 —
Amortization of intangible assets 62 — 60 —
Loss on extinguishment of debt 2 — 3 —
Amortization of debt issuance costs 5 — 5 —
Fees and expenses related to amendments to the Term Loan Facility — — 2 —
Tax effect of Non-GAAP adjustments — 17 — 22
Non-GAAP $ 146 $ 27 18.2 % $ 145 $ 29 19.9 %
Three Months Ended June 30, 2024
Income Before Income Taxes (Benefit)
Provision
for Income Taxes 		Effective
Tax Rate
GAAP $ 22 $ (1 ) (3.6 %)
Acquisition and integration costs 2 —
Restructuring and other 2 —
Amortization of intangible assets 61 —
Loss on extinguishment of debt 38 —
Amortization of debt issuance costs 5 —
Tax effect of Non-GAAP adjustments — 28
Non-GAAP $ 130 $ 27 20.5 %
Six Months Ended June 30, 2025 Six Months Ended June 30, 2024
Income Before Income Taxes (Benefit)
Provision
for Income Taxes 		Effective
Tax Rate 		Income  Before Income Taxes Provision
for Income Taxes 		Effective
Tax Rate
GAAP $ 131 $ 17 13.0 % $ 41 $ 4 8.9 %
Acquisition and integration costs — — 3 —
Restructuring and other 21 — 5 —
Amortization of intangible assets 122 — 123 —
Loss on extinguishment of debt 5 — 47 —
Amortization of debt issuance costs 9 — 11 —
Fees and expenses related to amendments to the Term Loan Facility 2 — 3 —
Tax effect of Non-GAAP adjustments — 38 — 46
Non-GAAP $ 290 $ 55 19.1 % $ 233 $ 50 21.7 %



MKS Inc.
Schedule Reconciling Selected Non-GAAP Financial Measures - Q3’25 Guidance
(In millions, except per share data)
Three Months Ending September 30, 2025
$ Amount Per Share
GAAP net income and net income per share $ 67 $ 0.99
Restructuring and other 4
Amortization of intangible assets 62
Loss on extinguishment of debt 2
Amortization of debt issuance costs 4
Tax effect of Non-GAAP adjustments (18 )
Non-GAAP net earnings and net earnings per share $ 121 $ 1.80
Weighted average diluted shares 67.5
GAAP operating expenses $ 318
Restructuring and other (4 )
Amortization of intangible assets (62 )
Non-GAAP operating expenses $ 252
GAAP net income 67
Interest expense, net 49
Other expense (income), net 1
Provision for income taxes 9
Depreciation 26
Restructuring and other 4
Amortization of intangible assets 62
Stock-based compensation 12
Loss on extinguishment of debt 2
Adjusted EBITDA $ 232

MKS Inc.
Notes on Our Non-GAAP Financial Information

Non-GAAP financial measures adjust GAAP financial measures for the items listed below. These Non-GAAP financial measures should be viewed in addition to, and not as a substitute for, MKS’ reported GAAP results, and may be different from Non-GAAP financial measures used by other companies. In addition, these Non-GAAP financial measures are not based on any comprehensive set of accounting rules or principles. MKS management believes the presentation of these Non-GAAP financial measures is useful to investors for comparing prior periods and analyzing ongoing business trends and operating results. Totals presented may not sum and percentages may not recalculate using figures presented due to rounding.

Acquisition and integration costs include incremental expenses incurred to effect the Atotech Acquisition. Such acquisition costs may include advisory, legal, tax, accounting, valuation, and other professional or consulting fees. Such integration costs may include expenses directly related to integration of business and facility operations, information technology systems and infrastructure and other employee-related costs.

Restructuring and other include incremental expenses incurred in connection with restructuring programs and other strategic initiatives, primarily related to changes in business and/or cost structure. Such costs may include third-party services, one-time termination benefits, facility-related costs, contract termination fees and other items that have no direct correlation to our future business operations.

Amortization of intangible assets includes non-cash amortization expense associated with intangible assets acquired in acquisitions.

Loss on extinguishment of debt includes the non-cash write-off of unamortized debt issuance costs and original issue discount costs incurred from voluntary prepayments and/or repricing of our term loan facility.

Amortization of debt issuance costs includes non-cash additional interest expense related to the amortization of debt issuance costs associated with our term loan facility.

Fees and expenses related to amendments to the Term Loan Facility includes direct third-party costs related to repricings or refinancings of our term loan facility.

Tax effect of Non-GAAP adjustments includes the impact of Non-GAAP adjustments that are tax effected at applicable statutory rates resulting in a difference between the GAAP and Non-GAAP tax rates.