Earnings for the full year plunged from $127.3 million in FY2022 to a slight loss of $1.16 million in FY2023, dragged down by $20.9 million worth of red ink in 2HFY2023, attributed to a US$20 million ($26.7 million) settlement of a confidential arbitration.
Analysts have become more wary about AEM Holdings (SGX:AWX
) , as they cut their target prices for this former high-flying stock following the release of its earnings for FY2023 ended December 2023, citing reduced visibility on when the chip tester can resume its role riding the upcycle of the semiconductor industry. As the company is uncertain if FY2024 will see a strong comeback, they have inputted FY2025 as the year where meaningful recovery would manifest.
On Feb 28, AEM reported 2HFY2023 revenue of $206.1 million, down 36.7% y-o-y, as it continues to suffer from lower demand amid an industry downcycle. This brings full-year FY2023 revenue to $481.3 million, down 44.7% from the preceding FY2022.
