$MKSI · MKS INC
MKS Inc. reported Q3 FY2026 results (quarter ended September 30, 2026) with record revenue of $1,413M, up 43% YoY from $988M, and record GAAP net income of $236M ($3.26 diluted EPS). Non-GAAP net earnings were $292M ($4.18 diluted EPS), with Adjusted EBITDA of $434M. Semiconductor revenue grew 54% YoY to $638M. The Board also adopted amended bylaws lowering the special-meeting threshold from 40% to 25% and approved a new $500M share repurchase program replacing the prior 2011 program.
- Record Q3 revenue of $1,413M, above the high end of guidance.
- GAAP diluted EPS of $3.26 and non-GAAP EPS of $4.18, both record and above guidance.
- Semiconductor revenue grew 54% YoY to $638M; Electronics & Packaging up 43% to $415M.
- New $500M share repurchase program approved, replacing the 2011 program with ~$28M remaining.
- Convertible notes became convertible in Q4 2026 and were reclassified as short-term debt of $1,400M.
Extended-hours last trade of $208.00, up +6.69% vs the $194.95 regular close, reflecting a positive reaction to the beat and buyback. Regular session had closed down -4.99% before the release.
A record quarter with broad-based beat across all segments plus a fresh $500M buyback signals accelerating AI-era demand and shareholder-return commitment.
Semiconductor equipment and advanced-packaging suppliers are benefiting from AI-driven demand; MKS's 54% Semiconductor growth and 43% Electronics & Packaging growth underscore that tailwind.
Convertible senior notes are now convertible at noteholder option in Q4 2026, reclassifying $1.4B to short-term debt and potentially pressuring the balance sheet. Guidance excludes the pending Ophir Optics sale and assumes current tariff conditions.