Nova Exceeds Analyst Expectations with Record Third Quarter Results

Nova, a provider of testing systems for chip manufacturing processes, has surpassed both analyst forecasts and its own previous guidance, reporting record third-quarter results. The company announced revenues of approximately $288 million, a 28% increase compared to the same quarter last year. Net profit surged by 46.5% to $90 million, with Non-GAAP net profit reaching $98.4 million, a 40.6% rise. Earnings per share were $2.86, exceeding analyst expectations by six cents. Nova also saw an improvement in its operating profit margin (Non-GAAP) to 36%, up from 32%-33% in the prior year and previous quarter. The company highlighted record revenues in advanced packaging solutions and memory chip sectors during the third quarter. Year-to-date revenues totaled around $778 million, an 18.3% increase over the same period in 2025. Nova generated $219 million from current operations and ended the quarter with approximately $1.8 billion in cash and short-term investments, against a long-term debt of $735 million. Looking ahead, Nova provided a positive outlook for the fourth quarter, projecting revenues between $305 million and $315 million, which is higher than analyst predictions. This would bring the company's full-year 2026 revenues close to $1.1 billion, a projected growth of about 23.5% from the previous year. Nova anticipates a Non-GAAP net profit of $3.03-$3.18 per share for the fourth quarter. Gabi Wiesman, President and CEO of Nova, stated, "We delivered an exceptional third quarter, with record results in revenue and profitability, while expanding our presence in the most significant growth areas of the semiconductor industry." He added that the record revenues in memory and advanced packaging, along with strong demand from processor clients, reflect the current investment cycle and the growing adoption of Nova's solutions for critical applications. Wiesman expressed confidence in the company's ability to leverage opportunities arising from the transition to advanced technologies in the industry. Despite these strong results, Nova's stock has lost over half its value since reaching an all-time high in June, and its market capitalization was $9.4 billion prior to the earnings release.