Aehr Test Systems (NASDAQ:AEHR), a supplier of semiconductor test and burn-in equipment, stock rose 16.52% (As on April 9, 1:31:27 AM UTC-4, Source: Google Finance) after the company reported better-than-expected third-quarter results. The company reported a shift in its revenue mix, with silicon carbide wafer level burn-in (WLBI) accounting for less than 40% of business this year, down from over 90% in fiscal 2024. Artificial intelligence (AI) processors burn-in now represents over 35% of Aehr’s business in its first year. Bookings for the quarter stood at $24.1 million, with the backlog reaching $18.2 million as of February 28, 2025. Effective backlog, including bookings since February 28, 2025, is $21.8 million. The company’s total cash and equivalents were $31.4 million at the end of the quarter, compared to $35.2 million as of November 29, 2024. Despite the positive results, Aehr has temporarily withdrawn its fiscal 2025 guidance due to ongoing tariff uncertainty and potential impacts on customers and supply chains. The company plans to reassess its guidance policy as the situation becomes clearer.

Meanwhile, during the quarter, the company qualified, received orders for, and shipped the world’s first production WLBI systems specifically designed for AI processors. The new high-power FOX-XPTM WLBI system can test up to nine 300mm AI processor wafers simultaneously. This new customer ordered multiple FOX-XP systems and sets of Aehr proprietary WaferPakTM full wafer Contactors for installation at their Outsourced Assembly and Test House (OSAT/Test House.) Aehr has worked with this OSAT/Test House for many years including working on WLBI of silicon photonics devices and optical sensors on the FOX systems and on PPBI of AI processors and ASICs on the Sonoma ultra-high-power test and burn-in systems. Aehr is the only company on the market that offers both a WLBI system as well as a PPBI system for both qualification test and production screening and burn-in of AI processors. Another new market for Aehr is adding production PPBI for AI processors in addition to AI processor qualification burn-in. The company have shipped multiple Sonoma production burn-in systems this year to a world-leading hyperscaler for production PPBI of their AI application-specific processors and expect to complete installations of the initial order by the end of the current quarter.

AEHR in the third quarter of FY25 has reported the adjusted earnings per share of 7 cents, beating the analysts’ estimates for the adjusted earnings per share of 4 cents. The company had reported the adjusted revenue of $18.31 million in the third quarter of FY25, beating the analysts’ estimates for revenue of $17.85 million.