AXCELIS TECHNOLOGIES INC

We are primarily a producer of ion implantation equipment used in the fabrication of semiconductor chips in the United States, Europe, and Asia. In addition, we provide extensive worldwide aftermarket service and support, including spare parts, equipment upgrades and maintenance services to the semiconductor industry. Our product development and manufacturing activities currently occur primarily in the United States and South Korea. Our equipment and service products are highly technical and are sold through a direct sales force in the United States, Europe, and Asia. Consolidation and partnering within the semiconductor manufacturing industry has resulted in a small number of customers representing a substantial portion of our business. Our ten largest customers accounted for 54.8% of total revenue for the three months ended March 31, 2024.

The first three months of 2024 exhibited continued strong demand for our capital equipment. The overall mature process segment represented 99% of our shipped systems revenue, with 1% of shipments to dynamic random-access memory (“DRAM”). Power device shipments comprised 55% of total systems revenue with the general mature segment representing 41%, and image sensors at 3%. Looking ahead, we expect that the general mature process technology markets may improve in the second half of 2024, and DRAM and “Not AND” memory segments are forecast to have a strong year in 2025.