Photronics, Inc. (NASDAQ:PLAB) Q1 2023 Results Conference Call February 22, 2023 8:30 AM ET

Company Participants

Richelle Burr - Chief Administrative Officer

Frank Lee - Chief Executive Officer

John Jordan - Chief Financial Officer

Chris Progler - Chief Technology Officer

Eric Rivera - Chief Accounting Officer and Corporate Controller

Conference Call Participants

Thomas Diffely - D.A. Davidson

Operator

Good day, and thank you for standing by. Welcome to the Photronics First Quarter Fiscal 2023 Earnings Call. [Operator Instructions] Please be advised that today's conference is being recorded.

I would now like to turn the conference over to Richelle Burr, Chief Administrative Officer.

Richelle Burr

Thank you, Rivka. Good morning, everyone. Welcome to our review of Photronics' fiscal 2023 first quarter results. Joining me this morning are Frank Lee, our Chief Executive Officer; John Jordan, our Chief Financial Officer; Chris Progler, our Chief Technology Officer; and Eric Rivera, our Chief Accounting Officer and Corporate Controller.

The press release we issued on Monday, together with the presentation material that accompanies our remarks, are available on the Investor Relations section of our web page. Comments made by any participant on today's call may include forward-looking statements that include such words as anticipate, believe, estimate, expect, forecast, or in our view. These forward-looking statements are based upon a number of risks, uncertainties and other factors that are difficult to predict. Actual results may differ materially from those expressed or implied, and we assume no obligation to update any forward-looking information.

During the course of our discussion, we will refer to certain non-GAAP financial metrics. These numbers are useful for analysts, investors and management to evaluate ongoing performance. A reconciliation of these metrics to GAAP financial results is provided in our presentation materials.

At this time, I would like to turn the call over to Frank.

Frank Lee

Thank you, Richelle, and good morning, everyone. I'm pleased to report we achieved revenue of $211.1 million in Q1, which exceeded our expectations. This was against a backdrop of macro challenges and uncertain industry conditions, showing that Photronics was able to navigate a difficult environment very well.

Indeed, the IC photomask market has been mixed, with strong demand in certain nodes and softening demand in others. On the positive side, we received strong order flow from Asian foundries for mid-range nodes, from 65 to 45 nanometer, mainly for the smart card, LED driver, automotive, image sensor, IoT and other specific applications.