PDF Solutions, Inc. (NASDAQ:PDFS) Q3 2023 Earnings Conference Call November 8, 2023 5:00 PM ET
Company Participants
John Kibarian - President and CEO
Adnan Raza - CFO
Conference Call Participants
Blair Abernethy - Rosenblatt Securities
Operator
Good day, everyone, and welcome to the PDF Solutions, Inc. Conference Call to discuss its Financial Results for the Third Quarter ending Saturday, September 30, 2023. [Operator Instructions]. As a reminder, this conference is being recorded. If you have not yet received a copy of the corresponding press release, it has been posted to PDFs website at www.pdf.com.
Some of the statements that will be made in the course of this conference are forward-looking, including statements regarding PDFs future financial results and performance, growth rates and demand for its solutions. PDFs actual results could differ materially. You should refer to the section entitled Risk Factors on Pages 15 through 29 of PDFs annual report on Form 10-K for the fiscal year ended December 31, 2022, and similar disclosures in subsequent SEC filings. The forward-looking statements and risks stated in this conference call are based on information available to PDF today. PDF assumes no obligation to update them.
Now I'd like to introduce John Kibarian, PDFs President and Chief Executive Officer; and Adnan Raza, PDFs Chief Financial Officer. Mr. Kibarian, please go ahead.
John Kibarian
Thank you for joining us on today's call. If you've not already seen our earnings press release and management report for the third quarter, please go to the Investors section of our website where each has been posted.
Before Adnan discusses the financials in detail, I have some comments about our observations from the third quarter, a summary of our Users Conference and our perceptions on the market for the remainder of the year.
The third quarter was very similar to the first two quarters of the year. Revenue was strong as we experienced continued adoption of our end-to-end analytics by our customers. Bookings in the third quarter remained weak, even while we continued to experience a high level of presales activities, particularly for larger contracts. Significant contracts that closed in the quarter include a cloud provider, multiple existing and new customers deploying Exensio Analytics on the cloud for their own production and deployment of our Characterization infrastructure for a mature node in Asia.
Bookings for Cimetrix Connectivity, run-time licenses continued to show modest improvements in Q3 versus Q2 as our customers' equipment shipments increased. Our yield ramp revenue decreased meaningfully as volumes in Asia declined and reduced gain share. Analytics revenue accelerated in the quarter because of the success of the second eProbe installed at the lead customer and increased applications deployed.