Aehr Test Systems (AEHR) Q4 2026: Record Bookings and Backlog — Strong Growth Ahead

Aehr Test Systems (NASDAQ: AEHR) reported its fiscal 2026 fourth quarter results, showcasing a significant turnaround compared to the previous year. The company achieved net revenue of $18.8 million, reflecting an increase of $4.7 million or +33% year-over-year from $14.1 million in Q4 fiscal 2025. This performance is a strong indicator of Aehr's recovery and growth trajectory.

In terms of profitability, Aehr reported a GAAP net income of $1.4 million, or $0.04 per diluted share, compared to a GAAP net loss of $(2.9) million, or $(0.10) per diluted share, in the same quarter last year. This marks a substantial improvement in financial health and operational efficiency.

Analyst View

This quarter is a positive development for shareholders, as it not only demonstrates a solid revenue increase but also a return to profitability after a loss in the prior year. The record bookings of $60.7 million and an effective backlog of $100.6 million provide substantial visibility into future revenue streams, particularly as the company anticipates fiscal 2027 revenues to range between $130 million and $150 million, representing a remarkable 160% to 200% year-over-year growth.

Key Financial Metrics

• Q4 Fiscal 2026:
• Net Revenue: $18.8 million (up from $14.1 million in Q4 FY 2025)
• GAAP Net Income: $1.4 million ($0.04 per diluted share) vs. GAAP Net Loss: $(2.9) million ($(0.10) per diluted share)
• Non-GAAP Net Income: $3.6 million ($0.11 per diluted share) vs. Non-GAAP Net Loss: $(0.2) million ($(0.01) per diluted share)
• Record Bookings: $60.7 million
• Effective Backlog: $100.6 million
• Total Cash and Cash Equivalents: $116.5 million (up from $37.1 million on February 27, 2026)
• Fiscal Year 2026:
• Net Revenue: $50.0 million (down from $59.0 million in FY 2025)
• GAAP Net Loss: $(7.1) million ($(0.23) per diluted share) vs. $(3.9) million ($(0.13) per diluted share) in FY 2025
• Non-GAAP Net Income: $0.9 million ($0.03 per diluted share) vs. $4.6 million ($0.15 per diluted share) in FY 2025
• Cash Used in Operating Activities: $3.3 million

Strategic Developments

Aehr's management highlighted the strong demand for its wafer-level burn-in (WLBI) solutions, particularly from AI-related applications. The company is experiencing increased capacity needs from its lead AI production customer, which is shifting its burn-in processes to wafer-level for enhanced reliability. Additionally, Aehr has secured approximately $8 million in new orders for silicon carbide WLBI WaferPaks, driven by the acceleration of global electric vehicle programs.

Forward Guidance

Looking ahead, Aehr expects total company revenue for fiscal year 2027 to be between $130 million and $150 million, with non-GAAP net income projected to be 18% to 22% of total revenue. This optimistic outlook is based on the current effective backlog and anticipated customer demand, indicating a robust growth trajectory.

Conclusion

Investors should closely monitor Aehr Test Systems as it enters fiscal 2027 with a record backlog and strong customer demand. The anticipated revenue growth, coupled with the company's strategic positioning in the semiconductor testing market, particularly for AI and automotive applications, suggests a promising future for shareholders. The upcoming quarters will be critical in assessing the realization of this growth potential.

Note: All amounts are in thousands.

AEHR TEST SYSTEMS CONSOLIDATED STATEMENTS OF INCOME	Fourth Quarter Ended	Year Ended
(In thousands)	May 29, 2026	May 30, 2025
Net revenue	$18,839	$50,016
Cost of revenue	(10,312)	(32,755)
Gross profit	8,527	17,261
Operating expenses	(7,961)	(19,478)
Income (loss) from operations	566	(217)
Other income (expense), net	(1,161)	(3,655)
Income (loss) before income taxes	(595)	(3,872)
Income tax benefit	1,271	2,016
Net income (loss)	$676	$(1,856)
Net income (loss) per share, basic	$0.04	$(0.23)
Weighted-average shares used to compute net income (loss) per share	17,170	8,067

Note: All amounts are in thousands.

AEHR TEST SYSTEMS CONSOLIDATED BALANCE SHEETS	May 29, 2026	May 30, 2025
(In thousands, except par value)
Cash and cash equivalents	$116,358	$24,529
Accounts receivable	17,473	14,191
Inventories	41,354	41,997
Prepaid expenses and other current assets	9,263	8,061
Total current assets	184,448	88,778
Property and equipment, net	8,940	8,969
Goodwill	10,719	10,719
Intangible assets, net	9,552	10,781
Deferred tax assets, net	23,829	19,114
Operating lease right-of-use assets	8,901	9,601
Other non-current assets	305	546
Total assets	$246,694	$148,508
LIABILITIES AND SHAREHOLDERS’ EQUITY
Current liabilities:
Accounts payable	6,754	6,728
Accrued expenses and other current liabilities	5,283	6,020
Operating lease liabilities, short-term	626	909
Deferred revenue, short-term	5,192	1,981
Total current liabilities	17,855	15,638
Operating lease liabilities, long-term	9,256	9,921
Deferred revenue, long-term	34	36
Other long-term liabilities	38	42
Total liabilities	27,183	25,637
Shareholders’ equity:
Preferred stock, $0.01 par value	-	-
Common stock, $0.01 par value	325	299
Additional paid-in capital	249,477	145,758
Accumulated other comprehensive loss	(105)	(126)
Accumulated deficit	(30,186)	(23,060)
Total shareholders' equity	219,511	122,871
Total liabilities and shareholders' equity	$246,694	$148,508

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