Photronics Inc., a leading photomask manufacturer, witnessed a remarkable surge in its stock price during pre-market trading on Wednesday. The company's shares soared by 21.68%, reflecting investors' optimism following its impressive fourth-quarter financial results and upbeat outlook for the future.

In the fourth quarter of fiscal 2024, Photronics reported revenue of $222.6 million, surpassing analysts' expectations and marking a 6% sequential increase. The company's non-GAAP earnings per share (EPS) of $0.59 also exceeded analysts' estimates, showcasing its ability to drive profitability despite challenging market conditions.

The strong performance was fueled by favorable photomask demand trends and robust sales growth in both the integrated circuits (IC) and flat panel displays (FPD) segments. Photronics attributed the sequential revenue growth to strong high-end sales, particularly in the U.S., for IC and mainstream demand for FPD.

Looking ahead, the company provided an upbeat outlook for the first quarter of fiscal 2025, forecasting revenue in the range of $208 million to $216 million and non-GAAP EPS between $0.43 and $0.49. This positive guidance, coupled with Photronics' competitive advantages and market leadership, bolstered investor confidence in the company's growth prospects.