• Gross Bookings (FY 2024): $65.8 million, a 13% increase from 2023.
• Revenue (FY 2024): $59.7 million, a 10% increase from 2023.
• Non-GAAP Gross Margin (FY 2024): 86%, up from 83% in 2023.
• Non-GAAP Operating Income (FY 2024): $5.5 million, compared to $4.4 million in 2023.
• Non-GAAP Net Income Per Share (FY 2024): $0.25, compared to $0.17 in 2023.
• Gross Bookings (Q4 2024): $20.3 million, a 30% increase year-over-year.
• Revenue (Q4 2024): $17.9 million, a 43% increase year-over-year.
• Non-GAAP Operating Expenses (Q4 2024): $12.8 million, up from $11.1 million in Q4 2023.
• Non-GAAP Operating Income (Q4 2024): $3.1 million, up from a loss of $1.3 million in Q4 2023.
• Non-GAAP Net Income (Q4 2024): $4.3 million, compared to a non-GAAP net loss of $1.6 million in Q4 2023.
• Diluted Non-GAAP Net Income Per Share (Q4 2024): $0.15, an improvement from a non-GAAP net loss of $0.08 in Q4 2023.
• Cash, Cash Equivalents, and Marketable Securities (End of Q4 2024): $87.5 million.
• TCAD Bookings (Q4 2024): $14.3 million, up 68% year-over-year.
• EDA Bookings (Q4 2024): $5.5 million, up 31% year-over-year.
• SIP Bookings (Q4 2024): $0.6 million, down 79% year-over-year.
• Non-GAAP Gross Margin (Q4 2024): 89%, up from 79% in Q4 2023.
• Revenue Guidance (FY 2025): $66 million to $72 million, representing an 11% to 21% increase from 2024.
• Non-GAAP Gross Margin Guidance (FY 2025): 84% to 89%.
• Non-GAAP Operating Income Guidance (FY 2025): $2 million to $7 million.
• Non-GAAP Net Income Per Share Guidance (FY 2025): $0.07 to $0.19.

Release Date: March 05, 2025

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Positive Points

• Silvaco Group Inc (NASDAQ:SVCO) reported a 13% increase in gross bookings for fiscal year 2024, reaching $65.8 million.
• Revenue for 2024 increased by 10% to $59.7 million, with a non-GAAP gross margin improvement from 83% to 86%.
• The company achieved a record quarterly revenue of $17.9 million in Q4 2024, marking a 43% year-over-year increase.
• Silvaco expanded its AI-based digital-twin modeling platform and announced a strategic partnership with Micron Global to enhance its market reach.
• The acquisition of Cadence's OPC product line is expected to expand Silvaco's SAM by $357 million, strengthening its position in advanced memory manufacturing and foundry operations.

Negative Points

• Non-GAAP operating income for 2025 is projected to decrease, with a range of $2 million to $7 million compared to $6.7 million in 2024.
• The acquisition of Cadence's OPC product line is expected to have a modest revenue impact in 2025 due to ASC 606 timing complexities.
• SIP bookings decreased by 79% in Q4 2024, reflecting challenges in renewing a key strategic resale agreement and order slowdowns in APAC.
• Operating expenses increased due to higher G&A costs related to being a public company and continued investment in R&D and sales.
• Revenue contribution from the China region is expected to remain flat or slightly decrease in 2025, maintaining the 15% to 20% range.

Q & A Highlights

Q: Can you clarify the expected revenue contribution from the acquisition of Cadence's OPC product line? A: Ryan Benton, CFO: We are not providing a specific revenue forecast for the acquisition this year due to complexities in revenue recognition. We are being cautious and expect a modest contribution, with more details to be shared in the next call.

Q: What is the expected impact on operating expenses due to the acquisition? A: Ryan Benton, CFO: The acquisition will increase operating expenses due to the costs of the team we've inherited and some first-year acquisition costs. We also plan to continue hiring to support revenue growth.

Q: How many customers are included with the acquisition, and how does it integrate with existing products? A: Babak Taheri, CEO: The acquisition includes less than 10 new customers, some of which are existing Silvaco customers. The OPC product will initially be sold as a stand-alone but will be integrated with our FTCO platform within 6 to 9 months.

Q: What is the outlook for the FTCO platform and its adoption? A: Babak Taheri, CEO: We have two customers evaluating the FTCO technology, with potential adoption for manufacturing expected in Q2 or Q3. We are working with customers in advanced CMOS and power sectors.

Q: How is Silvaco's exposure to the China market expected to change in 2025? A: Ryan Benton, CFO: We expect our revenue from China to remain flat or slightly decrease, contributing around 15% to 20% of total sales in 2025.

For the complete transcript of the earnings call, please refer to the full earnings call transcript.