KLICKulicke and Soffa Industries, Inc.
Is the business good?
The checks split: margins widening, but thin cash backing (0.5×).
Operating profit outpaces operating cash flow, watch accruals and working capital.
Operating margin has widened over the past few years, the business is getting more profitable per dollar of sales.
A balanced mix of margins, efficiency, and leverage. ROE 3% = margin × turnover × leverage.
Unless marked, from derived.
Where this answer is blind. The F-score rewards improvement, so an already-elite company can score mid-pack.
How good a business is KLIC?
Kulicke and Soffa Industries, Inc. earns 25% on the capital it employs against a 9.0% cost of capital, so the business is worth more the bigger it gets.
Return on invested capital · cost of capital 9.0% · 16 points above what the capital costs: growth creates value
- Operating margin
- 13%
Operating margin · Semiconductor Equipment & Materials median 11% · 12 months to Q3 2026
- Cash conversion
- 0.55×
Cash conversion · the operating profit has not turned into cash yet
- Share count, year on year
- +1.4%
Share count, year on year · shareholders own a smaller slice than a year ago
| Year | Operating margin |
|---|---|
| FY2020 | 9.4% |
| FY2021 | 27% |
| FY2022 | 31% |
| FY2023 | 5.3% |
| FY2024 | −13% |
| FY2025 | −0.49% |
Details›
- Gross margin12 months to Q3 2026
- 48%
- Operating margin12 months to Q3 2026
- 13%
- Net margin12 months to Q3 2026
- 12%
- Free cash flow margin
- 4.3%
- R&D as % of revenue
- 17%
- Revenue, trailing twelve months
- $950M
- Free cash flow, trailing twelve months
- $41M
- Net income, trailing twelve months
- $116M
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 25%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion is operating cash flow over operating profit after tax.
Semiconductor Equipment & Materials
Ranks #6 of 18 by RyuScore