Company: AEHR
Filing Date: 2025-01-13
Form Type: 10-Q
Source: 0001654954-25-000285
Chunk: 45

Company: AEHR TEST SYSTEMS
Filing Date: 2025-01-13
Form: 10-Q
Item: Part I, Item 2
Chunk 45
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, primarily due to a decline in shipments of our systems driven by the continued softness in the power semiconductor demand for electric vehicles. This was partially offset by an increase in revenue in the United States, driven by contributions from Incal customers. 

Gross Margin

Gross Profit by Category Three Months Ended      Six Months Ended       November 29,   November 30,   Percent  November 29,   November 30,   Percent (Dollars in thousands) 2024  2023  Change  2024  2023  Change Products $4,559  $10,130  (55%)  $11,295  $19,568  (42%) Services  841   828   2%  1,183   1,371  (14%)Gross profit $5,400  $10,958  (51%)  $12,478  $20,939  (40%)                        Gross Margin by Category                       Product  38.0%  51.1%      46.8%  49.9%   Services  57.3%  51.9%      48.6%  47.9%   Gross margin  40.1%  51.1%      47.0%  49.8%   

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Gross profit decreased to $5.4 million for the three months ended November 29, 2024 from $11.0 million for the three months ended November 30, 2023. Gross margin decreased to 40.1% for the three months ended November 29, 2024 from 51.1% for the three months ended November 30, 2023. The decrease in gross margin of 11.0 percentage points was primarily due to the amortization of acquired intangible assets, the acquisition related fair value adjustment to inventory, lower system shipments leading to reduced manufacturing efficiencies, and a change in product mix.

Gross profit decreased to $12.5 million for the six months ended November 29, 2024 from $20.9 million for the six months ended November 30, 2023. Gross margin decreased to 47.0%