Earnings Drive Axcelis (NASDAQ:ACLS): Nearly a New 52-Week High

Earnings always drives a stock and just like Jim Cramer says on CNBC’s Mad Money… Trade on earnings and not before them. Looks like some traders are following this strategy today with shares of Axcelis Technologies (NASDAQ:ACLS) jumping 20 percent to $2.55 per share on heavy volume. In late trading, Axcelis shares are up on volume of nearly 3 million shares compared to its average daily volume of 674,000 shares. The semiconductor solutions provider has a market cap of $260 million and a 52-week range between $0.80 and $2.58 per share and released its third quarter results yesterday.

Axcelis reported third quarter revenue of $75.1 million, compared to $58.2 million for the second quarter of 2010, a 29% increase over the prior quarter. Net loss for the quarter was $6.3 million, or ($0.06 per share), of which $1.5 million ($0.01 per share) is attributable to non-cash foreign exchange losses. This compares to a net loss for the second quarter of 2010 of $4.5 million, or ($0.04 per share).

Loss from operations improved 6.6% over the second quarter. The Company reported a 77% increase in systems revenues and a 48% jump in systems orders over the previous quarter. Cash and cash equivalents, including restricted cash, were $52.9 million at September 30, 2010. The Company ended the quarter with working capital of $156.0 million.

"Momentum across our product lines continues to build. Ongoing innovation in ion implantation and plasma cleaning technology has propelled significant growth in our revenues and orders across all industry segments," said Mary Puma, chairman and CEO of Axcelis. "Our outstanding win rate demonstrates that customers see value in our combination of enabling process technology and industry leading productivity. We're confident this will continue to translate into market share gains. Our strategy and business model support a return to profitability beginning with the fourth quarter of 2010."

Axcelis headquartered in Beverly, Massachusetts, provides innovative, high-productivity solutions for the semiconductor industry. Axcelis is dedicated to developing enabling process applications through the design, manufacture and complete life support of ion implantation and cleaning systems.

The company's Internet address is: www.axcelis.com.