10-KPeriod: FY2025

ENTEGRIS INC Annual Report, Year Ended Dec 31, 2025

Filed February 11, 2026For Securities:ENTG

Summary

Entegris, Inc. (ENTG) reported fiscal year 2025 results reflecting a slight decrease in net sales to $3.20 billion from $3.24 billion in 2024, primarily due to the divestiture of the PIM business and a general softening in semiconductor market demand. Despite this, the company continues to focus on its core Materials Solutions (MS) and Advanced Purity Solutions (APS) segments, which are critical enablers for the semiconductor industry's ongoing transition to more advanced nodes and complex device architectures. The company has strategically streamlined its operations through various divestitures in recent years, sharpening its focus on high-growth areas within the semiconductor ecosystem. Entegris' business model, characterized by unit-driven and recurring revenue from consumables, positions it to benefit from long-term secular demand for semiconductors, driven by trends like AI and high-performance computing. Management's commitment to R&D, evidenced by significant investment, aims to maintain technological leadership and support customers in integrating new materials and achieving higher yields in increasingly complex manufacturing processes.

Financial Highlights

53 data points
Beta

Revenue

$3.20B

44.4% Gross Margin

Net Income

$235.60M

7.4% Net Margin

EPS (Diluted)

$1.55

Total Assets

$8.35B

Cash & Equivalents

$360.40M

Free Cash Flow

$396.20M

Financial Statements
Beta
Revenue$3.20B
Cost of Revenue$1.78B
Gross Profit$1.42B
R&D Expenses$329.00M
SG&A Expenses$450.60M
Operating Expenses$716.90M
Operating Income$455.90M
Net Income$235.60M
EPS (Basic)$1.55
EPS (Diluted)$1.55
Shares Outstanding (Basic)151.70M
Shares Outstanding (Diluted)152.20M

Key Highlights

  • 1Net sales for fiscal year 2025 were $3.1966 billion, a slight decrease of 1% from $3.2412 billion in 2024, influenced by divestitures and a general decrease in semiconductor market demand.
  • 2The company continues to focus on its two core segments: Materials Solutions (MS) and Advanced Purity Solutions (APS), which are critical to semiconductor manufacturing.
  • 3Entegris has strategically divested non-core businesses (QED, Electronic Chemicals, Pipeline and Industrial Materials) to focus on core competencies and high-growth semiconductor markets.
  • 4Engineering, Research & Development (ER&D) expenses increased to $329.0 million (10.3% of net sales) in 2025 from $316.1 million (9.8% of net sales) in 2024, highlighting continued investment in innovation.
  • 5The company's customer base remains concentrated, with the top ten customers accounting for 50% of net sales in 2025, underscoring the importance of key customer relationships.
  • 6Net income decreased to $235.6 million in 2025 from $292.8 million in 2024, with diluted EPS at $1.55 in 2025 compared to $1.93 in 2024.
  • 7The company expects capital expenditures of approximately $250.0 million in 2026, indicating ongoing investment in its operational capabilities.

Frequently Asked Questions

The decrease in net sales for fiscal year 2025 was primarily attributed to the absence of sales from the divested Pipeline and Industrial Materials (PIM) business, which contributed $33.9 million, and a $14.2 million reduction in sales mainly due to decreased semiconductor market demand compared to the prior year. Favorable foreign currency translation effects partially offset these decreases.

Entegris is positioned to benefit from long-term semiconductor demand driven by AI and high-performance computing through its critical materials and process solutions. The company's advanced deposition materials, ion implantation specialty gases, CMP slurries, and advanced purity solutions are essential for manufacturing the faster, more powerful, and more compact semiconductors required for these emerging applications.

Entegris has strategically streamlined its portfolio by divesting non-core businesses such as QED Technologies, its Electronic Chemicals (EC) business, and its Pipeline and Industrial Materials (PIM) business. This focus allows the company to concentrate on its core Materials Solutions (MS) and Advanced Purity Solutions (APS) segments, which are critical to the semiconductor industry's advanced manufacturing processes and technology roadmaps.

Entegris actively works to secure diverse sources for its raw materials. However, it acknowledges reliance on single, sole, or limited-source suppliers for certain critical materials. The company enters into multi-year supply agreements to ensure supply assurance and cost control, while also recognizing the time and cost involved in qualifying alternative suppliers or materials due to customer and technical requirements.