AXT Inc reports Q1 2026 revenue of $26.9 million, driven by indium phosphide substrate demand for AI and data centers.
AXT Inc’s stock traded at $103.16 on May 29, reflecting a 39% year-over-year revenue increase to $26.9 million in Q1 2026. The surge was fueled by demand for indium phosphide substrates used in high-speed optical transceivers for AI and hyperscale data centers.
Indium phosphide revenue reached $13.6 million, while non-GAAP gross margin improved to 29.9% from negative levels a year earlier. The company’s backlog for indium phosphide exceeded $100 million for the first time, underscoring strong demand outpacing supply.
The company’s forward P/E ratio stands at 333.33, highlighting investor expectations for continued growth in the AI-driven semiconductor market.