Intevac sees FY25 revenue $52M-$55M

The company said, “As previously announced on the Company’s Third Quarter earnings call, Intevac (IVAC) has made a strategic shift from its TRIO technology (“TRIO”) to focus on the Hard Disk Drive (“HDD”) sector. This was the result of TRIO not meeting the Company’s expected performance and market penetration, and as a consequence, the Company has decided to close the TRIO business and impair the remaining assets. This rightsizing has been completed with Intevac recording a one-time charge of up to $35 million consisting of the following: Up to $1.0 million in cash charges, consisting of severance payments and purchase order commitments. Up to $34 million in non-cash charges, consisting of inventory, fixed assets, intangible assets and facilities costs.The Company anticipates that this restructuring will materially strengthen its profitability, with annualized savings being realized in 2025. Intevac is a critical supplier to the HDD industry. The restructuring will allow Intevac to both increase efficiency and streamline complexity as it strengthens its core HDD business in anticipation of HAMR being adopted industry wide. This industry adoption of HAMR is driven by data center growth fueled by the cloud and AI, and the Company expects growth in HDD moving forward.”