Brown Capital Management, an investment management company, released its fourth quarter 2025 investor letter for “The Brown Capital Management Small Company Fund”. A copy of the letter can be downloaded here. In the fourth quarter of 2025, the Small Company Fund (Investor shares) fell 1.50%, behind the Russell 2000® Growth index's 1.22% gain. Real estate and telecommunications businesses led the benchmark's performance for the quarter. The Fund was down 11.46% in 2025, significantly lagging the Index’s 13.0 ...

分组1 - PDF Solutions (PDFS) concluded FY2025 with the release of its Q4 FY2025 report on February 12, showcasing strong financial performance [1] - The company is a provider of data solutions specifically tailored for the semiconductor industry, indicating its niche market focus [1]

Core Insights - PDF Solutions (PDFS) reported quarterly earnings of $0.3 per share, exceeding the Zacks Consensus Estimate of $0.24 per share, and showing an increase from $0.25 per share a year ago, resulting in an earnings surprise of +25.00% [1] - The company achieved revenues of $62.4 million for the quarter ended December 2025, surpassing the Zacks Consensus Estimate by 1.47% and increasing from $50.08 million year-over-year [2] - PDF Solutions shares have increased approximately 14% since the beginning of the year, outperforming the S&P 500's gain of 1.4% [3] Earnings Outlook - The future performance of PDF Solutions' stock will largely depend on management's commentary during the earnings call and the company's earnings outlook [4] - The current consensus EPS estimate for the upcoming quarter is $0.24 on revenues of $61.5 million, and for the current fiscal year, it is $1.08 on revenues of $258 million [7] Industry Context - The Computer - Services industry, to which PDF Solutions belongs, is currently ranked in the top 36% of over 250 Zacks industries, indicating a favorable outlook compared to the bottom 50% [8]

PDF Solutions (NasdaqGS:PDFS) Q4 2025 Earnings call February 12, 2026 05:00 PM ET Company ParticipantsAdnan Raza - CFOJohn Kibarian - President and CEOConference Call ParticipantsBlair Abernethy - Senior Research AnalystClark Wright - VP and Research AnalystOperatorAt this time, all participants are in listen-only mode. After the speaker's presentation, there'll be a question and answer session. To ask a question during the session, you will need to press star one one on your telephone. As a reminder, this ...

Financial Data and Key Metrics Changes - The company reported record total revenues of $219.0 million for the full year 2025, a 22% increase from $179.5 million in 2024, and Q4 revenues of $62.4 million, up 25% year-over-year from $50.1 million [15][19] - Gross margin for Q4 was 77%, and operating margin was 24%, while for the full year, gross margin was 76% and operating margin was 21%, exceeding previous long-term targets [19][23] - Earnings per share (EPS) for the full year was $0.94, reflecting a 12% growth from $0.84 in the prior year [21] Business Line Data and Key Metrics Changes - Platform revenue for Q4 was $52.5 million, up 20% year-over-year, while volume-based revenue was $9.9 million, up 58% [16] - For the full year, platform revenue was $181.0 million, a 15% increase, and volume-based revenue was $38 million, up 70% year-over-year [17] - Recurring revenue for Q4 was $61.1 million, up 62% year-over-year, and for the full year, it was $205.1 million, a 41% increase [17] Market Data and Key Metrics Changes - The semiconductor industry is projected to exceed $1 trillion in revenue, with increasing complexity in manufacturing processes driving demand for AI-driven collaboration [4][12] - The company anticipates continued growth in 2026, consistent with a long-term target of 20% CAGR, driven by increased customer activity across various segments [12][23] Company Strategy and Development Direction - The company aims to evolve from an analytics platform provider to an AI-driven collaboration platform, enhancing its offerings to meet the needs of customers in the semiconductor industry [5][11] - Strategic acquisitions, such as secureWISE, and partnerships with companies like SAP are integral to expanding the company's capabilities and market reach [7][18] - The focus for the next phase includes establishing orchestration, analytics, and data components across the industry [11][23] Management's Comments on Operating Environment and Future Outlook - Management highlighted the accelerating need for AI-driven collaboration in the semiconductor industry, with expectations for increased customer activity in 2026 [12][23] - The company is optimistic about launching advanced memory solutions and expanding its eProbe machine installations, anticipating nearly doubling the number in the field [12][23] - Management expressed confidence in achieving revenue growth consistent with long-term targets, even without inorganic growth contributions [13][23] Other Important Information - The company ended 2025 with a backlog of $254 million and generated positive operating cash flow of approximately $24 million [18][22] - Capital expenditures for 2025 were approximately $33 million, primarily related to DirectScan systems, with expectations for similar spending in 2026 [22] Q&A Session Summary Question: Clarification on DirectScan systems shipped - The company confirmed that four DirectScan systems were shipped in 2025, with a total of six currently in the field [30] Question: CapEx spending and future expectations - Management indicated that CapEx spending in 2026 is expected to be managed evenly throughout the year, with potential variations [38] Question: SAP relationship and expectations - The company continues to see increased needs for orchestration and expects to build on its partnership with SAP to enhance customer engagement [42][44] Question: Balance sheet and debt levels - Management expressed comfort with current debt levels, indicating a focus on balancing CapEx spending while gradually paying down debt [46][49] Question: Revenue methodology and growth expectations - The company provided insights into its new revenue categorization, emphasizing the importance of volume-based revenue and cross-selling opportunities with secureWISE [52][56]

Financial Data and Key Metrics Changes - The company reported record total revenues of $219.0 million for the full year 2025, a 22% increase from $179.5 million in 2024, and Q4 total revenues of $62.4 million, up 25% year-over-year from $50.1 million [15][18] - Gross margin for Q4 was 77%, and operating margin was 24%, with full-year gross margin at 76% and operating margin at 21%, exceeding prior long-term targets [19][23] - Earnings per share (EPS) for the full year was $0.94, reflecting a 12% growth from $0.84 in the previous year [20] Business Line Data and Key Metrics Changes - Platform revenue for Q4 was $52.5 million, up 20% year-over-year, while volume-based revenue was $9.9 million, up 58% [16] - For the full year, platform revenue was $181.0 million, a 15% increase, and volume-based revenue was $38 million, up 70% [17] - Recurring revenue for Q4 was $61.1 million, up 62% year-over-year, and for the full year, it was $205.1 million, a 41% increase [17] Market Data and Key Metrics Changes - The semiconductor industry is projected to exceed $1 trillion in revenue, with increasing complexity in manufacturing processes driving demand for AI-driven collaboration [4][11] - The company anticipates continued growth in 2026, consistent with a long-term target of 20% CAGR, driven by increased customer activity and demand for AI solutions [12][23] Company Strategy and Development Direction - The company is transitioning from an analytics platform provider to an AI-driven collaboration platform, focusing on orchestration systems that align operational processes and data sharing [5][6] - The acquisition of secureWISE and the development of Exensio Studio AI are key components of the company's strategy to enhance its product offerings and market position [18][21] - The company aims to expand its platform across the industry, leveraging its secureWISE and Symmetrics products for equipment control and connectivity [12][23] Management's Comments on Operating Environment and Future Outlook - Management highlighted the accelerating need for AI-driven collaboration in the semiconductor industry, with expectations for increased customer activity in 2026 [11][12] - The company is optimistic about opportunities in advanced memory and characterization systems, anticipating nearly doubling the number of eProbe machines in the field [11][12] - Management expressed confidence in achieving revenue growth consistent with long-term targets, even without inorganic growth contributions [12][23] Other Important Information - The company ended 2025 with a backlog of $254 million and positive operating cash flow of approximately $24 million [18][21] - Capital expenditures for 2025 were approximately $33 million, primarily related to DirectScan systems, with expectations for similar spending in 2026 [21][23] Q&A Session Summary Question: DirectScan systems shipment and future expectations - The company confirmed that four DirectScan systems were shipped in 2025, with a total of six currently in the field, and plans to nearly double that number in the coming year [30][31] Question: Capital expenditure outlook - The company plans to manage capital expenditures evenly throughout 2026, with a focus on maintaining subscription models for machines [36][38] Question: SAP relationship and expectations - The partnership with SAP is progressing well, with increased needs for orchestration and automation, and the company expects to build on its installed base through this collaboration [40][42] Question: Balance sheet and debt management - The company is comfortable with its current debt levels and plans to prioritize cash generation and balance sheet health before significant debt repayment [45][49] Question: Revenue methodology and growth expectations - The company has broken down revenue into recurring and upfront categories to provide better visibility, with expectations for continued growth in volume-based revenue driven by secureWISE and other products [52][54]

Exhibit 99.2 Q4 2025 and Full Year 2025 Management Report February 12, 2026 1 Contents ■ Q4 2025 and Full Year 2025 Results ■ Q4 2025 and Full Year 2025 Non-GAAP Results ■ Related Information The following commentary is provided by management and should be referenced in conjunction with PDF Solutions' Fourth Quarter and Full Year 2025 financial results press release available on its Investor Relations website at http://www.pdf.com/financial-news. These remarks represent management's current views of the Com ...

Core Viewpoint - PDF Solutions, Inc. reported record financial results for the fourth quarter and full year of 2025, highlighting significant revenue growth and strategic acquisitions to enhance its position in the semiconductor industry [6][9]. Financial Highlights of Fourth Quarter 2025 - Total revenues reached $62.4 million, a 25% increase compared to $50.1 million in the fourth quarter of 2024 [3][8]. - GAAP gross margin was 73%, up from 68% in the fourth quarter of 2024, while non-GAAP gross margin was 77%, compared to 72% in the same period [4][8]. - GAAP operating margin was 6%, an increase from 1% in the fourth quarter of 2024, and non-GAAP operating margin was 24%, up from 18% [5][8]. - GAAP net loss was $48 thousand, or $(0.00) per diluted share, compared to net income of $0.5 million, or $0.01 per diluted share, in the fourth quarter of 2024 [6][8]. - Non-GAAP net income was $12.0 million, or $0.30 per diluted share, compared to $9.9 million, or $0.25 per diluted share, in the fourth quarter of 2024 [7][8]. Financial Highlights of Full Year 2025 - Total revenues for the full year were $219.0 million, a 22% increase from $179.5 million in 2024 [3][8]. - GAAP gross margin for the year was 72%, up from 70% in 2024, while non-GAAP gross margin was 76%, compared to 74% in the previous year [4][8]. - GAAP operating margin for the year was 3%, an increase from 1% in 2024, and non-GAAP operating margin was 21%, up from 17% [5][8]. - GAAP net loss for the year was $0.6 million, or $(0.02) per diluted share, compared to net income of $4.1 million, or $0.10 per diluted share, in 2024 [6][8]. - Non-GAAP net income for the year was $37.2 million, or $0.94 per diluted share, compared to $32.6 million, or $0.84 per diluted share, in 2024 [7][8]. Strategic Developments - The company completed the acquisition of SecureWise LLC, enhancing its secure remote connectivity solutions [8]. - The CEO emphasized the strategic relevance of the PDF Solutions Platform in addressing the complexities of the semiconductor industry, particularly with the adoption of new technologies and faster development cycles [9]. - The company anticipates continued revenue growth in 2026, aligning with its long-term target of 20% annual growth [9]. Revenue Presentation Update - The company updated its revenue presentation to include "Platform" and "Volume-based" categories, reflecting its expanded product and service offerings [14][25]. - Platform revenue includes software licenses, SaaS, and engineering services, while Volume-based revenue includes Cimetrix runtime licenses and secureWISE data [15][25]. Backlog and Future Outlook - The ending backlog was reported at $254 million, indicating strong future revenue potential [8]. - The company aims to leverage its strategic acquisitions and technological advancements to maintain its growth trajectory in the semiconductor ecosystem [9].

Core Viewpoint - PDF Solutions, Inc. is set to release its fourth quarter and fiscal year 2025 financial results on February 12, 2026, with a teleconference hosted by the CEO and CFO to discuss the results [1]. Group 1: Financial Results Announcement - The financial results will be released after market close on February 12, 2026 [1]. - A live teleconference will take place on the same day at 2:00 p.m. Pacific Time / 5:00 p.m. Eastern Time [1]. Group 2: Participation Details - Analysts and investors are encouraged to pre-register for the live call to receive dial-in information and a unique passcode [2]. - Participants are advised to join the call ten minutes early [2]. Group 3: Webcast Information - The teleconference will be available via webcast on the company's website [3]. - A replay of the conference call will be accessible on the investor relations website after the call [3]. Group 4: Company Overview - PDF Solutions provides data solutions aimed at enhancing yield, quality, and operational efficiency in the semiconductor and electronics industries [4]. - The company's products are utilized by Fortune 500 companies to achieve smart manufacturing goals through data collection and advanced analytics [4]. - Founded in 1991, PDF Solutions is headquartered in Santa Clara, California, with operations in North America, Europe, and Asia [5].

Industry Overview - The Zacks Computer - Services industry includes companies providing cloud and software-based solutions, including consulting, research, security, and business support solutions [2] - Participants serve various sectors such as intelligence, defense, government agencies, banking, financial services, insurance, healthcare, and media [2] Current Trends - The shift towards remote and hybrid work is driving demand for cloud and cost-efficient business support solutions, enhancing industry growth prospects [3] - Increasing cyberattacks are creating a heightened need for cybersecurity solutions, particularly within government agencies [4] - Regulatory compliance is becoming more complex, leading to increased demand for services that help businesses adhere to governmental and industry norms [5] Industry Performance - The Zacks Computer - Services industry ranks 47, placing it in the top 19% of over 244 Zacks industries, indicating positive near-term prospects [6][7] - The industry's earnings outlook is optimistic, with a 7.7% increase in the Zacks Consensus Estimate for 2026 earnings since March 31, 2025 [8] Stock Market Performance - Over the past year, the industry has underperformed compared to the broader Zacks Computer and Technology sector and the S&P 500, with a rise of 10.7% versus 19.7% and 27.6% respectively [11] - The industry is currently trading at a forward 12-month P/E of 16.85X, lower than the S&P 500's 23.51X and the sector's 27.94X [14] Notable Companies - **PDF Solutions (PDFS)**: Focuses on data solutions for semiconductor and electronics ecosystems, benefiting from increasing complexity in manufacturing processes and investments in AI-driven collaboration [16][17] - **WidePoint (WYY)**: Provides Technology Management as a Service (TMaaS) and is positioned to benefit from a growing addressable market worth $36 billion, driven by remote work and cybersecurity needs [22][23] - **Forian (FORA)**: Offers data science-driven solutions to healthcare and financial services, with expected revenues between $28 million and $30 million for 2025, indicating a growth of 39-40% from 2024 [26][27]