1 unchanged sentence
Risks Related to Our Business and Industry
−Removed: Set forth below and elsewhere in this Form 10-K and in other documents we file with the SEC are risks and uncertainties that could cause actual results to differ materially from the results contemplated by the forward-looking statements contained in this Form 10-K.
+Added: Set forth below and elsewhere in this Annual Report on Form 10-K and in other documents we file with the SEC are risks and uncertainties that could cause actual results to differ materially from the results contemplated by the forward-looking statements contained in this Annual Report on Form 10-K.
It is not possible to predict or identify all such risk factors.
30 unchanged sentences
Entity List in 2020, we are required to obtain export control licenses to ship to mature process SMIC fabs, which to date, we have been able to obtain.
−Removed: Another chipmaker, YMTC, was placed on the Entity List in 2022, without a similar policy allowing licensed shipments.
−Removed: A new export controls regulatory framework was issued by the U.S.
−Removed: in October 2022 that limits all semiconductor equipment shipments to Chinese customers who are producing or developing logic, DRAM and NAND chips meeting specific advanced parameters.
+Added: Other chipmakers have been placed on the Entity List, without a similar policy allowing licensed shipments.
+Added: A new export controls regulatory framework issued by the U.S.
+Added: in October 2022 and supplemented in October 2023, prohibits all semiconductor equipment shipments to Chinese customers (other than certain multi-nationals) who are producing or developing logic, DRAM and NAND chips meeting specific advanced parameters.
While these regulations have further excluded exports to certain Chinese customers, we currently are able to continue to ship to the majority of our Chinese customers.
−Removed: In general, however, continuing revenue from Chinese customers is at higher risk than continuing revenue form customers in some other international locations because of trade tensions between the United States government and the Chinese government, and other challenges reflecting China’s stage of development, including public health concerns and rapid growth.
+Added: In general, however, continuing revenue from Chinese customers is at higher risk than continuing revenue form customers in some other international locations because of trade tensions between the United States government and the Chinese government, and other challenges reflecting China’s stage of development and rapid growth.
Increased U.S.
9 unchanged sentences
● political and economic instability;
−Removed: ● global health emergencies, such as the COVID-19 pandemic, which have the potential to disrupt our manufacturing operations and those of our supply chain, as well as cause our customers to delay or cancel shipments;
+Added: ● global health emergencies, such as pandemics, which have the potential to disrupt our manufacturing operations and those of our supply chain, as well as cause our customers to delay or cancel shipments;
● difficulties in accounts receivable collections;
31 unchanged sentences
None of our customers have entered into a long- term agreement requiring it to purchase our products.
−Removed: One of our largest customers, SMIC, is based in China, which is subject to U.S.
−Removed: export controls risks, discussed above.
+Added: Our customers located in China represent a significant portion of our revenue, and are subject to U.S.
+Added: export controls restrictions, as discussed above.
Although the composition of the group comprising our largest customers has varied from year to year, the loss of a significant customer or any reduction or delays in orders from any significant customer will adversely affect us.
5 unchanged sentences
factory in U.S.
−Removed: However, the aftermarket revenues of our non-U.S.
−Removed: subsidiaries, and most of the operating expenses of these non-U.S.
+Added: Aftermarket revenues of our non-U.S.
+Added: subsidiaries are denominated in both local currency and U.S.
+Added: The majority of operating expenses of these non-U.S.
subsidiaries, are received and incurred in local currencies.
7 unchanged sentences
dollars will increase or decrease relative to the local currency based on changes in the exchange rate between the two currencies over the period.
−Removed: As a result, any unplanned non-cash gains or losses are recorded in the Company’s consolidated financial statements.
−Removed: Accordingly, fluctuations in exchange rates can
−Removed: impact reported revenues, expense, and profitability and asset values in our Consolidated Financial Statements.
+Added: result, any unplanned non-cash gains or losses are recorded in the Company’s consolidated financial statements.
+Added: Accordingly, fluctuations in exchange rates can impact reported revenues, expense, and profitability and asset values in our Consolidated Financial Statements.
During the year ended December 31, 2023, approximately 5.8% of our revenue was derived in local currencies from foreign operations with this inherent risk.
40 unchanged sentences
This data includes confidential information belonging to Axcelis, our employees or our customers or other business partners, some of which is personally-identifiable information of individuals.
−Removed: As reported in the 2022 Verizon Data Breach Investigation Report, cyber-attacks in the manufacturing industries are largely financially motivated, although business espionage is the objective in a strong majority of the incidents.
+Added: As reported in the 2023 Verizon Data Breach Investigation Report, cyber-attacks in the manufacturing industries are almost entirely financially motivated.
Axcelis has been and expects to continue to be subject to cybersecurity threats and incidents, including through employee error or misuse;
6 unchanged sentences
We continually replace less secure legacy systems to improve internal and external cyber defenses and maintain a cyber incident response plan including reporting and recovery processes.
−Removed: As discussed in our proxy statement, the full Board of Directors receive quarterly reports on cybersecurity risks and annual reports on management initiatives to promote cybersecurity.
+Added: See Item IC “Cybersecurity” below.
+Added: In addition, as discussed in our proxy statement, the Audit Committee and the full Board of Directors receive quarterly reports on cybersecurity risks and annual reports on management initiatives to promote cybersecurity.
However, depending on their nature and scope, cybersecurity incidents could result in business disruption;
22 unchanged sentences
Our financial condition and results of operations could be adversely affected by global pandemics.
−Removed: Global pandemics, such as COVID-19, cause disruptions and restrictions on our operations and ability to travel, and similar disruptions and restrictions impacting our suppliers or customers could adversely affect our sales and operating results.
+Added: Global pandemics, such as COVID-19, have in the past and may again in the future cause disruptions and restrictions on our operations and ability to travel, and similar disruptions and restrictions impacting our suppliers or customers could adversely affect our sales and operating results.
Axcelis’ products rely on an extensive global supply chain, and shortages of certain parts could impact our ability to meet customers’ shipment expectations, negatively affecting our revenues.
45 unchanged sentences
The trading price of our common stock in the past has been significantly volatile, and we cannot accurately predict every potential risk that may materially and adversely affect our stock price.
−Removed: Unresolved Staff Comments.
Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.