Stockholders' Equity

9 Months Ended

Sep. 30, 2024

Stockholders' Equity

Stockholders' Equity

Note 8. Stockholders’ Equity

Condensed Consolidated Statements of Stockholders’ Equity

(in thousands)

The changes in stockholders’ equity by component for the three and nine months ended September 30, 2024 are as follows:

									Accumulated
									Other		AXT, Inc.				Total
	Preferred		Common		Additional		Accumulated		Comprehensive		Stockholders’		Noncontrolling		Stockholders’
	Stock		Stock		Paid-In Capital		Deficit		Income (Loss)		Equity		Interests		Equity
Balance as of December 31, 2023	$	3,532	$	44	$	238,452	$	(32,040)	$	(5,999)	$	203,989	$	23,494	$	227,483
Common stock options exercised		—		—		20		—		—		20		—		20
Noncontrolling interest portion of Tongmei stock-based compensation		—		—		(24)		—		—		(24)		13		(11)
Stock-based compensation		—		—		614		—		—		614		—		614
Tongmei stock-based compensation		—		—		195		—		—		195		—		195
Net loss		—		—		—		(2,083)		—		(2,083)		106		(1,977)
Other comprehensive loss		—		—		—		—		(1,627)		(1,627)		(187)		(1,814)
Balance as of March 31, 2024	$	3,532	$	44	$	239,257	$	(34,123)	$	(7,626)	$	201,084	$	23,426	$	224,510
Common stock options exercised		—		—		5		—		—		5		—		5
Noncontrolling interest portion of Tongmei stock-based compensation		—		—		(15)		—		—		(15)		7		(8)
Stock-based compensation		—		—		621		—		—		621		—		621
Tongmei stock-based compensation		—		—		94		—		—		94		—		94
Net loss		—		—		—		(1,516)		—		(1,516)		316		(1,200)
Other comprehensive loss		—		—		—		—		(601)		(601)		(69)		(670)
Balance as of June 30, 2024	$	3,532	$	44	$	239,962	$	(35,639)	$	(8,227)	$	199,672	$	23,680	$	223,352
Common stock options exercised		—		1		2		—		—		3		—		3
Noncontrolling interest portion of Tongmei stock-based compensation		—		—		(14)		—		—		(14)		7		(7)
Stock-based compensation		—		—		723		—		—		723		—		723
Tongmei stock-based compensation		—		—		97		—		—		97		—		97
Net loss		—		—		—		(2,937)		—		(2,937)		190		(2,747)
Other comprehensive income		—		—		—		—		3,189		3,189		372		3,561
Balance as of September 30, 2024	$	3,532	$	45	$	240,770	$	(38,576)	$	(5,038)	$	200,733	$	24,249	$	224,982

Net income (loss) and Other comprehensive income (loss) attributable to redeemable noncontrolling interests were ($140,000) and $376,000, respectively, for the three months ended September 30, 2024 and ($210,000) and $118,000, respectively, for the nine months ended September 30, 2024 and are not shown in the table above.

The changes in stockholders’ equity by component for the three and nine months ended September 30, 2023 are as follows:

									Accumulated
									Other		AXT, Inc.				Total
	Preferred		Common		Additional		Accumulated		Comprehensive		Stockholders’		Noncontrolling		Stockholders’
	Stock		Stock		Paid-In Capital		Deficit		Income (Loss)		Equity		Interests		Equity
Balance as of December 31, 2022	$	3,532	$	44	$	235,308	$	(14,159)	$	(3,118)	$	221,607	$	23,293	$	244,900
Common stock options exercised		—		—		8		—		—		8		—		8
Investment in subsidiary with noncontrolling interest		—		—		(36)		—		—		(36)		239		203
Investment in subsidiary with redeemable noncontrolling interest		—		—		(36)		—		—		(36)		—		(36)
Noncontrolling interest portion of Tongmei stock-based compensation		—		—		33		—		—		33		(16)		17
Stock-based compensation		—		—		717		—		—		717		—		717
Tongmei stock-based compensation		—		—		198		—		—		198		—		198
Net loss		—		—		—		(3,348)		—		(3,348)		(169)		(3,517)
Other comprehensive income		—		—		—		—		858		858		70		928
Balance as of March 31, 2023	$	3,532	$	44	$	236,192	$	(17,507)	$	(2,260)	$	220,001	$	23,417	$	243,418
Common stock options exercised		—		—		2		—		—		2		—		2
Investment in subsidiary with noncontrolling interest		—		—		(74)		—		—		(74)		380		306
Investment in subsidiary with redeemable noncontrolling interest		—		—		(75)		—		—		(75)		—		(75)
Noncontrolling interest portion of Tongmei stock-based compensation		—		—		31		—		—		31		(14)		17
Stock-based compensation		—		—		720		—		—		720		—		720
Tongmei stock-based compensation		—		—		192		—		—		192		—		192
Net income (loss)		—		—		—		(5,089)		—		(5,089)		38		(5,051)
Other comprehensive income (loss)		—		—		—		—		(5,915)		(5,915)		(623)		(6,538)
Balance as of June 30, 2023	$	3,532	$	44	$	236,988	$	(22,596)	$	(8,175)	$	209,793	$	23,198	$	232,991
Common stock options exercised		—		—		—		—		—		—		—		—
Investment in subsidiary with noncontrolling interest		—		—		(43)		—		—		(43)		242		199
Investment in subsidiary with redeemable noncontrolling interest		—		—		(44)						(44)		—		(44)
Noncontrolling interest portion of Tongmei stock-based compensation		—		—		(139)		—		—		(139)		68		(71)
Stock-based compensation		—		—		703		—		—		703		—		703
Tongmei stock-based compensation		—		—		188		—		—		188		—		188
Net loss		—		—		—		(5,823)		—		(5,823)		(236)		(6,059)
Other comprehensive income (loss)		—		—		—		—		(406)		(406)		(54)		(460)
Balance as of September 30, 2023	$	3,532	$	44	$	237,653	$	(28,419)	$	(8,581)	$	204,229	$	23,218	$	227,447

Net loss and Other comprehensive income attributable to redeemable noncontrolling interests were $356,000 and $55,000, respectively, for the three months ended September 30, 2023, and $807,000 and $615,000, respectively, for the nine months ended September 30, 2023 and are not shown in the table above.

There were no reclassification adjustments from accumulated other comprehensive income (loss) for the three and nine months ended September 30, 2024 and 2023.

Stock Repurchase Program

On October 27, 2014, our Board of Directors approved a stock repurchase program pursuant to which we may repurchase up to $5.0 million of our outstanding common stock. These repurchases can be made from time to time in the open market and are funded from our existing cash balances and cash generated from operations. During 2015, we repurchased approximately 908,000 shares at an average price of $2.52 per share for a total purchase price of approximately $2.3 million under the stock repurchase program. No shares were repurchased from 2016 through 2023. During the three and nine months ended September 30, 2024, we did not repurchase any shares under the approved stock repurchase program. As of September 30, 2024, approximately $2.7 million remained available for future repurchases under this program. Currently, we do not plan to repurchase additional shares.