Equipment provider Veeco Instruments announced financial results for its first quarter ended March 31, 2019. Veeco posted revenues of US$99.4 million, down by 37.33% compared to 1Q18. The company reported a net loss of US$18.5 million on GAAP base and a net loss of US$6.4 million on Non-GAAP base.

The company has been challenged by China’s MOCVD equipment manufacturers since the fourth quarter of 2018. Its blue LED business in China had shrunk drastically after the 2Q18. Veeco said that it has been transforming its business structure, putting more focus on data storage and EUV products.

William J. Miller, CEO of Veeco, commented, “We are executing according to our plan with Q1 revenue and EPS results above the midpoint of our guided range. Our transition away from the commodity LED business is largely complete and our revenue has stabilized. In addition, we are seeing strength in our Data Storage and EUV products driven by technology advancements.”