ACMR announced its fourth‑quarter and full‑year 2025 results, reporting revenue of $244.4 million and a non‑GAAP earnings per share of $0.25. The company’s revenue was slightly below the upper end of analyst estimates—$246.11 million—but exceeded the lower estimate of $241.39 million, leaving the quarter’s performance mixed against consensus. EPS fell short of the most common consensus estimate of $0.41, missing it by $0.16, and was also below the higher estimates of $0.53 and $0.408.
Revenue growth of 9.4% year‑over‑year was driven by strong demand in the single‑wafer cleaning and Tahoe product lines, while shipments of $228 million in Q4 2025 were down 12.2% from $264 million in Q4 2024. Gross margin contracted to 40.9% in the quarter from 49.6% in Q4 2024, and the full‑year 2025 gross margin fell to 44.4% from 50.1% in 2024. The margin compression was attributed to a shift in product mix, competitive pricing pressure, and inventory‑related charges, all of which management cited as key drivers of the decline.
Full‑year 2025 revenue reached $901.3 million, up 15.2% from $782.1 million in 2024, while the company’s net cash position strengthened to $845.5 million. The company’s operating income and profitability metrics were weakened by the margin squeeze, but the cash reserve provides a buffer for continued investment in new products and global capacity expansion.
Segment analysis shows that the single‑wafer cleaning and Tahoe lines were the primary revenue contributors, reflecting robust demand for advanced semiconductor manufacturing equipment. The ECP segment also contributed to growth, but its margin profile was lower than the high‑margin cleaning tools, contributing to the overall margin compression. Management highlighted that the mix shift toward lower‑margin products is a short‑term effect of increased customer demand for a broader product portfolio.
CEO Dr. David Wang emphasized that the company remains confident in its long‑term growth trajectory. He stated, "Looking ahead, we maintain our 2026 revenue outlook of $1.08 billion to $1.175 billion, representing 21‑30% growth." The guidance reflects continued demand for new products and an expanding global footprint, even as the company navigates margin pressures and a competitive market environment.
Beyond the earnings release, ACMR has been investing in domestic semiconductor production in Oregon and completed a private offering in Shanghai that raised approximately $111 million. These strategic moves support the company’s goal of expanding capacity and deepening engagement with global customers, positioning ACMR to capture growth in the semiconductor equipment market.
The content on EveryTicker is for informational purposes only and should not be construed as financial or investment advice. We are not financial advisors. Consult with a qualified professional before making any investment decisions. Any actions you take based on information from this site are solely at your own risk.