ACM Research (ACMR) Q3 2025 earnings summary

Executive summary

• Q3 2025 revenue reached $269.2 million, up 32% year-over-year, driven by strong demand across product lines and innovation in wafer processing technology.

• Gross margin declined to 42.0%–42.1%, impacted by product mix and inventory provisions.

• Net income attributable to the company was $35.9 million (GAAP), up 16% year-over-year; non-GAAP net income was $24.8 million, down from $42.4 million.

• ACM Shanghai completed a $623 million capital raise, reducing the parent’s equity interest to 74.6% and paid a $36.8 million dividend.

• Diluted EPS was $0.52 (GAAP) and $0.36 (non-GAAP), compared to $0.45 and $0.63, respectively, in Q3 2024.

Financial highlights

• Q3 2025 revenue: $269.2 million (up 32% YoY); shipments: $263.1 million (up 0.7% YoY and 28% sequentially).

• Segment revenue: Cleaning $181.6 million (up 12.8%), ECP/furnace/other $59.9 million (up 73%), advanced packaging/services/spares $27.7 million (up 230.6%).

• GAAP gross margin: 42.0% (down from 51.4% YoY); non-GAAP gross margin: 42.1% (down from 51.6%).

• Operating income: $36.5 million (non-GAAP), $28.9 million (GAAP); operating margin: 13.6% (non-GAAP), 10.7% (GAAP).

• Cash and equivalents at quarter end: $1.1 billion; net cash: $811 million.

Outlook and guidance

• 2025 revenue guidance narrowed to $875–$925 million, reflecting trade policy, customer spending, supply chain, and tool acceptance timing.

• Gross margin expected to remain between 42.0% and 48.0% for the foreseeable future.

• Anticipates higher growth rates for cleaning segment and incremental revenue from new products in 2026 and beyond.

• Sufficient liquidity for at least the next 12 months, with $1.1 billion in cash, equivalents, and time deposits.

• Shipments expected to pick up in the first half of next year as deferred orders and new products contribute.