ACM Research beats Q3 revenue estimates on packaging equipment demand, raises FY outlook

By Reuters News


Overview

  • US wafer processing equipment maker's Q3 revenue grew 37%, beating analyst expectations

  • Adjusted EPS for Q3 beat analyst expectations

  • Company raised 2026 revenue outlook above prior range, citing strong demand and shipment growth


Outlook

  • ACM Research raises 2026 revenue guidance to $1.24 bln-$1.28 bln from $1.125 bln-$1.175 bln

  • Company expects robust shipment growth in Q4 2026, citing strong customer demand

  • Management outlook considers international trade policy, customer spending, supply chain constraints, and tool acceptance timing


Result Drivers

  • PRODUCT DEMAND - Co said Q3 revenue growth was driven by higher sales of ECP (front-end and packaging), furnace and other technologies, as well as increased sales of single-wafer cleaning, Tahoe and semi-critical cleaning equipment, and advanced packaging (excluding ECP), services and spares

  • SHIPMENT GROWTH - Q3 shipments rose 31% year over year, including deliveries for revenue in the quarter and deliveries of first tools awaiting customer acceptance for potential revenue in future quarters

  • TECHNOLOGY INNOVATION - Co highlighted increased traction for high-temperature SPM systems and the introduction of an enhanced Single-Wafer Hot SPM system with sulfuric acid recycling, as well as shipment of its first 310×310 mm Ultra ECP ap-p panel-level horizontal electroplating production tool


Company press release:


Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q3 Revenue

Beat

$367.69 mln

$313.16 mln (8 Analysts)

Q3 Adjusted EPS

Beat

$0.55

$0.48 (3 Analysts)

Q3 EPS

$0.02

Q3 Net Income

$1.54 mln

Q3 Gross Margin

41.50%

Q3 Basic EPS

$0.02

Q3 Operating income

$55.53 mln


Analyst Coverage

  • The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 9 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

  • The average consensus recommendation for the semiconductor equipment & testing peer group is "buy"

  • Wall Street's median 12-month price target for ACM Research, Inc. is $115.00, about 158.8% above its November 4 closing price of $44.43

  • The stock recently traded at 16 times the next 12-month earnings vs. a P/E of 39 three months ago


Reuters Recommended Reads

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  • Nov 2 - Lattice Semiconductor Q3 revenue more than doubles on AI-driven FPGA demand, AMI acquisition


For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.


(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

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