Financial Data and Key Metrics Changes - Revenue for Q1 2025 was $172 million, an increase of 13% compared to Q1 2024 [12][27] - Shipments were $157 million, down 36% year-over-year, attributed to strong demand in Q1 2024 [12][27] - Gross margin was 48.2%, exceeding the target range of 42% to 48% [13][28] - Net cash increased to $271 million from $259 million at the end of 2024 [13][30] Business Line Data and Key Metrics Changes - Revenue from single wafer cleaning tools grew 18%, representing 75% of total revenue [14] - Revenue from ECP, furnace, and other technologies grew 7%, accounting for 16% of total revenue [15] - Revenue from advanced packaging, excluding ECP, was down 10.5%, representing 9% of total revenue [18] Market Data and Key Metrics Changes - In China, the company estimates its market share in wafer cleaning and plating exceeded 25%, translating to over 9% globally for each category [7] - The company is expanding its business into the global market, particularly in the U.S. with investments in an Oregon facility [10][11] Company Strategy and Development Direction - The company aims to develop world-class tools and establish R&D and production in key countries to mitigate tariff uncertainties [8][10] - The long-term revenue target is set at $3 billion, with equal contributions expected from China and the global market [21] Management's Comments on Operating Environment and Future Outlook - Management acknowledged the shifting global trade environment and emphasized the importance of their established strategy [8] - The company maintains its 2025 revenue outlook in the range of $850 million to $950 million, implying a 15% year-over-year growth at the midpoint [24] Other Important Information - The Oregon facility is being developed to support global customers and reduce tariff impacts [10][23] - The Lingang production and R&D center is nearing completion, with a potential annual production capacity of $3 billion [22] Q&A Session Summary Question: Shipment figures and full-year growth expectations - Management expects shipments to grow in 2025 compared to last year, but the growth rate may not exceed last year's high levels [36][37] Question: Impact of tariffs on profitability - Management indicated that tariffs on U.S. imports do not significantly impact the company, as they are sourcing more parts locally and from third countries [44] Question: Thoughts on 2026 market growth and competition - Management believes that while the market may plateau, they will continue to gain market share due to innovative products and strong customer demand [48][50] - The company is confident in its technology leadership and IP protection, which differentiates it from local competitors [56][58]

Group 1: Earnings Performance - ACM Research, Inc. reported quarterly earnings of $0.46 per share, exceeding the Zacks Consensus Estimate of $0.37 per share, but down from $0.52 per share a year ago, representing an earnings surprise of 24.32% [1] - The company has surpassed consensus EPS estimates for four consecutive quarters [2] - ACM Research's revenues for the quarter ended March 2025 were $172.35 million, exceeding the Zacks Consensus Estimate by 6.06% and up from $152.19 million year-over-year [2] Group 2: Stock Performance and Outlook - ACM Research shares have increased approximately 32.7% since the beginning of the year, contrasting with the S&P 500's decline of -4.3% [3] - The future performance of the stock will depend on management's commentary during the earnings call and the company's earnings outlook [4][6] - The current consensus EPS estimate for the upcoming quarter is $0.49 on revenues of $226.22 million, and for the current fiscal year, it is $2.15 on revenues of $928.32 million [7] Group 3: Industry Context - The Semiconductor Equipment - Material Services industry is currently ranked in the top 38% of over 250 Zacks industries, indicating a favorable outlook [8] - Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can impact stock performance [5]

Note Regarding Presentation of Non-GAAP Financial Measures. Information presented below under "Q1 2025 Summary" and "Q1 2025 Financial Results" includes certain "non-GAAP financial measures" as defined in Regulation G under the Securities Exchange Act of 1934, including non-GAAP gross margin, non-GAAP operating income, non-GAAP basic and diluted EPS, and non-GAAP gross profit. These supplemental measures exclude the effect of stock-based compensation and unrealized gain or loss on short term investments, wh ...

Financial Performance - ACM Research announced preliminary unaudited revenue for Q1 2025, indicating a significant increase compared to the previous quarter[5]. - The company reported a gross margin of 45% for Q1 2025, maintaining strong profitability despite rising material costs[5]. Revenue Growth and Guidance - Future guidance suggests revenue growth of 15% to 20% for the full year 2025, driven by increased demand in the semiconductor industry[5]. Product Development and Innovation - ACM Research is focusing on expanding its product line, with plans to introduce three new technologies by the end of 2025[5]. - R&D expenditures are projected to increase by 30% in 2025 to support new product development and innovation[5]. Market Expansion and Partnerships - The company is exploring strategic partnerships to enhance market presence in Asia, aiming for a 25% market share in the region by 2026[5]. - Customer base expanded by 10% in Q1 2025, with notable new contracts in the automotive semiconductor sector[5]. Operational Efficiency - ACM Research plans to enhance its supply chain efficiency, targeting a 15% reduction in lead times by mid-2025[5]. Strategic Growth Initiatives - ACM Research is considering potential acquisitions to bolster its technology portfolio and accelerate growth[5]. - The company reported a total of 1,200 units shipped in Q1 2025, reflecting a 20% increase year-over-year[5].

Core Viewpoint - ACM Research, Inc. reported a strong start to 2025 with a 13% year-over-year revenue growth, solid profitability, and positive cash flow from operations, highlighting its technology leadership in semiconductor processing and advanced packaging applications [2][3]. Financial Performance - Revenue for the first quarter of 2025 was $172.3 million, up 13.2% from $152.2 million in the same quarter of 2024 [11][23]. - Gross margin decreased to 47.9% from 52.0% year-over-year, while non-GAAP gross margin was 48.2% compared to 52.5% [11][24]. - Operating income was $25.8 million, a 2.2% increase from $25.2 million in the previous year, with an operating margin of 15.0% [11][20]. - Net income attributable to ACM was $20.4 million, up from $17.4 million, with diluted EPS of $0.30 compared to $0.26 [11][20]. Strategic Milestones - ACM achieved several strategic milestones, including the qualification of its high-temperature SPM tool by a leading logic customer in China and receiving the 2025 3D InCites Technology Enablement Award for its Ultra ECP ap-p tool [2][6]. - The company is investing in its Oregon facility to support customer evaluations and technology development [2]. Outlook - ACM maintains its revenue guidance for fiscal year 2025 in the range of $850 million to $950 million, considering factors such as international trade policy and customer spending scenarios [3][11]. - The company anticipates incremental revenue contributions from various tools and expects a return to year-on-year growth in total shipments for the second quarter of 2025 [6][11]. Product and Regional Performance - Total shipments in Q1 2025 were $157 million, down from $245 million in Q1 2024, attributed to customer pull-ins in the previous quarter [6]. - Revenue from single wafer cleaning, Tahoe, and semi-critical cleaning equipment was $129.6 million, while ECP and other technologies contributed $27.6 million [23]. - Revenue from mainland China was $169.1 million, compared to $152.1 million in the previous year [23].

Core Viewpoint - ACM Research (ACMR) is expected to report first-quarter 2025 results with projected revenues between $165 million and $170 million, reflecting year-over-year growth of 8.4%-11.7% despite a decline in earnings per share by 28.85% compared to the previous year [1][2]. Financial Performance - The Zacks Consensus Estimate for earnings is 37 cents per share, unchanged over the past 30 days [1]. - ACMR has consistently beaten earnings estimates in the past four quarters, with an average surprise of 97.86% [2]. Market Demand and Product Expansion - The first-quarter performance is anticipated to benefit from strong demand for single-wafer cleaning, electroplating, furnace tools, and advanced packaging, particularly in Mainland China [3]. - New products, including the high-temperature Sulfuric Peroxide Mixture (SPM) and Tahoe, are expected to drive revenue growth [3][5]. - ACMR is expanding its market presence outside Mainland China, engaging with global customers in the U.S., Europe, Korea, Taiwan, and Singapore [4]. Customer Base and Revenue Growth - The diverse customer base includes major players like Huahong Group, SMIC, and YMTC, contributing to solid demand and revenue growth [5]. - The furnace product line is gaining traction, particularly among memory and logic customers, leading to increased revenues from this segment [5]. Challenges - ACMR faces challenges from macroeconomic uncertainties, increasing competition in the semiconductor industry, and U.S. export restrictions [6][16]. Stock Valuation - ACMR shares are considered undervalued, with a forward 12-month Price/Sales ratio of 1.18X compared to the sector's 5.82X and peers like Applied Materials and Lam Research [7]. - The company's shares have increased by 28.3% year-to-date, outperforming the Zacks Computer & Technology sector, which has declined by 8% [10]. Competitive Landscape - ACMR has outperformed key competitors such as Applied Materials, Lam Research, and Tokyo Electron in the year-to-date period [13]. - The company has diversified its product offerings across cleaning, plating, and advanced packaging, targeting a global semiconductor market estimated at approximately $18 billion [14]. Technological Advancements - A major logic device manufacturer in Mainland China has qualified ACMR's Single-Wafer High-Temperature SPM tool, designed for advanced semiconductor applications [15].

Core Viewpoint - ACM Research (ACMR) has shown strong preliminary first-quarter 2025 results, leading to positive market sentiment and a stock price increase of 5.1% due to robust revenue growth expectations [1][3]. Financial Performance - Preliminary revenue figures indicate a year-over-year growth of 8.4% to 11.7% for ACMR, driven by sustained customer demand and a favorable product mix [1]. - The company expects total revenues for 2025 to be between $850 million and $950 million, with an improved gross margin forecast of 42-48% [13]. Shipment and Market Dynamics - Despite anticipated shipment declines of 36% to 37%, ACMR attributes this to a temporary timing mismatch rather than a structural issue, with combined total shipments projected to increase by 8% to 9% year-over-year for Q4 2024 and Q1 2025 [2]. - Management expects shipment growth to resume in Q2 2025, supported by steady customer orders and ongoing expansion in the semiconductor industry [2]. Competitive Positioning - ACMR has outperformed its peers and the broader market, with a year-to-date stock increase of 28.6%, contrasting with declines in the Zacks Computer & Technology sector and the S&P 500 [3][4]. - The company holds a strong competitive position in the wafer cleaning market, generating $579 million in 2024, which accounts for 74% of total revenues and reflects a 43% growth over 2023 [10]. Market Expansion and Product Diversification - ACMR is strategically diversifying its product portfolio beyond core cleaning and plating segments, targeting a larger serviceable addressable market of $18 billion [12]. - New technologies such as Furnace, Track, PECVD, and LPCVD are gaining traction, with expectations for furnace revenues to grow in 2025 [12]. Valuation Metrics - ACMR shares are considered attractively valued, with a forward 12-month Price/Sales ratio of 1.16, significantly lower than the sector average of 5.60 [14]. - Compared to peers like Applied Materials and Lam Research, ACMR's valuation remains competitive, trading at a forward Price/Sales of 4X [14]. Earnings Estimates - The Zacks Consensus Estimate for Q1 2025 earnings is pegged at 37 cents per share, indicating a 28.9% decline year-over-year, although this figure has improved by 19 cents over the past 90 days [17].

Core Viewpoint - ACM Research (ACMR) is identified as a strong buy with a forward PE of less than 10x, making it attractive to investors despite a recent stock slide after Liberation Day [1] Company Overview - ACM Research, Inc. specializes in the development, manufacture, and sale of single-wafer wet cleaning equipment for semiconductor manufacturers, enhancing product yield by removing contaminants [2] Earnings History - The company has achieved four consecutive earnings beats with an average positive surprise of 97% over the last year, including a recent earnings print of $0.56 against a consensus of $0.26, resulting in a 115% positive surprise [4] Earnings Estimates Revisions - Earnings estimates for ACM Research have been revised upwards, with the current quarter estimate moving from $0.37 to $0.18, next quarter from $0.35 to $0.49, and full year 2025 from $1.80 to $2.15, while 2026 estimates increased from $2.30 to $2.50 [5] Growth Projections - Revenue for 2025 is projected to be around $928 million, reflecting an 18.7% growth, with next year's sales expected to exceed $1 billion, indicating a 16.3% growth; the most recent quarter showed a topline growth of 31% [6] Valuation Metrics - ACM Research's forward PE stands at 9.7x, significantly lower than the market multiple of 18x and the industry average of 26x; the price to book ratio is at 1.1x, and price to sales is just under 1.55x, with operating margins increasing from 12.31% to 13.12% [7]

Group 1: Company Overview - ACM Research, Inc. (ACMR) is a notable stock within the Computer and Technology sector, which consists of 608 individual stocks [2] - The company currently holds a Zacks Rank of 1 (Strong Buy), indicating a favorable earnings outlook [3] Group 2: Performance Metrics - Over the past three months, the Zacks Consensus Estimate for ACMR's full-year earnings has increased by 40.4%, reflecting improved analyst sentiment [4] - ACMR has achieved a year-to-date return of 22.2%, significantly outperforming the Computer and Technology sector's average return of -17.3% [4] Group 3: Industry Context - ACMR is part of the Semiconductor Equipment - Material Services industry, which ranks 1 in the Zacks Industry Rank, with an average gain of 4.2% this year [6] - In contrast, another stock in the Computer and Technology sector, Pitney Bowes (PBI), has returned 11.7% year-to-date and belongs to the Office Automation and Equipment industry, which ranks 208 [5][7]

Core Viewpoint - ACM Research, Inc. will announce its preliminary revenue range for Q1 2025 on April 29, 2025, before the U.S. market opens, aligning with its subsidiary's reporting obligations in Shanghai [1] Group 1: Financial Reporting - The full financial results for Q1 2025 will be released on May 8, 2025, before the U.S. market opens [2] - A conference call to discuss the results will take place at 8:00 a.m. U.S. Eastern Time on May 8, 2025 [2] - Participants must pre-register for the conference call to receive access instructions, including dial-in information and a PIN number [2][3] Group 2: Company Overview - ACM develops, manufactures, and sells semiconductor process equipment, including cleaning, electroplating, and packaging tools [4] - The company focuses on providing customized, high-performance, and cost-effective solutions to improve productivity and product yield for semiconductor manufacturers [4]