ACM Research — Third Quarter 2026 Earnings Summary

Financial Performance:

• Revenue for the three months ended September 30, 2026, was $367.7 million, a 36.6% increase year-over-year compared to $269.2 million in Q3 2025.
• Revenue for the nine months ended September 30, 2026, was $891.9 million, a 35.8% increase year-over-year compared to $656.9 million in the same period in 2025.
• GAAP gross margin for Q3 2026 was 41.5% compared to 42.0% in Q3 2025; Non-GAAP gross margin was 41.6% compared to 42.1%.
• GAAP gross margin for the nine months ended September 30, 2026, was 44.2% compared to 45.7% in the prior year period; Non-GAAP gross margin was 44.3% compared to 45.9%.
• Operating income for Q3 2026 was $55.5 million compared to $28.9 million in Q3 2025; Non-GAAP operating income was $66.2 million compared to $36.5 million.
• Operating income for the nine months ended September 30, 2026, was $141.4 million compared to $86.4 million in the prior year period; Non-GAAP operating income was $164.4 million compared to $113.5 million.
• Net income attributable to ACM Research, Inc. for Q3 2026 was $1.5 million compared to $35.9 million in Q3 2025; Non-GAAP net income was $40.5 million compared to $28.4 million.
• Net income attributable to ACM Research, Inc. for the nine months ended September 30, 2026, was $107.8 million compared to $86.0 million in the prior year period; Non-GAAP net income was $109.3 million compared to $96.8 million.
• Diluted EPS for Q3 2026 was $0.02 compared to $0.52 in Q3 2025; Non-GAAP diluted EPS was $0.55 compared to $0.41.
• Diluted EPS for the nine months ended September 30, 2026, was $1.49 compared to $1.26 in the prior year period; Non-GAAP diluted EPS was $1.51 compared to $1.42.
• Operating expenses for Q3 2026 were $96.9 million, a 15.0% increase year-over-year; Non-GAAP operating expenses were $86.7 million, a 12.7% increase.
• Cash and cash equivalents, plus restricted cash and short-term time deposits were $1.28 billion at September 30, 2026, down from $1.36 billion at June 30, 2026.
• Net cash (excluding short-term and long-term borrowings) was $0.9 billion at September 30, 2026, down from $1.0 billion at June 30, 2026.
• Deferred revenue was $24.9 million at September 30, 2026, compared to $17.4 million at December 31, 2025.
• Short-term borrowings were $130.7 million at September 30, 2026, compared to $74.0 million at December 31, 2025.
• Long-term borrowings were $148.3 million at September 30, 2026, compared to $178.9 million at December 31, 2025.
• Unrealized loss on short-term investments was $39.1 million in Q3 2026, compared to an unrealized gain of $18.7 million in Q3 2025.

Guidance and Future Outlook:

• ACM raised its full-year 2026 revenue guidance to $1.24 billion to $1.28 billion, representing 38% to 42% growth, up from the previous range of $1.125 billion to $1.175 billion.
• Management expects robust shipment growth in the fourth quarter.
• The revised outlook reflects strong customer demand, international trade policy impacts, expected customer spending scenarios, supply chain constraints, and timing of acceptances for first tools under evaluation.
• The second building of the Lingang manufacturing facility is scheduled to come online in the fourth quarter, doubling manufacturing floor space.

Business Segments and Product Lines:

• ECP (front-end and packaging), furnace, and other technologies drove revenue growth, with shipments up 31% year-over-year.
• Single-wafer cleaning, Tahoe, and semi-critical cleaning equipment revenue was $210.7 million in Q3 2026, up from $181.6 million in Q3 2025.
• Advanced packaging (excluding ECP), services, and spares revenue was $47.5 million in Q3 2026, up from $27.7 million in Q3 2025.
• ECP, furnace, and other technologies revenue was $109.5 million in Q3 2026, up from $59.9 million in Q3 2025.
• The cleaning category returned to year-over-year growth.
• In October, ACM shipped its first 310×310 mm Ultra ECP panel-level horizontal electroplating production tool to a customer in Asia.
• In October, ACM introduced an enhanced Single-Wafer Hot SPM system with sulfuric acid recycling, achieving a 70% recycle rate.
• ACM Shanghai received an Innovation Achievement Award at the China International Industry Fair for its single-wafer high-temperature SPM cleaning equipment.
• Shipments in Q3 2026 totaled $343.5 million, a 30.6% increase year-over-year.

Market and Competitive Landscape:

• Demand for differentiated technologies remains robust across an expanding product portfolio.
• Global customer engagements are progressing with growing equipment installations outside mainland China.
• ACM is investing in global sales, engineering, and customer support to serve leading semiconductor manufacturers worldwide.
• Expanding capabilities in Asia and continued investment in Oregon operations aim to build a more localized and responsive global operating platform.
• ACM sees significant opportunity to enable large-size AI chips driving complex 2.5D and 3D packaging requirements.

Risks and Challenges:

• Forward-looking statements involve risks and uncertainties, including international trade policy impacts, customer spending scenarios, supply chain constraints, and timing of tool acceptances.
• Actual results may differ materially from expectations due to these risks and uncertainties.
• Gross margin varies period-to-period due to product mix, currency impacts, and sales volume.
• Non-GAAP financial measures exclude stock-based compensation and unrealized gains/losses on short-term investments, which may not be comparable to other companies.

Management Commentary and Tone:

• Dr. David Wang, President and CEO, stated the company delivered a strong quarter with revenue increasing 37% and shipments growing 31% year-over-year.
• Management highlighted robust demand for differentiated technologies and the return of the cleaning category to growth.
• Dr. Wang expressed confidence that the broadening product portfolio, global footprint, and customer relationships position the company to capture new market opportunities and deliver sustainable long-term growth.
• Management noted increased traction for high-temperature SPM systems and the successful commercialization of technology breakthroughs into scale production.

Other Key Points:

• The second building of the Lingang manufacturing facility will double manufacturing floor space in Q4 2026.
• The enhanced Single-Wafer Hot SPM system is expected to save approximately 400 tons of sulfuric acid per tool annually.
• A conference call to discuss results is scheduled for November 5, 2026, at 8:00 a.m. Eastern Time.
• The company is investing in global sales, engineering, and customer support to support momentum outside mainland China.