ACM Research 2025 Q3 Earnings Strong Revenue Growth, Narrowed Guidance

ACM Research (ACMR) reported its fiscal 2025 Q3 earnings on November 6, 2025, delivering robust revenue growth but mixed profitability metrics. The company’s shares initially surged on strong revenue performance but later declined amid concerns over earnings misses and margin compression. The results highlight the firm’s strategic shift toward high-growth segments like advanced packaging and ECP, supported by a significant capital raise.

Revenue

, surpassing analyst expectations. The growth was driven by strong demand for single-wafer cleaning systems, ECP tools, and advanced packaging solutions. , while ECP and furnace technologies contributed $59.85 million. . The company’s expanding product portfolio and focus on AI-driven semiconductor innovations underpinned this performance.

Earnings/Net Income

, . However, gross margin contracted to 42.1% from 51.6% in Q3 2024, reflecting product mix shifts and inventory adjustments. Despite the margin decline, ACM Research set a new nine-year high for Q3 net income, underscoring its operational resilience.

Post-Earnings Price Action Review

The strategy of buying ACMR shares post-revenue announcements has historically yielded strong returns, with a 171% YTD gain and 111% total shareholder return over the past year. However, recent price action has been volatile, with a 24.99% drop in the past week and a 23.58% decline month-to-date. Analysts remain optimistic about long-term growth, citing consistent revenue and earnings expansion, but caution about risks tied to China’s semiconductor market and supply chain disruptions.

CEO Commentary

In the earnings call, CEO Dr. David Wang emphasized ACM’s innovation-driven strategy, highlighting advancements in and horizontal plating technology for panel-level packaging. He noted, “AI and data center investments are accelerating demand for next-generation tools,” and reiterated confidence in the company’s ability to maintain gross margin targets. Wang also acknowledged short-term shipment delays due to part shortages but expressed optimism about resolving these through supplier diversification and domestic sourcing.

Guidance

ACM Research narrowed its 2025 revenue guidance to $875 million–$925 million, maintaining a 15% midpoint growth rate. The company cited progress in product cycles for SPM, furnace, and panel packaging as foundational for future growth. , with incremental contributions expected from furnace and advanced packaging tools in 2026.

Additional News

. Institutional investors like Teacher Retirement System of Texas increased stakes, . The company also announced its first shipment of a panel-level plating tool in Q4 and plans to expand its Oregon R&D facility. Analysts from Roth Capital and Needham & Company reiterated “buy” ratings, citing ACM’s competitive positioning in the .