ACM Research, Inc. (ACMR) Bundle
A Brief History of ACM Research, Inc.
Founded in 1998, ACM Research, Inc. specializes in providing advanced semiconductor manufacturing equipment. The company is publicly traded on the NASDAQ under the ticker symbol ACMR. Over the years, ACM has developed a strong reputation for its innovative cleaning solutions for the semiconductor industry, particularly in the area of single-wafer cleaning technology.
Recent Financial Performance
As of September 30, 2024, ACM Research reported significant growth in revenue and net income compared to previous years. The company's revenue for the nine months ended September 30, 2024, was $558.6 million, up from $387.4 million in the same period in 2023, representing a growth of 44.1% year-over-year. The net income attributable to ACM Research for the same period was $72.5 million, compared to $59.6 million in 2023, marking a 21.6% increase.
| Financial Metric | 2024 (Nine Months) | 2023 (Nine Months) | % Change |
|---|---|---|---|
| Revenue | $558.6 million | $387.4 million | +44.1% |
| Net Income | $72.5 million | $59.6 million | +21.6% |
| Gross Margin | 50.3% | 50.9% | -0.6% |
Operating Expenses
Operating expenses for ACM Research have also seen notable changes. For the nine months ended September 30, 2024, total operating expenses reached $173.7 million, up from $124.7 million in the previous year, reflecting an increase of 39.3%. This rise is primarily attributed to increases in sales and marketing, research and development, and general administrative expenses.
| Expense Category | 2024 (Nine Months) | 2023 (Nine Months) | % Change |
|---|---|---|---|
| Sales and Marketing | $47.1 million | $37.6 million | +25.2% |
| Research and Development | $77.7 million | $60.2 million | +29.0% |
| General and Administrative | $48.9 million | $26.9 million | +82.3% |
Cash Flow and Liquidity
As of September 30, 2024, ACM Research had total cash and cash equivalents of $369.1 million, an increase from $304.5 million at the end of 2023. This increase was primarily driven by a cash flow from operations amounting to $63.9 million during the nine months ended September 30, 2024.
| Cash Flow Metric | 2024 (End of September) | 2023 (End of December) | Change |
|---|---|---|---|
| Cash and Cash Equivalents | $369.1 million | $304.5 million | +$64.6 million |
| Cash Flow from Operations | $63.9 million | - | - |
Market Position and Future Outlook
ACM Research has continued to enhance its market position through strategic partnerships and investments in research and development. The company's commitment to innovation in semiconductor manufacturing technology positions it well for future growth, particularly as the demand for advanced semiconductor solutions increases globally.
As of the latest reports, ACM Research is optimistic about sustaining its growth trajectory, supported by a robust pipeline of products and technologies aimed at addressing the evolving needs of the semiconductor industry.
A Who Owns ACM Research, Inc. (ACMR)
Major Shareholders
As of 2024, ACM Research, Inc. (ACMR) has a variety of significant shareholders. The ownership structure is characterized by both institutional and individual shareholders, with a notable presence of non-controlling interests in its subsidiaries.
| Shareholder Name | Ownership Percentage | Type of Shareholder |
|---|---|---|
| ACM Research, Inc. (Class A) | 82.0% | Institutional |
| ACM Research, Inc. (Class B) | 100.0% | Institutional |
| BlackRock, Inc. | 9.5% | Institutional |
| Vanguard Group, Inc. | 6.7% | Institutional |
| Wellington Management Co. LLP | 5.8% | Institutional |
| Other Individual Shareholders | 30.0% | Individual |
Non-Controlling Interests
ACM Research, Inc. has significant non-controlling interests in its subsidiary, ACM Shanghai. The net income attributable to these non-controlling interests was reported at $19.6 million for the nine months ending September 30, 2024.
Stock Performance
As of September 30, 2024, ACM Research’s Class A common stock is trading at approximately $23.02 to $31.92. The company reported a net income of $92.2 million for the nine months ending September 30, 2024, reflecting a strong growth trajectory.
| Financial Metric | Value |
|---|---|
| Net Income (9 months ended September 30, 2024) | $92.2 million |
| Cash and Cash Equivalents | $335.3 million |
| Total Equity | $878.1 million |
| Shares Outstanding (Class A) | 57,524,519 |
| Shares Outstanding (Class B) | 5,021,811 |
Investment and Subsidiary Ownership
ACM Research owns 82.0% of ACM Shanghai, which significantly contributes to the overall financial performance of the parent company. The company has made strategic investments in various technology firms, including:
| Investment Entity | Ownership Percentage | Investment Amount |
|---|---|---|
| Ninebell Co., Ltd. | 20.0% | $1.2 million |
| Wooil Flucon Co. | 20.0% | $1.0 million |
| Hefei Shixi Chanheng Integrated Circuit Industry Venture Capital Fund | 10.0% | RMB 30,000 ($4,200) |
| Shengyi Semiconductor Technology Co., Ltd. | 14.0% | $109,000 |
| Company D | 16.7% | RMB 30,000 ($4,230) |
ACM Research, Inc. (ACMR) Mission Statement
Overview
ACM Research, Inc. (ACMR) focuses on providing innovative semiconductor equipment solutions to leading manufacturers in the global semiconductor industry. The company is committed to advancing technology through continuous research and development, aiming to enhance the efficiency and effectiveness of semiconductor manufacturing processes.
Mission Statement
As of 2024, ACM Research's mission statement emphasizes its dedication to delivering high-quality, cutting-edge cleaning and other process equipment that meets the demanding needs of semiconductor fabrication. The company strives to achieve operational excellence while fostering long-term partnerships with its customers.
Financial Performance
In the nine months ended September 30, 2024, ACM Research reported significant financial growth compared to the same period in 2023. The following table summarizes key financial metrics:
| Metric | 2024 (9 Months) | 2023 (9 Months) | % Change |
|---|---|---|---|
| Revenue | $558,647,000 | $387,402,000 | 44.2% |
| Gross Profit | $280,739,000 | $197,139,000 | 42.4% |
| Net Income | $72,547,000 | $59,649,000 | 21.6% |
| Operating Expenses | $173,730,000 | $124,674,000 | 39.3% |
| Research & Development Expense | $77,723,000 | $60,244,000 | 29.0% |
| Sales & Marketing Expense | $47,067,000 | $37,579,000 | 25.2% |
Strategic Goals
- Enhance R&D capabilities to drive product innovation.
- Expand market presence in mainland China and internationally.
- Strengthen customer relationships through superior service and support.
- Maintain a focus on sustainability and operational efficiency.
Market Position
ACM Research operates in a competitive market, focusing on advanced cleaning and processing technologies for semiconductor manufacturing. The company aims to leverage its technological expertise to secure a leadership position in the industry.
Recent Developments
In 2024, ACM Research continued to invest heavily in R&D, reflecting its commitment to innovation. The company reported a 29.0% increase in research and development expenses, indicating its focus on enhancing product offerings and maintaining technological leadership.
Customer Base
ACM Research serves a diverse range of customers in the semiconductor industry, including leading manufacturers in Asia and beyond. The company reported that four customers accounted for approximately 56.3% of total revenue in the nine months ended September 30, 2024.
Conclusion
ACM Research, Inc. is dedicated to its mission of providing innovative solutions to the semiconductor manufacturing industry. With robust financial performance and strategic investments in R&D, the company is well-positioned to achieve its goals and enhance its market presence.
How ACM Research, Inc. (ACMR) Works
Business Overview
ACM Research, Inc. (ACMR) specializes in the development and manufacturing of advanced semiconductor equipment, particularly focusing on single-wafer cleaning technology and other related technologies. The company operates primarily in the semiconductor industry, targeting clients in mainland China and globally.
Revenue Performance
As of September 30, 2024, ACMR reported total revenue of $558.6 million for the nine months ended, an increase from $387.4 million during the same period in 2023, reflecting a growth of 44.2% year-over-year.
| Revenue Breakdown (in thousands) | 2024 | 2023 | % Change |
|---|---|---|---|
| Single Wafer Cleaning Equipment | $423,676 | $281,559 | 50.5% |
| ECP and Other Technologies | $99,362 | $71,223 | 39.5% |
| Advanced Packaging Services | $35,609 | $34,620 | 2.9% |
Cost of Revenue and Profitability
The cost of revenue for the nine months ended September 30, 2024, was $277.9 million, up from $190.3 million in 2023, which represents a 46.1% increase. The gross profit for the same period was $280.7 million, with a gross margin of 50.3%.
| Cost of Revenue and Gross Profit (in thousands) | 2024 | 2023 | % Change |
|---|---|---|---|
| Cost of Revenue | $277,908 | $190,263 | 46.1% |
| Gross Profit | $280,739 | $197,139 | 42.4% |
| Gross Margin | 50.3% | 50.9% | -0.6% |
Operating Expenses
Total operating expenses for the nine months ended September 30, 2024, were $173.7 million, compared to $124.7 million in 2023, a 39.3% increase. Key components of operating expenses include:
| Operating Expenses (in thousands) | 2024 | 2023 | % Change |
|---|---|---|---|
| Sales and Marketing | $47,067 | $37,579 | 25.2% |
| Research and Development | $77,723 | $60,244 | 29.0% |
| General and Administrative | $48,940 | $26,851 | 82.3% |
Net Income and Earnings Per Share
For the nine months ended September 30, 2024, ACMR reported a net income of $92.2 million, compared to $73.6 million in 2023. The basic net income per share was $1.17, while the diluted net income per share was $1.07.
| Net Income and EPS | 2024 | 2023 |
|---|---|---|
| Net Income (in thousands) | $92,163 | $73,554 |
| Basic EPS | $1.17 | $0.99 |
| Diluted EPS | $1.07 | $0.90 |
Cash Flow and Liquidity
ACMR had cash and cash equivalents totaling $369.1 million as of September 30, 2024, compared to $304.5 million at the end of 2023. The increase was primarily driven by cash flow from operations amounting to $63.9 million during the nine months ended September 30, 2024.
| Cash Flow Overview (in thousands) | 2024 | 2023 |
|---|---|---|
| Cash and Cash Equivalents | $369,075 | $304,515 |
| Net Cash Provided by Operating Activities | $63,855 | ($36,970) |
| Net Cash Used in Investing Activities | ($78,600) | ($73,000) |
| Net Cash Provided by Financing Activities | $77,000 | $81,700 |
Debt Obligations
ACMR's long-term borrowings were reported at $136.7 million as of September 30, 2024, an increase from $60.7 million at December 31, 2023. The company has various loans with interest rates ranging from 2.60% to 4.50%.
| Long-term Borrowings (in thousands) | 2024 | 2023 |
|---|---|---|
| Total Long-term Borrowings | $136,739 | $60,735 |
| Interest Rates | 2.60% - 4.50% | N/A |
Inventory Management
As of September 30, 2024, ACMR reported total inventory valued at $628.7 million, comprising raw materials, work-in-progress, and finished goods. This represents an increase from $545.4 million at the end of 2023.
| Inventory Breakdown (in thousands) | 2024 | 2023 |
|---|---|---|
| Raw Materials | $250,326 | $235,062 |
| Work-in-Process | $79,469 | $81,438 |
| Finished Goods | $298,925 | $228,895 |
| Total Inventory | $628,720 | $545,395 |
Market Position and Future Outlook
ACM Research continues to strengthen its position in the semiconductor equipment market, driven by increasing demand for advanced technologies and a commitment to innovation. The company aims to expand its customer base and enhance its product offerings in the coming years.
How ACM Research, Inc. (ACMR) Makes Money
Revenue Sources
ACM Research, Inc. primarily generates revenue through the sale of semiconductor manufacturing equipment and services. The company's revenue for the nine months ended September 30, 2024, reached $558.6 million, an increase from $387.4 million in the same period for 2023, representing a growth of 44.1%.
| Revenue Category | Q3 2024 Revenue (in thousands) | Q3 2023 Revenue (in thousands) | % Change |
|---|---|---|---|
| Single Wafer Cleaning, Tahoe and Semi-Critical Cleaning Equipment | $160,985 | $132,417 | 21.6% |
| ECP (Front-End and Packaging), Furnace and Other Technologies | $34,600 | $25,508 | 35.6% |
| Advanced Packaging (excluding ECP), Services & Spares | $8,391 | $10,644 | -21.2% |
| Total Revenue | $203,976 | $168,569 | 21.0% |
Cost of Revenue
The cost of revenue for ACM Research for the nine months ended September 30, 2024, was $277.9 million, compared to $190.3 million in 2023, reflecting a 46.1% increase. This resulted in a gross profit of $280.7 million and a gross margin of 50.3%.
Operating Expenses
Operating expenses increased significantly, amounting to $173.7 million for the nine months ended September 30, 2024, compared to $124.7 million in the same period in 2023. The breakdown is as follows:
| Expense Type | Q3 2024 Expense (in thousands) | Q3 2023 Expense (in thousands) | % Change |
|---|---|---|---|
| Sales and Marketing | $47,067 | $37,579 | 25.2% |
| Research and Development | $77,723 | $60,244 | 29.0% |
| General and Administrative | $48,940 | $26,851 | 82.3% |
| Total Operating Expenses | $173,730 | $124,674 | 39.3% |
Net Income
Net income attributable to ACM Research, Inc. for the nine months ended September 30, 2024, was $72.5 million, compared to $59.6 million in the same period of 2023, marking an increase of 21.6%.
Interest Income and Other Income
Interest income for the nine months ended September 30, 2024, was $7.1 million, up from $6.3 million in 2023. Interest expense increased to $2.9 million from $2.0 million.
Liquidity and Capital Resources
As of September 30, 2024, ACM Research reported cash and cash equivalents of $335.3 million, compared to $183.2 million at the end of 2023. The increase was attributed to cash provided by operations of $63.9 million.
| Cash and Cash Equivalents | September 30, 2024 (in thousands) | December 31, 2023 (in thousands) |
|---|---|---|
| Cash and Cash Equivalents and Restricted Cash | $335,254 | $183,173 |
| Short-Term Time Deposits | $20,304 | $80,524 |
| Long-Term Time Deposits | $13,517 | $40,818 |
| Total | $369,075 | $304,515 |
Market Position and Future Outlook
ACM Research's strategy includes enhancing its product offerings and expanding its market presence, particularly in mainland China and other regions. The company expects to maintain a gross margin between 40.0% and 45.0% in the foreseeable future, with direct manufacturing costs approximating 50.0% to 55.0% of revenue.
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Resources:
- ACM Research, Inc. (ACMR) Financial Statements – Access the full quarterly financial statements for Q3 2024 to get an in-depth view of ACM Research, Inc. (ACMR)' financial performance, including balance sheets, income statements, and cash flow statements.
- SEC Filings – View ACM Research, Inc. (ACMR)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.