“We delivered another quarter of good results with strong sequential growth in both revenue and shipment, reflecting continued progress across our expanding product portfolio.” (CEO)
“We have received repeat orders for the new Ultra C wb wet bench tool with our proprietary N2 bubbling technology. We expect good shipments for this tool this year and next.” (CEO)
“We believe this new technology is another example of ACM's leadership in cleaning tools that will be good for our customers and support our growth initiatives.” (CEO)
“We have increased our long-term revenue target for Mainland China to $2.5 billion versus our previous target of $1.5 billion.” (CEO)
“Our unique horizontal plating approach, which delivers superior uniformity than vertical panel plating solution has attracted attention from the major players.” (CEO)
Topic: Revenue recognition difference between China GAAP and U.S. GAAP
Key points:
Shipments are measured the same; difference is RevRec timing: China GAAP recognizes upon installation, U.S. GAAP (606) upon acceptance for first tools or repeat shipments.
Q2 gap was larger than past, possibly due to bigger shipments last year and installation timing in Shanghai; no specific guidance for H2 2025 change.
U.S. GAAP R&D is fully expensed (no capitalization), while China GAAP capitalizes some R&D; ACMR global has additional public company costs and sales/marketing expenses.
Mgmt stance: Neutral – management notes the timing difference but declines to predict future RevRec patterns.
Q7 — Yu Shi
Topic: Long-term China WFE market size target raised to $40 billion
Key points:
Long-term China WFE target raised from $30B to $40B, matching recent trends (~$40B in 2024, ~$40B in 2025).
Confidence based on: 5-year horizon (not next year), expanding demand in memory/logic/IGBT, new products (furnace, PECVD, Track, panel-level packaging), and CSRC-approved second fundraising >$600M for R&D acceleration.
ACMR maintains differentiated product margins via IP protection; no local IP infringement found; China market revenue target raised from $1.5B to $2.5B.
Mgmt stance: Bullish – sees $40B as reasonable long-term China WFE, supported by product differentiation and fundraising.
Q8 — Jimmy Hang
Topic: 2026 visibility, China WFE estimates, and cleaning market share target
Key points:
2025/2026 China WFE hard to predict (10% up/down), but ACMR expects high growth even if flat, due to new products: PECVD evaluations, 300 WPH KrF line shipping in Q3, panel-level packaging, high-temperature anneal (1,250°C).
OpEx growing this year (midpoint still high) to invest in R&D (14%-16% vs. first-tier 10%-12%) and sales/marketing, anticipating future growth.
Cleaning market share target: 50% in China long term; ACMR is #1 in China, product portfolio covers 95% of cleaning steps, with differentiation (e.g., TEBO, N2 bubbling, SPM nodule design) and strong IP protection.
Mgmt stance: Bullish – confident in growth from new products and differentiated cleaning technology, even with flat China WFE.
Q9 — Unidentified Analyst
Topic: ACM Shanghai’s year-over-year growth vs. China WFE peers
Key points:
Q2 year-over-year growth for Asia/Shanghai underperforming some China peers; management attributes to different customer exposure.
Shanghai revenue growth still looks good; new products (furnace, PECVD, Track, copper plating) will contribute more in 2026.
Q3 busy, Q4 has some open slots expected to fill soon; overall confidence in good growth for 2025.
Mgmt stance: Bullish – sees current growth as solid and expects acceleration from new product contributions in 2026.