ACM Research ACMR delivered a strong first-quarter 2026 performance as rapid growth in its electrochemical plating (ECP) business and continued advanced packaging demand supported revenue growth and profitability.
ACM Research reported first-quarter 2026 earnings of 34 cents per share, surpassing the Zacks Consensus Estimate of 16 cents by 112.5%. Revenues increased 34.2% year over year to $231.3 million and beat the consensus estimate of $219 million.
The quarter reflected strong execution across the company’s semiconductor equipment portfolio, particularly in plating and advanced packaging applications. Total shipments increased 53.6% year over year to $240.7 million from $156.7 million in the first quarter of 2025, highlighting solid customer demand and expanding adoption across multiple product categories.
ACMR’s Q1 Top Line in Detail
A major driver of the quarter was the sharp acceleration in ACMR’s plating-related business. Revenues from ECP, furnace and other technologies surged 204.9% year over year to $84.2 million. The segment accounted for 36% of total revenues compared with 16% in the prior-year quarter.
ACM Research, Inc. Price, Consensus and EPS Surprise
ACM Research, Inc. price-consensus-eps-surprise-chart | ACM Research, Inc. Quote
Advanced packaging revenues, excluding ECP, along with services and spares, rose 62% year over year to $24.5 million and represented 11% of total sales. Management highlighted growing traction for panel-level horizontal plating solutions and broader customer engagement across both front-end semiconductor manufacturing and advanced packaging applications.
Cleaning revenues, which include single-wafer cleaning, Tahoe and semi-critical cleaning systems, totaled $122.5 million, down 5.5% year over year. The segment’s contribution to total revenues declined to 53% from 75% in the year-ago quarter. Management characterized the decline as primarily related to timing and product-cycle transitions rather than weakening demand conditions.
The company emphasized strong momentum for its single-wafer SPM tool line and expects to deliver more than 15-20 units by the end of 2026. Management pointed to increasing customer interest tied to favorable particle performance and uptime advantages. ACMR expects newer product cycles, including SPM and Tahoe-related opportunities, to contribute more significantly over the rest of 2026.
ACMR’ Q1 Operating Results
Non-GAAP gross margin was 46.5% compared with 48.2% in the prior-year quarter, remaining above the midpoint of management’s long-term target range of 42-48%.
Non-GAAP operating expenses increased 38.5% year over year to $65.8 million as ACMR continued investing across the business.
Despite higher operating expenses, non-GAAP operating income rose to $41.8 million from $35.6 million in the first quarter of 2025, resulting in an 18.1% operating margin.
Management noted that favorable product mix and lower inventory provision impacts supported margin recovery from the low-40% range experienced during the second half of 2025.
ACMR’s Balance Sheet & Cash Flow
As of March 31, 2026, cash, cash equivalents, restricted cash and short-term time deposits were $1.25 billion compared with $1.13 billion as of Dec. 31, 2025.
ACMR’s 2026 Outlook
Management reaffirmed its full-year 2026 revenue guidance of $1.08 billion to $1.175 billion.
The company stated that the outlook reflects current assumptions regarding international trade policy impacts, customer spending trends, supply-chain constraints and the timing of customer acceptance for first-tool evaluations.
Management emphasized that multiple growth opportunities are developing simultaneously across its cleaning, plating, furnace, track and PECVD platforms, which could support broader adoption over time.
ACMR's Zacks Rank & Stocks to Consider
ACMR currently carries a Zacks Rank #3 (Hold).
Box BOX, Cisco Systems CSCO and Dell Technologies DELL are some better-ranked stocks that investors can consider in the broader Zacks Computer & Technology sector. All the stocks presently carry a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Shares of Box have lost 14.2% in the year-to-date period. BOX is set to report its first-quarter fiscal 2027 results on May 26.
Cisco Systems shares have gained 19.6% in the year-to-date period. CSCO is scheduled to release third-quarter fiscal 2026 results on May 13.
Dell Technologies shares have surged 82.9% in the year-to-date period. DELL is set to report its first-quarter fiscal 2027 results on May 28.
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