ACM Research recently released its 10-Q report. ACM Research, Inc. develops, manufactures and sells semiconductor capital equipment in mainland China and other markets, with a business centered on wet-cleaning tools for front-end chip production and a separate line of advanced packaging equipment. The company operates mainly through ACM Research (Shanghai), Inc., which it founded in 2005 and in which it held 73.6% of the outstanding shares as of March 31, 2026.
In Item 2, Management’s Discussion and Analysis, ACM Research says it conducts a substantial majority of its product development, manufacturing, support and services in mainland China through ACM Shanghai, with additional development and subsystem production in Korea and sales and marketing activities from the U.S. for North America, Europe and parts of Asia outside mainland China. The company says it is not a mainland China operating company and does not use a variable interest entity structure. It also says ACM Shanghai had the required operating permits and licenses for its business in mainland China, including business licenses, quality certifications, customs qualifications, and environmental and construction-related approvals.
The filing says ACM completed the sale of about 4.8 million shares of ACM Shanghai on February 6, 2026, at RMB160.00 per share, or about $23.05 per share, generating about $110.2 million in gross proceeds and about $86 million net of taxes. After that sale, ACM’s ownership stake in ACM Shanghai fell from 74.6% to 73.6%.
ACM also details several regulatory and operating constraints. It says ACM Shanghai and ACM Korea were added to the U.S. BIS Entity List on December 2, 2024, which restricts worldwide parties from supplying certain U.S.-controlled hardware, software or technology to those entities without authorization. The company also notes the U.S. outbound investment rules now in force, and says the COINS Act is expected to change how those rules apply once implementing regulations are issued.
On the business side, ACM says it has delivered more than 1,500 tools since 2009, including more than 1,330 repeat orders or acceptances after contractual obligations were met. It says substantially all of its semiconductor equipment sales have been to customers in Asia, though it is expanding direct sales and marketing in North America, Western Europe and Southeast Asia. The filing also says ACM Shanghai and ACM Lingang received government grants tied to technology development and related facilities, with $0.6 million of related subsidies recognized as reductions of research and development expense in the first quarter of 2026, compared with $0.3 million in the same period of 2025. Following these announcements, the company's shares moved 1.33%, and are now trading at a price of $59.99. If you want to know more, read the company's complete 10-Q report here.
