Cover Page
Cover Page - shares | 3 Months Ended | |
Mar. 31, 2024 | May 03, 2024 | |
Document Information [Line Items] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Mar. 31, 2024 | |
Document Transition Report | false | |
Entity File Number | 001-38273 | |
Entity Registrant Name | ACM Research, Inc. | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 94-3290283 | |
Entity Address, Address Line One | 42307 Osgood Road, Suite I | |
Entity Address, City or Town | Fremont | |
Entity Address, State or Province | CA | |
Entity Address, Postal Zip Code | 94539 | |
City Area Code | 510 | |
Local Phone Number | 445-3700 | |
Title of 12(b) Security | Class A Common Stock, $0.0001 par value | |
Trading Symbol | ACMR | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Central Index Key | 0001680062 | |
Document Fiscal Year Focus | 2024 | |
Amendment Flag | false | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Period Focus | Q1 | |
Class A Common Stock | ||
Document Information [Line Items] | ||
Entity Common Stock, Shares Outstanding | 56,986,777 | |
Class B Common Stock | ||
Document Information [Line Items] | ||
Entity Common Stock, Shares Outstanding | 5,021,811 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Current assets: | ||
Cash and cash equivalents | $ 211,305 | $ 182,090 |
Restricted cash | 808 | 1,083 |
Short-term time deposits (note 2) | 48,364 | 80,524 |
Short-term investments (note 15) | 18,648 | 21,312 |
Accounts receivable, net (note 4) | 296,371 | 283,186 |
Inventories, net (note 5) | 545,395 | |
Prepaid expenses | 20,066 | 20,023 |
Total current assets | 1,229,356 | 1,176,110 |
Property, plant and equipment, net (note 6) | 218,822 | 201,848 |
Land use right, net (note 7) | 8,305 | 8,367 |
Operating lease right-of-use assets, net (note 11) | 6,498 | 7,026 |
Intangible assets, net | 2,803 | 2,538 |
Long-term time deposits (note 2) | 27,841 | 40,818 |
Deferred tax assets (note 19) | 21,360 | 20,271 |
Long-term investments (note 14) | 31,293 | 27,880 |
Other long-term assets (note 8) | 10,471 | 6,050 |
Total assets | 1,556,749 | 1,490,908 |
Current liabilities: | ||
Short-term borrowings (note 9) | 54,706 | 31,335 |
Current portion of long-term borrowings (note 12) | 6,549 | 6,783 |
Advances from customers (note 3) | 182,547 | 181,368 |
Deferred revenue (note 3) | 4,405 | 3,687 |
Income taxes payable (note 19) | 11,403 | 6,401 |
FIN-48 payable (note 19) | 12,131 | 12,149 |
Other payables and accrued expenses (note 10) | 107,098 | 102,951 |
Current portion of operating lease liabilities (note 11) | 2,668 | 2,764 |
Total current liabilities | 533,249 | 500,659 |
Long-term borrowings (note 12) | 53,408 | 53,952 |
Long-term operating lease liabilities (note 11) | 3,830 | 4,262 |
Other long-term liabilities (note 13) | 5,469 | 5,873 |
Total liabilities | 595,956 | 564,746 |
Commitments and contingencies (note 21) | ||
Equity: | ||
Additional paid-in capital | 646,800 | 629,845 |
Retained earnings | 174,260 | 156,827 |
Statutory surplus reserve (note 22) | 30,060 | 30,060 |
Accumulated other comprehensive loss | (54,925) | (49,349) |
Total ACM Research, Inc. stockholders’ equity | 796,202 | 767,390 |
Non-controlling interests | 164,591 | 158,772 |
Total equity | 960,793 | 926,162 |
Total liabilities and equity | 1,556,749 | 1,490,908 |
Related Party | ||
Current assets: | ||
Other receivables | 1,338 | 2,432 |
Inventories, net (note 5) | 581,140 | |
Current liabilities: | ||
Accounts payable | 16,243 | 11,407 |
Nonrelated Party | ||
Current assets: | ||
Other receivables | 51,316 | 40,065 |
Current liabilities: | ||
Accounts payable | 135,499 | 141,814 |
Class A Common Stock | ||
Equity: | ||
Common stock | 6 | 6 |
Class B Common Stock | ||
Equity: | ||
Common stock | $ 1 | $ 1 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations and Comprehensive Income (Loss) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Income Statement [Abstract] | ||
Revenue (note 3) | $ 152,191 | $ 74,256 |
Cost of revenue, including cost of revenue from related parties of $15.1 million and $18.4 million for the three months ended March 31, 2024 and 2023, respectively (note 16) | 73,070 | 34,270 |
Gross profit | 79,121 | 39,986 |
Operating expenses: | ||
Sales and marketing | 14,173 | 9,337 |
Research and development | 23,918 | 14,029 |
General and administrative | 15,798 | 7,758 |
Total operating expenses | 53,889 | 31,124 |
Income from operations | 25,232 | 8,862 |
Interest income | 1,774 | 1,785 |
Interest expense | (783) | (695) |
Realized gain from sale of short-term investments (note 15) | 273 | 3,994 |
Unrealized loss on short-term investments (note 15) | (2,595) | (654) |
Other income (expense), net | 3,080 | (1,418) |
Loss from equity method investments (note 14) | (520) | (32) |
Income before income taxes | 26,461 | 11,842 |
Income tax expense (note 19) | (4,369) | (2,879) |
Net income | 22,092 | 8,963 |
Less: Net income attributable to non-controlling interests | 4,659 | 1,818 |
Net income attributable to ACM Research, Inc. | 17,433 | 7,145 |
Net income available to common stockholders, diluted | 17,079 | 7,052 |
Comprehensive income: | ||
Net income | 22,092 | 8,963 |
Foreign currency translation adjustment, net of tax | (6,829) | 9,423 |
Comprehensive income | 15,263 | 18,386 |
Less: Comprehensive income attributable to non-controlling interests | 3,406 | 3,462 |
Comprehensive income attributable to ACM Research, Inc. | $ 11,857 | $ 14,924 |
Net income attributable to ACM Research, Inc. per share of common stock (note 2): | ||
Basic (in dollars per share) | $ 0.28 | $ 0.12 |
Diluted (in dollars per share) | $ 0.26 | $ 0.11 |
Weighted average shares of common stock outstanding used in computing per share amounts (note 2): | ||
Basic (in shares) | 61,367,184 | 59,736,764 |
Diluted (in shares) | 66,242,321 | 65,058,777 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Operations and Comprehensive Income (Loss) (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Cost of revenue, related party | $ 73,070 | $ 34,270 |
Related Party | ||
Cost of revenue, related party | $ 15,100 | $ 18,400 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Changes in Equity - USD ($) $ in Thousands | Total | Cumulative Effect, Period of Adoption, Adjustment | Common Stock Class A | Common Stock Class B | Common Stock Common Stock Class A | Common Stock Common Stock Class B | Additional Paid- in Capital | Retained Earnings | Retained Earnings Cumulative Effect, Period of Adoption, Adjustment | Statutory Surplus Reserve | Accumulated Other Comprehensive Income (Loss) | Non-controlling Interests | Non-controlling Interests Cumulative Effect, Period of Adoption, Adjustment |
Beginning balance (in shares) at Dec. 31, 2022 | 54,655,286 | 5,021,811 | |||||||||||
Beginning balance at Dec. 31, 2022 | $ 812,171 | $ (1,769) | $ 5 | $ 1 | $ 604,089 | $ 94,426 | $ (1,769) | $ 16,881 | $ (40,546) | $ 137,315 | $ 0 | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||||
Net income | 8,963 | 7,145 | 1,818 | ||||||||||
Foreign currency translation adjustment | 9,423 | 7,778 | 1,645 | ||||||||||
Exercise of stock options (in shares) | 163,069 | 163,069 | |||||||||||
Exercise of stock options | 241 | 241 | |||||||||||
Stock-based compensation | 2,068 | 2,068 | |||||||||||
Ending balance (in shares) at Mar. 31, 2023 | 54,818,355 | 5,021,811 | |||||||||||
Ending balance at Mar. 31, 2023 | 831,097 | $ 5 | $ 1 | 606,398 | 99,802 | 16,881 | (32,768) | 140,778 | |||||
Beginning balance (in shares) at Dec. 31, 2023 | 56,036,172 | 5,021,811 | 56,036,172 | 5,021,811 | |||||||||
Beginning balance at Dec. 31, 2023 | 926,162 | $ 6 | $ 1 | 629,845 | 156,827 | 30,060 | (49,349) | 158,772 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||||
Net income | 22,092 | 17,433 | 4,659 | ||||||||||
Foreign currency translation adjustment | (6,829) | (5,576) | (1,253) | ||||||||||
Exercise of stock options (in shares) | 950,605 | ||||||||||||
Exercise of stock options | 4,799 | $ 0 | 4,799 | 0 | |||||||||
Stock-based compensation | 14,569 | 12,156 | 2,413 | ||||||||||
Ending balance (in shares) at Mar. 31, 2024 | 56,986,777 | 5,021,811 | 56,986,777 | 5,021,811 | |||||||||
Ending balance at Mar. 31, 2024 | $ 960,793 | $ 6 | $ 1 | $ 646,800 | $ 174,260 | $ 30,060 | $ (54,925) | $ 164,591 |
Condensed Consolidated Statem_4
Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Cash flows from operating activities: | ||
Net income | $ 22,092 | $ 8,963 |
Adjustments to reconcile net income from operations to net cash used in operating activities | ||
Non-cash operating lease cost | 973 | 488 |
Depreciation and amortization | 2,518 | 1,714 |
Realized gain on short-term investments | (273) | (3,994) |
Loss from equity method investments | 520 | 32 |
Unrealized loss on short-term investments | 2,595 | 654 |
Inventory provision | 1,025 | 306 |
Provision for credit losses | 1,171 | 298 |
Deferred income taxes | (1,129) | (6,294) |
Stock-based compensation | 14,569 | 2,068 |
Net changes in operating assets and liabilities: | ||
Accounts receivable | (15,286) | (2,452) |
Other receivables | (11,580) | (5,423) |
Inventories | (38,574) | (80,248) |
Advances to related party (note 16) | 1,094 | 1,016 |
Prepaid expenses | (141) | (3,362) |
Related party accounts payable (note 16) | 4,836 | 3,886 |
Accounts payable | (5,553) | 13,250 |
Advances from customers | 2,182 | 25,857 |
Deferred revenue | 4,892 | 3,407 |
Income taxes payable | 5,009 | 6,683 |
FIN-48 payable | (19) | 88 |
Other payables and accrued expenses | 807 | 1,327 |
Operating lease liabilities | (973) | (488) |
Other long-term liabilities | (404) | 1,730 |
Net cash used in operating activities | (9,649) | (30,494) |
Cash flows from investing activities: | ||
Purchase of property and equipment | (25,419) | (14,895) |
Purchase of intangible assets | (668) | (155) |
Purchase of short-term investments (note 15) | (1,409) | (728) |
Purchase of time deposits | (45,270) | (14,120) |
Proceeds from maturity of time deposits | 90,445 | 67,955 |
Proceeds from sale of short-term investments (note 15) | 0 | 11,072 |
Purchase of long-term investments (note 14) | (5,988) | 0 |
Dividends from unconsolidated affiliates | 600 | 0 |
Net cash provided by investing activities | 12,291 | 49,129 |
Cash flows from financing activities: | ||
Proceeds from short-term borrowings | 23,530 | 0 |
Repayments of short-term borrowings | (287) | 0 |
Repayments of long-term borrowings | (1,193) | (1,696) |
Proceeds from exercise of stock options | 4,799 | 241 |
Net cash provided by (used in) financing activities | 26,849 | (1,455) |
Effect of exchange rate changes on cash, cash equivalents and restricted cash | (551) | (4,784) |
Net increase in cash, cash equivalents and restricted cash | 28,940 | 12,396 |
Cash, cash equivalents and restricted cash at beginning of period | 183,173 | 248,451 |
Cash, cash equivalents and restricted cash at end of period | 212,113 | 260,847 |
Supplemental disclosure of cash flow information: | ||
Interest paid, net of capitalized interest | 783 | 695 |
Cash paid for income taxes | 0 | 2,874 |
Reconciliation of cash, cash equivalents and restricted cash in consolidated statements of cash flows: | ||
Cash and cash equivalents | 211,305 | 260,387 |
Restricted cash | 808 | 460 |
Cash, cash equivalents and restricted cash | 212,113 | 260,847 |
Other Noncash Investing and Financing Items [Abstract] | ||
Cashless exercise of stock options | 140 | 47 |
Proceeds from sale of short-term investments included in other receivables | 3,167 | 0 |
Transfer from inventory to property, plant and equipment | 0 | 4,557 |
Transfer of prepayment for property to property, plant, and equipment | $ 5,320 | $ 161 |
DESCRIPTION OF BUSINESS
DESCRIPTION OF BUSINESS | 3 Months Ended |
Mar. 31, 2024 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
DESCRIPTION OF BUSINESS | DESCRIPTION OF BUSINESS ACM Research, Inc. (“ACM” or “ACM Research”) and its subsidiaries (collectively with ACM, the “Company”) develop, manufacture and sell capital equipment to the global semiconductor industry. ACM was incorporated in California in 1998, and it initially focused on developing tools for manufacturing process steps involving the integration of ultra low-K materials and copper. The Company’s early efforts focused on stress-free copper-polishing technology, and it sold tools based on that technology in the early 2000s. In 2006, the Company established its operational center in Shanghai in the People’s Republic of China (“mainland China”), where it operates through ACM’s subsidiary, ACM Research (Shanghai), Inc. (“ACM Shanghai”). ACM Shanghai was formed to help establish and build relationships with integrated circuit manufacturers in mainland China, and the Company initially financed its Shanghai operations in part through sales of non-controlling equity interests in ACM Shanghai. In 2007, the Company began to focus its development efforts on single-wafer wet-cleaning solutions for the front-end chip fabrication process. The Company introduced its SAPS megasonic technology, which can be applied in wet wafer cleaning at numerous steps during the chip fabrication process, in 2009. It introduced its TEBO technology, which can be applied at numerous steps during the fabrication of small node two-dimensional conventional and three-dimensional patterned wafers, in March 2016. The Company has designed its equipment models for SAPS and TEBO solutions using a modular configuration that enables it to create a wet-cleaning tool meeting the specific requirements of a customer, while using pre-existing designs for chamber, electrical, chemical delivery and other modules. In 2018, the Company introduced its Ultra-C Tahoe wafer cleaning tool, which can deliver high cleaning performance with significantly less sulfuric acid than typically consumed by conventional high-temperature single-wafer cleaning tools. In 2020, the Company introduced a range of semi-critical cleaning systems, extending its products to support additional less demanding but still important production steps to semiconductor manufacturers. Based on its electro-chemical plating (“ECP”) technology, the Company introduced in 2019 its Ultra ECP ap, or “Advanced Packaging,” tool for bumping, or applying copper, tin and nickel to semiconductor wafers at the die-level, and its Ultra ECP map, or “Multi-Anode Partial Plating,” tool to deliver advanced electrochemical copper plating for copper interconnect applications in front-end wafer fabrication processes. In 2022, the Company added two major new product categories with the introduction of the Ultra Pmax™ PECVD and Ultra Track tools. The Company also offers a range of custom-made equipment, including cleaning, coaters and developers, to back-end wafer assembly and packaging factories, principally in mainland China. In November 2016, ACM re-domesticated from California to Delaware pursuant to a merger in which ACM Research, Inc., a California corporation, was merged into a newly formed, wholly-owned Delaware subsidiary, also named ACM Research, Inc. In November 2021, ACM Shanghai completed its STAR Listing and STAR IPO and its shares began trading on the STAR Market. In the STAR IPO, ACM Shanghai issued 43,355,753 shares, representing 10% of the total 433,557,100 shares outstanding after the issuance. The shares were issued at a public offering price of RMB 85.00 per share, and the net proceeds of the STAR IPO, after issuance costs, totaled $545,512. Upon completion of the STAR IPO, ACM owned 82.5% of the outstanding ACM Shanghai shares. However, in May 2023, ACM's ownership declined to 82.1% due to the exercise of 2,150,309 stock options related to ACM Shanghai shares. The Company has direct or i ndirect interests in the follow ing subsidiaries: Effective interest held as at Name of subsidiaries Place and date of incorporation Principal Activities March 31, December 31, ACM Research (Shanghai), Inc. ("ACM Shanghai") Mainland China, May 2005 Principal operating subsidiary 82.1 % 82.1 % ACM Research (Wuxi), Inc. ("ACM Wuxi") Mainland China, July 2011 Sales and services 82.1 % 82.1 % CleanChip Technologies Limited ("CleanChip") Hong Kong, June 2017 Trading partner between ACM Shanghai and its customers 82.1 % 82.1 % ACM Research Korea CO., LTD. Korea, December 2017 Sales, marketing, R&D, production 82.1 % 82.1 % ACM Research ( Lingang), Inc. ("ACM Lingang") (1) Mainland China, March 2019 Management of production activities 82.1 % 82.1 % ACM Research (CA), Inc. ("ACM California") USA, April 2019 Procurement for ACM Shanghai 82.1 % 82.1 % ACM Research (Cayman), Inc. Cayman Islands, April 2019 Administrative function (inactive) 100.0 % 100.0 % ACM Research (Singapore) PTE. Ltd. ("ACM Singapore") Singapore, August 2021 Sales, marketing, business development 100.0 % 100.0 % ACM Research (Beijing), Inc. ("ACM Beijing") Mainland China, February 2022 Sales, marketing, business development 82.1 % 82.1 % Hanguk ACM CO., LTD Korea, March 2022 Sales, services, business development 100.0 % 100.0 % Yusheng Micro Semiconductor (Shanghai) Co., Ltd. Mainland China, June 2023 Business development 82.1 % 82.1 % ACM-Wooil Microelectronics (Shanghai) Co., Ltd. Mainland China, June 2023 Component development and production 59.4 % 59.4 % (1) ACM Research (Lingang) Inc. is the English name referred to by its Chinese language name Shengwei Research (Shanghai), Inc., or ACM Shengwei in prior filings. ACM Research (Lingang), Inc. and Shengwei Research (Shanghai), Inc. refer to the same entity. |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 3 Months Ended |
Mar. 31, 2024 | |
Accounting Policies [Abstract] | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation and Principles of Consolidation The Company’s condensed consolidated financial statements include the accounts of ACM and its subsidiaries. ACM’s subsidiaries are those entities in which ACM, directly or indirectly, controls a majority of the voting power. All significant intercompany transactions and balances have been eliminated upon consolidation. The accompanying condensed consolidated financial statements of the Company have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) for interim financial information and the rules and regulations of the Securities and Exchange Commission (the “SEC”) for reporting on Form 10-Q. Accordingly, they do not include all the information and footnotes required by GAAP for complete financial statements. The accompanying condensed consolidated financial statements should be read in conjunction with the historical consolidated financial statements of the Company for the year ended December 31, 2023 included in ACM’s Annual Report on Form 10-K for the fiscal year ended December 31, 2023. The accompanying condensed consolidated financial statements are unaudited. In the opinion of management, these unaudited condensed consolidated financial statements of the Company reflect all adjustments that are necessary for a fair presentation of the Company’s financial position and results of operations. Such adjustments are of a normal recurring nature, unless otherwise noted. The balance sheet as of March 31, 2024 and the results of operations for the three months ended March 31, 2024 are not necessarily indicative of the results to be expected for any future period. Use of Estimates The preparation of the condensed consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the balance sheet date and the reported revenues and expenses during the reported period in the condensed consolidated financial statements and accompanying notes. The Company’s significant accounting estimates and assumptions include, but are not limited to, those used for revenue recognition and deferred revenue, the valuation and recognition of fair value of certain short-term investments and long-term investments, stock-based compensation arrangements, realization of deferred tax assets, assessment for impairment of long-lived assets and long-term investments, allowance for credit losses, inventory valuation, useful lives of property, plant and equipment and useful lives of intangible assets. Management evaluates these estimates and assumptions on a regular basis. Actual results could differ from those estimates and assumptions. Cash and Cash Equivalents Cash and cash equivalents consist of cash on hand, bank deposits that are unrestricted as to withdrawal and use, and highly liquid investments with an original maturity date of three months or less at the date of purchase. At times, cash deposits may exceed government-insured limits. The following table presents cash and cash equivalents, according to jurisdiction as of March 31, 2024 and December 31, 2023: March 31, December 31, United States $ 45,179 $ 43,614 Mainland China 101,590 70,418 China Hong Kong 63,401 64,057 Korea 1,068 3,934 Singapore 67 67 Total $ 211,305 $ 182,090 The amounts in mainland China do not include short-term and long-term time deposits which totaled $76,205 and $121,342 at March 31, 2024 and December 31, 2023, respectively. Cash held in the U.S. exceeds the Federal Deposit Insurance Corporation insurance limits and is subject to risk of loss. No losses have been experienced to date. Cash amounts held in mainland China are subject to a series of risk control regulatory standards from mainland China bank regulatory authorities. ACM’s subsidiaries in mainland China are required to obtain approval from the State Administration of Foreign Exchange (“SAFE”) to transfer funds into or out of mainland China. SAFE requires a valid agreement to approve the transfers, which are processed through a bank. Other than these mainland China foreign exchange restrictions, ACM’s subsidiaries in mainland China are not subject to any restrictions and limitations on its ability to transfer funds to ACM or among our other subsidiaries. However, cash held in mainland China does exceed applicable insurance limits and is subject to risk of loss, although no such losses have been experienced to date. ACM California periodically procures goods and services on behalf of ACM Shanghai. For these transactions, ACM Shanghai makes cash payments to ACM California in accordance with applicable transfer pricing arrangements. For the three months ended March 31, 2024 and 2023, cash payments from ACM Shanghai to ACM California for the procurement of goods and services was $4,648 and $10,931, respectively. ACM California periodically borrows funds for working capital advances from its direct parent, CleanChip. ACM California repays or renews these intercompany loans in accordance with their terms. For sales through CleanChip and ACM Research, a certain amount of sales or advanced payments from customers is repatriated back to ACM Shanghai in accordance with applicable transfer pricing arrangements in the ordinary course of business. ACM Research provides services to certain customers located in the U.S., Europe and other regions outside of mainland China to support the evaluation of first tools and provide support for tools under warranty on behalf of ACM Shanghai. For these transactions, ACM Shanghai makes cash payments to ACM Research in accordance with applicable transfer pricing arrangements. Amounts held in Korea exceed the Korea Deposit Insurance Corporation insurance limits and is subject to risk of loss. No losses have been experienced to date. There is no additional restriction for the transfer of cash from bank accounts in the U.S., Korea, Singapore and Hong Kong. For the three months ended March 31, 2024 and 2023, with the exception of sales and services-related transfer-pricing payments in the ordinary course of business, no transfers, or distributions have been made between ACM Research and its subsidiaries, including ACM Shanghai, or to holders of ACM Research Class A common stock. Time Deposits Time deposits are deposited with banks in mainland China with fixed terms and interest rates which cannot be withdrawn before maturity, and are presented as short-term deposits and long-term deposits in the condensed consolidated financial statements based on their expected time of collection. They are also subject to the risk control regulatory standards described above upon maturity. At March 31, 2024 and December 31, 2023, time deposits consisted of the following: March 31, December 31, Deposit in China Merchant Bank which matured on January 29, 2024 with an annual interest rate of 2.85% $ — $ 29,797 Deposit in Bank of Ningbo which matured on February 17, 2024 with an annual interest rate of 2.85% $ — $ 44,630 Deposit in Shanghai Pudong Development Bank which matures on October 20, 2025 with an annual interest rate of 3.10% $ 7,361 $ 7,322 Deposit in Shanghai Pudong Development Bank which matures on November 14, 2025 with an annual interest rate of 3.10% $ 4,407 $ 7,307 Deposit in Shanghai Pudong Development Bank which matures on December 8, 2025 with an annual interest rate of 3.10% $ — $ 4,376 Deposit in Shanghai Pudong Development Bank which matures on December 15, 2025 with an annual interest rate of 3.10% $ 1,465 $ 4,373 Deposit in Shanghai Pudong Development Bank which matures on December 30, 2025 with an annual interest rate of 3.10% $ — $ 2,912 Deposit in China Industrial Bank which matures on January 3, 2026 with an annual interest rate of 3.15% $ 14,608 $ 14,528 Deposit in China Everbright Bank which matures on December 5, 2024 with an annual interest rate of 5.38% $ — $ 3,079 Deposit in China Everbright Bank which matures on May 22, 2024 with an annual interest rate of 5.28% $ 3,057 $ 3,018 Deposit in China Everbright Bank which matured on April 5, 2024 with an annual interest rate of 5.33% $ 3,037 $ — Deposit in China Merchant Bank, Lujiazui Branch which matures on May 27, 2024 with an annual interest rate of 1.85% $ 14,090 $ — Deposit in China Merchant Bank, Huaihai Branch which matures on May 27, 2024 with an annual interest rate of 1.85% $ 14,090 $ — Deposit in Bank of Ningbo which matures on September 11, 2024 with an annual interest rate of 1.50% $ 14,090 $ — $ 76,205 $ 121,342 For the three months ended March 31, 2024 and 2023, interest income related to time deposits was $624 and $975, respectively. Financial Instruments The Company periodically invests in equity securities, and maintains an investment portfolio of various holdings, types, and maturities. For equity investments that do not have a readily determinable fair value, the Company classified them as long-term investments, and records them using either: 1) the measurement alternative which measures the equity investments at cost minus impairment, if any, plus or minus changes resulting from qualifying observable price changes; or 2) the equity method whereby the Company recognizes its proportional share of the income or loss from the equity method investment. The equity method is utilized when the equity investments are common stock or in substance common stock, and the Company does not have the ability to control the investee but is deemed to have the ability to exercise significant influence over the investee’s operating or financial policies. For equity investments that have a readily determinable fair value, the Company classified them as short-term investments, and records them at fair market value on a recurring basis based upon quoted market prices. Realized and unrealized gains and losses resulting from application of the measurement alternative, the impact of the application of the equity method to the Company’s equity investments, and recognition of changes in fair market value, as applicable, are recognized as non-operating income (expenses), net in the co ndensed consolidated statements of comprehensive income. The Company defines fair value as the price that would be received from selling an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. When determining the fair value measurements for assets and liabilities required or permitted to be recorded at fair value, the Company considers the principal or most advantageous market in which it would transact, and it considers assumptions that market participants would use when pricing the asset or liability. A fair value hierarchy has been established that prioritizes the inputs to valuation techniques used to measure fair value. The level of an asset or liability in the hierarchy is based on the lowest level of input that is significant to the fair value measurement. Assets and liabilities carried at fair value are classified and disclosed in one of the following three categories: Level 1: Valuations based on quoted prices in active markets for identical assets or liabilities with sufficient volume and frequency of transactions. Level 2: Valuations based on observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities, quoted prices in markets that are not active for identical assets or liabilities, or model-derived valuations techniques for which all significant inputs are observable in the market or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Level 3: Valuations based on unobservable inputs to the valuation methodology that are significant to the measurement of fair value of assets or liabilities and based on non-binding, broker-provided price quotes and may not have been corroborated by observable market data. All transfers between fair value hierarchy levels are recognized by the Company at the end of each reporting period. In certain cases, the inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, an investment’s level within the fair value hierarchy is based on the lowest level of input that is significant to the fair value measurement in its entirety, requires judgment and considers factors specific to the investment. The inputs or methodology used for valuing financial instruments are not necessarily an indication of the risks associated with investment in those instruments. Assets and liabilities measured at fair value on a recurring basis: Quoted Prices in Active Markets for Identical Liabilities (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total As of March 31, 2024: Assets Cash and cash equivalents $ 36,509 $ — $ — $ 36,509 Short-term investments 18,648 — — 18,648 $ 55,157 $ — $ — $ 55,157 As of December 31, 2023: Assets Cash and cash equivalents $ 37,518 $ — $ — $ 37,518 Short-term investments 21,312 — — 21,312 $ 58,830 $ — $ — $ 58,830 Assets and liabilities measured at fair value on a non-recurring basis: Quoted Prices in Active Markets for Identical Liabilities (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total As of December 31, 2023: Assets Investments accounted for using measurement alternative $ — $ — $ 10,378 $ 10,378 $ — $ — $ 10,378 $ 10,378 The Company did not have any assets and liabilities measured at fair value on a non-recurring basis as of March 31, 2024, and the Company did not recognize any unrealized gains (upward adjustments) or unrealized losses (downward adjustments) resulting from observable price changes in orderly transactions for an identical or similar investment of the same issuer for its long-term investments accounted for using measurement alternatives during the three months ended March 31, 2024 and 2023. Refer to Note 12 for fair value information related to the Company’s outstanding long-term borrowings as of March 31, 2024 and December 31, 2023 . Basic and Diluted Net Income per Share of Common Stock Basic and diluted net income per share of common stock are calculated as follows: Three Months Ended March 31, 2024 2023 Numerator: Net income $ 22,092 $ 8,963 Less: Net income attributable to non-controlling interests 4,659 1,818 Net income available to common stockholders, basic $ 17,433 $ 7,145 Less: Dilutive effect arising from stock-based awards by ACM Shanghai 354 93 Net income available to common stockholders, diluted $ 17,079 $ 7,052 Weighted average shares outstanding, basic 61,367,184 59,736,764 Effect of dilutive securities 4,875,137 5,322,013 Weighted average shares outstanding, diluted 66,242,321 65,058,777 Net income per share of common stock: Basic $ 0.28 $ 0.12 Diluted $ 0.26 $ 0.11 Basic and diluted net income per share of common stock is presented using the two-class method, which allocates undistributed earnings to common stock and any participating securities according to dividend rights and participation rights on a proportionate basis. Under the two-class method, basic net income per share of common stock is computed by dividing the sum of distributed and undistributed earnings attributable to common stockholders by the weighted average number of shares of common stock outstanding during the period. ACM Research did not have any participating securities outstanding during the three months ended March 31, 2024 and 2023. ACM Research has been authorized to issue Class A and Class B common stock since redomesticating in Delaware in November 2016. The two classes of common stock are substantially identical in all material respects, except for voting rights. Since ACM Research did not declare any cash dividends during the three months ended March 31, 2024 or 2023, the net income per share of common stock attributable to each class is the same under the “two-class” method. As such, the two classes of common stock have been presented on a combined basis in the condensed consolidated statements of comprehensive income and in the above computation of net income per share of common stock. Diluted net income per share of common stock reflects the potential dilution from securities, such as stock options that could share in ACM Research’s earnings. Certain potential dilutive securities were excluded from the net income per share calculation because the impact would be anti-dilutive. The number of potentially dilutive shares that were not included in the calculation of diluted net income per share in the periods presented where their inclusion would be anti-dilutive were 728,575 and 1,967,685 stock options for the three months ended March 31, 2024 and 2023, respectively. Concentration of Credit Risk Financial instruments that potentially subject the Company to credit risk consist principally of cash and cash equivalents, time deposits, and accounts receivable. The Company deposits and invests its cash and cash equivalents and time deposits with financial institutions that management believes are creditworthy. The Company is potentially subject to concentrations of credit risks in its revenue and accounts receivable. For the three months ended March 31, 2024 and 2023, two customers accounted for 55.9% and four customers accounted for 59.7% of revenue, respectively. As of March 31, 2024 and December 31, 2023, four customers accounted for 56.2% and four customers accounted for 59.1%, respectively, of the Company’s accounts receivables. The Company believes that the receivable balances from these largest customers do not represent a significant credit risk based on past collection experience. Recently issued accounting pronouncements not yet adopted In November 2023, the FASB issued ASU No. 2023-07, Improvements to Reportable Segment Disclosures . This ASU updates reportable segment disclosure requirements by requiring disclosures of significant reportable segment expenses that are regularly provided to the Chief Operating Decision Maker (“CODM”) and included within each reported measure of a segment's profit or loss. This ASU also requires disclosure of the title and position of the individual identified as the CODM and an explanation of how the CODM uses the reported measures of a segment’s profit or loss in assessing segment performance and deciding how to allocate resources. The ASU is effective for annual periods beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024. Adoption of the ASU should be applied retrospectively to all prior periods presented in the financial statements. Early adoption is also permitted. The Company is currently evaluating the provisions of this ASU and expect to adopt it for the year ending December 31, 2024. In December 2023, the FASB issued ASU No. 2023-09, Improvements to Income Tax Disclosures (Topic 740). The ASU requires disaggregated information about a reporting entity’s effective tax rate reconciliation as well as additional information on income taxes paid. The ASU is effective on a prospective basis for annual periods beginning after December 15, 2024. Retrospective application is permitted. Early adoption is also permitted for annual financial statements that have not yet been issued or made available for issuance. The Company is currently evaluating the provisions of this ASU. |
REVENUE FROM CONTRACTS WITH CUS
REVENUE FROM CONTRACTS WITH CUSTOMERS | 3 Months Ended |
Mar. 31, 2024 | |
Revenue from Contract with Customer [Abstract] | |
REVENUE FROM CONTRACTS WITH CUSTOMERS | REVENUE FROM CONTRACTS WITH CUSTOMERS The Company assesses revenues based upon the nature or type of goods or services it provides and the geographic location of the customer facility. The following tables present disaggregated revenue information: Three Months Ended March 31, 2024 2023 Single Wafer Cleaning, Tahoe and Semi-Critical Cleaning Equipment $ 109,470 $ 36,614 ECP (front-end and packaging), Furnace and Other Technologies 25,800 26,598 Advanced Packaging (excluding ECP), Services & Spares 16,921 11,044 Total Revenue by Product Category $ 152,191 $ 74,256 Three Months Ended March 31, 2024 2023 Mainland China $ 152,135 $ 72,458 Other regions 56 1,798 $ 152,191 $ 74,256 Below are the accounts receivables and contract liabilities balances as of: March 31, December 31, Accounts receivable 296,371 283,186 Advances from customers 182,547 181,368 Deferred revenue 4,405 3,687 During the three months ended March 31, 2024, advances from customers increased by $1.2 million, due to an increase of payments made by customers for first tools under evaluation, offset by a decrease in customer pre-payments for tools prior to delivery. Below are revenues recognized from amounts included in contract liabilities at the beginning of the year: Three Months Ended March 31, 2024 2023 Revenue recognized from amounts included in contract liabilities at the beginning of the year $ 29,188 $ 15,212 |
ACCOUNTS RECEIVABLE
ACCOUNTS RECEIVABLE | 3 Months Ended |
Mar. 31, 2024 | |
Receivables [Abstract] | |
ACCOUNTS RECEIVABLE | ACCOUNTS RECEIVABLE At March 31, 2024 and December 31, 2023, accounts receivable consisted of the following: March 31, December 31, Accounts receivable $ 302,372 $ 288,016 Less: Allowance for credit losses (6,001) (4,830) $ 296,371 $ 283,186 The $13.2 million increase in accounts receivable for the first three months of 2024 corresponds to a $77.9 million increase in revenue for the same period. The movement of the allowance for credit losses for the three months ended March 31, 2024 is as follows: Allowance for credit losses, before tax, as of January 1 Provision for credit losses Allowance for credit losses, before tax, as of March 31 March 31, $ (4,830) (1,171) $ (6,001) |
INVENTORIES
INVENTORIES | 3 Months Ended |
Mar. 31, 2024 | |
Inventory Disclosure [Abstract] | |
INVENTORIES | INVENTORIES At March 31, 2024 and December 31, 2023, inventories consisted of the following: March 31, December 31, Raw materials $ 256,332 $ 235,062 Work-in-process 61,871 81,438 Finished goods 262,937 228,895 Total inventory $ 581,140 $ 545,395 At March 31, 2024 and December 31, 2023, the value of finished goods inventory of which were first-tools at customer physical locations for which customers were contractually obligated to take ownership upon acceptance totaled $163,484 and $123,390, respectively. The $21,270 increase in raw materials at March 31, 2024 compared to December 31, 2023 was due to additional purchase of supplies to support a higher level of expected total shipments for the next several quarters, and to reduce the risk of supply chain delays to meet anticipated customer demand for the Company’s products. The $34,042 increase in finished goods inventory at March 31, 2024 compared to December 31, 2023 reflects a higher value of first-tools under evaluation by existing or prospective customers, due to shipments made, net of customer acceptances during the period. The Company’s products each require a certain degree of customization, and the substantial majority of the work-in-process inventory and finished goods inventory is built to meet a specific customer order for a repeat shipment or a first tool shipment. At the end of each period, the Company assesses the status of each item in work-in-process and finished goods inventory. The Company recognizes a loss or impairment if in management’s judgement the inventory cannot be sold or used for production, if it has been damaged or should be considered as obsolete, or if the net realizable value is lower than the cost. At the end of each period, the Company also assesses the status of its raw materials. The Company recognizes a loss or impairment for any raw materials aged more than three years. The three-year aging is based on the Company’s assessment of technology change, its requirement to maintain stock for warranty coverage, and other factors. |
PROPERTY, PLANT AND EQUIPMENT,
PROPERTY, PLANT AND EQUIPMENT, NET | 3 Months Ended |
Mar. 31, 2024 | |
Property, Plant and Equipment [Abstract] | |
PROPERTY, PLANT AND EQUIPMENT, NET | PROPERTY, PLANT AND EQUIPMENT, NET At March 31, 2024 and December 31, 2023, property, plant and equipment consisted of the following: March 31, December 31, Buildings and plants $ 82,933 $ 83,109 Manufacturing equipment 16,702 16,556 Office equipment 5,061 4,953 Transportation equipment 402 404 Leasehold improvement 7,961 7,889 Total cost 113,059 112,911 Less: Total accumulated depreciation and amortization (19,531) (17,503) Construction in progress 125,294 106,440 Total property, plant and equipment, net $ 218,822 $ 201,848 Depreciation expense for the three months ended March 31, 2024 and 2023 was $2,475 and $1,714, respectively. Buildings and plants represent Lingang housing property owned by ACM Liangang at a value of RMB 249,746 ($35,189) , and facilities for the new headquarters of ACM Shanghai ("Zhangjiang New Building") at a value of RMB 338,848 ($47,744), as of March 31, 2024. The Lingang housing property is pledged as security for loans from China Merchants Bank (Note 12). Construction in progress primarily refle cts costs incurred related to the construction of ACM Shanghai’s Lingang development and production center, and is scheduled to begin pr |
LAND USE RIGHT, NET
LAND USE RIGHT, NET | 3 Months Ended |
Mar. 31, 2024 | |
Land Use Right, Net [Abstract] | |
LAND USE RIGHT, NET | LAND USE RIGHT, NET A summary of land use right is as follows: March 31, December 31, Land use right purchase amount $ 8,977 $ 8,996 Less: accumulated amortization (672) (629) Land use right, net $ 8,305 $ 8,367 The amortization for the three months ended March 31, 2024 and 2023 was $43 and $50, respectively. The annual amortization of land use right is as follows: Year ending December 31, remainder of 2024 $ 135 2025 180 2026 180 2027 180 2028 180 2029 and thereafter 7,450 Total $ 8,305 |
OTHER LONG-TERM ASSETS
OTHER LONG-TERM ASSETS | 3 Months Ended |
Mar. 31, 2024 | |
Other Assets, Noncurrent Disclosure [Abstract] | |
OTHER LONG-TERM ASSETS | OTHER LONG-TERM ASSETS At March 31, 2024 and December 31, 2023, other long-term assets consisted of the following: March 31, December 31, Prepayments for property, plant and equipment $ 7,690 $ 3,380 Lease deposits 867 834 Security deposit for land use right 695 696 Others 1,219 1,140 Total other long-term assets $ 10,471 $ 6,050 |
SHORT-TERM BORROWINGS
SHORT-TERM BORROWINGS | 3 Months Ended |
Mar. 31, 2024 | |
Debt Disclosure [Abstract] | |
SHORT-TERM BORROWINGS | SHORT-TERM BORROWINGS At March 31, 2024 and December 31, 2023, s hort-term borrowings consisted of the following: March 31, December 31, Line of credit up to RMB 150,000 from China Everbright Bank, 1)due on August 29, 2024 with an annual interest rate of 3.00%. 2,459 2,463 Line of credit up to RMB 40,000 from Bank of China, 1)due on September 7, 2024 with an annual interest rate of 2.87%. 5,640 5,648 Line of credit up to RMB 200,000 from China Merchants Bank, 1)due on August 7, 2024 with an annual interest rate of 3.00%. 1,269 1,271 2)due on August 8, 2024 with an annual interest rate of 3.00%. 1,269 1,271 3)due on August 9, 2024 with an annual interest rate of 3.00%. 1,269 1,271 4)due on August 14, 2024 with an annual interest rate of 3.00%. 1,269 1,271 5)due on August 17, 2024 with an annual interest rate of 3.00%. 1,269 1,271 6)due on August 20, 2024 with an annual interest rate of 3.00%. 1,269 1,271 7)due on August 21, 2024 with an annual interest rate of 3.00%. 1,269 1,271 8)due on August 22, 2024 with an annual interest rate of 3.00%. 1,269 1,271 9)due on August 24, 2024 with an annual interest rate of 3.00%. 1,269 1,271 10)due on August 27, 2024 with an annual interest rate of 3.00%. 1,269 1,271 11)due on August 29, 2024 with an annual interest rate of 3.00%. 1,269 1,271 12)due on August 30, 2024 with an annual interest rate of 3.00%. 1,269 1,271 13)due on September 3, 2024 with an annual interest rate of 3.00%. 1,269 1,271 14)due on September 5, 2024 with an annual interest rate of 3.00%. 1,269 1,270 15)due on September 6, 2024 with an annual interest rate of 3.00%. 1,269 1,270 16)due on September 10, 2024 with an annual interest rate of 3.00%. 1,269 1,270 17)due on September 12, 2024 with an annual interest rate of 3.00%. 1,269 1,270 18)due on February 27, 2025 with an annual interest rate of 2.60%. 1,340 — 19)due on February 28, 2025 with an annual interest rate of 2.60%. 1,340 — 20)due on March 1, 2025 with an annual interest rate of 2.60%. 1,340 — 21)due on March 5, 2025 with an annual interest rate of 2.60%. 1,340 — 22)due on March 8, 2025 with an annual interest rate of 2.60%. 1,270 — Line of credit up to RMB 120,000 from Bank of China, 1)due on March 20, 2025 with an annual interest rate of 2.75%. 16,921 — Line of credit up to KRW 500,000 from Industrial Bank of Korea, 1)due on July 12, 2024 with an annual interest rate of 6.03%. — 77 Line of credit up to KRW 2,000,000 from Industrial Bank of Korea, 1)due on December 15, 2024 with an annual interest rate of 4.27%. 1,483 1,544 Total $ 54,706 $ 31,335 For the three months ended March 31, 2024 and 2023, interest expense related to short-term borrowings amounted to $213 an d $490, respectiv ely. |
OTHER PAYABLES AND ACCRUED EXPE
OTHER PAYABLES AND ACCRUED EXPENSES | 3 Months Ended |
Mar. 31, 2024 | |
Payables and Accruals [Abstract] | |
OTHER PAYABLES AND ACCRUED EXPENSES | OTHER PAYABLES AND ACCRUED EXPENSES At March 31, 2024 and December 31, 2023, other payables and accrued expenses consisted of the following: March 31, December 31, Accrued commissions $ 15,932 $ 15,572 Accrued warranty 11,339 9,834 Accrued payroll 16,550 14,840 Accrued professional fees 113 696 Accrued machine testing fees 1,863 1,762 Accrued machine sales fees 4,942 6,010 Accrued Lingang construction fees 33,546 33,729 Others 22,813 20,508 Total $ 107,098 $ 102,951 |
LEASES
LEASES | 3 Months Ended |
Mar. 31, 2024 | |
Leases [Abstract] | |
LEASES | LEASES The Company leases space under non-cancelable operating leases for several offices and manufacturing locations. These leases do not have significant rent escalation holidays, concessions, leasehold improvement incentives, or other build-out clauses. Further, the leases do not contain contingent rent provisions. Most leases include one or more options to renew. The Company regularly evaluates the renewal options, and when they are reasonably certain of exercise, the Company includes the renewal period in its lease term. The components of lease expense were as follows: Three Months Ended March 31, 2024 2023 Operating lease cost $ 973 $ 488 Short-term lease cost 321 282 Total lease cost $ 1,294 $ 770 Supplemental cash flow information related to operating leases was as follows: Three Months Ended March 31, 2024 2023 Operating cash outflow from operating leases $ 973 $ 488 Operating lease right-of-use assets obtained in exchange for new operating lease liabilities $ 80 $ 6,592 As of March 31, 2024, maturities of outstanding lease liabilities for all operating leases were as follows: December 31, remainder of 2024 $ 2,370 2025 1,800 2026 1,215 2027 1,148 2028 and thereafter 595 Total lease payments $ 7,128 Less: Interest (630) Present value of lease liabilities $ 6,498 The weighted average remaining lease terms and discount rates for all operating leases were as follows: March 31, December 31, Remaining lease term and discount rate: Weighted average remaining lease term (years) 3.37 3.44 Weighted average discount rate 3.87 % 3.91 % |
LONG-TERM BORROWINGS
LONG-TERM BORROWINGS | 3 Months Ended |
Mar. 31, 2024 | |
Long-Term Debt, by Current and Noncurrent [Abstract] | |
LONG-TERM BORROWINGS | LONG-TERM BORROWINGS At March 31, 2024 and December 31, 2023, long-term borrowings consisted of the following: March 31, December 31, Loan from China Merchants Bank $ 12,919 $ 13,362 Loans from Bank of China 4,759 5,013 Loan from Bank of Shanghai 14,101 14,120 Loan from China CITIC Bank 28,178 28,240 Less: Current portion (6,549) (6,783) Total $ 53,408 $ 53,952 The loan from China Merchants Bank is for the purpose of purchasing housing property in Lingang, Shanghai. The loan is repayable in 120 total installments with the last installment due in November 2030, with an annual interest rate o f 3.95%. The loan is pledged by the property of ACM Lingang and guaranteed by ACM Shanghai. Two loans from Bank of China are for the purpose of funding ACM Shanghai project expenditures. The loans bear interest at an annual rate of 2.6% and are repayable in 6 installments, with the last installments due in June 2024 and September 2024, respectively . The loan from Bank of Shanghai is for the purpose of funding ACM Shanghai project expenditures. The loan bears interest at an annual rate of 2.85%, and will be fully repaid in April 2025. The first loan from China CITIC Bank is for the purpose of funding ACM Shanghai project expenditures. The loan bears interest at an annual rate of 3.1% and is repayable in 4 installments, with the last installment due in August 2025. The second loan from China CITIC bank is for the purpose of funding ACM's general corporate expenses and working capital. The loan bears interest at an annual rate of 4.50% payable quarterly, and the principal amount is repayable in 4 installments, with the last installment due in December 2025. As of March 31, 2024 and December 31, 2023, the total carrying amount of long-term loans was $59,957 and $60,735, compared with an estimated fair value of $56,409 and $56,462, respectively. The fair value of the long-term loans is estimated by discounting cash flows using interest rates currently available for debts with similar terms and maturities (Level 2 fair value measurement). Refer to Note 2 for an explanation of the fair value hierarchy structure. Scheduled principal payments for the outstanding long-term loan, including the current portion, as of March 31, 2024 are as follows: Year ending December 31 remainder of 2024 $ 6,120 2025 43,993 2026 1,851 2027 1,925 2028 2,003 Thereafter 4,065 $ 59,957 |
OTHER LONG-TERM LIABILITIES
OTHER LONG-TERM LIABILITIES | 3 Months Ended |
Mar. 31, 2024 | |
Other Liabilities Disclosure [Abstract] | |
OTHER LONG-TERM LIABILITIES | OTHER LONG-TERM LIABILITIES Other long-term liabilities represent government subsidies received from mainland China governmental authorities for development and commercialization of certain technology but not yet recognized. At March 31, 2024 and December 31, 2023, other long-term liabilities consisted of the following unearned government subsidies: March 31, 2024 December 31, 2023 Subsidies to Stress Free Polishing project, commenced in 2008 and 2017 $ 189 $ 475 Subsidies to other cleaning tools, commenced in 2020 647 632 Subsidies to SW Lingang R&D development in 2021 3,454 3,467 Other 1,179 1,299 Total $ 5,469 $ 5,873 |
LONG-TERM INVESTMENT
LONG-TERM INVESTMENT | 3 Months Ended |
Mar. 31, 2024 | |
Long-Term Investments [Abstract] | |
LONG-TERM INVESTMENT | LONG-TERM INVESTMENTS On January 12, 2024, ACM Shanghai entered into an investment agreement with Company C to invest RMB 12,500 ($1,760), which represented 0.3% of the Company C's total equity interest. Since there is no readily determinable fair value, the Company measures the investments at measurement alternative. On January 19, 2024, ACM Shanghai entered into a limited partnership agreement with Company D to invest RMB 30,000 ($4,230), which represented 16.7% of the partnership's total equity interest. The investment in the limited partnership with Company D is accounted for under the equity method in accordance with ASC323-30-S99-1. Equity investee: Initial investment dates Investment entity Percent ownership by ACM and subsidiaries Investment purchase price Ninebell Co., Ltd. ("Ninebell") September 2017 ACM 20.0% $ 1,200 Shengyi Semiconductor Technology Co., Ltd. ("Shengyi") June 2019 ACM Shanghai 14.0% $ 109 Hefei Shixi Chanheng Integrated Circuit Industry Venture Capital FundPartnership (LP) (“Hefei Shixi”) September 2019 ACM Shanghai 10.0% RMB 30,000 ($4,200) Wooil Flucon Co. ("Wooil") August 2022 ACM Singapore 20.0% $ 1,000 Company D February 2024 ACM Shanghai 16.7% RMB 30,000 ($4,230) Investments accounted for using measurement alternative: Waferworks (Shanghai) Co., Ltd. (“Waferworks”) October 2021 ACM Shanghai 0.3% $ 1,568 Company A September 2023 ACM Shanghai 4.4% RMB 30,000 ($4,200) Shengyi September 2023 ACM Shanghai 1.0% RMB 6,100 ($860) Company B November 2023 ACM Shanghai 1.4% RMB 6,600 ($930) Company C February 2024 ACM Shanghai 5.0% RMB 12,500 ($1,760) Equity investee: March 31, December 31, Ninebell $ 5,481 $ 5,632 Wooil 989 1,003 Shengyi 1,999 1,693 Hefei Shixi 7,888 9,174 Company D 4,227 — Subtotal 20,584 17,502 Investments accounted for using measurement alternative: Waferworks — 1,412 Shengyi 856 857 Company A 4,227 4,236 Company B 930 932 Company C 1,761 — Other 2,935 2,941 Total 31,293 27,880 For the three months ended March 31, 2024 and 2023, the Company’s share of equity investees’ net loss was $520 and $32, respectively, which amounts were included in loss from equity method investments in the accompanying condensed consolidated statements of comprehensive income. For the three months ended March 31, 2024 and 2023, the Company received $600 and $0 dividends from equity investee. |
SHORT-TERM INVESTMENTS
SHORT-TERM INVESTMENTS | 3 Months Ended |
Mar. 31, 2024 | |
Investments, Debt and Equity Securities [Abstract] | |
SHORT-TERM INVESTMENTS | SHORT-TERM INVESTMENTS Pursuant to an Agreement entered into on September 19, 2022 (the ‘‘Agreement’’), ACM Shanghai became a limited partner of the Nuode Asset Fund Pujiang No. 783 Single Asset Management Plan (‘‘Nuode Asset Fund’’), a Chinese limited partnership formed by Nuode Asset Management Co., Ltd, a financial services firm based in Shanghai, China. Nuode Asset Fund was formed to establish a special fund with the purpose to participate in certain technology related investments in mainland China. Subsequent to the future purchase, any investment will be held by Nuode Asset Fund and restricted for a minimum period of nine months. The limited partners of the Nuode Asset Fund contributed a total RMB 160 million ($22,160) to the fund, of which ACM Shanghai contributed RMB 30 million ($4,196), or 18.75% of the contribution on September 27, 2022. In December 2022, the Nuode Asset Fund purchased shares in the secondary stock offering of a publicly traded mainland China-stock listing. The number of shares owned by Nuode Asset Fund was apportioned to all of the limited partners in proportion to their respective capital contributions which is 18.75% in the case of ACM Shanghai. The investments were fully disposed in the three months ended March 31, 2024 and the Company has not received the proceeds as of March 31, 2024 with a receivable of RMB 22,478 ($3,167) was recorded. Pursuant to a Share Purchase Agreement dated June 2023, ACM Shanghai acquired shares of Huahong Semiconductor Limited (“Huahong”) in July 2023 with amount of RMB 100 million ($13,930). The shares held by ACM Shanghai are restricted for sale for a minimum period of twelve months. Huahong completed its STAR IPO in August 2023. Pursuant to a Share Purchase Agreement dated August 2023, ACM Shanghai acquired shares of Zhongjuxin Limited Company (“Zhongjuxin”) in September 2023 with amount of RMB 30 million ($4,179). The shares held by ACM Shanghai are restricted for sale for a minimum period of twelve months. Zhongjuxin completed its STAR IPO in September 2023. Pursuant to a Share Purchase Agreement dated January 2024, ACM Shanghai acquired shares of Shanghai Syncrystalline Silicon Materials Co., Ltd. (“Syncrystalline”) in February 2024 with amount of RMB 10,000 ($ 1,409 ). The shares held by ACM Shanghai are restricted for sale for a minimum period of twelve months. Syncrystalline completed its STAR IPO in February 2024. As of March 31, 2024, the Company's total investment costs in Syncrystalline were RMB 20,000($2,818), including RMB 10,000 ($1,409) invested by ACM Shanghai in 2021 and RMB 10,000 ($1,409) invested by ACM Shanghai in February 2024. At March 31, 2024 and December 31, 2023, the components of short-term investments were as follows: March 31, December 31, Short-term investments listed in Shanghai Stock Exchange Cost $ 21,135 $ 20,155 Market value 18,648 21,312 For the three months ended March 31, 2024 and 2023, the net gains (losses) recognized on equity securities were as follows: Three Months Ended March 31, 2024 2023 Unrealized losses recognized during the reporting period on equity securities still held at March 31 $ (2,595) $ (654) Net gains recognized during the period on equity securities sold during the period $ 273 $ 3,994 Total net gains (losses) recognized at March 31 on equity securities $ (2,322) $ 3,340 For the three months ended March 31, 2024, the Company recognized a receivable of RMB 22,478 ($3,167) from the sales of short-term investments, including a realized gain of $273. For the three months ended March 31, 2023, the Company received $11,072 in proceeds from the sale of short-term investments, including a realized gain of $3,994. |
RELATED PARTY BALANCES AND TRAN
RELATED PARTY BALANCES AND TRANSACTIONS | 3 Months Ended |
Mar. 31, 2024 | |
Related Party Transactions [Abstract] | |
RELATED PARTY BALANCES AND TRANSACTIONS | RELATED PARTY BALANCES AND TRANSACTIONS Ninebell Ninebell is an equity investee of ACM (Note 14) and is the Company’s principal supplier of robotic delivery system subassemblies used in our single-wafer cleaning equipment. The Company purchases equipment from Ninebell for production in the ordinary course of business. The Company pays for a portion of the equipment in advance and is obligated for the remaining amounts upon receipt of the product. Shengyi Shengyi is an equity investee of ACM Shanghai (Note 14) and is one of the Company’s component suppliers in mainland China. The Company purchases components from Shengyi for production in the ordinary course of business. The Company incurs a service fee related to installation and hook-up fees which is recorded within cost of revenue on the Company’s condensed consolidated statements of comprehensive income. The Company pays for a portion of the raw materials in advance and is obligated for the remaining amounts upon receipt of the product. All related party outstanding balances are short-term in nature and are expected to be settled in cash. The following tables reflect related party transactions in our condensed consolidated financial statements: Advances to related party March 31, December 31, Ninebell $ 1,338 $ 2,432 Accounts payable March 31, December 31, Ninebell $ 12,571 $ 7,624 Shengyi 3,672 3,783 Total $ 16,243 $ 11,407 Three Months Ended March 31, Purchase of materials 2024 2023 Ninebell $ 14,152 $ 16,397 Shengyi 992 1,973 Total $ 15,144 $ 18,370 Three Months Ended March 31, Service fee charged by 2024 2023 Shengyi $ 73 $ 278 |
COMMON STOCK
COMMON STOCK | 3 Months Ended |
Mar. 31, 2024 | |
Equity [Abstract] | |
COMMON STOCK | COMMON STOCK ACM is authorized to issue 150,000,000 shares of Class A common stock and 5,307,816 shares of Class B common stock, each with a par value of $0.0001. Each share of Class A common stock is entitled to one vote, and each share of Class B common stock is entitled to twenty votes and is convertible at any time into one share of Class A common stock. Shares of Class A common stock and Class B common stock are treated equally, identically and ratably with respect to any dividends declared by the Board of Directors of ACM unless such Board of Directors declares different dividends to the Class A common stock and Class B common stock, which is subject to approval from a majority of common stockholders. During the three months ended March 31, 2024, ACM issued 950,605 shares of Class A common stock upon option exercises by employees and non-employees. During the three months ended March 31, 2023, ACM issued 163,069 sha res of Class A common stock upon option exercises by employees and non-employees. At March 31, 2024 and December 31, 2023, the number of shares of Class A common stock issued and outs tanding wa s 56,986,777 and 56,036,172, respectively. At March 31, 2024 and December 31, 2023, the number of shares of Class B common stock issued and outstanding was 5,021,811 and 5,021,811, respectively. |
STOCK-BASED COMPENSATION
STOCK-BASED COMPENSATION | 3 Months Ended |
Mar. 31, 2024 | |
Share-Based Payment Arrangement [Abstract] | |
STOCK-BASED COMPENSATION | STOCK-BASED COMPENSATION ACM’s stock-based compensation consists of employee and non-employee awards issued under its 1998 Stock Option Plan and its 2016 Omnibus Incentive Plan. The vesting condition may consist of a service period condition determined by the Board of Directors for a grant or certain performance conditions determined by the Board of Directors for a grant. The fair value of the stock options granted with a service period based condition and/or performance condition is estimated at the date of grant using the Black-Scholes option pricing model. The fair value of the stock option s granted with a market based condition is estimated at the date of grant using the Monte Carlo simulation model. Employee Awards The following table summarizes the Company’s employee share option activities during the three months ended March 31, 2024: Number of Weighted Weighted Weighted Average Outstanding at December 31, 2023 9,998,637 $ 5.15 $ 9.59 6.17 years Granted 3,000 23.95 31.92 Exercised (851,954) 2.7 5.74 Forfeited/cancelled (24,330) 11.14 23.08 Outstanding at March 31, 2024 9,125,353 $ 5.37 $ 9.79 6.07 years Vested and exercisable at March 31, 2024 5,278,784 As of March 31, 2024 and December 31, 2023, $24,670 and $27,152, respectively, of total unrecognized employee stock-based compensation expense, net of estimated forfeitures, related to employee stock-based awards for ACM were expected to be recognized over a weighted-average period of 3.8 years and 4.0 years, respectively. Total recognized compensation cost may be adjusted for future changes in estimated forfeitures. The aggregate intrinsic value of options exercised in the three months ended March 31, 2024 was $21,865. The aggregate intrinsic value of options outstanding and exercisable as of March 31, 2024 were $178,674 and $117,476, respectively. The fair value of options granted to employees is estimated on the grant date using the Black-Scholes valuation with following assumptions: Three Months Ended Fair value of common share(1) 31.92 Expected term in years(2) 6.25 Volatility(3) 85.48% Risk-free interest rate(4) 4.23% Expected dividend (5) —% (1) Fair value of Class A common stock value was closing market price of the Class A common stock on the grant date. (2) Expected term of share options is based on the average of the vesting period and the contractual term for each grant. (3) Volatility is calculated based on the historical volatility of ACM in the period equal to the expected term of each grant. (4) Risk-free interest rate is based on the yields of U.S. Treasury securities with maturities similar to the expected term of the share options in effect at the time of grant. (5) Expected dividend is assumed to be 0% as ACM has no history or expectation of paying a dividend on its common stock. Non-employee Awards The following table summarizes the Company’s non-employee share option activities during the three months ended March 31, 2024: Number of Weighted Weighted Weighted Outstanding at December 31, 2023 1,170,795 $ 0.42 $ 1.31 2.66 years Exercised (98,651) 0.22 0.50 Forfeited/cancelled (1,903) 0.22 0.50 Outstanding at March 31, 2024 1,070,241 $ 0.44 $ 1.39 2.51 years Vested and exercisable at March 31, 2024 1,070,241 As of March 31, 2024 and December 31, 2023, $0 and $9, respectively, of total unrecognized non-employee stock-based compensation expense, net of estimated forfeitures, related to stock-based awards were expected to be recognized over a weighted-average period of 0 years and 0.2 years, respectively. Total recognized compensation cost may be adjusted for future changes in estimated forfeitures. The aggregate intrinsic value of options exercised in the three months ended March 31, 2024 was $2,756. The aggregate intrinsic value of options outstanding and exercisable as of March 31, 2024 was $29,702. ACM Shanghai 2019 Option Grants In January 2020, ACM Shanghai adopted a 2019 Stock Option Incentive Plan (the “2019 Subsidiary Stock Option Plan”) that provides for, among other incentives, the granting to officers, directors, and employees of options to purchase shares of ACM Shanghai’s common stock. The following table summarizes the stock option activities of the ACM Shanghai 2019 Subsidiary Stock Option Plan during the three months ended March 31, 2024: Number of Weighted Weighted Weighted Outstanding at December 31, 2023 3,134,883 $ 0.24 $ 1.85 0.85 years Forfeited/cancelled (92,308) $ 0.24 $ 1.85 Outstanding at March 31, 2024 3,042,575 $ 0.24 $ 1.85 0.65 years Vested and exercisable at March 31, 2024 3,042,575 The aggregate intrinsic value of options exercised in the three months ended March 31, 2024 was $0. The aggregate intrinsic value of options outstanding and exercisable as of March 31, 2024 was $31,616. ACM Shanghai 2023 Option Grants In June 2023, ACM Shanghai adopted a 2023 Stock Option Incentive Plan (the "2023 Subsidiary Stock Option Plan”) that provides for, among other incentives, the granting to officers, directors, and employees of options to purchase shares of ACM Shanghai’s common stock. The vesting conditions consist of service periods conditions and performance conditions related to certain sales and research and development progress targets determined by the Board of Directors of ACM Shanghai. The following table summarizes the ACM Shanghai 2023 Subsidiary Stock Option Plan’s stock option activities during the three months ended March 31, 2024: Number of Option Shares in ACM Shanghai Weighted Weighted Weighted Outstanding at December 31, 2023 10,575,500 $ 9.49 $ 7.06 3.09 years Forfeited/cancelled (84,000) $ 9.49 $ 7.06 Outstanding at March 31, 2024 10,491,500 $ 9.12 $ 7.01 2.84 years Vested and exercisable at March 31, 2024 - During the three months ended March 31, 2024, ACM Shanghai did not grant any options from the 2023 Subsidiary Stock Option Plan. As of March 31, 2024 and December 31, 2023, $ 65,682 and $79,882, respectively, of total unrecognized non-employee stock-based compensation expense, net of estimated forfeitures, related to ACM Shanghai stock-based awards were expected to be recognized over a weighted-average period of 1.8 years and 2.1 years, respectively. Total recognized compensation cost may be adjusted for future changes in estimated forfeitures. The aggregate intrinsic value of options exercised in the three months ended March 31, 2024 was $0. The aggregate intrinsic value of options outstanding and exercisable as of March 31, 2024 were $54,686 and $0, respectively. The following table summarizes the components of stock-based compensation expense included in the condensed consolidated statements of comprehensive income: Three Months Ended March 31, 2024 2023 Stock-Based Compensation Expense: Cost of revenue $ 781 $ 125 Sales and marketing expense 3,027 431 Research and development expense 4,503 701 General and administrative expense 6,258 811 $ 14,569 $ 2,068 Three Months Ended March 31, 2024 2023 Stock-based compensation expense by type: Employee stock purchase plan $ 2,353 $ 2,018 Non-employee stock purchase plan 9 11 2019 and 2023 Subsidiary option grants 12,207 39 $ 14,569 $ 2,068 |
INCOME TAXES
INCOME TAXES | 3 Months Ended |
Mar. 31, 2024 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | INCOME TAXES Income taxes are accounted for under the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and operating loss and tax credit carry-forwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect of a change in tax rates on deferred tax assets and liabilities is recognized in income in the period during which such rates are enacted. The Company considers all available evidence to determine whether it is more likely than not that some portion or all of the deferred tax assets will be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income during the periods in which those temporary differences become realizable. Management considers the scheduled reversal of deferred tax liabilities (including the impact of available carryback and carry-forward periods) and projected taxable income in assessing the realizability of deferred tax assets. In making such judgments, significant weight is given to evidence that can be objectively verified. As of each reporting date, management considers new evidence, both positive and negative, that could affect its view of the future realization of deferred tax assets. Prior to September 30, 2019, the Company had recorded a valuation allowance for the full amount of net deferred tax assets in the United States, as the realization of deferred tax assets was uncertain. Since September 30, 2019, the Company has not maintained a valuation allowance except for a partial valuation allowance on certain U.S. and foreign deferred tax assets. In order to recognize the remaining U.S. deferred tax assets that continue to be subject to a valuation allowance, the Company will need to generate sufficient U.S. taxable income in future periods before the expiration of the deferred tax assets governed by the tax code. ACM Shanghai has shown a three-year historical cumulative profit and has projections of future income. As a result, the Company does not maintain a valuation allowance. The Company accounts for uncertain tax positions in accordance with the authoritative guidance on income taxes under which the Company may only recognize or continue to recognize tax positions that meet a more likely than not threshold. The Company recognizes accrued interest and penalties related to unrecognized tax benefits as a component of the provision for income taxes. The Company’s effective tax rate differs from statutory rates of 21% for U.S. federal income tax purposes and 15% to 25% for Chinese income tax purposes due to the effects of the valuation allowance and certain permanent differences from book-tax differences, including stock based compensation, deemed dividend income under Subchapter F of the U.S. Internal Revenue Code of 1986, as amended (Subpart F), and global intangible low-taxed income (GILTI) inclusions, and R&D super deduction. As a result, the Company recorded income tax expense of $4,369 and $2,879 during the three months ended March 31, 2024 and 2023, respectively. The decrease in the Company's effective income tax rate for the three months ended March 31, 2024 compared to the same period of the prior year was primarily due to an increased benefit from certain permanent deductions in a foreign jurisdiction. Under the change in Section 174 made by the Tax Cuts and Jobs Act of 2017 which became effective on January 1, 2022, the Company is required to capitalize, and subsequently amortize R&D expenses over fifteen years for research activities conducted outside of the U.S. The capitalization of overseas R&D expenses results in a significant increase in the Company’s global intangible low-taxed income inclusion. The Company had total unrecognized tax benefits of $13,026 as of both March 31, 2024 and December 31, 2023. If recognized, the net impact to effective rate, after indirect offset, would be $12,943. The Company did not expect any reversal of unrecognized tax benefits in the next 12 months. The Company will recognize interest and penalties, when they occur, related to uncertain tax provisions as a component of tax expense. For the three months ended March 31, 2024 and 2023, $338 a nd $284 of interest and penalties was recognized, respectively. The Company is subject to taxation in the United States, state, and foreign jurisdictions. All tax returns will remain open for examination by the federal and state authorities for three and four years, respectively, from the date of utilization of any net operating loss or credits. Certain tax years are subject to foreign income tax examinations by tax authorities until the statute of limitations expire. The Company’s four principal mainland China subsidiaries, ACM Shanghai, ACM Wuxi, ACM Beijing and ACM Lingang, are liable for mainland China corporate income taxes at the rates of 15%, 25%, 25% and 15%, respectively. Pursuant to the Corporate Income Tax Law of mainland China, ACM’s mainland China subsidiaries generally would be liable for mainland China corporate income taxes as a rate of 25%. According to Guoshuihan 2009 No. 203, an entity certified as an “advanced and new technology enterprise” is entitled to a preferential income tax rate of 15%. ACM Shanghai was certified as an “advanced and new technology enterprise” in 2012 and again in 2016, 2018, and 2021, with an effective period of three years and is expected to be re-certified for future years in 2024. In 2022, ACM Shanghai was certified as an eligible integrated circuit production enterprise and was entitled to a preferential income tax rate of 12.5% from January 1, 2020 to December 31, 2022. Certain entities which meet requirements according to the Policy of the Lingang New area in China (Shanghai) Pilot Free Trade Zone are entitled to a preferential income tax rate of 15%. ACM Lingang was certified for this in 2021, and this preferential income tax rate is valid from January 1, 2020 until December 31, 2024. Income tax expense was as follows: Three Months Ended March 31, 2024 2023 Total income tax expense $ (4,369) $ (2,879) |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 3 Months Ended |
Mar. 31, 2024 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENCIES | COMMITMENTS AND CONTINGENCIES The Company leases offices under non-cancelable operating lease agreements. See Note 11 for future minimum lease payments under non-cancelable operating lease agreements with initial terms of one year or more. As of March 31, 2024, the Company had $24,285 of open capital commitments to construction contracts and had additional $1,409 of capital investment commitments. As of December 31, 2023 , the Company had $30,936 of open commitments to construction contracts and had additional $7,413 of capital investment commitments. Covenants in ACM Lingang’s Grant Contract for State-owned Constructio n Land Use Right in Shanghai City (Category of R&D Headquarters and Industrial Projects) with the China (Shanghai) Pilot Free Trade Zone Lingang Special Area Administration require, among other things, that ACM Lingang pay liquidated damages in the event that (a) it does not make a total investment (including the costs of construction, fixtures, equipment and grant fees) of at least RMB 450.0 million ($62,600) or (b) within six years after the land use right is obtained, the Company does not (i) generate a minimum specified amount of annual sales of products manufactured on the granted land or (ii) pay to mainland China at least RMB 157.6 million ($22,000) in annual total taxes (including value-added taxes, corporate income tax, personal income taxes, urban maintenance and construction taxes, education surcharges, stamp taxes, and vehicle and shipping taxes) as a result of operations in connection with the granted land. As of March 31, 2024 and December 31, 2023, the Company had paid in total $132,014 and $116,932, respectively for its Lingang-related investments. The Construction Completion Milestone was required to be met by January 9, 2024 but was not achieved. However, ACM Lingang believes it will receive the refund without penalty based on its explanation to the respective regulatory authorities of logistics-related delays, and expects that it will meet the milestone before July 9, 2024. The Company cannot guarantee that ACM Lingang will achieve the missed milestone in 2024, or even if it does achieve the milestone in 2024, that it will be refunded some or all of the 20% portion of the performance deposit of RMB 2.5 million ($0.4 million). In the normal course of business, the Co mpany is subject to contingencies, including legal proceedings and environmental claims arising out of the normal course of businesses that relate to a wide range of matters, including among others, contracts breach liability. The Company records accruals for such contingencies based upon the assessment of the probability of occurrence and, where determinable, an estimate of the liability. Management may consider many factors in making these assessments including past history, scientific evidence and the specifics of each matter. Some of these contingencies involve claims that are subject to substantial uncertainties and un-estimable damages. The Company’s management has evaluated all such proceedings and claims that existed as of March 31, 2024 and December 31, 2023. In the opinion of management, no provision for liability nor disclosure was required as of March 31, 2024 related to any claim against the Company because: (a) there is not a reasonable possibility that a loss exceeding amounts already recognized (if any) may be incurred with respect to such claim; (b) a reasonably possible loss or range of loss cannot be estimated; or (c) such estimate is immaterial. As of March 31, 2024, the Company had no outstanding legal proceedings. |
SEGMENT INFORMATION
SEGMENT INFORMATION | 3 Months Ended |
Mar. 31, 2024 | |
Segment Reporting [Abstract] | |
SEGMENT INFORMATION | SEGMENT INFORMATION The Company identifies operating segments according to how the business activities are managed and evaluated. The Company’s chief operating decision maker (“CODM”) has been identified as ACM’s Chief Executive Officer. The Company's operating segments include ACM Research and ACM Shanghai. As the Company is engaged in the developing, manufacture and sale of capital equipment to global semiconductor manufacturers, and each of the operating segments share similar economic and other qualitative characteristics, the results of the Company’s operating segments are aggregated into one reportable segment. For geographical reporting, revenue by geographic location is determined by the location of customers’ facilities to which products were shipped. Long-lived assets consist primarily of property, plant and equipment, land use right, and right-of-use assets and are attributed to the geographic location in which they are located. Long-lived assets by geographic region as of the periods ended were as follows: March 31, December 31, Long-lived assets by geography: Mainland China $ 231,208 $ 209,725 Korea 11,630 12,190 United States 1,259 1,276 Total $ 244,097 $ 223,191 |
STATUTORY SURPLUS RESERVE
STATUTORY SURPLUS RESERVE | 3 Months Ended |
Mar. 31, 2024 | |
STATUTORY SURPLUS RESERVE [Abstract] | |
STATUTORY SURPLUS RESERVE | STATUTORY SURPLUS RESERVE In accordance with mainland China’s Foreign Enterprise Law, ACM Shanghai, ACM Lingang, and ACM Wuxi are required to make appropriation to reserve funds, comprising the statutory surplus reserve and discretionary surplus reserve, based on after-tax net income in accordance with generally accepted accounting principles of mainland China (“mainland China GAAP”). Appropriations to the statutory surplus reserve are required to be at least 10% of the after-tax net income determined in accordance with mainland China GAAP until the reserve is equal to 50% of the entities’ registered capital. The amount is calculated annually at the end of each calendar year. The balances of statutory reserve funds was $30,060 as of both March 31, 2024 and December 31, 2023, and is presented as statutory surplus reserve on the Company’s condensed consolidated balance sheets. |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Pay vs Performance Disclosure | ||
Net Income (Loss) Attributable to Parent | $ 17,433 | $ 7,145 |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Mar. 31, 2024 shares | |
Trading Arrangements, by Individual | |
Non-Rule 10b5-1 Arrangement Adopted | false |
Rule 10b5-1 Arrangement Terminated | false |
Non-Rule 10b5-1 Arrangement Terminated | false |
Jian Wang [Member] | |
Trading Arrangements, by Individual | |
Material Terms of Trading Arrangement | On March 7, 2024, Jian Wang, Chief Executive Officer and President of ACM Shanghai, adopted a Rule 10b5-1 trading arrangement (the “Wang Plan”) that is intended to satisfy the affirmative defense of Rule 10b5-1(c) of the Exchange Act. The Wang Plan allows for the contemporaneous exercise of options and sale of up to 120,000 shares of Class A common stock, at specific market prices, commencing on June 6, 2024, and continuing until (i) all such options are exercised and the underlying shares are sold, (ii) December 31, 2024, or (iii) such date that the Wang Plan is otherwise terminated according to its terms, whichever comes first. |
Name | Jian Wang |
Title | Chief Executive Officer and President of ACM Shanghai, |
Rule 10b5-1 Arrangement Adopted | true |
Adoption Date | March 7, 2024 |
Arrangement Duration | 299 days |
Aggregate Available | 120,000 |
Mark McKechnie [Member] | |
Trading Arrangements, by Individual | |
Material Terms of Trading Arrangement | On March 7, 2024, Mark McKechnie, Chief Financial Officer of ACM Research, adopted a Rule 10b5-1 trading arrangement (the “McKechnie Plan”) that is intended to satisfy the affirmative defense of Rule 10b5-1(c) of the Exchange Act. The McKechnie Plan allows for the contemporaneous exercise of options and sale of up to 81,516 shares of Class A common stock, at specific market prices, commencing on June 6, 2024, and continuing until (i) all such options are exercised and the underlying shares are sold, (ii) December 31, 2025, or (iii) such date that the McKechnie Plan is otherwise terminated according to its terms, whichever comes first. |
Name | Mark McKechnie |
Title | Chief Financial Officer of ACM Research, |
Rule 10b5-1 Arrangement Adopted | true |
Adoption Date | March 7, 2024 |
Arrangement Duration | 664 days |
Aggregate Available | 81,516 |
Lisa Feng [Member] | |
Trading Arrangements, by Individual | |
Material Terms of Trading Arrangement | On March 14, 2024, Lisa Feng, Chief Financial Officer of ACM Shanghai, adopted a Rule 10b5-1 trading arrangement (the “Feng Plan”) that is intended to satisfy the affirmative defense of Rule 10b5-1(c) of the Exchange Act. The Feng Plan allows for the contemporaneous exercise of options and sale of up to 30,000 shares of Class A common stock, at specific market prices, commencing on June 13, 2024, and continuing until (i) all such options are exercised and the underlying shares are sold, (ii) June 4, 2025, or (iii) such date that the Feng Plan is otherwise terminated according to its terms, whichever comes first. |
Name | Lisa Feng |
Title | Chief Financial Officer of ACM Shanghai |
Rule 10b5-1 Arrangement Adopted | true |
Adoption Date | March 14, 2024 |
Arrangement Duration | 447 days |
Aggregate Available | 30,000 |
SUMMARY OF SIGNIFICANT ACCOUN_2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 3 Months Ended |
Mar. 31, 2024 | |
Accounting Policies [Abstract] | |
Basis of Presentation and Principles of Consolidation | Basis of Presentation and Principles of Consolidation The Company’s condensed consolidated financial statements include the accounts of ACM and its subsidiaries. ACM’s subsidiaries are those entities in which ACM, directly or indirectly, controls a majority of the voting power. All significant intercompany transactions and balances have been eliminated upon consolidation. The accompanying condensed consolidated financial statements of the Company have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) for interim financial information and the rules and regulations of the Securities and Exchange Commission (the “SEC”) for reporting on Form 10-Q. Accordingly, they do not include all the information and footnotes required by GAAP for complete financial statements. The accompanying condensed consolidated financial statements should be read in conjunction with the historical consolidated financial statements of the Company for the year ended December 31, 2023 included in ACM’s Annual Report on Form 10-K for the fiscal year ended December 31, 2023. The accompanying condensed consolidated financial statements are unaudited. In the opinion of management, these unaudited condensed consolidated financial statements of the Company reflect all adjustments that are necessary for a fair presentation of the Company’s financial position and results of operations. Such adjustments are of a normal recurring nature, unless otherwise noted. The balance sheet as of March 31, 2024 and the results of operations for the three months ended March 31, 2024 are not necessarily indicative of the results to be expected for any future period. |
Use of Estimates | Use of Estimates The preparation of the condensed consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the balance sheet date and the reported revenues and expenses during the reported period in the condensed consolidated financial statements and accompanying notes. The Company’s significant accounting estimates and assumptions include, but are not limited to, those used for revenue recognition and deferred revenue, the valuation and recognition of fair value of certain short-term investments and long-term investments, stock-based compensation arrangements, realization of deferred tax assets, assessment for impairment of long-lived assets and long-term investments, allowance for credit losses, inventory valuation, useful lives of property, plant and equipment and useful lives of intangible assets. Management evaluates these estimates and assumptions on a regular basis. Actual results could differ from those estimates and assumptions. |
Cash and Cash Equivalents | Cash and Cash Equivalents Cash and cash equivalents consist of cash on hand, bank deposits that are unrestricted as to withdrawal and use, and highly liquid investments with an original maturity date of three months or less at the date of purchase. At times, cash deposits may exceed government-insured limits. The following table presents cash and cash equivalents, according to jurisdiction as of March 31, 2024 and December 31, 2023: March 31, December 31, United States $ 45,179 $ 43,614 Mainland China 101,590 70,418 China Hong Kong 63,401 64,057 Korea 1,068 3,934 Singapore 67 67 Total $ 211,305 $ 182,090 The amounts in mainland China do not include short-term and long-term time deposits which totaled $76,205 and $121,342 at March 31, 2024 and December 31, 2023, respectively. Cash held in the U.S. exceeds the Federal Deposit Insurance Corporation insurance limits and is subject to risk of loss. No losses have been experienced to date. Cash amounts held in mainland China are subject to a series of risk control regulatory standards from mainland China bank regulatory authorities. ACM’s subsidiaries in mainland China are required to obtain approval from the State Administration of Foreign Exchange (“SAFE”) to transfer funds into or out of mainland China. SAFE requires a valid agreement to approve the transfers, which are processed through a bank. Other than these mainland China foreign exchange restrictions, ACM’s subsidiaries in mainland China are not subject to any restrictions and limitations on its ability to transfer funds to ACM or among our other subsidiaries. However, cash held in mainland China does exceed applicable insurance limits and is subject to risk of loss, although no such losses have been experienced to date. ACM California periodically procures goods and services on behalf of ACM Shanghai. For these transactions, ACM Shanghai makes cash payments to ACM California in accordance with applicable transfer pricing arrangements. For the three months ended March 31, 2024 and 2023, cash payments from ACM Shanghai to ACM California for the procurement of goods and services was $4,648 and $10,931, respectively. ACM California periodically borrows funds for working capital advances from its direct parent, CleanChip. ACM California repays or renews these intercompany loans in accordance with their terms. For sales through CleanChip and ACM Research, a certain amount of sales or advanced payments from customers is repatriated back to ACM Shanghai in accordance with applicable transfer pricing arrangements in the ordinary course of business. ACM Research provides services to certain customers located in the U.S., Europe and other regions outside of mainland China to support the evaluation of first tools and provide support for tools under warranty on behalf of ACM Shanghai. For these transactions, ACM Shanghai makes cash payments to ACM Research in accordance with applicable transfer pricing arrangements. Amounts held in Korea exceed the Korea Deposit Insurance Corporation insurance limits and is subject to risk of loss. No losses have been experienced to date. There is no additional restriction for the transfer of cash from bank accounts in the U.S., Korea, Singapore and Hong Kong. For the three months ended March 31, 2024 and 2023, with the exception of sales and services-related transfer-pricing payments in the ordinary course of business, no transfers, or distributions have been made between ACM Research and its subsidiaries, including ACM Shanghai, or to holders of ACM Research Class A common stock. |
Time Deposits | Time Deposits Time deposits are deposited with banks in mainland China with fixed terms and interest rates which cannot be withdrawn before maturity, and are presented as short-term deposits and long-term deposits in the condensed consolidated financial statements based on their expected time of collection. They are also subject to the risk control regulatory standards described above upon maturity. |
Financial Instruments | Financial Instruments The Company periodically invests in equity securities, and maintains an investment portfolio of various holdings, types, and maturities. For equity investments that do not have a readily determinable fair value, the Company classified them as long-term investments, and records them using either: 1) the measurement alternative which measures the equity investments at cost minus impairment, if any, plus or minus changes resulting from qualifying observable price changes; or 2) the equity method whereby the Company recognizes its proportional share of the income or loss from the equity method investment. The equity method is utilized when the equity investments are common stock or in substance common stock, and the Company does not have the ability to control the investee but is deemed to have the ability to exercise significant influence over the investee’s operating or financial policies. For equity investments that have a readily determinable fair value, the Company classified them as short-term investments, and records them at fair market value on a recurring basis based upon quoted market prices. Realized and unrealized gains and losses resulting from application of the measurement alternative, the impact of the application of the equity method to the Company’s equity investments, and recognition of changes in fair market value, as applicable, are recognized as non-operating income (expenses), net in the co ndensed consolidated statements of comprehensive income. The Company defines fair value as the price that would be received from selling an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. When determining the fair value measurements for assets and liabilities required or permitted to be recorded at fair value, the Company considers the principal or most advantageous market in which it would transact, and it considers assumptions that market participants would use when pricing the asset or liability. A fair value hierarchy has been established that prioritizes the inputs to valuation techniques used to measure fair value. The level of an asset or liability in the hierarchy is based on the lowest level of input that is significant to the fair value measurement. Assets and liabilities carried at fair value are classified and disclosed in one of the following three categories: Level 1: Valuations based on quoted prices in active markets for identical assets or liabilities with sufficient volume and frequency of transactions. Level 2: Valuations based on observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities, quoted prices in markets that are not active for identical assets or liabilities, or model-derived valuations techniques for which all significant inputs are observable in the market or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Level 3: Valuations based on unobservable inputs to the valuation methodology that are significant to the measurement of fair value of assets or liabilities and based on non-binding, broker-provided price quotes and may not have been corroborated by observable market data. All transfers between fair value hierarchy levels are recognized by the Company at the end of each reporting period. In certain cases, the inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, an investment’s level within the fair value hierarchy is based on the lowest level of input that is significant to the fair value measurement in its entirety, requires judgment and considers factors specific to the investment. The inputs or methodology used for valuing financial instruments are not necessarily an indication of the risks associated with investment in those instruments. The Company did not have any assets and liabilities measured at fair value on a non-recurring basis as of March 31, 2024, and the Company did not recognize any unrealized gains (upward adjustments) or unrealized losses (downward adjustments) resulting from observable price changes in orderly transactions for an identical or similar investment of the same issuer for its long-term investments accounted for using measurement alternatives during the three months ended March 31, 2024 and 2023. |
Basic and Diluted Net Income per Share of Common Stock | Basic and diluted net income per share of common stock is presented using the two-class method, which allocates undistributed earnings to common stock and any participating securities according to dividend rights and participation rights on a proportionate basis. Under the two-class method, basic net income per share of common stock is computed by dividing the sum of distributed and undistributed earnings attributable to common stockholders by the weighted average number of shares of common stock outstanding during the period. ACM Research did not have any participating securities outstanding during the three months ended March 31, 2024 and 2023. ACM Research has been authorized to issue Class A and Class B common stock since redomesticating in Delaware in November 2016. The two classes of common stock are substantially identical in all material respects, except for voting rights. Since ACM Research did not declare any cash dividends during the three months ended March 31, 2024 or 2023, the net income per share of common stock attributable to each class is the same under the “two-class” method. As such, the two classes of common stock have been presented on a combined basis in the condensed consolidated statements of comprehensive income and in the above computation of net income per share of common stock. Diluted net income per share of common stock reflects the potential dilution from securities, such as stock options that could share in ACM Research’s earnings. Certain potential dilutive securities were excluded from the net income per share calculation because the impact would be anti-dilutive. The number of potentially dilutive shares that were not included in the calculation of diluted net income per share in the periods presented where their inclusion would be anti-dilutive were 728,575 and 1,967,685 stock options for the three months ended March 31, 2024 and 2023, respectively. |
Concentration of Credit Risk | Concentration of Credit Risk Financial instruments that potentially subject the Company to credit risk consist principally of cash and cash equivalents, time deposits, and accounts receivable. The Company deposits and invests its cash and cash equivalents and time deposits with financial institutions that management believes are creditworthy. |
Recently issued accounting pronouncements not yet adopted | Recently issued accounting pronouncements not yet adopted In November 2023, the FASB issued ASU No. 2023-07, Improvements to Reportable Segment Disclosures . This ASU updates reportable segment disclosure requirements by requiring disclosures of significant reportable segment expenses that are regularly provided to the Chief Operating Decision Maker (“CODM”) and included within each reported measure of a segment's profit or loss. This ASU also requires disclosure of the title and position of the individual identified as the CODM and an explanation of how the CODM uses the reported measures of a segment’s profit or loss in assessing segment performance and deciding how to allocate resources. The ASU is effective for annual periods beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024. Adoption of the ASU should be applied retrospectively to all prior periods presented in the financial statements. Early adoption is also permitted. The Company is currently evaluating the provisions of this ASU and expect to adopt it for the year ending December 31, 2024. In December 2023, the FASB issued ASU No. 2023-09, Improvements to Income Tax Disclosures (Topic 740). The ASU requires disaggregated information about a reporting entity’s effective tax rate reconciliation as well as additional information on income taxes paid. The ASU is effective on a prospective basis for annual periods beginning after December 15, 2024. Retrospective application is permitted. Early adoption is also permitted for annual financial statements that have not yet been issued or made available for issuance. The Company is currently evaluating the provisions of this ASU. |
DESCRIPTION OF BUSINESS (Tables
DESCRIPTION OF BUSINESS (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Direct or Indirect Interests of Subsidiaries | The Company has direct or i ndirect interests in the follow ing subsidiaries: Effective interest held as at Name of subsidiaries Place and date of incorporation Principal Activities March 31, December 31, ACM Research (Shanghai), Inc. ("ACM Shanghai") Mainland China, May 2005 Principal operating subsidiary 82.1 % 82.1 % ACM Research (Wuxi), Inc. ("ACM Wuxi") Mainland China, July 2011 Sales and services 82.1 % 82.1 % CleanChip Technologies Limited ("CleanChip") Hong Kong, June 2017 Trading partner between ACM Shanghai and its customers 82.1 % 82.1 % ACM Research Korea CO., LTD. Korea, December 2017 Sales, marketing, R&D, production 82.1 % 82.1 % ACM Research ( Lingang), Inc. ("ACM Lingang") (1) Mainland China, March 2019 Management of production activities 82.1 % 82.1 % ACM Research (CA), Inc. ("ACM California") USA, April 2019 Procurement for ACM Shanghai 82.1 % 82.1 % ACM Research (Cayman), Inc. Cayman Islands, April 2019 Administrative function (inactive) 100.0 % 100.0 % ACM Research (Singapore) PTE. Ltd. ("ACM Singapore") Singapore, August 2021 Sales, marketing, business development 100.0 % 100.0 % ACM Research (Beijing), Inc. ("ACM Beijing") Mainland China, February 2022 Sales, marketing, business development 82.1 % 82.1 % Hanguk ACM CO., LTD Korea, March 2022 Sales, services, business development 100.0 % 100.0 % Yusheng Micro Semiconductor (Shanghai) Co., Ltd. Mainland China, June 2023 Business development 82.1 % 82.1 % ACM-Wooil Microelectronics (Shanghai) Co., Ltd. Mainland China, June 2023 Component development and production 59.4 % 59.4 % (1) ACM Research (Lingang) Inc. is the English name referred to by its Chinese language name Shengwei Research (Shanghai), Inc., or ACM Shengwei in prior filings. ACM Research (Lingang), Inc. and Shengwei Research (Shanghai), Inc. refer to the same entity. |
SUMMARY OF SIGNIFICANT ACCOUN_3
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Accounting Policies [Abstract] | |
Cash and Cash Equivalents | The following table presents cash and cash equivalents, according to jurisdiction as of March 31, 2024 and December 31, 2023: March 31, December 31, United States $ 45,179 $ 43,614 Mainland China 101,590 70,418 China Hong Kong 63,401 64,057 Korea 1,068 3,934 Singapore 67 67 Total $ 211,305 $ 182,090 |
Summary of Time Deposits | At March 31, 2024 and December 31, 2023, time deposits consisted of the following: March 31, December 31, Deposit in China Merchant Bank which matured on January 29, 2024 with an annual interest rate of 2.85% $ — $ 29,797 Deposit in Bank of Ningbo which matured on February 17, 2024 with an annual interest rate of 2.85% $ — $ 44,630 Deposit in Shanghai Pudong Development Bank which matures on October 20, 2025 with an annual interest rate of 3.10% $ 7,361 $ 7,322 Deposit in Shanghai Pudong Development Bank which matures on November 14, 2025 with an annual interest rate of 3.10% $ 4,407 $ 7,307 Deposit in Shanghai Pudong Development Bank which matures on December 8, 2025 with an annual interest rate of 3.10% $ — $ 4,376 Deposit in Shanghai Pudong Development Bank which matures on December 15, 2025 with an annual interest rate of 3.10% $ 1,465 $ 4,373 Deposit in Shanghai Pudong Development Bank which matures on December 30, 2025 with an annual interest rate of 3.10% $ — $ 2,912 Deposit in China Industrial Bank which matures on January 3, 2026 with an annual interest rate of 3.15% $ 14,608 $ 14,528 Deposit in China Everbright Bank which matures on December 5, 2024 with an annual interest rate of 5.38% $ — $ 3,079 Deposit in China Everbright Bank which matures on May 22, 2024 with an annual interest rate of 5.28% $ 3,057 $ 3,018 Deposit in China Everbright Bank which matured on April 5, 2024 with an annual interest rate of 5.33% $ 3,037 $ — Deposit in China Merchant Bank, Lujiazui Branch which matures on May 27, 2024 with an annual interest rate of 1.85% $ 14,090 $ — Deposit in China Merchant Bank, Huaihai Branch which matures on May 27, 2024 with an annual interest rate of 1.85% $ 14,090 $ — Deposit in Bank of Ningbo which matures on September 11, 2024 with an annual interest rate of 1.50% $ 14,090 $ — $ 76,205 $ 121,342 |
Fair Value, by Balance Sheet Grouping | Quoted Prices in Active Markets for Identical Liabilities (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total As of March 31, 2024: Assets Cash and cash equivalents $ 36,509 $ — $ — $ 36,509 Short-term investments 18,648 — — 18,648 $ 55,157 $ — $ — $ 55,157 As of December 31, 2023: Assets Cash and cash equivalents $ 37,518 $ — $ — $ 37,518 Short-term investments 21,312 — — 21,312 $ 58,830 $ — $ — $ 58,830 Assets and liabilities measured at fair value on a non-recurring basis: Quoted Prices in Active Markets for Identical Liabilities (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total As of December 31, 2023: Assets Investments accounted for using measurement alternative $ — $ — $ 10,378 $ 10,378 $ — $ — $ 10,378 $ 10,378 |
Basic and Diluted Net Income per Common Share | Basic and diluted net income per share of common stock are calculated as follows: Three Months Ended March 31, 2024 2023 Numerator: Net income $ 22,092 $ 8,963 Less: Net income attributable to non-controlling interests 4,659 1,818 Net income available to common stockholders, basic $ 17,433 $ 7,145 Less: Dilutive effect arising from stock-based awards by ACM Shanghai 354 93 Net income available to common stockholders, diluted $ 17,079 $ 7,052 Weighted average shares outstanding, basic 61,367,184 59,736,764 Effect of dilutive securities 4,875,137 5,322,013 Weighted average shares outstanding, diluted 66,242,321 65,058,777 Net income per share of common stock: Basic $ 0.28 $ 0.12 Diluted $ 0.26 $ 0.11 |
REVENUE FROM CONTRACTS WITH C_2
REVENUE FROM CONTRACTS WITH CUSTOMERS (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Revenue from Contract with Customer [Abstract] | |
Disaggregated Revenue Information | The Company assesses revenues based upon the nature or type of goods or services it provides and the geographic location of the customer facility. The following tables present disaggregated revenue information: Three Months Ended March 31, 2024 2023 Single Wafer Cleaning, Tahoe and Semi-Critical Cleaning Equipment $ 109,470 $ 36,614 ECP (front-end and packaging), Furnace and Other Technologies 25,800 26,598 Advanced Packaging (excluding ECP), Services & Spares 16,921 11,044 Total Revenue by Product Category $ 152,191 $ 74,256 Three Months Ended March 31, 2024 2023 Mainland China $ 152,135 $ 72,458 Other regions 56 1,798 $ 152,191 $ 74,256 |
Accounts Receivables and Contract Liabilities | Below are the accounts receivables and contract liabilities balances as of: March 31, December 31, Accounts receivable 296,371 283,186 Advances from customers 182,547 181,368 Deferred revenue 4,405 3,687 Below are revenues recognized from amounts included in contract liabilities at the beginning of the year: Three Months Ended March 31, 2024 2023 Revenue recognized from amounts included in contract liabilities at the beginning of the year $ 29,188 $ 15,212 |
ACCOUNTS RECEIVABLE (Tables)
ACCOUNTS RECEIVABLE (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Receivables [Abstract] | |
Accounts Receivable | At March 31, 2024 and December 31, 2023, accounts receivable consisted of the following: March 31, December 31, Accounts receivable $ 302,372 $ 288,016 Less: Allowance for credit losses (6,001) (4,830) $ 296,371 $ 283,186 The movement of the allowance for credit losses for the three months ended March 31, 2024 is as follows: Allowance for credit losses, before tax, as of January 1 Provision for credit losses Allowance for credit losses, before tax, as of March 31 March 31, $ (4,830) (1,171) $ (6,001) |
INVENTORIES (Tables)
INVENTORIES (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Inventory Disclosure [Abstract] | |
Inventories | At March 31, 2024 and December 31, 2023, inventories consisted of the following: March 31, December 31, Raw materials $ 256,332 $ 235,062 Work-in-process 61,871 81,438 Finished goods 262,937 228,895 Total inventory $ 581,140 $ 545,395 |
PROPERTY, PLANT AND EQUIPMENT_2
PROPERTY, PLANT AND EQUIPMENT, NET (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment | At March 31, 2024 and December 31, 2023, property, plant and equipment consisted of the following: March 31, December 31, Buildings and plants $ 82,933 $ 83,109 Manufacturing equipment 16,702 16,556 Office equipment 5,061 4,953 Transportation equipment 402 404 Leasehold improvement 7,961 7,889 Total cost 113,059 112,911 Less: Total accumulated depreciation and amortization (19,531) (17,503) Construction in progress 125,294 106,440 Total property, plant and equipment, net $ 218,822 $ 201,848 |
LAND USE RIGHT, NET (Tables)
LAND USE RIGHT, NET (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Land Use Right, Net [Abstract] | |
Land Use Rights | A summary of land use right is as follows: March 31, December 31, Land use right purchase amount $ 8,977 $ 8,996 Less: accumulated amortization (672) (629) Land use right, net $ 8,305 $ 8,367 |
Annual Amortization of Land Use Right | The annual amortization of land use right is as follows: Year ending December 31, remainder of 2024 $ 135 2025 180 2026 180 2027 180 2028 180 2029 and thereafter 7,450 Total $ 8,305 |
OTHER LONG-TERM ASSETS (Tables)
OTHER LONG-TERM ASSETS (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Other Assets, Noncurrent Disclosure [Abstract] | |
Other Long-term Assets | At March 31, 2024 and December 31, 2023, other long-term assets consisted of the following: March 31, December 31, Prepayments for property, plant and equipment $ 7,690 $ 3,380 Lease deposits 867 834 Security deposit for land use right 695 696 Others 1,219 1,140 Total other long-term assets $ 10,471 $ 6,050 |
SHORT-TERM BORROWINGS (Tables)
SHORT-TERM BORROWINGS (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Debt Disclosure [Abstract] | |
Short-Term Borrowings | At March 31, 2024 and December 31, 2023, s hort-term borrowings consisted of the following: March 31, December 31, Line of credit up to RMB 150,000 from China Everbright Bank, 1)due on August 29, 2024 with an annual interest rate of 3.00%. 2,459 2,463 Line of credit up to RMB 40,000 from Bank of China, 1)due on September 7, 2024 with an annual interest rate of 2.87%. 5,640 5,648 Line of credit up to RMB 200,000 from China Merchants Bank, 1)due on August 7, 2024 with an annual interest rate of 3.00%. 1,269 1,271 2)due on August 8, 2024 with an annual interest rate of 3.00%. 1,269 1,271 3)due on August 9, 2024 with an annual interest rate of 3.00%. 1,269 1,271 4)due on August 14, 2024 with an annual interest rate of 3.00%. 1,269 1,271 5)due on August 17, 2024 with an annual interest rate of 3.00%. 1,269 1,271 6)due on August 20, 2024 with an annual interest rate of 3.00%. 1,269 1,271 7)due on August 21, 2024 with an annual interest rate of 3.00%. 1,269 1,271 8)due on August 22, 2024 with an annual interest rate of 3.00%. 1,269 1,271 9)due on August 24, 2024 with an annual interest rate of 3.00%. 1,269 1,271 10)due on August 27, 2024 with an annual interest rate of 3.00%. 1,269 1,271 11)due on August 29, 2024 with an annual interest rate of 3.00%. 1,269 1,271 12)due on August 30, 2024 with an annual interest rate of 3.00%. 1,269 1,271 13)due on September 3, 2024 with an annual interest rate of 3.00%. 1,269 1,271 14)due on September 5, 2024 with an annual interest rate of 3.00%. 1,269 1,270 15)due on September 6, 2024 with an annual interest rate of 3.00%. 1,269 1,270 16)due on September 10, 2024 with an annual interest rate of 3.00%. 1,269 1,270 17)due on September 12, 2024 with an annual interest rate of 3.00%. 1,269 1,270 18)due on February 27, 2025 with an annual interest rate of 2.60%. 1,340 — 19)due on February 28, 2025 with an annual interest rate of 2.60%. 1,340 — 20)due on March 1, 2025 with an annual interest rate of 2.60%. 1,340 — 21)due on March 5, 2025 with an annual interest rate of 2.60%. 1,340 — 22)due on March 8, 2025 with an annual interest rate of 2.60%. 1,270 — Line of credit up to RMB 120,000 from Bank of China, 1)due on March 20, 2025 with an annual interest rate of 2.75%. 16,921 — Line of credit up to KRW 500,000 from Industrial Bank of Korea, 1)due on July 12, 2024 with an annual interest rate of 6.03%. — 77 Line of credit up to KRW 2,000,000 from Industrial Bank of Korea, 1)due on December 15, 2024 with an annual interest rate of 4.27%. 1,483 1,544 Total $ 54,706 $ 31,335 |
OTHER PAYABLES AND ACCRUED EX_2
OTHER PAYABLES AND ACCRUED EXPENSES (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Payables and Accruals [Abstract] | |
Other Payables and Accrued Expenses | At March 31, 2024 and December 31, 2023, other payables and accrued expenses consisted of the following: March 31, December 31, Accrued commissions $ 15,932 $ 15,572 Accrued warranty 11,339 9,834 Accrued payroll 16,550 14,840 Accrued professional fees 113 696 Accrued machine testing fees 1,863 1,762 Accrued machine sales fees 4,942 6,010 Accrued Lingang construction fees 33,546 33,729 Others 22,813 20,508 Total $ 107,098 $ 102,951 |
LEASES (Tables)
LEASES (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Leases [Abstract] | |
Components of Lease Expense | The components of lease expense were as follows: Three Months Ended March 31, 2024 2023 Operating lease cost $ 973 $ 488 Short-term lease cost 321 282 Total lease cost $ 1,294 $ 770 |
Supplemental Cash Flow Information Related to Operating Leases | Supplemental cash flow information related to operating leases was as follows: Three Months Ended March 31, 2024 2023 Operating cash outflow from operating leases $ 973 $ 488 Operating lease right-of-use assets obtained in exchange for new operating lease liabilities $ 80 $ 6,592 |
Maturities of Outstanding Lease Liabilities for Operating Leases | As of March 31, 2024, maturities of outstanding lease liabilities for all operating leases were as follows: December 31, remainder of 2024 $ 2,370 2025 1,800 2026 1,215 2027 1,148 2028 and thereafter 595 Total lease payments $ 7,128 Less: Interest (630) Present value of lease liabilities $ 6,498 |
Weighted Average Remaining Lease Terms and Discount Rates for Operating Leases | The weighted average remaining lease terms and discount rates for all operating leases were as follows: March 31, December 31, Remaining lease term and discount rate: Weighted average remaining lease term (years) 3.37 3.44 Weighted average discount rate 3.87 % 3.91 % |
LONG-TERM BORROWINGS (Tables)
LONG-TERM BORROWINGS (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Long-Term Debt, by Current and Noncurrent [Abstract] | |
Long-Term Borrowings | At March 31, 2024 and December 31, 2023, long-term borrowings consisted of the following: March 31, December 31, Loan from China Merchants Bank $ 12,919 $ 13,362 Loans from Bank of China 4,759 5,013 Loan from Bank of Shanghai 14,101 14,120 Loan from China CITIC Bank 28,178 28,240 Less: Current portion (6,549) (6,783) Total $ 53,408 $ 53,952 |
Principal Payments for Outstanding Long-Term Loan | Scheduled principal payments for the outstanding long-term loan, including the current portion, as of March 31, 2024 are as follows: Year ending December 31 remainder of 2024 $ 6,120 2025 43,993 2026 1,851 2027 1,925 2028 2,003 Thereafter 4,065 $ 59,957 |
OTHER LONG-TERM LIABILITIES (Ta
OTHER LONG-TERM LIABILITIES (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Other Liabilities Disclosure [Abstract] | |
Other Long-Term Liabilities | Other long-term liabilities represent government subsidies received from mainland China governmental authorities for development and commercialization of certain technology but not yet recognized. At March 31, 2024 and December 31, 2023, other long-term liabilities consisted of the following unearned government subsidies: March 31, 2024 December 31, 2023 Subsidies to Stress Free Polishing project, commenced in 2008 and 2017 $ 189 $ 475 Subsidies to other cleaning tools, commenced in 2020 647 632 Subsidies to SW Lingang R&D development in 2021 3,454 3,467 Other 1,179 1,299 Total $ 5,469 $ 5,873 |
LONG-TERM INVESTMENT (Tables)
LONG-TERM INVESTMENT (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Long-Term Investments [Abstract] | |
Long-Term Investment | Equity investee: Initial investment dates Investment entity Percent ownership by ACM and subsidiaries Investment purchase price Ninebell Co., Ltd. ("Ninebell") September 2017 ACM 20.0% $ 1,200 Shengyi Semiconductor Technology Co., Ltd. ("Shengyi") June 2019 ACM Shanghai 14.0% $ 109 Hefei Shixi Chanheng Integrated Circuit Industry Venture Capital FundPartnership (LP) (“Hefei Shixi”) September 2019 ACM Shanghai 10.0% RMB 30,000 ($4,200) Wooil Flucon Co. ("Wooil") August 2022 ACM Singapore 20.0% $ 1,000 Company D February 2024 ACM Shanghai 16.7% RMB 30,000 ($4,230) Investments accounted for using measurement alternative: Waferworks (Shanghai) Co., Ltd. (“Waferworks”) October 2021 ACM Shanghai 0.3% $ 1,568 Company A September 2023 ACM Shanghai 4.4% RMB 30,000 ($4,200) Shengyi September 2023 ACM Shanghai 1.0% RMB 6,100 ($860) Company B November 2023 ACM Shanghai 1.4% RMB 6,600 ($930) Company C February 2024 ACM Shanghai 5.0% RMB 12,500 ($1,760) Equity investee: March 31, December 31, Ninebell $ 5,481 $ 5,632 Wooil 989 1,003 Shengyi 1,999 1,693 Hefei Shixi 7,888 9,174 Company D 4,227 — Subtotal 20,584 17,502 Investments accounted for using measurement alternative: Waferworks — 1,412 Shengyi 856 857 Company A 4,227 4,236 Company B 930 932 Company C 1,761 — Other 2,935 2,941 Total 31,293 27,880 |
SHORT-TERM INVESTMENTS (Tables)
SHORT-TERM INVESTMENTS (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Investments, Debt and Equity Securities [Abstract] | |
Components of Trading Securities | At March 31, 2024 and December 31, 2023, the components of short-term investments were as follows: March 31, December 31, Short-term investments listed in Shanghai Stock Exchange Cost $ 21,135 $ 20,155 Market value 18,648 21,312 |
Unrealized Gain (Loss) on Trading Securities | For the three months ended March 31, 2024 and 2023, the net gains (losses) recognized on equity securities were as follows: Three Months Ended March 31, 2024 2023 Unrealized losses recognized during the reporting period on equity securities still held at March 31 $ (2,595) $ (654) Net gains recognized during the period on equity securities sold during the period $ 273 $ 3,994 Total net gains (losses) recognized at March 31 on equity securities $ (2,322) $ 3,340 |
RELATED PARTY BALANCES AND TR_2
RELATED PARTY BALANCES AND TRANSACTIONS (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Related Party Transactions [Abstract] | |
Related Party Balances and Transactions | The following tables reflect related party transactions in our condensed consolidated financial statements: Advances to related party March 31, December 31, Ninebell $ 1,338 $ 2,432 Accounts payable March 31, December 31, Ninebell $ 12,571 $ 7,624 Shengyi 3,672 3,783 Total $ 16,243 $ 11,407 Three Months Ended March 31, Purchase of materials 2024 2023 Ninebell $ 14,152 $ 16,397 Shengyi 992 1,973 Total $ 15,144 $ 18,370 Three Months Ended March 31, Service fee charged by 2024 2023 Shengyi $ 73 $ 278 |
STOCK-BASED COMPENSATION (Table
STOCK-BASED COMPENSATION (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Share-Based Payment Arrangement [Abstract] | |
Summary of Share Option Activities | The following table summarizes the Company’s employee share option activities during the three months ended March 31, 2024: Number of Weighted Weighted Weighted Average Outstanding at December 31, 2023 9,998,637 $ 5.15 $ 9.59 6.17 years Granted 3,000 23.95 31.92 Exercised (851,954) 2.7 5.74 Forfeited/cancelled (24,330) 11.14 23.08 Outstanding at March 31, 2024 9,125,353 $ 5.37 $ 9.79 6.07 years Vested and exercisable at March 31, 2024 5,278,784 The following table summarizes the Company’s non-employee share option activities during the three months ended March 31, 2024: Number of Weighted Weighted Weighted Outstanding at December 31, 2023 1,170,795 $ 0.42 $ 1.31 2.66 years Exercised (98,651) 0.22 0.50 Forfeited/cancelled (1,903) 0.22 0.50 Outstanding at March 31, 2024 1,070,241 $ 0.44 $ 1.39 2.51 years Vested and exercisable at March 31, 2024 1,070,241 The following table summarizes the stock option activities of the ACM Shanghai 2019 Subsidiary Stock Option Plan during the three months ended March 31, 2024: Number of Weighted Weighted Weighted Outstanding at December 31, 2023 3,134,883 $ 0.24 $ 1.85 0.85 years Forfeited/cancelled (92,308) $ 0.24 $ 1.85 Outstanding at March 31, 2024 3,042,575 $ 0.24 $ 1.85 0.65 years Vested and exercisable at March 31, 2024 3,042,575 The following table summarizes the ACM Shanghai 2023 Subsidiary Stock Option Plan’s stock option activities during the three months ended March 31, 2024: Number of Option Shares in ACM Shanghai Weighted Weighted Weighted Outstanding at December 31, 2023 10,575,500 $ 9.49 $ 7.06 3.09 years Forfeited/cancelled (84,000) $ 9.49 $ 7.06 Outstanding at March 31, 2024 10,491,500 $ 9.12 $ 7.01 2.84 years Vested and exercisable at March 31, 2024 - |
Assumptions Used to Determine Fair Value of Options Granted | The fair value of options granted to employees is estimated on the grant date using the Black-Scholes valuation with following assumptions: Three Months Ended Fair value of common share(1) 31.92 Expected term in years(2) 6.25 Volatility(3) 85.48% Risk-free interest rate(4) 4.23% Expected dividend (5) —% (1) Fair value of Class A common stock value was closing market price of the Class A common stock on the grant date. (2) Expected term of share options is based on the average of the vesting period and the contractual term for each grant. (3) Volatility is calculated based on the historical volatility of ACM in the period equal to the expected term of each grant. (4) Risk-free interest rate is based on the yields of U.S. Treasury securities with maturities similar to the expected term of the share options in effect at the time of grant. (5) Expected dividend is assumed to be 0% as ACM has no history or expectation of paying a dividend on its common stock. |
Summary of Components of Stock-based Compensation Expense | The following table summarizes the components of stock-based compensation expense included in the condensed consolidated statements of comprehensive income: Three Months Ended March 31, 2024 2023 Stock-Based Compensation Expense: Cost of revenue $ 781 $ 125 Sales and marketing expense 3,027 431 Research and development expense 4,503 701 General and administrative expense 6,258 811 $ 14,569 $ 2,068 Three Months Ended March 31, 2024 2023 Stock-based compensation expense by type: Employee stock purchase plan $ 2,353 $ 2,018 Non-employee stock purchase plan 9 11 2019 and 2023 Subsidiary option grants 12,207 39 $ 14,569 $ 2,068 |
INCOME TAXES (Tables)
INCOME TAXES (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Income Tax Disclosure [Abstract] | |
Income Tax Benefit (Expense) | Income tax expense was as follows: Three Months Ended March 31, 2024 2023 Total income tax expense $ (4,369) $ (2,879) |
SEGMENT INFORMATION (Tables)
SEGMENT INFORMATION (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Segment Reporting [Abstract] | |
Long-Lived Assets by Geography | March 31, December 31, Long-lived assets by geography: Mainland China $ 231,208 $ 209,725 Korea 11,630 12,190 United States 1,259 1,276 Total $ 244,097 $ 223,191 |
DESCRIPTION OF BUSINESS (Detail
DESCRIPTION OF BUSINESS (Details) $ in Thousands | 1 Months Ended | 3 Months Ended | |||
Nov. 30, 2021 USD ($) shares | May 31, 2023 shares | Mar. 31, 2024 shares | Dec. 31, 2023 | Nov. 30, 2021 ¥ / shares shares | |
Employee Share Option | |||||
Description of Business [Abstract] | |||||
Exercise of stock options (in shares) | 851,954 | ||||
ACM Research (Shanghai), Inc. ("ACM Shanghai") | |||||
Description of Business [Abstract] | |||||
Percentage of ownership after transaction | 82.10% | ||||
Place and date of incorporation | Mainland China, May 2005 | ||||
Effective interest held as at | 82.10% | 82.10% | |||
ACM Research (Shanghai), Inc. ("ACM Shanghai") | Employee Share Option | |||||
Description of Business [Abstract] | |||||
Exercise of stock options (in shares) | 2,150,309 | ||||
ACM Research (Shanghai), Inc. ("ACM Shanghai") | IPO | |||||
Description of Business [Abstract] | |||||
Offering of shares (in shares) | 43,355,753 | ||||
Percentage amount of shares offered from shares outstanding | 10% | ||||
Common stock outstanding (in shares) | 433,557,100 | ||||
Share price (in RMB per share) | ¥ / shares | ¥ 85 | ||||
Proceeds from issuance initial public offering | $ | $ 545,512 | ||||
Percentage of ownership after transaction | 82.50% | ||||
ACM Research (Wuxi), Inc. ("ACM Wuxi") | |||||
Description of Business [Abstract] | |||||
Place and date of incorporation | Mainland China, July 2011 | ||||
Effective interest held as at | 82.10% | 82.10% | |||
CleanChip Technologies Limited ("CleanChip") | |||||
Description of Business [Abstract] | |||||
Place and date of incorporation | Hong Kong, June 2017 | ||||
Effective interest held as at | 82.10% | 82.10% | |||
ACM Research Korea CO., LTD. | |||||
Description of Business [Abstract] | |||||
Place and date of incorporation | Korea, December 2017 | ||||
Effective interest held as at | 82.10% | 82.10% | |||
ACM Research ( Lingang), Inc. ("ACM Lingang") (1) | |||||
Description of Business [Abstract] | |||||
Place and date of incorporation | Mainland China, March 2019 | ||||
Effective interest held as at | 82.10% | 82.10% | |||
ACM Research (CA), Inc. ("ACM California") | |||||
Description of Business [Abstract] | |||||
Place and date of incorporation | USA, April 2019 | ||||
Effective interest held as at | 82.10% | 82.10% | |||
ACM Research (Cayman), Inc. | |||||
Description of Business [Abstract] | |||||
Place and date of incorporation | Cayman Islands, April 2019 | ||||
Effective interest held as at | 100% | 100% | |||
ACM Research (Singapore) PTE. Ltd. ("ACM Singapore") | |||||
Description of Business [Abstract] | |||||
Place and date of incorporation | Singapore, August 2021 | ||||
Effective interest held as at | 100% | 100% | |||
ACM Research (Beijing), Inc. ("ACM Beijing") | |||||
Description of Business [Abstract] | |||||
Place and date of incorporation | Mainland China, February 2022 | ||||
Effective interest held as at | 82.10% | 82.10% | |||
Hanguk ACM CO., LTD | |||||
Description of Business [Abstract] | |||||
Place and date of incorporation | Korea, March 2022 | ||||
Effective interest held as at | 100% | 100% | |||
Yusheng Micro Semiconductor (Shanghai) Co., Ltd. | |||||
Description of Business [Abstract] | |||||
Place and date of incorporation | Mainland China, June 2023 | ||||
Effective interest held as at | 82.10% | 82.10% | |||
ACM-Wooil Microelectronics (Shanghai) Co., Ltd. | |||||
Description of Business [Abstract] | |||||
Place and date of incorporation | Mainland China, June 2023 | ||||
Effective interest held as at | 59.40% | 59.40% |
SUMMARY OF SIGNIFICANT ACCOUN_4
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, Cash and Cash Equivalents (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | Dec. 31, 2023 | |
Cash and Cash Equivalents, at Carrying Value [Abstract] | |||
Cash, cash equivalents and restricted cash and time deposits | $ 211,305 | $ 182,090 | |
Short-term and long-term time deposits | 76,205 | 121,342 | |
ACM Shanghai | |||
Cash and Cash Equivalents, at Carrying Value [Abstract] | |||
Cash payments for procurement of goods and services | 4,648 | $ 10,931 | |
United States | |||
Cash and Cash Equivalents, at Carrying Value [Abstract] | |||
Cash, cash equivalents and restricted cash and time deposits | 45,179 | 43,614 | |
Mainland China | |||
Cash and Cash Equivalents, at Carrying Value [Abstract] | |||
Cash, cash equivalents and restricted cash and time deposits | 101,590 | 70,418 | |
China Hong Kong | |||
Cash and Cash Equivalents, at Carrying Value [Abstract] | |||
Cash, cash equivalents and restricted cash and time deposits | 63,401 | 64,057 | |
Korea | |||
Cash and Cash Equivalents, at Carrying Value [Abstract] | |||
Cash, cash equivalents and restricted cash and time deposits | 1,068 | 3,934 | |
Singapore | |||
Cash and Cash Equivalents, at Carrying Value [Abstract] | |||
Cash, cash equivalents and restricted cash and time deposits | $ 67 | $ 67 |
SUMMARY OF SIGNIFICANT ACCOUN_5
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, Summary of Fair Value (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Fair Value, Recurring | ||
Assets | ||
Cash and cash equivalents | $ 36,509 | $ 37,518 |
Short-term investments | 18,648 | 21,312 |
Total assets | 55,157 | 58,830 |
Fair Value, Nonrecurring | ||
Assets | ||
Investments accounted for using measurement alternative | 10,378 | |
Total assets | 10,378 | |
Fair Value, Inputs, Level 1 | Fair Value, Recurring | ||
Assets | ||
Cash and cash equivalents | 36,509 | 37,518 |
Short-term investments | 18,648 | 21,312 |
Total assets | 55,157 | 58,830 |
Fair Value, Inputs, Level 1 | Fair Value, Nonrecurring | ||
Assets | ||
Investments accounted for using measurement alternative | 0 | |
Total assets | 0 | |
Fair Value, Inputs, Level 2 | Fair Value, Recurring | ||
Assets | ||
Cash and cash equivalents | 0 | 0 |
Short-term investments | 0 | 0 |
Total assets | 0 | 0 |
Fair Value, Inputs, Level 2 | Fair Value, Nonrecurring | ||
Assets | ||
Investments accounted for using measurement alternative | 0 | |
Total assets | 0 | |
Fair Value, Inputs, Level 3 | Fair Value, Recurring | ||
Assets | ||
Cash and cash equivalents | 0 | 0 |
Short-term investments | 0 | 0 |
Total assets | $ 0 | 0 |
Fair Value, Inputs, Level 3 | Fair Value, Nonrecurring | ||
Assets | ||
Investments accounted for using measurement alternative | 10,378 | |
Total assets | $ 10,378 |
SUMMARY OF SIGNIFICANT ACCOUN_6
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, Time Deposits (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | Dec. 31, 2023 | |
Time Deposits [Abstract] | |||
Time deposits | $ 76,205 | $ 121,342 | |
Interest income, deposits with financial institutions | $ 624 | $ 975 | |
Deposit in China Merchant Bank which matured on January 29, 2024 with an annual interest rate of 2.85% | |||
Time Deposits [Abstract] | |||
Time deposits, interest rate | 2.85% | ||
Time deposits | $ 0 | 29,797 | |
Deposit in Bank of Ningbo which matured on February 17, 2024 with an annual interest rate of 2.85% | |||
Time Deposits [Abstract] | |||
Time deposits, interest rate | 2.85% | ||
Time deposits | $ 0 | 44,630 | |
Deposit in Shanghai Pudong Development Bank which matures on October 20, 2025 with an annual interest rate of 3.10% | |||
Time Deposits [Abstract] | |||
Time deposits, interest rate | 3.10% | ||
Time deposits | $ 7,361 | 7,322 | |
Deposit in Shanghai Pudong Development Bank which matures on November 14, 2025 with an annual interest rate of 3.10% | |||
Time Deposits [Abstract] | |||
Time deposits, interest rate | 3.10% | ||
Time deposits | $ 4,407 | 7,307 | |
Deposit in Shanghai Pudong Development Bank which matures on December 8, 2025 with an annual interest rate of 3.10% | |||
Time Deposits [Abstract] | |||
Time deposits, interest rate | 3.10% | ||
Time deposits | $ 0 | 4,376 | |
Deposit in Shanghai Pudong Development Bank which matures on December 15, 2025 with an annual interest rate of 3.10% | |||
Time Deposits [Abstract] | |||
Time deposits, interest rate | 3.10% | ||
Time deposits | $ 1,465 | 4,373 | |
Deposit in Shanghai Pudong Development Bank which matures on December 30, 2025 with an annual interest rate of 3.10% | |||
Time Deposits [Abstract] | |||
Time deposits, interest rate | 3.10% | ||
Time deposits | $ 0 | 2,912 | |
Deposit in China Industrial Bank which matures on January 3, 2026 with an annual interest rate of 3.15% | |||
Time Deposits [Abstract] | |||
Time deposits, interest rate | 3.15% | ||
Time deposits | $ 14,608 | 14,528 | |
Deposit in China Everbright Bank which matures on December 5, 2024 with an annual interest rate of 5.38% | |||
Time Deposits [Abstract] | |||
Time deposits, interest rate | 5.38% | ||
Time deposits | $ 0 | 3,079 | |
Deposit in China Everbright Bank which matures on May 22, 2024 with an annual interest rate of 5.28% | |||
Time Deposits [Abstract] | |||
Time deposits, interest rate | 5.28% | ||
Time deposits | $ 3,057 | 3,018 | |
Deposit in China Everbright Bank which matured on April 5, 2024 with an annual interest rate of 5.33% | |||
Time Deposits [Abstract] | |||
Time deposits, interest rate | 5.33% | ||
Time deposits | $ 3,037 | 0 | |
Deposit in China Merchant Bank, Lujiazui Branch which matures on May 27, 2024 with an annual interest rate of 1.85% | |||
Time Deposits [Abstract] | |||
Time deposits, interest rate | 1.85% | ||
Time deposits | $ 14,090 | 0 | |
Deposit in China Merchant Bank, Huaihai Branch which matures on May 27, 2024 with an annual interest rate of 1.85% | |||
Time Deposits [Abstract] | |||
Time deposits, interest rate | 1.85% | ||
Time deposits | $ 14,090 | 0 | |
Deposit in Bank of Ningbo which matures on September 11, 2024 with an annual interest rate of 1.50% | |||
Time Deposits [Abstract] | |||
Time deposits, interest rate | 1.50% | ||
Time deposits | $ 14,090 | $ 0 |
SUMMARY OF SIGNIFICANT ACCOUN_7
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, Basic and Diluted Net Income per Common Share (Details) $ / shares in Units, $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 USD ($) class $ / shares shares | Mar. 31, 2023 USD ($) $ / shares shares | |
Numerator [Abstract] | ||
Net income | $ 22,092 | $ 8,963 |
Less: Net income attributable to non-controlling interests | 4,659 | 1,818 |
Net income available to common stockholders, basic | 17,433 | 7,145 |
Less: Dilutive effect arising from stock-based awards by ACM Shanghai | 354 | 93 |
Net income available to common stockholders, diluted | $ 17,079 | $ 7,052 |
Weighted average shares outstanding, basic (in shares) | shares | 61,367,184 | 59,736,764 |
Effect of dilutive securities (in shares) | shares | 4,875,137 | 5,322,013 |
Weighted average shares outstanding, diluted (in shares) | shares | 66,242,321 | 65,058,777 |
Net income per common share [Abstract] | ||
Basic (in dollars per share) | $ / shares | $ 0.28 | $ 0.12 |
Diluted (in dollars per share) | $ / shares | $ 0.26 | $ 0.11 |
Incremental common shares attributable to dilutive effect of share-based payment arrangements (in shares) | shares | 728,575 | 1,967,685 |
Classes of common stock outstanding | class | 2 |
SUMMARY OF SIGNIFICANT ACCOUN_8
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, Concentration of Credit Risk (Details) - Customer Concentration Risk | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | Dec. 31, 2023 | |
Revenue Benchmark | Two Customers | |||
Concentration of Credit Risk [Abstract] | |||
Concentration risk, percentage | 55.90% | ||
Revenue Benchmark | Four Customers | |||
Concentration of Credit Risk [Abstract] | |||
Concentration risk, percentage | 59.70% | ||
Accounts Receivable | Four Customers | |||
Concentration of Credit Risk [Abstract] | |||
Concentration risk, percentage | 56.20% | 59.10% |
REVENUE FROM CONTRACTS WITH C_3
REVENUE FROM CONTRACTS WITH CUSTOMERS - Disaggregated Revenue (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Disaggregated Revenue Information [Abstract] | ||
Revenue (note 3) | $ 152,191 | $ 74,256 |
Mainland China | ||
Disaggregated Revenue Information [Abstract] | ||
Revenue (note 3) | 152,135 | 72,458 |
Other regions | ||
Disaggregated Revenue Information [Abstract] | ||
Revenue (note 3) | 56 | 1,798 |
Single Wafer Cleaning, Tahoe and Semi-Critical Cleaning Equipment | ||
Disaggregated Revenue Information [Abstract] | ||
Revenue (note 3) | 109,470 | 36,614 |
ECP (front-end and packaging), Furnace and Other Technologies | ||
Disaggregated Revenue Information [Abstract] | ||
Revenue (note 3) | 25,800 | 26,598 |
Advanced Packaging (excluding ECP), Services & Spares | ||
Disaggregated Revenue Information [Abstract] | ||
Revenue (note 3) | $ 16,921 | $ 11,044 |
REVENUE FROM CONTRACTS WITH C_4
REVENUE FROM CONTRACTS WITH CUSTOMERS - Accounts Receivables and Contract Liabilities (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Revenue from Contract with Customer [Abstract] | ||
Accounts receivable | $ 296,371 | $ 283,186 |
Advances from customers (note 3) | 182,547 | 181,368 |
Deferred revenue (note 3) | $ 4,405 | $ 3,687 |
REVENUE FROM CONTRACTS WITH C_5
REVENUE FROM CONTRACTS WITH CUSTOMERS - Narrative (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Disaggregation of Revenue [Line Items] | ||
Advances from customers | $ 2,182 | $ 25,857 |
Contract with Customer, Liability, Revenue Recognized | 29,188 | $ 15,212 |
First-Tools | ||
Disaggregation of Revenue [Line Items] | ||
Advances from customers | $ 1,200 |
ACCOUNTS RECEIVABLE (Details)
ACCOUNTS RECEIVABLE (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Dec. 31, 2023 | |
Accounts Receivable [Abstract] | ||
Accounts receivable | $ 302,372 | $ 288,016 |
Less: Allowance for credit losses | (6,001) | (4,830) |
Total | 296,371 | $ 283,186 |
Accounts receivable [Abstract] | ||
Increase accounts receivable | 13,200 | |
Increase in revenue | $ 77,900 |
ACCOUNTS RECEIVABLE - Summary o
ACCOUNTS RECEIVABLE - Summary of Allowance For Doubtful Accounts (Details) $ in Thousands | 3 Months Ended |
Mar. 31, 2024 USD ($) | |
Accounts Receivable, Allowance for Credit Loss [Roll Forward] | |
Beginning balance | $ (4,830) |
Provision for credit losses | (1,171) |
Ending balance | $ (6,001) |
INVENTORIES (Details)
INVENTORIES (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | Dec. 31, 2023 | |
Inventory, Net [Abstract] | |||
Raw materials | $ 256,332 | $ 235,062 | |
Work-in-process | 61,871 | 81,438 | |
Finished goods | 262,937 | 228,895 | |
Total inventory | 581,140 | 545,395 | |
Increase in raw materials and work in process | 21,270 | ||
Increase in finished goods | $ 34,042 | ||
Inventory impairment, period | 3 years | ||
Inventory write-down | $ 1,025 | $ 306 | |
First-tools, Customer Ownership | |||
Inventory, Net [Abstract] | |||
Finished goods | $ 163,484 | $ 123,390 |
PROPERTY, PLANT AND EQUIPMENT_3
PROPERTY, PLANT AND EQUIPMENT, NET (Details) ¥ in Thousands, $ in Thousands | 3 Months Ended | |||
Mar. 31, 2024 USD ($) | Mar. 31, 2023 USD ($) | Mar. 31, 2024 CNY (¥) | Dec. 31, 2023 USD ($) | |
Property, Plant and Equipment, Net, by Type [Abstract] | ||||
Property cost | $ 113,059 | $ 112,911 | ||
Less: Total accumulated depreciation and amortization | (19,531) | (17,503) | ||
Construction in progress | 125,294 | 106,440 | ||
Total property, plant and equipment, net | 218,822 | 201,848 | ||
Depreciation and amortization expense | 2,475 | $ 1,714 | ||
Buildings and plants | ||||
Property, Plant and Equipment, Net, by Type [Abstract] | ||||
Property cost | 82,933 | 83,109 | ||
Buildings and plants | ACM Lingang | ||||
Property, Plant and Equipment, Net, by Type [Abstract] | ||||
Property cost | 35,189 | ¥ 249,746 | ||
Buildings and plants | ACM Shanghai | ||||
Property, Plant and Equipment, Net, by Type [Abstract] | ||||
Property cost | 47,744 | ¥ 338,848 | ||
Manufacturing equipment | ||||
Property, Plant and Equipment, Net, by Type [Abstract] | ||||
Property cost | 16,702 | 16,556 | ||
Office equipment | ||||
Property, Plant and Equipment, Net, by Type [Abstract] | ||||
Property cost | 5,061 | 4,953 | ||
Transportation equipment | ||||
Property, Plant and Equipment, Net, by Type [Abstract] | ||||
Property cost | 402 | 404 | ||
Leasehold improvement | ||||
Property, Plant and Equipment, Net, by Type [Abstract] | ||||
Property cost | $ 7,961 | $ 7,889 |
LAND USE RIGHT, NET - Summary o
LAND USE RIGHT, NET - Summary of Land Use Right (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Land Use Right, Net [Abstract] | ||
Land use right purchase amount | $ 8,977 | $ 8,996 |
Less: accumulated amortization | (672) | (629) |
Land use right, net | $ 8,305 | $ 8,367 |
LAND USE RIGHT, NET - Narrative
LAND USE RIGHT, NET - Narrative (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Land Use Right, Net [Abstract] | ||
Amortization | $ 43 | $ 50 |
LAND USE RIGHT, NET - Summary_2
LAND USE RIGHT, NET - Summary of Future Amortization (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Annual Amortization of Land use Right [Abstract] | ||
remainder of 2024 | $ 135 | |
2025 | 180 | |
2026 | 180 | |
2027 | 180 | |
2028 | 180 | |
2029 and thereafter | 7,450 | |
Land use right, net | $ 8,305 | $ 8,367 |
OTHER LONG-TERM ASSETS - Summar
OTHER LONG-TERM ASSETS - Summary of Other Long-term Assets (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Other Assets, Noncurrent Disclosure [Abstract] | ||
Prepayments for property, plant and equipment | $ 7,690 | $ 3,380 |
Lease deposits | 867 | 834 |
Security deposit for land use right | 695 | 696 |
Others | 1,219 | 1,140 |
Total other long-term assets | $ 10,471 | $ 6,050 |
OTHER LONG-TERM ASSETS - Narrat
OTHER LONG-TERM ASSETS - Narrative (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Property, Plant and Equipment [Line Items] | ||
Property cost | $ 113,059 | $ 112,911 |
Buildings and plants | ||
Property, Plant and Equipment [Line Items] | ||
Property cost | $ 82,933 | $ 83,109 |
SHORT-TERM BORROWINGS (Details)
SHORT-TERM BORROWINGS (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | Dec. 31, 2023 | |
Short-Term Borrowings [Abstract] | |||
Short-term debt | $ 54,706 | $ 31,335 | |
Interest expense related to short-term borrowings | 213 | $ 490 | |
Line of Credit up to RMB 150,000 from China Everbright Bank | |||
Short-Term Borrowings [Abstract] | |||
Line of credit facility, maximum borrowing capacity | $ 150,000 | $ 150,000 | |
Line of Credit, due on August 29, 2024 with an annual interest rate of 3.00% | |||
Short-Term Borrowings [Abstract] | |||
Line of credit facility, interest rate during period | 3% | 3% | |
Short-term debt | $ 2,459 | $ 2,463 | |
Line of Credit up to RMB 40,000 from Bank of China, | |||
Short-Term Borrowings [Abstract] | |||
Line of credit facility, maximum borrowing capacity | $ 40,000 | $ 40,000 | |
Line of Credit, due on September 7, 2024 with an annual interest rate of 2.87% | |||
Short-Term Borrowings [Abstract] | |||
Line of credit facility, interest rate during period | 2.87% | 2.87% | |
Short-term debt | $ 5,640 | $ 5,648 | |
Line of Credit up to RMB 200,000 from China Merchants Bank | |||
Short-Term Borrowings [Abstract] | |||
Line of credit facility, maximum borrowing capacity | $ 200,000 | $ 200,000 | |
Line of Credit, China Merchants Bank, due on August 7, 2024 with an annual interest rate of 3.00% | |||
Short-Term Borrowings [Abstract] | |||
Line of credit facility, interest rate during period | 3% | 3% | |
Short-term debt | $ 1,269 | $ 1,271 | |
Line of Credit, China Merchants Bank, due on August 8, 2024 with an annual interest rate of 3.00% | |||
Short-Term Borrowings [Abstract] | |||
Line of credit facility, interest rate during period | 3% | 3% | |
Short-term debt | $ 1,269 | $ 1,271 | |
Line of Credit, China Merchants Bank, due on August 9, 2024 with an annual interest rate of 3.00% | |||
Short-Term Borrowings [Abstract] | |||
Line of credit facility, interest rate during period | 3% | 3% | |
Short-term debt | $ 1,269 | $ 1,271 | |
Line of Credit, China Merchants Bank, due on August 14, 2024 with an annual interest rate of 3.00% | |||
Short-Term Borrowings [Abstract] | |||
Line of credit facility, interest rate during period | 3% | 3% | |
Short-term debt | $ 1,269 | $ 1,271 | |
Line of Credit, China Merchants Bank, due on August 17, 2024 with an annual interest rate of 3.00% | |||
Short-Term Borrowings [Abstract] | |||
Line of credit facility, interest rate during period | 3% | 3% | |
Short-term debt | $ 1,269 | $ 1,271 | |
Line of Credit, China Merchants Bank, due on August 20, 2024 with an annual interest rate of 3.00% | |||
Short-Term Borrowings [Abstract] | |||
Line of credit facility, interest rate during period | 3% | 3% | |
Short-term debt | $ 1,269 | $ 1,271 | |
Line of Credit, China Merchants Bank, due on August 21, 2024 with an annual interest rate of 3.00% | |||
Short-Term Borrowings [Abstract] | |||
Line of credit facility, interest rate during period | 3% | 3% | |
Short-term debt | $ 1,269 | $ 1,271 | |
Line of Credit, China Merchants Bank, due on August 22, 2024 with an annual interest rate of 3.00% | |||
Short-Term Borrowings [Abstract] | |||
Line of credit facility, interest rate during period | 3% | 3% | |
Short-term debt | $ 1,269 | $ 1,271 | |
Line of Credit, China Merchants Bank, due on August 24, 2024 with an annual interest rate of 3.00% | |||
Short-Term Borrowings [Abstract] | |||
Line of credit facility, interest rate during period | 3% | 3% | |
Short-term debt | $ 1,269 | $ 1,271 | |
Line of Credit, China Merchants Bank, due on August 27, 2024 with an annual interest rate of 3.00% | |||
Short-Term Borrowings [Abstract] | |||
Line of credit facility, interest rate during period | 3% | 3% | |
Short-term debt | $ 1,269 | $ 1,271 | |
Line of Credit, China Merchants Bank, due on August 29, 2024 with an annual interest rate of 3.00% | |||
Short-Term Borrowings [Abstract] | |||
Line of credit facility, interest rate during period | 3% | 3% | |
Short-term debt | $ 1,269 | $ 1,271 | |
Line of Credit, China Merchants Bank, due on August 30, 2024 with an annual interest rate of 3.00% | |||
Short-Term Borrowings [Abstract] | |||
Line of credit facility, interest rate during period | 3% | 3% | |
Short-term debt | $ 1,269 | $ 1,271 | |
Line of Credit, China Merchants Bank, due on September 3, 2024 with an annual interest rate of 3.00% | |||
Short-Term Borrowings [Abstract] | |||
Line of credit facility, interest rate during period | 3% | 3% | |
Short-term debt | $ 1,269 | $ 1,271 | |
Line of Credit, China Merchants Bank, due on September 5, 2024 with an annual interest rate of 3.00% | |||
Short-Term Borrowings [Abstract] | |||
Line of credit facility, interest rate during period | 3% | 3% | |
Short-term debt | $ 1,269 | $ 1,270 | |
Line of Credit, China Merchants Bank, due on September 6, 2024 with an annual interest rate of 3.00% | |||
Short-Term Borrowings [Abstract] | |||
Line of credit facility, interest rate during period | 3% | 3% | |
Short-term debt | $ 1,269 | $ 1,270 | |
Line of Credit, China Merchants Bank, due on September 10, 2024 with an annual interest rate of 3.00% | |||
Short-Term Borrowings [Abstract] | |||
Line of credit facility, interest rate during period | 3% | 3% | |
Short-term debt | $ 1,269 | $ 1,270 | |
Line of Credit, China Merchants Bank, due on September 12, 2024 with an annual interest rate of 3.00% | |||
Short-Term Borrowings [Abstract] | |||
Line of credit facility, interest rate during period | 3% | 3% | |
Short-term debt | $ 1,269 | $ 1,270 | |
Line Of Credit, China Merchants Bank, Due On February 27, 2025 With An Annual Interest Rate Of 2.60% | |||
Short-Term Borrowings [Abstract] | |||
Line of credit facility, interest rate during period | 2.60% | ||
Short-term debt | $ 1,340 | 0 | |
Line Of Credit, China Merchants Bank, Due On February 28, 2025 With An Annual Interest Rate Of 2.60% | |||
Short-Term Borrowings [Abstract] | |||
Line of credit facility, interest rate during period | 2.60% | ||
Short-term debt | $ 1,340 | 0 | |
Line Of Credit, China Merchants Bank, Due On March 1, 2025 With An Annual Interest Rate Of 2.60% | |||
Short-Term Borrowings [Abstract] | |||
Line of credit facility, interest rate during period | 2.60% | ||
Short-term debt | $ 1,340 | 0 | |
Line Of Credit, China Merchants Bank, Due On March 5, 2025 With An Annual Interest Rate Of 2.60% | |||
Short-Term Borrowings [Abstract] | |||
Line of credit facility, interest rate during period | 2.60% | ||
Short-term debt | $ 1,340 | 0 | |
Line Of Credit, China Merchants Bank, Due On March 8, 2025 With An Annual Interest Rate Of 2.60% | |||
Short-Term Borrowings [Abstract] | |||
Line of credit facility, interest rate during period | 2.60% | ||
Short-term debt | $ 1,270 | 0 | |
Line Of Credit Up To RMB 120,000 From Bank Of China | |||
Short-Term Borrowings [Abstract] | |||
Line of credit facility, maximum borrowing capacity | $ 120,000 | ||
Line Of Credit, Bank Of China, Due On March 20, 2025 With An Annual Interest Rate Of 2.75% | |||
Short-Term Borrowings [Abstract] | |||
Line of credit facility, interest rate during period | 2.75% | ||
Short-term debt | $ 16,921 | 0 | |
Line Of Credit Up To KRW 500,000 from Industrial Bank Of Korea | |||
Short-Term Borrowings [Abstract] | |||
Line of credit facility, maximum borrowing capacity | $ 500,000 | ||
Line Of Credit Due On July 12, 2024 With An Annual Interest Rate Of 6.03% | |||
Short-Term Borrowings [Abstract] | |||
Line of credit facility, interest rate during period | 6.03% | ||
Short-term debt | $ 0 | 77 | |
Line Of Credit Up To KRW 2,000,000 From Industrial Bank Of Korea | |||
Short-Term Borrowings [Abstract] | |||
Line of credit facility, maximum borrowing capacity | $ 2,000,000 | $ 2,000,000 | |
Line Of Credit Due On December 15, 2024 With An Annual Interest Rate Of 4.29% | |||
Short-Term Borrowings [Abstract] | |||
Line of credit facility, interest rate during period | 4.27% | 4.27% | |
Short-term debt | $ 1,483 | $ 1,544 |
OTHER PAYABLES AND ACCRUED EX_3
OTHER PAYABLES AND ACCRUED EXPENSES - Narrative (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Payables and Accruals [Abstract] | ||
Accrued commissions | $ 15,932 | $ 15,572 |
Accrued warranty | 11,339 | 9,834 |
Accrued payroll | 16,550 | 14,840 |
Accrued professional fees | 113 | 696 |
Accrued machine testing fees | 1,863 | 1,762 |
Accrued machine sales fees | 4,942 | 6,010 |
Accrued Lingang construction fees | 33,546 | 33,729 |
Others | 22,813 | 20,508 |
Current portion of long-term borrowings (note 12) | $ 107,098 | $ 102,951 |
LEASES - Components of Lease Ex
LEASES - Components of Lease Expense (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Components of lease expense [Abstract] | ||
Operating lease cost | $ 973 | $ 488 |
Short-term lease cost | 321 | 282 |
Total lease cost | $ 1,294 | $ 770 |
LEASES - Supplemental Cash Flow
LEASES - Supplemental Cash Flow Information (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Cash paid for amounts included in the measurement of lease liabilities [Abstract] | ||
Operating cash outflow from operating leases | $ 973 | $ 488 |
Operating lease right-of-use assets obtained in exchange for new operating lease liabilities | $ 80 | $ 6,592 |
LEASES - Maturities of Lease Li
LEASES - Maturities of Lease Liabilities (Details) $ in Thousands | Mar. 31, 2024 USD ($) |
Maturities of outstanding lease liabilities [Abstract] | |
remainder of 2024 | $ 2,370 |
2025 | 1,800 |
2026 | 1,215 |
2027 | 1,148 |
2028 and thereafter | 595 |
Total lease payments | 7,128 |
Less: Interest | (630) |
Present value of lease liabilities | $ 6,498 |
LEASES - Weighted Average Remai
LEASES - Weighted Average Remaining Lease Term (Details) | Mar. 31, 2024 | Dec. 31, 2023 |
Lessee, Operating Lease, Description [Abstract] | ||
Weighted average remaining lease term (years) | 3 years 4 months 13 days | 3 years 5 months 8 days |
Weighted average discount rate | 3.87% | 3.91% |
LONG-TERM BORROWINGS - Summary
LONG-TERM BORROWINGS - Summary of Long-term Borrowings (Details) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2024 USD ($) installment loan | Mar. 31, 2023 USD ($) | Dec. 31, 2023 USD ($) | |
Long-Term Borrowings [Abstract] | |||
Long-term debt | $ 59,957 | $ 60,735 | |
Less: Current portion | (6,549) | (6,783) | |
Long-term Borrowings | 53,408 | 53,952 | |
Long-term debt | 59,957 | 60,735 | |
Long-term debt, fair value | 56,409 | 56,462 | |
Interest costs incurred | 570 | $ 189 | |
China Merchants Bank | |||
Long-Term Borrowings [Abstract] | |||
Long-term debt | $ 12,919 | 13,362 | |
Number of installments for loan repayable | installment | 120 | ||
Line of credit facility, interest rate during period | 3.95% | ||
Long-term debt | $ 12,919 | 13,362 | |
Bank of China | |||
Long-Term Borrowings [Abstract] | |||
Long-term debt | $ 4,759 | 5,013 | |
Number of installments for loan repayable | installment | 6 | ||
Line of credit facility, interest rate during period | 2.60% | ||
Number of loans | loan | 2 | ||
Long-term debt | $ 4,759 | 5,013 | |
Bank of Shanghai | |||
Long-Term Borrowings [Abstract] | |||
Long-term debt | $ 14,101 | 14,120 | |
Line of credit facility, interest rate during period | 2.85% | ||
Long-term debt | $ 14,101 | 14,120 | |
Citic Bank | |||
Long-Term Borrowings [Abstract] | |||
Long-term debt | 28,178 | 28,240 | |
Long-term debt | $ 28,178 | $ 28,240 | |
Citic Bank | Lone One | |||
Long-Term Borrowings [Abstract] | |||
Number of installments for loan repayable | installment | 4 | ||
Line of credit facility, interest rate during period | 3.10% | ||
Citic Bank | Loan Two | |||
Long-Term Borrowings [Abstract] | |||
Number of installments for loan repayable | installment | 4 | ||
Line of credit facility, interest rate during period | 4.50% |
LONG-TERM BORROWINGS - Summar_2
LONG-TERM BORROWINGS - Summary of Scheduled Principal Payments (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Principal Payments of Long-Term Loan [Abstract] | ||
2023 | $ 6,120 | |
2025 | 43,993 | |
2026 | 1,851 | |
2027 | 1,925 | |
2028 | 2,003 | |
Thereafter | 4,065 | |
Long-term debt | $ 59,957 | $ 60,735 |
OTHER LONG-TERM LIABILITIES (De
OTHER LONG-TERM LIABILITIES (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Other Long-term Liabilities [Abstract] | ||
Other long-term liabilities | $ 5,469 | $ 5,873 |
Subsidies to Stress Free Polishing project, commenced in 2008 and 2017 | ||
Other Long-term Liabilities [Abstract] | ||
Other long-term liabilities | 189 | 475 |
Subsidies to other cleaning tools, commenced in 2020 | ||
Other Long-term Liabilities [Abstract] | ||
Other long-term liabilities | 647 | 632 |
Subsidies to SW Lingang R&D development in 2021 | ||
Other Long-term Liabilities [Abstract] | ||
Other long-term liabilities | 3,454 | 3,467 |
Other | ||
Other Long-term Liabilities [Abstract] | ||
Other long-term liabilities | $ 1,179 | $ 1,299 |
LONG-TERM INVESTMENT - Narrativ
LONG-TERM INVESTMENT - Narrative (Details) ¥ in Thousands | 3 Months Ended | ||
Mar. 31, 2024 USD ($) | Mar. 31, 2023 USD ($) | Mar. 31, 2024 CNY (¥) | |
Investments [Abstract] | |||
Loss from equity method investments (note 14) | $ 520,000 | $ 32,000 | |
Dividends from unconsolidated affiliates | 600,000 | $ 0 | |
Equity Investment | Ninebell | Class A Common Stock | |||
Investments [Abstract] | |||
Investment purchase price | $ 1,200,000 | ||
Percent ownership by ACM and subsidiaries | 20% | 20% | |
Equity Investment | Wooil | Class A Common Stock | |||
Investments [Abstract] | |||
Investment purchase price | $ 1,000,000 | ||
Percent ownership by ACM and subsidiaries | 20% | 20% | |
Equity Investment | Hefei Shixi | Class A Common Stock | |||
Investments [Abstract] | |||
Investment purchase price | $ 4,200,000 | ¥ 30,000 | |
Percent ownership by ACM and subsidiaries | 10% | 10% | |
Equity Investment | Shengyi | Class A Common Stock | |||
Investments [Abstract] | |||
Investment purchase price | $ 109,000 | ||
Percent ownership by ACM and subsidiaries | 14% | 14% | |
Equity Investment | Company D | Class A Common Stock | |||
Investments [Abstract] | |||
Investment purchase price | $ 4,230,000 | ¥ 30,000 | |
Percent ownership by ACM and subsidiaries | 16.70% | 16.70% | |
Equity Investment | Company A | Class A Common Stock | |||
Investments [Abstract] | |||
Investment purchase price | $ 4,200,000 | ¥ 30,000 | |
Percent ownership by ACM and subsidiaries | 4.40% | 4.40% | |
Equity Investment | Company B | Class A Common Stock | |||
Investments [Abstract] | |||
Investment purchase price | $ 930,000 | ¥ 6,600 | |
Percent ownership by ACM and subsidiaries | 1.40% | 1.40% | |
Equity Investment | Company C | Class A Common Stock | |||
Investments [Abstract] | |||
Investment purchase price | $ 1,760,000 | ¥ 12,500 | |
Percent ownership by ACM and subsidiaries | 5% | 5% | |
Equity Investment | Waferworks | Class A Common Stock | |||
Investments [Abstract] | |||
Investment purchase price | $ 1,568,000 | ||
Percent ownership by ACM and subsidiaries | 0.30% | 0.30% | |
Equity Investment | Shengyi | Class A Common Stock | |||
Investments [Abstract] | |||
Investment purchase price | $ 860,000 | ¥ 6,100 | |
Percent ownership by ACM and subsidiaries | 1% | 1% |
LONG-TERM INVESTMENT - Summary
LONG-TERM INVESTMENT - Summary of Long Term Investments (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Long-Term Investments [Line Items] | ||
Long-term investments (note 14) | $ 31,293 | $ 27,880 |
Equity investee: | ||
Long-Term Investments [Line Items] | ||
Long-term investments (note 14) | 20,584 | 17,502 |
Equity investee: | Ninebell | ||
Long-Term Investments [Line Items] | ||
Long-term investments (note 14) | 5,481 | 5,632 |
Equity investee: | Wooil | ||
Long-Term Investments [Line Items] | ||
Long-term investments (note 14) | 989 | 1,003 |
Equity investee: | Shengyi | ||
Long-Term Investments [Line Items] | ||
Long-term investments (note 14) | 1,999 | 1,693 |
Equity investee: | Hefei Shixi | ||
Long-Term Investments [Line Items] | ||
Long-term investments (note 14) | 7,888 | 9,174 |
Equity investee: | Company D | ||
Long-Term Investments [Line Items] | ||
Long-term investments (note 14) | 4,227 | 0 |
Investments accounted for using measurement alternative: | ||
Long-Term Investments [Line Items] | ||
Long-term investments (note 14) | 31,293 | 27,880 |
Investments accounted for using measurement alternative: | Shengyi | ||
Long-Term Investments [Line Items] | ||
Long-term investments (note 14) | 856 | 857 |
Investments accounted for using measurement alternative: | Waferworks | ||
Long-Term Investments [Line Items] | ||
Long-term investments (note 14) | 0 | 1,412 |
Investments accounted for using measurement alternative: | Company A | ||
Long-Term Investments [Line Items] | ||
Long-term investments (note 14) | 4,227 | 4,236 |
Investments accounted for using measurement alternative: | Company B | ||
Long-Term Investments [Line Items] | ||
Long-term investments (note 14) | 930 | 932 |
Investments accounted for using measurement alternative: | Company C | ||
Long-Term Investments [Line Items] | ||
Long-term investments (note 14) | 1,761 | 0 |
Investments accounted for using measurement alternative: | Other | ||
Long-Term Investments [Line Items] | ||
Long-term investments (note 14) | $ 2,935 | $ 2,941 |
SHORT-TERM INVESTMENTS - Narrat
SHORT-TERM INVESTMENTS - Narrative (Details) ¥ in Thousands, $ in Thousands | 3 Months Ended | ||||||||||||
Mar. 31, 2024 USD ($) | Mar. 31, 2023 USD ($) | Mar. 31, 2024 CNY (¥) | Feb. 29, 2024 USD ($) | Feb. 29, 2024 CNY (¥) | Dec. 31, 2023 | Jul. 31, 2023 USD ($) | Jul. 31, 2023 CNY (¥) | Sep. 27, 2022 USD ($) | Sep. 27, 2022 CNY (¥) | Sep. 19, 2022 USD ($) | Sep. 19, 2022 CNY (¥) | Dec. 31, 2021 USD ($) | |
Investments [Abstract] | |||||||||||||
Proceeds from sale of short-term investments (note 15) | $ 0 | $ 11,072 | |||||||||||
Sale of short-term investments receivable | 3,167 | ¥ 22,478 | |||||||||||
Realized gain from sale of short-term investments (note 15) | 273 | 3,994 | |||||||||||
Nuode Asset Management Company Limited | |||||||||||||
Investments [Abstract] | |||||||||||||
Investment in partnership | 3,167 | 22,478 | $ 4,196 | ¥ 30,000 | $ 22,160 | ¥ 160,000 | |||||||
Ownership percentage in partnership | 18.75% | 18.75% | 18.75% | ||||||||||
SMIC | |||||||||||||
Investments [Abstract] | |||||||||||||
Proceeds from sale of short-term investments (note 15) | 11,072 | ||||||||||||
Realized gain from sale of short-term investments (note 15) | 273 | $ 3,994 | |||||||||||
Huahong Semiconductor Limited | |||||||||||||
Investments [Abstract] | |||||||||||||
Investment in partnership | $ 13,930 | ¥ 100,000 | |||||||||||
Zhongiuxin Limited Company | |||||||||||||
Investments [Abstract] | |||||||||||||
Investment in partnership | 4,179 | 30,000 | |||||||||||
Shanghai Syncrystalline Silicon Materials Co., Ltd | |||||||||||||
Investments [Abstract] | |||||||||||||
Investment in partnership | $ 2,818 | ¥ 20,000 | $ 1,409 | ¥ 10 | $ 1,409 |
SHORT-TERM INVESTMENTS - Summar
SHORT-TERM INVESTMENTS - Summary of Trading Securities (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Investments, Debt and Equity Securities [Abstract] | ||
Cost | $ 21,135 | $ 20,155 |
Market value | $ 18,648 | $ 21,312 |
SHORT-TERM INVESTMENTS - Summ_2
SHORT-TERM INVESTMENTS - Summary of Unrealized Gain (Loss) on Trading Securities (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Investments, Debt and Equity Securities [Abstract] | ||
Debt Securities, Trading, Unrealized Gain (Loss) | $ (2,595) | $ (654) |
Debt Securities, Trading, Realized Gain (Loss) | 273 | 3,994 |
Debt Securities, Unrealized Gain (Loss) | $ (2,322) | $ 3,340 |
RELATED PARTY BALANCES AND TR_3
RELATED PARTY BALANCES AND TRANSACTIONS (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | Dec. 31, 2023 | |
Related Party Transaction [Line Items] | |||
Purchase of materials | $ 15,144 | $ 18,370 | |
Cost of revenue, including cost of revenue from related parties of $15.1 million and $18.4 million for the three months ended March 31, 2024 and 2023, respectively (note 16) | 73,070 | 34,270 | |
Ninebell | |||
Related Party Transaction [Line Items] | |||
Purchase of materials | 14,152 | 16,397 | |
Shengyi | |||
Related Party Transaction [Line Items] | |||
Purchase of materials | 992 | 1,973 | |
Related Party | |||
Related Party Transaction [Line Items] | |||
Other receivables | 1,338 | $ 2,432 | |
Accounts payable | 16,243 | 11,407 | |
Cost of revenue, including cost of revenue from related parties of $15.1 million and $18.4 million for the three months ended March 31, 2024 and 2023, respectively (note 16) | 15,100 | 18,400 | |
Related Party | Ninebell | |||
Related Party Transaction [Line Items] | |||
Other receivables | 1,338 | 2,432 | |
Accounts payable | 12,571 | 7,624 | |
Related Party | Shengyi | |||
Related Party Transaction [Line Items] | |||
Accounts payable | 3,672 | $ 3,783 | |
Cost of revenue, including cost of revenue from related parties of $15.1 million and $18.4 million for the three months ended March 31, 2024 and 2023, respectively (note 16) | $ 73 | $ 278 |
COMMON STOCK (Details)
COMMON STOCK (Details) | 3 Months Ended | |||
Mar. 31, 2024 vote $ / shares shares | Mar. 31, 2023 shares | Dec. 31, 2023 shares | Dec. 31, 2022 shares | |
Common Stock Class A | ||||
Class of Stock Disclosures [Abstract] | ||||
Common stock, shares authorized (in shares) | 150,000,000 | |||
Common stock, par value (in dollars per share) | $ / shares | $ 0.0001 | |||
Number of votes for each share entitled | vote | 1 | |||
Exercise of stock options (in shares) | 163,069 | |||
Common stock issued (in shares) | 56,986,777 | 56,036,172 | ||
Common stock outstanding (in shares) | 56,986,777 | 56,036,172 | ||
Class B Common Stock | ||||
Class of Stock Disclosures [Abstract] | ||||
Common stock, shares authorized (in shares) | 5,307,816 | |||
Common stock, par value (in dollars per share) | $ / shares | $ 0.0001 | |||
Number of votes for each share entitled | vote | 20 | |||
Shares converted | 1 | |||
Common stock issued (in shares) | 5,021,811 | 5,021,811 | ||
Common stock outstanding (in shares) | 5,021,811 | 5,021,811 | ||
Common Stock | Common Stock Class A | ||||
Class of Stock Disclosures [Abstract] | ||||
Exercise of stock options (in shares) | 950,605 | 163,069 | ||
Common stock outstanding (in shares) | 56,986,777 | 54,818,355 | 56,036,172 | 54,655,286 |
Common Stock | Class B Common Stock | ||||
Class of Stock Disclosures [Abstract] | ||||
Common stock outstanding (in shares) | 5,021,811 | 5,021,811 | 5,021,811 | 5,021,811 |
STOCK-BASED COMPENSATION, Share
STOCK-BASED COMPENSATION, Share Option Activities (Details) - USD ($) $ / shares in Units, $ in Thousands | 1 Months Ended | 3 Months Ended | 12 Months Ended | |
May 31, 2023 | Mar. 31, 2024 | Mar. 31, 2023 | Dec. 31, 2023 | |
Employee Share Option | ||||
Number of Option Share [Roll Forward] | ||||
Outstanding, beginning of period (in shares) | 9,998,637 | |||
Granted (in shares) | 3,000 | |||
Exercised (in shares) | (851,954) | |||
Forfeited/cancelled (in shares) | (24,330) | |||
Outstanding, end of period (in shares) | 9,125,353 | 9,998,637 | ||
Vested and exercisable (in shares) | 5,278,784 | |||
Weighted Average Grant Date Fair Value | ||||
Outstanding at beginning of period (in dollars per share) | $ 5.15 | |||
Granted (in dollars per share) | 23.95 | |||
Exercised (in dollars per share) | 2.7 | |||
Forfeited/cancelled (in dollars per share) | 11.14 | |||
Outstanding at end of period (in dollars per share) | 5.37 | $ 5.15 | ||
Weighted Average Exercise Price | ||||
Outstanding, beginning of period (in dollars per share) | 9.59 | |||
Granted (in dollars per share) | 31.92 | |||
Exercised (in dollars per share) | 5.74 | |||
Forfeited/cancelled (in dollars per share) | 23.08 | |||
Outstanding, end of period (in dollars per share) | $ 9.79 | $ 9.59 | ||
Weighted Average Remaining Contractual Term | ||||
Weighted average remaining contractual term | 6 years 25 days | 6 years 2 months 1 day | ||
Unrecognized employee stock-based compensation expense | $ 24,670 | $ 27,152 | ||
Cost not yet recognized | 3 years 9 months 18 days | 4 years | ||
Intrinsic value | $ 21,865 | |||
Intrinsic value, outstanding | 178,674 | |||
Intrinsic value, exercisable | $ 117,476 | |||
Employee Share Option | ACM Shanghai | ||||
Number of Option Share [Roll Forward] | ||||
Exercised (in shares) | (2,150,309) | |||
Weighted Average Remaining Contractual Term | ||||
Weighted average remaining contractual term | 1 year 9 months 18 days | 2 years 1 month 6 days | ||
Unrecognized employee stock-based compensation expense | $ 65,682 | $ 79,882 | ||
Employee Share Option | ACM Shanghai | 2019 Stock Option Incentive Plan | ||||
Number of Option Share [Roll Forward] | ||||
Outstanding, beginning of period (in shares) | 3,134,883 | |||
Forfeited/cancelled (in shares) | (92,308) | |||
Outstanding, end of period (in shares) | 3,042,575 | 3,134,883 | ||
Vested and exercisable (in shares) | 3,042,575 | |||
Weighted Average Grant Date Fair Value | ||||
Outstanding at beginning of period (in dollars per share) | $ 0.24 | |||
Forfeited/cancelled (in dollars per share) | 0.24 | |||
Outstanding at end of period (in dollars per share) | 0.24 | $ 0.24 | ||
Weighted Average Exercise Price | ||||
Outstanding, beginning of period (in dollars per share) | 1.85 | |||
Forfeited/cancelled (in dollars per share) | 1.85 | |||
Outstanding, end of period (in dollars per share) | $ 1.85 | $ 1.85 | ||
Weighted Average Remaining Contractual Term | ||||
Weighted average remaining contractual term | 7 months 24 days | 10 months 6 days | ||
Intrinsic value | $ 0 | |||
Intrinsic value, outstanding | 31,616 | |||
Intrinsic value, exercisable | $ 31,616 | |||
Employee Share Option | ACM Shanghai | 2023 Stock Option Incentive Plan | ||||
Number of Option Share [Roll Forward] | ||||
Outstanding, beginning of period (in shares) | 10,575,500 | |||
Forfeited/cancelled (in shares) | (84,000) | |||
Outstanding, end of period (in shares) | 10,491,500 | 10,575,500 | ||
Vested and exercisable (in shares) | 0 | |||
Weighted Average Grant Date Fair Value | ||||
Outstanding at beginning of period (in dollars per share) | $ 9.49 | |||
Forfeited/cancelled (in dollars per share) | 9.49 | |||
Outstanding at end of period (in dollars per share) | 9.12 | $ 9.49 | ||
Weighted Average Exercise Price | ||||
Outstanding, beginning of period (in dollars per share) | 7.06 | |||
Forfeited/cancelled (in dollars per share) | 7.06 | |||
Outstanding, end of period (in dollars per share) | $ 7.01 | $ 7.06 | ||
Weighted Average Remaining Contractual Term | ||||
Weighted average remaining contractual term | 2 years 10 months 2 days | 3 years 1 month 2 days | ||
Intrinsic value | $ 0 | |||
Intrinsic value, outstanding | 54,686 | |||
Intrinsic value, exercisable | $ 0 | |||
Non-Employee Stock Option | ||||
Number of Option Share [Roll Forward] | ||||
Outstanding, beginning of period (in shares) | 1,170,795 | |||
Exercised (in shares) | (98,651) | |||
Forfeited/cancelled (in shares) | (1,903) | |||
Outstanding, end of period (in shares) | 1,070,241 | 1,170,795 | ||
Vested and exercisable (in shares) | 1,070,241 | |||
Weighted Average Grant Date Fair Value | ||||
Outstanding at beginning of period (in dollars per share) | $ 0.42 | |||
Exercised (in dollars per share) | 0.22 | |||
Forfeited/cancelled (in dollars per share) | 0.22 | |||
Outstanding at end of period (in dollars per share) | 0.44 | $ 0.42 | ||
Weighted Average Exercise Price | ||||
Outstanding, beginning of period (in dollars per share) | 1.31 | |||
Exercised (in dollars per share) | 0.50 | |||
Forfeited/cancelled (in dollars per share) | 0.50 | |||
Outstanding, end of period (in dollars per share) | $ 1.39 | $ 1.31 | ||
Weighted Average Remaining Contractual Term | ||||
Weighted average remaining contractual term | 2 years 6 months 3 days | 2 years 7 months 28 days | ||
Unrecognized employee stock-based compensation expense | $ 0 | $ 9 | ||
Cost not yet recognized | 0 years | 2 months 12 days | ||
Intrinsic value | $ 2,756 | |||
Intrinsic value, outstanding | 29,702 | |||
Intrinsic value, exercisable | $ 29,702 |
STOCK-BASED COMPENSATION, Assum
STOCK-BASED COMPENSATION, Assumptions Used to Determine Fair Value of Share Options Granted (Details) - Employee Share Option - Service Period Based | 3 Months Ended |
Mar. 31, 2024 $ / shares | |
Share-Based Compensation Arrangement by Share-Based Payment Award, Fair Value Assumptions and Methodology [Abstract] | |
Fair value of common share (in dollars per share) | $ 31.92 |
Expected term | 6 years 3 months |
Expected volatility rate | 85.48% |
Risk free interest rate | 4.23% |
Expected dividend rate | 0% |
STOCK-BASED COMPENSATION - Stoc
STOCK-BASED COMPENSATION - Stock-based Compensation Expense (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Stock-based Compensation Expense [Abstract] | ||
Stock-based compensation expense | $ 14,569 | $ 2,068 |
Employee Stock Option Plan | ||
Stock-based Compensation Expense [Abstract] | ||
Stock-based compensation expense | 2,353 | 2,018 |
Employee Stock Option Plan | ACM Shanghai | ||
Stock-based Compensation Expense [Abstract] | ||
Stock-based compensation expense | 12,207 | 39 |
Non-Employee Stock Option Plan | ||
Stock-based Compensation Expense [Abstract] | ||
Stock-based compensation expense | 9 | 11 |
Cost of revenue | ||
Stock-based Compensation Expense [Abstract] | ||
Stock-based compensation expense | 781 | 125 |
Sales and marketing expense | ||
Stock-based Compensation Expense [Abstract] | ||
Stock-based compensation expense | 3,027 | 431 |
Research and development expense | ||
Stock-based Compensation Expense [Abstract] | ||
Stock-based compensation expense | 4,503 | 701 |
General and administrative expense | ||
Stock-based Compensation Expense [Abstract] | ||
Stock-based compensation expense | $ 6,258 | $ 811 |
INCOME TAXES - Narrative (Detai
INCOME TAXES - Narrative (Details) $ in Thousands | 3 Months Ended | 48 Months Ended | |
Mar. 31, 2024 USD ($) subsidiary | Mar. 31, 2023 USD ($) | Dec. 31, 2023 USD ($) | |
Income Taxes [Abstract] | |||
Income tax expense | $ 4,369 | $ 2,879 | |
Capitalized contract cost, amortization period | 15 years | ||
Unrecognized tax benefits | $ 13,026 | $ 13,026 | |
Unrecognized tax benefits that would impact effective tax rate | 12,943 | $ 12,943 | |
Interest or penalties | $ 338 | $ 284 | |
Number of subsidiaries | subsidiary | 4 | ||
ACM Research (Shanghai), Inc. ("ACM Shanghai") | |||
Income Taxes [Abstract] | |||
Foreign corporate tax rate | 15% | ||
Foreign Tax Authority | |||
Income Taxes [Abstract] | |||
Foreign corporate tax rate | 25% | ||
Effective period of preferential income tax rate | 3 years | ||
Foreign Tax Authority | Minimum | |||
Income Taxes [Abstract] | |||
Foreign corporate tax rate | 15% | ||
Foreign Tax Authority | Maximum | |||
Income Taxes [Abstract] | |||
Foreign corporate tax rate | 25% | ||
Foreign Tax Authority | ACM Research (Shanghai), Inc. ("ACM Shanghai") | |||
Income Taxes [Abstract] | |||
Foreign corporate tax rate | 12.50% | ||
Foreign Tax Authority | ACM Research (Shanghai), Inc. ("ACM Shanghai") | Minimum | |||
Income Taxes [Abstract] | |||
Foreign corporate tax rate | 15% | ||
Foreign Tax Authority | ACM Research (Wuxi), Inc. ("ACM Wuxi") | |||
Income Taxes [Abstract] | |||
Foreign corporate tax rate | 25% | ||
Foreign Tax Authority | ACM Research (Beijing), Inc. ("ACM Beijing") | |||
Income Taxes [Abstract] | |||
Foreign corporate tax rate | 25% | ||
Foreign Tax Authority | ACM Research ( Lingang), Inc. ("ACM Lingang") (1) | |||
Income Taxes [Abstract] | |||
Foreign corporate tax rate | 15% |
INCOME TAXES - Summary of Incom
INCOME TAXES - Summary of Income Tax Benefit (Expense) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Income Tax Disclosure [Abstract] | ||
Total income tax benefit (expense) | $ (4,369) | $ (2,879) |
COMMITMENTS AND CONTINGENCIES (
COMMITMENTS AND CONTINGENCIES (Details) $ in Thousands, ¥ in Millions | 3 Months Ended | |||
Mar. 31, 2024 USD ($) legalProceeding | Mar. 31, 2024 CNY (¥) | Mar. 31, 2024 CNY (¥) legalProceeding | Dec. 31, 2023 USD ($) | |
Commitments and Contingencies Disclosure [Abstract] | ||||
Contractual obligation | $ 24,285 | $ 30,936 | ||
Other commitment | 1,409 | 7,413 | ||
Damages awarded | $ 62,600 | ¥ 450 | ||
Land use rights period | 6 years | 6 years | ||
Annual total taxes | $ 22,000 | ¥ 157.6 | ||
Investments | $ 132,014 | $ 116,932 | ||
Security deposit refund percentage | 20% | 20% | ||
Security deposit | $ 400 | ¥ 2.5 | ||
Number of outstanding legal proceedings | legalProceeding | 0 | 0 |
SEGMENT INFORMATION (Details)
SEGMENT INFORMATION (Details) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 USD ($) segment | Dec. 31, 2023 USD ($) | |
Segment Reporting [Abstract] | ||
Number of reportable segments | segment | 1 | |
Geographic Areas, Long-Lived Assets [Abstract] | ||
Long-lived assets | $ 244,097 | $ 223,191 |
Number of Operating Segments | segment | 1 | |
Mainland China | ||
Geographic Areas, Long-Lived Assets [Abstract] | ||
Long-lived assets | $ 231,208 | 209,725 |
Korea | ||
Geographic Areas, Long-Lived Assets [Abstract] | ||
Long-lived assets | 11,630 | 12,190 |
United States | ||
Geographic Areas, Long-Lived Assets [Abstract] | ||
Long-lived assets | $ 1,259 | $ 1,276 |
STATUTORY SURPLUS RESERVE (Deta
STATUTORY SURPLUS RESERVE (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Retained Earnings (Accumulated Deficit) [Abstract] | ||
Statutory surplus reserve | $ 30,060 | $ 30,060 |
ACM Research (Shanghai), Inc. ("ACM Shanghai") | ||
Retained Earnings (Accumulated Deficit) [Abstract] | ||
Statutory surplus reserve | $ 30,060 | $ 30,060 |