Company Reports

ASMPT provides investors with exposure to long-term high-growth themes such as the proliferation of semiconductors in autos and industrial “Internet of Things,” as well as artificial intelligence and high-performance computing, through the leading global equipment supplier in assembly and packaging and surface-mount technology. The high-tech nature of the equipment supply industry provides barriers to new entrants and allows most incumbents to earn above the cost of capital returns over the long term, with ASMPT being no exception. We expect the company to continue to make strategic acquisitions in related areas where it can plug technology holes and add value through investment.

ASMPT provides investors with exposure to long-term high-growth themes such as the proliferation of semiconductors in autos and industrial “Internet of Things,” as well as artificial intelligence and high-performance computing, through the leading global equipment supplier in assembly and packaging and surface-mount technology. The high-tech nature of the equipment supply industry provides barriers to new entrants and allows most incumbents to earn above the cost of capital returns over the long term, with ASMPT being no exception. We expect the company to continue to make strategic acquisitions in related areas where it can plug technology holes and add value through investment.

ASMPT's second-quarter revenue grew 52% year over year, with bookings up 98% year over year, and guidance for third-quarter 2026 revenue growth of 46% year over year. Third-quarter bookings are also likely to be strong.

ASMPT's first-quarter revenue grew 32% year on year, with bookings up 72% year on year, and guidance for second-quarter 2026 revenue growth of 37% year on year. Second-quarter bookings are likely to be strong.

ASMPT provides investors with exposure to long-term high-growth themes such as the proliferation of semiconductors in autos and industrial “Internet of Things” as well as artificial intelligence and high-performance computing, through the leading global equipment supplier in assembly and packaging and surface-mounted technology. The high-tech nature of the equipment supply industry provides barriers to new entrants and allows most incumbents to earn above the cost of capital returns over the long term, with ASMPT being no exception. We expect the company to continue to make strategic acquisitions in related areas where it can plug technology holes and add value through investment.

ASMPT's fourth-quarter revenue grew 31% year over year, with bookings growing 28% year over year, and guidance for first-quarter 2026 revenue growth of 30% year over year. First-quarter bookings are likely to be strong.

ASMPT provides investors with exposure to long-term high-growth themes such as the proliferation of semiconductors in autos and industrial “Internet of Things” as well as artificial intelligence and high-performance computing, through the leading global equipment supplier in assembly and packaging and surface-mounted technology. The high-tech nature of the equipment supply industry provides barriers to new entrants and allows most incumbents to earn above the cost of capital returns over the long term, with ASMPT being no exception. We expect the company to continue to make strategic acquisitions in related areas where it can plug technology holes and add value through investment.

ASMPT provides investors with exposure to long-term high-growth themes such as the proliferation of semiconductors in autos and industrial “Internet of Things” as well as artificial intelligence, or AI, and high performance computing, or HPC, through the leading global equipment supplier in assembly and packaging and surface mounted technology. The high-tech nature of the equipment supply industry provides barriers to new entrants and allows most incumbents to earn above cost of capital returns over the long term, with ASMPT being no exception. We expect the company to continue to make strategic acquisitions in related areas where it can plug technology holes and add value through investment.

ASMPT posted 9.5% growth in third-quarter revenue, with bookings up 14% year over year and guidance for 14% year-on-year growth in fourth-quarter revenue. However, third-quarter profit was hit by a HKD 355 million factory closure and a HKD 74 million inventory write-down.

ASMPT provides investors with exposure to long-term high-growth themes such as the proliferation of semiconductors in autos and industrial “Internet of Things” as well as artificial intelligence, or AI, and high performance computing, or HPC, through the leading global equipment supplier in assembly and packaging and surface mounted technology. The high-tech nature of the equipment supply industry provides barriers to new entrants and allows most incumbents to earn above cost of capital returns over the long term, with ASMPT being no exception. We expect the company to continue to make strategic acquisitions in related areas where it can plug technology holes and add value through investment.

In second quarter, ASMPT reported 2% revenue growth with bookings up 20% year on year. It guided third-quarter revenue growth of 11% year on year, pointing to a recovery starting second half. Second-quarter net profit declined 2% year on year, given gross margin declined 33 basis points to 39.7%.

ASMPT provides investors with exposure to long-term high-growth themes such as the proliferation of semiconductors in autos and industrial “Internet of Things” as well as artificial intelligence, or AI, and high performance computing, or HPC, through the leading global equipment supplier in assembly and packaging and surface mounted technology. The high-tech nature of the equipment supply industry provides barriers to new entrants and allows most incumbents to earn above cost of capital returns over the long term, with ASMPT being no exception. We expect the company to continue to make strategic acquisitions in related areas where it can plug technology holes and add value through investment.

ASMPT reported flat first-quarter 2025 revenue, with bookings growing 4.8% year over year and guidance for second-quarter revenue growth of 3.0% year over year pointing toward a cautious recovery from the cyclical downturn.

ASMPT provides investors with exposure to long-term high-growth themes such as the proliferation of semiconductors in autos and industrial “Internet of Things” as well as artificial intelligence, or AI, and high performance computing, or HPC, through the leading global equipment supplier in assembly and packaging and surface mounted technology. The high-tech nature of the equipment supply industry provides barriers to new entrants and allows most incumbents to earn above cost of capital returns over the long term, with ASMPT being no exception. We expect the company to continue to make strategic acquisitions in related areas where it can plug technology holes and add value through investment.

ASMPT reported flat fourth-quarter 2024 revenue and guided to flat revenue in the first quarter of 2025. For the full year, revenue was down 10%, with operating income halving.

ASMPT provides investors with exposure to long-term high-growth themes such as the proliferation of semiconductors in autos and industrial “Internet of Things” as well as artificial intelligence, or AI, and high performance computing, or HPC, through the leading global equipment supplier in assembly and packaging and surface mounted technology. The high-tech nature of the equipment supply industry provides barriers to new entrants and allows most incumbents to earn above cost of capital returns over the long term, with ASMPT being no exception. We expect the company to continue to make strategic acquisitions in related areas where it can plug technology holes and add value through investment.

ASMPT’s third-quarter revenue declined by 3.7% year over year, with earnings per share up 50%. Management guided to fourth-quarter revenue, implying a 3.5% decline, whereas we had been looking for a quicker turnaround.

ASMPT’s management guided to third-quarter revenue, implying a 9.6% decline year on year. Management indicated that the “recovery of SEMI mainstream business is taking longer than anticipated due to tepid consumer spending. Moreover, the SMT business continues to experience a softening market in the near term.” Second-quarter revenue declined by 14.3% year on year, with earnings per share down 56% year on year. On the positive side, ASMPT continues to see strong demand from advanced packaging, which is a higher-margin product set, and is leveraged to growth in high-performance computing and generative artificial intelligence. Industry body SEMI forecasts global assembly and packaging equipment revenue growth of 9.9% in 2024 and 35% in 2025. We believe a recovery is likely coming, and given the volatility in this industry it is likely to be a large one, but it looks like it is delayed by at least one quarter from our previous expectations. We have seen solid underlying revenue and earnings per share growth over the past 12 years from ASMPT and we would expect this trend to continue in the foreseeable future, albeit with the extreme volatility of this industry. ASMPT remains leveraged to the global semiconductor and electronics market, and we expect both to expand in the long term. We see no signs of ASMPT’s products losing their technological competitiveness, so we would expect the company to fully participate in a market rebound when it comes.

ASMPT provides investors with exposure to long-term high-growth themes such as the proliferation of semiconductors in autos and industrial “Internet of Things” as well as artificial intelligence, or AI, and high performance computing, or HPC, through the leading global equipment supplier in assembly and packaging and surface mounted technology. The high-tech nature of the equipment supply industry provides barriers to new entrants and allows most incumbents to earn above cost of capital returns over the long term, with ASMPT being no exception. We expect the company to continue to make strategic acquisitions in related areas where it can plug technology holes and add value through investment.

ASMPT’s management guided on second-quarter revenue, implying an 18% decline year on year but a 2.3% increase quarter on quarter at the midpoint of the guidance range. The semiconductor segment, which usually leads the surface mount technology solutions segment, drove the expected sequential growth. First-quarter revenue declined by 20% year on year, with earnings per share down 44% year on year. ASMPT is experiencing strong demand from advanced packaging, is a higher-margin product set, and is leveraged to growth in high-performance computing, or HPC, and generative artificial intelligence.