[News] China’s Chip Tool 3Q26 Earnings Diverge: NAURA Sales Up Just 1%, ACM Profit Sinks 86%—What’s Behind the Divide?
As global semiconductor equipment giants, including ASML and Tokyo Electron, posted record 3Q26 earnings and raised guidance, their Chinese peers painted a more mixed picture. According to YiCai Global, five of China’s eight A-share-listed equipment makers valued above CNY 50 billion reported YoY gains in both revenue and net profit for the first nine months of 2026, though growth at certain major players has slowed sharply.
NAURA’s Growth Slows as Supply Constraints Loom
According to the report, major etching and deposition equipment supplier NAURA Technology saw 3Q26 revenue edge up just 1.31% YoY to CNY 11.31 billion, despite nine-month sales rising 15.26% to CNY 31.47 billion and attributable net profit reaching CNY 5.39 billion. Its nine-month gross margin narrowed to 39.44% from 41.41%, weighed down by higher component costs, new product qualification and discounts to major customers, the report suggests.
Meanwhile, supply constraints could add to NAURA’s near-term challenges. According to financial commentator Lao Lin on Chinese investment platform Xueqiu, NAURA warned on September 24 that supplier shortages could disrupt deliveries over the following three to six months. The warning reportedly puts 4Q26—and potentially 1Q27—under scrutiny, particularly as the fourth quarter has typically been the company’s strongest.
ACM, Kingsemi Face Sharp Setbacks
While NAURA faces slowing growth and potential supply disruptions, other Chinese equipment makers are also showing signs of earnings pressure, albeit to varying degrees.
According to IC Smart, etching equipment specialist AMEC reported revenue of CNY 10.33 billion for the first nine months of 2026, up 28.08% YoY, while attributable net profit soared 241.31% to CNY 4.13 billion.
Its quarterly results, however, showed signs of moderation. According to YiCai, third-quarter net profit jumped 159.02% YoY but declined 30.92% QoQ, pointing to a sequential pullback despite strong annual growth.
The pressure was more pronounced among other specialized equipment makers. Star Market Daily reports that cleaning equipment supplier ACM Research Shanghai saw third-quarter attributable net profit plunge 85.70% YoY, while photoresist coating and developing equipment maker Kingsemi swung to a net loss of CNY 63 million from a year-earlier profit. Kingsemi attributed the downturn primarily to higher costs and expenses, alongside reduced government subsidies.
According to China Securities Journal, ACM’s profit slump largely reflected a sharp decline in fair-value gains from external investments rather than weakening equipment demand. Shipments rose 34.24% YoY to CNY 5.96 billion in the first nine months, while its order backlog surged 88.20% to CNY 17.07 billion as of September 29.
Piotech Rides Local Memory Expansion as 3Q Profit Surges 135%
Thin-film deposition equipment specialist Piotech emerged as a standout among Chinese chipmaking tool suppliers, with third-quarter attributable net profit surging 135.39% YoY to CNY 1.09 billion, according to Star Market Daily.
The momentum was closely tied to China’s memory capacity expansion. The report notes that Piotech’s memory-related business accounts for more than two-thirds of both orders and revenue, benefiting from ongoing expansion at major Chinese memory makers YMTC and CXMT.
As noted by Calian Press, the company continued to strengthen its position in advanced memory and logic manufacturing during the first nine months of 2026. Key products include PECVD processes and gap-fill technologies. Meanwhile, Piotech’s next-generation Dione 300 eX high-speed, high-precision wafer-to-wafer hybrid bonding system has passed customer qualification, the report adds.
AI and memory expansion may be lifting China’s semiconductor equipment industry, but the latest earnings reveal a less uniform picture. Strong demand alone is no guarantee of stronger profits, particularly as supply constraints and cost pressures persist.
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(Photo credit: Naura Technology)
