Earnings Sentiment

Sentiment Analysis of the earnings transcript to help figure out if there are any bullish or bearish sentiments that could be gathered from it. We're doing ML and AI based analysis on the earnings call to get some more insights.

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Sentiment Distribution

   

Earnings Call Transcript Word Cloud

     

Bullish Statements during Earnings call

Statement
We have delivered more than 70 auto bench tools today and note a very strong contribution in 2023 with good profitability
We expect the first quarter shipment to be much higher than the fourth quarter levels, even with a normal Chinese New Year shutdown, and we expect total shipments to grow faster than revenue for the full year 2024
I'm pleased with our fourth quarter results, which conclude a strong year
So it's a very good opportunity
We are confident that the proprietary architecture of our Track tool is well suited for the high throughput required in next-generation of lithography tools
Profitability was good for both the fourth quarter and full year with operating margin of 21% and 22% respectively
And it's great customer and we're happy with our -- I said, you know, our auto bench tool be largely deployed and investigate the production line
For Tahoe, we made a good progress during the year
And looking forward, I think also we are very good relation and engagement with them in copper plating, our furnace and also online
I'm pleased to report ACM has been qualified for mass production at several customers and we expect a strong ramp with good orders for delivery in the first half of 2024
Two, continual spending and market share gain at our current customer, three, broader participation with new customer in China and four, good execution by our production and service team
Furthermore, this enhanced ACM brand and position us to attract new opportunities with other major global customers
But I think as I said, we have a big revenue with a strong financial supporting from sales here with also differential product, definitely will penetrate into the international market
This demonstrates a deepen relationships which we believe can lead to production orders
We had a stronger contribution from second and third tier semiconductor manufacturers including power, analog, CMOS, image sensor and current semiconductors and other devices and some new customers
We entered into the 30 millimeter auto bench cleaning market several years ago is proving to be a significant winner for their mature node spending
And we can see -- get a good convenient performance and also much less particle consumption
We are making a good progress in the evaluation of our Track tool
We believe a strong commitment to Korea will improving our relationship with our key Korean customer
This is good for our customer and good for their environment as our proprietary Tahoe design significantly reduce the consumption of the sulfuric acid
We continue to innovate in our cleaning and look forward to additional market share gain in 2024 when ramp up several key new products, including our bevel etch cleaning tool, high temperature SPM single wafer cleaning tool and the semi-critical CO2 dry cleaning tool
And so we see that as good market for us and also we see that continue to grow
Obviously we've done better than that for the last several years, but that's kind of the margin level that's our target level
ECP demonstrated strong performance
I want to note that our first tool achievement grow even higher than 33%
We are taking a good share for overall plating with a particular strong growth in front end process in 2023
We expect an even broader customer footprint and good revenue contribution in 2024
As with our cleaning, plating and furnace product line, our Track and PECVD platform boasts the proprietary technology that position them as a successful choice for major customer globally, including both in and outside China
In summary, we expect another year of strong growth in this product category in 2024
That's our confidence and also our proven record
       

Bearish Statements during earnings call

Statement
But you also see that some of your major customer, their gross margin already dropped to like 10% gross margin, right? So I'm a little bit worried about sustainability
Total shipments were $140 million for the fourth quarter, down 29%
For shipments, the shipment for fourth quarter were $140 million, down 29% year-to-year
On our third quarter call we know the delay of shipment to several customers due in part to adjustment in their fab buildouts
You did mention the sales and marketing was down
And so that's significantly below the growth rate in 2023
And there are certain, I call the plan delay or the installation not enough, either resource or floor plan not fast enough
So I think the new customer contribution caught our eye SiEn
We view the low shipments for the fourth quarter to be a one quarter event
The decline in sales and marketing was primarily due to a significant reduction of costs related to promotional tools
Mark McKechnie Yes, it was a significant decline in the sales and marketing promotion tools
I'm confused why that fell so much
We didn't break it out, but we did a couple other questions about that
Especially second half year or next year it's really we want to see something recover from DRAM market
   

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