Ichor Holdings, Ltd. released its preliminary fourth‑quarter 2025 financial results and a first‑quarter 2026 outlook on January 13 2026. The company said Q4 revenue and gross margin are expected to be slightly above the midpoint of the guidance ranges issued on November 3 2025, indicating that the quarter’s performance is in line with, or marginally better than, management’s expectations.
The preliminary outlook projects Q1 2026 revenue of at least $240 million, a figure that exceeds the consensus estimate of $230 million. Management also noted a sequential improvement in gross margin compared with the fourth quarter, suggesting that cost‑control measures and a more favorable product mix are beginning to offset the margin compression that has plagued the company in recent periods.
In Q3 2025 Ichor generated $239.3 million in revenue, with a GAAP gross margin of 4.6% and a non‑GAAP margin of 12.1%. The prior year’s fourth quarter produced $233 million in revenue and a GAAP gross margin of 11.6% (12.0% non‑GAAP). The slight upside in Q4 2025 revenue and margin relative to these figures reflects a modest rebound in demand for the company’s etch and deposition equipment, while the company continues to manage the costs associated with a labor‑force ramp‑up, inventory write‑offs, and an unfavorable product mix.
CEO Jeff Andreson highlighted that the company’s core semiconductor equipment business is experiencing stronger demand, but that headwinds from other markets—particularly the softening in non‑semiconductor segments—continue to pressure margins. He emphasized that the company’s transition to a proprietary product model and the maturation of internal component supply chains are expected to deliver long‑term margin improvement.
The preliminary guidance signals confidence in the near‑term demand environment. By projecting revenue above analyst expectations and indicating a margin uptick, Ichor’s management is conveying that the company’s strategic initiatives are beginning to pay off, even as it remains vigilant about the ongoing cost pressures and market‑mix challenges.
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