Ichor Holdings, Ltd. engages in the design, engineering, and manufacture of fluid delivery subsystems and components for semiconductor capital equipment. It primarily offers gas and chemical delivery systems and subsystems that are used in the manufacturing of semiconductor devices. The company's gas delivery subsystems deliver, monitor, and control gases used in semiconductor manufacturing processes, such as etch and deposition; and chemical delivery subsystems blend and dispense the reactive liquid chemistries used in semiconductor manufacturing processes comprising chemical-mechanical planarization, electroplating, and cleaning. It also manufactures precision machined components, weldments, electron beam, laser-welded components, precision vacuum and hydrogen brazing, surface treatment technologies, and other proprietary products for use in fluid delivery systems. The company primarily markets its products directly and through resellers to equipment OEMs in the semiconductor equipment market in the United States, the United Kingdom, Singapore, Malaysia, Korea, Mexico, and internationally. Ichor Holdings, Ltd. was incorporated in 1999 and is headquartered in Fremont, California.
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The Corning for semiconductor manufacturing equipment.
The Cummins for machines that build semiconductors.
A specialized industrial technology provider, similar to a focused Siemens for the complex systems within chip-making machines.
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Here are the major products and services of Ichor (ICHR):
- Gas Delivery Subsystems: Engineered systems that precisely control and deliver process gases to semiconductor manufacturing tools.
- Chemical Delivery Subsystems: Systems designed for the accurate and controlled delivery of liquid chemicals used in semiconductor fabrication.
- Weldments and Machined Components: Custom-fabricated metal components and assemblies that form integral parts of their fluid delivery solutions.
- Refurbishment and Upgrade Services: Services for the maintenance, repair, and enhancement of existing fluid delivery systems.
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Ichor (ICHR) Major Customers
Ichor (ICHR) sells primarily to other companies (B2B), specifically to leading manufacturers of semiconductor capital equipment. The company designs, engineers, and manufactures fluid delivery subsystems and components critical for advanced semiconductor fabrication processes.
Based on recent financial disclosures (e.g., Form 10-K filings), Ichor's major customers include:
- Applied Materials, Inc. (Symbol: AMAT)
- Lam Research Corporation (Symbol: LRCX)
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Philip Barros, Chief Executive Officer
Philip Barros was appointed Chief Executive Officer of Ichor Holdings, Ltd. on November 3, 2025. He previously served as Chief Technology Officer since 2015 and Senior Vice President of Engineering since 2010. Mr. Barros has over 20 years of experience at Ichor and its predecessor company, holding executive roles in engineering, product management, sales, account management, corporate development, and strategy. Before joining Ichor, he was a director of systems engineering at Celerity, a predecessor company to Ichor. He also held engineering and management positions at Applied Materials, Inc. from 2000 to 2004. Mr. Barros holds multiple patents. He earned his B.S. in Mechanical Engineering from San Jose State University and has completed executive programs at Stanford University and the University of California, Berkeley.
Greg Swyt, Chief Financial Officer
Greg Swyt was promoted to Chief Financial Officer of Ichor Holdings, Ltd., effective August 30, 2023. He joined Ichor in January 2022 as Chief Accounting Officer. Mr. Swyt brings nearly 25 years of financial leadership experience in the semiconductor capital equipment and global electronics technology industries. Prior to Ichor, he served as CFO of Silvaco Group, Inc., a privately-held provider of EDA tools and semiconductor IP. He also held roles at Onto Innovation and its predecessor, Nanometrics Incorporated, including serving as interim CFO from December 2017 to October 2019. From 2008 to 2016, Mr. Swyt was the managing director of finance and global finance controller at Intevac, Inc. He also spent many years as a finance director at Applied Materials, Inc., and held financial leadership roles at Hewlett Packard and 2WIRE. Early in his career, he served 12 years with the U.S. Navy. Mr. Swyt holds both a B.S. in Finance and an MBA from San Jose State University.
Bruce Ragsdale, Chief Operating Officer
Bruce Ragsdale serves as the Chief Operating Officer of Ichor Holdings, Ltd.
Diana Finucane, Chief HR Officer
Diana Finucane holds the position of Chief HR Officer at Ichor Holdings, Ltd.
David Lee, Senior Vice President, Sales & Marketing
David Lee is the Senior Vice President, Sales & Marketing at Ichor Holdings, Ltd.
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Ichor Holdings (ICHR) faces several key risks due to its position within the semiconductor capital equipment industry. These risks are primarily driven by the cyclical nature of the industry and the company's customer relationships.
The most significant key risks to Ichor's business are:
1. Semiconductor Industry Cyclicality
Ichor's business is highly dependent on expenditures by manufacturers in the semiconductor capital equipment industry, which is inherently cyclical. This exposes Ichor to significant fluctuations in demand, sales, and profitability. For instance, Ichor's revenue decreased by 23.4% in 2024, attributed to reduced capital spending by semiconductor manufacturers due to market uncertainties. Economic downturns or overcapacity in the semiconductor market can lead to decreased sales and profitability for Ichor. The company's revenue collapse of 37% in 2023 further illustrates this cyclical vulnerability.
2. Customer Concentration
Ichor relies on a very small number of OEM customers for a substantial portion of its revenue. Specifically, Applied Materials, Lam Research, and ASML accounted for over 70% of Ichor's sales in fiscal year 2024. A significant reduction in spending from any of these major customers would have a substantial adverse effect on Ichor's financial performance. This high customer concentration gives these customers considerable negotiating leverage over Ichor.
3. Intense Industry Competition and Margin Pressure
The semiconductor equipment industry is highly competitive, with Ichor facing pressure from both established players and new entrants. This intense competition can lead to pricing pressure and negatively impact Ichor's margins. The company has experienced challenges with thin gross margins, reporting 12.2% or 12.5% recently, which is below the industry median, indicating difficulty in translating higher-value products and internal manufacturing into immediate profitability.
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Ichor Holdings, Ltd. (ICHR) is a global supplier of critical fluid delivery subsystems and components for the semiconductor capital equipment industry. Their main products include gas and chemical delivery systems and subsystems.
The addressable markets for Ichor's main products are as follows:
- For **Chemical Delivery Systems**, the global market size was approximately $1.38 billion (US$ 1381.8 million) in 2023 and is projected to grow to approximately $2.02 billion (US$ 2016.1 million) by 2030.
- For **Gas Delivery Systems**, the global market size is expected to reach approximately $40.5 billion (USD 40.5 billion) by 2032. Another estimate for the global gas delivery system market forecasts it to reach approximately $32.1 billion by 2031.
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Ichor (ICHR) is anticipated to experience future revenue growth over the next 2-3 years, driven by several key factors:
- Continued Strong Demand in Semiconductor Etch and Deposition Markets: Ichor has reported robust performance due to increased demand from its largest customers and a strengthening environment for etch and deposition applications in the semiconductor industry. This trend is expected to continue, supported by ongoing investments in leading-edge foundry and logic, along with an anticipated recovery in memory investments.
- Launch and Expansion of Proprietary Products: The company is strategically focused on developing and introducing new proprietary flow control and valve products. The first beta unit for customer evaluation is targeted for early 2026, which is expected to allow Ichor to serve a broader range of applications and customer needs, thereby increasing its value across the semiconductor supply chain.
- Increased Internal Component Manufacturing: Ichor is actively working to transition more of its gas panel components, such as precision valves, fittings, and substrates, to internal manufacturing. This initiative aims to enhance product margins, provide more direct supply control, and is a key factor in improving the company's profitability and market position.
- Global Manufacturing Capacity Expansion: To meet anticipated demand, Ichor has plans to expand its semiconductor machining capacity, with future facilities projected for Malaysia and Mexico. This expansion of its global footprint and cost structure realignment are strategic priorities to support long-term profitability and address growing market needs.
- Leveraging Long-Term Semiconductor Market Growth (AI, High-Performance Logic, Advanced Packaging): Ichor is positioned to benefit from the overarching long-term fundamentals of its served markets, which are driven by significant technological inflections such as artificial intelligence (AI), high-performance logic, and advanced packaging. These trends are expected to fuel sustained growth in semiconductor capital equipment spending.
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Share Repurchases
- Ichor Holdings has shown a negative 3-Year Share Buyback Ratio of -5.80%, indicating net share issuance rather than repurchases over the past three years.
Share Issuance
- In Q3 2025 and 2024, the company reported issuances of ordinary shares under share-based compensation plans amounting to $5.27 million and $5.60 million, respectively.
- As of May 14, 2025, Ichor's stockholders approved the 2025 Omnibus Incentive Plan, which allows for the issuance of 2,963,471 shares for awards.
- As of March 17, 2025, Ichor had 38,550,402 ordinary shares issued and 34,112,963 ordinary shares outstanding.
Outbound Investments
- In November 2021, Ichor acquired IMG for approximately $270.0 million to enhance its precision machining capacity and capabilities and expand its customer base.
- In December 2020, Ichor acquired certain operating assets of a business in Nogales, Mexico, for $5.0 million to increase its precision machined component manufacturing capacity.
- Over the past decade, Ichor has spent $473 million on acquisitions, indicating a significant focus on inorganic expansion.
Capital Expenditures
- Total capital expenditures were $10.3 million in 2020, $20.8 million in 2021, and $29.4 million in 2022.
- For 2025, planned capital expenditures are estimated to be around 4% of revenue, a notable increase from the historical average of 2%, with a focus on global expansion of machining and non-semiconductor business capabilities, including a new machining operation in Malaysia planned for a 2026 start-up.
- In Q1 2025, capital expenditures were $18.5 million, and in Q2 2025, Ichor stepped up capital spending, particularly for new machining capacity in Malaysia, which resulted in a negative free cash flow of $(14.8) million for the quarter.
