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• ASML for optimizing quality and precision in semiconductor manufacturing.
• Carl Zeiss for high-precision measurement and inspection in semiconductor factories.
• Honeywell for advanced process control and yield optimization in semiconductor manufacturing.

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• Process Control Systems: Advanced inspection and metrology equipment used to monitor and optimize semiconductor manufacturing processes for defect detection, critical dimension measurement, and material characterization.
• Lithography Systems: Specialized tools for patterning and exposure in advanced semiconductor packaging applications.
• Software and Analytics Solutions: Platforms for data analysis, process control, fault detection, and yield management across semiconductor fabrication.

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Onto Innovation (ONTO) sells primarily to other companies in the global semiconductor industry.

Based on the company's public filings, Onto Innovation does not disclose the specific names of its major customers. This is because, for the fiscal years ended December 31, 2023, 2022, and 2021, no single customer accounted for 10% or more of the company's total revenue. This 10% threshold is commonly used in SEC filings to require the individual disclosure of major customers.

Onto Innovation's customer base consists of a limited number of leading companies across various segments of the semiconductor manufacturing ecosystem. These customer categories include:

• Integrated Device Manufacturers (IDMs)
• Foundries (companies that manufacture chips for other companies)
• Outsourced Semiconductor Assembly and Test (OSAT) Service Providers

While specific names are not provided by Onto Innovation, its customers are generally the world's largest and most advanced semiconductor manufacturers and service providers operating within these categories.

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Michael Plisinski, Chief Executive Officer

Mr. Plisinski has over 25 years of semiconductor capital equipment experience. He has been the CEO of Onto Innovation since 2019, following his role as CEO and board member for Rudolph Technologies since 2015. Prior to that, he was the Executive Vice President and Chief Operating Officer of Rudolph Technologies. Mr. Plisinski founded and served as president of Counterpoint Solutions from 1999 to 2003, a supplier of optical review and automated metrology equipment to the semiconductor industry, which was later acquired by August Technology Corporation.

Brian Roberts, Chief Financial Officer

Mr. Roberts brings over 20 years of financial leadership experience, including 11 years as CFO of publicly traded technology companies across the medical device, software, and industrial sectors. He most recently served as CFO of Sensata Technologies. Previously, he was CEO and CFO of Tarveda Therapeutics and held CFO positions at Insulet Corporation and Digitas, Inc. He also held senior financial roles at Averdo, Idiom Technologies, and Monitor Company.

Ramil Yaldaei, Chief Operating Officer

Mr. Yaldaei is the Chief Operating Officer of Onto Innovation, with 25 years of experience in the semiconductor industry. His expertise spans the entire value chain, focusing on operational efficiencies, supplier partnerships, and collaborative relationships. Before joining Onto, he led global engineering, manufacturing, service, and supply chain organizations at various capital equipment companies, including serving as Senior Vice President of Global Supply Chain and Transformation at Visby Medical and Vice President and General Manager of Global Part Sourcing and Technology at Applied Materials.

Shirley Chen, Senior Vice President, Customer Success

Ms. Chen is the Senior Vice President of Customer Success. She spent nearly 15 years at KLA, where she rose to Vice President of Sales and Business Development, overseeing global sales of process control solutions. Her career also includes marketing leadership and process engineering roles at FormFactor and Intel.

Michel Rosa, Chief Marketing Officer and Senior Vice President of Strategy

Mr. Rosa serves as Onto Innovation's Chief Marketing Officer and Senior Vice President of Strategy.

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The key risks to Onto Innovation's business include the highly competitive and cyclical nature of the semiconductor industry, geopolitical risks and supply chain disruptions, and a significant concentration of revenue from a few key customers.

The semiconductor equipment industry is characterized by intense competition, rapid technological advancements, and evolving customer demands. Onto Innovation (ONTO) operates within this environment, facing challenges such as price pressures, the need for continuous innovation, and the inherent cyclical fluctuations of the semiconductor market, which can impact demand for its products and services.

Onto Innovation's international operations expose the company to various geopolitical risks, including trade disputes, tariffs, and regulatory changes. These factors can disrupt supply chains, increase operational costs, and affect market access. The company has acknowledged these pressures and is strategically shifting its manufacturing footprint to Asia to mitigate the impact of tariffs and other geopolitical considerations. Furthermore, effectively managing its supply chain is critical, as delays, shortages, or increased material and labor costs could adversely affect its operating results and margins.

A significant portion of Onto Innovation's revenue is concentrated among a small number of customers. As of June 28, 2025, two customers reportedly accounted for approximately 37% of the company's total net accounts receivable. This high level of customer concentration poses a substantial risk, as the loss of a major customer or a significant reduction in their orders could materially impact the company's revenue streams and overall financial stability.

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• AI-Driven Advanced Packaging and High Bandwidth Memory (HBM): Onto Innovation is strategically positioned to capitalize on the increasing demand for process control solutions in AI applications. The company has highlighted a significant expansion of its total addressable market (TAM) in the AI era, driven by technologies like 3D hybrid bonding, gate-all-around transistors, and high bandwidth memory (HBM). Its Dragonfly systems are seeing growing demand for AI packaging, which has been a key enabler for this new era of AI, contributing to record quarterly revenue in specialty devices and advanced packaging. New product introductions such as the Dragonfly 3Di technology are crucial, having been qualified by major HBM customers and securing orders for 2.5D logic applications supporting AI packaging.
• Growth in Advanced Nodes, including Gate-All-Around (GAA) Transistors: The adoption of advanced node technologies, particularly gate-all-around (GAA) transistor architecture, is a significant revenue driver. Onto Innovation anticipates continued strength in advanced packaging and the adoption of GAA transistor architecture at several customers to lead its revenue growth in 2025. The company projects its Advanced Node revenue to nearly double in 2025 compared to 2024, driven by demand in advanced logic, DRAM, and NAND markets. Initial shipments of Atlas G6 OCD systems to leading logic and memory customers further underscore this growth.
• Expansion of Inspection Solutions and New Product Launches: Onto Innovation is experiencing record inspection revenue, notably led by its Dragonfly platform, and is on pace to nearly double its inspection revenue for the current calendar year. The company continues to introduce new, advanced metrology and inspection systems, such as the EchoScan™ technology for hybrid bonding interconnect yields, which addresses increasing complexities in AI packaging. These new solutions are designed to meet the evolving and more stringent requirements for yield, device performance, quality, and reliability in semiconductor manufacturing.
• Strategic Acquisitions and Portfolio Expansion: Onto Innovation has actively expanded its portfolio through strategic acquisitions, such as Luna Instruments and the lithography business from KIC and Sofa. These acquisitions are expected to be accretive to earnings within 12 months and are projected to generate up to $100 million in additional annual revenue in the next three years. Furthermore, an agreement to acquire several synergistic product lines from Semilab International, including electrical surface metrology and materials analysis technology, is expected to add over $130 million in annual revenue and be immediately accretive to margins and increase first-year EPS by more than 10%.

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Share Repurchases

• In November 2020, Onto Innovation's Board of Directors authorized a $100 million share repurchase program, replacing a prior authorization, and approximately $52 million worth of shares were repurchased in 2020.
• A new share repurchase authorization of up to $200 million was approved by the Board in February 2024.
• The company engaged in significant share repurchases, including approximately $75 million in Q1 2025, though no shares were repurchased in Q2 and Q3 2025 due to the pending Semilab acquisition.

Share Issuance

• As part of the pending Semilab acquisition, Onto Innovation is expected to issue 641,771 shares, contributing to a total deal value of approximately $495 million (including $432.3 million in cash).
• Shares were issued through share-based compensation plans, totaling $9.178 million for the period ending December 28, 2024.

Outbound Investments

• Onto Innovation announced the acquisition of synergistic product lines from Semilab International Zrt. for approximately $545 million in cash and stock, later amended to $432.3 million in cash plus 641,771 shares, valuing the deal at approximately $495 million as of June 27, 2025.
• This acquisition is anticipated to add over $130 million in annual revenue upon its expected closing in the coming weeks.

Capital Expenditures

• Onto Innovation consistently invests in property, plant, and equipment, and short-term investments, with cash flow from operations from 2020 to 2024 being sufficient to cover these expenditures.
• The company focuses capital on new product development and manufacturing capabilities, such as the strong demand for Dragonfly and 3Di systems, especially for AI and high-bandwidth memory applications.
• The company is considering further investments, including approximately £2.5 million (around $3 million USD) for machinery to produce a fast-growing product in-house, with an estimated four-year payback period.