1. Think of **Applied Materials (AMAT)** or **Lam Research (LRCX)** – they build the machines that make chips. Ultra Clean (UCTT) is like their specialized 'internal components and cleaning department,' manufacturing and meticulously cleaning the absolutely critical internal subsystems required for those complex machines to function flawlessly.

2. Imagine **Magna International (MGA)** or **Aptiv (APTV)**, who supply complex components and systems to major car manufacturers. Ultra Clean (UCTT) does something similar but exclusively for the semiconductor industry, providing highly specialized, ultra-high purity subsystems and crucial cleaning services for the equipment used to make semiconductor chips.

3. Similar to how **Corning (GLW)** supplies critical, advanced glass components to many tech industries, Ultra Clean (UCTT) provides specialized, high-purity subsystems and essential cleaning services that are absolutely critical for the machines used to manufacture semiconductor chips.

• Critical Subsystems: Manufactures complex, integrated modules and subsystems, such as gas delivery systems, for semiconductor capital equipment and other advanced industries.
• Advanced Components: Produces precision-machined components, weldments, and other parts that require high purity and tight tolerances for various high-tech applications.
• Ultra-High Purity Cleaning & Analytical Services: Provides specialized cleaning, surface treatment, and analytical services for process tools and components, crucial for semiconductor manufacturing yield and performance.

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James Xiao, Chief Executive Officer and Director

James Xiao joined UCT as Chief Executive Officer and a member of its board of directors in September 2025. He brings over two decades of experience in the semiconductor, solar, and display industries. Prior to UCT, he held leadership positions at Applied Materials, where he managed multi-billion-dollar business units. Xiao is known for driving expansion initiatives and transforming complex global operations into high-performing, revenue-generating businesses. He holds a B.S. in Applied Physics from Dalian University of Technology and an MBA from Indiana University's Kelley School of Business, along with executive leadership training from Stanford University.

Sheri Savage, Chief Financial Officer

Sheri Savage has served as Ultra Clean's Chief Financial Officer since July 7, 2016. She joined the company in April 2009 as the Senior Director of Finance and has held progressively more senior financial roles. Before joining UCT, Ms. Savage served as Corporate Controller, Vice President of Finance, and Director of Internal Audit at Credence Systems Corporation. Her prior experience also includes various accounting and finance roles at Protiviti, KLA-Tencor Corporation, and as a Manager of Business Process Risk Accounting at Arthur Andersen LLP. Ms. Savage holds a B.S. in Managerial Economics from the University of California, Davis.

Harjinder Bajwa, Chief Operating Officer

Harjinder Bajwa joined UCT as Chief Operating Officer in June 2024. He possesses 30 years of global operations expertise, including strategy development and execution, operations improvement, quality control, lean manufacturing, and cost management. Most recently, he served as the Chief Operating Officer for Reconext, a provider of aftermarket lifecycle services for electronics. Prior to Reconext, he held various roles with Flex, Ltd. for 27 years, including Senior Vice President, Global Operations of the High Reliability Solutions business unit. Mr. Bajwa holds a B.S. in Mechanical Engineering from Panjab University and an M.S.

Chris Cook, Chief Business Officer

Chris Cook joined UCT as President of its Products Division in April 2022 and was appointed Chief Business Officer in August 2025. He has a track record of 28 years in successful leadership and general management with semiconductor and electronic systems companies such as Renesas Technologies, Infineon Technologies, Flex, and Cypress Semiconductor. Mr. Cook specializes in driving profitable growth by developing valuable technologies and products, optimizing global operations, and solving complex problems. He holds a B.S. in Electrical Engineering and Technology from Purdue University and completed the Program for Leadership Development at Harvard Business School.

Jeff McKibben, Chief Information Officer

Jeff McKibben joined UCT in 2021 as the Chief Information Officer (CIO). He brings over 30 years of experience managing IT in large, global high-tech manufacturing companies. His experience includes international M&A, product development, supply chain complexity, sales and marketing innovation, program management, and building organizational competency. Before joining UCT, Mr. McKibben was the CIO at ON Semiconductor.

Key Risks to Ultra Clean (UCTT) Business

• Cyclical Nature of the Semiconductor Industry: Ultra Clean's operating results are significantly affected by the highly cyclical and volatile nature of the semiconductor industry. The company's business is heavily dependent on capital spending by manufacturers in the semiconductor and display industries, which in turn relies on current and anticipated market demand for such products. Fluctuations in customer orders and shifts in demand are difficult to predict and can materially impact the company's revenue and cash flows.
• Customer Concentration Risk: A substantial portion of Ultra Clean's revenue is derived from a small number of large customers. In 2023, its two largest customers, Applied Materials and Lam Research, accounted for 57.4% of its total revenue. This high concentration creates a significant risk, as the loss or a material reduction of business from these key customers could have a substantial adverse effect on UCTT's financial performance.
• Geopolitical Tensions and Trade Policy (especially US-China): Ultra Clean generates approximately 70% of its revenues from international markets and has significant operations and exposure to the Chinese market. Increasing uncertainties regarding US trade policy and export regulations concerning China have negatively impacted, and may continue to impact, Ultra Clean. Issues such as softening demand, overcapacity, and geopolitical tensions in China have also contributed to revenue declines and heightened investor scrutiny, as evidenced by a class-action lawsuit alleging misstatements about demand conditions in China.

Ultra Clean Technology (UCTT) primarily operates within the semiconductor industry, supplying critical subsystems, components, parts, and ultra-high purity cleaning and analytical services. The addressable market for these main products and services can be best represented by the critical subsystems market for semiconductor manufacturing equipment.

The global market for critical subsystems used in semiconductor manufacturing equipment was reported to exceed $12.2 billion in 2020. This market, which includes highly engineered and specialized technologies that actively affect substrate processing during device manufacturing, is defined by TechInsights as a $12 billion industry, potentially growing to $19 billion when including critical components. After a decline in 2023, revenues from critical subsystems sales are expected to return to growth in 2024, with strong demand anticipated for 2025. For example, vacuum subsystems alone represented a global market of $1.9 billion in 2016 and were projected to reach $3.1 billion by 2022.

Ultra Clean Holdings (UCTT) is expected to experience future revenue growth over the next 2-3 years, driven by several key factors:

• Increased Demand for AI Infrastructure and High-Performance Computing: The expansion of AI infrastructure and robust investments in data centers are driving strong demand for high-performance computing chips, which directly benefits Ultra Clean as a critical supplier to the semiconductor industry.
• Anticipated Upcycle in Wafer Fabrication Equipment (WFE) Spending: Analysts forecast a significant increase in global semiconductor sales and the wafer fab equipment market in 2024 and 2025. This projected upcycle in WFE spending is expected to lead to swift revenue growth for Ultra Clean.
• Continued Growth in the China Market: Ultra Clean has demonstrated strong revenue generation from the China market, with expectations to maintain a significant run rate in the coming quarters. This ongoing investment and demand within China contribute to the company's overall revenue growth.
• Expansion of the Services Division: The company's Services division, which includes tool chamber parts cleaning and coating, as well as micro-contamination analytical services, has shown consistent growth and contributes to diversified income streams. This segment, despite being smaller than products, offers higher profitability and is expected to continue its upward trend.

Share Repurchases

• The Board of Directors approved a share repurchase program in 2022, authorizing the company to buy back up to an aggregate of $150.0 million of common stock over a three-year period.
• In fiscal year 2023, Ultra Clean repurchased approximately 1.1 million shares for an aggregate cost of $29.4 million.
• In Q2 2025, 182,000 shares were repurchased at a cost of $3.4 million, and subsequent to Q3 2025, the Board renewed the share repurchase program authorizing up to $150.0 million over three years.

Share Issuance

• In Q3 2025, proceeds from the issuance of common stock amounted to $1.1 million.
• Proceeds from the issuance of common stock were $0.9 million in the prior year's comparable quarter (Q3 2024).

Outbound Investments

• On October 25, 2023, Ultra Clean acquired 100% of HIS Innovations Group ("HIS") for an initial cash consideration of $46.5 million, with up to $70.0 million in additional cash consideration contingent on performance through 2025.
• The acquisition of HIS Innovations Group was aimed at strengthening Ultra Clean's leadership in supplying critical products to the semiconductor industry and extending its reach into the sub-fab area.
• Ultra Clean consistently pursues a strategy to strengthen its vertically integrated business model by investing in operations or acquiring companies within the semiconductor supply chain.

Capital Expenditures

• Capital expenditures during the first half of 2025 totaled $29.2 million, primarily allocated to enhancing manufacturing facilities globally.
• Ultra Clean expects to fund future capital investments through operational cash flow and existing reserves.
• The company commenced leasehold improvements in Penang, Malaysia, in Q1 2021, with initial production scheduled for mid-2021, as part of its strategic growth plan.