ICHRHIGH SIGNALFINANCIAL10-K

ICHR's market value plummeted 49% while the company swung to massive operating losses despite revenue growth, indicating severe operational deterioration.

The dramatic decline in market capitalization from $1.28 billion to $658 million signals significant investor concern about the company's trajectory. Despite achieving 11.6% revenue growth, ICHR's operating performance collapsed with operating losses expanding over 400% to -$39.3M, suggesting fundamental issues with cost structure, pricing power, or operational execution that are overwhelming top-line gains.

Comparing 2026-02-20 vs 2025-02-21View on EDGAR →
FINANCIAL ANALYSIS

ICHR presents a troubling paradox of growth masking operational distress—revenue increased 11.6% to $947.7M, but gross profit declined 15.1% and operating losses exploded from -$7.6M to -$39.3M. The company dramatically reduced share buybacks by 98% while doubling capital expenditures, suggesting cash flow pressures despite investing for growth. Rising interest expense (+75%) and SG&A costs (+20.5%) further pressured an already deteriorating cost structure, resulting in net losses deepening to -$52.8M and signaling serious operational challenges that investors should monitor closely.

FINANCIAL STATEMENT CHANGES
Operating Income
P&L
-414%
-$7.6M-$39.3M

Operating income deteriorated sharply — investigate whether driven by one-time charges or structural cost issues.

Net Income
P&L
-153.5%
-$20.8M-$52.8M

Net income declined 153.5% — review whether driven by operations, interest costs, or non-recurring items.

Capital Expenditure
Cash Flow
+105.1%
$17.6M$36.2M

Capital expenditure jumped 105.1% — major investment cycle underway; assess returns on deployment.

Share Buybacks
Cash Flow
-98.2%
$90.0M$1.6M

Buyback activity reduced 98.2% — capital being redeployed elsewhere or cash conservation underway.

Interest Expense
P&L
+75.3%
$11.1M$19.4M

Interest expense surged 75.3% — significant debt increase or rising rates materially impacting earnings.

SG&A Expense
P&L
+20.5%
$79.4M$95.7M

SG&A increased modestly — likely reflects growth-related hiring or sales expansion investment.

Accounts Receivable
Balance Sheet
-18.6%
$86.6M$70.5M

Receivables declined — improved collection efficiency or conservative revenue recognition.

Gross Profit
P&L
-15.1%
$103.3M$87.8M

Gross margin compression — rising input costs, pricing pressure, or unfavorable product mix shift.

Revenue
P&L
+11.6%
$849.0M$947.7M

Revenue growing 11.6% — solid top-line momentum, watch margins for quality of growth.

LANGUAGE CHANGES
NEW — 2026-02-20
PRIOR — 2025-02-21
ADDED
The aggregate market value of voting ordinary shares held by non-affiliates of the registrant was $ 658,256,416 based on the closing price of the ordinary shares as reported on The Nasdaq Global Select Market as of June 27, 2025, the last business day of the registrant's most recently completed second fiscal quarter.
Management s Discussion and Analysis of Financial Condition and Results of Operations .
We also provide precision-machined components, weldments, e-beam and laser welded components, precision vacuum and hydrogen brazing, surface treatment technologies, and other proprietary products.
Most OEMs outsource all or a portion of the design, engineering, and manufacturing of their gas delivery subsystems to a few specialized suppliers, including us.
Outsourcing enables OEMs to reduce their costs and development time, as well as provide growth opportunities for specialized subsystems suppliers like us.
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REMOVED
The aggregate market value of voting ordinary shares held by non-affiliates of the registrant was $ 1,280,861,000 based on the closing price of the ordinary shares as reported on The Nasdaq Global Select Market as of June 28, 2024, the last business day of the registrant's most recently completed second fiscal quarter.
Management s Discussion and Analysis of Financial Condition and Results of Operations.
We also provide precision-machined components, weldments, electron beam ( e beam ) and laser-welded components, precision vacuum and hydrogen brazing and surface treatment technologies, and other proprietary products for the commercial space, aerospace, defense, medical device, and general-industrial industries.
This vertically integrated portion of our business is primarily focused on metal and plastic parts that are used in gas and chemical systems, respectively.
Most original equipment manufacturers ( OEMs ) outsource all or a portion of the design, engineering, and manufacturing of their gas delivery subsystems to a few specialized suppliers, including us.
+7 more — sign up free →
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