Semiconductor demand cyclicality
Sales depend on wafer fab activity and customer capital/process spending, which can move sharply with the chip cycle.
- Scope
- Materials and process solutions tied to semiconductor manufacturing volumes
- Materiality
- high
Entegris, Inc
Entegris makes advanced materials and process solutions used in semiconductor manufacturing, where ultra-high purity and contamination control are critical. Its products and technical support help chipmakers and related equipment/materials suppliers improve yield, performance, and time to production in advanced fabrication environments.
20,7 %
44,4 %
7,4 %
−1,4 %
3.35
2.04
| % | |
|---|---|
| Advanced Purity Solutions | 56% Filtration, purification, handling, and contamination-control products for semiconductor and high-tech manufacturing. |
| Materials Solutions | 44% Process chemicals and materials used in deposition, CMP, etch, clean, and related wafer fabrication steps. |
Entegris sells primarily to semiconductor manufacturers, including leading logic and memory fabs, as well as OEMs and...
- Semiconductor fabsprimary
Buy process materials and purity solutions to protect yield and support advanced node manufacturing.
- Logic and memory chipmakersprimary
Use Entegris products in critical process steps where contamination control and performance matter most.
- OEMs and equipment makerssecondary
Buy qualified materials and subsystems that must integrate into semiconductor tools and process flows.
- Semiconductor materials suppliers and chemical companiessecondary
Purchase complementary materials and solutions used in the broader semiconductor ecosystem.
Entegris is globally exposed, with international customers representing 82% of net sales in 2025 and the U.S...
- •International customers were 82% of net sales in 2025
- •Domestic/U.S. customers were 18% of net sales in 2025
- •Taiwan is the largest regional market in disclosed quarterly mix
- •China, South Korea, Japan, and Southeast Asia are major demand centers
- •Asia exposure matters because fabs and supply chains are concentrated there
Entegris is focused on deepening its role in advanced semiconductor manufacturing by expanding content per wafer and...
01
Expand content per wafer in advanced nodesmedium-term
More advanced chip architectures require more purity and process-control content from Entegris.
02
Increase customer collaboration and qualificationshort-term
Early design-stage involvement makes products harder to displace and supports long-term adoption.
03
Invest in advanced manufacturing and R&Dmedium-term
Technology leadership and supply reliability are key differentiators in semiconductor materials.
04
Simplify the portfolio and reduce leverageshort-term
Divestitures and debt paydown improve focus and financial flexibility.
The business is highly exposed to semiconductor demand cycles, customer concentration, and the pace of technology...
Customer concentration
A small number of large customers account for a meaningful share of sales, increasing bargaining and volume risk.
- Scope
- TSMC represented 16% of net sales in 2025; top ten customers were 50%
- Materiality
- high
Supply chain and sourcing disruption
Some inputs come from sole or limited-source suppliers, which can constrain output or raise costs.
- Scope
- Critical materials and components for advanced manufacturing
- Materiality
- high
Trade restrictions and geopolitical exposure
The company sells heavily into Asia and is exposed to export controls, sanctions, tariffs, and regional tensions.
- Scope
- China, Taiwan, South Korea, Japan, Southeast Asia
- Materiality
- high
Cybersecurity and IT disruption
Operations depend on secure handling of customer, IP, and manufacturing data across global systems.
- Materiality
- high
Goodwill and acquisition-related impairment
Past acquisitions and reporting-unit valuations can be pressured by weaker industry conditions or underperformance.
- Materiality
- medium
Goodwill impairment
Could create non-cash charges if fair value falls below carrying value
Business acquisition and long-lived asset estimates
Affects amortization, depreciation, and future impairment risk
Divestiture accounting and comparability
Can distort year-over-year growth and margin trends
Foreign currency translation
Quarterly sales and profitability can shift with FX
Depreciation estimate change effective 2026
Will affect gross margin, ER&D, and inventory values in 2026
: 28.4.2026