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Chipmakers use FormFactor’s probe cards to make electrical contact with chips on a wafer and test them. FormFactor tailors each card to the customer’s chip layout and testing requirements. These sales generate most of its revenue, principally from foundries and manufacturers of logic and memory chips. Companies that design chips but outsource production may buy the cards themselves or direct their foundries or wafer-testing facilities to buy them.
A smaller business sells probe stations and temperature-control systems to semiconductor companies, universities and research institutions. These customers use the equipment to measure device behavior during research and development, including at extremely low temperatures.
Revenue is concentrated among a small number of customers, with SK hynix supplying a substantial share. Demand depends on new chip designs, technology changes, production volumes and how customers choose to test their chips—not simply on semiconductor output. Because probe cards are design-specific, customer order changes can leave FormFactor with products it cannot sell elsewhere. U.S. export-license requirements also restrict sales to China.
The risk section is the longest, dullest part of the filing. This keeps only what can really hurt you: where it hits, how hard, when it plays out.
Every company claims an edge. Each one is checked against hard numbers like margins and returns: which hold, and which line gives way first.
FormFactor's results hinge on advanced logic and high-bandwidth memory (HBM) wafer testing; also watch Samsung Electronics, a disclosed significant customer absent from this list.
FormFactor depends heavily on memory maker SK hynix's test-product purchases, which supplied roughly one-fifth to one-quarter of its quarterly revenue in 2025. Watch SK hynix's HBM business: demand for these memory chips used in generative AI helped drive FormFactor's DRAM probe-card growth.
Intel buys FormFactor's test products for its chip operations and contributed more than 10% of FormFactor's revenue in several disclosed quarters. Watch production of Intel's PC and data-center processors: lower customer production of PC and server microprocessors weakened FormFactor's Foundry & Logic probe-card revenue in fiscal 2025.
TSMC's purchases of FormFactor test products connect FormFactor to chips it manufactures and tests for customers using their designs. TSMC contributed 10.4% of FormFactor's revenue in the quarter ended June 28, 2025, making its customer-chip manufacturing and testing business worth watching.
Teradyne and FormFactor both sell tools for checking chips electrically: Teradyne supplies automated testers, while FormFactor supplies probe cards and measurement systems. Watch Teradyne's Semiconductor Test revenue rather than its robotics business; AI-related demand drove strong test-business growth in 2025, alongside FormFactor's benefit from AI infrastructure and HBM.
Cohu competes with parts of FormFactor's offering by selling power probe cards and equipment that controls chip temperature during testing. Watch Cohu's power probe cards and temperature-control technology for high-performance devices, rather than treating all its test and inspection sales as direct competition.
Lam Research sells chipmaking equipment to SK hynix and TSMC, whose memory and logic production creates demand for FormFactor's probe cards. Its business with these shared customers offers a view of investment in making chips, while FormFactor earns revenue from testing their wafers.
Applied Materials sells chipmaking equipment to manufacturers whose wafer production and new designs create demand for FormFactor's probe cards. Watch its Semiconductor Systems business, the largest revenue contributor, for manufacturers' investment in making chips—not as a direct measure of FormFactor's test-product sales.
Lam Research Corp earningsLRCX
Lam Research's report will show whether chipmakers it shares with FormFactor are investing more in equipment, giving context for demand to test their wafers.
Read Lam Research's comments on demand for chipmaking equipment and customer investment, especially any clues involving shared customers such as SK hynix and TSMC. Stronger investment would show customers are more willing to expand or update chipmaking capacity, which generally creates more need for new designs and wafer testing and supports FormFactor's probe-card business. Weaker investment would point to greater customer caution and less support for future test demand. Equipment spending is not a direct readout of FormFactor orders; the conclusion is whether the customer-investment backdrop is improving or turning more cautious.
Teradyne, Inc. earningsTER
Teradyne's Semiconductor Test revenue will show whether chipmakers' appetite for testing tools is broadening, offering another industry signal for FormFactor's probe cards and systems.
Focus on Teradyne's Semiconductor Test revenue, not its robotics business. Stronger revenue would show chipmakers increasing spending on test tools; if AI-related demand is part of that strength, it would add support to the demand backdrop for FormFactor. Weaker revenue would suggest the demand may not be widespread. Teradyne sells automated testers, while FormFactor sells probe cards and measurement systems, so this is not a substitute for FormFactor's orders. The conclusion is whether demand for testing is spreading across a broader part of the chip market.
FormFactor Inc. earningsThis company
FormFactor's report will show whether demand for DRAM probe cards can lift revenue without squeezing the profit left after product costs.
Read DRAM and Foundry & Logic probe-card revenue alongside overall gross margin, the share of sales left after product costs. DRAM growth with a steady margin would show that demand is adding revenue without visibly squeezing product profit; DRAM growth with a falling margin would show that product mix or manufacturing costs are absorbing some of the gain. A recovery in Foundry & Logic could ease the mix pressure, while further weakness would make it more important for DRAM to offset that business's drag. The conclusion is whether growth is translating into firmer product profit.
Cohu Inc earningsCOHU
Cohu's report will show demand for power probe cards and temperature-control products used to test high-performance chips, the niche where it competes with FormFactor.
Watch Cohu's power probe cards and temperature-control technology for high-performance devices; its entire test and inspection business is not a direct rival to FormFactor. Stronger demand for those products would indicate growth in this niche and support demand for high-performance chip testing relevant to FormFactor. Weaker demand could mean the niche is cooling or that Cohu has company-specific competitive problems. Cohu's results alone cannot distinguish those explanations or prove it is taking FormFactor's orders. The conclusion is whether this shared niche has demand behind it.
SK hynix Inc. earningsSKHY
SK hynix's report will show whether HBM demand is still supporting a customer that once supplied nearly one-fifth of FormFactor's quarterly revenue.
Read SK hynix's comments on HBM demand and production. Stronger HBM demand would mean this important customer has continued reason to produce these memory chips, supporting demand for FormFactor's DRAM probe cards; weaker demand would put the durability of that customer demand in question. SK hynix accounted for 19.2% of FormFactor revenue in the quarter ended December 27, 2025, but the customer's results are not the same as FormFactor's orders. The conclusion is whether HBM demand can keep supporting FormFactor's DRAM business.
Intel Corp earningsINTC
Intel's report will show whether demand to produce PC and data-center processors is improving, a key signal for FormFactor's Foundry & Logic probe-card business.
Read Intel's comments on production of PC and data-center processors. A recovery would mean demand to make these chips is improving, generally supporting related wafer testing and Foundry & Logic probe-card demand; continued weakness would leave that business under pressure. Intel contributed more than 10% of FormFactor revenue in several disclosed quarters, but production changes do not translate automatically into probe-card orders. The conclusion is whether processor production can provide stronger demand support for FormFactor's Foundry & Logic business.
