10-KPeriod: FY2025

LAM RESEARCH CORP Annual Report, Year Ended Jun 29, 2025

Filed August 11, 2025For Securities:LRCX

Summary

Lam Research Corporation (LRCX) reported robust revenue growth of 23.7% in fiscal year 2025, reaching $18.4 billion, driven by strong demand across both memory and non-memory semiconductor markets. This growth was complemented by an improvement in gross margin to 48.7%, up from 47.3% in the prior year, attributed to enhanced factory efficiencies and a favorable product mix. The company also saw a significant increase in net income by 40.0% to $5.4 billion. Operationally, Lam Research continues to invest heavily in research and development, which increased by 10.2% to $2.1 billion, underscoring its commitment to innovation in deposition, etch, and clean technologies. The company's strong financial position is further evidenced by its substantial cash and cash equivalents of $6.4 billion and an active share repurchase program, with $7.5 billion remaining under authorization. The company is well-positioned to capitalize on secular demand for semiconductors and technology inflections like 3D device scaling and advanced packaging.

Financial Highlights

56 data points
Beta

Revenue

$18.44B

48.7% Gross Margin

Net Income

$5.36B

29.1% Net Margin

EPS (Diluted)

$4.15

Total Assets

$21.35B

Cash & Equivalents

$6.39B

Free Cash Flow

$6.17B

Financial Statements
Beta
Revenue$18.44B
Cost of Revenue$9.46B
Gross Profit$8.98B
R&D Expenses$2.10B
SG&A Expenses$981.70M
Operating Expenses$3.08B
Operating Income$5.90B
Interest Expense$177.22M
Net Income$5.36B
EPS (Basic)$4.17
EPS (Diluted)$4.15
Shares Outstanding (Basic)1.29B
Shares Outstanding (Diluted)1.29B

Key Highlights

  • 1Revenue increased by 23.7% to $18.4 billion in FY25, reflecting strong demand in memory and non-memory markets.
  • 2Gross margin improved to 48.7% in FY25, up from 47.3% in FY24, driven by factory efficiencies and product mix.
  • 3Net income saw a substantial increase of 40.0% to $5.4 billion.
  • 4R&D expenses rose by 10.2% to $2.1 billion, demonstrating continued investment in innovation.
  • 5The company held approximately $6.4 billion in cash and cash equivalents as of June 29, 2025.
  • 6Lam Research has an active share repurchase program with $7.5 billion remaining available, and repurchased $3.4 billion in FY25.
  • 7The company's geographic revenue distribution shows China as the largest market at 34%, followed by Korea (22%) and Taiwan (19%).

Frequently Asked Questions

In fiscal year 2025, Lam Research reported a significant increase in revenue, up 23.7% to $18.4 billion, and net income grew by 40.0% to $5.4 billion. The gross margin also improved to 48.7%, reflecting operational efficiencies and a favorable product mix.

The company demonstrates a strong commitment to future growth through substantial investments in research and development, which increased by 10.2% to $2.1 billion in FY25. These investments are focused on leading-edge deposition, etch, and clean technologies to address evolving semiconductor manufacturing challenges and opportunities like 3D device scaling and advanced packaging.

Lam Research maintains a strong liquidity position with approximately $6.4 billion in cash and cash equivalents as of June 29, 2025. The company actively returns capital to shareholders through its share repurchase program, having bought back $3.4 billion of its stock in FY25, with $7.5 billion remaining authorized for future repurchases. The company also continues to pay quarterly dividends.

Lam Research's global presence is significant, with China being the largest revenue-contributing region at 34% of total revenue in FY25. Korea and Taiwan follow as key markets, representing 22% and 19% of revenue, respectively. The company's international sales constitute a substantial majority of its total revenue.