01—Abstract
Summary
Summary of the 10-K filed August 11, 2025. Cited figures are marked; the original filing is the authoritative source.
Lam Research Corporation (LRCX) reported robust revenue growth of 23.7% in fiscal year 2025, reaching $18.4 billiona, 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 billionb. 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 billionc 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.
02—Key points
Key Highlights
- Revenue increased by 23.7% to $18.4 billion in FY25, reflecting strong demand in memory and non-memory markets.
- Gross margin improved to 48.7% in FY25, up from 47.3% in FY24, driven by factory efficiencies and product mix.
- Net income saw a substantial increase of 40.0% to $5.4 billion.
- R&D expenses rose by 10.2% to $2.1 billion, demonstrating continued investment in innovation.
- The company held approximately $6.4 billion in cash and cash equivalents as of June 29, 2025.
- Lam Research has an active share repurchase program with $7.5 billion remaining available, and repurchased $3.4 billion in FY25.
- The company's geographic revenue distribution shows China as the largest market at 34%, followed by Korea (22%) and Taiwan (19%).
03—One dollar
Follow one dollar
Of each $1.00 of revenue in FY2025, Lam Research Corp kept $0.29.
- Revenue$18.44B100.0%
- Cost of revenue−$9.46B51.3%
- Gross profit$8.98B48.7%
- Operating costs−$3.08B16.7%
- Operating income$5.90B32.0%
- Interest, other & tax−$542.8M2.9%
- Net income$5.36B29.1%
Where FY2025 revenue went
$18.44B- Cost of revenue: $9.46B, 51% of revenue
- Net income: $5.36B, 29% of revenue
- R&D: $2.10B, 11% of revenue
- SG&A: $981.7M, 5.3% of revenue
- Interest, other & tax: $542.8M, 2.9% of revenue
Kept 29% as net income
Full revenue history →04—Financials
Financial Highlights
Figures from 10-KFY2025filed August 11, 2025Financial Statements
FY2025 against FY2024
| Line item | FY2025FY2024 | Change |
|---|---|---|
| Revenue | $18.44B$14.91B | +23.7% |
| Cost of Revenue | $9.46B$7.85B | +20.4% |
| Gross Profit | $8.98B$7.05B | +27.3% |
| R&D Expenses | $2.10B$1.90B | +10.2% |
| SG&A Expenses | $981.70M$868.25M | +13.1% |
| Operating Expenses | $3.08B$2.79B | +10.4% |
| Operating Income | $5.90B$4.26B | +38.4% |
| Interest Expense | $177.22M$183.03M | −3.2% |
| Net Income | $5.36B$3.83B | +40.0% |
| EPS (Basic) | $4.17$2.91 | +43.3% |
| EPS (Diluted) | $4.15$2.90 | +43.1% |
| Shares Outstanding (Basic) | 1.29B1.31B | −2.1% |
| Shares Outstanding (Diluted) | 1.29B1.32B | −2.3% |
05—Questions
Frequently Asked Questions
What were Lam Research's key financial performance indicators for fiscal year 2025?
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.
How is Lam Research investing in future growth?
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.
What is the company's financial health and capital allocation strategy?
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.
What are the key geographic markets for Lam Research?
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.
06—Continue