Summary
Lam Research Corporation (LRCX) reported its financial results for the quarter and nine months ended March 27, 2011. The company experienced significant year-over-year revenue growth, with the nine-month period showing a 73% increase, driven by improvements in the global semiconductor industry and increased customer demand for memory and logic chips. Despite a sequential dip in revenue for the current quarter compared to the prior one, management expressed optimism about the overall market expansion in 2011. Operationally, the company saw an increase in operating expenses, particularly in research and development and selling, general, and administrative functions, reflecting continued investment in product development and customer support. Profitability, as measured by net income and diluted EPS, also showed strong year-over-year improvement, although it was lower sequentially in the most recent quarter. Lam Research maintained a healthy liquidity position with substantial cash and investment balances, which management believes are sufficient to support operations for at least the next 12 months.
Financial Highlights
49 data points| Revenue | $809.09M |
| Cost of Revenue | $435.07M |
| Gross Profit | $374.02M |
| R&D Expenses | $96.88M |
| SG&A Expenses | $80.14M |
| Operating Expenses | $177.02M |
| Operating Income | $197.00M |
| Interest Expense | $107K |
| Net Income | $182.24M |
| EPS (Basic) | $0.15 |
| EPS (Diluted) | $0.14 |
| Shares Outstanding (Basic) | 1.24B |
| Shares Outstanding (Diluted) | 1.25B |
Key Highlights
- 1Revenue for the nine months ended March 27, 2011, increased by 73% year-over-year to $2.49 billion, indicating strong market demand.
- 2The company reported net income of $182.2 million for the quarter ended March 27, 2011, a significant increase from $120.3 million in the prior year's comparable quarter.
- 3Diluted earnings per share for the nine months ended March 27, 2011, were $4.78, up from $1.61 in the same period last year.
- 4Cash and cash equivalents, along with short-term investments, stood at $1.26 billion as of March 27, 2011, providing strong liquidity.
- 5Operating expenses increased year-over-year, with R&D expenses up to $96.9 million in the quarter and SG&A expenses up to $80.1 million, reflecting investments in growth.
- 6The company's gross margin percentage remained relatively stable year-over-year at 46.2% for the quarter, despite some sequential decrease.
- 7Shipments for the quarter increased 11% year-over-year, demonstrating continued customer activity.