LAM RESEARCH CORP Quarterly Report for Q3 Ended Mar 26, 2017

Summary

Lam Research Corporation (LRCX) reported strong financial results for the quarter ended March 26, 2017, demonstrating significant growth compared to the prior year. Revenue surged by 64% year-over-year to $2.15 billion, driven by increased investments from memory customers and broader industry demand. This top-line growth translated into substantial profitability improvements, with net income reaching $574.7 million, a significant increase from $143.5 million in the same period last year. Diluted earnings per share also saw a substantial rise to $3.10 from $0.82. The company's operational efficiency improved, reflected in a gross margin of 45.1%, up from 43.5% in the prior year's comparable quarter. While research and development expenses increased to support innovation, selling, general, and administrative expenses were managed effectively. Lam Research ended the quarter with a solid liquidity position, holding approximately $6.1 billion in cash, cash equivalents, and investments, though this was a decrease from the prior year-end due to debt redemptions.

Key Highlights

• 1Revenue increased significantly by 64% year-over-year to $2.15 billion for the quarter ended March 26, 2017.
• 2Net income more than quadrupled year-over-year, reaching $574.7 million.
• 3Diluted EPS increased substantially to $3.10, up from $0.82 in the prior year's quarter.
• 4Gross margin improved to 45.1% from 43.5% year-over-year, indicating better operational efficiency and favorable product mix.
• 5The company experienced increased demand from memory customers, contributing to higher shipments and revenue.
• 6Cash and cash equivalents, investments, and restricted cash stood at $6.1 billion as of March 26, 2017, providing ample liquidity.
• 7The company repurchased a significant amount of its common stock, with $795 million available under its repurchase program at quarter-end.

Frequently Asked Questions