LAM RESEARCH CORP Quarterly Report for Q1 Ended Sep 28, 2025

Summary

Lam Research Corporation (LRCX) reported strong financial performance for the quarter ended September 28, 2025. Revenue saw a significant increase of 3% sequentially, driven by robust demand in the Foundry market segment and a rise in customer support revenue. This top-line growth translated into a substantial increase in profitability, with Net Income growing by approximately 40% year-over-year to $1.57 billion, and Diluted EPS rising to $1.24. The company maintained a healthy gross margin of 50.4%, reflecting favorable customer mix and effective cost management. Operating cash flow remained strong, providing ample liquidity, with cash, cash equivalents, and restricted cash increasing to $6.7 billion. The company continued its commitment to returning capital to shareholders through significant share repurchases and dividend payments. Despite ongoing industry volatility and potential macroeconomic headwinds, Lam Research remains optimistic about the long-term demand for semiconductors, driven by trends in cloud computing, AI, and advanced device architectures. The company's strategic focus on R&D and customer collaboration positions it well to navigate future technological inflections.

Key Highlights

• 1Revenue increased by 3% sequentially to $5.32 billion, driven by strong Foundry segment performance and customer support revenue.
• 2Net income grew significantly year-over-year by approximately 40% to $1.57 billion.
• 3Diluted earnings per share (EPS) improved to $1.24, up from $0.86 in the prior year period.
• 4Gross margin remained strong at 50.4%, indicating effective pricing and cost management.
• 5Operating cash flow was robust at $1.78 billion.
• 6The company ended the quarter with a healthy cash balance of $6.7 billion.
• 7Significant capital returns to shareholders through share repurchases ($975.8 million) and dividends ($292.0 million).

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