🔹 Revenue: $7.17B (Est. $7.045B) 🟢; UP +7% YoY
🔹 Non-GAAP EPS: $2.38 (Est. $2.32) 🟢; UP +12% YoY
Q2'25 Guidance:
🔹 Revenue: $7.10B ± $400M (Est. $7.143B) 🟡
🔹 Non-GAAP EPS: $2.30 ± $0.18 (Est. $2.29) 🟡
🔹 Non-GAAP Gross Margin: 48.4%
Segment Performance:
Semiconductor Systems:
🔹 Revenue: $5.36B (Est. $5.33B) 🟡; UP +9% YoY
🔹 Non-GAAP Operating Margin: 37.3% (UP +1.6pp YoY)
Applied Global Services:
🔹 Revenue: $1.59B (Est. $1.649B) 🔴; UP +8% YoY
🔹 Non-GAAP Operating Margin: 28.0% (Flat YoY)
Display:
🔹 Revenue: $183M (Est. $174.33M) 🟢; DOWN -25% YoY
🔹 Non-GAAP Operating Margin: 7.7%
Strategic Updates:
🔸 Benefited from tax incentives in Singapore, incurring a $644M tax expense due to deferred tax asset remeasurement.
🔸 CEO highlights demand for advanced compute and AI, positioning the company for long-term growth.
Shareholder Updates:
🔸 Generated $925M in cash from operations.
🔸 Returned $1.64B to shareholders, including $1.32B in share repurchases and $326M in dividends.
Management Commentary:
🔸 CEO Gary Dickerson: "The industry drive to accelerate advanced compute and AI is gaining momentum, and Applied Materials is uniquely positioned to enable energy-efficient AI advancements."
🔸 CFO Brice Hill: "Despite export control-related headwinds, our strong Q1 results reflect record revenue, margin expansion, and robust shareholder returns."