APPLIED MATERIALS INC /DE (AMAT) Company Report

Applied expects 2026 WFE flat to modestly up in H1 and stronger in H2, driven by AI-related leading-edge logic, DRAM and HBM capacity expansions, as customers build fabs and secure supply chains.
Management views semiconductors as secular growth, not solely AI-driven, noting 15% of leading-edge logic and DRAM capacity supports AI data-center products, growing at a ~30% CAGR.
AMAT estimates 1–2 pp share loss in 2025 due to China trade restrictions (now lifted) and mix effects, but expects to regain share in leading-edge, DRAM and HBM where it holds #1 positions, including at 28 nm nodes.
The services business (AGS) will exclude 200 mm equipment after reorganization and is forecast to grow low double digits, aided by new AIX (AI-enabled) offerings that boost revenue per tool.
Gross margin has risen from 46.2% in mid-2022 to ~48% in 2025 on improved pricing discipline and favorable mix, with a target of 48.5% in the upcoming year.

3 days ago

Transcript

Applied Materials details 2026 WFE outlook and AI-driven growth at UBS Tech & AI Conference

AMAT

Guidance Update

Applied Materials expects flat to modestly up WFE in H1 2026 and a stronger second half driven by leading-edge logic, DRAM and HBM packaging demand, with fab build schedules skewed to H2 calendar 2026.
AI is viewed as a key tailwind: about 15% of leading-edge logic and DRAM wafer starts support AI data center products, growing at a mid-30% CAGR as customers expand capacity over the next few years.
Incremental U.S. trade restrictions in China now cover over 40% of the WFE market, costing roughly 1 pp of share in 2025; no further restrictions are expected, and Applied is targeting 28 nm customers with cost-competitive platforms.
The AGS services business has been reorganized to focus solely on recurring services revenue and is projected to achieve low double-digit growth, driven by a growing installed base and new AIX (Actionable Insights) offerings.

3 days ago

Transcript

Applied Materials announces Q4 2025 results

AMAT

Earnings

Guidance Update

FY25 non-GAAP revenue of $28.4 B (+4% YoY) and EPS of $9.42 (+9% YoY), with gross margin at 48.8% (+120 bps)
Q4 ’25 revenue of $6.80 B (−3% YoY), non-GAAP EPS of $2.17 (−6% YoY), and gross margin of 48.1% (+60 bps)
Q4 ’25 Semiconductor Systems revenue was $4.76 B (32% op. margin) and Applied Global Services was $1.63 B (28% op. margin)
Q1 FY26 guidance: revenue of $6.85 B ± $0.50 B and EPS of $2.18 ± $0.20, with gross margin of ~48.4%

Nov 13, 2025, 9:30 PM

Presentation

Applied Materials reports Q4 FY25 results and 2026 outlook

AMAT

Earnings

Guidance Update

Reporting Changes

FY25 record results: revenue up 4% to $28.4 B, non-GAAP gross margin improved 120 bps to 48.8% (highest in 25 years), free cash flow $5.7 B, and $6.3 B returned to shareholders through dividends and share repurchases.
Q4 FY25 performance: delivered revenue and non-GAAP EPS above the midpoint of guidance.
Q1 FY26 guidance: revenue of $6.85 B ± $0.5 B; non-GAAP EPS $2.18 ± $0.20; semiconductor systems ~$5.025 B; AGS ~$1.52 B; corporate & other ~$305 M.
2026 outlook: another growth year weighted to H2, driven by AI-fuelled spending in leading-edge foundry logic, DRAM, and high-bandwidth memory.
Reporting changes from Q1 FY26: display business moves to corporate & other; 200 mm equipment shifts to semiconductor systems; full allocation of corporate support costs to segments.

Nov 13, 2025, 9:30 PM

Transcript

Applied Materials reports Q4 2025 results and 2026 outlook

AMAT

Earnings

Guidance Update

Product Launch

Delivered 4% revenue growth to $28.4 billion, +120 bps non-GAAP gross margin to 48.8%, and +9% non-GAAP EPS in FY 2025.
Issued Q1 FY 2026 guidance of $6.85 billion revenue (±$0.5 billion) and $2.18 non-GAAP EPS (±$0.20); semi systems $5.025 billion, AGS $1.52 billion, corporate & other $305 million, gross margin ~48.4%, OpEx $1.33 billion, tax rate ~13%.
Launched XTERRA Epitaxy, KNX integrated die-to-wafer bonder, and ProVision 10 EB metrology to enhance process uniformity, bonding accuracy, and imaging resolution for AI-targeted chips.
Expects wafer fab equipment spending to accelerate in H2 CY 2026, driven by AI demand in leading-edge logic, high-performance DRAM, high-bandwidth memory, and advanced packaging.

Nov 13, 2025, 9:30 PM

Transcript

Applied Materials reports Q4 2025 results

AMAT

Earnings

Guidance Update

Product Launch

Fiscal 2025 record performance: revenue $28.4 B (+4%), non-GAAP gross margin 48.8% (+120 bps yoy; highest in 25 yrs), non-GAAP EPS +9%, $8 B cash from ops, $5.7 B FCF, $6.3 B returned to shareholders ( )
Q4 FY25 results beat guidance; China revenue at 25% of systems & services in Q4 (28% for FY) amid trade restrictions limiting market access ( )
Q1 FY26 guidance: revenue $6.85 B ± $0.5 B, non-GAAP EPS $2.18 ± $0.20, non-GAAP gross margin ~48.4%; semiconductor systems and AGS revenues guided at $5.025 B and $1.52 B respectively ( )
Strategic focus on AI-driven growth in leading-edge logic, DRAM, and advanced packaging with new launches: Xtera, Kinex, PROVision 10 ( )

Nov 13, 2025, 9:30 PM

Transcript

Applied Materials reports Q4 FY25 results and Q1 FY26 guidance

AMAT

Earnings

Guidance Update

Share Buyback

Applied delivered a 4% year-over-year revenue increase to $28.4 B (with Semiconductor Systems up 4% and AGS up 3% to $6.4 B), non-GAAP gross margin of 48.8%, and non-GAAP EPS up 9%, marking record annual revenue, gross margin dollars, operating profit, and earnings per share in fiscal 2025.
China revenue declined to 28% of total systems and services in FY25 (and 25% in Q4) due to expanded trade restrictions limiting access to the market.
The company generated nearly $8 B in cash from operations and $5.7 B in free cash flow, and returned $6.3 B to shareholders via $1.4 B in dividends and $4.9 B in share repurchases.
Q1 FY26 guidance calls for revenue of $6.85 B ± $500 M, non-GAAP EPS of $2.18 ± $0.20, gross margin of 48.4%, operating expenses of $1.33 B, with Semiconductor Systems at $5.025 B, AGS at $1.52 B, and Corporate & Other at $305 M.
Looking ahead, Applied expects wafer fab equipment spending to accelerate in the second half of calendar 2026—driven by AI computing—and positions revenue weighted toward that period.

Nov 13, 2025, 9:30 PM

Transcript

Applied Materials reports Q4 and FY2025 results

AMAT

Earnings

Guidance Update

Applied Materials delivered record FY2025 revenue of $28.37 billion (up 4% YoY) and GAAP EPS of $8.66 (up 1% YoY).
In Q4 FY2025, net revenue was $6.80 billion (down 3% YoY) with GAAP EPS of $2.38 (up 14% YoY) and non-GAAP EPS of $2.17 (down 6% YoY).
The company expects Q1 FY2026 net revenue of $6.85 billion ± $0.50 billion and non-GAAP EPS of $2.18 ± $0.20.
Management highlighted continued investment in R&D to support AI-driven semiconductor growth and readiness for higher demand in H2 CY2026.

Nov 13, 2025, 9:03 PM

8-K

Applied Materials unveils next-gen chipmaking products to supercharge AI performance

AMAT

Product Launch

Kinex™ Bonding System: the industry’s first integrated die-to-wafer hybrid bonder for high-performance, low-power advanced logic and memory chips, offering superior die tracing, tighter interconnect pitches and faster in-line metrology.
Centura™ Xtera™ Epi System: enables void-free GAA source/drain structures for 2 nm and beyond, using 50 % less process gas and delivering over 40 % better cell-to-cell uniformity via a novel deposition-etch chamber architecture.
PROVision™ 10 eBeam Metrology System: features cold field emission technology to boost nanoscale image resolution by up to 50 % and throughput by up to 10×, supporting sub-nanometer, multi-layer metrology for 3D chips and 2 nm nodes.

Oct 7, 2025, 12:30 PM

Press Release

Applied Materials warns of $600M FY26 revenue impact from U.S. export restrictions

AMAT

Guidance Update

Profit Warning

$600 million hit to fiscal 2026 revenue and $110 million reduction in Q4 sales due to expanded U.S. export curbs targeting China.
The new BIS Affiliates Rule extends export restrictions to majority-owned subsidiaries of sanctioned entities, tightening controls on Chinese customers.
Shares closed up 2.7% at $223.59 before falling as much as 5.6% in after-hours trading, reflecting investor concern over geopolitical tensions.
The company exceeded expectations in fiscal Q3 2025 with revenue up 8% year-over-year and fiscal 2024 revenue growth of 2.5%.

Oct 3, 2025, 3:21 AM

Bloomberg

Earnings Transcripts

Quarterly earnings call transcripts for APPLIED MATERIALS INC /DE.

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