Total Revenue

+24% (from $3,793.6M to $4,720.2M)

Revenue growth was driven by strong performance in high-margin segments with Systems up by 27% and Customer Support-related revenue up by 21%, which more than offset declines in markets like China, US, and Europe. This reflects a broader industry recovery with improved customer spending from key regions such as Taiwan, where dramatic gains contributed significantly. " " "

Systems Revenue

+27% YoY

Systems revenue improvement stemmed from increased investments in memory segments (e.g., NAND and DRAM) and technology upgrades boosting the overall equipment spending. The previous period's lower levels were overcome by robust demand for advanced semiconductor nodes, driving a higher overall revenue share from Systems. " " "

Customer Support–related Revenue

+21% YoY

Increased customer support revenue reflects higher spending on service, spares, and upgrades from the installed base via the Reliant® product line. This contrasts with earlier periods where lower support revenue was seen, suggesting that enhanced service offerings and customer reliance have boosted this segment. " " "

Taiwan Revenue

+237% YoY (from ~$335M to $1,126.0M)

The massive surge in Taiwan revenue indicates a strong rebound in the local semiconductor ecosystem, likely due to renewed customer capital expenditures and favorable regional market conditions. This dramatic turnaround contrasts with previous lower levels and helped drive overall revenue improvements. " " "

Japan Revenue

+40% YoY

Japan’s revenue gain is attributable to increased DRAM spending and technology upgrades in the region. This growth marks a significant improvement over prior periods, where lower spending was seen, and reflects enhanced customer confidence and market renewal. " " "

Korea Revenue

+26% YoY

Growth in Korea was driven by increased memory market demand and higher capital investments in advanced process nodes, which improved from lower spending in the previous year. The shift led to better revenue share from Korea in Q3 2025. " " "

China Revenue

-9% YoY

A decline in China revenue suggests that export restrictions, softer local spending, and competitive pressures contributed to a lower revenue share compared to the previous period. This contrasts with the strong performance seen in other regions and reflects a shift in customer spending patterns. " " "

United States Revenue

-17% YoY

US revenue fell by 17% YoY, likely due to a tougher domestic spending environment, where lower capital expenditures and strategic market shifts reduced its share relative to previous periods, despite overall global growth. " " "

Europe Revenue

-25% YoY

European revenue declined by 25% YoY due to challenging regional economic conditions and reduced equipment spending, which contrasts with improvements in key Asian markets and underlines the geographic mix shifting toward higher-growth areas. " " "

Operating Income

+48% (from ~$1,057.1M to ~$1,561.8M)

Operating income improved significantly due to higher revenue combined with a favorable product mix and effective cost management. Enhanced gross margins and disciplined expense controls compared to the previous period contributed to the 48% increase. " "

Net Income

+38% (from ~$965.8M to ~$1,330.7M)

Net income grew by 38% as a result of the operating improvements and better profitability metrics, supported by enhanced revenue mix and tax strategy benefits compared to earlier periods where lower operating leverage was observed. " "

Operating Cash Flow

+52% (from ~$862,430K to ~$1,308,663K)

Operating cash flow surged by 52% owing to stronger collections, improved working capital management, and operational efficiencies. This marked improvement over the previous period underscores the company’s successful focus on liquidity and cash generation despite varying market conditions. " "

Revenue

Q2 2025

$4.65 billion, plus or minus $300 million "

$5 billion, plus or minus $300 million "

raised

Gross Margin

Q2 2025

48%, plus or minus 1 percentage point "

49.5%, plus or minus 1 percentage point "

raised

Operating Margin

Q2 2025

32%, plus or minus 1 percentage point "

33.5%, plus or minus 1 percentage point "

raised

EPS

Q2 2025

$1, plus or minus $0.10, based on a share count of ~1.29 billion shares "

$1.20, plus or minus $0.10 "

raised

Tax Rate

Q2 2025

Expected to be in the low to mid-teens range "

Expected to be in the single-digit range "

lowered

Share Count

Q2 2025

no prior guidance

Approximately 1.8 billion shares "

no prior guidance

NAND Upgrade and Spending Opportunities

In Q2 2025, NAND spending was portrayed as a technology migration with a major focus on upgrading sub‑200 layer technologies to higher layers. " " " In Q4 2024, executives emphasized upgrade‐driven growth with an expectation of increased upgrades and consumption of inventory. " " "

In Q3 2025, the discussion underscored a $40 billion upgrade opportunity over 3–5 years with a balanced mix of upgrades and new equipment, driven by the shift from 128 layers to 200+ layers. " " " "

Consistent emphasis with an increased scale and focus on the upgrade opportunity.

Advanced Equipment Innovation

In Q2 2025, innovations such as Halo molybdenum, advanced etch tools (Cryo 3.0), and Pure Carbon gap fill were highlighted as drivers for technology shifts, with similar mentions of dry resist. " " " " In Q4 2024, the focus was on new tools like Direct Drive for conductor etch and early progress in dry EUV resist and Pure Carbon gap fill. " " "

In Q3 2025, the call detailed adoption of the Halo molybdenum process, the market expansion of the Akara etch system, Pure Carbon gap fill, and progress on dry resist technology—with impressive performance improvements (e.g. a 50% reduction in resistance). " " " " "

Recurring focus with accelerated adoption and deeper emphasis on performance benefits.

Global Manufacturing Agility and Supply Chain Management

In Q2 2025, the focus was on the rapid ramp-up of the Malaysia facility highlighting cost and efficiency advantages. " In Q4 2024, expansion of the global footprint (e.g. the Malaysia factory milestone) and digital transformation for operational efficiency were emphasized. " " "

In Q3 2025, Lam Research reiterated its global manufacturing agility through a flexible, geographically diversified setup (US, Austria, Malaysia, Taiwan, Korea) and proactive tariff mitigation, bolstered by strategic capital investments. " " " " "

Continued strategic emphasis with an increased focus on flexibility and operational responsiveness.

Customer Concentration and Regulatory/Export Control Risks

In Q2 2025, management stressed that customer concentration (especially in China) and new export controls would offset gross margins and lower China’s share, noting a revenue impact of approximately $700 million. " " " " " In Q4 2024, concerns were raised about restrictions affecting a major NAND customer and ongoing export control anxieties, though customer behavior remained largely unchanged. " "

In Q3 2025, discussion focused on the continued risks tied to customer concentration—in particular, China contributing 31% of revenue and increased foundry exposure—while also noting cautious adjustments in response to regulatory changes. " " "

Recurrent risk factor with evolving regulatory pressures; cautious tone persists.

Advanced Packaging and High-Bandwidth Memory Growth Opportunities

In Q2 2025, advanced packaging and HBM were highlighted with revenue projections exceeding $1 billion and advancing technology transitions (e.g. from 8-high to 12-high HBM, 2.5D to 3D SOIC). " " In Q4 2024, rapid growth in advanced packaging and HBM was mentioned with improved revenue mix (e.g. strong position in TSV etch and electroplating). " " "

In Q3 2025, the narrative emphasized record foundry revenues—with foundry representing 48% of systems revenue—and leadership in advanced packaging and HBM as a key growth driver, including significant contributions from NAND and DRAM technology conversions. " " " "

Growing optimism and bullish sentiment with record achievements reinforcing the opportunity.

Operating Expense Growth, Digital Transformation Investments, and Gross Margin Pressures

In Q2 2025, the focus was on guiding operating expenses quarter‐by‐quarter with a slight headwind on gross margins due to customer concentration, alongside commitments to digital transformation similar to prior investments (e.g. in Malaysia). " " " In Q4 2024, operating expenses were stable (with over 70% in R&D), digital transformation was emphasized for global efficiency, and margins were pressured by unfavorable customer mix. " " " "

In Q3 2025, operating expenses increased slightly driven by expanding R&D investments (accounting for 70% of expenses), while digital transformation initiatives continued to underpin manufacturing improvements, and gross margins improved to 49% due to efficiencies from a close-to-customer strategy, albeit with acknowledged variability. " " " "

Sustained investment with a trend toward enhanced R&D and digital initiatives; marginal improvements in margins despite variability.

Revenue Mix Diversification in Key Segments

In Q2 2025, diversification was discussed in the context of advanced nodes (gate-all-around, advanced packaging) and memory upgrades, with foundry revenue (35%) and DRAM/NAND growth providing balance. " " " " In Q4 2024, there was detailed discussion on diversification across advanced nodes, foundry logic (43% of systems revenue), and memory upgrades (with strong CSBG performance). " " " "

In Q3 2025, the revenue mix further diversified with record foundry revenues (up to 48% of systems revenue), continued strength in advanced packaging/NAND upgrades, and balanced growth across regions (e.g. Taiwan at 24% and Korea at 24%). " " "

Positive and evolving trend with a broader, more balanced mix across key segments, reflecting strategic wins.

Lumpy Order Patterns and Demand Uncertainty

In Q4 2024, there was discussion of lumpy order patterns—with China spending described as variable and global mature node spending softened by inventory build-ups—and overall demand uncertainty across segments. " " " " In Q2 2025, these topics were not specifically mentioned.

In Q3 2025, executives again highlighted that certain projects are inherently lumpy—characterized by large periodic shipments and installation cycles—and reiterated that overall demand scheduling remains uncertain, although strategic customer investments continue despite these fluctuations. " " "

A recurring topic: absent in Q2, re‑emerging in Q3 with a cautious tone regarding demand variability.

Weakness in Mature Node Spending

In Q2 2025, weakness in mature node spending was acknowledged, particularly outside China, noting that spending remains subdued due to inventory issues and a limited number of customers. " In Q4 2024, there was emphasis on weak global mature node spending (softness outside China and inventory buildup in analog, industrial, and automotive segments). " "

In Q3 2025, there was no explicit discussion of mature node spending weakness, implying a shift in focus away from mature nodes toward upgrades and advanced technologies. "

Decreasing emphasis: previously noted weaknesses are less prominent in Q3, suggesting a shifting focus to higher-growth segments.