Applied Materials released its fiscal 2026 fourth-quarter results. Revenue rose 53% year on year to $10.49 billion, while net income increased 43% to $2.718 billion, both reaching quarterly records.
AMAT, a major semiconductor manufacturing equipment company, reported its fiscal 2026 fourth-quarter results. Revenue was $10.49 billion, up 53% year on year, while net income was $2.718 billion, an increase of more than 41%, with both reaching quarterly records. Equipment sales to foundry and logic customers, as well as for DRAM and advanced packaging, remained firm against a backdrop of growing demand for AI semiconductors.
Revenue guidance for the first quarter of fiscal 2027 is $11.1 billion ±$500 million, with a midpoint of $11.1 billion, or approximately ¥1.8 trillion, and is expected to exceed market expectations. Adjusted EPS was $4.16, above market expectations, while EPS guidance for the January-March quarter was also above expectations at $4.35. Following the earnings release, the stock rose slightly in after-hours trading before falling back in regular trading.
By region and business segment, Semiconductor Systems revenue increased 64% year on year to $7.996 billion, while the DRAM mix rose 5 percentage points to a record high. Revenue from South Korea was $1.811 billion and revenue from Taiwan was $2.916 billion, both reaching new records. AGS revenue increased 26% and operating income rose 33%.
For the full year, revenue rose 21% from the previous fiscal year to $34.446 billion, net income increased 44% to $10.088 billion, and EPS reached a record $12.89. Full-year operating margin was 35.1%, and the company returned capital to shareholders through share repurchases and dividends.
CEO Dickerson said the company was benefiting strongly from the tailwind of AI demand and outlined plans to expand equipment production and manufacturing capacity through 2030. The company expects investment demand to continue, and the expansion of the equipment supply chain is expected to determine future growth.