Lam Research Q3 revenue jumps 24% to $5.84B with EPS beat; Q4 guides $6.6B midpoint
Lam Research reported Q3 adjusted EPS of $1.47, beating estimates by $0.12, and revenue of $5.84B, up 24% YoY and $110M above consensus. It forecast Q4 revenue of $6.2–$7.0B (midpoint $6.6B) and EPS of $1.50–$1.80, topping analyst views of $6.05B and $1.45.
1. Q3 Earnings and Revenue
In Q3, Lam Research delivered adjusted EPS of $1.47, surpassing the $1.35 consensus by $0.12, and generated revenue of $5.84 billion, a 24% increase from $4.72 billion year-over-year and $110 million above analysts' estimates.
2. Q4 Outlook
For the upcoming quarter, the company issued revenue guidance of $6.2 billion to $7.0 billion, centering on $6.6 billion versus a $6.05 billion consensus, and projected adjusted EPS between $1.50 and $1.80, with a $1.65 midpoint above the $1.45 consensus.
3. Segment and Geographic Performance
Systems sales contributed $3.73 billion while customer support revenue reached $2.11 billion; geographically, China accounted for 34% of total revenue, followed by Korea and Taiwan at 23% apiece.
4. Margin and Cash Position
The firm’s adjusted gross margin stood at 49.9% and operating margin at 35.0%, while cash and cash equivalents declined to $4.77 billion from $6.20 billion due to capital returns and debt repayments.