KLA Company KLAC reported first-quarter fiscal 2026 non-GAAP earnings of $8.81 per share, beating the Zacks Consensus Estimate by 3.04%. The determine surged 20.2% yr over yr.
Revenues elevated 13% yr over yr to $3.21 billion, surpassing the Zacks Consensus Estimate by 1.72%.
KLAC’s Q1 Segmental Particulars
By way of reportable segments, Semiconductor Course of Management revenues (90.3% of whole revenues) elevated 12.6% yr over yr and 1% sequentially to $2.89 billion.
Foundry & Logic accounted for about 74%, whereas Reminiscence constituted about 26% of Semiconductor Course of Management revenues.
KLA Company Value, Consensus and EPS Shock
KLA Company price-consensus-eps-surprise-chart | KLA Company Quote
Specialty Semiconductor Course of revenues (3.7% of whole revenues) had been $119.8 million, down 6.7% yr over yr and 16% sequentially.
PCB and Part Inspection revenues (5.9% of whole revenues) elevated 37.3% yr over yr to $189.5 million, and up 23% on a sequential foundation.
KLAC High-Line Particulars
Product revenues (which accounted for 76.8% of whole revenues) rose 12.2% yr over yr to $2.46 billion. Service revenues (23.2% of whole revenues) elevated 15.6% yr over yr and 6% sequentially to $744.7 million.
By way of main merchandise, Wafer Inspection and Patterning Techniques (together with metrology and reticle inspection) accounted for 48% and 21%, respectively, of KLA’s whole revenues within the fiscal first quarter.
Wafer Inspection revenues elevated 12% yr over yr however decreased 13% sequentially to $1.53 billion. Patterning revenues moved up 16% yr over yr and 47% sequentially to $668 million.
By way of the regional breakdown of revenues, Taiwan and China led income contributions with 25% and 39%, respectively. Korea accounted for 9%, Japan 9%, and North America 9%. Europe contributed 5%, whereas the remaining 3% got here from the remainder of Asia.
KLA’s Working Particulars
Within the first quarter of fiscal 2026, the non-GAAP gross margin was 62.5%, 50 foundation factors above the midpoint of the steerage vary.
Analysis and growth (R&D) bills elevated 11.5% yr over yr to $360.5 million. As a share of revenues, R&D bills decreased 10 foundation factors (bps) on a year-over-year foundation to 11.2%.
Promoting, basic and administrative (SG&A) bills elevated 7.1% yr over yr to $269 million. As a share of revenues, SG&A bills decreased 50 bps yr over yr to eight.4%.
The fiscal first-quarter non-GAAP working bills had been $618.
The fiscal first-quarter non-GAAP working margin was 43.2%.
KLAC Stability Sheet & Money Circulate
As of Sept. 30, 2025, money, money equivalents, and marketable securities totaled $4.68 billion in contrast with $4.49 billion as of June 30, 2025.
Lengthy-term debt on the finish of the fiscal first quarter was $5.88 billion, unchanged from the determine reported within the earlier quarter.
Money circulation from working actions was $1.16 billion, unchanged from the determine reported within the earlier quarter. The free money circulation was $1.07 billion for the fiscal first quarter.
Within the fiscal first quarter, KLAC repurchased $545 million value of shares and paid $254 million in dividends.
On April 30, 2025, KLAC introduced a $5 billion share repurchase authorization.
KLAC Gives Optimistic 2Q26 Steering
For second-quarter fiscal 2026, revenues are anticipated to be $3.225 billion, plus/minus $150 million.
KLA expects non-GAAP earnings of $8.70 per share, plus/minus 78 cents.
The corporate expects a non-GAAP gross margin of 62%, plus/minus 1%. Working expense is predicted to be roughly $635 million within the fiscal second quarter.
Zacks Rank & Different Shares to Think about
At present, KLA carries a Zacks Rank #2 (Purchase).
BILL Holdings BILL, Superior Power AEIS, and Akamai Applied sciences AKAM are another top-ranked shares that traders can think about within the broader sector. Every inventory carries a Zacks Rank #2 at current. You possibly can see the entire listing of at present’s Zacks #1 Rank (Robust Purchase) shares right here.
Invoice Holdings’ shares have plunged 42% within the year-to-date interval. BILL is ready to report its first-quarter fiscal 2026 outcomes on Nov. 6.
Superior Power is ready to report third-quarter 2025 outcomes on Nov. 4. Superior Power shares have surged 79.9% yr up to now.
Akamai Applied sciences is ready to report third-quarter 2025 outcomes on Nov. 6. Akamai Applied sciences shares have plunged 23.7% yr up to now.
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KLA Company (KLAC) : Free Inventory Evaluation Report
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BILL Holdings, Inc. (BILL) : Free Inventory Evaluation Report
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The views and opinions expressed herein are the views and opinions of the creator and don’t essentially replicate these of Nasdaq, Inc.
