Press "Enter" to skip to content

Earnings: Lam Research Q4 profit falls but beats estimates

Image Courtesy: Lam Research

Lam Research (NASDAQ: LRCX) reported lower revenues and earnings for the fourth quarter of 2019. Earnings exceeded the estimates, while revenues matched the forecast.

The Fremont, California-based semiconductor technology company reported revenues of $2.36 billion for the fourth quarter, in line with analysts’ forecast. It is lower by 24% than the revenue reported a year earlier.

Lam Research reports lower earnings and revenues for Q4

Adjusted earnings dropped to $3.62 per share during the three-month period from $3.70 per share in the fourth quarter of 2018. Reported profit fell sharply to $541.8 million or $3.51 per share from $1.02 billion or $5.82 per share last year. The bottom line, however, topped the Street view.

“Lam’s June quarter results reflect our strong track record of execution. We are making solid progress on our innovation roadmap, and with multiple technology inflections ahead of us, Lam is in an excellent position to win,” said CEO Timothy Archer.

For the first quarter, the management expects revenues of $2.15 billion, plus or minus $150 million. The forecast for adjusted earnings is $3.00 per share, plus or minus 20 cents. Unadjusted earnings are expected to be $2.91 per share in the September quarter, plus or minus 20 cents. The company is looking for gross margins of about 45%.

Related: Lam Research Q3 2019 Earnings Call Transcript

The long-term outlook for the semiconductor industry is positive as it made a significant recovery in 2019 after being battered by multiple headwinds including the US-China trade war softening global economy and the cryptocurrency crash.

Last week, Lam Research shares surged to an all-time high. The stock has gained 53% so far this year and 13% in the past twelve months. It closed Wednesday’s regular session lower. 

Follow our Google News edition to get the latest stock market, earnings and financial news at your fingertips

Related Articles

Top
%d bloggers like this: