European Investor
22 Oct 2025, 20:11
Lam Research Corporation reported solid third-quarter 2025 results, highlighting continued momentum amid strong demand from AI-driven semiconductor manufacturing.
Financial Performance (Quarter Ended September 28, 2025):
Revenue totaled $5.32 billion, up 3% quarter-over-quarter (QoQ).
• U.S. GAAP results:
o Gross margin: 50.4% (up 30 basis points QoQ)
o Operating margin: 34.4% (up 70 bps QoQ)
o Net income: $1.57 billion
o Diluted EPS: $1.24 (down from $1.35 in June 2025)
• Non-GAAP results:
o Gross margin: 50.6%
o Operating margin: 35.0%
o Net income: $1.61 billion
o Diluted EPS: $1.26 (down 5% QoQ)
Operating expenses remained well controlled at $856 million (GAAP) and $832 million (non-GAAP), reflecting disciplined cost management despite a challenging global environment.
CEO Commentary:
Tim Archer, President and CEO, stated that Lam’s innovations are enabling customers to navigate AI-driven manufacturing transitions, positioning the company for long-term growth. He emphasized Lam’s “expanding portfolio of products and solutions across critical device segments,” underscoring the company’s strong execution and growth potential amid increasing semiconductor complexity.
In summary, Lam delivered higher margins and revenues, demonstrating operational efficiency and steady execution despite slightly lower earnings per share due to margin mix and one-time expenses.
Financial Performance (Quarter Ended September 28, 2025):
Revenue totaled $5.32 billion, up 3% quarter-over-quarter (QoQ).
• U.S. GAAP results:
o Gross margin: 50.4% (up 30 basis points QoQ)
o Operating margin: 34.4% (up 70 bps QoQ)
o Net income: $1.57 billion
o Diluted EPS: $1.24 (down from $1.35 in June 2025)
• Non-GAAP results:
o Gross margin: 50.6%
o Operating margin: 35.0%
o Net income: $1.61 billion
o Diluted EPS: $1.26 (down 5% QoQ)
Operating expenses remained well controlled at $856 million (GAAP) and $832 million (non-GAAP), reflecting disciplined cost management despite a challenging global environment.
CEO Commentary:
Tim Archer, President and CEO, stated that Lam’s innovations are enabling customers to navigate AI-driven manufacturing transitions, positioning the company for long-term growth. He emphasized Lam’s “expanding portfolio of products and solutions across critical device segments,” underscoring the company’s strong execution and growth potential amid increasing semiconductor complexity.
In summary, Lam delivered higher margins and revenues, demonstrating operational efficiency and steady execution despite slightly lower earnings per share due to margin mix and one-time expenses.