Applied Materials Reports Record Annual Revenue for 2025

Applied Materials, Inc. ( (AMAT) ) has released its Q4 earnings. Here is a breakdown of the information Applied Materials, Inc. presented to its investors.

Applied Materials, Inc. is a leading company in the materials engineering solutions sector, primarily focusing on the development of semiconductor and advanced display technologies. The company plays a crucial role in advancing AI and next-generation chip technologies.

In its latest earnings report, Applied Materials announced record annual revenue of $28.37 billion for fiscal year 2025, marking a 4% increase from the previous year. The company also reported record annual GAAP EPS of $8.66 and non-GAAP EPS of $9.42, reflecting year-over-year growth of 1% and 9%, respectively. However, the quarterly revenue of $6.80 billion showed a 3% decline compared to the same period last year.

Key financial highlights include a 10% increase in quarterly net income to $1,897 million, despite a 3% decrease in quarterly revenue. The company achieved a gross margin of 48.0% and an operating margin of 25.2% for the quarter. Notably, the Semiconductor Systems segment generated $4,760 million in revenue, although it experienced a decline from the previous year. The company also faced restructuring charges related to a workforce reduction plan.

Looking ahead, Applied Materials is preparing for increased demand in the semiconductor industry, driven by AI adoption and advanced technologies. The company is targeting its R&D investments to create faster and more energy-efficient technologies, anticipating higher demand beginning in the second half of 2026.

Overall, Applied Materials remains well-positioned to capitalize on technology inflections in the semiconductor market, with a focus on expanding its leadership in leading-edge logic, DRAM, and advanced packaging technologies.