From Nasdaq: 2024-04-26 11:04:00

KLA Corporation reported third-quarter fiscal 2024 earnings of $5.26 per share, surpassing estimates but down 4.2% year over year. Revenues of $2.36 billion, beating estimates, saw a 3% year-over-year decline. The company attributed the revenue drop to softness in various segments, including Semiconductor Process Control. Semiconductor Process Control revenues accounted for the majority of total revenues and saw a 3.5% decrease year over year. Specialty Semiconductor Process revenues were up 1% year over year, while PCB, Display, and Component Inspection revenues increased by 1.1%.

In terms of product breakdown, Wafer Inspection and Patterning Systems were the major contributors to revenues, accounting for 42% and 25% respectively. Wafer Inspection revenues declined year over year, but Patterning revenues increased sequentially. Regional revenues were primarily from China, Taiwan, Japan, and Korea. Operating margins improved sequentially, and the company’s balance sheet showed growth in cash, cash equivalents, and marketable securities.

Looking ahead to the fourth quarter, KLA expects revenues of $2.50 billion, with non-GAAP earnings of $6.07 per share. Operating expenses are projected to be about $550 million. The company currently holds a Zacks Rank #4 (Sell) and its shares have outperformed the Computer & Technology sector. Investors may also consider better-ranked stocks like Pinterest, AMD, and NVIDIA in the broader sector.

Pinterest, AMD, and NVIDIA all have upcoming earnings reports scheduled. Pinterest holds a Zacks Rank #1, while AMD and NVIDIA both carry a Zacks Rank #2. These companies have shown varying performance in their share prices year to date, with different growth trajectories. Additionally, investors can access a free Special Report by Zacks on profitable stock choices during election years, showcasing 5 pertinent options for investment potential.



Read more at Nasdaq: KLA’s (KLAC) Q3 Earnings & Revenues Beat Estimates, Fall Y/Y