FREMONT, Calif., April 22, 2026 /PRNewswire/ — Lam Research Corporation (the “Company,” “Lam,” “Lam Research”) today announced financial results for the quarter ended March 29, 2026 (the “March 2026 quarter”).
Highlights for the March 2026 quarter were as follows:
Revenue of $5.84 billion.U.S. GAAP gross margin as a percent of revenue of 49.8%, U.S. GAAP operating margin as a percent of revenue of 35.0%, and U.S. GAAP diluted EPS of $1.45.Non-GAAP gross margin as a percent of revenue of 49.9%, non-GAAP operating margin as a percent of revenue of 35.0%, and non-GAAP diluted EPS of $1.47.
Key Financial Data for the Quarters Ended
March 29, 2026 and December 28, 2025
(in thousands, except per-share data, percentages, and basis points)
U.S. GAAP
March 2026
December 2025
Change Q/Q
Revenue
$ 5,841,488
$ 5,344,791
+9 %
Gross margin
49.8 %
49.6 %
+ 20 bps
Operating margin
35.0 %
33.9 %
+ 110 bps
Diluted EPS
$ 1.45
$ 1.26
+ 15 %
Non-GAAP
March 2026
December 2025
Change Q/Q
Revenue
$ 5,841,488
$ 5,344,791
+9 %
Gross margin
49.9 %
49.7 %
+ 20 bps
Operating margin
35.0 %
34.3 %
+ 70 bps
Diluted EPS
$ 1.47
$ 1.27
+ 16 %
U.S. GAAP Financial Results
For the March 2026 quarter, revenue was $5,841 million, gross margin was $2,911 million, or 49.8% of revenue, operating expenses were $864 million, operating margin was 35.0%, and net income was $1,825 million, or $1.45 per diluted share on a U.S. GAAP basis. This compares to revenue of $5,345 million, gross margin of $2,651 million, or 49.6% of revenue, operating expenses of $841 million, operating margin of 33.9%, and net income of $1,594 million, or $1.26 per diluted share, for the quarter ended December 28, 2025 (the “December 2025 quarter”).
Non-GAAP Financial Results
For the March 2026 quarter, non-GAAP gross margin was $2,913 million, or 49.9% of revenue, non-GAAP operating expenses were $866 million, non-GAAP operating margin was 35.0%, and non-GAAP net income was $1,851 million, or $1.47 per diluted share. This compares to non-GAAP gross margin of $2,658 million, or 49.7% of revenue, non-GAAP operating expenses of $827 million, non-GAAP operating margin of 34.3%, and non-GAAP net income of $1,598 million, or $1.27 per diluted share, for the December 2025 quarter.
“Lam delivered record revenue and EPS in the March quarter as AI-driven demand reshapes the semiconductor industry,” said Tim Archer, Lam Research’s President and Chief Executive Officer. “Our strategic investments and the velocity of our execution are generating strong momentum, enabling customers’ AI roadmaps and driving Lam’s outperformance during this critical phase of industry growth.”
Balance Sheet and Cash Flow Results
Cash, cash equivalents, and restricted cash balances decreased to $4.77 billion at the end of the March 2026 quarter compared to $6.20 billion at the end of the December 2025 quarter. The decrease was primarily the result of cash deployed for capital return activities, principal payment on debt instruments, and capital expenditures, partially offset by cash generated from operating activities during the quarter.
Deferred revenue at the end of the March 2026 quarter decreased slightly to $2.22 billion compared to $2.25 billion as of the end of the December 2025 quarter. Lam’s deferred revenue balance does not include shipments to customers in Japan, to whom control does not transfer until customer acceptance. Shipments to customers in Japan are classified as inventory at cost until the time of acceptance. The estimated future revenue from shipments to customers in Japan was approximately $434 million as of March 29, 2026 and $226 million as of December 28, 2025.
Revenue
The geographic distribution of revenue during the March 2026 quarter is shown in the following table:
Region
Revenue
China
34 %
Korea
23 %
Taiwan
23 %
Japan
8 %
United States
6 %
Southeast Asia
4 %
Europe
2 %
The following table presents revenue disaggregated between systems and customer support-related revenue:
Three Months Ended
March 29,
2026
December 28,
2025
March 30,
2025
(In thousands)
Systems revenue
$ 3,730,582
$ 3,357,493
$ 3,035,276
Customer support-related revenue and other
2,110,906
1,987,298
1,684,899
$ 5,841,488
$ 5,344,791
$ 4,720,175
Systems revenue includes sales of new leading-edge equipment in deposition, etch, and other wafer fabrication markets.
Customer support-related revenue includes sales of customer service, spares, upgrades, and non-leading-edge equipment from our Reliant® product line.
Outlook
For the quarter ending June 28, 2026, Lam is providing the following guidance:
U.S. GAAP
Reconciling Items
Non-GAAP
Revenue
$6.60 Billion
+/-
$400 Million
—
$6.60 Billion
+/-
$400 Million
Gross margin
50.5 %
+/-
1 %
$ 2.7
Million
50.5 %
+/-
1 %
Operating margin
36.5 %
+/-
1 %
$ 3.0
Million
36.5 %
+/-
1 %
Net income per diluted share
$1.65
+/-
$0.15
$ 3.3
Million
$1.65
+/-
$0.15
Diluted share count
1.255 Billion
—
1.255 Billion
The information provided above is only an estimate of what the Company believes is realizable as of the date of this release and does not incorporate the potential impact of any business combinations, asset acquisitions, divestitures, restructuring, balance sheet valuation adjustments, financing arrangements, other investments, or other items that may be completed or realized after the date of this release, except as described below. U.S. GAAP to non-GAAP reconciling items provided include only those items that are known and can be estimated as of the date of this release. Actual results will vary from this model and the variations may be material. Reconciling items included above are as follows:
Gross margin – amortization related to intangible assets acquired through business combinations, $2.7 million.Operating margin – amortization related to intangible assets acquired through business combinations, $3.0 million.Net income per diluted share – amortization related to intangible assets acquired though business combinations, $3.0 million; amortization of debt discounts, $0.5 million; and associated tax benefit for non-GAAP items ($0.2 million); totaling $3.3 million.
Use of Non-GAAP Financial Results
In addition to U.S. GAAP results, this press release also contains non-GAAP financial results. The Company’s non-GAAP results for both the March 2026 and December 2025 quarters exclude amortization related to intangible assets acquired through business combinations, the effects of elective deferred compensation-related assets and liabilities, amortization of note discounts, and the net income tax effect of non-GAAP items. In addition, the March 2026 quarter excludes expenses associated with workforce optimization activities and their associated income tax effect.
Management uses non-GAAP gross margin, operating expense, operating income, operating margin, net income, and net income per diluted share to evaluate the Company’s operating and financial results. The Company believes the presentation of non-GAAP results is useful to investors for analyzing business trends and comparing performance to prior periods, along with enhancing investors’ ability to view the Company’s results from management’s perspective. Tables presenting reconciliations of non-GAAP results to U.S. GAAP results are included at the end of this press release and on the Company’s website at https://investor.lamresearch.com.
Caution Regarding Forward-Looking Statements
Statements made in this press release that are not of historical fact are forward-looking statements and are subject to the safe harbor provisions created by the Private Securities Litigation Reform Act of 1995. Such forward-looking statements relate to, but are not limited to: our outlook and guidance for future financial results, including revenue, gross margin, operating margin, net income per diluted share, and diluted share count; the extent to which our investments and rate of operational execution are enabling our customers, driving our performance and generating momentum; and customer and industry trends, including the role of AI as an industry driver. Some factors that may affect these forward-looking statements include: business, economic, political and/or regulatory conditions in the consumer electronics industry, the semiconductor industry and the overall economy may deteriorate or change; the actions of our customers and competitors may be inconsistent with our expectations; trade regulations, export controls, tariffs, trade disputes, and other geopolitical tensions may inhibit our ability to sell our products; supply chain cost increases, tariffs, export controls and other inflationary pressures have impacted and may continue to impact our profitability; supply chain disruptions, export controls or manufacturing capacity constraints may limit our ability to manufacture and sell our products; and natural and human-caused disasters, disease outbreaks, war, terrorism, political or governmental unrest or instability, or other events beyond our control may impact our operations and revenue in affected areas; as well as the other risks and uncertainties that are described in the documents filed or furnished by us with the Securities and Exchange Commission, including specifically the Risk Factors described in our most recent annual report on Form 10-K or subsequent quarterly report on Form 10-Q. These uncertainties and changes could materially affect the forward-looking statements and cause actual results to vary from expectations in a material way. The Company undertakes no obligation to update the information or statements made in this release.
Lam Research Corporation is a global supplier of innovative wafer fabrication equipment and services to the semiconductor industry. Lam’s equipment and services allow customers to build smaller and better performing devices. In fact, today, nearly every advanced chip is built with Lam technology. We combine superior systems engineering, technology leadership, and a strong values-based culture, with an unwavering commitment to our customers. Lam Research (Nasdaq: LRCX) is a FORTUNE 500® company headquartered in Fremont, Calif., with operations around the globe. Learn more at www.lamresearch.com. (LRCX)
Consolidated Financial Tables Follow.
LAM RESEARCH CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except per share data and percentages)
(unaudited)
Three Months Ended
Nine Months Ended
March 29,
2026
December 28,
2025
March 30,
2025
March 29,
2026
March 30,
2025
Revenue
$ 5,841,488
$ 5,344,791
$ 4,720,175
$ 16,510,452
$ 13,264,198
Cost of goods sold
2,930,961
2,693,629
2,406,489
8,263,884
6,874,848
Gross margin
2,910,527
2,651,162
2,313,686
8,246,568
6,389,350
Gross margin as a percent of revenue
49.8 %
49.6 %
49.0 %
49.9 %
48.2 %
Research and development
583,200
573,305
525,904
1,732,951
1,516,209
Selling, general and administrative
280,311
267,654
226,023
827,310
713,301
Total operating expenses
863,511
840,959
751,927
2,560,261
2,229,510
Operating income
2,047,016
1,810,203
1,561,759
5,686,307
4,159,840
Operating margin
35.0 %
33.9 %
33.1 %
34.4 %
31.4 %
Other income (expense), net
(35,460)
26,410
(25,035)
21,024
19,308
Income before income taxes
2,011,556
1,836,613
1,536,724
5,707,331
4,179,148
Income tax expense
(186,096)
(242,619)
(206,057)
(719,217)
(541,019)
Net income
$ 1,825,460
$ 1,593,994
$ 1,330,667
$ 4,988,114
$ 3,638,129
Net income per share:
Basic
$ 1.46
$ 1.27
$ 1.04
$ 3.97
$ 2.82
Diluted
$ 1.45
$ 1.26
$ 1.03
$ 3.95
$ 2.81
Number of shares used in per share calculations:
Basic
1,249,728
1,254,856
1,283,779
1,256,343
1,290,041
Diluted
1,257,325
1,261,739
1,288,100
1,262,792
1,294,545
Cash dividend declared per common share
$ 0.26
$ 0.26
$ 0.23
$ 0.78
$ 0.69
LAM RESEARCH CORPORATION
CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands)
March 29,
2026
December 28,
2025
June 29,
2025
(unaudited)
(unaudited)
(1)
ASSETS
Cash and cash equivalents
$ 4,750,936
$ 6,180,440
$ 6,390,659
Accounts receivable, net
4,132,890
3,491,987
3,378,071
Inventories
3,999,992
4,037,682
4,307,991
Prepaid expenses and other current assets
413,099
307,914
440,274
Total current assets
13,296,917
14,018,023
14,516,995
Property and equipment, net
2,853,614
2,710,989
2,428,744
Goodwill and intangible assets
1,882,017
1,864,037
1,808,685
Other assets
2,759,362
2,798,122
2,590,836
Total assets
$ 20,791,910
$ 21,391,171
$ 21,345,260
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current portion of long-term debt and finance lease obligations
$ 4,095
$ 754,006
$ 754,311
Other current liabilities
5,238,303
5,459,147
5,814,114
Total current liabilities
5,242,398
6,213,153
6,568,425
Long-term debt and finance lease obligations
3,730,384
3,729,742
3,730,194
Income taxes payable
621,572
667,639
603,412
Other long-term liabilities
612,777
635,211
581,610
Total liabilities
10,207,131
11,245,745
11,483,641
Stockholders’ equity (2)
10,584,779
10,145,426
9,861,619
Total liabilities and stockholders’ equity
$ 20,791,910
$ 21,391,171
$ 21,345,260
(1)
Derived from audited financial statements.
(2)
Common shares issued and outstanding were 1,250,539 as of March 29, 2026, 1,251,180 as of December 28, 2025, and
1,268,740 as of June 29, 2025.
LAM RESEARCH CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(in thousands, unaudited)
Three Months Ended
Nine Months Ended
March 29,
2026
December 28,
2025
March 30,
2025
March 29,
2026
March 30,
2025
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income
$ 1,825,460
$ 1,593,994
$ 1,330,667
$ 4,988,114
$ 3,638,129
Adjustments to reconcile net income to net cash provided
by operating activities:
Depreciation and amortization
116,322
103,925
97,343
321,891
287,838
Deferred income taxes
(19,478)
(30,957)
(19,992)
(113,310)
(211,568)
Equity-based compensation expense
96,616
88,539
87,115
282,396
249,085
Other, net
(2,855)
(19,961)
1,654
(24,706)
(7,395)
Changes in operating assets and liabilities
(874,645)
(255,495)
(188,124)
(1,053,956)
(337,013)
Net cash provided by operating activities
1,141,420
1,480,045
1,308,663
4,400,429
3,619,076
CASH FLOWS FROM INVESTING ACTIVITIES:
Capital expenditures and intangible assets
(331,604)
(260,879)
(288,058)
(777,604)
(586,995)
Other, net
(2,976)
3,096
(4,857)
(807)
8,154
Net cash used for investing activities
(334,580)
(257,783)
(292,915)
(778,411)
(578,841)
CASH FLOWS FROM FINANCING ACTIVITIES:
Principal payments on debt, including finance lease
obligations and payments for debt issuance costs
(751,194)
(1,462)
(504,037)
(754,073)
(506,003)
Treasury stock purchases, including excise tax payments
(1,162,837)
(1,466,155)
(435,321)
(3,604,783)
(2,130,044)
Dividends paid
(325,829)
(327,507)
(295,716)
(945,317)
(854,335)
Reissuance of treasury stock related to employee stock
purchase plan
—
67,185
—
67,185
60,557
Proceeds from issuance of common stock, net issuance
costs
9,167
3,854
1,993
13,021
1,756
Other, net
55
(1,117)
526
(13,511)
963
Net cash used for financing activities
(2,230,638)
(1,725,202)
(1,232,555)
(5,237,478)
(3,427,106)
Effect of exchange rate changes on cash, cash equivalents,
and restricted cash
(4,979)
(13,337)
2,380
(25,375)
(960)
Net change in cash, cash equivalents, and restricted cash
(1,428,777)
(516,277)
(214,427)
(1,640,835)
(387,831)
Cash, cash equivalents, and restricted cash at beginning of
period (1)
6,195,598
6,711,875
5,677,399
6,407,656
5,850,803
Cash, cash equivalents, and restricted cash at end of
period (1)
$ 4,766,821
$ 6,195,598
$ 5,462,972
$ 4,766,821
$ 5,462,972
(1)
Restricted cash is reported within Other assets in the Condensed Consolidated Balance Sheets
Non-GAAP Financial Summary
(in thousands, except percentages and per share data)
(unaudited)
Three Months Ended
March 29,
2026
December 28,
2025
Revenue
$ 5,841,488
$ 5,344,791
Gross margin
$ 2,913,123
$ 2,658,256
Gross margin as a percent of revenue
49.9 %
49.7 %
Operating expenses
$ 866,166
$ 827,486
Operating income
$ 2,046,957
$ 1,830,770
Operating margin
35.0 %
34.3 %
Net income
$ 1,851,442
$ 1,597,626
Net income per diluted share
$ 1.47
$ 1.27
Shares used in per share calculation – diluted
1,257,325
1,261,739
Reconciliation of U.S. GAAP Net Income to Non-GAAP Net Income
(in thousands, except per share data)
(unaudited)
Three Months Ended
March 29,
2026
December 28,
2025
U.S. GAAP net income
$ 1,825,460
$ 1,593,994
Pre-tax non-GAAP items:
Amortization related to intangible assets acquired through certain business combinations – cost of goods sold
2,668
2,668
Elective deferred compensation (“EDC”) related liability valuation (decrease) increase – cost of goods sold
(6,476)
4,426
Workforce optimization charges – cost of goods sold
6,404
—
EDC related liability valuation (decrease) increase – research and development
(11,656)
7,968
Workforce optimization charges – research and development
9,437
—
Amortization related to intangible assets acquired through certain business combinations – selling, general
and administrative
348
193
EDC related liability valuation (decrease) increase – selling, general and administrative
(7,771)
5,312
Workforce optimization charges – selling, general and administrative
6,987
—
Amortization of note discounts – other income (expense), net
674
701
Loss (gain) on EDC related asset – other income (expense), net
27,265
(16,628)
Net income tax benefit on non-GAAP items
(1,898)
(1,008)
Non-GAAP net income
$ 1,851,442
$ 1,597,626
Non-GAAP net income per diluted share
$ 1.47
$ 1.27
U.S. GAAP net income per diluted share
$ 1.45
$ 1.26
U.S. GAAP and non-GAAP number of shares used for per diluted share calculation
1,257,325
1,261,739
Reconciliation of U.S. GAAP Gross Margin, Operating Expenses and Operating Income to Non-GAAP Gross Margin,
Operating Expenses and Operating Income
(in thousands, except percentages)
(unaudited)
Three Months Ended
March 29,
2026
December 28,
2025
U.S. GAAP gross margin
$ 2,910,527
$ 2,651,162
Pre-tax non-GAAP items:
Amortization related to intangible assets acquired through certain business combinations
2,668
2,668
EDC related liability valuation (decrease) increase
(6,476)
4,426
Workforce optimization charges
6,404
—
Non-GAAP gross margin
$ 2,913,123
$ 2,658,256
U.S. GAAP gross margin as a percent of revenue
49.8 %
49.6 %
Non-GAAP gross margin as a percent of revenue
49.9 %
49.7 %
U.S. GAAP operating expenses
$ 863,511
$ 840,959
Pre-tax non-GAAP items:
Amortization related to intangible assets acquired through certain business combinations
(348)
(193)
EDC related liability valuation decrease (increase)
19,427
(13,280)
Workforce optimization charges
(16,424)
—
Non-GAAP operating expenses
$ 866,166
$ 827,486
U.S. GAAP operating income
$ 2,047,016
$ 1,810,203
Non-GAAP operating income
$ 2,046,957
$ 1,830,770
U.S. GAAP operating margin
35.0 %
33.9 %
Non-GAAP operating margin
35.0 %
34.3 %
Lam Research Corporation Contacts:
Ram Ganesh, Investor Relations, phone: 510-572-1615, e-mail: investor.relations@lamresearch.com
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