Lam Research Corp. sold more than $4 billion worth of semiconductor-manufacturing equipment and services in a single quarter for the first time and produced record profit as chip companies continue to cash in amid a global shortage.
reported fiscal fourth-quarter net income of $1.14 billion, or $7.98 a share, compared with $696.7 million, or $4.73 a share, in the year-ago period. Adjusted earnings, which exclude amortization and other items, were $8.09 a share, compared with $4.78 a share in the year-ago period. Revenue rose to $4.15 billion from $2.79 billion in the year-ago quarter.
Analysts surveyed by FactSet had forecast adjusted earnings of $7.59 a share on revenue of $4.03 billion, based on Lam’s forecast of $7 to $8 a share on revenue of $3.75 billion to $4.25 billion.
Lam also produced record revenue and earnings for its full fiscal year. The company reported annual net income of $3.91 billion, or $26.90 a share, on sales of $14.63 billion, easily topping the previous record in the 2018 fiscal year, which produced profit of $2.38 billion on sales of $11.09 billion.
“Lam continued its record performance in the June quarter, capping a fiscal 2021 with more than 45% revenue growth and an increase of over 70% in earnings per share,” Chief Executive Tim Archer said in a statement. “The combination of strong semiconductor demand and rising device complexity is driving higher levels of wafer fabrication equipment investment.”
Shares declined more than 2% in after-hours trading despite the earnings beat, following a 2% gain in the regular session to close at $635. Lam shares have soared 82% in the past year, compared with a 58.8% gain for the PHLX Semiconductor Index
and a 36.8% rise by the S&P 500 index