KLA Corp
Q4 2025 Earnings
Market Reaction
S&P 500 over the same 30 days: +3.54%.
Did KLAC Beat Earnings? Q4 2025 Results
KLA Corporation posted a standout fiscal fourth quarter, with non-GAAP diluted EPS of $9.38 beating the $8.55 consensus estimate by 9.71% and revenue of $3.17 billion topping expectations of $3.09 billion by 2.72%, representing a robust 23.7% year-over-year increase from $2.57 billion in the prior-year period. The primary engine behind the quarter was the Semiconductor Process Control segment, which generated $2.88 billion in Q4 revenue alone, as KLA's tools remain central to the AI-driven infrastructure buildout accelerating demand across leading-edge foundry, logic, and memory markets. The quarter also marked a milestone for capital generation, with record free cash flow of $1.06 billion, while the company returned $679.66 million to shareholders through dividends and buybacks. Against a backdrop where some chip equipment peers are navigating softer near-term demand signals, KLA's forward guidance for fiscal Q1 2026 calls for revenues of $3.15 billion and non-GAAP diluted EPS of $8.53, suggesting the company expects its momentum to remain largely intact heading into the new fiscal year.
- AI infrastructure buildout driving demand for semiconductor capital equipment
- Growing relevancy of KLA technologies in leading-edge foundry/logic and memory markets
- Evolving opportunities in advanced semiconductor packaging
- Record quarterly free cash flow exceeding $1 billion for the first time in June quarter
- Product revenue grew significantly year-over-year from $1.955 billion to $2.472 billion in Q4
“KLA delivered strong across-the-board results for the June quarter including generating record quarterly free cash flow. These results reflect the unique and compelling opportunity within semiconductor capital equipment for KLA's continued role in enabling and supporting the AI infrastructure buildout.”
KLA CEO, on the earnings call
Forward Guidance & Outlook
For Q1 fiscal 2026 (ending September 2025), KLA expects total revenues of $3.15 billion +/- $150 million, GAAP gross margin of 60.7% +/- 1.0%, non-GAAP gross margin of 62.0% +/- 1.0%, GAAP diluted EPS of $8.28 +/- $0.77, and non-GAAP diluted EPS of $8.53 +/- $0.77.
KLAC YoY Financials
KLAC Revenue by Segment
Figures from SEC filings and company reports. Not investment advice.