Companies /Technology

KLA Corp

NASDAQ: KLAC Semiconductor Equipment & Materials
$185.60
▲ $12.66 (+7.32%) today
Markets closed · 1:13am ET

Q1 2026 Earnings

Reported Oct 29, 2025, 4:11pm ET · SEC source
$8.81
Beat +2.24%
EPS · est. $8.62
$3.2B
Beat +1.25%
Revenue · est. $3.2B
−2.3%
Trailing market
KLAC vs S&P since report
6 quarters
Consecutive EPS beats

Market Reaction

% change · around the report
−6%−4%−2%0Oct 29Oct 30report 4:11pm ETearnings−0.6%−2.4%
−6%−4%−2%0Oct 29Oct 30earnings−0.6%−2.4%
KLAC −2.4%S&P 500 −0.6%
−6%−4%−2%0Oct 29Oct 30report 4:11pm ETearnings−0.3%−2.7%
−6%−4%−2%0Oct 29Oct 30earnings−0.3%−2.7%
KLAC −2.7%NASDAQ −0.3%
−2%0+2%+4%Oct 28Nov 6report 4:11pm ETearnings−2.1%−0.9%
−2%0+2%+4%Oct 28Nov 6earnings−2.1%−0.9%
KLAC −0.9%S&P 500 −2.1%
−3%0+3%Oct 28Nov 6report 4:11pm ETearnings−3.4%−0.9%
−3%0+3%Oct 28Nov 6earnings−3.4%−0.9%
KLAC −0.9%NASDAQ −3.4%
−1.69%
Day of report
−0.47%
Next session
−0.66%
One week
−2.02%
30 days

S&P 500 over the same 30 days: +0.25%.

Did KLAC Beat Earnings? Q1 2026 Results

KLA Corporation kicked off fiscal 2026 with a clean beat on both the top and bottom lines, as the semiconductor process control giant reported Q1 revenue of $3.21 billion, up 13.0% year over year and ahead of the $3.17 billion consensus by 1.25%, while non-GAAP diluted EPS of $8.81 cleared the $8.62 analyst estimate by 2.24%. The results were powered by a resurgent Semiconductor Process Control segment, which alone generated $2.90 billion in revenue, with CEO Rick Wallace pointing to the AI infrastructure buildout as a defining demand driver across leading-edge foundry/logic, memory, and advanced packaging markets. Barclays responded to the print with an upgrade to Overweight and a notably higher price target, citing KLA's relative insulation from potential China revenue headwinds tied to tightening U.S. export controls. Capital returns remained a standout story, with $799.08 million returned to shareholders in the quarter through buybacks and dividends. Looking ahead, KLA guided Q2 revenue of $3.23 billion and non-GAAP EPS of $8.70, signaling continued confidence in AI-driven semiconductor investment.

Key Takeaways
  • Double-digit year-over-year revenue and EPS growth
  • AI infrastructure buildout driving demand in foundry/logic, memory, and advanced packaging
  • Strong Semiconductor Process Control segment revenue growth
  • Service revenue growth from $644 million to $745 million year-over-year
  • Product revenue growth from $2.197 billion to $2.465 billion year-over-year

“KLA produced a strong all-around September quarter performance above the guidance midpoints. These results reflect double-digit year-over-year revenue and EPS growth, and KLA is on pace for solid relative revenue growth compared to our industry in calendar 2025.”

KLA CEO, on the earnings call

Forward Guidance & Outlook

For Q2 FY2026 (quarter ending December 2025), KLA guided total revenues of $3.225 billion +/- $150 million, GAAP gross margin of 60.8% +/- 1.0%, non-GAAP gross margin of 62.0% +/- 1.0%, GAAP diluted EPS of $8.46 +/- $0.78, and non-GAAP diluted EPS of $8.70 +/- $0.78. The company expects continued benefit from the AI infrastructure buildout driving demand in leading-edge foundry/logic, memory, and advanced packaging markets, and anticipates solid relative revenue growth compared to its industry in calendar 2025.

KLAC YoY Financials

Q1 2026 vs Q1 2025 · SEC filings Q1 2025 Q1 2026
$0$900.0M$1.8B$2.7B$2.8B$3.2BRevenue$1.7B$2.0BGross Profit$1.1B$1.3BOperating Income$945.9M$1.1BNet Income
$0$900.0M$1.8B$2.7BRevenueGross ProfitOperating IncomeNet Income

KLAC Revenue by Segment

Semiconductor Process Control$2.9B
PCB and Component Inspection$189.5M
Specialty Semiconductor Process$119.8M

Figures from SEC filings and company reports. Not investment advice.