Kla Corporation · NASDAQ:KLAC
Kla — Investor Day (March 2026)
34 slides from Kla's investor day presentation, Mar 12, 2026
Slide 1: Compounding Sustainable Outperformance
Compounding Sustainable Outperformance Rick Wallace, President & CEO March 12, 2026
Slide 2: Today’s Key Themes
Today’s Key Themes Uniquely positioned for growth as technology 1 complexity and AI increases Deep customer relationships and our KLA Operating 2 Model driving sustainable outperformance Best-in-class technology compounder strategically 3 building on a strong track record of value creation 2 KLA Non
Slide 3: Agenda
Agenda 1 Who we are 2 Semiconductor landscape 3 Role of process control 4 KLA’s offerings 5 Measuring success 3 KLA Non-Confidential | Unrestricted
Slide 4: KLA at a Glance
KLA at a Glance Global Technology Leader Founded in Headquarters in Providing advanced 1976 Milpitas, CA inspection tools, metrology systems, process solutions and data analytics for manufacturing ~16,500 $12.74B semiconductors Employees CY2025 Revenue 4 KLA Non-Confidential | Unrestricted
Slide 5: Strong Leadership Team Driving Outperformance Leveraging the KLA Operating Model
Strong Leadership Team Driving Outperformance Leveraging the KLA Operating Model Rick Wallace Bren Higgins Ahmad Khan Brian Lorig President and EVP, Chief Financial Officer President, Semiconductor EVP, Chief Executive Officer & Global Operations Products & Customers KLA Global Services Joined: 1988
Slide 6: The Semiconductor Industry Hierarchy
The Semiconductor Industry Hierarchy Electronics + AI Data Centers Semiconductor Revenue Fabs + Equipment Equipment Front End & Packaging Process Control Inspection & Metrology 6 KLA Non-Confidential | Unrestricted
Slide 7: Agenda
Agenda 1 Who we are 2 Semiconductor landscape 3 Role of process control 4 KLA’s offerings 5 Measuring success 7 KLA Non-Confidential | Unrestricted
Slide 8: Semiconductor Growth Driven by Evolving End Markets
Semiconductor Growth Driven by Evolving End Markets More Players Designing Semiconductors $900 AI Acceleration $800 Semiconductor Revenue ($B) Ecosystems Driving Leading-Edge Growth $700 $600 Cloud & $500 Hyperscalers $400 Mobile & $300 Networking & Smartphone $200 Personal Internet Computing $100 $
Slide 9: GPUs in the AI Data Center – KLA Example 2021
GPUs in the AI Data Center – KLA Example 2021 Last Generation Processor CPU based Algos Historical Code change Baseline Cost 1x Power 1x Switching Costs to GPU-Based Server Relatively High – Far Superior New Platform 9 KLA Non-Confidential | Unrestricted
Slide 10: GPUs in the AI Data Center – KLA Example 2021
GPUs in the AI Data Center – KLA Example 2021 Last New Generation Generation (Option 1) Processor CPU based CPU based Algos Historical Historical Code change Baseline Minimal Cost 1x 1.8x Power 1x 1.5x Switching Costs to GPU-Based Server Relatively High – Far Superior New Platform 10 KLA Non-Confide
Slide 11: GPUs in the AI Data Center – KLA Example 2021
GPUs in the AI Data Center – KLA Example 2021 Last New Generation New Generation Generation (Option 1) (Option 2) Processor CPU based CPU based GPU Based Algos Historical Historical New / Much Better Code Baseline Minimal Major change Cost 1x 1.8x 1.2x Power 1x 1.5x .7x Switching Costs to GPU-Based
Slide 12: The Unique Challenges of HPC / AI
The Unique Challenges of HPC / AI Logic Size & Memory Advanced Complexity Packaging If KLA Could Design a Market – This Would Be It 12 KLA Non-Confidential | Unrestricted
Slide 13: AI is the Primary Driver Behind More Designs by More Players
AI is the Primary Driver Behind More Designs by More Players Drivers for “Custom Silicon” ▪ PC / smartphone optimization ▪ Cloud compute optimization ▪ Silicon “systems” for AI ▪ Silicon “systems” for Gen AI 28nm 20nm 16nm 10nm 7nm 5nm 3nm 2nm Design Starts Sources: KLA Analysis, TechInsights Mar 26
Slide 14: Agenda
Agenda 1 Who we are 2 Semiconductor landscape 3 Role of process control 4 KLA’s offerings 5 Measuring success 14 KLA Non-Confidential | Unrestricted
Slide 15: KLA – Inspection & Metrology for 50 Years
KLA – Inspection & Metrology for 50 Years We Originally Thought it was About Finding Defects and Making Measurements – It’s Not Inspection Metrology Find Critical Defects Measure Critical Parameters Learning faster is the only sustainable competitive advantage in semiconductor manufacturing You can’
Slide 16: Defects and Variations Occur Throughout the Process
Defects and Variations Occur Throughout the Process Sources of Defects Variations 1. Wafer Manufacturing 1. Film Thickness Variations 2. Reticle Manufacturing 3. Starting Materials 2. Critical Dimension Variations 4. Particles 5. Lithography Process 3. Overlay Errors 6. Etch Process 4. Line Edge Rou
Slide 17: The Role of Sampling in Intensity
The Role of Sampling in Intensity Decisions of Where and How Much to Measure and Inspect Drive Intensity Wafers Wafer PHOTO - Repeat REPEAT Wafers Deposition Lithography LITHOGRAPHY Etch CMP PROCESS Packaging Quality Process Photomasks Reticle LITHOGRAPHY Reticles Quality QUALITY 17 KLA Non-Confiden
Slide 18: Complexity & Economics Drive Process Control Intensity
Complexity & Economics Drive Process Control Intensity 100.00% $100.0 $90.0 ▪ Technology transitions 80.00% $80.0 ▪ Shrinking process windows $70.0 ▪ More process steps ▪ More process flows Wafer Equipment $ 60.00% $60.0 PC Intensity % ▪ Increased # of designs $50.0 ▪ Larger chips 40.00% $40.0 ▪ Les
Slide 19: Agenda
Agenda 1 Who we are 2 Semiconductor landscape 3 Role of process control 4 KLA’s offerings 5 Measuring success 19 KLA Non-Confidential | Unrestricted
Slide 20: There is a KLA System for Each Inspection & Measurement Need
There is a KLA System for Each Inspection & Measurement Need higher Inspection Offerings Measurement Offerings e-Beam ▪ Overlay ▪ Wafer Shape ▪ Films ▪ Reticle Pattern BBP ▪ Dimension ▪ In Situ Process Sensitivity Laser Scanning Current layer Overlay error Macro Bare Wafer Previous layer lower Top-d
Slide 21: KLA Services Enhance Life of Investment for Customers
KLA Services Enhance Life of Investment for Customers High Mix, High Complexity Drives Valuable Services Offerings 70000 Installed Base 60000 50000 ▪ Ramp management 40000 ▪ Lifecycle management ▪ Predictive maintenance 30000 ▪ Training ▪ Software applications 20000 ▪ Fab optimization & relocation ▪
Slide 22: Agenda
Agenda 1 Who we are 2 Semiconductor landscape 3 Role of process control 4 KLA’s offerings 5 Measuring success 22 KLA Non-Confidential | Unrestricted
Slide 23: The KLA Operating Model Guides Our Strategy and Differentiation
The KLA Operating Model Guides Our Strategy and Differentiation KLA Operating Model at Work ▪ Common language across multiple divisions ▪ BKMs implemented across acquired companies ▪ Operational rigor to prioritize performance ▪ Scorecard measurement against progress Scorecard Example by Business Gr
Slide 24: Driving Process Control Intensity
Driving Process Control Intensity ($M) Wafer Equipment vs. KLA Process Control ($M) $150,000 $10,000 Segment 19-25 CAGR $120,000 $8,000 Lithography 16% Process Control 16% KLA PC Revenue Wafer Equipment $90,000 $6,000 Deposition 15% $60,000 $4,000 Etch 10% Other Equipment 12% $30,000 $2,000 Wafer Eq
Slide 25: Technical Investments are Essential to Our Portfolio Strategy
Technical Investments are Essential to Our Portfolio Strategy R&D Investment1 1,600 1,400 1,200 1,000 $M 800 600 400 200 - CY19 CY20 CY21 CY22 CY23 CY24 CY25 Consistent Investment in R&D Drives Our Differentiated Portfolio Advantage 25 KLA Non-Confidential | Unrestricted 1 Numbers reflected are non-
Slide 26: Driving Market Leadership Through Technology Investment
Driving Market Leadership Through Technology Investment Illumination Sources broadband plasmas, lasers, LEDs, X-rays, electron beams Optics objectives, lenses, mirrors, polarizers, filters for DUV/UV/Vis/IR light, X-rays, electron-beams Sensors image sensors, photo multiplier tubes, CMOS sensors, ca
Slide 27: Long-Term Innovation Roadmaps Critical for Competitive Advantage
Long-Term Innovation Roadmaps Critical for Competitive Advantage 2020 23xx 29xx 39xx Off-the-shelf objective First broadband UV 0.9 NA Broadband DUV objective SR-DUV objective, 300kg microscope objective in history 1984 1999 2005 2016 480 – 700nm 360 – 700nm 260 – 450nm 190 – 260nm 27 KLA Non-Confid
Slide 28: Market Leadership Over Time
Market Leadership Over Time #1 Market Position is Driven by Technology Differentiation and Strength in Execution Process Control Market Share 60% KLA 50% 40% 56.5% 30% KLA Share in 2024 20% ▪ Up 2% from 2021 Comp A 10% Comp B Comp C ▪ 6.5x nearest competitor Comp D Comp E 0% 2010 2012 2014 2016 2018
Slide 29: Services Revenue Continuous Growth as Installed Base Expands
Services Revenue Continuous Growth as Installed Base Expands 3.50 Service Revenue ($B) 3.00 2.50 2.00 1.50 1.00 0.50 0.00 CY00 CY01 CY02 CY03 CY04 CY05 CY06 CY07 CY08 CY09 CY10 CY11 CY12 CY13 CY14 CY15 CY16 CY17 CY18 CY19 CY20 CY21 CY22 CY23 CY24 CY25 29 KLA Non-Confidential | Unrestricted Note: cal
Slide 30: Relentless Focus on Financial Performance
Relentless Focus on Financial Performance Product Differentiation Operational Excellence Measured by Gross Margin1 Measured by Operating Margin1 KLA Semi Cap Peers2 KLA Semi Cap Peers2 Collaboration, Innovation and Execution Drive KLA’s Differentiation and Industry-Leading Margins Source: Bloomberg;
Slide 31: KLA Focuses on Finding and Keeping Great Talent
KLA Focuses on Finding and Keeping Great Talent Attracting Engaging Retaining ▪ World class technology ▪ Strong culture ▪ Competitive compensation ▪ Global leadership ▪ World class problems ▪ Promote from within ▪ Critical industry ▪ Continuous learning opportunities ▪ Pride in being part of KLA 31
Slide 32: The Industry has Changed Since our 2019 & 2022 Investor Days
The Industry has Changed Since our 2019 & 2022 Investor Days Where We Are Now AI is driving the Process Control enables KLA will be successful semiconductor industry the advances needed for regardless of who wins and enabling KLA the AI buildout the rest of the AI stack 32 KLA Non-Confidential | Unr
Slide 33: 2030 Model Assumptions
2030 Model Assumptions Semi Market ~11% CAGR CY25-CY30 Capital Intensity Equipment growth slightly > Semi to $215B +/- $20B Process Control Market Growth > Wafer Equipment Growth at leading edge of core WFE KLA Share Advanced packaging augments growth Services Growth at 13-15% 33 KLA Non-Confidentia
Slide 34: Keep Looking Ahead
Keep Looking Ahead $26B Sustainable outperformance +/- $2.5B driven by KLA Operating Model Target 2030 Revenue 2030 Target Model powered by collaboration, innovation and execution $84 Optimizing total shareholder +/- $8.00 return with a focus on assertive Target 2030 capital allocation Diluted EPS*