Slide 1: Lam Research Corporation December quarter 2024 financial results
Lam Research Corporation December quarter 2024 financial results January 29, 2025
Slide 2: Cautionary statement regarding forward-looking statements
Cautionary statement regarding forward-looking statements This presentation and the accompanying discussion contain “forward-looking statements” under U.S. securities laws. Forward-looking statements include any statements that are not statements of historical fact. Examples of forward-looking state
Slide 3: A global leader in wafer fabrication equipment and services since 1980
$16.2B $2.0B ~18,300 REVENUE* R&D* EMPLOYEES As of Decem ber 29, 2024 14 PRIMARY LOCATIONS + Fremont, CA + Livermore, CA + Sherwood, OR + Tualatin, OR + Springfield, OH + Yongin, Korea + Eaton, OH + Hsinchu City, Taiwan + Villach, Austria + Taoyuan City, Taiwan + Hwaseong-si, Korea + Bengaluru, Indi
Slide 4: Business review & industry outlook
Business review & industry outlook Tim Archer President and Chief Executive Officer LAM RESEARCH
Slide 5: Solid performance in CY 2024
Solid performance December quarter revenue, in CY 2024 profitability* metrics and EPS* above guidance midpoints GROWING INSTALLED BASE UNITS ~96,000 ~90,000 ~84,000 CY 2024 WFE in mid- ~75,000 ~66,000 $90Bs range, in line with our prior guidance Record CY 2024 system revenues in both DRAM and 2020 2
Slide 6: Lam & WFE outlook
Lam & WFE outlook Benefitting from technology inflections in DRAM and Foundry/Logic, as well as upgrade-focused NAND environment + Lam’s shipments to GAA nodes and advanced packaging combined expected to be over $3B in WFE to rise slightly CY 2025 in CY 2025 to + Lam Cryo 3.0 delivering best-in-clas
Slide 7: Strategic investments in R&D, scaling & innovation process transformation
Strategic investments in R&D, scaling & innovation process transformation Semiverse Solutions CSBG Asia operations Innovating with Equipment Differentiating beyond Improving responsiveness Intelligence® solutions and in-fab process technology and profitability automation LAM RESEARCH CSBG = Customer
Slide 8: Lam is in a strong position entering 2025
Lam is in a strong position entering 2025 Deposition & etch are increasingly vital to semiconductor manufacturing LAM RESEARCH
Slide 9: December quarter 2024 financial results & March quarter 2025 outlook
December quarter 2024 financial results & March quarter 2025 outlook Doug Bettinger Executive Vice President and Chief Financial Officer LAM RESEARCH
Slide 10: Calendar year highlights
Calendar year highlights CY 2024 REVENUE $16.2B CY 2023 revenue: $14.3B CY 2024 EARNINGS PER SHARE* $3.36 CY 2023 earnings per share*: $2.73 LAM RESEARCH *Data is presented on a non-GAAP and post-split basis. Reconciliations of U.S. GAAP results to non-GAAP results can be found at the end of this pr
Slide 11: December quarter highlights
December quarter highlights QDEC'24 REVENUE $4.38B QSep'24 revenue: $4.17B QDEC'24 EARNINGS PER SHARE* $0.91 QSep'24 earnings per share*: $0.86 LAM RESEARCH *Data is presented on a non-GAAP and post-split basis. Reconciliations of U.S. GAAP results to non-GAAP results can be found at the end of this
Slide 12: December quarter revenue mix
December quarter revenue mix SYSTEM REVENUE SEGMENTS* REVENUE BY REGION US Japan Logic/other 9% 15% 8% NVM SEA 24% 7% Taiwan Europe 17% 3% Memory 50% Foundry 35% China 31% DRAM Korea 26% 25% NVM = Non-volatile memory LAM RESEARCH *Systems revenue includes equipment and equipment upgrade sales from e
Slide 13: Customer Support Business Group
Customer Support Business Group QDEC'24 CSBG REVENUE $1.75B QSep'24 CSBG revenue: $1.78B QDec'23 CSBG revenue: $1.46B LAM RESEARCH
Slide 14: December quarter financial results
December quarter financial results QDEC'24 QSEP'24 Revenue $4,376M $4,168M Non-GAAP Gross Margin* 47.5% 48.2% Non-GAAP Operating Expenses* $735M $722M Non-GAAP Operating Income* $1,343M $1,287M Non-GAAP Operating Income as a percentage of Revenue* 30.7% 30.9% Non-GAAP Other Income (Expense), Net* $1
Slide 15: Key balance sheet and financial metrics
Key balance sheet and financial metrics QDEC'24 QSEP'24 Total Consolidated Gross Cash Balance $5,677M $6,072M Account Receivables, Net $3,305M $2,937M Days sales outstanding 69 Days 64 Days Inventories $4,358M $4,210M Inventory Turns 2.1 2.1 Deferred Revenue* $2,032M $2,047M Capital Expenditures $18
Slide 16: March 2025 quarter guidance
$4.65B +/- $300M Revenue 48.0% +/- 1% March 2025 Non-GAAP gross margin* quarter guidance 32.0% +/- 1% Non-GAAP operating margin* $1.00 +/- $0.10 Non-GAAP earnings per share* A reconciliation of U.S. GAAP projected results to non-GAAP projected results can be found at the end of this presentation. LA
Slide 17: Q&A
Q&A LAM RESEARCH
Slide 18: Appendix – reconciliation
Appendix – reconciliation Reconciliation of U.S. GAAP Net Income to Non-GAAP Net Income (in thousands, except per share data) (unaudited) Three Months Ended December 29, September 29, 2024 2024 U.S. GAAP net income $ 1,191,018 $ 1,116,444 Pre-tax non-GAAP items: Amortization related to intangible as
Slide 19: Appendix – reconciliation
Appendix – reconciliation Reconciliation of U.S. GAAP Net Income to Non-GAAP Net Income (in thousands, except per share data) (unaudited) Twelve Months Ended December 29, December 24, 2024 2023 U.S. GAAP net income $ 4,293,570 $ 3,458,209 Pre-tax non-GAAP items: Amortization related to intangible as
Slide 20: Appendix – reconciliation
Appendix – reconciliation 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 December 29, September 29, 2024 2024 U.S. GAAP gross margin
Slide 21: Appendix – reconciliation
Appendix – reconciliation 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) Twelve Months Ended December 29, December 24, 2024 2023 U.S. GAAP gross margin
Slide 22: Appendix – reconciliation
Appendix – reconciliation Reconciliation of U.S. GAAP Other Income (Expense), Net to Non-GAAP Other Income (Expense), Net (in thousands) (unaudited) Three Months Ended December 29, September 29, 2024 2024 U.S. GAAP Other income (expense), net $ 14,262 $ 30,081 Pre-tax non-GAAP items: Amortization of
Slide 23: Appendix – reconciliation
Appendix – reconciliation Calculation of Free Cash Flows (in thousands) (unaudited) Twelve Months Ended December 29, 2024 U.S. GAAP net cash provided by operating activities $ 4,557,679 U.S. GAAP cash used for capital expenditures and intangible assets (503,339) Total free cash flow $ 4,054,340 LAM
Slide 24: Appendix – reconciliation
Appendix – reconciliation Reconciliation of U.S. GAAP Income Tax Rate to Non-GAAP Income Tax Rate (in thousands, except percentages) (unaudited) Three Months Ended December 29, September 29, 2024 2024 U.S. GAAP income before income taxes $ 1,348,146 $ 1,294,278 U.S. GAAP income tax expense $ 157,128
Slide 25: Appendix – reconciliation
Appendix – reconciliation Reconciliation of U.S. GAAP to Non-GAAP Guidance for the quarter ended March 30, 2025 U.S. GAAP Reconciling Items Non-GAAP Revenue $4.65 Billion +/- $300 Million — $4.65 Billion +/- $300 Million Gross margin as a percentage of revenue 47.9% +/- 1% $ 2.8 Million 48.0% +/- 1%
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