Kla Corporation · NASDAQ:KLAC
Kla — Investor Day (March 2026)
42 slides from Kla's investor day presentation, Mar 12, 2026
Slide 1: Path to 2030 Target Model
Path to 2030 Target Model Bren Higgins, EVP, CFO and Global Operations March 12, 2026
Slide 2: Key Messages | Path to 2030 Target Model
Key Messages | Path to 2030 Target Model KLA is well positioned to drive sustainable outperformance uniquely benefiting 1 from accelerating equipment growth fueled by high performance compute (HPC) infrastructure and AI, which is driving increasing process control intensity The KLA Operating Model f
Slide 3: Significant Progress Since 2022 Investor Day
Significant Progress Since 2022 Investor Day WHERE WE WERE WHERE WE ARE WHERE WE ARE GOING 2022 Investor Day 2026 Investor Day 2030 Target Model ▪ Target revenue of $14B +/- 500M and ▪ Delivered strong relative growth; Will exceed $14B ▪ Targeting 13-17% revenue growth CAGR EPS of $38 +/- $1.50 by 2
Slide 4: Sustainable Revenue Growth
Sustainable Revenue Growth Key Characteristics of Target Revenue Mix ~$26B ▪ Structural growth accelerating due to semiconductor revenue growth with flat to rising wafer equipment intensity ▪ Leading edge process roadmap and growing design starts drive node progression in foundry / logic ▪ Large hig
Slide 5: Strong Track Record of Execution Drives EPS Compounding
Strong Track Record of Execution Drives EPS Compounding Gross Margin1 Operating Margin1 Diluted EPS1 FCF Margin1 62% 63% 60% 43% 44% $35.44 34% 28% 33% $25.28 23% $8.73 CY19 CY22 CY25 CY19 CY22 CY25 CY19 CY22 CY25 CY19 CY22 CY25 ▪ GM% ranked among leaders in ▪ Superior operating margin profile vs. ▪
Slide 6: Long Standing History of Financial Performance
Long Standing History of Financial Performance KLA vs. the SOX Index Over Last 10 Years Gross Margin1 Operating Margin1 FCF Margin1 86th 86th 86th Percentile Percentile Percentile Ranked Ranked Ranked #5 #5 #5 Non-GAAP Gross Margin % Non-GAAP Operating Margin % Free Cash Flow Margin % Captures a com
Slide 7: Strong Free Cash Flow Enables Optimized Capital Structure & Allocation
Strong Free Cash Flow Enables Optimized Capital Structure & Allocation Among Top 8% of the S&P 500 60% Free Cash Flow as a % of Revenue 50% KLA ranked 92nd percentile among 40% S&P 500 companies 30% 20% 10% 0% KLA Corp S&P 500 Companies -10% 7 KLA Non-Confidential | Unrestricted Source: Bloomberg as
Slide 8: Consistent Returns to Shareholders Across Both Share Repurchases & Dividends
Consistent Returns to Shareholders Across Both Share Repurchases & Dividends Share Repurchases - Last 5 Years1 Track Record of Dividend Increases Mar. 12, 2026 Mar. 12, 2026 9.20 Announced new $7 billion stock repurchase Announced 17th consecutive annual dividend increase, authorization to bring tot
Slide 9: 2030 Market
2030 Market 9 KLA Non-Confidential | Unrestricted
Slide 10: Semiconductor Growth is Accelerating
Semiconductor Growth is Accelerating AI Acceleration What is driving $M $1,500,000 Semi Revenue CY95 – CY10 CY11 – CY20 CY21 – CY30F growth? CAGR 4% 5% 9% - 11% ▪ AI HPC drives structural & $1,200,000 ASP growth Semiconductor Revenues ▪ Design mix broadening $900,000 ▪ Increased performance, cost an
Slide 11: The Market Segment Driving 2030 Growth Requires More Process Control
The Market Segment Driving 2030 Growth Requires More Process Control ~$1.3T - $1.5T 10% -12% —Industrial / Consumer / Other Automation, Robotics Semi Growth ▪ Semiconductor content growth Main Segments CY25 – CY30 CAGR —Automotive CAGR ▪ EV / HEV, Automation, Safety Server / Storage ~20% —Mobile Edg
Slide 12: Customer Semiconductor Revenue and Profitability at Record Levels
Customer Semiconductor Revenue and Profitability at Record Levels ($M) Top 5 Revenue ($M) Top 5 EBITDA % $1,000,000 2019 – 2025 CAGR: 11% $800,000 2019 – 2025 CAGR: 14% 100% $800,000 80% $600,000 $600,000 60% $400,000 $400,000 40% $200,000 $200,000 20% $0 $0 0% 2015 2016 2017 2018 2019 2020 2021 202
Slide 13: HPC / AI Era - KLA Uniquely Benefiting Across Segments
HPC / AI Era - KLA Uniquely Benefiting Across Segments Advanced Logic Memory Advanced Packaging ▪ More designs ▪ Increasing EUV layers ▪ Both memory & logic ▪ Leading edge process roadmap ▪ Increasing capacity needs ▪ Front end like processing ▪ Increasing capacity needs ▪ Larger chip sizes – capaci
Slide 14: Process Control Has Been One of the Fastest Growing Segments
Process Control Has Been One of the Fastest Growing Segments & HPC-Related Opportunities are Accelerating ($M) CAGRs Wafer Equipment vs. KLA Process Control PC ($M) $150,000 $10,000 Segment 18-25 19-25 20-25 Lithography 14% 16% 16% $120,000 $8,000 Process Control 13% 16% 16% Wafer Equipment KLA PC R
Slide 15: Advanced Packaging: Augmenting Traditional Wafer Fab Equipment Market
Advanced Packaging: Augmenting Traditional Wafer Fab Equipment Market $12,000 Segment Market Leaders 2023 – 2025 CAGR: 42% Lithography TEL, Suss, Canon, ASML $10,000 + Track Deposition AMAT, Lam, Naura, ASMP, KLA, Ulvac, Kokusai, Evatec Advanced Packaging $8,000 Etch and Clean LAM, Screen, AMEC, AMA
Slide 16: KLA Semi PC Share of Advanced Packaging
KLA Semi PC Share of Advanced Packaging 6.0% 5.6% 5.0% 4.0% 3.8% 3.0% 2.0% 2.0% 1.0% 1.0% 0.5% 0.6% 0.4% 0.4% KLA Packaging Intensity 0.0% 2018 2019 2020 2021 2022 2023 2024 2025 KLA Packaging Intensity = KLA Semi PC systems revenue in Advanced Packaging / Advanced Packaging Market 16 KLA Non-Confid
Slide 17: The KLA Operating Model Guides Our Strategy and Differentiation
The KLA Operating Model Guides Our Strategy and Differentiation COLLABORATE ▪ Work closely with customers in early process technology development ▪ Work closely with key suppliers' early technology development ▪ Work across KLA to reuse applicable technology INNOVATE ▪ Invest heavily in core technol
Slide 18: Technical Investments are Essential to Our Market Leadership
Technical Investments are Essential to Our Market Leadership R&D and Applications1 Support Investment 3,500 80% 70% 3,000 60% 2,500 50% 2,000 $M 40% 1,500 30% 1,000 20% 500 10% - 0% CY19 CY20 CY21 CY22 CY23 CY24 CY25 R&D Applications R&D + Applications % of Revenue R&D + Applications % of OpEx Inves
Slide 19: R&D Program Investment Scale Drives KLA Market Leadership
R&D Program Investment Scale Drives KLA Market Leadership Product Portfolio & Operating Model Uniquely Position KLA to Meet Customer Requirements 4.3x 2.3x 1.7x 1.4x 1.0x 1.0x # of Programs >$100M Avg Dev Spend per Program CY10-15 CY16-20 CY21-25 Investing in Innovation Across Portfolio to Meet Cust
Slide 20: KLA is a User and an Enabler of High-Performance Compute
KLA is a User and an Enabler of High-Performance Compute Transition / Benefits from CPU to GPU 2012 2015 2017 2018 TODAY NEXT Computer Vision Internal R&D Build First Utilized Across Optimized Task Force Kickoff AI Team AI Tool Portfolio Reasoning Image Computer GPU Benefit vs. CPU Baseline Data Rat
Slide 21: New Product Introduction is Fundamental to Our Market Leadership
New Product Introduction is Fundamental to Our Market Leadership 2018 2019 2020 2021 2022 2023 2024 2025 2026E Gen4 / Gen5 ⚫ ⚫ ⚫ ⚫ ⚫ ⚫ Inline Monitoring ⚫ ⚫ ⚫ ⚫ ⚫ ⚫ ⚫ Inspection Tool Monitoring ⚫ ⚫ ⚫ ⚫ ⚫ ⚫ ⚫ and Review Reticle Qualification ⚫ ⚫ ⚫ ⚫ ⚫ ⚫ ⚫ e-Beam Inspection and Review ⚫ ⚫ ⚫ ⚫ ⚫ ⚫ ⚫ ⚫
Slide 22: Execution
Execution 22 KLA Non-Confidential | Unrestricted
Slide 23: Product Gross Margin Improvement
Product Gross Margin Improvement Incremental GM% +1.3% Product Differentiation ▪ Uniquely solve critical customer problems ▪ Portfolio enables customers to optimize capability vs. Fab productivity ▪ Discipline in understanding customer ROI CY22-25 CY25-30E ▪ Share in value created Mfg. Expense as %
Slide 24: Service Gross Margin Improvement
Service Gross Margin Improvement Service Incremental GM% Increasing Value of Service 1.3x ▪ Increasing system complexity / performance 1.2x ▪ Higher value services improving customer cost of 1.0x ownership (CoO) ▪ Extending lifetime of install base ▪ Delivering scale on infrastructure investments to
Slide 25: Case Study | Strategic Supply Chain Management
Case Study | Strategic Supply Chain Management Component Types Parts Category Long-term strategic partnerships Optics ▪ Decades-long relationships with >95% of key suppliers Low volume, sole sourced highly Sensors under contract complex components Lasers ▪ Engineering and supply chain closely integr
Slide 26: Bending the SG&A Curve and Driving R&D Efficiency
Bending the SG&A Curve and Driving R&D Efficiency OpEx Spend as a % of Revenue 3,000 15.5% 2,500 14.4% 13.1% 12.2% R&D 11.9% 12.1% 11.7% Driving productivity through growth 2,000 11.3% 11.0% 10.5% scale, platform extendibility and AI 8.9% 9.2% 8.7% $M 1,500 8.2% 8.0% SG&A 7.0% Gaining efficiencies w
Slide 27: Case Study | Pace of Customer Process Innovation and Scale
Case Study | Pace of Customer Process Innovation and Scale Enables Platform Extendibility and Lower R&D Intensity Revenue R&D % of Revenue ROI 3.3x 1x 1.8x 0.9x 0.7x 1.2x 1x 1.4x 1x CY11-15 CY16-20 CY21-25 CY11-15 CY16-20 CY21-25 CY11-15 CY16-20 CY21-25 ~30% R&D Intensity Decrease Drives Near 2X Ret
Slide 28: Case Study | BBP Gen5 Platform Meets Customer Process Technology Requirements
Case Study | BBP Gen5 Platform Meets Customer Process Technology Requirements while Enabling KLA R&D Efficiency R&D Investment System Revenue Pre-Revenue Investment CY11 CY12 CY13 CY14 CY15 CY16 CY17 CY18 CY19 CY20 CY21 CY22 CY23 CY24 CY25 CY11 CY12 CY13 CY14 CY15 CY16 CY17 CY18 CY19 CY20 CY21 CY22
Slide 29: Case Study | Laser Scanning Platform Meets Customer Process Technology Requirements
Case Study | Laser Scanning Platform Meets Customer Process Technology Requirements while Enabling KLA R&D Efficiency R&D Investment System Revenue Pre-Revenue Investment CY11 CY12 CY13 CY14 CY15 CY16 CY17 CY18 CY19 CY20 CY21 CY22 CY23 CY24 CY25 CY11 CY12 CY13 CY14 CY15 CY16 CY17 CY18 CY19 CY20 CY21
Slide 30: Case Study | Leveraging Front End Platform & R&D Investment for Advanced Packaging
Case Study |Leveraging Front End Platform & R&D Investment for Advanced Packaging R&D Investment Macro Inspection Revenue CY16 CY17 CY18 CY19 CY20 CY21 CY22 CY23 CY24 CY25 CY16 CY17 CY18 CY19 CY20 CY21 CY22 CY23 CY24 CY25 Front-End R&D Packaging R&D Packaging Revenue Front-End Revenue Lower Incremen
Slide 31: Committed to Leveraging AI Across KLA
Committed to Leveraging AI Across KLA Machine Accelerating Intelligent Learning To Access To Process Accelerate Data Automation Decision Making Increasing Automation Leveraging AI to Drive Productivity, Employee Experience and Optimize Decision Making 31 KLA Non-Confidential | Unrestricted
Slide 32: AI Implementation in Business Operations Impacts Use Cases
AI Implementation in Business Operations Impacts Use Cases Inventory & Supply Chain Optimization Contract Management Non-Conformance Writing Assistant IT Help Desk Automation HR Assistant Training Assistant Cyber Insider Threat OpEx & Parts Expense Forecasting Anomaly Detections Procure to Pay Autom
Slide 33: 2030 Target Model
2030 Target Model 33 KLA Non-Confidential | Unrestricted
Slide 34: Wafer Equipment Intensity Remains Elevated Due to Leading-Edge Roadmap and HPC Demand
Wafer Equipment Intensity Remains Elevated Due to Leading-Edge Roadmap and HPC Demand 25 – 30 CAGR: ~12% at midpoint Wafer Equipment Intensity: ~15% $215B +/- $20B ($M) $250,000 18% Drivers of Wafer Equipment 16% Intensity $200,000 ▪ AI accelerating growth 14% Wafer Equipment Intensity ▪ Pace of tec
Slide 35: KLA Semi PC Share of Wafer Equipment: WFE + Advanced Packaging
KLA Semi PC Share of Wafer Equipment: WFE + Advanced Packaging 10% ~9.0% +/- 25 bps 9% 2025 – 2030E Wafer Equipment Intensity >150bps 8% 2021 – 2025 7% >150bps 2018 – 2021 6% >50bps KLA PC Intensity 5% 4% // 2018 2019 2020 2021 2022 2023 2024 2025 2030E KLA PC Intensity = KLA Semi PC systems revenue
Slide 36: Long-Term Target Revenue Growth Model Update
Long-Term Target Revenue Growth Model Update 2030E Model (from 3/12/26) Growth Drivers 2026E Model Industry Growth ~1% (presented 6/16/22) ▪ Accelerating High Performance Compute ▪ Diversification of end markets ~1% - 3% ▪ Flat to rising capital intensity Intensity Improvement / Share Gain ▪ > 60% f
Slide 37: KLA 2030 Target Model | Driving Sustainable Outperformance
KLA 2030 Target Model | Driving Sustainable Outperformance (14.0%CAGR) ~$2.7B (~14% CAGR) ~$26B+ (~15% (15.4%CAGR) CAGR) (Semi PC ~16.5% CAGR) ~$10.6B (~16% (15.8%CAGR) CAGR) $12.7B CY25 Systems Services CY30E Mid-Teens Revenue CAGR from Systems and Services from 2025 to 2030E 37 KLA Non-Confidentia
Slide 38: Consistent and Disciplined Capital Allocation Supports Target Model
Consistent and Disciplined Capital Allocation Supports Target Model Primary Capital Priorities 2022-2025 2026-2030E ▪ Fund investments to support collaboration and 7% innovation model 11% ▪ Invest in working capital to support customers 12% 10% and business execution 18% ▪ CapEx to support growth 19
Slide 39: Investment Grade Balance Sheet Supports Required Investments & Capital Allocation
Investment Grade Balance Sheet Supports Required Investments & Capital Allocation Long Term Balance Sheet Summary1 ($B) Target Range Capital Allocation Announcements Total Cash2 $5.2 $4B - $5B Revolver $1.5 Share Repurchases ▪ Announced $7B Additional Share Repurchased Authorization Working Capital
Slide 40: KLA 2030 Target Model Financial Framework
KLA 2030 Target Model Financial Framework Macro Assumptions 2026 2030 Ongoing Financial ▪ CY25-CY30E semiconductor industry Target Model Target Model Framework CAGR of ~11% ▪ Wafer Equipment grows ~1 pt. faster Revenue $14B +/- $500M $26B +/- $2.5B ~13% - 17% CAGR than Semi to $215B +/- $20B ▪ ~60%
Slide 41: Key Takeaways
Key Takeaways 1 2 3 4 KLA is a best-in-class KLA’s strong customer KLA’s operating model and 2030 target model builds outperformer uniquely intimacy and commitment focus on execution ensure on credible history of positioned for continued to collaboration, continuous improvement execution. Drives rel
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