KLA Corporation 8-K

PositiveEarningsNew guidance

AI-driven demand for leading-edge chips and advanced packaging fuels process-control growth; Q2 revenue guided to $4.5B–$4.9B

Filed 2026-10-28 16:07 ET

Summary

Q1 FY2027 results and Q2 guidance. Revenue was above the midpoint of the company’s guidance range, and GAAP and non-GAAP diluted EPS were above their respective guidance midpoints. KLA said growth reflects process-control demand from AI-related semiconductor manufacturing inflections, including leading-edge foundry and logic, more complex memory, and advanced packaging; its process, printed circuit board and component inspection businesses also benefit from high-performance computing transitions.

Key Figures

Metric Q1 FY2027
Revenue $4.14B, +28.9% Y/Y
Net income, GAAP $1.55B, +38.1% Y/Y
Net income, non-GAAP $1.60B, +37.3% Y/Y
Diluted EPS, GAAP $1.18, +38.8% Y/Y
Diluted EPS, non-GAAP $1.22, +38.6% Y/Y
Operating cash flow $1.53B, +31.8% Y/Y
Free cash flow $1.34B, +25.4% Y/Y
  • Semiconductor Process Control revenue rose 29.5% Y/Y to $3.75B; Specialty Semiconductor Process revenue rose 16.5% to $139M, and PCB and Component Inspection revenue rose 27.8% to $242M.
  • Quarterly capital returns totaled $1.24B: $936M in share repurchases and $305M in dividends. Weighted-average diluted shares were 1.311B, down 1.0% Y/Y.
  • Over the last 12 months, operating cash flow was $4.51B and free cash flow was $4.04B; capital returns were $3.79B, vs $3.09B in the prior-year period.

Against earlier guidance

Metric Period Earlier guidance Actual
Revenue Q1 FY2027 $3.8B-$4.2B $4.14B
Compared with the earlier filings (derived)
MetricPeriodEarlier guidanceActualResult
RevenueQ1 FY2027$3.8B-$4.2B$4.14Bin line
Diluted EPS, GAAPQ1 FY2027$1.04-$1.24$1.18in line
Diluted EPS, non-GAAPQ1 FY2027$1.06-$1.26$1.22in line

Guidance

Metric Period Guidance Prior Direction
Revenue Q2 FY2027 $4.5B-$4.9B — —
Gross margin, GAAP Q2 FY2027 60.8%-62.8% — —
Gross margin, non-GAAP Q2 FY2027 61.5%-63.5% — —
Diluted EPS, GAAP Q2 FY2027 $1.30-$1.52 — —
Diluted EPS, non-GAAP Q2 FY2027 $1.33-$1.55 — —

Investor Takeaways

  • Q2 FY2027 revenue and gross margin versus the guided ranges will indicate whether the reported acceleration carries into the December quarter.
  • Whether Semiconductor Process Control sustains growth from its 29.5% Y/Y revenue increase will help show if demand from leading-edge designs, memory complexity and advanced packaging continues.

Was this summary useful?

The summary is written by an AI model reading the filing.

Model 005 · prompt v111 · 2026-10-28 22:39:20Z

Feedback