Semiconductor equipment vendor KLA late Wednesday handily beat Wall Street's targets for its fiscal fourth quarter and with its guidance for the current period. KLAC stock rose in extended trading.
The Milpitas, Calif.-based company earned an adjusted $6.60 a share on sales of $2.57 billion in the quarter ended June 30. Analysts polled by FactSet had expected KLA earnings of $6.15 per share on sales of $2.52 billion. On a year-over-year basis, KLA earnings increased 22% while sales climbed 9%.
For the current quarter, KLA predicted adjusted earnings of $7 a share on sales of $2.75 billion. That's based on the midpoint of its outlook. Wall Street was modeling earnings of $6.51 a share on sales of $2.62 billion in the fiscal first quarter ending in September. In the year-earlier period, KLA earned an adjusted $5.74 a share on sales of $2.4 billion.
KLA makes process control and yield management systems for the semiconductor and related nanoelectronics industries.
KLAC Stock Rises After Report
In after-hours trading on the stock market today, KLAC stock advanced 3.2% to 780. During the regular session Wednesday, KLAC stock fell 6.4% to close at 755.77.
Tech stocks broadly sold off Wednesday after disappointing quarterly reports from Alphabet and Tesla.
"KLA's June-quarter results exceeded expectations, including revenue, gross margin and EPS, which were all above their respective guidance midpoints, demonstrating the enduring power and differentiation of the KLA portfolio," Chief Executive Rick Wallace said in a news release.
He added, "We are encouraged by the early signs of a strengthening market environment for our customers at the leading edge and are increasingly confident in our plan for steady improvement throughout the remainder of this calendar year and into 2025."
KLAC stock is on two IBD lists: Long-Term Leaders and Tech Leaders.
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