02.19.18
Applied Materials, Inc. reported record revenue and operating profit in its first quarter ended Jan. 28, 2018.
Compared to the first quarter of fiscal 2017, Applied grew net sales by 28% to $4.20 billion. On a GAAP basis, the company increased gross margin by 1.6 points to 45.7%, and grew operating income by 48% to $1.20 billion or 28.4% of net sales. GAAP earnings per share (EPS) declined to $0.13 due to a one-time charge related to recent US tax legislation that reduced EPS by approximately $0.94.
On a non-GAAP adjusted basis, over the same period, the company increased gross margin by 1.3 points to 46.7%, grew operating income by 46% to $1.25 billion or 29.6% of net sales, and increased EPS by 58% to $1.06, which excludes the charge related to recent U.S. tax legislation.
The company increased cash flow from operations by 85% year over year to $1.47 billion and returned $888 million to shareholders through dividends of $106 million and $782 million in share repurchases.
“We see sustainable strength in our markets as large, powerful trends drive a fundamental shift in the demand for semiconductors and displays,” said Gary Dickerson, president and CEO. “Our broad portfolio of capabilities and products puts us in a great position to outperform our markets and we’re confident that each of our three major business segments can deliver strong double-digit growth in 2018.”
Compared to the first quarter of fiscal 2017, Applied grew net sales by 28% to $4.20 billion. On a GAAP basis, the company increased gross margin by 1.6 points to 45.7%, and grew operating income by 48% to $1.20 billion or 28.4% of net sales. GAAP earnings per share (EPS) declined to $0.13 due to a one-time charge related to recent US tax legislation that reduced EPS by approximately $0.94.
On a non-GAAP adjusted basis, over the same period, the company increased gross margin by 1.3 points to 46.7%, grew operating income by 46% to $1.25 billion or 29.6% of net sales, and increased EPS by 58% to $1.06, which excludes the charge related to recent U.S. tax legislation.
The company increased cash flow from operations by 85% year over year to $1.47 billion and returned $888 million to shareholders through dividends of $106 million and $782 million in share repurchases.
“We see sustainable strength in our markets as large, powerful trends drive a fundamental shift in the demand for semiconductors and displays,” said Gary Dickerson, president and CEO. “Our broad portfolio of capabilities and products puts us in a great position to outperform our markets and we’re confident that each of our three major business segments can deliver strong double-digit growth in 2018.”