11.20.17
Applied Materials, Inc. reported record results in its fourth quarter and fiscal year ended Oct. 29, 2017.
Compared to the fourth quarter of fiscal 2016, Applied grew net sales by 20% to $3.97 billion. On a GAAP basis, the company reported gross margin of 45.0%; operating income of $1.10 billion; and earnings per share (EPS) of $0.91. On a non-GAAP adjusted basis, year over year, the company increased gross margin by 2.5 points to 46.2%, grew operating income by 37% to $1.14 billion or 28.7% of net sales, and increased EPS by 41% to $0.93.
In fiscal 2017, Applied grew net sales by 34% to $14.54 billion. On a GAAP basis, the company recorded gross margin of 44.9%, operating income of $3.87 billion, and EPS of $3.17. On a non-GAAP adjusted basis, year over year, the company increased gross margin by 2.9 points to 46.1%, grew operating income by 73% to $4.05 billion or 27.9% of net sales, and increased EPS by 86% to $3.25.
The company generated $3.61 billion in cash from operations, paid dividends of $430 million and used $1.17 billion to repurchase 28 million shares of common stock at an average price of $42.08.
“Fiscal 2017 was a record-breaking year for the company.We have great momentum and we’re confident that in 2018 we can deliver strong double-digit growth across our semiconductor, display and service businesses,” said Gary Dickerson, president and CEO.“This is the most exciting time in the history of the electronics industry. AI will transform entire industries over the coming years, creating trillions of dollars of economic value, and Applied is uniquely positioned to deliver the innovative materials needed to enable next-generation memory and high-performance computing.”
In the first quarter of fiscal 2018, Applied expects net sales to be in the range of $4.00 billion to $4.20 billion; the midpoint of the range would be an increase of approximately 25%, year over year. Non-GAAP adjusted diluted EPS is expected to be in the range of $0.94 to $1.02; the midpoint of the range would be an increase of approximately 46%, year over year.
Compared to the fourth quarter of fiscal 2016, Applied grew net sales by 20% to $3.97 billion. On a GAAP basis, the company reported gross margin of 45.0%; operating income of $1.10 billion; and earnings per share (EPS) of $0.91. On a non-GAAP adjusted basis, year over year, the company increased gross margin by 2.5 points to 46.2%, grew operating income by 37% to $1.14 billion or 28.7% of net sales, and increased EPS by 41% to $0.93.
In fiscal 2017, Applied grew net sales by 34% to $14.54 billion. On a GAAP basis, the company recorded gross margin of 44.9%, operating income of $3.87 billion, and EPS of $3.17. On a non-GAAP adjusted basis, year over year, the company increased gross margin by 2.9 points to 46.1%, grew operating income by 73% to $4.05 billion or 27.9% of net sales, and increased EPS by 86% to $3.25.
The company generated $3.61 billion in cash from operations, paid dividends of $430 million and used $1.17 billion to repurchase 28 million shares of common stock at an average price of $42.08.
“Fiscal 2017 was a record-breaking year for the company.We have great momentum and we’re confident that in 2018 we can deliver strong double-digit growth across our semiconductor, display and service businesses,” said Gary Dickerson, president and CEO.“This is the most exciting time in the history of the electronics industry. AI will transform entire industries over the coming years, creating trillions of dollars of economic value, and Applied is uniquely positioned to deliver the innovative materials needed to enable next-generation memory and high-performance computing.”
In the first quarter of fiscal 2018, Applied expects net sales to be in the range of $4.00 billion to $4.20 billion; the midpoint of the range would be an increase of approximately 25%, year over year. Non-GAAP adjusted diluted EPS is expected to be in the range of $0.94 to $1.02; the midpoint of the range would be an increase of approximately 46%, year over year.
