Lam Research's March quarter revenue of $5.84B beats estimates, driven by AI demand.

Lam Research reported record revenue of $5.84 billion and non-GAAP EPS of $1.47 for its third fiscal quarter, beating analyst estimates. Revenue grew 9% sequentially, while non-GAAP operating margins expanded 70 basis points to 35.0%, driven by strong demand for semiconductor manufacturing systems.

Key Highlights

• Non-GAAP gross margin was 49.9%, expanding 20 basis points from the prior quarter and exceeding concerns of potential compression.
• Revenue from systems grew 11% sequentially to $3.73 billion, outpacing the 6% growth in customer support revenue.
• Management provided strong guidance for the June quarter, forecasting revenue of approximately $6.60 billion and non-GAAP EPS of $1.65.