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KLA Corp stock rises as Q1 earnings top estimates, outlook strong

Published 10/31/2024, 04:32 AM
Updated 10/31/2024, 04:34 AM
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Investing.com -- KLA Corporation (NASDAQ:KLAC) reported first quarter fiscal 2025 results that exceeded analyst expectations, with the semiconductor equipment maker also providing an upbeat outlook that sent its shares higher in after-hours trading.

KLA posted adjusted earnings per share of $7.33 for the quarter ended September 30, beating the analyst consensus of $7.04. Revenue came in at $2.84 billion, above estimates of $2.75 billion and up from $2.69 billion in the same quarter last year, representing a 5.6% YoY increase.

The company's outlook for the current quarter was also strong, with KLA forecasting second quarter EPS of $7.75 +/- $0.60, above the $7.40 consensus. Revenue is expected to be $2.95 billion +/- $150 million, higher than analyst projections of $2.85 billion.

KLA's stock rose 2% following the earnings release, as investors reacted positively to the results and guidance.

"KLA's September quarter results demonstrate continued outperformance with results above expectations," said Rick Wallace, president and CEO of KLA Corporation. He added that the company is "optimistic about continued semiconductor market growth in the fourth calendar quarter of 2024 and into calendar 2025."

The company reported strong cash flow, with operating cash flow of $995.2 million for the quarter. KLA also returned $765.5 million to shareholders through dividends and share repurchases during the period.

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