KLA Corporation Reports Fiscal 2027 First Quarter Results and Q2 Fiscal 2027 Guidance

Guidance comparison: Q1 FY 2027 revenue of $4.14 billion exceeded the $4.0 billion prior guidance midpoint, and both GAAP and non-GAAP diluted EPS were above their respective guidance midpoints.

Revenue: Total revenues were $4.14 billion, up 28.9% year over year from $3.21 billion, with product revenue of $3,285,469 thousand and service revenue of $850,546 thousand.

Profitability: GAAP net income was $1.55 billion and GAAP diluted EPS was $1.18, up 38.1% and 38.8% year over year, respectively; non-GAAP net income was $1.60 billion and non-GAAP diluted EPS was $1.22.

Cash flow: Operating cash flow was $1.53 billion for the quarter and $4.51 billion for the last twelve months; free cash flow was $1.34 billion and $4.04 billion, respectively.

Capital returns: The quarter included $935,776 thousand of common stock repurchases and $305,145 thousand of dividends, with total capital returns of $1.24 billion and $3.79 billion over the last twelve months.

Segments: Semiconductor Process Control revenue was $3,754,254 thousand, Specialty Semiconductor Process was $139,487 thousand, and PCB and Component Inspection was $242,151 thousand.

Outlook: Q2 FY 2027 revenue is guided to $4.7 billion +/- $200 million; CEO Rick Wallace said the September quarter beat guidance across all key metrics and cited AI ecosystem buildout, leading-edge foundry and logic designs, memory complexity, and advanced packaging as growth drivers.