KLA Corporation Reports 30% Revenue Growth to $3.06 Billion in Latest Quarter

KLA Corporation reported significant financial growth in its latest quarterly results, with total revenues reaching $3.06 billion for the three months ended March 31, 2025, a 30% increase from $2.36 billion in the same period last year. The company's net income also saw a substantial rise, climbing to $1.09 billion, or $8.16 per diluted share, compared to $601.5 million, or $4.43 per diluted share, in the prior year. For the nine months ending March 31, 2025, total revenues were $8.98 billion, up 24% from $7.24 billion in the previous year, while net income increased to $2.86 billion from $1.93 billion.

The financial performance was bolstered by a 35% increase in product revenues, which reached $2.39 billion, and a 13% rise in service revenues, totaling $669.2 million. The Semiconductor Process Control segment was the largest contributor, generating $2.74 billion in revenue, a 31% increase year-over-year. The Specialty Semiconductor Process and PCB and Component Inspection segments also reported growth, with revenues of $156.5 million and $168.6 million, respectively.

KLA's operational metrics reflected a strong demand for its products, particularly in the semiconductor sector, driven by advancements in technology and increased investments in AI and high-performance computing. The company reported a total of $8.91 billion in remaining performance obligations, indicating a robust pipeline of future revenue. Geographically, Taiwan and China were significant markets, with Taiwan accounting for 32% of total revenues in the latest quarter, while China contributed 26%.

Strategically, KLA has made notable organizational changes, including an internal reorganization that affected its reporting units and a decision to exit the Display business, which resulted in a goodwill impairment charge of $230.4 million. The company has also been active in returning capital to shareholders, repurchasing $1.72 billion in stock and paying $650.6 million in dividends during the nine months ended March 31, 2025. Looking ahead, KLA anticipates continued growth driven by technological advancements and increased customer investments, although it remains cautious about potential disruptions from regulatory changes and market conditions.