Lam Research posts record $8.2 billion quarter, guides higher on AI-driven chip demand

Lam Research delivered record revenue, profit and earnings per share in its September quarter, and the chip-equipment maker forecast another step up for the final months of the year.

Revenue rose 22% from the June quarter to $8.22 billion, according to the earnings release Lam filed with an 8-K on Wednesday. Net income was $2.75 billion, or $2.19 a diluted share, up from $2.28 billion, or $1.81, in the prior quarter. Non-GAAP EPS was $2.20.

Margins widened as well. GAAP gross margin improved to 52.3% from 51.7%, and operating margin rose to 40.0% from 37.4%.

"With AI driving higher semiconductor demand and greater device complexity, our focus on operational execution helped Lam deliver record revenue, profit, and earnings per share in the September quarter," President and CEO Tim Archer said in the release.

Guidance

For the quarter ending Dec. 27, Lam expects revenue of $8.60 billion, plus or minus $400 million, gross margin of 52.5%, plus or minus 1 point, and GAAP EPS of $2.33, plus or minus 15 cents.

Balance sheet

Cash, cash equivalents and restricted cash rose to $7.45 billion from $5.60 billion at the end of the June quarter, mainly because of cash generated from operations, partly offset by capital returns and capital spending. Deferred revenue increased to $2.66 billion from $2.43 billion.

By the numbers

• Revenue: $8.22 billion, up 22% from the June quarter
• GAAP EPS: $2.19, vs. $1.81
• GAAP operating margin: 40.0%
• December-quarter revenue guide: $8.60 billion, plus or minus $400 million
• December-quarter EPS guide: $2.33, plus or minus $0.15

Sources

1. Lam Research Corporation, Form 8-K (Item 2.02) with Exhibit 99.1 earnings release dated Oct. 21, 2026, accession 0000707549-26-000052

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