KLA (KLAC) Q1 2027 earnings summary

Executive summary

• Q1 FY27 revenue was $4.136B, up 29% YoY and 13% QoQ; GAAP and non-GAAP diluted EPS were $1.18 and $1.22, respectively.

• Results exceeded guidance midpoints; AI infrastructure demand, leading-edge design advances, memory complexity and advanced packaging were cited as growth drivers.

Financial highlights

• Revenue was $4.136B, versus $3.658B in Q4 FY26 and $3.210B in Q1 FY26.

• GAAP net income was $1.549B and non-GAAP net income was $1.603B.

• GAAP gross and operating margins were 61.9% and 45.0%; non-GAAP gross and operating margins were 62.7% and 46.1%.

• GAAP operating income was $1.862B; non-GAAP operating income was $1.905B.

• Operating cash flow was $1.531B and free cash flow was $1.336B; LTM totals were $4.512B and $4.038B, respectively.

Outlook and guidance

• Q2 FY27 revenue guidance is $4.7B ± $200M.

• Q2 FY27 GAAP gross margin guidance is 61.8% ± 1.0%; non-GAAP gross margin guidance is 62.5% ± 1.0%.

• Q2 FY27 GAAP diluted EPS guidance is $1.41 ± $0.11; non-GAAP diluted EPS guidance is $1.44 ± $0.11.

• Semi Process Control system revenue mix assumption: Foundry/Logic ~60%, Memory ~40%; memory mix assumes DRAM ~84% and NAND ~16%.