Results
For the quarter, total revenues were $3.66 billion, above the midpoint of the guidance range;
6GAAP diluted EPS was $1.04, at the upper end of the guidance range, and non-GAAP diluted EPS was $1.05, at the upper end of the guidance range;
Cash flow from operating activities for the quarter and fiscal year was $906.4 million and $4.14 billion, respectively, and free cash flow was $817.1 million and $3.77 billion, respectively;
Capital return
Capital returns for the quarter and fiscal year were $876.3 million and $3.35 billion, respectively; and
Corporate events
2On June 11, 2026, after the market close, the company effected a ten-for-one stock split of its common stock and a proportional increase in the number of authorized shares of common stock.
Share and per share information throughout this press release have been retroactively adjusted to reflect the stock split.
Results
MILPITAS, Calif., July 28, 2026 - KLA Corporation (NASDAQ: KLAC) today announced financial and operating results for its fourth quarter and fiscal year ended June 30, 2026.
7KLA reported GAAP net income of $1.36 billion and GAAP diluted earnings per share (“EPS”) of $1.04 on total revenues of $3.66 billion for the fourth quarter of fiscal year 2026.
5For the fiscal year ended June 30, 2026, KLA reported GAAP net income of $4.83 billion and GAAP diluted EPS of $3.66 on total revenues of $13.58 billion.
Management commentary
“KLA’s June quarter results reinforce that the trends driving our growth are strengthening, and we see momentum across our business accelerating in the second half of calendar 2026 and continuing through 2027,” said Rick Wallace, president and CEO of KLA Corporation.
“KLA remains uniquely positioned on the critical path of AI infrastructure expansion, where the increasing number and sophistication of leading-edge designs across foundry/logic and the rising complexity and performance specifications in memory are driving greater demand for process control.
In addition, the AI infrastructure buildout is also driving new growth opportunities in advanced packaging where KLA’s market-leading process control product portfolio is well positioned.”
Results
Total Revenues$3,658 million$3,415 million$3,175 million
Net Income$1,363 million$1,201 million$1,203 million
Net Income per Diluted Share$1.04$0.91$0.91
Net Income$1,386 million$1,239 million$1,244 million
Net Income per Diluted Share$1.05$0.94$0.94
Outlook
First Quarter Fiscal 2027 Guidance
The following details our guidance for the first quarter of fiscal 2027 ending in September:
Total revenues are expected to be in a range of $4.0 billion +/- $200 million
GAAP gross margin is expected to be in a range of 61.6% +/- 1.0%
Non-GAAP gross margin is expected to be in a range of 62.5% +/- 1.0%
GAAP diluted EPS is expected to be in a range of $1.14 +/- $0.10
Non-GAAP diluted EPS is expected to be in a range of $1.16 +/- $0.10
Results
Segment Information (Unaudited)
The following is a summary of results for each of our three reportable segments and reconciliations to total revenues for the indicated periods:
Reconciliation of GAAP Net Income to Non-GAAP Net Income
Pre-tax Impact of GAAP to Non-GAAP Adjustments Included in Condensed Consolidated Unaudited Statements of Operations
Capital return
Capital Returns Calculation
Outlook
First Quarter Fiscal 2027 Guidance
Reconciliation of GAAP Diluted EPS to Non-GAAP Diluted EPS
Three Months Ending September 30, 2026
( In millions, except per share amounts )LowHigh
Results
GAAP net income per diluted share$1.04$1.24
8Acquisition-related chargesa0.030.03
Income tax effect of non-GAAP adjustmentsd(0.01)(0.01)
Non-GAAP net income per diluted share$1.06$1.26
Shares used in net income per diluted share calculation1,3121,312
Reconciliation of GAAP Gross Margin to Non-GAAP Gross Margin
Outlook
LowHigh
Results
4GAAP gross margin60.6%62.6%
Acquisition-related chargesa0.9%0.9%
3Non-GAAP gross margin61.5%63.5%
Management commentary
1Impairment of goodwill and purchased intangible assets in the twelve months ended June 30, 2025 included non-cash expense recognized as a result of the company’s testing for goodwill impairment and long-lived assets impairment, which resulted from the continued deterioration of the long-term forecast for our PCB business.Guidance lowered
Management believes that it is appropriate to exclude these impairment charges as they are not indicative of ongoing operating results and therefore limit comparability.
Management also believes excluding this item helps investors compare our operating performance with our results in prior periods as well as with the performance of other companies.
Results
Discrete tax items in the twelve months ended June 30, 2026 include the recognition or adjustment of a deferred tax liability for withholding taxes on future remittance of previously taxed income as a result of new tax legislation as well as an adjustment of certain deferred tax benefits for a change in tax rate due to change in tax incentives.
Discrete tax items in the three and twelve months ended June 30, 2025 include the recognition of a net deferred tax liability on foreign currency gains/losses resulting from new tax legislation and a tax benefit from an internal restructuring.
Discrete tax items in the twelve months ended June 30, 2025 also include a deferred tax impact relating to the amortization of certain intellectual property as a result of an internal restructuring of ownership rights to better align with how our business operates.
Discrete tax items in all periods presented include a tax impact relating to the amortization of the aforementioned tax benefits or similar tax benefits recorded in other periods.
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