Applied Materials forecasts strong third quarter on AI boom
Add BT as a preferred source
SEMICONDUCTOR equipment maker Applied Materials forecast third-quarter results largely above Wall Street estimates on Thursday (May 16), indicating robust demand fuelled by an artificial intelligence (AI) boom.
The company has benefited from growing demand for wafer fabrication equipment, which are sophisticated and expensive machinery to make semiconductors, as its customers are investing heavily to produce AI chips.
A surge in the requirement of high-performance computing and data centres has also driven demand for memory semiconductors such as dynamic random access memory (Dram) and flash memory, helping chip tools suppliers.
Dram is used extensively in data centres, personal computers, smartphones and other computing devices.
Applied Materials expects third-quarter revenue of about US$6.65 billion, plus or minus US$400 million, compared with analysts’ estimates of US$6.58 billion, according to LSEG data.
The company forecast third-quarter adjusted profit per share to be between US$1.83 and US$2.19, compared with estimates of US$1.98.
Santa Clara, California-based Applied Materials reported second-quarter revenue of US$6.65 billion, ahead of estimates of US$6.54 billion.
On an adjusted basis, the company earned US$2.09 per share, compared with estimates of US$1.99. REUTERS
Decoding Asia newsletter: your guide to navigating Asia in a new global order. Sign up here to get Decoding Asia newsletter. Delivered to your inbox. Free.
Share with us your feedback on BT's products and services
TRENDING NOW
DBS, OCBC and UOB shares hit all-time highs as sentiment improves
Targeted credit relief: Vietnam steers funding to Vingroup, Sun Group, Masterise megaprojects
E-commerce job cuts signal S-E Asia’s shift from scaling to deeper user engagement
Employers want AI-fluent employees. Hiring them is the challenge
