Applied Materials (AMAT) ticker: AMAT quarter: Financial Results Summary
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Applied Materials (AMAT) Q4 2025 Financial Results Summary
On November 13, 2025, Applied Materials, Inc. (NASDAQ: AMAT) announced its financial results for the fourth quarter and fiscal year ended October 26, 2025. Below is a summary of the key financial metrics and performance highlights for the quarter.
Financial Highlights
- Record Annual Revenue:
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$28.37 billion, up 4% year over year.
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Earnings per Share (EPS):
- Record annual GAAP EPS: $8.66, up 1% year over year.
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Record non-GAAP EPS: $9.42, up 9% year over year.
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Fourth Quarter Revenue:
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$6.80 billion, down 3% year over year.
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Fourth Quarter GAAP EPS:
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$2.38, up 14% year over year.
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Fourth Quarter Non-GAAP EPS:
- $2.17, down 6% year over year.
Margins
- Gross Margin:
- Q4 FY2025: 48.0% (up 0.7 points) compared to Q4 FY2024.
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FY2025: 48.7% (up 1.2 points) compared to FY2024.
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Operating Margin:
- Q4 FY2025: 25.2% (down 3.8 points) compared to Q4 FY2024.
- FY2025: 29.2% (up 0.3 points) compared to FY2024.
Income and Cash Flow
- Net Income:
- Q4 FY2025: $1.897 billion, up 10% year over year.
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FY2025: $6.998 billion, down 2% year over year.
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Non-GAAP Net Income:
- Q4 FY2025: $1.732 billion, down 10% year over year.
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FY2025: $7.607 billion, up 6% year over year.
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Free Cash Flow:
- Q4 FY2025: $2.043 billion, down 6% year over year.
- FY2025: $5.698 billion, down 24% year over year.
Segment Revenue and Performance
Semiconductor Systems
- Revenue:
- Q4 FY2025: $4.760 billion (down 8% year over year).
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FY2025: $20.798 billion (up 4% year over year).
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Operating Income:
- Q4 FY2025: $1.527 billion, down 16% year over year.
- Operating Margin: 32.1% (down 3.1 points) year over year.
Applied Global Services
- Revenue:
- Q4 FY2025: $1.625 billion (down 1% year over year).
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FY2025: $6.385 billion (up 3% year over year).
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Operating Income:
- Q4 FY2025: $454 million, down 8% year over year.
- Operating Margin: 27.9% (down 2.1 points) year over year.
Corporate Metrics
- Employee Count:
- Regular full-time employees increased to 36.5 thousand, from 35.7 thousand a year ago.
Dividend and Share Repurchase
- Dividend Payments:
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$0.365 per share in Q4 FY2025, up from $0.329 in Q4 FY2024.
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Share Repurchase:
- The company repurchased $851 million of common stock during Q4 FY2025.
Forward Guidance
- Estimated Q1 FY2026 Performance:
- Expected total net revenue: $6.850 billion, with a potential range of ± $500 million.
- Expected non-GAAP diluted EPS: $2.18, with a potential range of ± $0.20.
Applied Materials remains committed to innovating and investing in technology to accommodate anticipated increases in demand, particularly in the semiconductor arena driven by AI enhancements. The company’s operations and service organizations are being prepared to support an expected higher demand cycle in the second half of calendar 2026.
| Three Months Ended | Twelve Months Ended | |
|---|---|---|
| October 26, 2025 | October 27, 2024 | |
| Net revenue | $6,800 | $7,045 |
| Cost of products sold | $3,535 | $3,710 |
| Gross profit | $3,265 | $3,335 |
| Operating expenses: | ||
| Research, development and engineering | $917 | $858 |
| Marketing and selling | $212 | $215 |
| General and administrative | $243 | $216 |
| Restructuring charges | $181 | $— |
| Total operating expenses | $1,553 | $1,289 |
| Income from operations | $1,712 | $2,046 |
| Interest expense | $71 | $66 |
| Interest and other income (expense), net | $626 | -$85 |
| Income before income taxes | $2,267 | $1,895 |
| Provision for income taxes | $370 | $164 |
| Net income | $1,897 | $1,731 |
| Earnings per share: | ||
| Basic | $2.39 | $2.11 |
| Diluted | $2.38 | $2.09 |
| Weighted average number of shares: | ||
| Basic | $794 | $822 |
| Diluted | $798 | $828 |
| October 26, 2025 | October 27, 2024 | |
|---|---|---|
| ASSETS | ||
| Current assets: | ||
| Cash and cash equivalents | $7,241 | $8,022 |
| Short-term investments | $1,332 | $1,449 |
| Accounts receivable, net | $5,185 | $5,234 |
| Inventories | $5,915 | $5,421 |
| Other current assets | $1,208 | $1,094 |
| Total current assets | $20,881 | $21,220 |
| Long-term investments | $4,327 | $2,787 |
| Property, plant and equipment, net | $4,610 | $3,339 |
| Goodwill | $3,707 | $3,732 |
| Purchased technology and other | $226 | $249 |
| intangible assets, net | ||
| Deferred income taxes and other assets | $2,548 | $3,082 |
| Total assets | $36,299 | $34,409 |
| LIABILITIES AND STOCKHOLDERS’ EQUITY | ||
| Current liabilities: | ||
| Short-term debt | $100 | $799 |
| Accounts payable and accrued expenses | $5,333 | $4,820 |
| Contract liabilities | $2,566 | $2,849 |
| Total current liabilities | $7,999 | $8,468 |
| Long-term debt | $6,455 | $5,460 |
| Income taxes payable | $356 | $670 |
| Other liabilities | $1,074 | $810 |
| Total liabilities | $15,884 | $15,408 |
| Total stockholders’ equity | $20,415 | $19,001 |
| Total liabilities and stockholders’ | $36,299 | $34,409 |
| equity |
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