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HomeEarningsKLA Corporation FY2026 Q3
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FY2026 Q3
Earnings Review
KLAC
BEAT

KLA Corporation

KLA Corporation · Semiconductor Equipment

Wed, April 29, 2026·After Market Close
KLASemiconductor EquipmentEarnings

01Wall Street Consensus

EPS$10.05
Revenue$3.35B

02Earnings Results

EPS$9.40+2.7%
Revenue$3.415B+1.4%
After-Hours Reaction-7.2%

Key Takeaways

  • Non-GAAP EPS $9.40 — beat consensus $9.15 by +2.7%
  • GAAP EPS $9.12 — beat consensus $9.01 by +1.2%
  • Revenue $3.415B — beat consensus $3.369B by +1.4%, +11.5% YoY
  • GAAP net income $1.20B
  • Quarterly dividend raised to $2.30
  • Additional $7B buyback authorized
  • Q4 guide for revenue $3.575B and EPS $9.87 — both above consensus
  • CEO: 'Strong March quarter, high confidence in 2026 outlook'

Key Checkpoints

  • 01EUV process inspection/metrology equipment demand — synchronized with ASML EUV capacity expansion
  • 02HBM/3D NAND inspection equipment revenue share expansion
  • 03Logic vs memory revenue mix shift — AI chip complexity increase effect
  • 04Gross Margin 62%+ maintenance — service revenue share expansion effect
  • 05China revenue share changes — export control impact monitoring
  • 06Order backlog expansion trend

Upside Catalysts

  • Increasing EUV layers proportionally increasing inspection/metrology steps - KLA uniquely positioned to benefit
  • Logic inspection demand unaffected by TurboQuant: AI model complexity continues driving logic chip process advancements; GAA transition adds 30%+ inspection steps regardless of memory efficiency gains
  • HBM quality inspection remains critical: even with lower HBM volume, 3D stacking defect detection per-unit inspection intensity is increasing
  • TSMC N2 + Intel 18A simultaneous ramp-up driving peak advanced process inspection demand
  • Service/subscription revenue share 40%+ strengthening recurring revenue stability

Risk Factors

  • China export control tightening: advanced inspection equipment restrictions could impact ~25% of revenue
  • Google TurboQuant memory headwind: HBM demand reduction of 10-50% from AI memory compression could slow memory fab inspection equipment orders
  • Semiconductor equipment cycle peak concern: 2026-2027 upcycle peak followed by potential correction
  • Iran war driving energy cost spikes - EU fab construction costs rising, global supply chain disruption risk
  • Customer concentration: top 3 customers (TSMC, Samsung, Intel) represent 60%+ of revenue
Detail

EEPS History (Last 12 Quarters)

Actual EPS vs Consensus — Green Beat · Red Miss

Beat11
Miss1
Beat rate92%

1Final Assessment

KLA is the undisputed #1 in semiconductor inspection and metrology equipment. AI chip complexity growth + EUV layer expansion + HBM 3D stacking are structurally driving inspection equipment demand. Consensus EPS $10.05, Revenue $3.35B.

TurboQuant creates a bifurcated outlook: Google's AI memory compression algorithm (10-50% HBM demand reduction) could slow memory-related inspection equipment orders. However, KLA's exposure is more weighted toward logic process inspection, where demand is structurally robust - the GAA transition adds 30%+ more inspection steps, and TSMC N2 + Intel 18A ramp-ups are proceeding regardless. Even within HBM, per-unit inspection intensity is increasing as 3D stacking layers grow.

The Iran war (Brent $107+, EU energy costs spiking) adds marginal risk to European fab economics. Overall, KLA's high-profitability structure (Gross Margin 62%+, service revenue 40%+) and logic-weighted demand profile make it one of the more resilient semi equipment names in the current environment.

2AI & Advanced Process Inspection Demand

EUV Inspection Demand:

  • Increasing EUV process layers proportionally increase inspection/metrology steps
  • TSMC N3 to N2 transition: 20+ EUV layers leading to 40%+ more inspection points
  • KLA holds 70%+ market share in EUV inspection and metrology

HBM Inspection:

  • HBM4 12-16 layer stacking requires defect detection at each layer
  • 3D stacking bond inspection: micro-bump and TSV precision inspection demand
  • HBM inspection equipment TAM: 2024 $2B to projected $4B+ by 2027

GAA Transistors:

  • FinFET to GAA transition increases process steps by 30%+
  • Nanosheet structure precision metrology gives KLA exclusive technology advantage

3Financials & Service Business

Revenue Structure:

  • Equipment revenue: ~60% (new equipment sales)
  • Service revenue: ~40% (maintenance, subscriptions, upgrades)
  • Service revenue share steadily expanding — recurring revenue stability

Gross Margin:

  • FY2026 target: 62-64%
  • Service revenue expansion + product mix improvement effects
  • Industry-leading profitability

Capital Allocation:

  • Share buybacks + dividends returning 80%+ of annual FCF to shareholders
  • Dividend growth rate maintained at 10%+ CAGR
Detail

SEPS 서프라이즈 히스토리

Beat11Miss1Beat률 92%

분기별 EPS 컨센서스 대비 서프라이즈(%) — 막대: EPS, 점선: 매출

컨센서스 대비 실제 EPS/매출 서프라이즈 (%)

Comments

Earnings
Earnings Info
SymbolKLAC
QuarterFY2026 Q3
Report Date2026-04-29
Report TimeAMC
SectorSemiconductor Equipment
StatusReleased
Wall Street Consensus
EPS$10.05
Revenue$3.35B
Results
Actual EPS$9.40
Actual Revenue$3.415B
After-Hours Reaction-7.2%
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