KLA (KLAC) official guidance

EPS guidance is based on a fully diluted share count of approximately 1.312 billion shares.

Our planning tax rate is 14.5%, and our tax rate will vary quarter-to-quarter due to discrete items.

For the September quarter, non-GAAP diluted EPS is expected to be $1.16 ± $0.10, and GAAP diluted EPS is expected to be $1.14 ± $0.10.

For the September quarter, non-GAAP diluted EPS is expected to be $1.16 ± $0.10, and GAAP diluted EPS is expected to be $1.14 ± $0.10.

We talked about 2026 overall gross margins likely being in the 62%, plus or minus. Clearly, if you look at the guidance we provided and expectations for next quarter, we're going to be above that.

Gross margin for the September quarter is fore-casted to be 62.5% ± one percentage point.

That KLA share of that overall market would grow 150 basis points plus or minus 25 basis points from where we are in 2025, and that the financial model underneath that growth would deliver the way we laid it out in terms of incremental margins and so on.

Operating expenses are forecasted to be approximately $690 million in the September quarter.

Other model assumptions include other income and expense net of approximately $25 million expense for the September quarter.

We now expect our advanced packaging process control systems revenue to grow to approximately $1.1 billion in calendar 2026, up more than 70% year-over-year, above our prior expectations of high 50% growth, and almost two times faster than the advanced packaging market.

KLA September quarter guidance is for revenue of $4 billion ± $200 million.

As we talked about at Investor Day, we have a new long-term target model for service growth of 13% to 15%. This year, we're right now at the bottom of that range. I would expect that to accelerate given the higher shipment levels that we're experiencing this year and into next year. I would expect we'll be operating in the range, but towards the higher end of the range as we move into next year.

With these combined products expected to grow over 25% in calendar 2026, we are encouraged by the future opportunities in these markets.

Within memory, DRAM's expected to account for approximately 90%, with NAND representing the remaining 10%.

Foundry logic revenue from semiconductor customers is forecasted to increase to approximately 73%, and memory is expected to be approximately 27% of semiconductor process control systems revenue to semiconductor customers.

Foundry logic revenue from semiconductor customers is forecasted to increase to approximately 73%, and memory is expected to be approximately 27% of semiconductor process control systems revenue to semiconductor customers.

Within memory, DRAM's expected to account for approximately 90%, with NAND representing the remaining 10%.

We're raising our expectation for the wafer equipment market, including advanced packaging, to approximately the low $150 billion range in calendar 2026, up from our prior expectation of $140 billion-plus and mid-20% growth above the approximate $120 billion level in calendar 2025.

•GAAP gross margin is expected to be in a range of 61.6% +/- 1.0%

EPS guidance is based on a fully diluted share count of approximately 131.4 million shares.

The planning tax rate is 14.5%.

For the June quarter, non-GAAP diluted EPS is expected to be $9.87 ±$1, and GAAP diluted EPS is expected to be $9.66 ±$1.

For the June quarter, non-GAAP diluted EPS is expected to be $9.87 ±$1, and GAAP diluted EPS is expected to be $9.66 ±$1.

Considering this impact, the tariff environment, along with product mix and volume expectations, our view of gross margins remains unchanged at approximately 62%± 50 basis points in calendar 2026.

Gross margin for the quarter is forecasted to be 61.75% ±1 percentage point.

Operating expenses are forecasted to be approximately $665 million in the June quarter.

For 2026, we will continue to prioritize next-generation product development and company infrastructure investments to support expected revenue growth over the next several years, and we anticipate these expenses to grow by roughly $15 million sequentially throughout the calendar year.

Other model assumptions include other income and expense net of an approximately $25 million expense for the June quarter, and we expect it to remain at approximately this quarterly level for the calendar year.

We now expect semiconductor process control product portfolio revenue for advanced packaging will grow from approximately $635 million in 2025 to approximately $1 billion in 2026, well above our prior estimates.

KLA's June quarter guidance is for revenue of $3.575 billion, ±$200 million.

The overall market is somewhere growing up in the range of about $13 billion, we think. That's approximately 30% growth in the overall market from 2025.

For 2026, we expect sequential revenue growth for the company to accelerate, leading to high teen revenue growth year-over-year and the Semiconductor Process Control systems business to grow over 20%.

KLA revised up 13%-17% revenue CAGR objective through 2030, reflects strong growth across our key business segments and includes an increased long-term services revenue CAGR growth model of approximately 13%-15%.

We continue to expect quarter-to-quarter revenue growth throughout 2026 and strong business momentum leading into 2027.

I think when you look at the second half and, you know, we'll call it, you know, 15%-20% type second half sequential growth over or growth over the first half, it puts you up into that ballpark.

KLA revised up 13%-17% revenue CAGR objective through 2030, reflects strong growth across our key business segments and includes an increased long-term services revenue CAGR growth model of approximately 13%-15%.

In memory, DRAM is expected to account for roughly 84%, with NAND accounting for the remaining 16%.

Foundry logic revenue from semiconductor customers is forecasted to increase to approximately 82%, and memory is expected to be approximately 18% of Semiconductor Process Control systems revenue to semiconductor customers.

Foundry logic revenue from semiconductor customers is forecasted to increase to approximately 82%, and memory is expected to be approximately 18% of Semiconductor Process Control systems revenue to semiconductor customers.

In memory, DRAM is expected to account for roughly 84%, with NAND accounting for the remaining 16%.

Our long-term model assumes a baseline semiconductor industry growth CAGR of 11% from 2025 to 2030, and the wafer equipment market growing 1% faster than the semiconductor industry to $215 billion ±$20 billion by 2030.

Today, we expect the 2027 year-over-year growth rate to be higher than our growth rate expectations for 2026.

The overall market is somewhere growing up in the range of about $13 billion, we think. That's approximately 30% growth in the overall market from 2025.

We expect the wafer equipment market, which includes advanced packaging, to exceed $140 billion in 2026.

Our long-term model assumes a baseline semiconductor industry growth CAGR of 11% from 2025 to 2030, and the wafer equipment market growing 1% faster than the semiconductor industry to $215 billion ±$20 billion by 2030.

•GAAP gross margin is expected to be in a range of 60.72% +/- 1.00%

EPS guidance is based on a fully diluted share count of approximately 131.7 million shares.

For the March quarter, non-GAAP diluted EPS is expected to be $9.08 ± $0.78, and GAAP diluted EPS is expected to be $8.85 ± $0.78.

For the March quarter, non-GAAP diluted EPS is expected to be $9.08 ± $0.78, and GAAP diluted EPS is expected to be $8.85 ± $0.78.

Gross margin for the quarter is forecasted to be 61.75% ± 1 percentage point.

Operating expenses are forecasted to be approximately $645 million in the March quarter.

Other model assumptions include other income and expense net of approximately $25 million for the March quarter and expected to remain at this quarterly level for the calendar year.

KLA's March quarter guidance is as follows: revenue of $3.35 billion ± $150 million.

For China, our expectation is that China is flattish, maybe slightly positive, modest growth in 2026.

The way we're modeling is, you know, we think overall Foundry Logic is up you know, 10%-15% for the year from a WFE point of view, and that you know, the DRAM part of the market is probably you know, 15%-20% versus last year.

The way we're modeling is, you know, we think overall Foundry Logic is up you know, 10%-15% for the year from a WFE point of view, and that you know, the DRAM part of the market is probably you know, 15%-20% versus last year.

For the company, as a percent of, as a percent of our revenue, we think it'll be somewhere in the mid-20% to high-20% range, as we look at it.

Within memory, DRAM is expected to be roughly 85% and NAND, the remaining 15%.

Foundry logic revenue from semiconductor customers is forecasted to be consistent with the December quarter at approximately 60%, and memory is expected to be approximately 40% of semiconductor process control systems revenue to semiconductor customers.

Foundry logic revenue from semiconductor customers is forecasted to be consistent with the December quarter at approximately 60%, and memory is expected to be approximately 40% of semiconductor process control systems revenue to semiconductor customers.

Within memory, DRAM is expected to be roughly 85% and NAND, the remaining 15%.

We expect the core WFE market to grow in the high single- to low double-digit %, reaching the low $120 billion range, up from approximately $110 billion in 2025.

I think if you look at the total China WFE, inclusive of the restricted fabs, we see China somewhere in the, we'll call it in the mid-, maybe mid-$30 billion range. Mid- to high-$30 billion range, in 2026.

GAAP gross margin is expected to be in a range of 60.62% +/- 1.00%

The advanced packaging market is also expected to grow more than 20% compared to last year.

EPS guidance is based on a fully diluted share count of approximately 132 million shares.

For the December quarter, the effective tax rate assumption has risen slightly to 14% reflecting the impact of recent global tax changes.

For the December quarter, GAAP diluted EPS is expected to be $8.46 ±$0.78 and non-GAAP diluted EPS of $8.70 ±$0.78.

For the December quarter, GAAP diluted EPS is expected to be $8.46 ±$0.78 and non-GAAP diluted EPS of $8.70 ±$0.78.

Gross margin is forecasted to be 62% ±1 percentage point based on relatively consistent factory output versus the September quarter and product mix revenue expectations.

Operating expenses are forecasted to be approximately $635 million in the December quarter as we continue to make product development and infrastructure investments to support expected revenue growth.

Other model assumptions include other income and expense net of approximately $32 million expense.

For calendar year 2025, we expect advanced packaging related revenue to exceed $925 million, up approximately 70% year-over-year.

KLA's December quarter guidance is as follows. Total revenue is expected to be $3.225 billion+ or -$150 million.

I think our service growth will be in our target range of 12%-14% this year. I would expect right now that I look at next year that will be in the same range as well.

I think our service growth will be in our target range of 12%-14% this year.

While it is still too early to provide precise calendar 2026 revenue guidance, our view today is that first half revenue levels will be roughly flat to up compared to the second half of calendar 2025, with accelerating growth in the second half of the calendar year.

This outlook is inclusive of the revenue impact related to additional market access loss related to certain customers in China resulting from extended export controls from the U.S. government. We estimate the revenue impact on the December quarter and calendar 2026 to be approximately $300 million-$350 million for KLA.

This outlook is inclusive of the revenue impact related to additional market access loss related to certain customers in China resulting from extended export controls from the U.S. government. We estimate the revenue impact on the December quarter and calendar 2026 to be approximately $300 million-$350 million for KLA.

Semiconductor process control systems revenue to semiconductor customers within memory, DRAM is expected to be about 78% and NAND the remaining 22%.

Foundry logic revenue from semiconductor customers is forecasted to be approximately 59% and memory is expected to be approximately 41%.

Foundry logic revenue from semiconductor customers is forecasted to be approximately 59% and memory is expected to be approximately 41%.

Semiconductor process control systems revenue to semiconductor customers within memory, DRAM is expected to be about 78% and NAND the remaining 22%.

As we approach the close of calendar 2025, we continue to expect mid to high single digit growth in WFE, modestly improved from our previous outlook discussed last quarter.

•GAAP gross margin is expected to be in a range of 60.8% +/- 1.0%