false000070754900007075492024-07-312024-07-31
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
 Current Report
Pursuant to Section 13 or 15(d)
of the Securities Exchange Act of 1934
Date of report (Date of earliest event reported): July 31, 2024
  LAM RESEARCH CORPORATION
(Exact name of registrant as specified in its charter)
 
Delaware 0-12933 94-2634797
(State or Other Jurisdiction
of Incorporation)		 (Commission
File Number)		 (IRS Employer
Identification Number)
4650 Cushing Parkway
Fremont, California 94538
(Address of principal executive offices including zip code)
(510) 572-0200
(Registrant’s telephone number, including area code)
Not Applicable
(Former name or former address, if changed since last report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
☐Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
☐Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
☐Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
☐Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Securities registered pursuant to Section 12(b) of the Act:
Title of each classTrading SymbolName of each exchange on which registered
Common Stock, Par Value $0.001 Per ShareLRCXThe Nasdaq Stock Market
(Nasdaq Global Select Market)
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company      ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.                      ☐

Table of Contents
 
Item 2.02.  Results of Operations and Financial Condition
Item 9.01.  Financial Statements and Exhibits
SIGNATURES
EX-99.1


 Item 2.02.Results of Operations and Financial Condition
On July 31, 2024, Lam Research Corporation (the “Company”) issued a press release announcing its financial results for the fiscal quarter ended June 30, 2024, the text of which is attached hereto as Exhibit 99.1.
The information in this item of this Current Report on Form 8-K, including Exhibit 99.1, is furnished pursuant to Item 2.02 and shall not be deemed “filed” for the purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities under that Section. Furthermore, the information in this item of this Current Report on Form 8-K, including Exhibit 99.1, shall not be deemed to be incorporated by reference into the filings of the Company under the Securities Act of 1933, as amended, or the Exchange Act.
 Item 9.01.Financial Statements and Exhibits
(d) Exhibits
99.1
104Cover Page Interactive Data File - the cover page XBRL tags are embedded within the Inline XBRL document


SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
Date:July 31, 2024
LAM RESEARCH CORPORATION
(Registrant)
 /s/ Douglas R. Bettinger
 Douglas R. Bettinger
 Executive Vice President and Chief Financial Officer
 (Principal Financial Officer)
 



Exhibit 99.1
FOR IMMEDIATE RELEASE        
Lam Research Corporation Reports Financial Results for the Quarter Ended June 30, 2024
FREMONT, Calif., July 31, 2024 - Lam Research Corporation (the "Company," "Lam," "Lam Research") today announced financial results for the quarter ended June 30, 2024 (the “June 2024 quarter”).
Highlights for the June 2024 quarter were as follows:
•Revenue of $3.87 billion.
•U.S. GAAP gross margin of 47.5%, U.S. GAAP operating income as a percentage of revenue of 29.1%, and U.S. GAAP diluted EPS of $7.78.
•Non-GAAP gross margin of 48.5%, non-GAAP operating income as a percentage of revenue of 30.7%, and non-GAAP diluted EPS of $8.14.
Key Financial Data for the Quarters Ended
June 30, 2024 and March 31, 2024
(in thousands, except per-share data, percentages, and basis points) 
U.S. GAAP
 June 2024March 2024Change Q/Q
Revenue$3,871,507 $3,793,558 +2.1%
Gross margin as percentage of revenue47.5 %47.5 %+ 0 bps
Operating income as percentage of revenue29.1 %27.9 %+ 120 bps
Diluted EPS$7.78 $7.34 +6.0%
Non-GAAP
 June 2024March 2024Change Q/Q
Revenue$3,871,507 $3,793,558 +2.1%
Gross margin as percentage of revenue48.5 % 48.7 %- 20 bps
Operating income as percentage of revenue30.7 % 30.3 %+ 40 bps
Diluted EPS$8.14  $7.79 +4.5%

U.S. GAAP Financial Results
For the June 2024 quarter, revenue was $3,872 million, gross margin was $1,840 million, or 47.5% of revenue, operating expenses were $714 million, operating income was 29.1% of revenue, and net income was $1,020 million, or $7.78 per diluted share on a U.S. GAAP basis. This compares to revenue of $3,794 million, gross margin of $1,801 million, or 47.5% of revenue, operating expenses of $743 million, operating income of 27.9% of revenue, and net income of $966 million, or $7.34 per diluted share, for the quarter ended March 31, 2024 (the “March 2024 quarter”). The June 2024 quarter included 13 weeks; the March 2024 quarter included 14 weeks.
Non-GAAP Financial Results
For the June 2024 quarter, non-GAAP gross margin was $1,876 million, or 48.5% of revenue, non-GAAP operating expenses were $689 million, non-GAAP operating income was 30.7% of revenue, and non-GAAP net income was $1,067 million, or $8.14 per diluted share. This compares to non-GAAP gross margin of $1,848 million, or 48.7% of revenue, non-GAAP operating expenses of $698 million, non-GAAP operating income of 30.3% of revenue, and non-GAAP net income of $1,024 million, or $7.79 per diluted share, for the March 2024 quarter.
“Lam's June quarter results came in above the midpoint of our guidance, driven by continued solid execution and growth in our customer support business group,” said Tim Archer, Lam Research's President and Chief Executive Officer. “We are making strategic investments in R&D and our operations to position Lam to outperform in what we believe will be a multi-year period of strong wafer fab equipment spending.”





Balance Sheet and Cash Flow Results
Cash and cash equivalents and restricted cash balances increased to $5.9 billion at the end of the June 2024 quarter compared to $5.7 billion at the end of the March 2024 quarter. Cash generated from operating activities totaling $862.4 million was offset by $373.6 million of share repurchases, including net share settlement of employee stock-based compensation; $261.5 million of dividends paid to stockholders; and $100.7 million of capital expenditures.
Deferred revenue at the end of the June 2024 quarter decreased to $1,552 million compared to $1,746 million as of the end of the March 2024 quarter. Lam's deferred revenue balance does not include shipments to customers in Japan, to whom title does not transfer until customer acceptance. Shipments to customers in Japan are classified as inventory at cost until the time of acceptance. The estimated future revenue from shipments to customers in Japan was approximately $98 million as of June 30, 2024 and $107 million as of March 31, 2024.
Revenue
The geographic distribution of revenue during the June 2024 quarter is shown in the following table:
RegionRevenue
China39%
Korea18%
Taiwan15%
United States10%
Southeast Asia8%
Japan7%
Europe3%
The following table presents revenue disaggregated between system and customer support-related revenue:
Three Months Ended
June 30,
2024		March 31,
2024		June 25,
2023
(In thousands)
Systems revenue$2,169,885 $2,395,817 $1,710,359 
Customer support-related revenue and other1,701,622 1,397,741 1,496,898 
$3,871,507 $3,793,558 $3,207,257 
Systems revenue includes sales of new leading-edge equipment in deposition, etch and clean markets.
Customer support-related revenue includes sales of customer service, spares, upgrades, and non-leading-edge equipment from our Reliant® product line.
Outlook
For the quarter ended September 29, 2024, Lam is providing the following guidance:
U.S. GAAPReconciling ItemsNon-GAAP
Revenue$4.05 Billion+/-$300 Million—$4.05 Billion+/-$300 Million
Gross margin as a percentage of revenue46.9%+/-1%$3.1 Million47.0%+/-1%
Operating income as a percentage of revenue29.4%+/-1%$3.8 Million29.5%+/-1%
Net income per diluted share$7.97+/-$0.75$4.3 Million$8.00+/-$0.75
Diluted share count131 million—131 million
The information provided above is only an estimate of what the Company believes is realizable as of the date of this release and does not incorporate the potential impact of any business combinations, asset acquisitions, divestitures, restructuring, balance sheet valuation adjustments, financing arrangements, other investments, or other significant arrangements that may be completed or realized after the date of this release, except as described below. U.S. GAAP to non-GAAP reconciling items provided include only those items that are known and can be estimated as of the date of this release. Actual results will vary from this model and the variations may be material. Reconciling items included above are as follows:


•Gross margin as a percentage of revenue - amortization related to intangible assets acquired through business combinations, $3.1 million.
•Operating income as a percentage of revenue - amortization related to intangible assets acquired through business combinations, $3.8 million.
•Net income per diluted share - amortization related to intangible assets acquired though business combinations, $3.8 million; amortization of debt discounts, $0.8 million; and associated tax benefit for non-GAAP items ($0.3 million); totaling $4.3 million.
Use of Non-GAAP Financial Results
In addition to U.S. GAAP results, this press release also contains non-GAAP financial results. The Company’s non-GAAP results for both the June 2024 and March 2024 quarters exclude amortization related to intangible assets acquired through business combinations, the effects of elective deferred compensation-related assets and liabilities, amortization of note discounts, net restructuring charges, transformational costs, and the net income tax effect of non-GAAP items. The March 2024 non-GAAP results also exclude expenses associated with the impairment of long-lived assets.
Management uses non-GAAP gross margin, operating expense, operating income, operating income as a percentage of revenue, net income, and net income per diluted share to evaluate the Company’s operating and financial results. The Company believes the presentation of non-GAAP results is useful to investors for analyzing business trends and comparing performance to prior periods, along with enhancing investors’ ability to view the Company’s results from management’s perspective. Tables presenting reconciliations of non-GAAP results to U.S. GAAP results are included at the end of this press release and on the Company’s website at https://investor.lamresearch.com.
Caution Regarding Forward-Looking Statements
Statements made in this press release that are not of historical fact are forward-looking statements and are subject to the safe harbor provisions created by the Private Securities Litigation Reform Act of 1995. Such forward-looking statements relate to, but are not limited to: our outlook and guidance for future financial results, including revenue, gross margin, operating income and net income; our investment in R&D and our operations; our competitive positioning and potential to outperform within our industry; and our expectations for the strength of future wafer fabrication equipment spending. Some factors that may affect these forward-looking statements include: trade regulations, export controls, trade disputes, and other geopolitical tensions may inhibit our ability to sell our products; business, political and/or regulatory conditions in the consumer electronics industry, the semiconductor industry and the overall economy may deteriorate or change; the actions of our customers and competitors may be inconsistent with our expectations; supply chain cost increases and other inflationary pressures have impacted and may continue to impact our profitability; supply chain disruptions or manufacturing capacity constraints may limit our ability to manufacture and sell our products; and natural and human-caused disasters, disease outbreaks, war, terrorism, political or governmental unrest or instability, or other events beyond our control may impact our operations and revenue in affected areas; as well as the other risks and uncertainties that are described in the documents filed or furnished by us with the Securities and Exchange Commission, including specifically the Risk Factors described in our annual report on Form 10–K for the fiscal year ended June 25, 2023, and our quarterly report on Form 10–Q for the fiscal quarter ended March 31, 2024. These uncertainties and changes could materially affect the forward-looking statements and cause actual results to vary from expectations in a material way. The Company undertakes no obligation to update the information or statements made in this release.

Lam Research Corporation is a global supplier of innovative wafer fabrication equipment and services to the semiconductor industry. Lam's equipment and services allow customers to build smaller and better performing devices. In fact, today, nearly every advanced chip is built with Lam technology. We combine superior systems engineering, technology leadership, and a strong values-based culture, with an unwavering commitment to our customers. Lam Research (Nasdaq: LRCX) is a FORTUNE 500® company headquartered in Fremont, Calif., with operations around the globe. Learn more at www.lamresearch.com. (LRCX)
Consolidated Financial Tables Follow.
 ###




 
LAM RESEARCH CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except per share data and percentages)
 Three Months EndedTwelve Months Ended
 June 30,
2024		March 31,
2024		June 25,
2023		June 30,
2024		June 25,
2023
(unaudited)(unaudited)(unaudited)(unaudited)(1)
Revenue$3,871,507 $3,793,558 $3,207,257 $14,905,386 $17,428,516 
Cost of goods sold2,026,133 1,977,820 1,737,682 7,809,220 9,573,425 
Restructuring charges, net - cost of goods sold5,276 15,202 11,446 43,375 78,166 
Total cost of goods sold2,031,409 1,993,022 1,749,128 7,852,595 9,651,591 
Gross margin1,840,098 1,800,536 1,458,129 7,052,791 7,776,925 
Gross margin as a percent of revenue47.5 %47.5 %45.5 %47.3 %44.6 %
Research and development497,829 512,274 401,951 1,902,444 1,727,162 
Selling, general and administrative216,477 215,904 199,831 868,247 832,753 
Restructuring charges, net - operating expenses(768)15,246 1,742 18,187 42,150 
Total operating expenses713,538 743,424 603,524 2,788,878 2,602,065 
Operating income1,126,560 1,057,112 854,605 4,263,913 5,174,860 
Operating income as a percent of revenue29.1 %27.9 %26.6 %28.6 %29.7 %
Other income (expense), net27,796 36,073 9,010 96,309 (65,650)
Income before income taxes1,154,356 1,093,185 863,615 4,360,222 5,109,210 
Income tax expense(134,074)(127,359)(61,078)(532,450)(598,279)
Net income$1,020,282 $965,826 $802,537 $3,827,772 $4,510,931 
Net income per share:
Basic$7.81 $7.38 $5.99 $29.13 $33.30 
Diluted$7.78 $7.34 $5.97 $29.00 $33.21 
Number of shares used in per share calculations:
Basic130,633 130,838 134,052 131,410 135,472 
Diluted131,112 131,518 134,392 131,995 135,834 
Cash dividend declared per common share$2.00 $2.00 $1.725 $8.00 $6.90 
(1)Derived from audited financial statements













 LAM RESEARCH CORPORATION
CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands)
 
June 30,
2024		March 31,
2024		June 25,
2023
(unaudited)(unaudited)(1)
ASSETS
Cash and cash equivalents$5,847,856 $5,672,232 $5,337,056 
Accounts receivable, net2,519,250 2,203,707 2,823,376 
Inventories4,217,924 4,322,967 4,816,190 
Prepaid expenses and other current assets298,190 289,530 251,790 
Total current assets12,883,220 12,488,436 13,228,412 
Property and equipment, net2,154,518 2,181,741 1,856,672 
Goodwill and intangible assets1,765,073 1,768,998 1,790,943 
Other assets1,941,917 1,840,475 1,905,616 
Total assets$18,744,728 $18,279,650 $18,781,643 
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current portion of long-term debt and finance lease obligations$504,814 $505,066 $8,358 
Other current liabilities3,833,624 3,925,023 4,176,560 
Total current liabilities4,338,438 4,430,089 4,184,918 
Long-term debt and finance lease obligations4,478,520 4,478,385 5,003,183 
Income taxes payable813,304 832,397 882,084 
Other long-term liabilities575,012 516,678 501,286 
Total liabilities10,205,274 10,257,549 10,571,471 
Stockholders’ equity (2)8,539,454 8,022,101 8,210,172 
Total liabilities and stockholders’ equity$18,744,728 $18,279,650 $18,781,643 
 
(1)Derived from audited financial statements
(2)
Common shares issued and outstanding were 130,377 as of June 30, 2024, 130,736 as of March 31, 2024, and 133,297 as of June 25, 2023
 




 
LAM RESEARCH CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(in thousands)
 Three Months EndedTwelve Months Ended
 June 30,
2024		March 31,
2024		June 25,
2023		June 30,
2024		June 25,
2023
(unaudited)(unaudited)(unaudited)(unaudited)(1)
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income$1,020,282 $965,826 $802,537 $3,827,772 $4,510,931 
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization88,357 89,922 89,604 359,699 342,432 
Deferred income taxes(61,375)(24,621)(38,960)(198,981)(172,061)
Equity-based compensation expense79,092 76,854 68,495 293,058 286,600 
Other, net(3,999)10,210 40,761 10,243 52,298 
Changes in operating assets and liabilities(259,927)266,645 160,288 360,478 158,738 
Net cash provided by operating activities862,430 1,384,836 1,122,725 4,652,269 5,178,938 
CASH FLOWS FROM INVESTING ACTIVITIES:
Capital expenditures and intangible assets(100,748)(103,654)(78,670)(396,670)(501,568)
Business acquisitions, net of cash acquired— — — — (119,955)
Net maturities and sale of available-for-sale securities— 14,650 26,280 37,766 98,132 
Other, net(865)(3,356)(2,790)(11,710)(11,171)
Net cash used for investing activities(101,613)(92,360)(55,180)(370,614)(534,562)
CASH FLOWS FROM FINANCING ACTIVITIES:
Principal payments on debt, including finance lease obligations(949)(1,060)(2,061)(256,104)(23,206)
Treasury stock purchases(373,550)(980,561)(869,014)(2,842,807)(2,017,012)
Dividends paid(261,462)(262,707)(232,336)(1,018,915)(907,907)
Reissuance of treasury stock related to employee stock purchase plan66,885 — 64,903 119,966 109,899 
Proceeds from issuance of common stock2,796 8,235 3,438 15,553 11,111 
Other, net(7,871)300 (2,916)(13,543)(3,552)
Net cash used for financing activities(574,151)(1,235,793)(1,037,986)(3,995,850)(2,830,667)
Effect of exchange rate changes on cash, cash equivalents, and restricted cash(9,616)(8,452)1,477 (22,374)128 
Net change in cash, cash equivalents, and restricted cash177,050 48,231 31,036 263,431 1,813,837 
Cash, cash equivalents, and restricted cash at beginning of period (2)5,673,753 5,625,522 5,556,336 5,587,372 3,773,535 
Cash, cash equivalents, and restricted cash at end of period (2)$5,850,803 $5,673,753 $5,587,372 $5,850,803 $5,587,372 
(1)Derived from audited financial statements
(2)Restricted cash is reported within Other assets in the Condensed Consolidated Balance Sheets



 
Non-GAAP Financial Summary
(in thousands, except percentages and per share data)
(unaudited)
Three Months Ended
June 30,
2024		March 31,
2024
Revenue$3,871,507 $3,793,558 
Gross margin$1,876,345 $1,847,752 
Gross margin as percentage of revenue48.5 %48.7 %
Operating expenses$689,133 $697,672 
Operating income$1,187,212 $1,150,080 
Operating income as a percentage of revenue30.7 %30.3 %
Net income$1,066,890 $1,024,206 
Net income per diluted share$8.14 $7.79 
Shares used in per share calculation - diluted131,112 131,518 
Reconciliation of U.S. GAAP Net Income to Non-GAAP Net Income
(in thousands, except per share data)
(unaudited) 
Three Months Ended
June 30,
2024		March 31,
2024
U.S. GAAP net income$1,020,282 $965,826 
Pre-tax non-GAAP items:
Amortization related to intangible assets acquired through certain business combinations - cost of goods sold3,076 3,076 
Elective deferred compensation ("EDC") related liability valuation increase - cost of goods sold2,488 6,963 
Restructuring charges, net - cost of goods sold5,276 15,202 
Transformational costs - cost of goods sold25,407 13,270 
Impairment of long-lived assets - cost of goods sold— 8,705 
EDC related liability valuation increase - research and development4,479 12,534 
Transformational costs - research and development8,469 4,423 
Amortization related to intangible assets acquired through certain business combinations - selling, general and administrative770 770 
EDC related liability valuation increase - selling, general and administrative2,986 8,356 
Transformational costs - selling, general and administrative8,469 4,423 
Restructuring charges, net - operating expenses(768)15,246 
Amortization of note discounts - other income (expense), net759 753 
Gain on EDC related asset - other income (expense), net(9,643)(26,495)
Net income tax benefit on non-GAAP items(5,160)(8,846)
Non-GAAP net income$1,066,890 $1,024,206 
Non-GAAP net income per diluted share$8.14 $7.79 
U.S. GAAP net income per diluted share$7.78 $7.34 
U.S. GAAP and non-GAAP number of shares used for per diluted share calculation131,112 131,518 



 
Reconciliation of U.S. GAAP Gross Margin, Operating Expenses and Operating Income to Non-GAAP Gross Margin, Operating Expenses and Operating Income
(in thousands, except percentages)
(unaudited) 
Three Months Ended
June 30,
2024		March 31,
2024
U.S. GAAP gross margin$1,840,098 $1,800,536 
Pre-tax non-GAAP items:
Amortization related to intangible assets acquired through certain business combinations3,076 3,076 
EDC related liability valuation increase2,488 6,963 
Restructuring charges, net5,276 15,202 
Transformational costs25,407 13,270 
Impairment of long-lived assets— 8,705 
Non-GAAP gross margin$1,876,345 $1,847,752 
U.S. GAAP gross margin as a percentage of revenue47.5 %47.5 %
Non-GAAP gross margin as a percentage of revenue48.5 %48.7 %
U.S. GAAP operating expenses$713,538 $743,424 
Pre-tax non-GAAP items:
Amortization related to intangible assets acquired through certain business combinations(770)(770)
EDC related liability valuation increase(7,465)(20,890)
Restructuring charges, net768 (15,246)
Transformational costs(16,938)(8,846)
Non-GAAP operating expenses$689,133 $697,672 
U.S. GAAP operating income$1,126,560 $1,057,112 
Non-GAAP operating income$1,187,212 $1,150,080 
U.S. GAAP operating income as percent of revenue29.1 %27.9 %
Non-GAAP operating income as a percent of revenue30.7 %30.3 %
 
Lam Research Corporation Contact:
Ram Ganesh, Investor Relations, phone: 510-572-1615, e-mail: investor.relations@lamresearch.com


v3.24.2
Cover page
Jul. 31, 2024
Cover [Abstract]  
Document Type 8-K
Document Period End Date Jul. 31, 2024
Entity Registrant Name LAM RESEARCH CORPORATION
Entity Incorporation, State or Country Code DE
Entity File Number 0-12933
Entity Tax Identification Number 94-2634797
Entity Address, Address Line One 4650 Cushing Parkway
Entity Address, City or Town Fremont
Entity Address, State or Province CA
Entity Address, Postal Zip Code 94538
City Area Code 510
Local Phone Number 572-0200
Written Communications false
Soliciting Material false
Pre-commencement Tender Offer false
Pre-commencement Issuer Tender Offer false
Title of 12(b) Security Common Stock, Par Value $0.001 Per Share
Trading Symbol LRCX
Security Exchange Name NASDAQ
Entity Emerging Growth Company false
Amendment Flag false
Entity Central Index Key 0000707549
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