NASDAQ$AMAT

Applied Materials Inc · Q2 2020 earnings

Q2 2020 earnings · · Investor relations

Briefing

Applied Materials reported Q2 2020 results with revenue up 12% year over year and returned $392 million to shareholders.

Applied Materials announced second quarter 2020 results with revenue of $3.96 billion, up 12 percent year over year. GAAP EPS was $0.82 and non-GAAP EPS was $0.89, up 17 percent and 27 percent year over year, respectively. The company returned $392 million to shareholders.

  • Quarterly revenue of $3.96 billion, up 12 percent year over year
  • GAAP EPS of $0.82 and non-GAAP EPS of $0.89, up 17 percent and 27 percent year over year, respectively
  • Returned $392 million to shareholders
  • Supply chain is recovering and underlying demand for semiconductor equipment and services remains robust

Headline financials

Total Revenue

$3.96B

Previous: $3.54B+11.8%
EPS (adj)

$0.89

Previous: $0.70+27.1%
Non-GAAP Gross Margin

44.6%

Previous: 43.5%+2.5%
Non-GAAP Operating Margin

24.7%

Previous: 22.4%+10.3%
Gross Margin

44.2%

Previous: 43.2%+2.3%
Operating Margin

23.6%

Previous: 21.9%+7.8%
Share Repurchases

$199M

No prior period
Dividends Paid

$193M

No prior period
Capital Expenditures

-$173M

Previous: -$251M+31.1%
Free Cash Flow

$582M

Previous: $415M+40.2%
Net Income

$755M

Previous: $666M+13.4%
Operating Income

$932M

Previous: $776M+20.1%
Gross Profit

$1.75B

Previous: $1.53B+14.3%
Cash & Equivalents

$5.28B

Previous: $3.12B+69.5%
Total Assets

$21.8B

Previous: $18.8B+16.2%
Stock-Based Comp

$71M

Previous: $65M+9.2%

Revenue & EPS history

Applied Materials · Revenue · Quarterly

$3.96B

Q2 2020+11.8%vs Q2 2019
Beat estimate in 14 of 16 quarters(88%)
ActualEstimate

Revenue by segment

Applied Materials · $3.59B total across 2 segments · Q2 2020

  • Semiconductor Systems
    $2.57B
  • Applied Global Services
    $1.02B

Forward guidance

The press release contains forward-looking statements regarding anticipated growth and trends in businesses and markets, industry outlooks and demand drivers, technology transitions, business and financial performance and market share positions, capital allocation, investment and growth strategies, development of new products and technologies, business outlook for the third quarter of fiscal 2020 and beyond, and the impact of the COVID-19 pandemic.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q2 2020

Historical avgQ2 2020

+0.7%

Avg return

Earnings day

+0.6%

Avg return

5 days after

+0.9%

Avg return

30 days after

56%

41 / 73 earnings

Positive

+13.8%

Q2 2016

Best reaction

-14.1%

Q3 2025

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q2 2026-4.2%-6.4%+25.5%
Q1 2026+8.1%+12.5%+4.0%
Q4 2025+4.4%+5.3%+16.1%
Q3 2025-14.1%-14.5%-10.9%
Q2 2025-5.1%-7.2%-2.4%
Q1 2025-8.2%-5.5%-15.5%
Q4 2024-7.6%-7.4%-7.4%
Q3 2024+3.1%+2.2%-6.5%
Q2 2024-2.5%+1.1%+9.0%
Q1 2024+7.2%+1.6%+6.7%
Q4 2023-4.4%-3.9%+4.2%
Q3 2023+3.2%+6.9%+0.0%
Q2 2023+1.0%-1.0%+10.5%
Q1 2023-3.4%-6.8%+2.6%
Q4 2022+0.5%+2.7%+0.5%
Q3 2022-1.3%-3.8%-16.2%
Q2 2022-4.4%-4.3%-19.3%
Q1 2022-2.4%-4.6%-3.4%
Q4 2021-3.8%-4.5%-6.3%
Q3 2021-0.1%+3.2%+10.5%
Q2 2021+3.1%+10.2%+5.2%
Q1 2021+3.2%+0.4%-0.7%
Q4 2020+2.3%+4.5%+24.1%
Q3 2020+1.7%-0.1%-17.3%
Q2 2020+1.1%+7.7%+9.8%
Q1 2020+4.5%+3.7%-21.0%
Q4 2019+8.6%+6.7%+4.8%
Q3 2019-0.2%+0.0%+9.9%
Q2 2019+2.9%-0.6%-0.7%
Q1 2019-4.3%-3.8%-1.1%
Q4 2018+5.4%+6.5%-2.8%
Q3 2018-7.9%-7.9%-17.7%
Q2 2018-10.3%-8.9%-10.6%
Q1 2018+9.0%+11.1%+20.0%
Q4 2017+1.3%+5.4%-5.8%
Q3 2017-0.4%-0.0%+6.0%
Q2 2017+3.1%+5.0%+0.8%
Q1 2017-0.1%+1.2%+11.5%
Q4 2016+2.4%+5.5%+8.3%
Q3 2016+8.6%+9.7%+10.1%
Q2 2016+13.8%
Q1 2016+7.2%
Q4 2015+2.7%
Q3 2015-3.8%
Q2 2015+1.4%
Q1 2015-0.6%
Q4 2014+1.5%
Q3 2014+7.2%
Q2 2014+6.6%
Q1 2014+6.1%
Q4 2013-0.8%
Q3 2013-0.7%
Q2 2013+1.1%
Q1 2013+1.7%
Q4 2012-2.0%
Q3 2012+2.3%
Q2 2012-1.2%
Q1 2012-0.6%
Q4 2011+2.4%
Q3 2011+5.4%
Q2 2011-2.6%
Q1 2011+0.5%
Q4 2010-0.5%
Q3 2010+0.3%
Q2 2010+1.5%
Q1 2009+1.4%
Q1 2010+1.4%
Q4 2007+1.9%
Q4 2009+1.9%
Q3 2009-1.6%
Q2 2009-1.6%
Q4 2008-1.6%
Q3 2008-1.6%

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