Lam Research Q2 FY2026 Results and Outlook
Lam Research announced record quarterly performance for the period ended June 28, 2026. Revenue reached $6.72 billion, representing a 15.1% increase over the prior quarter, while U.S. GAAP net income rose to $2.28 billion, or $1.81 per diluted share, compared with $1.83 billion and $1.45 per share in the March quarter. Gross margin expanded to 51.7% from 49.8% and operating margin improved to 37.4% from 35.0%.
Cash, cash equivalents and restricted cash totaled $5.60 billion at quarter‑end, up from $4.77 billion three months earlier, and deferred revenue increased to $2.43 billion from $2.22 billion. Geographic revenue distribution showed Taiwan contributing 27% of the quarter’s sales, China 26%, and Korea 20%.
Following the release, Lam Research shares rose more than 7% in pre‑market trading on Thursday.
Looking forward, the company projected September‑quarter revenue of $8.10 billion, with a variance of plus or minus $400 million. Expected gross margin is about 52.0%, operating margin roughly 39.5%, and diluted earnings per share $2.15, with a ±$0.15 range.
Bernstein analyst Stacy Rasgon described the results as “as good of a print from the company as we have ever seen,” noting that cleanroom constraints are expected to ease into 2027/28, which should further benefit Lam’s exposure to GAA, packaging, HBM, NAND upgrades and greenfield builds. CEO Tim Archer highlighted that AI‑driven demand continues to reshape the semiconductor industry and affirmed that the company’s technology investments position it for a third consecutive year of outperformance in 2026.