Revenue and Profitability Analysis
Lam Research's revenue for QQ4 2024 was $3.87 billion, a 2.05% increase from $3.79 billion in QQ3 2024. Year-over-year, this reflects an 11.18% growth from $3.48 billion in QQ4 2023. The gross profit for the quarter was $1.84 billion, leading to a healthy gross profit margin of 47.53%.
Operating income improved to $1.13 billion, with an operating margin of 29.34%, while net income stood at $1.02 billion, yielding a net profit margin of 26.35%.
Key Expenses
Research and development expenses totaled $497.83 million, reflecting Lam's robust investment into innovation and technology advancements amidst rising operational costs of $713.54 million.
Balance Sheet Overview
The company ended the quarter with total assets of $18.74 billion against total liabilities of $10.21 billion, resulting in a strong equity position of $8.54 billion. The current ratio stands at an impressive 2.97, indicating sound liquidity.
In terms of cash flow, Lam reported a free cash flow of $761.68 million and a net cash provided by operating activities of $862.43 million, showcasing significant cash generation capabilities to support continued dividends and share repurchases.