KLA Corporation (KLA.DE) Q4 2024 Earnings Report

KLA Corporation reported a robust QQ4 2024 with revenue of $2.566B, up 8.96% year over year and 8.95% quarter over quarter, underscoring sustained demand for process-control and yield-management solutions in a continuing semiconductor capex cycle. Gross margin stood at 62.04%, while operating margin reached 41.01%, driving a net income of $836.4M and EPS of $6.22 (diluted $6.18). Free cash flow amounted to $831.9M, and operating cash flow was $892.6M, highlighting a strong cash-generation engine that supports capital allocation and optionality in a cyclically sensitive market. The balance sheet remains liquidity-rich, with cash and short-term investments of $4.504B against total debt of $6.820B, yielding a net debt position of approximately $4.84B and a solid 12.7x interest-coverage profile. These results reflect KLA’s entrenched leadership in metrology and inspection, a broad installed base, and a favorable mix toward advanced-node applications that sustain pricing power and long-cycle returns.

Key drivers include a resilient end-market for semiconductor equipment, continued investment in next-generation process-control tools, and disciplined cost and capital allocation. Free cash flow generation supports shareholder returns (stock repurchase of ~$470M and $198M in dividends in the period) and provides a runway for deleveraging should demand soften. While the company benefits from secular demand in AI compute and advanced semiconductor nodes, the earnings cadence remains exposed to industry cyclicality and supply-demand dynamics across foundries, memory, and logic segments. Overall, QQ4 2024 reinforces KLA’s high-margin, cash-generative profile and positions it well to navigate mid-cycle transients while continuing to invest in its product portfolio and customer ecosystem.