Applied Materials Shares Pop 10% After 1Q Beat, Rosy 2Q Outlook

By Ben Glickman

Shares of Applied Materials rose late on Thursday after the company's profit and sales beat estimates despite continued weakness in the semiconductor market.

The stock was up 10% to $206.50 in post-market trading, following a 0.8% rise at Thursday's close. Shares are up about 16% since the start of the year.

Santa Clara, Calif.-based, Applied Materials' profit rose to $2.02 billion, or $2.41 a share, in the fiscal first quarter, compared with a profit of $1.72 billion, or $2.02 a share, a year earlier.

The company's adjusted and unadjusted per-share profit both topped analysts' expectations.

Revenue was flat at $6.71 billion, topping the $6.48 billion expected by analysts.

Applied Materials expects revenue of $6.1 billion to $6.9 billion in the fiscal second quarter, compared with the $6.34 billion expected by analysts. The company forecast adjusted per-share earnings of $1.79 to $2.15 in the fiscal second quarter, compared with the $1.80 expected by analysts.

Applied Materials' largest segment, its semiconductor systems business, saw sales fall, but gains in applied global services and display and adjacent markets offset the declines.

Write to Ben Glickman at ben.glickman@wsj.com

(END) Dow Jones Newswires

February 15, 2024 17:25 ET (22:25 GMT)

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