Description

Applied Materials Builds a Semiconductor Powerhouse — Logic, DRAM and Packaging All Accelerate!

Applied Materials reported a third quarter of fiscal 2026 marked by record revenue of $9.1 billion, reflecting a 15% sequential and 25% year-over-year increase. The company achieved its highest quarter-on-quarter revenue growth in history, driven primarily by strong demand for semiconductor equipment linked to the acceleration of artificial intelligence (AI) infrastructure build-out. Applied Materials notably experienced growth in its Semiconductor Systems segment by 18% sequentially and 27% year-over-year, with particular strength in leading-edge foundry-logic, dynamic random-access memory (DRAM), and advanced packaging. DRAM revenue, including high bandwidth memory packaging, increased by 52% year-over-year and is expected to show significant further growth in the latter half of the calendar year as customers expand clean room capacity. Gross margin expanded for the thirteenth consecutive quarter, reaching 50.4%, supported by the company’s value-based pricing initiatives and portfolio strength, particularly in products catering to AI-related semiconductor manufacturing.