LRCX LAM RESEARCH CORP

Overview and Growth

LAM RESEARCH CORP generated $23.23B of revenue in fiscal 2026, with net income of $7.27B and an operating cash inflow of $5.86B. Revenue of $23.23B sets the scale for evaluating how effectively sales translated into profit and cash during the year. Revenue was 26.0% above fiscal 2025 revenue of $18.44B, marking a year-over-year increase. The company reported diluted EPS of $5.76, adding a shareholder-level measure to the absolute income figures considered below. Diluted EPS increased by 38.8% from $4.15 in fiscal 2025, showing how the earnings change reached shareholders on a per-share basis. The revenue-to-assets relationship was 0.99x, showing the sales generated relative to the resources carried on the balance sheet.

Profitability

After reported cost of revenue, the company retained $11.73B as gross profit before recognizing operating expenses and other items. Gross profit represented 50.5% of revenue, showing how much of the top line remained after direct costs. Operating income was $8.20B, the earnings remaining from reported operations after the company’s recognized operating cost structure. Relative to revenue, operating income represented 35.3%, showing how efficiently sales converted into operating profit. The bottom-line result was net income of $7.27B, after the operating, financing, tax, and other items recognized for the period. The final earnings result represented 31.3% of revenue, connecting the absolute net income figure with the company’s top-line scale. Before income taxes, the company reported $8.26B of earnings, providing a bridge between the operating result and final net income. Measured against revenue, pretax income equaled 35.6%, adding a pre-tax profitability layer between revenue and net income. The company recognized $997.08M of income tax for the period, completing the transition from pretax income to net income. The income-tax provision equaled 12.1% of pretax income, showing the tax burden absorbed by the year’s earnings.

Liquidity and Capital Structure

The company held $23.53B of assets against $11.06B of liabilities and $12.47B of equity, revealing how the asset base was financed. At period end, current assets of $15.61B compared with current liabilities of $5.94B, defining the company’s short-term resource position. Current assets covered current liabilities by 2.63x, leaving a positive buffer for near-term obligations. Cash and equivalents totaled $5.58B, identifying the most liquid reported component available within the broader current-asset balance. Measured only with cash and equivalents, coverage of current liabilities was 94.0%, excluding receivables and other current assets. Total debt was $3.72B, establishing the amount of borrowing carried within the company’s capital structure. Against book equity, debt measured 0.3x, placing the company’s financial leverage in clear balance-sheet terms. Debt represented 15.8% of total assets, placing borrowing in the context of the company’s full resource base. Liabilities represented 47.0% of total assets, quantifying the liability-funded share of the company’s resource base. Measured against total assets, cash and equivalents represented 23.7%, a balance-sheet composition measure rather than a liquidity forecast.

Cash Flow and Earnings Quality

The company reported $5.86B of operating cash flow, a cash inflow that shows the cash generated by operations. Against net income, operating cash flow measured 0.81x, showing the relationship between accrual earnings and operating cash. Capital spending was $966.40M, absorbing part of the cash generated from operations before free cash flow. Relative to operating cash flow, capital expenditures measured 16.5%, connecting investment intensity with the company’s cash-generation base. After capital spending, free cash flow was $4.89B, leaving cash available for debt reduction, shareholder returns, or further investment. Free cash flow represented 21.1% of revenue, linking post-investment cash generation with the company’s operating scale. Measured against total assets, free cash flow represented 20.8%, showing the cash productivity of the company’s assets.

Based on the annual report for the fiscal year ending Jun 28, 2026. Analysis generated Oct 21, 2026.