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Applied Materials AMAT Semiconductor Systems — Gross margin

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Other financials

Income statement

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Revenue$7.9B+11.4%
Gross profit$3.9B+13.3%
Operating income$2.5B+16.3%
Net income$2.8B+31.3%
EPS (diluted)$3.51+33.5%

Balance sheet

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Cash & equivalents$1.5B+4.0%
Total debt$7.3B+9.0%
Total equity$23.9B+26.1%
Total assets$40.3B+19.8%

Cash flow

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Operating cash flow$845.0M-46.2%
CapEx$635.0M+24.5%
Free cash flow$210.0M-80.2%

Valuation

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Market cap$424.16B+197%
Enterprise value$429.94B+190%
P/E49.9×+28.9×
P/S14.6×+9.6×

Profitability

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Gross margin49%+0.8pp
Operating margin28.6%-1.1pp
Net margin29.3%+5.3pp
FCF margin18.4%-2.5pp

Returns & leverage

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Return on equity39.7%+3.3pp
Debt / equity0.3×0.0×
Current ratio2.5×0.0×

Where this comes from

Reported directly by Applied Materials in its filing.

Tagged under the XBRL concept amat:GrossProfitPercentage.

The source filing: Applied Materials’s 10-Q, filed May 21, 2026.

Filed
May 21, 2026, 4:01 PM EDT
Fiscal quarter
Q2 FY2026
Calendar quarter
Q2 2026
Accession
0001628280-26-037227
Three Months Ended April 26, 2026Semiconductor Systems / (In millions, except percentages)Applied Global Services / (In millions, except percentages)Other / (In millions, except percentages)Total
Revenue$5,965$1,665$280$7,910
Cost of products sold2,7011,0881743,963
Gross profit$3,264$577$106$3,947
Gross margin54.7%34.7%49.9%
Operating expenses:
Research, development and engineering865201421,027
Selling, general and administrative3077020397
Operating income (loss)$2,092$487$(56)$2,523

Item 1. Financial Statements (Unaudited)

FAQ

What is Applied Materials's semiconductor systems — gross margin?
Applied Materials (AMAT) reported semiconductor systems — gross margin of 54.7% in Q1 2026.
How has Applied Materials's semiconductor systems — gross margin changed year-over-year?
Applied Materials's semiconductor systems — gross margin increased by 2.2% year-over-year, from 53.5% to 54.7%.
What does semiconductor systems — gross margin mean?
This is the gross profit expressed as a percentage of the Semiconductor Systems segment revenue. It provides a normalized view of the segment's manufacturing efficiency and product mix profitability. It is a critical metric for evaluating the underlying health of the core hardware business.

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