Lam Research Financials
This page shows Lam Research (LRCX) financial statements, including the income statement, balance sheet, cash flow statement, and key financial ratios. View 14 years of annual fundamentals and quarterly data, with year-over-year growth rates and compound annual growth rates (CAGR). All figures are derived from SEC filings (10-K and 10-Q reports).
Lam Research’s cash-rich posture and low-capital-intensity model let modest sales growth turn into larger margin and cash gains.
Between FY2023 and FY2025, gross margin expanded from44.6% to48.7% even as sales moved only modestly, so the profit improvement came from margin expansion rather than simple volume. At the same time, inventory fell from$4.82B to$4.31B , which helped convert that accounting improvement into real cash instead of tying more funds up in stock.
FY2025 ended with cash of
Free cash flow of
Financial Health Signals
Scored against operating companies for FY2025. Each of the six dimensions is a percentile rank within that peer group; the overall is their average, with missing dimensions counted as zero out of six. A high score means strong standing among peers, not absolute cross-industry strength. How this score is calculated →
Health score ≠ stock price. This rates the quality of Lam Research's business: profitability, growth, balance sheet strength. It doesn't tell you whether the stock is a good buy at today's price. Not financial advice. Use it alongside valuation analysis and your own research.
Lam Research has an operating margin of 32.0%, meaning the company retains $32 of operating profit per $100 of revenue. This strong profitability earns a score of 97/100, reflecting efficient cost management and pricing power. This is up from 29.7% the prior year.
Lam Research's revenue grew 5.8% year-over-year to $18.4B, a solid pace of expansion. This earns a growth score of 44/100.
Lam Research carries a low D/E ratio of 0.38, meaning only $0.38 of long-term debt for every $1 of shareholders' equity. This conservative leverage earns a score of 94/100, indicating a strong balance sheet with room for future borrowing.
Lam Research's current ratio of 2.21 indicates adequate short-term liquidity, earning a score of 63/100. The company can meet its near-term obligations, though with limited headroom.
Lam Research converts 29.4% of revenue into free cash flow ($5.4B). This strong cash generation earns a score of 92/100.
Lam Research earns a strong 54.3% return on equity (ROE), meaning it generates $54 of profit for every $100 of shareholders' equity. This efficient capital use earns a returns score of 97/100. This is down from 54.9% the prior year.
Lam Research scores 23.18, well above the 2.99 safe threshold. The score is driven primarily by a large market capitalization ($364.7B) relative to total liabilities ($11.5B). This indicates low bankruptcy risk based on profitability, leverage, and asset efficiency.
Distress-screening estimate for non-financial companies. Not computed for banks or insurers, where the Altman model does not apply.
Lam Research passes 6 of 9 financial strength tests. All 4 profitability signals pass (positive income, cash flow, and earnings quality), 1 of 3 leverage/liquidity signals pass, 1 of 2 efficiency signals pass.
For every $1 of reported earnings, Lam Research generates $1.15 in operating cash flow ($6.2B OCF vs $5.4B net income). This indicates profits are well-supported by actual cash generation, not accounting adjustments.
Lam Research earns $33.3 in operating income for every $1 of interest expense ($5.9B vs $177.2M). This wide margin provides strong safety for debt servicing, even if earnings decline temporarily.
Key Financial Metrics
Earnings & Revenue
Lam Research generated $18.4B in revenue in fiscal year 2025. This represents an increase of 5.8% from the prior year.
Lam Research's EBITDA was $6.3B in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization. This represents an increase of 14.0% from the prior year.
Lam Research reported $5.4B in net income in fiscal year 2025. This represents an increase of 18.8% from the prior year.
Cash & Balance Sheet
Lam Research generated $5.4B in free cash flow in fiscal year 2025, representing cash available after capex. This represents an increase of 15.8% from the prior year.
Lam Research held $6.4B in cash against $3.7B in long-term debt as of fiscal year 2025.
Lam Research paid $0.92 per share in dividends in fiscal year 2025.
Lam Research had 1.27B shares outstanding in fiscal year 2025.
Margins & Returns
Lam Research's gross margin was 48.7% in fiscal year 2025, indicating the percentage of revenue retained after direct costs. This is up 4.1 percentage points from the prior year.
Lam Research's operating margin was 32.0% in fiscal year 2025, reflecting core business profitability. This is up 2.3 percentage points from the prior year.
Lam Research's net profit margin was 29.1% in fiscal year 2025, showing the share of revenue converted to profit. This is up 3.2 percentage points from the prior year.
Lam Research's ROE was 54.3% in fiscal year 2025, measuring profit generated per dollar of shareholder equity. This is down 0.6 percentage points from the prior year.
Capital Allocation
Lam Research invested $2.1B in research and development in fiscal year 2025. This represents an increase of 21.4% from the prior year.
Lam Research spent $3.4B on share buybacks in fiscal year 2025, returning capital to shareholders by reducing shares outstanding. This represents an increase of 69.7% from the prior year.
Lam Research invested $759.2M in capex in fiscal year 2025, funding long-term assets and infrastructure. This represents an increase of 51.4% from the prior year.
LRCX Income Statement
| Metric | Q3'26 | Q2'26 | Q1'26 | Q4'25 | Q3'25 | Q2'25 | Q1'25 | Q4'24 |
|---|---|---|---|---|---|---|---|---|
| Revenue | $5.8B+9.3% | $5.3B+0.4% | $5.3B+3.0% | $5.2B+9.6% | $4.7B+7.9% | $4.4B+5.0% | $4.2B | N/A |
| Cost of Revenue | N/A | N/A | N/A | $2.6B+7.3% | $2.4B+4.5% | $2.3B+6.4% | $2.2B | N/A |
| Gross Profit | $2.9B+9.8% | $2.7B-1.3% | $2.7B+3.7% | $2.6B+11.9% | $2.3B+11.6% | $2.1B+3.5% | $2.0B | N/A |
| R&D Expenses | $583.2M+1.7% | $573.3M-0.5% | $576.4M-0.6% | $580.2M+10.3% | $525.9M+6.3% | $494.9M-0.1% | $495.4M | N/A |
| SG&A Expenses | $280.3M+4.7% | $267.7M-4.2% | $279.3M+4.1% | $268.4M+18.8% | $226.0M-7.4% | $244.2M+0.4% | $243.1M | N/A |
| Operating Income | $2.0B+13.1% | $1.8B-1.0% | $1.8B+5.1% | $1.7B+11.5% | $1.6B+17.1% | $1.3B+5.5% | $1.3B | N/A |
| Interest Expense | $39.3M-3.8% | $40.9M-3.8% | $42.5M+1.6% | $41.8M-7.5% | $45.2M-0.3% | $45.3M+0.8% | $44.9M | N/A |
| Income Tax | $186.1M-23.3% | $242.6M-16.5% | $290.5M+393.3% | $58.9M-71.4% | $206.1M+31.1% | $157.1M-11.6% | $177.8M | N/A |
| Net Income | $1.8B+14.5% | $1.6B+1.6% | $1.6B-8.8% | $1.7B+29.3% | $1.3B+11.7% | $1.2B+6.7% | $1.1B | N/A |
| EPS (Diluted) | $1.45+15.1% | $1.26+1.6% | $1.24 | N/A | $1.03+12.0% | $0.92+7.0% | $0.86 | N/A |
LRCX Balance Sheet
| Metric | Q3'26 | Q2'26 | Q1'26 | Q4'25 | Q3'25 | Q2'25 | Q1'25 | Q4'24 |
|---|---|---|---|---|---|---|---|---|
| Total Assets | $20.8B-2.8% | $21.4B-2.3% | $21.9B+2.6% | $21.3B+6.9% | $20.0B+0.6% | $19.8B+1.6% | $19.5B+4.2% | $18.7B |
| Current Assets | $13.3B-5.1% | $14.0B-5.3% | $14.8B+2.0% | $14.5B+7.9% | $13.5B-1.1% | $13.6B+0.9% | $13.5B+4.7% | $12.9B |
| Cash & Equivalents | $4.8B-23.1% | $6.2B-7.7% | $6.7B+4.7% | $6.4B+17.2% | $5.5B-3.8% | $5.7B-6.6% | $6.1B+3.8% | $5.8B |
| Inventory | $4.0B-0.9% | $4.0B-1.4% | $4.1B-4.9% | $4.3B-3.5% | $4.5B+2.4% | $4.4B+3.5% | $4.2B-0.2% | $4.2B |
| Accounts Receivable | $4.1B+18.4% | $3.5B-3.9% | $3.6B+7.5% | $3.4B+4.6% | $3.2B-2.3% | $3.3B+12.5% | $2.9B+16.6% | $2.5B |
| Goodwill | N/A | N/A | N/A | $1.6B | N/A | N/A | $1.6B0.0% | $1.6B |
| Total Liabilities | $10.2B-9.2% | $11.2B-3.9% | $11.7B+1.9% | $11.5B+9.8% | $10.5B-5.2% | $11.0B-0.3% | $11.1B+8.4% | $10.2B |
| Current Liabilities | $5.2B-15.6% | $6.2B-7.4% | $6.7B+2.1% | $6.6B+19.6% | $5.5B+2.6% | $5.4B+0.1% | $5.3B+23.1% | $4.3B |
| Long-Term Debt | $3.7B0.0% | $3.7B0.0% | $3.7B+0.3% | $3.7B-0.3% | $3.7B-16.7% | $4.5B0.0% | $4.5B+0.3% | $4.5B |
| Total Equity | $10.6B+4.3% | $10.1B-0.5% | $10.2B+3.4% | $9.9B+3.7% | $9.5B+8.0% | $8.8B+4.0% | $8.5B-0.8% | $8.5B |
| Retained Earnings | $33.0B+4.8% | $31.5B+4.2% | $30.2B+4.3% | $29.0B+5.2% | $27.6B+3.9% | $26.5B+3.5% | $25.6B+3.3% | $24.8B |
LRCX Cash Flow Statement
| Metric | Q3'26 | Q2'26 | Q1'26 | Q4'25 | Q3'25 | Q2'25 | Q1'25 | Q4'24 |
|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | $1.1B-22.9% | $1.5B-16.8% | $1.8B-30.4% | $2.6B+95.2% | $1.3B+76.4% | $741.9M-52.7% | $1.6B | N/A |
| Capital Expenditures | $331.6M+27.1% | $260.9M+40.9% | $185.1M+7.5% | $172.2M-40.2% | $288.1M+52.9% | $188.3M+70.3% | $110.6M | N/A |
| Free Cash Flow | $809.8M-33.6% | $1.2B-23.5% | $1.6B-33.1% | $2.4B+133.4% | $1.0B+84.4% | $553.6M-62.0% | $1.5B | N/A |
| Investing Cash Flow | -$334.6M-29.8% | -$257.8M-38.6% | -$186.0M-43.9% | -$129.3M+55.9% | -$292.9M-67.0% | -$175.4M-58.6% | -$110.6M | N/A |
| Financing Cash Flow | -$2.2B-29.3% | -$1.7B-34.6% | -$1.3B+15.1% | -$1.5B-22.5% | -$1.2B-31.8% | -$935.2M+25.7% | -$1.3B | N/A |
| Dividends Paid | $325.8M-0.5% | $327.5M+12.2% | $292.0M-1.1% | $295.2M-0.2% | $295.7M-0.6% | $297.6M+14.0% | $261.0M | N/A |
| Share Buybacks | $1.2B-20.7% | $1.5B+50.3% | $975.8M-24.5% | $1.3B+196.9% | $435.3M-37.6% | $697.7M-30.0% | $997.0M | N/A |
LRCX Financial Ratios
| Metric | Q3'26 | Q2'26 | Q1'26 | Q4'25 | Q3'25 | Q2'25 | Q1'25 | Q4'24 |
|---|---|---|---|---|---|---|---|---|
| Gross Margin | 49.8%+0.2pp | 49.6%-0.8pp | 50.4%+0.3pp | 50.1%+1.1pp | 49.0%+1.7pp | 47.4%-0.7pp | 48.0% | N/A |
| Operating Margin | 35.0%+1.2pp | 33.9%-0.5pp | 34.4%+0.7pp | 33.7%+0.6pp | 33.1%+2.6pp | 30.5%+0.2pp | 30.3% | N/A |
| Net Margin | 31.3%+1.4pp | 29.8%+0.4pp | 29.5%-3.8pp | 33.3%+5.1pp | 28.2%+1.0pp | 27.2%+0.4pp | 26.8% | N/A |
| Return on Equity | 17.3%+1.5pp | 15.7%+0.3pp | 15.4%-2.0pp | 17.4%+3.5pp | 14.0%+0.5pp | 13.5%+0.3pp | 13.2% | N/A |
| Return on Assets | 8.8%+1.3pp | 7.4%+0.3pp | 7.2%-0.9pp | 8.1%+1.4pp | 6.7%+0.7pp | 6.0%+0.3pp | 5.7% | N/A |
| Current Ratio | 2.54+0.3 | 2.26+0.0 | 2.210.0 | 2.21-0.2 | 2.45-0.1 | 2.54+0.0 | 2.53-0.4 | 2.97 |
| Debt-to-Equity | 0.35-0.0 | 0.370.0 | 0.37-0.0 | 0.38-0.0 | 0.39-0.1 | 0.51-0.0 | 0.530.0 | 0.52 |
| FCF Margin | 13.9%-8.9pp | 22.8%-7.1pp | 29.9%-16.1pp | 46.1%+24.4pp | 21.6%+9.0pp | 12.7%-22.3pp | 35.0% | N/A |
Similar Companies
Frequently Asked Questions
What is Lam Research's annual revenue?
Lam Research (LRCX) reported $18.4B in total revenue for fiscal year 2025. This represents a 5.8% change compared to the previous fiscal year. Revenue measures the total income earned from the company's primary business operations before any expenses are deducted.
How fast is Lam Research's revenue growing?
Lam Research (LRCX) revenue grew by 5.8% year-over-year, from $17.4B to $18.4B in fiscal year 2025.
Is Lam Research profitable?
Yes, Lam Research (LRCX) reported a net income of $5.4B in fiscal year 2025, with a net profit margin of 29.1%.
What is Lam Research's EBITDA?
Lam Research (LRCX) had EBITDA of $6.3B in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization.
How much debt does Lam Research have?
As of fiscal year 2025, Lam Research (LRCX) had $6.4B in cash and equivalents against $3.7B in long-term debt.
What is Lam Research's gross margin?
Lam Research (LRCX) had a gross margin of 48.7% in fiscal year 2025, indicating the percentage of revenue retained after direct costs of goods sold.
What is Lam Research's operating margin?
Lam Research (LRCX) had an operating margin of 32.0% in fiscal year 2025, reflecting the profitability of core business operations before interest and taxes.
What is Lam Research's net profit margin?
Lam Research (LRCX) had a net profit margin of 29.1% in fiscal year 2025, representing the share of revenue converted into profit after all expenses.
Does Lam Research pay dividends?
Yes, Lam Research (LRCX) paid $0.92 per share in dividends during fiscal year 2025.
What is Lam Research's return on equity (ROE)?
Lam Research (LRCX) has a return on equity of 54.3% for fiscal year 2025, measuring how efficiently the company generates profit from shareholder equity.
What is Lam Research's free cash flow?
Lam Research (LRCX) generated $5.4B in free cash flow during fiscal year 2025. This represents a 15.8% change compared to the previous fiscal year. Free cash flow represents the cash a company generates after accounting for capital expenditures, and is widely used to assess financial flexibility and shareholder value.
What is Lam Research's operating cash flow?
Lam Research (LRCX) generated $6.2B in operating cash flow during fiscal year 2025, representing cash generated from core business activities.
What are Lam Research's total assets?
Lam Research (LRCX) had $21.3B in total assets as of fiscal year 2025, including both current and long-term assets.
What are Lam Research's capital expenditures?
Lam Research (LRCX) invested $759.2M in capital expenditures during fiscal year 2025, funding long-term assets and infrastructure.
How much does Lam Research spend on research and development?
Lam Research (LRCX) invested $2.1B in research and development during fiscal year 2025.
What is Lam Research's current ratio?
Lam Research (LRCX) had a current ratio of 2.21 as of fiscal year 2025, which is generally considered healthy.
What is Lam Research's debt-to-equity ratio?
Lam Research (LRCX) had a debt-to-equity ratio of 0.38 as of fiscal year 2025, measuring the company's financial leverage by comparing total debt to shareholder equity.
What is Lam Research's return on assets (ROA)?
Lam Research (LRCX) had a return on assets of 25.1% for fiscal year 2025, measuring how efficiently the company uses its assets to generate profit.
What is Lam Research's Altman Z-Score?
Lam Research (LRCX) has an Altman Z-Score of 23.18, placing it in the Safe Zone (low bankruptcy risk). The Z-Score combines five financial ratios (working capital, retained earnings, EBIT, market capitalization, and revenue relative to total assets) to predict the likelihood of bankruptcy. Scores above 2.99 indicate financial safety while scores below 1.81 suggest financial distress. Learn more in our complete guide to financial health indicators.
What is Lam Research's Piotroski F-Score?
Lam Research (LRCX) has a Piotroski F-Score of 6 out of 9, indicating neutral financial health. The F-Score evaluates nine binary signals across profitability (positive ROA, positive cash flow, improving ROA, earnings quality), leverage (decreasing debt, improving liquidity, no share dilution), and operating efficiency (improving gross margin, improving asset turnover). Scores of 7 to 9 indicate strong and improving fundamentals. Learn more in our complete guide to financial health indicators.
Are Lam Research's earnings high quality?
Lam Research (LRCX) has an earnings quality ratio of 1.15x, considered cash-backed (high quality). This ratio compares operating cash flow to net income. A ratio above 1.0x means the company generates more cash than its reported earnings, indicating sustainable, cash-backed profits. Ratios below 1.0x suggest earnings rely on accounting accruals rather than actual cash generation. Learn more in our complete guide to financial health indicators.
Can Lam Research cover its interest payments?
Lam Research (LRCX) has an interest coverage ratio of 33.3x, meaning it can comfortably cover its interest obligations. This ratio divides operating income by interest expense. Ratios above 5x indicate strong debt-servicing ability, while ratios below 2x suggest the company may face difficulty meeting interest payments if earnings decline. Learn more in our complete guide to financial health indicators.
How financially healthy is Lam Research?
Lam Research (LRCX) scores 81 out of 100 on our Financial Health Score, indicating strong standing within its operating companies peer group. The score is a 0-100 composite of six dimensions (Profitability, Growth, Leverage, Liquidity, Cash Flow, Returns), each ranked as a percentile relative to companies in the same scoring family (banks against banks, REITs against REITs, and so on) rather than across all industries. It rates the quality of the business, not whether the stock is fairly priced, and is not financial advice. Learn more in our complete guide to financial health indicators.