Applied Materials Demonstrates Success with Fast-Ramping Products for Semiconductor and Display Industries
July 13 2015 - 7:29PM
- Delivering profitable growth
with highly differentiated materials engineering products and
services
- Gaining share in the fastest
growing areas of the semiconductor equipment market
- Addressing more technology
inflections than any other equipment company
SAN FRANCISCO, July 13, 2015 - Applied
Materials, Inc. (NASDAQ: AMAT) today hosted its 2015 Analyst
Meeting, providing an update to the company's strategy for
generating profitable growth. Applied executives showed how
increasing R&D investments over the past several years are
resulting in innovative new products that are enabling the key
technology inflections in the semiconductor and display equipment
industries. In addition, the company introduced its 2018 financial
model targeting non-GAAP earnings per share of $2.00, assuming
global wafer fab equipment spending in the $33.5 billion range.
"The semiconductor and display industries are
undergoing the most dramatic technology changes in decades and
these are being driven by materials engineering, which is our core
capability and strength," said Gary Dickerson, president and CEO.
"Applied has the right products at the right time and has never
been in a better position to drive profitable growth."
Commenting on Applied's financial performance,
Robert Halliday, senior vice president and CFO, said, "We are
executing well on our plan to grow revenue and market share while
managing operating costs to increase profitability and cash returns
to our shareholders. Applied enables more semiconductor and display
technology inflections than any other company and is increasingly
well positioned to grow." Mr. Halliday said the company has already
repurchased 25 million shares of Applied Materials common stock
over the past two months under the $3 billion stock repurchase
authorization announced in April 2015.
The changes Applied began making to its product
portfolio two years ago are now delivering results with strong new
product traction. The company's leadership businesses in transistor
and interconnect have experienced significant share gains, while
increased investments in etch and CVD resulted in growth that is
outpacing the market. Today, the company introduced two
breakthrough products, the Centris(TM) Sym3(TM) Etch system and
Olympia(TM) ALD system. Both are completely new equipment
architectures, built from the ground up to provide customers with
unprecedented capabilities in precision materials deposition and
removal for building the most advanced logic and memory chip
designs.
Another area of profitable growth for Applied is
its service business. The company is delivering valuable new
service products that help customers increase output and yields
while lowering costs. Applied is earning more of the revenue stream
associated with servicing the installed base of its manufacturing
tools, which is the largest in the world at 30,000 systems and
growing.
In display, Applied's technologies are enabling
larger screen sizes, higher resolution and new form factors
including curved displays. The company expects to grow its display
business to over $1 billion in revenue while increasing its
addressable market to more than $3 billion over the next several
years.
A replay of the 2015 Analyst Meeting along with
the executive presentations and related materials will be available
on the Applied Materials investor relations website at
http://www.appliedmaterials.com/company/investor-relations.
Non-GAAP Adjusted Financial
Measures
The non-GAAP adjusted EPS targets assume non-GAAP
adjustments as applicable for future periods. Management uses
non-GAAP adjusted results to evaluate the company's operating and
financial performance in light of business objectives and for
planning purposes. These measures are not calculated in accordance
with GAAP and may differ from non-GAAP methods of accounting and
reporting used by other companies. Applied believes these measures
enhance investors' ability to review the company's business from
the same perspective as management and facilitate comparisons
between periods.
Forward-Looking
Statements
This release contains forward-looking statements,
including those regarding anticipated growth and trends in our
businesses and markets, industry outlooks, technology inflections,
our strategies and growth opportunities, our products and
technologies, our financial performance and capital allocation, and
our financial model. These statements and their underlying
assumptions are subject to risks and uncertainties and are not
guarantees of future performance. Factors that could cause actual
results to differ materially from those expressed or implied by
such statements include, without limitation: the level of demand
for our products; global economic and industry conditions; consumer
demand for electronic products; customers' technology and capacity
requirements; the introduction of new and innovative technologies,
and the timing of technology inflections; our ability to develop,
deliver and support new products, expand our markets and increase
market share; the concentrated nature of our customer base; market
acceptance of existing and newly developed products; our ability to
obtain and protect intellectual property rights in key
technologies; our ability to achieve the objectives of operational
and strategic initiatives, and attract, motivate and retain key
employees; the variability of operating expenses and results among
products and segments, and our ability to accurately forecast
future results, market conditions, customer requirements and
business needs; and other risks and uncertainties described in our
most recent Form 10-Q and other SEC filings. All forward-looking
statements are based on management's estimates, projections and
assumptions as of July 13, 2015, and we assume no obligation to
update them.
About Applied Materials
Applied Materials, Inc. (Nasdaq:AMAT) is the
global leader in materials engineering solutions for the
semiconductor, flat panel display and solar photovoltaic
industries. Our technologies help make innovations like
smartphones, flat screen TVs and solar panels more affordable and
accessible to consumers and businesses around the world. Learn more
at www.appliedmaterials.com.
# # #
Contact:
Kevin Winston (editorial/media) 408.235.4498
Michael Sullivan (financial community) 408.986.7977
This
announcement is distributed by NASDAQ OMX Corporate Solutions on
behalf of NASDAQ OMX Corporate Solutions clients.
The issuer of this announcement warrants that they are solely
responsible for the content, accuracy and originality of the
information contained therein.
Source: Applied Materials via Globenewswire
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