Applied Materials

Largest US maker of wafer fabrication equipment

Overview

Applied Materials designs, produces and services wafer fabrication equipment used to manufacture semiconductors, describing itself as the leader in materials engineering for chipmaking[21]. Its Semiconductor Systems segment is the largest contributor to revenue; the company also sells services to its installed base and display equipment[21]. Revenue for fiscal 2025, which ended on 26 October 2025, was US$28,368 million, up 4%[21]. Applied is incorporated in Delaware, headquartered in Santa Clara, California, and listed on Nasdaq. It employed approximately 36,500 regular full-time staff in 25 countries, 46% of them in Asia-Pacific[21]. In the fourth quarter of fiscal 2025 it approved a workforce reduction expected to affect about 4% of its staff[21].

Applied Materials strengths and limitations

Strengths

  • Largest US chip-equipment maker
  • Profit margin of 29%
  • Recurring services revenue

Limitations

  • Sales growth of 5.1%
  • Fell one place
  • Smaller market value than Lam Research

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