Lam Research Corporation (LRCX) Q4 2023 Earnings Call Transcript

For the period ending June 25, 2023

July 26, 2023 5:00 p.m. ET

Prepared Remarks

Questions and Answers

Call Participants

Prepared Remarks:

Operator

Good day, everyone, and welcome to the Lam Research Corporation's June 2023 Quarterly Financial Conference Call. All participants will be in a listen-only mode. [Operator Instructions] Please also note today's event is being recorded.

At this time, I'd like to turn the floor over to Tina Correia. Ma'am, please go ahead.

Tina Correia

Thank you, and good afternoon, everyone. Welcome to the Lam Research quarterly earnings conference call. With me today are Tim Archer, President and Chief Executive Officer, and Doug Bettinger, Executive Vice President and Chief Financial Officer. During today's call, we will share our overview on the business environment, and we'll review our financial results for the June 2023 quarter and our outlook for the September 2023 quarter. The press release detailing our financial results was distributed a little after 1 o'clock PM Pacific Time this afternoon. The release can also be found on the Investor Relations section of the company's website along with the presentation slides that accompany today's call.

Today's presentation and Q&A include forward-looking statements, that are subject to risks and uncertainties reflected in the risk factors disclosed in our SEC public filings. Please see accompanying slides in the presentation for additional information. Today's discussion of our financial results will be presented on a non-GAAP financial basis unless otherwise specified. A detailed reconciliation between GAAP and non-GAAP results can be found in the accompanying slides in the presentation. This call is scheduled to last until 3 o'clock PM Pacific Time. A replay of this will be made available later this afternoon on our website. And with that, I'll hand the call over to Tim.

Tim Archer

Thank you, Tina, and welcome to everyone joining the call today. Lam posted strong results for the June quarter with gross margin, operating margin and earnings per share well above the guided ranges. CSBG at 47% of revenues in the quarter, continues to stand-out as a key area of strength and stability for Lam in an otherwise weak wafer fabrication equipment spending environment.

Operationally, we achieved significant improvement in on-time delivery and critical backorder performance in the quarter and now see these metrics back at normalized pre-pandemic levels. Our focus on the resiliency of our global manufacturing and supply chain network is delivering greater predictability in the short term, but more importantly, positions us to scale more efficiently when WFE growth inevitably resumes.