Applied Materials Inc. AMAT, -1.91% shares rose in the extended session Thursday after the chip-maker supplier’s quarterly results and outlook topped Wall Street estimates.
Applied Materials reported fiscal fourth-quarter net income of $1.31 billion, or $1.23 a share, compared with $698 million, or 75 cents a share, in the year-ago period. Adjusted earnings, which exclude the income tax effect of stock-based compensation and other items, were $1.25 a share, compared with 80 cents a share in the year-ago quarter.
Revenue rose to $4.69 billion from $3.75 billion in the year-ago quarter. Analysts surveyed by FactSet had forecast earnings of $1.17 a share on revenue of $4.6 billion, following Applied Materials outlook of $1.11 to $1.23 a share on revenue of $4.4 billion to $4.8 billion.
“Applied Materials closed fiscal 2020 with record quarterly performance as demand for our semiconductor systems and services remains very strong,” said Gary Dickerson, Applied Materials president and chief executive, in a statement. “Our future opportunities have never looked better and, as powerful technology trends take shape, we are uniquely positioned to accelerate our customers’ roadmaps and outperform our markets.”
Applied Materials expects fiscal first quarter earnings of $1.20 to $1.32 a share on revenue of $4.75 billion to $5.15 billion. Analysts had forecast earnings of $1.11 a share on revenue of $4.51 billion for the quarter.
Shares rose 3% after hours, following a 1.9% decline in the regular session to close at $69.80. For the year, shares of Applied Materials are up 14%, compared with a 9% rise in the S&P 500 index SPX, -0.99%, and a 30% gain by the tech-heavy Nasdaq Composite Index COMP, -0.65%.